Notice of Sales Upon Disqualifying Disposition Clause Example from Business Contracts

Notice of Sales Upon Disqualifying Disposition. The Grantee shall dispose of the Shares acquired pursuant to the Option only in accordance with the provisions of this Option Agreement. In addition, if the Grant Notice designates this Option as an Incentive Stock Option, the Grantee shall (a) promptly notify the stock plan administrator for the Company if the Grantee disposes of any of the Shares acquired pursuant to the Option within one (1) year after the date the Grantee exercises all or part of the Option or within two (2) years after the ...Date of Grant and (b) provide the Company with a description of the circumstances of such disposition. Until such time as the Grantee disposes of such Shares in a manner consistent with the provisions of this Option Agreement, unless otherwise expressly authorized by the Company, the Grantee shall hold all Shares acquired pursuant to the Option in the Grantee's name (and not in the name of any nominee) for the one-year period immediately after the exercise of the Option and the two-year period immediately after Date of Grant. At any time during the one-year or two-year periods set forth above, the Company may place a legend on any certificate representing Shares acquired pursuant to the Option requesting the transfer agent for the Company's Shares to notify the Company of any such transfers. The obligation of the Grantee to notify the Company of any such transfer shall continue notwithstanding that a legend has been placed on the certificate pursuant to the preceding sentence. View More