SONNY VU v. RSI RACING SOLUTIONS INC (2025)

ORDER

In this diversity case, Sonny Vu sued RSI Racing Solutions, Inc., for breach of contract, unjust enrichment, and breach of the implied covenant of good faith and fair dealing. Dkt. 5. Vu moved for a default judgment. Dkt. 14. The court needs more information before it can rule on that motion.

A federal court sitting in diversity applies the conflict-of-laws rule of the State in which it sits. Klaxon v. Stentor Elec. Mfg. Co., 313 U.S. 487, 496 (1941). Texas, where this court sits, has adopted the “most significant relationship” approach, in which “the law of the state with the most significant relationship to the particular substantive issue” controls unless, in a contract dispute, the contract includes a valid choice-of-law clause. Mitchell v. Lone Star Ammunition, Inc., 913 F.2d 242, 249 (5th Cir. 1990). Vu did not attach a copy of the contract to his complaint or his motion, and he did not plead the existence or non-existence of a choice-of-law clause in that contract. Nor did he plead facts sufficient for the court to determine which State has the most significant relationship to the other state-law claims. The court therefore cannot determine whether he is entitled to a default judgment.

It is ORDERED that, within 21 days of the docketing of this order, Vu file a copy of the executed contract that he alleges RSI breached and an advisory setting out facts to demonstrate which State's law applies to each claim.

So ORDERED and SIGNED this 25th day of February, 2025.

Bill Davis United States Magistrate Judge