New York Employment Attorneys & Lawyers

Updated October 21, 2020:

What is a Confidentiality Agreement?

A confidentiality agreement is a legally binding contract that states two parties will not share or profit from confidential information. A business usually gives a confidentiality agreement to an employee or contractor to make sure its trade secrets or proprietary information remains private. A confidentiality agreement (CA) may also be known as a confidentiality statement, a confidentiality clause, a non-disclosure agreement (NDA), a non-disclosure form, a proprietary information agreement (PIA), or a secrecy agreement (SA).

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Updated October 7,2020:

What Is a Vesting Period?

The vesting period is the period of time before shares in an employee stock option plan or benefits in a retirement plan are unconditionally owned by an employee.

If that person's employment terminates before the end of the vesting period, the company can buy back the shares at the original price. The employee cannot sell or transfer the stock options during the vesting period.

The Tax Reform Act of 1986 established the minimum vesting rights for employees. Full vesting must occur within five years or at 20 percent vesting per year after three years of employment.

Vesting is the pr

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Updated November 26, 2020:

HIPAA law is meant to protect information that could be used to identify a medical patient. This law also includes language that is meant to protect patients seeking healthcare from discrimination.

Learn about HIPAA Law

You may not be aware that the Health Insurance Portability and Accountability Act (HIPAA) is actually a 1996 amendment to the Employee Retirement Income Security Act (ERISA).

HIPAA was added as an amendment to help protect more workers and their loved ones by limiting new employers from excluding coverage for preexisting conditions. Additionally, it prohibits discrimination against employees and their family members based on any preexisting conditions and providing new rights to individuals who lose their coverage.

HIPAA also protects patients' paper and electronically stored medical information through the Privacy Rule, while the Security Rule r

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Statement of Work: What Is It?

A statement of work (SOW) is a document that lists all the work a supplier will do during a project. It will define the amount of work, the expected quality of the job performance, and the timeframe for completion.

A well-written SOW will help both parties understand the parameters of a successful project. A poorly worded SOW could lead to conflict. The parties may argue over unclear expectations and the definition of good work.

To avoid such arguments, a well-written SOW should include:

• A list of expected products and services
• A list of tasks leading to the product's creation
• Specifics regarding who will handle each of the listed tasks
• Due dates for deliverables
• Payment schedule and deadlines
• Determination of which party will helm the project

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What are Incentive Stock Options?

Incentive stock options (ISOs) are a type of stock option typically given to key employees or management to purchase stock in the company and can result in a better tax treatment.

Incentive Stock Options vs. Nonqualified Stock Options

Other options that may be available to employees who are not considered key employees or upper management may be eligible for nonqualified stock options or NSOs.

Unlike NSOs, an ISO would be treated favorably for tax purposes. When an ISO is exercised, the employee need not claim the income. When they sell the stock, the gains are taxed as ordinary income rates rather than at capital gains rates. It is important to be aware that the tax benefits are

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