Conflict of Laws Outline

CONFLICT OF LAWS COOPER FALL 2012

GENERAL STATUTES/REQUIREMENTS

General Jurisdiction:

AUTHORIZES PJ OVER THE DEFENDANT FOR ALL KINDS OF CLAIMS, INCLUDING CLAIMS UNRELATED TO THE DEFENDANT’S CONTACTS IN THE FORUM STATE IF THERE IS CONTINUOUS AND SYSTEMATIC CONTACTS WITH THE FORUM.

§ I.E: a D who is served by personal service in the state is subject to the state’s general jurisdiction. The lawsuit need not be related to the D’s acts in the state. A domiciliary is subject to general jurisdiction in her home state courts. Corporation is subject to general jurisdiction in its state of incorporation and the state where it has its principal place of business.

· Business Contacts: SC has suggested that a defendant can have such extensive contacts in a state that it is subject to general jurisdiction in that state. The level of contacts required for general jurisdiction is continuous and systematic general business contacts [HELICOPTEROS NACIONALES DE COLOMBIA, S.A. V. HALL]

o Courts are divided over the level of activity required to establish continuous and systematic general business contacts. IN HELICOPTEROS the SC concluded that repeated visits for negotiating, extensive purchasing, and training were not sufficient. The ninth circuit found a huge national retailer subject to PJ in CA based on the high volume of its sales and interactive website, but the court cautioned that it was still a “close question” GATOR.COM CORP v. LL BEAN.

28 U.S.C. §1332 Subject Matter Jurisdiction- Diversity Jurisdiction

28 U.S.C. §1332(c)(1) Citizenship of Corporations

A corporation shall be deemed to be a citizen of any State by which it has been incorporated and of the State where it has its principal place of business.

· Hertz Corp v. Friend, The principal place of business of a corporation will typically be the corporation’s headquarters.

Erie Doctrine

Federal Courts in Diversity Cases apply state substantive law and federal procedure.

· Klaxon Co. v. Stentor Elc. Mfg. co.: Under Erie, choice of law is substantive. Federal courts must follow the choice of law rules of the state in which the federal courts is sitting.

Full Faith and Credit Clause, United States Constitution Article IV, Section 1

[Constitutional Limits on Choice of Law]

Full Faith and Credit shall be given in each State to the public Acts, Records and judicial Proceedings of every other state. And the Congress may by general laws prescribe the manner in which such Acts, Records and Proceedings shall be proved, and the Effect thereof.

Performs two independent functions:

1) It limits a state’s discretion in its application of its rules for choice of law; and

2) It commands enforcement in one state of the judgments rendered by the courts of another state.

· Hughes v. Fetter: State violated Full Faith and Credit clause by refusing to hear a wrongful death case for the reason that the death had occurred in another state.

· Assures mutual respect for the sovereignty of states

28 U.S.C §1738

Such Acts, records and judicial proceedings . . . shall have the same full faith and credit in every court within the United States and its Territories and Possessions as they have by law or usage in the courts of such State, Territory or Possession from which they are taken.

Due Process of the US Constitution 14th Amendment

[Constitutional Limits on Choice of Law]

Nor shall any State deprive any person of life, liberty, or property, without due process of law . . .

· Assures Fairness to individuals

Uniform Judicial Notice of Foreign Law Act

The term foreign law includes both the law of another country and the law of another state.

Effect of the Uniform Act:

· Reasonable notice, in pleadings or otherwise.

· Law of other states may be recognized by judicial notice.

· Law of states and foreign countries may be proved by admissible evidence.

· The issue is one of law to be determined by the judge and subject to plenary judicial review.

Notice and Proof of Foreign Law in Federal Courts

In both Federal question and diversity cases, the issue is considered one of procedure governed by federal law.

For the law of a Foreign Country FRCP 44.1- DETERMINING FOREIGN LAW: A party who intends to raise an issue about a foreign country’s law must give notice by a pleading or other writing. In determining foreign law, the court may consider any relevant material, the court may consider any relevant material or source, including testimony, whether or not submitted by a party or admissible under the FRE. The court’s determination must be treated as a ruling on a question of law.

State Court

Federal Court

Law of Another Country

State Law, including Uniform Law

FRCP 44.1

Law of Another State

State Law, including Uniform Law

Federal Common law Procedure

Considering the Law of Another State in Litigation in a Federal Court

As a matter of federal common law, federal courts may judicially notice the law of another state because no state is considered to be “foreign” to a federal court.

· If the SC is reviewing a case decided by a state court it would follow state law practice on notice and proof of the law of another state.

· 1) REASONABLE NOTICE of pleadings:

· Sensible view of how we integrate procedure and choice of law.

· Recognizes difficult to amend pleadings and learn in course of pleadings there is a choice of law problem.

· 2) LAW OF OTHER STATES MAY BE RECOGNIZED BY JUDICIAL NOTICE

· 3) Law of states and foreign countries may be proved by ADMISSIBLE EVIDENCE – don’t expect judges to go through books and figure it out, analyzing law of other countries is more complex. Can bring in evidence but it must follow the evidence rules.

· 4) THE ISSUE IS ONE OF LAW TO BE DETERMINED BY THE JUDGE AND SUBJECT TO PLENARY JUDICIAL REVIEW.

28 U.S.C. §1391(b), (c2), (d)(Venue)

Venue in General. –a civil action may be brought in—

· 1) a judicial district in which any defendant resides, if all defendants are residents of the state in which the district is located;

· 2) a judicial district in which a substantial part of the events or omissions giving rise to the claim occurred, or a substantial part of property that is the subject of the action is situated; or

· 3) if there is no district in which an action may otherwise be brought as provided in this section, any judicial district in which any defendant is subject to the court’s personal jurisdiction with respect to such action.

(c)(2)

· 2) an entity with the capacity to sue and be sued in its common name under applicable law, whether or not incorporated, shall be deemed to reside, if a defendant, shall be deemed to reside, if a defendant, in any judicial district in which such defendant is subject to the court’s personal jurisdiction with respect to the civil action in question