Can procedural reforms improve judicial efficiency? And do improvements in judicial efficiency benefit firms? We combine the staggered rollout of a reform that required judges in Senegal to complete pretrials within four months with high-frequency caseload data and firm tax filings. The reform improved judicial efficiency, with no effect on quality. Firm monthly revenues drop by 8–11% upon entering pretrial and decline by on average 3.2–5.0% for every hundred days a case spends in pretrial. Survey results show firms are willing to pay higher legal fees to achieve postreform speed, suggesting positive benefits of the reform on firms.
© 2021 The President and Fellows of Harvard College, the Massachusetts Institute of Technology, and The World Bank
The President and Fellows of Harvard College, the Massachusetts Institute of Technology, and The World Bank