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New Normal University has found it necessary to institute a crime-control program on its campus to deal with the high costs of theft and vandalism. The university is now considering several alternative levels of crime control. This table shows the expected total annual costs and benefits of these alternatives. Based on cost-benefit analysis, New Normal University should undertake Level
Arbitration
A method of resolving disputes outside of court through the decision of one or more arbitrators.
Exculpatory Clause
A contract provision that releases one party from liability for their wrongful acts to the other party.
Tort Liability
A legal responsibility arising from civil wrongs not based on contractual obligations, causing harm or loss to another person or entity, leading to potential compensation for damages.
Public Policy
Principles and standards considered by a government to be beneficial for the community and used as a guide for the development of laws.
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