... can cause perceived reputational damage for the auditor that temporarily increases client bargaining power. In the year after suit filing, fees are lower for clients in the same city-industry office as the sued client, but are unchanged for clients of other auditors in the same city-industry...

...Moez Bennouri; Mehdi Nekhili; Philippe Touron SUMMARY We use a unique dataset from a sample of 85 French firms over the period 2002–2008 in order to answer the following questions: Is there any relation between the use of auditors with a brand-name reputation for providing high-quality audit...

...Jason T. Rasso SUMMARY This paper examines the use of an apology for conducting a deficient audit that indirectly leads to an audit failure. Audit failures can be costly to accounting firms in terms of litigation costs and reputational harm. These costs are potentially much higher when the audit...