EXERCISABILITY OF RIGHTS Clause Samples
The "Exercisability of Rights" clause defines when and how a party may exercise the rights granted to them under an agreement. Typically, this clause clarifies whether rights can be exercised immediately, are subject to certain conditions, or may only be used within specific timeframes or upon the occurrence of particular events. For example, it may state that a party can enforce a right only after providing written notice or upon the fulfillment of contractual obligations. The core function of this clause is to provide certainty and structure around the use of contractual rights, preventing disputes over timing or conditions of their exercise.
EXERCISABILITY OF RIGHTS. The Rights are not exercisable until the Distribution Date. The Rights will expire on _______ __, 2017 (the “Final Expiration Date”), unless the Final Expiration Date is extended or unless the Rights are previously redeemed, exchanged or terminated as described below. Until a Right is exercised, the holder thereof, as such, will have no rights as a stockholder of the Company, including, without limitation, the right to vote or to receive dividends. The Purchase Price payable, and the number of Preferred Shares or other securities or property issuable or payable, upon exercise of the Rights are subject to adjustment from time to time to prevent dilution. The number of outstanding Rights and the number of one one- thousandths of a Preferred Share issuable upon exercise of each Right are also subject to adjustment in the event of a stock split of the Common Shares or a stock dividend on the Common Shares payable in Common Shares, or subdivisions, consolidations or combinations of the Common Shares occurring, in any such case, prior to the Distribution Date. With certain exceptions, no adjustment in the Purchase Price will be required until cumulative adjustments require an adjustment of at least 1% in such Purchase Price. No fractional Preferred Shares will be issued (other than fractions which are integral multiples of one one-thousandth of a Preferred Share, which may, at the election of the Company, be evidenced by depositary receipts) and in lieu thereof, an adjustment in cash will be made based on the market price of the Preferred Shares on the last trading day prior to the date of exercise.
EXERCISABILITY OF RIGHTS. The Rights are not exercisable until the Distribution Date. The Rights will expire on November 14, 2019 (the “Final Expiration Date”), unless the Final Expiration Date is extended or unless the Rights are earlier redeemed or exchanged by the Company, in each case as described below. Until a Right is exercised, the holder thereof, as such, will have no rights as a stockholder of the Company, including, without limitation, the right to vote or to receive dividends. The Purchase Price payable, and the number of Preferred Shares or other securities or property issuable or payable, upon exercise of the Rights are subject to adjustment from time to time to prevent dilution. No fractional Preferred Shares will be issued (other than fractions which are integral multiples of one one-hundredth of a Preferred Share, which may, at the election of the Company, be evidenced by depositary receipts) and in lieu thereof, an adjustment in cash will be made.
EXERCISABILITY OF RIGHTS. The rights will separate from our common stock after the distribution date which is the earlier to occur of the following:
EXERCISABILITY OF RIGHTS. The Rights are not exercisable until the Distribution Date. The Rights expire on June 2, 2007 unless the Rights are previously redeemed, exchanged or terminated as described below. Until a Right is exercised, the holder thereof, as such, will have no rights as a stockholder of the Company, including, without limitation, the right to vote or to receive dividends. The Purchase Price payable, and the number of Preferred Shares or other securities or property issuable or payable, upon exercise of the Rights are subject to adjustment from time to time to prevent dilution. The number of outstanding Rights and the number of one one- thousandths of a Preferred Share issuable upon exercise of each Right are also subject to adjustment in the event of a stock split of the Common Shares or a stock dividend on the Common Shares payable in Common Shares, or subdivisions, consolidations or combinations of the Common Shares occurring, in any such case, prior to the Distribution Date. With certain exceptions, no adjustment in the Purchase Price will be required until cumulative adjustments require an adjustment of at least 1% in such Purchase Price. No fractional Preferred Shares will be issued (other than fractions which are integral multiples of one one-thousandth of a Preferred Share, which may, at the election of the Company, be evidenced by depositary receipts) and in lieu thereof, an adjustment in cash will be made based on the market price of the Preferred Shares on the last trading day prior to the date of exercise.
EXERCISABILITY OF RIGHTS. The rights will separate from our common stock after the distribution date which is the earlier to occur of the following: