{"component": "clause", "props": {"groups": [{"snippet_links": [{"key": "to-provide", "type": "clause", "offset": [38, 48]}, {"key": "from-time-to-time", "type": "clause", "offset": [49, 66]}, {"key": "shares-of", "type": "clause", "offset": [87, 96]}, {"key": "series-or-class", "type": "clause", "offset": [101, 116]}, {"key": "right-to-convert", "type": "clause", "offset": [132, 148]}, {"key": "other-series", "type": "definition", "offset": [207, 219]}, {"key": "other-trusts", "type": "clause", "offset": [263, 275]}, {"key": "business-entities", "type": "definition", "offset": [300, 317]}, {"key": "class-of", "type": "definition", "offset": [334, 342]}, {"key": "the-foregoing", "type": "definition", "offset": [350, 363]}, {"key": "in-accordance-with", "type": "definition", "offset": [365, 383]}, {"key": "requirements-and-procedures", "type": "clause", "offset": [389, 416]}, {"key": "by-the-trustees", "type": "clause", "offset": [439, 454]}], "size": 296, "snippet": "The Trustees shall have the authority to provide from time to time that the holders of Shares of any Series or Class shall have the right to convert or exchange said Shares for or into Shares of one or more other Series or Classes or for interests in one or more other trusts, corporations, or other business entities (or a series or class of any of the foregoing) in accordance with such requirements and procedures as may be established by the Trustees from time to time.", "samples": [{"hash": "k7hd51oNxJB", "uri": "/contracts/k7hd51oNxJB#conversion-rights", "label": "Agreement and Declaration of Trust (American Funds Target Date Retirement Series)", "score": 36.9972610474, "published": true}, {"hash": "a3pJkXO1j0o", "uri": "/contracts/a3pJkXO1j0o#conversion-rights", "label": "Amended and Restated Agreement and Declaration of Trust (Capital Group Completion Fund Series)", "score": 36.6906242371, "published": true}, {"hash": "dxR0k6uU4di", "uri": "/contracts/dxR0k6uU4di#conversion-rights", "label": "Agreement and Declaration of Trust (Capital Group KKR Multi-Sector (Plus))", "score": 36.6550292969, "published": true}], "hash": "183890127f23b2ea86129a6ce1de794a", "id": 1}, {"snippet_links": [{"key": "the-holder", "type": "clause", "offset": [0, 10]}, {"key": "right-to-convert", "type": "clause", "offset": [26, 42]}, {"key": "interest-due", "type": "clause", "offset": [68, 80]}, {"key": "this-note", "type": "clause", "offset": [87, 96]}, {"key": "of-the-borrower", "type": "clause", "offset": [109, 124]}, {"key": "common-stock", "type": "definition", "offset": [127, 139]}], "size": 253, "snippet": "The Holder shall have the right to convert the principal amount and interest due under this Note into Shares of the Borrower's Common Stock as set forth below.", "samples": [{"hash": "gIERfLoaiCV", "uri": "/contracts/gIERfLoaiCV#conversion-rights", "label": "Subscription Agreement (Mooney Aerospace Group LTD)", "score": 18.0, "published": true}, {"hash": "dDN6Z5sAroI", "uri": "/contracts/dDN6Z5sAroI#conversion-rights", "label": "Securities Purchase Agreement (Vertex Interactive Inc)", "score": 18.0, "published": true}, {"hash": "8I5SQZ80gWL", "uri": "/contracts/8I5SQZ80gWL#conversion-rights", "label": "Subscription Agreement (Sanguine Corp)", "score": 18.0, "published": true}], "hash": "ca11594fc8f636248a783a4c33528211", "id": 2}, {"snippet_links": [{"key": "holders-of", "type": "clause", "offset": [4, 14]}, {"key": "series-preferred", "type": "definition", "offset": [19, 35]}, {"key": "with-respect-to", "type": "clause", "offset": [68, 83]}, {"key": "conversion-of", "type": "clause", "offset": [88, 101]}, {"key": "shares-of-common-stock", "type": "clause", "offset": [128, 150]}], "size": 36, "snippet": "The holders of the Series Preferred shall have the following rights with respect to the conversion of the Series Preferred into shares of Common Stock (the \u201cConversion Rights\u201d):", "samples": [{"hash": "5jhnYu8mXnK", "uri": "/contracts/5jhnYu8mXnK#conversion-rights", "label": "License Agreement (Mirum Pharmaceuticals, Inc.)", "score": 30.5140323639, "published": true}, {"hash": "dJznXkJxzgQ", "uri": "/contracts/dJznXkJxzgQ#conversion-rights", "label": "License Agreement (Mirum Pharmaceuticals, Inc.)", "score": 30.2922649384, "published": true}, {"hash": "k36kofxQ4nQ", "uri": "/contracts/k36kofxQ4nQ#conversion-rights", "label": "License Agreement (Lumena Pharmaceuticals, Inc.)", "score": 25.1587944031, "published": true}], "hash": "bb7fe53231be52fc13b9db397f4c6e90", "id": 7}, {"snippet_links": [{"key": "series-g-preferred-units", "type": "clause", "offset": [11, 35]}, {"key": "right-to-convert", "type": "clause", "offset": [51, 67]}, {"key": "a-portion", "type": "definition", "offset": [75, 84]}, {"key": "series-k-preferred-units", "type": "definition", "offset": [104, 128]}, {"key": "occurrence-of-a-change-of-control", "type": "clause", "offset": [171, 204]}, {"key": "prior-to-the", "type": "clause", "offset": [273, 285]}, {"key": "change-of-control-conversion-date", "type": "definition", "offset": [286, 319]}, {"key": "defined-in-section", "type": "clause", "offset": [324, 342]}, {"key": "notice-of", "type": "clause", "offset": [409, 418]}, {"key": "election-to-redeem", "type": "clause", "offset": [423, 441]}, {"key": "the-series", "type": "clause", "offset": [442, 452]}, {"key": "section-7", "type": "clause", "offset": [487, 496]}, {"key": "with-respect-to", "type": "clause", "offset": [555, 570]}, {"key": "the-units", "type": "clause", "offset": [571, 580]}, {"key": "payment-of-the-redemption-price", "type": "clause", "offset": [675, 706]}, {"key": "unpaid-distributions", "type": "definition", "offset": [727, 747]}, {"key": "subject-to", "type": "clause", "offset": [863, 873]}, {"key": "default-in-payment", "type": "definition", "offset": [879, 897]}, {"key": "number-of-series", "type": "clause", "offset": [921, 937]}, {"key": "change-of-control-conversion-right", "type": "definition", "offset": [982, 1016]}, {"key": "by-the-holder", "type": "clause", "offset": [1239, 