Common use of Fully Paid Shares Clause in Contracts

Fully Paid Shares. The Company warrants and covenants that all shares of Chevron Common Stock delivered upon the exchange of Debentures will be fully paid and nonassessable and that each Holder of Debentures who receives shares of Chevron Common Stock or other Exchange Property in exchange for his Debentures pursuant to this Article Two will receive valid and marketable title to such Exchange Property, free and clear of all claims, liens and encumbrances (other than those that may be created or suffered to exist by such Holder). Except as provided in Section 208 hereof, the Company will pay all taxes, liens and charges with respect to the delivery of Exchange Property in exchange for Debentures hereunder.