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Related party transactions clause: Copy, customize, and use instantly

Introduction

A related party transactions clause outlines the requirements and conditions for transactions between related parties, ensuring transparency and compliance with legal and regulatory standards. It is designed to prevent conflicts of interest, unfair advantages, and ensures that related party transactions are conducted at arm’s length, with terms similar to those found in transactions with independent third parties.

Below are templates for related party transactions clauses tailored to different scenarios. Copy, customize, and insert them into your agreement.

This clause applies when the parties agree to disclose related party transactions.

The Parties agree that any transactions between them or their affiliates, which may be considered related party transactions, shall be fully disclosed in writing to all relevant parties. These transactions will be subject to review and approval by an independent board committee, if applicable, to ensure fairness and compliance with applicable laws.

This clause applies when transactions between related parties must be conducted at fair market value.

The Parties agree that any transactions involving related parties shall be conducted at fair market value, with terms and conditions that are no more favorable than those typically offered to independent third parties. Both Parties shall ensure that these transactions are documented and reviewed to avoid conflicts of interest.

This clause applies when related party transactions must be approved by an independent body.

The Parties agree that no related party transactions shall be executed unless such transactions have been approved by the independent audit committee or board of directors. The Parties shall provide full disclosure of the terms of the transaction, including any potential conflicts of interest, prior to seeking approval.

This clause applies when related party transactions must comply with legal and regulatory standards.

The Parties agree that all related party transactions shall comply with all relevant laws, regulations, and accounting standards, including those set forth by [relevant regulatory body]. The Parties shall ensure that these transactions are conducted in a transparent manner and that any necessary filings are made with the appropriate authorities.

This clause applies when related party transactions must be reported.

The Parties agree to report all related party transactions in the company’s financial statements in accordance with applicable accounting standards and regulations. These reports shall provide full details of the transactions, including the identities of the related parties, the terms, and the amounts involved.

This clause applies when related party transactions are prohibited without independent approval.

The Parties agree that no related party transaction shall take place without the prior written approval of the independent audit committee or another designated body. Any related party transaction that lacks approval will be deemed invalid, and corrective actions will be required to ensure compliance with this Agreement.

This clause applies when terms and conditions for related party transactions are specified.

The Parties agree that all related party transactions must be carried out under terms and conditions that are consistent with industry standards and at fair market value. The Parties will ensure that these transactions are documented and that any potential conflicts of interest are disclosed and resolved.

This clause applies when related party transactions are governed by the company’s internal policy.

The Parties agree that related party transactions will be governed by the company’s internal policies and procedures, which are designed to ensure transparency, fairness, and compliance with applicable laws. These policies will require full disclosure of any related party relationships and approval by relevant parties before proceeding with any transactions.

This clause applies when related party transactions are restricted or limited.

The Parties agree that related party transactions will be subject to certain restrictions, including limits on the amount and scope of transactions, as specified by company policy. No related party transaction will be executed without prior approval, and any exceptions to these restrictions must be thoroughly documented and justified.

This clause applies when related party transactions are subject to independent review.

The Parties agree that all related party transactions shall be subject to independent review by a third party to ensure compliance with fair business practices and legal requirements. The results of such reviews will be shared with the board of directors or other governing body for final approval.

This clause applies when related party transactions must be disclosed at the time of the transaction.

The Parties agree to disclose any related party transactions to all relevant stakeholders at the time the transaction occurs, including full details of the transaction, the involved parties, and the terms and conditions. This disclosure will be made in accordance with company policies and applicable laws.

This clause applies when related party transactions may result in conflicts of interest.

The Parties agree that related party transactions must be conducted in a manner that avoids any actual or perceived conflict of interest. In the event of any conflict, the transaction will be subject to review and approval by an independent body to ensure fairness and compliance with ethical standards.

This clause applies when related party transactions must comply with accounting standards.

The Parties agree that all related party transactions will comply with the applicable accounting standards, including [specific accounting standards]. These transactions will be disclosed in the financial statements as required by law, and proper accounting procedures will be followed to ensure transparency and accuracy.

This clause applies when related party transactions must be conducted at arms-length.

The Parties agree that all related party transactions shall be conducted at arm's length, with terms and conditions that are fair and equitable for all parties involved. No preferential treatment will be given to any related party, and the terms of the transaction will be subject to independent review to ensure fairness.

