{"component": "clause", "props": {"groups": [{"snippet_links": [{"key": "in-the-event-the", "type": "clause", "offset": [0, 16]}, {"key": "face-amount", "type": "definition", "offset": [63, 74]}, {"key": "the-note", "type": "clause", "offset": [78, 86]}, {"key": "set-out", "type": "definition", "offset": [90, 97]}, {"key": "installment-payment", "type": "definition", "offset": [129, 148]}, {"key": "equal-amounts", "type": "clause", "offset": [181, 194]}], "snippet": "In the event the Maker fails to requisition and spend the full face amount of the Note as set out above, then the amount of each installment payment shall be reduced accordingly in equal amounts.", "samples": [{"hash": "2THYSiyOTXl", "uri": "/contracts/2THYSiyOTXl#reduced-amount", "label": "Loan Agreement (Lincolnway Energy, LLC)", "score": 21.0, "published": true}, {"hash": "fVnW9hlEjfo", "uri": "/contracts/fVnW9hlEjfo#reduced-amount", "label": "Ceba Loan Agreement (Hydrogen Engine Center, Inc.)", "score": 18.0, "published": true}, {"hash": "fDfKmn939pR", "uri": "/contracts/fDfKmn939pR#reduced-amount", "label": "Ceba Loan Agreement (Top Air Manufacturing Inc)", "score": 18.0, "published": true}], "size": 5, "hash": "8a6ab4a315e539b799589c2206381d9a", "id": 4}, {"snippet_links": [{"key": "the-accounting-firm", "type": "clause", "offset": [3, 22]}, {"key": "the-company-shall", "type": "clause", "offset": [89, 106]}, {"key": "notice-to", "type": "clause", "offset": [125, 134]}, {"key": "a-copy-of-the", "type": "clause", "offset": [151, 164]}, {"key": "manifest-error", "type": "clause", "offset": [202, 216]}, {"key": "section-9", "type": "clause", "offset": [276, 285]}, {"key": "binding-upon", "type": "clause", "offset": [295, 307]}, {"key": "and-the-company", "type": "clause", "offset": [312, 327]}, {"key": "in-no-event", "type": "clause", "offset": [384, 395]}, {"key": "business-days", "type": "clause", "offset": [419, 432]}, {"key": "following-the", "type": "definition", "offset": [433, 446]}, {"key": "change-of-control-date", "type": "definition", "offset": [447, 469]}, {"key": "reduction-of", "type": "clause", "offset": [529, 541]}, {"key": "if-applicable", "type": "definition", "offset": [556, 569]}, {"key": "payments-and-benefits", "type": "clause", "offset": [601, 622]}, {"key": "to-the-extent", "type": "clause", "offset": [666, 679]}, {"key": "not-payable", "type": "definition", "offset": [844, 855]}, {"key": "cash-payments", "type": "definition", "offset": [900, 913]}, {"key": "each-case", "type": "definition", "offset": [918, 927]}, {"key": "reverse-order", "type": "clause", "offset": [931, 944]}, {"key": "beginning-with", "type": "clause", "offset": [945, 959]}, {"key": "in-time", "type": "definition", "offset": [1015, 1022]}, {"key": "the-determination", "type": "clause", "offset": [1028, 1045]}, {"key": "fees-and-expenses-of-the-accounting", "type": "clause", "offset": [1051, 1086]}, {"key": "provisions-of-this-section", "type": "clause", "offset": [1112, 1138]}, {"key": "by-the-company", "type": "clause", "offset": [1156, 1170]}, {"key": "requested-by", "type": "definition", "offset": [1186, 1198]}, {"key": "cooperate-with", "type": "clause", "offset": [1222, 1236]}, {"key": "in-good-faith", "type": "definition", "offset": [1241, 1254]}, {"key": "services-provided", "type": "definition", "offset": [1266, 1283]}, {"key": "including-without-limitation", "type": "clause", "offset": [1310, 1338]}, {"key": "performing-services", "type": "clause", "offset": [1370, 1389]}, {"key": "pursuant-to-a", "type": "definition", "offset": [1390, 1403]}, {"key": "covenant-not-to-compete", "type": "definition", "offset": [1404, 1427]}, {"key": "date-of", "type": "clause", "offset": [1473, 1480]}, {"key": "control-of-the-company", "type": "clause", "offset": [1506, 