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Reg D / Private Placement — 409A valuation for option grants

Started by frustrated_contractor_GA · Mar 18, 2024 · 1,578 views · 12 replies
For informational purposes only. This is not legal advice. Laws vary by jurisdiction. Consult a qualified attorney for advice specific to your situation.
FC
frustrated_contractor_GA OP

I'm in a difficult situation and trying to figure out my next steps.

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 consulted briefly with a lawyer but did not get a clear answer.

What are the risks if I pursue this? What's the likely timeline?

DB
desperate_business_owner_2026

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.

AF
asking_for_friend_homeowner_FL

NAL, but from what I've read, you should document everything. That said, definitely get a lawyer to look at the specifics.

CA
ConsumerAdvocate

I went through almost the exact same thing.

What worked for me was having everything documented. It took 3-6 months but was worth it.

RE
RemoteWorker_EU

Been there. Here's what I learned.

What worked for me was escalating to a supervisor/manager. It took 1-3 months but was worth it.

TL
Mod_TermsLaw Moderator

Attorney here. Here's my take on the legal issues.

The legal framework here involves both federal and state law. At the federal level, the relevant statute. Your state may provide additional protections.

I'd recommend documenting everything in writing from this point forward. Keep copies of all communications.

FS
frustrated_student_FL

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.

AF
asking_for_friend_driver_question

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.

LT
LandlordTom_TX

I went through almost the exact same thing.

What worked for me was filing with the appropriate government agency. It took 4-8 months but was worth it.

WT
worried_tenant_2023

I work in this industry and unfortunately this is very common. The good news is that when people actually push back with legal representation, companies usually settle.

RM
RestaurantOwner_Miami

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

In my case, it took about 4-8 months to resolve. The key was filing with the appropriate government agency.

DS
DevOps_Seattle

I've dealt with this before.

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

GL
GigWorker_LA

Been there. Here's what I learned.

I ended up hiring an attorney to send the initial letter, which cost about $2-4 but saved me a lot more in the long run.

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