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and through 5:00 p.m. Eastern Time on the last date on which it may purchase Ordinary Shares such that the settlement of such purchase shall occur on or before the Record Date (the \u201cMarket Deadline\u201d), Subscriber shall (provided it is lawful to do so) have the right to purchase up to Twenty-Four Million U.S. Dollars ($24,000,000) of Ordinary Shares in the open market or in other privately negotiated transactions with third parties. On the date immediately following the Market Deadline and promptly at other times requested by the Company from time to time, Subscriber shall notify the Company in writing of the number of Ordinary Shares so purchased (the \u201cOpen Market Shares\u201d) and the aggregate purchase price paid therefor by the Subscriber.\n(b) Between the Market Deadline and the close of business on the third Trading Day prior to the Shareholder Meeting (the \u201cPrivate Purchase Deadline\u201d), if the Company reasonably believes in good faith that it will have less than Twenty-Four Million U.S. Dollars ($24,000,000) in Closing Proceeds (as defined below) after giving effect to any Open Market Shares previously purchased by the Subscriber pursuant to Section 2(a) hereof, it will promptly notify the Subscriber of the anticipated shortfall of Closing Proceeds below $24,000,000 (the \u201cExpected Shortfall\u201d), and Subscriber shall (provided it is lawful to do so) use its commercially reasonable efforts to purchase an amount of Ordinary Shares up to the Expected Shortfall in privately negotiated transactions with third parties, including forward contracts (such shares, the \u201cPrivate Purchase Shares\u201d and, together with the Open Market Shares, the \u201cMarket Shares\u201d), provided that: (i) such transactions settle no later than, and are conditioned upon, the Merger Closing and (ii) Subscriber shall not be required to purchase any Ordinary Shares at a price above $10.40 per share. Notwithstanding the foregoing, Subscriber shall be permitted (provided it is lawful to do so) prior to the Private Purchase Deadline to buy additional Ordinary Shares in such private transactions in excess of the Expected Shortfall, up to a total of $24,000,000 in total Market Shares. On the date immediately following the Private Purchase Deadline, and at such other times as may be requested by the Company from time to time, Subscriber shall (x) notify the Company in writing of the number of Private Purchase Shares so purchased and the aggregate purchase price paid therefor by Subscriber and (y) provide the Company, for all Private Purchase Shares acquired, all documentary evidence reasonably requested by the Company and its advisors (including its legal counsel) and its transfer agent and proxy solicitor to confirm that: (i) the Subscriber purchased, or has contracted to purchase, such shares, and (ii) the seller of such shares has provided to the Subscriber a representation that (A) the seller voted such shares in favor of the Merger and the other Shareholder Approval Matters and (B) the seller of such shares did not exercise its redemption or conversion rights for such shares in connection with the Shareholder Meeting or the Merger Closing. Notwithstanding the foregoing, and for the avoidance of doubt, if the Merger Agreement is terminated in accordance with its terms prior to the Merger Closing, then the Subscriber\u2019s obligations to purchase Ordinary Shares under this Section 2(b) will immediately terminate and be extinguished. For purposes of this Agreement, (i) \u201cClosing Proceeds\u201d means the sum of (A) the funds left in the Trust Account as of the Merger Closing, after giving effect to any redemptions or conversions by Public Stockholders, but before giving effect to the payment of any Transaction Expenses, plus (B) the amount of funds from any private placements of the Company\u2019s capital stock (or binding commitments therefor, other than the Subscriber\u2019s obligations in the Backstop Offering) occurring