1528]}, {"key": "meaning-of", "type": "definition", "offset": [1541, 1551]}, {"key": "treasury-regulations", "type": "definition", "offset": [1568, 1588]}, {"key": "the-code", "type": "clause", "offset": [1619, 1627]}, {"key": "in-respect-of", "type": "clause", "offset": [1669, 1682]}, {"key": "reasonable-compensation", "type": "clause", "offset": [1715, 1738]}, {"key": "the-regulations", "type": "clause", "offset": [1791, 1806]}, {"key": "definition-of-the-term", "type": "clause", "offset": [1830, 1852]}, {"key": "parachute-payment", "type": "definition", "offset": [1854, 1871]}, {"key": "in-accordance-with", "type": "definition", "offset": [1923, 1941]}], "snippet": "If the Accounting Firm determines that Payments should be reduced to the Reduced Amount, the Company shall promptly give you notice to that effect and a copy of the detailed calculation thereof. Absent manifest error, all determinations made by the Accounting Firm under this Section 9 shall be binding upon you and the Company and shall be made as soon as reasonably practicable and in no event later than twenty (20) business days following the Change of Control Date, or such later date on which there has been a Payment. The reduction of the Payments, if applicable, shall be made by reducing the payments and benefits hereunder in the following order, and only to the extent necessary to achieve the Reduced Amount: The Company shall reduce or eliminate the Payments, by first reducing or eliminating the portion of the Payments which are not payable in cash and then by reducing or eliminating cash payments, in each case in reverse order beginning with payments or benefits which are to be paid the farthest in time from the determination. All fees and expenses of the Accounting Firm in implementing the provisions of this Section 9 shall be borne by the Company. To the extent requested by you, the Company shall cooperate with you in good faith in valuing services provided or to be provided by you (including without limitation, your agreeing to refrain from performing services pursuant to a covenant not to compete or similar covenant) before, on or after the date of a change in ownership or control of the Company (within the meaning of Q&A-2(b) of the Treasury Regulations adopted under Section 280G of the Code (the \u201cRegulations\u201d)), such that payments in respect of such services may be considered reasonable compensation within the meaning of Q&A-9 and Q&A-40 to Q&A-44 of the Regulations and/or exempt from the definition of the term \u201cparachute payment\u201d within the meaning of Q&A-2(a) of the Regulations in accordance with Q&A-5(a) of the Regulations.", "samples": [{"hash": "7irRXWlPNg", "uri": "/contracts/7irRXWlPNg#reduced-amount", "label": "Change of Control Agreement (LKQ Corp)", "score": 35.5626296997, "published": true}, {"hash": "hJ30xZ8A985", "uri": "/contracts/hJ30xZ8A985#reduced-amount", "label": "Change of Control Agreement (LKQ Corp)", "score": 35.1409988403, "published": true}, {"hash": "1mpfdXL9N5B", "uri": "/contracts/1mpfdXL9N5B#reduced-amount", "label": "Change of Control Agreement (LKQ Corp)", "score": 35.1409988403, "published": true}], "size": 28, "hash": "8f51eceadc80755ceaabe0db5364a096", "id": 1}, {"snippet_links": [{"key": "total-parachute-payments", "type": "definition", "offset": [86, 110]}, {"key": "to-the-executive", "type": "clause", "offset": [132, 148]}, {"key": "code-section-4999", "type": "clause", "offset": [195, 212]}], "snippet": "\u201cReduced Amount\u201d means the largest amount of Parachute Payments that is less than the total Parachute Payments and that may be paid to the Executive without subjecting the Executive to tax under Code section 4999.", "samples": [{"hash": "hxnJjGZccoQ", "uri": "/contracts/hxnJjGZccoQ#reduced-amount", "label": "Change in