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Asset purchase post-completion environmental, health and safety (EHS) checklist: permit transfers, producer responsibility and carbon schemes, audit rectification, insurance, reliance agreements and collateral warranties

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Under an asset purchase, the purchaser takes only the selected assets and assumes only the specific liabilities it opts to accept, as detailed in the asset purchase agreement. After completion, issues highlighted by due diligence may require the purchaser to address environmental, health and safety (EHS) matters. For example, the purchaser might need to transfer or apply for a permit, join a recognised packaging waste compliance scheme, or strengthen health & safety documentation following completion. Typical post-completion EHS actions in asset purchase transactions include the following:

  • transferring environmental permits
  • verifying whether the deal triggers any new duties under environmental regimes, such as producer responsibility, energy efficiency and carbon schemes
  • tackling points raised in environmental audits and reports, and any contractual conditions
  • advising on the scope of environmental insurance and other risk-mitigation strategies
  • putting in place reliance agreements or collateral warranties to allow reliance on environmental reports

Transfer of environmental permits

In an asset sale, the name of the operator/permit holder will be changed...

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Keith Davidson
Keith Davidson

Keith is a Partner at Irwin Mitchell in Manchester specialising in environmental transaction advice. Keith is dual qualified in England / Wales and N.Ireland and is a former Environment Commissioner for Greater Manchester. His practice areas include contaminated land, brownfield development, environmental insurance, and carbon literacy training. He provides EHS transactional support to 20 other law firms. Keith has been top ranked in Chambers and Legal 500 for the last 15 years.  “A leader at understanding and managing environmental liability” Chambers UK Guide...

Web page updated on 20/05/2026

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