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Attorney Forensic Primers

Guide For SEC Defense Lawyers Negotiating Disgorgement Awards With SEC

J.W. Verret

If you defend clients before the SEC and negotiate settlements that have a disgorgement element to the award, I recommend you read my how to guide.

As securities law professor and practicing securities lawyer on the one hand, and a practicing forensic accountant on the other, I have a unique vision of how forensic accounting analysis can assist securities law matters.

I used that perspective to write this guide. It helps securities enforcement counsel in negotiating over disgorgement awards in settlements with the SEC in the post-Liu environment.

The paper shows how the "net profits" limitation in Liu is a very complex question bringing together different branches of accounting and gives you tools to credibly argue for a more reasonable estimate in disgorgement awards. 

The paper was profiled on the Harvard Law School Forum on Corporate Governance here and was featured on the 100th anniversary episode of the PLI InSecurities podcast here, full paper available here. Let me know if I can ever be useful as you navigate these issues.