This clause applies when related party transactions must be documented.

The Parties agree that all related party transactions must be properly documented, including the terms and conditions, parties involved, and any other relevant details. Documentation will be retained for a minimum period of [X] years and will be available for review by auditors or regulatory authorities if requested.

This clause applies when there are limitations on related party transactions.

The Parties agree that related party transactions will be subject to limitations, including a cap on the total value of such transactions per fiscal year. These limitations are designed to ensure that related party transactions do not adversely affect the financial health or integrity of the company.

This clause applies when related party transactions are subject to an approval process.

The Parties agree that all related party transactions will be subject to an approval process that involves review by the board of directors or an independent committee. No related party transaction will be executed without prior approval from the designated body.

This clause applies when materiality thresholds are set for related party transactions.

The Parties agree that related party transactions exceeding a certain threshold, as determined by the company’s materiality policy, will require additional review and approval. The threshold for material transactions will be set at [specified amount], and transactions above this amount will be subject to more stringent approval procedures.

This clause applies when related party transactions are carried out under specified terms.

The Parties agree that related party transactions will only be conducted under specified terms and conditions that have been pre-approved by the company’s governance body. These terms may include limits on the amount, duration, and type of transaction, as well as other criteria to ensure fairness and transparency.

This clause applies when related party transactions are subject to auditing.

The Parties agree that all related party transactions will be subject to regular audits to ensure compliance with applicable laws, company policies, and ethical standards. Audits will be conducted annually, and any discrepancies will be addressed promptly.

This clause applies when related party transactions are restricted during specific periods.

The Parties agree that related party transactions will be restricted during certain periods, including [specific periods or circumstances], to avoid any potential conflicts of interest. Transactions may only proceed after an independent review is conducted and approval is granted by the designated body.

This clause applies when there are specific reporting requirements for related party transactions.

The Parties agree that all related party transactions will be reported in the company’s financial statements in accordance with applicable accounting standards. This report will include details of the transaction, including the involved parties, the terms, and any potential impact on the company’s financial position.

This clause applies when related party transactions require review by the audit committee.

The Parties agree that all related party transactions must be reviewed by the audit committee prior to execution. The committee will assess the fairness and compliance of the transaction with company policy and regulatory standards, ensuring that no conflicts of interest arise.

This clause applies when related party transactions require regulatory approval.

The Parties agree that any related party transactions that exceed [specified amount] or involve certain industries must be approved by the relevant regulatory authorities. The company will ensure that all required filings are completed and approvals obtained before proceeding with the transaction.

This clause applies when related party transactions must follow arm’s length principles.

The Parties agree that all related party transactions will be conducted at arm's length, ensuring that terms are no more favorable than those offered to independent third parties. Both Parties will take steps to ensure that the transaction reflects market conditions and industry standards.

This clause applies when related party transactions must be disclosed.

The Parties agree that any related party transactions must be fully disclosed to shareholders in the company’s annual report and financial statements. This disclosure will include detailed descriptions of the transactions, including the nature of the relationship and the financial terms.

This clause applies when related party transactions have conditions attached.

The Parties agree that all related party transactions will be subject to specific conditions, including independent valuation, approval by a majority of disinterested directors, and compliance with applicable laws. Only transactions that meet these conditions will be executed.

This clause applies when related party transactions require independent third-party valuation.

The Parties agree that any related party transaction involving significant assets or financial terms will be subject to independent third-party valuation. The valuation will ensure that the transaction terms are fair and reasonable and reflective of market conditions.

This clause applies when related party transactions must be documented.

The Parties agree that all related party transactions must be documented in detail, including the rationale for the transaction, the identities of the parties involved, and the financial terms. Documentation will be kept on file for review by the company’s auditors and regulatory authorities.

This clause applies when related party loans are restricted.

The Parties agree that no loans or financial assistance will be provided to related parties unless specifically authorized by the board of directors. The terms of any related party loans must reflect market conditions, and the loan must be documented and disclosed in accordance with applicable laws.

This clause applies when related party transactions must be reported in financial statements.

The Parties agree that all related party transactions will be reported in the company’s financial statements in accordance with generally accepted accounting principles (GAAP). The report will include details of the transaction, including amounts, terms, and the identities of the related parties.

This clause applies when related party transactions are reviewed by an independent committee.

