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...ulnerability Standard vs. Excess and Surplus Lines Markets Exp... that served alcohol and the Liquor Liability and General Liability had total exclusions on assault ...

... not the sole test. The real question is, how well will your appraiser's written report and, in particular, the valuation method used to value your company hold up under fire? By fire, we mean when an attacking lawyer is trying to rip the report apart to show it is wrong (and you are liable) . Ask the potential appraiser what methods he/she will use to value your company. Logic should tell you that it will be the same (or at least close) to the type of real ... value, the purchase can be a violation of the trustee's fiduciary duties. If the employer corporation contributes stock to the ESOP and claims a deduction for the contribution greater than the fair market value of the stock, the deduction will be disallowed by the amount of the excess claimed. Worse yet, an excise tax can be imposed upon the principal shareholder or employer who sells stock to an ESOP at greater than fair market value. If a plan participant sells shares back to the ESOP or the employer corporation at a put option priced ... less than its fair market value, the participant may have a cause of action against the ESOP or the employer. An interesting case that illustrates these principles is Donovan v.Cunningham (716 F.2d 1455, CA-5; 1983) . In that case, the issue was whether the ESOP trustees had caused the ESOP to purchase employer stock from the employer corporation's sole shareholder for more than its fair market value. The trustees had obtained an appraisal of the value of the stock from an independent appraiser, which is a statutory requirement for ESOP purchases ...

...yable pursuant to section 2(b) in excess of the fixed consideration of $1,000,...olicy No. LP7106067, with limits of liability of not less than $2.5 million pe...