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Full-Text Articles in Law
Litigation And The Optimal Combination Of Vague And Precise Clauses In Contracts, Alvaro E. Bustos
Litigation And The Optimal Combination Of Vague And Precise Clauses In Contracts, Alvaro E. Bustos
Faculty Working Papers
In this paper we determine the optimal combination of precise and vague clauses written in contracts when the parties face writing and enforcement costs, the second ones in the form of litigation. We show that the parties may prefer to write vague instead of precise clauses not only because they are cheaper to write but also because they are cheaper to enforce. We extend Battigalli and Maggi (2002) to model the decision of a principal who chooses clauses to describe the actions that an agent has to perform. As both players observe nature imperfectly they may call for a court …
Antidumping And Cotton Subsidies: A Market-Based Defense Of Unfair Trade Remedies, Nadia E. Nedzel
Antidumping And Cotton Subsidies: A Market-Based Defense Of Unfair Trade Remedies, Nadia E. Nedzel
Northwestern Journal of International Law & Business
This article argues that trade remedies, problematic though they may be, provide a legal framework in which litigation can and must be promulgated to protect the benefits of a global market economy.