Economic Consulting - Quantum of Damages
International arbitration has boomed over the last 20 years and continues to do so alongside globalisation, while the financial crisis and the commodities prices decline have also been key factors in the growth of high-value international commercial disputes. Parties tend to assert their claims more aggressively than in the past, especially in relation to disputes arising from acquisitions and disposals; increasing market complexities have also contributed to post-acquisition disputes, including different accounting principles, imprecise drafting in the financial guarantees and inadequate due diligence. The ongoing growth in cross-border investment is another key driver of work. This is apparent in both established centres such as the International Chamber of Commerce (ICC) and the International Centre for Settlement of Investment Disputes (ICSID), as well as in newer arbitration institutions, particularly in Singapore (SIAC) and Dubai (DIAC).
|Most Highly Regarded Experts|
|Philip Haberman||Haberman Ilett, London|
|Richard Boulton QC||Berkeley Research Group, London|
|Chris Osborne||FTI Consulting, London|
|James Nicholson||FTI Consulting, Paris|
|Kai Schumacher||AlixPartners, Munich|
|Brent Kaczmarek||Navigant, DC|
|Howard Rosen||FTI Consulting, Toronto|
|Daniel Flores||Econ One Research, DC|
|David Teece||Berkeley Research Group, Emeryville|
|Manuel Abdala||Compass Lexecon, DC|
Along with greater cross-border investment, businesses are more aware of the underlying significance of investment treaties. The ICSID recorded the largest number of cases in a calendar year in 2015, reflecting the continued growth of investor-state arbitrations, while the value of such disputes have also grown with 165 arbitrations in excess of $100 million in 2014 compared to 59 in 2005.
The market for experts who can provide damages assessments has thus commensurately grown, with economists and accountants becoming an increasingly important means of determining complex commercial and investment treaty disputes. Consultancy firms continue to grow with a number looking to employ a global network of experts, particularly across North America, Europe and the Asia Pacific region. Below we provide a snapshot of the global market for quantum experts, highlighting the leading individuals and firms in our research.
FTI Consulting leads our research with an outstanding practice boasting an extensive network of leading experts in finance, economics and accounting. In total, we recognise 29 individuals across 11 offices: a testament to the firm’s unparalleled global recognition.
FTI’s London office is the most widely recognised in this area. Chris Osborne is co-chairman of the EMEA region and the global head of its economic and financial consulting practice with more than 30 years’ experience in quantum analysis for complex regulatory and commercial disputes. Respondents agree that “there is no question he is a great expert”, with one peer adding, “His vast experience, particularly in giving oral testimonies, his extensive knowledge and carefully prepared advice are just some of the reasons why he stands out from the rest”. Mark Bezant is active before the High Court, and in international commercial and investment treaty arbitrations, including post-M&A, IP and natural resources disputes. He is praised for his “excellent analytical skills, clear explanations and good writing style, as well as his calm and credible demeanour on the witness stand”. Mike Pilgrem is a widely endorsed expert in business valuation and lost profits in relation to international arbitration. Regarded as “the most intelligent person I have worked with or against” by one prominent peer, Pilgrem is also “a sheer delight to work with”, according to clients. Andrew Mainz is one of the most experienced consultants in our research with extensive testimony work before the High Court and a wide range of international arbitration tribunals. According to respondents, “he is exceptionally smart” and “his reports are excellent at identifying the issue, as well as highlighting clear and logical arguments”. David Ashton has over 30 years’ experience and has produced reports for over 200 cases. Respondents note that he is “fiercely intelligent”, “professional” and “a real pleasure to work with”. Boaz Moselle regularly provides expert testimony in international arbitrations, particularly in relation to the natural gas and energy market. As peers note, “For gas pricing and energy disputes, he is one of the world’s best.” Greg Harman is extensively experienced in quantum disputes, particularly in the energy, telecommunications, media, postal, water and transport sectors. One instructing solicitor notes, “Not only is he terrific in the analysis of highly complex quantum issues, but he is a real pleasure to have on the team.”
