CFL Damages Calculation & Economic Analysis 2

Question 1

In patent infringement damages, a 'reasonable royalty' is most commonly calculated using the framework established in:

Accepted Answer

Georgia-Pacific Corp. v. U.S. Plywood Corp.

Answer

Panduit Corp. v. Stahlin Bros. Fibre Works

Answer

Rite-Hite Corp. v. Kelley Co.

Answer

Lucent Technologies v. Gateway

Question 2

When calculating economic damages, the difference between 'general damages' and 'special damages' (consequential damages) is that general damages:

Accepted Answer

Flow naturally from the wrong and need not be specifically pleaded

Answer

Require expert testimony to establish causation

Answer

Must be foreseeable to the defendant at contract formation

Answer

Are limited to out-of-pocket losses only

Question 3

The 'event study' methodology in securities damages analysis isolates the price impact of alleged fraud by:

Accepted Answer

Separating stock price movements attributable to the fraud from market and industry-wide movements

Answer

Tracking all trades by insiders during the class period

Answer

Comparing the defendant's stock price to the S&P 500 on the day of disclosure

Answer

Measuring trading volume anomalies during the alleged fraud period

Question 4

In commercial litigation, 'expectation damages' aim to put the non-breaching party in the position they would have been in if:

Accepted Answer

The contract had been fully performed

Answer

The contract had never been entered into

Answer

The breaching party had paid a reasonable penalty

Answer

The parties had renegotiated the contract at current market rates

Question 5

In a trade secret misappropriation case, which damages theory would be most appropriate when the defendant's unjust enrichment exceeds the plaintiff's provable lost profits?

Accepted Answer

Disgorgement of the defendant's profits attributable to the trade secret use

Answer

A reasonable royalty based on the trade secret's fair market value

Answer

The cost to develop the trade secret independently

Answer

Statutory damages under the Defend Trade Secrets Act

Question 6

The 'before and after' method for calculating lost profits compares the plaintiff's financial performance:

Accepted Answer

During the wrongful conduct period versus pre- and post-wrong periods

Answer

To the defendant's profits during the same period

Answer

Before and after the plaintiff filed the lawsuit

Answer

Before and after implementation of the remedial measures