X
22Dec

Delaware Court Nixes Deal Due to Seller’s Failure to Operate in “Ordinary Course” During COVID-19

The decision leaves the door open for buyers to argue that inflexible ordinary course covenants can provide a basis to terminate a transaction in which a seller does not suffer an MAE. Key Points: ..The Delaware Court of Chancery’s ruling illuminates how other courts may analyze pre-closing operational covenants following business disruptions due to the pandemic. ..The court reaffirmed the high bar to establish an MAE, holding that a carveout to an MAE definition need not expressly include...
By: Latham & Watkins LLP
Source Url: https://www.jdsupra.com/legalnews/delaware-court-nixes-deal-due-to-seller-86706/

Related

The Court Rules that A Short Absence from Work without Permission Does not Constitute Resignation

From time to time we are asked what to do in instances where employees are absent from work without ...

Read More >

Pay Equity Litigation Update: How The EEOC Has Pursued Its Equal Pay Focus In Fiscal Year 2019

Seyfarth Synopsis: As we look ahead to the end of the year, and Seyfarth Shaw’s annual analysis of ...

Read More >

NLRB Deals Another Blow to Obama-Era Micro-Units

From an employer's perspective, one of the most challenging decisions to come out of the Obama-era N...

Read More >

USCIS to Begin Accepting Electronic Registrations on March 1, 2020

U.S. Citizenship and Immigration Services (USCIS) recently announced that it would begin accepting e...

Read More >

Madness No More, Place Your Bet at Work in Tennessee

In addition to recently passing a bill legalizing online sports betting, the Tennessee Legislature r...

Read More >

Fifth Circuit Rules Individual Mandate Unconstitutional; Fate of Rest of ACA Remains in Doubt

In a 2-1 decision, the Fifth Circuit Court of Appeals has upheld a district court ruling that the in...

Read More >