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Convertible Note Issue — 409A valuation for option grants

Started by RestaurantOwner_Miami · Apr 26, 2023 · 1,480 views · 8 replies
For informational purposes only. This is not legal advice. Laws vary by jurisdiction. Consult a qualified attorney for advice specific to your situation.
RM
RestaurantOwner_Miami OP

I've been trying to resolve this on my own but I'm stuck.

409A valuation for option grants. I've been dealing with this for about 4 weeks now and the situation isn't improving.

I have already tried to resolve this directly but did not get a clear answer.

Has anyone been through something similar? What worked for you?

TW
throwaway_worker_2026

Following this thread — I'm in a very similar situation. Would love to hear how it turns out.

TL
Mod_TermsLaw Moderator

I practice in this area. Here's my take on the legal issues.

Based on what you've described, you likely have a viable claim under the relevant statute. The standard is whether a reasonable person would find the conduct actionable.

You should consult with a local attorney who handles these cases. Many offer free initial consultations.

CD
confused_driver_2026

Following this thread — I'm in a very similar situation. Would love to hear how it turns out.

PJ
Paralegal_Jen

I've seen this play out several times in my field.

The biggest mistake people make in this situation is filing with the appropriate government agency. I'd recommend gathering evidence first instead.

PB
PatentAgent_Boston

I've dealt with this before.

In my case, it took about 3-6 months to resolve. The key was having everything documented.

SA
seeking_advice_worker_2023

I had a similar issue and ended up consulting with an attorney. It was worth the $200-300 for the initial consultation just to understand my rights.

DT
desperate_trader_GA

This happened to me too. Have you tried filing a complaint with the relevant agency? In my case they investigated and it got resolved without needing a lawyer.

VA
VCAnalyst_SF

Been there. Here's what I learned.

I ended up having everything documented, which cost about $3-6 but saved me a lot more in the long run.

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