Part III: What Primary Mitigation Strategies Exist for Companies with Double-Vest RSUs That May Be Expiring?

If a company were to establish a regular pattern or practice of waiving the Liquidity Event for its Double-Vest RSUs, such a practice could cause a lapse in the substantial risk of forfeiture for other outstanding Double-Vest RSUs and potentially jeopardize the tax position for future Double-Vest RSU awards (even though such awards did not directly benefit from the waiver). [...]a company choosing to use this strategy will want to plan ahead to the extent there are multiple Double-Vest RSU expiration dates on the horizon, and likely will need to use this approach sparingly. Assessing what new equity award should be granted to the impacted employee (e.g., a stock option, an RSU, etc.) and if the new award is fully time/service-vested upon grant.17 Mitigation Strategy #3: Notably, this strategy may not work well for companies that have Double-Vest RSU holders with expiring awards who are no longer providing services because most stock plans (and the typical securities law exemptions relied upon by issuers in granting equity awards) require a current service relationship. [...]it is challenging (and may not be possible) to grant a replacement award to an individual who is no longer in a service relationship with the company.