A Person-Organization Discontinuity in Contract Perception: Why Corporations Can Get Away with Breaking Contracts But Individuals Cannot

成果类型:
Article
署名作者:
Haran, Uriel
署名单位:
Ben-Gurion University of the Negev
刊物名称:
MANAGEMENT SCIENCE
ISSN/ISSBN:
0025-1909
DOI:
10.1287/mnsc.2013.1745
发表日期:
2013
页码:
2837-2853
关键词:
corporate personhood moral judgment breach of contract moral heuristics Corporate regulation organizational perception contract theory
摘要:
Most legal systems in the world follow the principle of corporate personhood, which grants organizations the same legal status as natural persons. Although debate over the notion of corporate personhood has been fierce, whether and how this principle is applied in people's beliefs and intuitions has yet to be empirically examined. This work addresses the gap in the literature, in the context of formal contracts. While contracts are typically seen as either morally binding promises or morally neutral business instruments, the data presented here show that contracts of individuals are associated more strongly with promises than are contracts of organizations. As a result, breach of contract by an individual is seen as a moral transgression. The same behavior by an organization, however, is viewed more as a legitimate business decision. This paper also finds that contractual obligations should be phrased in promise terms to eliminate this person organization discontinuity.