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Topic Conflicts TopicsConflictOfLaws




The Harmonized Acts do not offer direct guidance on which state's laws should govern such a dispute, which has frequently led to confusion.

Implicitly, § 501 states that "[a] transferable interest is personal property", and for personal property the conflict of law pointer is usually to the state of the debtor's residence. The D/M's frequently attempt to apply the law of the entity's jurisdiction formation on some ground or another, almost always unsuccessfully, but these attempts waste the resources of the court and the parties. Thus, it would be preferable to amend § 503 to expressly state a clear and unequivocal conflict of law rule.


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