Following their “How Calculating Damages Has Evolved in False Advertising and Product Defect Class Actions” webinar, NERA Associate Director Dr. Garrett Glasgow and Senior Consultant Dr. Daniel Werner recently published an article titled “Damage Methodology Trends Within False Advertising and Product Defect Class Actions” in the latest edition of Competition Law Journal.
In their article, the authors review several approaches to calculating damages in false advertising and product defect class action litigation used in recent years, with a specific emphasis on:
- The full refund approach;
- The promised discount approach;
- The applications of a price premium approach (including simple price comparison, regression analysis, and conjoint surveys);
- Economic market simulations; and
- How these damages models are sufficient for class certification, based on the details of implementation and the facts of each individual case.