CONFLICTS OF LAWS; Definition:

1. That part of the law of each state or nation which determines whether, in dealing with a
legal situation, the law or some other state or nation will be recognized, given effect, or
applied (16 Am Jur, 2d, Conflict of Laws, §1).
2. That part of municipal law of a state which directs its courts and administrative agencies,
when confronted with a legal problem involving a foreign element, whether or not they
should apply a foreign law/s (Paras).

DISTINGUISHED FROM PUBLIC INTERNATIONAL LAW

BASIS CONFLICT OF LAW LAW OF NATIONS

Nature Municipal in character International in character

1

Persons Dealt with by private individuals;
2 involved governs individuals in their private
transactions which involve a
foreign element
Sovereign states and other entities
possessing international
personality, e.g., UN; governs
states in their relationships
amongst themselves

Transactions Private transactions between Generally affected by public

3 involved private individuals interest; those in general are of
interest only to sovereign states

Remedies and Resort to municipal tribunals May be peaceful or forcible

4 Sanctions
Peaceful: includes diplomatic
negotiation, tender & exercise
of good offices, mediation,
inquiry & conciliation,
arbitration, judicial settlement
by ICJ, reference to regional
agencies

Forcible:  includes severance of

diplomatic relations, retorsions,
reprisals, embargo, boycott,
non-intercourse, pacific
blockades, collective measures
under the UN Charter, and war.

SOURCES:

Direct:

1.  Constitutions

2.  Codifications

1. Special Laws
2. Treaties and Conventions
3. Judicial Decisions
4. International Customs

Indirect:

1.   Natural moral law

 1. Work of writers

TERMS:

Lex Domicilii – law of the domicile; in conflicts, the law of one’s domicile applied in the
choice of law questions

Lex Fori – law of the forum; that is, the positive law of the state, country or jurisdiction
of whose judicial system of the court where the suit is brought or remedy is sought is an
integral part. Substantive rights are determined by the law where the action arose (lex
loci) while the procedural rights are governed by the law of the place of the forum (lex
fori)

Lex Loci – law of the place

Lex Loci Contractus – the law of the place where the contract was made or law of the
place where the contract is to be governed (place of performance) which may or may not
be the same as that of the place where it was made

Lex Loci Rei Sitae – law of the place where the thing or subject matter is situated; the
title to realty or question of real estate law can be affected only by the law of the place
where it is situated

Lex Situs – law of the place where property is situated; the general rule is that lands and
other immovables are governed by the law of the state where they are situated

Lex Loci Actus  – law of the place where the act was done

Lex Loci Celebrationis – law of the place where the contract is made

Lex Loci Solutionis – law of the place of solution; the law of the place where payment or
performance of a contract is to be made

Lex Loci Delicti Commissi – law of the place where the crime took place

Lex Mereatoria – law merchant; commercial law; that system of laws which is adopted by
all commercial nations and constitute as part of the law of the land; part of common law

Lex Non Scripta – the unwritten common law, which includes general and particular
customs and particular local laws

Lex Patriae  – national law

Renvoi Doctrine – doctrine whereby a jural matter is presented which the conflict of laws
rules of the forum refer to a foreign law which in turn, refers the matter back to the law
of the forum or a third state. When reference is made back to the law of the forum, this is
said to be “remission” while reference to a third state is called “transmission.”

Nationality Theory – by virtue of which the status and capacity of an individual are
generally governed by the law of his nationality.  This is principally adopted in the RP

Domiciliary Theory – in general, the status, condition, rights, obligations, & capacity of a
person should be governed by the law of his domicile.

Long Arm Statutes – Statutes allowing the courts to exercise jurisdiction when there are
minimum contacts between the non-resident defendant and the forum.

WAYS OF DEALING WITH A CONFLICTS PROBLEM:

1. Dismiss the case for lack of jurisdiction, or on the ground of forum non-conveniens
DOCTRINE OF FORUM NON CONVENIENS – the forum is inconvenient; the ends of justice
would be best served by trial in another forum; the controversy may be more suitably
tried elsewhere

1. Assume jurisdiction and apply either the law of the forum or of another state
1. i.      A specific law of the forum decrees that internal law should apply
1. APPLY INTERNAL LAW – forum law should be applied whenever there is good reason to do so;
there is a good reason when any one of the following factors is present:

Examples:

 Article. 16 of the Civil Code – real and personal property subject to the law of the country
where they are situated and testamentary succession governed by lex nationalii
 Article 829 of the Civil Code – makes revocation done outside Philippines valid according to
law of the place where will was made or lex domicilii
 Article 819 of the Civil Code – prohibits Filipinos from making joint wills even if valid in
foreign country
1. ii.    The proper foreign law was not properly pleaded and proved

NOTICE AND PROOF OF FOREIGN LAW

 As a general rule, courts do not take judicial notice of foreign laws; Foreign laws must be
pleaded and proved
 Effect of failure to plead and prove foreign law (3 alternatives) of the forum court:

(a)  Dismiss the case for inability to establish cause of action

(b)  Assume that the foreign law of the same as the law of the forum

(c)  Apply the law of the forum

1. The case falls under any of the exceptions to the application of foreign law

Exceptions to application of foreign law:

(a)  The foreign law is contrary to the public policy of the forum

(b)  The foreign law is procedural in nature

(c)  The case involves issues related to property, real or personal (lex situs)

(d)  The issue involved in the enforcement of foreign claim is fiscal or administrative

(e)  The foreign law or judgment is contrary to good morals (contra bonos mores)

(f)   The foreign law is penal in character

(g)  When application of the foreign law may work undeniable injustice to the citizens of
the forum

(h)  When application of the foreign law might endanger the vital interest of the state

1. APPLY FOREIGN LAW – when properly pleaded and proved

THEORIES WHY FOREIGN LAW SHOULD BE GIVEN EFFECT

1. Theory of Comity – foreign law is applied because of its convenience & because we want to

give protection to our citizens, residents, & transients in our land
2. Theory of Vested Rights – we seek to enforce not foreign law itself but the rights that have
been vested under such foreign law; an act done in another state may give rise to the
existence of a right if the laws of that state crated such right.
 3. Theory of Local Law– adherents of this school of thought believe that we apply foreign law
not because it is foreign, but because our laws, by applying similar rules, require us to do so;
hence, it is as if the foreign law has become part & parcel of our local law
4. Theory of Harmony of Laws – theorists here insist that in many cases we have to apply the
foreign laws so that wherever a case is decided, that is, irrespective of the forum, the
solution should be approximately the same; thus, identical or similar solutions anywhere &
everywhere.  When the goal is realized, there will be “harmony of laws”
5. Theory of Justice – the purpose of all laws, including Conflict of Laws, is the dispensing of
justice; if this can be attained in may cases applying the proper foreign law, we must do so

Rules on Status in General

Factual Situation Point of Contact

Beginning of personality of natural person National law of the child (Article 15, CC)
1

Ways & effects of emancipation Same

2

Age of majority Same

3

Use of names and surnames Same

4

Use of titles of nobility Same

5

Absence Same
6

Presumptive death & survivorship Lex fori (Article 43, 390, 391, CC; Rule 131
7 §5 [jj], Rules of Court)

