Oklahoma Right of First Refusal Clause for Shareholders' Agreement

• Category: Corporations - Shareholders and Stock
• State: Multi-State
• Control #: US-01770
• Format: Word; Rich Text

Description

This is a model clause for a shareholder's agreement addressing Right of First Refusal. If a shareholder wishes to sell shares, the company will be given notice and has the right to buy the shares during a certain limited time period. Adapt to fit your circumstances. The Oklahoma Right of First Refusal Clause for Shareholders' Agreement is a crucial provision that outlines the rights and obligations of shareholders regarding the sale of shares in a corporation. This clause aims to protect the interests of existing shareholders by giving them the first opportunity to purchase shares being sold by a departing shareholder. By utilizing relevant keywords, such as "Oklahoma Right of First Refusal Clause," "Shareholders' Agreement," and "types," we can explore the different aspects and variations of this clause. In Oklahoma, the Right of First Refusal Clause empowers existing shareholders to maintain control and prevent external third parties from acquiring shares without offering the opportunity to existing shareholders first. This provision ensures that shareholders have the option to maintain their proportionate ownership in the corporation and avoid potential dilution of their shares. There are certain types or variations of the Right of First Refusal Clause applicable to Shareholders' Agreements in Oklahoma. These include: 1. Standard Right of First Refusal: This common type of clause allows existing shareholders to match any offer made by a potential buyer for the shares being sold. If a shareholder decides to sell their shares, they must first offer them to the other shareholders at the same price and terms, giving them the opportunity to purchase the shares before engaging with external buyers. 2. Right of First Offer: This variation grants existing shareholders the right to be the first to receive an offer to purchase shares instead of matching an existing offer. Once a shareholder expresses the intent to sell, they must inform other shareholders about the price and terms, allowing them to make an offer to buy the shares before exploring offers from external parties. 3. Right of First Negotiation: In this type of clause, shareholders have the first opportunity to negotiate with the selling shareholder before they engage with any outside offers. The selling shareholder must discuss their intention to sell, giving existing shareholders a chance to negotiate and potentially make a purchase offer on mutually agreeable terms. It's essential to carefully consider the specific type of Right of First Refusal Clause to be included in the Shareholders' Agreement, as it may significantly impact the control and ownership dynamics within the corporation. Seeking legal advice is highly recommended ensuring compliance with Oklahoma laws and to tailor the clause to address the unique needs and objectives of the shareholders.

The Oklahoma Right of First Refusal Clause for Shareholders' Agreement is a crucial provision that outlines the rights and obligations of shareholders regarding the sale of shares in a corporation. This clause aims to protect the interests of existing shareholders by giving them the first opportunity to purchase shares being sold by a departing shareholder. By utilizing relevant keywords, such as "Oklahoma Right of First Refusal Clause," "Shareholders' Agreement," and "types," we can explore the different aspects and variations of this clause. In Oklahoma, the Right of First Refusal Clause empowers existing shareholders to maintain control and prevent external third parties from acquiring shares without offering the opportunity to existing shareholders first. This provision ensures that shareholders have the option to maintain their proportionate ownership in the corporation and avoid potential dilution of their shares. There are certain types or variations of the Right of First Refusal Clause applicable to Shareholders' Agreements in Oklahoma. These include: 1. Standard Right of First Refusal: This common type of clause allows existing shareholders to match any offer made by a potential buyer for the shares being sold. If a shareholder decides to sell their shares, they must first offer them to the other shareholders at the same price and terms, giving them the opportunity to purchase the shares before engaging with external buyers. 2. Right of First Offer: This variation grants existing shareholders the right to be the first to receive an offer to purchase shares instead of matching an existing offer. Once a shareholder expresses the intent to sell, they must inform other shareholders about the price and terms, allowing them to make an offer to buy the shares before exploring offers from external parties. 3. Right of First Negotiation: In this type of clause, shareholders have the first opportunity to negotiate with the selling shareholder before they engage with any outside offers. The selling shareholder must discuss their intention to sell, giving existing shareholders a chance to negotiate and potentially make a purchase offer on mutually agreeable terms. It's essential to carefully consider the specific type of Right of First Refusal Clause to be included in the Shareholders' Agreement, as it may significantly impact the control and ownership dynamics within the corporation. Seeking legal advice is highly recommended ensuring compliance with Oklahoma laws and to tailor the clause to address the unique needs and objectives of the shareholders.