Common use of Failure to Extend Clause in Contracts

Failure to Extend. If the Company elects to cause the Employment Term to terminate on the third anniversary of the date hereof pursuant to Section 1.01, the Company shall pay to or on behalf of Executive, as Executive’s sole and exclusive remedy, in lieu of all other remedies at law or in equity, for such election not to extend the Employment Term, which Executive acknowledges to be fair and reasonable, the following amounts set forth in this Section 4.04: (a) Executive’s accrued but unpaid Base Salary through the third anniversary of the date hereof (plus accrued and unpaid expenses reimbursable in accordance with Section 2.06); and (b) an amount equal to Executive’s Base Salary (not including any bonus payable) as of the date immediately prior to the third anniversary of the date hereof for twelve (12) months after such termination, payable in accordance with the Company’s regular payroll procedures. Notwithstanding the foregoing, payment of the amount described in Section 4.04(b) shall be conditioned on the effectiveness of a release of claims by Executive in substantially the form attached hereto as Exhibit A.

Failure to Extend. If the Company elects to cause the Employment Term to terminate on the third second anniversary of the date hereof pursuant to Section 1.01, the Company shall pay to or on behalf of Executive, as Executive’s sole and exclusive remedy, in lieu of all other remedies at law or in equity, for such election not to extend the Employment Term, which Executive acknowledges to be fair and reasonable, the following amounts set forth in this Section 4.04: (a) Executive’s accrued but unpaid Base Salary through the third second anniversary of the date hereof (plus accrued and unpaid expenses reimbursable in accordance with Section 2.06); and (b) an amount equal to Executive’s Base Salary (not including any bonus payable) as of the date immediately prior to the third second anniversary of the date hereof for twelve (12) months after such termination, payable in accordance with the Company’s regular payroll procedures. Notwithstanding the foregoing, payment of the amount described in Section 4.04(b) shall be conditioned on the effectiveness of a release of claims by Executive in substantially the form attached hereto as Exhibit A.A. ARTCLE V