Should Business Appraisers in Divorce Cases be Jointly Retained?
By David E. Coffman There is a growing trend in divorce cases involving business owners to hire a business appraiser jointly. Before discussing why you should do this, lets look at what happens if you dont. Each spouse hires a business appraiser separately. Since valuing a business is not an exact science, an appraiser makes many judgment calls. Each appraiser makes those calls in favor of their clients position. The appraisal done for the non-owner spouse comes in high. The appraisal done for the owner spouse is low. Each attorney builds a case to support their clients appraisal and to dispute the opposing partys appraisal. The court hears the arguments. Eventually a settlement is reached somewhere in the middle. A jointly retained appraiser works for both parties. The appraiser should attempt to nail down as many issues as possible upfront with a detailed engagement letter. He/she will make middle of the road judgment calls that favor neither party. The result will be a fair and reas
