Article Abstract:
Negotiations to sell a company often include claims for breach of warranty, but the topic of damages is often ignored by both parties. Standard warranty clauses ensure: that buyers are buying a company, including assets and liabilities, and that they expect and places liability for unanticipated losses on the vendor. The breach of warranty gives an injured party the right to claim damages and if not properly provided for, the courts will decide the amount of damages. Liability is difficult to establish, and the court will rely on expert advice for the valuation. The parties should predict the effect of a breach of warranty on the value of a company for the purchaser and draft a pound-for-pound clause that states in the event of undisclosed liabilities or a shortfall of assets, the vendor will make up the difference.
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Article Abstract:
'Quoted UK plc' is a model created from information about 150 listed British companies. Pre-tax profits, earnings per share, and dividends per share have grown at an annual rate of more than 11 percent since 1981. These figures reflect the improved strength of British corporations following the wave of restructuring that took place earlier in the decade. British productivity improved at a compound annual rate of six percent between 1982 and 1985.
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Article Abstract:
There is an urgent need for UK businesses to begin cross-border tax planning in preparation for the 1992 European Community economic union. A case study is presented for the imaginary Enterprise Group, a UK manufacturing company which proceeds to acquire a German wholesale distribution business, a Dutch forwarding company, and an Irish subsidiary. Tax laws which would apply to each of these situations are explained.
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