{"component": "clause", "props": {"groups": [{"size": 46, "samples": [{"hash": "jYZUTSrYxoG", "uri": "/contracts/jYZUTSrYxoG#280g", "label": "Employment Agreement (Fairway Group Holdings Corp)", "score": 25.7145786285, "published": true}, {"hash": "c0Wril0KSwR", "uri": "/contracts/c0Wril0KSwR#280g", "label": "Employment Agreement (Fairway Group Holdings Corp)", "score": 25.7145786285, "published": true}, {"hash": "4s30MF4EMnx", "uri": "/contracts/4s30MF4EMnx#280g", "label": "Employment Agreement (Fairway Group Holdings Corp)", "score": 25.7145786285, "published": true}], "snippet_links": [{"key": "from-the-company", "type": "clause", "offset": [109, 125]}, {"key": "agreement-or", "type": "definition", "offset": [143, 155]}, {"key": "meaning-of", "type": "definition", "offset": [228, 238]}, {"key": "subject-to-the", "type": "clause", "offset": [303, 317]}, {"key": "tax-imposed", "type": "clause", "offset": [325, 336]}, {"key": "section-4999-of-the-code", "type": "clause", "offset": 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"definition", "offset": [1313, 1325]}, {"key": "payments-shall-be", "type": "clause", "offset": [1435, 1452]}, {"key": "payment-owed", "type": "clause", "offset": [1521, 1533]}, {"key": "latest-date", "type": "definition", "offset": [1541, 1552]}, {"key": "following-the", "type": "definition", "offset": [1553, 1566]}, {"key": "the-event", "type": "definition", "offset": [1581, 1590]}, {"key": "payment-to", "type": "clause", "offset": [1641, 1651]}, {"key": "accelerated-vesting-of-equity-awards", "type": "clause", "offset": [1668, 1704]}, {"key": "order-of", "type": "clause", "offset": [1756, 1764]}, {"key": "date-of-grant", "type": "definition", "offset": [1769, 1782]}, {"key": "stock-awards", "type": "definition", "offset": [1854, 1866]}, {"key": "stock-option", "type": "clause", "offset": [1934, 1946]}, {"key": "stock-appreciation-rights", "type": "definition", "offset": [1950, 1975]}, {"key": "employee-benefits", "type": "definition", "offset": [1997, 2014]}, {"key": "the-benefit", "type": "definition", "offset": [2082, 2093]}, {"key": "by-the-company", "type": "clause", "offset": [2332, 2346]}, {"key": "independent-registered-public-accounting-firm", "type": "clause", "offset": [2349, 2394]}, {"key": "prior-to-the", "type": "clause", "offset": [2407, 2419]}, {"key": "such-determination", "type": "definition", "offset": [2482, 2500]}, {"key": "independent-accounting-firm", "type": "clause", "offset": [2505, 2532]}, {"key": "to-executive", "type": "clause", "offset": [2584, 2596]}, {"key": "supporting-calculations", "type": "definition", "offset": [2663, 2686]}, {"key": "and-documentation", "type": "clause", "offset": [2687, 2704]}, {"key": "company-and-executive", "type": "clause", "offset": [2712, 2733]}, {"key": "change-in-ownership", "type": "clause", "offset": [2753, 2772]}, {"key": "control-of-the-company", "type": "clause", "offset": [2786, 2808]}, {"key": "ownership-of", "type": "clause", "offset": [2812, 2824]}, {"key": "substantial-portion", "type": "definition", "offset": [2827, 2846]}, {"key": "the-accounting-firm", "type": "clause", "offset": [2943, 2962]}, {"key": "take-into-account", "type": "definition", "offset": [2969, 2986]}, {"key": "if-applicable", "type": "definition", "offset": [2988, 3001]}, {"key": "the-value", "type": "clause", "offset": [3003, 3012]}, {"key": "competition-covenant", "type": "clause", "offset": [3032, 3052]}, {"key": "section-9", "type": "definition", "offset": [3066, 3075]}, {"key": "expenses-of-the", "type": "clause", "offset": [3109, 3124]}, {"key": "valuation-firm", "type": "clause", "offset": [3151, 3165]}, {"key": "required-by", "type": "definition", "offset": [3169, 3180]}], "snippet": "Notwithstanding anything set forth herein to the contrary, if any payment or benefit Executive would receive from the Company pursuant to this Agreement or otherwise (\u201cPayment\u201d) would constitute a \u201cparachute payment\u201d within the meaning of Section 280G of the Code and, but for this Section 24, would be subject to the excise tax imposed by Section 4999 of the Code (the \u201cExcise Tax\u201d), then such Payment shall equal the Revised Amount which may under clause (a) in the following sentence be a lesser amount than the full Payment. The \u201cRevised Amount\u201d shall be either (a) or (b) whichever amount, after taking into account all applicable federal, state and local employment taxes, income taxes and the Excise Tax (all computed at the highest applicable marginal rate), results in Executive\u2019s receipt, on an after-tax basis, of the greater amount of the Payment notwithstanding that all or some portion of the payment may be subject to the Excise Tax and where: (a) is the largest portion of the Payment that would result in no portion of the Payment being subject to the Excise Tax and (b) is the full, unreduced, total Payment. If a reduction in payments or benefits constituting \u201cparachute payments\u201d is necessary so that the Payment is reduced to the amount in clause (a) above, unless to the extent permitted by Code Section 280G and 409A Executive designates another order, the reduction shall occur in the following order: (A) cash payments shall be reduced first and in reverse chronological order such that the cash payment owed on the latest date following the occurrence of the event triggering such excise tax will be the first cash payment to be reduced; (B) accelerated vesting of equity awards shall be cancelled/reduced next and in the reverse order of the date of grant for such equity awards (i.e., the vesting of the most recently granted stock awards will be reduced first), with full-value awards reversed before any stock option or stock appreciation rights are reduced; and (C) employee benefits shall be reduced last and in reverse chronological order such that the benefit owed on the latest date following the occurrence of the event triggering such excise tax will be the first benefit to be reduced. Except as set forth in the next sentence, all determinations to be made under this Section 24 shall be made by the Company\u2019s independent registered public accounting firm immediately prior to the event giving rise to the Payment (or if such firm cannot make such determination, an independent accounting firm selected by the Company (and reasonably acceptable to Executive)), which accounting firm shall provide its determinations and any supporting calculations and documentation to the Company and Executive promptly after the change in ownership or effective control of the Company or ownership of a