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LLC Shareholder Agreement Template for Austria

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Key Requirements PROMPT example:

LLC Shareholder Agreement

"I need an LLC Shareholder Agreement under Austrian law for a technology startup with three founding shareholders, where two will be active in management and one will be a passive investor, including specific provisions for future funding rounds and protecting intellectual property rights."

Document background
The LLC Shareholder Agreement is a fundamental document used when establishing or updating the governance structure of an Austrian Limited Liability Company (GmbH). This agreement becomes necessary when multiple shareholders are involved in a GmbH and need to define their relationships, rights, and obligations beyond what is covered in the standard Articles of Association. The document is particularly crucial for joint ventures, family businesses, and companies with multiple investors, as it provides detailed provisions for share transfers, voting arrangements, profit distribution, and dispute resolution. Under Austrian law, while the GmbH's Articles of Association must be notarized, the Shareholder Agreement can include additional privately agreed terms that bind the shareholders. The agreement must comply with Austrian corporate law, particularly the GmbHG, while addressing specific needs of the shareholders and protecting both majority and minority interests.
Suggested Sections

1. Parties: Identification of all shareholders and the company, including their full legal names, registration details, and addresses

2. Background: Context of the agreement, company formation details, and current shareholding structure

3. Definitions and Interpretation: Definitions of key terms used throughout the agreement and rules for interpretation

4. Share Capital and Shareholders: Details of company's share capital, shareholding percentages, and classes of shares

5. Management and Corporate Governance: Structure and powers of management, appointment of managing directors (Gesch盲ftsf眉hrer), and decision-making processes

6. Shareholders' Meetings: Procedures for convening and conducting shareholders' meetings, voting rights, and quorum requirements

7. Transfer Restrictions: Restrictions on share transfers, including right of first refusal and approval requirements

8. Pre-emption Rights: Process and conditions for existing shareholders to purchase shares before they can be offered to third parties

9. Confidentiality: Obligations regarding confidential information and trade secrets

10. Dividend Policy: Rules and procedures for dividend distributions and profit sharing

11. Deadlock Resolution: Mechanisms for resolving disputes and deadlock situations between shareholders

12. Term and Termination: Duration of the agreement and circumstances under which it can be terminated

13. General Provisions: Standard legal provisions including governing law, jurisdiction, and notices

Optional Sections

1. Tag-Along Rights: Used when minority shareholders need protection to join in sale of shares by majority shareholders

2. Drag-Along Rights: Included when majority shareholders want the right to force minority shareholders to join in a sale

3. Anti-dilution Provisions: Required when there's likelihood of future capital increases and need to protect existing shareholding percentages

4. Put and Call Options: Included when shareholders want specific rights to sell or buy shares under predetermined conditions

5. Non-Competition and Non-Solicitation: Added when shareholders are actively involved in business operations or have access to sensitive information

6. Intellectual Property Rights: Necessary when the company has significant IP assets or shareholders contribute IP

7. Employee Shareholders: Required when some shareholders are also employees, defining special conditions for their shareholding

8. Exit Strategy: Included when shareholders want to define specific procedures for company sale or IPO

Suggested Schedules

1. Schedule 1 - Share Capital Structure: Detailed breakdown of share capital, including share classes and shareholders' holdings

2. Schedule 2 - Articles of Association: Copy of the current Articles of Association (Gesellschaftsvertrag)

3. Schedule 3 - Reserved Matters: List of decisions requiring special majority or unanimous shareholder approval

4. Schedule 4 - Share Valuation Methodology: Agreed method for valuing shares for transfers or exit purposes

5. Schedule 5 - Management Structure: Detailed organizational chart and management responsibilities

6. Schedule 6 - Business Plan: Initial business plan and strategy (if applicable)

7. Schedule 7 - Deed of Adherence: Template for new shareholders to join the agreement

8. Schedule 8 - Competing Businesses: List of businesses considered competitors for non-compete provisions

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions



















































Clauses









































Relevant Industries

Technology

Manufacturing

Professional Services

Real Estate

Retail

Healthcare

Financial Services

Construction

Media and Entertainment

Hospitality

Energy

Transportation and Logistics

Agriculture

Education

Consulting

Relevant Teams

Legal

Corporate Governance

Executive Leadership

Finance

Compliance

Corporate Affairs

Investment Relations

Risk Management

Strategy

Board Secretariat

Relevant Roles

CEO

Managing Director

Chief Legal Officer

Corporate Lawyer

General Counsel

Company Secretary

Chief Financial Officer

Board Member

Compliance Officer

Corporate Governance Officer

Investment Manager

Business Development Director

Shareholder Relations Manager

Risk Manager

Corporate Strategy Director

Industries







Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks, 聽Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination, 聽Severance Pay, Governing Law, Entire Agreemen

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