Under what circumstances is there accelerated vesting of stock options for Moes Southwest Grill?

According to Moe's Southwest Grill's 2025 Franchise Disclosure Document, stock options granted to employees, directors, and consultants may vest on an accelerated schedule under specific conditions. The document states that accelerated vesting can occur in the event of a change in control of the company. The specific circumstances that would trigger this accelerated vesting are defined within the stock option plans themselves.

In addition to accelerated vesting upon a change of control, certain stock options have vesting requirements tied to the achievement of specific operating results. This means that if the company or a particular division meets certain performance targets, the vesting of these options could be accelerated. The exact metrics and targets that trigger this accelerated vesting would be detailed in the individual option agreements or the stock option plans.

The stock options generally expire 10 years from the grant date, but this expiration can also be affected by a change in control, as defined in the Plans. Prospective franchisees should be aware that these stock options are granted by the Parent company, GoTo Foods Systems LLC, and not directly by Moe's Southwest Grill. Details about the specific triggers for accelerated vesting, the definition of 'change in control,' and the operating results required for accelerated vesting are important for anyone holding these options to fully understand their potential value and conditions.