1252]}, {"key": "common-unit-conversion-consideration", "type": "definition", "offset": [1347, 1383]}, {"key": "equal-to", "type": "definition", "offset": [1401, 1409]}, {"key": "lesser-of", "type": "definition", "offset": [1414, 1423]}, {"key": "the-product", "type": "clause", "offset": [1466, 1477]}, {"key": "liquidation-preference-amount", "type": "definition", "offset": [1505, 1534]}, {"key": "record-date", "type": "definition", "offset": [1759, 1770]}, {"key": "series-g-preferred-unit-distribution-payment-date", "type": "definition", "offset": [1853, 1902]}, {"key": "additional-amount", "type": "clause", "offset": [1921, 1938]}, {"key": "conversion-factor", "type": "clause", "offset": [2026, 2043]}, {"key": "in-effect", "type": "definition", "offset": [2053, 2062]}, {"key": "the-partnership-agreement", "type": "clause", "offset": [2081, 2106]}, {"key": "class-a-stock-price", "type": "definition", "offset": [2119, 2138]}, {"key": "class-c-stock-price", "type": "definition", "offset": [2142, 2161]}, {"key": "conversion-rate", "type": "clause", "offset": [2198, 2213]}, {"key": "unit-cap", "type": "definition", "offset": [2250, 2258]}, {"key": "in-the-case", "type": "clause", "offset": [2261, 2272]}, {"key": "each-case", "type": "definition", "offset": [2368, 2377]}, {"key": "certain-adjustments", "type": "clause", "offset": [2389, 2408]}, {"key": "no-fractional-common-units", "type": "clause", "offset": [2426, 2452]}, {"key": "conversion-of", "type": "clause", "offset": [2477, 2490]}, {"key": "common-units-to-be-issued", "type": "clause", "offset": [2568, 2593]}, {"key": "rounded-to", "type": "clause", "offset": [2624, 2634]}, {"key": "such-unit", "type": "definition", "offset": [2782, 2791]}, {"key": "a-holder-of-a", "type": "clause", "offset": [2867, 2880]}, {"key": "no-election", "type": "clause", "offset": [2911, 2922]}, {"key": "to-receive", "type": "definition", "offset": [2934, 2944]}, {"key": "upon-conversion", "type": "clause", "offset": [3038, 3053]}, {"key": "in-accordance-with", "type": "definition", "offset": [3054, 3072]}], "size": 26, "snippet": "Holders of Series G Preferred Units shall have the right to convert all or a portion of such Units into Series K Preferred Units or Common Units, as follows:\n(a) Upon the occurrence of a Change of Control, a holder of Series G Preferred Units shall have the right (unless, prior to the Change of Control Conversion Date (as defined in Section 8(e) below), the Partnership has provided or provides irrevocable notice of its election to redeem the Series G Preferred Units as described in Section 7 above, in which case such holder will only have the right with respect to the Units of Series G Preferred Units not called for redemption (unless the Partnership defaults in the payment of the redemption price and accumulated and unpaid distributions in which case such holder will again have a conversion right with respect to the Units of Series G Preferred Units subject to such default in payment)) to convert any whole number of Series G Preferred Units held by such holder (the \u201cChange of Control Conversion Right\u201d) into Series K Preferred Units or Common Units. Each Series G Preferred Unit shall be convertible on the Change of Control Conversion Date into the number of Series K Preferred Units or Common Units (whichever is elected by the holder of Series G Preferred Units) (the \u201cSeries K Preferred Unit Conversion Consideration\u201d and the \u201cCommon Unit Conversion Consideration,\u201d as applicable) equal to the lesser of (i) the quotient obtained by dividing (A) the product of (y) the $25.00 per Unit liquidation preference amount, plus an amount equal to all distributions (whether or not earned or declared) accrued and unpaid thereon to, but not including, the Change of Control Conversion Date (unless the Change of Control Conversion Date is after a record date for a Series G Preferred Unit distribution payment and prior to the corresponding Series G Preferred Unit distribution payment date, in which case no additional amount for such accumulated and unpaid distribution will be included in this sum) and (z) the Conversion Factor (as then in effect and as defined in the Partnership Agreement) by (B) the Class A Stock Price or Class C Stock Price, as applicable (such quotient, the \u201cConversion Rate\u201d); or (ii) [2.4679]3 (the \u201cSeries K Unit Cap\u201d) in the case of Series K Preferred Units and 2.4679 (the \u201cCommon Unit Cap\u201d) in the case of Common Units, in each case subject to certain adjustments described below. No fractional Common Units will be issued upon any conversion of Series G Preferred Units. Instead, the number of Series K Preferred Units or Common Units to be issued upon each conversion shall be rounded to the nearest whole number of Series K Preferred Units or Common Units, as applicable. A Series G Preferred Unit shall entitle its holder to convert such Unit into either, but not both, of Series K Preferred Units or Common Units. If a holder of a Series G Preferred Unit makes no election on whether to receive Series K Preferred Units or Common Units, such holder shall receive Series K Preferred Units upon conversion in accordance with this paragraph.", "samples": [{"hash": "70Ib9BhqfJB", "uri": "/contracts/70Ib9BhqfJB#conversion-rights", "label": "Merger Agreement (Brookfield Property Partners L.P.)", "score": 29.238193512, "published": true}, {"hash": "OTIw2qFpev", "uri": "/contracts/OTIw2qFpev#conversion-rights", "label": "Merger Agreement (Brookfield Asset Management Inc.)", "score": 29.2354545593, "published": true}, {"hash": "PiCoLQJEyI", "uri": "/contracts/PiCoLQJEyI#conversion-rights", "label": "Merger Agreement (GGP Inc.)", "score": 29.232717514, "published": true}], "hash": "fc422de614cd0577c67c848d728d39ba", "id": 9}, {"snippet_links": [{"key": "the-1940-act", "type": "clause", "offset": [47, 59]}, {"key": "to-provide", "type": "clause", "offset": [99, 109]}, {"key": "shares-of", "type": "clause", "offset": [126, 