The Economics Of Contract Law

A concise introduction to the theory of contracts, emphasizing basic tools that allow the reader to understand the main theoretical models; revised and updated throughout for this edition.

This unique and timely book offers an up-to-date, clear and comprehensive review of the economic literature on contract law. The topical chapters written by leading international scholars include: precontractual liability, misrepresentation, duress, gratuitous promises, gifts, standard form contracts, interpretation, contract remedies, penalty clauses, impracticability and foreseeability. Option contracts, warranties, long-term contracts, marriage contracts, franchise contracts, quasi-contracts, behavioral approaches, and civil contract law are also discussed. This excellent resource on contract law and economics will be particularly suited to contract law scholars, law teachers, policy makers, and judges. For experts in and practitioners of contract law this will be a key book to buy.

A 2002 survey of economics of contracts appealing to scholars in economics, management and law.

This important volume presents a rich collection of ideas on and insights into the law and economics of contracts. It includes material relevant to a large number of legal fields. Many of the articles are classics that have, over the years, become focal points for continuing debate; others provide an easily accessible account of particular areas. The editor's comprehensive introduction provides an overview of law and economics scholarship in contracts over the past few decades and a portal into an evolving field. Topics include: the economics of contracting; efficient breach and renegotiation; expectation damages and its alternatives; default rules and mass markets.

This collection brings together some of the main contributions to an important area of this work, the economics of contract law.

Designed to integrate economic principles into a traditional contracts course. The cases and materials consider reasons why some contracts should not be enforced, where enforcement might lead to inefficient results due to externalities, mistake, or lack of capacity or consideration. Introduces the theory of efficient breach and applying that theory to issues of impracticability and impossibility. Considers various permutations of the traditional remedies for breach and the limitations on recovery of damages. The final section considers duress and unconscionability and offers economic rationales for not enforcing agreements into which parties have voluntarily entered.

Seduction by Contract explains how consumer contracts emerge from market forces and consumer psychology. Consumers' predictable mistakes - they are short-sighted, optimistic, and imperfectly rational - compel sellers to compete by hiding the true costs of products in complex, misleading contracts. Only better law can overcome the market's failure.

What effects do laws have? Do individuals drive more cautiously, clear ice from sidewalks more diligently, and commit fewer crimes because of the threat of legal sanctions? Do corporations pollute less, market safer products, and obey contracts to avoid suit? And given the effects of laws, which are socially best? Such questions about the influence and desirability of laws have been investigated by legal scholars and economists in a new, rigorous, and systematic manner since the 1970s. Their approach, which is called economic, is widely considered to be intellectually compelling and to have revolutionized thinking about the law. In this book Steven Shavell provides an in-depth analysis and synthesis of the economic approach to the building blocks of our legal system, namely, property law, tort law, contract law, and criminal law. He also examines the litigation process as well as welfare economics and morality. Aimed at a broad audience, this book requires neither a legal background nor technical economics or mathematics to understand it. Because of its breadth, analytical clarity, and general accessibility, it is likely to serve as a definitive work in the economic analysis of law.

This second edition takes into account the major developments in economics and jurisprudence that have occurred since the publication of the first edition. A new chapter has been added on anti-discrimination law and such topics as adverse possession, rent control, medical malpractice, product reliability, and defense against criminal prosecution have been reexamined in the light of new theoretical developments and case studies. Environmental law and a careful comparison of alternative methods to control the environment are included.