Termination by the. Company without Cause or by the Executive with Good Reason subsequent to a Change in Control of the Company. If within two (2) years following the Change in Control of the Company, the Company terminates the Executive’s employment for any reason other than death, Disability, Retirement, or Cause or the Executive terminates employment for Good Reason, subject to the Executive signing a waiver of all claims, the Company shall pay and provide to the Executive: (a) An amount equal to the Executive’s accrued and unpaid Base Salary and accrued but unused vacation pay through the Effective Date of Termination; (b) An amount equal to two (2) times the Executive’s annual Base Salary, at the Base Salary amount in effect on the Effective Date of Termination; (c) An amount equal to two (2) times the Executive’s targeted Annual Bonus Award, at the targeted Annual Bonus Award in effect on the Effective Date of Termination; (d) A prorated Annual Bonus Award based on the Executive’s target bonus opportunity established for the year in which termination of employment occurs. The prorated amount shall be determined as a function of time within the year that has elapsed prior to the Executive’s Effective Date of Termination; (e) At the exact same cost to the Executive, and at the same coverage level as in effect as of the Executive’s Effective Date of Termination (subject to changes in coverage levels applicable to all employees generally), a continuation of the Executive’s (and the Executive’s eligible dependents’) health insurance coverage for twenty four (24) months from the Effective Date of Termination. The applicable COBRA health insurance benefit continuation period shall begin coincident with the beginning of this benefit continuation period; The providing of these health insurance benefits by the Company shall be discontinued prior to the end of the twenty four (24) month continuation period to the extent that the Executive becomes covered under the health insurance coverage of a subsequent employer which does not contain any exclusion or limitation with respect to any preexisting condition of the Executive or the Executive’s eligible dependents. For purposes of enforcing this offset provision, the Executive shall have a duty to inform the Company as to the terms and conditions of any subsequent employment and the corresponding benefits earned from such employment. The Executive shall provide, or cause to provide, to the Company in writing correct, complete, and timely information concerning the same; and (f) All other benefits to which the Executive has a vested right at the time, according to the provisions of the governing plan or program. Payment of the benefits described in Sections 7.6(a), (b), (c), and (d) shall be paid to the Executive in a single lump sum as soon as practicable following the Effective Date of Termination in order to avoid penalties and excise taxes under the requirements of Code Section 409A. All other payments due to the Executive upon termination of employment shall be paid in accordance with the terms of such applicable plans or program. With the exception of the covenants referenced in Article 10 (which shall survive such termination), the Company and the Executive thereafter shall have no further obligations under this Agreement.
Appears in 1 contract
Termination by the. Company Other Than for Cause, by Non-Renewal, and Resignation with and without Good Reason by Employee. The Company may at any time terminate this Agreement and Employee's employment with the Company other than for Cause or by the Executive with Good Reason subsequent to a Change Non-Renewal, by advising Employee of such determination in Control of the Company. If within two (2) years following the Change in Control of the Company, the Company terminates the Executive’s employment for any reason other than death, Disability, Retirement, or Cause or the Executive terminates employment for Good Reason, subject to the Executive signing a waiver of all claims, the Company shall pay and provide to the Executive:writing.
(a) An In the event the Company terminates Employee's employment other than for Cause or by Non-Renewal, and provided Employee has not resigned with or without Good Reason or stated an intent to resign, Employee shall have no right to receive any compensation or benefit hereunder or otherwise from the Company after the Termination Date other than: (i) unpaid Base Salary earned through the Termination Date (which shall be paid on the Termination Date); (ii) an amount equal to the Executive’s accrued and unpaid Base Salary and accrued but unused vacation pay through the Effective Date of Termination;
(b) An amount equal to two (2) times the Executive’s annual Base Salary, at the Base Salary amount in effect on the Effective Date of Termination;
(c) An amount equal to two (2) times the Executive’s targeted Annual Bonus Award, at the targeted Annual Bonus Award in effect on the Effective Date of Termination;
(d) A prorated Annual Bonus Award based on the Executive’s target bonus opportunity established for the year in which termination of employment occurs. The prorated amount shall be determined as a function of time within the year that has elapsed prior to the Executive’s Effective Date of Termination;
(e) At the exact same cost to the Executive, and at the same coverage level as in effect as of the Executive’s Effective Date of Termination (subject to changes in coverage levels applicable to all employees generally), a continuation of the Executive’s (and the Executive’s eligible dependents’) health insurance coverage for twenty twenty-four (24) months from the Effective Date of Termination. The applicable COBRA health insurance benefit continuation period shall begin coincident with the beginning of this benefit continuation period; The providing of these health insurance benefits by the Company shall be discontinued prior to the end of the twenty four (24) month continuation period to the extent that the Executive becomes covered under the health insurance coverage of a subsequent employer which does not contain any exclusion or limitation with respect to any preexisting condition of the Executive or the Executive’s eligible dependents. For purposes of enforcing this offset provision, the Executive shall have a duty to inform the Company as to the terms months' Base Salary and conditions of any subsequent employment and the corresponding benefits earned from such employment. The Executive shall provide, or cause to provideTarget Annual Incentive, to the Company in writing correct, complete, and timely information concerning the same; and
