Common use of Parachute Payment Excise Tax Clause in Contracts

Parachute Payment Excise Tax. (a) In the event that any payment or benefit (within the meaning of Section 280G(b)(2) of the Code) to Butera for Xxxxxx’x benefit, paid or payable or distributed or distributable pursuant to the terms of this Agreement or otherwise in connection with, or arising out of, Xxxxxx’x employment with the Company or a Change of Control (a “Payment” or “Payments”), would be subject to the excise tax imposed by Code Section 4999, or any interest or penalties are incurred by Butera with respect to such excise tax (such excise tax, together with any such interest and penalties, are hereinafter collectively referred to as the “Excise Tax”), then Butera will be entitled to receive an additional payment (a “Gross-Up Payment”) in an amount such that after payment by Butera of all taxes (including any interest or penalties (other than interest and penalties imposed by reason of Xxxxxx’x failure to file timely a tax return or pay taxes shown due on Xxxxxx’x return) imposed with respect to such taxes and the Excise Tax), including any Excise Tax imposed upon the Gross-Up Payment, Butera retains an amount of the Gross-Up Payment equal to the Excise Tax imposed upon the Payments.

Parachute Payment Excise Tax. (a) In the event that any payment or benefit (within the meaning of Section 280G(b)(2) of the Code) to Butera Xxxxxx for Xxxxxx’x Xxxxxx'x benefit, paid or payable or distributed or distributable pursuant to the terms of this Agreement or otherwise in connection with, or arising out of, Xxxxxx’x the Xxxxxx'x employment with the Company or a Change of Control (a “"Payment” " or “"Payments”"), would be subject to the excise tax imposed by Code Section 4999, or any interest or penalties are incurred by Butera Xxxxxx with respect to such excise tax (such excise tax, together with any such interest and penalties, are hereinafter collectively referred to as the “"Excise Tax”"), then Butera Xxxxxx will be entitled to receive an additional payment (a “"Gross-Up Payment”") in an amount such that after payment by Butera Xxxxxx of all taxes (including any interest or penalties (other than interest and penalties imposed by reason of Xxxxxx’x Xxxxxx'x failure to file timely a tax return or pay taxes shown due on Xxxxxx’x Xxxxxx'x return) imposed with respect to such taxes and the Excise Tax), including any Excise Tax imposed upon the Gross-Up Payment, Butera Xxxxxx retains an amount of the Gross-Up Payment equal to the Excise Tax imposed upon the Payments.

Parachute Payment Excise Tax. (a) In the event that any payment or benefit (within the meaning of Section 280G(b)(2) of the Code) to Butera Xxxx for Xxxxxx’x Xxxx'x benefit, paid or payable or distributed or distributable pursuant to the terms of this Agreement or otherwise in connection with, or arising out of, Xxxxxx’x the Xxxx'x employment with the Company or a Change of Control (a “"Payment” " or “"Payments”"), would be subject to the excise tax imposed by Code Section 4999, or any interest or penalties are incurred by Butera Xxxx with respect to such excise tax (such excise tax, together with any such interest and penalties, are hereinafter collectively referred to as the “"Excise Tax”"), then Butera Xxxx will be entitled to receive an additional payment (a “"Gross-Up Payment”") in an amount such that after payment by Butera Xxxx of all taxes (including any interest or penalties (other than interest and penalties imposed by reason of Xxxxxx’x Xxxx'x failure to file timely a tax return or pay taxes shown due on Xxxxxx’x Xxxx'x return) imposed with respect to such taxes and the Excise Tax), including any Excise Tax imposed upon the Gross-Up Payment, Butera Xxxx retains an amount of the Gross-Up Payment equal to the Excise Tax imposed upon the Payments.

Parachute Payment Excise Tax. (a) In the event that any payment or benefit (within the meaning of Section 280G(b)(2) of the Code) to Butera Xxxx for Xxxxxx’x Xxxx’x benefit, paid or payable or distributed or distributable pursuant to the terms of this Agreement or otherwise in connection with, or arising out of, Xxxxxx’x the Xxxx’x employment with the Company or a Change of Control (a “Payment” or “Payments”), would be subject to the excise tax imposed by Code Section 4999, or any interest or penalties are incurred by Butera Xxxx with respect to such excise tax (such excise tax, together with any such interest and penalties, are hereinafter collectively referred to as the “Excise Tax”), then Butera Xxxx will be entitled to receive an additional payment (a “Gross-Up Payment”) in an amount such that after payment by Butera Xxxx of all taxes (including any interest or penalties (other than interest and penalties imposed by reason of Xxxxxx’x Xxxx’x failure to file timely a tax return or pay taxes shown due on Xxxxxx’x Xxxx’x return) imposed with respect to such taxes and the Excise Tax), including any Excise Tax imposed upon the Gross-Up Payment, Butera Xxxx retains an amount of the Gross-Up Payment equal to the Excise Tax imposed upon the Payments.

Parachute Payment Excise Tax. (a) In the event that any payment or benefit (within the meaning of Section 280G(b)(2) of the Code) to Butera Xxxxxx for Xxxxxx’x benefit, paid or payable or distributed or distributable pursuant to the terms of this Agreement or otherwise in connection with, or arising out of, the Xxxxxx’x employment with the Company or a Change of Control (a “Payment” or “Payments”), would be subject to the excise tax imposed by Code Section 4999, or any interest or penalties are incurred by Butera Xxxxxx with respect to such excise tax (such excise tax, together with any such interest and penalties, are hereinafter collectively referred to as the “Excise Tax”), then Butera Xxxxxx will be entitled to receive an additional payment (a “Gross-Up Payment”) in an amount such that after payment by Butera Xxxxxx of all taxes (including any interest or penalties (other than interest and penalties imposed by reason of Xxxxxx’x failure to file timely a tax return or pay taxes shown due on Xxxxxx’x return) imposed with respect to such taxes and the Excise Tax), including any Excise Tax imposed upon the Gross-Up Payment, Butera Xxxxxx retains an amount of the Gross-Up Payment equal to the Excise Tax imposed upon the Payments.