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Asset Purchase Agreement

 

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Title:

Asset Purchase Agreement

Entities:

Northland Cranberries Inc.

Date:

2005

Size:

Preview shows 41KB of 113KB total

Price:

$52

ID:

#879103

 

 

► Purchase & Sale ► Purchase ► Asset Purchase Agreements
► Consumer

 

 

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ASSET PURCHASE AGREEMENT

BY AND BETWEEN

APPLE & EVE, LLC

AND

NORTHLAND CRANBERRIES, INC.

FEBRUARY 22, 2005










TABLE OF CONTENTS

Page

ARTICLE I
PURCHASE AND SALE OF PURCHASED ASSETS
              1.1 Basic Transaction
              1.2 Assumed Liabilities
 
ARTICLE II BASIC TRANSACTION
              2.1 Purchase Price
              2.2 Purchase Price Adjustment
              2.3 Closing
              2.4 Allocation of Purchase Price
              2.5 Closing Deliveries
 
ARTICLE III REPRESENTATIONS AND WARRANTIES OF THE COMPANY
              3.1 Organization and Qualification
              3.2 Authority 10 
              3.3 No Violation; Consents 10 
              3.4 Title to Purchased Assets; Condition of Assets 11 
              3.5 Broker's Fees 11 
              3.6 Legal Compliance; Permits 11 
              3.7 Trade Rights 11 
              3.8 Tax Matters 12 
              3.9 Contracts 12 
              3.10 Trade Accounts Receivable 13 
              3.11 Inventory 13 
              3.12 Major Customers and Suppliers 13 
              3.13 Litigation 13 
              3.14 Labor Matters 14 
              3.15 Purchased Assets 15 
              3.16 Environmental Matters 15 
              3.17 Insurance 16 
              3.18 Financial Information 16 
              3.19 Undisclosed Liabilities 16 
              3.20 Limitations on Representations and Warranties 16 
 
ARTICLE IV REPRESENTATIONS AND WARRANTIES OF BUYER 17 
              4.1 Organization and Qualification 17 
              4.2 Authority 17 
              4.3 No Violation 17 
              4.4 Finder's Fees 18 
              4.5 Litigation 18 
              4.6 Funding 18 
              4.7 Company Stock 18 
 


-i-



TABLE OF CONTENTS
(Continued)


Page
 
ARTICLE V FURTHER AGREEMENTS 18 
              5.1 Confidentiality 18 
              5.2 Public Disclosure 18 
              5.3 Preservation of Books and Records 18 
              5.4 Further Actions; Filings 19 
              5.5 Employees; Employment and Benefit Arrangements 20 
              5.6 Funding 21 
              5.7 Assignment of Purchased Contracts 21 
              5.8 Transition Period 21 
              5.9 Corporate Name 21 
 
ARTICLE VI [INTENTIONALLY LEFT BLANK] 22 
 
ARTICLE VII DEFINED TERMS 22 
 
ARTICLE VIII INDEMNIFICATION 25 
              8.1 Company's Indemnity 25 
              8.2 Buyer's Indemnity 26 
              8.3 Provisions Regarding Indemnities 26 
 
ARTICLE IX CONFIDENTIALITY 28 
              9.1 Definition of Confidential Information 28 
              9.2 Use of Confidential Information 29 
              9.3 Confidentiality 29 
              9.4 Legal Requirement to Disclose 29 
 
ARTICLE X GENERAL PROVISIONS 30 
            10.1 Notices 30 
            10.2 Interpretation 30 
            10.3 Counterparts 31 
            10.4 Entire Agreement; Nonassignability; Parties in Interest 31 
            10.5 Expenses 31 
            10.6 Tax Matters 31 
            10.7 Amendment 31 
            10.8 Severability 31 
            10.9 Remedies Cumulative 32 
            10.10 Governing Law; Waiver of Jury Trial 32 
            10.11 Rules of Construction 32 
            10.12 No Right of Offset 32 
            10.13 Further Assurances 32 
            10.14 Deliveries to Buyer 32 
            10.15 No Third Party Beneficiaries 32 


