Discovery and Upper Limits in Search for Exotic Physics with Neutrino Telescopes

This note gives a short review of the statistical issues concerning upper limit calculation and claiming of discovery arising in the search for exotic physics with neutrino telescopes. Low sample sizes and significant instrumental uncertainties require special consideration. Methods for treating instrumental or theoretical uncertainties in the calculation of limits or discovery are described. Software implementing these methods is presented. The issue of optimization of analysis cuts and definition of sensitivity is briefly discussed.