The buyer wants the catalog of representatives and warranties to cover as many problems as possible, while the seller would prefer not to be limited to any. As a result, this section of the share purchase agreement is usually the subject of intense negotiations. In fact, a share purchase agreement is the mechanism by which the parties agree to a transfer of shares. It must be the key elements of the agreement (price, what shares will be sold and when completion will take place) and completion mechanisms (who provides what documents, how to pay money, change of director after completion, etc. This part of the agreement is usually simple. As a rule, the seller designs the first share purchase agreement. They upload the design towards the end of the second round to the virtual data room. This follows several back and forth between lawyers for both sides. Under English law, the purchaser of shares enjoys unleas law or customary protection as to the nature and extent of the assets and liabilities he buys, and the principle of reserve (buyer attention). This is particularly important when the parties have exchanged confidential information and/or when listed companies participate in a transaction. It is also standard to explain that the terms of the agreement are confidential and cannot be disclosed without the agreement of both parties.

Confidentiality clauses are limited to 18 months to 2 years. In addition to questions about the reason for the sale of the shares and possible prior sale efforts, it is worth asking fundamental questions about the legal books and the organizational legal structure of the company. When purchasing shares, mandatory legal advice is often drawn up by the seller`s lawyers and their delivery to the buyer is a frequent condition precedent for conclusion. These legal notices must be used by a buyer and offer security. In the event of inaccuracy or inaccuracy, the buyer may assert a claim against the law firm as well as the seller in the event of a breach of the SPA or the ancillary documents.. . . .