Performance Bonus; Other Limitations Clause Samples
The 'Performance Bonus; Other Limitations' clause defines the conditions under which an employee or contractor may receive additional compensation based on achieving specific performance targets. Typically, this clause outlines the criteria for earning a bonus, such as meeting sales goals or project milestones, and may also specify caps on the total bonus amount or exclude certain types of compensation from bonus calculations. Its core function is to incentivize high performance while clearly setting boundaries to manage the employer's financial exposure and ensure fairness in bonus distribution.
Performance Bonus; Other Limitations. The Executive shall be entitled to an annual cash bonus on the basis outlined in Exhibit A. The covenants set forth in Exhibit A shall be binding upon the parties to the same extent as if set forth herein.
Performance Bonus; Other Limitations. The Executive shall be entitled to an initial cash performance bonus for services rendered from the Effective Date through December 31, 2000 (the "Initial Bonus") and to an annual cash performance bonus thereafter for each complete calendar year of employment, PROVIDED, HOWEVER, in the final year of the Initial Term, if Executive works until the last day of the Initial Term and there is no Renewal Term, or, in the final year of the Renewal Term, if Executive works until the last day of the Renewal Term, the Executive shall be entitled to a pro-rata cash performance bonus based on the ratio of (i) the days from the beginning of the last fiscal year of the Company during which the Executive was employed until such last day of employment, to (ii) 365. The amount of each performance bonus shall be based on the determination of the Compensation Committee of the Board (the "Compensation Committee") of the extent to which the performance objectives for such year established pursuant to Exhibit A have been attained. The Compensation Committee shall make such determination and the Company shall pay to the Executive each year's earned performance bonus, if any, as soon as practicable after completion of the Company's audited financial statements for the applicable calendar year, and in no event after March 15 of the next succeeding calendar year.