Diversified Lending Is Intended to Minimize Transactions Costs

question 25

True/False

Diversified lending is intended to minimize transactions costs.

---

Definitions:

Doctrine of Strict Liability

A legal principle holding parties responsible for damages or injuries arising from their actions, regardless of fault or negligence.

Intentional Acts

Actions taken with the purpose of causing effects that are foreseen, contrasting with accidents or negligence.

Due Care

The effort made by an individual to avoid harm to others or their property.

Strict Product Liability

A legal doctrine that holds manufacturers, distributors, or sellers liable for damages caused by defective products, irrespective of negligence or fault.