Evidence of valuation is very important in arbitration and litigation cases that include issues regarding shareholder disputes, damages for business, acquisition-post-disputes, and other similar financial disputes. Experts hired by the courts and arbitral bodies will have to use their expertise to come up with a fair valuation or an accurate quantification of loss. But since valuation involves professional judgment in choosing techniques, formulating assumptions, and analyzing market information, there might be discrepancies among experts in coming up with the valuation evidence.
Due to the important role played by valuation opinions in resolving financial conflicts, it is necessary to ensure their high level of quality and defendability. Independent valuation review and certification are two ways through which the quality of valuation opinion can be evaluated. Through these two measures, the reliability of valuation evidence used in arbitration and litigation will be improved.