or to occur at or prior to the Merger Closing, and (ii) \u201cTrading Day\u201d shall mean a day during which trading in the Ordinary Shares generally occurs on the Nasdaq or, if the Ordinary Shares are not listed on the Nasdaq, on the principal other national or regional securities exchange on which the Ordinary Shares are then listed or, if the Ordinary Shares are not listed on a national or regional securities exchange, on the principal other market on which the Ordinary Shares are then listed or admitted for trading.", "hash": "db279138da7a1b223bddfe43a81df695", "id": 1}, {"snippet_links": [{"key": "no-party", "type": "clause", "offset": [0, 8]}, {"key": "board-members", "type": "clause", "offset": [27, 40]}, {"key": "other-party", "type": "definition", "offset": [120, 131]}, {"key": "injury-or-death", "type": "clause", "offset": [140, 155]}, {"key": "any-person", "type": "definition", "offset": [159, 169]}, {"key": "loss-or-damage", "type": "clause", "offset": [182, 196]}, {"key": "lost-profits", "type": "clause", "offset": [221, 233]}, {"key": "lost-revenues", "type": "clause", "offset": [235, 248]}, {"key": "use-of-facilities", "type": "clause", "offset": [269, 286]}, {"key": "lost-data", "type": "definition", "offset": [288, 297]}, {"key": "punitive-damages", "type": "definition", "offset": [366, 382]}, {"key": "caused-by", "type": "clause", "offset": [383, 392]}, {"key": "arising-out-of", "type": "definition", "offset": [396, 410]}, {"key": "any-action", "type": "definition", "offset": [411, 421]}, {"key": "failure-to-act", "type": "clause", "offset": [425, 439]}, {"key": "the-action", "type": "clause", "offset": [448, 458]}, {"key": "willful-action", "type": "clause", "offset": [508, 522]}, {"key": "provided-however", "type": "clause", "offset": [524, 540]}, {"key": "control-area-operator", "type": "clause", "offset": [561, 582]}, {"key": "indemnifying-party", "type": "definition", "offset": [589, 607]}, {"key": "hold-harmless", "type": "clause", "offset": [627, 640]}, {"key": "the-host", "type": "clause", "offset": [649, 657]}, {"key": "employees-and-agents", "type": "definition", "offset": [776, 796]}, {"key": "indemnified-parties", "type": "definition", "offset": [817, 836]}, {"key": "and-expenses", "type": "clause", "offset": [924, 936]}, {"key": "including-without-limitation", "type": "clause", "offset": [938, 966]}, {"key": "reasonable-legal-fees", "type": "clause", "offset": [967, 988]}, {"key": "at-any-time", "type": "clause", "offset": [1033, 1044]}, {"key": "to-this-agreement", "type": "clause", "offset": [1151, 1168]}, {"key": "except-to-the-extent", "type": "clause", "offset": [1170, 1190]}, {"key": "related-to", "type": "clause", "offset": [1191, 1201]}, {"key": "action-taken", "type": "clause", "offset": [1253, 1265]}, {"key": "by-a-party", "type": "clause", "offset": [1279, 1289]}, {"key": "injury-or-damage", "type": "clause", "offset": [1365, 1381]}, {"key": "reckless-disregard", "type": "definition", "offset": [1405, 1423]}], "samples": [{"hash": "fO054HlgHd4", "uri": "/contracts/fO054HlgHd4#backstop", "label": "Ace Diversity Interchange Agreement", "score": 21.0, "published": true}, {"hash": "4JpSsLLbd5r", "uri": "/contracts/4JpSsLLbd5r#backstop", "label": "Ace Diversity Interchange Agreement", "score": 21.0, "published": true}], "size": 2, "snippet": "No Party or its directors, board members, commissioners, officers, employees, or agents shall have any liability to any other Party for any injury or death to any person, or for any loss or damage to any property, or any lost profits, lost revenues or production, lost use of facilities, lost data, or any indirect, incidental, consequential, special, exemplary, or punitive damages caused by or arising out of any action or failure to act, unless the action or failure to act is caused by the other Party\u2019s Willful Action; provided however, each Participating Control Area Operator (the \u201cIndemnifying Party\u201d) shall indemnify, hold harmless and, at the Host\u2019s request, defend (with counsel satisfactory