Status quo agreements are also used to suspend the usual limitation period to make a claim in court.  More generally, the panel`s focus reflects a growing trend to use its own teams in due diligence for DM transactions to protect economically sensitive information and reduce competition risks. Therefore, the conditions set out in Practice Statement 30 can serve as a benchmark for the establishment and operation of own teams outside the context of code-regulated acquisitions. Some agreements and obligations are exempt from the rule 21, paragraph 2, point b prohibition. A status quo agreement can be practically an agreement between the parties, in which both parties decide to suspend a specific issue for a specified date. This may be an agreement to defer payments to help a customer overcome strict market conditions. It can also be agreements to stop the production of a product. Rule 21.2 therefore does not prohibit agreements and obligations that impose obligations only on a bidder or a concerted person, except in the context of a reverse takeover. For example, it does not prohibit a bidder from paying a “reverse” break tax – z.B. if the transaction is not concluded because there is no administrative authorization or shareholder agreement in the absence of the shareholder agreement – such as the us$3 billion reverse-break agreed by Anheuser-Busch InBev as part of its offer.
The agreement is particularly important as the bidder has had access to the confidential financial information of the entity concerned. During the status quo period, a new agreement is negotiated, which generally changes the original loan repayment plan. This option is used as an alternative to bankruptcy or enforced execution if the borrower cannot repay the loan. The status quo agreement allows the lender to save some value from the loan. In the event of forced execution, the lender must receive nothing. By working with the borrower, the lender can improve its chances of repaying some of the outstanding debt. Prior to their accession to the new territories, a status quo agreement was negotiated between India and Densern and the princely states of the British Indian Empire.