Provides Opinion & Testimony In:
Financial Damages, Royalty Audit Standards, Contract Audit Standards, Intellectual property, Georgia Pacific Factors, Royalty Rates, Patent Infringement, Copyright Infringement, Trademark Infringement, False Advertising, Breach of Contract, Business Interruption, Class Action, Complex Commercial Litigation, Fraud & Forensics, Lanham Act, Unfair Competition, DMCA, Accountant Malpractice, Personal Injury, Product Liability, Royalty Disputes, Royalty Auditor Malpractice, Royalty Auditor Independence, Trusts & Estates, Wrongful Termination, USITC. Music, Film, Entertainment, Oil, Gas, Retail, Consumer Products, Apparel, Electronics, Headphones, Patent Pool, Hardware, Software, Medical Devices, Pharmaceuticals, Eeal Estate, Constructiony
RANGE OF EXPERIENCE
Expert an economic damages expert with more than 30 years of experience who opines on financial forensics, lost profits, royalty auditor professional competency and fraud. He is a world leading authority in royalty auditing and royalty audit standards. He was a Big 4 Partner and was Chief Audit Officer at Beats Electronics until its sale to Apple. His career has been split between leading corporations (Disney, Occidental Petroleum, and Unocal) and accounting firms. An author of two books on financial terms in agreements (Oxford University Press & LexisNexis) and is one of five regents of the 75,000 member Association of Certified Fraud Examiners’ Board of Regents.
COMPLEX BUSINESS LITIGATION AND INTELLECTUAL PROPERTY EXPERT WITNESS
Expert has been an economics damages witness in approximately 50 matters. His testimony has been for plaintiffs and defendants in Federal, State, arbitration, and USITC matters. Case experience includes breach of contract, complex commercial litigation, patent, trademark, copyright, wrongful termination, false advertising, personal injury, energy, partnerships, and professional accounting standards related to royalty audits. His clients have won more than 90% of the cases where he has testified and his calculations have almost always been accepted over other experts. He has strong industry expertise in entertainment, apparel, energy, consumer products, construction, licensing, manufacturing, software, hardware, and toys.
Expert led the national royalty audit practices for Big 4 firms Ernst & Young and KPMG where he also wrote the global royalty audit methodologies. His clients have included industry leaders to individuals. Commonly audited industries include consumer products, electronics, software, apparel, media and entertainment, aerospace, automotive for trademarks, patents and copyrights. He also provides frequent talks on royalty agreements to bar organizations, law firms and at major events.
FRAUD & FORENSICS
Having lead more than 1,500 forensic investigations, Expert was named the “Certified Fraud Examiner (CFE) of the Year” in 2012 by the 75,000 member global Association of CFE’s. Expert is one of five members of the Board of Regents of the ACFE for 2016-2017. The Board of Regents has sole authority over the admission of members, including but not limited to examination standards. The Board is also responsible for establishing, modifying and enforcing the CFE Code of Professional Ethics and all other matters necessary to maintain the high standards of the ACFE.
Private Company (August 2016 – present)
Stout, Risius, Ross (2014 – August 2016)
• West coast in charge of litigation support and royalty audit.
• Expert witness in multiple cases including Federal, State and USITC.
Chief Audit Officer / Head of Audit
Beats Electronics, LLC (2012 – 2014)
• Hired by client and with Beats from one employee to sale to Apple.
• Established internal audit department. Consultant to executive management.
• Involved in licensor and licensee contract negotiations and monitoring compliance.
Partner – Royalty & Contract Audit and Litigation Support
Green Hasson & Janks, LLP (2009 – 2012)
• Partner in charge of royalty & contract audit and litigation support.
Principal In Charge of Forensic Advisory Services
Stonefield Josephson, Inc. (2008 – 2009)
• Principal in Charge of four principals plus staff.
• Only Principal with Fortune 100 clients (Diageo, Sony, Viacom)
Partner – Advisory Services
KPMG, LLP (2003 – 2008)
• Partner in Charge: West Region Royalty Audit Services
• Wrote global contract compliance and Royalty Compliance Services methodologies.
• Lead internal audit partner over two financial/insurance companies.
• Lead advisory service Partner for several clients. Responsibilities include consultation on business operations, information technology, budgeting, organization process improvements, and partner relationships along with many other areas.
Group Director, Director, Assistant Director, Senior Manager and Manager Ernst & Young (1997- 2003) “Internal Audit Services”
• National IAS Leader: Fraud and Forensics.
• Wrote royalty audit methodology and conducted several hundred contract and royalty audits.
• Area IAS Industry Leader for Manufacturing and Distribution clients.
• Area IAS Industry Leader for Entertainment, Technology and Communication clients.
• Worked closely with Internal Audit Vice Presidents and/or CFO’s in starting and maintaining their Internal Audit department and implementing best practices.
Accounting Manager and Internal Audit Manager
The Walt Disney Company (1995 – 1997) [Consumer Products Division]
• Responsible for various accounting department activities including monthly closures, review of reconciliations, forecasting, and a wide variety of special reports.
• Started two Internal Audit Departments (one for Disney Consumer Products (software) and one for Buena Vista Home Video). Developed annual audit plan and budgets, hired and supervised staff, ensured compliance with plans and prepared and presented final reports.
• Conducted numerous royalty audits
• Wrote corporate policies and procedures for both divisions.
Senior Internal Auditor
Unocal Corporation (1992 – 1995)
• Supervised domestic and international engagements.
• Responsible for internal forensic investigations.
Senior Internal Auditor, Staff Internal Auditor Occidental Petroleum Corporation (1990 – 1992)
• Developed internal audit programs for multiple new areas.
• Supervised domestic and international engagements.
Senior Auditor, Staff Auditor
Ernst & Whinney (aka: Ernst & Young) (1986 – 1990)
• Focused work primarily on forensic investigations and financial statement audits.
PUBLICATIONS, PRESENTATIONS & ARTICLES
Available Upon Request
• Certified Public Accountant (California & New York)
• Certified Fraud Examiner
• Certified Professional Environmental Auditor in Health & Safety
• Certified Professional Environmental Auditor in Environmental Compliance
• Certified in Financial Forensics (American Institute of Certified Public Accountants)
HONORS, AWARDS, OTHER
• “Certified Fraud Examiner of the Year” – 2012 (75,000 member association of CFE’s)
• Member, Board of Regents. Association of Certified Fraud Examiners (2016-2017)
• National Innovation Award – Ernst & Young (Tied self for 1st & 2nd place out of 350 entries)
• “Forensic Services Expert Witness of the Year” – Corporate America News (2016)
• California State University, Northridge – BA, Business Administration, Accounting Major. (Cum Laude)
EXPERT WITNESS EXPERIENCE – ARBITRATIONS & COURT TRIALS
Available Upon Request
SAMPLE DAMAGE CALCULATIONS – Not Under Litigation
• Damage calculation: A global fraud investigation of a studio division’s CFO that eventually helped support a criminal conviction. Client: Warner Bros.
• Damage calculation: Employees and partners who created fraudulent financial statements and stole major assets. [internal investigation leading to police arrest]
• Damage calculation: A kickback scheme involving a shipping supervisor of a Fortune 500 company. [internal investigation leading to police arrest]
• Damage calculation: Breach of contract construction defect. $850 million construction project [Plaintiff]
• Damage calculation: Breach of contract – failure to sell a movie theater [Plaintiff]
• Partner dispute investigation: Theft of assets by partner.
• Royalty Engagements: Over 500 conducted and over 1,000 by staff. Over $8 billion of royalties examined with findings of several hundred million dollars.