Director’s Fund Clause Samples
The Director’s Fund clause establishes a dedicated pool of resources or compensation specifically allocated for the directors of a company. Typically, this fund may be used to cover directors’ fees, reimburse expenses incurred in the course of their duties, or provide for special bonuses or incentives. By clearly defining the existence and use of such a fund, the clause ensures transparency in director compensation and helps prevent disputes or misunderstandings regarding the financial entitlements of board members.
Director’s Fund. Each Contract Year, CONTRACTOR shall create and maintain a fund for use upon Director’s request for as-needed tasks similar in nature or related to Contract Services (Task 1 and Task 2 Services). The amount of this fund shall be calculated based on the number of parcels at the rate of $0.09 per parcel per month per year and shall be available for use at the Director’s request after the Commencement Date. Parcel counts are based on the number of parcels on the Commencement Date and adjusted annually thereafter. Unused funds shall rollover to the next Contract Year. For example, 5,000 parcels would generate a fund of $0.09 x 5,000 x 12 = $5,400 every year. Examples of use of this fund are as follows: • Power washing of street, alley, or sidewalk • Washing Containers • Printing brochures or flyers • Mailings to Service Area • Ordering of promotional items (reusable bags, pencils, magnets, etc.) • Rollout service, including Collection of a Bulky Item from near the front door of a Residential Premises instead of from the Set-Out Site.