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Evaluate individually first

Related party tie breaker kicks in after individual evaluation

Occurs when:

  • Power shared in related party group
  • One party in group meets power, but not loss/benefit
  • Activities that have most sig performed by multiple related parties, but none individually has majority

Four factors:

  • Principal/agency relationship b/t related parties
  • Relationship and significance of activities to each related party
  • Variability associated with anticipated economics comparion
  • Design of the VIE

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