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When you’re starting a business, chances are that you don’t want to think about a possible future in which you or one of your co-owners leave the company, become incapacitated, or pass away.

When two or more people decide to enter into a business partnership, they often do not realize what challenges are involved in running a business with someone else. While business partnerships can be crucial to the growth of your business, the business world can be tough and ruthless, which is why things do not always work out as planned.

Navigating business litigation and commercial lawsuits in Kansas usually involves a lot of resources, time, and stress. Fortunately, alternative dispute resolution (ADR) options—such as arbitration and mediation—allow two or more parties, businesses, or entities involved in a dispute to achieve a peaceful and productive resolution without going to trial.

The pandemic changed a lot of things for a lot of people, but incredibly it led to a surge in new business formations, which spiked up 42 percent from pre-pandemic levels. Owning your own business and being your own boss is part and parcel of the American dream. But as with every life-changing move you make in life, the old motto “look before you leap” is particularly relevant to going into business, either by yourself or with others.

Are you a business owner in the Kansas City metro? If you answered yes, you are more than likely involved in one or more contractual relationships.

An asset purchase agreement (APA) is a legal contract in which a seller spells out to a buyer exactly what assets are being sold. An APA not only describes the assets to be purchased but also important details like price, warranties, and breach of contract.

Material adverse effect clauses protect the buyer after the merger agreement is signed and before the transaction is concluded, often months or years later, depending on the amount of due diligence required. A MAC trigger could arise from any number of changes in the target entity.

Disclosures are an integral part of a merger or acquisition transaction. Mergers and acquisitions (M&A) have many interconnected parts, which means there is always a risk of things going wrong. Disclosure schedules, along with due diligence, are the foundation of any M&A transaction because disclosures support a seller’s warranties.

A letter of intent (LOI), also commonly referred to as a term sheet, is generally used when one party wants to enter into a business deal with another party. Letters of intent are serious legal instruments, and as such, should be drawn up and drafted by attorneys experienced in the matter.

When one entity sets about to take control of another business through an acquisition of stock, the transaction is governed by what is called a Stock Purchase Agreement (SPA), sometimes called a Securities Purchase Agreement or simply Stock Purchase.