"Buy Sell Agreements" Posts

One of the more overlooked, or misused corporate documents, is the Buy-Sell Agreement. This document is also commonly referred to as a Shareholders’ Agreement and has been mistaken for a Stock Purchase Agreement more than once.

To clarify, a Buy-Sell Agreement differs from a Stock Purchase Agreement in that the Stock Purchase Agreement documents a contemplated, actual, pending sale of stock. The Buy-Sell Agreement, in contrast, attempts to provide answers to the ‘what if ’ questions: What if my business partner dies? What if he wants to sell his stock to someone else? What if he retires? What if he …