M&A Stories August 22, 2018 A New Mexico federal district court ruled in August 2018 that an earnout paid to a seller in an asset purchase does not constitute buyer equity — and therefore cannot trigger successor liability under the…
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New Mexico Federal Court Holds That an Earnout in an Asset Deal is not Buyer Equity for Purposes of the De Facto Merger Doctrine
Posted in de facto merger exception, earnout as ownership interest in buyer, successor liability Tagged with: asset purchase, business transaction, Buyer liability, Court decision, Court ruling, creditors, de facto merger doctrine, earnout, key points, Legal Case, legal implications, M&A stories, New Mexico Court, ownership interest, Ramos v. Foam America, roofing incident, seller liabilities, stock transfer, successor liability, tar lugger business
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