Conversations with Thought Leaders from the M&A Community
Michael Hollingsworth - 2007 ABA Deal Points Studies
Posted by John Slater on November 20, 2007
Anyone who has spent much time in the M&A business has witnessed this scenario. The Earps and the Clantons head to the OK Corral for the ultimate showdown that will seal the fate of the West. Well actually its not often that dramatic, but very frequently counsel for buyers and sellers will face off over issues such as indemnifications, baskets, warranties, etc., etc., etc. For the other deal participants and particularly for those paying the bills, this can be a very frustrating, time consuming and expensive process. And sometimes the outcome can be just as fatal for the deal.
Recently an enterprising group of attorneys, members of the Committee on Negotiated Acquisitions of the American Bar Association’s Section of Business Law, decided it was time to take action. By creating the Private Targets Mergers and Acquisitions Deal Points Study and a companion Private Equity Buyer/Public Target Mergers & Acquisitions Deal Points Study, they have taken much of the guesswork out of the negotiating process. Knowing that fewer than 15% of acquisition agreements contain indemnification caps above 50% of purchase price saves a lot of time when seller’s counsel is arguing with an intransigent buyer’s counsel who claims with great sincerity “that’s the way its always done”.
Michael Hollingsworth participated in producing both the the Private Targets and Private Equity Buyer Deal Points Studies and shares his knowledge of how they can be used to make the negotiating process more efficient. Michael is a Partner in the Atlanta office of the Nelson Mullins Law Firm and one of the leading M&A attorneys in the Southeast.
Length: This audio interview is about 24 minutes.
Categories: Legal Issues, Negotiation, Business Acquisition, Business Sale, Audio
Tags: ABA Deal Points Study, acquisitions, corporate law, M&A, mergers, mergers and acquisitions
