Joint Venture Agreement Russian Roulette Clause
(Hong Kong)

Summary

This Joint Venture Agreement Russian Roulette Clause (Hong Kong) should be used where the shareholders in a joint venture company want a deadlock situation to be ultimately resolved using a so-called Russian roulette mechanism. This clause is already included in clause 16 of Joint Venture Agreement Deadlock Clause (Hong Kong) and Joint Venture Agreement (Majority/Minority, Long Form) (Hong Kong), but this is a stand-alone version which can be added to any joint venture agreement. This clause includes the option of initially referring the deadlock matter to the chairs of the shareholders. The second stage (if the first stage process does not work) is a Russian roulette procedure, and the third stage (if the Russian roulette procedure is not used) is liquidation of the company. Alternative deadlock transfer provisions include Texas shoot-out and call options. See Joint Venture Agreement Deadlock Clause (Hong Kong) and Deadlock in Joint Ventures (Hong Kong) for further information.