Oishi, T., van der Laan, G. and van den Brink, R. (2023). Axiomatic analysis of liability problems with rooted-tree networks in tort law Economic Theory, 75(1):229--258.
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Affiliated author
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Publication year2023
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JournalEconomic Theory
We analyze a legal situation in which a plaintiff suffers the total damage of the cumulative injury that is caused by multiple sequences of tortfeasors{\textquoteright} wrongful acts. This liability situation is modeled by a tuple consisting of a rooted-tree network of causation of the injury, and a list of marginal damages. The problem is to determine how to share the total damage among the tortfeasors in such situations. A rule is a mapping that associates with each liability problem a list of payments to be made by the tortfeasors to pay for the plaintiff{\textquoteright}s harm. We axiomatize two rules that are obtained as the Nucleolus and the Shapley value, respectively, of a coalitional game with tortfeasors as players. The axioms involved in these axiomatizations are derived from the legal concept of tort law.