Sullivan Taylor & Gumina, P.C.
1250 E. Diehl Road
Suite 400
Naperville, IL 60563
Phone: 630.665.7676
Fax: 630.665.8630
Google Map of the office

In Illinois, Shareholder, Buy-Sell and Operating Agreements May Not Bind a Spouse in Divorce

In Illinois, a divorce court may consider the terms of a buy-sell, shareholders' agreement, or operating agreement when determining the value of marital business assets (such as shares of stock in a closely held corporation).  However, the court is not bound to the valuation formula in the agreement, and in fact the court is not bound by the stock transfer restrictions in the agreement as well!  A prenuptial or premarital agreement or a postmarital or post-nuptial agreement may be required to secure these business ownership interests.  Also, an Illinois divorce court may bind the non-owner spouse to the terms of a buy-sell, shareholders' agreement, or operating agreement so long as the non-owner spouse signed the agreement after full disclosure of the value of the business and receives consideration for the agreement. 

If you wish to consult regarding your DuPage County divorce, please email or call 630.665.7676.