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Simple English definitions for legal terms

antidestruction clause

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A quick definition of antidestruction clause:

An antidestruction clause is a rule that protects a shareholder's ability to convert their securities into new ones if the company they invested in merges with another company. This means that the shareholder can still keep their investment even if the company changes. Securities are things that show a person's ownership or creditor relationship with a company, like stocks or bonds. They don't have value on their own, but represent something else. The value of a security depends on how well the company is doing or how much people are willing to pay for it.

A more thorough explanation:

An antidestruction clause is a provision in a security that protects a shareholder's conversion rights in the event of a merger. It grants the shareholder the right to convert their securities into the securities that will replace the company's stock when the merger is complete.

For example, let's say Company A merges with Company B. If a shareholder of Company A has an antidestruction clause in their security, they have the right to convert their securities into the securities of the new merged company, instead of losing their investment.

Antidestruction clauses are important for shareholders because they provide a safeguard against losing their investment in the event of a merger or acquisition. It ensures that they have the option to convert their securities into the new company's securities, which may have a different value or structure than the original securities.

antidestructibility statute | antidilution act

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do we get a wave tmr
1a2b3c4d26z
17:34
yea
1a2b3c4d26z
17:34
just me u and egg tho
hell yeah
did you apply to gulc daddy
1a2b3c4d26z
17:34
yessur
lfg
i guess gulc tmrw
17:38
got another lawhub update email an hour after the first and nothing else has changed since the UVA UR2
17:38
don't tell me they moved me to UR3 lol
HopefullyInLawSchool
17:38
@babycat: did you not understand my silly joke?
babycat
17:42
@HopefullyInLawSchool: was talking about the guy who said he wasn’t here for banter, not you!
babycat
17:44
the poet must not avert his eyes
HopefullyInLawSchool
17:45
I was refencing the popular meme that's become a critically acclaimed talk pod cast, "Talk Tuah," which yes I am an avid listener of.
babycat
17:46
https://www.instagram.com/reel/DCW1ILZv-4z/ I like these guys
initiallaw
17:47
@info-man: I got my ii the day after that happened to me… not saying that’s what’s gonna happen butttt
HopefullyInLawSchool
17:47
Any fellow Hawk Tuahers in the chat?
windyMagician
17:48
as in we engage in the practice or we're fans?
HopefullyInLawSchool
17:48
either or
HopefullyInLawSchool
17:49
I for one enjoy a hawk tuah on my tally wacker
17:50
@initiallaw: appreciate it! i guess we'll see. don't think my current score's high enough to net me an II but i would certainly love to be wrong
HopefullyInLawSchool
17:50
check this out on reddit we gottem
HopefullyInLawSchool
17:50
look at the comments
windyMagician
17:51
nice
babycat
17:52
I guess I don’t understand why you need to specifically spit on it if you already have a wet mouth but I’m open to being convinced otherwise
babycat
17:53
Is spitting on it just for hand jobs?
snow
17:53
tf is going on in the chat rn
windyMagician
17:54
i heard guys like it when it's sloppy so spitting on it helps
HopefullyInLawSchool
17:54
Typically yes just for hand jobs
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