to the Host), the Host and its successors, assigns, officers, directors, employees and agents (collectively, the \u201cIndemnified Parties\u201d) from and against all liabilities, actions, claims, losses, costs, damages, penalties and expenses (including without limitation reasonable legal fees) of any kind or nature whatsoever which may at any time be brought against or incurred or suffered by the Indemnified Parties or any one or more of them relating to this Agreement, except to the extent related to the Host\u2019s Willful Action. Willful Action means an action taken or not taken by a Party that is knowingly or intentionally taken or not taken with the intent that injury or damage would result or with a reckless disregard for the result. Willful Action does not include any act or failure to act that is involuntary, accidental or negligent.", "hash": "f0ef753c2b23bba9423c979109b10f6e", "id": 8}, {"snippet_links": [{"key": "subject-to-and-in-accordance-with", "type": "clause", "offset": [0, 33]}, {"key": "the-terms-and-conditions", "type": "definition", "offset": [34, 58]}, {"key": "exercise-of", "type": "clause", "offset": [92, 103]}, {"key": "right-to-call", "type": "clause", "offset": [108, 121]}, {"key": "backstop-amount", "type": "definition", "offset": [126, 141]}, {"key": "section-23", "type": "clause", "offset": [155, 166]}, {"key": "at-the-closing", "type": "definition", "offset": [217, 231]}, {"key": "number-of-shares-of", "type": "clause", "offset": [241, 260]}, {"key": "convertible-preferred-stock", "type": "definition", "offset": [261, 288]}, {"key": "the-purchase-price", "type": "clause", "offset": [372, 390]}], "samples": [{"hash": "NYVVO2QtnI", "uri": "/contracts/NYVVO2QtnI#backstop", "label": "Backstop Commitment Agreement (NextDecade Corp.)", "score": 29.2765229295, "published": true}, {"hash": "4XRnaRGHYx4", "uri": "/contracts/4XRnaRGHYx4#backstop", "label": "Backstop Commitment Agreement (NextDecade Corp.)", "score": 29.2765229295, "published": true}, {"hash": "1cJpdnLwpO0", "uri": "/contracts/1cJpdnLwpO0#backstop", "label": "Backstop Commitment Agreement (NextDecade Corp.)", "score": 29.2765229295, "published": true}], "size": 8, "snippet": "Subject to and in accordance with the terms and conditions set forth herein, upon Company\u2019s exercise of its right to call the Backstop Amount set forth in Section 2.3, the Backstopper irrevocably commits to purchase, at the Closing, up to a number of shares of Convertible Preferred Stock (and accompanying Warrants) determined by dividing (i) the Backstop Amount by (ii) the Purchase Price (the \u201cCommitment\u201d).", "hash": "67235a1ac7c128c5ab52779de0fe8baa", "id": 3}, {"snippet_links": [{"key": "members-of-the", "type": "clause", "offset": [8, 22]}, {"key": "ad-hoc-group", "type": "definition", "offset": [23, 35]}, {"key": "new-super-senior-notes", "type": "definition", "offset": [73, 95]}], "samples": [{"hash": "h9Tfix4wla2", "uri": "/contracts/h9Tfix4wla2#backstop", "label": "Lock Up Agreement", "score": 29.5498146539, "published": true}, {"hash": "ii04WfkHWvA", "uri": "/contracts/ii04WfkHWvA#backstop", "label": "Lock Up Agreement", "score": 29.5306530808, "published": true}, {"hash": "bvT9KNw3MM9", "uri": "/contracts/bvT9KNw3MM9#backstop", "label": "Lock Up Agreement", "score": 29.5279157132, "published": true}], "size": 3, "snippet": "Certain members of the Ad Hoc Group will backstop the full Amount of the New Super Senior Notes.", "hash": "f07c9e169375a17675f0b423581c51f5", "id": 4}, {"snippet_links": [{"key": "terms-and", "type": "clause", "offset": [16, 25]}, {"key": "conditions-of-this-agreement", "type": "clause", "offset": [41, 69]}, {"key": "the-company-hereby", "type": "clause", "offset": [71, 89]}, {"key": "right-to-subscribe", "type": "clause", "offset": [115, 133]}, {"key": "and-exercise", "type": "clause", "offset": [138, 150]}, {"key": "in-connection-with", "type": "clause", "offset": [152, 170]}, {"key": "the-rights-offering", "type": "clause", "offset": [171, 190]}, {"key": "subscription-price", "type": "definition", "offset": [199, 