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Does Discovery Promote Settlement? An Empirical Answer

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  • Kuo‐Chang Huang

Abstract

Law and economics scholars fiercely debate the question of whether discovery promotes settlement. The few empirical studies addressing this question in the United States have generated more questions than insights. This article reports the results of an independent empirical study designed to test discovery's effect on facilitating settlement by using official data from more than 175,000 civil cases terminated in Taiwan between 1996 and 2006. As a member of the civil‐law family, Taiwan introduced the concept of discovery into its civil procedure by a 2000 reform. This empirical study shows that the settlement rate for civil cases in all the district courts indeed increased consistently over time following Taiwan's adoption of a discovery system. This article argues that Taiwan's successful experience provides evidence to support the theoretical prediction that the civilian system can enhance the settlement rate by introducing discovery into its civil procedure.

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  • Kuo‐Chang Huang, 2009. "Does Discovery Promote Settlement? An Empirical Answer," Journal of Empirical Legal Studies, John Wiley & Sons, vol. 6(2), pages 241-278, June.
    • Handle: RePEc:wly:empleg:v:6:y:2009:i:2:p:241-278
    DOI: 10.1111/j.1740-1461.2009.01143.x
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    Cited by:

    1. Lin, Chang-Ching & Chang, Yun-chien & Chen, Kong-Pin, 2020. "Knowledge in youth is wisdom in age: an empirical study of attorney experience in torts litigation," International Review of Law and Economics, Elsevier, vol. 63(C).
    2. Greg Goelzhauser, 2024. "Constitutional accountability for police shootings," Journal of Empirical Legal Studies, John Wiley & Sons, vol. 21(1), pages 92-108, March.
    3. Cédric Argenton & Xiaoyu Wang, 2023. "Litigation and settlement under loss aversion," European Journal of Law and Economics, Springer, vol. 56(2), pages 369-402, October.
    4. Morgan Westéus, 2014. "Settlement probability asymmetries in the Swedish Labour Court," European Journal of Law and Economics, Springer, vol. 38(3), pages 485-512, December.
    5. Kuo‐Chang Huang & Chang‐Ching Lin, 2013. "Rescuing Confidence in the Judicial System: Introducing Lay Participation in Taiwan," Journal of Empirical Legal Studies, John Wiley & Sons, vol. 10(3), pages 542-569, September.
    6. Argenton, Cedric & Wang, Xiaoyu, 2020. "Litigation and Settlement under Loss Aversion," Other publications TiSEM b6c48abc-9b47-4c3b-848b-3, Tilburg University, School of Economics and Management.
    7. McLeod, Alex, 2021. "Discovery, disclosure, and confidence," International Review of Law and Economics, Elsevier, vol. 66(C).

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