When is a “voluntary” contract unenforceable? Professor Todd Zywicki outlines the case of Alaska Packers v. Domenico to explain some basic principles of contract law. The case involves laborers who agreed to certain employment terms but then went on strike in the middle of the job when they couldn’t be replaced. Although the supervisor agreed to their demands in order to have the job finished, a court ruled that the later agreement was unenforceable. Contract law is meant to incentivize good faith negotiations and protect parties from opportunistic behavior.
Professor Todd J. Zywicki is George Mason University Foundation Professor of Law at George Mason University Antonin Scalia Law School, and Research Fellow at the GMU Law & Economics Center.
As always, the Federalist Society takes no position on particular legal or public policy issues; all expressions of opinion are those of the speaker.
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