Archive for Mergers & Acquisitions
Mergers and Acquisitions
Regardless of the amount of due diligence that occurs when a company decides to acquire, be acquired, or merge with another company unanticipated situations often arise. Environmental, management, political, fiduciary, and benefit considerations can jeopardize the transaction successfully moving forward. A variety of specialized insurance coverages such as D&O, environmental liability, EPLI, property, workers compensation, and disability products may be purchased to eliminate or reduce some of the uncertainties.
Representations and Warranties Coverage
The merger with or acquisition is always based on trust. The buyer expects that all information provided and statements made are true. Unfortunately, miscommunication can occur. Representation and warranties coverage is available to both the buyer and the seller to help the acquisition process run smoothly. It is often used in lieu of an escrow of proceeds following a sale. Substantial deductibles may apply to both the buyer and the seller in order to encourage that information is accurate and that best practices are engaged.