substantial portion of the Company\u2019s assets (within the meaning of Code Section 280G). In making its determination, the accounting firm shall take into account (if applicable) the value of Executive\u2019s non-competition covenant set forth in Section 9 of this Agreement. The costs and expenses of the accounting firm and, if a valuation firm is required by the accounting firm to perform its calculations, such valuation firm shall be borne by the Company.", "hash": "e283872df0b928d718ed921f539843fe", "id": 1}, {"size": 15, "samples": [{"hash": "1eIzjCXGs3V", "uri": "/contracts/1eIzjCXGs3V#280g", "label": "Stock Acquisition Agreement (Madison Technologies Inc.)", "score": 32.8028755188, "published": true}, {"hash": "aVMZL3n4404", "uri": "/contracts/aVMZL3n4404#280g", "label": "Stock Acquisition Agreement (Charge Enterprises, Inc.)", "score": 32.1156730652, "published": true}], "snippet_links": [{"key": "execution-of-this-agreement", "type": "clause", "offset": [23, 50]}, {"key": "the-company-shall", "type": "clause", "offset": [52, 69]}, {"key": "submit-to", "type": "definition", "offset": [70, 79]}, {"key": "for-approval", "type": "definition", "offset": [96, 108]}, {"key": "in-accordance-with", "type": "definition", "offset": [160, 178]}, {"key": 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"requisite-stockholder-approval", "type": "definition", "offset": [940, 970]}, {"key": "with-respect-to", "type": "clause", "offset": [984, 999]}, {"key": "stockholder-vote", "type": "clause", "offset": [1054, 1070]}, {"key": "to-the-extent", "type": "clause", "offset": [1252, 1265]}, {"key": "pursuant-to-the", "type": "clause", "offset": [1332, 1347]}, {"key": "executed-by", "type": "definition", "offset": [1401, 1412]}, {"key": "affected-individuals", "type": "definition", "offset": [1417, 1437]}], "snippet": "Promptly following the execution of this Agreement, the Company shall submit to the Transferors for approval (in a manner reasonably satisfactory to Acquiror), in accordance with Section 280G(b)(5)(B) of the Code, any payments and/or benefits that may separately or in the aggregate, constitute \u201cparachute payments\u201d pursuant to Section 280G of the Code (\u201cSection 280G Payments\u201d) (which determination shall be made by the Company and shall be subject to review and approval by Acquiror, such approval not to be unreasonably withheld, conditioned or delayed), such that such payments and benefits shall not be deemed to be Section 280G Payments, and prior to the Closing, the Company shall deliver to Acquiror notification and documentation reasonably satisfactory to Acquiror that (a) a vote of the holders of the capital stock of the Company was solicited in conformance with Section 280G and the regulations promulgated thereunder and the requisite stockholder approval was obtained with respect to any payments and/or benefits that were subject to the stockholder vote (the \u201c280G Stockholder Approval\u201d), or (b) that the 280G Stockholder Approval was not obtained and as a consequence, that such payments and/or benefits shall not be made or provided to the extent they would cause any amounts to constitute Section 280G Payments, pursuant to the waivers of those payments and/or benefits which were executed by the affected individuals prior to the vote of the holders of Company\u2019s capital stock pursuant to this Section 7.13.", "hash": "1baa2a7cc58e7c66c2f4a59aa7f6eafc", "id": 8}, {"size": 16, "samples": [{"hash": "ds23B0rkhWv", "uri": "/contracts/ds23B0rkhWv#280g", "label": "Executive Employment Agreement (Dts, Inc.)", "score": 23.3586578369, "published": true}, {"hash": "5mviz3GCgaV", "uri": "/contracts/5mviz3GCgaV#280g", "label": "Executive Employment Agreement (Dts, Inc.)", "score": 22.3483905792, "published": true}, {"hash": "972FBF4vCMf", "uri": "/contracts/972FBF4vCMf#280g", "label": "Executive Employment Agreement (Dts, Inc.)", "score": 21.1656398773, "published": true}], "snippet_links": [{"key": "notwithstanding-anything-to-the-contrary", "type": "clause", "offset": [0, 40]}, {"key": "in-this-agreement", "type": "clause", "offset": [41, 58]}, {"key": "disqualified-individual", "type": "definition", "offset": [79, 102]}, {"key": "defined-in-section", "type": "clause", "offset": [108, 126]}, {"key": "internal-revenue-code-of-1986", "type": "definition", "offset": [142, 171]}, {"key": "as-amended", "type": "definition", "offset": [173, 183]}, {"key": "severance-benefits-provided", "type": "clause", "offset": [207, 234]}, {"key": "section-77", "type": "clause", "offset": [247, 258]}, {"key": "other-payments-and-benefits", "type": "clause", "offset": [278, 305]}, {"key": "right-to-receive", "type": "clause", "offset": [334, 350]}, {"key": "person-or-entity", "type": "definition", "offset": [374, 390]}, {"key": "subject-to-the", "type": "clause", "offset": [429, 443]}, {"key": "tax-imposed", "type": "clause", "offset": [451, 462]}, {"key": "section-4999-of-the-code", "type": "clause", "offset": [466, 490]}, {"key": "interest-and-penalties", "type": "definition", "offset": [506, 528]}, {"key": "with-respect-to", "type": "clause", "offset": [537, 552]}, {"key": "present-value", "type": "definition", "offset": [698, 711]}, {"key": "safe-harbor-amount", "type": "definition", "offset": [750, 768]}, {"key": "paid-in-full", "type": "definition", "offset": [881, 893]}, {"key": "net-after", "type": "definition", "offset": [925, 934]}, {"key": "tax-position", "type": "clause", "offset": [935, 947]}, {"key": "to-the-executive", "type": "clause", "offset": [948, 964]}, {"key": "other-applicable-taxes", "type": "definition", "offset": [1009, 1031]}, {"key": "the-determination", "type": "clause", "offset": [1034, 1051]}, {"key": "in-the-aggregate", "type": "definition", "offset": [1085, 1101]}, {"key": "in-good-faith", "type": "clause", "offset": [1160, 1173]}, {"key": "if-applicable", "type": "definition", "offset": [1175, 1188]}, {"key": "reduction-of", "type": "clause", "offset": [1194, 1206]}, {"key": "amounts-payable", "type": "definition", "offset": [1211, 1226]}, {"key": "in-accordance-with", "type": "definition", "offset": [1237, 1255]}, {"key": "the-value", "type": "clause", "offset": [1389, 1398]}, {"key": "cash-severance-pay", "type": "clause", "offset": [1452, 1470]}, {"key": "section-409a", "type": "definition", "offset": [1491, 1503]}, {"key": "pay-for", "type": "definition", "offset": [1535, 1542]}, {"key": "continued-medical-benefits", "type": "clause", "offset": [1543, 1569]}, {"key": "other-cash", "type": "definition", "offset": [1593, 