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Person A wasn't on any of the incorporation documents? Sounds like Person A wasn't paying attention, and just got either a very cheap or very expensive lesson.
by cmos 17y ago
Person A wasn't on any of the incorporation documents? Sounds like Person A wasn't paying attention, and just got either a very cheap or very expensive lesson.
I would negotiate for more shares, but then take what you can and move on. If this is the way Person B does business, why would Person A have any faith that it will go anywhere? Especially since Person A is no longer working on the company and chances are wouldn't have left if it was the next Facebook/google?
If Person A had signed an agreement, it probably would have had a bunch of stock upfront, but then each of you would have a pile that vests over time, so that if you had left the day after signing the documents, you wouldn't be owning 50% of the company and not putting in any time.
Person A decided to move on to a different direction. Person A let the company be incorporated without their name involved. Person A should move on and let Person B fumble along.