(f) All other benefits to which the Executive has a vested right at the time, according to the provisions of the governing plan or program. Payment of the benefits described in Sections 7.6(a), (b), (c), and (d) shall be paid to the Executive in a single lump sum as soon as practicable following the Effective Date of Termination in order to avoid penalties and excise taxes under the requirements of Code Section 409A. All other payments due to the Executive upon termination of employment shall be paid in accordance with the Company's scheduled payroll practices; (iii) any PARK Shares that have vested as of the Termination Date; (iv) all then-outstanding Company equity-based awards held by Employee, to the extent subject to time-based vesting, shall vest in full as of the Termination Date; (v) incurred but unpaid business expense reimbursement pursuant to Section 7 hereof; (vi) subject to Employee's valid election to continue healthcare coverage under Section 4980B of the Code, for the eighteen (18) month period following the Termination Date, the Company shall continue to provide, at the Company's sole expense (whether through direct payment to the plan, reimbursement of COBRA premiums or otherwise in the Company's discretion), Employee and Employee's eligible dependents with coverage under its group health plans at the same levels as would have applied if Employee's employment had not been terminated, based on Employee's elections in effect on the Termination Date; provided, however, that (A) if any plan pursuant to which such benefits are provided is not, or ceases prior to the expiration of the period of continuation coverage to be, exempt from the application of Section 409A under Treasury Regulation Section 1.409A-1(a)(5), or (B) the Company is otherwise unable to continue to cover Employee under its group health plans without incurring penalties (including without limitation, pursuant to Section 2716 of the Public Health Service Act or the Patient Protection and Affordable Care Act), then, in either case, an amount equal to each remaining Company premium payment shall thereafter be paid to Employee in substantially equal monthly installments over the continuation coverage period (or the remaining portion thereof); and (vii) any benefits payable by the Company to which Employee is entitled in accordance with the terms of the applicable benefit plan. It shall be a condition to Employee's right to receive the amounts and benefits provided for in (ii), (iv) and (vi) in the preceding sentence that Employee execute and deliver to the Company an effective Release within twenty-one (21) days (or, to the extent required by law, forty-five (45) days) following the Termination Date and that Employee not revoke such Release during any applicable plans or programrevocation period. With Employee agrees that the exception payment in this Section 18(a) is his sole remedy under this Agreement for the termination of his employment.
(b) In the event Employee resigns, the effective date of the covenants referenced resignation shall be considered the Termination Date, and Employee shall have no right to receive any compensation or benefit hereunder or otherwise from the Company after the Termination Date other than those items set forth in Article 10 (which shall survive such terminationSection 18(a)(i), (iii); (v) and (vii).
(c) If the circumstances of Employee's termination would entitle him as a matter of right (as opposed to a matter of discretion on the part of the Company) to a payment under any severance or similar plan of the Company and the Executive thereafter shall have no further obligations amount of such severance payment would be greater than the payment of Base Salary provided by Section 18(a)(ii), then the amount of the payment under this AgreementSection 18(a)(ii) will be increased accordingly.
Appears in 1 contract
Termination by the. Company without Cause or resignation by the Executive with for Good Reason subsequent to (not in connection with a Change in Control of the Company. If within two (2) years following the Change in Control of the Company, the Company terminates the Executive’s employment for any reason other than death, Disability, Retirement, or Cause or the Executive terminates employment for Good Reason, subject to the Executive signing a waiver of all claims, the Company shall pay and provide to the Executive:Control)
(a) An amount equal to The Company will pay the Executive’s accrued and unpaid Base Salary and accrued but unused vacation Executive severance pay through in the Effective Date form of Termination;
(b) An amount equal to two (2) times the Executive’s annual Base Salary, at the Base Salary amount in effect on the Effective Date of Termination;
(c) An amount equal to two (2) times the Executive’s targeted Annual Bonus Award, at the targeted Annual Bonus Award in effect on the Effective Date of Termination;
(d) A prorated Annual Bonus Award based on the Executive’s target bonus opportunity established for the year in which termination of employment occurs. The prorated amount shall be determined as a function of time within the year that has elapsed prior to the Executive’s Effective Date of Termination;
(e) At the exact same cost to the Executive, and at the same coverage level as in effect as of the Executive’s Effective Date of Termination (subject to changes in coverage levels applicable to all employees generally), a continuation of the Executive’s then-current Basic Salary (ignoring any decrease that forms the basis for the Executive’s resignation for Good Reason, if applicable) for twelve (12) months following the Termination Date (such period of time, the “Non-CIC Severance Period”, and such aggregate Basic Salary amount payable, the “Non-CIC Severance”). The Non-CIC Severance will be paid in substantially equal instalments on the Company’s regular payroll schedule over the Non-CIC Severance Period, subject to such deductions as the Company is required by law to make, shall be reduced by any Basic Salary received by the Executive during any period of Garden Leave and shall be inclusive of any XXXXX; provided, however that no portion of the Non-CIC Severance (except for any XXXXX instalment which is due) will be paid prior to the date that the general release of claims in the Settlement Agreement becomes effective (the “Release Date”), and any such payments that are otherwise scheduled to be made prior to the Release Date shall instead accrue and be made on the first regular payroll date following the Release Date; 299021913 v1
