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Q: What was the rule of decision as to which a conflict existed?

A: In Erie, the SC decided there was no constitutional basis for Swift
v. Tyson, where federal courts sitting in diversity cases fashioned a
general common law independently of the law of the states in which they
sat.  The Court overruled Swift, holding that a federal court in NY
could no longer apply a "general" tort rule to govern a railroad
accident in Pennsylvania to produce a different result than would be
reached under the law that a New York Court would apply.

T. Tiu