The practices of option "backdating" and "springloading" have received widespread attention from government regulators. While both backdating and springloading strike many as fraudulent, or at least unethical, neither is per se illegal. This article focuses on the legality of stock option springloading as an executive compensation technique. Part II of this article provides information about the reasons for the growth of stock options as a part of executive compensation and the purposes stock options serve. Part III examines statements made by US Securities and Exchange Commissioner Paul Atkins in defense of springloading's legality, first looking at whether springloading in fact causes harm to shareholders, and then examining the practice in the context of the business judgment rule. Part IV offers the recommendation that while springloading does not fit squarely within the elements of a traditional insider trading action, springloading should not be permitted without consequence in order to fulfill the policy goals of insider trading prohibitions.