Ejerforeningen Æblehaven

Share Purchase Agreement Indemnities

From the buyer`s point of view, the purpose of both documents is to examine the situation in which the business is purchased and then it turns out that its tax treatment before the transactions was wrong. In this case, the company may be held liable for taxes that are overpaid, interest (which can be high, especially when a tax audit reveals tax treatment errors made a few years ago), or even additional penalties. Time limitations. The buyer is often required to inform the seller of the occurrence of an event that creates liability (or possible liability) after the determination of compensation, within a specified period of time when the buyer becomes aware of that event.