22 Oct 2012 Cases

Compass Lexecon Client Reaches Massive Settlement in Historic and Highly Publicized Breach of Contract Litigation

2 minute read


In 2008, VOOM HD, an affiliate of AMC Networks Inc. and a former unit of Cablevision Systems Corporation, sued Dish Network after Dish Network terminated a 15-year contract to carry VOOM HD's programming. Compass Lexecon's Senior Managing Director Jon Orszag testified before a jury at the Supreme Court of the State of New York that VOOM HD suffered more than $2.4 billion in damages as a result of Dish Network's alleged breach of contract. Soon after Orszag's testimony, the parties reached a settlement of $700 million in cash and a long-term agreement for the Dish Network to carry a number of AMC Networks' programming channels, which third-party analysts viewed as conveying to AMC significantly more value than the cash part of the settlement.

The case attracted widespread national press and Wall Street analyst coverage. One analyst who watched the trial testimony concluded that Orszag was "a most credible witness in the eyes of the jury." Orszag was "extraordinarily well received" by the jurors and one juror stated to Bloomberg after the settlement that Orszag "made a good argument for the $2.4 billion damage award."

Compass Lexecon's economists and financial experts worked in several areas of this case. The group supporting Orszag on damages included Guillermo Israilevich, Maria Stoyadinova, Richard Mills, Kate Duan, and Hashim Chaudhry from the DC office. Rahul Sekhar, Rajiv Gokhale, Evan McKay, and Paul Eastwood supported the attorneys at trial, including assistance preparing plaintiffs' witnesses and assisting the client on cross-examination. They were supported in the Chicago office by Avisheh Mohsenin, Quinn Johnson, Andrew Lin, Saloni Shah, Margaret Hlebowitsh, and Hoang Lam. In addition, Compass Lexecon affiliate David Ricchiute submitted two reports rebutting testimony from the defense accounting expert. He was supported by Kevin Dages, Jennifer Milliron, and Evan McKay. Finally, as the trial went on, Arti Bhargava and Rohini Sadarangani, from the Oakland office, conducted an expedited audit of Dish Network's entire subscriber data warehouse.

Compass Lexecon's team worked with Orin Snyder, Chris Dusseault, Dace Martinez, Alma Asay, Paul Kremer, Thomas Dupree, Brian Ascher, Ilissa Samplin, Michelle Katz, and David Debold of Gibson, Dunn & Crutcher and Josh Dubin of Dubin Research & Consulting, who successfully represented VOOM HD.

A new version of Compass Lexecon is available.