Shareholder litigation rights and the cost of debt: Evidence from derivative lawsuits

被引：79

作者：

Ni, Xiaoran ^{[1
,2
]}

Yin, Sirui ^{[3
]}

机构：

[1] Xiamen Univ, Dept Finance, Sch Econ, Xiamen 361005, Fujian, Peoples R China

[2] Xiamen Univ, Wang Yanan Inst Studies Econ WISE, Xiamen 361005, Fujian, Peoples R China

[3] Univ Arizona, Eller Coll Management, Dept Finance, Tucson, AZ 85721 USA

来源：

JOURNAL OF CORPORATE FINANCE | 2018年 / 48卷

关键词：

Shareholder litigation right; Universal demand law; Cost of debt; Corporate governance; CORPORATE GOVERNANCE; EMPIRICAL-ANALYSIS; PROPENSITY SCORE; AGENCY COSTS; RISK-TAKING; FINANCE; RESPONSES; BOARDS; MARKET; CAUSAL;

D O I：

10.1016/j.jcorpfin.2017.10.008

中图分类号：

F8 [财政、金融];

学科分类号：

0202 ;

摘要：

Exploiting the staggered adoption of universal demand (UD) laws as exogenous shocks to filing derivative lawsuits, we find that weakened shareholder litigation rights cause a significant increase in the cost of debt. Deteriorated corporate governance, increased information asymmetry, and heightened managerial risk-taking are the underlying channels. Shareholders respond to weakened litigation rights by providing managers with less risk-taking incentives. Overall, our findings suggest that the shareholder litigation rights are important to debtholders. (C) 2017 Elsevier B.V. All rights reserved.

引用

页码：169 / 186

页数：18

共 50 条

[31] INVESTORS BEWARE: ASSESSING SHAREHOLDER DERIVATIVE LITIGATION IN INDIA AND CHINA
Scarlett, Ann M.
UNIVERSITY OF PENNSYLVANIA JOURNAL OF INTERNATIONAL LAW, 2011, 33 (01): : 173 - 237
[32] Preliminary Procedures in Shareholder Derivative Litigation: A Beneficial Legal Transplant?
Gelter, Martin
EUROPEAN COMPANY AND FINANCIAL LAW REVIEW, 2022, 19 (01) : 3 - 39
[33] Shareholder derivative litigation in Japan: Law, practice, and suggested reforms
Kawashima, S
Sakurai, S
STANFORD JOURNAL OF INTERNATIONAL LAW, 1997, 33 (01) : 9 - 60
[34] THE POWER OF DIRECTORS TO TERMINATE SHAREHOLDER LITIGATION - THE DEATH OF THE DERIVATIVE SUIT
DENT, GW
NORTHWESTERN UNIVERSITY LAW REVIEW, 1980, 75 (01) : 96 - 146
[35] Lawyers, lawsuits, and legal rights: The battle over litigation in American society
Hensler, DR
JUDICATURE, 2003, 87 (02) : 83 - 85
[36] AN EMPIRICAL-EXAMINATION OF THE RESOLUTION OF SHAREHOLDER DERIVATIVE AND CLASS-ACTION LAWSUITS
JONES, TM
BOSTON UNIVERSITY LAW REVIEW, 1980, 60 (03) : 542 - 573
[37] Litigation Risk and Debt Contracting: Evidence from a Natural Experiment
Chen, Zhihong
Li, Ningzhong
Shen, Jianghua
JOURNAL OF LAW & ECONOMICS, 2020, 63 (04): : 595 - 630
[38] Minority Shareholder Activism and Debt Financing Costs: Evidence from China
Liao, Kezhi
Wang, Zhihao
Zhang, Yu
EMERGING MARKETS FINANCE AND TRADE, 2025,
[39] Political rights and the cost of debt
Qi, Yaxuan
Roth, Lukas
Wald, John K.
JOURNAL OF FINANCIAL ECONOMICS, 2010, 95 (02) : 202 - 226
[40] Corporate social responsibility and litigation risk: Evidence from securities class action lawsuits
Chakraborty, Atreya
Gao, Lucia S.
Musa, Prianka
ACCOUNTING AND FINANCE, 2023, 63 (02): : 1785 - 1819

← 1 2 3 4 5 →