Common use of Payment of Purchase Price to Terminated Minority Shareholder Clause in Contracts

Payment of Purchase Price to Terminated Minority Shareholder. Upon the termination of a Minority Shareholder's employment with the Corporation, the value of the Terminated Minority Shareholder's shares of stock shall be determined as provided in Section 2.4 herein, and said value shall thereafter represent the purchase price of the shares. The Purchasers of the Terminated Minority Shareholder's shares of stock shall not be required to make any payments of principal or interest to the Terminated Minority Shareholder prior to the expiration of two (2) calendar years from the date of termination. On the first day of the calendar month immediately following the expiration of said two (2) year period the Purchasers shall pay to the Terminated Minority Shareholder an amount equal to twenty-five percent (25%) of the purchase price in cash, as a down payment. The balance of the purchase price shall be paid in sixty (60) equal monthly installments of principal and interest beginning on the first day of the calendar month immediately following the disbursement of the down payment. Said payments shall be evidenced by a promissory note on the terms specified in Section 2.8 herein and shall be secured by a pledge of the stock.