- Estate tax
Typically, the estate will argue that shares in a closely-held
family business should be discounted. (More
5.6.2 - Corporate appraisal
When a minority shareholder dissents from a major corporate
transaction (such as a merger), the shareholder can
request that the court determine the value of his shares
in a corporate appraisal proceeding. (More
5.6.3 - Bankrutpcy
When a company is in bankrtupcy, the bankruptcy judge
may have to decide whether to permit the business to
continue or to have the business liquidated. The value
of the on-going business is compared to its liquidation
value. (More 5.6.3>>)
5.6.4 - Corporate "oppression"
Minority shareholders in close corporations can "exit"
the business by showing that the controlling shareholders
have acted "oppressively." The question then
becomes what should be the "buyout price"
that the controlling shareholders must pay the minority
and when is the price determined. (More
5.6.5 - Other
other (More 5.6.5>>)