Bulk sales law

Definition

A state rule that a seller's creditors hear before the assets are sold.

Why It Matters

Where it still applies, skipping the notice can leave a buyer answerable for debts they never agreed to take on, which is exactly the outcome an asset purchase was chosen to avoid. Most states repealed their version and a few kept rules for particular trades, so this is a question for counsel in the state the business sits in rather than a general answer. Ask it before signing, since the fix is a notice period and notice periods take time.