Disqualifying dispositions, meaning those in which shares are sold before the statutory holding period has elapsed, do not prevent those options from being counted toward the 0,000 limit.Acceleration of the vesting of an ISO does not disqualify the option, but accelerated options are counted toward the 0,000 limit in the year of acceleration.This can get tricky if a change of control trigger or performance trigger allows exercise if a change of control occurs before vesting or disallows exercise until a performance target is met.If there is such an acceleration provision, then options first exercisable during a calendar year pursuant to an acceleration clause do not affect the application of the 0,000 rule for options exercised before the acceleration provision was triggered.
In recent years, the level of legal, accounting, and regulatory complexity associated with employee stock options has continued to grow.This book, written by attorneys Alisa Baker and Alison Wright, and writer and editor Pam Chernoff, CEP, presents a straightforward, comprehensive overview of both the big-picture issues and the technical details related to designing and implementing stock option plans and employee stock purchase plans.It is an indispensable guide for anyone involved with this field."Anyone involved with the design or administration of employee stock option programs, from the inexperienced stock plan administrator to the seasoned compensation professional, will appreciate this useful reference tool."- Tim Sparks, President, Compensia, Inc."This book should be on the desk of every stock option professional."- Robert H.
The book also looks at hot issues and provides illustrative exhibits, a glossary, a bibliography, and primary source materials, plus a seminal article by Corey Rosen on plan design.The 17th edition includes updates and clarifications throughout the book.