Common use of Payment of Compensation Clause in Contracts

Payment of Compensation. GEID agrees to pay the Product Distributor the compensation due under this Agreement on a quarterly basis calculated at the annual rates shown above. GEID shall calculate and make this payment within 90 days of the end of the calendar quarter without demand or notice from the Insurer. Notwithstanding the foregoing, Product Distributor understands and acknowledges that the Company may, without prior notice, suspend or eliminate the payment of compensation to GEID, including payments under the Distribution and Service Plan, by amending or supplementing its prospectuses for the Shares. In such an event, GEID shall have no obligation to pay any further compensation to Product Distributor for Sales Services or Investor Services provided by Product Distributor or Selling Broker-Dealers unless and until the Company pays GEID for such services.

Payment of Compensation. GEID XXXX agrees to pay the Product Distributor the compensation due under this Agreement on a quarterly basis calculated at the annual rates shown above. GEID shall calculate and make this payment within 90 days of the end of the calendar quarter without demand or notice from the Insurer. Notwithstanding the foregoing, Product Distributor understands and acknowledges that the Company may, without prior notice, suspend or eliminate the payment of compensation to GEID, including payments under the Distribution and Service Plan, by amending or supplementing its prospectuses for the Shares. In such an event, GEID shall have no obligation to pay any further compensation to Product Distributor for Sales Services or Investor Services provided by Product Distributor or Selling Broker-Dealers unless and until the Company pays GEID for such services.