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therefore, leases the car to Louise. This transaction can be represented by the

following diagram, which shows the positions of the parties both before and

after the lease:

Figure 3.5 Illustration of a Transfer of Property by Lease

Elements of a rule identify the part of the world that the rule seeks to change.

Consequences of a rule prescribe the way in which the rule directly and legally

changes the world. The legal rule imposes these consequences on the parties

when it applies to a set of facts. Consequences are labelled Consequences or

Consequences 1-n (when it is necessary to indicate or emphasise that there are

multiple consequences or a single consequences with components).

Consequences are whatever the particular law designates and can vary from

law to law. For example the consequences to which rules of criminal law apply

consist of punishment in the form of imprisonment or a fine, while the

standard consequence for a tort or civil wrong is an award of monetary

damages to the plaintiff.

To illustrate legal consequences, let us use the common case where the law

creates a criminal offence. Assume that Shane has hit a pedestrian while

driving her motorcar. Assume further that a provision in the Motor Traffic Act

creates a criminal offence of driving in a manner dangerous to the public and

imposes as punishment a fine of $5,000 or two years in jail. If this provision

applies, the direct legal consequence is that Shane is guilty of the offence. A

further consequence follows because Shane is guilty –

she is liable to be

punished by a fine of $5,000 or two years in jail.

It is also possible that the pedestrian whom Shane injured sues Shane for

negligence to obtain compensation for injuries suffered. If

succeeds in this action the consequences are that Shane will be ordered by the

court to pay monetary damages to the pedestrian.