Pro-Ration Upon Termination Clause Samples
The "Pro-Ration upon Termination" clause defines how payments or obligations are adjusted proportionally if a contract ends before its scheduled completion. In practice, this means that fees, services, or deliverables are calculated based on the actual period the contract was in effect, rather than the full term. For example, if a yearly service agreement is terminated after six months, only half of the annual fee would be due. This clause ensures fairness by aligning payments or responsibilities with the actual duration of service, preventing overpayment or under-delivery when a contract is cut short.
Pro-Ration Upon Termination. Upon termination or retirement of an Employee, the Employee's unused vacation if any shall be pro-rated based upon the number of months worked in the last year of employment. The Employer shall deduct any vacation used but not yet accrued from the Employee's final compensation.
Pro-Ration Upon Termination. Upon termination, an Employee shall be paid on a pro-rata basis for all vacation time earned up to that separation date.
Pro-Ration Upon Termination. In the event that the foregoing consulting agreement is terminated for any reason whatsoever prior to the vesting of the bonus for a period as set forth herein above, then any such bonus rights not yet vested shall be terminated after the effective date of the termination as set forth in Paragraph 3(B) of the foregoing consulting agreement; provided, however, that any unvested interests shall be pro rated monthly through the effective date of termination, with the full amount for a pro rated month vesting on the 1st calendar day of that month.