Increase or Decrease in Ownership Limit Clause Samples
The "Increase or Decrease in Ownership Limit" clause defines the conditions under which a party's ownership stake in a company or asset may be adjusted, either upward or downward. This clause typically outlines the procedures for changing ownership percentages, such as through additional investments, transfers, or dilution events, and may specify thresholds or approvals required for such changes. Its core practical function is to provide a clear framework for modifying ownership interests, thereby preventing disputes and ensuring all parties understand how and when ownership limits can be altered.
Increase or Decrease in Ownership Limit. The Board of Directors may from time to time increase or decrease the Ownership Limit, provided that any decrease may be made only prospectively as to subsequent holders (other than a decrease as a result of a retroactive change in existing law, in which case such change shall be effective immediately).
Increase or Decrease in Ownership Limit. Subject to the limitations provided in Section 6.11, the Managers may from time to time increase or decrease the Ownership Limit; provided, however, that any decrease may only be made prospectively as to subsequent holders (other than a decrease as a result of a retroactive change in existing law that would require a decrease to retain the REIT’s status as a real estate investment trust under the Code, in which case such decrease shall be effective immediately).
Increase or Decrease in Ownership Limit. Subject to the limitations provided in Section 9.11, the Venture may from time to time increase or decrease the Ownership Limit; provided, however, that any decrease may only be made prospectively as to subsequent holders (other than a decrease as a result of a retroactive change in existing law that would require a decrease to retain the Subsidiary REIT’s status as a REIT, in which case such decrease shall be effective immediately).
Increase or Decrease in Ownership Limit. Subject to Section 5.2.1(a)(iii), the Board of Trustees may from time to time increase the Ownership Limit (or any portion thereof) for one or more Persons and decrease the Ownership Limit (or any portion thereof) for all other Persons; provided, however, that (i) any such decreased Ownership Limit (or portion thereof) will not be effective for any Person whose ownership in Equity Shares is in excess of the decreased Ownership Limit (or portion thereof) until such time as such Person’s ownership in Equity Shares equals or falls below the decreased Ownership Limit (or such decreased portion thereof), but any further Transfers of any Equity Shares resulting in such Person’s Beneficial Ownership or Constructive Ownership thereof creating an increased excess over the decreased Ownership Limit (or portion thereof) will be in violation of the decreased Ownership Limit (or portion thereof); and (ii) any new Ownership Limit (or portion thereof) would not result in the Trust being “closely held” within the meaning of Section 856(h) of the Code (without regard to whether the ownership interest is held during the last half of a taxable year) if five unrelated individuals were to Beneficially Own the five largest amounts of Equity Shares permitted to be Beneficially Owned under such new Ownership Limit, taking into account clause (i) of this proviso permitting ownership in excess of the decreased Ownership Limit (or portion thereof) in certain cases.
Increase or Decrease in Ownership Limit. Subject to the limitations provided in Section 7.2(k), the Trustees may from time to time increase or decrease the Ownership Limit.
Increase or Decrease in Ownership Limit. Subject to the limitations provided in Section 10.5(k), the Manager may from time to time increase or decrease the Ownership Limit.
Increase or Decrease in Ownership Limit. Subject to the limitations provided in Section 8.2(f)(ix), the General Partner may from time to time increase or decrease the Ownership Limit with respect to one or more Subsidiary REITs; provided, however, that any decrease in the Ownership Limit may only be made prospectively as to subsequent holders and may not be applied retroactively with respect to existing holders (other than a decrease as a result of a retroactive change in existing law that would require a decrease to retain the status of any Subsidiary REIT as a REIT, in which case such decrease shall be effective immediately).
Increase or Decrease in Ownership Limit. Subject to Section 6.9.1(a)(ii), the Board of Trustees may from time to time increase or decrease the Ownership Limit for one or more Persons and increase or decrease the Ownership Limit for all other Persons. No decreased Ownership Limit will be effective for any Person whose percentage of ownership in Shares is in excess of such decreased Ownership Limit, as applicable, until such time as such Person’s percentage of ownership in Shares equals or falls below the decreased Ownership Limit, but any further acquisition of Shares in excess of such percentage ownership of Shares will be in violation of the Ownership Limit and, provided further, that the new Ownership Limit would not allow five or fewer Persons to Beneficially Own more than 49.9% in value of the outstanding Shares.