Step-In Agreement Meaning

It is important to keep in mind that this is a right and not an obligation. For example, the funder is not automatically liable for amounts due by the promoter, it usually enters into its position and thus accepts its rights and obligations only if it makes a compliant notification. Insofar as step-in rights belong to third parties (who can only impose rights, no obligations), they must be subject to the acceptance of the obligations related to them. If a registration clause is excessively burdensome for one of the parties, it may be the subject of a legal action for breach of good faith and public order. This requires finding the right third party, negotiating a deal with them, and (since the deal is likely valid for a limited period of time) paying a much higher price for services that you may or may not pick up from your established provider. . . .