Membership Interest Purchase Agreement for Hong Kong

Membership Interest Purchase Agreement Template for Hong Kong

A comprehensive legal agreement governed by Hong Kong law that documents the terms and conditions for the purchase and sale of membership interests in a company or business entity. This document outlines the complete transaction structure, including purchase price, payment terms, representations and warranties, conditions precedent, and closing requirements. It incorporates Hong Kong-specific legal requirements and customary market practices, ensuring compliance with local company law, securities regulations, and stamp duty requirements.

Your data doesn't train Genie's AI

You keep IP ownership of your information

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

Download a Standard Template

4.6 / 5
4.8 / 5
Access for free
OR

Alternatively: Run an advanced review of an existing
Membership Interest Purchase Agreement

Let Genie AI's market-leading legal AI identify missing terms, unusual language, compliance issues and more - in just seconds.
Upload your Doc

What is a Membership Interest Purchase Agreement?

The Membership Interest Purchase Agreement is a crucial transaction document used in Hong Kong for acquiring ownership interests in companies or business entities. It serves as the primary agreement in private M&A transactions where the purchase structure involves acquiring membership interests rather than assets. The document is essential when conducting business acquisitions under Hong Kong law, requiring careful consideration of local regulatory requirements, including the Companies Ordinance, Stamp Duty Ordinance, and Securities and Futures Ordinance. This agreement type is particularly important as it addresses specific aspects of Hong Kong's legal framework, such as statutory transfer requirements, regulatory approvals, and tax implications. The document typically includes detailed provisions on purchase price mechanisms, conditions precedent, warranties, and indemnities, tailored to protect both buyers and sellers while ensuring compliance with Hong Kong legal requirements.

What sections should be included in a Membership Interest Purchase Agreement?

1. Parties: Identification of buyer, seller, and the target company

2. Background: Context of the transaction and current ownership structure

3. Definitions and Interpretation: Key terms used throughout the agreement and rules of interpretation

4. Sale and Purchase: Core transaction terms including the interests being sold and basic consideration structure

5. Purchase Price: Detailed breakdown of consideration and payment mechanisms

6. Conditions Precedent: Prerequisites that must be satisfied before closing

7. Pre-Closing Covenants: Obligations of parties between signing and closing

8. Closing: Mechanics and requirements for completion of the transaction

9. Warranties: Seller's representations and warranties about the business and membership interests

10. Limitations on Liability: Caps, thresholds, and time limits on warranty claims

11. Tax Covenant: Tax-related representations and obligations

12. Confidentiality: Obligations regarding transaction and business information

13. Announcements: Rules for public statements about the transaction

14. General Provisions: Standard boilerplate clauses including governing law, notices, etc.

What sections are optional to include in a Membership Interest Purchase Agreement?

1. Earn-out Provisions: Used when part of purchase price is contingent on future performance

2. Employee Matters: Include when specific employee arrangements or protections are needed

3. Non-Competition: Used when seller needs to be restricted from competing post-closing

4. Specific Indemnities: Include for known issues requiring special indemnification

5. Transitional Services: Include when seller will provide services post-closing

6. Bank Debt and External Financing: Used when transaction involves external financing arrangements

7. Intellectual Property Rights: Include detailed IP provisions when IP is a key asset

8. Real Estate Matters: Include when real estate is a significant component of the business

What schedules should be included in a Membership Interest Purchase Agreement?

