Economic Damages & Business Valuation Expert Witness

EDUCATION & EMPLOYMENT SUMMARY

Over 20 years of experience in the areas of complex litigation matters, business valuation, corporate restructuring and turnarounds, commercial insurance and management consulting. During these 20+ years he has written expert witness and or business valuation reports in well over 100 matters in both state and federal court. He has testified 51 times in several state and federal court jurisdictions, as well as in domestic and international arbitration matters. He began his career in 1998 in the Financial Advisory Services practice of PricewaterhouseCoopers before working as a consultant for an international finance and economics consulting firm, as a Manager within the Valuation and Commercial Litigation practice of Kroll Zolfo Cooper and most recently as a Litigation Services Manager. Has also been an adjunct professor at the University of Utah where he taught a graduate level course in Business Valuation.

Responsibilities have included providing expert witness testimony, preparation of expert witness reports, business valuation, development and implementation of reorganization plans, evaluation of insurance coverage and claims, forensic accounting and development and analysis of business strategy.

Graduated in the top-3% of his class from the Marriott School of Management (BYU) where he obtained an MBA with an emphasis in Finance and Strategy. He also earned a B.S. from Brigham Young University with an emphasis in International Finance. He holds the Certified Valuation Analyst (CVA) credential from NACVA, as well as the Commercial Lines Coverage Specialist (CLCS) designation from the National Underwriter Company.

Representative assignments:

• Calculation of economic damages
• Business valuation and appraisal
• Forensic accounting investigations
• Restructuring and turnaround consulting
• SFAS 141 & 142 reviews
• Strategy and marketing consulting
• Feasibility and market entry studies
• Business process improvement consulting

REPRESENTATIVE CASE EXPERIENCE

Economic Damages: Has prepared analyses, written expert witness reports and provided expert witness testimony in connection with complex litigation matters involving everything from personal injury and wrongful termination to breach of contract, unfair or wrongful competition, fraud, product liability and intellectual property infringement.

Assignments Involving Franchises or Distributors

Has particular expertise with respect to cases involving franchise and distributor systems. He has worked for both franchisors and franchisees in cases related to breach or termination of the franchise agreement, fraud or misrepresentation, misappropriation of trade secrets and trademark infringement. His franchise experience spans several countries around the globe including the US, Jordan, Brazil, Hong Kong and India.

Analyzed claims of lost profits and diminution in business value in connection with several cases brought by domestic and international franchisees, distributors and sales representatives. Claims involved breach of contract, predatory pricing allegations, unfair competition and wrongful termination of the franchise or distributor agreement. Breach of contract claims related to lack of support, rebates, required vendors, termination, trademark infringement, etc.

Valued several components of historical and future losses associated with the alleged wrongful termination of a master franchise agreement in India. Sample franchise and distributor systems valued and or analyzed include the following: TCBY, Mrs. Fields, Hogi Yogi, Radio Shack, Gold’s Gym, Anytime Fitness, Contours, ChemDry, ServPro, Tropicana, Half Dental, Armstrong McCall, Children’s Lighthouse Franchise Company, Culvers, Zippy Shell/Pack Rat, T-Mobile, Property Damage Appraisers, HomeWell, Senior Care, SunFlora, Premier Pools & Spas and GNC.

Business Interruption and Breach of Contract

Measured the economic loss associated with the breach of an exclusive digital advertising contract at a large, national retailer.

Reconstructed and analyzed the financial records of a bankrupt entity to rebut claims that an insurance company’s failure to pay a business interruption claim in a timely manner had caused the company to become insolvent.

In defense of a large, international insurance agency, analyzed the offshore life insurance industry in Europe over a period of several years in order to evaluate claims of economic loss due to alleged fraudulent inducement.

Measured the economic loss associated with a multi-year delay in constructing a golf course at a resort community.

Quantified or rebutted claims in several cases relating to the economic damages stemming from breaches of non-competition and or non-solicitation agreements.

