Homework SourseHigh litigation costs may discourage risky behavior because
High litigation costs
may discourage risky behavior because the cost of defending against negligence claims will be high
may make risky behavior more likely because the high cost discourages victims from filing negligence lawsuits
are caused by the inefficient use of the legal system
have been eliminated by tort reform laws
Both A and B are true
| A. | may discourage risky behavior because the cost of defending against negligence claims will be high | |
| B. | may make risky behavior more likely because the high cost discourages victims from filing negligence lawsuits | |
| C. | are caused by the inefficient use of the legal system | |
| D. | have been eliminated by tort reform laws | |
| E. | Both A and B are true |
Solution
The high cost of litigation refers to the amount of attorney\'s fees which are necessary for bringing or defending a lawsuit. So it can discourage people to do any kind of things which are risky. It also possible for a wealthy person to do such type of crime if they know victims are not able to bear such high cost from filing negligence suite. Option E is correct.
