Common use of Change in Election of Time or Form of Payment Clause in Contracts

Change in Election of Time or Form of Payment. With the Bank’s approval, the Director may change the form of payment under section 2.2 or delay the date of payment under section 2.3 by filing a new Election Form with the Bank. An election to change the form of payment under section 2.2 or an election to delay the date of payment under section 2.3 shall not take effect until at least 12 months elapse after the date the new Election Form is received by the Bank. If the Director changes his or her election under section 2.2 or section 2.3 in reliance on this section 2.4, the installment benefit payments or the lump-sum benefit payment shall be deferred for at least five years beyond the date when the benefit payment or payments would have been made to the Director had the Director not changed the election in reliance on this section 2.4. A Director may not elect to accelerate the date of payment elected under section 2.3. A Director may not change the form of payment under section 2.2 or delay the date of payment under section 2.3 if 12 or fewer months remain before the payment date elected by the Director under section 2.3.