The Parties agree that all related party transactions will be reviewed by an independent committee to ensure that they comply with company policies and legal requirements. The committee will provide a report detailing the fairness and compliance of the transaction before any agreement is made.

This clause applies when related party transactions must be approved by shareholders.

The Parties agree that any related party transactions involving significant financial commitments will require the approval of a majority of shareholders. A meeting will be called to discuss the transaction, and all relevant details will be provided to shareholders for their review and approval.

This clause applies when related party service contracts are involved.

The Parties agree that any service contracts with related parties must be negotiated and executed on terms no less favorable than those offered to independent third parties. The Parties will ensure that the services provided under such contracts are performed in a manner consistent with industry standards.

This clause applies when related party transactions are subject to approval thresholds.

The Parties agree that related party transactions exceeding [specified amount] must be approved by the board of directors or a designated approval committee. Transactions below this threshold may be approved by the company’s management, subject to compliance with internal policies and procedures.

This clause applies when related party transactions must be disclosed to regulatory authorities.

The Parties agree that all related party transactions will be disclosed to the relevant regulatory authorities in accordance with applicable laws. This disclosure will include full details of the transaction, including the identities of the parties involved, the terms, and any potential conflicts of interest.

This clause applies when related party transactions are prohibited without prior board approval.

The Parties agree that no related party transaction shall be executed without the prior written approval of the board of directors. All related party transactions will be subject to review and approval to ensure they comply with the company’s internal policies and external legal requirements.

This clause applies to the procedures for handling related party transactions.

The Parties agree that any related party transaction must follow the procedures outlined in the company’s internal policy. These procedures include full disclosure of the transaction, a review by the audit committee, and approval from the board of directors before the transaction is executed.

This clause applies to reporting obligations for related party transactions.

The Parties agree to include full details of all related party transactions in the company’s annual financial reports. This will include the nature of the relationship, the terms of the transactions, and the financial impact on the company. The company will ensure that these transactions are disclosed in a manner that complies with financial reporting requirements.

This clause applies when related party transactions are subject to auditing.

The Parties agree that all related party transactions will be subject to periodic audits conducted by an independent external auditor. The audit will ensure that the transactions comply with applicable laws, accounting standards, and company policies, and will provide a report detailing the findings.

This clause applies when related party transactions must be disclosed in material contracts.

The Parties agree that any related party transactions involving material contracts must be disclosed in the contract terms. The details of the transaction, including the identities of the related parties, the terms of the agreement, and any potential conflicts of interest, will be clearly outlined in the contract documentation.

This clause applies when related party transactions require third-party auditor approval.

The Parties agree that any related party transactions will be subject to approval by third-party auditors to ensure that the terms are fair and meet industry standards. The auditors will review the transaction and provide an independent assessment before the transaction is finalized.

This clause applies when related party transactions must be reviewed by external counsel.

The Parties agree that all related party transactions will be reviewed by external legal counsel to ensure compliance with legal and regulatory requirements. The counsel will provide an opinion on the fairness and legality of the transaction before it is executed.

This clause applies when related party transactions require arm’s length review.

The Parties agree that all related party transactions will be reviewed to ensure they meet arm's length standards. The terms of the transaction will be assessed to ensure they are comparable to what would be agreed upon between unrelated parties, and adjustments will be made if necessary.

This clause applies when related party transactions involve profit-sharing limitations.

The Parties agree that any related party transactions involving profit-sharing will be subject to a limitation based on fair market value. The terms will be structured to ensure that no party receives more favorable terms than they would in a transaction with an independent third party.

Transaction terms subject to regulatory scrutiny

This clause applies when related party transactions require regulatory scrutiny.

The Parties agree that all related party transactions will be subject to review and approval by relevant regulatory bodies. The company will ensure that the transaction complies with all applicable laws and regulations, including those governing antitrust, securities, and tax matters.

This clause applies when related party transactions require review by external consultants.

The Parties agree that any related party transaction that exceeds [specified amount] will be subject to review by external consultants to ensure the terms are fair, transparent, and in line with industry standards. Consultants will provide a written report before the transaction is approved.

This clause applies when related party financial transactions are restricted.

The Parties agree that no financial transactions between related parties shall exceed [specified amount] without prior approval by the board of directors. Transactions exceeding this limit must be disclosed to shareholders and regulators before they are executed.