Rules on Marriage as a Contract

FACTUAL SITUATION POINT OF CONTACT

Between Filipinos Lex loci celebrationis is without

Celebrated prejudice to the exceptions under
Articles 25, 35 (1, 4, 5 & 6), 36, 37 & 38
Abroad of the Family Code (bigamous &
incestuous marriages) & consular
marriages

Between Foreigners Lex loci celebrationis EXCEPT if the

marriage is:
1. Highly immoral (like bigamous/
polygamous marriages)
2. Universally considered incestuous
(between brother-sister, and
ascendants-descendants)

Mixed Apply 1 (b) to uphold validity of marriage

Between Foreigners National law (Article 21, FC) PROVIDED

Celebrated the marriage is not highly immoral or
universally considered incestuous)
 Mixed National law of Filipino (otherwise public
in RP policy may be militated against)

Marriage by proxy (NOTE: a marriage Lex loci celebrationis (with prejudice to

by proxy is considered celebrated the foregoing rules)
where the proxy appears

Rules on Marriage as a Status

FACTUAL SITUATION POINT OF CONTACT

Personal rights & obligations between National of husband(Note: Effect of

1 husband & wife subsequent change of nationality:
1. If both will have a new nationality –
the new one
2. If only one will change – the last
common nationality
3. If no common nationality – nationality
of husband at the time of wedding)

Property relations bet husband & wife National law of husband without prejudice
2 to what the CC provides concerning REAL
property located in the RP (Article 80)
(NOTE:  Change of nationality has NO
EFFECT. This is the DOCTRINE OF
IMMUTABILITY IN THE MATRIMONIAL
PROPERTY REGIME)

Rules on Property

FACTUAL SITUATION POINT OF CONTACT

Real property Lex rei sitae (Article 16, CC)

Successional rights National law of decedent (Article 16

Exceptions par. 2, CC)

Capacity to succeed National law of decedent (Article. 1039)

Contracts involving real property which The law intended will be the proper law
do not deal with the title thereto of the contract (lex loci
voluntantis or lex loci intentionis)

Contracts where the real property is
given as security
The principal contract (usually loan) is
governed by the proper law oft the
contract – (lex loci voluntatis or lex loci
intentionis)NOTE:  the mortgage itself is
governed by lex rei sitae.  There is a
possibility that the principal contract is
valid but the mortgage is void; or it may
be the other way around.  If the
principal contract is void, the mortgage
will also be void (for lack of proper
cause or consideration), although by
itself, the mortgage could have been
valid.

Tangible personal property (choses in possession)

In General Lex rei sitae (Article. 16, CC)

1

Exceptions: same as those for real EXCEPTION: same as those for real

property property EXCEPT that in the example
concerning mortgage, the same must be
changed to pledge of personal property)

Means of Transportation
 Vessels Law of the flag (or in some cases, place
2 of registry)

Other means Law of the depot (storage place for

supplies or resting place)

Things in transitu (these things have a

3 changing status because they move)

Loss, destruction, deterioration Law of the destination (Article. 1753,

CC)

Validity & effect of the seizure of the Locus regit actum (where seized) –
goods because said place is their
temporary situs

Disposition or alienage of the goods Lex loci volutantis or lex loci

intentionis – because here there is a
contract

FACTUAL SITUATION POINT OF CONTACT

INTangIBLE PERSONAL PROPERTY (CHOSES IN

ACTION)

Recovery of debts or involuntary assignment Where debtor may be effectively served

1 of debts (garnishment) with summons (usually the domicile)

Voluntary assignment of debts Lex loci voluntatis or lex loci

2 intentionis (proper law of the contract)

Other Theories:
1. National law of the debtor or creditor
2. Domicile of the debtor or creditor
3. Lex loci celebrationis
4. Lex loci solutionis

Taxation of debts Domicile of creditor

3

Administration of debts Lex situs of assets of the debtor (for these

4 assets can be held liable for the debts)

Negotiability or non-negotiability of an The right embodied in the instrument (for

5 instrument example, in the case of a Swedish bill of
exchange, Swedish law determines its
negotiability)

Validity of transfer, delivery or negotiation In general, situs of the instrument at the

6 of the instrument time of transfer, delivery or negotiation

Effect on a corporation of the sale of Law of the place incorporation

7 corporate shares

Effect between the parties of the sale of Lex loci voluntatis or lex loci intentionis
8 corporate shares (proper law of the contract) – for this is
really a contract; usually this is the place
where the certificate is delivered)

Taxation on the dividends of corporate Law of the place of incorporation

9 shares

Taxation on the income from the sale of Law of the place where the sale was
10 corporate shares consummated
 Franchises Law of the place that granted them
11

Goodwill of the business & taxation thereto Law of the place where the business is
12 carried on

Patents, copyrights, trademarks, trade In the absence of a treaty, they are

13 names protected only by the state that granted
themNOTE: foreigners may sue for
infringement of trademarks and trade names
in the RP ONLY IF Filipinos are granted
reciprocal concessions in the state of the
foreigners

Wills, Succession & Administration of Conflict Rules

FACTUAL SITUATION POINT OF CONTACT

Extrinsic Validity of Wills

Made by an alien abroad Lex nationalii OR lex domicilii OR RP law

1 (Article 816, CC), OR lex loci
celebrationis (Article 17(1))

Made by a Filipino abroad Lex nationalii OR lex loci

2 celebrationis (Article 815)

Made by an alien in the RP Lex nationalii OR lex loci

3 celebrationis (Article 817)

FACTUAL SITUATION POINT OF CONTACT

Extrinsic Validity of Joint Wills (made in the same

instrument)

Made by Filipinos abroad Lex nationalii (void, even if valid where

1 made) (Article 819)

Made by aliens abroad Valid if valid according to lex domicilii or lex

2 loci celebrationis (Article 819)

Made by aliens in the RP Lex loci celebrationis therefore void even if

3 apparently allowed by Article 817 because
the prohibition on joint wills is a clear
expression of public policy

Intrinsic Validity of Wills Lex nationalii of the deceased – regardless

of the LOCATION & NATURE of the property
(Article 16 (2))

Capacity to Succeed Lex nationalii of the deceased – not of the

heir (Article 1039)

Revocation of Wills

If done in the RP Lex loci actus (of the revocation) (Article.

