The seller often will represent that there has been no material adverse change in the operations or financial condition of the business since the date of the most recent financial statements or some other cutoff date.

In an asset acquisition, the buyer will almost never become directly liable for income and most other taxes based on the operation of the business prior to the closing.

Agreements and licenses that are material to the success of a business may be jeopardized by an acquisition. For example, following the foreign acquisition of Firestone, General Motors announced that it would no longer purchase tires from Firestone as ori

In many businesses, intellectual property constitutes a substantial component of value. In that case, the buyer typically conducts a thorough investigation of title to all intellectual property, including trademarks and patents, and ensure that title to s