How equipment is appraised in a divorce
When a divorce involves a closely held business, its machinery and equipment is valued by an independent, USPAP-compliant appraisal as of a specific effective date, usually at fair market value, so the number holds up for both parties, their counsel and the court. The equipment in a shop, practice, fleet or plant often needs its own appraisal, separate from the business valuation. Independence and a defensible, dated conclusion are what make the figure usable in negotiation or testimony.
By Jared Lukes · CEO & lead appraiser · June 1, 2026
Why the equipment gets appraised
Dividing marital assets requires a credible value for what the parties own. When one of those assets is a business that runs on equipment, a dental or medical practice, an auto shop, a machine shop, a fleet, the tangible equipment can represent a large share of the value, and it is often appraised on its own. A spouse's estimate or a dealer's number will not settle the question, because neither is independent or documented. An independent M&E appraisal gives both sides a figure they can actually rely on.
The effective date matters
Value is not a single timeless number; it is as of a date. Divorce matters turn on a specific effective date set by the parties or the court, for example the date of separation or filing. The appraisal develops value as of that date and says so plainly. Two correct appraisals of the same equipment can differ simply because they use different effective dates, so getting the date right at the outset matters.
Which premise of value applies
Most divorce work uses fair market value, the price between a willing buyer and a willing seller, neither under compulsion. Depending on the facts, other premises can be relevant, and counsel may direct which standard of value the jurisdiction expects. We confirm the premise and effective date before we begin, so the report answers the question the matter actually presents.
Independence and a defensible file
The value has to withstand review by the other side, by counsel and potentially by the court. That calls for an appraiser independent of both parties, working under USPAP, who inspects or otherwise reliably establishes the assets and documents the reasoning. We work with attorneys and CPAs, prepare the report to hold up under examination, and do not quote a value before we have what the conclusion requires.
Common questions
Answers, up front.
What value is used for equipment in a divorce?
Usually fair market value, the price between a willing buyer and seller, neither under compulsion, as of a specific effective date. Depending on the facts and the jurisdiction, counsel may direct a different standard of value. We confirm the premise and date before starting.
Why does the effective date matter?
Because value is always as of a date. Divorce matters use a specific date, such as separation or filing, and the appraisal develops value as of that date. The same equipment can carry different values on different dates, so the date is set at the outset.
Do you work with attorneys and CPAs?
Yes. We prepare independent, USPAP-compliant reports built to withstand review, and we coordinate with counsel and accountants so the appraisal fits the matter and the standard of value it requires.