Economic Analysis of Contract’s Social Function: critique and discussion
DOI:
https://doi.org/10.18836/2178-0587/ealr.v1n2p196-212Keywords:
Educação FísicaAbstract
The 2002 Civil Code brought with it to the Brazilian legal environment the principle of “contract’s social function”. The legislator did not define what this principle actually means and courts have been struggling to fill the void, despite their best efforts. Facing the debate, some legal scholars from the law & economics tradition have been trying to give substance to the contract’s social function principle by establishing an analogy between the principle and the concept of externalities, as employed in economics. This papers argues that this analogy contributes little to diminish the conceptual vacuum created by the Brazilian legislator.
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