Call option agreement

About this business activity

A Call option agreement protects the buyer of a property from the seller defaulting on the sale. If the buyer has already paid a deposit, the Call option agreement can be used to get their money back if the sale falls through. A Call option agreement can also be used to give the buyer the right to purchase the property at a set price, even if the market value of the property has increased.

Call Option Agreement Over Private Company Shares

A call option agreement is a legal document that grants the holder the right to purchase shares of a private limited company at a specific price within a specific period of time.

What to watch out for

  • Make sure that the agreement clearly states the number of shares that can be purchased under the option, as well as the price per share.
  • Be sure to include a clause specifying how the price will be calculated, if it is not a fixed price.
  • Make sure that the agreement states the expiration date of the option.
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    Relevant Contract Types

    πŸ’° Call option agreement

    A call option agreement is a contract between two parties that gives the holder the right to buy an asset at a specified price within a certain time frame. The agreement also outlines the terms and conditions under which the option can be exercised, including any fees or commissions that may be owed.

    🧾 Put and call option agreement

    A put and call option agreement is a contract between two parties that gives the holder the right to buy or sell an underlying asset at a specified price within a certain time period. The agreement may also give the holder the right to purchase the asset at a lower price than the current market value, or to sell the asset at a higher price than the current market value.

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