Director's Resignation Letter
(Stock Acquisition)

Summary

This template is a resignation letter for use by a director of a corporation upon its acquisition through the purchase of stock. It includes practical guidance, drafting notes, and an alternate clause. In a transaction whereby a business is acquired through the purchase of the stock of the target corporation, it is typical that the transaction will contemplate that some or all of the directors of the target corporation's board will cease to remain on the board. The stock purchase agreement will often specifically call for the resignation of some or all of the target's board directors. The agreement may contain a form of resignation letter to be used as an exhibit. For a resignation letter used as a result of a merger, see Director's Resignation Letter (Merger).