In recent years there has been a significant increase in the privatization of what were previously governmental services. Privatization raises many difficult legal questions. This is a relatively new area of law and thus there are many unanswered questions. There are no easy answers to any of these questions. This discussion is limited to an overview of the answer to the fourth question, concerning liability of private parties who are providing what were previously publicly provided services.

Generally, there are two forms of privatization. The first involves the jettisoning of a service by a governmental body or agency. The second and most common form of privatization occurs when a government delegates the administration of a specific program or project to a private party. As privatization expands and takes on new forms in the years ahead, difficult questions will have to be resolved.