135]}, {"key": "series-or-class", "type": "clause", "offset": [140, 155]}, {"key": "right-to-convert", "type": "clause", "offset": [171, 187]}, {"key": "other-series", "type": "definition", "offset": [227, 239]}, {"key": "in-accordance-with", "type": "definition", "offset": [251, 269]}, {"key": "requirements-and-procedures", "type": "clause", "offset": [275, 302]}, {"key": "by-the-trustees", "type": "clause", "offset": [325, 340]}], "size": 219, "snippet": "Subject to compliance with the requirements of the 1940 Act, the Trustees shall have the authority to provide that holders of Shares of any Series or Class shall have the right to convert said Shares into Shares of one or more other Series or Classes in accordance with such requirements and procedures as may be established by the Trustees.", "samples": [{"hash": "36fqLAzepjh", "uri": "/contracts/36fqLAzepjh#conversion-rights", "label": "Agreement and Declaration of Trust (Capitol Series Trust)", "score": 32.9726219177, "published": true}, {"hash": "c7NCGGZUmLP", "uri": "/contracts/c7NCGGZUmLP#conversion-rights", "label": "Agreement and Declaration of Trust (Diamond Hill Funds)", "score": 30.1540050507, "published": true}, {"hash": "eKQp7zXamUh", "uri": "/contracts/eKQp7zXamUh#conversion-rights", "label": "Agreement and Declaration of Trust (Advisers Investment Trust)", "score": 26.9219703674, "published": true}], "hash": "c34126114a0f1d7fbefa7e623d1ef06f", "id": 3}, {"snippet_links": [{"key": "the-holder", "type": "clause", "offset": [0, 10]}, {"key": "right-to-convert", "type": "clause", "offset": [26, 42]}, {"key": "principal-due", "type": "definition", "offset": [47, 60]}, {"key": "this-note", "type": "clause", "offset": [67, 76]}, {"key": "of-the-borrower", "type": "clause", "offset": [89, 104]}, {"key": "common-stock", "type": "definition", "offset": [107, 119]}, {"key": "par-value-per-share", "type": "clause", "offset": [127, 146]}], "size": 83, "snippet": "The Holder shall have the right to convert the principal due under this Note into Shares of the Borrower's Common Stock, $.001 par value per share (\u201cCommon Stock\u201d) as set forth below.", "samples": [{"hash": "luX37NpTQ2i", "uri": "/contracts/luX37NpTQ2i#conversion-rights", "label": "Senior Secured Convertible Note (Advance Nanotech, Inc.)", "score": 19.0, "published": true}, {"hash": "lRmlAbGuuEt", "uri": "/contracts/lRmlAbGuuEt#conversion-rights", "label": "Secured Convertible Note (Kaire Holdings Inc)", "score": 19.0, "published": true}, {"hash": "k8KucbATuj6", "uri": "/contracts/k8KucbATuj6#conversion-rights", "label": "Secured Convertible Note (Kaire Holdings Inc)", "score": 19.0, "published": true}], "hash": "7397e0612f0c0f2b6c4eebb1028fdf5b", "id": 5}, {"snippet_links": [{"key": "the-1940-act", "type": "clause", "offset": [51, 63]}, {"key": "the-trustees", "type": "clause", "offset": [65, 77]}, {"key": "to-provide", "type": "clause", "offset": [103, 113]}, {"key": "holders-of-shares", "type": "clause", "offset": [119, 136]}, {"key": "right-to-convert", "type": "clause", "offset": [166, 182]}, {"key": "other-series", "type": "definition", "offset": [222, 234]}, {"key": "of-the-trust", "type": "clause", "offset": [262, 274]}, {"key": "series-of-shares", "type": "clause", "offset": [280, 296]}, {"key": "other-classes", "type": "clause", "offset": [382, 395]}, {"key": "each-case", "type": "definition", "offset": [573, 582]}, {"key": "in-accordance-with", "type": "definition", "offset": [583, 601]}, {"key": "requirements-and-procedures", "type": "clause", "offset": [607, 634]}, {"key": "number-of-shares-of", "type": "clause", "offset": [675, 694]}, {"key": "fractions-of-a-share", "type": "clause", "offset": [791, 811]}, {"key": "net-asset-value-per-share", "type": "definition", "offset": [838, 863]}, {"key": "for-purposes-of", "type": "clause", "offset": [864, 879]}, {"key": "sales-and-redemptions", "type": "clause", "offset": [880, 901]}, {"key": "conversion-date", "type": "clause", "offset": [933, 948]}, {"key": "class-of-shares", "type": "clause", "offset": [1027, 1042]}, {"key": "the-share", "type": "clause", "offset": [1125, 1134]}, {"key": "rights-of-the-holders", "type": "clause", "offset": [1245, 1266]}, {"key": "right-to-receive", "type": "clause", "offset": [1287, 1303]}, {"key": "number-of-target-shares", "type": "clause", "offset": [1308, 1331]}, {"key": "converting-shares", "type": "definition", "offset": [1347, 1364]}, {"key": "unpaid-dividends", "type": "definition", "offset": [1402, 1418]}, {"key": "certificates-representing-shares", "type": "clause", "offset": [1455, 1487]}, {"key": "resulting-from-the", "type": "clause", "offset": [1488, 1506]}, {"key": "until-certificates", "type": "definition", "offset": [1537, 1555]}, {"key": "received-by-the-trust", "type": "definition", "offset": [1608, 1629]}, {"key": "duly-endorsed", "type": "clause", "offset": [1643, 1656]}, {"key": "for-transfer", "type": "definition", "offset": [1657, 1669]}], "size": 77, "snippet": "(i) Subject to compliance with the requirements of the 1940 Act, the Trustees shall have the authority to provide that holders of Shares of any Series shall have the right to convert said Shares into Shares of one or more other Series, that holders of any Class of the Trust or a Series of Shares shall have the right to convert said Shares of such Class into Shares of one or more other Classes of the Trust or such Series, and that Shares of any Class of the Trust or a Series shall be automatically converted into Shares of another Class of the Trust or such Series, in each case in accordance with such requirements and procedures as the Trustees may establish.\n(ii) The number of Shares of into which a convertible Share shall convert shall equal the number (including for this purpose fractions of a Share) obtained by dividing the net asset value per Share for purposes of sales and redemptions of the converting Share on the Conversion Date by the net asset value per Share for purposes of sales and redemptions of the Class of Shares into which it is converting on the Conversion Date.