This document is an optional clause which can be used in a business sale agreement.
In business sale agreements pertaining to the sale of shares, it is common to grant to the purchaser power of attorney rights over the shares sold, from date of completion until the shares are registered in the name of the purchaser.
This document clause sets out the basic provisions for a power of attorney in these circumstances.
Using this document
This precedent clause can be used in a sale of business agreement. It can also be inserted into the “Completion” provisions of the separate document “Business sale agreement – sale of shares (short form)”.
When inserting this optional clause into an agreement, care must be taken to ensure that the agreement remains consistent. Cross-references, definitions and schedules should all be checked.
This document has been authored for Lexis Nexis by Elise Margow, Principal, Legally Speaking.
This document is prepared with the assistance of Specialist Editor Murray Landis, Partner, K&L Gates.