May 04, 2020
Partners Doreen E. Lilienfeld and Gillian Emmett Moldowan and associate Matthew Weston (all New York-Compensation, Governance & ERISA), authored annotated forms on Phantom Stock Plans and Phantom Unit Agreements in Lexis Practice Advisor.
Phantom stock generally represents a company’s unsecured and unfunded promise to make a payment to an employee or other service provider upon certain specified events (e.g., change in control or termination of employment) equal to the value of a specified number of shares of the company. Phantom unit award agreements are used to grant phantom units to an employee or other service provider under a phantom plan.
The annotated forms contain alternate clauses, practical guidance and drafting notes.