ROFR
Law & Legal abbreviation · Contract
| Stands for | Right of first refusal |
|---|---|
| Categories | Law & Legal |
ROFR stands for Right of first refusal, a contract abbreviation also used in business.
Contractual right giving its holder the option to buy property, shares or another asset on the same terms as a third party's offer before the owner may sell to that third party. Common in shareholder agreements, joint ventures, leases and real estate.
Example: The tenant's ROFR lets it match any bona fide offer for the building within 30 days.
Usage notes
Often pronounced "ROFF-er". A ROFR can discourage outside buyers, who may hesitate to invest in an offer that can simply be matched. Disputes arise over whether a package deal or non-cash consideration triggers the right. It differs from a right of first offer (ROFO), which requires the owner to approach the holder before going to market.
Related abbreviations
More contract abbreviations
- NTP – Notice to proceed
- PIIA – Proprietary information and inventions assignment agreement
- PSA – Purchase and sale agreement
- R&W – Representations and warranties
- RFP – Request for proposal
- ROFO – Right of first offer
- RWI – Representations and warranties insurance
- SAFE – Simple agreement for future equity
- SCCs – Standard contractual clauses
- SHA – Shareholders' agreement
- SLA – Service-level agreement
- SNDA – Subordination, non-disturbance and attornment agreement
See all 57 contract abbreviations →
This entry is for general education and is not legal advice. Abbreviation use varies between institutions; always confirm in context.