Navigating The Minefield Of Indemnification Provisions

Law360, New York (March 18, 2016, 11:13 AM EDT) -- Tracy A. Belton

Danielle N. Rosato In a merger or acquisition, once the money has changed hands and the deal has closed, who should bear the burden when an unexpected liability occurs? Generally, the sellers desire to walk away from the transaction with the full benefit of the negotiated purchase price and minimal future liabilities related to the business or the asset that they sold. The buyer, by contrast, would like to minimize its liability for issues that arose under the watch of the previous owners and for damages arising from inaccuracies in how the business or asset was described during...

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