1603]}, {"key": "restricted-stock-or-restricted-stock-units", "type": "clause", "offset": [1684, 1726]}, {"key": "stock-options", "type": "definition", "offset": [1737, 1750]}, {"key": "to-the-employer", "type": "clause", "offset": [1969, 1984]}, {"key": "upon-notification", "type": "clause", "offset": [1985, 2002]}], "snippet": "Notwithstanding anything to the contrary in this Agreement, if Executive is a \u201cdisqualified individual\u201d (as defined in Section 280G(c) of the Internal Revenue Code of 1986, as amended (the \u201cCode\u201d)), and the severance benefits provided for in this Section 7.7, together with any other payments and benefits which the Executive has the right to receive from Company and other person or entity (the \u201cAggregate Severance\u201d), would be subject to the excise tax imposed by Section 4999 of the Code, including any interest and penalties imposed with respect to such excise tax (the \u201cExcise Tax\u201d), then the severance benefits provided thereunder shall be either (1) reduced (but not below zero) so that the present value of the Aggregate Severance equals the Safe Harbor Amount (as defined below) and so that no portion of the Aggregate Severance shall be subject to the Excise Tax, or (2) paid in full, whichever produces the better net after-tax position to the Executive (taking into account the Excise Tax and any other applicable taxes). The determination as to whether any such reduction in the Aggregate Severance is necessary shall be made initially by Company in good faith. If applicable, the reduction of the amounts payable hereunder in accordance with clause (1) of the first sentence of the preceding paragraph shall be made in the following order and in such a manner as to maximize the value of the Aggregate Severance paid to the Executive (i) cash severance pay that is exempt from Section 409A, (ii) any payments intended to pay for continued medical benefits under COBRA, (iii) any other cash severance pay, (iv) any other cash payable that is a severance benefit, (v) any restricted stock or restricted stock units, and (vi) stock options. If the Aggregate Severance is reduced in accordance with the preceding sentence and through error or otherwise the Aggregate Severance exceeds the Safe Harbor Amount, the Executive shall immediately repay such excess to the Employer upon notification that an overpayment has been made.", "hash": "5c22cb37144aca13b51a1ac865b8a2f2", "id": 7}, {"size": 30, "samples": [{"hash": "isQLtUjRAmB", "uri": "/contracts/isQLtUjRAmB#280g", "label": "Employment Agreement (InterDigital, Inc.)", "score": 27.1300487518, "published": true}, {"hash": "qhSHziinpW", "uri": "/contracts/qhSHziinpW#280g", "label": "Employment Agreement (InterDigital, Inc.)", "score": 24.2114982605, "published": true}, {"hash": "jvsufJGpSe2", "uri": "/contracts/jvsufJGpSe2#280g", "label": "Employment Agreement (InterDigital, Inc.)", "score": 24.2114982605, "published": true}], "snippet_links": [{"key": "agreement-to", "type": "definition", "offset": [47, 59]}, {"key": "to-the-extent", "type": "clause", "offset": [74, 87]}, {"key": "distribution-of", "type": "clause", "offset": [117, 132]}, {"key": "by-the-company", "type": "clause", "offset": [181, 195]}, {"key": "related-entities", "type": "clause", "offset": [210, 226]}, {"key": "agreement-or", "type": "definition", "offset": [343, 355]}, {"key": "without-limitation", "type": "clause", "offset": [378, 396]}, {"key": "accelerated-vesting-of-stock-options", "type": "clause", "offset": [402, 438]}, {"key": "other-equity", "type": "clause", "offset": [442, 454]}, {"key": "subject-to-the", "type": "clause", "offset": [515, 529]}, {"key": "tax-imposed", "type": "clause", "offset": [537, 548]}, {"key": "the-total", "type": "clause", "offset": [586, 595]}, {"key": "payments-shall-be", "type": "clause", "offset": [596, 613]}, {"key": "maximum-amount", "type": "definition", "offset": [655, 669]}, {"key": "tax-basis", "type": "definition", "offset": [949, 958]}, {"key": "notice-to-the-company", "type": "definition", "offset": [1074, 1095]}, {"key": "effectuate-a", "type": "definition", "offset": [1099, 1111]}, {"key": "reduction-in", "type": "definition", "offset": [1112, 1124]}, {"key": "the-requirements", "type": "clause", "offset": [1209, 1225]}, {"key": "section-409a", "type": "definition", "offset": [1229, 1241]}, {"key": "the-company-shall", "type": "clause", "offset": [1310, 1327]}, {"key": "payments-by", "type": "clause", "offset": [1358, 1369]}, {"key": "cash-severance-benefits", "type": "definition", "offset": [1404, 1427]}, {"key": "payments-to-be-made", "type": "clause", "offset": [1438, 1457]}, {"key": "the-future", "type": "clause", "offset": [1470, 1480]}, {"key": "accelerated-vesting-of-restricted-stock", "type": "clause", "offset": [1631, 1670]}, {"key": "this-subsection", "type": "definition", "offset": [1786, 1801]}, {"key": "the-provisions-of", "type": "clause", "offset": [1839, 1856]}, {"key": "any-other-plan", "type": "definition", "offset": [1857, 1871]}, {"key": "entitlements-to", "type": "clause", "offset": [1935, 1950]}, {"key": "payments-to-the-executive", "type": "clause", "offset": [2018, 2043]}, {"key": "in-accordance-with", "type": "definition", "offset": [2074, 2092]}, {"key": "such-determination", "type": "definition", "offset": [2163, 2181]}, {"key": "exercise-of", "type": "clause", "offset": [2217, 2228]}, {"key": "good-faith", "type": "clause", "offset": [2245, 2255]}, {"key": "professional-advisors", "type": "definition", "offset": [2297, 2318]}, {"key": "application-of-section-4999-of-the-code", "type": "clause", "offset": [2406, 2445]}, {"key": "time-of-the", "type": "clause", "offset": [2453, 2464]}, {"key": "determination-by-the-board", "type": "clause", "offset": [2473, 2499]}, {"key": "interest-on", "type": "clause", "offset": [2812, 2823]}, {"key": "determine-the", "type": "clause", "offset": [2871, 2884]}, {"key": "payments-under-section", "type": "clause", "offset": [2902, 2924]}, {"key": "in-the-event", "type": "clause", "offset": [2969, 2981]}, {"key": "total-payments-made", "type": "definition", "offset": [2991, 3010]}, {"key": "pursuant-to-section", "type": "clause", "offset": [3178, 3197]}, {"key": "reimbursable-payment", "type": "clause", "offset": [3487, 3507]}, {"key": "by-the-executive", "type": "clause", "offset": [3521, 3537]}], "snippet": "(a) Notwithstanding anything contained in this Agreement to the contrary, to the extent that any payment, benefit or distribution of any type to or for the benefit of the Executive by the Company or any of the Related Entities, whether paid or payable, provided