Conflict of Laws

Question 1

Recognition of Judgments: Three Part Analysis

Answer 1

1. Is the rendering jx a sister state or foreign country?
2. Is the judgment entitled to full faith and credit of comity?
3. Are there any defenses?

Question 2

Full Faith and Credit

Answer 2

Under the law of the rendering court, requires:

1. Jx (both personal and SMJ)
   
   1. EXCEPT: Cannot challenge jx where it has been fully and fairly litigated or an eligible challenge was waived (e.g., in the answer).
2. Final judgment
   
   1. Appeals are generally NOT final (except interlocutory)
   2. Modifiable decrees are not final
   3. Future payments are NOT final
   4. Past due payments ARE final
   5. Divorce decrees ARE final
3. On the merits
   
   1. SOL is NOT on the merits (NB this is recognition of judgments NOT choice of law/Erie)
   2. Lack of jx is NOT on the merits
   3. Misjoinder or improper venue is NOT on the merits
   4. Failure to state a claim w/o prejudice is NOT on the merits
   5. Default judgment IS on the merits
   6. Consent judgment entered into after settlement IS on the merits

Question 3

Valid Defenses

Answer 3

1. Penal judgments - except those for tax - are not enforced (“penal” = for punishment; usually, the state is the Plaintiff)
2. Judgment based on extrinsic fraud (couldn’t be corrected during proceedings, e.g., a judge’s bribery is extrinsic while perjury is intrinsic)

Question 4

Invalid Defenses

Answer 4

1. Public policy of the recognizing state
2. Misapplication of the law

Question 5

Does the foreign judgment deserve comity?

Answer 5

1. Did the foreign court have jx?
   
   1. Greater ability for the receiving jx to probe a judgment of a foreign court vs. a state court
   2. One bite at the apple re. jx does not apply to foreign judgment
2. Were the foreign proceedings fair?
   
   1. American due process is considered

Question 6

Which state law governs (generally)?

Answer 6

Law selected by forum court under its choice of law approach

Question 7

Which state law governs (exceptions)?

Answer 7

1. Federal ct. sitting in diversity.
   
   1. Fed. Ct. applies choice of law of the state in which it sits.
   2. If case was transferred w/in the fed. sys., law of the transferor ct. applies IF venue was proper in the first place
2. Constitutional Restriction. Cannot apply law of state with no significant interest in the litigation.
3. Statutory Restriction. Use statute of forum state if it dictates choice of law; otherwise, use common law/general approach.

Question 8

Choice of Law Essay: Three Elements

Answer 8

1. Description of the choice of law generally.
2. Description of the applicable choice of law approach.
   
   1. Vested rights (1st Rest.)
   2. Interest Analysis
   3. Most significant relationship (2nd Rest.)
3. Apply the choice of law to the facts
   
   1. Conclusion should cover both which law governs and the result of its application

Question 9

Structure of Application of Vested Rights

Answer 9

1. Categorize the area of law (torts, family law, etc.)
2. State applicable vesting rule
3. Apply vesting rule to determine result

Question 10

Vesting Rule: Torts

Answer 10

Generally, determined by the place of injury. EXCEPTIONS:

• Loss distribution rule is at issue rather than a conduct rule or rule is hybrid of both AND
• Loss limitations (e.g., a damages cap),
• Vicarious liability, OR
• Immunity rules eliminating liability

Except in cases of the vested rights approach, when loss distribution rules are combined with the above, apply law of the common domicile.

1. Vested rights: where injury occurred
2. Most significant relationship: Several considerations, including -
   
   1. place of injury
   2. place of conduct causing injury
   3. where parties are at home
   4. where the relationship, if any, is centered
   5. Policy considerations (akin to interest analysis)
      
      1. relevant policies of the forum state
      2. relevant policies of other connected states

Question 12

Vesting Rule: Contracts

Answer 12

Threshold issues:

• Is there an enforceable choice of law provision?
  
  • Enforceable if valid and express
  • Displaces regular choice of law analysis
  • If you’re unsure, acknowledge that the contract looks enforceable and proceed with the choice of law analysis.
• Reasons NOT to find choice of law provision valid
  
  • State law has no reasonable relationship to the contract
  • Provision was included w/o mutual assent
  • If invalid → traditional choice of law analysis

1. Vested rights: Depends on issue type.
   
   1. Formation - where contract was executed
   2. Performance - where contract was to be performed
2. Most significant relationship: Several considerations, including place of -
   
   1. Contracting
   2. Negotiation
   3. Performance
   4. Where the parties are at home
   5. Policy considerations (akin to interest analysis)
      
      1. relevant policies of the forum state
      2. relevant policies of other connected states
      3. reasonable expectations of the parties (e.g,, Does one state have law that would make this contract enforceable?)

Question 13

Vesting Rule: Property

Answer 13

• Immovable (Real): law of the situs
• Movable (Personal):
  
  • Inter vivos: law of the situs at time of transaction
  • Inheritance: law of decedent’s domicile on date of death

Question 14

Vesting Rule: Family Law

Answer 14

• Marriage: If validly performed, will be recognized everywhere EXCEPT when obtained via temporary move to avoid a rule of domicile that prevents the marriage
• Divorce: Courts will apply their own law (threshold issue would be court’s jx, which indicates that it has an interest in the case)
• Legitimacy
  
  • At the time of child’s birth: Mother’s domicile
  • Subsequent acts of legitimation: Father’s domicile

Question 15

Interest Analysis Approach

Question 16

Structure of Application of Interest Analysis Approach

Answer 16

1. Discuss which states have legitimate interests
2. Characterize the type of conflict (false or true)
   
   1. False → Apply law of interested state
   2. True → Apply law of forum, if the forum is interested
3. Choose governing law based on type of conflict
4. Apply governing law to determine the result

Question 17

Structure of Application of Most Significant Relationship Approach

Answer 17

1. Discuss connecting facts (where)
2. Discuss policy principles (why)
3. Choose governing law based on most significant relationship
4. Applying governing law to determine result

Question 18

“Defenses” to Choice of Law

Answer 18

Forum ct. will NOT apply a law that is:

• Against forum court’s fundamental public policy
  
  • Usu. invoked w/r/t Vested Rights approach
• Procedural rules of the forum court apply
  
  • Usu. applying substantive portions of another state’s law

Question 19

Statute of Limitations

Answer 19

Most tested rule! Treat the statute of limitations as procedural!!!

EXCEPT:

• Borrowing statutes (statute referencing another statute/state’s law?): Ct. should look at both and apply the shorter SOL
• Limitations that condition a substantive right: If statute creates a right to recover and a limitation period, apply statute’s limitation (e.g., wrongful death statutes)

Question 20

Domicile

Answer 20

• Won’t be tested on tis own BUT comes up often.
• States tend to define the scope of their interests in reference to domicile
• Domicile by choice: (1) Phys. presence AND (2) Intent to remain
• Change in Domicile: Person keeps their old domicile until their new one is perfected.
• Domicile by operation of law for those w/o capacity to choose their own (NB. no formal definition of domiciliary capacity. Motive for selecting a domicile - even avoiding the law - doesn’t matter).
  
  • Children: domicile of parents (newborns); domicile of custodial parent (child has divorced parents and has not achieved an age of capacity)
  • Mentally Incompetent Individuals: Assigned domicile of parents unless became incompetent after having chosen a domicile → keeps domicile of choice