It is not uncommon for disputes regarding the value of a business or an interest in a business to end up in court. The judicial path to resolution commonly requires considerable time, delays, and expense for attorneys and expert witnesses, followed by a decision on the value by a judge. This may not provide a satisfactory outcome.
An alternative resolution is to submit your value dispute to ABA. Many members of the American Business Appraisers have earned certified arbitration panelist designations from the American Arbitration Association. The arbitrator will hear the view of both sides, gather data on the business, and determine a value for the interest which is legally binding on the parties. Generally speaking, this can be completed within 90 days and cost significantly less than the standard litigation process. ABA’s Alternative Value Dispute Resolution Service can be structured with one arbitrator or a panel (usually of three). In all situations, panelists are jointly retained by both sides and are completely independent and objective.
For a panel situation, ABA will submit a list of names and qualifications to both parties. Each will select and retain one appraiser. The two retained appraisers will then pick a third who will be jointly retained by both sides and will chair the panel. The panel will meet with each side to hear their views, share information, and determine a final value.