\n(iii) On the Conversion Date, the Share converting into another share will cease to accrue dividends and will no longer be deemed outstanding and the rights of the holders thereof (except the right to receive the number of target Shares into which the converting Shares have been converted and declared but unpaid dividends to the Conversion Date) will cease. Certificates representing Shares resulting from the conversion need not be issued until certificates representing Shares converted, if issued, have been received by the Trust or its agent duly endorsed for transfer.", "samples": [{"hash": "lFUsflVPTiK", "uri": "/contracts/lFUsflVPTiK#conversion-rights", "label": "Agreement and Declaration of Trust (Van Kampen American Capital Government Target Fund)", "score": 18.0, "published": true}, {"hash": "kpyPUym9MFb", "uri": "/contracts/kpyPUym9MFb#conversion-rights", "label": "Agreement and Declaration of Trust (Van Kampen American Capital Limited Maturity Government Fund)", "score": 18.0, "published": true}, {"hash": "kKdgMTx8S8t", "uri": "/contracts/kKdgMTx8S8t#conversion-rights", "label": "Agreement and Declaration of Trust (American Capital Small Capitalization Fund Inc)", "score": 18.0, "published": true}], "hash": "0445bf4626a43c2f3fe032db1cc6b7c3", "id": 6}, {"snippet_links": [{"key": "the-holder", "type": "clause", "offset": [0, 10]}, {"key": "right-to-convert", "type": "clause", "offset": [26, 42]}, {"key": "interest-due", "type": "clause", "offset": [68, 80]}, {"key": "of-the-borrower", "type": "clause", "offset": [109, 124]}, {"key": "days-after", "type": "definition", "offset": [309, 319]}, {"key": "issuance-of-this-note", "type": "clause", "offset": [324, 345]}, {"key": "at-any-time", "type": "clause", "offset": [355, 366]}, {"key": "principal-portion", "type": "clause", "offset": [436, 453]}, {"key": "interest-accrued", "type": "definition", "offset": [505, 521]}, {"key": "notice-of-conversion", "type": "clause", "offset": [563, 583]}, {"key": "conversion-date", "type": "clause", "offset": [593, 608]}, {"key": "class-a-common-stock", "type": "definition", "offset": [655, 675]}, {"key": "date-of-issuance", "type": "definition", "offset": [716, 732]}, {"key": "capital-stock-of-borrower", "type": "clause", "offset": [764, 789]}, {"key": "stock-shall", "type": "definition", "offset": [806, 817]}, {"key": "the-conversion", "type": "clause", "offset": [879, 893]}, {"key": "defined-in-section", "type": "clause", "offset": [904, 922]}, {"key": "delivery-to-the-company", "type": "clause", "offset": [999, 1022]}, {"key": "a-notice", "type": "definition", "offset": [1026, 1034]}, {"key": "section-9", "type": "definition", "offset": [1066, 1075]}, {"key": "the-subscription-agreement", "type": "clause", "offset": [1079, 1105]}, {"key": "entered-into", "type": "clause", "offset": [1106, 1118]}, {"key": "relating-to", "type": "definition", "offset": [1150, 1161]}, {"key": "terms-of", "type": "definition", "offset": [1208, 1216]}, {"key": "request-for-conversion", "type": "definition", "offset": [1290, 1312]}, {"key": "borrower-shall", "type": "clause", "offset": [1314, 1328]}, {"key": "deliver-to", "type": "definition", "offset": [1339, 1349]}, {"key": "business-days", "type": "clause", "offset": [1378, 1391]}, {"key": "number-of-shares-of-common-stock", "type": "clause", "offset": [1422, 1454]}, {"key": "in-accordance-with", "type": "definition", "offset": [1493, 1511]}, {"key": "the-foregoing", "type": "definition", "offset": [1512, 1525]}, {"key": "election-of", "type": "clause", "offset": [1534, 1545]}, {"key": "the-company-will", "type": "clause", "offset": [1558, 1574]}, {"key": "interest-on-the-note", "type": "clause", "offset": [1602, 1622]}, {"key": "delivery-date", "type": "definition", "offset": [1691, 1704]}, {"key": "common-stock-to-be-issued", "type": "clause", "offset": [1773, 1798]}, {"key": "conversion-of-this-note", "type": "clause", "offset": [1809, 1832]}, {"key": "note-to", "type": "definition", "offset": [1948, 1955]}, {"key": "subject-to", "type": "clause", "offset": [1999, 2009]}, {"key": "conversion-price-per-share", "type": "definition", "offset": [2063, 2089]}, {"key": "base-price", "type": "clause", "offset": [2149, 2159]}, {"key": "closing-bid-prices", "type": "definition", "offset": [2228, 2246]}, {"key": "the-common-stock", "type": "clause", "offset": [2251, 2267]}, {"key": "prior-to", "type": "clause", "offset": [2301, 2309]}, {"key": "otc-bulletin-board", "type": "definition", "offset": [2361, 2379]}, {"key": "nasdaq-smallcap-market", "type": "definition", "offset": [2381, 2403]}, {"key": "nasdaq-national-market-system", "type": "definition", "offset": [2405, 2434]}, {"key": "american-stock-exchange", "type": "clause", "offset": [2436, 2459]}, {"key": "new-york-stock-exchange", "type": "clause", "offset": [2463, 2486]}, {"key": "at-the-time", "type": "clause", "offset": [2518, 2529]}, {"key": "exchange-or-market", "type": "clause", "offset": [2552, 2570]}, {"key": "principal-market", "type": "clause", "offset": [2598, 2614]}, {"key": "closing-price", "type": "definition", "offset": [2809, 2822]}, {"key": "the-bid", "type": "definition", "offset": [2848, 2855]}], "size": 114, "snippet": "The Holder shall have the right to convert the principal amount and interest due under this Note into Shares of the Borrower's Common Stock as set forth below.