Jon Weichselbaum

March 05, 2019 | New York Law Journal

While parties to large purchase or merger transactions typically include material adverse effect (MAE) clauses in their agreements, there is little in the law for what establishes a “material adverse effect.” Parties to such transactions can find some guidance from the recent decision in 'Akorn v. Fresenius Kabi AG', which marked the first Delaware state court case to uphold a buyer's right to terminate a merger agreement on the basis of an MAE.

By Robert Malionek and Jon Weichselbaum

8 minute read