CALIFORNIA FAMILY LAW
...Business Interests
......Valuation Issues
.........Factors to Consider/Elements
............Covenant Not to Compete
4 Cards On This Topic:

Improper to consider hypothetical covenant not to compete in valuation of business if immediate sale not expected.

Actual covenant not to compete properly considered when evaluating c/p's interest in sales proceeds of business.

Hypothetical probability H would have to sign long-term employment contract if company sold not a valuation factor court required to apply to achieve equal division of existing c/p.

Court may do valuation based upon seller's giving covenant not to compete.