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49. Will State C's choice of law rules be applied to the suit?
A couple who lived on the coast of State A purchased a vacation home in the mountains of State B. The couple purchased the home from a recent widow who permanently lived in State C. The widow had also used the home in State B as primarily a vacation property. However, without her husband, she was no longer able to maintain the property. The couple drove out to State C, to the widow's home, to sign the contract for the sale of the property in State B. After the documents were signed, the widow changed her mind and refused to give up the property. The couple brought a lawsuit against the widow to enforce their rights.
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Usually, the choice of law rules of the state would then direct the forum court to apply its own local law (i.e., the law of the state) in resolving the issue. In this case, the forum court would apply State B's choice of law rules because it is the state where the property is located. State B's choice of law rules would then likely direct the forum court to apply State B law.
A is incorrect. A party's domicile is irrelevant for determining which set of choice of law rules a court should apply.
B is incorrect. Even though the contract was signed in State C, the contract created rights for transferring an interest of property located in State B. Therefore, State B's choice of law rules should apply.
C is incorrect. As explained above, domicile is not relevant to answering this question.