Adjustment Condition

An adjustment condition is a contractual clause that adjusts the terms of an agreement based on specific future events or market conditions. These clauses are often used to protect investors or shareholders, ensuring that valuations or ownership stakes are fair under changing circumstances. Adjustment conditions are common in M&A and investment agreements.

• Clause adjusting agreement terms based on future events.
• Protects investors under changing conditions.
• Common in M&A and investment agreements.
• Ensures fairness in valuations and ownership stakes.