or to be provided, or distributed or distributable pursuant to the terms of this Agreement or otherwise (including, without limitation, any accelerated vesting of stock options or other equity-based awards) (collectively, the \u201cTotal Payments\u201d) would be subject to the excise tax imposed under Section 4999 of the Code, then the Total Payments shall be reduced (but not below zero) so that the maximum amount of the Total Payments (after reduction) shall be one dollar ($1.00) less than the amount which would cause the Total Payments to be subject to the excise tax imposed by Section 4999 of the Code, to the extent that the Executive will retain more of the Total Payments on an after-tax basis following this reduction than if the full amount were payable. Unless the Executive shall have given prior written notice to the Company to effectuate a reduction in the Total Payments if such a reduction is required, any such notice consistent with the requirements of Section 409A to avoid the imputation of any tax, penalty or interest thereunder, the Company shall reduce or eliminate the Total Payments by first reducing or eliminating any cash severance benefits (with the payments to be made furthest in the future being reduced first), then by reducing or eliminating any accelerated vesting of stock options or similar awards, then by reducing or eliminating any accelerated vesting of restricted stock or similar awards, then by reducing or eliminating any other remaining Total Payments. The preceding provisions of this subsection 8.4.4\n(a) shall take precedence over the provisions of any other plan, arrangement or agreement governing the Executive\u2019s rights and entitlements to any benefits or compensation.\n(b) Any determination that the Total Payments to the Executive must be reduced or eliminated in accordance with subsection 8.4.4(a) and the assumptions to be utilized in arriving at such determination, shall be made by the Board in the exercise of its reasonable, good faith discretion based upon the advice of such professional advisors as it may deem appropriate in the circumstances. As a result of the uncertainty in the application of Section 4999 of the Code at the time of the initial determination by the Board hereunder, it is possible that the Total Payments to the Executive which will not have been made by the Company should have been made (\u201cUnderpayment\u201d). If an Underpayment has occurred, the amount of any such Underpayment shall be promptly paid by the Company to or for the benefit of the Executive together with interest on such amount (at the same rate as is applied to determine the present value of payments under Section 280G of the Code or any successor thereto). In the event that any Total Payments made to the Executive shall be determined to otherwise result in the imposition of any tax under Section 4999 of the Code and a reduction in the Total Payments is required pursuant to Section 8.4.4(a), then the Executive shall promptly repay to the Company the amount of any such overpayment together with interest on such amount (at the same rate as is applied to determine the present value of payments under Section 280G of the Code or any successor thereto), from the date the reimbursable payment was received by the Executive to the date the same is repaid to the Company.", "hash": "241360f9a08f1c27491142cb3d0f0573", "id": 3}, {"size": 42, "samples": [{"hash": "cRW2m6b8p2N", "uri": "/contracts/cRW2m6b8p2N#280g", "label": "Asset Purchase Agreement (Apellis Pharmaceuticals, Inc.)", "score": 28.7809715271, "published": true}, {"hash": "dWPInWEDXoG", "uri": "/contracts/dWPInWEDXoG#280g", "label": "Asset Purchase Agreement (Apellis Pharmaceuticals, Inc.)", "score": 26.6290206909, "published": true}], "snippet_links": [{"key": "prior-to-the-closing", "type": "clause", "offset": [37, 57]}, {"key": "the-seller-shall", "type": "clause", "offset": [59, 75]}, {"key": "submit-to", "type": "definition", "offset": [76, 85]}, {"key": "stockholder-vote", "type": "clause", "offset": [88, 104]}, {"key": "approval-requirements", "type": "clause", "offset": [149, 170]}, {"key": "the-code", "type": "clause", "offset": [202, 210]}, {"key": "treasury-regulations", "type": "clause", "offset": [219, 239]}, {"key": "right-of", "type": "definition", "offset": [268, 276]}, {"key": "defined-in-section", "type": "clause", "offset": [311, 329]}, {"key": "to-receive", "type": "definition", "offset": [351, 361]}, {"key": "all-payments", "type": "definition", "offset": [370, 382]}, {"key": "other-benefits", "type": "clause", "offset": [387, 401]}, {"key": "the-transactions-contemplated-by-this-agreement", "type": "clause", "offset": [437, 484]}, {"key": "meaning-of", "type": "definition", "offset": [497, 507]}, {"key": "to-the-extent", "type": "clause", "offset": [546, 559]}, {"key": "received-by", "type": "definition", "offset": [589, 600]}, {"key": "the-payment", "type": "clause", "offset": [825, 836]}, {"key": "other-compensation", "type": "definition", "offset": [840, 858]}, {"key": "in-addition", "type": "clause", "offset": [973, 984]}, {"key": "seller-stockholders", "type": "definition", "offset": [1034, 1053]}, {"key": "voting-stock", "type": "definition", "offset": [1064, 1076]}, {"key": "material-facts", "type": "clause", "offset": [1084, 1098]}, {"key": "payments-to", "type": "clause", "offset": [1114, 1125]}, {"key": "parachute-payments", "type": "clause", "offset": [1201, 1219]}, {"key": "code-and-regulations", "type": "definition", "offset": [1312, 1332]}, {"key": "right-to-review-and-comment", "type": "clause", "offset": [1453, 1480]}, {"key": "documents-required-to-be-delivered", "type": "clause", "offset": [1488, 1522]}, {"key": "to-the-seller", "type": "definition", "offset": [1523, 1536]}, {"key": "in-connection-with", "type": "clause", "offset": [1552, 1570]}, {"key": "individual-waivers", "type": "clause", "offset": [1611, 1629]}, {"key": "of-the-buyer", "type": "clause", "offset": [1696, 1708]}, {"key": "copies-of-all", "type": "clause", "offset": [1758, 1771]}, {"key": "by-the-stockholders", "type": "clause", "offset": [1791, 1810]}, {"key": "disqualified-individuals", "type": "clause", "offset": [1815, 1839]}], "snippet": "Not less than five (5) business days prior to the Closing, the Seller shall submit to a stockholder vote, in a manner that satisfies the stockholder approval requirements under Section 280G(b)(5)(B) of the Code and the Treasury Regulations promulgated thereunder, the right of any \u201cdisqualified individual\u201d (as defined in Section 280G(c) of the Code) to receive