Double Trigger Event Clause Samples
A Double Trigger Event clause defines a condition where certain contractual rights or benefits are activated only when two specific events occur together. Typically, this clause is used in employment or equity agreements, where, for example, accelerated vesting of stock options happens only if both a change in company control and a subsequent termination of employment without cause take place. The core function of this clause is to protect parties—often employees—by ensuring that significant benefits are granted only in scenarios where both triggering events occur, thereby balancing the interests of both employer and employee and preventing unintended windfalls.
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Double Trigger Event. Subject to Section 12 of the Plan, if a Double Trigger Event occurs during the one year period beginning on the Vesting Start Date, the Option will become exercisable in accordance with Section 4(c) with respect to a prorated number of the shares specified in the Addendum, determined by multiplying the number of shares specified in the Addendum by a fraction, the numerator of which is the number of full months following the Vesting Start Date prior to the month in which the Double Trigger Event occurred, and the denominator of which is twelve. If a Double Trigger Event occurs after the one year anniversary of the Vesting Start Date, the Option shall become immediately vested in full and exercisable in accordance with Section 4(c).
Double Trigger Event. Subject to Section 12 of the Plan, if a Double Trigger Event occurs prior to the first annual Vesting Date scheduled for the Award, the Option will become exercisable in accordance with Section 4(c) with respect to a prorated number of the shares specified in Section 1, determined by multiplying such number of shares by a fraction, the numerator of which is the number of full months the Employee is employed (including disability) [during the calendar year in which the Double Trigger Event occurs] [from the Grant Date to the date of the Double Trigger Event], and the denominator of which is twelve. If a Double Trigger Event occurs on or after the first annual Vesting Date scheduled for the Award, the Option, to the extent not previously vested, shall become immediately vested in full and exercisable in accordance with Section 4(c).