Just Friends? Managers' Connections to Judges

Sterling Huang, Sugata Roychowdhury, Ewa Sletten, Yanping Xu
{"title":"Just Friends? Managers' Connections to Judges","authors":"Sterling Huang, Sugata Roychowdhury, Ewa Sletten, Yanping Xu","doi":"10.2139/ssrn.4872160","DOIUrl":null,"url":null,"abstract":"We study the impact of social connections between judges and executives on the outcomes of Securities Class Action Litigation (SCAL). Judges who are socially connected to a firm's executives are significantly more likely to dismiss lawsuits against the firm. There is also evidence of faster resolution and lower payout amounts in connected cases. The favorable outcomes cannot be explained by the lower severity of connected cases, or by court, judge, or firm characteristics. Our results are more pronounced when executives connected to the judge are named defendants in the lawsuits, when connected cases involve less visible lawsuits or firms, and when connections between judges and executives are likely more direct. Our evidence indicates that social connections influence judge impartiality and meaningfully alter SCAL outcomes.","PeriodicalId":21855,"journal":{"name":"SSRN Electronic Journal","volume":"25 14","pages":""},"PeriodicalIF":0.0000,"publicationDate":"2024-07-13","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"SSRN Electronic Journal","FirstCategoryId":"1085","ListUrlMain":"https://doi.org/10.2139/ssrn.4872160","RegionNum":0,"RegionCategory":null,"ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"","JCRName":"","Score":null,"Total":0}
引用次数: 0

Abstract

We study the impact of social connections between judges and executives on the outcomes of Securities Class Action Litigation (SCAL). Judges who are socially connected to a firm's executives are significantly more likely to dismiss lawsuits against the firm. There is also evidence of faster resolution and lower payout amounts in connected cases. The favorable outcomes cannot be explained by the lower severity of connected cases, or by court, judge, or firm characteristics. Our results are more pronounced when executives connected to the judge are named defendants in the lawsuits, when connected cases involve less visible lawsuits or firms, and when connections between judges and executives are likely more direct. Our evidence indicates that social connections influence judge impartiality and meaningfully alter SCAL outcomes.
查看原文
分享 分享
微信好友 朋友圈 QQ好友 复制链接
本刊更多论文
只是朋友?管理人员与法官的关系
我们研究了法官与高管之间的社会关系对证券集体诉讼(SCAL)结果的影响。与公司高管有社交关系的法官更有可能驳回针对公司的诉讼。还有证据表明,有关系的案件解决速度更快,赔付金额更低。关联案件的严重程度较低,或者法院、法官或公司的特征都无法解释这种有利的结果。当与法官有关联的高管在诉讼中被列为被告时,当关联案件涉及的诉讼或公司知名度较低时,以及当法官与高管之间的关联可能更为直接时,我们的研究结果会更加明显。我们的证据表明,社会关系会影响法官的公正性,并有意义地改变 SCAL 的结果。
本文章由计算机程序翻译,如有差异,请以英文原文为准。
求助全文
约1分钟内获得全文 去求助
来源期刊
自引率
0.00%
发文量
0
期刊最新文献
Bailing out the Protester Ships of State and Empty Vessels: Critical Reflections on 'Territorial Status in International Law' Religious Expression and Exemptions in the Private Sector Workplace: Spotting Bias Reform, Not Revolution, is What is Needed Now for Yardstick Competition Influence of Psychological Exchange Rates (PER) on Forex Price Formation: Theory, Empirical, and Experimental Evidence
×
引用
GB/T 7714-2015
复制
MLA
复制
APA
复制
导出至
BibTeX EndNote RefMan NoteFirst NoteExpress
×
×
提示
您的信息不完整,为了账户安全,请先补充。
现在去补充
×
提示
您因"违规操作"
具体请查看互助需知
我知道了
×
提示
现在去查看 取消
×
提示
确定
0
微信
客服QQ
Book学术公众号 扫码关注我们
反馈
×
意见反馈
请填写您的意见或建议
请填写您的手机或邮箱
已复制链接
已复制链接
快去分享给好友吧!
我知道了
×
扫码分享
扫码分享
Book学术官方微信
Book学术文献互助
Book学术文献互助群
群 号:481959085
Book学术
文献互助 智能选刊 最新文献 互助须知 联系我们:info@booksci.cn
Book学术提供免费学术资源搜索服务,方便国内外学者检索中英文文献。致力于提供最便捷和优质的服务体验。
Copyright © 2023 Book学术 All rights reserved.
ghs 京公网安备 11010802042870号 京ICP备2023020795号-1