LEX LOCI CONTRACTUS
(bouvier) | LEX LOCI CONTRACTUS, contracts. The law of the place where an agreement is
made.
2. Generally, the validity of a contract is to be decided by the law of
the place where, the contract is made; if valid, there it is, in general,
valid everywhere. Story, Confl. of Laws, Sec. 242, and the cases there
cited. And vice versa if void or illegal there, it is generally void
everywhere. Id Sec. 243; 2 Kent Com. 457; 4 M. R. 584; 7 M. R. 213; 11 M. R.
730; 12 M. R. 475; 1 N. S. 202; 5 N. S. 585; 6 N. S. 76; 6 L. R. 676; 6 N.
S. 631; 4 Blackf. R. 89.
3. There is an exception to the rule as to the universal validity of
contracts. The comity of nations, by virtue of which such contracts derive
their force in foreign countries, cannot prevail in cases where it violates
the law of our own country, the law of nature, or the law of God. 2 Barn. &
Cresw. 448, 471. And a further exception may be mentioned, namely, that no
nation will regard or enforce the revenue laws of another country. Cas.
Temp. 85, 89, 194.
4. When the contract is entered into in one place, to be executed in
another, there are two loci contractus; the locus celebrate contractus, and
the locus solutionis; the former governs in everything which relates to the
mode of construing the contract, the meaning to be attached to the
expressions, and the nature and validity of the engagement; but the latter
governs the performance of the agreement. 8 N. S. 34. Vide 15 Serg. & Rawle
84; 2 Mass. R. 88; 1 Nott & M'Cord, 173; 2 Harr. & Johns. 193, 221; 2 N. H.
Rep. 42; 5 Id. 401; 2 John. Cas. 355; 5 Pardes. n. 1482; Bac. Abr. Bail in
Civil Causes, B 5; Com. Dig. 545, n.; 1 Supp. to Ves. jr. 270; 8 Ves. 198; 5
Ves. 750.
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