Introduction - Chapter 1: Development of the field of litigation economics -- Development of the field of forensic accounting -- Qualifications of an economic expert -- Qualifications of an accounting expert on damages - Interdisciplinary nature of commercial damages analysis -- Difference between disciplines of economics and finance -- Finding a damages expert -- Critically reviewing a potential expert's curriculum vitae -- Getting the damages expert on board early enough -- Courts' position on experts on economic damages -- Standards for admissibility of expert testimony -- Exclusion of experts -- Trends in Daubert challenges to financial experts -- expert reports -- defense expert as a testifying expert, not just a consultant -- Quantitative research evidence on the benefits defense expert - Treatment of the relevant case law - Legal damage principles - Other types of damages cases - Summary - References - Chapter 2: Economic framework for the lost profits estimation process - Foundation for damages testimony - Role of assumptions in damages analysis - Hearsay - Approaches to proving damages - Causality and damages - Using demonstrative evidence to help the client understand its Losses or Losses or lack of losses - Causality and loss of customers - Graphical sales analysis and causality - Causality and the special case of damages resulting from adverse publicity - Length of loss period: business interruption case - length of loss period: plaintiff goes out of business - Length of loss period: breach of contract -- Methodological Framework - Summary - References - Chapter 3: Economic analysis in business interruption loss analysis - Economic fluctuations and the volume of litigation - Macroeconomic analysis - Definition of a recession - Measuring economic growth and performance - Business cycles and the movement of GDP components - Business cycles and economic damages - Varying responses to business cycles across industries - Using more narrowly defined economic aggregates - Qualifying the strength of the relationship between selected economic aggregates and firm performance - Implementing inflationary adjustments - Regional economic trends - Quality and timeliness of regional economic data - International economic analysis - Globalization of supply and demand - Summary - References - Chapter 4: Industry analysis -- Sources of industry data -- North American Industry classification system -- Retaining an industry expert -- Conducting an industry analysis -- Relating industry growth to the plaintiff's growth -- Other Industry factors -- yardstick approach and industry analysis -- Summary - References - Chapter 5: Projecting lost revenue -- Projections versus forecasts: economic versus accounting terminology -- Using graphical analysis as an aid in the forecasting process -- Methods of projecting lost revenues -- Curve-fitting methods and econometric models -- Understanding regression output and diagnostics -- common problems affecting regression models -- Confidence in Forecasted Values -- Frequency of the use of econometric techniques in commercial litigation -- Seasonality and the forecasting process -- Capacity constraints and forecasts -- Sensibility check for the forecasted values projecting lost sales for a new business -- Projecting losses for an unestablished business - Summary - Appendix - References - Chapter 6: Cost analysis and profitability -- Presentation of costs on the company's financial statements -- Measures of costs -- Profit margins and profitability -- Appropriate measure of profitability for a lost profits analysis -- Burden of proof for demonstrating costs -- Fixed versus variable costs -- Using regression analysis to estimate costs as opposed to more basic methods -- Pitfalls of using regression analysis to measure incremental costs -- Possible nonlinear nature of total costs -- Limitations of using unadjusted accounting data for measuring incremental costs -- Treatment of overhead costs -- Must a plaintiff be a profitable business to recover damages? -- Mitigation of damages -- Cash flows versus net income: Effects on the discounting process -- Recasted profits -- Firm-specific financial analysis -- Cross-sectional versus time series analysis - Summary - References - Chapter 7: Time value of money considerations -- Determination of interest rates -- Types of Interest Rates -- Financial markets: money market versus capital market -- money market securities and interest rates -- Capital market -- Real versus nominal interest rates determinants of interest rates -- Prejudgment losses -- Components of the cost of capital -- Discounting projected future profits -- Should the risk-free rate be normalized? -- Common errors made in discounting by damages "Experts" - Summary - References - Contents - Chapter 8: Business valuations -- Legal standard for business valuations in business interruption and business failure lawsuits -- Lost profits versus lost business value -- Business valuation framework -- Public versus private companies -- Business valuation parameters -- Revenue ruling 59-60 and factors to consider in valuation -- Valuation concepts -- Capitalization of earnings -- Adjustments and discounts - Summary -- Intellectual property - Patents -- Computation of damages for patent infringement legal requirements necessary to prove lost profits -- Royalty arrangements copyrights -- Measurement of damages for copyright infringement - Trademarks -- Trade secrets - Summary - References -- Chapter 10: Securities-related damages -- Key securities laws -- Damages in securities litigation fraud-on-the-market -- Comparable index approach -- Event study approach -- Examining the variation in abnormal returns -- Limitations of the event study model -- Broker raiding cases - Contents -- Merger-related damages -- History of mergers in the United States -- Client-broker claims - Churning - References -- Chapter 11: Antitrust -- Antitrust laws -- Antitrust enforcement -- Economics of monopoly -- Interpretation of antitrust violations: structure -- Versus conduct changing pattern of antitrust enforcement -- Antitrust and the new economy -- Monopolization and attempts at monopolization -- Market definition and microeconomic Analysis -- Market power -- Measures of market concentration Areeda and Turner's marginal cost rule of predatory pricing - Summary - References -- Chapter 12: Economics of punitive damages -- Evolving position of the US Supreme Court on punitive damages -- Frequency of punitive damages -- Frequency of punitive damages and the shadow -- Effect of punitive damages purposes of punitive damages -- Compensatory versus punitive damages -- Criminal penalties and punitive damages in civil lawsuits -- Punishment of corporations and corporate -- Governance spillover effects and punishment of corporations -- Deterrence theory and the changing litigation - Environment -- Deterrence and regulatory processes typical financial measures used in the determination of punitive damages -- Net worth -- Market capitalization -- Uncertain litigation environment - Summary - References - Index.