Executive Put Clause Samples

An Executive Put clause grants certain executives the right to require the company to repurchase their equity or stock under specified conditions, such as upon termination of employment or a change in control. Typically, this clause outlines the triggering events, the method for determining the repurchase price, and the timeline for the transaction. Its core practical function is to provide executives with a guaranteed exit strategy for their equity, thereby reducing their financial risk and incentivizing their continued service or performance.