Philippine Conflict of Laws

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    CONFLICT OF LAWS

    (Private International Law)

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    DEFINITION

    “Private International Law” or “Conflict

    of Laws” is that part of the law of each

    State which determines whether in dealing

    with a factual situation involving a foreign

    element, the law or judgment of some

    other State will be recognized or applied in

    the forum.

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    WAS OF DISPOSIN! CONFLICTS

    CASES

    dismiss the case, either because of lack of

     jurisdiction or refusal to assume jurisdiction

    assume jurisdiction and apply the internal

    law of the forum (lex forum)

    assume jurisdiction and take into account

    and apply the law of another State

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    A" #$ris%iction

    udicial jurisdiction! the legal authority of

    the State to exercise authority, through its

    courts and agencies to hear and

    adjudicate cases

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    T&'es of #$%icial #$ris%iction". urisdiction over the S#

    $. %ersonal urisdiction

    &. urisdiction over the res

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    #$ris%iction over te S* the power to hear

    and determine cases of the general class to

    which the proceedings in 'uestion belong and is

    conferred by the sovereign authority whichorganizes the court and defines its powers

    Personal +$ris%iction! the competence of

    the court to render a decision that will bindthe parties to a suit.

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    ,ases of 'ersonal +$ris%iction". presence$. domicile

    &. residence. nationality*. consent+. appearance in an action. doing business in a State-. an act done in the State

    . causing an effect in the State by an act doneelsewhere

    "/.ownership, use or possession of a thing in the State"".other relationships to the State which make the

    exercise of judicial jurisdiction reasonable

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    urisdiction over person of the plaintiff!

    ac'uired from the moment he invokes theaid of the court

    urisdiction over the person of thedefendant! ac'uired thru voluntary

    appearance, personal or substituted

    service of summons

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    #$ris%iction over te res* or over the

    particular matter in controversy, regardless

    of the persons who may be interestedtherein.  0ction in rem! purpose of the suit is 123 to

    impose personal liability but to 044563 interests

    of 077 persons in a thing. 8uasi in rem! purpose is neither to impose a

    personal liability or obligation upon anyone, nor

    to affect the interest of all persons in a thing butto 044563 the interests of %093:6;709

    persons in a thing.

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    is necessary so as

    not to offend due process) (Int’l Shoe Co. v. State

    of Washington) :n Sum 0 State does not have jurisdiction in the

    absence of some reasonable basis for exercising

    it. 3o be reasonable, the jurisdiction must be

    based on some minimum contacts that will notoffend due process.

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    Te 'rinci'le of forum non conveniens

    ?ere, the court has jurisdiction but it refuses toexercise the same because of any of the

    following reasons". belief that the matter can be tried and decidedelsewhere either because the main aspects of thecase transpired in a foreign jurisdiction or thematerial witnesses have their residence there

    $. the belief that the non!resident plaintiff sought theforum merely to secure procedural advantages orto annoy or harass the defendant

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    &. unwillingness to extend local judicial facilities to

    non!residents or aliens when the docket may already

    be overcrowded@

    . the inade'uacy of the local judicial machinery

    for effectuating the right sought to be maintained@ and

    *. the difficulty of ascertaining the foreign law.

    (Gulf Oil Corp. v. Gilbert )

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    Ahat constitutes a =most convenient

    forum>B

    Tree factors ave to -e consi%ere%.

    ". whether the forum is one to which theparties may conveniently resort

    $. whether it is in a position to make anintelligent decision as to the law and thefacts

    &. whether it has or is likely to have powerto enforce its decision (=principle ofeffectiveness>).

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    ," A''lication of Internal or Do/estic

    Law

    3here are three groups of instances when theforum has to apply the internal or domestic law

    ". where application of the domestic law is

    decreed (eg. 7aws on property@ hereditarysuccession)

    $. where there is failure to plead and proveforeign law

    &. where a case involves any of the exceptions toapplication of foreign law.

