Common use of Preservation of Company Status as Not a Publicly Traded Partnership Clause in Contracts

Preservation of Company Status as Not a Publicly Traded Partnership. By purchase of the Units in the Company, the Subscriber represents to the Company that Subscriber has neither acquired nor will it transfer or assign any of the Units that Subscriber purchases (or any interest therein) or cause any such Units (or any interest therein) to be marketed on or through an “established securities market” within the meaning of Section 7704(b)(l) of the Internal Revenue Code of 1986, as amended (the “Code”) or a “secondary market” (or the substantial equivalent thereof) within the meaning of Section 7704(b)(2) of the Code, including, without limitation, an over-the-counter market or an interdealer quotation system that regularly disseminates firm buy or sell quotations. Furthermore, each Subscriber agrees that if it determines to transfer or assign any of its Units pursuant to the provisions of the Operating Agreement, Subscriber will cause its proposed transferee to agree to the transfer restrictions set forth herein and in the Operating Agreement and to make the representations set forth above. The Subscriber hereby represents that at least one of the following statements with respect to such Subscriber is true and will continue to be true throughout the period during which such Subscriber holds the Units: