How is 'Free Reserves' defined in a legal contract?
- Free Reserves means such reserves that, as per the latest audited balance sheet, are available for distribution as dividends. Seen in 59 SEC filings
- Free Reserves means reserves defined under [clause] of [act]. Seen in 34 SEC filings
- Free Reserves means the total of the balance in the share premium account, capital and debenture redemption reserves and any other reserve shown in the balance sheet of a company and created through an allocation of profits. It does not include a reserve created for repayment of future liability, depreciation in assets, bad debts or a reserve created by revaluation of the company's assets. Seen in 27 SEC filings
- Free Reserves means reserves which, according to the most recent audited balance sheet of a [organization], are available for distribution as a dividend. However, certain amounts shall not be considered as available for distribution. Seen in 8 SEC filings
- Free Reserves means free reserves as defined in definition No. 43 of the [Act], [Year]. Seen in 6 SEC filings
- Free Reserves means in case of each organization, the amount of open reserves increased or reduced by the existing balance of profit and loss account at the start of any financial period. Seen in 6 SEC filings
- Free Reserves means the reserves which, as per the latest audited balance sheet of a company, are available for distribution as a dividend and shall include balance to the credit of the securities premium account but shall not include share application money. Seen in 6 SEC filings
- Free Reserves means all reserves created out of profits and share premium account but not including reserve created out of revaluation of assets, write back of depreciation provisions, and consolidation. Seen in 5 SEC filings.
Which definition should you use?
🤔 Our AI Legal Assistant has combined and improved the above descriptions to create market-standard 'Genie definitions' below, with guidance on which documents and which industry to use for each.
Genie Definition 1
- Free Reserves means the available distributable reserves in an organization's latest audited balance sheet.
Relevant Contract Types
Relevant Circumstances
- Mergers and acquisitions
- Expansion of business
- Internal financial audits
Relevant Sectors
Genie Definition 2
- Free Reserves means the total of specific balance reserves, excluding any created for future liabilities, depreciation or revaluations.
Relevant Contract Types
Relevant Circumstances
- Purchase or sale of business
- Corporate restructuring
- Asset divestiture
Relevant Sectors
Genie Definition 3
- Free Reserves means all reserves made from profits and share premium accounts, not including revaluations, write-backs of depreciations and consolidations.
Relevant Contract Types
Relevant Circumstances
- Setting up a new joint venture
- Acquiring equity in a company
Relevant Sectors
Free Reserves means the available distributable reserves in an organization's latest audited balance sheet.
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