Penalty Clause in M&A | A practical look at practice
Written by Thédoor Melchers. In acquisition contracts, buyers often try to include a penalty clause. The penalty is then linked to failure to comply with agreements intended to protect the value of the company being transferred. These include agreements on confidentiality, competition, soliciting clients or employees, and similar provisions. The text of […]
W&I insurance for <25m transactions?
By Thom Schölvinck and Julien van Oosten. Warranty & Indemnity insurance (W&I insurance) is an instrument increasingly used in the Dutch M&A market. In 2023, only 41% of transactions under €25 million in Europe used W&I insurance (compared to 42.5% for larger transactions). Despite this, […]
