New Hampshire Bulk Sales Transfer Affidavit

State:
Multi-State
Control #:
US-00043DR
Format:
Word; 
Rich Text
Instant download

Description

A Bulk Sales Affidavit Form is used by a seller of a business to inform the buyer of all creditors of the business and the amount of their claims against the business. Generally, failure to comply with the Bulk Sales or Transfers Act portion of the Uniform Commercial Code will mean that original creditors of a seller will have a lien against the assets and inventory which are transferred to the buyer.

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FAQ

The bulk transfer law is a law to protect business creditors. It provides that if a buyer of a business notifies the creditors of the seller in advance that it is buying the seller's assets, then the buyer will not be liable to those creditors for the debts and obligations of the seller.

Bulk sales laws apply to transfers of significant assets that are not made in the ordinary course of business, and they generally require the Buyer to notify the Seller's creditors of the acquisition prior to the Closing so the creditors can protect their interests.

The purpose of the Bulk Sales Act is to prevent fraud in the sale of a stock of goods or fixtures in bulk, in order to protect creditors, and to make the matter of such sale known to the parties who have been dealing with the ven- dor, and are his creditors.

The Texas Bulk Sales Law treats of sales and transfers in bulk of "a stock of merchandise, or merchandise and fixtures pertain- ing to the conducting of...

A quick definition of bulk transfer: Bulk transfer: This means when someone sells a lot of things all at once. It's like when you have a big box of toys and you sell them all to one person instead of selling them one by one.

These transactions are governed by Article 6 of the Uniform Commercial Code, which has been adopted in most jurisdictions, the primary purpose of which is to put creditors of the seller on notice that the majority of the seller's assets are being sold.

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New Hampshire Bulk Sales Transfer Affidavit