The article examines the problem of compensation for the value of lost opportunity at the pre-contractual stage. It has been determined that such measure of recovery depends on the nature of pre-contractual liability. However, although the Supreme Court of Lithuania recognizes the possibility for the aggrieved party of pre-contractual negotiations to recover the value of lost opportunity, the motivation of the Supreme Court’s decisions is too incoherent. Moreover, Lithuanian courts have not yet adopted any methods of (...) awarding and calculation of the damages. The conclusion of the analysis is that in cases of breach of the general obligation of good faith in pre-contractual negotiations, the Supreme Court of Lithuania allows the recovery of lost opportunity, i.e. awards delictual damages. The same motivation applies even in certain cases where there is a possibility of broadening the scope of pre-contractual liability by applying contractual damages. (shrink)

Due to its specificity, the legal institute of preliminary agreement poses a number of questions. This pre-contractual agreement is not yet a contract. Therefore, the form and scope of legal protection will not be the same as that guaranteed to contracting parties. However, the European legal systems would claim that the relationships between the parties during pre-contractual negotiations have to be regulated and protected by the law. The first part of this article deals with the legal nature of (...) pre-contractual liability: tort, contractual or sui generis. The question of determining the type of applicable civil liability for breach of a preliminary agreement still remains a matter under debate in the Lithuanian legal doctrine as well as in legal practice. Taking into account the specific interest that may be infringed and the fact that the aggrieved party cannot recover the expectations it had in profit of the sought contract, including the remedy of the right of performance, there is nosufficient reason to apply contractual legal regime for breach of the preliminary agreement either. Hence, the special nature of the pre-contractual phase merits special treatment. In the Lithuanian legal system, liability for breach of a preliminary agreement should therefore be qualified as a separate sui generis kind of liability. In fact, the biggest problem is the scope of damages recoverable under the preliminary agreement. As far as the tendencies of a legal doctrine and jurisprudence of Lithuania and other countries are concerned, the aggrieved party should be compensated not only the direct expenses incurred during the negotiations, but also the value of lost opportunity, which must be based on real, proven, unavoidable income or expenses. It is not possible to claim the profit which would have resulted had the main contract been concluded (the so-called expectation damages). Recent tendencies show that the Lithuanian courts are prone to make no distinction between the concept of the lost opportunity to conclude a transaction with a third party (as reliance damages) and lost profits as expectation damages. The reason for such an interpretation is the fact that the value of lost opportunity can be determined by applying the principle of price difference provided in Article 6.258(5) of the Lithuanian Civil Code, which is used for contractual liability. This principle should be applied in accordance with the Commentary on the UNIDROIT Principles of International Commercial Contracts and in the context of the nature of the preliminary agreement. Therefore, the aggrieved party may claim compensation for damages in the amount of difference between the price of the contract that has not been concluded with a third party and the price of the replacement contract. Such an interpretation reflects the compensatory function of the recovery of the value of the lost opportunity. (shrink)

The author investigates the necessity of fault as the prerequisite of contractual civil liability. The author makes the conclusion that Lithuanian law, following most of the countries belonging to the civil law tradition and contrary to the common law systems, as well as Vienna convention, UNIDROIT principles, PECL and DCFR, begins with the theory that fault is a requirement for contractual liability. Strict liability in Lithuanian law is the exception of this general rule. Nevertheless, the (...) author argues that the general rule is subject to important exceptions, and the practical importance of these exceptions is as great as the cases falling within the general rule. In case of no agreement of the parties or any provision of law regarding fault as the necessary prerequisite for contractual liability, in Lithuania, similar to France, the distinction between the obligations to produce a given result and the obligations to use reasonable care is essential: according to Article 6.200(4) of the Lithuanian Civil Code (hereinafter – the CC), a party in breach of an obligation to use best efforts is liable for fault. (shrink)

