Providing research input, usually in the form of an expert witness report and often also oral testimony, in a legal case — typically before a competition authority or a court.
We can advise clients (whether Appellants/Claimants/Plaintiffs, Respondents/Defendants, or Interveners) on key economic, financial, regulatory or competition issues in legal cases.
For example, this includes the following:
Competition cases —advising on any aspect of competition cases (e.g. market definition, assessment of dominance, alleged cartels, alleged abuse of dominance etc.) For example, in cases such as merger clearance, allegations of cartel behaviour, abuse of a dominant position, excessive pricing, predation, margin squeeze, denial of access to an essential facility, findings of significant market power triggering price controls, disputes over the application of value added tax rules or patent disputes, a central question can be how to define relevant markets for the purpose at hand. Economic analysis is key to this issue, turning as it does crucially upon demand- and supply-side substitutability — which is sometimes best assessed through analytical reasoning but to which, on other occasions, econometric analysis will be key. Our competition expertise is presented in more detail here.
Quantification of damages — assessment of damages can be key to a number of types of dispute, including claims for damages and cases in which remedies are applied. Damages could relate to lost revenues from a patent infringement, consequential losses from defective supply, excessive payments because of price rises by a cartel, or consumer detriment from anti-competitive restrictions upon switching.
Assessment of profitability or cost of capital — in regulated price controls, a key input is the determined cost of capital. This has often been a subject of appeals against regulatory judgements. Cost of capital analysis also feeds into assessments of profitability in assessing whether firms have been chargingprices above the competitive level, and into the valuation of research pipelines in mergers.
Critique of regulatory judgements — one form of legal case involves a challenge to regulatory decisions. We offer expert witness assistant assessing whether regulatory decisions are in line with established policy objectives or regulatory precedent and what the competition or other implications are of those decisions or alternatives.
Critique of econometric or other quantitative methods or data used to support regulatory decisions — one form of legal case is judicial revision of policy decisions. Such policy decisions are often supported by quantitative models. Those models can be critiqued in various ways — criticised or defended on the basis of their methodology or the data used.
Peer review of the adequacy of competition or environmental impact assessments — Many regulatory or tax decisions require impact assessments, including competition or environmental impact analysis. . We can peer review such analysis, identifying strengths and weaknesses.