Dentist’s solo practice, including its goodwill, is marital property.
Valuation of dental practice reversed where it did not separate general goodwill of business from personal goodwill.
To be marital property subject to valuation and distribution in a divorce proceeding, professional goodwill must be a marketable asset distinct from personal reputation and not dependent upon the continued presence of the particular individual.
Maryland adopts minority view and holds that the goodwill of a solo law practice is not includable in the marital estate upon divorce. The goodwill is personal to the attorney and is not severable from his or her reputation.
Failure to distinguish between personal and enterprise goodwill in valuing an oral surgery practice was error, as was averaging the results of different valuation results.
No goodwill in radiology practice affirmed.
Gynecologist practice does not have saleable goodwill in this case, but there may be in other cases if there is evidence of sales value which does not depend on the future participation of the professional spouse.
Unlike enterprise goodwill, personal goodwill which depends on the continued presence of a particular individual is not divisible in a divorce.
Part of value for dental practice was a restrictive covenant which represented goodwill and should be divided.
Personal goodwill should have been included in the valuation of dental practice where wife had waived maintenance.
Goodwill of automobile dealership may have been double counted. Court must distinguish between personal goodwill and enterprise goodwill.
Solo dental practice goodwill is ability to acquire future income, which is not a divisible asset.
An attorney’s professional goodwill is not a divisible marital asset.
No goodwill in chiropractic practice in this instance (although goodwill might be divisible under other circumstances). Court excludes value for “patient’s charts.” No enforceable legal right to husband’s continued services.
Personal or professional goodwill, as distinguished from enterprise good will, is not a marital asset. Necessity of covenant not to compete is significant.
Inclusion of goodwill in accounting practice is reversed.
Professional goodwill acquired during marriage is includable if it is distinct from the professional spouse’s reputation.
No goodwill in ophthalmology practice.
Professional goodwill can be marital property, although in this case, law firm partnership agreement controls.
Medical practice may have distributable goodwill. Comparable sales would be the most persuasive evidence of such value, but capitalization of excess earnings was also permissible.