NOTABLE STOTSENBERG CONSULTING CASES FORENSIC / DAMAGES STUDIES

Transcription

1 NOTABLE STOTSENBERG CONSULTING CASES FORENSIC / DAMAGES STUDIES BRISTOL TECHNOLOGY, INC. v. MICROSOFT CORPORATION US District Court, Connecticut Henry Stotsenberg served as plaintiff s testifying expert at trial on anti-trust damages in the amount of $263 million. Case settled after trial before final judgment was entered. Damages were not considered by the jury since the jury cleared defendant of anti-competitive behavior. Plaintiff was a cross platform software developer. In this antitrust case, Stotsenberg Consulting studied the damages resulting from the software company s expansion into high-end workstations and office servers. BOURNS, INC. v. RAYCHEM CORPORATION United States District Court for the Central District of California expert on antitrust damages for plaintiff. Jury awarded plaintiff $64 million, before trebling. $192 million after trebling. Plaintiff is a global manufacturer of electronic components and defendant is a billion dollar global provider of engineered electronic components. In this antitrust/patent fraud action, Stotsenberg Consulting studied the damages relative to the basic patents covering cutting-edge technology for resettable fuses known as polymeric positive temperature coefficient devises (PPTCs).

2 CEIMO v. PAUL REVERE LIFE INSURANCE COMPANY and PROVIDENT LIFE INSURANCE COMPANY The United States District Court For the District Of Arizona Henry Stotsenberg served as plaintiff s testifying financial expert relative to damages and the overall financial benefit from a substantial change in defendants claims practices. Jury awarded plaintiff $5.4 million in compensatory damages and $79 million in punitive damages. Stotsenberg Consulting identified the financial data, information and trends that were consistent with bad faith claims denial practices, and quantified the resulting economic benefit to the insurance companies. This included an extensive forensic examination of defendants public financial and accounting filings and other documents for the years 1975 through ES ENERGY SOLUTIONS, LP et al v. BLUFF POWER PARTNERS LP et al District Court, Dallas, Texas Henry Stotsenberg served as crossdefendants' testifying damages expert solely to rebut the basis for crosscomplainants' claim for $68 million of "Pratt" damages. The jury found liability in favor of crosscomplainants, but found no Pratt damages. Stotsenberg Consulting measured the economic value of one of the largest landfills in the United States including the recovery, processing and selling of landfill (methane) gas to Pratt under a 30 year contract. Stotsenberg Consulting's work included assessing the economic value of the landfill's gas recovering and processing operations and the examination of cross-complainants' expert's measurement of damages.

3 MIAMI CIGAR v. UNITED STATES TOBACCO INTERNATIONAL, et. al. Miami-Dade Circuit Court, Florida Henry Stotsenberg served as plaintiff s testifying expert on economic damages for breach of contract and tortious interference. Jury awarded plaintiff $42 million. Plaintiff, a major US cigar distributor sued US Tobacco for breach of contract and tortious interference in the distribution of premium cigars throughout the United States. Stotsenberg Consulting s work included an extensive examination of accounting records, premium cigar manufacturing and distribution in the United States, and the import of cigars into the United States. TRI-COUNTY BUILDERS v. TRUCK INSURANCE EXCHANGE Superior Court of California, Los Angeles expert for plaintiff relative to damages and the financial ability of Truck Insurance Exchange to pay punitive damages. Jury awarded plaintiff $2 million in compensatory damages and $40 million in punitive damages. This case involved assessing a major insurance company s ability to pay punitive damages including the upstream of funds to its ultimate parent. Stotsenberg Consulting's study involved an extensive search for and the obtaining of numerous public domain financial documents, and a five-year forensic analysis of defendant's financial structure and operating results.

4 CATES CONSTRUCTION/TIG INSURANCE COMPANY v. TALBOT PARTNERS Superior Court of California, Los Angeles expert on financial forensics and economic damages for defendant and crosscomplainant. Jury awarded defendant and crosscomplainant $28 million. In this case of a real estate developer and its case against a major insurance company, Stotsenberg Consulting did the tracing and accounting for millions of dollars of construction funds. Stotsenberg Consulting also analyzed the financial structure and operating results of the insurance company and how certain financial indicators were consistent with bad faith claims denial practices. FOR INDIVIDUAL HEIRS OF A CEMETERY LAND CONTRACT Superior Court of California, Los Angeles financial forensic and economic damages expert for certain individual heirs of a cemetery land contract in their suit for wrongful accounting. Case settled for $23 million. Stotsenberg Consulting forensically examined 128,000 grave site and mortuary service contracts of one of the largest cemetery facilities in the United States.

