What is the role of the Erie Doctrine when applied to a case in Federal Court under the rules of diversity?

what is the role of the Erie Doctrine when applied to a case in Federal Court under the rules of diversity


what are the elements of diversityWhat is the role of the Erie Doctrine when applied to a case in Federal Court under the rules of diversity?
The Eric Doctrine says that a federal court in diversity jurisdiction must apply state substantive law, which basically means that when a federal court hears a diversity case, it must apply state common law when deciding state law issues, NOT FEDERAL laws, in adjudicating the case.





This prevents federal courts from ignoring state law and case precedents and making new law in a state. So, if the law in your state is you get two apples for every orange, and someone from a another states sues you in your state in federal court on this issue, the federal court has to honor your state law and give you two apples for every orange.