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    ?ow to prove foreign lawB

    :f written it may be evidenced by an official

    publication thereof or by a copy attested to by the

    officer having the legal custody of the record andmust be accompanied by a certificate that such

    officer has the custody. 6ertificate may be made

    by the Secretary of the 5mbassy, legation or

    consulate, consul!general, consul, vice consuland has to be authenticated by the seal of his

    office.

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    0ow to 'rove forei1n law2

    :f unwritten must be proved by expert

    testimony or by printed and published

    books or reports of decisions of the

    country involved, if proved to be commonly

    admitted in such courts.

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    5xceptions to the application of foreign

    law

    ".when the enforcement of foreign law wouldrun counter to an important public policy ofthe forum@

    $.where the application of foreign law wouldinfringe on good morality as understood inthe forum@

    &.when the foreign law is procedural innature@

    .where the 'uestion involves immovableproperty in the forum@

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    5xceptions to the application of foreign

    law

    *. where the foreign law is fiscal oradministrative in nature@

    +. where the application of foreign lawwould involve injustice or injury to thepeople of the forum@

    . where the application of foreign lawwould endanger the vital interests of theState

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    C" A''lication of Forei1n Law.

    Teories on te Coice of law

    3" Co/it&* courtesy of one State towards

    another. sometimes called the principle of reciprocity

    doctrine of retaliation reciprocity employedwith a note of vengeance (this was also applied

    in the ?ilton case because the court said that

    the court in the ;S need not give the judgment

    rendered by the 4rench court conclusive effectbecause there was no reciprocity on the part of

    4rance)

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    Hilton v. Guyot 

    =6omity, in the legal sense, is neither a matter ofabsolute obligation on the one hand, nor of mere

    courtesy and goodwill, upon the other.

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    4" Protection of veste% ri1ts teor&  the function of 6onflict of laws is to give effect to rights

    ac'uired under the proper foreign law, and not toenforce foreign law.

    MacDonald v. Railway 

    =Ahen a right is claimed upon acts occurring in anothercountry, courts look to the law of the country, not toextend the binding force of a foreign law beyond the

    territorial limits of the sovereignty to which it belongsC Itis not the foreign law but the rights acquired under itwhich are enforced by the courts in another country.>

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    Loucks v. Standards Oil Company of Nework =0 foreign statute is not law in this state, but itgives rise to an obligation, which, if transitory,Dfollows the person and may be enforcedwherever the person may be found.E 1o law canexist as such except the law of the land@ but it isa principle of every civilized law that vested rights

    shall be protected.>

    (;175SS the enforcement of the right is contraryto public policy)

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    6" o%ern teories.

    a) 3he law of the #ost Significant 9elationship3heory

    ! the location of one single most significant factor inan event or transaction should identify the State orterritorial jurisdiction whose law should govern thetransaction.

    e.g.". land 'uestions were to be governed by the law ofthe place where the land is located

    $. tort 'uestions by the law of the place of wrong

    &. procedural 'uestions by the law of the forum

    . contract 'uestions by the law of the place wherethe contract was made

    b) State!interest theory

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    c) %rinciple of %reference

    ! choice of law should not be the result of the

    automatic operation of a rule or principle of

    selection but of a search for a =just decision>d) 4unctional 0pproach

    ! the approach aims at solutions that are =the

    rational elaboration and application of thepolicies and purposes underlying specific legal

    rules and the legal system as a whole.>

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    e) 6hoice!influencing considerations

    ! 4ive

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    f) 6omparative 0pproach

    g) 6onvenient 4orum 3heory

    ! forum non conveniens

    h) ?armony of 3reatment and ;niformity of 9esult3heory

    ! e'ual justice under the law re'uires the decisionbe the same wherever the claim is brought. 0

    conflict problem should receive the sametreatment and disposition wherever the forummay happen to be.

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    II" Ascertain/ent an% Proof of Forei1n

    Law

    0ow is te forei1n law 'rove%2

    ;nder %hilippine procedural rules, a distinction is drawnbetween written and unwritten law.