This clause applies when related party transactions must be evaluated by a third-party valuation expert.

The Parties agree that any significant related party transaction will be subject to valuation by an independent third-party expert. The valuation will assess whether the terms of the transaction align with market conditions and ensure the transaction is fair to the company.

This clause applies when related party transactions require due diligence.

The Parties agree that any related party transaction will undergo thorough due diligence before execution. This process will include an assessment of the involved parties' financial health, potential conflicts of interest, and the alignment of the transaction with the company’s strategic goals.

This clause applies when related party transactions are audited independently.

The Parties agree that all related party transactions will be audited annually by an independent auditor. The auditor will evaluate the fairness, legality, and financial impact of the transactions and provide a comprehensive report to the board of directors.

This clause applies when related party transactions must be disclosed in quarterly filings.

The Parties agree to disclose any related party transactions in the company’s quarterly filings, as required by applicable regulations. The disclosure will include the nature of the relationship, the transaction terms, and any potential impact on the company’s financial statements.

This clause applies when related party transactions must not involve preferential treatment.

The Parties agree that no related party will receive preferential treatment in any transaction. All related party transactions will be executed under terms and conditions comparable to those offered to unrelated third parties, ensuring that all parties are treated equitably.

This clause applies when related party transactions must be disclosed to stakeholders.

The Parties agree that all related party transactions will be disclosed to key stakeholders, including shareholders, employees, and other interested parties. These disclosures will include the details of the transaction, including its purpose and terms, to maintain transparency and trust.

This clause applies when related party loans are prohibited without approval.

The Parties agree that no loans or credit extensions will be provided to related parties without prior approval from the board of directors. Any loan to a related party must be documented and offered on terms that are comparable to what an unrelated third party would receive.

This clause applies when related party transactions require equal terms.

The Parties agree that all related party transactions will be subject to a condition that ensures the terms are equal to those offered to independent third parties. Any deviation from this requirement must be approved by the board and documented as part of the transaction.

This clause applies when related party transactions above a specified threshold require board review.

The Parties agree that any related party transactions exceeding [specified amount] will be subject to review and approval by the board of directors. This ensures that all such transactions align with the company’s interests and legal obligations.

This clause applies when related party transactions must be disclosed in annual financial reports.

The Parties agree to disclose all related party transactions in the company’s annual financial reports. These disclosures will include the names of the related parties involved, the terms of the transactions, and any financial impact on the company’s bottom line.

This clause applies when there is a limitation on the frequency of related party transactions.

The Parties agree that related party transactions will be limited to [specified frequency] per year unless otherwise approved by the board of directors. This limitation ensures that the company does not overly rely on related party transactions and maintains financial stability.

This clause applies when related party transactions occur in a merger or acquisition.

The Parties agree that any related party transaction occurring during the process of a merger or acquisition will be subject to an independent fairness opinion. This ensures that the transaction terms are reasonable and that there is no undue advantage gained by any related party.

This clause applies when significant related party transactions require external review.

The Parties agree that any related party transaction considered significant, based on [specified amount or criteria], will be subject to review by an external consultant. The consultant will assess the terms and fairness of the transaction and provide a report that is submitted to the board for approval.

This clause applies when related party transactions must comply with local and international laws.

The Parties agree that all related party transactions will comply with applicable local and international laws, including antitrust, tax, and financial reporting regulations. The company will ensure that all related party transactions are reviewed for legal compliance before execution.

This clause applies when related party transactions must be reviewed by legal counsel.

The Parties agree that all related party transactions will be reviewed by legal counsel before execution to ensure compliance with applicable laws and company policies. Legal counsel will assess any potential conflicts of interest and provide recommendations for resolution.

This clause applies when related party transactions require independent assessment to ensure fairness.

The Parties agree that all related party transactions must be subject to an independent third-party assessment to ensure that terms are consistent with market conditions. This will ensure fairness and transparency in the transaction.

This clause applies when related party loans require review and approval by the board.

The Parties agree that any loans or financial assistance between related parties must be reviewed and approved by the independent board committee before execution. The transaction terms will be comparable to loans provided to unrelated parties.

This clause applies when related party transactions require confidentiality.

The Parties agree that details of related party transactions shall remain confidential, except where disclosure is required by law or regulatory authorities. Confidentiality ensures that sensitive business information is not compromised.