In European law, "non-contractual liability arising out of damage caused to another" is one of the three main non-contractual obligations dealt with in the Draft of a Common Frame of Reference. The law of non-contractual liability arising out of damage caused to another â?? in the common law known as tort law or the law of torts, but in most other jurisdictions referred to as the law of delict â?? is the area of law which (...) determines whether one who has suffered a damage, can on that account demand reparation â?? in money or in kind â?? from another with whom there may be no other legal connection than the causation of damage itself. Besides determining the scope and extent of responsibility for dangers of one's own or another's creation, this field of law serves to protect fundamental rights in the private law domain, that is to say horizontally between citizens inter se. Based on pan-European comparative research which annotates the work, this book presents model rules on liability. Explanatory comments and illustrations amplify the policy decisions involved. During the drafting process, comparative material from over 25 different EU jurisdictions has been taken into account. The work therefore is not only a presentation of a future model for European rules to come, but also provides a fairly detailed indication of the present legal situation in the Member States. (shrink)

Developments in contract law over the past century have led to the proliferation of interpretive theories according to which contract law is no longer a sui generisi legal branch. It is widely accepted that if there is a sui generis contractual obligation, it must somehow be based on the wills of the parties. But a new orthodoxy in contract theory claims that the role of the will of the parties in contract law has been progressively shrinking due to judicial (...) doctrines within the law of contract and also to general statutory provisions. It is no longer apparent that there is any interesting sense in which contractual liability is based on the will of the parties. Hence, so it is claimed, contract law has lost its sui generis nature. The article challenges this new orthodoxy. But rather than reverting to the old orthodoxy—the will theory of contracts (or its contemporary rendition, contract as promise)—it argues that we should resist being forced to choose between them. The article argues that the purpose of contractual liability is to support the practice of voluntary obligations. This view preserves an important connection between contractual liability and voluntary undertakings and meets the objections that beset the will theory. (shrink)

This paper examines a recurrent debate about the rationale of contractual liability: whether the central object of contract law is to facilitate human interaction by respecting individual choices, or if it is in large part to redistribute wealth, power, and advantages generally. The debate between defenders of freedom of contract and those who would use contract law to advance schemes of redistribution is connected to the long-standing issues between natural-law theories and legal positivism. This paper is divided into (...) two main sections. In the first, the notion of individual autonomy is examined in light of the classical view, most recently advanced by Fried, that the rationale for enforcing contracts is connected to the respect for individual autonomy as such. There is also an examination of the notion of a collective concern, and what it is, from a libertarian point of view, that makes some social goals objectionably collective. The second part of the paper argues that the use of collective resources for the enforcement of contracts brings with it the authority to limit and shape enforcement in the interest of redistribution. (shrink)

Contents: LEGAL THEORY 1. Reflections on law in context / William Twining -- 2. Are omissions less culpable? / Tony Honore -- 3. Scandinavian legal realism in the law of contract / Jan Hellner -- 4. Statutes and contracts as founts of formal reasoning / Robert S. Summers -- 5. Conceptions of public policy / John Bell LEGAL HISTORY 6. Aftermath / Paul D. Carrington -- 7. The role of the judiciary: lessons from the end of empire / Robert Stevens (...) -- 8. The Origins of futures trading in the Liverpool Cotton Market COMMON LAW 9.payment undertakings / Roy Goode -- 10. Pre-contractual duties of disclosure / S.M. Waddams -- 11. Three problems with the new product liability / Jane Stapleton -- 12. Evaluating the goals of personal injury law: some empirical evidence / Donald Harris -- 13. Negligence and economic loss / John Dwyer -- 14. Libel and constitutional free speech / John Fleming -- 15. The basis of tortious liability / Peter Cane. (shrink)

This article makes a comparative examination of the widening spectrum of cases in which both tort law and contract law are employed, jointly or separately, to impose non-consensual liability on a contracting party. The article focuses on liability imposed on a contracting party either toward another contracting party or toward a third party for failure to perform an obligation that, on the one hand, is predicated on and arises from the contract, but, on the other hand, does not (...) genuinely originate in the consent of the liable party because it is external to her genuine intention. The primary objective of this article is to propose general guidelines for either choosing between tort law and contract law when imposing non-consensual liability on a contracting party or else allowing liability under both headings. These guidelines for the classification of non-consensual liability also bear on the preliminary question of whether to impose non-consensual liability at all and on the delicate interplay between contract and tort in general and particularly when the two lead to conflicting legal outcomes. (shrink)