\n2.1. Conversion into the Borrower's Common Stock. -------------------------------------------\n(a) The Holder shall have the right from and after 120 days after the issuance of this Note and then at any time until this Note is fully paid, to convert any outstanding and unpaid principal portion of this Note, and/or at the Holder's election, the interest accrued on the Note, (the date of giving of such notice of conversion being a \"Conversion Date\") into fully paid and nonassessable shares of Class A common stock of Borrower as such stock exists on the date of issuance of this Note, or any shares of capital stock of Borrower into which such stock shall hereafter be changed or reclassified (the \"Common Stock\") at the conversion price, as defined in Section 2.1(b) hereof (the \"Conversion Price\"), determined as provided herein. Upon delivery to the Company of a Notice of Conversion, as described in Section 9 of the subscription agreement entered into between the Company and Holder relating to this Note (the \"Subscription Agreement\"), the terms of which are incorporated herein by this reference, of the Holder's written request for conversion, Borrower shall issue and deliver to the Holder within three (3) business days from the Conversion Date that number of shares of Common Stock for the portion of the Note converted in accordance with the foregoing. At the election of the Holder, the Company will deliver accrued but unpaid interest on the Note through the Conversion Date directly to the Holder on or before the Delivery Date (as defined in the Subscription Agreement). The number of shares of Common Stock to be issued upon each conversion of this Note shall be determined by dividing that portion of the principal (and interest, at the election of the Holder) of the Note to be converted, by the Conversion Price.\n(b) Subject to adjustment as provided in Section 2.1(c) hereof, the Conversion Price per share shall be at the election of the Holder: (i) $.35 (\"Maximum Base Price\"); or (ii) seventy percent (70%) of the average of the three lowest closing bid prices for the Common Stock for the thirty (30) trading days prior to but not including the Conversion Date, on the NASD OTC Bulletin Board, NASDAQ SmallCap Market, NASDAQ National Market System, American Stock Exchange or New York Stock Exchange (whichever of the foregoing is at the time the principal trading exchange or market for the Common Stock, the \"Principal Market\"), or if not then trading on a Principal Market, such other principal market or exchange where the Common Stock is listed or traded. If the Principal Market does not report bid prices, then the closing price shall be substituted for the bid price referred to in this Section 2.1(b)(ii) when determining the Conversion Price.", "samples": [{"hash": "iniMH6t6Ra6", "uri": "/contracts/iniMH6t6Ra6#conversion-rights", "label": "Subscription Agreement (Advanced Aerodynamics & Structures Inc/)", "score": 18.0, "published": true}, {"hash": "fo86H9WrEcW", "uri": "/contracts/fo86H9WrEcW#conversion-rights", "label": "Subscription Agreement (Advanced Aerodynamics & Structures Inc/)", "score": 18.0, "published": true}, {"hash": "6Y3ykYrN3KT", "uri": "/contracts/6Y3ykYrN3KT#conversion-rights", "label": "Subscription Agreement (Advanced Aerodynamics & Structures Inc/)", "score": 18.0, "published": true}], "hash": "117323a8cbdfafb9043c7fe1f2005251", "id": 4}, {"snippet_links": [{"key": "section-132", "type": "clause", "offset": [3, 15]}, {"key": "conversion-procedures", "type": "clause", "offset": [16, 37]}], "size": 30, "snippet": "66 Section 13.2 Conversion Procedures........................................................67", "samples": [{"hash": "bLtqU7F1Soi", "uri": "/contracts/bLtqU7F1Soi#conversion-rights", "label": "Merger Agreement (Ilm Ii Senior Living Inc /Va)", "score": 18.0, "published": true}, {"hash": "5YsLfPJLZ4z", "uri": "/contracts/5YsLfPJLZ4z#conversion-rights", "label": "Merger Agreement (Ilm Senior Living Inc /Va)", "score": 18.0, "published": true}], "hash": "53f4854fc5f7da39225ea5ceec873541", "id": 8}, {"snippet_links": [{"key": "stock-shall", "type": "definition", "offset": [44, 55]}, {"key": "the-right", "type": "clause", "offset": [61, 70]}, {"key": "to-convert", "type": "clause", "offset": [97, 107]}, {"key": "stock-of-the-corporation", "type": "clause", "offset": [142, 166]}, {"key": "at-any-time", "type": "clause", "offset": [167, 178]}, {"key": "from-time-to-time", "type": "clause", "offset": [183, 200]}, {"key": "the-following-terms-and-conditions", "type": "clause", "offset": [219, 253]}, {"key": "the-shares", "type": "clause", "offset": [259, 269]}, {"key": "principal-office-of-the-corporation", "type": "definition", "offset": [326, 361]}, {"key": "other-office", "type": "definition", "offset": [374, 386]}, {"key": "fully-paid", "type": "clause", "offset": [453, 463]}, {"key": "in-order-to", "type": "clause", "offset": [837, 848]}, {"key": "the-office", "type": "clause", "offset": [948, 958]}, {"key": "duly-endorsed", "type": "clause", "offset": [1034, 1047]}, {"key": "notice-to-the-corporation", "type": "clause", "offset": [1109, 1134]}, {"key": "prior-to-the", "type": "clause", "offset": [1295, 1307]}, {"key": "close-of-business", "type": "definition", "offset": [1308, 1325]}, {"key": "day-of", "type": "clause", "offset": [1333, 1339]}, {"key": "the-certificates", "type": "clause", "offset": [1357, 1373]}, {"key": "in-accordance-with", "type": "definition", "offset": [1405, 1423]}, {"key": "the-foregoing", "type": "definition", "offset": [1424, 1437]}, {"key": "persons-entitled", "type": "clause", "offset": [1468, 1484]}, {"key": "to-receive", "type": "definition", "offset": [1485, 1495]}, {"key": "the-common-stock", "type": "clause", "offset": [1496, 1512]}, {"key": "all-purposes", "type": "definition", "offset": [1564, 1576]}, {"key": "holder-or-holders", "type": "definition", "offset": [1591, 1608]}, {"key": "conversion-date", "type": "clause", "offset": [1687, 1702]}, {"key": "certificates-for-the", "type": "clause", "offset": [1782, 1802]}, {"key": "number-of-full", "type": "clause", "offset": [1803, 1817]}, {"key": "payment-in-lieu-of", "type": "clause", "offset": [1886, 1904]}, {"key": "fraction-of-a-share", "type": "clause", "offset": [1909, 1928]}, {"key": "preferential-dividends", "type": "clause", "offset": [2010, 2032]}, {"key": "pursuant-to-section", "type": "definition", "offset": [2033, 2052]}, {"key": "converted-shares", "type": "definition", "offset": [2061, 2077]}, {"key": "date-of-conversion", "type": "definition", "offset": [2135, 