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Final Copy 288 Ga. 274

S10F1703, S10A1707. MILLER v. MILLER (two cases).

CARLEY, Presiding Justice.

In 2007, Lori Kutner Miller (Wife) brought this divorce action against Alan Brad Miller (Husband), who filed an answer and counterclaim for divorce. After a bench trial, the trial court entered a divorce decree on May 21, 2009, resolving most issues, including alimony for support of Wife and custody and support of the parties' two minor children, but reserving the issues of attorney fees and guardian ad litem fees. In relevant portions of that decree, the trial court found that all of the parties' real property, including the marital residence and a lot on Amelia Island, is marital property and that the profits from the sale thereof would be equally divided. The trial court also accepted the valuation by Wife's expert of Husband's internal medical practice at $331,214 using combinations of the asset approach, market approach, and income approach, and awarded Wife one-fourth of that value, or $82,803.50, payable in 24 monthly "business alimony" installments of $3,450.14 each.

A motion for new trial was filed on June 15, 2009 and denied on November 17, 2009. Wife thereafter filed a motion for attachment of contempt, amending it twice, and also filed a motion for clarification. On March 16, 2010, the trial court entered separate orders awarding fees to the guardian ad litem and awarding attorney fees in favor of Wife in the amount of $60,000. On March 17, 2010, the trial court entered an order granting the motion for clarification and correcting clerical errors and separately entered an order finding Husband in contempt of the divorce decree. In Case Number S10F1703, Husband appeals from the divorce decree and the orders other than the contempt order pursuant to the grant of a discretionary appeal under this Court's Pilot Project. In Case Number S10A1707, Husband appeals from that contempt order pursuant to our grant of his application for discretionary appeal. The two cases are hereby consolidated for disposition in this single opinion.

Case Number S10F1703 1. In several enumerations of error, Husband challenges the trial court's valuation of his business in the amount of $331,214.
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"The valuation of a professional business practice presents unique issues not encountered in conventional businesses. Generally, the professional practice's most valuable asset is its goodwill. . . . However, this value is more difficult to quantify." [Cits.] May v. May, 589 SE2d 536, 541 (III), fn. 7 (W. Va. 2003). "`[T]hree principal methods . . . can be used for developing a value for ownership in a closely held corporation. . . .' [Cit.] Those are the income or capitalized earnings method, the market approach method, and the cost approach method. [Cit.]" Steneken v. Steneken, 873 A2d 501, 505 (II) (N.J. 2005). Wife's expert, who is a forensic accountant and business valuation analyst, utilized all three approaches, referring to the latter as the asset approach, pursuant to which she capitalized "excess earnings," whereas she capitalized total earnings when using the income approach. She weighted each approach differently, after analyzing how

appropriate each one is for Husband's practice. "`[V]aluation is an art rather than a science (that) . . . requires consideration of proof of value by any techniques or methods which are generally acceptable in the financial community and otherwise admissible in court.' [Cit.]" Steneken v. Steneken, supra. Indeed, we have held that not even a buy-sell agreement is binding when valuing a closely-held corporation for purposes of equitable division. Barton v.
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Barton, 281 Ga. 565 (639 SE2d 481) (2007). "The facts upon which an expert bases his or her opinion are admissible on either direct or cross-examination, and such bases go to the weight given the testimony by the [factfinder], rather than to its admissibility." Popham v. Popham, 278 Ga. 852, 853 (3) (607 SE2d 575) (2005). "[T]here is no single best approach to valuing a professional association or practice, and various approaches or valuation methods can and have been used. [Cits.]" Poore v. Poore, 331 SE2d 266, 270 (N.C. App. 1985).

"[G]oodwill may be measured by any legitimate method of evaluation that measures its present value by taking into account some past result, so long as the evidence legitimately establishes value. [Cit.]" Barth H. Goldberg, Valuation of Divorce Assets, Revised Edition

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