This clause applies when related party transactions must be reported separately.

The Parties agree that a separate financial report detailing all related party transactions will be prepared and included in the company’s quarterly financial disclosures. The report will highlight the financial impact and terms of the transactions.

This clause applies when related party transactions require shareholder approval.

The Parties agree that all related party transactions involving significant amounts, as defined by the company, must be presented to shareholders for approval at the next general meeting. This ensures that shareholders have oversight on transactions involving related parties.

This clause applies when related party transactions are audited by external accountants.

The Parties agree that all significant related party transactions will be audited by external accountants. The auditors will verify that the terms and conditions are fair, comply with relevant accounting standards, and are aligned with industry practices.

This clause applies when related party transactions involving competitors are prohibited.

The Parties agree that no related party transactions will take place with competitors or entities that could result in a conflict of interest. The company will ensure that all related transactions comply with antitrust laws and do not undermine fair competition.

This clause applies when related party transactions require written consent.

The Parties agree that any transaction between related parties will require written consent from the board of directors before execution. The written consent must confirm that the transaction terms are reasonable and compliant with all internal policies.

This clause applies when related party transactions must comply with legal and regulatory standards.

The Parties agree that all related party transactions will comply with all relevant laws, regulations, and accounting standards, including those set forth by [relevant regulatory body]. The Parties shall ensure that these transactions are conducted in a transparent manner and that any necessary filings are made with the appropriate authorities.

This clause applies when related party transactions are prohibited without board approval.

The Parties agree that no related party transaction shall take place without the prior written approval of the independent audit committee or another designated body. Any unapproved transaction will be deemed invalid, and corrective actions will be required to ensure compliance with this Agreement.

This clause applies when related party transactions exceed certain financial thresholds.

The Parties agree that related party transactions exceeding a certain threshold, as determined by the company’s materiality policy, will require additional disclosures and approval from the board of directors. Transactions below this threshold may proceed without additional approval.

This clause applies when financial benefits in related party transactions are restricted.

The Parties agree that no related party will receive financial benefits from a transaction that exceed what would be considered fair market value. Any excess financial benefit will require additional review and approval from the board.

This clause applies when related party transactions require a formal board resolution.

The Parties agree that a formal board resolution is required to approve any related party transaction. The resolution will include detailed information on the transaction terms and will be documented in the meeting minutes.

This clause applies when related party transactions must follow market norms.

The Parties agree that all related party transactions must align with market norms and industry standards to ensure fairness. Any deviations from this will be reviewed and approved by the board, with justifications for the changes documented.

This clause applies when related party transactions are prohibited from providing personal gain to involved parties.

The Parties agree that no party involved in a related party transaction shall gain personal benefit beyond the terms of the agreement. Any personal gain beyond standard contractual terms will be subject to review and must be disclosed to the board.

Independent review by a conflict of interest committee

This clause applies when related party transactions must be reviewed by a conflict of interest committee.

The Parties agree that all related party transactions will be reviewed by the company’s conflict of interest committee to ensure there are no potential conflicts that could affect the integrity of the transaction. The committee will provide a report with recommendations for approval.

This clause applies when related party transactions must be disclosed in annual reports.

The Parties agree to disclose all related party transactions in the company’s annual report, including the nature of the transaction, involved parties, and the financial terms. This ensures full transparency for stakeholders.

This clause applies when related party transactions require audit committee approval.

The Parties agree that all related party transactions must be approved by the audit committee before they are finalized. This approval process ensures that the transaction complies with both company policies and external legal requirements.

This clause applies when related party transactions must be conducted at arms-length.

The Parties agree that related party transactions will be limited to arms-length agreements, ensuring that the terms reflect those that would be negotiated between unrelated parties. Any exceptions must be approved by an independent review body.

This clause applies when related party transactions must be approved by third-party auditors.

The Parties agree that all related party transactions will be subject to approval by third-party auditors to ensure that the terms are fair and meet industry standards. The auditors will review the transaction and provide an independent assessment before the transaction is finalized.

This clause applies when related party transactions must be reported in annual financial reports.

The Parties agree to include full details of all related party transactions in the company’s annual financial reports. These disclosures will include the names of the related parties involved, the terms of the transactions, and any financial impact on the company’s bottom line.

This clause applies when related party agreements must be reviewed by the audit committee.