1. Schedule 1 - Target Company Details: Corporate information, shareholding structure, and subsidiaries

2. Schedule 2 - Conditions Precedent: Detailed list of all closing conditions

3. Schedule 3 - Warranties: Comprehensive list of seller's warranties

4. Schedule 4 - Properties: Details of owned and leased real estate

5. Schedule 5 - Intellectual Property: List of IP rights and registrations

6. Schedule 6 - Material Contracts: Key business agreements and commitments

7. Schedule 7 - Employees: Key employment terms and arrangements

8. Schedule 8 - Closing Deliverables: Documents and items to be delivered at closing

9. Appendix A - Form of Resignation Letters: Template resignation letters for outgoing officers

10. Appendix B - Form of Board Resolutions: Template corporate approvals

11. Appendix C - Disclosure Letter: Seller's disclosures against warranties

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Hong Kong

Publisher

Genie AI

Document Type

Transfer Agreement

Cost

Free to use
Relevant legal definitions
Clauses
Relevant Industries

Private Equity

Venture Capital

Real Estate

Technology

Manufacturing

Professional Services

Retail

Healthcare

Financial Services

Energy

Media and Entertainment

Telecommunications

Infrastructure

Hospitality

Relevant Teams

Legal

Finance

Corporate Development

Mergers & Acquisitions

Due Diligence

Risk Management

Compliance

Tax

Treasury

Corporate Secretarial

Relevant Roles

Chief Executive Officer

Chief Financial Officer

General Counsel

Corporate Lawyer

Investment Director

Mergers & Acquisitions Director

Business Development Manager

Company Secretary

Finance Director

Legal Counsel

Investment Manager

Transaction Manager

Due Diligence Manager

Corporate Development Director

Risk Manager

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

Find the exact document you need

Transfer Of Rights Agreement

A Hong Kong law-governed agreement facilitating the formal transfer of rights, assets, or interests between parties, with specific provisions for enforcement under Hong Kong jurisdiction.

find out more

Loan To Family Member Agreement

A Hong Kong law-governed agreement that formalizes and documents the terms of a loan between family members, including repayment terms and conditions.

find out more

Copyright Transfer Agreement Form

A Hong Kong law-governed agreement that transfers copyright ownership from one party to another, compliant with the Hong Kong Copyright Ordinance.

find out more

Technical Proposal For Consultancy Services

A formal technical and commercial proposal document used in Hong Kong for consultancy services, outlining solution methodology, expertise, and delivery approach.

find out more

Commercial Lease Agreement Termination Notice

A Hong Kong law-governed notice document for terminating commercial lease agreements, including essential termination details and property surrender terms.

find out more

License To Use Trademark

A Hong Kong law-governed agreement granting rights to use a trademark under specific terms and conditions, protecting both licensor and licensee interests.

find out more

Bond Subscription Agreement

A Hong Kong law-governed agreement setting out terms for investors to subscribe to bonds issued by an entity, including subscription process, rights, and obligations.

find out more

Lease To Own Commercial Property

A Hong Kong law-governed agreement combining commercial property lease terms with a purchase option, establishing conditions for both rental occupation and eventual property acquisition.

find out more

Transfer Of Intellectual Property Rights Agreement

A Hong Kong law-governed agreement for transferring intellectual property rights between parties, ensuring complete and legally valid transfer of IP ownership.

find out more

Assignment Of Intellectual Property Rights

A Hong Kong law-governed agreement for transferring intellectual property rights from one party to another, including provisions for various IP types and registration requirements.

find out more

Ownership Letter For Property

A formal document under Hong Kong law that declares and confirms property ownership, typically used for official transactions and institutional requirements.

find out more

Interview Waiver

A Hong Kong-governed document waiving the requirement for a formal job interview while establishing alternative assessment methods.

find out more

Software Supply Agreement

A Hong Kong law-governed agreement establishing terms for software supply, licensing, and implementation between supplier and customer.

find out more

Software Scope Of Work

A Hong Kong law-governed agreement defining scope, deliverables, and requirements for software development projects.

find out more

Transfer Agency Agreement

Hong Kong law-governed agreement establishing transfer agency services for maintaining shareholder records and processing fund transactions.

find out more

Simple Trademark License Agreement

A Hong Kong law-governed agreement enabling trademark owners to license their marks to third parties under specified terms and conditions.

find out more

Intercompany Balance Confirmation Letter

A Hong Kong-compliant formal letter confirming the balance of accounts between related companies within the same corporate group, used for audit and compliance purposes.

find out more

Technology Partnership Agreement

A Hong Kong law-governed agreement establishing terms for technology partnership and collaboration, including IP rights, technical specifications, and commercial terms.

