Gaps in Expert’s Market Analysis Warrant Summary Judgment on Plaintiff’s Lost Profits Claim

The court granted defendants' motion for summary judgment that plaintiff was not entitled to lost profits damages because plaintiff failed to provide an adequate market share analysis. "Defendants first argue that [plaintiff] did not undertake a meaningful market analysis that would support a lost profits calculation. The Court agrees. . . . There are multiple layers of guesswork in [plaintiff's expert's] analysis. . . . [The expert] makes no effort to account for other competitors, but claims [plaintiff] would have made all of [defendant's] accused sales for the six identified products. . . . Also, to claim lost profits from the customer defendants, [plaintiff] needed to analyze other competitor products in the overall KVM switch market in the United States (not just the OEM market). An accounting needs to be made for these gaps in 'but for' causation."

ATEN International Co., Ltd. v. Uniclass Technology Co., Ltd. et al, 2-15-cv-04424 (CACD April 24, 2017, Order) (Guilford, USDJ)