Tuesday, October 28, 2008

Flawed methodology precludes expert opinion on reasonable royalty

Plaintiff's damages expert was precluded from testifying concerning a reasonable royalty where he "use[d] a 25% rule to calculate a base royalty rate . . . adding or subtracting 1% to adjust for each Georgia- Pacific factor," but "stated at deposition that there was 'no particular reason' for choosing 1%." "[A] results-driven methodology with no rhyme or reason, which does not even take into account which Georgia-Pacific factors are most compelling, does not satisfy the strictures of Daubert and Fed. R. Evid. 702."

Mettler-Toledo, Inc v. Fairbanks Scales Inc., 9-06-cv-00097 (TXED October 27, 2008, Order)

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