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Contracts between Legal Persons

  • Kornhauser, Lewis A.

    ()

    (New York University)

  • MacLeod, W. Bentley

    ()

    (Columbia University)

Contract law and the economics of contract have, for the most part, developed independently of each other. In this essay, we briefly review the notion of a contract from the perspective of lawyer, and then use this framework to organize the economics literature on contract. The title, Contracts between Legal Persons, limits the review to that part of contract law that is generic to any legal person. A legal person is any individual, firm or government agency with the right to enter into binding agreements. Our goal is to discuss the role of the law in enforcing these agreements under the hypothesis that the legal persons have well defined goals and objectives.

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Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 5352.

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Length: 56 pages
Date of creation: Dec 2010
Publication status: published in: Robert Gibbons and John Roberts (eds.) Handbook of Organizational Economics, Princeton University Press, 2012
Handle: RePEc:iza:izadps:dp5352
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