Option Event Clause Samples
An Option Event clause defines a specific occurrence or condition that triggers a party’s right to exercise an option under a contract. Typically, this clause outlines what constitutes an option event, such as a change in control, a breach of contract, or the achievement of certain milestones, and specifies the procedures for notification and exercise of the option. Its core practical function is to provide clarity and certainty about when and how contractual options can be activated, thereby reducing disputes and ensuring both parties understand their rights and obligations in response to particular events.
Option Event. If at any time during the Term, either (either of which is referred to herein as an “Option Event”):
(i) Grantor terminates the Property from the relevant Supply Agreement for any reason (including as part of the entire termination of one or both of the Supply Agreements); or (ii) Grantee terminates the Property from the relevant Supply Agreement in accordance with the terms of such agreement (including as part of the entire termination of one or both of the Supply Agreements); then Grantee, or its nominee, shall have the right, but not the obligation, to purchase the Property from Grantor or any Successor Owner, under the terms and conditions of this Section 1. Valero/Corner Store
Option Event. An "OPTION EVENT" under this Agreement shall be deemed to have occurred if:
(a) the Partnership is wound up or dissolved or any actions, or any proceedings or actions are taken by or against it in respect of any of the foregoing; or
(b) the Partnership proposes to sell all or substantially all of its assets otherwise than in the ordinary course of business. The Partnership shall notify the other parties hereto immediately upon the occurrence of an Option Event in respect of it or a decision of it to proceed with an Option Event.
Option Event. Option Event" shall mean, with respect to any Common Shareholder (other than the Partnership, HCHI or any Affiliate or Subsidiary of the Partnership or HCHI), any of the following events:
Option Event. The Transferee may exercise the Option in the event that the Transferor does not Commence Construction of the Project within 365 days following the issuance of the Building Permit (the “Option Period”).
Option Event. DTC shall have the option (the “Option”) to purchase the Property for the purchase price provided in Section 2 during the time period provided in Section 3 and otherwise on the terms of this Agreement, if, on or before November 30, 2009, CFC has not commenced the construction of an office building on the CFC Tract that will contain at least 120,000 square feet of gross floor area, as evidenced by (i) the issuance by CFC to its general contractor of a notice to proceed authorizing such general contractor to commence construction of such office building, (ii) the delivery by CFC to DTC of a copy of the notice to proceed referred to in clause (i), and (iii) the general contractor’s good faith commencement of the work of grading and excavation for the construction of such office building (the “Option Event”).
Option Event. Defined in Section 14.1.
Option Event. DTC shall have the option (the “First Option”) to purchase the Property for the purchase price provided in Section 2 during the time period provided in Section 3(a) and otherwise on the terms of this Agreement, if the Construction Condition (defined below) does not occur on or before November 30, 2010. If (i) DTC does not timely exercise the First Option, or (ii) DTC timely exercises the First Option, but CFC timely nullifies DTC’s exercise of the First Option by paying the Extension Payment pursuant to Section 3(b), then, in either such event, DTC shall have the option (the “Second Option” to purchase the Property for the purchase price provided in Section 2 during the time period provided in Section 4(a) and otherwise on the terms of this Agreement, if the Construction Condition does not occur on or before November 30, 2014. For purposes of this Agreement, the term “
Option Event. Any of the following events will constitute an "Option Event":
(i) if the representations and warranties of the other Member or its relevant Related Entity in this Agreement and the Ancillary Agreements are not true and correct in all material respects, unless the breach of such representation or warranty does not result in a material adverse effect to the party for whose benefit such representations and warranties were included in the Agreement or the Ancillary Agreements;
(ii) if the other Member breaches any material obligation under this Agreement or an Ancillary Agreement and such party fails to cure the breach to the notifying party's reasonable satisfaction within fifteen (15) days after it demands such cure in writing;
(iii) if the other Member ceases to conduct business in the normal course, is declared insolvent, undergoes any procedure for the suspension of payments or makes a general assignment for the benefit of creditors or a petition for bankruptcy, reorganization, dissolution or liquidation is filed by or against it;
(iv) if the shareholders are unable to duly adopt a resolution regarding any Shareholder Super-Majority Matter within thirty (30) days after it was first presented to the shareholders;
(v) if there is a failure to achieve a quorum at a meeting of the Board and at two successive rescheduled meetings as set forth in Section 2(n)(iii); or
(vi) if the directors are unable to duly adopt a resolution regarding the appointment of a Chairman or President of the Company within thirty (30) days after it was first presented to the Board.