Art
bepress.com
Home
My Account
All Journals
Contact Bepress
About Bepress
Subscriptions
Services
Reviews


Search All Publications
Find

Or search all bepress web pages: Search

We welcome your feedback. Please email your suggestions and ideas to us.
German Working Papers in Law and Economics
cover current_volume all_volumes submit_article

bealert

Volume 2008

AUTHOR:
Claus Ott and Hans-Bernd Schäfer

TITLE:
The Dichotomy between Property Rules and Liability Rules - Experiences from German Law

SUGGESTED CITATION:
Claus Ott and Hans-Bernd Schäfer (2008) "The Dichotomy between Property Rules and Liability Rules - Experiences from German Law", German Working Papers in Law and Economics: Vol. 2008: Article 12.
http://www.bepress.com/gwp/default/vol2008/iss1/art12


View the article (276 KB)
Notify a colleague about this paper
Get Acrobat Reader
Printing Tip: Select the option to 'print as image' in the Acrobat print dialog to ensure the article prints as it appears on screen.
Learn more...

ABSTRACT:

Calabresi and Melamed delivered a powerful theory to explain, under what conditions it is economically efficient to transfer a property right by voluntary and alternatively by involuntary transactions. In the first case the property right should be protected by a property rule or an injunction as well as by criminal sanctions and in the second case only by a liability rule. Their theory is normative in the sense that they defend involuntary transactions under certain conditions and voluntary transactions under other conditions. But their analysis is also analytical insofar as it predicts an evolutionary pressure on legal norms to encourage voluntary or involuntary transactions if the conditions, which they identified, are met. This article describes two legal changes in opposite directions in Germany. In nuisance law the development was from voluntary to involuntary transactions and in privacy law it was from involuntary to voluntary transactions. We try to make it clear that these developments were triggered by the underlying causes which Calabresi and Melamed identified in their seminal paper on property rules versus liability rules.




| HOME | MY ACCOUNT | TERMS OF SERVICE | COPYRIGHT | PRIVACY |
Copyright ©1999-2014 Berkeley Electronic Press™ All rights reserved.