Study On Litigation Process,Judgment Results And Market Reaction Of Listed Companies

Since the 18 th National Congress of the Communist Party of China,the pace of advancing the rule of law in a comprehensive manner has been steadily moving forward.The law of all people's knowledge and usage has been comprehensively improved,and litigation,which is often regarded as a high-cost conflict resolution method,has been used by more and more listed companies.The trend of legal proceedings in listed companies has increased the number of litigations,the amount of litigation has increased,and large-scale litigations have occurred frequently.The legal environment is one of the important means of corporate external governance.The legal actions of listed companies are enough to change investors' expectations and financial concerns about the company and the company's products.Listed companies will also take corresponding measures to increase market sentiment.This paper will deeply analyze the market rate of return response and turnover response of each link in a listed company's legal proceedings from the perspective of micro-cases.Therefore,this paper will study the litigation process,judgment results and market reaction of listed companies involved in litigation,and at the same time pay attention to the judicial environment problems and investor protection issues arising therefrom.This paper first introduces the research background and significance of this topic,and then conducts a detailed classification and review of domestic and foreign literatures involving legal proceedings;then briefly describes the case of the product disputes of Hithink Royalflush and Wind in this article;The incident research method analyzes every link in the litigation process of Royalflush and Wind from 2012 to 2017,mainly analyzing the original case and the related litigation division: the filing of the lawsuit,including the filing of the lawsuit in the original case,and the claim Change;jurisdiction dissent lawsuit process,including the submission of jurisdictional objections,appeals and judgments;the trial process;the outcome of the proceedings,mainly including trials,first-instance judgments,appeals and second-instance judgments.In this paper,the abnormal return rate,excess cumulative abnormal return rate,abnormal turnover rate and excess abnormal turnover rate of each process are measured.The announcement date or the occurrence date is the event day,and(0,+3)is used as the event window.Then a t test was performed.Through case analysis,this paper has the following conclusions: First,listed companies as defendants,significantly reduce the company's stock liquidity;second,propose jurisdictional objections,strive for judicial local protectionism;third,the judgment results cause investors to ponder,market reaction Lagging;Fourth,investors pay more attention to major lawsuits;Fifth,the judgment of related litigation affects investors' expectations of the original case;sixth,information disclosure disclosure causes market disagreement,disrupts investors' perception and damages investors' interests.At the same time,this paper puts forward corresponding suggestions and countermeasures based on the conclusions obtained: First,the stocks of the listed companies of the defendant need to be cautiously bought and sold;secondly,strengthen the construction of the legal system,showing the independence and fairness of the judiciary;third,carefully analyze the judgment results and grasp relevant advantages and disadvantages;Fourth,major litigation needs attention,small litigation should also pay attention;Fifth,related litigation will transmit investment risks;sixth,information disclosure needs to be regulated.