What Every Business Needs to Know About "Business Divorce" Litigation in New York

Breaking up a business can be difficult and is, in certain respects, similar to a marital divorce. The emotional, expensive, and contentious aspects of business divorces mirror those of marital splits. Business divorce litigation can be unpredictable and expensive when there is no written agreement governing the break-up such that the statutory default rules apply. This program will address the common issues that arise in dissolution or business divorce litigations under the default statutory schemes for each of the primary forms of entity in New York – partnerships, limited partnerships, corporations and limited liability companies. Speakers David Holahan, Maryann Stallone, and Liugi D'Onorio DeMeo will pose important questions, such as, "Does your business have an agreement that contemplates a break-up?", and "If you have one, can it withstand a litigation challenge?"

Learning Objectives:

1. Recognize what member/partner/shareholder's rights are when he/she wants out of the business - for example, can he/she withdraw or is dissolution the only option?
2. Identify under what circumstances courts will dissolve an LLC/corporation/limited partnership
3. Define the specific distinctions between Fair Market Value and Fair Value
4. Address valuation considerations for Buy-Sell Agreements