A Note on the Equivalence Between Contractual and Tort Liability Rules

A Note on the Equivalence between Contractual and Tort Liability Rules (*)

The aim of this paper is to conciliate some conclusions of the economic theories of breach of contract and tort law. The main result is that the two efficient alternatives that tort law identifies (negligence rule and strict liability with a defense of contributory negligence) are mirrored by two efficient ways of defining contract damages. The first consists of forcing the debtor to pay expect...

Imperfect Observability , Tort Liability Rules , and Incentive for Care ∗

This paper studies an economic model of tort liability rules and considers litigation between a firm and a consumer, under the assumption that the consumer may not perfectly observe the firm’s action. We compare two alternative tort liability rules: the Negligence rule and strict liability with contributory negligence. We consider the noiseless case as a benchmark, and show that under those two...

the relationship between eq, iq and test format: a study on test fairness

the major aim of this study was to investigate the relationship between iq, eq and test format in the light of test fairness considerations. this study took this relationship into account to see if people with different eq and iq performed differently on different test formats. to this end, 90 advanced learners of english form college of ferdowsi university of mashhad were chosen. they were ask...

Legal Status of Pre-Contractual Liability

The discussion about the person's liability for the actions attributable to him before the stage of contracting is a new debate that has been attracted the attention of legal circles. According to this debate, the person’s freedom of contracting does not implement the person’s freedom to ignore the rights and interest of other party. As a result, it would be possible that contracting person con...

Who Pays for Tort Liability Claims? An Economic Analysis of the U.S. Tort Liability System