58 Pages Posted: 5 Jan 2009
Date Written: December 31, 2008
Modification and waiver of procedural rules are commonplace between litigants during trial. Yet, contracting parties may also want to modify the rules of procedure before the dispute arises. This paper analyzes the motivations behind pre-dispute procedural arrangements, which we call contractualized procedures, and their implications over the enforcement of such procedures and the design of default procedural rules. It explains the advantages that contractualized procedures offer over post-dispute modifications, and explores how the early timing of procedural modifications affects litigation externalities.
Keywords: Contract, Procedure, Default Rules
JEL Classification: K12, K40
Suggested Citation: Suggested Citation