“You definitely need a high tolerance for ambiguity” when valuing companies with contingent assets, acknowledged Gary Karlitz
(Citrin Cooperman & Co.). Gary has established himself as a rigorous decision modeler and he shared several case studies with the audience at the AICPA/AAML Las Vegas conference. He follows a model that meticulously tracks best, base and worst case litigation outcomes – and makes it “easy” to reverse engineer the numbers since probability modeling will deliver a range of answers. Gary also pointed attendees to www.verdictsearch.com
, a searchable database useful in determining the value of case. His parting note was to point out that “decision modeling is an extremely effective process for settling cases.”
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