(b) The Company will pay to the Executive in monthly instalments, subject to such deductions as the Company is required by law to make, a fully taxable cash payment equal to the coverage premium for the Executive (and the Executive’s eligible covered dependents’, as applicable) health insurance coverage for twenty four (24) months from in effect on the Effective Termination Date of Termination. The applicable COBRA and/or provide the Executive with continued access to the Company’s health insurance benefit continuation period shall begin coincident with scheme until the beginning of this benefit continuation period; The providing of these health insurance benefits by earliest of: (1) the Company shall be discontinued prior to the end twelve (12) month anniversary of the twenty four (24) month continuation period date on which notice to terminate the extent that the Executive becomes covered under the health insurance coverage of a subsequent employer which does not contain any exclusion or limitation with respect to any preexisting condition of the Executive or the Executive’s eligible dependents. For purposes of enforcing this offset provision, the Executive shall have a duty to inform the Company as to the terms and conditions of any subsequent employment and the corresponding benefits earned from such employment. The Executive shall provide, or cause to provide, to the Company in writing correct, complete, and timely information concerning the same; and
(f) All other benefits to which the Executive has a vested right at the time, according to the provisions of the governing plan or program. Payment of the benefits described in Sections 7.6(a), (b), (c), and (d) shall be paid to the Executive in a single lump sum as soon as practicable following the Effective Date of Termination in order to avoid penalties and excise taxes under the requirements of Code Section 409A. All other payments due to the Executive upon termination of employment shall be paid Employment is given in accordance with the terms of this Agreement or; (2) the date when the Executive becomes eligible for substantially equivalent health insurance coverage in connection with new employment or self-employment; and
(c) The Company will pay the Executive an amount equal to the prorated portion of the Annual Bonus for the calendar year in which the Termination Date occurs (calculated using the Target Bonus for the number of days in that calendar year that have passed prior to the Termination Date or, if earlier, the date of commencement of any period of Garden Leave) (the “Pro-Rated Bonus”). The Pro-Rated Bonus will be subject to standard deductions and withholdings and will be paid in a lump sum on or before the 60th day following the Termination Date;
(d) The Company will make a lump sum cash payment to the Executive in an amount equal to any earned but unpaid Annual Bonus for the year immediately preceding the year in which the Executive’s employment terminates, such applicable plans payment to be made no later than the normal payment date for such Annual Bonus; and
(e) Effective as of the Termination Date, the vesting and exercisability of all outstanding equity awards covering the Parent’s ordinary shares that are held by the Executive immediately prior to the Termination Date shall be accelerated such that Executive shall be treated, for vesting purposes, as if he had vested pro rata until the Termination Date or, if later, the date on which his employment would have terminated had he not been paid a XXXXX (save that such equity awards shall not vest as to more than 100 per cent.). The Non-CIC Severance Benefits provided to the Executive pursuant to this clause 17.5 are in lieu of, and not in addition to, any benefits to which the Executive may otherwise be entitled under any Company severance plan, policy, or program. With Any damages caused by the exception termination of the covenants referenced Executive’s employment without Cause outside the Change in Article 10 (which shall survive such termination)Control Measurement Period would be difficult to ascertain; therefore, the Company and Non-CIC Severance Benefits for which the Executive thereafter shall have no further obligations under is eligible pursuant to this Agreementclause 17.5 in exchange for the Settlement Agreement are agreed to by the parties as liquidated damages, to serve as full compensation, and not a penalty.
Appears in 1 contract
Termination by the. Company without Without Cause or by the Executive with Good Reason subsequent to a Change in Control of Reason. During the Company. If within two (2) years following the Change in Control of the CompanyTerm, the Company terminates if the Executive’s employment for any reason other than deathis terminated by the Company without Cause as provided in Section 3(d), Disability, Retirement, or Cause or the Executive terminates her employment for Good ReasonReason as provided in Section 3(e), then the Company shall pay the Executive her Accrued Benefit. In addition, subject to the Executive signing a waiver separation agreement containing, among other provisions, a general release of claims in favor of the Company and related persons and entities, confidentiality, return of property and non-disparagement, in a form and manner satisfactory to the Company (the “Separation Agreement and Release”) and the Separation Agreement and Release becoming irrevocable and fully effective, all claims, within 60 days after the Date of Termination (or such shorter time period provided in the Separation Agreement and Release):
(i) the Company shall pay and provide to the Executive:
(a) An Executive an amount equal to the Executive’s accrued and unpaid Base Salary and accrued but unused vacation pay through the Effective Date sum of Termination;
(b) An amount equal to two (2) 0.5 times the Executive’s annual Base Salary. Notwithstanding the foregoing, at if the Base Salary Executive breaches any of the provisions contained in Section 7 of this Agreement, all payments of the Severance Amount shall immediately cease;
