Mergers & Acquisitions

Resources: Glossary

Don’t be confused or intimidated by any terms or abbreviations in the M&A world. You’ll find answers here.

Misrepresentation

Definition

A fraudulent or negligent misstatement, or an incomplete statement of a material fact to induce a contract.

Tips

If a misrepresentation induces another party to enter into a contract, that party may have the legal right to rescind the contract or seek compensation for damages. A misstatement of an intention or opinion is generally not considered a misrepresentation.

Related Resources

M&A Reps & Warranties | A Complete Guide