Working Paper: NBER ID: w15412
Authors: Daniel Carvell; Janet Currie; W. Bentley Macleod
Abstract: Reforms to the Joint and Several Liability rule (JSL) are one of the most common tort reforms and have been implemented by most US states. JSL allows plaintiffs to claim full recovery from one of the defendants, even if that defendant is only partially responsible for the tort. We develop a theoretical model that shows that the efficiency of the JSL rule depends critically on both whether the care taken by potential tortfeasors is observed, and on how the actions of the potential tortfeasors interact to cause the harm. We then provide evidence that reforms of the JSL rule have been accompanied by reductions in the accidental death rate in the U. S. This result is consistent with the hypothesis that the reform of JSL causes potential tortfeasors to take more care.
Keywords: tort reform; joint and several liability; accidental death rates
JEL Codes: I1; K13
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| jsl reform (E69) | non-auto, non-drug overdose accidental death rate (I12) |
| jsl reform (E69) | non-auto, non-drug overdose accidental death rate (children and elderly) (I12) |
| jsl reform (longer periods) (C41) | non-auto, non-drug overdose accidental death rate (I12) |
| jsl reform (E69) | drug overdose deaths (I12) |
| jsl reform (E69) | auto accident deaths (R48) |