2153]}, {"key": "fractional-shares-of-common-stock", "type": "clause", "offset": [2360, 2393]}, {"key": "conversion-of-shares", "type": "clause", "offset": [2415, 2435]}, {"key": "in-respect-of", "type": "clause", "offset": [2571, 2584]}, {"key": "equal-to", "type": "definition", "offset": [2612, 2620]}, {"key": "the-fair-market-value", "type": "clause", "offset": [2638, 2659]}, {"key": "board-of-directors-of-the-corporation", "type": "clause", "offset": [2682, 2719]}, {"key": "stock-on", "type": "definition", "offset": [2742, 2750]}, {"key": "of-securities", "type": "clause", "offset": [2879, 2892]}, {"key": "the-series", "type": "clause", "offset": [2925, 2935]}, {"key": "certain-events", "type": "clause", "offset": [3025, 3039]}, {"key": "issuance-date", "type": "clause", "offset": [3066, 3079]}, {"key": "in-case-of", "type": "clause", "offset": [3142, 3152]}, {"key": "change-of", "type": "clause", "offset": [3177, 3186]}, {"key": "exercise-of-the", "type": "clause", "offset": [3224, 3239]}, {"key": "change-in-par-value", "type": "clause", "offset": [3272, 3291]}, {"key": "subdivision-or-combination", "type": "clause", "offset": [3382, 3408]}, {"key": "consolidation-or-merger", "type": "clause", "offset": [3429, 3452]}, {"key": "other-entity", "type": "definition", "offset": [3508, 3520]}, {"key": "the-surviving-corporation", "type": "clause", "offset": [3611, 3636]}, {"key": "the-holders", "type": "clause", "offset": [3939, 3950]}, {"key": "successor-corporation", "type": "clause", "offset": [4024, 4045]}, {"key": "constituent-documents", "type": "definition", "offset": [4085, 4106]}, {"key": "right-to", "type": "definition", "offset": [4213, 4221]}, {"key": "shares-of-stock", "type": "definition", "offset": [4409, 4424]}, {"key": "other-securities", "type": "definition", "offset": [4426, 4442]}, {"key": "a-holder", "type": "definition", "offset": [4537, 4545]}, {"key": "one-share", "type": "definition", "offset": [4549, 4558]}, {"key": "common-stock-issuable-upon-conversion", "type": "clause", "offset": [4562, 4599]}, {"key": "provide-for", "type": "definition", "offset": [4839, 4850]}, {"key": "the-provisions-of-this", "type": "clause", "offset": [4982, 5004]}, {"key": "consolidations-or-mergers", "type": "clause", "offset": [5089, 5114]}, {"key": "at-the-effective-date", "type": "clause", "offset": [5309, 5330]}, {"key": "record-of", "type": "clause", "offset": [5402, 5411]}, {"key": "for-the-purpose-of", "type": "definition", "offset": [5429, 5447]}, {"key": "record-date", "type": "definition", "offset": [5485, 5496]}, {"key": "distribution-of", "type": "clause", "offset": [5665, 5680]}, {"key": "in-effect", "type": "definition", "offset": [6026, 6035]}, {"key": "shares-of-common-stock-outstanding", "type": "definition", "offset": [6238, 6272]}, {"key": "dividend-or-distribution", "type": "definition", "offset": [6296, 6320]}, {"key": "in-the-event", "type": "clause", "offset": [6327, 6339]}, {"key": "cash-for-fractional-shares", "type": "clause", "offset": [6366, 6392]}, {"key": "number-of-additional-shares", "type": "definition", "offset": [6398, 6425]}, {"key": "in-connection-with", "type": "clause", "offset": [6505, 6523]}, {"key": "for-purposes-hereof", "type": "definition", "offset": [6687, 6706]}, {"key": "directly-or-indirectly", "type": "clause", "offset": [6811, 6833]}, {"key": "the-account", "type": "clause", "offset": [6858, 6869]}, {"key": "whenever-the-conversion", "type": "clause", "offset": [6914, 6937]}, {"key": "adjusted-conversion-rate", "type": "definition", "offset": [7009, 7033]}, {"key": "section-6", "type": "definition", "offset": [7058, 7067]}, {"key": "be-prepared", "type": "clause", "offset": [7087, 7098]}, {"key": "by-the-corporation", "type": "clause", "offset": [7120, 7138]}, {"key": "the-facts", "type": "clause", "offset": [7227, 7236]}, {"key": "holders-of-record", "type": "clause", "offset": [7328, 7345]}, {"key": "outstanding-shares", "type": "definition", "offset": [7349, 7367]}, {"key": "at-all-times", "type": "clause", "offset": [7427, 7439]}, {"key": "preemptive-rights", "type": "clause", "offset": [7478, 7495]}, {"key": "all-shares", "type": "clause", "offset": [7711, 7721]}, {"key": "all-taxes", "type": "clause", "offset": [7805, 7814]}, {"key": "delivery-of-shares-of-common-stock", "type": "clause", "offset": [7865, 7899]}, {"key": "to-pay", "type": "clause", "offset": [8017, 8023]}, {"key": "issuance-and-delivery-of-shares", "type": "clause", "offset": [8096, 8127]}, {"key": "satisfaction-of", "type": "clause", "offset": [8429, 8444]}, {"key": "any-person", "type": "definition", "offset": [8570, 8580]}, {"key": "affiliate-of", "type": "definition", "offset": [8616, 8628]}, {"key": "enron-corp", "type": "clause", "offset": [8665, 8675]}, {"key": "administrative-agent", "type": "clause", "offset": [8760, 8780]}, {"key": "designated-holder", "type": "definition", "offset": [8791, 8808]}, {"key": "convertible-preferred-stock", "type": "clause", "offset": [8954, 8981]}, {"key": "par-value-per-share", "type": "clause", "offset": [9007, 9026]}, {"key": "series-b-preferred-stock", "type": "definition", "offset": [9033, 9057]}, {"key": "upon-registration", "type": "clause", "offset": [9061, 9078]}, {"key": "transfer-of-shares", "type": "definition", "offset": [9086, 9104]}, {"key": "a-designated", "type": "clause", "offset": [9158, 9170]}, {"key": "transfer-agent-shall", "type": "clause", "offset": [9202, 9222]}, {"key": "issue-to", "type": "clause", "offset": [9223, 9231]}, {"key": "the-transferee", "type": "clause", "offset": [9232, 9246]}, {"key": "number-of-series", "type": "clause", "offset": [9274, 9290]}, {"key": "for-transfer", "type": "definition", "offset": [9388, 9400]}], "size": 25, "snippet": "Each holder of shares of Series A Preferred Stock shall have the right, at such holder's option, to convert such shares into shares of Common Stock of the Corporation at any time and from time to time on and subject to the following terms and conditions:\n(a) The shares of Series A Preferred Stock shall be convertible at the principal office of the Corporation and at such other office or offices, if any, as the Board of Directors may designate, into fully paid and non-assessable shares (calculated as to each conversion to the nearest 1/100th of a share) of Common Stock, at the Conversion Rate, as hereinafter defined, subject to adjustment as provided herein. The \"Conversion Rate,\" which represents the number of shares of Common Stock into which each share of Series A Preferred Stock is convertible, shall initially be one.