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Decreasing Liability Contracts and the Assistant Interest

Robert D. Cooter and Ariel Porat

in Getting Incentives Right: Improving Torts, Contracts, and Restitution

Published in print:
2014
Published Online:
October 2017
ISBN:
9780691151595
eISBN:
9781400850396
Item type:
chapter
Publisher:
Princeton University Press
DOI:
10.23943/princeton/9780691151595.003.0009
Subject:
Law, Comparative Law

This chapter proposes a novel mechanism to solve the promisee's incentive problem: decreasing liability contracts. Compared to constant liability, a decreasing liability contract typically improves ... More


Conclusion

Robert D. Cooter and Ariel Porat

in Getting Incentives Right: Improving Torts, Contracts, and Restitution

Published in print:
2014
Published Online:
October 2017
ISBN:
9780691151595
eISBN:
9781400850396
Item type:
chapter
Publisher:
Princeton University Press
DOI:
10.23943/princeton/9780691151595.003.0013
Subject:
Law, Comparative Law

This book has advanced three central claims, each related to a different branch of private law. First, to achieve efficiency under negligence law, all foreseeable risks should be included when ... More


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