Mergers & Acquisitions Practice Co-chair Marc Mantell and Associate Jabril Wilson published an article in Deal Lawyers about the costs of defending third-party claims in acquisition agreements governed by Delaware law.

The authors write, “Acquiring a business can be a very rewarding but also very risky exercise. For some businesses, the single greatest potential liability facing the buyer relating to the pre-closing operation of the business will be the costs of defending third-party claims ... There are several ways to handle the risk of [these] claims, but failure to address them specifically is likely to leave the buyer with more than it bargained for.”

Source

Deal Lawyers