Norton Co v. Smyth

BVLaw
Full Text of Court Cases
August 5, 2002
6719 Offices of Holding Companies, NEC
551112 Offices of Other Holding Companies
shareholder dissent/oppression
fair value, discount for lack of marketability (DLOM), market approach, c corporation, s corporation

Norton Co v. Smyth
112 Wn. App. 865, 51 P.3d 159, 2002 Wash. App. LEXIS 1841
US
State Court
Washington
Court of Appeals
Arthur Andersen (for plaintiff) <br> Robert Duffy (for defendant)
Kennedy

Summary

The issue, in this case of first impression in Washington, was the propriety of discounts for lack of marketability and built-in capital gains in a dissenters' rights proceeding.

See Also

No DLOM Absent Extraordinary Circumstances; Bright-Line Rule Prohibiting Built-in Gains Discount Rejected

The issue, in this case of first impression in Washington, was the propriety of discounts for lack of marketability and built-in capital gains in a dissenters' rights proceeding.

Bright-Line Rule Barring Discounts Is Inappropriate

The Washington Court of Appeals reversed a trial court’s bright-line rule prohibiting discounts for lack of marketability and built-in capital gains taxes when determining fair value in a dissenters’ rights action.