(ii) if the Executive was participating in the Company’s group health plan immediately prior to the Date of Termination and elects COBRA health continuation, then the Company shall pay to the Executive a monthly cash payment for 6 months or the Executive’s COBRA health continuation period, whichever ends earlier, in an amount equal to the monthly employer contribution that the Company would have made to provide health insurance to the Executive if the Executive had remained employed by the Company; and
(iii) the amounts payable under Section 4(b)(i) and (ii) shall be paid out in effect on substantially equal installments in accordance with the Effective Company’s payroll practice over 6 months commencing within 60 days after the Date of Termination;
(c) An amount equal ; provided, however, that if the 60-day period begins in one calendar year and ends in a second calendar year, the Severance Amount shall begin to two (2) times be paid in the Executive’s targeted Annual Bonus Awardsecond calendar year by the last day of such 60-day period; provided, at further, that the targeted Annual Bonus Award in effect on the Effective Date of Termination;
(d) A prorated Annual Bonus Award based on the Executive’s target bonus opportunity established for the year in which termination of employment occurs. The prorated amount initial payment shall be determined as include a function of time within the year that has elapsed prior catch-up payment to cover amounts retroactive to the Executive’s Effective Date of Termination;
(e) At day immediately following the exact same cost to the Executive, and at the same coverage level as in effect as of the Executive’s Effective Date of Termination (subject to changes in coverage levels applicable to all employees generally), a continuation of the Executive’s (and the Executive’s eligible dependents’) health insurance coverage for twenty four (24) months from the Effective Date of Termination. The applicable COBRA health insurance benefit continuation period shall begin coincident with the beginning of Each payment pursuant to this benefit continuation period; The providing of these health insurance benefits by the Company shall be discontinued prior Agreement is intended to the end of the twenty four (24) month continuation period to the extent that the Executive becomes covered under the health insurance coverage of constitute a subsequent employer which does not contain any exclusion or limitation with respect to any preexisting condition of the Executive or the Executive’s eligible dependents. For separate payment for purposes of enforcing this offset provision, the Executive shall have a duty to inform the Company as to the terms and conditions of any subsequent employment and the corresponding benefits earned from such employment. The Executive shall provide, or cause to provide, to the Company in writing correct, complete, and timely information concerning the same; and
(f) All other benefits to which the Executive has a vested right at the time, according to the provisions of the governing plan or program. Payment of the benefits described in Sections 7.6(aTreasury Regulation Section 1.409A-2(b)(2), (b), (c), and (d) shall be paid to the Executive in a single lump sum as soon as practicable following the Effective Date of Termination in order to avoid penalties and excise taxes under the requirements of Code Section 409A. All other payments due to the Executive upon termination of employment shall be paid in accordance with the terms of such applicable plans or program. With the exception of the covenants referenced in Article 10 (which shall survive such termination), the Company and the Executive thereafter shall have no further obligations under this Agreement.
Appears in 1 contract
Samples: Employment Agreement
Termination by the. Company without Without Cause or by the Executive with Good Reason subsequent to a Change in Control of Reason. During the Company. If within two (2) years following the Change in Control of the CompanyTerm, the Company terminates if the Executive’s employment for any reason other than deathis terminated by the Company without Cause as provided in Section 3.4, Disability, Retirement, or Cause or the Executive terminates his employment for Good ReasonReason as provided in Section 3.5, then the Company shall pay the Executive his Accrued Benefit. In addition, subject to the Executive signing and delivering to the Company a waiver noncompetition agreement (the “Noncompete Agreement”) in substantially the form attached hereto as Exhibit A and a general release (the “Release”) substantially in the form attached hereto as Exhibit B, with the Release becoming irrevocable and fully effective and, if applicable, the Executive resigning as a member of all claimsthe Board of Directors, within 60 days after the Date of Termination:
(i) subject to clause (iv) below, the Company shall pay and provide to the Executive:
(a) An Executive an amount equal to the Executive’s accrued and unpaid Base Salary paid during the twelve (12) months immediately preceding the termination of the Executive’s employment with the Company, divided by the number of days employed during the twelve (12) months immediately preceding the termination of the Executive’s employment with the Company and accrued but unused vacation pay through multiplied by 365 (the Effective “Severance Amount”);
(ii) notwithstanding anything to the contrary in any applicable option agreement or stock-based award agreement, all time-based stock options and other time-based stock-based awards (including, without limitation, the 40,000 Share Award) held by the Executive in which such stock option or other stock-based award would have vested if the Executive had remained employed for an additional twelve (12) months following the Date of Termination shall vest and become exercisable or nonforfeitable as of the Date of Termination;
(biii) An amount equal the Company paying the difference between the cost of COBRA continuation coverage, should the Executive elect to two (2) times the Executive’s annual Base Salaryreceive it, at the Base Salary amount in effect on the Effective Date of Termination;
(c) An amount equal to two (2) times the Executive’s targeted Annual Bonus Award, at the targeted Annual Bonus Award in effect on the Effective Date of Termination;
(d) A prorated Annual Bonus Award based on the Executive’s target bonus opportunity established for the year in which termination of employment occurs. The prorated amount shall be determined as a function of time within the year that has elapsed Executive and any dependent who received health insurance coverage prior to the Executive’s Effective Date of Termination;
