Global Arbitration Review's "The Guide to M&A Arbitration," focuses primarily on various aspects of the resolution of M&A disputes through arbitration. In FRA Partner Jerry Hansen's chapter, "Managing Expert Determinations," Jerry explores expert determinations as the alternative to a formal arbitration process to resolve certain M&A disputes.
An expert determination is an additional alternative dispute resolution process often included in transaction agreements, one that is commonly utilized in resolving post-closing purchase price adjustment disputes or closing accounts disputes.
The chapter discusses a variety of topics focused on assisting transaction parties, their advisers and their counsel in managing the expert determination process, including how an expert determination differs from an arbitration and the types of M&A disputes that are most often appropriately resolved through an expert determination. This chapter also discusses and describes a variety of factors related to expert determinations, including defining and documenting the process in the relevant transaction agreement, the content of submissions to the expert that can have a direct impact on the determination, and the critically important selection of the expert.