Purpose: The purpose of this paper is to investigate the relationship between level of environmental disclosure and establishment of a legitimacy image of operation among Japanese firms after implementation of the Kyoto Protocol. Design/methodology/approach: This study uses a sample consisting...

This paper studies dynamic disclosure when the firm value evolves stochastically over time. The presence of litigation risk, arising from the failure to disclose unfavorable information, not only prompts bad news disclosures but also crowds out good news disclosures. The manager's disclosure...