Control Severance Agreement (Centerspace)", "score": 34.22108078, "published": true}, {"hash": "jyIAySeySHQ", "uri": "/contracts/jyIAySeySHQ#reduced-amount", "label": "Change in Control Severance Agreement (Centerspace)", "score": 33.2245025635, "published": true}, {"hash": "djpdfto1c9R", "uri": "/contracts/djpdfto1c9R#reduced-amount", "label": "Severance Agreement (Tredegar Corp)", "score": 28.1457901001, "published": true}], "size": 14, "hash": "d28aa8f772715291125a4661330ed5b8", "id": 2}, {"snippet_links": [{"key": "from-the-company", "type": "clause", "offset": [50, 66]}, {"key": "parachute-payment", "type": "definition", "offset": [123, 140]}, {"key": "meaning-of", "type": "definition", "offset": [153, 163]}, {"key": "subject-to-the", "type": "definition", "offset": [225, 239]}, {"key": "tax-imposed", "type": "clause", "offset": [247, 258]}, {"key": "section-4999-of-the-code", "type": "clause", "offset": [262, 286]}, {"key": "pursuant-to-this-agreement", "type": "clause", "offset": [343, 369]}, {"key": "equal-to", "type": "definition", "offset": [393, 401]}, {"key": "the-payment", "type": "clause", "offset": [486, 497]}, {"key": "the-total", "type": "clause", "offset": [643, 652]}, {"key": "employment-taxes", "type": "definition", "offset": [815, 831]}, {"key": "income-taxes", "type": "clause", "offset": [833, 845]}, {"key": "marginal-rate", "type": "definition", "offset": [906, 919]}, {"key": "tax-basis", "type": "definition", "offset": [959, 968]}, {"key": "economic-benefit", "type": "definition", "offset": [985, 1001]}, {"key": "reduction-in", "type": "definition", "offset": [1097, 1109]}, {"key": "pursuant-to-the", "type": "definition", "offset": [1132, 1147]}, {"key": "pursuant-to-clause", "type": "clause", "offset": [1204, 1222]}, {"key": "benefit-for", "type": "definition", "offset": [1357, 1368]}, {"key": "method-of-reduction", "type": "clause", "offset": [1391, 1410]}, {"key": "the-items", "type": "definition", "offset": [1453, 1462]}, {"key": "pro-rata-reduction-method", "type": "clause", "offset": [1505, 1530]}], "snippet": "If any payment or benefit you will or may receive from the Company or otherwise (a \u201c280G Payment\u201d) would (i) constitute a \u201cparachute payment\u201d within the meaning of Section 280G of the Code, and (ii) but for this sentence, be subject to the excise tax imposed by Section 4999 of the Code (the \u201cExcise Tax\u201d), then any such 280G Payment provided pursuant to this Agreement (a \u201cPayment\u201d) shall be equal to the Reduced Amount. The \u201cReduced Amount\u201d shall be either (x) the largest portion of the Payment that would result in no portion of the Payment (after reduction) being subject to the Excise Tax or (y) the largest portion, up to and including the total, of the Payment, whichever amount (i.e., the amount determined by clause (x) or by clause (y)), after taking into account all applicable federal, state and local employment taxes, income taxes, and the Excise Tax (all computed at the highest applicable marginal rate), results in your receipt, on an after-tax basis, of the greater economic benefit notwithstanding that all or some portion of the Payment may be subject to the Excise Tax. If a reduction in a Payment is required pursuant to the preceding sentence and the Reduced Amount is determined pursuant to clause (x) of the preceding sentence, the reduction shall occur in the manner (the \u201cReduction Method\u201d) that results in the greatest economic benefit for you. If more than one method of reduction will result in the same economic benefit, the items so reduced will be reduced pro rata (the \u201cPro Rata Reduction Method\u201d).", "samples": [{"hash": "lbl4BKHzs7o", "uri": "/contracts/lbl4BKHzs7o#reduced-amount", "label": "Employment Agreement (Enovix