What Non-US Startups Need to Know About Granting Stock Options
What Every Start Up Should Know About Stock Options
Common Equity Plan Pitfalls
Why is a 409A Valuation Important?
Early Exercise Stock Options
Nowotny on Death and Taxes Episode 6 Surfs Up Dude! High Tech Tax Solutions for High Tech Workers
Episode 26: Talking Tax Reform and Executive Comp
Private company clients frequently ask us about granting compensatory stock options to their founders, employees and other service providers, including board members, consultants and advisors. Options and other equity awards...more
In a competitive talent market, companies are reevaluating executive compensation packages to attract and retain top leadership. Compensation generally includes a base level of compensation combined with some form of...more
This article is the second in our series on equity-based compensation intended to assist employers with answering a common question: What type of equity compensation award is best for our company and our employees?...more
Equity-based compensation plays a pivotal role in attracting and retaining top talent and aligning employee incentives with an employer’s long-term success. By offering stock options, restricted stock units, or other forms of...more
The U.S. District Court for the Northern District of California on May 30, 2024, approved a settled final judgment against technology company Arista Networks' former chairman and CEO, Andreas "Andy" Bechtolsheim based on...more
The Supreme Court of the United States issued three decisions today: Becerra v. San Carlos Apache Tribe, No. 23-250: This case concerns the funding the Indian Health Service (“IHS”) must provide to Indian tribes that...more
New SEC disclosure requirements take effect soon. Together with recent accounting guidance, it’s timely for companies to review their equity grant practices and any vulnerabilities to criticism for “spring-loading” or...more
Many corporations use stock options to incentivize employees and other service providers. A stock option is a right granted by a corporation to an employee, consultant or advisor that provides such employee, consultant or...more
We invite you to review our newly-posted May 2024 California Employment Law Notes, a comprehensive review of the latest and most significant developments in California employment law....more
On November 2, 2022, the U.S. Securities and Exchange Commission (SEC) announced the adoption of amendments to Form N-PX and related rules to extend public company stockholder vote disclosure filing requirements beyond...more
Last week, the CFTC updated its large trader position reporting rules for futures and options. First proposed in June 2023, this much-needed change modernizes a rule that had gone largely unchanged since the 1980s....more
Mattioda v. Nelson, 98 F.4th 1164 (9th Cir. 2024) - Summary: Disability-based harassment claims are available under the Americans with Disabilities Act and the Rehabilitation Act....more
In a win for California employers, the California Court of Appeal held that stock options are not wages. A stock option is a contractual right to buy company stock at a certain price regardless of whether the stock price...more
Much of the talk about Canada’s federal budget released on April 16, 2024 (“Budget 2024”) has been concentrated on the increase to the capital gains inclusion rate, highlighted by criticism from the business community that...more
As an employee of Skillz Inc., Gautam Shah received awards of stock options. Under the Skillz plan, Mr. Shah could exercise his vested options within three months of his termination of employment. However, his options...more
Employers who compensate employees through nonqualified stock options or restricted stock units (“RSUs”) should be aware of an upcoming Securities and Exchange Commission (“SEC”) rule change affecting the settlement of...more
Navigating the landscape of employee incentives can be complex, particularly when exploring non-traditional compensation methods. Phantom stock, also known as synthetic equity, offers a unique solution for business owners...more
Today on “Just Compensation,” Darren Goodman and Taryn Cannataro of Lowenstein’s Executive Compensation & Employee Benefits Group speak with Tax partner Sophia Mokotoff about the various types of equity awards that can be...more
In a volatile market, companies may see their stock value drop significantly. This can result in employees and other service providers holding stock options that are “underwater” or “out of the money” – in other words,...more
Entrepreneurs with sound business ideas commonly make decisions that hinder early growth and capitalization. During the “Romance Phase,” the idea for a new product or service is fully developed, the initial team of talent is...more
In SEC v Panuwat, a federal jury in California will hear a novel insider trading theory that the court has allowed to proceed to trial. In Panuwat, the SEC says it is unlawful for an individual to purchase securities of a...more
Our startup clients are sometimes asked by investors or government agencies to provide their number of authorized and issued shares—the difference between the two isn’t always obvious but is critical to understand....more
Can we keep our heads (and options) above water? As we enter the middle of the first quarter of 2024, many management teams and boards are still asking themselves this question. Volatility in equity markets has, for many...more
The Ontario Superior Court of Justice’s decision in Boyer v. Callidus, 2024 ONSC 20 (“Callidus”) serves as a helpful reminder to employers of the importance of carefully drafting, documenting, and communicating contractual...more
On February 5, 2024, the French Supreme Tax Court (Conseil d’État) voided French tax authority guidelines from May 2023 that provided that shares acquired upon the exercise of founder stock options, or Bons de Souscription de...more