Sr. Vice President of California Biotechnology company – Retention Agreement, Terms, Equity & Restrictive Covenants

As an executive employment attorney, I have helped many clients negotiate retention situations, both when the company is “in play” and a target for acquisition in an M&A situation and in other situations where the executive has opportunities to leave, the company needs to the executive to stay in place and is willing to make concessions for the executive to remain.

Executive Retention Agreement, Terms, Equity, Compensation

One such representative case involved the Senior Vice President – Development of a California Biotechnology company in a pre-IPO and “lock-up” situation.   Some of the highlights of this particular senior executive client representation included:

Using “Lock-up” in Pre-IPO situation:

In the pre-IPO situation the Company needed the executive’s signature to the lock-up agreement and other transition support to better position the IPO, and thus was willing to make concessions it had previously not agreed to.  The concessions negotiated were such that the executive was willing to delay a desired move to another company.

Favorable Retention Transition terms: 

The transition terms negotiated were a “Win-Win” – providing the retention terms necessary to aid the IPO, but also according he executive flexibility to transition to his next position including relaxation of prior restrictive covenants.

Equity Retention, Options Vesting:  

Some of the most important terms of the retention agreement involved retention of equity with no company buy-back and continuing service to assure vesting of options to allow the executive to take full advantage of prior issued options which had not been part of the Company’s original plan, but by their inclusion produced a considerable benefit to the executive with the post IPO run-up in share value.

Further Information

For more information on how I can help you negotiate executive retention issues, please read my articles below.

More cases

As an employee retention agreement attorney, I help C-suite and senior executives in retention and change of control situations making arrangements that protect them from harm and enable them to share in the benefits when corporate changes occur or are expected to occur. Contact me, your executive employment lawyer, at or call 617-875-8665.