An economic damage analysis quantifies the amount of loss due to allegedly harmful events.
Breach of Contract
When an individual or business breaches a contract, the other party to the agreement is entitled to remedy under the law. That remedy, is generally money awarded for damages under a breach of contract. Calculating the amount for damages can be a tricky process, at Sage Forensic Accounting, our professionals are experts in computing an accurate damage calculation using years of experience as well as methodological processes.
An employee cannot be fired on the basis of his/her race, gender, ethnic background, religion, or disability. It is also illegal to fire an employee for filing a legal complaint against the company, such as bringing the wrongdoing to light as a whistle-blower.
At Sage Forensic Accounting our professionals are experts at calculating the economic damages associated with wrongful termination.
Personal Injury and Wrongful Death
While there may not be any one particular “correct” way to estimate the lost earnings suffered by an injured individual, our experiences at Sage Forensic Accounting have led us to observe that there are a large number of “incorrect” ways to perform such calculations. If experts that the time to learn, understand, and comprehend the factors involved in the “But-for” model, we believe the issues contested at trial can be significantly reduced to testimony regarding the variables and assumptions used by the individual experts, which in our opinion is much more productive than arguing the merits of two disparate economic damage calculations, particularly when both may be inadequate.
At Sage Forensic Accounting, we have the expertise and experience to assist these cases.
Unjust enrichment occurs when one party illegally benefits from another party. It is based on quasi-contract, which is an obligation of one party to another imposed by law independently of an agreement between the parties. A claim for an unjust enrichment is based on legal fiction, meaning that the assertion is accepted as true. In other words, although the parties never indicated by word or deed that an agreement existed between them, the injured party may recover under quasi-contract.
Our professionals at Sage Forensic Accounting are experts in performing an economic damage calculation for unjust enrichment cases.
Intellectual Property Infringement
Intellectual property disputes arise largely from infringement of one of the four types of intellectual property. Our professionals here at Sage, have substantial experience dealing with intellectual property disputes. We develop sound economic opinions and comprehensive financial views, concerning the infringement of intellectual property, by applying critical and analytical thinking to the specific issue at hand. Our team is able to simplify complex financial data, and present it in an effective and persuasive manner to both judges and juries.
Our professionals at Sage Forensic Accounting are experts in performing an economic damage calculation for intellectual property infringement cases. We also assist our clients in non-dispute settings to value intellectual property assets.
Construction Defects & Delays
Our professionals combine years of forensic accounting and business valuation expertise and experience when calculating lost economic potential due to the occurrence of allegedly harmful events. These calculations are based on three core components: the causal link between a specific event and alleged lost profits (financial causation), the profits that would have been achieved but for the specific event (but-for profits), and the profits that were actually achieved because of the specific event (actual profits). We have a thorough understanding of these components and can therefore provide insightful, objective feedback regarding the merits of a claim for economic damages. Our expertise in forensic accounting and business valuation means that our assessment of the economic damage components will be thoroughly analyzed and well supported.
Calculating Lost Profit Or Business Value
Lost or diminished profits can be categorized as either a business damage claim or an economic damage claim. A business damage claim involves cases in which the business experiences diminished profits generally as a result of an alleged action against the business. Economic damage claims involves the calculation of the amount of future lost profits or the lost value of the business.
Calculating lost profits involves forecasting income cash flows and converting them to present value. Damages are usually the difference between what the plaintiff would have expected to receive had the alleged wrongful act never been committed and the actual profits that the business did receive. This calculation includes looking at historical profits as well as future projections.