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TexLaw, Attorney
Category: Business Law
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Experience:  Internationational Commercial Attorney
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Until 2 months ago I worked with a medium sized pharmaceutical

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Until 2 months ago I worked with a medium sized pharmaceutical company, and during the 10 yrs of employment was granted blocks of stock over 1/2 doz years.

These stock blocks were labeled as " restricted" until I had ben an employee for a number of yrs. Over time these stocks were awarded to me ( I paid taxes on the value of these stocks awarded and deposited in my e-trade acct and these were " vested . " In 2007 , more stocks were granted to me, but were labeled as "restricted " until I had been with the company the required time before awarded as " vested".

Recently I was terminated and the restricted stocks in my e-- account were removed , taken from me. I was able to sell my vested stocks from my e- account ,but over $ 32,000 of other listed " vested stocks were pulled from my account as the " restricted stocks were. " I recieved a letter from adminstration stating if terminated , "restricted stocks would be void from my account .

QUESTION: Since the company turned the the " vested" over to me in 2007,( and having paid taxes - compensation recieved - these stocks were legally mine . I was able to sell some of these stocks over the past 50 days, however, they pulled another 185 "vested shares " from my e-trade acct . If thses stocks were vested to me, are they in their rights able to take these other vetsed stocks from me. I have the e-trade paper trail evidence . What are my legal rights ??

Thank you for your question.

If you had vested rights in the stocks, then they cannot legally take them back from you as they are no longer restricted and are your property.

As you have a paper trail which confirms that vested stocks were improperly taken from you, my advice is to immediately send a certified letter demanding that these stocks be reinstated to your account within 30 days or you will file suit. In the letter establish that the stocks were vested and that they were improperly taken.

Send the letter certified and when you know that they have received it, then place the telephone call. You want to put them on proper notice and give them a deadline so that they know you are serious.

Hopefully, it was just an accounting error on their part and they will restore your vested stocks after receiving your demand. However, if they do not, you will want to retain a lawyer to file suit.

Please let me know if you have further questions on this topic. Please also remember that although you have paid the website, I do not receive compensation for my work until you rate my answer positively.

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