Legal Question in Business Law in Massachusetts

Option Repricing

My company is planning to reprice our stock at a lower price. We would like to know the legal steps we would have to follow to reprice our stock option, including changing the vesting schedule, including a waiting period, and offering the exchange to new and old employees.


Asked on 5/14/03, 2:52 pm

2 Answers from Attorneys
Lawrence Graves Coolidge & Graves PLLC

Re: Option Repricing

If the original option documents were well-crafted, then the answer is likely to already be in them. Anti-dilution provisions and the like are pretty standard. On the other hand, if you have not had a lawyer involved in drafting the option documents before, your question demonstrates that you should involve one now.

Glad to answer any specific questions that you might have; best wishes,

LDWG

Read more
Answered on 5/22/03, 5:51 pm
Nance Lyons Law Office of Nance Lyons

Re: Option Repricing

There is no easy answer to the questions posed in your inquiry. The written stock option agreement is controlling and has to be interpreted very carefully. You really need to consult an attorney on this.

Read more
Answered on 5/14/03, 3:29 pm


Related Questions & Answers

More Business Law questions and answers in Massachusetts