I read this well-written blog post from Ken Adams of Adams Drafting regarding the implications of a buyer knowing, pre-closing, that a seller’s representations are inaccurate in a business sale.  I recently wrote about the litigation traps of selling a business so I found this article intriguing.

Following the tips outlined in Ken’s post may help protect against some of the post-closing demands from buyers in a business sale but it is still important for a seller to document the disclosure of adverse material facts.