Book description
Praise for Cost of Capital in Litigation
Applications and Examples
"After revising their existing text, Cost of Capital:
Applications and Examples, the authors have endeavored to expand their
treatment of the subject and further explore the role of cost of
capital in the courts.?Addressing various methods for calculating
value and different standards of value, the authors explain how courts
may differ in their decisions based on the topic, jurisdiction, or
available evidence. This new compilation is an important contribution
to the field of valuation and will serve as an imminently helpful
resource for attorneys and judges. Shannon Pratt and Roger Grabowski
have provided yet another thoughtful,?helpful,?and excellent resource
for all practitioners interested in how appraisers and courts have,
and should, arrive at value."?
Â-From the Foreword by?David
Laro, Judge, United States Tax Court
"Cost of Capital in Litigation is a very helpful resource for
litigators faced with valuation disputes involving an assessment of
discounted cash flows. In the area with which I am most
familiarÂ-Delaware valuation lawÂ-it is thorough and insightful. More
important to me, its introductory material nicely lays out the
conceptual structure of the valuation issue, and the remaining
chapters gather lots of information about the treatment of the issue
in areas with which I am less familiar, (such as bankruptcy law and
domestic property litigation)."?
Â-Lawrence A. Hamermesh,
Ruby R. Vale Professor of Corporate and Business Law, Widener
University School of Law, Wilmington, Delaware
"Cost of Capital in Litigation comprehensively deals with a
difficult subject, pointing out common grounds as well as differences
among experts in the treatment of this subject.? It is a must first
stop for the uninitiated in the subject and the ultimate checklist
that every practitioner should consult.?Particularly useful are the
chapters focusing with the eyes of experts on the treatment of cost of
capital in specific areas of litigation.?Notably, the authors alert
the reader to those aspects of the various methods for determining
cost of capital that may differentiate among the suitability of the
methods based on available data, the circumstances presented, and the
legal issue under consideration."
Â-Reeves Westbrook, Esq.,
Partner and Chair of the Tax Group, Covington & Burling LLP
"Shannon Pratt and Roger Grabowski have consolidated information
on important theoretical valuation frameworks, practical applications,
and case law needed by finance professionals, attorneys, and judges in
these challenging times. Cost of Capital in Litigation serves as a
solid well-written reference on cost of capital and valuation that I
recommend to both practitioners and students."
Â-Theodore
Barnhill, Professor of Finance and Director of the Global
and Entrepreneurial Finance Research Institute, The George Washington University
"Valuation in litigation settings requires careful analysis,
solid evidence, and defensible positions.?Cost of Capital in
Litigation details the nuances and subtle but critical elements of
crafting a defens-ible position for experts, attorneys, and others who
need to understand how and why valuation cases are won and
lost."
Â-Hal Heaton, Professor of Finance, Marriott School
of Management, Brigham Young University
"Discount rates are often crucial components in calculating
damages.?Even small changes in these numbers can?have large effects on
the amounts in disputeÂ-and the?magnitude of damages won or lost.?Cost
of Capital in Litigation explains the underlying economic theory. It
then offers separate chapters elaborating on rate of return approaches
in their widely varied forensic contexts.? This?helpful compendium
even includes an outline of cost of capital questions for use by
attorneys and their financial experts.? No business litigator should
be without it."
Â-Peter V. Baugher, Esq., Partner, Schopf
& Weiss LLP?
Roger J. Grabowski is Manag-ing Director of Duff & Phelps LLC in
Chicago, Illinois, and author of the annual Duff & Phelps Risk
Premium Report. He is the co-author of Cost of Capital, Third Edition,
and has authored several articles during the crisis that began in
2008, including "Cost of Capital Estimation in the Current
Distressed Environment," featured in the Journal of Applied
Research in Accounting and Finance. Grabowski has testified in court
as an expert witness on many valuation issues.
