Shotgun Clause

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Shotgun Clause

A provision in some shareholder or partnership agreement stating that if one shareholder offers to buy out the company at a certain price, the other shareholder(s) either must accept the offer or buy out the first shareholder at the same price. This is most common when two shareholders each own 50% of a business.

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No references found			Under a shotgun clause, a shareholder (offeror) would be permitted to offer his/ her shares for sale (offer price) to the other shareholders (offerees) and those shareholders (offerees) would have the opportunity to purchase the shares at the offer price or to sell their shares to the shareholder (offeror) at the same offer price. Getting down to business: things to consider by Noce, Roberto / LawNow A shotgun clause is where, in the event that one of the two partners decides he wants to get out of the agreement, he can allow the other partner to offer an amount of money to buy out his half of the company. The Pros and Cons of Making A Proprietorship or A Partnership by Paul Graham / Business community Assuming the shareholders are of relatively equal negotiating strength, a shotgun clause tends to ensure the liquidity of each shareholders interest. Protecting Your Piece of the Pie by Johnson, Howard / CMA Management			Short-Term Capital Gain short-term capital gain or loss Short-Term Capital Loss short-term debt Short-Term Discount Note Short-Term Discount Notes Short-Term Financial Plan Short-Term Gain Short-Term Gain or Loss Short-Term Interest Rate Short-Term Interest Rates Short-Term Investment Fund Short-term investment services Short-Term Loan Short-Term Moving Average Short-Term Municipal Bond Fund Short-Term Reserves Short-term solvency ratios Short-Term Tax Exempts Short-Term Trading Index Short-Term Trend Shortage cost Shortfall Shortfall Risk Shotgun Approach Shotgun Clause Shoukan Kigen Shoukokin should Shoumi Genzai Kachi Shout Option Show and tell list Show me buyer/seller Show Stopper show-cause order Show-Through Show-Up Time Shoyuu Kikan Rimawari SHP Shrapnel Shrinkage Shrinking Asset Shunto Shut out the book Shut-Down Price shut-in royalty Shutdown Shuttle Trade Shuuekisei Shisuu Shyster SI			shot-putting shot-sawn finish shot-silk retina Shota Grigorevich Nishnianidze Shota Nishnianidze Shota Rustaveli shotblasting Shotbush Shotcrete Shotcrete shotcrete gun Shotcreting shote Shotemor, Shirinsho shotes Shotglass shotgun shotgun shotgun shotgun shotgun shotgun Shotgun (beer) Shotgun (cannabis) shotgun approach shotgun approach Shotgun Approaches Shotgun Approaches Shotgun Blues shotgun cartridge Shotgun Clause Shotgun Clauses Shotgun Cloning Shotgun cottage Shotgun debugging Shotgun duplex Shotgun Experiment Shotgun Hand Engine Harvesting Shotgun hill climbing Shotgun house Shotgun houses shotgun injuries shotgun injuries shotgun injuries shotgun injuries shotgun marriage shotgun marriages Shotgun method Shotgun method Shotgun mic Shotgun mic Shotgun mic Shotgun microphone Shotgun microphone Shotgun microphone Shotgun News shotgun pharmacy shotgun pharmacy shotgun pharmacy shotgun pharmacy shotgun procedure

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