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Share Purchase Agreement Australia

(Last Updated On: October 7, 2021)

As a seller, you may be held liable for any breach of any of the warranties or indemnities for the commercial sale. In order to minimize this liability, the agreement may contain restrictions. Typical restrictions are: 1. The names and addresses of shareholders who sell their shares 2. The number of shares sold by each seller, the class of these shares and whether they are fully or partially paid 3. The names and addresses of the buyers, the number and class of shares they buy and whether they are paid in whole or in part 4. names, addresses and dates of appointment of all current directors; Details of any premises Rental agreements, necessary licenses for the company 5. Information on current and former employees 6. Details of any third-party warranties 7. details of insurance policies; and details of leased assets A share sale contract should contain the following key conditions: This is a simple subscription contract for new shares, under which the buyer does not need full guarantees on the state of the business.

He or she is probably already very familiar with the company, trusts existing shareholders, or buys himself or herself at a price that significantly reduces risk. It is therefore an ideal document for situations such as: additional participation in the capital of an existing shareholder, acquisition of employees or contribution of a parent to a family business. This document is suitable for companies in all industries and subscriptions of all sizes. Disputes may arise during or after the sales process. For example, the parties do not agree on the purchase price adjustment amount. .

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