    Written law may be evidenced by an official publicationthereof or by a copy attested by the officer having the legal

    custody of the record, or by his deputy, and must beaccompanied with a certificate that such officer has custody.3he certificate may be made by a secretary of embassy orlegation, consul general, consul, vice!consul, or consular agentor by any officer in the foreign service of the %hilippinesstationed in the foreign country in which the record is kept, and

    authenticated by the seal of his office.

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    !illiamette "ron and Steel !orks v.

    Mu##al 

    Foes not exclude the presentation of other

    competent evidence to prove the existence

    of a foreign law.

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    7nwritten law

    Ahere the foreign law sought to be proved

    is =unwritten>, the oral testimony of expert

    witnesses is admissible, as are printed and

    published books of reports of decisions of

    the courts of the country concerned if

    proved to be commonly admitted in suchcourts.

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    6.5xceptions to the 0pplication of 4oreign

    7aw

    %ome Insurance Co. v. &ic'  3he S6 of the ;S held that it is a violation of due process

    for a State to strike down a defense under a foreign lawas being contrary to its public policy if the State has noreasonable relationship to the transaction and theparties.". where the enforcement of foreign law would run counter

    to some important public policy of the forum$. when its application would lead to an infringement of

    good morality in the wider sense of the term, as

    understood in the forum@

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    &. when the foreign law is penal in nature

    . when the foreign law is procedural in nature

    *. when the 'uestion relates to immovable

    property in the forum+. when the foreign law is fiscal or administrative

    in nature. when the application of foreign law would

    endanger the foreign relations or vital interestsof the State

    (1235 exceptions are not mutually exclusive)

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    :::. 1ature of 6onflict 9ules and the

    %roblem of 6haracterization

    A" Nat$re of conflict r$les

    ?ave $ parts

    4actual 9elationship (factual events andoperative facts)

    6onnecting factor or point of contact (e.g.

    situs of the res, place of performance,

    place of wrongdoing)

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    E8a/'les of tese “'oints of contacts”

    ". 3he nationality of a person, his domicile, hisresidence, his place of sojourn, or his origin

    $. 3he seat of a legal or juridical person, such as acorporation

    &. 3he situs of the thing

    . locus actus, the place where the act was done

    *. the place where an act is intended to come intoeffect (e.g. place of performance of contractualduties)

    +. lex loci intentionis (intention of the contractingparties)

    . lex fori (place where the judicial or administrativeproceedings are instituted)

    -. the flag of the ship (nationality of ships)

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    6. 3he problem of characterization

    =6haracterization> or ='ualification> or

    =classification> is the process of assigning

    a disputed 'uestion to its correct legal

    category.

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    3hree stages in characterization

    ". problem of classification! determine firstwhether the 'uestion relates to contracts, torts,

    property, succession, etc. who will determine thisB the forum State

    $. characterization of the =point of contact> (forumState)

    &. extent of the application or the =delimitation> ofthe law that is chosen as applicable to theconflicts case.

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    :H. Specific 6onflicts %oints of 6ontact

    A" Nationalit&

    ". Fetermination of 1ationality

    3he ?ague 6onvention of "&/ on 6onflict of

    1ationality 7aws laid down $ important rules onthis point". :t is for the municipal laws of each State to determine

    who are the nationals of each State@

    $.  0ny 'uestion as to whether a person possesses thenationality of a particular State shall be determined in

    accordance with the laws of that State.

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    $. 0c'uisition and 7oss of 1ationality

    o%es of Ac9$irin1 nationalit&.".

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    Nationalit& is lost -& an& of te followin1/o%es.