A number of up-and-coming experts are highlighted for their excellence. Noel Matthews has prepared reports for the High Court and for a range of arbitration tribunals, as well as being instructed as a quantum expert witness before an ICC arbitration. According to respondents, “the quality of his written reports are very good” and he is “objective, clear-minded and practical”. Andrew Wynn is experienced in providing both reports and oral testimony in commercial disputes, and is particularly knowledgeable in relation to IP valuation and damages. “He is highly responsive and his work is always of an excellent quality”, according to clients. Navin Waghe has provided expert reports in relation to quantum valuations and losses before the High Court, the AAA, UNCITRAL and ICC arbitration forums. He is considered “extremely bright, very hands-on and very hard working, with great attention to detail.”
On the European continent the firm’s 14-strong Paris office is well-regarded. James Nicholson leads the team in damages work in relation to high-value commercial and investment treaty arbitrations, with extensive experience in the energy and infrastructure space. He boasts an “unrivalled reputation in the market” with interviewees speaking of his “outstanding delivery on the stand”, “superb written reports”, “quick-turnaround” and his “understanding of client’s needs”. Alexandre Rivière is a senior quantum expert in both commercial and investment treaty arbitration cases. Clients cite “his rapidity to understand figures and financial matters; his prudent and relevant analysis of the matter at hand; and his availability round the clock and reactivity”. Matthias Cazier-Darmois regularly handles complex international arbitrations, particularly breach of contracts in the gas and energy sectors. Clients state that he is “extremely well organised, reliable and knowledgeable”. Steve Harris founded the expert witness practice in the UAE in 2013 and has over 10 years’ experience in valuation and loss of profit. Clients praise his “strong attention to detail and ability to report on technical issues with clarity.”
The firm earns six listings across Asia-Pacific region. Will Inglis leads the international arbitration practice in Asia, having arrived in Singapore in 2015. He is experienced in providing written reports and oral testimonies in international arbitrations with commentators noting he is “definitely the star in the country”. Richard Hayler is active before the Singapore High Court and in ICC, LCIA and SIAC arbitrations, providing testimonies in high-stake valuations and loss of profits. He is popular among respondents for his “excellent judgement” and “highly proactive approach”. In Hong Kong, Graham McNeill is experienced in quantum analysis in large international commercial arbitrations, particularly in the oil and gas, power and rail sectors. One client praised his “very comprehensive and well-reasoned report” and his “excellent performance on the stand”. Jon Rowell is highly regarded with an “excellent track record in the quantification of damages”. Clients praise his “professionalism and commerciality”, as well as his “confident and assured presentation of evidence in written form, and under cross-examination”.
In Melbourne, Dawna Wright is experienced in providing expert testimonies before the federal and supreme courts of Australia, as well as in commercial arbitrations. Clients say she “grasps the full picture and get across the details in a succinct and effective manner”. Montek Mayal leads the valuation practice in New Delhi. According to one source, “He is very bright and responsive, with thorough attention to detail.”
In the US offices, James Searby leads the DC team in high-value damages disputes before international arbitration tribunals and in the national courts. He is described as “a nuanced, intelligent and highly credible expert witness”. New York’s Kenneth Stern is “vastly experienced” and “highly sought after” for his expertise in valuation in the energy and chemical industries. Greig Taylor is well versed in providing quantum analysis in international arbitrations under various institutions including ICC, ICSID, DIAC, SCC and UNCITRAL rules. Clients state that “although young he is extremely impressive, very professional, highly amiable and responsive”, adding that he “quickly picks up key issues at the heart of a dispute, which he can then translate into clear and easily understood damages calculations.” Basil Imburgia is experienced in providing valuations and lost profits in a wide range of commercial disputes. According to clients, “he provides very strong analysis” and “his approach to matters are proactive and efficient”. Charles Mikulka is particularly well regarded for his “comprehensive depth of expertise in the chemicals industry”. In Chicago, Jeff Litvak is a senior figure in business valuation in a range of commercial and post-M&A disputes. As one peer states, “He’s a fine damages expert, very assured and knowledgeable”.
Howard Rosen is the global practice leader and is based in Toronto. His practice focuses on natural resources and financial services disputes relating to both international commercial and investment treaty arbitrations. Respondents testify to his “outstanding experience” and “well-prepared and thorough reports”. Christopher Milburn is described as a “very bright and proactive expert, whose reports are “produced to a high standard”. Neal Mizrahi provides quantum analysis on a range of breach of contract, post-M&A and investment treaty disputes. Instructing solicitors find him to be "engaging, bright and motivated”.
