Document background
The Equity Grant Agreement serves as the foundational document for companies offering equity-based compensation to their employees, directors, or consultants in the Netherlands. This agreement is essential for organizations looking to align stakeholder interests, attract and retain talent, and provide long-term incentives while ensuring compliance with Dutch legal requirements. Typically used as part of a broader equity incentive plan, the agreement must conform to Dutch corporate law (particularly Book 2 of the Dutch Civil Code), securities regulations, and tax legislation. The document specifies critical elements such as the type and amount of equity granted, vesting conditions, exercise terms, and transfer restrictions. Special consideration is given to Dutch-specific requirements, including works council consultation where applicable, and tax implications under Dutch law.
