shareholders' agreement
An agreement between shareholders of a company containing their agreement on the regulation of their relationship and on the administration of the company. There will be an overlap with the Articles of Association but it is not, unlike the Articles of Association, subject to public scrutiny.

Easyform Glossary of Law Terms. — UK law terms.


shareholders' agreement
An agreement among the shareholders of a corporation that can cover buy-sell rights, restrictions on transferring shares, voting rights, and/or the employment of a shareholder. (See also: buy-sell agreement)
Category: Business, LLCs & Corporations → LLCs, Corporations, Partnerships, etc.

Nolo’s Plain-English Law Dictionary. . 2009.

shareholders' agreement
An agreement made between the shareholders. It can arise in a number of situations:
• In a private limited company to set out terms governing issue and transfer of shares, directorships and so on.
• In a joint venture to deal with the ongoing relationship of the joint venturers as shareholders in the joint venture company after completion, and covering such issues as appointment of directors, reserved matters for shareholders, capital and so on.
• In a management buyout transaction, the investment agreement is sometimes known as the shareholders' agreement and evidences the commitment of both the private equity provider and the management team to subscribe for shares in the new company for cash. They also set out the rights attaching to these shares, regulate their transfer, provide for the running of the new company and contain warranties (warranty) from the management team in favour of the private equity provider.
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shareholders' agreement

Practical Law Dictionary. Glossary of UK, US and international legal terms. . 2010.

shareholders' agreement
n.
   an employment agreement among the shareholders of a small corporation permitting a shareholder to take a management position with the corporation without any claim of conflict of interest or self-dealing against the shareholder/manager. Such agreements are common when there are only three or four shareholders.

Law dictionary. . 2013.

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