    ". 9elease (Iermany allows its citizens to ask for

    release from their nationality)$. Feprivation (States may deprive their citizens of

    nationality upon entry into the military service ofa foreign power)

    &. 5xpiration (may become the result of prolongedstay abroad without any indication of a desire toreturn)

    . Fenunciation (a person repudiates hisnationality in favor of another)

    *. Substitution (lost of nationality ipso facto bynaturalization)

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    &.Fual or #ultiple 1ationality

    ! arises because of

    a) the concurrent application of jus soli and jus sanguini at birth@ or 

    b) from the refusal of certain States to accepta full application of the doctrine ofexpatriation@ or 

    c) marriage@ or d) as a result of some formal and voluntary

    act

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    :n cases where a person is a national of two or

    more countries but litigation arises in a third

    country, the law most consistently applied is that

    of the country of which the person is not only anational but where he also has his domicile or

    habitual residence, or in the absence thereof, his

    residence.

    link is used.

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    .Stateless %ersons

    6onvention 9elating to the Status of

    Stateless %ersons! contracting parties

    shall as far as possible facilitate the

    assimilation and naturalizationproceedings and to reduce as far as

    possible the charges and cost of such

    proceedings.

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    *. States with composite system of law

    $ kinds of composite law

    a) the composite law on personal basis (e.g.

    determined by religion, class or race, such

    as :ndia, where there are different law for

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    +.0liens married to 4ilipinos

    #oy (u )im (ao vs. Commissioner of Immigration*o. )+,-,/0 October 10 -/2-0 1- SC3! ,/,"

    ?eld that an alien woman who marries a 4ilipinocitizen ipso facto becomes a 4ilipino provided

    she is not dis'ualified to be a citizen of the%hilippines under Section , 6ommonwealth 0ct1o. &, and reiterated the rule that Ja judicialdeclaration that the person is a 4ilipino citizencannot be made in a petition for naturalizationand that, in this jurisdiction there can be noindependent action for the judicial declaration ofcitizenship of an individual.J

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    Wat is te 'roce%$re ten2 :n #oy (a )im (ao (" S690 $$!&--) the 6ourt adverted

    to the administrative procedure which up to the present isfollowed in the 6ommission of :mmigration andFeportation. 3he steps to be taken by an alien womanmarried to a 4ilipino for the cancellation of her aliencertificate of registration are embodied in 2pinion 1o. &-,series of "*- of then 0cting Secretary of ustice esus I.

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    . Aho are citizens of the %hilippinesB

     093:675 :H

    6itizenship

    S563:21 ".3he following are citizens of the %hilippines

    (") 3hose who are citizens of the %hilippines at the time

    of the adoption of this 6onstitution@($) 3hose whose fathers or mothers are citizens of the

    %hilippines@

    (&) 3hose born before anuary ", "&, of 4ilipino

    mothers, who elect %hilippine citizenship upon reachingthe age of majority@ and

    () 3hose who are naturalized in accordance with law.

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    S563:21 $. 1atural!born citizens are those whoare citizens of the %hilippines from birth withouthaving to perform any act to ac'uire or perfect their%hilippine citizenship. 3hose who elect %hilippinecitizenship in accordance with paragraph (&), Section" hereof shall be deemed natural!born citizens.

    S563:21 &. %hilippine citizenship may be lost orreac'uired in the manner provided by law.

    S563:21 . 6itizens of the %hilippines who marryaliens shall retain their citizenship, unless by their actor omission they are deemed, under the law, to haverenounced it.

    S563:21 *. Fual allegiance of citizens is inimical

    to the national interest and shall be dealt with by law.

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    95%;

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    90 $$* (cont.)

    S563:21 .Ferivative 6itizenship. G 3he

    unmarried child, whether legitimate,

    illegitimate or adopted, below eighteen ("-)

    years of age, of those who re!ac'uire

    %hilippine citizenship upon effectivity of

    this 0ct shall be deemed citizens of the%hilippines.

