Contingent Liability

In M&A transactions buyers and sellers may take a different view of the potential impact of a contingent liability.

In M&A transactions buyers and sellers may take a different view of the potential impact of a contingent liability. Insurance can be used in disputes to ring-fence the issue and provide the target company with certainty as to the cost in the event that the liability crystallises. Issues may range from contractual disputes to the outcome of a piece of litigation.