The Risk, Investigations & Analytics team was engaged on a purchase price dispute involving allegations of overpayment and fraud in a corporate acquisition.
The analyses included a detailed review and assessment of the company’s revenue recognition practices, focusing on the plaintiff’s allocation methods for project revenue. The team conducted an analysis of the relevant transactions, identifying discrepancies between the company’s time tracking system data and contractual completion dates, and challenging the reliability of the plaintiff’s revenue allocation methods utilized to recast both revenue and purchase price. Our analysis, on behalf of the defendant, revealed flaws in the plaintiff’s calculations and allocation methodology, strengthening the client’s position in negotiations and litigation.
