Forfeiture Provision definition

Forfeiture Provision means a provision in a Grant Agreement which provides for the forfeiture of vested or unvested stock options or Restricted Stock, as the case may be, or the repayment to the Company of the "Option Spread" or "Restricted Stock Value" (as such terms are defined or used in the Grant Agreement), as the case may be, upon the occurrence, during or for a specified period after the termination of the Participant's employment with the Company or any subsidiary, of one or more of: (i) the Participant engaging in acts competitive with the Company or any subsidiary; (ii) the Participant soliciting the employees or customers of the Company or any subsidiary in a manner which is competitive with the Company or any subsidiary or disruptive to the business of the Company or any subsidiary; (iii) the Participant disclosing Information (as such term is defined in or used in such Grant Agreement) obtained during the course of the Participant's employment with the Company or any subsidiary; (iv) any actions of similar nature to the foregoing which are defined in such Grant Agreement as "Restricted Activities" or "Prohibited Activities"; or (v) the violation by the Participant of any written agreement between the Company and the Participant prohibiting all or any of the activities described in (i) through (iv), above.
View Source

Examples of Forfeiture Provision in a sentence

  • The Forfeiture Provision shall expire upon a Change in Control that occurs prior to the Release Date, and any Options which otherwise would have vested pursuant to Section 4(a) through the date of such Change in Control shall become vested on such date.

  • All of the Shares shall become fully vested and any Forfeiture Provision shall terminate in full, immediately prior to and contingent upon a Change in Control or Hostile Take-Over.

  • The Forfeiture Provision shall expire upon a Change in Control that occurs prior to the Release Date, and any Restricted Shares which otherwise would have vested pursuant to Section 3(a) through the date of such Change in Control shall become vested on such date.

  • However, except as otherwise expressly stated herein, the Award is governed by terms and conditions identical to those of the Plan (including Section 14 (Adjustments Upon Changes in Capitalization) and Section 16(h) (Forfeiture Provision)), which are incorporated herein by reference.

  • On May 25, 2013, Optionee is hired as the chief executive officer of a Restricted Company and all of the Options are immediately cancelled due to the Forfeiture Provision.

  • On May 25, 2013, Optionee is hired as the chief operating officer of a Restricted Company and all of the Options are immediately cancelled due to the Forfeiture Provision.

  • All of the Restricted Shares, including the first Tranche, are immediately forfeited in their entirety and returned to the Company due to the Forfeiture Provision.

  • On October 30, 2013, Optionee is hired as the chief operations officer of a Restricted Company and all of the Options are immediately cancelled due to the Forfeiture Provision.

  • In order to facilitate the exercise of the Forfeiture Provision, the Company or its counsel may hold all certificates representing Unvested Shares, together with an adequate number of undated and otherwise blank stock powers executed by Grantee.

  • On October 30, 2013, Participant is hired as the chief operating officer of a Restricted Company and all of the Restricted Shares, including all of the Tranche I Performance Restricted Shares and Tranche II Performance Restricted Shares, are immediately forfeited in their entirety and returned to the Company due to the Forfeiture Provision.

Related to Forfeiture Provision

  • Forfeiture means that portion of a Participant's Account that is not Vested, and occurs on the earlier of:

  • Vesting Agreement means each or any, as the context implies, agreement or instrument entered into by an LTIP Unitholder upon acceptance of an award of LTIP Units under an Equity Incentive Plan.

  • Forfeiture Restrictions means any prohibitions and restrictions set forth herein with respect to the sale or other disposition of Shares issued to the Recipient hereunder and the obligation to forfeit and surrender such shares to the Company.

  • Forfeiture Event means the occurrence of at least one of the following (a) the Corporation is required, pursuant to a determination made by the Securities and Exchange Commission or by the Audit Committee of the Board, to prepare a material accounting restatement due to the noncompliance of the Corporation with any financial reporting requirement under applicable securities laws as a result of misconduct, and the Committee determines that (1) the Participant knowingly engaged in the misconduct, (2) the Participant was grossly negligent with respect to such misconduct or (3) the Participant knowingly or grossly negligently failed to prevent the misconduct or (b) the Committee concludes that the Participant engaged in fraud, embezzlement or other similar misconduct materially detrimental to the Corporation.

  • Restricted Share Agreement means the agreement between the Company and the recipient of a Restricted Share which contains the terms, conditions and restrictions pertaining to such Restricted Shares.