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Electronic Discovery and the Adoption of Information Technology

Author

Listed:
  • Amalia R. Miller
  • Catherine E. Tucker

Abstract

After firms adopt electronic information and communication technologies, their decision-making leaves a trail of electronic information that may be more extensive and accessible than a paper trail. We ask how the expected costs of litigation affect decisions to adopt technologies, such as electronic medical records (EMRs), which leave more of an electronic trail. EMRs allow hospitals to document electronically both patient symptoms and health providers’ reactions to those symptoms and may improve the quality of care that makes the net impact of their adoption on expected litigation costs ambiguous. This article studies the impact of state rules that facilitate the use of electronic records in court. We find evidence that hospitals are one-third less likely to adopt EMRs after these rules are enacted. (JEL K41, O33, I12).

Suggested Citation

  • Amalia R. Miller & Catherine E. Tucker, 2014. "Electronic Discovery and the Adoption of Information Technology," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 30(2), pages 217-243.
    • Handle: RePEc:oup:jleorg:v:30:y:2014:i:2:p:217-243.
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    File URL: http://hdl.handle.net/10.1093/jleo/ews038
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    Citations

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    Cited by:

    1. K. Sudhir & Debabrata Talukdar, 2015. "The "Peter Pan Syndrome" in Emerging Markets: The Productivity-Transparency Tradeoff in IT Adoption," Cowles Foundation Discussion Papers 1980, Cowles Foundation for Research in Economics, Yale University.
    2. Sam Ransbotham & Eric M. Overby & Michael C. Jernigan, 2021. "Electronic Trace Data and Legal Outcomes: The Effect of Electronic Medical Records on Malpractice Claim Resolution Time," Management Science, INFORMS, vol. 67(7), pages 4341-4361, July.
    3. Muhammad Zia Hydari & Rahul Telang & William M. Marella, 2019. "Saving Patient Ryan—Can Advanced Electronic Medical Records Make Patient Care Safer?," Management Science, INFORMS, vol. 67(5), pages 2041-2059, May.
    4. K. Sudhir & Debabrata Talukdar, 2015. "The “Peter Pan Syndrome” in Emerging Markets: The Productivity-Transparency Trade-off in IT Adoption," Marketing Science, INFORMS, vol. 34(4), pages 500-521, July.

    More about this item

    JEL classification:

    • K41 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Litigation Process
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • I12 - Health, Education, and Welfare - - Health - - - Health Behavior

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