Binding Shares Sample Clauses
The Binding Shares clause establishes that certain shares are subject to specific obligations or restrictions that are legally enforceable among the parties involved. Typically, this clause ensures that shareholders cannot freely transfer, sell, or otherwise dispose of their shares without meeting agreed-upon conditions, such as obtaining consent from other shareholders or the company. By doing so, the clause maintains control over the ownership structure and prevents unwanted third parties from acquiring shares, thereby protecting the interests of existing stakeholders and ensuring stability within the company.
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Binding Shares. 5.1. This Agreement binds the common shares issued by the Company and owned by Shareholders mentioned in clause 3.3. above, as well as those resulting from potential share splitting and/or bonus imputed to said common shares ("Binding Shares").
5.2. Should one or more Shareholder(s), for any reason, become holder(s) of new Binding Shares, following this present date, pursuant to item 5.1 above, the Company, within ten (10) days as of the date of respective transaction, shall adopt the measures referred to in clause 12.6, in relation to the Custodian Bank for the Company's shares, so that to declare the binding nature of these new shares hereto.
5.3. The Binding Shares are subject to all provisions hereof, and any disposal of common shares carried out by Shareholders shall be deemed as a disposal of Binding Shares up to the limit of these same shares as specified in clause 5.1. above, regardless of the total volume of common shares that said Shareholders own upon said disposal.
Binding Shares