New Jersey Distribution Agreement regarding the continuous offering of the Trust's transferable shares of beneficial interest

• Category: Corporations - Public - Distribution
• State: Multi-State
• Control #: US-EG-9319
• Format: Word; Rich Text

Description

Distribution Agreement between Active Assets Premier Money Trust and Morgan Stanley Dean Witter Advisors, Inc. regarding the continuous offering of the Trust's transferable shares of beneficial interest (without par value) in order to promote the growth A New Jersey Distribution Agreement is a legal contract that outlines the terms and conditions between a trust and a distributor for the continuous offering of the trust's transferable shares of beneficial interest. This agreement establishes the rights and responsibilities of both parties involved in the distribution process. It ensures compliance with state laws and regulations while facilitating the ongoing sale of the trust's shares to investors. The New Jersey Distribution Agreement regarding the continuous offering of the Trust's transferable shares of beneficial interest typically includes the following key components: 1. Parties Involved: The agreement will clearly identify the trust or the trustees acting on behalf of the trust as the issuer, and the distributor responsible for selling the trust's shares to the public. 2. Purpose: The agreement will state that its primary purpose is to regulate the distribution of the trust's shares and ensure compliance with applicable laws and regulations. 3. Offering Procedures: The agreement will outline the specific procedures and guidelines for offering and selling the trust's shares to potential investors. It may include details on the distribution methods, sale restrictions, marketing materials, and investor eligibility criteria. 4. Compensation and Expenses: The agreement will address the compensation structure for the distributor, including commissions, fees, or any other forms of remuneration. It may also specify the allocation of expenses related to the distribution, such as marketing costs or regulatory fees. 5. Representations and Warranties: Both the trust and the distributor will likely make certain representations and warranties related to their authority to enter into the agreement, compliance with laws, and the accuracy of the information provided in the offering documents. 6. Indemnification: The agreement may include provisions for indemnification, whereby one party agrees to compensate the other for losses, damages, or liabilities arising from the distribution activities, subject to certain exceptions. 7. Duration and Termination: The agreement will specify the duration of the distribution arrangement and outline the circumstances under which it can be terminated by either party. This may include events such as material breach, insolvency, or regulatory non-compliance. Different types of New Jersey Distribution Agreements regarding the continuous offering of the Trust's transferable shares of beneficial interest can be categorized based on the nature of the trust or the specific distribution strategy employed. These may include: 1. Open-End Distribution Agreement: This agreement is used when the trust offers continuously redeemable shares, allowing investors to enter or exit the investment at any time. It establishes the framework for ongoing sales and redemptions, ensuring liquidity for investors. 2. Closed-End Distribution Agreement: In this type of agreement, the trust offers non-redeemable shares that are generally traded on stock exchanges. The agreement outlines the distribution strategy for selling a fixed number of shares during an initial public offering (IPO) or subsequent secondary offerings. 3. Private Placement Distribution Agreement: This agreement caters to the private placement of the trust's shares, targeting a specific group of investors through exemptions from certain securities regulations. It sets forth the terms and conditions for the limited offering to qualified investors. In conclusion, a New Jersey Distribution Agreement regarding the continuous offering of a trust's transferable shares of beneficial interest governs the ongoing distribution process and establishes the rights and obligations of the trust and its distributor. It ensures compliance with state regulations, defines compensation structures, and outlines the procedures for offering and selling the trust's shares to investors. The agreement may vary based on the type of trust and the distribution strategy employed, such as open-end, closed-end, or private placement offerings.

A New Jersey Distribution Agreement is a legal contract that outlines the terms and conditions between a trust and a distributor for the continuous offering of the trust's transferable shares of beneficial interest. This agreement establishes the rights and responsibilities of both parties involved in the distribution process. It ensures compliance with state laws and regulations while facilitating the ongoing sale of the trust's shares to investors. The New Jersey Distribution Agreement regarding the continuous offering of the Trust's transferable shares of beneficial interest typically includes the following key components: 1. Parties Involved: The agreement will clearly identify the trust or the trustees acting on behalf of the trust as the issuer, and the distributor responsible for selling the trust's shares to the public. 2. Purpose: The agreement will state that its primary purpose is to regulate the distribution of the trust's shares and ensure compliance with applicable laws and regulations. 3. Offering Procedures: The agreement will outline the specific procedures and guidelines for offering and selling the trust's shares to potential investors. It may include details on the distribution methods, sale restrictions, marketing materials, and investor eligibility criteria. 4. Compensation and Expenses: The agreement will address the compensation structure for the distributor, including commissions, fees, or any other forms of remuneration. It may also specify the allocation of expenses related to the distribution, such as marketing costs or regulatory fees. 5. Representations and Warranties: Both the trust and the distributor will likely make certain representations and warranties related to their authority to enter into the agreement, compliance with laws, and the accuracy of the information provided in the offering documents. 6. Indemnification: The agreement may include provisions for indemnification, whereby one party agrees to compensate the other for losses, damages, or liabilities arising from the distribution activities, subject to certain exceptions. 7. Duration and Termination: The agreement will specify the duration of the distribution arrangement and outline the circumstances under which it can be terminated by either party. This may include events such as material breach, insolvency, or regulatory non-compliance. Different types of New Jersey Distribution Agreements regarding the continuous offering of the Trust's transferable shares of beneficial interest can be categorized based on the nature of the trust or the specific distribution strategy employed. These may include: 1. Open-End Distribution Agreement: This agreement is used when the trust offers continuously redeemable shares, allowing investors to enter or exit the investment at any time. It establishes the framework for ongoing sales and redemptions, ensuring liquidity for investors. 2. Closed-End Distribution Agreement: In this type of agreement, the trust offers non-redeemable shares that are generally traded on stock exchanges. The agreement outlines the distribution strategy for selling a fixed number of shares during an initial public offering (IPO) or subsequent secondary offerings. 3. Private Placement Distribution Agreement: This agreement caters to the private placement of the trust's shares, targeting a specific group of investors through exemptions from certain securities regulations. It sets forth the terms and conditions for the limited offering to qualified investors. In conclusion, a New Jersey Distribution Agreement regarding the continuous offering of a trust's transferable shares of beneficial interest governs the ongoing distribution process and establishes the rights and obligations of the trust and its distributor. It ensures compliance with state regulations, defines compensation structures, and outlines the procedures for offering and selling the trust's shares to investors. The agreement may vary based on the type of trust and the distribution strategy employed, such as open-end, closed-end, or private placement offerings.