The Parties agree that all related party agreements must be reviewed by the audit committee prior to finalizing the terms. The committee will assess the fairness and compliance of the agreement with the company’s internal policies and applicable regulations.

This clause applies when related party loans are restricted.

The Parties agree that no loans will be extended between related parties unless they are subject to review by the board of directors and comply with legal and financial regulations. The loan terms must be comparable to those available in the general market.

This clause applies when related party transactions involve real property.

The Parties agree that related party transactions involving real property will be subject to an independent valuation to ensure that the price reflects fair market value. The transaction will be reviewed by the board before execution to ensure compliance with company policy.

This clause applies when related party transactions are subject to auditing.

The Parties agree that all related party transactions will be audited annually by an independent external auditor. The audit will ensure that the transactions comply with applicable laws, accounting standards, and company policies, and will provide a report detailing the findings.

This clause ensures that all related party transactions are fully disclosed to the relevant parties.

The Parties agree that all related party transactions must be disclosed to all relevant stakeholders, including shareholders and regulators. The disclosure will include detailed information about the terms, parties involved, and the financial impact of the transactions.

This clause mandates that related party transactions be independently audited.

The Parties agree that all related party transactions will be subject to an independent audit to verify that the terms are fair, transparent, and in compliance with applicable laws and company policies. The audit findings will be submitted to the board of directors for review.

This clause ensures that related party transactions are disclosed to external auditors.

The Parties agree to disclose all related party transactions to external auditors during the annual audit process. The auditors will assess the fairness of these transactions and ensure that they comply with financial reporting standards.

This clause requires related party transactions to be reviewed by independent legal counsel.

The Parties agree that related party transactions will be reviewed by independent legal counsel to ensure compliance with applicable laws, including securities, tax, and antitrust regulations. The legal counsel will provide an opinion on the fairness and legality of the transactions.

This clause prohibits any related party transactions without prior approval from the board.

The Parties agree that no related party transaction shall take place without the prior written approval of the board of directors. Any transaction that does not receive approval will be deemed invalid, and corrective actions will be taken.

This clause ensures that related party transactions are conducted at fair market terms.

The Parties agree that any related party transaction shall be conducted at fair market value and on terms that would be offered to independent third parties. This will ensure that the transaction is fair to all parties involved and does not result in unfair advantages.

This clause restricts related party transactions with affiliated companies.

The Parties agree that related party transactions will not take place with any affiliated companies unless specifically authorized by the board of directors. The transaction must be fully disclosed and must not result in preferential treatment for any related party.

This clause requires the review of related party transactions by an independent board committee.

The Parties agree that all related party transactions exceeding a specified threshold will be subject to review by an independent committee of the board. The committee will assess the fairness and compliance of the transaction and provide a report with recommendations for approval.

This clause applies when related party transactions require external review.

The Parties agree that any significant related party transaction will be subject to external review by an independent third party. This review will ensure that the terms are fair, reasonable, and consistent with industry standards.

This clause applies when related party transactions over a specific amount require additional approval.

The Parties agree that any related party transaction exceeding [specified amount] will require additional approval by the board of directors. The transaction will be reviewed in detail to ensure it complies with all internal policies and legal requirements.

This clause ensures transparency in related party transactions.

The Parties agree that all related party transactions will be conducted with complete transparency. Full details of the transaction, including the identities of the parties involved, the terms, and the amounts, will be made available to stakeholders for review.

This clause restricts related party transactions during periods of financial distress.

The Parties agree that no related party transactions shall take place during periods of financial distress or crisis unless explicitly approved by the board of directors. This ensures that the company’s financial stability is not compromised during challenging times.

This clause mandates independent evaluation of related party transactions.

The Parties agree that all related party transactions will be subject to independent evaluation to ensure they are conducted at arm’s length and are in the best interest of the company. The evaluation will be conducted by an independent third party and the findings will be submitted to the board for review.

This clause prohibits related party loans without proper documentation.

The Parties agree that no related party loans will be executed without proper documentation, including the terms of the loan, interest rate, repayment schedule, and collateral, if applicable. The loan must be reviewed and approved by the board of directors before execution.

This clause applies when related party transactions involve intangible assets.

The Parties agree that any related party transactions involving intangible assets, such as intellectual property or goodwill, will be subject to an independent valuation. This ensures that the assets are exchanged at fair market value and that both parties receive equitable terms.

