2014
Showing 705–720 of 740 results
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Estate Planning Red Flag – You treat trust assets as if they’re your own
January / February 2014
Newsletter: Estate Planner
Price: $225.00, Subscriber Price: $157.50
Word count: 323
Abstract: Irrevocable trusts can provide a variety of benefits, including gift and estate tax savings, creditor protection, and the ability to control how assets are distributed. To preserve these benefits, however, it’s critical to respect all trust formalities. This article looks at one court case in which a couple discovered to their dismay that having a home’s title held by a trust was not sufficient to protect it from government foreclosure. The court held that the protection had been forfeited because the couple had continued to treat the asset as their own after transferring it to the trust.
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Do you know how to address IP in your estate plan?
January / February 2014
Newsletter: Estate Planner
Price: $225.00, Subscriber Price: $157.50
Word count: 636
Abstract: Intangible assets can easily be overlooked in an estate plan. Yet intellectual property (IP) can have great value, so it’s important to properly address it. This article examines two common forms of IP: patents and copyrights. It notes that, in deciding whether to transfer IP to family members, colleagues, charities or others through lifetime gifts or through bequests, it’s important to consider gift and estate tax consequences, income needs, and who is in the best position to monitor IP rights and take advantage of their benefits.
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The stretch IRA: A simple yet powerful estate planning tool
January / February 2014
Newsletter: Estate Planner
Price: $225.00, Subscriber Price: $157.50
Word count: 617
Abstract: If an IRA isn’t needed to fund retirement, it can be used as an estate planning tool to benefit children or other beneficiaries on a tax-advantaged basis by turning it into a “stretch” IRA. This article explains how a stretch IRA works, noting that there are different options for spouses as opposed to other beneficiaries.
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Planning for the net investment income tax
January / February 2014
Newsletter: Estate Planner
Price: $225.00, Subscriber Price: $157.50
Word count: 931
Abstract: Starting in 2013, high-income taxpayers are subject to a new 3.8% Medicare tax on some or all of their net investment income (NII). For individual tax purposes, there are a variety of planning options for reducing or even eliminating the impact of the NII tax (NIIT). For trusts, options are more limited, but there are nevertheless several strategies for reducing a trust’s taxable NII. This article discusses ways to reduce the NIIT’s potential impact on personal wealth management and retirement plans, while a sidebar looks at the IRS’s stance regarding a NIIT exemption for income from a trade or business in which a taxpayer materially participates.
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Expect more from rebuttal experts
January / February 2014
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 415
Abstract: An attorney might use a rebuttal report to critique another expert’s report or identify discrepancies between two experts’ opinions. A rebuttal report can save time and money compared with obtaining another formal appraisal, but to be effective it must be substantive and accurate. This brief article explains what rebuttal reports typically contain and how they can aid attorneys during the litigation process. B-K Cypress Log Homes v. Auto-Owners Insurance Co., 2012 U.S. District 73773, May 25, 2012
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The give and take of earnouts
January / February 2014
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 645
Abstract: In a business acquisition, the buyer and seller may have difficulty reaching agreement on the business’s value. To avoid a tug of war, both parties may benefit from an earnout provision requiring the buyer to make future payments to the seller. This article points out the components of a typical earnout provision, including a quantitative formula to determine how much is to be paid if the business reaches a specific financial target, and when, and how many, payments are to be made. The article concludes that an earnout provision can bridge the valuation gap and ensure the deal will be beneficial for both parties.
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Divvying up assets in divorce – In-kind distributions of stock may warrant valuation discounts
January / February 2014
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 581
Abstract: Divorce courts typically refrain from subtracting discounts for lack of control and marketability when divvying up marital estates that include private businesses. Instead, a spouse is generally entitled to the cash equivalent value of a pro rata share of the entire business. This article, however, discusses a recent noteworthy exception made by the Supreme Court of Rhode Island in McCulloch v. McCulloch. This article elaborates on the ins and outs of the case, noting the importance of considering the rights and liquidity each spouse receives with his or her retained assets. McCulloch v. McCulloch, 2013 R.I. LEXIS 113, June 25, 2013.
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Coming to terms with the cost of capital
January / February 2014
Newsletter: Viewpoint on Value
Price: $225.00, Subscriber Price: $157.50
Word count: 921
Abstract: Small differences in the cost of capital between opposing experts can have a disproportionately big effect on business value. But the cost of capital can be one of the most difficult ingredients of business valuation for judges, jurors, attorneys and business owners to understand. This article provides a framework for understanding how the cost of capital functions in business valuation. The article explains when appraisers use the cost of capital and how they ascertain which type is appropriate in a particular situation.
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Assessing damages: Don’t overlook prejudgment interest
January / February 2014
Newsletter: Valuation & Litigation Briefing / Litigation & Valuation Report
Price: $225.00, Subscriber Price: $157.50
Word count: 330
Abstract: Too often, litigants overlook prejudgment interest. This compensates for the loss of the use of funds and the effects of inflation after a party suffers economic damages. It’s usually calculated between the date of injury and the date of judgment. This article explains why it’s important for plaintiffs and defendants alike to consider prejudgment interest when evaluating a case, developing a litigation strategy or negotiating a settlement.
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Can owners compensation affect a company’s value?
