Promoter Liability Clause Samples
The Promoter Liability clause defines the legal responsibilities and obligations of a promoter in relation to a company or project, typically before the company is formally incorporated. This clause clarifies that promoters may be personally liable for contracts or commitments made on behalf of the company prior to its official formation, unless the company later adopts those agreements or releases the promoter from liability. Its core function is to allocate risk and ensure accountability for actions taken during the pre-incorporation phase, protecting both the future company and third parties involved in early transactions.
Promoter Liability. Propster is executing this Agreement by John Signorello, Propster's promoter. Following the formation of Pro▇▇▇▇▇ ▇▇ ▇ ▇▇▇▇in▇▇ ▇▇▇▇▇▇▇tion, all promoter liability of John Signorello shall be extinguished. Thereafter, Propster shall be ▇▇▇▇▇▇▇▇▇▇ ▇▇▇ party to this Agreement and John Signorello shall be released of all promoter liability.
Promoter Liability. Neither Seller nor any affiliate, officer, director or trustee of Seller, shall have been required to sign the Prospectus as a “promoter” under SPAC Securities Laws (such Person in such capacity a “Promoter”) unless:
(i) The Promoter’s liability as a promoter is limited to misrepresentations in the Prospectus with respect to a Company;
(ii) the vendors in each Other Transaction and the Promoter shall have entered into an agreement to allocate any and all liability for misrepresentations contained in the Prospectus amongst the vendors in each Other Transaction and the Promoter (or amongst any other parties to the agreement) in a fair and equitable manner; or
(iii) the SPAC shall have agreed to indemnify the Promoter for any and all liability for misrepresentations contained in the Prospectus that is not related to a Company.
Promoter Liability. IOI is executing this Agreement by John Signorello, IOI's promoter. Following the formation of IOI as a ▇▇▇▇▇▇▇▇ ▇▇▇▇▇ration, all promoter liability of John Signorello shall be extinguished. Thereafter, IOI shall be cons▇▇▇▇▇▇ ▇▇▇ ▇▇▇▇y to this Agreement and John Signorello shall be released of all promoter liability.