Prescott, J.J.; Spier, Kathryn E.; Yoon, Albert - In: Journal of Law and Economics 57 (2014) 3, pp. 699-699
This article presents the first systematic theoretical and empirical study of high-low agreements in civil litigation. A high-low agreement is a private contract that, if signed by litigants before trial, constrains any plaintiff’s recovery to a specified range. In our theoretical model, trial...