This is a "Right of First Refusal and Co-Sale Agreement." It is entered into by the corporation and the purchasers of preferred stock. It gives the company and the purchasers of preferred stock certain rights of refusal and options upon the transfer of stock.
A Montana Right of First Refusal and Co-Sale Agreement is a legal document that outlines the rights and obligations of parties involved in a potential sale of shares or real estate property in the state of Montana. This agreement is commonly used in business transactions, particularly in situations where one party intends to sell their interest in a company or property, and another party wishes to either purchase that interest or have the opportunity to match or refuse any third-party offer. The Right of First Refusal (ROAR) aspect of this agreement provides the holder, often an existing shareholder or co-owner, with the first opportunity to purchase the shares or property being offered for sale. If the holder decides to exercise their right of first refusal, they must match the price and other terms offered by the prospective buyer, ensuring that they maintain their ownership stake or control over the property. As for the Co-Sale Agreement, it is commonly included alongside the ROAR provision. This clause allows other existing shareholders or co-owners to join the sale, also known as "tagging along," and sell their interests proportionately to the primary seller. The purpose of the Co-Sale Agreement is to ensure that all parties have the opportunity to participate in the sale transaction, preventing any potential coercion or unfair exclusion. Different types of Montana Right of First Refusal and Co-Sale Agreements may vary based on the specifics of the transaction and the parties involved. Some of these agreements may be structured to apply only to shares in a company, while others may encompass real estate properties or other assets. Moreover, the terms and conditions, such as the duration of the right of first refusal, the method of exercising the right, and the triggering events for the co-sale provision, can all be tailored to suit the needs and preferences of the involved parties. In summary, a Montana Right of First Refusal and Co-Sale Agreement is a legal document that safeguards the interests of existing shareholders or co-owners in a sale transaction by granting them priority to purchase the offered shares or property. By including a Co-Sale Agreement, it ensures fair treatment of all parties involved, giving them the option to join the sale and sell their interests. These agreements can be customized depending on the nature of the transaction and the requirements of the involved parties.A Montana Right of First Refusal and Co-Sale Agreement is a legal document that outlines the rights and obligations of parties involved in a potential sale of shares or real estate property in the state of Montana. This agreement is commonly used in business transactions, particularly in situations where one party intends to sell their interest in a company or property, and another party wishes to either purchase that interest or have the opportunity to match or refuse any third-party offer. The Right of First Refusal (ROAR) aspect of this agreement provides the holder, often an existing shareholder or co-owner, with the first opportunity to purchase the shares or property being offered for sale. If the holder decides to exercise their right of first refusal, they must match the price and other terms offered by the prospective buyer, ensuring that they maintain their ownership stake or control over the property. As for the Co-Sale Agreement, it is commonly included alongside the ROAR provision. This clause allows other existing shareholders or co-owners to join the sale, also known as "tagging along," and sell their interests proportionately to the primary seller. The purpose of the Co-Sale Agreement is to ensure that all parties have the opportunity to participate in the sale transaction, preventing any potential coercion or unfair exclusion. Different types of Montana Right of First Refusal and Co-Sale Agreements may vary based on the specifics of the transaction and the parties involved. Some of these agreements may be structured to apply only to shares in a company, while others may encompass real estate properties or other assets. Moreover, the terms and conditions, such as the duration of the right of first refusal, the method of exercising the right, and the triggering events for the co-sale provision, can all be tailored to suit the needs and preferences of the involved parties. In summary, a Montana Right of First Refusal and Co-Sale Agreement is a legal document that safeguards the interests of existing shareholders or co-owners in a sale transaction by granting them priority to purchase the offered shares or property. By including a Co-Sale Agreement, it ensures fair treatment of all parties involved, giving them the option to join the sale and sell their interests. These agreements can be customized depending on the nature of the transaction and the requirements of the involved parties.
