Mergers & Acquisitions Practice
Our legal services encompass the entire Transaction process from planning to post-closing, and we work hand-in-hand with other professionals including bankers, accountants, specialist attorneys, consultants and brokers to achieve maximum success on each M&A Transaction we undertake. The typical M&A Transaction Life Cycle includes the following stages in which we offer legal services:
Preliminary Steps in M&A Transactions
A. Non-Disclosure Agreements
B. Term Sheets
C. Letters of Intent
D. Exclusivity, No Shop Agreements & Break Up Fees
E. Due Diligence Review & Checklists
1. Financial Statements
2. Tax Returns
3. Key Assets
4. Key Contracts
F. Structuring the M&A Transaction
1. Determining what should be sold
2. Determining Selling Price
3. Determining Type of Payments (Cash/Stock)
a) Equity Roll Over
1) Securities Registration & Liquidity
2) Securities Restrictions & Liquidity
3) Securities Dilution & Valuation
4) Management Rights
b) Equity Incentives
c) Earn-Outs
d) Purchase Price Adjustments
4. Determining Timing of Payments
a) Escrows
b) Hold Backs
c) Earn-Outs
5. Tax Considerations
a) Ordinary Income
b) Capital Gain
c) Basis Considerations
d) Section 1202 and Related Tax Breaks
e) Tax Free Consideration
f) Section 409A
g) Elections
h) Bulk Sales Tax
i) Foreign Investors / Owners
6. Assumption of Liabilities
7. Third Party Consents
8. Creditor Rights Considerations
9. Indemnification Negotiations
G. Coordination with Client's other Professionals
Employment Matters in M&A Transactions
A. Determining Retention & Termination of Employees
B. Treatment of Employee Benefits
1. Equity Incentives (Stock Options, etc.)
2. Health Insurance
3. Retirement Plans
4. Change of Control Bonuses
C. New Employment Contract Considerations
D. New Benefits / Equity Incentives / Service Credit
E. Non-Competition and Non-Solicitation Agreements
F. Golden Parachute / COBRA / WARN Issues
IP/Regulatory Matters in M&A Transactions
A. IP Rights Inventory & Due Diligence
1. Patents
2. Trademarks (Registered and Unregistered)
3. Trade Secrets
4. Copyrights (Registered and Unregistered)
5. Know-How & Proprietary Information
B. Chain of Title Documentation
C. Regulatory Issues (Industry-specific
licensing, permits, registrations)
D. Excluded Intellectual Property on Side Ventures
E. Licensing from Third Parties
F. Licensing to Third Parties
G. Failed M&A and continued protection of IP
H. Successful M&A and post-Closing IP Claims
I. Third Party Consents
Real Estate Matters in M&A Transactions
A. Company/Affiliate Real Estate Considerations
B. Assignment of Leases
C. Environmental Risks
D. Third Party Consents
Definitive M&A Agreement Negotiation & Drafting
A. Economic Bargain details
B. Representations and Warranties
C. Operation from Signing to Closing
D. Covenants to fulfill to achieve Closing
E. Termination Clauses to abort transaction
F. Indemnification for breaches, misrepresentations
and warranty failures (Baskets / Caps / Qual.
for Knowledge & Materiality / Time Limits)
G. Dispute Resolution
H. Purchase Price Adjustments
I. Hold Backs
J. Escrows
K. Earn-Outs
L. Disclosure Schedules
Additional M&A Agreements
A. Transition Services Agreement
B. Management Services Agreement
C. Escrow Agreement
D. Voting Agreement
M&A Closing
A. Amendments to the M&A Agreements
B. Negative Covenants / Absence of Conditions
C. Affirmative Covenants / Third Party Consents
D. Exchanges of Documents / Wires
E. Company Certificates
F. Regulatory & 3rd Party Notices / Filings
G. Creditor Payoff Procedures
H. Flow of Funds & Waterfall Reconciliations
Post Closing
A. Seller Representative Representation
B. Buyer Integration
C. Earn-Out Assistance and Advice
