Ambridge's DisclosureGap® Representations & Warranties Insurance provides insurance for losses incurred as a result of breaches or inaccuracy of the representations and warranties made in a wide variety of business agreements.
For example, in the context of a sale agreement a DisclosureGap® policy can be issued:
● to the seller(s) of a business to respond to claims made against it by the buyer for losses it has incurred
● as a result of any inaccuracy or breach of the representations and warranties made by the seller to the
● buyer in the sale agreement; or
● to the buyer of a business to respond to losses it has incurred as a result of the breach of
● representations and warranties made by the seller(s) to the extent that they exceed the amount of losses
● for which such seller(s) have agreed to provide an indemnity;
Although primarily designed to be utilized in the context of a sale agreement, DisclosureGap® policies have broad applications and can be utilized to insure against losses incurred as a result of the inaccuracy or breach of representations and warranties contained in other agreements, such as licensing, financing and investment agreements.
Disagreements over the scope of representations and warranties made by one party to another, or the scope, duration or amount of a parties indemnification obligations as respects losses incurred because of the inaccuracy or breach of those representations and warranties can often lead to deal breaking negotiating gaps. Ambridge's DisclosureGap® policy can be an effective tool to bridge these gaps.
Some of the common deal points for which Ambridge's DisclosureGap® policy can provide solutions are set out here. Whether or not the deal point that you or your client faces is described below, Ambridge's experienced underwriting team will work with you to provide you and your clients with the DisclosureGap® Representations & Warranties Insurance solutions they require.