Expert Witness Services
Shannon Fagan has served as an expert witness and provided litigation support in cases involving unauthorized image use, historical and projected photography licensing revenue, industry-standard licensing and reuse fees, and prevailing photo industry practices. His experience includes preparing expert reports and valuations, giving deposition, and providing affidavits.
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Valuing Copyright as an Intangible Asset
Copyrights—intangible assets with the potential for significant future licensing revenue—require valuation in a range of legal and financial contexts. Shannon has experience conducting copyright valuations across the following situations:
Estates
When a photographer’s estate exceeds the federal estate tax threshold, projected revenue from copyright licensing must be included in IRS filings. Each estate is unique: some archives may generate income for decades, while others may decline in value after a short period. If income is primarily derived from print sales as fine art, the copyright’s value may be negligible—or considerable. Trusts and foundations must also establish a defensible base value for any archived works.
Dissolution (Divorce or Business Separation)
In the division of marital or business assets, the future income potential of copyrights must be assessed to ensure equitable distribution.
Collateral for Loans
A photographic archive with a documented and recurring licensing revenue stream may qualify as collateral for financing. A realistic, well-supported forecast of future income is essential in these scenarios.
Sale of Archives
The sale of photographic collections—especially those valued for their fine art status or documentary significance—may include the transfer of copyright. A copyright valuation can significantly enhance the sale price by accounting for potential future revenue.
Donation to Institutions
When donating photographic archives to museums or other institutions, IRS regulations require a formal valuation. If the copyright transfers with the donation—as is often necessary—its estimated future income becomes an integral part of the asset’s appraised value.
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