What are some issues that come up in the purchase price section?
New Jersey business transactions attorney, Harold I. Steinbach, discusses money, fixed or formula purchase, secured or guaranteed payments, and escrow handling.
Email: [email protected]
Phone: (201) 525-1990
Purchase price, money is key, of course. Obviously, what’s the purchase price is it fixed or is there a formula? It might be tied to an earn out, future earnings. Is it payable all at closing or is it payable over time? If its payable over time is it secured, is it guaranteed? Is any of it held in escrow pending certain issues? Those are some of the key terms.