What does the term 'Right of refusal' represents?

innoexcell

Today, I came across the term 'Right of refusal' for the first time. Can anyone share some insights on term?

Elite_Mercy

It means an act of entering into a business transaction with a person or say a company. It could mean a contractual agreement between two people.

innoexcell

Thanks @Elite_Mercy. From my search, I found out that someone with a 'right of refusal' is given priority in a business transaction, before other interested individuals are considered. That's why the term is also referred to as: 'right of first refusal' (ROFR).