Contract theory largely abstracts from individual differences in the ability to design contracts. We argue that the relative expertise of contracting parties strongly affects contractual outcomes. Using unique data on company acquisition contracts, we document that lawyers with higher expertise...

This paper analyses deal protection devices, specifically termination fees and lockup agreements, that are entered into by publicly listed target companies in favour of the preferred bidders under Anglo-American law. US (specifically Delaware) and UK law and regulation differ markedly in the...

We study the determinants of the takeover processes duration. In our model, we focus on bidder initiated, one-to-one negotiations. An initial bidder submits an offer to the target. The target either accepts, and the transaction is completed, or rejects. The bidder has then the choice between...

Using unique, hand-gathered data, this paper examines how public news about the target firmreleased publicly during the private merger negotiation process affects bidding strategies. Weprovide strong evidence that market reactions to information events during the private sale processhave a...