Deal Certainty Under Delaware Law: Recent Cases and Practical Implications for Private Equity Sponsors

Morris Nichols corporate litigator Bill Lafferty and corporate counseling partner Eric Klinger-Wilensky recently co-authored an article on recent Delaware law updates with Weil’s Robert Rizzo and Larissa Lucas.

Two recent cases before the Delaware Court of Chancery provide important lessons for sponsors on matters of deal certainty: one on financing cooperation covenants (potentially being a sword for a buyer to walk away from a deal), and another on the significance of correct fundamental representations. These cases serve as reminders of the importance of drafting precision in allocating which party bears closing risk if covenants, reps or warranties are breached before closing.

Read the full article which appears in the Private Equity Sponsor Sync newsletter.

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Robert A. Rizzo, Larissa Lucas, William M. Lafferty, Eric S. Klinger-Wilensky, “Deal Certainty Under Delaware Law: Recent Cases and Practical Implications for Private Equity Sponsors, Weil Private Equity Sponsor Sync (Spring 2024)

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