Supreme Court of the United States
Day & Zimmermann, Inc. v. Challoner
November 3, 1975423 U.S. 3
Summary
The Court vacated the Fifth Circuit’s judgment because a federal court exercising diversity jurisdiction must apply the forum state’s conflict-of-laws rules. The Fifth Circuit was required to identify and follow Texas conflicts law rather than create federal exceptions to those rules, while leaving the ultimate choice of substantive law to the Fifth Circuit on remand. Justice Blackmun, concurring, emphasized that the remand did not necessarily require application of Cambodian law and would permit application of Texas strict-liability law if Texas courts would do so.
Holding
- Whether a federal court exercising diversity jurisdiction may depart from the forum state’s conflict-of-laws rules.. A federal court in a diversity case must apply the conflict-of-laws rules prevailing in the state where it sits and may not engraft federal exceptions or modifications that the state itself has not adopted.
Docket 75-245