Founder Securities Sample Clauses
The Founder Securities clause defines the rights, restrictions, and obligations related to the shares or equity held by the company's founders. Typically, this clause outlines issues such as vesting schedules, transfer limitations, and what happens to founder shares if a founder leaves the company or is terminated. For example, it may require that a founder's shares vest over several years or restrict the sale of founder shares without investor approval. The core function of this clause is to protect the company and its investors by ensuring founders remain committed to the business and by preventing disruptive changes in ownership.
Founder Securities. On the Closing Date, the Founder Purchasers shall have purchased the Founders' Warrants and the purchase price for such Founders' Warrants shall be deposited into the Trust Fund.
Founder Securities. The Seller shall have executed and delivered to the Purchaser stock powers and/or other instruments of transfer duly conveying the Founder Securities to the Purchaser;