Which contacts do U.S. courts consider under the Restatement (Second) of Conflict of Laws?
Under the Restatement (Second) of Conflict of Laws, U.S. courts determine the applicable law by identifying the jurisdiction with the "most significant relationship" to the transaction or occurrence and the parties involved.1
To determine this relationship, the Restatement (Second) utilizes various connecting factors, or "contacts." While the specific contacts depend on the nature of the caseâsuch as the place of a tort or the location of a contract transactionâthey also include the domicile of the parties.1
These contacts are not applied mechanically; instead, they must be evaluated in light of the "general principles" outlined in Section 6 of the Restatement (Second). These principles include:1
- The needs of the interstate and international systems.
- Relevant policies of the forum and other interested states.
- The protection of justified party expectations.
- The basic policies underlying the particular field of law.
- Certainty, predictability, and uniformity of result.
- Ease in the administration of justice.1
Because these criteria are not ranked by priority, courts are granted substantial leeway in their application, which can lead to divergent results across different jurisdictions.1