Foundations of Law and Economics

Opting Out of the Legal System: Extralegal Contractual Relations in the Diamond Industry

Lisa Bernstein

Year
1992
Venue
Journal of Legal Studies
Level
Advanced
Journal of Legal Studies cover
Archive-designed coverJournal of Legal Studies

Summary

Examines the diamond industry's private rules, arbitration institutions, and reputational sanctions. The article asks why sophisticated traders may prefer extralegal agreements and specialized enforcement when secrecy, speed, repeat dealing, and industry membership alter the relative costs of public adjudication.

Citation

Lisa Bernstein. "Opting Out of the Legal System: Extralegal Contractual Relations in the Diamond Industry." Journal of Legal Studies, 1992.

DOI: 10.1086/467902

BibTeX

@article{Bernstein1992Opting,
  title = {Opting Out of the Legal System: Extralegal Contractual Relations in the Diamond Industry},
  author = {Lisa Bernstein},
  year = {1992},
  journal = {Journal of Legal Studies},
  doi = {10.1086/467902},
  url = {https://doi.org/10.1086/467902}
}
Original source: University of Chicago Press Journals

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