The program provides a practical understanding of core Law and Economics principles and their relevance to Danish contract and tort law. You will actively engage with value-maximizing contracts, relational governance, economic reasoning in adjudication, and the treatment of changed circumstances.

Through close interaction with faculty and peers, you will strengthen your ability to integrate economic analysis into legal method while preserving fairness, legitimacy, and fundamental rule-of-law values.

Contents of the course

This two-day intensive program explores how economic analysis can enrich legal reasoning and contribute to the development of Danish private law.
Day one focuses on value maximization and relational governance. The opening session introduces the logic of the value-maximizing contract and Coasean reasoning. Through interactive dialogue and a structured mini-negotiation exercise, participants examine transaction costs, information asymmetries, and the institutional barriers that may hinder efficient value creation.
The second session turns to relational contracting in long-term business relationships. Drawing on empirical research and practical experience, the faculty explore informal enforcement mechanisms, reputation, and governance structures that reduce reliance on courts. The discussion addresses the implications for lawyers and judges when drafting and interpreting contracts.

Day two shifts to enforcement and systemic perspectives. Tort law is examined through the lens of Coase, focusing on externalities and the choice between property and liability rules. In case labs, participants assess liability scenarios and argue for rules that maximize total social value.

The final academic session addresses changed circumstances, including force majeure and the Danish doctrine of basic assumptions. Participants discuss when relief may enhance total value and how economic reasoning can inform clause design and legal argumentation.

The program concludes with a faculty panel synthesizing insights across contract and tort law and discussing how economic reasoning can strengthen Danish private law while preserving fairness and legitimacy.
During the course we will explore:

• value maximization and the economic logic of contract design

• transaction costs and information asymmetries in negotiation

• relational governance and informal enforcement in long-term contracts

• the role of economic reasoning in Danish contract adjudication

• tort law analysed through property and liability rules

• force majeure and the doctrine of basic assumptions from an economic perspective

• the balance between efficiency, fairness, and rule-of-law principles.