Common use of Noncompetition Obligation Clause in Contracts

Noncompetition Obligation. Executive shall not during the Restricted Period and within the States of California, Georgia, Indiana or Massachusetts organize or form, or acquire a material interest in, or serve as a member of the executive management team of, or provide consulting concerning the executive management of, any business which competes directly with any business which the Company is engaged in, on the date of this Agreement; provided, however, Executive's ownership of any interest constituting not more than five percent of the outstanding debt or equity in a corporation shall not be deemed a "material interest" in competitor if the shares of such corporation are actively traded on a recognized stock exchange or are traded on an over-the-counter market even though that corporation may be a direct competitor of the Company. Executive acknowledges and agrees that the states identified in this section are states in which Executive performs services for the Company by being actively engaged as a member of the Company's executive management team in the Company's operations in these states.

Noncompetition Obligation. Executive shall not during the Restricted Period and within the States of California, Georgia, Indiana or Massachusetts organize or form, or acquire a material interest in, or serve as a member of the executive management team of, or provide consulting concerning the executive management of, any business which competes directly or indirectly with any business which the Company is engaged in or has plans to engage in, on the date of this Agreement; provided, however, Executive's ownership of any interest constituting not more than five percent of the outstanding debt or equity in a corporation shall not be deemed a "material interest" in competitor if the shares of such corporation are actively traded on a recognized stock exchange or are traded on an over-the-counter market even though that corporation may be a direct competitor of the Company. Executive acknowledges and agrees that the states identified in this section are states in which Executive performs services for the Company by being actively engaged as a member of the Company's executive management team in the Company's operations in these states.