Transaction Bonus Agreements Clause Samples
A Transaction Bonus Agreement clause establishes the terms under which certain individuals, typically employees or executives, are awarded a bonus upon the successful completion of a specific transaction, such as a merger, acquisition, or sale of the company. This clause outlines eligibility criteria, the calculation method for the bonus, and the timing of payment, often requiring continued employment through the transaction's closing date. Its core function is to incentivize key personnel to remain engaged and contribute to the successful execution of the transaction, thereby aligning their interests with those of the company and its stakeholders.
Transaction Bonus Agreements. Each of the Transaction Bonus Agreements shall be in full force and effect (except to the extent resulting from a breach or termination by one of employees who is party thereto).
Transaction Bonus Agreements. Each of the Transaction Bonus Agreements shall be in full force and effect (except to the extent resulting from a breach or termination by NET) and shall not been amended without NET's consent.
Transaction Bonus Agreements. At the Closing, the Operating Company shall provide Purchaser with a copy of each Transaction Bonus Agreement that has been delivered to any employee as of the Closing. Promptly following the Closing, the Operating Company shall provide each employee listed on Schedule 1.01(d) who has not received a Transaction Bonus Agreement as of the Closing the opportunity to enter into a Transaction Bonus Agreement in the form of Schedule 6.22 and providing for a Post-Closing Transaction Bonus in the amount set forth opposite such employee’s name on Schedule 1.01(d) with Post-Closing Transaction Bonuses to be paid to employees identified as Type 1 and 2 employees if still employed 120 days after the Closing, Type 3 employees if still employed 180 days after the Closing and Type 4 employees if still employed 360 days after the Closing.
Transaction Bonus Agreements. Seller shall have delivered to Buyer Transaction Bonus Payment and Release Agreements (the “Transaction Bonus Agreements”), in a form reasonably acceptable to Buyer, duly executed by the Company Successor and each employee set forth on Schedule 1.
Transaction Bonus Agreements. The Company and each of the Executives shall have entered into the Transaction Bonus Agreement as contemplated by Section 5.5 hereof.
Transaction Bonus Agreements. The Company has adopted a Transaction Bonus Plan (the "Transaction Bonus Plan") which amends and restates the Company's Management Retention Bonus Plan previously established by the Company to retain key management personnel during the search and negotiation and after the consummation of a change of control transaction, and each employee (each an Executive and collectively the "Executives") who is a participant in the Transaction Bonus Plan will enter into a Transaction Bonus Agreement in substantially the form of Exhibit D (collectively, the "Transaction Bonus Agreements"). Subject to Section 2.7 and the remainder of this paragraph, Parent will provide for the payment by the Company to such Executives transaction bonuses in the aggregate amount of $3,500,000 (the "Transaction Bonus Amount"). Two Million Two Hundred Forty Thousand Dollars ($2,240,000) of the Transaction Bonus Amount will be paid at the Closing to the Executives in the amounts set forth on Schedule 5.5 and Five Hundred Sixty Thousand Dollars ($560,000) of the Transaction Bonus will be placed in escrow in accordance with Section 2.7(b). Payment of the remaining Seven Hundred Thousand ($700,000) of the Transaction Bonus Amount (the "Earn Out Amount"), will be contingent upon Revenues (as defined below) reaching certain thresholds during the following periods (each an "Earn Out Period"), as follows:
(i) if $5,000,000 or more in Revenues is achieved between the date of Closing and September 30, 2002, 100% of the Earn Out Amount will be paid, and clauses (ii) through (iv) below will be inapplicable;
(ii) if $3,000,000 or more but less than $5,000,000 in Revenues is achieved between the date of Closing and September 30, 2002, 60% of the Earn Out Amount will be paid;
(iii) if the sum of Revenues achieved between October 1, 2002 and December 31, 2002 plus Revenues achieved between the date of Closing and September 30, 2002 in excess of $3,000,000 equals at least $1,000,000 but less than $2,000,000, 20% of the Earn Out Amount will be paid; and
(iv) if the sum of Revenues achieved between October 1, 2002 and December 31, 2002 plus Revenues achieved between the date of Closing and September 30, 2002 in excess of $3,000,000 equals or exceeds $2,000,000, an additional 20% of the Earn Out Amount will be paid. Payments of the Earn Out Amount, if any, in respect of any Earn Out Period shall be made within five business days following the date that Parent's independent public accountants complete its quarte...
Transaction Bonus Agreements. NET and FlowWise acknowledge that each of the employees of FlowWise listed on Exhibit F hereto (each a "Key Employee" and collectively the "Key Employees") have executed and delivered a Transaction Bonus Agreement, as amended ("Transaction Bonus Agreement"), with NET which agreement will be effective at the Effective Time.