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There are two types of registration rights: demand and piggyback. Demand registration rights enable the stockholder to require the issuer to register all or a portion of its shares.

Piggy-back (law-government contracts) Piggy-back or piggybacking also applies to contracts issued by individual governmental entities that allow other jurisdictions to use the contract (i.e., to ?piggyback? on the contract terms and prices) they established.

?The offer or sale of any stock must be registered unless an exemption from registration is available.? When a private company issues preferred stock to investors, it does so under an exemption from registration (for those curious, the exemption is known as ?Regulation D?).

Demand registration rights enable the stockholder to require the issuer to register all or a portion of its shares. Piggyback registration rights allow a stockholder to include shares in a registration being effected by the issuer either for its own account or for the benefit of other selling stockholders.

The Holder waives any rights the Holder may have had with respect to registration of the Exchange Securities under the Securities Act and confirms that the Company is under no obligation to register the Securities pursuant to the Securities Act.

A registration right is a right entitling an investor who owns restricted stock to require that a company list the shares publicly so that the investor can sell them. Registration rights, if exercised, can force a privately-held company to become a publicly-traded company.

What are Registration Rights? Registration rights are control provisions that allow an investor to force the business to file a registration statement with the Securities and Exchange Commission (SEC) and state regulators. The Securities Act of 1933 regulates the transfer or sale of securities.