Delayed Vesting Sample Clauses
The Delayed Vesting clause establishes that certain rights, benefits, or ownership interests—such as stock options or equity—will not become fully owned or exercisable by the recipient until a specified period has passed or certain conditions are met. For example, an employee may receive stock options that vest gradually over four years, meaning they only gain full ownership after remaining with the company for the entire period. This clause is primarily used to incentivize long-term commitment and performance, while also protecting the granting party from immediate loss of assets or benefits if the recipient departs early.
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Delayed Vesting. Notwithstanding the foregoing provisions of this Section, any vesting under this Agreement which would otherwise occur within one year from the Grant Date will be delayed until the one year anniversary of the Grant Date except in the case of vesting due to death, disability or as may be required by prior contractual obligation.]