Common use of Termination on Account of Death or Disability Clause in Contracts

Termination on Account of Death or Disability. During the Term, if the Executive’s employment is terminated on account of death under Section 3(a) or disability under Section 3(b), the Employers shall pay the Executive (or his authorized representative or estate) his Accrued Benefit. The Employers shall also provide the Executive (or his authorized representative or estate) with a lump sum payment equal to his Base Salary within 60 days of the Date of Termination. In addition, the Executive (or his authorized representative or estate) shall also be entitled to receive the pro rata portion of any cash incentive compensation which would have been earned by the Executive during such year of termination had such Executive remained employed the entire year and as determined by the Compensation Committee pursuant to Section 2(b), determined by multiplying such cash incentive compensation by a fraction, the numerator of which equals the number of days the Executive is employed by the Employers during such year to the Date of Termination, and the denominator of which equals 365 (the “Pro-Rated Bonus”). The Pro-Rated Bonus shall be paid at the same time that the Employers pay cash incentive compensation to executives under Section 2(b).

Termination on Account of Death or Disability. During the Term, if the Executive’s employment is terminated on account of death under Section 3(a) or disability under Section 3(b), the Employers shall pay the Executive (or his her authorized representative or estate) his her Accrued Benefit. The Employers shall also provide the Executive (or his her authorized representative or estate) with a lump sum payment equal to his her Base Salary within 60 days of the Date of Termination. In addition, the Executive (or his her authorized representative or estate) shall also be entitled to receive the pro rata portion of any cash incentive compensation which would have been earned by the Executive during such year of termination had such Executive remained employed the entire year and as determined by the Compensation Committee pursuant to Section 2(b), determined by multiplying such cash incentive compensation by a fraction, the numerator of which equals the number of days the Executive is employed by the Employers during such year to the Date of Termination, and the denominator of which equals 365 (the “Pro-Rated Bonus”). The Pro-Rated Bonus shall be paid at the same time that the Employers pay cash incentive compensation to executives under Section 2(b).