right of first refusal

Popular Terms
Contractual right under which a seller must give a party (such as a partner) an opportunity to match (within a specified timeframe) a price at which a third party agrees to buy a specified asset (such as a certain number of shares), on the same terms offered to the third party. Compare with preemption right.

Use 'right of first refusal' in a Sentence

I explained to him that we had right of first refusal and he did not know what I meant, so I explained it to him.
17 people found this helpful
If you have the right of first refusal you need to figure out if you should pass or if you should take on the purchase.
15 people found this helpful
When you have right of first refusal you are in a great position to be able to make the first decision on if you want it or not.
14 people found this helpful

Email Print Embed