News & events

Press Releases

Sort by:

Press Office

For all media enquiries contact Edwards Harvey PR on 01622 604600 or email enquiries@edwardsharvey.com

You are here: Home > News & events > Press Releases > Business Assets and Divorce

Business Assets and Divorce

21 April 2009

If you own a business and you’re going through a divorce you can take some comfort from a more realistic approach now towards the valuation of your assets, says Kent lawyer Susi Gillespie.

The change of heart follows on the heels of a recent High Court judgment* where a wife’s claim following a 15-year marriage hinged on the estimated value of her husband’s restaurant business, explains Susi - family law solicitor specialising in divorce at leading regional law firm Furley Page.

The wife reckoned it was worth £5.3million and the husband £1.7million. In summing up, the judge stressed that the valuation of a business was an art not a science and ultimately a matter of opinion. He also pointed out that the business in question had been operating successfully at the same site for more than 30 years so it couldn’t be defined as solely matrimonial property.

The judge refuted the wife’s unsubstantiated claim that the family had received benefits in kind from the business which were equivalent to £80,000 a year.

Susi comments: “Detailed evidence from forensic accountants and an expensive dispute over the exact value of the business may be pointless if the business is the means by which the husband is going to earn his income and maintain the family in the future.

“The case also shows that where a business was started before a marriage, the husband will get some credit for the value it had already acquired so its total value won’t be treated as part of the matrimonial pot.

“And just as important, this case highlights the need for allegations of fringe benefits from a business to be properly demonstrated if they’re going to be reflected in the value of a business.”

For further information contact Susi Gillespie on 01227 763939.
 

‹ Back

Quick contact

Furley Page Solicitors in Kent, London, Canterbury, Chatham & Whitstable
Get in touch on 0845 603 10 57