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 other securities) of the Company held by Holder (other than those included in the registration), for a period of time specified by the managing underwriter(s) (not to exceed one hundred eighty (180) days) (or such longer period as the underwriters or the Company shall request in or...der to facilitate compliance with NASD Rule 2711 so long as the investors party to the Registration Rights Agreement (as defined below) are also subject to such extension) following the effective date of a registration statement of the Company filed under the Act. Holder agrees to execute and deliver such other agreements as may be reasonably 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 10 and shall have the right, power and authority to enforce the provisions hereof as though they were a party hereto. View More