zlacker

>>fnbr+(OP)
So part of their compensation for working is equity, and when they leave thay have to sign an additional agreement in order to keep their previously earned compensation? How is this legal? Mine as well tell them they have to give all their money back too.

What's the consideration for this contract?

>>Button+7J
In the past a lot of options would expire if you didn’t exercise them within eg. 90 days of leaving. And exercising could be really expensive.

Speculation: maybe the options they earn when they work there have some provision like this. In return for the NDA the options get extended.

>>fshbbd+iL
Options aren't vested equity though.

>>NewJaz+JN
... They definitely can be. When I worked for a small biotech company all of my options had a tiered vesting schedule.

>>PNewli+sO
Re-read the post you’re replying to. They said options are not vested equity, which they aren’t. You still need to exercise an option that has vested to purchase the equity shares.

They did not say “options cannot get granted on a tiered vesting schedule”, probably because that isn’t true, as options can be granted with a tiered vesting schedule.