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Erie In Balance-Will Equity Tip The Scale?

University of Richmond Law Review

A significant consequence of a federal system of government is that its court system derives its law from both state and national sources. The effective resolution of the inevitable conflicts within that system is made increasingly important by the dramatic increase in interstate travel and commercial activity with the logical effect of increasing federal jurisdiction based upon diversity of citizenship. It is essential that litigants take note of a significant change in the federal court's approach to the rules applicable in diversity actions and modify their own judicial strategy accordingly.