217]}, {"key": "backstop-amount", "type": "definition", "offset": [222, 237]}, {"key": "following-the", "type": "definition", "offset": [273, 286]}, {"key": "date-of", "type": "clause", "offset": [298, 305]}, {"key": "the-registration-statement", "type": "clause", "offset": [342, 368]}, {"key": "the-company-and-the", "type": "clause", "offset": [394, 413]}, {"key": "subscription-agent", "type": "clause", "offset": [414, 432]}, {"key": "determine-the", "type": "clause", "offset": [463, 476]}, {"key": "notice-thereof", "type": "clause", "offset": [505, 519]}, {"key": "at-the-closing", "type": "definition", "offset": [538, 552]}, {"key": "agrees-to", "type": "clause", "offset": [575, 584]}, {"key": "other-stockholders", "type": "definition", "offset": [686, 704]}, {"key": "right-to-purchase", "type": "definition", "offset": [729, 746]}], "samples": [{"hash": "g7pLXvrDHPW", "uri": "/contracts/g7pLXvrDHPW#backstop", "label": "Backstop Agreement (Liberte Investors Inc)", "score": 18.0, "published": true}], "size": 3, "snippet": "Pursuant to the terms and subject to the conditions of this Agreement, the Company hereby offers \u2587\u2587\u2587\u2587\u2587\u2587'\u2587 \u2587\u2587\u2587\u2587 the right to subscribe for and exercise, in connection with the Rights Offering, at the Subscription Price the Backstop Amount. As soon as reasonably practicable following the expiration date of the Rights Offering as set forth in the Registration Statement (the \"EXPIRATION DATE\"), the Company and the subscription agent for the Rights Offering shall determine the Backstop Amount and provide notice thereof to \u2587\u2587\u2587\u2587\u2587\u2587'\u2587 \u2587\u2587\u2587\u2587. At the Closing, \u2587\u2587\u2587\u2587\u2587\u2587'\u2587 \u2587\u2587\u2587\u2587 hereby agrees to subscribe for and exercise, at the Subscription Price, the Backstop Amount (it being understood that other stockholders will not be offered the right to purchase any Rights that go unsubscribed in the Rights Offering).", "hash": "07bbb1f01698351ddda3a5da7b4b58c7", "id": 6}, {"snippet_links": [{"key": "terms-and", "type": "clause", "offset": [11, 20]}, {"key": "the-conditions", "type": "clause", "offset": [32, 46]}, {"key": "reliance-on-the-representations-and-warranties", "type": "clause", "offset": [72, 118]}, {"key": "in-this-agreement", "type": "clause", "offset": [129, 146]}, {"key": "preferred-backstop-investors", "type": "definition", "offset": [160, 188]}, {"key": "on-the-effective-date", "type": "clause", "offset": [243, 264]}, {"key": "the-company-hereby", "type": "clause", "offset": [270, 288]}, {"key": "to-sell", "type": "clause", "offset": [296, 303]}, {"key": "issue-to", "type": "definition", "offset": [308, 316]}, {"key": "backstop-purchase-price", "type": "definition", "offset": [363, 386]}, {"key": "backstop-percentage", "type": "definition", "offset": [401, 420]}, {"key": "unsubscribed-shares", "type": "definition", "offset": [428, 447]}, {"key": "offering-conditions", "type": "definition", "offset": [464, 483]}, {"key": "the-preferred-stock", "type": "clause", "offset": [485, 504]}, {"key": "pursuant-to-this-agreement", "type": "clause", "offset": [562, 588]}, {"key": "backstop-shares", "type": "clause", "offset": [651, 666]}, {"key": "for-the-avoidance-of-doubt", "type": "clause", "offset": [669, 695]}, {"key": "shares-of-preferred-stock", "type": "definition", "offset": [701, 726]}, {"key": "the-rights-offering", "type": "clause", "offset": [739, 758]}, {"key": "pursuant-to-section", "type": "definition", "offset": [759, 778]}, {"key": "purchase-and-sale-of-the", "type": "clause", "offset": [846, 870]}, {"key": "substantial-consummation-of-the-plan", "type": "clause", "offset": [969, 1005]}, {"key": "at-the-closing", "type": "definition", "offset": [1007, 1021]}, {"key": "payment-for-the", "type": "clause", "offset": [1023, 1038]}, {"key": "agreed-to", "type": "clause", "offset": [1097, 1106]}, {"key": "company-in", "type": "clause", "offset": [1193, 