03/12/2020 | less than 1 min read
Acquisitions: France reverses its case law on the transfer of liability from the acquired company to the acquiring company
The highest body of the judicial order in France, the “Cour de cassation”, has ruled that the acquiring company can be prosecuted and convicted for acts committed by the acquired company before the completion of the merger or acquisition operation. From now on, the acquisition of a company could bear legal responsibilities for the acquired company. The acquiring company will be able to inherit all existing defense mechanisms of the absorbed company. And what can be more powerful than information?
