Experts estimate as many as 95-99% of audit legal disputes end in a settlement, and new research suggests the reasons for that high number may be simply self-preservation for the attorneys and risk aversion for audit firms. In their paper, “The Settlement Norm in Audit Legal Disputes: Insights from Prominent Attorneys,” Gies College of Business professor Mark Peecher and a team of researchers interviewed 27 attorneys experienced in audit litigation and uncovered some key insights that could shed new light on the legal landscape of the audit profession.
Study: In legal disputes with auditors, settlements are good for lawyers’ business
Mar 17, 2020 Accountancy Faculty Research
Experts estimate as many as 95-99% of audit legal disputes end in a settlement, and new research suggests the reasons for that high number may be simply self-preservation for the attorneys and risk aversion for audit firms.