Legal Glossary

Tag-Along Rights allow a minority of the Shareholders to force the majority Shareholders to include that minority in a sale of Shares to a third party (i.e. the minority Shareholder can “tag along” with or “piggyback” on the majority Shareholders’ sale transaction). Tag-Along Rights provide protection for minority Shareholders if the majority Shareholders choose not to exercise Drag-Along Rights.

Memorandum of Understanding.

A sign which enables customers to distinguish the products or services of one trader from another. A Trade mark may be a word, phrase, symbol, design, logo, picture, shape, sound or smell.

Business information such as a formula, process, recipe, software, device or technique which a business keeps secret from others to gain a competitive advantage. A Trade secret cannot be registered so Confidentiality Agreements are crucial for its protection.

A Company’s Issued Shares that it has repurchased but has not cancelled so they remain issued but not outstanding (i.e. they are not held by third parties).