1 829)

If done OUTSIDE the RP

2 Lex loci celebrationis (of the making of the
1. By a NON-DOMICILIARY
will, NOT revocation), OR lex
 domicilii (Article 829)

1. By a DOMICILIARY of the RP Lex domicilii (RP law) OR lex loci actus (of

the revocation) (Article 17)

Probate of Wills Made Abroad

If not yet probated abroad Lex fori of the RP applies as to the

1 procedural aspects, i.e., the will must be
fully probated here & due execution must be
shown

If already probated abroad Lex fori of the RP again applies as to the

2 procedural aspects; must also be probated
here, but instead of proving due execution,
generally it is enough to ask for the
enforcement here of the foreign judgment
on the probate abroad

Executors and Administrators

Where appointed Place where domiciled at death or incase of

1 non-domiciliary, where assets are found

Powers Co-extensive with the qualifying of the

2 appointing court – powers may only be
exercised within the territorial jurisdiction
of the court concernedNOTE: these rules
also apply to principal, domiciliary, or
ancillary administrators & receivers even in
non-successive cases

Rules on Obligation and Contracts

FACTUAL SITUATION POINT OF CONTACT

Formal or Extrinsic Validity Lex loci celebrationis (Article 17 {1})

Exceptions
1. Alienation & encumbrance of property Lex situs (Article 16 [1])

1. Consular contracts Law of the RP (if made in RP consulates)

Capacity of Contracting Parties National law (Article 15) without prejudice

to the case of Insular Government v Frank 13
P 236, where the SC adhered to the theory
of lex loci celebrationis

Exception

Alienation & encumbrance of property Lex situs  (Article 16 {1})

Intrinsic validity (including interpretation of the Proper law of the contract – lex
instruments, and amt. of damages for breach) contractus (in the broad sense), meaning
the lex voluntatis or lex loci intentionis

Other Theories are:

1. Lex loci celebrationis (defect: this makes possible the evasion of the national law)
2. Lex nationalii (defect: this may impede commercial transactions)
3. Lex loci solutionis (law of the place of performance) (defect: there may be several places of
performance
4. Prof Minor’s solution:
5. Perfection – lex loci celebrationis
6. Cause or consideration – lex loci considerations
7. Performance – lex loci solutionis (defect: this theory combines the defect of the others)

Rules on Torts
 FACTUAL SITUATION POINT OF CONTACT

Liability & damages for torts in generalNOTE:  Lex loci delicti (law of the place where the
The locus delicti (place of commission of torts)
is faced by the problem of characterization.  In
civil law countries, the locus delicti is
generally where the act began; in common law
countries, it is where the act first became
effective
delict was committed)NOTE:  liability for
foreign torts may be enforced in the RP if:
1. The tort is not penal in character
2. If the enforcement of the tortious
liability won’t contravene our public
policy
3. If our judicial machinery is adequate for
such enforcement

Rules on Crimes

FACTUAL SITUATION POINT OF CONTACT

Essential elements of a crime and penalties Generally where committed (locus regit

actum)

Theories as to what court has jurisdiction:

1. Territoriality theory – where the crime was committed
2. Nationality theory – country which the criminal is citizen or a subject
3. Real theory – any state whose penal code has been violated has jurisdiction, where the crime
was committed inside or outside its territory
4. Protective theory – any state whose national interests may be jeopardized has jurisdiction so
that it may protect itself
5. Cosmopolitan or universality theory – state where the criminal is found or which has his
custody has jurisdiction
6. Passive personality theory – the state of which the victim is a citizen or subject has
jurisdiction

NOTE:  In the RP, we follow the territoriality theory in general; exception: Article 2, RPC,
stresses the protective theory

The locus delicti of certain crimes

Frustrated an consummated, homicide, Where the victim was injured (not where the
1 murder, infanticide & parricide aggressor wielded his weapon)

Attempted homicide, etc. Where the intended victim was (not where
2 the aggressor was situated) – so long as the
weapon or the bullet either touched him or
fell inside the territory where he was

Bigamy Where the illegal marriage was performed

3

Theft & robbery Where the property was unlawfully taken

4 from the victim (not the place to which the
criminal went after the commission of the
crime)

Estafa or swindling thru false representation Where the object of the crime was received
5 (not where the false representations were
made)

Conspiracy to commit treason, rebellion, or Where the conspiracy was formed (not where
6 seditionNOTE: Other conspiracies are NOT the overt act of treason, rebellion or sedition
penalized by our laws was committed)

Libel Where published or circulated

7
 Continuing crime Any place where the offense begins, exists or
8 continues

Complex crime Any place where any of the essential

9 elements of the crime took place

Rules on Juridical Persons

FACTUAL SITUATION POINT OF CONTACT

Corporations

Powers and liabilities General rule: the law of the place of

incorporationEXCEPTIONS:
1. For constitutional purposes – even of
the corporation was incorporated in
the RP, it is nor deemed a Filipino
corporation & therefore can’t acquire
land, exploit our natural resources, 7
operate public utilities unless 60% of
capital if Filipino owned
2. For wartime purposes – we pierce the
corporation veil & go to the
nationality of the controlling
stockholders to determine if the
corporation is an enemy (CONTROL
TEST)

Formation of the corporation (requisites); Law of the place of incorporation

kind of stocks, transfer of stocks to bind the
corporation, issuance, amount & legality &
dividends, powers & duties of members,
stockholders and officers

Validity of corporate acts & contracts Law of the place of incorporation & law of
(including ultra vires acts) the place of performance (the act or
contract must be authorized by BOTH laws)

Right to sue & amenability to court Lex fori

processes & suits against it

Manner & effect of dissolution Law of the place of incorporation provided

that the public policy of the forum is not
militated against

Domicile If not fixed by the law creating or

recognizing the corporation or by any other
provision – the domicile is where it is legal
representation is established or where it
exercises its principal functions (Article. 15)

Receivers (appointment & powers) Principal receiver is appointed by the courts

of the state of incorporation; ancillary
receivers, by the courts of any state where
the corporation has assets (authority is CO-
EXTENSIVE) w/ the authority of the
appointing court

NOTE:  Theories on the personal and/or governing law of corporations:

1. Law of the place of incorporation (this is generally the RP rule)
2. Law of the place or center of management (center for administration or siege social) (center
office principle)
3. Law of the place of exploitation (exploitation centre or siege d’ exploitation)

Partnerships

The existence or non-existence of legal The personal law of the partnership, i.e.,
personality of the firm; the capacity to the law of the place where it was created
 contract; liability of the firm & the partners (Article 15 of the Code of Commerce)
to 3rd persons (Subject to the exceptions given above as in
the case of corps.)

Creation of branches in the RP; validity & RP law (law of the place where branches
effect of the branches’ commercial were created) (Article 15, Code of
transaction; & the jurisdiction of the court Commerce)

Dissolution, winding up, & termination of RP law (Article 15, Code of Commerce)
branches in the RP

Domicile If not fixed by the law creating or

recognizing the partnership or by any other
provision – the domicile is where it is legal
representation is established or where it
exercises its principal functions (Article. 15)

Receivers RP law insofar as the assets in the RP are

concerned can be exercised as such only in
the RP

Foundations (combination of capital independent Personal law of the foundation (place of

of individuals, usually not for profit) principal center of administration)

Reference:

Civil Law (Conflict of Laws) Memory Aid

Ateneo Central Bar Operations 2001

Chapter I and II (and a bit of III):

