Cited by 292Law, Economics, and Judicial SystemsLegal processes and jurisprudenceLegal principles and applications

Self-Serving Assessments of Fairness and Pretrial Bargaining

Loewenstein, George, Issacharoff, Samuel, Camerer, Colin, Babcock, Linda·1993·The Journal of Legal Studies

Abstract

A persistently troubling question in the legal-economic literature is why cases proceed to trial. Litigation is a negative-sum proposition for the litigants-the longer the process continues, the lower their aggregate wealth. Although civil litigation is resolved by settlement in an estimated 95 percent of all disputes, what accounts for the failure of the remaining 5 percent to settle prior to trial?

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Crossref · 10.1086/468160

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  • In the first Texas tort experiment, negotiators formed self-serving assessments of the judge's award and the discrepancy between plaintiffs' and defendants' assessments was correlated with the parties' ability to reach voluntary settlements.

    “Our first experiment with this framework found strong evidence that the negotiators formed self-serving assessments of the judge's award and that the discrepancy between the plaintiffs' and defendants' assessments was correlated with the parties' ability to reach voluntary settlements (Loewenstein, Issacharoff, Camerer Table 1 Probability of Impasse by Discrepancy Between Plaintiffs' and Defendant”

    From Explaining Bargaining Impasse: The Role of Self-Serving Biases (1997) · cites this paper as Loewenstein, Issacharoff, Camerer and Babcock, 1993

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Authors
Loewenstein, G., Issacharoff, S., Camerer, C., & Babcock, L.
Venue
The Journal of Legal Studies
Published
1993-01
Volume
22
Issue
1
Pages
135-159
ISSN
  • 0047-2530 (ISSN-L)
  • 1537-5366
OpenAlex
W1986732801
Cited by
292
References
0
Citations by year
2026: 2 · 2025: 9 · 2024: 7 · 2023: 2 · 2022: 12 · 2021: 8 · 2020: 28 · 2019: 12 · 2018: 20 · 2017: 5 · 2016: 9 · 2015: 13 · 2014: 13 · 2013: 15 · 2012: 10
FWCI
7.30
Type
journal article
Language
en
Open access
closed
Locations
  • The Journal of Legal Studies (publishedVersion)
  • CaltechAUTHORS (California Institute of Technology) (submittedVersion)
  • bepress Legal Repository (submittedVersion)
Topics
  • Social Sciences › Economics, Econometrics and Finance › Economics and Econometrics › Law, Economics, and Judicial Systems
  • Social Sciences › Law › Legal processes and jurisprudence
  • Social Sciences › Law › Legal principles and applications
Keywords
settlement, litigation, fairness, self-serving bias, civil litigation, settlement behavior, dispute resolution

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