Controlling law - sustany/dvg GitHub Wiki

Controlling law refers to the laws of the state which will be relied upon in judging disputes. Because states have widely different substantive laws, determining which body of law is controlling is often dispositive of the case. The term controlling law is most frequently seen in contracts.�

The controlling body of law is either the law of the state in which the court sits, or the law as determined by any conflict of law rules that state may have. As a result, including a forum selection clause�within a contract, which determines the jurisdiction in which a potential lawsuit can be brought, can function as selecting controlling law.�

Furthermore,�parties�often include a�choice of law clause�that will determine the controlling law before a�dispute�can even arise. That way, a party doesn�t have to pay expensive fees to sue the other party in a�jurisdiction�that is far from their�residence. Moreover, some states are more lenient than others in certain areas of law.�

For example, Connecticut and Iowa have very insurance-friendly laws. As a result, many insurance companies choose to relocate there to increase the odds that Connecticut or Iowa law is controlling in any major dispute.