Quantification of Damages in Employee Competition Cases: Some Practical Considerations
Quantifying the damages suffered by businesses in employee competition matters can be complex and time-consuming, and largely dependent upon the availability and quality of financial information.
In the Appendix to EMPLOYEE COMPETITION, 3RD EDITION, David Stern and Dan Langley of StoneTurn Group UK focus on the key concepts considered by forensic accountants in team move, staff poaching and client solicitation type claims, and the practical matters such as documentation and information required in these situations.
More specifically, Stern and Langley address losses in terms of both profits and revenue, the “but-for” world, required data and the presentation of financial information, impact on costs, mitigation, the period of the loss, application of discount rates to future loss of profits, accounting of profits and other damages issues.
Also see: Loss Claims and Economic Damages