By Leon Yee and Sally Kim
When buying or selling a company or part of its shares, the intricacies of representations and warranties within a Sale and Purchase Agreement (“SPA”) play a pivotal role. Representations and warranties serve as assurances provided by the seller to the buyer regarding the condition, status, and other relevant aspects of the target company. These provisions not only influence the negotiations but also significantly impact post-closing responsibilities and liabilities. Understanding the nuances of representations and warranties in SPA is crucial for both parties involved in the transaction. In this article, we explore the nuances of representations and warranties in an SPA, including drafting considerations, breach remedies, and indemnification provisions. Continue reading “Navigating Representations and Warranties in Share Purchase Agreements”
