US Legal Forms
Cross-Purchase Buy-Sell Agreement with Life Insurance to Fund...

Rhode Island Cross-Purchase Buy-Sell Agreement with Life Insurance to Fund Purchase of Deceased Partner's Interest -- Trustee to Administer Life Insurance Funds

Category:

Corporations - Cross Purchase

State:

Multi-State

Control #:

US-0927BG

Format:

Instant download

Description

A cross-purchase agreement sets forth how ownership in a business transfers if the owner dies, retires or becomes disabled. The parties to a cross-purchase agreement always include a seller and a buyer. Cross-purchase agreements aim to ensure that sellers (or their beneficiaries) receive and buyers pay a fair price for their interests. Some cross-purchase agreements use a dollar amount to calculate the buy-out price, while others use a formula. A valuation of the interest that is the subject of the agreement should be made periodically.

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