Econ cases and readings review

Econ 4080

Butterfield v. Forrester (log in road)

A case that established contributory negligence, stating that a plaintiff's negligence can bar recovery.

Davies v. Mann (Donkey in the road)

A case that illustrates the last clear chance doctrine, where even if the plaintiff is negligent, the defendant may still be liable if they had the last clear chance to avoid the harm.

Escola v. Coca-Cola Bottling Co. (Exploding Coke bottle)

A case that established strict liability for defective products, holding manufacturers liable for product defects.

Helling v. Carey (glaucoma)

A case emphasizing the duty of care in medicine, stating that doctors can be liable for failure to follow standard practices, even if they are uncommon.

Henningsen v. Bloomfield Motors, Inc. (Injured wife)

A case that extended implied warranties to anyone expected to use the product.

Li v. Yellow Cab Co. of CA (Intersection collision)

A case that applies comparative negligence, asserting that a plaintiff's recovery can be reduced by their percentage of fault.

MacDonald v. Ortho Pharmaceutical Corp. (Blood clot from "the pill")

A case concerning the duty to warn, where manufacturers must provide adequate warnings about product risks.

MacPherson v. Buick Motor Co. (Defective wheel)

A case concerning product liability, holding manufacturers liable for negligence, even if the defect originated from a supplier.

Mathias v. Accor Economy Lodging (bedbugs)

A case involving willful and wanton conduct, allowing for punitive damages for egregious conduct.

Morgan v. Faberge (Flammable cologne)

A case that discussed foreseeable misuse, where manufacturers may be liable if product misuse is foreseeable.

Scott v. Alpha Beta Company (Wet floor, pink furry slippers)

A case focusing on premises liability, establishing that businesses must protect patrons from known hazards.

US v. Carroll Towing Co. (Untied barge)

A case that introduced the Hand formula, balancing burden, probability, and gravity of harm to determine liability.

Bass v. Gregory (Beer brewed in a cellar)

A case establishing the concept of implied easement, where long-standing, apparent, and continuous use can establish an easement.

Boomer v. Atlantic Cement Co. (Noise & dust from a cement company)

A case that addressed the option of awarding permanent damages versus an injunction for noise and dust nuisances.

Cheney Bros. v. Doris Silk Co. (Fashion design copying)

A case addressing property rights in ideas, noting limited protection for designs not covered by copyright or patent law.

Hammonds v. Central Kentucky Natural Gas Co. (Natural gas under property)

A case applying the rule of capture, where natural resources become property once extracted.

Pierson v. Post (Fox hunt)

A case regarding first possession, asserting that ownership of wild animals requires actual possession.

Spur v. Del E. Webb Development Co. (Cattle lot & AZ developer)

A case on public nuisance, where developers may need to indemnify pre-existing nuisances.

Sturges v. Bridman (Confectioner vs. doctor)

A case involving nuisance law, establishing that longstanding use can be challenged if it becomes a nuisance to new users.

Batsakis v. Demotsis (Drachma for dollars)

A case illustrating inadequacy of consideration, where courts do not inquire into the adequacy of consideration.

Hamer v. Sidway (Uncle’s promise to nephew)

A case about consideration, indicating that forbearance from a legal right counts as consideration.

Sherwood v. Walker ("Pregnant" cow)

A case on mutual mistake, asserting that a mutual mistake about a material fact can void a contract.

Calabresi & Melamed (Property, liability, and inalienability rules)

Concept addressing property, liability, and inalienability rules, with property rules protecting entitlements through exclusion.

Coase, 'The Problem of Social Cost' (Coase theorem)

Concept concerning the Coase theorem, which states that private negotiations can resolve externalities when transaction costs are low.

Hardin, 'The Tragedy of the Commons' (Overuse of shared resources)

Concept discussing the overuse of shared resources, indicating that common resources tend to be overused without regulation or private ownership.

Demsetz, 'Toward a Theory of Property Rights' (Evolution of property rights)

Concept explaining how property rights emerge to internalize externalities as costs and benefits change.

Polinsky, 'Ch. 2 & 15: Equity and Efficiency' (Equity-efficiency trade-off)

Concept focusing on the equity-efficiency trade-off in legal rules, which aim to balance fairness and efficiency.

Polinsky, 'Ch. 17: The Problem of Valuation' (Valuation of damages)

Concept relating to the valuation of damages, indicating that methods to value damages depend on market conditions and individual preferences.

Polinsky,  “Ch. 16 A Summing Up”

Reviews central themes from prior chapters, emphasizing trade-offs between efficiency and equity, and the role of legal rules in shaping incentives and behavior.

Halbman v. Lemke (minor buys car)

Minors can disaffirm contracts, but they may need to return the item if possible.

obde v schlemeyer (termites)

Sellers have a duty to disclose known, latent defects.

Williams v. Walker-Thomas Furniture Co.

Contracts that are procedurally and substantively unfair may be unenforceable.

Epstein, “All’s Quiet on the Eastern Front”

Discusses how changes in legal rules affect property rights and economic activity. Eastern vs western europe.

Landsburg, “Why I am not an environmentalist”

Critiques the prioritization of environmental goals without considering opportunity costs.

Llewellyn, “Remarks on the Theory of Appellate Decision and the Rules or Canons about how Statutes are to be Construed”

Highlights the flexibility of statutory interpretation and the role of judicial reasoning.

Passell, “Disputed New Role for Polls”

Key Point: Analyzes the influence of polling on public opinion and policy decisions.