Change in control

Change in control

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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.