Common use of Culpability Score Clause in Contracts

Culpability Score. Based upon USSG § 8C2.5, the culpability score is 5, calculated as follows: (a) Base Culpability Score 5 (b)(1) Organization had 5,000 or more employees and an individual within high-level personnel of the organization participated in, condoned, or was wilfully ignorant of the offense +5 (1) The organization, prior to an imminent threat of disclosure or government investigation, within a reasonably prompt time after becoming aware of the offense, reported the offense, fully cooperated, and clearly demonstrated recognition and affirmative acceptance of responsibility for its criminal conduct; -5 TOTAL CULPABILITY SCORE 5 e. Calculation of Fine Range. Base Fine $28,500,000 Multipliers 1.0 (minimum)/2.0 (maximum) Fine Range $28,500,000-$57,000,000 Subject to the terms of Paragraph 8 below, J&J agrees to pay a monetary penalty in the amount of $21,400,000, a 25 percent reduction off the bottom of the fine range, to the United States Treasury within ten days of the execution of this Agreement. J&J and the Department agree that this fine is appropriate given J&J’s voluntary and thorough disclosure of the misconduct at issue, the nature and extent of J&J’s cooperation in this matter, penalties related to the same conduct in the United Kingdom and Greece, J&J’s cooperation in the Department’s investigation of other companies, and J&J’s extraordinary remediation. The $21,400,000 penalty is final and shall not be refunded if the Department moves to dismiss the Information pursuant to this Agreement, or should the Department later determine that J&J has breached this Agreement and bring a prosecution against J&J. Furthermore, nothing in this Agreement shall be deemed an agreement by the Department that the $21400,000 amount is the maximum penalty that may be imposed in any such prosecution, and the Department is not precluded from arguing that the Court should impose a higher fine, although the Department agrees that under those circumstances, it will recommend to the Court that the amount paid under this Agreement should be offset against any fine the Court imposes as part of a judgment.