Representations and Warranties
Learn about the assertions and promises made by one party to the other in the definitive agreement.
Transcript
One of the longest and most important sections in any definitive M&A agreement is the parties’ representations and warranties.
Representations and warranties, commonly called reps and warranties, are statements of fact and promises made by one party to the other. Although both parties typically make reps and warranties, those from the target company are significantly more important, as the target’s condition is critical to the success of the transaction.
The two main functions of reps and...