PRIL notes for November 12
PART ONE: INTRODUCTION
CHAPTER I: SCOPE OF CONFLICT OF LAWS: ITS NATURE, DEFINITION AND IMPORTANCE
1. DIVERSITY OF LAWS AND CUSTOMS
-190 independent and sovereign states, and still growing
-each state have different legal system (own laws, own jurisprudence) influenced by
*religion
*customs
*culture
-with development in transportation and communication, interaction between
nationals of states are increasing
-division of world into many independent states with own laws + occurrence of events
that contains elements significant to more than 1 legal system = conflict of laws
-there were attempts to have a uniform law (by ASEAN) but because of principles of
SOVEREIGNTY and INDEPENDENCE, this may not be achieved
-attempts to have uniform law:
*1928 Sixth International Conference of American States in Havana: on PRIL
*Bustamante Code: uniform provisions on civil law, commercial law, penal law and law
on procedure  (wehe so walang political law and ethics)
*creation of the Inter-American Council of Jurists by OAS in 1948 - but has not achieved
anything concrete
*1951 Hague Convention on PRIL: on family law, succession and products liability (3
lang to ah)
-PRIL confronts not only judges but also administrative agencies
-adoption/incorporation of principles of PRIL in municipal law is based on COMITY
HILTON V. GUYOT
f: 2 cases
CASE 1: Gustave Guyot (liquidator for French firm CHARLES FORTRICH & CO.) sued co-partners
of A.T. STEWART & CO. Henry Hilton and William Libbey (residents of NY) in FRENCH COURT for
amount due to the French firm
Summary
Plaintiff: french
Defendant: american
Forum 1: France
Case2:  Guyot sued Hilton and Libbey in US Circuit Court for the amount due based on the
FRENCH JUDGMENT. US CC held judgment conclusive, entered decree in favor of Guyot W/O
EXAMINING ANEW MERITS OF THE CASE
-Hilton and Libbey now appeals: French courts gives no force and effect to the duly rendered
judgments in US Courts against French citizens SO US courts should also not give force and effect
to French judgments against US citizens
H: for Hilton and Libbey
GR: Law has only effect within territory of state
"No law has any effect, of its own force, beyond the limits of the sovereignty from which its
authority is derived. "
X: if there's comity of nations
"The extent to which the law of one nation, as put in force within its territory, whether by
executive order, by legislative act, or by judicial decree, shall be allowed to operate within the
dominion of another nation,  DEPENDS UPON what our greatest jurists have been content to call
THE COMITY OF NATIONS"
COMITY
-neither a matter of absolute obligation nor mere courtesy and good will
-RECOGNITION WHICH ONE NATION ALLOWS WITHIN ITS TERRITORY
…OF THE LEGISLATIVE
…EXECUTIVE
…OR JUDICIAL ACTS
OF ANOTHER NATION,
HAVING DUE REGARD BOTH TO
...INTERNATIONAL DUTY
…AND CONVENIENCE
AND TO THE RIGHTS OF ITS OWN CITIZENS OR OF OTHER PERSONS WHO ARE UNDER THE
PROTECTION OF ITS LAWS
-application to the case: French only gives prima facie effect (not conclusive) on the judgment of
foreign courts unless that state has treaty with France
-France tries the case anew
-Prima facie evidence yung judgment iff:
*rendered by competent court having jurisdiction over COA and Parties
*upon due allegations and proofs
*opportunity to defend against them
*proceedings are according to course of civilized jurisprudence
*judgment stated in clear and formal record
-judgment may be IMPEACHED if:
*fraud or prejudice
*principles of IL  and COMITY, it should not be given full credit
*it is usual that countries not give conclusive effect on foreign judgments, mere prima facie
effect
DISSENTING: J HARLAN, BREWER AND JACKSON:
-apply res judicata and public policy that there should be end to litigation
2. DEFINITION
3. Part of municipal law which governs cases involving a foreign element
4. MINOR: those universal principles of right and justice which govern the courts of
one state
having before them cases involving
...the operation
...and effect f laws of another state or country
5. CHESIRE: part of law which comes into play
when the issue before the court
AFFECTS SOME FACT OR EVENT OR TRANSACTION
that is SO CLOSELY CONNECTED W/ FOREIGN SYSTEM OF LAW
as to necessitate recourse to that system
6. 2nd ed, American Jurisprudence: part of the law of each state or nation
which determines whether, in dealing w/ a legal situation,
the law of some other state or nation will be
...recognized,
...given effect
...or applied
7. HILTON v. GUYOT: law concerning the rights of persons within the territory and
dominion of one nation, by reason of acts, private or public, done within the dominion
of another nation
8.
PIL vs. PRIL
Category PUBLIC IL PRIVATE il

Applicability of ratione Relationships of states Relationship of individuals in their

personae and ratione among themselves private transactions which involve a
materiae foreign element

Sources of law A38, ICJ Statute: GR: from internal law of each state,
*custom NOT from any international law
*treaties extraneous to municipal law
*GPIL NATIONAL CONFLICT RULES:
*juridical decisions Internal law of each country
*teachings of most
highly qualified X: if conflict governed by treaty
publicists e.g. Hague Convention on the
Conflict of Laws relating to the form
of testamentary dispositions
INTERNATIONAL CONFLICT RULES:
*international conventions
*foreign case law
*commentaries interpreting these
conventions

Persons involved *States *Individuals

*Internationally *Corporations
Recognized
organizations

Transactions governed State to state Private transactions

Government to
government

Remedies *Diplomatic protest *courts

*peaceful means of *admin tribunals
settlement of
international disputes:
>diplomatic
negotiations
>arbitration
>conciliation
*adjudication by filing
case before int'l
tribunals
*war
Municipal law vs. Conflict of Law rules in Municipal law
Municipal law Conflict of Law in ML