Corp)", "score": 30.5455169678, "published": true}, {"hash": "lPRfLoE2ZYs", "uri": "/contracts/lPRfLoE2ZYs#reduced-amount", "label": "Employment Agreement (Enovix Corp)", "score": 30.5455169678, "published": true}, {"hash": "ixy16c4oWFg", "uri": "/contracts/ixy16c4oWFg#reduced-amount", "label": "Employment Agreement (Enovix Corp)", "score": 30.5455169678, "published": true}], "size": 6, "hash": "c0e41607f7f67c369ba2ab6bb4ec6224", "id": 3}, {"snippet_links": [{"key": "the-accounting-firm", "type": "clause", "offset": [3, 22]}, {"key": "agreement-payments", "type": "definition", "offset": [39, 57]}, {"key": "the-company-shall", "type": "clause", "offset": [99, 116]}, {"key": "notice-to", "type": "clause", "offset": [135, 144]}, {"key": "a-copy-of-the", "type": "clause", "offset": [161, 174]}, {"key": "manifest-error", "type": "clause", "offset": [212, 226]}, {"key": "section-9", "type": "clause", "offset": [286, 295]}, {"key": "binding-upon", "type": "clause", "offset": [305, 317]}, {"key": "and-the-company", "type": "clause", "offset": [322, 337]}, {"key": "in-no-event", "type": "clause", "offset": [394, 405]}, {"key": "business-days", "type": "clause", "offset": [429, 442]}, {"key": "following-the", "type": "definition", "offset": [443, 456]}, {"key": "change-of-control-date", "type": "definition", "offset": [457, 479]}, {"key": "for-purposes-of", "type": "clause", "offset": [535, 550]}, {"key": "payments-to-the", "type": "clause", "offset": [568, 583]}, {"key": "amounts-payable-under-this-agreement", "type": "clause", "offset": [605, 641]}, {"key": "no-other-payments", "type": "clause", "offset": [647, 664]}, {"key": "reduction-of", "type": "clause", "offset": [688, 700]}, {"key": "if-applicable", "type": "definition", "offset": [719, 732]}, {"key": "payments-and-benefits", "type": "clause", "offset": [764, 785]}, {"key": "to-the-extent", "type": "clause", "offset": [854, 867]}, {"key": "pursuant-to-section", "type": "definition", "offset": [987, 1006]}, {"key": "termination-shall", "type": "clause", "offset": [1072, 1089]}], "snippet": "If the Accounting Firm determines that Agreement Payments should be reduced to the Reduced Amount, the Company shall promptly give you notice to that effect and a copy of the detailed calculation thereof. Absent manifest error, all determinations made by the Accounting Firm under this Section 9 shall be binding upon you and the Company and shall be made as soon as reasonably practicable and in no event later than twenty (20) business days following the Change of Control Date, or such later date on which there has been a Payment. For purposes of reducing the COC Payments to the Reduced Amount, only amounts payable under this Agreement (and no other Payments) shall be reduced. The reduction of the COC Payments, if applicable, shall be made by reducing the payments and benefits under the following sections hereof in the following order and only to the extent necessary to achieve the Reduced Amount: first, any equity-based awards that would vest and become exercisable in full pursuant to Section 4(d) hereof and that would be out of the money as of the Date of Termination shall terminate;", "samples": [{"hash": "dnIV9jXDmZW", "uri": "/contracts/dnIV9jXDmZW#reduced-amount", "label": "Change of Control Agreement (Advance America, Cash Advance Centers, Inc.)", "score": 22.3415470123, "published": true}, {"hash": "gkKIra5f51f", "uri": "/contracts/gkKIra5f51f#reduced-amount", "label": "Change of Control Agreement (Advance America, Cash Advance Centers, Inc.)", "score": 22.338809967, "published": true}, {"hash": "aVvSuDv6pZZ", "uri": "/contracts/aVvSuDv6pZZ#reduced-amount", "label": "Change of Control Agreement (Advance America, Cash Advance Centers, Inc.)", "score": 22.1307315826, "published": true}], "size": 