Expert Testimony on “Transition Damages” From Inventory Buy-Back Excluded

The court granted defendant's motion to exclude the testimony of plaintiff's damages expert regarding transition damages as unreliable. "[Plaintiff's expert] asserts Plaintiff rolled out 'the Everbilt private label dryer venting and air distribution products for Home Depot' in 2014 and the cost for this transition included 'an inventory buy-back cost of about $1,114,000.' [Plaintiff's expert] concludes that 'but for [defendant's] infringing competition, [plaintiff] would have been able to manage its [product] launch in a way that would have avoided the inventory buy-back cost.' However, Plaintiff must establish why damages are legally available. Here, Plaintiff cites no legal authority under which it is entitled to 'transition damages.'"

Deflecto, LLC v. Dundas*Jafine Inc., 4-13-cv-00116 (MOWD November 4, 2015, Order) (Smith, J.)