An established technology business had a longstanding dispute with a customer arising from a breach of contract. Despite ongoing attempts to resolve the dispute, no agreement was reached between the company and the customer. FRP was approached by the instructed solicitor at short notice, to produce a report on the loss of profits ahead of a mediation between the parties.
FRP’s Forensic Services Partner, Fiona Hotston Moore was appointed as an expert witness to review the contracts and all relevant financial information, and to prepare a report indicating the range of the loss of profit, depending on the legal interpretation of the contracts. The project required detailed reviews and complex financial modelling that considered likely future profits, the impact of future inflationary increases, and the time value of money. We also needed to consider both the normal commercial practice in the business, as well as the practice within the wider industry. The report was required within three weeks of appointment.
Our Forensic Services team was able to produce the detailed, complex report within two weeks, a week ahead of requirement. This enabled the client, lawyer and barrister to consider the expert witness’ view and prepare for mediation. The expert witness met with the barrister and legal team to discuss our findings, and attended the mediation to assist the mediator in understanding the financial analysis. At mediation we were able to provide further input into the tax implications of the proposed settlement, offering additional insight for our client. The matter was settled at mediation in our client’s favour. Utilising the produced report, our client received a settlement figure consistent with our calculations.
Our Forensic Services team was able to produce the detailed, complex report within two weeks.Fiona Hotston Moore Forensic Services