Why are some new leaders dismissed more quickly than others? Adopting agency theory logic, the authors examine how different succession contexts shape boards’ information asymmetries about a potential candidate's competencies in the hiring process, which influences the propensity of making poor hiring decisions and hence the risk of new leader dismissal. Employing duration analysis on a sample of 164 newly appointed leaders in the English premier league (1996–2014), the authors find that the risk of new leader dismissal is: (i) greater when the predecessor leader's exit was initiated by them rather than by the board; (ii) greater when following a longer‐tenured predecessor; and (iii) lower for outside successions compared with inside successions.