Laws in international Contracts

1. CONFLICT OF LAWS &
INTERNATIONAL CONTRACTS.
SUBMIT TO:
Prof. FERNANDO MONTERO
PRESENTED BY:
AKASH PATEL-000332846
TEJAS BARVALIYA-000338855

2. CONTENTS
Introduction………………………………………………..………………………….…………...3
Principles of the Conflict of Laws………….....…………….………………….……..4
General list of Conflict Laws…………….………………………………………………....5
Understanding Conflict of Laws……………………………………………….......…...6
Conflict of laws in U.S…………………………………………………………….……….…….7
Conflict of laws and national Laws………………………………………….…….......8
Choice of Applicable Laws………………………………….................…….……..9
Conclusion…………………………………………………………………………………………….10
Reference ………………………………………………………………………………….…………11

3. INTRODUCTION
A difference between the laws of two or more jurisdictions with some
connection to a case, such that the outcome depends on which jurisdiction's
law will be used to resolve each issue in dispute.
In the event of dispute, many international components are typical, lengthy
and costly process of contract dispute resolution.
The conflict of laws, also called PRIVATE INTERNATIONAL LAW, and it categories
of contracts and trots concern dispute between individuals form different
nations, whereas Public International law governs relationship between states.
In Individual contracts, whether commercial or personal, increasingly contain
international element.
The judgement in an international lawsuit could vary depending on which
national law is applied.
The realm of conflict of laws is working toward resolving the barriers to these
decisions.

4. PRINCIPLES OF THE CONFLICT OF LAW
There is no written international law to govern
relationships between individuals, there are only
domestic laws of nations to make balance between
national sovereignty with international agreement.
Conflict of law is a phrase used when the laws of
different countries on specific topic are dissimilar.
When Conflict of laws happens, courts need to
decide which law will be followed.

5. GENERAL LIST OF CONFILICT LAW
 The general principle of conflict of laws that apply to contracts cross national borders,
like other international principles, are grounded in principles and customs recognized
in almost all nations.
 Some listed principles of conflict laws:
 Party autonomy: In this parties are free to choose the law governing contracts.
 Sovereignty: A state or government is free from the external control of other states
or governments. Every country has exclusive control and authority inside its borders.
This principle has to do with the independence of all sovereignties.
 Comity: Respect, consideration, adoption and/or enforcement by one country of
the laws of another country.
 Uniformity: Laws will not differ from one country’s jurisdiction to another; rather, they
will be same or universal.
 Good faith: Completing an action or task, including entering into a contract, with
honorable intent and resolved to a sincere effort to obtain a desired results.

6. UNDERSTANDING THE CONFLICT OF LAWS
Conflicts can be separated into three sections:
Jurisdiction- deals with the power of legal courts to sit in
judgment of a person or thing. To properly employ jurisdiction,
courts needs to be adequately connected to a problem so they
can satisfy both constitutional and statutory requirements.
Choice of Law- Legal courts most choose the legal rules that will
control court proceedings when a legal problem involves more
than one state.
Judgments- A judgement in favour of a defendant does not
mean an end to the legal problem. The plaintiff who lost the
case might decide to sue in a new jurisdiction, which will prompt
the winning defendant to use a win in the first case as a defence
in this second case.

7. CONFLICT OF LAWS IN THE U.S.
The listed approaches are new Conflict of Laws in U.S. They are also implemented by major courts
in CAN, U.K and Europe.
1. Renvoi: With in the laws of the choice of law state, the court will try to find a way to use lex
fori(Law of the forum state).
2. Significant contacts test: The court assesses the contacts of both states along with the
contacts of each party in the case. Court results in most considerable contacts.
3. Seat of relationship test: The court looks at the relationship between the people involved in the
lawsuit.
4. Balance of interests test: The court considers the good of the states and why the laws in
question were passed.
5. Comparative impairment test: The court tries to determine how much the policies of the states
involved in the lawsuit would suffer if their law was not applied.
6. The “Better Rule” test: The court attempts to decipher which of the states involved in the
proceedings possesses the set of laws the is empirically better.
The new trends is to minimize the conflict of laws and to refer the case to the court that will have
the best understanding of the facts and the legal implications of the problems.

8. CONFLICTS OF LAWS AND NATIONAL LAWS
Courts cannot exercise authority or proceedings over an
individual if parties is not within their jurisdiction.
Most nations have a set of rules to determine their
jurisdiction in the event of a dispute containing an
international element.
Most frequently arise questions are:
1.Which law should be applied?
2.Which court will hear the case?
3.What is the effect of the national jurisdiction in the
foreign country?

9. CHOICE OF APPLICABLE LAWS
The choice of what law covers a contract does not usually
become an issue unless there is a dispute between contracting
parties. This can limit surprises or additional costs in the event of
dispute of resolution.
When courts must decide on a choice of law issue, they usually
have two choices:
Employ the law of the forum (Lex fori). When the issue of what
law to apply is procedural, courts usually choose this law.
Employ the law of the site of the transaction or occurrence that
resulted in the legal action (lex loci). When the issue of what law
to apply is substantive, courts usually choose this controlling law.

10. CONCLUSION
In summary, I recommend that we give up our illusory quest
for the holy grail in state
conflict-of-laws doctrine. We should have recognized long
ago that this quest is
counterproductive and impossible. Instead, we should
swallow our pride and admit that we
as academics have been instrumental in creating the
conflicts chaos about which we so often
complain. There are no obvious avenues of relief other than
a national direction of
conflicts

11. Video to understand Conflict of Laws
and Understand steps to Prevent
https://www.youtube.com/watch?v=Fa7
FYab2wEs

12. REFRENCES & VIDEO
http://www.law.cornell.edu/wex/conflict_of_laws
Video to understand Conflict of Laws and Understand steps to Prevent
https://www.youtube.com/watch?v=Fa7FYab2wEs

13. Any Questions?