Shareholder agreements cover the private company context, setting out how shareholders relate to each other and to the company. They typically govern share ownership, pre-emption on new issues, transfer restrictions, deadlock resolution, dividend expectations, and exit arrangements. A solicitor drafts and negotiates the document, advises on enforceability, and helps structure governance like voting arrangements, board control, and ROFR/ROFO provisions to prevent disputes. The work often shapes long‑term relationships and protects minority and majority interests alike.
Why this work is usually handled by a solicitor
A shareholder agreement locks in terms that prevent later disputes by detailing pre-emption rights, restrictions on share transfers, and mechanisms for resolving deadlock. It permits the solicitor to review or draft the contract with emphasis on enforceability and protections such as drag-along and piggy-back rights, share valuation, and exit triggers, backed by professional indemnity and regulatory accountability.