The Litigious Plaintiff Hypothesis: Case Selection and Resolution
Cornell University - Law School
Henry S. Farber
Princeton University; National Bureau of Economic Research (NBER)
RAND Journal of Economics, Vol. 28, Special Issue (1997).
The process through which cases are selected for litigation cannot be ignored because it yields a set of lawsuits and plaintiffs that is far from a random selection either of potential claims or of potential claimants. We present a theoretical framework for understanding the operation of this suit-selection process and its relationship to the underlying distribution of potential claims and claimants. The model has implications for the trial rate and the plaintiff win rate at trial. Our empirical analysis, using data on over 200,000 federal civil litigations, yields results that are strongly consistent with the theory.
JEL Classification: K41Accepted Paper Series
Date posted: June 11, 1997
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