Due to differences in ownership structure, agency problems of family firms are different from non-family firms. This study investigates to what extent of earnings management is affected by the wedge of control rights and cash flows right using family firms in China. We also examine the effects of the pressure of succession on earnings management. In addition, this study investigates how independent boards interlocking affects family firms’ earnings management behavior. The empirical results show that the extent of earnings management is lower for Chinese family firms with larger separation between control rights and cash flow rights. This result is inconsistent with our expectation. The pressure of succession and an independent board interlock have no significant impact on the extent of earnings management.