1203]}, {"key": "immediately-available-funds", "type": "clause", "offset": [1204, 1231]}, {"key": "delivery-by-the-company", "type": "clause", "offset": [1284, 1307]}, {"key": "and-delivery", "type": "clause", "offset": [1388, 1400]}, {"key": "the-agreements", "type": "clause", "offset": [1576, 1590]}, {"key": "other-documents-to-be-delivered", "type": "clause", "offset": [1622, 1653]}, {"key": "the-company-shall", "type": "clause", "offset": [1695, 1712]}, {"key": "in-accordance-with", "type": "definition", "offset": [1773, 1791]}, {"key": "section-103", "type": "clause", "offset": [1792, 1804]}], "samples": [{"hash": "9XXeEFrbNfI", "uri": "/contracts/9XXeEFrbNfI#backstop", "label": "Backstop Commitment Agreement", "score": 31.340862423, "published": true}, {"hash": "7SVcB30YcP3", "uri": "/contracts/7SVcB30YcP3#backstop", "label": "Restructuring Support and Forbearance Agreement (CAESARS ENTERTAINMENT Corp)", "score": 26.0349075975, "published": true}, {"hash": "6cqq965jmsl", "uri": "/contracts/6cqq965jmsl#backstop", "label": "Backstop Commitment Agreement (CAESARS ENTERTAINMENT Corp)", "score": 26.029431896, "published": true}], "size": 10, "snippet": "(a) On the terms and subject to the conditions contained herein, and in reliance on the representations and warranties set forth in this Agreement, each of the Preferred Backstop Investors hereby agrees, severally and not jointly, to purchase on the Effective Date, and the Company hereby agrees to sell and issue to each such Preferred Backstop Investor, at the Backstop Purchase Price therefor, its Backstop Percentage of the Unsubscribed Shares, subject to the Offering Conditions. The Preferred Stock which each of the Preferred Backstop Investors purchases pursuant to this Agreement are referred to herein as such Preferred Backstop Investor\u2019s \u201cBackstop Shares.\u201d For the avoidance of doubt, any shares of Preferred Stock acquired in the Rights Offering pursuant to Section 2.1(b) shall not be deemed Backstop Shares.\n(b) The closing of the purchase and sale of the Backstop Shares hereunder (the \u201cClosing\u201d) will occur on the Effective Date contemporaneously with substantial consummation of the Plan. At the Closing, payment for the Backstop Shares that each Preferred Backstop Investor has agreed to purchase shall be effected by each such Preferred Backstop Investor delivering to the Company in immediately available funds its respective Backstop Purchase Price (ii) against delivery by the Company of the Backstop Shares to which such Preferred Backstop Investor is entitled to and delivery to each Preferred Backstop Investor such certificates, documents or instruments required to be delivered by it to such Preferred Backstop Investor pursuant to this Agreement. The agreements, instruments, certificates and other documents to be delivered on the Effective Date by or on behalf of the Company shall be delivered to each applicable Preferred Backstop Investor in accordance with Section 10.3 hereof.", "hash": "10d71d6b08e27bfad3c44b5415824126", "id": 2}, {"snippet_links": [{"key": "terms-and", "type": "clause", "offset": [16, 25]}, {"key": "conditions-of-this-agreement", "type": "clause", "offset": [41, 69]}, {"key": "in-connection-with", "type": "clause", "offset": [71, 89]}, {"key": "the-rights-offering", "type": "clause", "offset": [90, 109]}, {"key": "the-company-hereby", "type": "clause", "offset": [111, 129]}, {"key": "company-common-stock", "type": "definition", "offset": [188, 208]}, {"key": "aggregate-value", "type": "definition", "offset": [219, 234]}, {"key": "equal-to", "type": "definition", "offset": [235, 243]}, {"key": "backstop-amount", "type": "definition", "offset": [248, 263]}, {"key": "price-per-share", "type": "definition", "offset": [269, 284]}, {"key": "subscription-price", "type": "definition", "offset": [298, 316]}, {"key": "following-the", "type": "definition", "offset": [352, 365]}, {"key": "date-of", "type": "clause", "offset": [377, 384]}, {"key": "the-registration-statement", "type": "clause", "offset": [421, 