Opinion ID: 387302
Heading Depth: 3
Heading Rank: 1

Heading: Public Policy and Choice of Law

Text: 34 In opposition to the summary judgment, plaintiff relies upon the California rule that a choice-of-law provision will be ignored to the extent necessary to preserve California's public policy. See part II, supra. From California's willingness to ignore choice-of-law agreements, plaintiff attempts to derive the broader rule that the state will disregard the foreign law designated under its governmental interest analysis when application of that law would violate California's public policy. 35 Plaintiff has not cited a single case which supports this broader rule. We are obligated to follow California's choice-of-law rules. Sarlot-Kantarjian v. First Pennsylvania Mortgage Trust, supra, 599 F.2d at 917. When we confront a situation not yet met by the California Supreme Court, we must fashion the rule we believe that court would follow were it confronted with a similar situation. Takahashi v. Loomis Armored Car Service, 625 F.2d 314, 316 (9th Cir. 1980). 36 Application of plaintiff's suggested rule to the present case would have the effect of imposing California's public policy on litigants and events having no substantial contact with the state. Adoption of the principle would mean that no party to a contract in any of the 50 states could be certain that his bargain would be enforceable. If minimum contact with California existed, a party could be made to answer a complaint filed in California. Under the rule argued for, every allocation of risk between the contracting parties would have to withstand scrutiny under the public policy dictates of California. In reviewing the claim that summary judgment was improper because the contract exculpated Boeing from liability due to violations of law and fraud, we adhere to the California choice-of-law rules outlined in part II of this opinion.