(e) At the exact same cost to the Executive, and at the same coverage level as in effect as termination of the Executive’s Effective Date of Termination (subject to changes in coverage levels employment with the Company, and any premium contribution amount applicable to all employees generally)the Executive as of such termination, for a continuation period of twelve (12) months following the date of termination of the Executive’s (and the Executive’s eligible dependents’) health insurance coverage for twenty four (24) months from the Effective Date of Termination. The applicable COBRA health insurance benefit continuation period shall begin coincident employment with the beginning of this benefit continuation period; The providing of these health insurance benefits Company (“Continuation Benefits”). Continuation Benefits otherwise receivable by the Company shall Executive will be discontinued prior to the end of the twenty four (24) month continuation period reduced to the extent that the Executive becomes covered under the health insurance coverage of a subsequent employer which does not contain any exclusion or limitation with respect to any preexisting condition benefits of the Executive same type are received by or made available to him during the Executive’s eligible dependents. For purposes of enforcing this offset provision, applicable twelve-month period (and any such benefits received by or made available to the Executive shall have a duty to inform the Company as be reported by him to the terms and conditions of any subsequent employment and the corresponding benefits earned from such employment. The Executive shall provide, or cause to provide, to the Company in writing correct, complete, and timely information concerning the sameCompany); and
(fiv) All other benefits to which the Executive has a vested right at the time, according to the provisions of the governing plan or program. Payment of the benefits described in Sections 7.6(a), (b), (c), amounts payable under Section 4.2(i) and (diii) shall be paid to the Executive out in a single lump sum as soon as practicable following the Effective Date of Termination in order to avoid penalties and excise taxes under the requirements of Code Section 409A. All other payments due to the Executive upon termination of employment shall be paid substantially equal installments in accordance with the terms Company’s payroll practice over twelve (12) months commencing within 60 days after the Date of Termination; provided, however, that if the 60-day period begins in one calendar year and ends in a second calendar year, the Severance Amount shall begin to be paid in the second calendar year by the last day of such applicable plans or program. With 60-day period; provided, further, that the exception initial payment shall include a catch-up payment to cover amounts retroactive to the day immediately following the Date of the covenants referenced in Article 10 (which shall survive such termination), the Company and the Executive thereafter shall have no further obligations under this AgreementTermination.
Appears in 1 contract
Termination by the. Company without Cause or resignation by the Executive with for Good Reason subsequent to (in connection with a Change in Control Control)
(a) The Company will pay the Executive severance pay in the form of the Company. If within two (2) years following the Change in Control continuation of the Company, the Company terminates the Executive’s employment then-current Basic Salary (ignoring any decrease that forms the basis for any reason other than death, Disability, Retirement, or Cause or the Executive terminates employment Executive’s resignation for Good Reason, if applicable) for twelve (12) months following the Termination Date (such period of time, the “CIC Severance Period”, and such aggregate Basic Salary amount payable, the “CIC Severance”). The CIC Severance will be paid in substantially equal instalments on the Company’s regular payroll schedule over the CIC Severance Period, subject to such deductions as the Company is required by law to make, shall be reduced by any Basic Salary received by the Executive signing a waiver during any period of all claimsGarden Leave and shall be inclusive of any XXXXX; provided, however that no portion of the Company shall pay and provide CIC Severance (except for any XXXXX instalment which is due) will be paid prior to the Executive:
date that the general release of claims in the Settlement Agreement becomes effective (a) An amount equal the “Release Date”), and any such payments that are otherwise scheduled to be made prior to the Executive’s accrued Release Date shall instead accrue and unpaid Base Salary and accrued but unused vacation pay through be made on the Effective Date of Terminationfirst regular payroll date following the Release Date;
(b) An amount The Company will pay to the Executive in monthly instalments, subject to such deductions as the Company is required by law to make, a fully taxable cash payment equal to two to: (2i) times the coverage premium for the Executive (and the Executive’s annual Base Salarycovered dependents, at the Base Salary amount as applicable) health insurance coverage in effect on the Effective Termination Date until the earliest of: (1) the close of Terminationthe CIC Severance Period or; (2) the date when the Executive becomes eligible for substantially equivalent health insurance coverage in connection with new employment or self-employment; and (ii) the Company’s employer pension contributions that would have been received by the Executive during the CIC Severance Period had Employment continued, at the rate payable by the Company immediately prior to the Termination Date;
(c) An The Company will make a lump sum cash payment to the Executive in an amount equal to two one (21) times the Executive’s targeted Annual Target Bonus Award, at the targeted Annual Bonus Award in effect on the Effective Date of Termination;
(d) A prorated Annual Bonus Award based on the Executive’s target bonus opportunity established for the year in which termination of employment the Termination Date occurs. , subject to such deductions as the Company is required by law to make, which will be paid in a lump sum on or before the 60th day following the Termination Date; 299021913 v1