January / February 2014
Newsletter: Valuation & Litigation Briefing / Litigation & Valuation Report
Price: $225.00, Subscriber Price: $157.50
Word count: 680
Abstract: Owners of closely held companies have significant leeway when it comes to setting their own salaries and benefits. But how does that affect business value? Often, to obtain a more accurate valuation, it’s necessary to “normalize” owners compensation. This results in an objective, unbiased owners compensation amount, which, in turn, contributes to a more credible business value. This article discusses when it is or is not appropriate to normalize owners compensation, along with the challenge of determining market compensation for an individual owner.
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The challenge of estimating damages in IP cases
January / February 2014
Newsletter: Valuation & Litigation Briefing / Litigation & Valuation Report
Price: $225.00, Subscriber Price: $157.50
Word count: 625
Abstract: In an intellectual property (IP) case, it’s important to have a qualified valuator. Why? Because in some IP litigation, it may be possible to recover certain damages that are based on profits the defendant enjoyed as a result of its infringement. This article looks at the theory behind damages, how valuators might attempt to apportion sales among infringing and noninfringing activities, and the ways that a court might determine lost profits.
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How to value fractional interests in real estate
January / February 2014
Newsletter: Valuation & Litigation Briefing / Litigation & Valuation Report
Price: $225.00, Subscriber Price: $157.50
Word count: 874
Abstract: Undivided fractional interests in real estate, such as tenancy-in-common (TIC) interests, can be a challenge to value. Generally, the process requires two valuations: an appraisal of the underlying real estate and then a valuation — applying traditional business valuation principles — of the fractional interest. This article first notes the difference between fractional and minority interests. It then lists some general factors in determining an appropriate discount for the fractional interest and explains how the discounted cash flow method can be used to value it. A sidebar explains how the availability of valuation discounts for TIC and other fractional interests in real estate leads to some valuable estate planning opportunities for married couples.
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Another WARNing shot regarding mass layoffs
January / February 2014
Newsletter: Employment Law Briefing
Price: $225.00, Subscriber Price: $157.50
Word count: 772
Abstract: The Worker Adjustment and Retraining Notification (WARN) Act requires employers to provide adequate notice of mass layoffs or plant closings. When a racetrack failed to do so, former employees filed a class action suit. The employer claimed it was entitled to the statutory defense of an unforeseeable business circumstance and, therefore, it wasn’t required to provide notice. It also asserted that what was occurring at the company was so publicized and obvious that the plaintiffs were effectively put on notice. The appeals court disagreed with both arguments. Sides v. Macon County Greyhound Park, Inc., No. 12-14673, Aug. 5, 2013 (11th Cir.)
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Totality of circumstances – Factoring “neutral incidents” into a harassment claim
January / February 2014
Newsletter: Employment Law Briefing
Price: $225.00, Subscriber Price: $157.50
Word count: 649
Abstract: Just about every legal precedent comes with the disclaimer “depending on the facts and circumstances of the case.” When a worker claimed ongoing sexual harassment, the employer argued that many of the incidents complained of were “neutral” — in other words, not sexual. The appeals court then considered whether this particular set of circumstances should be considered in assessing the harassment claim. Waldo v. Consumers Energy Co., No. 12-1518, Aug. 9, 2013 (6th Cir.) Williams v. CSX Transp. Co., No. 09-5564, June 28, 2011 (6th Cir.) Harris v. Forklift Sys., Inc., No. 92-1168, Nov. 9, 1993 (Supreme Court) Jackson v. Quanex, No.98-1515, Sept. 9, 1999 (6th Cir.)Abstract: Just about every legal precedent comes with the disclaimer “depending on the facts and circumstances of the case.” When a worker claimed ongoing sexual harassment, the employer argued that many of the incidents complained of were “neutral” — in other words, not…
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Tread carefully when firing employees on FMLA leave
January / February 2014
Newsletter: Employment Law Briefing
Price: $225.00, Subscriber Price: $157.50
Word count: 625
Abstract: Deciding to terminate any employee is risky. But the risk level associated with terminating those who have requested leave under the Family and Medical Leave Act (FMLA) is markedly greater. After a nonprofit terminated an employee who was on FMLA leave — claiming performance-related reasons — the plaintiff sued. Ultimately, the appeals court sided with the employer, but the decision shows why it’s important for employers to tread carefully in such cases. Mercer v. Arc of Prince Georges County, No. 13-1300, July 11, 2013 (4th Cir.) Yashenko v. Harrah’s NC Casino Co., No. 05-1256, April 27, 2006 (4th Cir.) McDonnell Douglas Corp. v. Green, No. 72-490, May 14, 1973 (Supreme Court)
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Outside the law? Illegal immigrants seek to invoke FLSA protections
January / February 2014
Newsletter: Employment Law Briefing
Price: $225.00, Subscriber Price: $157.50
Word count: 935
Abstract: Employees hired illegally may seem outside the law in many respects. But are they? This article looks at a case that tackled the question of whether illegal immigrants may invoke the protections of the Fair Labor Standards Act (FLSA). In the end, the appeals court determined that an employer cannot benefit from its own wrongdoing — by hiring unauthorized workers, it will face liability for any FLSA wage violations. A sidebar discusses a different case — in which an undocumented employee was fired after supporting a union campaign — with a different outcome. Lucas v. Jerusalem Café, No. 12-2170, July 29, 2013 (8th Cir.) Hoffman Plastic Compounds, Inc. v. NLRB, No. 00-1595, March 27, 2002 (Supreme Court)