When there is more than one state, or more than one jurisdiction (state court, federal court) with a significant relationship to the parties and circumstances involved in a lawsuit or dispute, the question may arise as to which state or jurisdiction’s laws will govern the lawsuit or dispute. The body of law that determines what law governs a dispute is called conflict of laws and consists of legal principles courts use to determine which state or jurisdiction’s law applies—unless the parties to a dispute have agreed (usually in a contract) on what law will apply.
In Nebraska, as in other states, the issue of which jurisdiction's laws apply to a lawsuit or dispute is governed by the principles of conflict of laws, also known as choice of law rules. These rules are designed to resolve questions of which state or jurisdiction's substantive law should be applied when there are competing interests. Nebraska courts will consider various factors, such as the connection of the parties to the states involved, the nature of the dispute, the location of the subject matter, and the place of the transaction or occurrence that gave rise to the dispute. If the parties have a valid contract that includes a choice of law provision, Nebraska courts will generally honor such agreements, unless the chosen law violates a fundamental policy of the state. In the absence of such an agreement, Nebraska courts will apply conflict of laws principles to determine the most appropriate jurisdiction's laws to apply, taking into account the interests of justice and the relevant connections to the dispute.