Liability of Certificateholders Clause Samples
The "Liability of Certificateholders" clause defines the extent to which individuals or entities holding certificates (such as in a trust or investment vehicle) are responsible for the obligations and debts of the issuing entity. Typically, this clause clarifies that certificateholders are not personally liable for the entity’s liabilities beyond their investment in the certificates, meaning their risk is limited to the amount they have invested. For example, if the trust incurs losses or faces legal claims, certificateholders are protected from having to pay out of their own assets. This clause serves to reassure investors by limiting their financial exposure and ensuring that their liability does not extend beyond their initial contribution, thereby encouraging participation and investment.
Liability of Certificateholders. The Certificateholders shall be entitled to the same limitation of personal liability extended to stockholders of private corporations for profit organized under the general corporation law of the State of Delaware.
Liability of Certificateholders. No Certificateholder shall have any personal liability for any liability or obligation of the Issuer, solely by reason of it being a Certificateholder.
Liability of Certificateholders. 7 Section 2.09. Title to Trust Property......................................................................8 Section 2.10. Situs of Issuer..............................................................................8 Section 2.11. Representations and Warranties of the Depositor..............................................8 Section 2.12. Federal Income Tax Allocations...............................................................9 ARTICLE THREE TRUST CERTIFICATES AND TRANSFER OF INTERESTS
Liability of Certificateholders. 7 Section 2.09. Title to Trust Property.......................................................................7 Section 2.10. Situs of Trust..............................................................................
Liability of Certificateholders. 4 SECTION 2.11. Guaranteed Payments/Gross Income Allocations......................................... 4 SECTION 2.12. Deduction and Loss Allocations....................................................... 5 SECTION 2.13. Special Allocations.................................................................. 5 SECTION 2.14. Amended and Restated Trust Agreement................................................. 6
Liability of Certificateholders. The holders of the Certificates and any Supplemental Certificates will not be personally liable for the debts or other obligations of the Issuer except to the extent provided otherwise in the Transaction Documents.
Liability of Certificateholders. 7 ARTICLE THREE CERTIFICATES
Liability of Certificateholders. The registered holders of the Trust Certificate, the Transferor Certificates and any Supplemental Certificates shall be entitled to the same limitation of personal liability extended to stockholders of private corporations for profit organized under the General Corporation Law of the State of Nevada.
Liability of Certificateholders. 9 Section 2.08. Title to Trust Property.............................................................................9 Section 2.09. Situs of Issuer.....................................................................................9 Section 2.10. Representations and Warranties of the Depositor.....................................................9 Section 2.11. Federal Income Tax Matters.........................................................................10 Section 2.12. Texas State Tax Matters............................................................................11 ARTICLE THREE CERTIFICATES AND TRANSFER OF INTERESTS Section 3.01. Initial Ownership..................................................................................12 Section 3.02. The Certificates...................................................................................12 Section 3.03. Authentication and Delivery of Certificates........................................................12 Section 3.04. Registration, Transfer and Exchange of Certificates................................................12 Section 3.05. Mutilated, Destroyed, Lost or Stolen Certificates..................................................14 Section 3.06. Persons Deemed Certificateholders..................................................................14 Section 3.07. Access to List of Certificateholders' Names and Addresses..........................................15 Section 3.08. Maintenance of Office or Agency....................................................................15 Section 3.09. Appointment of Paying Agent........................................................................15 Section 3.10. Certificates Nonassessable and Fully Paid..........................................................16
Liability of Certificateholders. The Grantor Trust Certificateholders shall be entitled to the same limitation of personal liability extended to stockholders of private corporations organized under the General Corporation Law of the State of Delaware.