Sample Parties Include: Kroger, AXA Insurance, MGA, Konica-Minolta, Tropicana, Evanston Insurance, AIG, USANA, Safeco Insurance, Colorado Casualty and State Farm

Breach of Fiduciary Duty and Unfair Competition

In connection with several cases, analyzed customer purchases and attrition rates, referral patterns, changes in economic conditions and changes to personnel and management in order to analyze claims of economic loss due to a breach of fiduciary duty, unfair competition, and or interference with existing and prospective economic relations. Investigated and analyzed claims of deepening insolvency related to a major national retailer. Sample Parties Include: Kmart, Liberty Dialysis, Parallel HR, Turner Propane, Davita and Kiva Energy

 Intellectual Property

Quantified the economic damages in several patent, trademark and trade secret infringement/misappropriation matters, including estimates of reasonable royalties, value of lost profits, impact of price erosion and unjust enrichment. Rebutted arguments regarding “value of use” in a high-profile copyright infringement matter. Analyzed the impact of unfair trade practices and misappropriation of trade secrets for an internet- based greeting card company. Assisted in the determining the economic value of lost website revenues associated with URLs, banner advertising and click-through rates. Sample Parties Include: Oracle, Rimini Street, Altair, Aspex Eyewear, Cast Art, Industries, Sun Microsystems, Microsoft, IBM, 1-800 Contacts, Lens.com, Scantibodies and Quest Diagnostics

 Price Fixing and Unfair Trade Practices

On behalf of a large, international photographic paper manufacturer, analyzed the competitive actions of several manufacturers and vendors throughout the Southeastern United States in connection with claims of violations of the Robinson-Patman Act. Also investigated sales histories, repair rates, and multi-lateral contracts to dispute a service provider’s claims of lost profits stemming from business libel and unfair trade practices.

Personal Injury, Wrongful Death, Wrongful Termination

Quantified and prepared reports of lost earnings, medical care costs, employee benefits and other economic loss in dozens of personal injury, wrongful death and wrongful termination matters. Determined appropriate discount and inflation rates. Incorporated age-earnings curves and personal consumption factors.

Product Liability

In connection with a class action lawsuit and on behalf of the largest water heater manufacturer in the US, researched the water heater industry and performed extensive statistical and relational database analysis on 10 years of product sales in order to quantify the economic damages associated with allegedly faulty water heaters.

Business Valuation and Appraisal

Performed analysis and prepared 500+ valuation reports of privately held businesses for estate and gift tax purposes, partnership disputes, divorce and SBA loans. These matters have included the valuation of both controlling and minority interests in partnerships, LLCs, S-corporations and C- corporations. Many have involved complex structures involving multiple layers and related entities.

Valued vested and unvested stock options for the purpose of determining the divisible assets available in a divorce matter. Managed the valuation of a minority interest in a $200-million real estate development partnership located in California. Investments ranged from raw land and developed tracts to a high-end, operational golf course. Developed the market approach valuation of golf course and associated residential community. Managed the valuation of a 60% interest in a chain of dialysis clinics in Hawaii. Valued the clinics on a Fair Market Value basis as well as an Investment Value basis to a strategic buyer. Prepared and/or managed dozens of valuations in connection with SFAS 141 and SFAS 142 requirements. Sample Clients Include: Kroll, Baptist Foundation of America, Liberty Dialysis, Robert Gatto Associates, Inc., Fab Tec, Inc., Eldercare Enterprises, Inc., AMC Links and Bemsco, Inc.

 Restructuring/Turnaround Consulting

Served as interim CFO and internal consultant to an ocean vessel repair company in connection with a Chapter 11 reorganization. Managed financial reporting and cash flow forecasts to creditors committee, legal groups and other court appointed individuals. Negotiated financing and debt service arrangements with banks and other lenders on behalf of company. Consulted on the internal operations, business strategy and reorganization of company post‐petition. Returned the company to profitability in three months. Managed the closure of the East Coast operations, including liquidation of assets and disposition of lease agreements.

Advised the Board of Directors of a national airline on a proposed cash dividend payment to holders of its preferred equities. Work included determining the fair value of assets and liabilities.

