ADV

Advocate’s Edge

Showing 1–16 of 324 results

  • Warning: Ambiguous support provisions can prolong divorce cases

    May / June 2021
    Newsletter: Advocate's Edge / Litigation Support

    Price: $225.00, Subscriber Price: $157.50

    Word count: 429

    Abstract: Ideally, a separation agreement brings divorce litigation to a definitive resolution. But poorly drafted agreements can lead to multiple rounds of litigation. This article summarizes a recent Connecticut divorce case in which conflicting definitions of “pretax income from employment” in a couple’s settlement agreement led to 13 years of court battles. Marshall v. Marshall, No. 41216 (Conn. App., Oct. 6, 2020).

    Read More

  • Estimating impairment in the COVID-19 era

    May / June 2021
    Newsletter: Advocate's Edge / Litigation Support

    Price: $225.00, Subscriber Price: $157.50

    Word count: 605

    Abstract: The pandemic may have triggered an impairment test for some companies — even private ones that have opted to amortize goodwill under GAAP. Impairment charges reduce the value of acquired goodwill and lower profits for accounting purposes, which could signal a red flag to investors and lenders. This article explains what factors into the equation and why a business valuation professional is needed to make this accounting estimate.

    Read More

  • Close-up on kickbacks and corruption

    May / June 2021
    Newsletter: Advocate's Edge / Litigation Support

    Price: $225.00, Subscriber Price: $157.50

    Word count: 562

    Abstract: White collar crime is typically associated with asset theft and financial statement fraud. But more than 40% of fraud cases involve corruption, such as kickbacks, bid rigging, conflicts of interest and extortion, according to a recent study. This article highlights kickbacks and other types of corruption schemes, including ways to identify and prevent them.

    Read More

  • Magarik v. Kraus USA, Inc. – Bad assumptions sink expert’s plumbing business valuation

    May / June 2021
    Newsletter: Advocate's Edge / Litigation Support

    Price: $225.00, Subscriber Price: $157.50

    Word count: 839

    Abstract: Courts expect valuation experts to base their analyses on sound data and realistic assumptions. If they fail to do so, courts may disregard all or part of their conclusions. This article summarizes a recent statutory appraisal case from New York that highlights the importance of using reliable inputs when valuing a business. A sidebar explains why courts usually prefer objective, market-based valuation inputs over internally generated assumptions. Magarik v. Kraus USA, Inc., No. 606128-15 (Sup. Ct., Nassau Cty., April 28, 2020).

    Read More

  • Gavrilides Mgmt. Co. v. Michigan Insurance Co. – Court dismisses COVID-19 business interruption claim

    March / April 2021
    Newsletter: Advocate's Edge / Litigation Support

    Price: $225.00, Subscriber Price: $157.50

    Word count: 423

    Abstract: During the COVID-19 pandemic, governmental authorities have ordered many nonessential businesses to temporarily shut down. Hundreds of businesses have filed claims under their business interruption coverage, claims that insurers generally have denied. This article summarizes a ruling in one of the first such cases to go to court, which has given insurers confidence that their denials will stand. Gavrilides Mgmt. Co. v. Michigan Insurance Co., No. 20-258CB (Ingham Cty., Mich. July 1, 2020)

    Read More

  • Cryptocurrency and divorce: Getting your client’s money’s worth

    March / April 2021
    Newsletter: Advocate's Edge / Litigation Support

    Price: $225.00, Subscriber Price: $157.50

    Word count: 533

    Abstract: More than a decade after Bitcoin launched, cryptocurrency has become mainstream and, therefore, relevant when it comes to property division in divorce. This form of currency can carry a high value, but it’s also more easily hidden than more traditional assets. This article explains how cryptocurrency works and how divorce attorneys can help their clients identify hidden cryptocurrency assets.

    Read More

  • Plan for the future – Balancing business succession and estate planning

    March / April 2021
    Newsletter: Advocate's Edge / Litigation Support

    Price: $225.00, Subscriber Price: $157.50

    Word count: 695

    Abstract: A challenge presented by family businesses is that the older and younger generations may have conflicting objectives and financial needs. This article highlights strategies that can separate ownership and management succession, as well as generate cash flow for the owner while minimizing the burden on the next generation.

    Read More

  • Fraud in the family business

    March / April 2021
    Newsletter: Advocate's Edge / Litigation Support

    Price: $225.00, Subscriber Price: $157.50

    Word count: 864

    Abstract: Financial statement auditors typically assess the risk of fraud as higher for family businesses than for nonfamily businesses. This article explains why and suggests ways to help reduce that risk. It also addresses how the COVID-19 pandemic increases the risk that family businesses will fall victim to fraud and financial misstatement schemes.

