Legal Question in Wills and Trusts in California
re:RESTAURANT ESCROW CLOSING
RESTAURANT ESCRIW CAN CLOSE EVEN THE SALER HAS THE DEBITS FROM THE THIRD PARTY? THANKS.
Asked on 12/28/12, 8:39 am
1 Answer from Attorneys
Charles Perry
Law Offices of Charles R. Perry
If all terms necessary for the closing have been met, then the escrow can close. In theory, escrow can close without all the debts being paid or provided for.
The buyer of the restaurant has the responsibility to ensure compliance with the bulk sales law, if that law is applicable, in order to prevent him or her being liable for the business' debts incurred before the sale.
Answered on 12/28/12, 8:50 am