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In the event the Company does not sell such Equity Securities within said 90 day period, the Holders shall no longer be obligated to purchase the Equity Securities pursuant to their elections to purchase such Equity Securities under Section 5.2(a), and the Company shall not thereafter issue or sell any Equity Securities without first offering such securities to the Holders in the manner provided herein. 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"Indemnification"], ["notifications", "Notifications"]], "title": "Failure to Notify", "id": "failure-to-notify", "related": [["borrowers-failure-to-notify", "Borrower\u2019s Failure to Notify", "Borrower\u2019s <strong>Failure to Notify</strong>"], ["failure-to-agree", "Failure to Agree", "Failure to Agree"], ["failure-to-elect", "Failure to Elect", "Failure to Elect"], ["failure-to-respond", "Failure to Respond", "Failure to Respond"], ["failure-to-defend", "Failure to Defend", "Failure to Defend"]], "related_snippets": [], "updated": "2026-04-03T05:45:28+00:00", "also_ask": ["What are the strategic consequences of omitting or narrowing a 'Failure to Notify' clause?", "Which essential elements must be included to ensure enforceability of a 'Failure to Notify' provision?", "What are the most common risks or fatal flaws in standard 'Failure to Notify' clauses?", "How do courts typically interpret and enforce 'Failure to Notify' clauses in different jurisdictions?", "What negotiation leverage can be gained or lost by modifying the notice requirements or cure periods?"], "drafting_tip": "Specify notification methods and timelines to ensure clarity; define consequences of failure to notify to promote compliance; use precise language to avoid disputes.", "explanation": "The \"Failure to Notify\" clause defines the consequences when a party does not provide required notices under the contract. Typically, this clause outlines what happens if a party fails to inform the other about important events, such as breaches, claims, or changes in circumstances, within specified timeframes. For example, if a party does not notify the other of a claim within the agreed period, they may lose certain rights or remedies. The core function of this clause is to encourage timely communication and ensure that all parties are aware of significant developments, thereby reducing the risk of disputes and misunderstandings."}, "json": true, "cursor": ""}}