Common use of Charter Disclosure Schedule Section 3 Clause in Contracts

Charter Disclosure Schedule Section 3. 13(a) lists, as of the date hereof, all contracts, arrangements, commitments or understandings (whether written or oral), other than any Charter Benefit Plan, entered into by Charter or CharterBank or by which Charter or CharterBank may be bound: (i) which is a “material contract” (as such term is defined in Item 601(b)(10) of Regulation S-K of the SEC) (ii) which contains a non-compete or client or customer non-solicitation requirement or any other provision that materially restricts the conduct of any line of business by Charter or CharterBank or upon consummation of the Merger will materially restrict the ability of the Surviving Entity or the Surviving Bank to engage in any line of business that is material to Charter and CharterBank, taken as a whole; (iii) with or to a labor union or guild (including any collective bargaining agreement); or (iv) which includes any bonus, stock options, restricted stock, stock appreciation right or other employee benefit agreement or arrangement; (v) which, upon the consummation of the transactions contemplated by this Agreement (with alone or upon the occurrence of any additional acts or events) will result in any payment (whether change of control, severance pay or otherwise) becoming due from Charter, the Surviving Entity or any of their respective Subsidiaries to any officer, employee or director; (vi) the benefits of which will be increased or the vesting of benefits of which will be accelerated by the occurrence of any of the transactions contemplated by this Agreement; (vii) that grants any right of first refusal, right of first offer or similar right with respect to any material assets, rights or properties of Charter or CharterBank, taken as a whole; (viii) related to the borrowing by Charter or CharterBank of money other than those entered into in the Ordinary Course of Business and any guaranty of any obligation for the borrowing of money, excluding endorsements made for collection, repurchase or resell agreements, letters of credit and guaranties made in the Ordinary Course of Business; (ix) relating to the lease of personal property having a value in excess of $75,000 in the aggregate; (x) relating to any joint venture, partnership, limited liability company agreement or other similar agreement or arrangement; (xi) which relates to capital expenditures and involves future payments in excess of $200,000 in the aggregate; or (xii) which is not terminable on sixty (60) days or less notice and involves the payment of more than $100,000 per annum. Each contract, arrangement, commitment or understanding of the type described in this Section 3.13(a), whether or not set forth in the Charter Disclosure Schedule, is referred to herein as a “Charter Contract,” and neither Charter nor CharterBank knows of, or has received written, or to Charter’s knowledge, oral notice of, any violation of the above by any of the other parties thereto which would reasonably be likely to have a Material Adverse Effect on Charter. Charter has made available to CenterState complete and correct copies of all Charter Contracts identified in Charter Disclosure Schedule Section 3.13(a).