Pay telephone vendors achieve favorable settlement in claim for lost profits arising from alleged regulatory abuse

Our client’s need

Two of the largest pay telephone vendors operating in New York City asserted a claim for lost profits against the city as a result of the city’s rejections and delays of location permits required under the city’s pay telephone franchise regulations. 

Baker Tilly solution

In preparing the claim for lost profits, Baker Tilly conducted a detailed analysis of the historical operations of both companies; evaluated the impact of changes within the industry, including the proliferation of cellular telephones and increased revenue generated from the sale of advertising on the phone kiosks; and worked extensively with our clients to analyze and present to the defendants the mechanics of how the accounting systems for both companies operated. Additionally, the two Baker Tilly experts retained in the matter provided testimony at deposition.


Counsel for the vendors used our analyses and quantified damages to settle the case before trial on terms favorable to our clients.

For more information on this topic, or to learn how Baker Tilly complex commercial litigation specialists can help, contact our team.