Baker v. General Motors Corp., 522 U.S. 222, 12 (1998)

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Cite as: 522 U. S. 222 (1998)

Opinion of the Court

Petroleum Co. v. Shutts, 472 U. S. 797, 818-819 (1985). Regarding judgments, however, the full faith and credit obligation is exacting. A final judgment in one State, if rendered by a court with adjudicatory authority over the subject matter and persons governed by the judgment, qualifies for recognition throughout the land. For claim and issue preclusion (res judicata) purposes,5 in other words, the judgment of the rendering State gains nationwide force. See, e. g., Matsushita Elec. Industrial Co. v. Epstein, 516 U. S. 367, 373 (1996); Kremer v. Chemical Constr. Corp., 456 U. S. 461, 485 (1982); see also Reese & Johnson, The Scope of Full Faith and Credit to Judgments, 49 Colum. L. Rev. 153 (1949).

A court may be guided by the forum State's "public policy" in determining the law applicable to a controversy. See Nevada v. Hall, 440 U. S. 410, 421-424 (1979).6 But our decisions support no roving "public policy exception" to the full faith and credit due judgments. See Estin, 334 U. S., at 546 (Full Faith and Credit Clause "ordered submission . . . even to hostile policies reflected in the judgment of another State, because the practical operation of the federal system, which the Constitution designed, demanded it."); Fauntleroy v. Lum, 210 U. S. 230, 237 (1908) ( judgment of Missouri court

5 "Res judicata" is the term traditionally used to describe two discrete effects: (1) what we now call claim preclusion (a valid final adjudication of a claim precludes a second action on that claim or any part of it), see Restatement (Second) of Judgments §§ 17-19 (1982); and (2) issue preclusion, long called "collateral estoppel" (an issue of fact or law, actually litigated and resolved by a valid final judgment, binds the parties in a subsequent action, whether on the same or a different claim), see id., § 27. On use of the plain English terms claim and issue preclusion in lieu of res judicata and collateral estoppel, see Migra v. Warren City School Dist. Bd. of Ed., 465 U. S. 75, 77, n. 1 (1984).

6 See also Paulsen & Sovern, "Public Policy" in the Conflict of Laws, 56 Colum. L. Rev. 969, 980-981 (1956) (noting traditional but dubious use of the term "public policy" to obscure "an assertion of the forum's right to have its [own] law applied to the [controversy] because of the forum's relationship to it").

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