Asset purchase agreement

Agreement further to which one or more purchasers buy assets and take on certain liabilities (related to the purchased assets) from one or more sellers. The agreement will set out/forth the details of the sold assets and the transferred liabilities, the representations and warranties, the indemnification in the event of misrepresentation, the required approvals and actions in order for the transfer of the assets and liabilities to be valid and/or effective towards third parties. It usually includes post-closing covenants (such as the obligation for the sellers to continue to service the obligations of which the transfer cannot, cannot easily, or is deliberately not to, be enforced on the creditors and other third parties to the transfer).