Common use of Incentive Amount Clause in Contracts

Incentive Amount. During the Partnership's existence, the Managing General Partner will be paid a nonaccountable Incentive Amount for services rendered to the Partnership, equal to 1.25% of all Partnership net Revenues, except that for the first 12 months after the Partnership's Formation Date, the Incentive Amount will instead be an amount equal to 1.5% of SDI Subscriptions. For the purpose of determining the Incentive Amount hereunder, net Revenues shall mean Revenues received under Net Profits Agreement or under Nonoperating Interests held outside of any Net Profits Agreement. The Incentive Amount will be payable solely out of 50% of the Partnership's first Revenues in each period.