This precedent has been authored by Dr. Gordon Hughes, Principal, Davies Collison Cave Law.

Introductory note

A party’s willingness to enter into a contract with a particular corporation may be influenced by the ownership of that corporation. A change in majority ownership of a company — big or small — may render continuation of the contract untenable from the other party’s perspective. Where this is a relevant consideration for a party, it will seek to include a “change in control” clause.