any and all payments (or other benefits) contingent on the consummation of the transactions contemplated by this Agreement (within the meaning of Section 280G(b)(2)(A)(i) of the Code) to the extent necessary so that no payment received by such \u201cdisqualified individual\u201d shall be a \u201cparachute payment\u201d under Section 280G(b) of the Code (determined without regard to Section 280G(b)(4) of the Code). Such vote shall establish the disqualified individual\u2019s right to the payment or other compensation, and the Seller shall obtain any required waivers or consents from the disqualified individual prior to the vote. In addition, the Seller shall provide adequate disclosure to Seller stockholders that hold voting stock of all material facts concerning all payments to any such disqualified individual that, but for such vote, could be deemed \u201cparachute payments\u201d under Section 280G of the Code in a manner that satisfies Section 280G(b)(5)(B)(ii) of the Code and regulations promulgated thereunder. At least five (5) business days prior to the vote, the Buyer and its counsel shall be given the right to review and comment on all documents required to be delivered to the Seller\u2019s stockholders in connection with such vote and any required disqualified individual waivers or consents, and the Seller shall reflect all reasonable comments of the Buyer thereon. Buyer and its counsel shall be provided copies of all documents executed by the stockholders and disqualified individuals in connection with the vote.", "hash": "43f2d273973766749cf7501dd69f5152", "id": 2}, {"size": 11, "samples": [{"hash": "k1nFTLXXCVF", "uri": "/contracts/k1nFTLXXCVF#280g", "label": "Employment Agreement (Strong Global Entertainment, Inc.)", "score": 32.3771400452, "published": true}, {"hash": "jw78OuZ8dDv", "uri": "/contracts/jw78OuZ8dDv#280g", "label": "Employment Agreement (FG Group Holdings Inc.)", "score": 32.3771400452, "published": true}, {"hash": "f209GElqgMp", "uri": "/contracts/f209GElqgMp#280g", "label": "Employment Agreement (FG Group Holdings Inc.)", "score": 32.3771400452, "published": true}], "snippet_links": [{"key": "payment-or-distribution", "type": "definition", "offset": [7, 30]}, {"key": "of-employee", "type": "clause", "offset": [68, 79]}, {"key": "agreement-or", "type": "definition", "offset": [91, 103]}, {"key": "other-plans", "type": "clause", "offset": [108, 119]}, {"key": "between-the-parties", "type": "clause", "offset": [136, 155]}, {"key": "subject-to-the", "type": "clause", "offset": [165, 179]}, {"key": "deduction-limitations", "type": "clause", "offset": [180, 201]}, {"key": "tax-imposed", "type": "clause", "offset": [213, 224]}, {"key": "internal-revenue-code", "type": "clause", "offset": [258, 279]}, {"key": "interest-and-penalties", "type": "definition", "offset": [306, 328]}, {"key": "excise-taxes", "type": "clause", "offset": [344, 356]}, {"key": "agree-to", "type": "clause", "offset": [377, 385]}, {"key": "to-place", "type": "definition", "offset": [423, 431]}, {"key": "tax-position", "type": "clause", "offset": [459, 471]}, {"key": "payments-by-the-company", "type": "clause", "offset": [576, 599]}, {"key": "for-example", "type": "definition", "offset": [607, 618]}, {"key": "parachute-payment", "type": "definition", "offset": [655, 672]}, {"key": "to-the-extent", "type": "clause", "offset": [711, 724]}, {"key": "amount-of-compensation", "type": "clause", "offset": [881, 903]}, {"key": "employee-compensation", "type": "clause", "offset": [929, 950]}], "snippet": "If any payment or distribution by the Company to or for the benefit of Employee under this Agreement or any other plans or arrangements between the parties would be subject to the deduction limitations and excise tax imposed by Sections 280G and 4999 of the Internal Revenue Code (including any applicable interest and penalties, collectively \u201cexcise taxes\u201d), then the parties agree to take such action as may be necessary to place Employee in the best after-tax position taking into account all income, employment and excise taxes, without regard to the deductibility of any payments by the Company. Thus, for example, any amount deemed to constitute a \u201cparachute payment\u201d under Section 280G, shall be reduced to the extent necessary to avoid excise taxes that would otherwise be imposed if, and only if, such reduction would result in Employee retaining a larger total after-tax amount of compensation, taking into account all Employee compensation, benefits, income, employment and excise taxes.", "hash": "4ab5be7a684cd4bf88287cc5836f4cfc", "id": 10}, {"size": 29, "samples": [{"hash": "NBMEHrVbV9", "uri": "/contracts/NBMEHrVbV9#280g", "label": "Executive Employment Agreement (Tempest Therapeutics, Inc.)", "score": 36.3264884949, "published": true}, {"hash": "6puzvsxflgT", "uri": "/contracts/6puzvsxflgT#280g", "label": "Executive Employment Agreement (Tempest Therapeutics, Inc.)", "score": 36.2334022522, "published": true}, {"hash": "bbQM218jbET", "uri": "/contracts/bbQM218jbET#280g", "label": "Executive Employment Agreement (Tempest Therapeutics, Inc.)", "score": 33.3613967896, "published": true}], "snippet_links": [{"key": "in-the-event", "type": "clause", "offset": [0, 12]}, {"key": "payment-or-distribution", "type": "definition", "offset": [50, 73]}, {"key": "agreement-or", "type": "definition", "offset": [213, 225]}, {"key": "consistent-with-section", "type": "clause", "offset": [260, 283]}, {"key": "applicable-regulations", "type": "definition", "offset": [309, 331]}, {"key": "aggregate-payments", "type": "clause", "offset": [349, 367]}, {"key": "subject-to-the", "type": "clause", "offset": [379, 393]}, {"key": "tax-imposed", "type": "clause", "offset": [401, 412]}, {"key": "section-4999-of-the-code", "type": "clause", "offset": [416, 440]}, {"key": "payments-shall-be", "type": "clause", "offset": [461, 478]}, {"key": "sum-of", "type": "clause", "offset": [520, 526]}, {"key": "provided-that", "type": "clause", "offset": [676, 689]}, {"key": "after-tax-amount", "type": "definition", "offset": [767, 783]}, {"key": "each-case", "type": "definition", "offset": [970, 979]}, {"key": "beginning-with-the", "type": "clause", "offset": [1012, 1030]}, {"key": "in-time", "type": "clause", "offset": [1083, 1090]}, {"key": "consummation-of-the-transaction", "type": "clause", "offset": [1096, 1127]}, {"key": "cash-payments", "type": "definition", "offset": [1177, 1190]}, {"key": "payments-subject-to-section-409a-of-the-code", "type": "clause", "offset": [1242, 1286]}, {"key": "in-the-case", "type": "clause", "offset": [1385, 