Common use of Repurchase Rights Clause in Contracts

Repurchase Rights. In the event that the Employee's employment is terminated, then the Company shall have the right, but not the obligation, to repurchase all or a part of the Initial Stock then owned by the Employee at a price equal to fair market value, less any appropriate discounts for the restrictive nature of, and the minority interest represented by, the Initial Stock. In the event that the parties can not mutually agree on the fair market value of the Initial Stock, the value shall be determined by arbitration in accordance with the provisions of Section 12, except that the arbitrators shall each be qualified appraisers having at least ten years experience in valuing commercial businesses, similar in nature to that of the Company, in the metropolitan Washington D.C area, and the decision of the arbitrator(s) shall be final and conclusive on both parties.