Voting Trusts . . .
are agreements used to transfer control from
management to an investor if the company does not meet its goals. They
work by placing managementís stock in a trust with the investorís
shares. The trustee is instructed to vote the entrusted shares as the
venture capitalist directs if the company fails to meet its goals.
Voting trusts are the exception, not the rule, these days. See:
Provisions, Voting Agreements.