How a Governing Instrument Selects Its Own Rules
Estate planning documents often involve people and property in more than one state. For example, a person might live in Arizona and own a vacation home in another state. They may also have a trust drafted under a third state's laws.
Under Arizona law, the state named in the document controls how courts read it. This means the document itself picks the rules that apply.
The meaning and legal effect of a governing instrument is determined by the local law of the state selected in the governing instrument unless the application of that law is contrary to the requirements of article 4 of this chapter relating to exempt property and allowances or is contrary to any other public policy of this state otherwise applicable to the disposition.
A.R.S. § 14-2703Say a trust states it follows Nevada law. Arizona courts will read that trust using Nevada rules. This is true even if the trustor now lives in Arizona.
In other words, you have the freedom to pick the legal framework that best fits your goals. The choice of law clause in your document drives the result.
Where the Line Is Drawn
The freedom to choose another state's law has limits. Arizona will not enforce a choice-of-law clause that conflicts with its rules on exempt property and family allowances. These rules protect surviving spouses and minor children.
If the chosen state's law would strip away those protections, Arizona law wins. The same override applies to any other public policy that directly governs the transfer.
This means choice-of-law clauses cannot sidestep basic protections Arizona gives its residents. The goal is to let courts know which rules apply while still keeping Arizona families safe.
If you have estate documents drafted in another state, this statute confirms that Arizona respects those choices within fair limits. Reviewing your choice-of-law clauses is a smart step if you moved to Arizona or own property in more than one state.