Common use of Transactions with Stockholders and Affiliates Clause in Contracts

Transactions with Stockholders and Affiliates. Except for the transactions described on Schedule 7.12, Company shall ------------- not, and shall not permit any of its Subsidiaries to, directly or indirectly, enter into or permit to exist any transaction (including the purchase, sale, lease or exchange of any property or the rendering of any service) with any Affiliate of Company, on terms that are less favorable to Company or that Subsidiary, as the case may be, than those that might be obtained at the time from Persons who are not such an Affiliate; provided that the foregoing -------- restriction shall not apply to (i) any transaction between Company and any of its wholly-owned Subsidiaries or between any of its wholly-owned Subsidiaries or (ii) reasonable and customary fees paid to members of the Boards of Directors of Company and its Subsidiaries.

Appears in 2 contracts

Samples: Credit Agreement (Diamond Brands Operating Corp), Security Agreement (Diamond Brands Operating Corp)

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Transactions with Stockholders and Affiliates. Except for the transactions described on Schedule 7.12, Company shall ------------- not, and shall not permit any of its Subsidiaries to, directly or indirectly, enter into or permit to exist any transaction (including the purchase, sale, lease or exchange of any property or the rendering of any service) with any holder of 5% or more of any class of equity Securities of Company or with any Affiliate of CompanyCompany or of any such holder, on terms that are less favorable to Company or that Subsidiary, as the case may be, than those that might be obtained at the time from Persons who are not such an a holder or Affiliate; provided that the foregoing -------- restriction shall not apply to (i) any transaction between Company and any of its wholly-owned Subsidiaries or between any of its wholly-owned Subsidiaries Subsidiaries, or (ii) reasonable and customary fees paid to members of the Boards of Directors of Company and its Subsidiaries.

Appears in 1 contract

Samples: Credit Agreement (Falcon Products Inc /De/)

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Transactions with Stockholders and Affiliates. Except for the transactions described on Schedule 7.12, Company shall ------------- not, and shall not permit any of its Subsidiaries to, directly or indirectly, enter into or permit to exist any transaction (including the purchase, sale, lease or exchange of any property or the rendering of 111 any service) with any holder of 5% or more of any class of equity Securities of Company or with any Affiliate of CompanyCompany or of any such holder, on terms that are less favorable to Company or that Subsidiary, as the case may be, than those that might be obtained at the time from Persons who are not such an a holder or Affiliate; provided that the foregoing -------- restriction shall not apply to (i) any transaction between Company and any of its whollyWholly-owned Subsidiaries or between any of its whollyWholly-owned Subsidiaries or (ii) reasonable and customary fees paid to members of the Boards of Directors of Company and its Subsidiaries.

Appears in 1 contract

Samples: Credit Agreement (Manufacturers Services LTD)

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