Litigation and Settlement under the English and American Rules: Theory and Evidence
研究对比英美两种诉讼费用分配规则对案件选择和诉讼行为的影响，利用佛罗里达州医疗事故数据发现英国规则提高了原告胜诉率、陪审团裁决金额和庭外和解金额。
In contrast to the American rule, whereby each party bears its own costs, the English rule requires losers at trial to pay the winner's legal fees, up to a reasonable limit. We develop six hypotheses regarding how these two cost-allocation rules might affect settlements and litigated outcomes through changes in (i) the selection of cases reaching the settle-versus-litigate stage and (ii) behavior thereafter. Using data from Florida, which applied the English rule to medical malpractice claims during the period 1980-85, we examine the rules' effects on the probability of plaintiffs' winning at trial, jury awards, and out-of-court settlements. The English rule increased plaintiff success rates at trial, average jury awards, and out-of-court settlements. Our interpretation of these findings emphasizes that the overall quality of the claims reaching the settle-versus-litigate stage must improve to generate the combination of effects observed.