LGST 219 - Class 12 Notes

LGST 219 - Class 12 Notes - CLASS 12 (Oct. 24): Choice of...

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CLASS 12 (Oct. 24): Choice of Law 1] United Airlines Case (Plane crash in Colorado/ Choice of law/ lex loci vs. significant contacts) a. Crash in Colorado. Plaintiffs bring suit in Pennsylvania. b. Should Pennsylvania law govern here? What rule should apply? c. Rule of Lex Loci - law of the place of occurrence. (c.i) Where did the injury occur? (c.ii) Use the law of the place where the injury occurred. d. In this case we would be covered by Colorado law. e. But Rule of Lex Loci can be seen as very arbitrary and very rigid and you could wind having to apply a law that you might say I don't see why this law applies to the case. It really doesn’t have much connection to the parties. It is purely circumstantial. f. In this case we are dealing with a judge-made rule that said we don't like lex-loci much. g. The court said we're not going to use lex-loci anymore. We're going to look for "significant contacts". h. In terms of this case the significant contacts are all in Pennsylvania: the people are from Pennsylvania, the tickets were purchased there, etc. (h.i) It was purely fortuitous that the accident happened in Colorado. i. Significant Contacts is different from minimum contacts because when we're asking for minimum contacts we're asking is it fair for the court to ask this defendant to submit to it . On the other hand with significant contacts we are asking what state has the closest connection to this case that makes using the law of that state seem justified. j. We are identifying which state has the greater governmental interests. That is another way of identifying significant contacts / choice of law. k. Significant Contacts vs. Minimum Contacts (k.i) Significant contacts : applies to choice of law (k.ii) Minimum contacts : applies to jurisdiction / choice of forum l. Which state has the greater interest in applying its law to this state?
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(l.i) Pennsylvania law has no compensation limit from the defendant. Pennsylvania's concern is going to be that the plaintiffs are fully compensated from the defendant. Otherwise, they might go on welfare and burden the state. (l.ii) It has a greater governmental interest in the outcome. (l.iii) Colorado has really no interests because no Colorado companies are involved in this case. m. Some states let courts decide their own choice of law rules, while some states make statutes that determine what choice of law rules to apply. n. So when you are a court deciding which law to apply, it is best to choose the law of the state that has the most significant contacts and greater governmental interests in the case. 2] Europe has two choice of law rules. One of them is the Rome Convention a. European Union is trying to avoid the type of confusion that we have in a place like the US with 50 different states. b.
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This note was uploaded on 01/11/2012 for the course LGST 219 taught by Professor Anne.mayer during the Fall '11 term at UPenn.

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LGST 219 - Class 12 Notes - CLASS 12 (Oct. 24): Choice of...

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