No foreign element present Involves foreign element

9. OBJECT, FUNCTION AND SCOPE
Object and Function
-provide rational and valid rules or guidelines in deciding cases where involved relates
to more than one jurisdiction
-protection of rational expectations
-stability and uniformity of solutions
ArtII (2), 1987 CONSTI: Recognize generally accepted principle of IL,
Adhere to the policy of peace, equality, justice, freedom, cooperation and amity with all
nations
SCOPE: almost all subjects
10. Jurisdiction of courts
11. Evidence of proof of foreign law
12. Personal law of individuals and juridical entities
13. Naturalization law
14. Laws on domicile and residence
15. Family relations
16. Contracts
17. Torts
18. Crimes
19. Corpo law
20. Property law
21. International air transport (Warsaw convention)
CHAPTER II: A BRIEF HISTORY AND DEVELOPMENT OF CONFLICT OF LAWS
22. ROMAN LAW ORIGIN
Roman Empire
Ius gentium:
-law of nations in PIL
-governs relations of States
-body of rules developed by the PRAETOR PEREGRINUS to resolve disputes between
Foreigners
Foreigners and Roman Citizens
Ius Civile: applied only to Roman Citizens
Italy
-Italy was divided into many city-states, each have own law - so they have conflicts of
law problems
BARTOLUS (father of conflict of laws): formulated the THEORY OF STATUTES
-the theory of statutes was used by the Italian city-states to resolve conflict of law
issues
STATUTES classification
23. REAL STATUTES (STATUTA REALIA): applied to immovable property w/n the state
24. PERSONAL STATUTES (STATUTA PERSONALIA): followed persons even outside his
domicile, governed all questions concerning
…personal status
…capacity
…movables
25. MIXED STATUTES (STATUTA MIXTA): on contracts - depend on where entered
16th century France
CHARLES DUMOULIN: method to determine what law would govern CONTRACTS
BETWEEN DIFFERENT NATIONALS
BERTRAND D'ARGENTE: PRINCIPLE OF UNIVERSAL SUCCESSION
Netherlands
BURGUDNOU, RODENBERG, ULRICH HUBER (first used CONFLICT OF LAWS): State was
under no obligation to apply foreign law UNLESS imposed by
…treaty
…COMITAS GENTIUM (Comity of Nations?)
…on consideration of courtesy and expediency
JOHN VOET: no statue, real, personal or mixed, can act by itself beyond the territory of
the legislator nor can it have any effect elsewhere against the will of the legislator of
another state
-Territorial Principle:
GR: laws of every state may operate ONLY WITHIN THE TERRITORIAL LIMIT OF SUCH
STATE
X: may recognize laws of another country PROVIDED that it will not prejudice the
subjects of the sovereign whose recognition is sought
*Comitas Gentium (Comity of Nations) approach readily accepted
-most trans-jurisdictional disputes to be resolved by the application of IUS GENTIUM or
IUS COMMUNE
Ius Commne: supranational law based on Roman Law, became continental European
Common Law
-nations began codifying their national laws to include conflict of laws provisions:
*Bavarian Code: theory of statutes
*Prussian Code: theory of efficacy of contracts
*French Civil Code: pattern for Civil Codes of Spain, Belgium, and Romania: nationality
principle
-adopted by RP: ART15, NCC
J. JOSEPTH STORY: Commentaries on the Conflict of Laws - territorial theory/comitas
gentium approach
-territorial sovereignty, founded conflict of laws on the principle of comity of nations
-adopted by JOSEPH BEALE, American Restatement of Conflict of
Laws, developed territorial "VESTED RIGHTS" school of thought
FREDERICH CARL VON SAVIGNY: System of Modern Law - Situs theory
-advocated historical school of jurisprudence
-applicationof foreign law was not due to comity BUT the resultant benefits for
everyone concerned
-founder of MODERN PRIL
-theory of situs/seat of legal relationship: every element of a transaction be governed
by the law of the place with which said element has the most substantive connection
PASCUALE MANICINI: Nationality as the Basis of Law of Nations- nationality
theory(sortof Mixed statute)
-nationality theory on
Status
Capacity
Private interests of the individual
-NEW THEORY OF PRIL
26. MODRN DEVELOPMENTS
*Neostatutists: when two or more independent laws are applicable to a conflict of laws
problem, the method so devised determines what law shall prevail
*Internationalists: there should be a single body of rules that can solve problems
involving foreign element
*Territorialists: law of the State applied to persons and things within the State, no
foreign law should be applied
-branch: only rights vested or acquired under a foreign law are recognized but not the
foreign law itself
*2nd Restatement, William Reese: the law to be applied in a conflict of laws case is the
law of the most significant relationship
*CAVERS, CURRIE AND EHRENZWEIG: policy-centered approaches
Conflict of Laws in RP
-only when RP became sovereign state
In NCC
Art15: nationality principle
Art. 15.  Laws relating to
*family rights and duties,
*or to the status,
*condition and
*legal capacity of persons are
binding upon citizens of the Philippines, even though living
abroad. (9a)
Art16(1): lex situs rule - from Art10 of Spanish CC
Art. 16.  Real property as well as personal property is subject to the
law of the country where it is stipulated.
Art 16(2): universal successsion -from Art11 of Spanish Civil Code
However, intestate and testamentary successions, both with respect
to the order of succession and to the amount of successional rights
and to the intrinsic validity of testamentary provisions, shall be
regulated by the national law of the person whose succession is under
consideration, whatever may be the nature of the property and
regardless of the country wherein said property may be found. (10a)
Art17(1): lex loci contractus -from Art11 of Spanish Civil Code
*no significant jurisprudence on PRIL in RP
Art. 17.  The forms and solemnities of contracts, wills, and other
public instruments shall be governed by the laws of the country in
which they are executed.
When the acts referred to are executed before the diplomatic or
consular officials of the Republic of the Philippines in a foreign
country, the solemnities established by Philippine laws shall be
observed in their execution.
Prohibitive laws concerning persons, their acts or property, and
those which have, for their object, public order, public policy and
good customs shall not be rendered ineffective by laws or judgments
promulgated, or by determinations or conventions agreed upon in a
foreign country. (11a)
Art. 18.  In matters which are governed by the Code of Commerce and
special laws, their deficiency shall be supplied by the provisions of
this Code. (16a)
-in Law School:
*PRIL included in Curriculum at start of Law school (1911)
*PRIL included under Civil Law in Bar exams
*more transactions involving Filipinos abroad, increasing application of PRIL in the
Philippines
CHAPTER III: SOURCES OF CONFLICTS OF LAWS
27. CODES AND STATUTES
-Conflict of Laws from Continental Europe - codified - so Civil Codes are primary sources
of Conflict of Laws rules
-principle of ius gentium: codified in Roman Codes
-rule on Personal law: Code of Napoleon, followed by
*Codes of Netherlands
*Romania
*Italy
*Portugal
*Spain
…
In RP
Spanish Civil Code of 1888: enforced in RP Dec7, 1889 until August 30, 1950
-Conflict of laws provisions adopted by RP NCC
Code of Commerce of Spain: foreign transactions provisions - also enforced in Dec1,
1888
New:
1987 Consti: Nationality, Comity
Special Statutes:
28. Corporation Code
29. General Banking Act
30. Act Instituting Foreign Currency System in the Philippines
31. Philippine Foreign Law Guarantee Corporation
32. Act Regulating Retail Business
33. Anti-Dummy Law
34. Nationalization of the Rice and Corn Industry
35. Insurance Code
36. Protection of Intellectual Property
37. Patent Law
38. Tradesmark Law
39. COGSA
40. Salvage Law
41. Public Service Act
42. Civil Aeronautics Act
43. Philippine Overseas Shipping Act
44. Investment Incentives Act
45. Export Incentives Act
46. RA 7722 liberalizing entry of foreign banks in the Philippines
47. TREATIES AND INTERNATIONAL CONVENTIONS
1.  Convention on International Civil Aviation
2. Convention for the Unification of Certain Rules relating to international
Carriage by Air - Warsaw Convention
3. Convention on Offenses Committed on Board Aircraft
4. Convention for Suppression of Unlawful Acts against the Safety of Civil
Aviation
5. UN COGSA
6. Convention on the Consent to Marriage, Minimum Age for Marriage and
Registration of Marriages
7. Convention on Traffic of Person
8. Convention on the Elimination of All Forms of Discrimination Against Women
(CEDAW)
9. Convention on Political Rights of Women
10. International Convention for the Suppression of the Traffic in Women and
Children
 11. Convention for the Suppression of the Traffic in Persons and of the
Exploitation of the Prostitution of Others
12. Convention Establishing the World Intellectual Property Organization
13. Berne Conventions for the Protection of Literary and Artistic Works
14. Convention for the Protection of Industrial Property
15. Paris Convention for the Protection of Industrial Property
16. Hague Conventions on PRIL:
…personal status
…patrimonial family status
…patrimonial status such as agency and trusts
1. Convention on Recognition of Foreign Judgment on Civil and Commercial
matters
2. Convention in Respect of Inter Country Adoption
48. TREATIESES, COMMENTARES AND STUDIES OF LEARNED SOCIETIES
European
Ulrich Huber, De Conflicto Legum Diversarum in Diversia Impecis
Mareas (di ba Manresa?), Comentarios al Codigo Civil Espanol
FK von Savigny, System des Beutigen Romishcen Rights, english translation by Guthrie
Andrei Weiss, Traite Theorique et Pratique de Droit International Prive
American and English
JH Beale, Conflict of Laws
DF Cavers, The Choice of Law Process
E. Cheatham, Cases and Materials on Conflict of Laws
B. Currie, Selected Essays on the Conflict of Laws
A. Ehrenzweig, A Treatise on the Conflict of Laws
HF Goodrich, Conflict of Laws
AK Kuhn, Commentarieson PRIL
A Gussbaum, Principles of PRIL
E Rabel, The Conflict of Laws
J Story, Commentaries on the Conflict of Laws
F Wharton, Treatiese on the Conflict of Laws
GC Chesire, Private International Law
RH Graveson, Conflict of laws
American Institute
Restatement of the Conflicts of Laws
Second Restatement
49. JUDICIAL DECISIONS
Graveson: this branch of law is more completely judge-made than almost any other
PART TWO: JURISDICTION AND CHOICE OF LAW
CHAPTER IV: JURISDICTION
Judicial Jurisdiction: power or authority of a court to
...try a case
…render judgment
…and execute it in accordance with law
Legislative jurisdiction: ability of the state to
…promulgate laws
…enforce them
On all persons and property within its territory
Four major questions:
50. Has the court JURISDICTION OVER PERSON OF DEFENDANT OR HIS PROPERTY
51. Has the court JURISDICTION OVER THE SUBJECT MATTER/competency
52. Has the suit been brought in the PROPER VENUE in cases where a foreign element
is involved
53. Is there a STATUTE OR DOCTRINE under which a court otherwise qualified to try
the case may or may not refuse to entertain it (FORUM NON CONVENIENS)
54. BASIS OF EXERCISE OF JUDICIAL JURISDICTION
55. Jurisdiciton over the person (FORUM-DEFENDANT CONTACTS)
56. Jurisdiction over the res (FORUM-PROPERTY CONTACTS)
57. Jurisdiction over the subject-matter
NOTE: Forum = place where the judicial jurisdiction is sought to be exercised
Notes from CIVPRO LEONEN
Venue (R4) Summons (R14)
Real Actions: action affecting title to or possession of real Action in Rem: Actions, the judgment of which affects the
property or any interest therein whole world.

