Mandatory Arbitration Before a Change in Control Clause Samples
The "Mandatory Arbitration Before a Change in Control" clause requires that any disputes arising between the parties must be resolved through arbitration prior to any change in control of the company, such as a merger, acquisition, or significant transfer of ownership. In practice, this means that if a disagreement occurs, the parties are obligated to engage in arbitration and reach a resolution before any transaction that would alter the company's controlling interest can be finalized. This clause ensures that outstanding disputes do not carry over into new ownership structures, thereby providing certainty and reducing the risk of unresolved liabilities for both the current and future owners.
Mandatory Arbitration Before a Change in Control. Section 19.1 will apply if and only if either party notifies the other, in writing, that it is demanding resolution of a then-current controversy or claim by arbitration and the notice is provided by the notifying party to the other party before any Change in Control has occurred. Nothing in this Section 19 will limit the right of DDR to seek and obtain injunctive relief in a court of equity for any breach or threatened breach by Executive of any of Executive’s covenants contained in Section 12 above.