The contractual liability exposure of members of unincorporated non-profit undertakings has not been deeply investigated by the courts. The basic principle is clear enough - contractual liability depends on whether or not a member participates in managing the affairs of the association. This is framed by the judges as a question of agency. What has remained unstated is the rationale for this approach. The author examines the English, Canadian, and American authorities in an effort to clarify (...) the operation of the agency analysis and to justify the liability assignments it produces. (shrink)

This paper offers an economic analysis of one aspect of the possible liability for incorrect information traded on information markets: expert liability for incorrect asset valuation. The article does not address the questions of whether and under what circumstances an expert should bear contractual liability for an incorrect valuation. Rather, it assumes such contractual liability towards the person who has solicited the opinion and focuses instead on analyzing the circumstances under which the expert’s (...) class='Hi'>liability should be extended to third parties as well. (shrink)

Many climate ethicists maintain that climate policy costs should be borne by those who historically emitted the most greenhouse gases. Some theorists have recently argued, however, that actors only became liable for emitting once the emissions breached legitimate legal regulation governing emissions. This paper challenges this view. Focusing on the climate responsibility of states, it argues that even if we assume that legitimate legal regulation is needed to remove excusable ignorance of entitlements to emit or is constitutive of such entitlements, (...) it does not follow that states should be exonerated from responsibility for all pre-legal emitting. This is because the pre-legal emissions may have violated moral duties not to behave recklessly and to promote the emergence of the relevant regulation. The paper closes by noting how grounding liability for emitting in such duties complicates the link between past emissions and liability. (shrink)

This article presents the conception of negligent account management, analyses the rules of the criminal act that govern criminal liability for negligent account management, by focussing on the form of guilt and the problem of its content. The plenary session’s conclusion that the two offences – failure to administer bookkeeping and failure to protect the bookkeeping documents – can be committed both intentionally and negligently is disputed in this article. The adoption of the new Criminal Code in 2000, setting (...) the form of guilt and its content in criminal cases for negligent account management, posed no significant problems – the court practice and legal literature followed the attitude that this crime could be committed only negligently. According to Article 16(4) of the Criminal Code 2000, a person is punished for negligent commission of a crime or a misdemeanour only in individual cases stipulated in the Special Part of the Criminal Code. The problem was that no “individual case” was foreseen in Article 223 of the Criminal Code that imposed liability for negligent bookkeeping. This created preconditions for deviating from pre-existing case-law under which this crime could be qualified as negligent. Only in 2009 the Criminal Division of the Lithuanian Supreme Court concluded in its plenary session that Article 223 of the Criminal Code provided liability for criminal record-keeping and accounting only if committed negligently as a form of guilt, and other activities pursuant to this Article might be committed intentionally and recklessly. The plenary session identified a loophole of criminal law and created preconditions for the formation of uniform court practice. Only the legislator can remove the loophole of criminal law identified by the Supreme Court of Lithuania. The author states that all of the acts named in Article 223 of the Criminal Code can be committed negligently and suggests applying the rule contained in Article 16(4) of the Criminal Code to Article 223 of the Criminal Code. All of these findings are based on historical, grammatical and logical interpretation of the “neglect” concept and the analysis of Articles 222 and 223 of the Criminal Code. (shrink)

This essay addresses the relationships between prescription and description in legal rules. The analysis will focus on the culture-laden connotations of factual categories implied in all legal sentences and/or provisions. This investigation is spurred by the need to assess the impact of cultural difference in people’s understanding of legal imperatives and, symmetrically, how that impact is to be considered in the application of law. Differences in ways of categorizing the world could position the cultural pre-understanding required by law, and the (...) pluralism recognized and protected by constitutional principles and human/fundamental rights discourse, at a crossroads. Hence, even when we find an illegitimacy or an ignorance about what legal rules do not explicitly state but instead implicitly presuppose, this does not exclude that behind that ignorance there may be something worthy of legal protection. A question emerges: is it legitimate and reasonable to consider the ignorantia facti resulting from differing ways of categorizing the factual world as automatically and uncritically subject to the principle ignoratia legis non excusat? The essay continues with an assessment of the possible consequences of ignorantia facti in the administration of justice in multicultural societies and migration contexts. For this purpose, the opportunity for an intercultural use of law—including within national law—will be considered as a means of avoiding the discriminatory application of ignorantia facti. This topic will be addressed by leveraging both semiotic and cultural-anthropological analytical tools, including the well-known greimasien “contrat de véridiction”. (shrink)

