Abstract: The Efficient Breach is the classic theory of Chicago. The key thought is that if the performing cost is larger than the damages paid for breach of contract, breach of contract is Efficient. The Contract Law is changed from the instrument of punishing guilty and support goodness into the way of reasonably allocating commercial risks. And it is appreciated by the American jurisdiction. However efficient breach does not mean efficient, and it would be realized when meeting the Absolute conditions, but it is a fallacy because of its premises and the contract law system.
Publication Year: 2009
Publication Date: 2009-01-01
Language: en
Type: article
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