\n(b) In order to convert shares of Series A Preferred Stock into Common Stock the holder thereof shall surrender at the office or offices hereinabove mentioned the certificate or certificates therefor, duly endorsed or assigned to the Corporation or in blank, and give written notice to the Corporation at said office or offices that such holder elects to convert such shares. Shares of Series A Preferred Stock shall be deemed to have been converted immediately prior to the close of business on the day of the surrender of the certificates for such shares for conversion in accordance with the foregoing provisions, and the person or persons entitled to receive the Common Stock issuable upon such conversion shall be treated for all purposes as the record holder or holders of such Common Stock at such time. As promptly as practicable on or after the conversion date, the Corporation shall issue and shall deliver at such office a certificate or certificates for the number of full shares of Common Stock issuable upon such conversion, together with payment in lieu of any fraction of a share, as hereinafter provided, to the person or persons entitled to receive the same. Preferential dividends pursuant to Section 4(a) on converted shares of Series A Preferred Stock shall cease to accrue on the date of conversion, and all such dividends that have accrued as of the date of conversion but have not been paid shall be payable on the date such dividends would have been payable if such conversion had not occurred.\n(c) No fractional shares of Common Stock shall be issued upon conversion of shares of Series A Preferred Stock, but, instead of any fraction of a share which would otherwise be issuable, the Corporation shall pay cash in respect of such fraction in an amount equal to such fraction of the fair market value (as determined by the Board of Directors of the Corporation) of a share of Common Stock on the date on which the certificate or certificates for such shares were duly surrendered for conversion.\n(d) The number and kind of securities issuable upon the conversion of the Series A Preferred Stock shall be subject to adjustment from time to time upon the happening of certain events occurring on or after the Issuance Date of the shares of the Series A Preferred Stock as follows:\n(i) In case of any reclassification or change of outstanding securities issuable upon exercise of the conversion rights (other than a change in par value, or from par value to no par value, or from no par value to par value or as a result of a subdivision or combination), or in case of any consolidation or merger of the Corporation with or into another corporation or other entity (other than a merger with another corporation or other entity in which the Corporation is the surviving corporation and which does not result in any reclassification or change -- other than a change in par value, or from par value to no par value, or from no par value to par value, or as a result of a subdivision or combination -- of outstanding securities issuable upon conversion of the Series A Preferred Stock), the holders of the Series A Preferred Stock shall have, and the Corporation, or such successor corporation or other entity, shall covenant in the constituent documents effecting any of the foregoing transactions that the holders of the Series A Preferred Stock do have, the right to obtain upon conversion of the Series A Preferred Stock, in lieu of each share of Common Stock theretofore issuable upon conversion of the Series A Preferred Stock, the kind and amount of shares of stock, other securities, money and property receivable upon such reclassification, change, consolidation or merger by a holder of one share of Common Stock issuable upon conversion of the Series A Preferred Stock as if the conversion had occurred immediately prior to such reclassification, change, consolidation or merger. The constituent documents effecting any reclassification, change, consolidation or merger shall provide for any adjustments which shall be as nearly equivalent as may be practicable to the adjustments provided in this subparagraph (d)(i). The provisions of this subparagraph (d)(i) shall similarly apply to successive reclassifications, changes, consolidations or mergers.\n(ii) If the Corporation at any time while any of the Series A Preferred Stock is outstanding, shall subdivide or combine its Common Stock, the Conversion Rate shall be proportionately adjusted at the effective date of such subdivision or combination, or if the Corporation shall take a record of its Common Stock for the purpose of so subdividing or combining, at such record date, whichever is earlier.\n(iii) If the Corporation at any time while any of the Series A Preferred Stock is outstanding shall pay a dividend payable in, or make any other distribution of, Common Stock, the Conversion Rate shall be adjusted, at the date the Corporation shall take a record of the holders of its Common Stock for the purpose of receiving such dividend or other distribution (or if no such record is taken, at the date of such payment or other distribution), to that rate determined by multiplying the Conversion Rate in effect immediately prior to such record date (or if no such record is taken, then immediately prior to such payment or other distribution) by a fraction (1) the numerator of which shall be the total number of shares of Common Stock outstanding immediately after such dividend or distribution plus, in the event that the Corporation paid cash for fractional shares, the number of additional shares which would have been outstanding had the Corporation issued fractional shares in connection with said dividend and (2) the denominator of which shall be the total number of shares of Common Stock outstanding immediately prior to such dividend or distribution. For purposes hereof, the number of shares of Common Stock at any time outstanding shall not include any shares thereof then directly or indirectly owned or held by or for the account of the Corporation or its subsidiaries.