Vesting Schedule

When unvested stock options or restricted stock units are offered to an employee through an employer, there is usually a vesting schedule, i.e., the date at which the employee may either exercise the option (in the case of unvested stock options) or owns the stock units (in the case of restricted stock units). In a divorce, where the community’s proportionate ownership of these financial products can be tricky, the vesting schedule plays prominently into the formula the Court will use.