PwC ranks second for number of listings in this chapter encompassing a strong showing in Europe and Canada. Six experts feature from the London office alone, including the “first-class” Gerry Lagerberg, who leads the international arbitration practice. According to one source, “He is straight out of the top drawer, very experienced, sensible and composed during cross-examination”. Timothy Allen is widely endorsed as for his expert accounting testimonies in the UK High Court and in international arbitrations, and he is particularly noted for his expertise in telecoms disputes. One peer remarked, “The quality and independence of his opinions I view with especially high regard.” John Fisher leads the UK disputes practice and is highly regarded for his “sensible and well-argued testimonies”. In Prague, Sirshar Qureshi is the forensic services leader for PwC in Central and Eastern Europe, Russia and the CIS. Respondents note that he is the “one of the premier experts in the region”, adding that “he is very professional and user-friendly”. Michael Hammes leads the Germany disputes team. He is reportedly “a very good choice” for his experience, knowledge and responsiveness. In Canada, the “excellent” Domenic Marino stands out for his domestic practice, encompassing high-stake valuations and loss quantification before the national courts.
Fellow accountancy giant KPMG is also well-represented, with experts featuring in its US, European, and Asia-Pacific offices. The London offering is particularly strong. John Ellison is one of the top five quantum analysis experts in London, according to our research. He has longstanding experience and is universally well recognised, having testified in over 40 cases in 10 jurisdictions. As one solicitor states, “He is as intelligent, refined and knowledgeable as they come.” Kathryn Britten is considered “a hugely experienced and technically sound accounting expert: a good choice for any arbitration raising serious financial accounting issues” by respondents, who also note that “she has the ability to deal concisely with complex claims with substantial documentation and to turn work around in tight time-scales”. Nicholas Good is also considered “top tier”, with 17 years in valuation and loss quantification in litigation and international arbitration, ranging from £1 million to over £10 billion. He is praised for his “ability to grasp issues quickly” and “provide extremely well-constructed reports”. Jean-Luc Guitera heads the Paris forensic team and has significant experience in providing both written reports and oral testimonies. He is “a big name”, with interviewees finding the quality of his work to be “exceptional” and “commercially savvy”. John McGuiness leads the Asia-Pacific disputes practice and respondents highlight the excellence of his valuation practice: “he is concise, responsive and accessible” and he is said to “maintain and support meaningful propositions and arguments”. Bryan Jones leads the disputes services network in the Americas and globally. He has longstanding expertise in business valuation and lost profits in both domestic and international arbitrations.
Deloitte is also recognised in multiple jurisdictions, particularly in the EMEA region. The London office counts four top quantum experts alone. Global head of the disputes consulting service Andrew Flower has significant testifying experience in international arbitrations and is held in high regard by clients for his “attention to detail” and “quick-turnaround”. Philip Rees is active in high-value arbitrations, particularly in the financial services, energy and telecoms industries. He is recommended for his “deep knowledge and mastering of the material” and “strong presence in negotiations”. Elizabeth Gutteridge and Andrew Robinson are also valued highly for their quantum analysis in large international arbitrations. Anthony Charlton leads a growing team in the Paris office and is praised for his “responsiveness and excellent support throughout complex proceedings”. Neil Hargreaves leads the forensic practice in the Middle East and is active in breach of contract and loss-profit claims based in the region. One interviewee stated that “from a counsel’s perspective he is a pleasure to work with, patient and most importantly capable of explaining complex and technical issues in comprehensible terms.”
Berkeley Research Group is undoubtedly one of the standout firms in this chapter, achieving listings in its US, London, Hong Kong and Sydney offices and laying claim to some of the most highly regarded individuals in our research. In the firm’s prestigiously regarded London office, chairman Richard Boulton QC is universally respected by his peers. Many instructing solicitors regarded him as “unequivocally the first port of call for the assessment of complex damages”. Alongside him, Daniel Ryan is held in high regard by solicitors and peers alike, with one client stating, “Daniel is very experienced and his responsiveness and practicality is always appreciated”. David Saunders is also a strongly endorsed figure in complex high-value quantum assessments. According to respondents, “He provides compelling oral testimony and really fights for his clients.”
