The five shareholders of Orthopedic Ease,Inc.,a medical equipment firm,want to prevent each other from sell?ing the shares to third parties without first being given the opportu?nity to buy them.This can be provided for in

Question

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The best option to prevent shareholders from selling shares to third parties without first offering them to the other shareholders would be a shareholder agreement. This agreement would establish rules and procedures that all parties involved would have to follow, including any restrictions on selling shares. Key-person insurance, private offerings, and public offerings would not necessarily address this particular issue.

The Five Shareholders of Orthopedic Ease,Inc