Common use of Disposition of Warrants or Shares Clause in Contracts

Disposition of Warrants or Shares. The Holder acknowledges that this Warrant and the Shares issuable upon exercise thereof have not been registered under the Act or applicable state law. The Holder agrees, by acceptance of this Warrant, (i) that no sale, transfer, or distribution of this Warrant or the Shares shall be made except in compliance with the Act and the rules and regulations promulgated thereunder, including any applicable prospectus delivery requirements and the restrictions on transfer set forth herein, and (ii) that if any distribution or any other transfer of this Warrant or any Shares is proposed to be made by it otherwise than pursuant to an effective registration statement under the Act, such action shall be taken only after submission to the Company of an opinion of counsel, reasonably satisfactory in form and substance to the Company and its counsel, to the effect that the proposed distribution will not be in violation of the Act or of applicable state law.