Daniel C. Pape

McGrath North is proud to announce that it has achieved significant recognition in the latest editions of both The Best Lawyers in America® and Best Lawyers: Ones to Watch® in America. In the 31st edition of The Best Lawyers in America®, 45 of our attorneys have been honored across 60 distinct practice areas, showcasing the firm’s deep expertise and commitment to delivering exceptional legal services.  

The IRS recently announced inflation adjustments for tax year 2023. These adjustments include various different items, including adjustments to the standard deduction, income tax brackets, alternative minimum tax exemption amounts, the earned income tax credit, etc.  

A cross purchase agreement is the simplest form of a buy-sell agreement, as it involves a contract solely among the business owners. Under this structure, a withdrawing owner agrees to sell their interest to one or more of the remaining owners. This form is most suitable for businesses with only a few owners. A redemption agreement provides that the entity itself will purchase the withdrawing owner’s business interest. Such a purchase may be funded by life or disability buyout insurance acquired on the owner. Hybrid agreements combine these two structures and allocate purchase rights and obligations between the entity and the remaining owners. Typically, the entity has the first option to purchase the interest. To the extent the entity does not exercise that option, the remaining owners have the right or the obligation to purchase the interest.