Common use of Understanding the Investment Risks Clause in Contracts

Understanding the Investment Risks. Grantee understands that: (i) an investment in Future Incentive Units represents a highly speculative investment, and there can be no assurance as to the success of Zuffa Parent in its business; (ii) an investment in Future Incentive Units in turn represents a highly speculative investment, and there can be no assurance as to the success of Zuffa Parent in its business; (iii) the Future Incentive Units are subject to restrictions on transfer that may significantly limit the ability of Grantee to market, transfer or sell the Future Incentive Units; (iv) the Future Incentive Units may be worthless; and (v) ownership of the Future Incentive Units may result in taxable income to Grantee without a corresponding cash or in-kind distribution.

Understanding the Investment Risks. Grantee understands that: (i) an investment in Future Incentive Units represents a highly speculative investment, and there can be no assurance as to the success of Zuffa Parent Employer in its business; (ii) an investment in Future Incentive Units in turn represents a highly speculative investment, and there can be no assurance as to the success of Zuffa EOC Parent in its business; (iii) the Future Incentive Units are subject to restrictions on transfer that may significantly limit the ability of Grantee to market, transfer or sell the Future Incentive Units; (iv) the Future Incentive Units may be worthless; and (v) ownership of the Future Incentive Units may result in taxable income to Grantee without a corresponding cash or in-kind distribution.