4 Years with a One Year Cliff Law and Legal Definition

Vesting periods are the period of time involved in achieving full rights or privileges associated with a profit-sharing program offered by an employer .4 years with a one year cliff is the typical vesting schedule for startup founders? stock. Under a 4 years with a one year cliff schedule, founders vest shares over a four…

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401 K Plans Law and Legal Definition

A 401(k) plan is a tax-deferred, defined-contribution retirement plan. The name comes from a section of the Internal Revenue Code that permits an employer to create a retirement plan to which employees may voluntarily contribute a portion of their compensation on a pre-tax basis. This section also allows the employer to match employee contributions with…

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409A Law and Legal Definition

409A is the section of the Internal Revenue Code that regulates the tax treatment of ?non-qualified deferred compensation.? Non-qualified deferred compensation is the compensation that has been earned by an employee, but not yet received from the employer. In order to avoid extremely adverse tax consequences, startup companies comply with Section 409A by issuing stock…

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419 Fraud Law and Legal Definition

419 Fraud involves an unsolicited email message in which, the sender requests help in facilitating the transfer of a substantial sum of money. In return, the sender offers a commission, usually in the range of several million dollars. The scammer then requests that money be sent to pay for some of the costs associated with…

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432d Air Expeditionary Wing [432 AEW] Law and Legal Definition

The 432d Air Expeditionary Wing is a United States Air Force unit assigned to Air Combat Command, stationed at Creech Air Force Base, Nevada, that operates unmanned reconnaissance aircraft which provide real-time reconnaissance, surveillance, and precision attack against fixed and time-critical targets.

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