Common use of Prohibition on Encumbrance Clause in Contracts

Prohibition on Encumbrance. 15.1. No shareholder shall be entitled to cede, pledge, hypothecate, provide as lien or in any way utilize its shares in the share capital as security or in any way encumber such shares without the prior written consent of the shareholders. 15.2. No shareholder or member of the board shall be entitled to cede, pledge, hypothecate, provide as lien or in any way utilize its loan account, without the prior written consent of the shareholders.