Show simple item record

dc.contributor.authorAyres, Ian
dc.contributor.authorAbramowicz, Michael
dc.date2021-11-25T13:34:37.000
dc.date.accessioned2021-11-26T11:43:00Z
dc.date.available2021-11-26T11:43:00Z
dc.date.issued2012-01-01T00:00:00-08:00
dc.identifierfss_papers/3702
dc.identifier.contextkey3098024
dc.identifier.urihttp://hdl.handle.net/20.500.13051/3121
dc.description.abstractThis Article introduces compensating commitment bonds, which make it more affordable for a government, entity, or individual to commit to some course of action. These bonds, like traditional government or corporate bonds, can generate revenue for committing parties. A bond seller makes a commitment and promises to pay a forfeit if the seller fails to meet the bond conditions. The bond buyer pays the seller to be contractually designated as the recipient of any amounts the bond seller forfeits. This approach has potential application in a range of legal situations. Governments and other parties may use such bonds to facilitate commitments to principles from which they later may face temptation to deviate. Such bonds also can facilitate legislative compromise or the settlement of private legal disputes. The Article identifies a variety of incentive equivalent commitment bond structures as well as the circumstances under which a particular implementation is likely to be most effective. It also explores hurdles to the use of such bonds, including concerns that the courts might find a legislature's use of such bonds to entrench its preferences unconstitutional and that a legislature might issue such bonds but cancel them after failing to maintain a commitment.
dc.titleCommitment Bonds
dc.source.journaltitleFaculty Scholarship Series
refterms.dateFOA2021-11-26T11:43:00Z
dc.identifier.legacycoverpagehttps://digitalcommons.law.yale.edu/fss_papers/3702
dc.identifier.legacyfulltexthttps://digitalcommons.law.yale.edu/cgi/viewcontent.cgi?article=4702&context=fss_papers&unstamped=1


Files in this item

Thumbnail
Name:
Commitment_Bonds.pdf
Size:
3.296Mb
Format:
PDF

This item appears in the following Collection(s)

Show simple item record