Regulation 24 - Vesting. - Securities and Exchange Board of India (Share Based Employee Benefits and Sweat Equity) Regulations, 2021

24. Vesting. There shall be a minimum vesting period of one year in case of SAR scheme: Provided that in a case where SAR is granted by a company under a SAR scheme in lieu of SAR held by the employee under a SAR scheme in another company which has merged or amalgamated with the first mentioned company, the period during which the SAR granted by the transferor company were held by the employee shall be adjusted against the minimum vesting period required under this sub-regulation: Provided further that in the event of death or permanent incapacity, the minimum vesting period of one year shall not be applicable and in such instances, the options shall vest on the date of death or permanent incapacity. Explanation ,- The company implementing a SAR scheme shall frame an appropriate policy with respect to the death or permanent incapacity of an employee, subject to compliance with applicable laws.