Giacci v Giacci

The proceedings were between three brothers who had been business partners for over 40 years. The proceedings arose out of an irreconcilable breakdown of the relationship between the brothers. The plaintiff, Antonio Giacci, sought an order that the defendants, Mario Giacci and Peter Giacci, purchase his shares in Giacci Holdings Pty Ltd, the holding company through which the business, which had commenced as a partnership, was conducted. The primary issue before the court was to determine the price at which the defendants should purchase the plaintiff's shares. The court accepted the valuation evidence given by Mr Duncan Calder, which identified a range of values for the plaintiff's shares. The court determined that the mid-point within the range of values was the most likely area in which the hypothetical parties would have arrived at a price. The court also addressed various issues concerning adjustments to the assessed price, such as costs of realisation, tax, goodwill, interest, and the conservative approach taken by the valuer. Ultimately, the court concluded that $8 million was the fair and reasonable price at which the parties to a hypothetical transaction for the sale of a one-third interest in Giacci Holdings Pty Ltd would arrive today. The court adjourned the matter for further submissions and directions on alternative remedies if the defendants were unable to finance the purchase at the specified price.