Suchergebnisse

This article considers how directors' remuneration should be set. It does so in both general terms and in the light of the DTI (1999) paper entitled Directors' Remuneration. A Consultative Document. The DTI document forms part of a general review of company law that is being undertaken by the Department of Trade and Industry. This article explores the extent to which these government‐directed developments can be seen as an extension of the Cadbury, Greenbury and Hampel Reports and the extent to which self‐regulation as opposed to government regulation looks set to dominate this area.

A commonly held view is that the frequency and value of pre‐trial settlements in civil disputes are greatly influenced by the cost allocation regime that is in place if the case goes to trial. There is a large and growing theoretical literature on this subject but almost no empirical evidence. This is due simply to the scarcity of relevant data owing to the confidentiality generally associated with such matters. However, the area is an ideal one to analyse experimentally. In this paper we consider the effect of the British and American rules for cost allocation using such an experimental methodology. We find that the two rules produce no difference in the frequency of pre‐trial settlements but that the British rule produces higher settlements (pro‐pursuer) if the probability of the pursuer winning is large.