Court Opinion

ID: 9695173
Source: CourtListenerOpinion
Date Created: 2023-08-25 18:10:44.972321+00
Date Added: 2024-06-11T18:20:09.513899
License: Public Domain

BROSKY, Judge,
concurring:
I join in the majority opinion to the extent it holds that the appellee’s interest in the architectural firm is marital property and subject to equitable distribution, and also in remanding the case to the trial court for a valuation of that interest. However, I feel that any determination that goodwill should be included in this valuation is premature on this record.
It is my position that the value placed on the partnership interest for equitable distribution purposes should be one which will be realizable to the individual possessing the interest. If this happens to include goodwill then it should be included in the valuation. For instance, if the partner*535ship agreement allows for a sale of the interest to a third party, or for a buy out upon leaving based upon the partnership’s value as a going concern, then goodwill would appear to be encompassed and should be reflected in the valuation.
However, if there are limitations in the partnership agreement which would prevent any of the value of the goodwill from accruing to appellee, or if the goodwill is not truly realizable to the partners because of the nature of the business then I believe it would be inappropriate to include goodwill in the valuation. See DeMasi v. DeMasi, 366 Pa.Super. 19, 530 A.2d 871 (1987), Beasley v. Beasley, 359 Pa.Super. 20, 518 A.2d 545 n. 4 (1986).
Accordingly, I feel the trial court should make the initial determination of whether the valuation should include any value for goodwill, and, if so, to what extent, when it values the interest upon remand.