Industry Practice Supports Discounts in Stock Redemption Valuation

BVLaw
Court Case Digests
December 15, 2017
1794 Excavation Work
238910 Site Preparation Contractors
buy/sell agreement
discount for lack of control (DLOC), expert testimony, discount for lack of marketability (DLOM), minority discount, minority interest, shareholder agreement, redemption, valuation methods, net book value, discount for lack of control (DLOC)

Hornberger v. Dave Gutelius Excavating, Inc.
2017 Pa. Super. LEXIS 1044
US
State Court
Pennsylvania
Superior Court of Pennsylvania (appellate court)
Brian Elsasser (plaintiff); Bradley D. Kellett, Eric Blocher (defendant)
Moulton

Summary

Valuation of shares of terminated stockholder based on shareholder agreement that requires calculation of adjusted net book value and specified adjustments may include discounts, where discounts are consistent with industry practice, appellate court says.

See Also

Hornberger v. Dave Gutelius Excavating, Inc.

Valuation of shares of terminated stockholder based on shareholder agreement that requires calculation of adjusted net book value and specified adjustments may include discounts, where discounts are consistent with industry practice, appellate court says.

This article also appears in:
Business Valuation UpdateVol. 24 No. 3