PT - JOURNAL ARTICLE AU - Xuan Liu AU - Imants Paeglis AU - Thomas Walker TI - Causes and Consequences of Venture Capitalist Litigation AID - 10.3905/jpe.2006.650460 DP - 2006 Aug 31 TA - The Journal of Private Equity PG - 59--75 VI - 9 IP - 4 4099 - https://pm-research.com/content/9/4/59.short 4100 - https://pm-research.com/content/9/4/59.full AB - Sticking with an analysis of the situation postdeal, Liu, Paeglis, and Walker take us into the scary world of SEC lawsuits thrown at venture-backed public companies. Does the strong reputation of a venture firm appear to attract litigation due, perhaps, to the deep pockets of the organization? That's a scary thought and these authors test it. Are the lawsuits frivolous or do they appear to have merit? Do firms continue to fund companies after the imposition of litigation? Do venture firms named in lawsuits tend to keep or lose their reputational rankings? Can you avoid lawsuits by monitoring your portfolio firms more intensively? We thought you might be interested in the answers to some of these provocative questions.TOPICS: Private equity, exchanges/markets/clearinghouses, risk management, statistical methods