Rights and Contingent Liabilities


Philip Saunders Associates (PSA) provides analysis, valuation, and expert testimony on contractual rights and contingent liabilities, where the value is dependent upon the interpretation or quantification of economic, business, or financial events or transactions.  PSA's broad management, investment, finance, and analytical experience is particularly relevant in the determination of value in complex financial situations.


Selected Cases

  • For owner of warehouse/industrial park located on Superfund site, PSA valued contingent liabilities for environmental cleanup.  PSA demonstrated that probable present value of liabilities exceeded assessed value of property.  Following PSA's report and deposition of Dr. Saunders, case settled with $1 million real estate tax savings for client and stipulation of permanent cap on property's assessed value. 
  • For potential acquirer of vending machine manufacturer, claiming breakup fee under M&A agreement, PSA analyzed operating, financial, and ownership history of manufacturer and determined that certain financings, organizational changes, and transactions were not in "ordinary course of business."  Client won on summary judgment based on PSA's affidavit and was awarded $750,000. 
  • For beneficiary of estate in which amount of allowable marital deduction was in dispute, PSA reviewed will, trust documents, financials, and income and support requirements of beneficiary.  PSA then developed methodology for determining amount needed to fund trust, which established amount of deduction.  IRS accepted methodology and PSA's estimate of $4,600,000 for marital deduction.

                                   ┬ę 2014 Philip Saunders Associates