\n(e) Whenever the Conversion Rate is adjusted as herein provided, the Corporation shall compute the adjusted Conversion Rate in accordance with this Section 6 and shall cause to be prepared a certificate signed by the Corporation's treasurer setting forth the adjusted Conversion Rate and showing in reasonable detail the facts upon which such adjustment is based, and such certificate shall forthwith be mailed to the holders of record of outstanding shares of the Series A Preferred Stock.\n(f) The Corporation shall at all times reserve and keep available, free from preemptive rights, out of its authorized but unissued Common Stock, for the purpose of issuance upon conversion of shares of Series A Preferred Stock, the full number of shares of Common Stock then deliverable upon the conversion of all shares of Series A Preferred Stock then outstanding.\n(g) The Corporation will pay any and all taxes that may be payable in respect of the issuance or delivery of shares of Common Stock on conversion of shares of Series A Preferred Stock pursuant hereto. The Corporation shall not, however, be required to pay any tax which may be payable in respect of any transfer involved in the issuance and delivery of shares of Common Stock in a name other than that in which the shares of Series A Preferred Stock so converted were registered, and no such issuance or delivery shall be made unless and until the person requesting such issuance has paid to the Corporation the amount of any such tax or has established to the satisfaction of the Corporation that such tax has been paid.\n(h) Concurrently with the transfer of any shares of Series A Preferred Stock to any person (other than any direct or indirect affiliate of JEDI or any other entity managed by Enron Corp. or any of its affiliates or for which Enron Corp. or one of its affiliates acts as administrative agent) (each a \"Designated Holder\"), the shares of Series A Preferred Stock so transferred shall automatically be converted into a like number of shares of Series B Participating Convertible Preferred Stock of the Corporation, $.01 par value per share (the \"Series B Preferred Stock\"). Upon registration of any transfer of shares of Series A Preferred Stock to any person other than a Designated Holder, the Corporation or its transfer agent shall issue to the transferee a certificate representing number of Series B Preferred Stock which is equal to the number of shares of Series A Preferred Stock surrendered for transfer.", "samples": [{"hash": "jLPSdtAvXKA", "uri": "/contracts/jLPSdtAvXKA#conversion-rights", "label": "Securities Purchase Agreement (Queen Sand Resources Inc)", "score": 18.0, "published": true}], "hash": "e3dd37144d836c93628b71320a07b666", "id": 10}], "next_curs": "CloSVGoVc35sYXdpbnNpZGVyY29udHJhY3RzcjYLEhZDbGF1c2VTbmlwcGV0R3JvdXBfdjU2Ihpjb252ZXJzaW9uLXJpZ2h0cyMwMDAwMDAwYQyiAQJlbhgAIAA=", "clause": {"children": [["", ""], ["stock-splits-combinations-and-dividends", "Stock Splits, Combinations and Dividends"], ["reclassification-etc", "Reclassification, etc"], ["share-issuance", "Share Issuance"], ["mechanics-of-conversion", "Mechanics of Conversion"]], "parents": [["miscellaneous", "Miscellaneous"], ["beneficial-interest", "Beneficial Interest"], ["shares", "Shares"], ["definitions", "Definitions"], ["governing-law-miscellaneous", "Governing Law Miscellaneous"]], "size": 3117, "title": "Conversion Rights", "id": "conversion-rights", "related": [["conversion-right", "Conversion Right", "Conversion Right"], ["no-conversion-rights", "No Conversion Rights", "No <strong>Conversion Rights</strong>"], ["exercise-of-conversion-right", "Exercise of Conversion Right", "Exercise of Conversion Right"], ["holders-conversion-rights", "Holders Conversion Rights", "Holders <strong>Conversion Rights</strong>"], ["conversion-privilege-and-conversion-price", "Conversion Privilege and Conversion Price", "Conversion Privilege and Conversion Price"]], "related_snippets": [], "updated": "2026-04-25T04:25:46+00:00", "also_ask": ["What are the most negotiable terms within typical conversion rights clauses?", "Which drafting elements are essential to prevent ambiguity or future disputes?", "What are the primary risks if conversion mechanics or triggers are poorly defined?", "How do conversion rights in this agreement compare to market standards or statutory defaults?", "What factors most influence a court\u2019s willingness to enforce or invalidate a conversion right?"], "drafting_tip": "Specify conversion triggers and procedures to prevent disputes; define conversion ratios to ensure clarity; address notice requirements to facilitate timely execution.", "explanation": "The Conversion Rights clause defines the conditions under which one type of security or financial instrument can be converted into another, typically shares of common stock. This clause outlines the specific terms, such as conversion ratios, timing, and any triggers or limitations that apply to the conversion process. For example, preferred shares may be converted into common shares at a predetermined rate upon a qualifying event like an IPO or acquisition. The core function of this clause is to provide investors with flexibility and potential upside by allowing them to change their investment form under certain circumstances, thereby aligning interests and managing risk."}, "json": true, "cursor": ""}}