Material Adverse Effect: In a sale of any ongoing business, one way to address the difficulty of being absolute in the representations and warranties when in fact the parties are not concerned about
Environmental Damages: This definition is a convenient place to collect all the possible liabilities and damages arising from the presence of hazardous materials on the property in violation of, or requiring remediation under,
A. Representations: a statement of fact to induce another party to enter into a contract.
B. Warranty: a promise that the statement is true; intended to relieve the promise (Buyer) from having to determine if the facts are true.
* Practice Tip: Representations and warranties are not a substitute for including,
So, what are the implications of the background principles of law discussed in earlier blogs, and what principles overall should govern how your environmental lawyer makes herself really useful to you in the process?
Three Overarching Tasks and Principles or considerations for both Buyer and Seller that emerge from this:
We devote a whole blog to this because it’s one of those areas where standard practice in the field, pre-environmental law, has been totally overtaken by cases where “as is” clauses intersect with environmental problems
By way of background, if you’re a real estate lawyer, you’ll want to understand that environmental law principles as applied in the context mostly derive from established real estate principles, though with a few twists – others can skim through this discussion or even skip it, but you might find it’s interesting. Some of this […]
This is the first of a series of blogs designed to provide a detailed “primer” for the commercial real estate professional and investor. My goal is unlock what some still see as the mysterious world of environmental risk in the sale or lease of virtually all non-residential properties; more importantly, how do you do it […]
