
Phone Monitoring Startup Carrier iQ Goes Under, AT&T Buys Assets and Staff - e15ctr0n
http://techcrunch.com/2015/12/30/att-snaps-up-assets-talent-from-carrier-iq-as-phone-monitoring-startup-goes-offline/
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marshray
> As AT&T did not acquire the full company, we understand that it will not be
> liable for any outstanding litigation or settlements against CIQ.

How is it possible to just acquire the assets but not its legal liabilities?

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maxerickson
The legal entity and the assets it holds are separate things. So they just
paid for what they wanted, and now the company has that cash (or whatever)
instead of the assets.

I guess in principle it isn't real different than if they had sold AT&T a car.

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marshray
It seems like a big loophole to get out of existential legal or debt
liability.

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maxerickson
That's pretty much what corporations are for though. When something goes wrong
the corporation folds and that's it (with some fussing around to give debtors
and investors whatever money might be left).

I'm assuming the assets sold at a fair price. If that is the case, it doesn't
hurt the ability of the company to pay back the liabilities. If it isn't the
case, it's headed in the direction of fraud.

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maxerickson
Should be creditors in the first paragraph parenthetical, not debtors.

