We apply accepted Economic Damage Theories to create a simple, compelling story for the trier of facts. Applying this process assisted a Superbowl Champion player & Harvard MBA on winning a $28 million dollars award after investing a significant portion of his life savings in a meat processing plant.
Expert economic damage witnesses in commercial litigation matters present damage calculations on the impact an event, such as a breach of contract, may have on the subject entity’s financial performance. We make sure that our assumptions and opinions are grounded in the facts of the case. This means not only understanding a business’ financial performance, but also the numerous other factors, such as market competition, strategy, contractual relationships, and operations, that assist us in forming our opinions. By understanding and clearly articulating the key elements in our scope of our work, we make the complex easy to understand.
This gives Adamy Valuation the opportunity to clearly articulate the case in a way that gets results. Our mindset is based on a 3-column approach to explaining our opinions.
- What actually happened? We review the Company’s actual financial information to determine what actually took place (e.g., company lost $500,000 in profits).
- What should have happened? We review the facts and circumstances of the case to determine what should have happened but for the wrongful act (e.g., company would have earned profits of $27.5 million if its supply contract had not been breached).
- What are damages? The difference between what actually happened and what should have happened.
By framing the challenge in this simple 3 step process, we cut through the noise and can articulate a case that, in some instances, others have been trying to make sense of for years.
This is what happened in the case of a Superbowl Champion turned Harvard MBA.
This individual was on the path for greatness, after graduating from Notre Dame, he joined the Chicago Bears and was part of the formidable defense that helped win the 1985 Superbowl. After his time in the NFL, he graduated from Harvard as an MBA and came back to hometown Chicago to start a family business supplying frozen meat to fast food chains throughout the Midwest.
He bought a small meat supplier and invested a significant amount of his savings into enlarging the manufacturing capacity of the business and making a major investment in a flash freezer machine to upgrade his production line.
This is where things started to go wrong. The machine was the central part of the production line, and what started as only a missed shipping deadline turned into a 3-month delayed delivery, pushing back production by six months!
The business missed key contract fulfillments and was losing business left and right. Nearly bankrupt, they hired outside counsel who brought us in as the economic damages expert.
As our expert learned the business, an economic damages claim was built, the case went to trial in Wisconsin and the result was an award of $28 million for past and future lost profits and increased construction costs related upgrades to the facility.
At Adamy Valuation, our team of talent is deep. Our lead expert witness in economic damage claims has been telling clear stories in litigation since 1997. From multi-billion dollar cases involving Fortune 100 companies such as Northrop Grumman, Boeing, Kmart and Bechtel to smaller cases for family owned businesses, Adamy valuation is here to help our clients focus on their core businesses as we help counsel to resolve your disputes.
Contact us today if you or a client of yours is looking to tell a complex story in a compelling way.