447]}, {"key": "the-company-and-the", "type": "clause", "offset": [473, 492]}, {"key": "subscription-agent", "type": "clause", "offset": [493, 511]}, {"key": "determine-the", "type": "clause", "offset": [542, 555]}, {"key": "notice-thereof", "type": "clause", "offset": [584, 598]}, {"key": "notice-date", "type": "definition", "offset": [612, 623]}, {"key": "at-the-closing", "type": "definition", "offset": [627, 641]}, {"key": "agrees-to", "type": "clause", "offset": [679, 688]}, {"key": "the-company-will", "type": "clause", "offset": [900, 916]}, {"key": "right-to-purchase-common-stock", "type": "clause", "offset": [936, 966]}, {"key": "in-respect-of", "type": "clause", "offset": [967, 980]}], "samples": [{"hash": "j2dWdvbQLDm", "uri": "/contracts/j2dWdvbQLDm#backstop", "label": "Backstop Agreement", "score": 31.340862423, "published": true}, {"hash": "dkIw9CqplHP", "uri": "/contracts/dkIw9CqplHP#backstop", "label": "Backstop Agreement (Jl Halsey Corp)", "score": 21.0, "published": true}, {"hash": "V1LNLCywBK", "uri": "/contracts/V1LNLCywBK#backstop", "label": "Backstop Agreement (Jl Halsey Corp)", "score": 21.0, "published": true}], "size": 3, "snippet": "Pursuant to the terms and subject to the conditions of this Agreement, in connection with the Rights Offering, the Company hereby offers LDN the right to purchase that number of shares of Company Common Stock having an aggregate value equal to the Backstop Amount at a price per share equal to the Subscription Price. As soon as reasonably practicable following the expiration date of the Rights Offering as set forth in the Registration Statement (the \u201cExpiration Date\u201d), the Company and the subscription agent for the Rights Offering shall determine the Backstop Amount and provide notice thereof to LDN (the \u201cNotice Date\u201d). At the Closing (as hereinafter defined), LDN hereby agrees to purchase that number of shares of Company Common Stock having an aggregate value equal to the Backstop Amount at a price per share equal to the Subscription Price (it being understood that other stockholders of the Company will not be offered the right to purchase Common Stock in respect of any Rights that go unsubscribed in the Rights Offering).", "hash": "a595f3ddf7e3ace7d992867451b778af", "id": 5}, {"snippet_links": [{"key": "terms-and", "type": "clause", "offset": [16, 25]}, {"key": "conditions-of-this-agreement", "type": "clause", "offset": [41, 69]}, {"key": "the-company-hereby", "type": "clause", "offset": [71, 89]}, {"key": "right-to-subscribe", "type": "clause", "offset": [105, 123]}, {"key": "and-exercise", "type": "clause", "offset": [128, 140]}, {"key": "in-connection-with", "type": "clause", "offset": [142, 160]}, {"key": "the-rights-offering", "type": "clause", "offset": [161, 180]}, {"key": "the-exercise-price", "type": "definition", "offset": [185, 203]}, {"key": "backstop-amount", "type": "definition", "offset": [209, 224]}, {"key": "following-the", "type": "definition", "offset": [260, 273]}, {"key": "date-of", "type": "clause", "offset": [285, 292]}, {"key": "the-registration-statement", "type": "clause", "offset": [329, 355]}, {"key": "by-the-company", "type": "clause", "offset": [386, 400]}, {"key": "subscription-agent", "type": "clause", "offset": [446, 464]}, {"key": "determine-the", "type": "clause", "offset": [495, 508]}, {"key": "notice-thereof", "type": "clause", "offset": [537, 551]}, {"key": "prior-to-the-closing", "type": "clause", "offset": [620, 640]}, {"key": "in-section-2", "type": "clause", "offset": [653, 665]}, {"key": "at-the-closing", "type": "definition", "offset": [668, 682]}, {"key": "agrees-to", "type": "clause", "offset": [695, 704]}, {"key": "other-stockholders", "type": "definition", "offset": [861, 879]}, {"key": "right-to-purchase", "type": "definition", "offset": [904, 921]}, {"key": "oversubscription-right", "type": "definition", "offset": [1002, 1024]}, {"key": "sole-discretion", "type": "clause", "offset": [1106, 1121]}], "samples": [{"hash": "aSMy8mj39Gc", "uri": "/contracts/aSMy8mj39Gc#backstop", "label": "Standby