(d) The prorated Company will make a lump sum cash payment to the Executive in an amount shall be determined as a function of time within equal to any earned but unpaid Annual Bonus for the year that has elapsed prior to immediately preceding the year in which the Executive’s Effective Date of Termination;employment terminates, such payment to be made no later than the normal payment date for such Annual Bonus; and
(e) At the exact same cost to the Executive, and at the same coverage level as in effect Effective as of the ExecutiveTermination Date, the vesting and exercisability of all outstanding equity awards covering the Parent’s Effective Date of Termination (subject to changes in coverage levels applicable to all employees generally), a continuation of the Executive’s (and the Executive’s eligible dependents’) health insurance coverage for twenty four (24) months from the Effective Date of Termination. The applicable COBRA health insurance benefit continuation period shall begin coincident with the beginning of this benefit continuation period; The providing of these health insurance benefits ordinary shares that are held by the Company shall be discontinued Executive immediately prior to the end of the twenty four (24) month continuation period Termination Date shall be accelerated in full. The CIC Severance Benefits provided to the extent that the Executive becomes covered under the health insurance coverage of a subsequent employer which does not contain any exclusion or limitation with respect pursuant to any preexisting condition of the Executive or the Executive’s eligible dependents. For purposes of enforcing this offset provision, the Executive shall have a duty to inform the Company as to the terms and conditions of any subsequent employment and the corresponding benefits earned from such employment. The Executive shall provide, or cause to provide, to the Company clause 17.4 are in writing correct, completelieu of, and timely information concerning the same; and
(f) All other not in addition to, any benefits to which the Executive has a vested right at the timemay otherwise be entitled under any Company severance plan, according to the provisions of the governing plan policy, or program. Payment Any damages caused by the termination of the benefits described Executive’s employment without Cause during the Change in Sections 7.6(a)Control Measurement Period would be difficult to ascertain; therefore, (b)the CIC Severance Benefits for which the Executive is eligible pursuant to this clause 17.4 in exchange for the Settlement Agreement are agreed to by the parties as liquidated damages, (c)to serve as full compensation, and (d) shall be paid to the Executive in not a single lump sum as soon as practicable following the Effective Date of Termination in order to avoid penalties and excise taxes under the requirements of Code Section 409A. All other payments due to the Executive upon termination of employment shall be paid in accordance with the terms of such applicable plans or program. With the exception of the covenants referenced in Article 10 (which shall survive such termination), the Company and the Executive thereafter shall have no further obligations under this Agreementpenalty.
Appears in 1 contract
Termination by the. Company without Cause or by the Executive with Good Reason subsequent to a Change in Control of the Company. If within two (2) years following the Change in Control of the Company, the Company terminates the Executive’s employment for any reason other than death, Disability, Retirement, or Cause or the Executive terminates employment for Good Reason, subject to the Executive signing a waiver of all claims, the Company shall pay and provide to the Executive:
(a) An amount equal to the Executive’s accrued and unpaid Base Salary and accrued but unused vacation pay through the Effective Date of Termination;
(b) An amount equal to two (2) times the Executive’s annual Base Salary, at the Base Salary amount in effect on the Effective Date of Termination;
(c) An amount equal to two (2) times the Executive’s targeted Annual Bonus Award, at the targeted Annual Bonus Award in effect on the Effective Date of Termination;
(d) A An amount that is equal to a prorated Annual Bonus Award based on the Executive’s target bonus opportunity established for the fiscal year in which termination of employment occurs. The prorated amount shall be determined as a function of time within the fiscal year that has elapsed prior to the Executive’s Effective Date of Termination;
(e) At the exact same cost to the Executive, and at the same coverage level as in effect as of the Executive’s Effective Date of Termination (subject to changes in coverage levels applicable to all employees generally), a continuation of the Executive’s (and the Executive’s eligible dependents’) health insurance coverage for twenty four (24) months from the Effective Date of Termination. The applicable COBRA health insurance benefit continuation period shall begin coincident with the beginning of this benefit continuation period; The providing of these health insurance benefits by the Company shall be discontinued prior to the end of the twenty four (24) month continuation period to the extent that the Executive becomes covered under the health insurance coverage of a subsequent employer which does not contain any exclusion or limitation with respect to any preexisting condition of the Executive or the Executive’s eligible dependents. For purposes of enforcing this offset provision, the Executive shall have a duty to inform the Company as to the terms and conditions of any subsequent employment and the corresponding benefits earned from such employment. The Executive shall provide, or cause to provide, to the Company in writing correct, complete, and timely information concerning the same; and
(f) All other benefits to which the Executive has a vested right at the time, according to the provisions of the governing plan or program. Payment of the benefits described in Sections 7.6(a), (b), (c), and (d) shall be paid to the Executive in a single lump sum as soon as practicable following the Effective Date of Termination in order to avoid penalties and excise taxes under the requirements of Code Section 409A. All other payments due to the Executive upon termination of employment shall be paid in accordance with the terms of such applicable plans or program. With the exception of the covenants referenced in Article 10 (which shall survive such termination), the Company and the Executive thereafter shall have no further obligations under this Agreement.
