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Back to mergers and acquisitions law
Question 1 of 20
In a standard asset purchase agreement, which of the following is a primary advantage for the buyer compared to a statutory merger?
A.
The buyer automatically assumes all liabilities of the seller by operation of law.
B.
The buyer can generally specify which liabilities it chooses to assume and which it leaves behind.
C.
The transaction requires only a simple majority of the buyer's shareholders to approve.
D.
The buyer avoids the need for any due diligence regarding the seller's contracts.
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