1396]}, {"key": "treasury-regulation", "type": "definition", "offset": [1618, 1637]}, {"key": "section-9", "type": "definition", "offset": [1689, 1698]}, {"key": "excise-and-employment-taxes", "type": "clause", "offset": [1809, 1836]}, {"key": "receipt-of", "type": "clause", "offset": [1872, 1882]}, {"key": "to-pay", "type": "clause", "offset": [1977, 1983]}, {"key": "federal-income-taxes", "type": "definition", "offset": [1984, 2004]}, {"key": "rate-of", "type": "clause", "offset": [2029, 2036]}, {"key": "federal-income-taxation", "type": "clause", "offset": [2037, 2060]}, {"key": "to-individuals", "type": "clause", "offset": [2072, 2086]}, {"key": "calendar-year", "type": "definition", "offset": [2095, 2108]}, {"key": "the-determination", "type": "clause", "offset": [2118, 2135]}, {"key": "state-and-local-income-taxes", "type": "clause", "offset": [2155, 2183]}, {"key": "rates-of", "type": "clause", "offset": [2208, 2216]}, {"key": "applicable-state", "type": "definition", "offset": [2245, 2261]}, {"key": "reduction-in", "type": "definition", "offset": [2295, 2307]}, {"key": "deduction-of", "type": "clause", "offset": [2358, 2370]}, {"key": "state-and-local-taxes", "type": "clause", "offset": [2376, 2397]}, {"key": "in-the-aggregate", "type": "definition", "offset": [2443, 2459]}, {"key": "made-pursuant-to", "type": "clause", "offset": [2478, 2494]}, {"key": "nationally-recognized-accounting-firm", "type": "definition", "offset": [2529, 2566]}, {"key": "supporting-calculations", "type": "definition", "offset": [2669, 2692]}, {"key": "costs-of", "type": "definition", "offset": [2722, 2730]}, {"key": "such-determination", "type": "definition", "offset": [2741, 2759]}, {"key": "fees-and-expenses", "type": "definition", "offset": [2776, 2793]}, {"key": "expenses-incurred", "type": "definition", "offset": [2822, 2839]}, {"key": "notwithstanding-the-foregoing", "type": "clause", "offset": [2887, 2916]}, {"key": "not-publicly-traded", "type": "clause", "offset": [2936, 2955]}, {"key": "prior-to-the", "type": "clause", "offset": [2956, 2968]}, {"key": "occurrence-of-a-change-in-control", "type": "clause", "offset": [2969, 3002]}, {"key": "private-company", "type": "clause", "offset": [3017, 3032]}, {"key": "q-a", "type": "clause", "offset": [3055, 3060]}, {"key": "the-regulations", "type": "clause", "offset": [3067, 3082]}, {"key": "approval-of", "type": "definition", "offset": [3191, 3202]}, {"key": "payments-to-be-made", "type": "clause", "offset": [3222, 3241]}, {"key": "payments-under-section", "type": "clause", "offset": [3269, 3291]}, {"key": "base-amount", "type": "definition", "offset": [3325, 3336]}, {"key": "defined-in-section", "type": "clause", "offset": [3355, 3373]}, {"key": "excise-taxes", "type": "clause", "offset": [3469, 3481]}, {"key": "efforts-to-obtain", "type": "clause", "offset": [3570, 3587]}], "snippet": "In the event that the amount of any compensation, payment or distribution by Tempest or its affiliates to or for your benefit, whether paid or payable or distributed or distributable pursuant to the terms of this Agreement or otherwise, calculated in a manner consistent with Section 280G of the Code and the applicable regulations thereunder (the \u201cAggregate Payments\u201d) would be subject to the excise tax imposed by Section 4999 of the Code, then the Aggregate Payments shall be reduced (but not below zero) so that the sum of all of the Aggregate Payments shall be $1.00 less than the amount at which you become subject to the excise tax imposed by Section 4999 of the Code; provided that such reduction shall only occur if it would result in you receiving a higher After Tax Amount (as defined below) than you would receive if the Aggregate Payments were not subject to such reduction. In such event, the Aggregate Payments shall be reduced in the following order, in each case, in reverse chronological order beginning with the Aggregate Payments that are to be paid the furthest in time from consummation of the transaction that is subject to Section 280G of the Code: (i) cash payments not subject to Section 409A of the Code; (ii) cash payments subject to Section 409A of the Code; (iii) equity-based payments and acceleration; and (iv) non-cash forms of benefits; provided that in the case of all the foregoing Aggregate Payments all amounts or payments that are not subject to calculation under Treas. Reg. \u00a7 1.280G-1, Q&A-24(b) or (c) shall be reduced before any amounts that are subject to calculation under Treasury Regulation \u00a71.280G-1, Q&A- 24(b) or (c). For purposes of this Section 9, the \u201cAfter Tax Amount\u201d means the amount of the Aggregate Payments less all federal, state, and local income, excise and employment taxes imposed on you as a result of your receipt of the Aggregate Payments. For purposes of determining the After Tax Amount, you shall be deemed to pay federal income taxes at the highest marginal rate of federal income taxation applicable to individuals for the calendar year in which the determination is to be made, and state and local income taxes at the highest marginal rates of individual taxation in each applicable state and locality, net of the maximum reduction in federal income taxes which could be obtained from deduction of such state and local taxes. The determination as to whether a reduction in the Aggregate Payments shall be made pursuant to this Section 9 shall be made by a nationally recognized accounting firm or a firm specializing in Section 280G calculations selected by Tempest, which shall provide detailed supporting calculations both to Tempest and you. The costs of obtaining such determination and all related fees and expenses (including related fees and expenses incurred in any later audit) shall be borne by Tempest. Notwithstanding the foregoing, if (i) Tempest is not publicly traded prior to the occurrence of a change in control such that the private company exception pursuant to Q & A #7 of the regulations promulgated under Section 280G of the Code is applicable and (ii) you request that Tempest seek shareholder approval of the portion of any payments to be made to you which are parachute payments under Section 280G and exceed 2.99 times your \u201cbase amount\u201d (as such term is defined in Section 280G) in order that, upon obtaining such approval, all of the payments will be exempt from the excise taxes imposed under Sections 280G and 4999 of the Code, Tempest shall use its reasonable best efforts to obtain such approval.", "hash": "c960008f44b83d4fe168061100971d57", "id": 4}, {"size": 