According to the Detroit News, General Motors granted its first option grants since the company`s bankruptcy in 2009. At least for executives, GM grants have a number of interesting performance characteristics, which are not often included in option grants (see the corresponding form for 8K filing and authorization authorizations). The time branch applies to 40% of each grant, with February 15, 2017 applicable. The remaining 60% of the grants will be paid in annual increments of 20% over the next three years, provided that the company`s TSR meets or exceeds the median of a group of auto company peers during the period from the promotion date to December 31 of the year preceding each laying date. Prices also include explicit restrictions on competition and inactivity: one year after the company`s exit, executives cannot join a competitor or join distant GM employees. 5. If you leave your business during the period of the ban on another job, your rights on any payment will be terminated, regardless of the well-being of your business during the delivery cycle and the role you have in it. Retirement, death or disability under your plan may allow for a proportional distribution at the end of the benefit period, depending on how long you worked for your business (or a full payment if the terms of your grant allow). If your business is acquired and technically triggers a “change of control” within the meaning of your grant agreement, you can continue to receive the full payment under the terms of an M-A transaction. In In Re: Lehman Brothers Holdings Inc. (2017), the 2nd Court of Appeal confirmed that in the event of a business failure, RSU holders have no preference over general creditors in the event of bankruptcy. Previously, the original decision of the U.S.
Bankruptcy Court in 2016 was upheld by the U.S. District Court in New York. It justified this decision by the fact that RSUs are the subject of an analysis of the legal definition of “equity securities” and that, therefore, workers with RSUs should be treated as other lehman Brothers equity holders.