Research Handbook on Contract Design

This volume arrives at a time when dissatisfaction with traditional legalistic forms of contract drafting, and the possibilities of more innovative user-centred modes of contract design, are on the rise. New sub-disciplines often arise through new interactions between established disciplines and contract design is no exception. The inclusion of information designers, alongside leading contracts scholars, is therefore an important positive feature. There is also jurisdictional diversity with chapters outlining developments from Europe, North America, Africa, Asia and Australasia. Contributions from innovative contract design practitioners and consultants further enrich the perspectives in the volume. A key challenge with edited collections is often to capture the range of activity and diversity of voices within a coherent message to readers. The editors have done this admirably and the contributions all show facets of the transformatory potential of contract design, and the reimagination of contracts from mere clarification and risk management documents into processes and outcomes that facilitate understanding, agency and ongoing collaboration for contract users. -- Michael Doherty, University of Lancaster, UK This Research Handbook is a remarkable effort from a team of top researchers from multiple disciplines to promote contract design. The contributors emphasize that contracts are not only legal tools for lawyers to manage legal risks of their clients, but primarily business tools that create win-win outcomes. Promoting a fresh user-centric approach to make contracts better by design for all stakeholders in the contracting community, this book is recommended to everybody who drafts, designs or implements contracts in business. -- Soili Nystn-Haarala, University of Lapland, Finland This Research Handbook is a treasure trove of cutting edge research on contract design. With its wide range of topics, the book provides one-stop shopping for all stakeholders in the design processlawyers, managers, designers, and others who are interested in a user-centric approach to better contracting. -- George J. Siedel, University of Michigan, US

Edited by Marcelo Corrales Compagnucci, Associate Professor, Centre for Advanced Studies in Biomedical Innovation Law (CeBIL), University of Copenhagen, Denmark, Helena Haapio, Associate Professor of Business Law, University of Vaasa School of Accounting and Finance and Professor of Practice and Adjunct Professor of Proactive Law and Contract Design, University of Lapland, Finland and Mark Fenwick, Professor, Faculty of Law, Kyushu University, Japan

Contents: Preface xii PART I RETHINKING CONTRACTS: FROM DRAFTING TO DESIGN 1 The many layers and dimensions of contract design 2 Marcelo Corrales Compagnucci, Helena Haapio and Mark Fenwick 2 Contracts are just words 19 Tim Cummins 3 Reframing contract design: integrating business, legal, design, and technology perspectives 33 Thomas D Barton, Helena Haapio, Stefania Passera and James G Hazard 4 Designing contracts for human readers 55 Robert Waller 5 Functional or dysfunctional? The language of business contracts in English: an update 75 Christopher Williams 6 Contract transformation: merging drafting and design to meet the needs of human readers 92 Stefania Passera, Emily Allbon and Helena Haapio PART II WHY CONTRACT DESIGN MATTERS: RETHINKING THE BUSINESS AND LEGAL PURPOSE AND FUNCTIONS OF CONTRACTS 7 Rethinking legal requirements: a case study of incomprehensible consumer contracts in the United States 114 Wendy E Wagner 8 Contractual processualization: designing proactive contractual processes to support legal, technical and commercial purposes 134 Ren Franz Henschel 9 The functional contracting framework: assessing the impacts of contract functions, framing and regulatory focus 158 Anna Hurmerinta-Haanp 10 Genre blending and contract design 180 Tarja Salmi-Tolonen 11 Contract design beyond the hype: measuring the value 199 Marie Potel-Saville and Mathilde Franois Da Rocha PART III DESIGNING BETTER CONTRACTS FOR BUSINESS AND LEGAL PURPOSES 12 Contracts and the human factor hidden fears and tears or mutual success? 221 Tuula Pere 13 Prevention and promotion approaches to contracting: implications for negotiator focus and contract frames on exchange performance and relationships in the digital age 239 Beverly Rich, Libby Weber and Christopher W Bauman 14 Contract simplification a user-centered approach to contract structure design 258 Milva Finnegan 15 Simple contracting for every step of collaboration/innovation 275 Deepika Jeyakodi and Mirjam E Ros 16 Business contract design via Contract Management operationalized methodology 294 Suvi Hirvonen-Ere PART IV WHEN TEXT ALONE IS NOT ENOUGH: VISUAL CONTRACTS 17 Facilitative contracts with visuals and comics: access to justice and steps for the future 315 Su-Hsien Lee and Camilla Baasch Andersen 18 Employment agreements in comic book form what a difference cartoons make 329 Camilla Baasch Andersen and Robert de Rooy 19 Image analysis as a visualization tool translating contracts into comics 347 Eliisa Pitksalo, Anne Ketola, Vaula Haavisto and Laura Kalliomaa-Puha 20 Interpreting images in contracts 365 Vesa Annola, Helena Haapio and Merja Koskela PART V WHAT DOES THE FUTURE HOLD? DESIGNING FOR HUMANS AND MACHINES 21 Simplification and automation: the chicken and egg of contract design? 383 Verity White 22 Engineering consent: using technology to create informed consumers 401 Eliza Mik 23 Digital technology, future lawyers and the computable contract designer of tomorrow 421 Marcelo Corrales Compagnucci, Mark Fenwick and Helena Haapio Index 445