In the US, co-founder David Teece is a world-leading economist, who is regarded as “outstanding” by his peers and clients. One client adds that “his ability to digest information and organise thoughts is unparalleled”. In DC, Christopher Goncalves heads the energy practice and is held in high regard for his “deep industry expertise” in regards to commercial and investment disputes in the energy sector. Ben Nolan is an experienced valuation expert, who is praised for his “assured presentation style and his excellent manner with clients”.
Meanwhile, the firm has grown its Asia-Pacific presence with two recent hires. Mustafa Hadi is the highly regarded head of the disputes team for Greater China and North Asia. He is regarded as “outstandingly smart” and “very strong at presenting his opinions”. Jonathan Humphrey is a recent addition to the firm’s Sydney outfit and has extensive experienced in large international commercial and investment treaty disputes.
NERA Economic Consulting ranks strongly with a number of highly regarded quantum experts across its global network. In London, Antoinette Pincott has extensive experience testifying in international arbitrations, particularly in high-value post-M&A, breach of contract and warranty disputes. She impresses clients with her “excellent knowledge” and “ability to stand up to lawyers well under pressure”. Alongside her, Chudozie Okongwu heads the firm’s European disputes group. He is active testifying in commercial and investment treaty arbitration, and financial market litigation. As one peer notes, “He’s extremely good, intelligent, very thorough" and "always effective.” Richard Hern focuses on valuation issues in the regulated sectors, including the energy, power, construction, transport and telecoms sectors. According to one source, “He’s very smart and particularly good at relating the underlying economic issues to laymen.” Robert Patton is an up-and-coming expert with experience in providing damages analyses in international arbitrations and litigation. He is described as “creative, dependable and professional” and it is noted that he “operates very well in cross-border contexts”. Alexander Voegele is a “top name” in Germany, who is “very good at presenting complex cases”. In Madrid, Fabrizio Hernández is active in the economic analyses of damages in international arbitrations, where clients commend his “excellent marshalling of the material and the case”. Alongside him, Oscar Arnedillo specialises in the energy sector and is considered “a strong handler of complex cases” in this regard.
The firm also earns listings across three of its US offices. In Boston, Jeff Makholm is focused on the regulated industries, including the energy, utilities and telecoms sectors and has provided testimony and reports over 200 times in this regard. According to respondents, “he is extremely knowledgeable and well thought of as an expert witness”. In New York, Vinita Juneja is highly regarded for her business valuation and lost profits practice and has appeared before the US federal district and state courts and in international arbitrations. One client notes that when she reaches an opinion, “It will be supported by meticulous analysis, as well as flawlessly and clearly presented; it will also be the subject of compelling testimony when presented at trial or in deposition.” Andrew Carron is an economic consultant of longstanding repute in civil litigation and international arbitration. In particular, clients effuse his “deep understanding of securities class action damages analysis” along with “an outstanding grasp of the legal issues and a remarkable insight into the economics”. David Tabak is regarded as “a first-rate economist” with “significant experience” in the valuation of damages in financial services and commercial disputes.
Accuracy has an excellent practice with nine ranked experts. Roula Harfouche ranks among the top 10 experts in London according to our research. She is “very prominent” in commercial and investment treaty arbitrations, as well as domestic litigation. Both peers and clients find her to be “absolutely brilliant”, with one client listing the following qualities: “user-friendly, quick to grasp the issues and a fast turnaround; clarity of explanation for non-economists and accountants; interactivity with the legal team and clients; and adroit at handling cross-examinations.” Christophe Schmit leads the forensics, litigation and arbitration practice in Paris and is regarded as “a cut above the rest” by respondents. Erik van Duijvenvoorde is active in investment treaty and commercial arbitrations, particularly in the natural resources and infrastructure sectors. Clients strongly recommend him: “Very intelligent and hard-working expert, he handled the quantum issues very successfully and performed well during cross-examination.” Jean-Baptiste de Courcel is experienced in providing testimonies before the French courts and arbitration tribunals on damages quantification, covering a wide range of sectors and geographic locations. Instructing solicitors affirm that “his expert report came across as professional and credible, and he put the client’s case across superbly”. Nicolas Bourdon is a skilled and experienced quantum expert. One client praised the “excellent quality of his report” and also noted that he is “very proactive and pleasant to work with”. Nicolas Barsalou has good experience, having provided oral testimonies over a dozen occasions on a variety of international commercial and treaty investment arbitrations. Managing partner in Spain, Eduard Saura is well regarded for his quantum expertise with respondents reporting that “he is quick and accurate in his calculations”. In Germany, Ekaterina Lohwasser focuses on quantum in relation to both domestic litigation and international arbitration. Her work is praised for its “high quality and quick-turnaround”, as well as “her and her team’s quick understanding of the particularities of the case”. In India, Chaitanya Arora has “a strong understanding of the Asian market”, and is also nominated by peers and clients for his “professionalism and responsiveness to client’s needs”.
