Justiciability and Remedies–And Their Connections to Substantive Rights

Conventional thinking divides lawsuits into three distinct stages. First, the court determines justiciability – involving whether the plaintiff has standing, the suit is ripe, and so forth. Second, if the suit is justiciable, the court rules on the merits. Finally, if the plaintiff prevails, the court determines the remedy. Sophisticated commentators have long derided this model as oversimplified. Some have maintained that views about substantive rights (the second stage) influence determinations of justiciability (the first). Others have contended that views about acceptable remedies (the third stage) sometimes determine how courts define substantive rights (the second). But no previous commentator has pervasively linked the third stage to the first by establishing a general, systematic connection between judicial apprehensions about unacceptable remedies, or occasionally necessary ones, and the law governing justiciability. This article shows that such a linkage exists.

The article advances two important theses. The narrower of these, the Remedial Influences on Justiciability Thesis, holds that concerns about unacceptable, appropriate, and sometimes necessary remedies exert a nearly ubiquitous, often unrecognized, and little understood influence in the shaping of justiciability doctrines such as standing, mootness, ripeness, and political question. When the Supreme Court confronts the prospect of remedies (or occasionally a non-availability of remedies) that it deems practically unacceptable, it frequently adjusts the applicable law. Sometimes the adjustment occurs within the law of remedies, sometimes in substantive constitutional doctrine. Often, however, concerns about unacceptable, appropriate, and necessary remedies manifest themselves in the design and application of justiciability rules.

Although the Remedial Influences on Justiciability Thesis is novel and important, it is only one aspect of a broader, more important positive thesis that this article also advances. The broader thesis, the Equilibration Thesis, holds that justiciability, substantive, and remedial doctrines constitute a single, overall, mutually interconnected and reciprocally influencing package. In formulating and adjusting doctrine, the Supreme Court does not view justiciability, substantive, and remedial rules as sharply isolated from one another, nor does it regard the considerations that influence its decisions as appropriately bearing on only one kind of doctrine. It does not, for example, differentiate remedial concerns that could properly bear only on the design of remedial doctrines from justiciability considerations distinctively relevant only to justiciability law. Rather, the Court decides cases by seeking an optimal overall alignment of doctrines involving justiciability, substantive rights, and available remedies. 

In addition to advancing the Remedial Influences on Justiciability and Equilibration Theses, this article offers normative reflections on the law and judicial practice that those theses describe. In particular, the article criticizes current standing doctrine and proposes a reformulation that would better promote the concerns, often involving unacceptable remedies, that standing law reflects.

Taking Information Seriously: Misrepresentation and Nondisclosure in Contract Law and Elsewhere

Contract law attempts in various ways to regulate the information that contracting parties exchange. However, most contract law doctrines (and most contract law scholars) have yet to come to grips with the practical issues involved in regulating information. For instance, the disclosure of information can produce costs as well as benefits, by distracting parties from other, more important information; so it is often hard to decide which information should have been disclosed in any given case. Similar costs and benefits are often involved even in cases involving false statements (misrepresentations), where liability might seem less controversial.

While these issues are underappreciated in contract law, they are much more familiar in federal consumer protection law, especially in cases involving false advertising; and they are beginning to be recognized in products liability cases involving the duty to warn. This Article suggests various ways to improve contract law’s handling of misrepresentation and nondisclosure, all of which involve closer attention to the relevant costs and benefits.

Exclusionary Amenities in Residential Communities

This article identifies an important mechanism by which segregation arises in new residential developments. The Fair Housing Act and other antidiscrimination laws closely regulate real estate sales, advertising, and racial steering. As a result of these laws and other factors, purchasers of homes often lack accurate information about the likely demographic makeup of a new neighborhood or condominium building. Yet these laws have not eroded the incentives for housing consumers to obtain this data. This article argues that developers can circumvent fair housing laws by embedding costly, demographically polarizing amenities within a new development and recording covenants mandating that all homeowners pay for those amenities. Its central claim is that developers will select common amenities not only on the basis of which amenities are inherently welfare-maximizing for the residents, but also on the basis of which amenities most effectively deter undesirable residents from purchasing homes in the development. The article dubs this approach the exclusionary amenities strategy and shows how it causes sorting and focal point mechanisms to act in concert, thereby engendering substantial residential homogeneity. The inability to exclude functions as an inducement to spend. 

During the 1990s, the United States experienced a boom in the construction of residential developments built around costly golf courses. This occurred at a time when golf participation functioned as a noticeably better proxy for race than income, wealth, or virtually any other characteristic. Curiously, substantial numbers of Americans who purchased homes in mandatory-membership golf communities played no golf. This article offers circumstantial evidence suggesting that by purchasing homes in these communities, homeowners may simply have been paying a premium for residential racial homogeneity. The article then identifies a number of other examples where developers, or even municipalities, appear to be pursuing an exclusionary amenities strategy. It also identifies instances in which the use of exclusionary amenities may further neutral, or even laudable, objectives. 

The article then notes the possibility of inclusionary amenities, and shows how a few developers, common interest communities, and municipalities have used these amenities to achieve greater residential heterogeneity than would otherwise have been possible. It concludes by evaluating the law’s current stance of leaving exclusionary amenities largely unregulated, and examines various strategies for curbing the use of exclusionary amenities to achieve racial homogeneity.