Death before the DCD Sample Clauses
The 'Death before the DCD' clause addresses the situation where a party to an agreement dies before the Date of Completion of the Deal (DCD). This clause typically outlines the rights and obligations of the deceased party's estate or representatives, such as whether the contract remains binding, can be assigned, or is terminated upon death. Its core function is to provide clarity and certainty for all parties by specifying what happens to contractual obligations in the event of a party's death before the deal is finalized, thereby preventing disputes and ensuring a smooth transition or resolution.
Death before the DCD. If a Participant dies before the Distribution Commencement Date, the distribution to the Beneficiary will be made in accordance with the following rule(s) (Choose one of (1), (2), or (3)):
(1) [ ] Beneficiary election. See Section 6.02(B)(1)(e). This election [ ] [ ] applies only if the Beneficiary is a Designated Beneficiary under Treas. Reg. §1.401(a)(9)-4. If not, the 5-year rule applies. In the absence of the Designated Beneficiary's election, the Life Expectancy rule applies. The Employer in Appendix B may elect to change the default (no Designated Beneficiary election) to the 5-year rule.
(2) [ ] Life Expectancy rule. See Section 6.02(B)(1)(d). [ ] [ ] This election applies only if the Beneficiary is a Designated Beneficiary under Treas. Reg. §1.401(a)(9)-4. If not, the 5-year rule applies.
(3) [ ] 5-year rule. See Section 6.02(B)(1)(c). This election applies [ ] [ ] regardless of whether the Beneficiary is a Designated Beneficiary under Treas. Reg. §1.401(a)(9)-4.
Death before the DCD. If a Participant dies before the Distribution Commencement Date, the distribution to the Beneficiary will be made in accordance with the following rule(s) (Choose one of (1), (2), or (3)):
Death before the DCD. If a Participant dies before the Distribution Commencement Date, the distribution to the Beneficiary will be made in accordance with the following rule(s) (Choose one of (1), (2), or (3)):
(1) [ ] Beneficiary election. See Section 6.02(B)(1)(e). This election [ ] [ ] applies only if the Beneficiary is a Designated Beneficiary under Treas. Reg. §1.401(a)(9)-4. If not, the 5-year rule applies. In the absence of the Designated Beneficiary's election, the Life Expectancy rule applies. The Employer in Appendix B may elect to change the default (no Designated Beneficiary election) to the 5-year rule.