Distribution After Payment Date Clause Samples
The 'Distribution After Payment Date' clause defines how funds or assets are to be distributed if a payment is made after the originally scheduled payment date. Typically, this clause outlines the procedures for handling late payments, such as specifying whether interest accrues on the delayed amount or how the distribution order may be affected. Its core practical function is to ensure fairness and clarity in the event of late payments, preventing disputes by establishing clear rules for post-deadline distributions.
Distribution After Payment Date. If a Change in Control occurs after the Payment Date and the Employee is in the active employ of the Company as of the date of the Change in Control, the Trustee shall make a distribution to the Employee of an amount equal to all amounts allocated to the Employee’s Account as of the date of the Change in Control.