Standstill Period
/ˈstændˌstɪl ˈpɪəriəd/
Definitions
- (n.) A fixed timeframe during which parties agree to pause negotiations or legal actions, often in contracts or mergers to allow due diligence or regulatory review.
The standstill period prevented either party from making hostile offers during the merger negotiations.
- (n.) A contractual provision prohibiting certain actions, such as acquisitions or sales, during a specified time to maintain status quo.
The shareholders agreed to a standstill period to avoid disruptions while restructuring.
Forms
- standstill period
- standstill periods
Related terms
See also
Commentary
Standstill periods often appear in merger agreements and litigation settlements to prevent changes in position; clarity on start and end dates is crucial for enforceability.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.