4, "hash": "47f2427103147dc1a2fb56ffb50d173f", "id": 5}, {"snippet_links": [{"key": "agreement-to", "type": "definition", "offset": [17, 29]}, {"key": "in-the-event", "type": "clause", "offset": [60, 72]}, {"key": "the-accounting-firm", "type": "clause", "offset": [78, 97]}, {"key": "defined-in-section", "type": "clause", "offset": [102, 120]}, {"key": "receipt-of", "type": "clause", "offset": [148, 158]}, {"key": "all-payments", "type": "definition", "offset": [159, 171]}, {"key": "section-4999-of-the-code", "type": "clause", "offset": [232, 256]}, {"key": "determine-whether", "type": "clause", "offset": [284, 301]}, {"key": "amount-of-payments", "type": "clause", "offset": [307, 325]}, {"key": "the-definition-of", "type": "clause", "offset": [332, 349]}, {"key": "payments-shall-be", "type": "clause", "offset": [482, 499]}], "snippet": "Anything in this Agreement to the contrary notwithstanding, in the event that the Accounting Firm (as defined in Section 4(e)) shall determine that receipt of all Payments (as defined in Section 4(e)) would subject you to tax under Section 4999 of the Code, the Accounting Firm shall determine whether some amount of Payments meets the definition of \u201cReduced Amount \u201c(as defined in Section 4(e)). If the Accounting Firm determines that there is a Reduced Amount, then the aggregate Payments shall be reduced to such Reduced Amount.", "samples": [{"hash": "jNJet3pLi8g", "uri": "/contracts/jNJet3pLi8g#reduced-amount", "label": "Employment Agreement (Warner Chilcott LTD)", "score": 26.5934295654, "published": true}, {"hash": "45Zpi2Ry4t5", "uri": "/contracts/45Zpi2Ry4t5#reduced-amount", "label": "Employment Agreement (Warner Chilcott LTD)", "score": 26.5934295654, "published": true}], "size": 4, "hash": "ded4b7f6bc306eee5ae84da2026d540f", "id": 6}, {"snippet_links": [{"key": "aggregate-amount", "type": "definition", "offset": [13, 29]}, {"key": "separation-payments", "type": "clause", "offset": [33, 52]}, {"key": "sum-of", "type": "clause", "offset": [80, 86]}, {"key": "in-aggregate", "type": "definition", "offset": [127, 139]}, {"key": "net-after-tax-receipts", "type": "definition", "offset": [140, 162]}, {"key": "equal-to", "type": "definition", "offset": [173, 181]}, {"key": "the-net", "type": "clause", "offset": [198, 205]}, {"key": "the-executive", "type": "clause", "offset": [247, 260]}], "snippet": "The greatest aggregate amount of Separation Payments which (a) is less than the sum of all Separation Payments and (b) results in aggregate Net After Tax Receipts which are equal to or greater than the Net After Tax Receipts which would result if the Executive were paid the sum of all Separation Payments.", "samples": [{"hash": "kBcHoEgRz1x", "uri": "/contracts/kBcHoEgRz1x#reduced-amount", "label": "Executive Severance Agreement (Kimberly Clark Corp)", "score": 21.0, "published": true}, {"hash": "6vi71xIiQyg", "uri": "/contracts/6vi71xIiQyg#reduced-amount", "label": "Executive Severance Agreement (Kimberly Clark Corp)", "score": 21.0, "published": true}], "size": 2, "hash": "65eb0ecde305bb958d3eb9d7de25b135", "id": 7}, {"snippet_links": [{"key": "amount-of-payments", "type": "clause", "offset": [48, 66]}, {"key": "sum-of", "type": "clause", "offset": [93, 99]}, {"key": "all-payments", "type": "definition", "offset": [104, 116]}, {"key": "section-21", "type": "definition", "offset": [141, 151]}, {"key": "net-after", "type": "definition", "offset": [186, 195]}, {"key": "tax-receipts", "type": "definition", "offset": [196, 208]}, {"key": "to-the-executive", "type": "clause", "offset": [209, 225]}, {"key": "present-value", "type": "definition", "offset": [262, 275]}, {"key": "pursuant-to-section", "type": "definition", "offset": [288, 307]}, {"key": "income-taxes-payable", "type": "definition", "offset": [382, 