Judge Confirms Analysis Group Vice President Jonathan Borck’s Damages Assessment in Oakland Bulk & Oversized Terminal LLC v. City of Oakland

January 31, 2024

Analysis Group was retained on behalf of the City of Oakland, California, in a dispute with Oakland Bulk & Oversized Terminal LLC (OBOT) and Oakland Global Rail Enterprise LLC (OGRE) related to the development of a large ship-to-rail terminal in Oakland for the export of non-containerized bulk goods. A dispute between the development companies and the city over the potential use of the terminal for the shipment of coal led to multiple lawsuits in federal and state courts. The development companies’ core allegation was that the city breached its contract related to the terminal development.

An Analysis Group team led by Vice President Steven Saeger, and including Vice President Stephen Kiebzak and Manager Matt Infante, supported Vice President Jonathan Borck in assessing the developers’ expert’s estimate of $159.6 million in lost profits damages from the breach of contract. Following the damages phase of the trial in Alameda County Superior Court, the judge awarded no lost profits as a potential remedy, deeming “OBOT’s claim for lost profits is speculative and not reasonably certain.” In support of this decision, the judge cited Dr. Borck’s trial testimony regarding the failure of the developers’ expert to adequately account for the multiple, compounding sources of uncertainty in the estimated lost profits damages.