Li, Xiao; Wang, Yanchao; You, Hong - In: China Journal of Accounting Research 13 (2020) 4, pp. 405-424
-creditor agency conflict. Moreover, creditor litigation is strongly related to low pay-performance sensitivity when the external legal … lawsuits (litigation firms) with those that have not (non-litigation firms), we find that litigation firms have lower pay-performance … sensitivity before lawsuits, suggesting that these firms have weaker corporate governance. This result is consistent with our …