20, "samples": [{"hash": "iQHgNQC3yyo", "uri": "/contracts/iQHgNQC3yyo#280g", "label": "Chief Strategy Officer Employment Agreement (Duesenberg Technologies Inc.)", "score": 32.0882949829, "published": true}, {"hash": "aT9Nl6E7j36", "uri": "/contracts/aT9Nl6E7j36#280g", "label": "Chief Technical Officer Employment Agreement (Duesenberg Technologies Inc.)", "score": 32.0882949829, "published": true}, {"hash": "ao2Bpe1UizG", "uri": "/contracts/ao2Bpe1UizG#280g", "label": "Employment Agreement (Greenwood Hall, Inc.)", "score": 28.2936344147, "published": true}], "snippet_links": [{"key": "benefits-provided", "type": "definition", "offset": [15, 32]}, {"key": "section-44", "type": "clause", "offset": [39, 50]}, {"key": "subject-to", "type": "clause", "offset": [71, 81]}, {"key": "tax-due", "type": "definition", "offset": [93, 100]}, {"key": "amounts-payable", "type": "definition", "offset": [128, 143]}, {"key": "excess-parachute-payments", "type": "clause", "offset": [165, 190]}, {"key": "section-4999", "type": "definition", "offset": [203, 215]}, {"key": "internal-revenue-code-of-1986", "type": "definition", "offset": [223, 252]}, {"key": "as-amended", "type": "definition", "offset": [254, 264]}, {"key": "the-regulations", "type": "clause", "offset": [270, 285]}, {"key": "in-order-to", "type": "clause", "offset": [422, 433]}, {"key": "the-code", "type": "clause", "offset": [499, 507]}], "snippet": "If, due to the benefits provided under Section 4.4 above, Executive is subject to any excise tax due to characterization of any amounts payable under Section 4.4 as excess parachute payments pursuant to Section 4999 of the Internal Revenue Code of 1986, as amended, and the regulations promulgated thereunder (collectively, the \u201cCode\u201d), the amounts payable under Section 4.4 will be reduced (to the least extent possible) in order to avoid any \u201cexcess parachute payment\u201d under section 280G(b)(1) of the Code.", "hash": "bac9989aa483539511dbd9416dcb54eb", "id": 5}, {"size": 18, "samples": [{"hash": "qXM9eCTffd", "uri": "/contracts/qXM9eCTffd#280g", "label": "Employment Agreement (Parkway Properties Inc)", "score": 26.1498966217, "published": true}, {"hash": "h0qiZmtuIPD", "uri": "/contracts/h0qiZmtuIPD#280g", "label": "Employment Agreement (Parkway Properties Inc)", "score": 26.1498966217, "published": true}, {"hash": "j1Zh9BwpyQ8", "uri": "/contracts/j1Zh9BwpyQ8#280g", "label": "Employment Agreement (Parkway Properties Inc)", "score": 24.8302536011, "published": true}], "snippet_links": [{"key": "agreement-or", "type": "definition", "offset": [48, 60]}, {"key": "any-other-plan", "type": "definition", "offset": [61, 75]}, {"key": "agreement-to", "type": "definition", "offset": [93, 105]}, {"key": "benefits-provided", "type": "definition", "offset": [146, 163]}, {"key": "by-the-company", "type": "clause", "offset": [182, 196]}, {"key": "to-the-executive", "type": "clause", "offset": [215, 231]}, {"key": "terms-of-this-agreement", "type": "clause", "offset": [279, 302]}, {"key": "covered-payments", "type": "definition", "offset": [318, 334]}, {"key": "payments-within", "type": "clause", "offset": [358, 373]}, {"key": "meaning-of", "type": "definition", "offset": [378, 388]}, {"key": "section-11", "type": "definition", "offset": [480, 490]}, {"key": "subject-to-the", "type": "clause", "offset": [495, 509]}, {"key": "tax-imposed", "type": "clause", "offset": [517, 528]}, {"key": "section-4999-of-the-code", "type": "clause", "offset": [535, 559]}, {"key": "successor-provision", "type": "clause", "offset": [568, 587]}, {"key": "by-state", "type": "clause", "offset": [624, 632]}, {"key": "local-law", "type": "clause", "offset": [636, 645]}, {"key": "with-respect-to", "type": "clause", "offset": [675, 690]}, {"key": "loss-of", "type": "definition", "offset": [741, 748]}, {"key": "payments-shall-be", "type": "clause", "offset": [813, 830]}, {"key": "to-ensure", "type": "clause", "offset": [906, 915]}, {"key": "the-foregoing", "type": "clause", "offset": [999, 1012]}, {"key": "basis-of", "type": "clause", "offset": [1076, 1084]}, {"key": "amount-of-benefits", "type": "clause", "offset": [1098, 1116]}, {"key": "the-applicable", "type": "clause", "offset": [1143, 1157]}, {"key": "excise-taxes", "type": "clause", "offset": [1215, 1227]}, {"key": "the-requirements", "type": "clause", "offset": [1444, 1460]}, {"key": "section-409a-of-the-code", "type": "definition", "offset": [1464, 1488]}, {"key": "to-the-extent", "type": "clause", "offset": [1490, 1503]}, {"key": "equivalent-amounts", "type": "clause", "offset": [1551, 1569]}, {"key": "payable-at", "type": "definition", "offset": [1599, 1609]}, {"key": "amounts-payable", "type": "definition", "offset": [1632, 1647]}, {"key": "determination-required", "type": "clause", "offset": [1717, 1739]}, {"key": "in-writing", "type": "definition", "offset": [1776, 1786]}, {"key": "accounting-firm", "type": "clause", "offset": [1811, 1826]}, {"key": "provide-the", "type": "clause", "offset": [1885, 1896]}, {"key": "information-and-documents", "type": "clause", "offset": [1915, 1940]}, {"key": "reasonably-request", "type": "definition", "offset": [1960, 1978]}, {"key": "in-order-to", "type": "clause", "offset": [1979, 1990]}, {"key": "determination-under", "type": "clause", "offset": [1998, 2017]}], "snippet": "(a) Notwithstanding any other provision of this Agreement or any other plan, arrangement, or agreement to the contrary, if any of the payments or benefits provided or to be provided by the Company or its affiliates to the Executive or for the Executive\u2019s benefit pursuant to the terms of this Agreement or otherwise (\u201cCovered Payments\u201d) constitute parachute payments within the meaning of Section 280G of the Code (such payments, the \u201cParachute Payments\u201d) and would, but for this Section 11, be subject to the excise tax imposed under Section 4999 of the Code (or any successor provision thereto) or any similar tax imposed by state or local law or any interest or penalties with respect to such taxes (collectively, the \u201cExcise Tax\u201d), or a loss of deductibility under Section 280G of the Code, then such Covered Payments shall be payable either (i) in full or (ii) reduced to the minimum extent necessary to ensure that no portion of the Covered Payments is subject to the Excise Tax, whichever of the foregoing (i) or (ii) results in the Executive\u2019s receipt on an after-tax basis of the greatest amount of benefits after taking into account the applicable federal, state, local and foreign income, employment and excise taxes (including the Excise Tax).