Recent case law added to BVLaw

New cases where the value of private businesses, or damages, are beling litigated have been added to the BVLaw database this week.   A sampling includes:

Lucent Technologies, Inc. v. Microsoft Corp., 2011 WL 2728317 (S.D. Calif.)(July 13, 2011)

Federal district court precludes expert’s patent infringement damages under Uniloc standard for failing 1) to establish the patented software as the basis for consumer demand of Microsoft Outlook; or, 2) specifically apportioning damages between the patented and unpatented features of Outlook.

Judge:  Huff

State/Jurisdiction: federal/California

Court: U.S. District Court

Type of case: IP

SIC code and industry: 7372 Prepackaged Software (software publishing)

Rappaport v. Gelfland, 2011 WL 3215379 (Cal. App. 2 Dist.)(July 28, 2011)

California Court of Appeals construes “liquidation value” of law firm under partnership buyout statute to require a “construct” of selling assets over time at fair market value, discounted to present value as of the dissociation date.

Experts: Jan Goren and Paul Kelley (plaintiff) and David Nolte (defendants)

Judge:  Croskey

State/Jurisdiction: California

Court: Court of Appeal

Type of case:  judicial dissolution

SIC code and industry: 8111 Legal Services

In re Terrestar Networks, Inc., 2011 WL 3654543 (Bkrtcy. S.D.N.Y.)(Aug. 19, 2011)

Bankruptcy court holds that a security interest may exist in the economic value of an FCC license, despite federal law precluding the granting of a collateral interest in the license itself.

Experts: none

Judge:  Lane

State/Jurisdiction:   federal/ New York

Court: U.S. Bankruptcy Court

Type of case:  bankruptcy

SIC code and industry: 4899 Communications Services, NEC (satellite communications)

Estate of Petter v. Commissioner, 2011 WL 3332532 (C.A. 9)(Aug. 4, 2011)

Ninth Circuit upholds defined value, formula allocation clauses against IRS argument that they require a condition precedent—i.e., an IRS audit and/or determination of fair market value.

Experts: Moss Adams, LLP

Judge:  Bybee

State/Jurisdiction: federal

Court: U.S. Court of Appeals, 9th Circuit

Type of case:  federal tax

SIC code and industry:  6733 Trusts, Except Educational, Religious, and Charitable (personal trusts, estates, and agency accounts)

Oracle America, Inc. v. Google Inc., 2011 WL 2976449 (N.D. Cal.)(July 22, 2011)

Federal district court precludes expert’s billion dollar damages calculations for patent infringement under the entire market value rule and other legal and evidentiary bases, and provides a clear ‘starting point’ for any reasonable royalty analysis.

Experts: Dr. Iain M. Cockburn (plaintiff)

Judge:  Alsup

State/Jurisdiction: federal/ California

Court: U.S. District Court

Type of case:  IP

SIC code and industry: 7372 Prepackaged Software (software publishing)

Davidson v. Davidson, 2011 WL 3476827 (Mich. App.)(Aug. 9, 2011)(unpub.)

Trial court did not err by excluding proffered appraisal expert; even though he had 30 years of accounting and real estate experience, he lacked a college degree and had never been qualified as a BV expert.

Experts: unnamed

Judge:  O’Connell

State/Jurisdiction:   Michigan

Court: Court of Appeals

Type of case:  marital dissolution

SIC code and industry: 5812 Eating Places

Campbell v. Campbell, 2011 WL 3444240 (Va. App.) (Aug. 9, 2011) (unpub.)

Appellate court affirms trial court finding that expert who relied on “estimates” of asset value, provided by the husband with an unreliable memory, was not credible.

Experts:  Robert Raymond (husband)

Judge:  Elder

State/Jurisdiction: Virginia

Court: Court of Appeals

Type of case:  marital dissolution

SIC code and industry: 2421 Sawmills and Planing Mills, General