Sorgem Evaluation acted as a financial advisor in an arbitration related to the termination of a business relationship based on…
The nature of the compensation takes into account the abruptness of the termination such that, the direct consequences of the rupture are excluded from the estimated damage.
The length of the notice period necessarily depends on the nature and the duration of the commercial relationship between the companies.
Compare the victim’s actual situation after abrupt termination to the But-For situation (i.e. one where the notice period was sufficiently long), and estimate the:
- Loss of sales
- Cost savings
- Prospective supplemental costs
- Resulting loss in profit
- Prospective opportunity cost
- Write a report (plaintiff or defendant) estimating the potential damage demanded by the victim resulting from the abrupt termination of the commercial relationship. The victim’s historical financial performance is taken into account in the calculation, including its prospective showing over the course of the notice period
- Prepare response to opposing counsel arguments
- Assist the client during judicial proceedings: court procedures, financial expertise, etc.