\n(b) The Covered Payments shall be reduced in a manner that maximizes the Executive\u2019s economic position. In applying this principle, the reduction shall be made in a manner consistent with the requirements of Section 409A of the Code, to the extent applicable, and where two or more economically equivalent amounts are subject to reduction but payable at different times, such amounts payable at the later time shall be reduced first but not below zero.\n(c) Any determination required under this Section 11 shall be made in writing by the Company or by an accounting firm selected and paid for by the Company. The Executive shall provide the Company with such information and documents as the Company may reasonably request in order to make a determination under this Section 11.", "hash": "b5c52701ae115f107804e456cce48393", "id": 6}, {"size": 12, "samples": [{"hash": "hZVHFrVXOBQ", "uri": "/contracts/hZVHFrVXOBQ#280g", "label": "Employment Agreement (Brooks Automation Inc)", "score": 18.892539978, "published": true}, {"hash": "kFKfg8KGZdP", "uri": "/contracts/kFKfg8KGZdP#280g", "label": "Employment Agreement (Brooks Automation Inc)", "score": 18.0, "published": true}, {"hash": "cpp0OMqfkN0", "uri": "/contracts/cpp0OMqfkN0#280g", "label": "Employment Agreement (Brooks Automation Inc)", "score": 18.0, "published": true}], "snippet_links": [{"key": "in-the-event", "type": "clause", "offset": [0, 12]}, {"key": "the-executive", "type": "clause", "offset": [18, 31]}, {"key": "benefits-provided", "type": "definition", "offset": [72, 89]}, {"key": "agreement-or", "type": "definition", "offset": [98, 110]}, {"key": "other-amounts", "type": "clause", "offset": [115, 128]}, {"key": "nature-of-compensation", "type": "clause", "offset": [137, 159]}, {"key": "terms-of-this-agreement", "type": "clause", "offset": [186, 209]}, {"key": "any-other-plan", "type": "definition", "offset": [213, 227]}, {"key": "any-person", "type": "definition", "offset": [272, 282]}, {"key": "change-of-ownership", "type": "definition", "offset": [309, 328]}, {"key": "effective-control", "type": "clause", "offset": [332, 349]}, {"key": "covered-by", "type": "definition", "offset": [350, 360]}, {"key": "person-affiliated-with", "type": "definition", "offset": [399, 421]}, {"key": "change-in-ownership", "type": "clause", "offset": [470, 489]}, {"key": "company-payments", "type": "clause", "offset": [530, 546]}, {"key": "subject-to-the", "type": "clause", "offset": [585, 599]}, {"key": "tax-imposed", "type": "clause", "offset": [600, 611]}, {"key": "section-4999-of-the-code", "type": "clause", "offset": [615, 639]}, {"key": "taxing-authority", "type": "definition", "offset": [708, 724]}, {"key": "excise-tax", "type": "definition", "offset": [731, 741]}, {"key": "responsible-for", "type": "clause", "offset": [774, 789]}, {"key": "payment-in-full", "type": "clause", "offset": [794, 809]}, {"key": "the-company-shall", "type": "clause", "offset": [837, 854]}, {"key": "state-taxes", "type": "definition", "offset": [879, 890]}, {"key": "as-required-by", "type": "clause", "offset": [891, 905]}, {"key": "applicable-law", "type": "clause", "offset": [906, 920]}], "snippet": "In the event that the Executive shall become entitled to payment and/or benefits provided by this Agreement or any other amounts in the \"nature of compensation\" (whether pursuant to the terms of this Agreement or any other plan, arrangement or agreement with the Company, any person whose actions result in a change of ownership or effective control covered by Section 280G(b)(2) of the Code or any person affiliated with the Company or such person) as a result of such change in ownership or effective control (collectively the \"Company Payments\"), and such Company Payments would be subject to the tax imposed by Section 4999 of the Code (together with any similar tax that may hereafter be imposed by any taxing authority, the \"Excise Tax\") the Executive shall be solely responsible for the payment in full of any such Excise Tax and the Company shall withhold any federal or state taxes as required by applicable law.", "hash": "d1abf3a95d908acd1c51447be3edcdbb", "id": 9}], "next_curs": "Ck0SR2oVc35sYXdpbnNpZGVyY29udHJhY3RzcikLEhZDbGF1c2VTbmlwcGV0R3JvdXBfdjU2Ig0yODBnIzAwMDAwMDBhDKIBAmVuGAAgAA==", "clause": {"size": 666, "title": "280G", "parents": [["miscellaneous", "Miscellaneous"], ["termination-of-executives-employment", "Termination of Executives Employment"], ["covenants", "Covenants"], ["tax-matters", "Tax Matters"], ["termination-upon-a-change-in-control", "Termination Upon A Change In Control"]], "children": [["", ""], ["severability", "Severability"], ["survival", "Survival"], ["miscellaneous", "Miscellaneous"], ["notices", "Notices"]], "id": "280g", "related": [["parachute-payment", "Parachute Payment", "Parachute Payment"], ["section-280g", "Section 280G", "Section <strong>280G</strong>"], ["parachute-payment-limitation", "Parachute Payment Limitation", "Parachute Payment Limitation"], ["parachute-payments", "Parachute Payments", "Parachute Payments"], ["code-section-280g", "Code Section 280G", "Code Section <strong>280G</strong>"]], "related_snippets": [], "updated": "2026-07-01T04:28:54+00:00", "also_ask": ["What negotiation levers exist to minimize or eliminate 280G excise tax exposure?", "Which drafting elements are essential to ensure a robust 280G 'best net after-tax' or 'gross-up' provision?", "What are the most common pitfalls that render 280G mitigation clauses unenforceable or ineffective?", "How do 280G mitigation strategies differ from similar golden parachute provisions in other jurisdictions?", "What evidentiary standards do courts apply when assessing the validity of 280G shareholder approval processes?"], "drafting_tip": "Define 'parachute payments' precisely to avoid ambiguity; specify calculation methods to ensure compliance with tax regulations; clarify exceptions to prevent unintended tax liabilities.", "explanation": "The 280G clause addresses the tax implications of so-called \"golden parachute\" payments made to executives in the event of a change in company control, such as a merger or acquisition. It typically outlines how compensation exceeding certain thresholds will be treated, often requiring the company to reduce payments or provide tax gross-ups to avoid triggering punitive excise taxes under Section 280G of the Internal Revenue Code. This clause is essential for ensuring that both the company and its executives understand and manage the tax risks associated with large severance or bonus payments during corporate transactions."}, "json": true, "cursor": ""}}