Common use of Consulting Obligations Clause in Contracts

Consulting Obligations. If the Employee's employment is terminated upon the Sale as described in Section 5.2.1 above or is terminated by the Company without Cause during the 12-month period after the Effective Date of the Sale as described in Section 5.2.2 above, the Employee will be obligated to hold himself available to consult, at the request of the Company and on such projects within the Employee's professional expertise as the Company shall designate, during the 12-month period following the first anniversary of the Effective Date. Such services will be rendered for up to 10 hours per month and will be paid an hourly rate equal to $300 for each hour actually worked, payable monthly, as earned, in accordance with the Company's normal payroll policy in effect from time to time. For so long as the Employee's consulting obligation is not terminated for Cause, each of his options and shares will continue to vest while the consulting arrangement is in effect, the Board having determined that the Employee will be performing substantial services for the Company during that time. The Employee's services as a consultant may be terminated by the Company for Cause upon 14 days advance written notice.