Damages at the Boundary of Law and Economics: Redefining the Quantum Expert

This session will examine some of the most contested economic issues arising in international arbitration damages analysis, focusing on valuation timing, construction in the but for world, and the role of prejudgment interest. Against a backdrop of increasingly complex factual records and divergent tribunal approaches, the discussion will explore how ex ante and ex post information should be treated, the extent to which consequential damages may be recoverable, and the challenges of forecasting counterfactual outcomes. The session will also consider methodological choices in valuation and whether prejudgment interest is driven primarily by economic principles or legal instruction, including how risk, currency, and compounding should be addressed in practice.

The discussion will feature:

- Ex-ante/ex-post topics, including whether the ex-post valuation should apply any time there is favorable ex-post information and whether consequential damages are recoverable;

- Forecasting in the but-for world, including if a business case is the blueprint for building the counterfactual scenario or just a piece of paper and if the income approach is the Swiss army knife of valuations; and

- A discussion of prejudgment interest, detailing whether it is an economic question or a legal instruction, if it should compensate for risks not taken, if currency is relevant, and whether simple interest exists in the real world.

Guests are invited to attend a cocktail and networking reception immediately following the program, providing an opportunity to continue the discussion and connect with fellow practitioners and speakers in an informal setting.