Examples of Asset Purchase Agreement
1. Equipment Purchase Agreement: An example of an asset purchase agreement could be when Company A sells manufacturing equipment to Company B. The agreement outlines details like the equipment’s make, model, and condition, along with the purchase price and payment terms. It also includes assurances from the seller regarding ownership and equipment condition, with provisions for resolving any post-sale issues. Closing conditions may involve approvals for ownership transfer and ensuring equipment functionality at sale time.
2. Intellectual Property Purchase Agreement: Another example is the sale of intellectual property rights, such as patents, copyrights or trademarks. This agreement specifies the intellectual property being sold, the price, and payment terms. Both parties offer assurances about ownership and property validity. Closing conditions might include a thorough property review to ensure no legal issues. The agreement may also address post-sale usage obligations or restrictions.
3. Business Asset Purchase Agreement: In a broader sense, this agreement involves selling an entire business or a significant asset portion. It covers various assets like inventory, real estate, and customer lists. The agreement details the purchase price, payment terms, and assurances from both parties about assets and liabilities. Closing conditions may require regulatory approvals, employee/customer notifications, and contract/license transfers.