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Business Seller Accuses Buyer of Earnout Manipulation

Introduction A seller of a business wants to receive the highest price, and payable in cash at closing. The buyer might want to pay seller’s price but is not sure it is worth that much. How do you bridge the

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Court Gives Pharmacy Seller Chance to Collect Earnout

Introduction A prospective buyer and seller of a business often can’t agree upon a purchase price. One way to bridge the gap is to break down the purchase price into two pieces. A fixed amount and a contingent amount based

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Employment Contract Forces Business Seller into Arbitration with Buyer

Introduction A buyer of a business often wants the seller’s owner to stay on after the closing. So, buyer and seller’s owner sign a separate employment agreement at the closing. This is in addition to the deal’s purchase agreement signed

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Buyer and seller fight over calculation of net income earnout

Introduction Sometimes a seller of a business will agree to take a portion of the purchase price based upon the future performance of the business. This part of the purchase price is called an earnout. The calculation of the earnout

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