Ms. McNally is a Managing Director with The Claro Group located in Chicago. Recently named a Rising Star of the Profession by Consulting Magazine, she has been with the firm since its inception in 2005 and is part of the firm’s DCI Practice (Disputes, Claims, and Investigations), specializing in damages quantification, statistical analyses, complex claims consulting, and litigation risk analysis. In addition to her consulting responsibilities, Katie is an Adjunct Lecturer of Statistics and Economics at Northwestern University.

Katie has been hired as a disclosed damages expert in cases involving alleged False Claims Act violations and creditor-debtor disputes, and has provided testimony in a Federal case. She has been retained as a consulting expert in a variety of matters, advising clients on issues ranging from statistical sampling procedures to damages quantification in retrospective premium disputes.

Experience +

Testifying damages expert in case alleging violations of the False Claims Act, including economic valuation of non-conforming services provided by 3rd party government contractor and statistical analysis of data alleged to be falsified and submitted to the US government. Includes testimony.

Served as outsourced Chief Financial Officer for an alternative asset hedge fund, performing litigation risk analysis for due diligence purposes as well as financial reporting purposes. Katie worked with auditors to establish appropriate valuation methodology for fund assets, including litigation-backed assets, and performed valuations for financial reporting under IFRS. She has developed detailed models to examine ground-up litigation risks and case valuation for complex commercial litigation cases.

Retained by creditor as a disclosed expert in the valuation of litigation-backed assets in a dispute surrounding the Trustee’s valuation and method of satisfaction of certain assets in the Lehman Brothers Inc. Liquidation.

Retained by indemnitor of large asbestos claims trust to prepare statistical sampling procedures for testing of claims processed by the trust since inception, and to report to judge the findings of the claims sampling, including mean results, confidence level and margin of error, and extrapolation of damages across entire claimant pool.

Established methodology to support estimation of potential value of a large class-action settlement involving long-tail sports-related injuries. Valuation used to support negotiations with class counsel and submitted to the court to support sufficiency of the proposed fund. Worked with counsel to support and negotiate several high-dollar insurance settlements for the defendant.

Led engagement with Fortune 50™ company seeking reimbursement for hundreds of millions of dollars of environmental remediation spending from the U.S. government in a multi-stage recovery action. Engagement focused on the review and analysis of historical insurance settlements to defend assertion of double recovery, including coverage and claim value estimation.

Performed loss quantification and allocation analysis to assist automobile dealership network in recovery of liabilities stemming from alleged Truth-in-Lending Act violations. Dealership network was the defendant in multiple class action suits including over 170,000 class members with unique attributes affecting damages.

Education +

M.S., Finance, Miami University, 2004

M.B.A., Statistics & Econometrics, Economics, Finance, & Accounting, University of Chicago Booth School of Business, 2009

Memberships +

Adjunct Lecturer of Economics and Statistics, Northwestern University

Board Member, Illinois Real Estate Appraisal Administration and Disciplinary Board

Awards +

Named a Rising Star of the Profession by Consulting Magazine (2015)

Publications & Speaking Engagements+

“Statistics in Litigation,” CLE Presentation to Jones Day (2016)

“Retrospective Premiums: Principles and Pitfalls” (with McCarter & English), CLE Webinar (2012)

Hansen, G., Mishkin, R., & DeVelvis, K. “Howrey Lessons: The Downside of Contingent Fees.” Law360. May 9, 2011.

Muth, K. & DeVelvis, K. “Testing Policy Alignment: A Quantitative Methodology.” Journal of Law, Technology, and Public Policy, vol. 1(2) 2015, May 2015, pp. 18-39.

Muth, K. & DeVelvis, K. “Sweet Nothings: The History, Law, and Economics of American Sugar Subsidies.” Harvard Kennedy School Review, March 18, 2016.

Chesler, R. & DeVelvis, K. “Resurgence of the Retro Premium.” American Bar Association: Coverage Journal, Submitted and approved for publication, Summer 2016

Practices +Insights +

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