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İÇİNDEKİLER
Contents
Acknowledgments 7
Abstract 9
Abbreviations 17
General Abbreviations 19
INTRODUCTION
Dramatic Increase of Merger and Acquisition Transactions Around The World 23
Why Arbitration in Merger and Acquisition Transactions? 26
Literature Review 27
Problems Focused on Merger and Acquisition Arbitration 28
Terminology 29
Merger 30
Acquisition 35
Takeover 36
A Working Definition of Merger, Acquisition, and Takeover 37
Working Hypothesis 38
Methodology 42
Delimitation of the Subject 45
Structure of The Thesis 46
PART I:
THEORETICAL FOUNDATIONS
CHAPTER I:
CHRONOLOGICAL PHASES OF MERGER AND
ACQUISITION TRANSACTIONS
I. Introduction 53
A. The Value–Increrasing Theories 53
B. The Value (Decreasing or) Destroying Theories 55
C. Negotiation Phase 60
1. Preliminary Contacts 60
2. Letter of Intent 63
a. Delimitations of The Notion 66
b. Related Instruments 67
aa. Options 67
bb. Confidentiality Agreements 68
cc. Variations in Terminology 68
dd. Pre–Contractual Agreements and Promises to Contract 69
ee. Bilateral (or Multilateral) and Unilateral Letters of Intent 69
c. Content 70
aa. Necessary Clauses 70
bb. Optional Clauses 70
cc. Legal Nature 71
aaa. Does the Letter of intent Amount to a Contract? 71
bbb. Does the Letter of Intent amount to a Promise to Contract? 74
ccc. Is the Letter of Intent an Offer? 74
d. Legal Effects 75
e. Contractual Interpretation and Completion 78
3. Due Diligence 79
D. Signing Phase (Purchase Agreement) 81
E. Closing Phase (Completion) 82
F. Post–Closing Phase 83
G. Representations, Warranties and Indemnification 84
II. Conclusion of Chapter I 84
CHAPTER II:
ARBITRATION AND MERGER AND
ACQUISITION TRANSACTIONS
I. Introduction 89
II. Arbitration in Pre–Signing Disputes 90
A. Conflicts Arising Out of a Letter of Intent 93
B. Conflicts arising out of Due Diligence 95
III. Arbitration in Post–Signing: Disputes Arising From MergerPurchase Agreements 96
A. Violation of Covenants 99
B. No Material Adverse Changes 99
C. Price Adjustment Arbitration 102
1. Reasons For Price Adjustment Clauses 104
2. Frequently Disputed Issues on Price Adjustments 105
3. Expert Arbitration 109
D. Representations and Warranties 113
1. Breaches of Representations and Warranties 118
a. Duty to Investigate 118
b. Duty to Object 118
2. Consequences of Breaches of Representations and Warranties 120
E. Third– Party Claims 121
F. Claims For Non–performanceFundamental Error 121
G. Put and Sale Options 124
IV. Particular Aspects of Merger and Acquisition Transactions Related Arbitrations 126
A. Multi–Party and Multi–Contract Disputes 126
B. Extension of Arbitration Agreements to Third Parties 127
V. Conclusion of Chapter II 129
PART II:
CHALLENGES AND PRACTICAL SOLUTIONS
CHAPTER III:
COOPERATION AND COORDINATION OF ARBITRAL PROCEEDINGS IN MERGER AND ACQUISITION TRANSACTIONS
I. Introduction 135
II. The Scope of Arbitration Clauses in Merger and Acquisition Transactions 136
III. Multiple Proceedings and Parallel Proceedings in Merger and Acquisition Transactions 138
A. Terminology 140
1. Multi–Contract and “Group of Contracts” Doctrine in Merger and Acquisition Transactions 140
2. Parallel Proceedings in Merger and Acquisition Arbitration 142
a. Parallel Proceeding Depending on The Same Dispute 142
aa. Mechanism of Lis Pendens in Merger and Acquisition Arbitration 143
aaa. Buenaventura Case 148
bbb. Fomento Case 150
bb. Mechanism of Res Judicata in Merger and Acquisition Arbitration 153
b. Parallel Proceedings Depending on Related Disputes 158
IV. Solutions Proposed by Doctrine and Case Law in Different Jurisdictions for Joinder of Parallel Proceedings 163
V. Advantages and Disadvantages of Consolidation in Merger and Acquisition Arbitration 168
VI. Consolidation in a Single Arbitration 176
VII. Conclusion of Chapter III 178
CHAPTER IV:
MULTI–STEP PROCESSES IN MERGER AND
ACQUISITION TRANSACTIONS
I. Introduction 183
II. Background 184
III. Different ADR Procedures used in Merger and Acquisition Transactions and Interaction with Arbitration Proceedings 187
A. Conciliation 187
B. Mediation 192
C. Med–ArbArb–Med 193
D. Expert Determination 199
1. Problems Involving Expert Determination 202
2. Solutions Proposed 204
IV. The Problem of Confidentiality in Multi–Tiered Dispute Resolution Processes 205
V. Conclusion of Chapter IV 208
CHAPTER V:
ISSUES OF CONSENT IN MERGER AND
ACQUISITION ARBITRATION
I. Introduction 211
II. Identifying Consent in Merger and Acquisition Arbitration 212
A. Incorporation by Reference 215
B. Consent to an Underlying Contract Typically Constitutes Consent to an Arbitration Agreement 217
C. Consent to Underlying Contract Not d for Consent to Arbitration Agreement 218
D. Consent on The Related Agreements 220
E. Defects of Consent: Fraud (Dol), Mistake (Erreur) 223
1. ICC Case No. 11961 224
2. ICC Case No. 12502 226
F. ImpliedTacit Consent 229
III. Consent on the Transfer of the Arbitration Agreement After Merger and Acquisition Transactions 232
A. Assignment 233
1. ICC Case No. 12745 242
B. The Latter Superseded the Former and Succession 250
IV. Conclusion of Chapter V 260
Conclusion 267
Consecutive Phases of Merger and Acquisition Transactions 268
Arbitration and Merger and Acquisition Transactions 269
Coordination and Cooperation of Arbitral Proceedings in Merger and Acquisition Transactions 270
Multi–Step Processes in Merger and Acquisition Transactions 273
Issues of Consent in Merger and Acquisition Arbitrations 275
Bibliography 279
Books and Thesis 279
Articles 283
Regulations, Directives 293
Table Of Cases 294
Web Sites 300
Conpets Index 301
Author’s CV 304 |