Attention in Spanish and English Schedule (Madrid) L–J 09:00–14:00 · 16:00–19:15 | Fri 08:00-15:00

What are lock up clauses and what are they for?

Two people dressed in formal business suits shake hands, symbolizing a closed agreement or deal. The scene is slightly blurred in the background, drawing attention to the hand gesture. This prominent image visually represents the concept of commitment and trust, ideal for an article about lock-up clauses, which regulate temporary restrictions on the sale of shares following an IPO or financial transaction.

A lock-up clause is a provision typically included in shareholder agreements to restrict the transfer of shares between shareholders for a specified period. This provision usually limits the ability of founding shareholders to sell all or part of their shares during a specific timeframe, generally […]

Can you be forced to sell your shares? Drag-along clause and the Wallapop case

Digital financial chart showing multiple superimposed stock indicators, including green and red Japanese candlesticks, trend lines, and numbers in different colors. In the background, world maps and silhouettes of people in suits can be seen, symbolizing the global context of the stock market. The image visually represents the dynamics of stock buying and selling.

If you are a minority shareholder, you can only be forced to sell your shares if there is a valid drag-along clause, included in the company's articles of association or shareholders' agreements, and adopted with the consent of all shareholders. The Wallapop case reopens the debate: to what extent can you be forced to sell when other majority shareholders decide […]