CONFLICTS OF LAW

Generally the conflicts-of-law provisions will govern the following areas: personal rights (legal capacity, name) family rights (preconditions for marriage, effect of marriage, divorce, rights of an illegitimate child, adoption) law of inheritance (passing of estate upon intestacy, validity of a testament) contractual relationships Rome Convention Article 3 Freedom of choice 1. A contract shall be governed by the law chosen by the parties. The choice must be expressed or demonstrated with reasonable certainty by the terms of the contract or the circumstances of the case. By their choice the parties can select the law applicable to the whole or a part only of the contract Article 4 Applicable law in the absence of choice 1. To the extent that the law applicable to the contract has not been chosen in accordance with Article 3, the contract shall be governed by the law of the country with which it is most closely connected 2. It shall be presumed that the contract is most closely connected with the country where the party who is to effect the performance which is characteristic of the contract has, at the time of conclusion of the contract, his habitual residence, or, in the case of a body corporate or unincorporated, its central administration Do not confuse the issue of conflicts-of-law with jurisdiction. Almost all conflicts-of-law provisions contain a so called ordre public clause, stating that a court will not enforce a provision of foreign law which violates the public policy of the country. Austrian Conflicts of Law Provision: 6 A provision of foreign law shall not be applied, if its application would lead to a result which is contrary to the basic values of Austrian law. If necessary, the respective provision of Austrian law shall be applied. Finnish Fur Sales Co. Ltd. vs. Juliette Shulof Furs., Inc (additional reading materials)

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