Standard form contracts are an inevitable by-product of a mass production economy. Just as fixed costs and scale economies in production lead manufacturers to develop standardized goods, those regularly engaged in business find it advantageous to standardize the terms of which they product exchange, because this saves the expense of negotiating arrangements for each individual transaction.Among legal commentators, however, form contracts have long been received with distrust, and the rules governing their interpretation have engendered considerable controversy.
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Paper provided by Georgetown University Law Center in its series Papers with number
97-9.
Length: 9 pages Date of creation: 1997 Date of revision: Handle: RePEc:fth:geolaw:97-9
Contact details of provider: Postal: Georgetown University Law Center, 600 New Jersey Avenue NW, Washington, DC. 20001. Maintainer-Name: Thomas Krichel
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Find related papers by JEL classification: K10 - Law and Economics - - Basic Areas of Law - - - General (Constitutional Law) K12 - Law and Economics - - Basic Areas of Law - - - Contract Law