Los Angeles, CA

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California Corporations Code Section 25102(o)

Section 25102(o) of the California Corporation’s Code is the section that startup companies rely on to grant compensatory stock options that are exempted from qualification in California.

The founder/issuer using Section 25102(o) must comply with several rules, including but not limited to: Rule 701 of the Securities Act and also the filing of a notice with the California Department of Corporations.