> Is this correct behavior?
I think so.

looking at:  xslt-pr.html#conflict

 <xsl:template match="contact">

comes under

           If the pattern has the form of a QName preceded by a
           ChildOrAttributeAxisSpecifier or has the form
           processing-instruction(Literal) preceded by a
           ChildOrAttributeAxisSpecifier, then the priority is 0.

and

  <xsl:template match="*[@type='contact']">

comes under

           Otherwise, the priority is 0.5.


so 0.5 wins.

Hope I got that right:-)

David


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