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Recording a Leaver (Coming Soon)

A preview of how the Navys leaver classification engine will work in the next release.

Coming Soon. Leaver classification is part of the next release of Carry on Navys. This article previews how the workflow will work.

Leaver categories Navys will support

The Navys leaver engine will cover the categories you typically find in PE/VC carry plans globally:

  • Good leaver — left for an acceptable reason (retirement, death, disability, redundancy, sometimes mutual agreement). Typically keeps all vested carry; sometimes gets accelerated vesting on some unvested carry.

  • Mid leaver ("intermediate leaver") — left voluntarily but without fault. Middle ground: typically keeps vested carry at fair value but forfeits unvested.

  • Bad leaver — left voluntarily or was terminated for cause. Typically forfeits all unvested carry and may be required to sell vested carry back at a discount or at cost.

  • Death or disability — usually a sub-category of good leaver with its own specific treatment.

  • Competing activity — typically the harshest category, with stronger clawback provisions.

Each firm configures the default rules per category when they onboard. The defaults capture the firm's standard policy as written in the carry plan.

Per-holder override

Navys will support per-holder overrides. When you record a leaver, you start from the default rule for their category, then optionally override specific fields to reflect the negotiated terms. Both the defaults and the overrides are captured in the audit trail.

What happens when you record a leaver

When you record a holder as a leaver, Navys will automatically:

  1. Snapshot the rule that was in effect (their schedule and your firm's default for that category)

  2. Apply any override you provide

  3. Recompute the holder's vested portion at the leaver date

  4. Recompute any clawback exposure on already-distributed carry

  5. Adjust their capital account and any open capital-call obligations

The recompute will happen in one place, so you can see in a single view what the final position is, and adjust if the negotiated terms differ from the default.

The Record Leaver feature

The Record Leaver feature will let you:

  • Select the leaver category

  • Set the event date (the date the leaver took effect)

  • Review the default rule snapshot for that category

  • Provide any override to specific rule fields, with a free-text rationale

  • See a live preview of the resulting vested shares retained, the clawback amount, and the capital account impact

Submitting commits the leaver event, updates the holder's status, and writes an audit trail entry.

Getting help

For any further questions or assistance, please reach out via the chat on the platform or contact the Navys support team at [email protected].

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