Dental Practices
This industry comprises establishments of health practitioners having the degree of D.M.D. (Doctor of dental medicine), D.D.S. (Doctor of dental surgery), or D.D.Sc. (Doctor of dental science) primarily engaged in the independent practice of general or specialized dentistry or dental surgery. These practitioners operate private or group practices in their own offices (e.g., centers, clinics) or in the facilities of others, such as hospitals or HMO medical centers. They can provide either comprehensive preventive, cosmetic, or emergency care, or specialize in a single field of dentistry.
Kwak v. Bozarth
The Appeals Court of Massachusetts affirmed the trial court determination of the value of the wife’s dental practice. A large amount and growth of the revenues was from prosthodontics. The wife provided her own value without expert testimony, and the trial court found the methodology not appropriate. The husband’s expert determined the value based on a capitalization of earnings method, with adjustments for compensation to the owner and a 21% discount for goodwill. The appeals court affirmed the decision of the trial court, primarily accepting the valuation of the husband’s expert.
Massachusetts Trial Court Rejects Wife’s Nonexpert Value of Her Dental Practice—Appeals Court Affirms
The Appeals Court of Massachusetts affirmed the trial court determination of the value of the wife’s dental practice. A large amount and growth of the revenues was from prosthodontics. The wife provided her own value without expert testimony, and the trial court found the methodology not appropriate. The husband’s expert determined the value based on a capitalization of earnings method, with adjustments for compensation to the owner and a 21% discount for goodwill. The appeals court affirmed the decision of the trial court, primarily accepting the valuation of the husband’s expert.
Dentists Ins. Co. v. Yousefian
The plaintiff insurance company in this damages case waived work product protection when the plaintiff’s expert disclosed alleged “secret” information to the defendant’s expert. The court required disclosure.
Plaintiff’s Expert Waives Work Product Protection
The plaintiff insurance company in this damages case waived work product protection when the plaintiff’s expert disclosed alleged “secret” information to the defendant’s expert. The court required disclosure.
Logue v. Logue
In this marital dissolution case in North Carolina, the appellate court affirmed the trial court’s determination of value of the wife’s dental practice. The trial court determined the value based on the value of the entire practice determined several years before the separation date. That value was determined by appraisals by professional appraisers to determine the buyout of the husband’s father’s 50% interest in the practice. No evidence of value as of the separation date was provided by the parties who decided not to hire appraisers to assess the value at the separation date.
North Carolina Appellate Court Values a Dental Practice Based on a Two-Year-Old Purchase of an Interest in the Practice
In this marital dissolution case in North Carolina, the appellate court affirmed the trial court’s determination of value of the wife’s dental practice. The trial court determined the value based on the value of the entire practice determined several years before the separation date. That value was determined by appraisals by professional appraisers to determine the buyout of the husband’s father’s 50% interest in the practice. No evidence of value as of the separation date was provided by the parties who decided not to hire appraisers to assess the value at the separation date.
Bostick v. Bostick
The South Carolina Court of Appeals, in this divorce case, reversed the family court and included all goodwill of a dentistry practice as enterprise goodwill includable in the marital estate. The family court had included all of the goodwill as personal goodwill not part of the marital estate. The Court of Appeals also reduced the temporary monthly alimony.
Appellate Court Reversed Decision and Treated All Goodwill as Enterprise Goodwill Includable in the Marital Estate
The South Carolina Court of Appeals, in this divorce case, reversed the family court and included all goodwill of a dentistry practice as enterprise goodwill includable in the marital estate. The family court had included all of the goodwill as personal goodwill not part of the marital estate. The Court of Appeals also reduced the temporary monthly alimony.
Kakollu v. Vadlamudi
In this marital dissolution case, the Indiana Appellate Court affirms the trial court’s decision that no DLOM is allowed in the valuation of a control interest. The husband’s expert failed to provide sufficient evidence that a DLOM was appropriate at the level the wife’s expert claimed. The court also affirmed the decision that $50,000 of legal and expert fees the husband paid in advance is not part of the marital estate and thus not subject to offset.
Court Affirms No DLOM in Valuation of a Control Interest, Wife’s Legal Fees Are Not Part of Marital Estate
In this marital dissolution case, the Indiana Appellate Court affirms the trial court’s decision that no DLOM is allowed in the valuation of a control interest. The husband’s expert failed to provide sufficient evidence that a DLOM was appropriate at the level the wife’s expert claimed. The court also affirmed the decision that $50,000 of legal and expert fees the husband paid in advance is not part of the marital estate and thus not subject to offset.
