Open Access. Powered by Scholars. Published by Universities.®

Law Commons

Open Access. Powered by Scholars. Published by Universities.®

Articles 1 - 2 of 2

Full-Text Articles in Law

Product Liability And The Passage Of Time: The Imprisonment Of Corporate Rationality, James A. Henderson Jr. Oct 1983

Product Liability And The Passage Of Time: The Imprisonment Of Corporate Rationality, James A. Henderson Jr.

Cornell Law Faculty Publications

In theory, the product liability system should induce manufacturers to invest in product safety at the socially optimal level, i.e., the level at which the marginal cost of the investment equals the marginal cost of product-related accidents thereby avoided. In reality, however, this inducement may be weakened by countervailing incentives, causing manufacturers in marginal cases to forgo investment that would appear to be cost-effective. Professor Henderson argues that in these cases corporate rationality has been "imprisoned" by two "real-world" phenomena. First, a manufacturer may postpone product improvements lest they be viewed by potential claimants and juries as a confession ...


Bankruptcy Law In Perspective: A Rejoinder, Theodore Eisenberg Feb 1983

Bankruptcy Law In Perspective: A Rejoinder, Theodore Eisenberg

Cornell Law Faculty Publications

Professor Harris challenges my argument that bankruptcy reform takes place in an environment too isolated from the rest of the legal world. He also challenges each of the three illustrations I offered to support my thesis. Discussion of his views on the environment in which reform occurs is best deferred until after discussion of his analysis of my three illustrations.