LLC Agreement (Private Equity): Buy-Sell Provision | Practical Law
A buy-sell provision (also referred to as a "shotgun clause") to be included in a limited liability company agreement for a private equity holding company that can also be adapted for use by a limited partnership or corporation. This buy-sell right allows a member to offer to either buy the other members' membership interests or sell its own membership interest to the other members at a stated price, and allows the other members to choose to participate on the buy side or the sell side. This Standard Clause has integrated notes with important explanations and drafting and negotiating tips.