    Read More

  • Linde v. Linde – Court rejects asset valuation approach in appraisal case

    January / February 2021
    Newsletter: Advocate's Edge / Litigation Support

    Price: $225.00, Subscriber Price: $157.50

    Word count: 412

    Abstract: The asset-based (or cost) approach is one of three techniques that are commonly used to value private businesses. It’s based on the adjusted book value of the company’s assets less any outstanding liabilities. This article summarizes a recent Pennsylvania Court of Appeals case, which affirmed that this approach wasn’t appropriate under the circumstances — and a valuation that relied on it wasn’t credible. Linde v. Linde, No. 754 MDA 2018 (Pa. Super. Ct. Oct. 11, 2019)

    Read More

  • Looking to sell? Exercise caution when entering the M&A market during the COVID-19 crisis

    January / February 2021
    Newsletter: Advocate's Edge / Litigation Support

    Price: $225.00, Subscriber Price: $157.50

    Word count: 574

    Abstract: The COVID-19 pandemic has devastated some businesses, while others are thriving. In today’s uncertain marketplace, many companies’ financial profiles have weakened, causing business buyers to be more risk averse. This article explains that sellers need to walk a fine line between pouncing on what may appear to be a good offer and hanging back to mull over the options. A valuation pro can help sellers understand current market value and ways to enhance it.

    Read More

  • Vishing: Beware of callers with malicious intent

    January / February 2021
    Newsletter: Advocate's Edge / Litigation Support

    Price: $225.00, Subscriber Price: $157.50

    Word count: 660

    Abstract: As if adapting to remote working arrangements during the COVID-19 crisis hasn’t been difficult enough, now business owners must safeguard against opportunistic hackers who attempt to infiltrate employees’ less-secure home networks. One emerging ploy uses a new twist on phishing scams to gain access to business networks. This article explains how voice vhishing (or vishing) works and how to prevent it.

    Read More

  • Disputed stock sale survives “entire fairness” review

    January / February 2021
    Newsletter: Advocate's Edge / Litigation Support

    Price: $225.00, Subscriber Price: $157.50

    Word count: 885

    Abstract: The Delaware Chancery Court recently applied the toughest standard of scrutiny — known as “entire fairness” — in a dispute over the control and ownership of a company after the sale of unissued stock to an executive in the business. This article explains how the standard works and how an independent valuation helped the directors prevail in a recent shareholder dispute. A sidebar explains common methods experts use to estimate lost profits in fiduciary breach cases. Coster v. UIP Companies, Inc., No. 2018-0440-KSJM (Del. Ch. Ct. Jan. 28, 2020)

    Read More

  • County of Maricopa v. Office Depot Inc. – Is that expert report final — or a draft?

    November / December 2020
    Newsletter: Advocate's Edge / Litigation Support

    Price: $225.00, Subscriber Price: $157.50

    Word count: 441

    Abstract: The question of whether an expert’s report is a draft, and therefore not subject to discovery, is a hot topic in some courts, both federal and state. This article summarizes a recent federal district court case that demonstrates the stakes involved when making this determination. County of Maricopa v. Office Depot Inc., No. 14-01372 (D. Ariz. Oct. 9, 2019)

    Read More

  • Owners’ compensation: Determining what’s reasonable

    November / December 2020
    Newsletter: Advocate's Edge / Litigation Support

    Price: $225.00, Subscriber Price: $157.50

    Word count: 519

    Abstract: At year end, it’s common for business owners to reflect on the year’s performance and decide whether they’ve been fairly compensated for their efforts. This article highlights some important issues for clients to consider before deciding to whether pay themselves a holiday bonus or make a special distribution to help cover their personal tax obligations from earnings from a pass-through business.

    Read More

  • Spotlight on fraud in the nonprofit sector

    November / December 2020
    Newsletter: Advocate's Edge / Litigation Support

    Price: $225.00, Subscriber Price: $157.50

    Word count: 676

    Abstract: Times of crisis bring out the best — and worst — in people. During the COVID-19 pandemic, it’s critical for not-for-profit organizations to remain diligent in their efforts to combat fraud. This article identifies steps that not-for-profit clients can take to minimize fraud risks and help fulfill their mission.

    Read More

  • Family matters – Are cash advances gifts or loans for tax purposes?

    November / December 2020
    Newsletter: Advocate's Edge / Litigation Support

    Price: $225.00, Subscriber Price: $157.50

    Word count: 872

    Abstract: When friends and family members are struggling to make ends meet — like during the COVID-19 crisis — loved ones may give or lend money to help. However, it’s important to understand whether a client’s transfers will be classified as gifts or loans for tax purposes. This article summarizes a recent U.S. Tax Court case that highlights how the determination is made and how changes in circumstances may lead to different classifications for subsequent transfers. A sidebar highlights a gift tax case where value was determined by the transfer document, not the donor’s intent. Estate of Bolles v. Commissioner, T.C. Memo. 2020-71 (Tax Ct. June 1, 2020) Nelson v. Commissioner, T.C. Memo. 2020-81 (Tax Ct. June 10, 2020)

    Read More