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California Community Property Keyed to Carrillo, 11th Ed.
Marriage of Hug
Citation:
201 Cal. Rptr. 676 (1984)Facts
Maria and Paul Hug married on April 31, 1956, and separated on June 9, 1976. Paul left IBM in November 1972 to work for Amdahl Corporation, leaving behind vesting retirement benefits. During his employment at Amdahl, Paul was granted stock options on three occasions: August 9, 1974 (1,000 shares at $1 per share, replacing an earlier option from November 1972); August 9, 1974 (1,300 shares at $1 per share); and September 15, 1975 (800 shares at $5 per share). Each option was exercisable over four years in yearly increments of 30%, 25%, 25%, and 20%. Amdahl’s stock option plan was designed to attract and retain key employees and provide incentive. The trial court found that portions of these options exercisable after separation contained community property interests and applied a time rule formula beginning from Paul’s commencement of employment with Amdahl, not from the date each option was granted.
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