Appears in 1 contract
Termination by the. Company without Without Cause or by the Executive with Good Reason subsequent to a Change in Control of Reason. During the Company. If within two (2) years following the Change in Control of the CompanyTerm, the Company terminates if the Executive’s employment for any reason other than deathis terminated by the Company without Cause as provided in Section 3(d), Disability, Retirement, or Cause or the Executive terminates his employment for Good ReasonReason as provided in Section 3(e), then the Company shall pay the Executive his Accrued Benefit. In addition, subject to the Executive signing a waiver separation agreement containing, among other provisions, a general release of claims in favor of the Company and related persons and entities, confidentiality, return of property and non-disparagement, in a form and manner satisfactory to the Company (the “Separation Agreement and Release”) and the Separation Agreement and Release becoming irrevocable and fully effective, all claims, within 60 days after the Date of Termination (or such shorter time period provided in the Separation Agreement and Release):
(i) the Company shall pay and provide the Executive an amount equal to 1.25 times the Executive’s Base Salary (the “Severance Amount”). Notwithstanding the foregoing, if the Executive breaches any of the provisions contained in Section 7 of this Agreement, all payments of the Severance Amount shall immediately cease;
(ii) Reserved;
(iii) if the Executive was participating in the Company’s group health plan immediately prior to the Date of Termination and elects COBRA health continuation, then the Company shall pay to the Executive a monthly cash payment for 15 months or the Executive:
(a) An ’s COBRA health continuation period, whichever ends earlier, in an amount equal to the Executivemonthly employer contribution that the Company would have made to provide health insurance to the Executive if the Executive had remained employed by the Company; and
(iv) the amounts payable under Section 4(b)(i) and (iii) shall be paid out in substantially equal installments in accordance with the Company’s accrued and unpaid Base Salary and accrued but unused vacation pay through payroll practice over 15 months commencing within 60 days after the Effective Date of Termination;
(b) An amount equal ; provided, however, that if the 60-day period begins in one calendar year and ends in a second calendar year, the Severance Amount shall begin to two (2) times be paid in the Executive’s annual Base Salarysecond calendar year by the last day of such 60-day period; provided, at further, that the Base Salary amount in effect on the Effective Date of Termination;
(c) An amount equal initial payment shall include a catch-up payment to two (2) times the Executive’s targeted Annual Bonus Award, at the targeted Annual Bonus Award in effect on the Effective Date of Termination;
(d) A prorated Annual Bonus Award based on the Executive’s target bonus opportunity established for the year in which termination of employment occurs. The prorated amount shall be determined as a function of time within the year that has elapsed prior cover amounts retroactive to the Executive’s Effective Date of Termination;
(e) At day immediately following the exact same cost to the Executive, and at the same coverage level as in effect as of the Executive’s Effective Date of Termination (subject to changes in coverage levels applicable to all employees generally), a continuation of the Executive’s (and the Executive’s eligible dependents’) health insurance coverage for twenty four (24) months from the Effective Date of Termination. The applicable COBRA health insurance benefit continuation period shall begin coincident with the beginning of Each payment pursuant to this benefit continuation period; The providing of these health insurance benefits by the Company shall be discontinued prior Agreement is intended to the end of the twenty four (24) month continuation period to the extent that the Executive becomes covered under the health insurance coverage of constitute a subsequent employer which does not contain any exclusion or limitation with respect to any preexisting condition of the Executive or the Executive’s eligible dependents. For separate payment for purposes of enforcing this offset provision, the Executive shall have a duty to inform the Company as to the terms and conditions of any subsequent employment and the corresponding benefits earned from such employment. The Executive shall provide, or cause to provide, to the Company in writing correct, complete, and timely information concerning the same; and
(f) All other benefits to which the Executive has a vested right at the time, according to the provisions of the governing plan or program. Payment of the benefits described in Sections 7.6(aTreasury Regulation Section 1.409A-2(b)(2), (b), (c), and (d) shall be paid to the Executive in a single lump sum as soon as practicable following the Effective Date of Termination in order to avoid penalties and excise taxes under the requirements of Code Section 409A. All other payments due to the Executive upon termination of employment shall be paid in accordance with the terms of such applicable plans or program. With the exception of the covenants referenced in Article 10 (which shall survive such termination), the Company and the Executive thereafter shall have no further obligations under this Agreement.
Appears in 1 contract
Samples: Employment Agreement
Termination by the. Company without Cause or Resignation by the Executive with for Good Reason subsequent (Other Than in Connection with a Change in Control).
(a) The Company will have the right to terminate Executive’s employment with the Company at any time without Cause (as defined below). Likewise, Executive may resign for Good Reason (as defined below). In the absence of a Change in Control of (as defined below) and in the Company. If within two (2) years following the Change in Control of the Company, event Executive is terminated by the Company terminates without Cause, but not in the Executive’s employment for any reason other than death, Disability, Retirementevent of a termination due to death or Disability under Section 6.4, or Cause or the Executive terminates employment resigns for Good Reason, subject then Executive will be entitled to receive the Accrued Obligations (as defined below) and in addition, provided such termination constitutes a “separation from service” (as defined under Treasury Regulation Section 1.409A-1(h), without regard to any alternative definition thereunder, a “Separation from Service”), and further provided Executive signing a waiver complies with the obligations in Section 6.1(b) below, Executive will also be eligible to receive the following “Severance Benefits”:
(i) The Company will pay Executive an amount equal to Executive’s then current Base Salary for twelve (12) months, less standard withholdings and deductions, paid in installments on the Company’s regular payroll dates.