Forensic Accounting

Conducted a forensic accounting analysis for a large Southern California based hospital chain. Investigated the transactions between the hospital and a related medical billing firm relating to third party liens and accounts receivable collections. Reconstructed the financial and operational records of a company in receivership in order to analyze the value of a customer base and determine the net asset value of an HVAC firm. Assisted a large, national insurance carrier in a federal court case involving a medical practitioner’s allegation of bad faith dealing and failure to pay disability claims. Reconstructed plaintiff’s financial records over a period of five years to analyze shifts in business practices and income. Reconstructed several years’ worth of transactions for an entire insurance agency to investigate claims of fraud.

Investigated banking and other financial records over the span of many years to reconstruct financial records and develop understandable summaries of how/when cash and other assets had been distributed or spent. Sample Clients Include: AXA Insurance, UNUM, AT&T, Kaiser Permanente.

Management Consulting

Provided business efficiency consulting and project management support services to the world’s second largest explosives manufacturer on over a dozen projects that resulted in $7M in once-off benefits and $10M in annual, ongoing benefits.

Collaborated with a cross-functional management team of a large, international conglomerate to create a new strategic plan for a $1.5B SBU. Also managed a project to create a unified cash flow forecasting model for three global sales organizations. Negotiated across multiple departments and levels to create a standardized monthly business analysis report.

Performed the financial modeling and cash flow projections and analysis for an Internet start‐up entity of a publicly traded, international media security firm. Developed an integrated business model for the purpose of (1) forecasting financial statements, (2) performing price sensitivity and scenario analysis, (3) calculating product cost, and (4) quantifying risk and return to shareholders. Forecasted revenues based on Internet revenue share and pass through revenue methodologies. Completed an assessment of capital requirements for start‐up operations. Consulted on strategic alliance partners and “first to market” model for launch strategy.

For an international aerospace manufacturing firm, led the creation of analytical tools (involving Excel, Crystal Reports and an enterprise management system) to predict manufacturing variances, measure productivity on a product by product and machinist by machinist basis, determine the optimal workflow configuration and improve product purchasing.

As the basis of a market segmentation for a new consumer product, led a team of 5 MBAs to create and analyze surveys in SPSS, hold focus groups, perform a conjoint analysis, and conduct means-end laddering interviews. Also generated a market landscape analysis.

Developed a market entry strategy for a privately held software firm with annual revenues of $15M. Queried industry players to identify whole product requirements, competitors, and potential partners. Companies Include: Honeywell, Dyno Nobel, Paradigm Precision, Novell, NextPage, GAP, and Irdeto

INDUSTRY EXPERIENCE

• Aerospace Manufacturing
• Apparel
• Biotech
• E-commerce and Online Retailing
• Energy
• Explosives
• Fabricated Metal Products
• Various Franchises
• Food Products
• Gyms and Fitness Centers
• Healthcare
• Hospitality
• Insurance (agencies and carriers)
• Multi-level Marketing
• Professional Services

• Real Estate
• Residential and Commercial Construction
• Retail
• Restaurants and Sports Bars
• Software Development
• Telecommunications
• Temporary Staffing
• Transportation
• Venture Capital
• Wholesale Distribution

CERTIFICATIONS

Certified Valuation Analyst (CVA) credential from the National Association of Certified Valuators and Analysts (NACVA). Commercial Lines Coverage Specialist (CLCS) designation from the National Underwriter Company Passed Level I of the CFA exam.

PROFESSIONAL AFFILIATIONS

Practitioner Member of the National Association of Certified Valuation Analysts (NACVA) Member of the National Association of Forensic Economics (NAFE). Member of the American Academy of Economic and Financial Experts (AAEFE) Member of the Collegium of Pecuniary Damages Experts (CPDE), Secretary 2014-2017 Past member of the American Bar Association and the Forum on Franchising Member of the Exit Planning Institute.

PUBLICATIONS
Available upon request

PROFESSIONAL PRESENTATIONS
Available upon request

PRIOR TESTIMONY EXPERIENCE
Available upon request

HONORS AND AWARDS
Available upon request