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Symposium Incomplete Contracts: Judicial Responses, Transactional Planning And Litigation Strategies, Juliet P. Kostritsky

Juliet P Kostritsky

Scholars working in the law-and-economics tradition have suggested that courts should use a hypothetical bargain approach to incompleteness, filling in terms that are optimal (efficient) and that the parties themselves would have achieved were it not for the transaction costs.While the authors in this Symposium draw on this traditional economic analysis of contracts, they explore new insights from economics and “economic contract theory”that complicate the analysis of incompleteness in contracts. Relying on economists’ theories of incomplete contracts, the Symposium authors identify uncertainty and the cost of and limited access to information as key problems affecting parties both ex ante when …