In DC, Navigant’s Brent Kaczmarek draws praise from the across globe for his “renowned status”, having acted as a financial and quantum expert in more than 120 disputes. For high-value complex international arbitrations he is “a premier choice”; observers also describe him as “a force to be reckoned with” and “his presentation both orally and in writing is exceptional”. A further five names are featured from Navigant. Kiran Sequeira is highly regarded for his damages practice. One client effused that “his expertise on issues relating to valuation of companies is outstanding. It is also very reassuring to have him on a case as he has a unique ability to approach issues from different angles and thus provide a comprehensive analysis”. Garrett Rush has recent experience in international arbitration in the oil and gas, mining, luxury goods, electric utilities and transportation sectors. Peers state that he is “very professional and produces high quality work in a timely manner”. In London, Mark Taylor provides complex accounting and valuation issues on a broad range of commercial disputes, particularly in the energy sector. As one respondent noted, “He really knows his stuff and backs up his opinions with a persuasive presentation style”. In New York and London, Gene Deetz is experienced in providing written and oral testimony for clients in complex valuations. Peers say “he is very knowledgeable, quick-thinking and assured in his presentation.” In Tampa, Stan Murphy provides damages assessments in a wide variety of commercial disputes; one source states that “he’s a good person to turn to, he has a lot of experience and he is able to back up his opinions in a clear and logical way”.
Haberman Ilett is a regarded as “the best independent London-based accounting outfit”, by observers. Philip Haberman is the top-ranking quantum expert in our research, garnering an enormous amount of endorsements. Peers and clients alike praise him “as a class act” and “one of the very best in the business”. Fellow founding partner Frank Ilett is extensively experienced in commercial and investment treaty disputes, regularly providing oral and written in the English courts and before international arbitration tribunals. He is seen as a "smooth operator, who brings parties together and always remains constructive in proceedings”.
Liz Perks has experience in over 50 cases, including both commercial and investment treaty arbitrations. One solicitor stated that “she is very good, easy to work with and quickly provides sensible and well-prepared opinions”. Valery Knyazev is reportedly "utterly committed to providing a high-quality service”, he also handles cross-examination and tribunal questions “fluently and confidently” and is he “simply the best for Russian-language matters", according to respondents. Alongside them, Bruno Augustin has led the team on noteworthy arbitrations where clients reported back that he was “super responsive and very bright” and his reports were “well-written and prepared”.
Alvarez & Marsal has multiple listings in its Houston office. Laura Hardin is extensively experienced in large-scale oil and gas, telecoms and financial services disputes, with a focus on Russia and the CIS. Peers observe that she is "totally first-rate, creative and dedicated, with excellent oral testifying skills”. Dean Graves is widely praised as “a first-rate figure” in the state. He is “supremely bright”, as well as “refined and confident when providing testimonies”, according to sources. William Abington is “a well-known name with buckets of experience” in complex damages and lost profit analysis. Aaron Stai is highly recommended for his “top-notch” expertise in large oil and gas quantum disputes”. John Williams is a “bona fide quantum expert” and is “greatly respected” by peers and clients in the Canadian market.
Laureen Ryan has over 25 years’ experience in providing reports and testimonies in complex valuation claims. Respondents have been consistent in their praising of her “high-quality work”, which is turned-around “quickly and accurately”. In DC, Marc Sherman has extensive testifying experience in several international arbitration forums, as well as state and federal courts. One client noted, “I like him a lot, he is easy to work with and very good at getting to the heart of the case.”
