Law, Politics & Society Businesses are formed to make money. In the pursuit of making money, businesses deal with consumers and customers and other businesses. In all things in life when you have more than one individual or entity there will be some form of dispute that will arises in the course of time. This paper will focus on purchasing agents and insurance claim agents on why they avoid conflicts in the courts. It will also address how purchasing agents and insurance claim agents access disputes, how they handle disputes and what their objectives are in avoiding such disputes.In all businesses one has to look at the bottom line. How does the business make money in the most productive manner? The usual way is that the business produces a product, markets that product and sells that product to a consumer. When the consumer purchases this product they enter into a contract, usually written, with the business. Stewart Macaulay states there are two distinct elements of a contract, Rational planning of the transaction with careful provision for as many future contingencies as can be foreseen, and the existence or use of actual or potential legal sanctions to induce performance of the exchange or to compensate for non-performance.The paradox of the contract is that it is rarely enforced in a court of law. For example Lawrence H. Ross states that 98% of bodily injury claims in New York are terminated without adjudication by a court. In a survey in 1980 conducted by Richard E. Miller and Austin Sarat in the areas of South Carolina, Eastern Pennsylvania, Eastern Wisconsin, New Mexico and Central California there were only 8.9% consumer grievances filled out of 5147 households surveyed. This suggests that businesses do not like to enforce their contracts but to negotiate with the consumer.There are different ways how businesses access disputes. Discussion will only be focused around purchasing agents and insurance claim agents. P...
