5 Methods of Valuation in International Practice
- Damages — Valuation
This chapter analyses how the three most important valuation approaches – the market approach, the income approach, and the asset based or cost approach – are reflected in the practice of international investment tribunals. After a short description of the theoretical concept of the respective approaches at the beginning, the corresponding cases are presented and analysed in some detail. The discussion shows that also other approaches are applied in the practice of tribunals, such as mixed methods, insurance value, tax value or contract based valuation. Tribunals sometimes also consider additional types of damages, such as loss of reputation, liability to subcontractors, costs for damage limitation, repair and maintenance, as well as costs for pursuing the claim.