Common use of Authorization of Warrant Shares Clause in Contracts

Authorization of Warrant Shares. The Company covenants that all Warrant Shares which may be issued upon the exercise of the purchase rights represented by this Warrant will, upon exercise of the purchase rights represented by this Warrant, be duly authorized, validly issued, fully paid and nonassessable and free from all taxes, liens and charges created by the Company in respect of the issue thereof (other than taxes in respect of any transfer occurring contemporaneously with such issue). The Warrant Shares when issued shall be free from all restrictions on transfer except as set forth herein and under applicable federal and state securities laws.