There are many instances when a business valuation report is needed in litigation. During a divorce, if one or both spouses own a business, it may be necessary for the business to be valued for asset distribution purposes. Each party may hire their own business valuation analyst to value the business, and each analyst may come back with very different conclusions as to the value of the business. While differences in value can often be the result of two analysts having justifiable differences of opinion, there sometimes can be something else going on. While most credentialed valuation analysts have high ethical standards, there are some unscrupulous “experts” who will purposefully “rig” their valuation report in order to achieve a desired result in favor of their client. So, how can you spot one of these “rigged” valuation reports?
When I tell people that I’m a forensic accountant, they sometimes think of Christian Wolff, Ben Affleck’s character in the movie The Accountant. While it’s true that a forensic accountant can use their skills to investigate a company for potential embezzlement, the majority of cases they help attorneys with are far less glamorous.
Subscribe to our blog, and we'll send articles straight to your inbox when they're published.
In dissolution of marriage cases, the valuation of marital property is necessary to ensure fair equitable distribution. But before values can be placed on marital property, the property first needs to be identified. As family law attorneys know, that process is more complicated than ever due to the rise of a new asset class: digital assets.
The personal and adversarial nature of divorce litigation is a potent combination that can cause emotions to run high, sometimes leading the parties to lash out and punish the other financially. This can take the form of deliberately wasting marital assets, but also concealing marital assets, which we will discuss here.
When it comes to stock options and deferred compensation in divorce, attorneys typically have many questions. The division of assets in any divorce is often a complicated process, but when stock options are added to the mix, the work becomes all the more difficult. Let’s look at the questions attorneys ask most often — and the answers to each.
Economic damages claimed by individuals in cases arising from personal injury, wrongful death, wrongful employment termination and employment discrimination typically include lost earnings and fringe benefits. Attorneys frequently retain CPAs as expert witnesses to determine the amount of those economic damages and to provide expert witness testimony. Let’s look at the role of a CPA as an expert in these cases.