ESOPs and Other Stock-Based Plans

Haynes and Boone lawyers help design and implement many different types of competitive benefits for both private, public, and closely-held family companies. Our expertise working with employee stock ownership plans ensures that the benefit of such plans are tailored to your company’s tactical and strategic business objectives. 

ESOP Implementation
When implementing employee stock ownership plans we offer support from the very beginning of the process by providing advice and counsel on both the advantages and disadvantages of such a plan.  Additionally, our lawyers are experienced in the negotiation of loan documents for leveraged ESOPs.  From our experience handling these types of plans we have a wealth of knowledge relating to the proper design of plan and trust agreement, and ESOP transaction documents, including all necessary valuations.

ESOP Compliance and Ongoing Support
For entities with ESOPs currently in place our lawyers ensure that plans are in compliance with ERISA and the Internal Revenue Code.  On an ongoing basis our lawyers are also ready to provide advice and opinions on an ESOP yielding the greatest tax benefit allowable under law.  In the event of an audit of an ESOP by the IRS, the SEC or any other government agency, Haynes and Boone has experienced lawyers able to guide you through the process.  We have also represented companies, trustees, lenders and selling shareholders, in the sale of stock to ESOPs. 

Other Stock Based Incentive Plans
Besides traditional ESOPs, Haynes and Boone helps companies implement a variety of other types of stock based plans.  Types of plans we design include qualified and nonqualified employee stock purchase plans, incentive stock option plans and phantom plans.  Our lawyers offer legal guidance to companies deciding which plans to offer their employees.