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Hoeller v. Riverside Resort Hotel5/21/1991
s of Braun ostensibly applied the Restatement's analysis in reaching its conclusion, the court's opinion all but ignored the policies of Idaho as the forum state and the state of the plaintiffs' residence and focused almost exclusively on the anti-liability policy of Nevada. The court reasoned that although the accident involved only Idaho residents and occurred in Idaho, Nevada law should apply because the allegedly negligent acts were committed solely in Nevada by a casino there. " o impose liability based upon Idaho standards would result in an extra-territorial application of Idaho's negligence laws to businesses and activities which, by Nevada standards, are not subject to civil liability." Id. at 800, 702 P.2d at 838.
We agree instead with the dissent in Braun which argued that "the most significant relationship test as enunciated in Restatement (Second) of The Conflict of Laws (1968)" should apply. Id. at 801, 702 P.2d at 839.
The Court of Appeals' analysis of the principles of Section 6 of the Restatement indicates that on the whole the interests of Idaho, the forum state, are better served by application of Idaho law. While Nevada has an interest in protecting the economic interests of its business owners, this casino advertises and caters in large part to residents of Idaho. Its owner is surely aware that patrons leaving his establishment will be operating motor vehicles in Idaho and will be subject to Idaho law.
Similarly, the Court of Appeals determined on consideration of the Restatement, Section 145, contacts to be taken into account that Idaho contacts were more significant than Nevada's. The accident and deaths occurred in Idaho between Idaho residents. The conduct allegedly causing the accident occurred in the casino in Nevada, but with results that could predictably affect subsequent actions of a motorist in Idaho. Again, it is most significant that Idaho patrons constitute a substantial portion of Cactus Pete's customers -- many of whom are known to immediately drive northward after consuming the libations served by Cactus Pete's.
Id.
After considering all of the applicable factors listed in Restatement § 6(2), we conclude on balance that Arizona, not Nevada, has the "most significant relationship" to the occurrence and the parties with respect to the issue of tavern-owner liability in this case. Pursuant to Restatement §§ 145 and 146, the trial court therefore should apply Arizona law with respect to that issue on remand.
We hereby reverse and remand this matter for proceedings consistent with this opinion.
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