Kress v. U.S. – A Breakthrough in S Corporation Valuation
An important decision was issued by the United States District Court – Eastern District of Wisconsin (the “Court”), in March 2019, in which Chief Judge William C. Griesbach relied largely on the findings of the taxpayers’ experts to value gifts of minority interests in a Subchapter S corporation operating company, Green Bay Packaging, Inc. (“GBP”).
MPI Case Alert: Cahill & Morrissette
Developments in the Cahill and Morrissette cases in June 2018 are expected to have significant ramifications on the structuring of split-dollar life insurance arrangements and may also have broader implications on intergenerational wealth planning and family entity structuring.
In a recent decision in New Jersey Superior Court involving cross claims of shareholder oppression pursuant to N.J.S.A. §14A:12-7, the Court found it appropriate to apply a marketability discount to the value of the privately-held company stock at issue in determining the buyout price to the oppressive shareholder.
Vice Chancellor Laster’s recent decision in the Delaware appraisal action involving Dell, Inc. determined that Dell’s stock was valued at $17.62 per share, or some 26% above the going private offer worth $13.96 per share.
The Honorable Yvonne Gonzalez Rogers, in the Northern District of California, issued an order last week granting class status to an action brought under Rule 10b-5 of the Securities Exchange Act against Advanced Micro Devices, Inc.
