Abstract

http://ssrn.com/abstract=899593
 
 

Citations (3)



 
 

Footnotes (7)



 


 



Sarbanes-Oxley: Legislating in Haste, Repenting in Leisure


Stephen M. Bainbridge


University of California, Los Angeles (UCLA) - School of Law

2006

UCLA School of Law, Law-Econ Research Paper No. 06-14

Abstract:     
This essay was prepared for presentation as a lecture to the Hoover Institution. In it, I focus on three areas in which the Public Company Accounting Reform and Investor Protection Act, popularly known as the Sarbanes-Oxley Act (SOX), has proven especially problematic. First, the legal ethics rules added to the Act at the last minute have proven incapable of dealing with the incentives that condition lawyers to turn a blind eye to client misconduct. Second, the structure Congress chose for the Public Company Accounting Oversight Board (PCAOB), the accounting oversight board created by SOX, turns out to have serious constitutional defects. Finally, and most importantly, corporate compliance costs have gone up far more than anyone anticipated and are staying up far longer than even Cassandra might have predicted. Worse yet, these costs disproportionately impact smaller public corporations, which are an important engine of economic growth. Taken together, these three areas of concern highlight why Congress should think twice before trying instant legislation in the future.

Number of Pages in PDF File: 16

Keywords: Sarbanes-Oxley, corporate governance, securities regulation

JEL Classification: K22

working papers series


Download This Paper

Date posted: May 1, 2006  

Suggested Citation

Bainbridge, Stephen M., Sarbanes-Oxley: Legislating in Haste, Repenting in Leisure (2006). UCLA School of Law, Law-Econ Research Paper No. 06-14. Available at SSRN: http://ssrn.com/abstract=899593 or http://dx.doi.org/10.2139/ssrn.899593

Contact Information

Stephen Mark Bainbridge (Contact Author)
University of California, Los Angeles (UCLA) - School of Law ( email )
385 Charles E. Young Dr. East
Room 1242
Los Angeles, CA 90095-1476
United States
310-206-1599 (Phone)
310-825-6023 (Fax)
HOME PAGE: http://www.professorbainbridge.com
Feedback to SSRN


Paper statistics
Abstract Views: 3,141
Downloads: 775
Download Rank: 16,547
Citations:  3
Footnotes:  7

© 2014 Social Science Electronic Publishing, Inc. All Rights Reserved.  FAQ   Terms of Use   Privacy Policy   Copyright   Contact Us
This page was processed by apollo8 in 1.141 seconds