Common use of Limitation on Certain Actions Clause in Contracts

Limitation on Certain Actions. (a) For a period of one year from ----------------------------- the Closing, the Company shall not offer or sell any Equity Securities (as defined below) at a price per share lower than the per Share Purchase Price or otherwise on terms more favorable to the purchaser thereof than those contained in the Agreements without the consent of the Required Investors, which consent shall not be unreasonably withheld; provided, however, that the restrictions in this sentence shall not apply to the issuance of an Equity Security to an officer, director, employee or consultant to the Company or any Subsidiary pursuant to any incentive or stock option plan of the Company approved by the Board of Directors or the shareholders of the Company. The term "Equity Securities" means the Company's capital stock, warrants, rights, and options giving the holder thereof the right to acquire shares of capital stock, and any security directly or indirectly convertible into or exercisable for or exchangeable into shares of the Company's capital stock.

Limitation on Certain Actions. (a) For a period of one year from ----------------------------- the Closing, the Company shall not offer or sell any Equity Securities (as defined below) at a price per share lower than the per Share Purchase Price $1.50 or otherwise on terms more favorable to the purchaser thereof than those contained in the Agreements without the consent of the Required InvestorsInvestor, which consent shall not be unreasonably withheld; provided, however, that the restrictions in this sentence shall not apply to the issuance of an Equity Security to an officer, director, employee or consultant to the Company or any Subsidiary pursuant to any incentive or stock option plan of the Company approved by the Board of Directors or the shareholders of the Company. The term "Equity Securities" means the Company's capital stock, warrants, rights, and options giving the holder thereof the right to acquire shares of capital stock, and any security directly or indirectly convertible into or exercisable for or exchangeable into shares of the Company's capital stock.