United States v. Yazell (1965)

Docket
10
Decided
1965-01-01
Category
General

Summary

Question: Does Federal or local Texas law apply to the loan? Conclusion: Texas law. In a 6-3 decision, Justice Abe Fortas wrote for the majority holding that there was no overwhelming federal interest. The Government had voluntarily negotiated the contract knowing of the references to Texas law. The Court also noted there was no federal law, regulation, or contractual provision that allowed for application of federal law in this case. Justice John M. Harlan wrote a special concurrence stating that Texas law applied whether the contract referred to Texas law or not because the state interest in family property arrangement was greater than the federal interest. Justice Hugo L. Black wrote a dissent stating that federal law should apply because the loan was from the federal government and is, therefore, a federal matter.

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