All Countries
Employment
Phantom Share Agreement

Phantom Share Agreement Template for Denmark

Create a bespoke document in minutes,  or upload and review your own.

4.6 / 5
4.8 / 5

Let's create your Phantom Share Agreement

Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.

Get your first 2 documents free

Your data doesn't train Genie's AI

You keep IP ownership of your information

Key Requirements PROMPT example:

Phantom Share Agreement

Celebrated by
Collaborations with
Investors
Document background
The Phantom Share Agreement serves as a critical tool for Danish companies seeking to implement employee incentive programs without diluting existing shareholdings or altering their corporate structure. This document type is particularly valuable for private companies, subsidiaries of international groups, or organizations with complex shareholding structures. The agreement details the grant, vesting, valuation, and settlement of phantom shares, ensuring compliance with Danish legal requirements including the Companies Act, Stock Option Act, and relevant tax regulations. When implementing a Phantom Share Agreement, companies must carefully consider vesting schedules, valuation mechanisms, and payment triggers while ensuring alignment with Danish employment law principles and tax implications.
Suggested Sections

1. Parties: Identification of the company and the phantom share recipient

2. Background: Context of the phantom share grant and program objectives

3. Definitions: Key terms including Phantom Shares, Fair Market Value, Vesting Period, Exercise Date, etc.

4. Grant of Phantom Shares: Number of phantom shares granted and their initial reference value

5. Vesting Schedule: Detailed vesting conditions and timeline

6. Valuation Mechanism: Method for determining the value of phantom shares at exercise

7. Exercise Procedure: Process and requirements for exercising phantom shares

8. Payment Terms: Terms and timing of payments upon exercise

9. Taxation and Costs: Tax treatment and responsibility for associated costs

10. Termination Provisions: Impact of employment termination on phantom share rights

11. Confidentiality: Obligations regarding program confidentiality

12. Governing Law and Jurisdiction: Specification of Danish law application and dispute resolution

13. Amendments and Notices: Procedures for modifying the agreement and communication requirements

Optional Sections

1. Change of Control Provisions: Used when specific provisions are needed for company sale or merger scenarios

2. Non-Competition and Non-Solicitation: Include when additional restrictive covenants are desired

3. Clawback Provisions: Used when the company wants right to recoup payments in specific circumstances

4. International Compliance: Include for programs covering employees in multiple jurisdictions

5. Board Approval Requirements: Used when specific corporate governance requirements apply

6. Anti-Dilution Provisions: Include when protection against corporate events affecting share value is needed

Suggested Schedules

1. Vesting Schedule: Detailed breakdown of vesting dates and conditions

2. Valuation Methodology: Detailed calculation method for phantom share value

3. Exercise Notice Template: Standard form for exercising phantom shares

4. Tax Treatment Summary: Overview of applicable tax implications and calculations

5. Corporate Events Impact: Matrix showing impact of various corporate events on phantom shares

6. Program Rules: Comprehensive rules governing the phantom share program

Authors

Linkedin in social icon imageX social icon image
Relevant legal definitions
Agreement
Administrator
Applicable Law
Bad Leaver
Base Value
Board of Directors
Cause
Change of Control
Company
Competitor
Confidential Information
Dividend Equivalent
Effective Date
Exercise Date
Exercise Notice
Exercise Period
Exercise Price
Fair Market Value
Good Leaver
Grant Date
Group
Initial Reference Value
Participant
Payment Date
Phantom Share Plan
Phantom Share
Phantom Share Value
Program Rules
Reference Price
Resignment Notice
Settlement Amount
Subsidiary
Tax
Termination Date
Trading Day
Valuation Date
Valuation Mechanism
Vest
Vesting Date
Vesting Period
Vesting Schedule
Relevant Industries
Relevant Teams
Relevant Roles
Industries
Danish Companies Act (Selskabsloven): Provides the fundamental framework for corporate structures and share-based arrangements in Danish companies
Danish Stock Option Act (Aktieoptionsloven): Regulates share-based remuneration schemes including phantom shares, particularly regarding vesting and good/bad leaver provisions
Danish Tax Assessment Act (Ligningsloven) § 7P: Governs the taxation of share-based payment arrangements, including phantom shares which are typically taxed as salary income
Danish Contracts Act (Aftaleloven): Provides the legal framework for contract formation and validity, essential for the phantom share agreement structure
Danish Capital Markets Act (Kapitalmarkedsloven): Relevant for valuation methods and market practices in relation to share-based instruments
Danish Holiday Act (Ferieloven): May impact how phantom share payments interact with holiday pay calculations and entitlements
Danish Personal Data Protection Act (Databeskyttelsesloven): Relevant for handling personal data in connection with the phantom share program administration
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

Find the exact document you need

Option To Purchase Shares Agreement

find out more

Stock Option Award Agreement

find out more

Stock Option Cancellation Agreement

find out more

Phantom Share Agreement

find out more

Employee Stock Option Agreement

find out more

Download our whitepaper on the future of AI in Legal

By providing your email address you are consenting to our Privacy Notice.
Thank you for downloading our whitepaper. This should arrive in your inbox shortly. In the meantime, why not jump straight to a section that interests you here: https://www.genieai.co/our-research
Oops! Something went wrong while submitting the form.

Genie’s Security Promise

Genie is the safest place to draft. Here’s how we prioritise your privacy and security.

Your documents are private:

We do not train on your data; Genie’s AI improves independently

All data stored on Genie is private to your organisation

Your documents are protected:

Your documents are protected by ultra-secure 256-bit encryption

Our bank-grade security infrastructure undergoes regular external audits

We are ISO27001 certified, so your data is secure

Organizational security

You retain IP ownership of your documents

You have full control over your data and who gets to see it

Innovation in privacy:

Genie partnered with the Computational Privacy Department at Imperial College London

Together, we ran a £1 million research project on privacy and anonymity in legal contracts

Want to know more?

Visit our Trust Centre for more details and real-time security updates.

Read our Privacy Policy.