Lewis v. Lewis
Miss. supreme court confirms “bright line” rule that all goodwill, whether enterprise or personal, of a professional or retail firm, is excluded from the valuation of a business in divorce.
Georgia Adopts Majority Rule on Dividing Professional Practice Goodwill in Divorce
Georgia Supreme Court adopts majority rule regarding disposition of goodwill value of professional practice.
Cox v. Cox
Court confirms appropriateness of applying a 50% marketability discount to the post-marital value of a steel business but not to its premarital valuation, citing the changes in the steel industry and company-specific factors.
Shuck v. Shuck
Nebraska appellate court precludes discounts for embedded capital gains tax under the asset approach, confirms tax “adjustments” to the cash flows of a business under the income approach, and affirms that applications of minority and marketability discoun ...
In re Marriage of Bruns
Divorce court confirms value of dental practice, excluding goodwill, is midway between a broker’s value and a BV expert’s.
Rhodes v. Rhodes
Miss. appellate court confirms “bright line” rule that all goodwill, whether enterprise or personal, of a professional or retail firm, is excluded from the valuation of a business in divorce.
In re Marriage of Cantarella
Court rejects accountant’s preliminary valuation as lacking sufficient financial support to evidence value of marital business.
Slater v. Slater
Oregon court adopts majority rule, finding it improper to predicate the value of a professional practice on a noncompete.
Divorce Court Limits Professional Goodwill to Value of Noncompete
Divorce court limits professional goodwill of dental practice to the value of a non-compete agreement allocated in the sale of the practice during the proceedings.
More Confusion Regarding Goodwill Warrants Correction by Court
Husband’s valuation expert incorrectly reduced the hard assets (cash and accounts) of an ongoing business by a personal goodwill value.
Heller v. Heller (II)
Court of Appeals determines, based on the nature of the husband’s interest in an S corporation, that the state marital dissolution statutes prohibit the double dip; i.e., the trial court awarding the wife an interest in the business and then awarding spou ...
Shewbart v. Shewbart (II)
Court finds that 2x EBITDA multiple is not too low for restaurant valuation, due to 2008 economic downturn and long hours by husband, a solo proprietor.
Graves v. Tomlinson
Husband presents two experts to value wife’s three health care businesses, a forensic accountant to normalize the records and a business valuation expert to assess value under all three approaches.
In re Marriage of Hagar
Court declines to accept “calculation of value” by CPA expert in divorce, because it relied on industry rules of thumb and lacked required level of judgment compared to complete valuation.
Miller v. Miller
Georgia Supreme Court adopts majority rule regarding disposition of goodwill value of professional practice.
Court Avoids Danger of Double Dip When No Claim for Alimony
Appellate court permits valuation of professional’s earning capacity (goodwill) in appraisal of small law practice when there was no child or spousal support at issue.
Wisconsin Appellate Court Articulates New Standard on Division of Goodwill in Divorce
Wisconsin appellate court holds that all salable professional and corporate goodwill in a private practice is divisible in divorce.
Tennessee Court Excludes Patient Files as Professional Goodwill in Dental Practice Valuation
Tennessee appellate court finds that patient records constitute professional goodwill value and are not a divisible asset in divorce.
Summary Findings on Discounts, Stock Sales, and Prior Valuations in Divorce
Court confirms trial court’s application of double discounts (marketability and minority) and evidence of prior sales to value several closely held interests in divorce.