PAROL EVIDENCE CUSTOM TRADE USAGE Voiding DURESS FRAUD/MISREPRESENTATION UNCONSCIONABILITY MISTAKE IMPRACTICABILITY/FRUSTRATION BREACH vs. SUBSTANTIAL PERFORMANCE Damages SPECIFIC PERFORMANCE EXPECTATION/RELIANCE DAMAGES LIMITATIONS PRINCIPLES Josh Principle: Place losses on parties that are in the best position to avoid them Cheapest cost avoider Enforce promises that arise out of situations that look like those in Andrew Principle: which a bargain occurred would have Transaction costs are too high Terms are reasonable Dolly Principle: enforce indefinite contracts Don’t Induce parties to be more specific with their terms Otherwise, always can argue that too indefinite to be considered a contract it’s THEORIES/DEFINITIONS Three Theories of Contract Law: Autonomy promisors have a moral obligation to keep their promises and promises have – a corresponding moral right to the promise promisor’s right to form, revise and pursue their own conception of Generates individuals’ the good contract law helps justify this right – Individual autonomy and trust in the other party Ex-post perspective on enforcement adjudication is a mechanism of resolving a – dispute between litigants Three critiques: Moral obligation is unproved Courts do not enforce all promises Discomfort with state enforcing moral rights/obligations
PAROL EVIDENCE CUSTOM TRADE USAGE Voiding DURESS FRAUD/MISREPRESENTATION UNCONSCIONABILITY MISTAKE IMPRACTICABILITY/FRUSTRATION BREACH vs. SUBSTANTIAL PERFORMANCE Damages SPECIFIC PERFORMANCE EXPECTATION/RELIANCE DAMAGES LIMITATIONS PRINCIPLES Josh Principle: Place losses on parties that are in the best position to avoid them Cheapest cost avoider Andrew Principle: Enforce promises that arise out of situations that look like those in which a bargain would have occurred Transaction costs are too high Terms are reasonable Dolly Principle: Don’t enforce indefinite contracts Induce parties to be more specific with their terms Otherwise, always can argue that it’s too indefinite to be considered a contract THEORIES/DEFINITIONS Three Theories of Contract Law: Autonomy – promisors have a moral obligation to keep their promises and promises have a corresponding moral right to the promisor’s promise Generates individuals’ right to form, revise and pursue their own conception of the good – contract law helps justify this right Individual autonomy and trust in the other party Ex-post perspective on enforcement – adjudication is a mechanism of resolving a dispute between litigants Three critiques: Moral obligation is unproved Courts do not enforce all promises Discomfort with state enforcing moral rights/obligations
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