Monday, August 1, 2005
"Harnessing Litigation by Contract Design"; Yale Law Journal, Vol. 115, 2005-06, ROBERT E. SCOTT, University of Virginia School of Law, GEORGE G. TRIANTIS, University of Virginia School of Law. http://papers.ssrn.com/paper.taf?abstract_id=722263 This article explores commerical contracting in light of specific and vague terms (rules and standards), as well as terms allocating litigation burdens. The article argues that the prevelance of vague terms in contracts persists because parties anticipate that the courts or alternative dispute mechanisms will determine them through litigation. Thus, the anticipated path of litigation is relevant to contract design.