ERISA Status. This Agreement is intended to qualify as a deferred compensation arrangement that is exempt from the provisions of the Employee Retirement Income Security Act of 1974, as amended (ERISA) because this Agreement is not an employee benefit plan or a plan as those terms are defined under the provisions of ERISA. It is understood that the amounts payable to the Director under this Agreement are strictly from the general assets of the Bank and that the Director has no greater rights to the general assets of the Bank than any other unsecured general creditor. Similarly, the Bank may, in its sole and absolute discretion, establish a "rabbi trust" as a means of setting aside a portion of its general assets for the payment of benefits under this Agreement. However, the Bank shall be under no obligation to establish such a trust nor shall the Bank establish such a trust if its establishment or existence would in any way cause this Agreement to be anything other than an unfunded deferred compensation arrangement.
Appears in 10 contracts
Samples: Director Retirement Agreement (Community Valley Bancorp), Director Retirement Agreement (Community Valley Bancorp), Director Retirement Agreement (Community Valley Bancorp)
