Series 79 practice questionmediumRepresentations and Warranties
A 'bring-down' condition related to representations and warranties at closing means which of the following?
- AThe seller must reaffirm that all representations and warranties are still true at closing✓ Correct answer
- BThe buyer can renegotiate the price if any rep is no longer accurate at closing
- CThe representations and warranties only apply as of the signing date
- DThe seller is not liable for any inaccuracies discovered post-closing
Explanation
Why A — The seller must reaffirm that all representations and warranties are still true at closing
A 'bring-down' requires the seller to confirm that representations and warranties remain accurate at closing, not just at signing. This gives the buyer protections if circumstances change. Selecting choices about price renegotiation or limited liability confuses other deal terms.
Turn it into reps
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