Michael B. Lehner, CPA/ABV, CFE, ASA
732-412-3825
MLehner@zbtcpa.com
September 23, 2018
shareholders’ agreement business valuation

Could a shareholders’ agreement come back to haunt (or help) you?

Shareholders’ agreements often include buyout provisions, governing transfers of stock if an owner leaves the business. These provisions may, for example, prescribe a fixed price, valuation discounts for lack of control or marketability, and procedures for valuing the business during a shareholder buyout. This article summarizes a divorce case where a Louisiana appellate court upheld a trial court decision to partition assets based solely on the fixed value prescribed in the shareholders’ agreement.