Document background
The Simple Stock Purchase Agreement is a fundamental legal document used in New Zealand business transactions for the transfer of company shares. This agreement is particularly suitable for straightforward share transfers in private companies, where one party (the seller) wishes to transfer their shareholding to another party (the purchaser). It includes essential elements such as the number and class of shares being transferred, purchase price, payment terms, and basic warranties about share ownership and authority to sell. The document ensures compliance with New Zealand's Companies Act 1993 and other relevant legislation while maintaining a simpler structure compared to more complex share purchase agreements. It's commonly used for smaller transactions, transfers between known parties, or situations where extensive due diligence and warranties are not required.