This article analyses that state responsibility in international law is contractual liability, as a state infringes its obligations to another state (states), stemming out of international law. Member State liability in damages to a private party for breach of European Union law is, contrarily, non-contractual liability to a private party. Having analysed the elements of internationally wrongful act, it is stated that the elements of internationally wrongful act can be used to determine the elements of (...) breach of the European Union law. Thus if an international court declares that a state committed an internationally wrongful act, it would be possible to maintain that the elements of breach of the European Union law are met as well. The author of this article notes that it is very important to identify a particular state institution, which has infringed the European Union or international law, as not attributing to the state the acts of the state institution under the European Union or international law, there should be no possibility to apply state liability in damages to a private party for breach of the European Union law or state responsibility in international law – the state can be liable only for acts of its institutions. This article also analyses the cases where application of both Member State’s liability in damages to a private party for breach of the European Union law and state responsibility in international could be possible. In such case a private party can suffer damages if a Member State breaches an international agreement, concluded by the European Union, imposing particular obligations on that Member State. Therefore, it is ascertained that a private party should not have to prove the second condition of liability – sufficient seriousness of the breach1 – if an international court foremost states that a Member State commited an internationally wrongful act – breached its obligation arising out of an international agreement entered into by the European Union. Such an infringement would be considered to be as sufficiently serious per se. (shrink)

Philosophers working on the morality of harm have paid surprisingly little attention to the problem of manipulation. The aim of this paper is to remedy this lacuna by exploring how liability to defensive harm is affected by the fact that someone posing an unjust threat has been manipulated into doing so. In addressing this problem, the challenge is to answer the following question: Why should it be the case that being misled into posing an unjust threat by manipulation makes (...) a difference to one’s liability, as compared to being misled into doing so by natural events or by someone’s honest attempt to persuade us? To answer this question, I first outline an account of manipulation and then use it to defend what I shall call the “Pre-emption Principle.”. (shrink)

This essay applies Hegel's theory of remedies to the question of whether and when breach of a penal statute should attract civil liability in tort. For Hegel, the purpose of a remedy is to vindicate the human right to self-determination by refuting the claim to validity implied in intentional or negligent acts that infringe this right. Accordingly, in determining the civil effect of legislation, a distinction must be made between statutes that effectuate pre-existing rights and those which create new (...) rights in the attempt to maximize aggregate welfare. The former should confer a civil right of action, the latter should not. Statutes that impose a duty of affirmative action should be enforced civilly if their purpose is to protect individual autonomy in circumstances where one person has gained control over the welfare of another. And statutes that protect persons from exposure to unreasonable risk should confer a civil right of action provided that the conditions of ordinary negligence liability are met. These conditions ought to supplant those connected with the legislative intent theory of statutory torts. (shrink)

In this short paper, I shall answer the title’s question first in the context of criminal law and then in the context of tort law. In that latter section, I shall also mention in passing contractual and other forms of civil liability that are strict, although they will not be my principal focus. My conclusions will be that strict liability is never proper as the basis for retributive punishment; that it is a very crude device for achieving (...) deterrence through nonretributive penalties; and that with respect to tort liability, it is best justified as a means of defining insurance categories. (shrink)

Shareholders of corporations have their liability for actions of the corporation limited by law. Unlike the equity holder in a partnership or proprietorship, the assets that a shareholder has distinct from her holdings in the enterprise can not be taken to satisfy liabilities arising from actions of the enterprise itself. This paper argues that a reasonable principle of fairness argues for an alternative to limited liability, proportional liability. Proportional liability makes a shareholder liable for the same (...) proportion of a corporation''s excess of liabilities over assets that her number of shares bears to the total number of shares outstanding. The key idea is that it is unfair in situations in which explicit agreements can not be reached for shareholders to bear only limited risk when they may receive gains from stock dividends and appreciation that are not limited to any pre-determined amount. Proportional liability has not been much examined in the financial literature. Good utilitarian arguments have been given for limited liability over unlimited liability for corporate shareholders, but these arguments do not clearly support the choice of limited liability over proportional liability. (shrink)

