Riverside California Acuerdo de Accionistas con Acuerdo de Compra-Venta que Otorga a la Corporación el Primer Derecho de Negarse a Comprar las Acciones del Accionista Fallecido si los Beneficiarios del Accionista Fallecido Desean Vender dichas Acciones - Shareholders' Agreement with Buy-Sell Agreement Allowing Corporation the First Right of Refusal to Purchase the Shares of Deceased Shareholder should the Beneficiaries of the Deceased Shareholder Desire to Sell such Shares

• Category: Sociedades Anónimas - Acciones - Acuerdos Restrictivos - Alabama
• State: Multi-State
• County: Riverside
• Control #: US-02629BG
• Format: Word

Description

A corporation whose shares are held by a single shareholder or a closely-knit group of shareholders (such as a family) is known as a close corporation. The shares of stock are not traded publicly. Many of these types of corporations are small firms that in the past would have been operated as a sole proprietorship or partnership, but have been incorporated in order to obtain the advantages of limited liability or a tax benefit or both. A buy-sell agreement is an agreement between the owners (shareholders) of a firm, defining their mutual obligations, privileges, protections, and rights. This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction. A Riverside California Shareholders' Agreement is a legally binding contract between the shareholders of a corporation based in Riverside, California. This agreement governs the relationship between the shareholders and outlines their rights, obligations, and roles within the corporation. It provides guidelines for the management and operation of the corporation, ensuring smooth functioning and protection of the shareholders' interests. In specific cases where a shareholder passes away, these shareholders' agreement incorporates a Buy-Sell Agreement with a provision for the corporation to have the First Right of Refusal to purchase the deceased shareholder's shares if the beneficiaries of the deceased shareholder decide to sell them. This provision aims to maintain control of the corporation within the existing shareholder base, avoiding external or undesirable entities from acquiring the shares. The Buy-Sell Agreement within the Riverside California Shareholders' Agreement may include various types, each with its own set of terms and conditions. These types may include the following: 1. Cross-purchase Agreement: In this arrangement, the surviving shareholders agree to purchase the shares of the deceased shareholder directly from the beneficiaries. The corporation plays no role in the purchase process. 2. Redemption Agreement: In this scenario, the corporation buys back the shares from the beneficiaries, ensuring that the ownership remains within the corporation itself. 3. Hybrid Agreement: This type combines elements of both cross-purchase and redemption agreements. It allows some shareholders to purchase shares directly from the beneficiaries, while the corporation buys back the remaining shares. These types of Riverside California Shareholders' Agreements with Buy-Sell Agreements protect the corporation's long-term stability and prevent unwanted ownership changes. By granting the corporation the First Right of Refusal to purchase the shares of a deceased shareholder, these agreements provide a mechanism for existing shareholders to safeguard their investment and maintain control over the corporation's direction.

A Riverside California Shareholders' Agreement is a legally binding contract between the shareholders of a corporation based in Riverside, California. This agreement governs the relationship between the shareholders and outlines their rights, obligations, and roles within the corporation. It provides guidelines for the management and operation of the corporation, ensuring smooth functioning and protection of the shareholders' interests. In specific cases where a shareholder passes away, these shareholders' agreement incorporates a Buy-Sell Agreement with a provision for the corporation to have the First Right of Refusal to purchase the deceased shareholder's shares if the beneficiaries of the deceased shareholder decide to sell them. This provision aims to maintain control of the corporation within the existing shareholder base, avoiding external or undesirable entities from acquiring the shares. The Buy-Sell Agreement within the Riverside California Shareholders' Agreement may include various types, each with its own set of terms and conditions. These types may include the following: 1. Cross-purchase Agreement: In this arrangement, the surviving shareholders agree to purchase the shares of the deceased shareholder directly from the beneficiaries. The corporation plays no role in the purchase process. 2. Redemption Agreement: In this scenario, the corporation buys back the shares from the beneficiaries, ensuring that the ownership remains within the corporation itself. 3. Hybrid Agreement: This type combines elements of both cross-purchase and redemption agreements. It allows some shareholders to purchase shares directly from the beneficiaries, while the corporation buys back the remaining shares. These types of Riverside California Shareholders' Agreements with Buy-Sell Agreements protect the corporation's long-term stability and prevent unwanted ownership changes. By granting the corporation the First Right of Refusal to purchase the shares of a deceased shareholder, these agreements provide a mechanism for existing shareholders to safeguard their investment and maintain control over the corporation's direction.

Para su conveniencia, debajo del texto en español le brindamos la versión completa de este formulario en inglés. For your convenience, the complete English version of this form is attached below the Spanish version.