Purchasing assets from an insolvent entity on a truncated timeline with limited due diligence and no indemnities is not a process for the financial faint of heart. 

The use of reps and warranties insurance in bankruptcy sales may help both debtors and asset purchasers, according to a new paper from Seyfarth Shaw. 

Transactions that are executed under Bankruptcy Code section 363 can provide a higher value for debtors while simultaneously providing...