find out more

Right Of Way Access Agreement

A Hong Kong-governed agreement establishing legal access rights over property, detailing terms, conditions, and responsibilities for both grantor and grantee.

find out more

Lease Surrender Letter

A Hong Kong law-governed document that formally terminates a lease agreement before its natural expiry through mutual consent between landlord and tenant.

find out more

Inter Credit Agreement

A Hong Kong law-governed agreement establishing terms and conditions for credit arrangements between multiple lending institutions.

find out more

Domain Transfer Agreement

A Hong Kong law-governed agreement for transferring ownership and control of domain names between parties, including transfer procedures and compliance requirements.

find out more

Debt Agreement Letter

A formal document under Hong Kong law that establishes the terms and conditions of a debt between parties, including loan amount, repayment terms, and interest rates.

find out more

Assignment Of Limited Partnership Interest

A Hong Kong law-governed agreement facilitating the transfer of limited partnership interests from one party to another, including terms, conditions, and regulatory compliance requirements.

find out more

Assignment Of Lease By Tenant

A Hong Kong law-governed document that transfers a tenant's lease rights and obligations to a new tenant, with the landlord's consent.

find out more

Assignment Of Leases And Rents

A Hong Kong law security document where property owners assign their rights to rental income and lease interests to lenders as loan collateral.

find out more

Assignment Of Lease By Lessor

A Hong Kong law-governed document that transfers a lessor's rights and obligations under an existing lease to a new lessor, ensuring legal compliance and protection of all parties' interests.

find out more

Vehicle Loan Agreement

A Hong Kong law-governed agreement establishing terms for vehicle financing, including loan conditions, security interests, and repayment obligations.

find out more

Software Source Code Transfer Agreement

A Hong Kong law-governed agreement for the permanent transfer of software source code ownership and associated intellectual property rights between parties.

find out more

Assignment Of Lease Contract

A Hong Kong law-governed agreement transferring leasehold rights and obligations from an existing tenant to a new tenant, with landlord's consent.

find out more

Promissory Note Settlement Agreement

A Hong Kong law-governed agreement documenting the settlement terms and conditions for an existing promissory note obligation, including modified payment arrangements and release terms.

find out more

Franchise Operating Agreement

A Hong Kong law-governed agreement establishing the rights and obligations between franchisor and franchisee for operating a franchised business.

find out more

Equity Sale Agreement

A Hong Kong law-governed agreement for the sale and purchase of shares in a company, setting out terms, conditions, and warranties for the transfer of equity ownership.

find out more

Car As Is Sale Agreement

A Hong Kong law-governed agreement for the sale of a vehicle in 'as is' condition, defining sale terms and limiting seller warranties while ensuring compliance with local regulations.

find out more

Company Shareholder Agreement

A Hong Kong law-governed agreement that defines and regulates the relationships, rights, and obligations between company shareholders.

find out more

Title Sponsorship Agreement

A Hong Kong law-governed agreement establishing title sponsorship rights and obligations between a sponsor and rights holder.

find out more

Sales Non Compete Agreement

A Hong Kong law-governed agreement that restricts sales professionals from competing or soliciting customers for a specified period after leaving their position.

find out more

Land Tenancy Agreement

A Hong Kong law-governed agreement establishing terms and conditions for property leasing between landlord and tenant.

find out more

Capital Contribution Partnership Agreement

A Hong Kong law-governed agreement establishing terms for partnership capital contributions, ownership interests, and related rights and obligations.

find out more

Assignment Of Lease By Landlord

A Hong Kong law-governed document that transfers a landlord's rights and obligations under an existing lease to a new landlord, while maintaining the tenant's existing terms.

find out more
See more related templates

Genie’s Security Promise

Genie is the safest place to draft. Here’s how we prioritise your privacy and security.

Your documents are private:

We do not train on your data; Genie’s AI improves independently

All data stored on Genie is private to your organisation

Your documents are protected:

Your documents are protected by ultra-secure 256-bit encryption

We are ISO27001 certified, so your data is secure

Organizational security:

You retain IP ownership of your documents and their information

You have full control over your data and who gets to see it

2 Docs LeftAccess Now