Stephen Boesch v. Jay R. Holeman

Syllabus

This appeal concerns valuation of a business after a partner was disaffiliated. The plaintiff filed a complaint seeking permanent injunctive relief and damages from the defendants for wrongful disaffiliation from their flavored moonshine business. The trial court entered a judgment of $23,000 and interest, which included discounts for marketability and lack of control against the defendants and Crystal Falls Spirits, LLC, jointly and severally, pursuant to Tennessee Code Annotated section 61-1-701(b). The plaintiff appealed. We reversed and remanded the trial court's valuation of the plaintiff's interest because it included a discount for lack of control in violation of Tennessee Code Annotated section 61-1-701. The trial court revaluated the plaintiff's damages without the discount for lack of control and awarded him $35,000 and 2.5% interest from December 15, 2015. We affirm the decision of the trial court.