PART IVU.K. REQUIREMENTS APPLICABLE TO OTHER SHARE OPTION SCHEMES
27(1)M1A person must not be eligible to obtain rights under the scheme at any time unless he is at that time a full-time director or qualifying employee of the grantor or, in the case of a group scheme, of a participating company, but the scheme may provide that a person may exercise rights under it after he has ceased to be a full-time director or qualifying employee.
(2)M2The scheme must not permit any person obtaining rights under it to transfer any of them but may provide that, if a person who has obtained rights under it dies before exercising them, they may be exercised after, but not more than one year after, the date of his death.
(3)Where the scheme contains the provision permitted by sub-paragraph (2) above and any rights are exercised—
(a)after the death of the person who obtained them; but
(b)before the expiry of the period of ten years beginning with his obtaining them;
subsection (3) of section 185 shall apply with the omission of the reference to subsection (5) of that section.
(4)M3In sub-paragraph (1) above “qualifying employee”, in relation to a company, means an employee of the company (other than one who is a director of the company or, in the case of a group scheme, of a participating company) F1. . . .
Textual Amendments
F1Words in Sch. 9 para. 27(4) repealed (with effect in accordance with s. 137(7)(8) of the repealing Act) by Finance Act 1995 (c. 4), s. 137(3), Sch. 29 Pt. 8(20), Note
Marginal Citations
M1Source—1984 Sch.10 4(1)(a), (2)
M2Source—1984 Sch.10, 12
M3Source—1984 Sch. 10 15(1)
28(1)M4 The scheme must provide that no person shall obtain rights under it which would, at the time they are obtained, cause the aggregate market value of the shares which he may acquire in pursuance of rights obtained under the scheme or under any other share option scheme, not being a savings-related share option scheme, approved under this Schedule and established by the grantor or by any associated company of the grantor (and not exercised) to exceed or further exceed [F2£30,000].
(2)F3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
(3)For the purposes of sub-paragraph (1) above, the market value of shares shall be calculated as at the time when the rights in relation to those shares were obtained or, in a case where an agreement relating to them has been made under paragraph 29 below, such earlier time or times as may be provided in the agreement.
(4)F3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Textual Amendments
F2Words in Sch. 9 para. 28(1) substituted (29.4.1996) by Finance Act 1996 (c. 8), s. 114(2)(a)
F3Sch. 9 para. 28(2)(4) repealed (29.4.1996) by Finance Act 1996 (c. 8), s. 114(2)(b), Sch. 41 Pt. 5(5), Note 3
Modifications etc. (not altering text)
C1Sch. 9 para. 28(3) applied (with effect in accordance with Sch. 16 para. 1 of the affecting Act) by Finance Act 1996 (c. 8), Sch. 16 para. 2(2)
Marginal Citations
M4Source—1984 Sch. 10 5
[F429[F5(1)The price at which scheme shares may be acquired by the exercise of a right obtained under the scheme—
(a)must be stated at the time the right is obtained, and
(b)must not be manifestly less than the market value of shares of the same class at that time or, if the Board and the grantor agree in writing, at such earlier time or times as may be provided in the agreement.]
(7)The scheme may provide for such variation of the price at which scheme shares may be acquired as may be necessary to take account of any variation in the share capital of which the scheme shares form part.
(8)F6. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .]
Textual Amendments
F4S. 29 substituted (1.1.1992) by Finance Act 1991 (c. 31, SIF 63:1), s. 39(1)(7)
F5Sch. 9 para. 29(1) substituted for para. 29(1)-(6) (with effect in accordance with s. 114(10) of the amending Act) by Finance Act 1996 (c. 8), s. 114(3)
F6Sch. 9 para. 29(8) repealed (with effect in accordance with s. 114(10) of the repealing Act) by Finance Act 1996 (c. 8), Sch. 41 Pt. 5(5), Note 3