402]}, {"key": "with-respect-to", "type": "clause", "offset": [403, 418]}, {"key": "to-individuals", "type": "clause", "offset": [504, 518]}, {"key": "the-year", "type": "definition", "offset": [522, 530]}, {"key": "of-the-executive", "type": "clause", "offset": [531, 547]}, {"key": "termination-of-employment", "type": "definition", "offset": [550, 575]}, {"key": "state-and-local-income-taxes", "type": "clause", "offset": [595, 623]}, {"key": "income-tax-deduction", "type": "clause", "offset": [643, 663]}, {"key": "taxes-and", "type": "clause", "offset": [673, 682]}, {"key": "tax-payable", "type": "definition", "offset": [698, 709]}, {"key": "section-4999-of-the-code", "type": "clause", "offset": [752, 776]}], "snippet": "A \u201cReduced Amount\u201d means the smallest aggregate amount of Payments that (i) is less than the sum of the all Payments (without regard to this Section 21) and (ii) results in the greatest Net After-Tax Receipts to the Executive. \u201cNet After-Tax Receipts\u201d means the present value (determined pursuant to Section 280G(d)(4) of the Code) of Payments, net of (a) federal, state, and local income taxes payable with respect to the Payments, determined by applying the highest marginal income tax rate applicable to individuals in the year of the Executive\u2019s termination of employment and by calculating state and local income taxes net of any federal income tax deduction for such taxes and (b) any excise tax payable with respect to such Payments pursuant to Section 4999 of the Code.", "samples": [{"hash": "c111qwWGooT", "uri": "/contracts/c111qwWGooT#reduced-amount", "label": "Employment Agreement (Payment Data Systems Inc)", "score": 19.0, "published": true}, {"hash": "4IXggWCZMzn", "uri": "/contracts/4IXggWCZMzn#reduced-amount", "label": "Employment Agreement (Payment Data Systems Inc)", "score": 19.0, "published": true}], "size": 2, "hash": "c5a28a43289df75312ea73000922f525", "id": 8}, {"snippet_links": [{"key": "agreement-to", "type": "definition", "offset": [17, 29]}, {"key": "pursuant-to", "type": "definition", "offset": [109, 120]}, {"key": "agreement-or", "type": "definition", "offset": [139, 151]}, {"key": "parachute-payment", "type": "definition", "offset": [198, 215]}, {"key": "meaning-of", "type": "definition", "offset": [228, 238]}, {"key": "subject-to-the", "type": "definition", "offset": [300, 314]}, {"key": "tax-imposed", "type": "clause", "offset": [322, 333]}, {"key": "section-4999-of-the-code", "type": "clause", "offset": [337, 361]}, {"key": "equal-to", "type": "definition", "offset": [409, 417]}, {"key": "the-payment", "type": "clause", "offset": [518, 529]}, {"key": "entire-payment", "type": "clause", "offset": [639, 653]}, {"key": "employment-taxes", "type": "definition", "offset": [738, 754]}, {"key": "marginal-rate", "type": "definition", "offset": [829, 842]}, {"key": "reduction-in", "type": "definition", "offset": [863, 875]}, {"key": "federal-income-taxes", "type": "clause", "offset": [876, 896]}, {"key": "deduction-of", "type": "clause", "offset": [928, 940]}, {"key": "state-and-local-taxes", "type": "definition", "offset": [946, 967]}, {"key": "tax-basis", "type": "definition", "offset": [1007, 1016]}, {"key": "economic-benefit", "type": "definition", "offset": [1033, 1049]}], "snippet": "Anything in this agreement to the contrary notwithstanding, if any payment or benefit that you would receive pursuant to this offer letter agreement or otherwise (\u201cPayment\u201d) would (i) constitute a \u201cparachute payment\u201d within the meaning of Section 280G of the Code, and (ii) but for this sentence, be subject to the excise tax imposed by Section 4999 of the Code (the \u201cExcise Tax\u201d), then such Payment shall be equal to the Reduced Amount (defined below). The \u201cReduced Amount\u201d