Is Breach of Contract Immoral? - A Perspective of Incomplete Contract
China Institutional Economics Annual Conference 2012 (the 12th)（中国制度经济学2012年年会 山东济南）
8 Pages Posted: 25 Jun 2013
Date Written: June 24, 2013
There is a widely held view that breach of contract is immoral. Given the incompleteness of contract, breach of contract in inexplicitly addressed contingency may be not immoral. Comparing cost of one party’s performance with value of performance to the other party and considering the hard-to-measure expectation damage, this article argues, in not-detailed addressed contingencies, breach of contract is probably moral; the more closer the compensation is to the expectation damage, the more moral the breach is.
Note: Downloadable document is in Chinese.
Keywords: Incomplete Contract, Breach of Contract, Morality, Expectation Damage
Suggested Citation: Suggested Citation