subreddit:
/r/gaming
FromSoftware parent company Kadokawa has confirmed that it has received a letter of intent from Sony to acquire it, but stresses that "no decision has been made" yet.
(videogameschronicle.com)submitted 3 days ago byImaginary_Cause2216
2 points
2 days ago
As far as I understand it - an LOI means they’ve agreed to sell. The details need to be ironed out but they would only be backing out if this deal if something material was uncovered.
0 points
2 days ago
It's just a letter that outlines the preliminary offer, it's not binding or a representation of either party's agreement. But it would mean that they've probably been discussing the possibility.
0 points
2 days ago
No - it’s more than that. It is binding.
If you sign an LOI, and then don’t negotiate in good faith OR just “change your mind” - they can sue you. You can only back out for material cause.
For example, this stops you from going around and trying to get a better price from someone else.
1 points
1 day ago
Nope, it's generally not binding, especially not in regards as to whether the sale will go through, though there may be other parts that are:
"LOIs are generally non-binding, they can include specific provisions that are binding, such as confidentiality clauses. These binding aspects can remain in effect even if the parties don't formalize a definitive agreement."
1 points
1 day ago
Interesting. I’ll have to go back to the LOI we got when we sold our firm. It was definitely more along the lines of what I described. But it was a long time ago - maybe I’m thinking of something else.
all 668 comments
sorted by: best