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    Fomicile v. 9esidence

    4ytengsu v. 3epublic =3here is a difference between domicile and residence.D9esidenceE is used to indicate a place of abode, whetherpermanent or temporary@ DdomicileE denotes a fixed,permanent residence, to which, when absent, one has the

    intention of returning. 0 man may have a residence in oneplace and a domicile in another. 9esidence is not domicile,but domicile is residence coupled with the intention toremain for an unlimited time. 0 man may have one domicilefor one and the same purpose at any time, but he may havenumerous places of residence. ?is place of residencegenerally is his place of domicile, but is not by any meansnecessarily so, since no length of residence withoutintention of remaining will constitute domicile.>

    1ote our naturalization laws use the terms

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    1ote our naturalization laws use the termsinterchangeably

    ,asic 'rinci'les of Do/icile

    ". 1o natural person can ever be without adomicile. (how about those with no permanentresidenceB 0pply =domicile of origin>

    $.  0 person cannot have two simultaneous

    domiciles.&. 5very natural person, as long as he is free andsui juris, may change his domicile at pleasure.

    .  0 domicile once ac'uired is retained unless anew one is gained.

    *. 3he presumption is in favor of the continuanceof an existing domicile.

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    7egal 6lassification of Fomicile

    ". Fomicile of origin

    $. 6onstructive domicile

    &. Fomicile of choice

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    Fomicile of origin! domicile of a personEs

    parents at the time of his birth #inors! follow the domicile of the father@ in

    case of death of father, domicile of mother 

    6 t ti d i il (d i ili

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    6onstructive domicile! (domiciliumnecessarium) is that domicile established bylaw after birth in case of persons under legal

    disability regardless of their intention orvoluntary act.

    Fistinguished from domicile by origin 6F is assigned after birth, while F2 is established at the

    moment of birth@

    6F is assigned to persons under legal disabilities,including infants, while F2 only to infants@

    Ahile there can only be one F2, 6F may be changedfrom one place to another@

    F2 is less easily abandoned and more easily reverts.

    #arried women! follows domicile of the husband@ incase of death of husband, retains that domicile unlessshe changes it.

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    Fomicile of choice! place voluntarily

    chosen by a person sui

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    6. 9envoi

    =referring back>

    Aays of dealing with the renvoi problem

    ". 3he reference made by the State 0 conflicts laws to thelaws of State < is confined exclusively to =internal law>.

    3his is usually called =re+ectin1 te renvoi>$. 9eference is to State < law in its entirety (including its

    conflicts laws) 3his is usually called =acce'tin1 terenvoi>.

    &.  =$t$al %isclai/er of +$ris%iction> theory! State 0 lawwill refer to State

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    Trans/ission* reference across (e.g.

    reference to a third state)

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    F.%ersonal Status and 6apacity

    %ersonal Status! the legal position of an

    individual in a society

    6apacity! his power to ac'uire and

    exercise rights

    %hili i 6 fli t 9 l % l

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    %hilippine 6onflicts 9ule on %ersonal

    Status and 6apacity

     0"*, 66

    7aws relating to family rights and duties, or

    to the status, condition and legal capacity

    of persons are binding upon citizens of the%hilippines even though living abroad.

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    6apacity

    I9

    6apacity to enter contracts! le= loci

    contractus

    6apacity to enter contracts involving

    immovables! le= loci situs

    < t di ti ti h ld b d

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    E"arria1e an% DivorceFor/al :ali%it&

    )ocus regit actum! the place governs the act. 0", 66

    3he forms and solemnities of contracts, wills, and otherpublic instruments, shall be governed by the laws of

    the country in which they are executed. 0$+, 46

     0ll marriages solemnized outside the %hilippines, inaccordance with the laws in force in the country where

    they are solemnized, and valid as such, shall also bevalid in this country, except those prohibited under 0rticles &*("), (), (*), and (+), &+, & and &-.

    S$-stantive :ali%it&

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    S$-stantive :ali%it&  0$, 46

    1o marriage shall be valid, unless these

    essential re'uisites are present". legal capacity of the contracting parties who must be a

    male and a female@ and$. consent freely given in the presence of a solemnizing

    officer.

     0$+, 46 0ll marriages solemnized outside the%hilippines, in accordance with the laws in forcein the country where they are solemnized, andvalid as such, shall also be valid in this country,except those prohibited under 0rticles &*("), (),(*), and (+), &+, & and &-.

