Expert / Valuation & Litigation Concepts
Showing 81–96 of 145 results
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Widespread market participation leads to more securities fraud
Summer 2011
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 423
Abstract: According to the FBI, widespread participation in the markets has led to more securities fraud. This article discusses Ponzi schemes, along with broker scams that result in suitability or churning claims. Qualified financial experts can play a critical role in helping victims recover some of their losses.
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Which valuation adjustments are acceptable in divorce?
Summer 2011
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 674
Abstract: In marriage dissolutions, family courts don’t always embrace U.S. Tax Court precedent regarding ordinary income taxes, capital gains and valuation discounts. This article looks at one recent case that illustrates the dichotomy between valuations prepared for tax purposes and those prepared for divorce cases. It shows that tax adjustments and valuation discounts that are common in Tax Court cases may be denied. Often, out-of-court settlements provide more predictable outcomes. Shuck v. Shuck, No A-10-170, Jan. 25, 2011 (Neb. App. N.W. 2d) Grace v. Grace, 221 Neb. 695, 380 N.W.2d 280 (1986)
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Getting a grasp on the value of intellectual property
Summer 2011
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 652
Abstract: Valuing an intangible asset such as intellectual property (IP) isn’t easy. But appraisers do have ways of estimating the value of assets such as patents, copyrights and trademarks. This article discusses the three common valuation methods, along with additional factors that are considered when valuing patents or other IP.
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An objective eye – Financial experts can play a valuable role in coping with bankruptcy
Summer 2011
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 830
Abstract: Should a company find itself in severe financial distress, assembling the right team of advisors may help mitigate the situation. A financial expert can play an integral role on such a team, providing an objective eye regarding valuation, finance, accounting and expert witness issues. This article shows how, after stabilizing the immediate cash flow situation, a financial advisor addresses such issues as liquidation, reorganization, divestiture or sale, and shareholder buyouts. A sidebar looks at forced vs. orderly liquidations.
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ACFE report identifies a variety of red flags
Spring 2011
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 444
Abstract: The Association of Certified Fraud Examiners (ACFE) releases its Report to the Nations on Occupational Fraud and Abuse every other year, and the results are never pretty. For example, in the 2010 version, survey participants estimated that the typical business worldwide loses 5% of its annual revenues to occupational fraud. Fortunately, the report also identifies a variety of red flags to look out for. This article discusses red flags that are common according to a perpetrator’s position and the type of scheme.
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On the line – Telecom case turns on subsequent sale data
Spring 2011
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 631
Abstract: The validity of any business appraisal report depends largely on its use of relevant data before and after the valuation date. The case of Ringgold Telephone Co. v. Commissioner hung on one particular subset of relevant data: a subsequent sale of business assets. This article examines the Tax Court’s decision, which holds some important lessons. Ringgold Telephone Co. v. Commissioner, T.C. Memo 2010-103, May 10, 2010.
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Employee stock options present valuation challenges
Spring 2011
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 672
Abstract: Recently, the recession and its aftermath have caused many businesses to think twice about employee stock options (ESOs). Yet they haven’t fallen out of favor entirely. But, for companies still offering ESOs, it’s more important than ever to get them properly valued. And appraisers face distinctive challenges in doing so. This article lists six basic inputs they use, along with a couple of different models for valuation.
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Need a fruitful idea for your estate plan? Conditions are ripe for an FLP
Spring 2011
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 869
Abstract: Family limited partnerships (FLPs) have survived the latest wave of estate tax legislation quite handily. In fact, for those managing estate plans, conditions are ripe to seriously consider an FLP once again. This article explains how FLPs work, the importance of obtaining an independent asset appraisal, and how discounts for lack of control and marketability are applied. But tax law that expires at the end of 2012 means that the time is now to consider if an FLP is advantageous. A sidebar emphasizes that it’s important to avoid abusive business practices in an FLP.
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Understanding the “fair value” standard
Winter 2011
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 802
Abstract: Different valuation assignments call for different standards of value. Minority shareholder dissension and oppression cases can be especially tricky. This article discusses some considerations that affect an appraiser’s approach to these cases — and, ultimately, the estimated value of minority interests. A sidebar explains that “fair value” can mean different things in accounting vs. legal contexts, and looks at the Financial Accounting Standards Board’s universal definition of fair value that supersedes any previous versions.
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Hawaiian divorce case puts valuation evidence to the test
Winter 2011
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 633
Abstract: A valuation’s purpose affects an appraiser’s methodology and analyses. What’s allowed in tax court, such as buy-sell agreements or valuation discounts, may be excluded from evidence in, say, divorce court. A credible appraiser, however, can help persuade judges to accept valuation evidence that’s reasonable and fair. This article discusses a recent divorce case in Hawaii that provides an interesting example. Doe v. Roe, 2010 WL 2535138, June 23, 2010 (Hawai’i App., No. 28596)
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No hats involved – Discounts for lack of marketability call for a detailed process
Winter 2011
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 644
Abstract: When calculating any valuation adjustment, an appraiser obviously can’t just pick a number out of a hat. But the discount for lack of marketability (DLOM) is an often-contested valuation adjustment that requires a particularly detailed process. This article shows how appraisers use empirical evidence, such as restricted stock studies and pre-initial public offering studies, to quantify a DLOM percentage for noncontrolling private business interests. But appraisers are also digging deeper than just empirical study averages to obtain more meaningful, defendable comparisons.
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Down for the count – Detecting inventory fraud
Winter 2011
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 437
Abstract: Like any type of employee scam, inventory fraud can lead to losses that can go undetected for long stretches of time. Many companies are particularly vulnerable to such fraud, though, because of risks that are inherent in the way they do business. This article describes three common fraud techniques, and explains what’s involved in a fraud investigation.
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Fraud interviews: What to expect
Fall 2010
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 418
Abstract: When it comes to interviews with suspected fraud perpetrators, qualified fraud experts often can get the best results. They’re well trained to pursue suspicions of financial fraud, elicit new information and detect deception. This article explains what to expect from the fraud interview process.
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FLP owners score yet another Tax Court victory
Fall 2010
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 615
Abstract: In addition to achieving other legitimate business purposes, holding discounted units in a family limited partnership (FLP) can result in a lower estate value than holding the underlying, undiscounted assets in an estate. Yet the IRS has successfully used IRC Section 2036 to persuade the U.S. Tax Court to eliminate discounts for lack of control and marketability in several FLP cases. This article reviews an exception to that trend — a case in which the agency wasn’t successful.
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Devastating consequences – How appraisers estimate damages for new or unlaunched companies
Fall 2010
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 626
Abstract: In today’s uncertain and competitive business environment, economic damages can be particularly devastating for a new or as-yet-unlaunched company. Under such difficult circumstances, appraisers can help these “green” businesses in court by using specific valuation techniques to calculate estimated damages. This article explains how financial experts make projections and apply discounts when little or no performance data is available.
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The rule has changed – Expanded work product protections win out in revised Rule 26
Fall 2010
Newsletter: Expert / Valuation & Litigation Concepts
Price: $225.00, Subscriber Price: $157.50
Word count: 848
Abstract: Absent congressional intervention, proposed amendments to the Federal Rules of Civil Procedure will likely foster significant changes in expert witness practices. The proposed amendments, with three exceptions, make expert draft reports between an expert and the retaining attorney subject to work product protections. This article discusses these amendments, the impetus for their creation, and their implications for the development and discovery of testifying witnesses’ draft reports. A sidebar talks about the effect of a similar rule upon discovery practices in New Jersey.