Common use of Exempt Securities Clause in Contracts

Exempt Securities. The right of first refusal established by this Section 6 shall not apply to (a) any transfer or transfers by any Stockholder which, in the aggregate, over the term of this Agreement, amount to no more than one hundred thousand (100,000) Shares (as adjusted for stock splits, stock dividends and the like) held by such stockholder, (b) any pledge of Shares made pursuant to a bona fide loan transaction with a financial institution that creates a mere security interest or to the foreclosure of such pledge, (c) any transfer to the ancestors, descendants or spouse or to trusts, limited partnerships or limited liabilities companies established for the benefit of such persons or the selling stockholder, or (d) any bona fide gift (those items set forth in (a), (b), (c) and (d) above, the "EXEMPT SECURITIES"); PROVIDED, THAT, in the event of any pledge or transfer of Exempt Securities, the pledgee, transferee or donee shall furnish the Company with a written agreement to be bound by and comply with all provisions of this Agreement.