KW Economics prepares lost profits analysis for partnership and shareholder dispute cases venued in Louisiana: what the loss claim consists of, the records that drive it, and a present value built to Louisiana damages rules and venues. Plaintiff and defense.
In a partnership or shareholder dispute a lost profits claim arises when one owner's conduct, such as diverting customers, competing with the business, or excluding a partner from its earnings, reduced the profits the business or the excluded owner would otherwise have received. The economist establishes the but-for profits from the company's history and market, links the shortfall to the conduct at issue, quantifies diverted revenue from the ledger and customer records, and presents the owner's share of the lost profits by year. The analysis is coordinated with any valuation of the interest so the same loss is not counted in both.
Lost profits and related commercial damages for contract, business-tort, and business-interruption matters. The analysis builds the but-for revenue and cost path from the company's own history, its market, and the terms of the disputed relationship, links each claimed loss to the conduct at issue, addresses mitigation, and reasons through the period of loss so the damages figure answers the causation question as well as the amount.
The valuation date and the standard of value control the result: a fair value standard may exclude the minority and marketability discounts that a fair market value standard applies, and the gap between the two can be substantial for a minority interest in a closely held company. Normalizing adjustments to owner compensation and related-party dealings often decide whether the business shows earnings to value at all. Where the claim includes diverted profits, the amount depends on how far back the records permit reconstruction and on whether the business's actual results can be separated from market conditions.
Louisiana courts ask the trial judge to act as gatekeeper for expert testimony, examining whether the economist is qualified, whether the method is reliable and accepted in the profession, and whether it was applied reliably to the facts of the case. An economic damages report answers those questions by tying each input to the record and citing its published sources.
Highest court: Louisiana Supreme Court. Court system: lasc.org.
Federal venues: Eastern District of Louisiana, Middle District of Louisiana, Western District of Louisiana.
Louisiana applies pure comparative fault in a negligence-based claim, reducing the award in proportion to the plaintiff's share. Judicial interest runs on a tort award from the date of judicial demand and on a sum owed under a contract from the date it was due. Economic damages are not subject to a general statutory limit outside specific statutory claims, so the report states each loss as of a fixed date and separates past from future amounts so the interest computation can follow.
We issue the final report and provide deposition and trial testimony and rebuttal of opposing damages models.
In a partnership or shareholder dispute a lost profits claim arises when one owner's conduct, such as diverting customers, competing with the business, or excluding a partner from its earnings, reduced the profits the business or the excluded owner would otherwise have received. The economist establishes the but-for profits from the company's history and market, links the shortfall to the conduct at issue, quantifies diverted revenue from the ledger and customer records, and presents the owner's share of the lost profits by year. The analysis is coordinated with any valuation of the interest so the same loss is not counted in both.
Louisiana courts ask the trial judge to act as gatekeeper for expert testimony, examining whether the economist is qualified, whether the method is reliable and accepted in the profession, and whether it was applied reliably to the facts of the case. An economic damages report answers those questions by tying each input to the record and citing its published sources. Partnership and Shareholder Dispute cases venued in Louisiana are heard in the District Court (General jurisdiction; civil and criminal cases at the parish level), with final appeals to the Louisiana Supreme Court. Matters within federal jurisdiction proceed in the Eastern District of Louisiana, Middle District of Louisiana, and Western District of Louisiana.
Louisiana applies pure comparative fault in a negligence-based claim, reducing the award in proportion to the plaintiff's share. Judicial interest runs on a tort award from the date of judicial demand and on a sum owed under a contract from the date it was due. Economic damages are not subject to a general statutory limit outside specific statutory claims, so the report states each loss as of a fixed date and separates past from future amounts so the interest computation can follow. The report presents past and future amounts separately, states every rate and table with its source, and shows the result under the alternatives the other side is likely to argue, so counsel can apply the Louisiana rules to a documented figure.
Request a consultation on Lost Profits or call (201) 343-0700. Plaintiff and defense counsel.