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Employment for Life? Legal and Tax Implications of Unexpected Changes in an Employee's Status

Presentation
8 December 2010
Author/s: Valerie H. Diamond, David S. Thomas (Wilson Sonsini Goodrich & Rosati)
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In this presentation, the speakers address changes in the employee's status over the life of an equity award including leave of absences; moves from full-time to part-time status; termination of employment due to death, disability or retirement; change of control of the issuer; and transfers from subsidiary to subsidiary arising from corporate reorganizations or restructurings. Also explained is how such changes may effect the taxation of the equity award or raise new or challenging regulatory compliance issues. Further explained are helpful tips as to how companies should design their plans and agreements to take these
changes into account at the time the award is granted to minimize the impact.
 
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