The following is not meant to be legal advice.
On December 13, 2007, Perkins Coie, LLP gave a talk on start up agreements. Law firms usually give deferral arrangements so that a start up may defer payments for work done in drafting start up agreements until there is funding. This allows a start up to set up start up agreements, such as incorporation, founders agreements, indemnification to give structure to a company.
Indemnification agreements require a company to pay for an attorney of the covered person’s choice. The founder agreement is negotiated after reviewing the market and then asking for a little more. For instance, the standard severance is 9 months to 1 year, and the standard stock vesting is 4 years.

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