Our paper examines whether mandatory adoption of IAS/IFRS is associated with lower earnings management. In particular,
we question whether mandatory adoption of IAS/IFRS in France, a code-law country, is sufficient to override managers’
incentives to engage in earnings management. In fact, previous research provides evidence that earnings management magnitude
is on average higher in code-law countries with low investor protection rights, compared to common-law countries
with high investor protection rights (Leuz, Nanda, & Wysocki, 2003; Van Tendeloo & Vanstraelen, 2005).