Share Allocation Agreement Template for Switzerland

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Key Requirements PROMPT example:

Share Allocation Agreement

"I need a Share Allocation Agreement under Swiss law for allocating 1000 common shares to our senior software developer as part of their compensation package, with a 3-year vesting period starting March 2025 and standard non-compete provisions."

Document background
The Share Allocation Agreement serves as the primary legal instrument for documenting and executing the allocation of shares in Swiss companies. This document is essential when companies need to issue new shares, transfer existing shares, or implement employee share schemes. The agreement must comply with Swiss corporate law requirements, particularly the Swiss Code of Obligations, and may need to address various regulatory considerations depending on the company's status (public or private) and the nature of the allocation. Typically used in contexts such as employee incentive programs, corporate restructuring, investment rounds, or strategic partnerships, the Share Allocation Agreement outlines all crucial aspects of the share transfer, including rights, obligations, conditions, and any restrictions on the allocated shares.
Suggested Sections

1. Parties: Identification of the company issuing/allocating shares and the recipient(s) of the shares

2. Background: Context of the share allocation, including company details and purpose of the allocation

3. Definitions: Key terms used throughout the agreement

4. Share Allocation: Details of shares being allocated, including number, class, and nominal value

5. Consideration: Terms of payment or other consideration for the shares

6. Conditions Precedent: Any conditions that must be met before the allocation becomes effective

7. Completion: Process and timing for completing the share allocation

8. Representations and Warranties: Standard declarations by both parties regarding their capacity and authority

9. Share Rights: Description of rights attached to the allocated shares

10. Transfer Restrictions: Any limitations on the transfer of allocated shares

11. Notices: Process for formal communications between parties

12. Governing Law and Jurisdiction: Confirmation of Swiss law application and jurisdiction

13. General Provisions: Standard boilerplate clauses including severability, entire agreement, etc.

Optional Sections

1. Employee Obligations: Required when shares are allocated as part of employment compensation or incentive scheme

2. Vesting Provisions: Used when shares are subject to vesting periods or conditions

3. Tag-Along Rights: Optional protection for minority shareholders in case of sale

4. Drag-Along Rights: Optional provision allowing majority shareholders to force minority participation in a sale

5. Non-Competition and Confidentiality: Required when recipient is an employee or strategic investor

6. Tax Provisions: Detailed tax treatment and obligations when specific tax structures are involved

7. Share Certificate Delivery: Required when physical share certificates will be issued

8. Shareholders' Agreement Integration: Required when allocation is connected to an existing shareholders' agreement

Suggested Schedules

1. Share Details: Detailed specification of share class, rights, and numbers

2. Company Information: Extract from commercial register and current shareholding structure

3. Vesting Schedule: If applicable, detailed timeline and conditions for share vesting

4. Form of Share Certificate: Template or specimen of share certificate to be issued

5. Required Corporate Resolutions: Copies of board and/or shareholder resolutions authorizing the allocation

6. Acceptance Form: Form for recipient to formally accept the share allocation and related terms

7. Payment Details: Banking and payment information for share consideration

8. Tax Calculations: Details of any tax implications and calculations

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions
Clauses
Relevant Industries

Financial Services

Technology

Manufacturing

Professional Services

Healthcare

Real Estate

Energy

Telecommunications

Retail

Education

Construction

Transportation

Media and Entertainment

Biotechnology

Consulting

Relevant Teams

Legal

Finance

Human Resources

Corporate Secretariat

Compliance

Treasury

Board of Directors

Executive Management

Risk Management

Corporate Governance

Investor Relations

Relevant Roles

Chief Executive Officer

Chief Financial Officer

Legal Counsel

Corporate Secretary

HR Director

Compensation Manager

Investment Manager

Board Member

Financial Controller

Compliance Officer

Corporate Governance Officer

Share Plan Administrator

Treasury Manager

Risk Manager

Company Director

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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