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Atticus Option Agreement Labels

The following Atticus Option Agreement Labels are a list of provisions that are important in option agreement diligence review. The following labels are last edited at 2:40 p.m. on February 16, 2020 (PST).

Label

Explanation

Answer Category

1. Grantee

The person receiving the option grant

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Individual Name

2. Grant Date

The date of the option grant

​

Date

3. Vesting Commencement Date

The date that vesting begins 

​

Date

4. Shares

The number of shares subject to the option grant

​

Number

5. Exercise Price

The price at which options can be exercised 

​

Price

6. Vesting Cliff

The number of year(s) on which the first options vest 

​

Number

7. Vesting Duration

The total number of years until all options are fully vested

​

Number

8. Vesting Frequency 

The frequency on which options grant following the vesting cliff 

​

Drop-down list

9. ISO/NSO

Are the options designated as incentive stock options or nonqualified stock options?

​

NSO/ISO

10. Cashless Exercise

Can the option be exercised without the grantee paying any exercise price directly in cash?

​

Yes/No

11. Acceleration 

Do the options accelerate and become partially or fully vested upon certain conditions, including a change of control, or termination without cause or leaving for good reason?

​

Yes/No

12. Acceleration Amount

What is the percentage of unvested options that will become fully vested upon an acceleration event?

​

Percentage

13. Cause Definition 

Do the unvested options become fully vested upon termination without cause?

​

Yes/No

14. Good Reason Definition 

Do the unvested options become fully vested upon the option holder leaving for good reason?

​

Yes/No

15. Expiration Period 

What is the time period until which the option expires and can no longer be exercised? 

​

Number of years

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