    #arriages that are void even when valid under foreign laws

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    #arriages that are void even when valid under foreign laws  093:675 &*.3he following marriages shall be void from

    the beginning(") 3hose contracted by any party below eighteen years

    of age even with the consent of parents or guardians@() 3hose bigamous or polygamous marriages not

    falling under 0rticle "@

    (*) 3hose contracted through mistake of one contracting

    party as to the identity of the other@ and(+) 3hose subse'uent marriages that are void under

     0rticle *&.  093:675 &+.0 marriage contracted by any party who, at

    the time of the celebration, was psychologically

    incapacitated to comply with the essential maritalobligations of marriage, shall likewise be void even ifsuch incapacity becomes manifest only after itssolemnization. (0s amended by Sec. $, 5.2. 1o. $$,uly ", "-)

    093:675 &. #arriages between the following are incestuous and

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     093:675 &. #arriages between the following are incestuous andvoid from the beginning, whether the relationship between the partiesbe legitimate or illegitimate

    (")

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    Fivorce

    $nd par., 0$+, 46

    =Ahere a marriage between a 4ilipino

    citizen and a foreigner is validly celebratedand a divorce is thereafter validly obtainedabroad by the alien spouse capacitatinghim or her to remarry, the 4ilipino spouseshall likewise have capacity to remarryunder %hilippine law.>

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    F"Contracts

    4ormalities

    6apacity

    5ssential or intrinsic validity

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    5ssential or intrinsic validity

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    5ssential or intrinsic validity

    1o provision in the 6ivil 6ode with

    reference to essential or intrinsic validity ofcontracts in general.

    ;sually, in contracts, they already provide

    a provision on applicable law. :n theabsence of this provision, the applicable

    law is the law of the country that has the

    most significant relationship to the

    transaction and the parties.

    5nforcement of 4oreign 6ontract 6laims

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    5nforcement of 4oreign 6ontract 6laims Sec. -, 9ule &, 926

    >ffect of ?oreign 8udgments or ?inal Orders

    3he effect of a judgment or final order of a tribunal of aforeign country, having jurisdiction to render the judgmentor final order, is as follows

    ". :n case of a judgment or final order upon a specific thing,the judgment or final order is conclusive upon the title of

    the thing@$. :n case of a judgment or final order against a person, the judgment or final order is presumptive evidence of a rightas between the parties and their successor!in!interest bya subse'uent title.

    :n either case, the judgment or final order may berepelled by evidence of want of jurisdiction, want ofnotice to the party, collusion, fraud, or clear mistake oflaw or fact.

    ;"A" (0lternative Fispute 9esolution 0ct)

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    ( p )

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    S563:21 &. 9ecognition and 5nforcement of 4oreign 0rbitral 0wards 1ot 6overed by the 1ew Lork6onvention. G 3he recognition and enforcement offoreign arbitral awards not covered by the 1ew Lork

    6onvention shall be done in accordance with proceduralrules to be promulgated by the Supreme 6ourt. 3he6ourt may, on grounds of comity and reciprocity,recognize and enforce a non!convention award as aconvention award.

    S563:21 . 4oreign 0rbitral 0ward 1ot 4oreignudgment. G 0 foreign arbitral award when confirmed bya court of a foreign country, shall be recognized andenforced as a foreign arbitral award and not as a

     judgment of a foreign court. 0 foreign arbitral award, when confirmed by the 9egional3rial 6ourt, shall be enforced in the same manner as finaland executory decisions of courts of law of the%hilippines.

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    S563:21 *. 9ejection of a 4oreign 0rbitral 0ward. G 0 party to a foreign arbitration

    proceeding may oppose an application for

    recognition and enforcement of the arbitral award

    in accordance with the procedural rules to be

    promulgated by the Supreme 6ourt only on those

    grounds enumerated under 0rticle H of the 1ew

    Lork 6onvention. 0ny other ground raised shallbe disregarded by the 9egional 3rial 6ourt.

