Termination of Employment due to Death or Disability Clause Example from Business Contracts

Termination of Employment due to Death or Disability. If prior to attaining the Performance Objective the Employee terminates employment due to death or disability, a prorated portion of the performance stock units granted shall immediately vest, and the Company shall make a cash payment pursuant to such prorated awards as if the maximum Performance Objective had been fully achieved. In such event, the calculation of the cash payment due to the Employee shall be based on the fair market value of the Company's common stock as of the effective date o...f the Employee's termination of employment. Such payment shall be made (i) no later than 21⁄2 months after the Employee's termination of employment due to death; or (ii) on the earlier of (A) the first day of the seventh month following the date of the Employee's termination of employment due to disability or (B) the date of the Employee's death. The prorated award shall be determined by multiplying the full cash payment due pursuant to the vesting of the award by a fraction, the numerator of which is the number of days from July 1, 2014, through the Employee's last day of employment, and the denominator of which is the number of days from July 1, 2014, through June 30, 2017. The Committee shall conclusively determine whether the Employee shall be considered permanently disabled for purposes of this performance stock unit award. View More