This clause applies when related party transactions require shareholder approval.

The Parties agree that any related party transaction deemed significant, as determined by the company’s policies, will require approval from a majority of shareholders. A special meeting will be convened to discuss the transaction, and all relevant details will be provided for shareholder review.

This clause ensures that related party transactions are disclosed in financial statements.

The Parties agree to disclose all related party transactions in the company’s annual financial statements. The disclosure will include the identities of the related parties, the nature of the relationship, and the terms of the transaction, ensuring transparency for stakeholders.

This clause mandates that auditors independently review related party transactions.

The Parties agree that all related party transactions will be subject to review by independent auditors during the company’s annual audit. The auditors will ensure that the terms of the transactions are fair and compliant with applicable accounting standards.

This clause applies when external regulatory approval is required for related party transactions.

The Parties agree that all related party transactions that exceed a specified threshold or involve certain industries will require approval from relevant regulatory authorities before being executed. The necessary filings will be made and approval must be obtained before the transaction can proceed.

This clause applies to conflict of interest management in related party transactions.

The Parties agree that all related party transactions will be evaluated for potential conflicts of interest. If a conflict arises, the transaction will be reviewed by an independent body, and corrective actions will be taken to ensure fairness.

This clause mandates financial reporting for related party transactions.

The Parties agree that all related party transactions will be reported in the company’s financial records, in accordance with applicable accounting standards and regulations. The report will detail the terms, amounts, and related parties involved, ensuring accurate financial reporting.

This clause restricts related party transactions without third-party approval.

The Parties agree that no related party transaction shall take place without the prior approval of a third-party reviewer. The third-party reviewer will assess the fairness of the transaction and ensure that the terms are consistent with what would be offered to an independent party.

This clause prohibits undue influence in related party transactions.

The Parties agree that no party involved in a related party transaction will exert undue influence on the other party. All related party transactions must be negotiated on terms that are fair and equitable, with no party receiving preferential treatment.

This clause ensures that legal counsel reviews related party transactions.

The Parties agree that all related party transactions will be reviewed by independent legal counsel to ensure compliance with applicable laws, including securities and tax regulations. Legal counsel will provide a report confirming the legality and fairness of the transaction before it is executed.

This clause applies when related party transactions are large and require independent review.

The Parties agree that any related party transaction exceeding a certain value will be subject to an independent review. The review will assess the terms and conditions, ensuring that the transaction is fair and meets the company’s standards.

This clause prohibits related party transactions with family members unless approved.

The Parties agree that no related party transactions will take place involving family members of company executives unless explicitly approved by the board of directors. All such transactions must be disclosed and reviewed to ensure fairness and transparency.

This clause applies when related party transactions require specific approval procedures.

The Parties agree that related party transactions will be subject to specific approval procedures, including independent review, board approval, and full disclosure to stakeholders. These procedures will ensure that the transactions comply with company policies and legal standards.

This clause ensures compliance with international standards.

The Parties agree that all related party transactions will comply with international business standards and regulations. This includes adhering to global accounting standards, antitrust laws, and ethical business practices in the execution of these transactions.

This clause applies when related party transactions must undergo regular audits.

The Parties agree that all related party transactions will undergo regular audits by external auditors. The audits will ensure that the terms of the transactions are in compliance with the company’s policies and applicable financial regulations.

This clause imposes a limitation on the volume of related party transactions.

The Parties agree that the volume of related party transactions will be limited to a specified amount per fiscal year. Any transactions exceeding this limit will require additional approval and justification, ensuring that the company does not become overly reliant on related party dealings.

This clause ensures that related party transactions comply with tax regulations.

The Parties agree that all related party transactions will comply with applicable tax laws, including transfer pricing regulations. The company will ensure that these transactions are reported correctly for tax purposes and that they reflect market value for tax compliance.

This clause prohibits related party transactions during financial downturns.

The Parties agree that related party transactions will be prohibited during periods of financial downturn or instability unless explicitly authorized by the board of directors. This restriction ensures that the company’s financial health is not adversely affected during difficult times.

This article contains general legal information and does not contain legal advice. Cobrief is not a law firm or a substitute for an attorney or law firm. The law is complex and changes often. For legal advice, please ask a lawyer.

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