(ii) If Executive is participating in the Company’s group health plans as of all claimsthe date of termination, and if Executive timely elects continued coverage under COBRA or, if applicable, state continuation coverage laws, the Company shall will pay the premiums necessary to continue Executive and provide Executive’s covered dependents’ health insurance coverage in effect on the termination date until the earliest of: (i) twelve (12) months following the termination date; (ii) the date when Executive becomes eligible for health insurance coverage in connection with new employment or self-employment; or (iii) the date Executive ceases to be eligible for continuation coverage for any reason, including plan termination (such period from the termination date through the earlier of (i)-(iii), (the “COBRA Payment Period”). Notwithstanding the foregoing, if at any time the Company determines that its payment of continuation coverage premiums on Executive:
’s behalf would result in a violation of applicable law (a) An amount including, but not limited to, the 2010 Patient Protection and Affordable Care Act, as amended by the 2010 Health Care and Education Reconciliation Act), then in lieu of paying premiums pursuant to this Section, the Company will pay Executive on the last day of each remaining month of the COBRA Payment Period, a fully taxable cash payment equal to the premium it would have paid for such month, subject to applicable tax withholding (such amount, the “Special Severance Payment”), for the remainder of the COBRA Payment Period.
(b) Executive will receive the Severance Benefits pursuant to Section 6.1(a) of this Agreement if: (i) within the timeframe provided by the Company, Executive has signed and delivered to the Company a separation agreement containing an effective, general release of claims in favor of the Company and its affiliates and representatives, in a form presented by the Company (the “Release”), which cannot be revoked in whole or part by such date (the date that the Release can no longer be revoked is referred to as the “Release Effective Date”); and (ii) if Executive holds any other positions with the Company or any affiliate, including a position on the Board, Executive resigns such position(s) to be effective no later than the date of Executive’s Separation from Service (or such other date as requested by the Board); (iii) Executive returns all Company property; (iv) Executive complies with Executive’s post-termination obligations under this Agreement and the Confidential Information Agreement; and (v) Executive complies with the terms of the Release, including without limitation any non-disparagement and confidentiality provisions contained in the Release.
(c) The Company will not make any payments to Executive with respect to any of the benefits pursuant to Section 6.1(a) prior to the 60th day following Executive’s date of termination. On the 60th day following Executive’s date of termination, and provided that Executive has delivered an effective Release, the Company will make the first payment to Executive under Section 6.1(a)(i) in a lump sum equal to the aggregate amount of payments that the Company would have paid Executive through such date had the payments commenced on the Executive’s date of termination through such 60th day, with the balance of the payments paid thereafter on the schedule described above.
(d) For purposes of this Agreement, “Accrued Obligations” are (i) Executive’s accrued but unpaid salary through the date of termination, (ii) any unreimbursed business expenses incurred by Executive payable in accordance with the Company’s standard expense reimbursement policies, (iii) benefits owed to Executive under any qualified retirement plan or health and unpaid Base Salary welfare benefit plan in which Executive was a participant in accordance with applicable law and the provisions of such plan, and (iv) Executive’s accrued but unused vacation pay through the Effective Date date of Termination;
(b) An amount equal to two (2) times the Executive’s annual Base Salary, termination. Accrued obligations will be paid upon date of termination or next payroll cycle at the Base Salary amount in effect on the Effective Date of Termination;
(c) An amount equal to two (2) times the Executive’s targeted Annual Bonus Award, at the targeted Annual Bonus Award in effect on the Effective Date of Termination;
(d) A prorated Annual Bonus Award based on the Executive’s target bonus opportunity established for the year in which termination of employment occurs. The prorated amount shall be determined as a function of time within the year that has elapsed prior to the Executive’s Effective Date of Termination;
(e) At the exact same cost to the Executive, and at the same coverage level as in effect as of the Executive’s Effective Date of Termination (subject to changes in coverage levels applicable to all employees generally), a continuation of the Executive’s (and the Executive’s eligible dependents’) health insurance coverage for twenty four (24) months from the Effective Date of Termination. The applicable COBRA health insurance benefit continuation period shall begin coincident with the beginning of this benefit continuation period; The providing of these health insurance benefits by the Company shall be discontinued prior to the end of the twenty four (24) month continuation period to the extent that the Executive becomes covered under the health insurance coverage of a subsequent employer which does not contain any exclusion or limitation with respect to any preexisting condition of the Executive or the Executive’s eligible dependents. For purposes of enforcing this offset provision, the Executive shall have a duty to inform the Company as to the terms and conditions of any subsequent employment and the corresponding benefits earned from such employment. The Executive shall provide, or cause to provide, to the Company in writing correct, complete, and timely information concerning the same; and
(f) All other benefits to which the Executive has a vested right at the time, according to the provisions of the governing plan or program. Payment of the benefits described in Sections 7.6(a), (b), (c), and (d) shall be paid to the Executive in a single lump sum as soon as practicable following the Effective Date of Termination in order to avoid penalties and excise taxes under the requirements of Code Section 409A. All other payments due to the Executive upon termination of employment shall be paid in accordance with the terms of such applicable plans or program. With the exception of the covenants referenced in Article 10 (which shall survive such termination), the Company and the Executive thereafter shall have no further obligations under this Agreementlatest.
Appears in 1 contract
Samples: Employment Agreement (Entasis Therapeutics Holdings Inc.)