The proposed article provides an overview of European and North American states’ legislation, which regulates the procedure for pre-clinical research, clinical trials and state registration of medicinal products, as well as responsibility for its violation, analysis of the problems and prospects of adaptation of the national legislation to European legal space, particularly in the field of criminal and legal regulation of relations in the sphere of pre-clinical trials, clinical trials and state registration of medicine. The emphasis is put on the (...) matter that inclusion of Article 321-2 into the Criminal Code of Ukraine leads to a false concurrence with other provisions of the Code. The author proposes to introduce recent EU legislation (Acquis Communautaire) on legal regulation of clinical trials and circulation of medicine into the law of Ukraine, clarify terminology related to Fundamentals of Ukrainian Legislation on Health Protection and the Special Part of criminal law, introduce criminal liability for legal entities that will provide effective control over negative effects of research centers’ activity. It is suggested to develop legislative proposals to improve the provisions of the Criminal Code of Ukraine, which provide legal protection of relations arising in connection with pre-clinical research, clinical trials and state registration of medicinal products. (shrink)

A limited-liability corporation is an artificial (“legal”) person whose liability is limited to the assets “owned” by the corporation. This means that the real or natural persons (if there are any) who own the corporation are not liable for the consequences of corporate actions or events originating within the property “owned” by the corporation. Thus, while the limited-liability corporation itself is fully liable (i.e., to the full extent of its assets) for such actions and occurrences, its human (...) owners (if there are any) are not liable at all. Admittedly, they run a risk of losing all that they have invested in the corporation, but nothing more. This risk may be called an economic liability but it is not a liability in the relevant juridical sense: debtors cannot turn to the owners of the corporation to ask or compel them to pay its debts—it does not matter whether these debts are consequences of the corporation’s contractual obligations (wages, rents, purchases, loans, etc.) or consequences of harmful actions or events (explosions, flooding, contaminations, etc.) caused by the corporation or its property to third parties. Thus, we have the problem of the standing of the limited-liability corporation in view of the principles of Austro-libertarianism: the limited-liability corporation is a fully liable artificial person that shields any natural persons who are its owners from any liability. This is a problem because we cannot have it both ways. Either the limited-liability corporation is an autonomous (“self-owning”) person in its own right and then no objection can be made to it, as, despite its name, it is fully liable; or it is something owned by natural persons and then these owners must, like all other owners, be held fully liable for what they do (or command or permit others to do) with their property as well as for the consequences of events that originate within their property. Now, from an Austro-libertarian point of view—which, as I understand it, is committed to a realist philosophy and therefore akin to a natural law position1—it does not make sense to say that an artificial person can be an autonomous person in its own right.. (shrink)

This study examines the influence of underwriter–auditor relationship on pre-initial public offering earnings management. Using a sample of Chinese to-be-listed firms, we find that a close UAR, as reflected in repeated collaborations between an underwriter and an audit firm in IPOs, is positively associated with pre-IPO earnings management. This association is more pronounced for firms with politically connected auditors/underwriters, firms with less reputable auditors/underwriters, firms located in provinces with weak legal environment, firms to-be-listed on boards with lax listing requirements, and (...) firms whose auditors are with low industry specialization, and legal liability exposures. We provide further evidence that UAR is associated with greater likelihood of irregular activities in post-IPO period and poorer post-IPO financial performance. To the extent that we control for alternative explanations and potential endogeneity, our results suggest that the collusion incentive is likely to drive repeated collaborations between underwriters and auditors in the Chinese IPO market. Our findings provide interesting implications for auditors, investors, and regulators seeking to understand the Chinese IPO market. (shrink)

