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account_balance Enforcing Contracts

The enforcing contracts indicator measures the time and cost for resolving a commercial dispute through a local first-instance court, and the quality of judicial processes index, evaluating whether each economy has adopted a series of good practices that promote quality and efficiency in the court system. The most recent round of data collection was completed in June 2017. See the methodology for more information.

What is Measured?

Doing Business measures the time and cost for resolving a commercial dispute through a local first-instance court and the quality of judicial processes index, evaluating whether each economy has adopted a series of good practices that promote quality and efficiency in the court system. The data are collected through study of the codes of civil procedure and other court regulations as well as questionnaires completed by local litigation lawyers and judges. The ranking of economies on the ease of enforcing contracts is determined by sorting their distance to frontier scores for enforcing contracts. These scores are the simple average of the distance to frontier scores for each of the component indicators (figure 1).


Efficiency of Resolving a Commercial Dispute

The data on time and cost are built by following the step-by-step evolution of a commercial sale dispute (figure 2).

Quality of Judicial Processes

The quality of judicial processes index measures whether each economy has adopted a series of good practices in its court system in four areas: court structure and proceedings, case management, court automation and alternative dispute resolution.

Figure 1 - Enforcing contracts: efficiency and quality of commercial dispute resolution

Figure 2 - What are the time and cost to to resolve a commercial dispute through the courts

Read the methodology