Common use of Resignation or Removal of Custodian Clause in Contracts

Resignation or Removal of Custodian. The Custodian may resign at any time upon 30 days notice in writing to the Employee. The Sponsor may remove the Custodian upon 30 days notice to the Custodian and the Employee. In addition, the Employee shall remove the Custodian and substitute a successor custodian if the Employee receives notification from the Commissioner of the Internal Revenue Service that it requires the substitution because (i) the Custodian has failed to comply with ss.1.401-12(n) of the regulations of the Internal Revenue Service or (ii) has not kept the records or made the returns or rendered the statements required by the forms and regulations issued by the Internal Revenue Service. Upon such resignation or removal, the Employee or the Sponsor shall appoint a successor Custodian which shall meet the requirements of the Code. Upon receipt by the Custodian of written acceptance of such appointment by the successor Custodian, the Custodian shall transfer and pay over to such successor Custodian the assets of the Custodial Account and all records or copies thereof pertaining to the Custodial Account. The Custodian may reserve such sum of money as it may deem advisable for payment of all its fees, compensation, costs and expenses, or for payment of any other liabilities consisting of a charge on or against the assets of the Custodial Account. The Custodian shall have a lien on the assets of the Custodial Account to the extent of any such charges.

Resignation or Removal of Custodian. The Custodian may resign at any time upon 30 sixty (60) days notice in writing to PEPCO, the Employer and the Participant and may be removed by PEPCO at any time upon sixty (60) days notice in writing to the Employee. The Sponsor may remove the Custodian upon 30 days notice to the Custodian and the Employee. In addition, the Employee shall remove the Custodian and substitute a successor custodian if the Employee receives notification from the Commissioner of the Internal Revenue Service that it requires the substitution because (i) the Custodian has failed to comply with ss.1.401-12(n) of the regulations of the Internal Revenue Service or (ii) has not kept the records or made the returns or rendered the statements required by the forms and regulations issued by the Internal Revenue ServiceCustodian. Upon such resignation or removal, the Employee or the Sponsor PEPCO shall appoint a successor Successor Custodian which shall meet to serve under the requirements of the CodePlan. Upon receipt by the Custodian of written acceptance of such appointment by the successor Successor Custodian, the Custodian shall transfer and pay over to such successor Custodian Successor the assets of the Custodial Account Participant's Accounts and all necessary records (or copies thereof thereof) pertaining thereto, provided that (at the Custodian's request) any Successor Custodian shall agree not to dispose of any records without the Custodial AccountCustodian's consent. The Custodian may is authorized, however, to reserve such sum a portion of money such assets as it may deem advisable for payment of all its fees, compensation, costs and expenses, expenses or for the payment of any other liabilities consisting of constituting a charge on or against the assets Custodian with any balance of such reserve remaining after the Custodial Account. The Custodian shall have a lien on the assets payment of the Custodial Account all such items to be paid over to the extent Successor Custodian. If within one hundred twenty (120) days after the Custodian's resignation or removal, PEPCO has not appointed a Successor Custodian who has accepted such appointment, this Plan shall terminate and all assets in the Participant's Accounts shall be distributed in accordance with the provisions of any such chargesArticle IV hereof.