Golden Parachute

A Golden Parachute is a change-in-control compensation arrangement that provides certain executives with enhanced payments or benefits if they are terminated (or sometimes if they resign for “good reason”) following an acquisition. In M&A, Golden Parachute terms affect negotiations over retention, management incentives, and shareholder approval disclosures, and Golden Parachute excise tax rules may apply in some cases.

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Ryan Roberts Startup Lawyer
Ryan Roberts is a startup lawyer with more than two decades of experience advising on venture financings and M&A transactions totaling more than $1 billion. He is the author of the Amazon bestselling startup law book Acceleration.