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contracts. This article examines the role of business ethics in contract performance. It demonstrates that the law alone is not … commercial law. This is particularly the case in the law of contract. This article encourages managers to embrace the principles …
Persistent link: https://www.econbiz.de/10014197480
contracting clarity. Clarity refers to the extent to which the terms of a relational contract, or subjective assessment can be …
Persistent link: https://www.econbiz.de/10013036596
Both corporate governance and covenants separately have been shown to play a role in mitigating agency problems associated with debt. Accordingly, we examine the association between corporate governance and the restrictiveness of covenants on a sample of newly syndicated loans in the U.S....
Persistent link: https://www.econbiz.de/10013098897
CEO contractual protection, in forms of CEO employment agreements and CEO severance pay agreements, is prevalent among S&P 1500 firms. While prior research has examined the impact of these agreements on corporate decisions from shareholders’ perspective, there is little research on the impact...
Persistent link: https://www.econbiz.de/10014235938
to suggest avenues for future research. We argue that incomplete contract theory broadens our understanding of both the … discussing its rich theoretical implications, we expect incomplete contract theory to prove useful in motivating future research … and in offering directions to advance our knowledge of how accounting information affects contract efficiency …
Persistent link: https://www.econbiz.de/10013003257
to suggest avenues for future research. We argue that incomplete contract theory broadens our understanding of both the … discussing its rich theoretical implications, we expect incomplete contract theory to prove useful in motivating future research … and in offering directions to advance our knowledge of how accounting information affects contract efficiency …
Persistent link: https://www.econbiz.de/10012986904
This paper surveys both the theoretical and the empirical archival literature on conservatism when accounting information is used for debt contracting. The theoretical literature shows mixed results whether conservative accounting is desirable, which depends on the underlying agency problem, the...
Persistent link: https://www.econbiz.de/10012848727
. We consider full-commitment contracts, i.e., the principal is assured that his contract for each agent is implemented …, and analyze the principal's delegation choice to authorize a senior agent to contract with a junior agent based on reports … decentralized contract are driven by their incentives to share risk, and by their incentives to re-allocate their effort choices, i …
Persistent link: https://www.econbiz.de/10012726431
How to address managerial short-termism has been an important issue for companies, regulators, and researchers. In this paper we examine the impact of CEO contractual protection, in the form of employment agreements and severance pay agreements, on managerial short-termism. We find that firms...
Persistent link: https://www.econbiz.de/10013065519
How to address managerial short-termism is an important issue for companies, regulators, and researchers. We examine the effect of CEO contractual protection, in the form of employment agreements and severance pay agreements, on managerial short-termism. We find that firms with CEO contractual...
Persistent link: https://www.econbiz.de/10013029214