Resolve M&A Disputes in Singapore
Resolve M&A Disputes in SingaporeUpdated on Monday 18th January 2016
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Foreign investors who are interested in the mergers and acquisitions (M&A) market should know that this field has shown financial improvements at an international level, in sectors such as financial services or technology. In the situation in which during a M&A stage an investor is involved in a dispute, he or she should know that the contract must stipulate arbitration clauses, dealing with various legal situations that may arise during the M&A process; you may request for more details from our team of lawyers in Singapore.
Types of M&A disputes in Singapore
The mergers and acquisitions disputes may arise in any of the stages of the transaction. Still, most common M&A disputes arise after the post-closing phase of the transaction. One of the most common disputes is in regard with the contractual clause on the representations and warranties. M&A contracts stipulate provisions on the financial statements of the company involved in the M&A process. The dispute arises when the company is not respecting the provisions of the contract; our law firm in Singapore can offer you further information on this matter.
Other causes of disputes may refer to the directors’ lack of capability to complete a sale with financial benefits; in this case, the dispute may arise between the directors and shareholders. The changes in the price of the M&A purchase may also lead to legal disputes.
Dispute that arises in the pre-closing phase may refer to the breach of the confidentiality agreement.
Arbitration procedures for M&A disputes
The most recommended procedure through which parties involved can resolve an M&A dispute is arbitration, as it offers a set of advantages to all parties involved in the case. The most important advantages are:
• s suitable seat of arbitration;
• arbitrators with experience in the field on mergers and acquisitions transactions.
If you need further information on the mergers and acquisitions disputes in Singapore, you may contact our law firm, who can represent you in the Singaporean Courts.