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Member Interest Purchase Agreement
"I need a Member Interest Purchase Agreement for the sale of 40% membership interest in my Manila-based tech startup to a local investor, with closing planned for March 2025 and including standard representations about our intellectual property and client contracts."
1. Parties: Identification of the Seller(s) and Purchaser(s) of the membership interests, including complete legal names and addresses
2. Background: Context of the transaction, description of the company whose interests are being transferred, and purpose of the agreement
3. Definitions: Definitions of key terms used throughout the agreement
4. Sale and Purchase of Membership Interest: Core transaction terms including the percentage/amount of interest being sold and purchased
5. Purchase Price: Details of the purchase price, payment terms, and payment mechanics
6. Closing: Closing date, conditions precedent, and closing deliverables
7. Representations and Warranties of Seller: Seller's statements regarding ownership, authority, and company status
8. Representations and Warranties of Purchaser: Purchaser's statements regarding authority and capability to complete the transaction
9. Covenants: Pre-closing and post-closing obligations of the parties
10. Indemnification: Terms for compensating parties for losses arising from breaches
11. Termination: Circumstances under which the agreement may be terminated
12. Governing Law and Jurisdiction: Specification of Philippine law as governing law and jurisdiction for disputes
13. Miscellaneous: Standard provisions including notices, amendments, entire agreement, and severability
1. Foreign Ownership Compliance: Required when the purchaser is a foreign entity, addressing compliance with Philippine foreign ownership restrictions
2. Tax Matters: Detailed section on tax responsibilities when complex tax implications exist
3. Employee Matters: Required when the transaction affects employment agreements or employee benefits
4. Intellectual Property: Needed when the company owns significant IP assets
5. Real Property: Required when the company owns or leases significant real estate
6. Regulatory Approvals: Needed when the transaction requires specific regulatory clearances
7. Non-Competition: Optional restrictions on seller's future competitive activities
8. Transition Services: Required when the seller will provide post-closing operational support
1. Schedule A - Company Information: Detailed information about the company, including corporate documents and structure
2. Schedule B - Membership Interests: Details of the membership interests being transferred
3. Schedule C - Purchase Price Calculation: Detailed breakdown of purchase price and any adjustments
4. Schedule D - Encumbrances: List of any liens, encumbrances, or restrictions on the membership interests
5. Schedule E - Required Consents: List of third-party consents required for the transfer
6. Schedule F - Disclosure Schedule: Exceptions to representations and warranties
7. Appendix 1 - Closing Deliverables: List of all documents to be delivered at closing
8. Appendix 2 - Form of Transfer Instruments: Forms of documents to effect the transfer
9. Appendix 3 - Corporate Resolutions: Required corporate approvals and resolutions
Authors
Financial Services
Technology
Manufacturing
Real Estate
Professional Services
Retail
Healthcare
Energy
Agriculture
Construction
Transportation
Hospitality
Education
Media and Entertainment
Legal
Finance
Corporate Secretariat
Compliance
Corporate Development
Mergers & Acquisitions
Executive Leadership
Business Development
Investment
Risk Management
Chief Executive Officer
Chief Financial Officer
Corporate Secretary
General Counsel
Legal Director
Corporate Lawyer
Managing Partner
Business Development Director
Investment Manager
Compliance Officer
Finance Director
Company Director
Board Member
Mergers & Acquisitions Manager
Private Equity Manager
Business Owner
Managing Director
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