02 April 2010

Protecting Foolish Victims

The design of the law is to protect the weak and credulous from the wiles and stratagems of the artful and cunning, as well as those whose vigilance and security enable them to protect themselves. . . no rogue should enjoy his ill-gotten plunder for the simple reason that his victim is by chance a fool.

Prosser on Torts at § 108, at 751 (citations omitted) via the Business Law Profs blog.

Corporate management apologist Prof. Bainbridge blogging on a case where "a self-described 'natural psychic, trained Remote Viewer, [and ] intuitive consultant,' was charged ... over his alleged role in a multi-million dollar offering fraud in which he touted his psychic ability to predict stock market movements," suggested that: "The mere fact that some investors are idiots does not tell us anything about what the proverbial reasonable investor would have done in these circumstances. After all, as PT Barnum put it, there's a sucker born every minute."

The cases a quite good ones for exploring differences in values and I am firmly in Prosser's camp.

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