Duhaime's Law Dictionary


Lex Loci Contractus Definition:

Latin: the law of the place where the contract is made.

Related Terms: Conflict of Laws, Lex Loci, Lex Fori, Locus Regit Actum, Locus, Contract

A maxim for resolving conflicts of law.

Not readily accepted in the common law but well-entrenched in the civil law.

James Ballentine's law dictionary (1969):

"Lex lcus contractus : The law of the place of the contract."

Dicey, Morris and Collins on The Conflict of Laws (2006):

"Lex loci contractus - law of the country where a contract is made."

In General Telephone Companyof the Southeast v Trimm, Justice Weltner of the Supreme Court of Georgia adopted these words:

"Under the (lex loci contractus) approach, contracts are to be governed as to their nature, validity, and interpretation by the law of the place where they were made, except where it appears from the contract itself that it is to be performed in a State other than that in which it was made, in which case, the laws of that sister State will be applied. In order to determine where a contract was made, the court must determine where the last act essential to the completion of the contract was done."

In Pritchard v Norton, Justice Matthews of the United States Supreme Court adopted this summary of the law as to conflict of laws and their resolutions, circa 1882:

"Obligations in respect to the mode of their solemnization are subject to the rule locus regit actum; in respect to their interpretation, to the lex loci contractus; in respect to the mode of their performance, to the law of the place of their performance.

"But the lex fori determines when and how such laws, when foreign, are to be adopted, and, in all cases not specified above, supplies the applicatory law."

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