This paper examines renegotiation design in contracts for outsourced information technology (IT) services. Whereas prior literature in information systems has highlighted the likelihood of ex post rent seeking engendered by renegotiation, we build upon literature on incomplete contracts to posit...

Firms use formal contracts as governance devices to manage their inter-organizational relationships. We examine 52 such contracts written for Information Technology (IT) services to investigate whether they possess properties as suggested by contract theory. We combine constructs from...