Common use of Annual Stock Option Clause in Contracts

Annual Stock Option. Upon the Company becoming publicly traded on a national exchange, Executive shall be granted a five-year option (the “Option”) to purchase a total of 15,000 shares of the Company’s common stock on the last day of each quarter, or March 31, June 30, September 30 and December 31, in each calendar year (for a cumulative total or no more than 300,000 shares over five years). The per share exercise price of the Option shall be equal to the per share closing price of the Company’s common stock on the date of grant, and shall have a cashless exercise provision. The Option shall vest and become exercisable subject to the terms set forth in the 2022 Equity Incentive Plan approved by the Board and effectuated prior to the Company going public by way of Initial Public Offering of its common stock on a national exchange. The Option shall otherwise be subject to the terms of the plan pursuant to which it is granted and/or an option agreement to be entered into between Executive and the Company.

Annual Stock Option. Upon the Company becoming publicly traded on a national exchange, Executive shall be granted a five-year option (the “Option”) to purchase a total of 15,000 12,000 shares of the Company’s common stock on the last day of each quarter, or March 31, June 30, September 30 and December 31, in each calendar year (for a cumulative total or no more than 300,000 240,000 shares over five years). The per share exercise price of the Option shall be equal to the per share closing price of the Company’s common stock on the date of grant, and shall have a cashless exercise provision. The Option shall vest and become exercisable subject to the terms set forth in the 2022 Equity Incentive Plan approved by the Board and effectuated prior to the Company going public by way of Initial Public Offering of its common stock on a national exchange. The Option shall otherwise be subject to the terms of the plan pursuant to which it is granted and/or an option agreement to be entered into between Executive and the Company.