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
dissenting shareholder
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.