It Is Sometimes the Case That Parties to a Contract

question 14

Multiple Choice

It is sometimes the case that parties to a contract are unwilling to settle a contract because they don't want to take the blame for poor terms of the agreement. In these cases, the parties will often rely on the arbitration process to make the decisions for them. The term used to describe this problem is:

• A) the chilling effect.
• B) the ripple effect.
• C) the narcotic effect.
• D) the arbitration effect.