Wasted Cost Assessment in the Aeronautics Industry


The Claimant, a manufacturer of engine components for the aeronautics industry, invested in the development of a production line in North America for a new aircraft program at the request of a client (the Respondent). Following numerous delays and issues with the qualification process, the production line never received the required certification to begin production. The Claimant initiated an ICC arbitration to seek compensation for its losses.

Our Role

Secretariat professionals were engaged by the Claimant to provide expert testimony on the losses incurred. Our assignment included identifying the boundaries of the claim and quantifying the losses incurred. The losses consisted mainly of sunk costs including the value of time spent by employees and management in the project and pre-award interest.


Our expert testimony allowed the Claimant to obtain a favorable award in compensation for its losses with only minor adjustments to our calculation. The award also stipulated that 100% of the tribunal expenses and 70% of the legal and expert fees paid by the Claimant should be supported by the Respondent.

Latest Insights

Talk to Our Insightful Experts