5 COMPUTER SCIENCES CORP. vs. CHILDRENS HOSPITAL LOS ANGELES AAA Commercial Arbitration Tribunal Henry Stotsenberg served as the defendant and counterclaimant hospital s testifying expert on forensic accounting and economic damages including rebuttal testimony. Arbitration panel rejected plaintiff s claim of $14 million in damages and awarded defendant and counterclaimant Childrens Hospital approximately $2 million in damages. Stotsenberg Consulting conducted an extensive examination of hundreds of documents to determine the validity of $30 million in billings by plaintiff, a Fortune 500 computer services corporation, for the design and implementation of a computer software system for defendant, a major non-profit hospital. COUNTY OF SAN BERNARDINO v. JAMES J. HLAWEK, et. al. Superior Court of California, Ventura forensic accounting expert for plaintiff in its fraud and bribery case against the county s Chief Administrative Officer and several other top county officials and individuals and companies. Judge awarded plaintiff $10.6 million. Stotsenberg Consulting s work included extensive and detailed tracing of funds in and out of a many different defendants individual and company bank accounts.

6 GRAND WAILEA COMPANY v. HYATT CORPORATION U.S. District Court of Hawaii Henry Stotsenberg served as the forensic accounting expert for the defendant, Hyatt. Case settled following Stotsenberg Consulting s expert report. Stotsenberg Consulting conducted an extensive forensic examination thousands of documents and accounting records of the hotel operator and the resort owner of a major resort complex in Hawaii that were relevant to vendor rebates, commissions and fees covering numerous years. TOKYO GREEN CO. v. THE INDUSTRIAL BANK OF JAPAN Circuit Court of Hawaii Henry Stotsenberg served as the forensic accounting testifying expert for the plaintiff (counterclaim defendant). Litigation ended following Henry Stotsenberg's expert report. Stotsenberg Consulting conducted a study of the use of over $100 million in funds for golf course development.

7 EPIC RESORTS, LLC v. PRUDENTIAL SECURITIES. INC., PRUDENTIAL FINANCIAL, PRUDENTIAL CREDIT CORP US District Court, Pennsylvania Henry Stotsenberg served as the forensic accounting and economic damages expert for plaintiff in its $46 million damages claim against defendant. Case settled following the issuance of Stotsenberg Consulting s Rule 26 expert report. This case involved the breach of a $100 million credit and securitization agreement between plaintiff, an international resort timeshare developer, and defendant, a major insurance conglomerate. COLUMBIA TRISTAR HOME VIDEO, INC vs. CINETEL, et. al. Superior Court of California, Los Angeles Henry Stotsenberg served as the forensic accounting and economic damages expert for the plaintiff and cross-defendant, a subsidiary of Sony Pictures. Case settled. Plaintiff filed a multi-million dollar breach of contract, fraud and diversion of funds complaint against defendant, an independent movie producer. Issues involved the financing, production and marketing of 21 films for theatrical (domestic and international) and video release.

8 TRIPLE NET PROPERTIES, LLC v. CORE REALTY HOLDINGS, LLC US District Court, California Henry Stotsenberg served as defendants expert regarding plaintiff s claim of unjust enrichment and for the disgorgement of profits. Case settled after Stotsenberg Consulting's Rule 26 expert report was submitted. Stotsenberg Consulting conducted a study of the approximately $1 billion in capital raised by both plaintiff and defendant and the resulting economic gain to defendant and loss by plaintiff. Stotsenberg Consulting s study included the examination of filings with the Securities and Exchange Commission relative to Plaintiff, and internal documents and accounting records produced by plaintiff and defendant. WHITTIER TRUST DISPUTE Stotsenberg Consulting served as the forensic accounting and economic damages experts for a lifetime income beneficiary. Matter settled following the issuance of the Stotsenberg Consulting s expert report. This was a lifetime income beneficiary's claim for breach of fiduciary duty against trustees. Stotsenberg Consulting s study of the tens of millions of dollars in several trusts and other entities including damages in the approximate amount of $30 million. Stotsenberg Consulting examined over 400 financial documents and 35 binders covering a ten year period.

9 AN ONLINE INTERNET COMPANY Stotsenberg Consulting assisted an on-line internet company in defending a damagesclaim for the misappropriation of trade secrets and customer lists involving the buyingf search engine advertising including keyword configurations through Google AdWords. Stotsenberg Consulting s work included a study of revenues by examining and matching customer list data bases of 30,840 customer names and addresses to 138,249 sales orders identified by customer numbers only and representing 56,664 addresses.