Personal Actions: all other actions Action in Personam: Actions, the judgment of which affects
only the parties to the action
HOW SERVED
Action in personam Action in rem

Natural persons 1. personal service 1. personal service (see left)

-defendant who may be: -deliver summons + copy of complaint to 2. substituted service
1. defendant defendant 3. extraterritorial service
2. prisoner -tender summons + copy of complaint -only for the following situations: actions
3. entity w/o juridical 2. substituted service involve
personality -only resorted to when: a. personal status of plaintiff
4. minors and a. justifiable causes b. relates to, or the subject of w/c, is
incompetents b. cannot serve defendant w/n reasonable property w/n RP in w/c defendant has claim
5. resident temporarily out time or lien, actual or contingent
of RP c. all reasonable diligent efforts have been c. relief demanded consists of excluding the
6. defendant cannot be exerted defendant from any interest in the property in
found + does not reside in -HOW: leave copies at RP
RP *defendant’s residence: person then d. property of defendant in RP attached w/n
7. defendant unknown residing therein w/sufficient age and RP
discretion
*OR office/regular place of business:
person in charge thereof

FOR 7 (unknown defendant)

-w/leave of court, service by publication in
a newspaper of general circulation
FOR 5 and 6 – extraterritorial service
-w/leave of court
1. personal service outside RP
2. by publication + send through
registered mail to the last known address
the copy of the summons
3. any manner the court deems sufficient

Juridical persons

1. DOMESTIC CORP (corporations,
partnership, association organized
under RP Laws)
1. personal service on (6 persons only – list Service by publication?
exclusive): Extraterritorial? But domestic nga
a. President eh so din a sha nonresident+not
b. GM found in RP
c. Managing Partner
d. Corporate Secretary
e. Corporate Treasurer
f. In house counsel
- no substituted service!

2. FPJE Personal service ON (successive) Extraterritorial service

1. resident agent
designated in accordance w/law
2. government official
designated by law
3. any of the officers or
agents w/n RP

3. Public Corp RP: Solgen Hmmm…

LGU: executive head, other officer/s as law
or court may direct

Notes from CIVPRO AVENA

Nature of Actions
1. As to SUBJECT MATTER
Real Action Action brought for the protection of real rights, land, tenements or
hereditaments or one founded on privity of estate only (accion
reivindicatoria)

Personal Action which is not founded upon privity of real rights or real property
Action (action for a sum of money)

Mixed Actions brought for protection or recovery of real property and also for
Action award for damages sustained.
Hernandez v. Rural Bank of Lucena
Personal Action – action against personal property
Real Action – action on real property
Action in Personam – action against a person
Action in Rem – action against a thing.   
2. As to their BINDING EFFECT
Action in One which is not directed only against a particular persons but against
Rem the thing itself and the object of which is to bar indifferently all who
 might be minded to make an objection against the right sought to be
enforced (judgment which is binding to the whole world)

Action in One which is directed against particular persons on the basis of their
Personam personal liability to establish a claim against them and the judgment
wherein is binding only upon the parties impleaded or their successors
in interest

