Plaintiff’s Expert Waives Work Product Protection
Dentists Ins. Co. v. Yousefian The central issue, in this case, was the defendant’s claim for business property damages to tenant improvements in his former orthodontics suite. The parties disagreed over the definition of “tenant improvements” that the policy covered....
Take a Proactive Approach to Thwart Cyber Attacks
The average cost of a data breach has risen to a record high, according to a new study by the independent research firm Ponemon Institute. The study found that the global average cost grew from $4.24 million per incident in 2021 to $4.35 million in 2022, an increase...
Maryland Appellate Court Remands for Valuation of Withdrawing Member’s Interest in Law firm and Affirms Damages Award
Furrer v. Siegel & Rouhana, LLC David Furrer, a partner in Siegel, Tully, Rouhana & Tully LLC, withdrew as a member after having his license suspended. A dispute arose as to the value of his 26.5% interest in the LLC. He sued the firm for compensation for his...
Appellate Court Affirms Use of the ‘Blue Sky Method,’ a Rule of Thumb, to Value a Minority Interest in an Oppression Case
Buckley v. Carlock This Tennessee decision was a case of shareholder oppression that had been appealed. The disposition of the appellate court in this matter was to affirm the decisions of the Chancery Court. The primary issue in this matter was whether the Chancery...
U.S. District Court Partially Denies Motion for Summary Judgment Regarding Qui Tam Case on Excess Purchase Price Under the False Claims Act
Kuzma v. N. Ariz. Healthcare Corp This was a case regarding a motion for summary judgment against the plaintiff, Gregory Kuzma, alleging violations of the False Claims Act (FCA) by the defendants, Northern Arizona Healthcare Corp. et al. (NAHC). NAHC acquired the...
Bankruptcy Court Sides With Trustee—Disallows (Fraudulent) Transfers
Stone v. Citizens Equity First Credit Union The trustee for the International Supply Co. (ISCO) asked the bankruptcy court to avoid and recover prepetition fraudulent transfers made to Citizens Equity First Credit Union (CEFCU). The bankruptcy court determined that...
Virginia Divorce Matter Results in the Court ‘Splitting the Baby’ to Value a 20% Interest in an S Corp. Medical Practice the Husband Owned
Hester v. Hester, 2022 Va. Cir. Several issues were decided in this Virginia divorce case. Still, we focus on only two topics relevant to business valuation and equitable distribution: (1) the valuation of the husband’s 20% interest in an S corporation; and (2) the...
In Appraisal Action, Court Determines Fair Value Using Deal Price Minus Synergies and Adjusting for Increase in Value from Signing to Closing of Merger
In re Appraisal of Regal Entertainment Group Summary. In a merger action involving a publicly traded company, dissenting shareholders sued for a higher value than the deal consideration. Under the applicable appraisal jurisprudence, the court determined fair value...
A Louisiana Appeals Court Decides That the Trial Court Abused Its Discretion in Choosing the Method of Determining Damages
Dettenhaim Farms, Inc. v. Greenpoint Ag, LLC This decision of the appeal court of Louisiana took up the alleged damages of the soybean crop and the trial court’s findings on the matter. The appeal court found that the trial court abused its discretion when it chose an...
Louisiana Court of Appeals Disallows a Discount for Trapped-In Capital Gains Taxes and a Reduction in Receivables for Collectability
ShopRite, Inc. v. Gardiner The Court of Appeals was asked to review the trial court’s determinations of fair value for the shares of stock of a withdrawing shareholder. Shawne Gardiner was a withdrawing shareholder in ShopRite Inc. (3.8% interest) and Tobacco Plus...