Limitation on Covenant Clause Samples

Limitation on Covenant. Ownership by Key Employee, as a passive investment, of less than five percent of the outstanding shares of capital stock of any corporation listed on a national securities exchange or publicly traded in the over-the-counter market shall not constitute a breach of this Section 7.01.

Limitation on Covenant. The covenant set forth in Section 4.06 above shall not be applicable in any of the following circumstances: (1) If Employee terminates this Agreement because the Company is in material violation of its obligations under this Agreement; or (2) If any event should occur that gives rise to the incurrence by the Company of a severance obligation to Employee under Article VI of this Agreement.

Limitation on Covenant. Ownership by a Seller Party, as a passive investment, of less than one percent (1%) of the outstanding shares of capital stock of any corporation listed on a national securities exchange or publicly traded in the over-the-counter market shall not constitute a breach of this Section 5.2.

Limitation on Covenant. Ownership by a Seller, as a passive investment, of less than five percent (5%) of the outstanding shares of capital stock of any corporation listed on a national securities exchange or publicly traded in the over-the-counter market shall not constitute a breach of this Section 5.2.

Limitation on Covenant. Ownership by E. P▇▇▇▇▇▇, ▇▇ a passive investment, of less than one percent (1%) of the outstanding shares of capital stock, outstanding debt instruments or other securities convertible into capital stock or debt instruments of any corporation listed on a national securities exchange or publicly traded on any nationally recognized over-the-counter market shall not constitute a breach of this Section 1.

Limitation on Covenant. Ownership by R▇▇▇▇▇, as a passive investment, of less than 1.0% of the outstanding shares of capital stock of any corporation listed on a national securities exchange or publicly traded on NASDAQ will not itself constitute a breach of this paragraph 6.

Limitation on Covenant. Notwithstanding anything in this Agreement to the contrary, (i) ownership by any Seller Subject Party, as a passive investment, of less than five percent (5%) of the outstanding shares of capital stock of any corporation listed on a national securities exchange or publicly traded in the over-the-counter market shall not constitute a breach of this Section 5.2 and (ii) subject to Section 5.2(c), no Seller Subject Party shall be restricted from engaging in the consulting business currently conducted by any Seller Subject Party (including without limitation the provision of sourcing or advisory services and the related referral or recommendation from time to time (whether or not for a fee) of services and products provided by Persons who engage in the Business or in competition with the Business).

Limitation on Covenant. Ownership by Executive, as a passive investment, of less than five percent (5%) of the outstanding shares of capital stock of any corporation listed on a national securities exchange or publicly traded in an over-the counter market shall not constitute a breach of this Section 7.

Limitation on Covenant. The covenant set forth in Section 7(e) above shall not be applicable if the Consultant terminates this Agreement because the Company is in material violation of its obligations under this Agreement.