Board Determined Cause Event Sample Clauses
A Board Determined Cause Event clause grants the board of directors the authority to identify and declare specific events or actions as constituting "cause" under an agreement. In practice, this means the board can assess situations such as misconduct, breach of duty, or other significant issues, and formally determine whether these meet the threshold for cause, which may trigger consequences like termination or forfeiture of benefits. This clause ensures that the board retains discretion and flexibility in addressing serious issues, providing a clear mechanism for responding to problematic behavior or events that may not be exhaustively listed in the agreement.
Board Determined Cause Event. Notwithstanding anything in this Agreement to the contrary, in the event that, after the expiration of the Restrictive Covenants, there is a Board Determined Cause Event or Recipient directly or indirectly, engages in, participates in, represents in any way or is connected with, as officer, director, partner, owner, employee, agent, sales representative, distributor, independent contractor, consultant, advisor, proprietor, stockholder (except for the ownership of a less than 1% stock interest in a publicly traded company) or otherwise, competition with the Business in the United States, then the Company shall have the right, but not the obligation, in accordance with Section 1.6 below, to repurchase any Covered Units at their Fair Market Value as of the last day of the calendar quarter immediately preceding the date the Company discovers the event giving rise to such Board Determined Cause Event or such competition by Recipient.
Board Determined Cause Event. Notwithstanding anything in this Agreement to the contrary, in the event that, after the expiration of the Restrictive Covenants, there is a Board Determined Cause Event or Recipient directly or indirectly, engages in, participates in, represents in any way or is connected with, as officer, director, partner, owner, employee, agent, sales representative, distributor, independent contractor, consultant, advisor, proprietor, stockholder (except for the Approved ▇▇▇▇▇ Affiliation or the ownership of a less than 1% equity interest in a publicly traded company) or otherwise, competition with the Business in the United States, then the Company shall have the right, but not the obligation, in accordance with Section 1.6 below, to repurchase any Covered Units at their Fair Market Value as of the last day of the calendar quarter immediately preceding the date the Company discovers the event giving rise to such Board Determined Cause Event or such competition by Recipient.