Suit Versus Settlement When Parties Seek Nonmonetary Judgements

27 Pages Posted: 18 Apr 2007 Last revised: 23 Apr 2007

See all articles by Steven Shavell

Steven Shavell

Harvard Law School; National Bureau of Economic Research (NBER)

Date Written: March 1992

Abstract

This article considers situations in which plaintiffs seek nonmonetary judgments, for instance, custody of a child or an injunction. The primary questions of interest concern when parties will be likely to settle and, if so, what the nature of their settlements will be. The answers to these questions are different from what they are when plaintiffs seek purely monetary awards. In that case settlements involve only money payments whereas here they involve as well disposition of the nonmonetary things sought (who obtains custody of a child). Also, as is well known, when plaintiffs seek monetary judgments the parties will be inclined to settle to save litigation costs and reduce risk if they agree about the likelihood of plaintiff success at trial, but here that is not necessarily true. (For example, custody of a child may well be considered vital by each parent, making each unwilling to relinquish the chance of securing custody through trial for any amount in the range of what the other could pay.)

Suggested Citation

Shavell, Steven, Suit Versus Settlement When Parties Seek Nonmonetary Judgements (March 1992). NBER Working Paper No. w4012. Available at SSRN: https://ssrn.com/abstract=980915

Steven Shavell (Contact Author)

Harvard Law School ( email )

1575 Massachusetts
Hauser 406
Cambridge, MA 02138
United States
617-495-3668 (Phone)
617-496-2256 (Fax)

National Bureau of Economic Research (NBER)

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

Register to save articles to
your library

Register

Paper statistics

Downloads
20
Abstract Views
571
PlumX Metrics