Action One directed against particular persons but the purpose of which is to
Quasi in bar and bind not only said persons but any other person who claims any
Rem interest in the property or right subject of the suit.
De Midgely v. Ferandos
A quasi in rem action is an action between parties where the direct object is to reach
and dispose of property owned by them or some interest therein. Jurisdiction was
acquired because it was a quasi in rem action, where jurisdiction over the person is
not required and where the service of summons is required only for the purpose of
complying with the requirement of due process.
58. JURISDICTION OVER THE PERSON (in personam Jurisdiction)
Generally
1. Voluntary appearance
2. Submission to authority
OVER THE PERSON OF THE PLAINTIFF
-when plaintiff invokes the aid of the court by filling a suit
OVER THE PERSON OF THE DEFENDANT
1. Enters appearance
GR: appearance of defendant or lawyer - gives consent for the forum's exercise of
jurisdiction over him
X: Special appearance for the purpose of protesting the jurisdiction of the court
1. If non-resident who is initially the plaintiff: if counterclaim filed against
him, he is already deemed to be under the court's exercise of jurisdiction
1. Served with the legal process within the state: SERVICE OF SUMMONS
(RULE 14, ROC)
Section 6: PERSONAL SERVICE
-handing him a copy
-tendering him a copy if he refuses
Section 7: Substituted Service
-for justifiable causes, defendant cannot be served w/n reasonable time personally
a. Residence: with some person of SUITABLE AGE and DISCRETION THEN RESIDING
THEREIN b. OFFICE/ REGULAR PLACE OF BUSINESS: competent person in charge thereof
Section 12: Service upon Foreign Private Juridical Entity (FPJE)
Defendant: foreign Private Juridical Entity
-transacted business in RP
How Service made:
a. on RESIDENT AGENT designated in accordance with law for that purpose
b. if NO AGENT:
i. on government official designated by law to that effect
Ii. On any of its officers or agents within the Philippines
Section 15. Extraterritorial Service
Defendant:
1. Does not reside + not found in RP
2. Action affects the personal status of plaintiff 
3. Relates to, or the subject of which is, property within the Philippines in which
the defendant has or claims a lien or interest, actual or contingent
4. Or in which the relief demanded consists, wholly or in part, in excluding the
defendant from any interest therein
5. Or the property of the defendant has been attached within the Philippines
How service:
-with leave of court
1. Personal service
2. By publication in a newspaper of general circulation in such places and for
such time as the court may order + copy of summons and order sent thru
registered mail to last known address
3. In any other manner the court may deem sufficient
…
WILLIAM GEMPERLE V. HELEN SCHENKER
F:
Case 1: Helen Schenker, representing her husband Paul Schenker, filed with CFI of Rizal a
complaint vs. William Gemperle
COA: enforcement of Schenker's initial subscription to shares of stock in Philippine-Swiss Trading
Co, Inc.
-allegations published
Case2: William Gemperle vs. Paul Schenker
COA: damages? For publishing allegations which were irrelevant and immaterial to Case 1, with
the only purpose of attacking his honesty, integrity, and reputation and of bringing him into
public hatred, discredit…as a business man
SERVICE OF SUMMONS: Done through wife of Paul, HELEN SCHENKER
I: WON the court acquired jurisdiction over the person of the defendant Paul Schenker, through
the service of summons to HELEN SCHENKER
Gemperle's arguments: Voluntary appearance on part of Schenker
- not special appearance, already filed answer without contesting court's jurisdiction
-Schenker even filed counterclaim 
H:
ON Alleged voluntary appearance: none
59. The Answer contained affirmative defenses, including lack of jurisdiction over the person
of Paul Schenker
60. Counterclaim was filed by HELEN SCHENKER ONLY, not by PAUL SCHENKER
BUT COURT COULD STILL EXERCISE JURISDICTION over Paul Schenker BECAUSE OF THE SERVICE
OF SUMMONS TO MRS. HELEN SCHENKER
-Helen Schenker (as derived from the answer) was the REPRESENTATIVE AND ATTY IN FACT OF
PAUL SCHENKER
-had authority to sue, and be sued
61. JURISDICTION OVER THE PROPERTY (in rem jurisdiction)
62. Seizure of property under a legal process
63. Institution of legal proceedings wherein the court's power over the property is
recognized and made effective
-situs could bind the world, not just the interest of specific persons
-basis of exercise of jurisdiction: presence of the property within the territorial
jurisdiction of the forum
e.g. forfeiture of tangible property, registration of land title
Quasi In rem:
-based on state's physical power over the property found within its territory BUT affects
only interests of particular persons in that thing
e.g. action to quiet title to property: the claimant's title to the property in question is
superior to others
In Proceedings IN REM and QUASI IN REM: as long as there is adequate notice +
opportunity to be heard, okay na! this can be done through publication
PENNOYER V. NEFF
F:
Case 1:
Plaintiff: Mitchell Pennoyer? (from Oregon)
Forum: Oregon
Defendant: Neff, from California
Service of Summons: by PUBLICATION in an OREGON Newspaper
COA: for payment of $300 attorney's fees
-for execution of judgment, Pennoyer was awarded in public sale the land of Neff located in
Oregon
Case 2: Neff vs. Pennoyer
COA: for recovery of Neff's land from Pennoyer, illegality of public sale: no jurisdiction over
defendant so void judgment in Case 1
HELD: For Neff - case 1 judgment VOID because no jurisdiction over him
*Judgments in Personam - dapat personal service or substituted service (in RP ROC)
-if service by publication + defendant non resident + publication in place where nonresident
could not see the publication = fraud and oppression
Actions in Personam: object of the action is to determine the personal rights and obligations of
the defendants
-if non resident: process from the tribunals of one state CANNOT run into another state, and
summon parties there domiciled to leave its territory and respond to proceedings against them.
Nor can Publication.
*pede Substituted service by publication IFF (proceedings in rem)
64. Property is once brought under the control of the court by seizure or some equivalent act
to any proceedings authorized by law upon such seizure for its condemnation and sale
65. Object of the action is to reach and dispose of the property in the State or of some
interest therein, by enforcing a contract or a lien respecting the same
66. Or to partition the property in the state among different owners
67. When the public is a party, to condemn and appropriate it for a public purpose
*no jurisdiction over non-resident defendants when these non-resident defendants have no
property within the territory of the forum
*jurisdiction of the court to inquire into and determine the obligations of the non-resident is
only incidental to its jurisdiction over the property and its jurisdiction cannot be made to depend
upon facts to be ascertained after it has tried the cause and rendered the judgment.
***if the judgment is previously void (no jurisdiction over the person of the non-resident
defendant), it will not become valid by the subsequent discovery of the property of the
nonresident defendant or by his subsequent acquisition of it - or else, judgment would occupy a
doubtful position of being void or valid depending on the presence of property of the
nonresident defendant in the forum's territory
INTERNATIONAL SHOE CO. VS. WASHINGTON
Facts:
COA: International Shoe Company being assessed taxes by Washington State for employing
salesmen in Washington
Parties: International shoe Company is
-principal place of business: Missouri
-maintains places of business in other states aside from Washington
-no office in Washington, but they hired 11-13 salesmen under direct supervision and control of
sales managers based in Missouri
-these salesmen were not authorized to contract in Washington: they can only exhibit their
samples and solicit orders; approval of the transaction, shipping of transaction, invoice of
shipment were all made outside Washington
SERVICE: gave summons to agents + mailed it through registered mail at home office in Missouri
Washington SC:
the regular and systematic solicitation of orders in the state by International shoe's Salesmen
+ additional activities of its agents:
…display of samples sometimes in permanent display rooms
...salesmen's residence in Washington
= resulted in the CONTITUOUS FLOW OF ITS PRODUCTS INTO WASHINGTON, SUFFICIENT TO
CONSTITUTE DOING BUSINESS IN THE STATE so as to make International Shoe amenable to suits
before Washington Courts
HELD: Washington can impose taxes on International Shoe
