Contract theory : the evolution of contractual intent


    • DiMatteo, Larry A.


Contract theory : the evolution of contractual intent

Larry A. DiMatteo

Michigan State University Press, c1998

  • : pbk. : alk. paper

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Includes bibliographical references (p. 199-206) and index



This book examines the logical and conceptual structures that arise in the process of making, honouring, and enforcing contracts. The touchstone of Anglo-American contract law is the determination of contractual intent. Two theories have competed for centre stage: the subjective theory of the 'meeting of the minds' and the objective theory in which the parties' manifestations and the transaction's contextual factors became the means for contract interpretation and enforcement. The implementation of the objective theory of contract is the 'reasonable person standard'. Larry DiMatteo focuses on the development, construction, and application of the reasonable person standard. He undertakes a study of the origins of the reasonable person in the disciplines of philosophy, theology, and psychology and concludes with an examination of the interplay between this objective standard and the subjectivity of judgement. The importance of the synthesis of the objective and subjective elements of contracts is crucial for a complete understanding of contract law.

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