Common use of Dissolution or Merger Clause in Contracts

Dissolution or Merger. In the event that, prior to the exercise in full of this option a merger or dissolution in which the Company is not the surviving business entity shall occur, or a transfer of substantially all the assets of the Company shall occur: (1) If provision be made in writing in connection with such transaction for the assumption and continuance of the option hereby granted, or the substitution for such option of a new option covering the shares of the successor business entity, with appropriate adjustment as to number and kind of shares and prices, this option, or the new option substituted therefor, as the case may be, shall continue in the same manner and under the terms provided. (2) In the event provision is not made in such transaction for the continuance and assumption of this option, or for the substitution of an option covering the shares of the successor business entity, the Optionee shall be entitled within a reasonable period of time, prior to the effective date of any such transaction, to purchase the full number of Option Shares.