-Before; Judgment in personam: grounded on de facto power over defendant's person -
presence within territorial jurisdiction of a court was prerequisite to its rendition of a judgment
personally binding him [Pennoyer vs. Neff]
-now: capias ad respondendum gave way to personal service of summons or other form of
notice, OKAY NA IF DEFENDANT SHOULD HAVE CERTAIN MINIMUM CONTACTS WITH THE
FORUM SUCH THAT THE MAINTENANCE OF THE SUIT DOES NOT OFFEND "TRADITIONAL
NOTIONSO F FAIR PALY AND SUBSTANTIAL JUSTICE [Milliken v. Meyer]
-PRESENCE OF A CORPORATION (CORPORATE PERSONALITY IS A FICTION): its presence without,
as well as within a state of its origin can be manifested ONLY BY ACTIVITIES carried on in its
behalf by those who are authorized to act for it
-present/presence symbolize those activities of the corporation's agents within the state which
courts will deem to be sufficient to satisfy the demands of due process
-if ACTIVITIES
...continuous
…systematic
…also gives rise to the liabilities sued
EVEN if NO CONSENT TO BE SUED or NO AUTHORIZATION to an agent to accept service of
process…
casual presence of the corporate agent or even his conduct of single or isolated items of
activities NOT ENOUGH TO SUBJECT THE NON-RESIDENT CORPORATION TO SUIT ON CAUSES OF
ACTION NOT CONNECTED WITH ITS ACTIVITIES
Vs.
If Continuous corporate operations - even if COA entirely distinct from activities, pede
It is enough that  appellant (non-resident corporation - FPJE) has established such contacts with
the state that the particular form of substituted service adopted there gives reasonable
assurance that the notice will be actual.
Ma'am: this approach of minimum contacts and fundamental fairness demands that
there be forum-transaction contacts that will make it fundamentally fair to require the
defendant to defend a suit in the forum regardless of his nonresident status
MULLANE V. CENTRAL HANOVER BANK AND TRUST CO., TRUSTEE, ET.AL
FACTS:
Defendant: Central Hanover Bank
-a trust company IN NY
-had exclusive control and management of trust funds established y it under NY Banking Law
Plaintiffs: some are nonresidents of NY
COA: for judicial settlement of assets - binding on everyone
SERVICE: publication in NY, pursuant to law (even if the bank had the addresses of the
beneficiaries in its books!)
Forum: NY
ISSUE: WON the judgment in NY court binds non-residents who are beneficiaries of the common
fund maintained by Central Hanover Bank which it wanted to settle
HELD: NY Banking Law violates DUE PROCESS so VOID - NY Judgment not binding
STANDARD FOR ADEQUATE NOTICE:  the means employed must be such as one desirous
of actually informing the absentee might reasonably adopt to accomplish it. The reasonableness
and constitutional validity of any chosen method may be defended on the ground that it is in
itself reasonably certain to inform those affected
Here: Bank had names, addresses of the beneficiaries of its trusts so Notice by Publication is not
enough: Where the names and post office addresses of those affected by a proceeding are at
hand, the reasons disappear for resort to means less likely than the mails to apprise them of its
pendency
MA'AM: ADEQUATE NOTICE STANDARD
SHAFFER V. HEITNER
Plaintiff: Heitner (non resident of Delaware)
Defendants: Officers of Greyhound and Greyhound (Greyhound incorporated in Delaware BUT
the officers are nonresidents of Delaware)
COA: violation of the officers of duties, resulting to criminal and civil antitrust liabilities
RELIEF: motion for an order of sequestration of shares of Greyhound stocks belonging to the
officers (none of the certificates of stocks were in Delaware)
Forum: Delaware (because it was Greyhound's state of incorporation)
SERVICE: Certified mail to last known address + publication in newspaper
Delaware for Heitner so Officers appealed
ISSUE: WON there was sufficient contacts of the Officers of the Greyhound in Delaware to justify
the exercise of Delaware Courts of jurisdiction over person of defendant officers
HELD: NO. Being mere officers is not sufficient minimum contact
*Officer's holdings in Greyhound do not provide contacts with Delaware sufficient to support the
jurisdiction of Delaware Courts because property is NOT THE SUBJECT MATTER OF LITIGATION
(not action in rem)
-Heitner used International Shoe vs. Washington to say that the officers should be liable for their
minimum contacts in Delaware + Delaware Corporation Law
COURT: Delaware law bases jurisdiction not on the officers status as corporate fiduciaries, BUT
ON THE PRESENCE of their PROPERTY in the state (here, none). The law does not concern
sequestration. And sequestration relevant only if the nonresident defendants have property in
Delaware.
*there is no necessary relationship between holding a position as a corporate fiduciary and
owning stock or other interests in the corporation.
*the Officers-appellants, who are not required to acquire interest in Greyhound in order to hold
their positions, did not by acquiring those interests, surrender their rights to be brought to
judgment only in states with which they had "Minimum Contacts:
MA'AM:  US SC defined the outer reaches of permissible exercise of judicial jurisdiction when it
held that MINIMUM CONTACTS AND FUNDAMENTAL FAIRNESS TEST SHOLD BE SATISFIED
REGARDLESS OF WHETHER THE PROCEEDINGS ARE IN REM, QUASI IN REM OR IN PERSONAM. 
Note that Shaffer demands that minimum contacts exist among the forum, defendant AND THE
COA. In INTERNATIONAL SHOE, all that was required was minimum contact between defendant
and forum.
Long arm statutes
-specify the kind of contacts upon which jurisdiction will be asserted by a sate
e.g.     Commission of tortuous acts w/n the state
Celebration of a contract there
Presence of property owned by defendant
*if these or other minimum contacts exists, the court can exercise jurisdiction because
it has a justified interest in providing the plaintiff with a forum, no fundamental
unfairness results
-if long-arm statute broad, as long as it doesn't conflict with Consti, courts now have
discretion to define on a case-to-case basis
68. JURISDICTION OVER THE SUBJECT MATTER (competence)
-conferred by law or consti
-based on the nature of the controversy
-it is necessary that said power to try be properly invoked…by filing a petition
-cannot be conferred by consent of parties: decision is void if court exceeds its
jurisdiction and power in rendering it
IDONAH PERKINS V. ROXAS
FACTS:
CFI case:
Original Action: Eugene Perkins vs. Benguet Consolidated Mining Co. (BCMC) for
recovery of dividends payable to him, which was withheld by company
BCMC (answer?): they withheld the payment because of adverse claims by Idonah
Perkins (yes, his wife) and George Engelhard.
Amended Complaint: impleaded Idonah and George (both nonresidents)
Service: summons by publication
Idonah's ANSWER w/ cross complaint: NY judgment adjudged her the sole owner of
said shares claimed by Eugene
-alleged that NY Judgment is res judicata on all questions constituting the subject
matter of the case
ISSUE: WON CFI had jurisdiction over the subject matter of case
HELD: YES. CFI had jurisdiction to determine if NY Judgment is indeed res judicata
JURISDICTION OVER SUBJECT MATTER:
the nature of the cause of action
and of the relief sought,
conferred by the sovereign authority which organizes the court,
and is to be sought for in
general nature of its powers,
or in authority specially conferred
Here:
Eugene's prayes is for
69. BCMC to recognize him as the owner of the shares of stocks
70. That Idonah and George be declared to have no claim on the stocks
71. That Eugene be awarded costs of sutit
>>>Eugene's action is for ADJUDICATION OF TITLE TO CERTAIN SHARES OF STOCKS OF
BCMC AND THE GRANTING OF AFFIRMATIVE RELIEFS = w/n CFI's jurisdiction
Idonah's prayer:
For recogition of NY judgment + issue execution = also w/n CFI's jurisdiction
On fear of Idonah that NY judgment be annuled…
COURT: it is a question that goes to the merits of the controversy and relates to the
rights of the parties as between each other, and NOT TO THE JURISDICTION OR POWER
OF THE COURT
*TEST OF JURISDICTION: WON the tribunal has the power to enter upon the inquiry,
NOT Whether its conclusion in the course of it is right or wrong
72. WAYS OF DEALING WITH CONFLICTS PROBLEM
73. DISMISS CASE
Doctrine of Forum non conveniens
-courts may decline to try the case on the ground that the controversy may be more
suitably tried elsewhere
-literal  interpretation: forum is inconvenient
*Usual grounds when this was used by the court:
74. When plaintiff made the choice of the forum primarily to harass defendant by
inflicting upon him unnecessary expense and hardship in pursuing the remedy
75. Where  non-resident plaintiff chose the forum because he felt that the jury
verdicts were larger than in other for a
76. When such was
77. ASSUME JURISDICTION