This is the inaugural issue of Litigation Counselor, the blog of Lieberman LLP designed to inform attorneys of forensic accounting and business valuation ideas to assist in their litigation, estate planning, tax and bankruptcy practices. Our goal is to provide accurate, timely information honing in on forensic accounting and valuation issues as they affect you. Litigation support services is an evolving science/art fraught with pitfalls and not for the unwary. Court cases abound of failed presentations looked upon askance by judges who themselves often need education as to proper valuation methodologies and applications of such. We at Lieberman LLP are dedicated to providing a superior product that is as bullet proof as it can get to combat experts engaged by opposing counsel and the misinformed. The blog will be brief and to the point. Feel free to contact us for more insight on topics presented. Hopefully you will enjoy reading our articles. If you do not wish to receive future issues please mark the box below.

Martin J. Lieberman, CPA/ABV, ASA
Editor

Even with the current credit crisis finally showing signs of abating, formerly “low risk” financial instruments have failed at a rate not previously experienced. As a result, litigation on a large scale is looming. Investors who have been hurt will no doubt seek redress against the sellers of bad paper. As the financial instruments in question are often complicated and convoluted experts must be engaged to explain in layman’s terms the relationship between the contract entered into and the outcome or lack thereof. Explaining difficult concepts without the use of jargon separates the effective expert with one who may properly relate the intricacies of the debate but not communicate it in a way a judge or jury can understand it. Writing well and speaking persuasively are skills that are essential to get a favorable result. Complex regression analysis, binomial lattices and the like cannot be explained with any hope of success unless such concepts are translated into everyday language and imagery. To keep deciders from glazing over the use of visuals, clear language and even a bit of folksy acting is in order. Experts with an appealing personality trump dry uninspired presenters no matter how knowledgeable they may be.

Conversely, the attorney needs to communicate with the expert explaining the legal concepts involved and how the expert’s work will be used to support a legal theory. Both the attorney and the expert need to understand each other and work as a team. Emphasis on appropriate elements and economic aspects of a process or financial instrument that leads into a conclusion that serves the interest of the client may have to be taught to the expert without impinging on his independence and positioning as a provider of information that is the experts own opinion that cannot in any way be construed as advocate of the client.