Transitional Services Agreement Vat

Since the risk of the absence of (essential) services rests with the buyer, the buyer may request a “missed service” that allows the target company to request services that are not listed in the TSA (i.e., have been missed) but have been provided in the past. In larger SATs, a buyer will request a “most-favoured-nation” clause that will require the service provider to offer the recipient the best terms offered by the service provider to other parties for the same services. A large number of companies transferred as part of target businesses are dependent on intra-group services such as information and communication technologies (“ICT”) (e.g. B regulatory reporting tools, telecommunications), HR services (e.g. B payroll services), infrastructure services (e.g. B offices, machinery) and other services (e.g.B. canteen, fleet management, distribution support, brand licences). Again, in many cases, there are no benchmarks for service levels and ICPs and therefore needs to be developed. Service levels and PCCs should be respecified in as much detail as possible, avoiding generic descriptions (e.g.B.

“existing service levels apply”).