We are frequently asked whether equity award documentation provided by a multinational company to employees / service providers in another country must be provided in local language. Given a recent, significant development on this topic in Quebec, Canada, we thought it would be a good idea to revisit the requirements and recommendations related to translations for equity award documentation.
For purposes of this post, we are assuming the parent company is a US-based company with award documentation that is typically provided in English. (We recognize there are many non-US companies granting equity awards globally that may have award documentation in a language other than English and the concepts discussed below would also generally apply in such cases.)
To learn more, click here to read our guest post on the NASPP blog.
Author
Denise Glagau
Denise Glagau is the Managing Partner of Baker McKenzie's California offices in San Francisco, Palo Alto and Los Angeles and leads the Compensation Practice in the Firm's California offices. Denise has authored several articles and frequently speaks on topics of interest for legal and other professionals dealing with share plan issues. She is a member of the National Association of Stock Plan Professionals (NASPP) and Global Equity Organization (GEO). She is a ranked practitioner by Chambers USA in the area of Employee Benefits & Executive Compensation. She is also a member of the Firm's Financial Institutions and Healthcare & Life Sciences Industry Groups.
Denise advises public and private multinational companies on the tax and legal issues related to offering employee share plans and other incentive compensation programs in their home countries and on a global basis. She works with companies to design equity plans, draft award documentation, review and optimize tax implications, comply with securities registration, exchange control and other regulatory requirements, minimize labor law exposure, and address data privacy concerns and other compliance issues associated with offering employee equity and other incentive plans around the world. She also advises companies on the implications of corporate transactions on equity plans and awards, including assisting with tax rulings, regulatory filings and employee communications.