The pre-emption doctrine as applied to food and drug law argues that manufacturers whose products gain Food and Drug Administration marketing approval are immune from tort liability in state court solely on the basis of their FDA approval. This pre-emption protection applies both to claims of direct damages caused by the product and as well as indirect damages claims.The recent 8-1 U.S. Supreme Court decision in Riegel v. Medtronic, Inc. upheld the manufacturer’s contention that the pre-emption provision in the (...) 1976 Medical Device Amendments of 1976 to the 1938 Federal Food, Drug and Cosmetic Act completely precluded civil damages suits by injured plaintiffs in state court. Justice Ginsburg was the lone dissenter. (shrink)

In this volume, Lloyd Strickland makes the key philosophical writings of maverick Enlightenment philosopher André-Pierre Le Guay de Prémontval (1716-1764) available in English for the first time. His writings contain many provocative ideas and arguments, and anticipate modern developments such as open theism, process theology, and animal theodicy.

Ce qui frappe chez Spinoza, c'est une volonté constamment manifestée de se rendre maître de son destin. Fils de notable, ses qualités intellectuelles laissaient augurer d'un brillant avenir dans la communauté judéo-portugaise d'Amsterdam. Mais il éprouva le besoin d'élargir son horizon intellectuel. La preuve en est son désir d'apprendre le latin, langue savante de l'Europe chrétienne. Ce fut alors la rupture avec les siens. En 1656, après avoir échappé au poignard d'un fanatique, il fut excommunié par le conseil des rabbins (...) pour hérésie. Devenu polisseur de verres optiques, Spinoza mena dès lors une vie simple et retirée, tout en restant attentif aux événements de l'époque, entouré d'un petit groupe d'amis sûrs. Spinoza fut le premier à proposer une exégèse rationaliste de la Bible, qui l'amena à formuler la distinction entre le croire et le savoir : Dieu n'est pas extérieur au monde, mais immanent à la nature, il est la Nature. Il réfuta également toute supériorité de l'âme sur le corps et substitua ainsi une éthique à la morale : il n'y a pas de Bien ni de Mal, mais du bon et du mauvais. Du Court traité à l'Éthique, en passant par le Traité théologicopolitique, Jean Préposiet a choisi de donner une vue panoramique du projet philosophique de Spinoza. Il suit pas à pas l'élaboration d'un système qui fut en même temps, pour son auteur, une manière de vivre. D'où la part centrale que tient dans l'ouvrage l'élément historique et biographique. Connu pour sa contribution à l'historiographie spinoziste internationale - Spinoza et la liberté des hommes, Bibliographie spinoziste -, Jean Préposiet est également l'auteur chez Tallandier d'une Histoire de l'anarchisme, ouvrage traduit en plusieurs langues. (shrink)

L'ordre juridique qui se met en place, en France, aux derniers siècles du Moyen Âge a encore tout récemment été l'objet de riches débats : l'auto-développement des coutumes, l'autorité des droits savants et l'interventionnisme du roi de France ont notamment été au cœur de vives controverses historiographiques. La lecture des sources est à l'origine de querelles interprétatives, auxquelles s'ajoutent des difficultés méthodologiques que rencontrent les historiens du droit. Tandis que l'historien n'a accès qu'à une proportion infime du concret, celui-ci s'efforce (...) de combler ces lacunes, parfois même à l'aide d'une projection des catégories juridiques contemporaines. Cet anachronisme des concepts – parfois couplé à un anachronisme des faits – ne constitue-t-il pas l'un des vices rédhibitoires de la discipline? Cette méthode ne présente-t-elle pas, à l'inverse, une indéniable vertu heuristique et disciplinaire? Certains estiment alors que la théorie du droit est anhistorique, quand d'autres critiquent l'emploi par les historiens des concepts contemporains, comme la hiérarchie des normes, la souveraineté ou encore l'État. Outre de telles projections, c'est le sens donné à certains signifiants médiévaux ou modernes qui peut être relativisé, comme c'est le cas notamment pour les notions de droit positif, de droit commun ou encore de loi. Ces difficultés révèlent aussi à certains égards l'ambivalence de l'histoire du droit, écartelée entre science historique et dogmatique juridique. Ce livre propose alors une réflexion épistémologique sur l'un des grands enjeux de l'historiographie juridique contemporaine : peut-on penser l'ordre juridique médiéval et moderne à partir des catégories juridiques contemporaines? (shrink)

On new world order, internationalism, politics, and economic integration.