contracting. We find evidence of reduced reliance on inside debt for debt contracting when borrowers have credit constraints …

behavioral aspects can affect contract design in the market for syndicated loans. …

employ a regression discontinuity design to identify the effect of bank interventions on their borrowers' trade credit. The … results show that trade credit experiences a substantial decline when banks intervene in the borrowing firm following covenant … control rights. Such externalities are reflected in the loan contract design. Borrowing firms sign less restrictive loan …

borrower consent clause in a private debt contract increases in the intensity of accompanying creditor control rights in the … contract. This association is more pronounced for larger and less risky borrowers. We also find that loans with a borrower …

We investigate how borrower consent clause (BCC) is used in private debt contracts as a contract design mechanism to … rights, we find that adoption of ARL increases the likelihood of BCC inclusion. Using credit default swap (CDS) trading as a …

.e., profitability) ratios rather than credit ratings. Overall, our study demonstrates how the design of debt contracts changes in …