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A standstill agreement prevents a party from issuing proceedings during the currency of that agreement. As such a standstill agreement is a voluntary contractual arrangement between the parties to pause limitation for an agreed length of time (typically 3-6 months). Standstill Agreements - Introduction - Caytons Law caytonslaw.com ? uploads ? 2020/06 ? Stan... caytonslaw.com ? uploads ? 2020/06 ? Stan...
A standstill agreement is a contract that contains provisions that govern how a bidder of a company can purchase, dispose of, or vote stock of the target company. A standstill agreement can effectively stall or stop the process of a hostile takeover if the parties cannot negotiate a friendly deal. Standstill Agreement: Definition, How Contract Works, and ... Investopedia ? ... ? M&A Investopedia ? ... ? M&A
In a ?standstill clause? the parties to a trade agreement commit to keeping the market at least as open in the future as it was as at the time of conclusion of the agreement.
: an agreement under which litigation is forestalled between two parties. : an agreement under which a party agrees to refrain from taking further steps to acquire control of a corporation (as by additional purchases of stock)
A standstill agreement prevents a party from issuing proceedings during the currency of that agreement. As such a standstill agreement is a voluntary contractual arrangement between the parties to pause limitation for an agreed length of time (typically 3-6 months).
Investor agreement example An investor makes a purchase of shares in a company which brings their holdings to 45%. Concerned about the potential for a controlling share takeover by the investor, the company enters negotiations over a standstill, which prevents further purchasing beyond this point.