Just as running a successful restaurant requires competent human staff, successfully purchasing a restaurant requires a team of competent professionals, including a lawyer, accountant, and insurance professional. For legal assistance, please call us (515) 727-0900. As part of the transaction, buyers often require the seller and/or the seller`s top collaborators to sign an agreement, that they “not compete with the buyer” for a certain period of time. This is to protect the “blue sky” that the buyer acquires. Contrary to popular belief, these agreements are often enforceable, provided they are reasonable in terms of duration and scope. While each situation is different, the duration of the non-competition clause could correspond to the length of the seller`s note. 1.2. Excluded assets. The assets acquired do not include the assets listed in Annex 1.2, including, but not limited to, all cash funds and receivables of the seller of assets at the balance date, non-refundable licences and all leases, contracts, agreements, commitments that do not relate to the transaction or that are assumed by the Asset Buyer restaurant, all means of payment and cash equivalents, all rights of the Restaurant Asset-V the Purchaser under this Agreement and all insurance coverage (together, the “excluded assets”). If employees are informed at an early stage of the transaction, they can terminate before closing, which reduces the value of the restaurant to the buyer. Conversely, if they are informed late, they may stop with harsh feelings towards the buyer. A common practice is to bring together non-lenient employees on the day of their graduation.
At that time, the seller grants them layoffs and layoffs from COBRA and the buyer immediately hires employees who “stay”. Key employees are often closer to the company and are involved earlier in the transaction. Each restaurant needs to assess the potential impact of “word release” through a potential sale to determine who is being noticed and when. 5.16 Personnel matters. With the exception of the provisions of Schedule 5.16, no employee of Restaurant Asset Seller has a written employment contract or is an employee “at will”. Restaurant Asset Seller does not have or maintain a written pension, profit sharing, savings or other retirement provision, employee pension plan, employee share plan, deferred compensation, stock option, share purchase, performance share, bonus or any other incentive plan, severance pay plan, health, group insurance or other wellness plan or any other similar plan, convention, directive or convention. . . .