SUBSCRIPTION AGREEMENT
THIS AGREEMENT by and between Van Den Xxxx Management, Inc. ("Company"), a
California corporation and the CM Advisers Family of Funds ("Trust"), a
statutory trust organized and existing under and by virtue of the laws of the
State of Delaware.
In consideration of the mutual promises set forth herein, the parties agree
as follows:
1. The Trust agrees to sell to Company and Company hereby subscribes to
purchase 10,000 shares ("Shares") of beneficial interest of Turnaround Fund, a
series of the Trust, with a par value of $0.001 per Share, at a price of ten
dollars ($10.00) per each Share.
2. Company agrees to pay $100,000 for all such Shares at the time of their
issuance, which shall occur upon call of the President of the Trust, at any time
on or before the effective date of the Trust's Registration Statement filed by
the Trust on Form N-1A with the Securities and Exchange Commission
("Registration Statement").
3. Company acknowledges that the Shares to be purchased hereunder have not
been registered under the federal securities laws and that, therefore, the Trust
is relying on certain exemptions from such registration requirements, including
exemptions dependent on the intent of the undersigned in acquiring the Shares.
Company also understands that any resale of the Shares, or any part thereof, may
be subject to restrictions under the federal securities laws, and that Company
may be required to bear the economic risk of any investment in the Shares for an
indefinite period of time.
4. Company represents and warrants that it is acquiring the Shares solely
for its own account and solely for investment purposes and not with a view to
the resale or disposition of all or any part thereof, and that its has no
present plan or intention to sell or otherwise dispose of the Shares or any part
thereof at any time in the near future.
5. Company agrees that it will not sell or dispose of the Shares or any
part thereof, except to the Trust itself, unless the Registration Statement with
respect to such Shares is then in effect under the Securities Act of 1933, as
amended.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement by their
duly authorized representatives this 7th day of May, 2003.
VAN DEN XXXX MANAGEMENT, INC.
By: /s/ Xxxxxx Van Den Xxxx
Xxxxxx Van Den Xxxx
Title: President
CM ADVISERS FAMILY OF FUNDS
By: /s/ Xxxxxx Van Den Xxxx
Xxxxxx Van Den Xxxx
Title: Trustee
