Loss Quantification

Loss Quantification
Loss Quantification
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Loss Quantification
1. My general role as a potential expert witness involved in this matter
A witness is a person who testifies in the court of law. An expert witness is therefore an
individual who testifies in the court of law because the individual is believed to be an expertise
in the matter of interest (McKendrick,2014). The whole incidence involves determining the work
of forensic accountant .Generally forensic accounting involves application of appropriate
techniques that focuses to undertake acceptable concepts needed in carrying out legal claims. It
mostly occurs due increased claims in business such as embezzlement of financial funds and
increased illegal business within the market place.
In the case the role of the expert will comply with the function of the forensic accountant in fraud
determination. The expert will assist in providing all the relevant information that will guide in
trial.
Role of the expert in the trial.
 Carrying out the litigation process in the business. The expert will give any documentary
evidence which shows that PEL was involved in providing the XY256 chemical additive
to the AIH. The document gives the evidence that will support or assist in rebut of the
claim in the court (Singleton & Singleton, 2010).
 Assisting in fraud detection. The expert will provide appropriate questions on why the
PEL decided to use the defective chemical to the AIH.The court will rule in favour of the
evidence about the use of defective XY256 chemical additive.
 Giving the court the evidence on the use of XY256 chemical additive. The expert
provides samples from the CF which they claimed had the XY256 chemical additive.
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Loss Quantification
 Preparing a balanced report that accounts for the use of XY256 chemical additive. It is
based on thorough examination carried out by the expert regarding the supply of XY256
chemical additive by PEL.The report gives the reasons why PEL tried to use the chemical
knowing that it will cause damages to the candles produced by the AIH.
 Investigating the major claims based on the customer fraud.CF got claims from their
customers complaining for the use of XY256 chemical additive. Therefore the expert in
the court will try to table all documentaries revealing the use of XY256 chemical additive
by the AIH (Modugu & Anyaduba,2013).
 Collecting relevant data regarding the supply of defective chemicals by the PEL.The
expert will help the AIH in the court by giving apt data which shows that PEL was
involved in illegal business. The compensation will be guaranteed to both CF and AIH if
only the expert tables the apt evidence in the court (Cain, 2014).
2. Review on the claims to arise based on the facts at hand
One of the claims that would obviously arise from this issue is that AHI would try to sue
PEL for the damages that it has incurred as a result of the XY256 chemical additive that caused
an unpleasant odor to be produced some hours eight hours after it had already been used from the
candle residue. Well, this particular claim is not a breach of contract but rather a mere tort claim
(Low, Bordia, Bordia, 2016). It is a tort claim that seeks to obtain what can be regarded as a civil
remedy, for instance the damages that AHI suffered after losing its main customer and the safe
environmental disposal issue (Branson, 2011).
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