Damage Measures and Incomplete Contracts

I present a model of two-party contracts that allows for incomplete specification of future states and actions. I examine various damage measures under the assumption that courts protect only reasonable reliance expenditures so that parties make efficient reliance choices. The expectations damage measure is preferred to the alternative damage measures no matter what the contractual terms are.

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Year of publication:	1989
Authors:	Leitzel, Jim
Published in:	RAND Journal of Economics. - The RAND Corporation, ISSN 0741-6261. - Vol. 20.1989, 1, p. 92-101
Publisher:	The RAND Corporation

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Extent:	application/pdf
Type of publication:	Article
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005353969