Exhibit 10.52
AGREEMENT OF PURCHASE AND SALE
by and among
Sum Business Holdings, LLC,
a Delaware limited liability company, and
Sum Mezz, LLC,
a Delaware limited liability company
(collectively, "Purchaser")
and
Wyndham International, Inc.,
a Delaware Corporation ("Wyndham")
Summerfield Hotel Company, L.P.,
a Kansas limited partnership ("Summerfield")
the Transferors (as herein defined)
TABLE OF CONTENTS
Page
ARTICLE I
DEFINITIONS
2
1.1
Definitions
2
ARTICLE II
PURCHASE AND SALE; DEPOSIT; PAYMENT OF PURCHASE PRICE; STUDY PERIOD
13
2.1
Purchase and Sale
13
2.2
Payment of Purchase Price
13
2.3
Intentionally Omitted
13
2.4
Submission Matters
13
2.5
Adjustments to Equity Purchase Price
15
ARTICLE III-A
HOTEL AND TRANSFEROR REPRESENTATIONS AND WARRANTIES
16
3.1A
Organization and Power
16
3.2A
Authorization and Execution
16
3.3A
Non-contravention
16
3.4A
No Special Taxes
16
3.5A
Compliance with Existing Laws
17
3.6A
Management Agreements/Operating Agreements
17
3.7A
Insurance
18
3.8A
Condemnation Proceedings; Roadways
18
3.9A
Actions or Proceedings
18
3.10A
Labor and Employment
18
3.11A
Financial Information
18
3.12A
Occupancy Agreements
19
3.13A
Americans With Disabilities Act
20
3.14A
No Commitments
20
3.15A
Transferor Is Not a "Foreign Person"
20
3.16A
Receivables
20
3.17A
Submission Matters
20
3.18A
Title to Tangible Personal Property
20
3.19A
Rights of First Refusal
20
3.20A
Patriot Act
20
ARTICLE III-B
SUMMERFIELD ENTITY REPRESENTATIONS AND WARRANTIES
21
3.1B
Organization and Power
21
3.2B
Authorization and Execution
21
3.3B
Subsidiaries
21
3.4B
Capitalization
22
3.5B
Non-contravention; Consents
22
3.7B
Books and Records
22
3.8B
Financial Statements
22
3.9B
Liabilities
24
3.10B
Private Offering; Registration and Qualification
24
i
3.11B
Indebtedness and Certain Other Contracts
24
3.12B
Title to Assets; Encumbrances
24
3.13B
Absence of Excess Parachute Payments
24
3.14B
Transactions with Affiliates
25
3.15B
Accounts Receivable
25
3.16B
Patriot Act
25
3.17B
Franchise Matters
25
3.18B
Violations of Law; Permits
26
3.19B
Labor Matters
27
3.20B
Intellectual Property
27
3.21B
Litigation
27
3.22B
Taxes
27
3.23B
Summerfield Real Estate Companies
28
3.24B
LIMITATION ON TRANSFEROR'S REPRESENTATIONS AND WARRANTIES
29
ARTICLE IV
PURCHASER'S REPRESENTATIONS AND WARRANTIES
30
4.1
Organization and Power
30
4.2
Authorization and Execution
30
4.3
Non-contravention
30
4.4
Litigation
30
4.5
Patriot Act
31
4.6
Securities Law Matters
31
ARTICLE V
INTENTIONALLY OMITTED
32
ARTICLE VI
COVENANTS OF WYNDHAM PARTIES AND PURCHASER
32
6.1
Hotel Employee Claims
32
6.2
Reasonable Inspection of Hotel Books and Records After Closing
33
6.3
National Hotel Contracts
33
6.4
Access to Summerfield Information
33
ARTICLE VII
CLOSING
34
7.1
Closing
34
7.2
Transferor's Deliveries
35
7.3
Purchaser's Deliveries
37
7.4
Mutual Deliveries
37
7.5
Closing Costs
38
7.6
Hotel Revenue and Expense Allocations
38
7.7
Safe Deposit Boxes
43
7.8
Inventory of Baggage
43
7.9
Acquisition and Payment for Inventory
44
7.10
Assumption
44
7.11
Escrow Agreement
44
ARTICLE VIII
GENERAL PROVISIONS
44
8.1
Broker
44
8.2
Bulk Sale and Tax Clearance Certificates
45
8.3
Confidentiality
45
ii
8.4
Liquor Licenses
47
8.5
Owner's Accounts Receivable
48
ARTICLE IX
DEFAULT; TERMINATION RIGHTS
48
9.1
Costs and Attorneys' Fees
48
9.2