What are 10 of the most common mistakes found in business valuation reports?
Benefits of using a joint or court-appointed expert:Litigation Services
Many times the parties to litigation and the trier of fact need assistance in understanding the language of accounting. CPAs are often called upon to render opinions in divorce cases involving separate and marital property, business valuations, child support and alimony amounts. In commercial litigation, CPAs get involved in lost profits analysis, shareholder disputes and contractual disputes.
Litigation involving financial issues often results in both parties hiring expert witnesses. Each party will have their expert gather facts, prepare reports and testify in court. Obviously, the cost to hire two experts and the duplication of effort in having two parties doing the same task is very expensive for the litigating parties. A less expensive alternative is to have the parties use a joint expert or have the court appoint an expert.
When is Mediation a success?
A successful mediation involves more than just reaching an agreement. The disputing parties should reach an agreement after being fully informed of the relevant facts and circumstances and their legal rights. How is this done? In the mediation that I have done related to financial issues in divorce, the first step involves due diligence or informal discovery. Assisting the divorcing couple and their respective attorneys in compiling financial information in the form of a preliminary report provides a starting point to negotiations between the parties. I also feel it is essential that each party be represented by an attorney. While the mediator serves the role of a neutral facilitator, the respective attorneys serve a vital role as advocates. When the parties, the mediator and their respective legal counsel work together, any agreements reached are likely the result of informed and well thought out decisions.