Committed Capital Sidecar | Delaware, Sandbagging and PE Transactions

“Committed Capital Sidecar” is a bite-sized feature within our Committed Capital podcast series which quickly covers a key development affecting the private equity industry.

“Sandbagging” is the colloquial term for when a buyer brings a claim against a seller for breach or inaccuracy of a representation or warranty, despite the buyer knowing of the contractual breach before closing. In this Sidecar episode, private equity partner Christian Matarese and professional support lawyer Daniel Rubin discuss the arguments for and against sandbagging, market practice on this deal point, and new guidance from the Delaware Court of Chancery on sandbagging under Delaware law.