standstill agreement
A "standstill agreement" is a strategic tool used to pause or delay certain actions, often in legal, business, or financial contexts, to facilitate negotiation or prevent escalation.
Definition
C1Corporate and Mergers & Acquisitions
(business, formal)A contract that prevents shareholders or potential buyers from taking specific actions, such as buying more shares or announcing a bid, to manage takeover attempts or negotiations.
Example
- The company entered into a standstill agreement to fend off a hostile takeover.
C1Litigation and Disputes
(legal, formal)An agreement to pause legal proceedings or extend deadlines, giving parties more time to negotiate or comply with protocols.
Example
- The parties signed a standstill agreement to avoid litigation and seek a settlement.
C1Debt Restructuring
(finance, formal)An arrangement where creditors agree not to enforce debt collection for a certain period, allowing the debtor to reorganize finances.
Example
- The debtor negotiated a standstill agreement to restructure its debts without immediate pressure from creditors.
Similar
Terms that have similar or relatively close meanings to "standstill agreement":
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