Texas+draw

There is scant information on this stipulation, but Neil Kane reports that he and a co-founding partner used this tool to keep each other honest in the event that one partner wanted to buy the other out. "In a Texas Draw, each party is subject to a reciprocal matching offer. The agreement said that if one of us wanted out of the partnership, then we could name the price we were willing to pay to buy the other person out. But the other person could then, instead of selling, choose to buy the person out at that same price. That meant that if you tried to low ball your partner, he could stick it to you."