shall be either (y) the largest portion of the Payment that would result in no portion of the Payment (after reduction) being subject to the Excise Tax, or (z) the entire Payment, whichever amount after taking into account all applicable federal, state and local employment taxes, income taxes, and the Excise Tax (all computed at the highest applicable marginal rate, net of the maximum reduction in federal income taxes which could be obtained from a deduction of such state and local taxes), results in your receipt, on an after-tax basis, of the greater economic benefit.", "samples": [{"hash": "P8hLwh44lq", "uri": "/contracts/P8hLwh44lq#reduced-amount", "label": "Employment Agreement (Silicon Graphics International Corp)", "score": 27.6694049835, "published": true}, {"hash": "98ILuoSai2Q", "uri": "/contracts/98ILuoSai2Q#reduced-amount", "label": "Employment Agreement (Silicon Graphics International Corp)", "score": 27.0752906799, "published": true}], "size": 2, "hash": "296b3d1878aa47701c3e91f8aca39996", "id": 9}, {"snippet_links": [], "snippet": "\u201cReduced Amount\u201d shall have the meaning given to that term under Section 10(b)(1).", "samples": [{"hash": "62maXEvDoW7", "uri": "/contracts/62maXEvDoW7#reduced-amount", "label": "Executive Change of Control Separation Agreement (Ametek Inc/)", "score": 37.128678987, "published": true}], "size": 2, "hash": "63633b87d36fb49afb2dbea1688f33e6", "id": 10}], "next_curs": "ClcSUWoVc35sYXdpbnNpZGVyY29udHJhY3RzcjMLEhZDbGF1c2VTbmlwcGV0R3JvdXBfdjU2IhdyZWR1Y2VkLWFtb3VudCMwMDAwMDAwYQyiAQJlbhgAIAA=", "clause": {"parents": [["certain-reduction-of-payments-by-the-company", "Certain Reduction of Payments by the Company"], ["definitions", "Definitions"], ["section-280g-parachute-payments", "Section 280g Parachute Payments"], ["general-terms-and-provisions", "General Terms and Provisions"], ["counterparts", "COUNTERPARTS"]], "title": "Reduced Amount", "children": [], "size": 76, "id": "reduced-amount", "related": [["gross-up-payment", "Gross-Up Payment", "Gross-Up Payment"], ["average-log-length-and-payment-reduction", "Average Log Length and Payment Reduction", "Average Log Length and Payment Reduction"], ["change-in-control-payment", "Change in Control Payment", "Change in Control Payment"], ["determination-of-gross-up-payment", "Determination of Gross-Up Payment", "Determination of Gross-Up Payment"], ["maximum-total-payment", "Maximum Total Payment", "Maximum Total Payment"]], "related_snippets": [], "updated": "2026-02-19T04:40:11+00:00", "also_ask": ["What negotiation leverage does a 'Reduced Amount' clause provide to each party?", "What essential terms must be included to ensure the clause is enforceable?", "What are the most common risks or loopholes in 'Reduced Amount' provisions?", "How do 'Reduced Amount' clauses compare to liquidated damages or penalty clauses under relevant law?", "What factors do courts consider when determining the validity of a 'Reduced Amount' clause?"], "drafting_tip": "Define the calculation method for the reduced amount to prevent disputes; specify triggering events to ensure clarity; state payment timelines to facilitate enforceability.", "explanation": "The \"Reduced Amount\" clause defines a situation where a payment, obligation, or benefit is decreased from its original or standard value under specified conditions. Typically, this clause outlines the circumstances that trigger the reduction, such as partial performance, early termination, or the occurrence of certain events, and details the method for calculating the new, lower amount. Its core practical function is to provide a clear mechanism for adjusting financial or contractual obligations, thereby ensuring fairness and predictability when full performance or payment is not warranted."}, "json": true, "cursor": ""}}