Forensic and Economic Practice

When disputes arise, DRPA’s professionals can review the books and records in order to perform forensic analysis of disputed transactions, cash/property transfers, employee conduct, financial reporting and fiduciary actions. Combining a broad background in business, management, financial analysis, accounting and valuations with actual experience in numerous legal actions and venues, the professionals of DRPA provide damage assessments and critiques, and offer related expert testimony. DRPA also estimates and measures lost revenues, avoided costs, lost profits, diminution in value and out of pocket costs arising from contract or tort claims. We directly assist legal counsel and are designated as experts in specialized areas involving contract damages, anti-trust damages, lost profits, pecuniary damages, securities violations and patent/tradename infringement. Our services include economic, business, financial and valuation data and conclusions depicted through charts and graphic exhibits, as appropriate, to support and clarify testimony.

In addition to serving as testifying experts, our professionals are trained consultants to assist in document organization, analysis and deposition preparation. An early analysis of business and financial documents can assist in discovery and preparation of the case. Damage assessment and litigation services follow the guidelines and standards set forth by the American Institute of Certified Public Accountants

Forensic and Contract Compliance Services

Vendor and contractor compliance with contract terms, conditions and pricing are regularly subjected to forensic accounting review and procedures. DRPA has evaluated construction contracts, outsourcing contracts, management services agreements, joint operating/joint interest billing agreements, professional and physician services agreements for purposes of overbilling or other potential breaches. The Principals at DRPA regularly serve as expert witnesses in matters pending before federal, state and administrative courts as well as before arbitration panels.

Employee and related management fraud together with wrongful insider conduct, including conversion of proprietary data, breach of duty/loyalty/confidentiality represents the single largest type of asset misappropriation exposure which business enterprises encounter. Forensic investigations cannot only detect improper transfers and misappropriation, but can be used to implement improved internal controls and procedures. Many times, allegations of wrongful conduct, including fraud, lead to litigation to compensate businesses for losses. However, proving such wrongful conduct, reconstructing transactions and presenting complex business records to courts and juries may require a trained professional. In addition to being trained in accounting, internal controls, information systems, management practices, fiduciary duties of control parties and corporate insolvency, DRPA professionals are members of the Association of Certified Fraud Examiners and the American Board of Forensic Accounting. Our forensic and investigative services include asset identification, funds tracing, financial statement misrepresentation, fraudulent transfers, breach of fiduciary duty, alter ego, conversion and other matters involving fraud.

Economic Damage Evaluation Services

Measurement of compensatory or economic damages which restore an injured party to the position such party would have enjoyed but for the wrongful conduct requires application of generally recognized damage measurement principles to the facts, claims, statutes and case precedent in contested matters. DRPA’s and BVA’s professionals have performed damage measurement calculations and expert disclosures following state and local rules as well as the requirements set forth in FRE26. Our professionals provide damage calculations to assist plaintiffs, defendants and ultimately the finder-of-fact. DRPA has prepared a chart (Download Chart) of selected damage measurement principles.

Pecuniary Loss Evaluation Services

When an individual death or injury involves wrongful conduct, DRPA’s professionals are experienced in estimating worklife expectancy, researching compensation statistics, future growth and inflation and calculating a net present value for loss of income/earnings capacity. DRPA’s professionals are also trained to interface with lifecare and medical care experts in evaluating the future and current economic value for healthcare procedures, prescriptions and other conditions impacting medical costs. DRPA has prepared a chart (Download Chart) of elements and sources of economic data utilized in loss of income assessments.

Ability to Pay Assessment Services

When an entity’s or individual’s financial condition, net worth and liquidity are issues, DRPA has training and experience in performing ability-to-pay assessments. For example, estimating the net recoverable value from a debtor company through a liquidation or reorganization process can serve to resolve judgement creditor claims by avoiding bankruptcy proceedings. Additionally, net worth assessments and ability-to-pay are central to evaluating punitive claims.

Recent Case Studies

Continental Resources, Inc. – Bakken Shale and STACK E&P Company

Forensic and Economic Damage, FORENSIC AND ECONOMIC DAMAGE PRACTICE

Forensic, industry and valuation expert retained by defendant, Continental Resources, to evaluate claims asserted by a vendor/service provider who was repositioned and refinanced through a LBO with PNC Bank and Chambers Energy; evaluated causative factors, gross undercapitalization, going concern and lack of internal process controls of the vendor; evaluated opposing expert's Stout Risius Ross, loss of business value which totaled in excess of $50 million; resulting outcome at trial was a net...

Retail and Wholesale Fuel Supplier – Confidential

Forensic and Economic Damage, FORENSIC AND ECONOMIC DAMAGE PRACTICE

Forensic Compliance Expert retained by defense/criminal counsel at Jones Walker (New Orleans) on behalf of a fuel supplier to evaluate nationwide fuel sales to operators conducting oilfield drilling activities in Texas, Colorado, Oklahoma, North Dakota, Wyoming and other oil and gas producing states in order to respond to an investigation by the U.S. Attorney; matter resolved and no charges brought by U.S.A. for improper fuel sales charges to customers.

Express Credit Auto – Flow of Funds and Tracing for Corporate Separateness:

Forensic and Economic Damage, FORENSIC AND ECONOMIC DAMAGE PRACTICE

Retained in a family law dispute to analyze and/or trace funds/property; employed four generally recognized tracing methods; concluded the funds/property could not be sufficiently traced to entities asserted to hold separate, non- jointly owned property.

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PROFESSIONAL PRACTICE SERVICES

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