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Stock Option Agreement
"I need a Stock Option Agreement under Singapore law for our Series B startup, granting 50,000 options to our new CTO with a 4-year vesting schedule starting March 2025 and including special provisions for accelerated vesting in case of acquisition."
1. Parties: Identification of the company granting the options and the option holder receiving them
2. Background: Context of the option grant, reference to any employee share option plan, and basis for the agreement
3. Definitions: Key terms used throughout the agreement including 'Option', 'Exercise Price', 'Shares', 'Vesting Date', etc.
4. Grant of Option: Specific details of the option grant including number of shares, exercise price, and grant date
5. Vesting Schedule: Detailed timeline and conditions for when options become exercisable
6. Exercise of Option: Process, conditions, and timeframe for exercising options
7. Exercise Price: Specification of the price per share and payment terms
8. Termination Provisions: Treatment of options upon various types of employment termination scenarios
9. Transferability: Restrictions on transfer or assignment of options
10. Compliance with Laws: Requirements for compliance with Singapore securities laws and regulations
1. Change of Control Provisions: Provisions dealing with treatment of options in case of company sale, merger, or other corporate restructuring
2. Lock-up Period: Restrictions on selling shares after exercise, typically used for pre-IPO companies
3. Clawback Provisions: Company's right to recover shares or profits in cases of misconduct or specified circumstances
4. Tax Indemnity: Provisions regarding tax obligations and indemnifications between parties
5. Shareholders' Rights: Special rights or restrictions attached to shares upon exercise
1. Schedule 1 - Notice of Exercise: Template form for the option holder to exercise their options
2. Schedule 2 - Vesting Schedule: Detailed breakdown of vesting dates, quantities, and specific conditions
3. Schedule 3 - Tax Summary: Overview of tax implications and obligations under Singapore law
4. Schedule 4 - Share Option Plan: Copy or extract of the company's share option plan if applicable
5. Schedule 5 - Shareholders' Agreement Provisions: Relevant extracts from company's shareholders' agreement affecting option holders
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