The method identifies comparable businesses unaffected by the conduct and applies their performance to project what the plaintiff would have achieved. Comparability is the central requirement.
It is used where the plaintiff lacks adequate operating history.
Alternative Names:
Yardstick Approach, Comparable Business Method
Why it Matters?
Comparable selection is where the method is challenged, since businesses differ in location, management, capitalization, and customer base, and a yardstick chosen for favorable performance rather than genuine similarity produces an inflated projection. Requesting the full set of candidates considered, and the criteria for including and excluding each, tests whether the selection was principled or outcome-driven.
Frequently Confused with
Related terms
Frequently asked questions
Where is the method challenged?
What discovery tests the selection?