Purchase Agreement (dELiAs, Inc.)", "score": 21.0, "published": true}, {"hash": "2H4dv4gYQUL", "uri": "/contracts/2H4dv4gYQUL#backstop", "label": "Standby Purchase Agreement (Alloy  Inc)", "score": 21.0, "published": true}], "size": 2, "snippet": "Pursuant to the terms and subject to the conditions of this Agreement, the Company hereby offers MLF the right to subscribe for and exercise, in connection with the Rights Offering, at the Exercise Price, the Backstop Amount. As soon as reasonably practicable following the expiration date of the Rights Offering as set forth in the Registration Statement (as such date may be extended by the Company, the \u201cExpiration Date\u201d), the Company and the subscription agent for the Rights Offering shall determine the Backstop Amount and provide notice thereof to MLF, which notice shall be given at least five (5) business days prior to the Closing (as defined in Section 2). At the Closing, MLF hereby agrees to, or to cause one or more of the MLF Funds collectively to, subscribe for and exercise, at the Exercise Price, the Backstop Amount (it being understood that other stockholders will not be offered the right to purchase any Rights that go unsubscribed in the Rights Offering including by means of an oversubscription right) in such amounts as between MLF and each MLF Fund as MLF shall determine, in its sole discretion.", "hash": "6aedb8127ec11f4651d510affbb47336", "id": 7}, {"snippet_links": [{"key": "terms-and", "type": "clause", "offset": [7, 16]}, {"key": "the-conditions", "type": "clause", "offset": [28, 42]}, {"key": "in-this-agreement", "type": "clause", "offset": [53, 70]}, {"key": "to-sell", "type": "clause", "offset": [91, 98]}, {"key": "from-the-company", "type": "clause", "offset": [152, 168]}, {"key": "at-the-closing", "type": "definition", "offset": [170, 184]}, {"key": "series-a-shares", "type": "clause", "offset": [232, 247]}, {"key": "aggregate-purchase-price", "type": "definition", "offset": [254, 278]}, {"key": "price-per-share", "type": "definition", "offset": [324, 339]}, {"key": "annex-a", "type": "definition", "offset": [353, 360]}, {"key": "the-series", "type": "definition", "offset": [432, 442]}, {"key": "shares-to-be-purchased", "type": "clause", "offset": [445, 467]}, {"key": "by-the-investor", "type": "clause", "offset": [468, 483]}, {"key": "pursuant-to", "type": "definition", "offset": [484, 495]}, {"key": "purchased-securities", "type": "definition", "offset": [536, 556]}], "samples": [{"hash": "iun9vSxMwj2", "uri": "/contracts/iun9vSxMwj2#backstop", "label": "Investment Agreement (J.C. Flowers II L.P.)", "score": 21.0, "published": true}, {"hash": "8tXL8qFpxCT", "uri": "/contracts/8tXL8qFpxCT#backstop", "label": "Investment Agreement (MF Global Ltd.)", "score": 21.0, "published": true}], "size": 2, "snippet": "On the terms and subject to the conditions set forth in this Agreement, the Company agrees to sell to the Investor, and the Investor agrees to purchase from the Company, at the Closing (as hereinafter defined), the Actual Number of Series A Shares at an aggregate purchase price calculated by multiplying such number by the price per share specified on Annex A, subject to adjustment as provided in Section 1.3(b) (the \u201cPurchase\u201d). The Series A Shares to be purchased by the Investor pursuant to this Section 1.2 are herein called the \u201cPurchased Securities\u201d.", "hash": "6b14aca0cb645ae6a289ea3b92c7a6d4", "id": 9}, {"snippet_links": [{"key": "in-accordance-with", "type": "definition", "offset": [0, 18]}, {"key": "the-stock-purchase-agreement", "type": "clause", "offset": [19, 47]}, {"key": "the-terms-and-conditions", "type": "definition", "offset": [63, 87]}, {"key": "prior-to-the-effective-date", "type": "clause", "offset": [103, 130]}, {"key": "backstop-investors", "type": "definition", "offset": [136, 154]}, {"key": "unsubscribed-shares", "type": "definition", "offset": [174, 193]}, {"key": "backstop-fee", "type": "definition", "offset": [213, 225]}, {"key": "commitment-fee", "type": "definition", "offset": [235, 