The division of marital property can be one of the most important steps to finalizing a divorce for an Illinois couple. If one or both of the departing spouses owns an interest in a business, then it may become necessary to precisely determine its value so that it might be fairly accounted for in the property division stage.
The prevalent underlying conditions and emotional tenor of the divorce should be taken into account. If the couple is negotiating amicably or is going through mediation, then it may be possible to simply calculate the an approximate value of the business in question and have that estimate suffice. This can be done by a professional appraiser through a process known as “calculation of value”.
However, if there is any question whatsoever about the value of the property, any dissent between the divorcing spouses that holds even the possibility of future acrimony or any involvement from a third party such as a judge making the decision, then it may be necessary to procure a complete valuation report from an independent expert. This report should be prepared by a valuation analyst whose testimony will be credible to the court.
The process of dividing marital assets can be one of the more contentious parts of the end of a marriage. It becomes more difficult when a business is involved. If the company was operating before the marriage, then the question of how to treat the appreciation in value during the time that the couple was together will often arise. In such cases, the parties may want to have the assistance of their respective family law attorneys and other professionals in coming to an accord.
Article Source Web Link: National Law Review, “Valuation or Calculation in Divorce Case?”, John Eory, Aug. 24, 2016