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Breaking the letter vs. spirit of the law: How the interpretation of contract violations affects trust and the management of relationships

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  • Derek J. Harmon
  • Peter H. Kim
  • Kyle J. Mayer

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  • Derek J. Harmon & Peter H. Kim & Kyle J. Mayer, 2015. "Breaking the letter vs. spirit of the law: How the interpretation of contract violations affects trust and the management of relationships," Strategic Management Journal, Wiley Blackwell, vol. 36(4), pages 497-517, April.
  • Handle: RePEc:bla:stratm:v:36:y:2015:i:4:p:497-517
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    References listed on IDEAS

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    8. Mehta, Judith & Starmer, Chris & Sugden, Robert, 1994. "The Nature of Salience: An Experimental Investigation of Pure Coordination Games," American Economic Review, American Economic Association, vol. 84(3), pages 658-673, June.
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    10. Thomas Mellewigt & Anoop Madhok & Antoinette Weibel, 2007. "Trust and formal contracts in interorganizational relationships - substitutes and complements," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 28(8), pages 833-847.
    11. Nicholas S. Argyres & Janet Bercovitz & Kyle J. Mayer, 2007. "Complementarity and Evolution of Contractual Provisions: An Empirical Study of IT Services Contracts," Organization Science, INFORMS, vol. 18(1), pages 3-19, February.
    12. Anna Lamin & Srilata Zaheer, 2012. "Wall Street vs. Main Street: Firm Strategies for Defending Legitimacy and Their Impact on Different Stakeholders," Organization Science, INFORMS, vol. 23(1), pages 47-66, February.
    13. Bart S. Vanneste & Phanish Puranam, 2010. "Repeated Interactions and Contractual Detail: Identifying the Learning Effect," Organization Science, INFORMS, vol. 21(1), pages 186-201, February.
    14. Williamson, Oliver E, 1993. "Calculativeness, Trust, and Economic Organization," Journal of Law and Economics, University of Chicago Press, vol. 36(1), pages 453-486, April.
    15. Prashant Kale & Harbir Singh, 2007. "Building firm capabilities through learning: the role of the alliance learning process in alliance capability and firm‐level alliance success," Strategic Management Journal, Wiley Blackwell, vol. 28(10), pages 981-1000, October.
    16. Joskow, Paul L, 1987. "Contract Duration and Relationship-Specific Investments: Empirical Evidence from Coal Markets," American Economic Review, American Economic Association, vol. 77(1), pages 168-185, March.
    17. Kim, Peter H. & Dirks, Kurt T. & Cooper, Cecily D. & Ferrin, Donald L., 2006. "When more blame is better than less: The implications of internal vs. external attributions for the repair of trust after a competence- vs. integrity-based trust violation," Organizational Behavior and Human Decision Processes, Elsevier, vol. 99(1), pages 49-65, January.
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    2. McCarter, Matthew W. & Wade-Benzoni, Kimberly A. & Kamal, Darcy K. Fudge & Bang, H. Min & Hyde, Steven J. & Maredia, Reshma, 2020. "Models of intragroup conflict in management: A literature review," Journal of Economic Behavior & Organization, Elsevier, vol. 178(C), pages 925-946.
    3. Andaç T. Arıkan, 2020. "Opportunism is in the Eye of the Beholder: Antecedents of Subjective Opportunism Judgments," Journal of Business Ethics, Springer, vol. 161(3), pages 573-589, January.
    4. Oliver Schilke & Sheen S. Levine & Olenka Kacperczyk & Lynne G. Zucker, 2019. "Call for Papers-Special Issue on Experiments in Organizational Theory," Organization Science, INFORMS, vol. 30(1), pages 232-234, February.
    5. Masakure, Oliver, 2016. "The effect of employee loyalty on wages," Journal of Economic Psychology, Elsevier, vol. 56(C), pages 274-298.
    6. Cecilia Varendh-Mansson & Tyler Wry & Ariane Szafarz, 2020. "Anchors Aweigh? Then Time to Head Upstream Why we Need to Theorize “Mission” before “Drift”," Working Papers CEB PostPrintCEB024, ULB -- Universite Libre de Bruxelles.
    7. Brian C Pinkham & Mike W Peng, 2017. "Overcoming institutional voids via arbitration," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 48(3), pages 344-359, April.
    8. Stephanie Eckerd & Sean Handley & Fabrice Lumineau, 2022. "Trust violations in buyer–supplier relationships: Spillovers and the contingent role of governance structures," Journal of Supply Chain Management, Institute for Supply Management, vol. 58(3), pages 47-70, July.
    9. Liangyan Wang & Brian Wu & Cornelia Pechmann & Yitong Wang, 2023. "The performance effects of creative imitation on original products: Evidence from lab and field experiments," Strategic Management Journal, Wiley Blackwell, vol. 44(1), pages 171-196, January.
    10. Xiaodan Zheng & Shuibo Zhang & Conghan Wang, 2018. "Trust Repair after Opportunistic Behaviors in the Chinese Construction Projects," Sustainability, MDPI, vol. 10(7), pages 1-13, July.
    11. Dovev Lavie & Randi Lunnan & Binh Minh T. Truong, 2022. "How does a partner's acquisition affect the value of the firm's alliance with that partner?," Strategic Management Journal, Wiley Blackwell, vol. 43(9), pages 1897-1926, September.

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