08-29-2007, 07:07 AM
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Senior Member
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Join Date: Nov 2006
Posts: 1,411
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Quote:
Originally Posted by Oleg
I mean the item of the agreement. We have an agreement between parties with the next poin:
"Company Affiliate" shall mean an entity directly or indirectly controlled by or under common control with the Company where control means having power to control such entity's general activities, but only for so long as such ownership or control shall continue..."
So I try to understand what means "directly or indirectly control", "common control"...
For instance in Russia dependent company is a company shareholder of which owns more then 25% of share capital. Thus such company depends on shareholder and affiliates... etc.
Are there similar rules due to affiliated or dependent company in the USA?
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With the differences in our respective languages, it wouldn't be advisable to ascribe legal significance to something that may be little more than a semantic difference. "Affiliate" in our law, is a relational term, the legal meaning of which can be as subjective as the document in which is it used. It is most often used to refer to a relationship between participating parties. The degree of participation between "affiliates" can and does vary from document to document. So, the amount of "control" in a particular venue is not dependant upon nor is it indicated by the using or omitting the word "affiliate".
Last edited by GentleGrace : 08-29-2007 at 02:07 PM.
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