The firm also has a strong European outfit. In London, Luke Steadman features prominently with solicitors asserting that he is “a top choice in demanding international arbitrations for his experience and sensibly-argued testimonies”. Alexander Demuth co-heads the firm’s international arbitration group in Germany. He is regularly appointed in international arbitrations under DIS, ICC, ICSID, SIAC and VIAC rules and in domestic litigation. Respondents find him “astute and hardworking, and he has the ability to digest a huge amount of material quickly and effectively”. Jochen Benz heads the economic and forensic practice featuring as a party-appointed expert in state court litigation and commercial arbitration. According to one instructing solicitor, “He is good at identifying complex economic arguments and practically conveying them to in both written and oral forms.”
Outside these firms, we recognise our most highly regarded, as well as a select number of leading quantum experts across the world. In Munich, Kai Schumacher of AlixPartners stands out at as a market leader for business valuation and lost profit analysis in commercial arbitration, investment treaty and litigation disputes. Clients praise his excellent level of service: his “extremely responsive and proactive approach” is complemented by “creative ideas and a great communication style, as well as an excellent business understanding.” Rameet Sangha is recognised as a “top-drawer economist with an impressive breadth of knowledge and experience” by one source.
At Econ One Research, Daniel Flores is widely recognised for his economic analysis of damages in relation to US civil litigation and international arbitration, particularly investment treaty matters. Clients praise his “very practical approach to economic and quantum issues” and the fact that he is “exceptionally reactive and willing to assist in providing well-chosen information to all areas of the case”.
Manuel Abdala of Compass Lexecon in Washington, DC is described as “a legend in the field” by peers. He has provided written and oral expert testimony in more than 120 international arbitration cases, with a large number consisting of investment treaty disputes. Respondents effusively praise his “extremely sharp mind” and his “excellent job of presenting in clear and persuasive manner”.
At Mazars’ London office, James Gilbey is regarded as a “skilled and knowledgeable quantum expert”. In particular, clients praise the way he “coherently explains complex economic and valuation issues to lawyers and arbitrators” and how easily he works with the legal team. David Dearman is noted for his excellence in loss of profits claims in the UK High Court and in in LCIA, ICDR, AAA and ICC proceedings. Respondents appreciated his “approachability” as well as the “well-organised, thorough and logical” quality of his work.
David Mitchell heads the valuation practice at BDO in London. His “wide experience” covers quantum analysis for UK High Court and international arbitration disputes, including both written and oral testimonies. Clients appreciate his “responsiveness” and “quick and organised preparation of the material”. Gervase MacGregor is a well-known favourite among clients, who say he is “very dedicated to finding the best solution and is always able to back up his assessment with great conviction. He is able to get the job done quickly while taking care of the details".
Scott Davidson leads Duff & Phelps’s disputes practice in Canada with more than 20 years of experience in business valuation and providing testimonies in Canadian and US litigation and arbitrations, as well as jurisdictions internationally. He is “highly professional and works very well in a team, and provides very well-prepared and clearly articulated analysis”. Dominic Wreford provides opinions in high-value commercial disputes, including a claim for around €1 billion in the nuclear power sector. He is regarded as “a smart, well-known name in the market” praised for his ability to “identify key issues quickly and act on them effectively”.
Errol Soriano of Campbell Valuation Partners in Canada focuses on business valuation and lost profits in domestic litigation and international arbitration across a wide variety of sectors, including transportation, oil and gas, infrastructure and pharmaceuticals. According to respondents, he is “well-informed and assured in his written and oral presentation” and “his communication throughout proceeding was exemplary”.
At Castalia in DC, David Ehrhardt focuses on the economic analysis of damages in the energy, utilities and infrastructure sectors. He has an “extensive knowledge of the industry” and produces “rounded and technically accurate reports”.
In Switzerland, Charles River Associates’ Geoffrey Senogles is experienced in providing quantum analysis and testimonies in ICSID, LCIA, SCC and ICC arbitrations, among others. He is considered “a definite inclusion”, especially for his “excellent marshalling of complex material, with is presented in a clear and practical manner.”
OCA’s Mikaël Ouaniche is described as "very smart” and is noted for “addressing issues with great talent”. He is also said to work “closely to the client and comes with ideas that are outside of the box".
Stephen Ross, senior managing director of Ross Forensics Group, regularly acts in quantum analysis in energy and infrastructure project disputes. Respondents have reported that he is “a very experienced expert who handles complex material diligently and with great skill”.