In Buyout Dispute, Appeals Court Finds There Was No Basis for Jury to Set Aside Appraisers’ Contractually Mandated Value Determination
In buyout dispute, appeals court reverses trial court’s judgment, finding it was based on jury’s erroneous decision to set aside a contractually mandated appraisal and provide its own buyout price; there was no indication the appraisers misinterpreted the controlling partnership agreement; court remands.
Parrish v. Schroering
In buyout dispute, appeals court reverses trial court’s judgment, finding it was based on jury’s erroneous decision to set aside a contractually mandated appraisal and provide its own buyout price; there was no indication the appraisers misinterpreted the controlling partnership agreement; court remands ...
Court Declines Motion to Dismiss Claim of Coverage for Loss of Income, but Dismisses the Claim of Coverage Under the Civil Authority Provision
In this business interruption case resulting from mandatory shutdowns to control COVID-19, the court declined to grant a motion to dismiss the claim of plaintiff as to coverage for loss of business income but does dismiss the claim of coverage under the civil authority provision of the policy. The court found the wording of the policy sufficiently vague, especially as to the meaning and definition of the word “loss.” In the case of the civil authority provision of the policy, the court decided that plaintiff has not alleged that “[a]ccess to the area immediately surrounding the damaged property is prohibited by civil authority.”
Derek Scott Williams PLLC v. Cincinnati Ins. Co.
In this business interruption case resulting from mandatory shutdowns to control COVID-19, the court declined to grant a motion to dismiss the claim of plaintiff as to coverage for loss of business income but does dismiss the claim of coverage under the civil authority provision of the policy. The court found the wording of the policy sufficiently vague, especially as to the meaning and definition of the word “loss.” In the case of the civil authority provision of the policy, the court decided that plaintiff has not alleged that “[a]ccess to the area immediately surrounding the damaged property is prohibited by civil authority.”
McLelland v. Paxton
In dissolution dispute, appeals court affirms trial court’s finding, based on plaintiff expert testimony, that dissolved professional LLC had entity goodwill at trial based, in large part, on ownership of three leases and operation of offices that doctors could use upon termination of partnership.
Washington State Appeals Court Adopts Rule on Entity Goodwill in Professional LLC
In dissolution dispute, appeals court affirms trial court’s finding, based on plaintiff expert testimony, that dissolved professional LLC had entity goodwill at trial based, in large part, on ownership of three leases and operation of offices that doctors could use upon termination of partnership.
Trial Court’s Physician Practice Valuation Lacks Factual Basis
Goodwill, excess earnings method, market-based approach, capitalization rate, multiple, expert testimony, professional corporation, professional practice, valuation methods ...
Abedi v. Abedi
Court of Appeal says trial court’s valuation of husband’s endodontic practice was arbitrary where trial court adopted valuation methods husband’s experts proposed but substituted key elements of their analyses with court’s own unsubstantiated figures.
Why Divorce Valuation Does Not Accord With Chapter 7 Liquidation Analysis
Bankruptcy Court says differing standard of value in divorce and bankruptcy proceedings precludes use of divorce valuation of husband’s interest in dental practice; but valuation based on shareholder agreement accords with Chapter 7 liquidation analysis.
In re Cole
Bankruptcy Court says differing standard of value in divorce and bankruptcy proceedings precludes use of divorce valuation of husband’s interest in dental practice; but valuation based on shareholder agreement accords with Chapter 7 liquidation analysis.
Court Nixes Double-Dip Claim Based on Accounts Receivable Treatment
Appeals court rejects claim that accounts receivable used in asset-based business valuation by wife’s expert are analogous to future income stream for purposes of arguing double dip in light of income determination for spousal support award.
Tennessee Appeals Court Straddles Goodwill Issue in Divorce
Appeals court finds enterprise goodwill is not a marital asset when the business is a sole proprietorship and orders trial court to produce a valuation of husband’s solo dental practice without “consideration of professional or enterprise goodwill.”
Settele v. Settele
Appeals court rejects claim that accounts receivable used in asset-based business valuation by wife’s expert are analogous to future income stream for purposes of arguing double dip in light of income determination for spousal support award.
Lunn v. Lunn
Appeals court finds enterprise goodwill is not a marital asset when the business is a sole proprietorship and orders trial court to produce a valuation of husband’s solo dental practice without “consideration of professional or enterprise goodwill.”