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    !" Torts an% Cri/es

    I9 )e= loci delicti commissi 1ote that tort gives rise to personal actions and

    under Sec. $, 9ule of 926

    @enue of personal actions 0ll other actions may be commenced and triedwhere the plaintiff or any of the principal plaintiffsresides, or where the defendant or any of the

    principal defendants resides, or in case of a non!resident defendant where he may be found at theelection of the plaintiff.

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    6riminal 7iability

    )e= loci delicti 

    6rimes are territorial in nature that is why

    you can only get relief in the courts of the

    State where they were committed.

    5xceptions

    3hose recognized in :nternational 7aw

    (e.g. universal crimes)

    0 ,$siness Cor'orations Forei1n Invest/ents

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    0" ,$siness Cor'orations? Forei1n Invest/ents

    an% $ltinational Enter'rises

    1ationality

    ". place of incorporation

    $. stockholders

    &. principal place of business

    ;P Law.

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    I9 0dheres to place of incorporation rule5xceptions 6onstitutional provisions imposingnationality re'uirements

     0rticle N::, "- 6onstitutionS563:21 "". 1o franchise, certificate, or any other form ofauthorization for the operation of a public utility shall be grantedexcept to citizens of the %hilippines or to corporations or associationsorganized under the laws of the %hilippines at least sixty per centumof whose capital is owned by such citizens, nor shall such franchise,

    certificate, or authorization be exclusive in character or for a longerperiod than fifty years. 1either shall any such franchise or right begranted except under the condition that it shall be subject toamendment, alteration, or repeal by the 6ongress when the commongood so re'uires. 3he State shall encourage e'uity participation inpublic utilities by the general public. 3he participation of foreigninvestors in the governing body of any public utility enterprise shallbe limited to their proportionate share in its capital, and all theexecutive and managing officers of such corporation or associationmust be citizens of the %hilippines.

    urisdiction over corporations

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    urisdiction over corporations

    Sec. "$, 9ule ", 926

    Service upon foreign private

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    I" Pro'ert&

    I//ova-lesI9 )e= situs rule5xceptions

    ". $nd par. 0"+, 66 ?owever, intestate andtestamentary successions both with respect tothe order of succession and to the amount ofsuccessional rights and to the intrinsic validity oftestamentary provisions, shall be regulated by

    the national law of the person whose successionis under consideration, whatever may be thenature of the property and regardless of thecountry wherein said property may be found.

    $. Ahere the 'uestion at issue is not the effect of the

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    'transaction upon the title to the land, but the rights andliabilities of the parties between themselves (inter se)as a matter of contractual obligation, though the subjectmatter is land, the governing law is the law thatregulates the contract as a whole.

    &. Ahile as a rule, the le= rei sitae determines the validityand effect of a mortgage or lien on the land, the validity

    and effect of the obligation which the encumbrancessecure are determined by principles applicable tocontracts generally.

    . Ahile the validity of the transfer of land must, as a rule,be determined by the le= rei sitae, the validity of the

    contract to transfer is determined by the proper law ofthe contract.

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    #ovables

    #obilia personam sequuntur+ follows the

    owner 

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    #" S$ccession

    ;nitary system v. Split or scission system

    ;nitary! universal succession

    Split! makes a distinction between

    immovables and chattels

    9% ;nitary system

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    9% ;nitary system

    $nd par. 0"+, 66 ?owever, intestate and

    testamentary successions both withrespect to the order of succession and tothe amount of successional rights and tothe intrinsic validity of testamentary

    provisions, shall be regulated by thenational law of the person whosesuccession is under consideration,whatever may be the nature of the property

    and regardless of the country wherein saidproperty may be found.

    3hus national law of decedent

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    3hus, national law of decedent

    determines

    ". the order of succession$. the amount of successional rights and

    &. the intrinsic validity of testamentary

    provisions,

    .  0"/&, 6apacity to succeed is

    determined by the national law of the

    decedent.