Arm’s Length Transaction definition

Arm’s Length Transaction means a transaction between two related parties that is conducted as if they were unrelated, so that there is no conflict of interest.
Arm’s Length Transaction means a transaction between two related parties that is conducted as if they were unrelated, so that there is no conflict of interest as defined in explanation (b) to Section 188 (1) of the Companies Act, 2013.
Arm’s Length Transaction means a transaction between two related parties that is conducted as if they were unrelated, so that there is no conflict of interest. For determination of Arm’s Length basis, guidance may be taken from provision of Transfer Pricing under Income Tax Act, 1961.

Examples of Arm’s Length Transaction in a sentence

  • A sale between relatives, related companies or partners, or a sale for which a significant purpose is avoiding the effect of the violations of this chapter is not an Arm’s Length Transaction.

  • The Agency is not and will not be a party to any contract between the Lender and another party where the Lender sells its servicing fee in an Arm’s Length Transaction.

  • After of a third or subsequent violation of this section at a location within any twenty-four month period, no new license may issue for the Person or the location (unless ownership of the business at the location has been transferred in an Arm’s Length Transaction), until two years have passed from the date of the violation.

  • In addition, the acquisition must be an Arm’s Length Transaction.

  • After a second violation of this section at a location within any twenty-four month period, no new license may issue for the Person or the location (unless ownership of the business at the location has been transferred in an Arm’s Length Transaction), until ninety days have passed from the date of the violation.


More Definitions of Arm’s Length Transaction

Arm’s Length Transaction means a Sale in good faith and for valuable consideration that reflects the fair market value in the open market between two or more informed and willing parties, neither of which is under any compulsion to participate in the transaction. A Sale between relatives, related companies or partners, or a Sale for which a significant purpose is avoiding the effect of the violations of this Chapter is not an Arm’s Length Transaction.
Arm’s Length Transaction means, with respect to any transaction, the terms of such transaction shall not be less favorable to the Borrower or any of its Subsidiaries than commercially reasonable terms that would be obtained in a transaction with a Person that is an unrelated third party.
Arm’s Length Transaction means a transaction which is not a Related Party Transaction.
Arm’s Length Transaction means, with respect to any transaction between a Restricted Person and one of its Affiliates, that the terms thereof are no less favorable to such Restricted Person than those which could have been obtained at the time of such transaction in arm's-length dealing with Persons other than such Affiliate.
Arm’s Length Transaction means a transaction between two unrelated, independent and unaffiliated parties or a transaction between two parties acting in their own self-interest that is conducted as if the parties were strangers so that no conflict of interest exists.
Arm’s Length Transaction means a contract or agreement that has been arrived at in the marketplace between independent, non-affiliated persons with opposing economic interests regarding that contract. For a transaction to remain arms-length for royalty purposes, it must be arms-length during the entire period for which royalty is determined under this Section.
Arm’s Length Transaction means a transaction between two related parties that is conducted as if they were unrelated.