A U.S. company that owned a patented biotechnology product engaged a European contractor to produce the product for commercial sale.
A U.S. company that owned a patented biotechnology product engaged a European contractor to produce the product for commercial sale. The U.S. company sought an international arbitration due to an alleged breach of the manufacturing agreement. Counsel for the plaintiff retained George Strong, a managing director of Cornerstone Research, to calculate damages.
Mr. Strong conducted a detailed review of the various relevant financial records and utilized econometric analysis to establish lost revenue and avoided costs from the breach of contract.
Mr. Strong conducted a detailed review of the various relevant financial records and utilized econometric analysis to establish lost revenue and avoided costs from the breach of contract. In his analysis, Mr. Strong also allocated lost sales across different intended markets and product modifications and assessed damages of different subsidiaries of the company. Finally, Mr. Strong described why high incremental profit margins are characteristic of the pharmaceutical industry. Cornerstone Research also identified and worked with an industry expert who assessed and opined on demand for the product and its pricing during the relevant period.