Certain stock disregarded Clause Samples
The 'Certain stock disregarded' clause defines circumstances under which specific shares of stock are not considered for particular legal or contractual purposes. In practice, this clause may apply to shares held by related parties, affiliates, or those acquired under certain conditions, effectively excluding them from calculations such as ownership thresholds or voting rights. By disregarding these shares, the clause helps prevent manipulation of control or compliance requirements, ensuring that only relevant stock is counted for the intended legal or business outcome.
Certain stock disregarded. For the purpose of treating a foreign incorporated entity as an inverted domestic corporation these shall not be taken into account in determining ownership:
(i) Stock held by members of the expanded affiliated group which includes the foreign incorporated entity; or
(ii) Stock of such entity which is sold in a public offering related to an acquisition described in section 835(b)(1) of the Homeland Security Act, 6 U.S.C. 395(b)(1).