This paper examines the sharing of risk under three different remedies for breach of contract. The risk considered …. By means of a numerical example, it is shown that use of the prevailing remedy for breach of contract -- the expectation …

procedures. A noisy signal, however, means that the optimal contract will involve terms that courts might view as punitive and so …

We consider a buyer and seller who contract over a service. The contract encourages investment and provides a reference … point for the transaction. In normal times the contract works well. But with some probability an abnormal state occurs and … guiding principles such as loyalty and equity in their contract can help. We provide supporting evidence in the form of case …

the sequence of events is as follows. In a period, t, the supplier offers a contract to the retailer, and the retailer … excess inventory (we assume a lost sales model) to the next period. In period t 1, the supplier designs a new contract based … certain assumptions, we characterize and evaluate the supplier's optimal contract. To do so, we cast our problem as an adverse …