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  4. CytoDyn Inc (CYDY) Message Board

In many cases, the acquiring company seeks indemni

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Post# of 155581
(Total Views: 607)
Posted On: 02/17/2024 3:36:37 PM
Posted By: ohm20
Re: craigakess #141136
Quote:
In many cases, the acquiring company seeks indemnification from the acquired company to protect itself against certain liabilities that may arise post-acquisition. These liabilities could include legal claims, breaches of representations and warranties,



Since the contract was between Amarex and Cytodyn the arbitrator would not include NSF as a party. The arbitration agreement in that contract doesn't bind Cytodyn to arbitration for NSF and they can file a civil lawsuit against NSF. With NSF obviously in control of Amarex they are responsible for any bad acts occurring after NSF acquired them regardless of any indemnification. In a civil lawsuit NSF could be hit with attorney's fees and restitution. If NSF were smart they would agree to pay up any arbitration decision in exchange for quashing any other possible legal actions.


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