Business tort or economic torts are torts that provide common law rules on liabilities that
arise from business transactions. They are wrongful acts committed against business entities,
sometimes due to recklessness or negligence but often intentional. The action causes financial or
economic losses to the business.
Despite the regulatory safety nets, threats of litigation within pharmaceutical industry still
cast risk of constraints. Notably, for vaccines, persistent disputes cast a shadow even though
there are no adverse judgments made. Companies pay high insurance premiums and still bear the
substantial cost of litigation. These measures are designed to reduce the risk and allow little
chance for unforeseen detection once compounds enter the pipeline. Business tort liability has
diminished exposure to drug development in every stage. It has influenced the establishment of
Institutional Review Boards which implements programs that monitor patients’ rights and safety.
Volunteer patients undergoing clinical trials are protected by the ethical standards and the stiff
federal regulations (Helland, Lakdawalla, Malani, & Seabury, 2014). Patients need to know the
potential hazards, aims, methods and the anticipated benefi...
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