249]}, {"key": "payable-to", "type": "definition", "offset": [258, 268]}, {"key": "provide-for-a", "type": "definition", "offset": [352, 365]}, {"key": "pe-sponsors", "type": "definition", "offset": [394, 405]}, {"key": "equity-commitment-parties", "type": "definition", "offset": [422, 447]}, {"key": "equity-commitment-party", "type": "definition", "offset": [496, 519]}, {"key": "commitment-to-purchase", "type": "clause", "offset": [532, 554]}, {"key": "the-preferred-stock", "type": "clause", "offset": [555, 574]}, {"key": "offered-stock", "type": "definition", "offset": [582, 595]}], "samples": [{"hash": "hMhnKzRE2Ye", "uri": "/contracts/hMhnKzRE2Ye#backstop", "label": "Joinder Agreement (Hertz Corp)", "score": 32.2963723477, "published": true}, {"hash": "fcWBwfbhZQx", "uri": "/contracts/fcWBwfbhZQx#backstop", "label": "Plan Support Agreement (Hertz Corp)", "score": 32.2635181383, "published": true}], "size": 2, "snippet": "In accordance with the Stock Purchase Agreement and subject to the terms and conditions thereof, on or prior to the Effective Date, the Backstop Investors shall purchase the Unsubscribed Shares. There shall be no backstop fee or other commitment fee owed or payable to the Backstop Investors; provided, however, that the Stock Purchase Agreement shall provide for a break-up fee to each of the PE Sponsors and each of the Equity Commitment Parties in the amount of 3% of each of PE Sponsor\u2019s and Equity Commitment Party\u2019s aggregate commitment to purchase the Preferred Stock and/or Offered Stock, as applicable.", "hash": "16383a4ff1a0ee3750b81252b059c20d", "id": 10}], "next_curs": "ClESS2oVc35sYXdpbnNpZGVyY29udHJhY3Rzci0LEhZDbGF1c2VTbmlwcGV0R3JvdXBfdjU2IhFiYWNrc3RvcCMwMDAwMDAwYQyiAQJlbhgAIAA=", "clause": {"parents": [["backstop-commitment", "Backstop Commitment"], ["rights-offering-backstop-commitment-payment", "Rights Offering Backstop Commitment Payment"], ["participation-in-the-rights-offering-backstop", "Participation in the Rights Offering Backstop"], ["other", "Other"], ["material-terms-backstop-and-option", "Material Terms Backstop and Option"]], "title": "Backstop", "size": 82, "children": [["commitment-fee", "Commitment Fee"], ["utilization-fees", "Utilization Fees"], ["backstop-commitment", "Backstop Commitment"], ["delivery-of-funds", "Delivery of Funds"], ["notice", "Notice"]], "id": "backstop", "related": [["financing-commitment", "Financing Commitment", "Financing Commitment"], ["participation-in-future-financing", "Participation in Future Financing", "Participation in Future Financing"], ["debt-financing", "Debt Financing", "Debt Financing"], ["bank-financing", "Bank Financing", "Bank Financing"], ["commitment-to-issue-letters-of-credit", "Commitment to Issue Letters of Credit", "Commitment to Issue Letters of Credit"]], "related_snippets": [], "updated": "2025-07-07T12:37:48+00:00", "also_ask": ["What are the most effective negotiation levers when setting backstop terms?", "Which essential elements must a backstop clause include to ensure enforceability?", "What are the primary risks if the backstop provider defaults or withdraws?", "How do backstop provisions differ across jurisdictions or deal types?", "What arguments have courts used to uphold or strike down backstop clauses?"], "drafting_tip": "Specify the triggering events, set clear time limits, and define the parties' obligations to prevent disputes and ensure the backstop operates as intended.", "explanation": "A Backstop clause serves as a financial safety net in agreements, ensuring that a specified party will provide funding or fulfill obligations if other parties fail to do so. In practice, this clause is often used in financing arrangements, such as rights offerings, where an investor or underwriter commits to purchasing any unsubscribed shares to guarantee the success of the offering. The core function of a Backstop clause is to provide certainty and security to the transaction by mitigating the risk of insufficient participation or funding."}, "json": true, "cursor": ""}}