-ii-



EXHIBITS


Exhibit A -   Form of Bill of Sale -- Purchased Assets
Exhibit B -   Form of Assignment and Assumption Agreement for Assumed Liabilities
Exhibit C -   Form of Cranberry Concentrate Supply Agreement
Exhibit D -   Form of Transition Services Agreement
Exhibit E -   Form of Opinion of Company Counsel




















-iii-



ASSET PURCHASE AGREEMENT

        This ASSET PURCHASE AGREEMENT (the Agreement) is made and entered into as of this February 22, 2005, by and between Apple & Eve, LLC, a Delaware limited liability company (Buyer), on the one hand, and Northland Cranberries, Inc., a Wisconsin corporation (the Company) and NCI Foods, LLC, a Wisconsin limited liability company (NCI), on the other hand.

RECITALS

        WHEREAS, subject to the terms and conditions set forth herein, Buyer desires to purchase from the Company (subject to the assumption of certain liabilities), and the Company desires to sell to Buyer (subject to the assumption of certain liabilities), certain of the assets of the Company for the consideration set forth herein.

        NOW, THEREFORE, in consideration of the representations, warranties, covenants and agreements set forth herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows:

ARTICLE I
PURCHASE AND SALE OF PURCHASED ASSETS

        1.1.    Basic Transaction.

                   (a)    Purchased Assets. On the terms and subject to the conditions set forth in this Agreement, Buyer shall purchase from the Company, and the Company shall sell, convey, assign, transfer and deliver to Buyer on the Closing Date, all of the Companys right, title and interest in and to the following assets, free and clear of all Liens, other than Permitted Liens (the Purchased Assets):

                             (i)    All inventories of raw materials (excluding inventories of fresh cranberries, frozen cranberries and cranberry juice concentrate, but including dried and chocolate-coated cranberries), work-in-process and finished goods held for sale by the Juice Division (excluding all Northland branded finished goods packaged in 64-ounce grip-bottle containers), together with all related labels, bottles and other bottling and packaging materials owned by the Company on the Closing Date and located in the facilities specified in Schedule 1.1(a)(i) (the Inventory);

                             (ii)    All the Companys and NCIs interest in the Trade Rights used or held for use in connection with the business and operation of the Juice Division and set forth on Schedule 1.1(a)(ii)attached hereto (the Juice Division Trade Rights), including without limitation those assignable Trade Rights assigned to Buyer pursuant to the Trademark License Agreement, dated December 29, 1998, by and between the Company and Seneca Foods Corporation (the Seneca License Agreement) and those trademarks held in the name of NCI (the NCI Marks). As used herein, the term Trade Rights shall mean and include, with respect to those items listed on Schedule 1.1(a)(ii): (i) trademark rights, business identifiers, trade dress, service marks, trade names, and brand names; (ii) copyrights and the underlying works of authorship; (iii) patents and all proprietary rights associated therewith; (iv) contracts or agreements granting any right, title, license or privilege under the intellectual property rights of any third party, to the extent assignable; and (v) all registrations of any of the foregoing, all applications therefor and all goodwill associated with any of the foregoing;



                             (iii)    All Trade Accounts Receivable of the Company related exclusively to the Juice Division;

                             (iv)    the list of those customers of the Juice Division set forth in Schedule 1.1(a)(iv) hereto (the Customer List) and all goodwill associated therewith;

                             (v)    all of the Companys rights in, to and under all contracts, purchase orders and sales orders of the Company pertaining exclusively to the Juice Division, including without limitation the contracts set forth in Schedule 1.1(a)(v) hereto (the Purchased Contracts);

                             (vi)    the personal property set forth on Schedule 1.1(a)(vi) hereto;


 

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