{"componentChunkName":"component---src-templates-blog-post-ts","path":"/closing-conditions-of-an-asset-purchase-agreement-may-be-waived/","result":{"data":{"site":{"siteMetadata":{"title":"Clausehound Blog","author":"Joshua Koudys"}},"markdownRemark":{"id":"14bc540e-a6a3-56c3-a23b-a950e5f60d2e","excerpt":"Purchasers under an APA may waive any of the closing conditions, but should consider carefully before doing so. Eagerness to close a transaction may lead to…","html":"<p>Purchasers under an APA may waive any of the <strong>closing conditions</strong>, but should consider carefully before doing so. Eagerness to close a transaction may lead to problems later if due diligence has been inadequate and closing conditions were waived in the interest of expediency.</p>\n<p>The SEC filing requirements that accompany Form 8-K include a document which discusses several of the APA closing conditions. These included the delivery of the signatures, certificates, instruments and other deliverables by the Seller, the performance by the Seller of all covenants and conditions set forth in the Asset Purchase Agreement and that the Seller recieve all approvals, consents and waivers that are needed to consummate the Sale. The Asset Purchase Agreement also notes that each of the closing conditions may be waived by the Buyer at or before Closing.</p>\n<p><a href=\"http://globenewswire.com/news-release/2012/11/13/504867/10012213/en/Heelys-Inc-Reports-Third-Quarter-2012-Financial-Results.html\" target=\"_blank\" rel=\"nofollow noopener\">Read the article here.</a></p>\n<h3>Takeaway:</h3>\n<ul>\n<li>Purchasers that enter into an APA agreement should conduct proper due diligence before waiving closing conditions.</li>\n</ul>","frontmatter":{"title":"Closing Conditions of an Asset Purchase Agreement May Be Waived","date":"July 14, 2015","description":"Purchasers under an APA may waive any of the closing conditions, but should consider carefully before doing so.","author":{"id":"rajah@cobaltcounsel.com","first":"Rajah","last":"Lehal","bio":"Rajah Lehal is Founder and CEO of Clausehound.com.  Rajah is a legal technologist and technology lawyer who is, together with the Clausehound team, capturing and sharing lawyer expertise, building deal negotiation libraries, teaching negotiation in classrooms, and automating negotiation with software.","image":{"childImageSharp":{"fluid":{"base64":"data:image/jpeg;base64,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","aspectRatio":1,"src":"/static/d7bbad08c257f3987a4a5710553e9e17/bdd4d/Rajah.jpg","srcSet":"/static/d7bbad08c257f3987a4a5710553e9e17/2b9ee/Rajah.jpg 80w,\n/static/d7bbad08c257f3987a4a5710553e9e17/e5d64/Rajah.jpg 160w,\n/static/d7bbad08c257f3987a4a5710553e9e17/bdd4d/Rajah.jpg 320w,\n/static/d7bbad08c257f3987a4a5710553e9e17/6e63d/Rajah.jpg 400w","sizes":"(max-width: 320px) 100vw, 320px"}}}},"tags":["Asset Purchase Agreement","Closing Conditions","Commercial Activities","Rajah"]}}},"pageContext":{"slug":"/closing-conditions-of-an-asset-purchase-agreement-may-be-waived/","previous":{"fields":{"slug":"/blog-bite-how-can-the-limitation-of-liability-clause-be-drafted-to-be-more-effective/"},"frontmatter":{"title":"Blog Bite: How can the limitation of liability clause be drafted to be more effective?","tags":["Liability","Mondaq","Learn","Canada (BC)"],"author":{"id":"alina@clausehound.com","first":"Alina","last":null}}},"next":{"fields":{"slug":"/can-you-still-use-apis-after-the-googleoracle-fight/"},"frontmatter":{"title":"Can You Still Use API's After the Google/Oracle Fight?","tags":["Intellectual Property","Infringement of Third Party Intellectual Property","Commercial Activities","Rajah"],"author":{"id":"rajah@cobaltcounsel.com","first":"Rajah","last":"Lehal"}}}}}}