Common use of Lack of Liquidity Clause in Contracts

Lack of Liquidity. Party B acknowledges that the purchase of the Shares involves a high degree of risk and further acknowledges that it can bear the economic risk of the purchase of the Shares, including the total loss of its investment. Party B acknowledges and understands that the Shares may not be sold to a U.S. Person (as hereinafter defined) or into the United States for a period of one (1) year from the date of purchase and that Party B has no present need for liquidity in connection with its purchase of the Shares.