Stolen Goods, a Cruise Disaster and a Right of Way Gone Wrong
Author | : Anthony J. Duggan |
Publisher | : |
Total Pages | : 19 |
Release | : 2013 |
ISBN-10 | : OCLC:1308983717 |
ISBN-13 | : |
Rating | : 4/5 (17 Downloads) |
Book excerpt: In Hunter Engineering Co. v. Syncrude Canada Ltd., the Canadian Supreme Court rejected the doctrine of fundamental breach in favour of unconscionability, a more openly discretionary decision-making tool. This article asserts that the doctrine of 'unconscionability' and 'inequality of bargaining power' are ambiguous terms that allow the court to decide however it sees fit. It is argued that using an economic perspective to decide these cases would provide structure and predictability, and allow parties to make deals with more confidence. Through the examples of three important cases from Canada (Solway v. Davis Moving and Storage), Australia (Dillon v. Baltic Shipping), and New Zealand (Nichols v. Jessup), this article shows how an economic model for decision-making would work to lend more consistency to unconscionability decisions. Finally, three common arguments against lending an economic perspective to the unconscionability doctrine are canvassed.