Disability Adjustment Sample Clauses
A Disability Adjustment clause defines how contractual obligations or benefits are modified if a party becomes disabled. Typically, this clause outlines the process for determining disability, the duration of any adjustment period, and the specific changes to payments, duties, or timelines that result from the disability. For example, in employment or insurance contracts, it may reduce or suspend certain obligations or provide for alternative arrangements during the period of disability. The core function of this clause is to ensure fairness and flexibility by accommodating unforeseen circumstances that impact a party’s ability to perform, thereby reducing uncertainty and potential disputes.
Disability Adjustment. Any compensation otherwise payable to Executive pursuant to Sections 2.2 and 2.3 in respect of any period during which Executive is disabled (as contemplated in Section 4.4) shall be reduced by any amounts payable to Executive for loss of earnings or the like under any insurance plan or policy sponsored by the Company.
