Earlier quoted context omitted.
I don't know Palmer and until 5 minutes didn't know his name. I don't dislike him, I'm sure he's a nice guy and great person, and I think the product and achievement is impressive. But: I respect him for eating humble pie now. I absolutely do not respect yet alone absolve him of not doing so originally . Why would one? There's nothing NEW that came to the table: Facebook can do what they want now, and crucially that…
> Founders literally sign away their right to make these promises. Well, they don't have to. He could have insisted on writing this condition into the acquisition contract. But he obviously didn't. The most charitable reading of this is that he was just naive and didn't know that this was an option or that it would be necessary in order to enforce such a promise, but that seems unlikely. Acquiring this knowledge is n…
If you reverted ownership there's no way that FB are going to sign that contract (a small risk you could inadvertently lose the asset and the cost price, eg through an unforeseen loophole that favours the seller - lawyers should veto such things, surely).
Also, are you going to make it a perpetual term applied to all future owners? If not then FB can probably make an entity to sell it to. Or use a third-party login that itself requires Facebook login and workaround your selling constraints.
I like the idea of it: just practically I can't see how it would be workable to technically constrain a company in a contract of sale of that company.
Are there examples of where this has been done successfully?