What does preemptive right mean?
Definitions for preemptive right
pre·emp·tive right
This dictionary definitions page includes all the possible meanings, example usage and translations of the word preemptive right.
Princeton's WordNet
preemptive rightnoun
the right granting to shareholders the first opportunity to buy a new issue of stock; provides protection against dilution of the shareholder's ownership interest
Wiktionary
preemptive rightnoun
The right of shareholders to maintain a constant percentage of a company's shares by receiving a proportionate fraction of any new shares issued, thus preempting any dilution
Wikipedia
preemptive right
A pre-emption right, right of pre-emption, or first option to buy is a contractual right to acquire certain property newly coming into existence before it can be offered to any other person or entity. It comes from the Latin verb emo, emere, emi, emptum, to buy or purchase, plus the inseparable preposition pre, before. A right to acquire existing property in preference to any other person is usually referred to as a right of first refusal.
ChatGPT
preemptive right
A preemptive right, also known as right of first refusal, is a contractual provision that offers a shareholder or stakeholder certain rights over prospective transactions. This gives the shareholder the right to purchase additional shares before the company sells those shares to other individuals or entities in the event of a new issuance. The preemptive right allows shareholders to maintain their proportional control and ownership in the company by avoiding dilution.
Matched Categories
Numerology
Chaldean Numerology
The numerical value of preemptive right in Chaldean Numerology is: 9
Pythagorean Numerology
The numerical value of preemptive right in Pythagorean Numerology is: 2
Translations for preemptive right
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"preemptive right." Definitions.net. STANDS4 LLC, 2024. Web. 18 Apr. 2024. <https://www.definitions.net/definition/preemptive+right>.
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