Document background
A Share Purchase Agreement Between Two Individuals is a crucial legal document used when one individual wishes to sell and transfer shares in a company to another individual in Malaysia. This type of agreement is commonly used for private share transfers in small to medium-sized companies, family businesses, or investment holdings. The document must comply with Malaysian law, particularly the Companies Act 2016, Contracts Act 1950, and relevant securities regulations. It contains essential provisions covering the sale price, payment terms, warranties about the shares and the company, completion mechanics, and any conditions that must be met before the transfer can take place. The agreement also addresses stamp duty requirements and necessary corporate approvals. This document is particularly important for protecting both parties' interests and ensuring a clear record of the transaction terms, especially in private dealings where formal market mechanisms are not involved.
