While Pennsylvania has not adopted one set standard for valuing businesses in a divorce, the case law demonstrates that Pennsylvania has traditionally adhered to a fair market value standard. But this approach is not absolute as evidenced by the recent Superior Court case of Brubaker v Brubaker, decided Dec. 18, 2018.

In this case, the court rejected the expert reports of both parties which found that the business had zero value as its debts exceeded the value of its assets. Instead, the court found that because the husband’s real estate venture was begun during the marriage, the wife participated in the venture, and the venture was expected to be profitable in the future, the assignment of a value to the venture was warranted.

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