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Rights of First Offer and Rights of First Refusal: blessings or hidden trap

John Sotos & Mohsen Seddigh

Published August 11, 2017

When negotiating an agreement you may run into a clause titled Right of First Refusal (“ROFR”) or Right of First Offer (“ROFO”). Many people might read over such clauses and not pay much attention. Others may pay attention but not know if or how either clause may serve their interests. Regardless of which one they select, there can be unintended consequences down the line. Similarly, how the clause is drafted can have a material impact on the parties’ interests.

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