Market Stand-Off Agreement Clause Example from Business Contracts

Market Stand-Off Agreement. Holder shall not sell, dispose of, transfer, make any short sale of, grant any option for the purchase of, or enter into any hedging or similar transaction with the same economic effect as a sale, any Common Stock (or Exercise Shares or other securities) of the Company held by Holder, during the 180-day period following the effective date of a registration statement of the Company filed under the Act (or such longer period, not to exceed 18 days after the expiration of the 180-day period, as the... underwriters or the Company shall request in order to facilitate compliance with FINRA Rule 2711). Holder agrees to execute and deliver such other agreements as requested by the Company and/or the managing underwriter(s) which are consistent with the foregoing or which are necessary to give further effect thereto. In order to enforce the foregoing covenant, the Company may impose stop-transfer instructions with respect to such Common Stock (or other securities) until the end of such period. The underwriters of the Company's stock are intended third party beneficiaries of this Section 9 and shall have the right, power and authority to enforce the provisions hereof as though they were a party hereto. View More