This article posted on our partner site Mondaq.com discusses “swaps” of assets instead of cash consideration between organizations as a creative way to avoid triggering a pre-emptive right or right of first refusal in a joint venture agreement.
The swap of unlike items (possibly the future “farming rights” or “drilling rights” may create value that could far exceed (possibly beyond the ability to quantify) the cash consideration that might be required in order for joint venturers to match the potential deal from a right of first refusal perspective.
This comes to you as a part of Clausehound’s exciting new collaboration with Mondaq!