{"component": "clause", "props": {"groups": [{"snippet_links": [{"key": "within-thirty", "type": "clause", "offset": [0, 13]}, {"key": "following-executive", "type": "definition", "offset": [24, 43]}, {"key": "payment-of", "type": "clause", "offset": [59, 69]}, {"key": "equal-to", "type": "definition", "offset": [102, 110]}, {"key": "target-annual-bonus", "type": "clause", "offset": [115, 134]}, {"key": "the-year", "type": "definition", "offset": [181, 189]}], "samples": [{"hash": "68NRIolPiGk", "uri": "/contracts/68NRIolPiGk#separation-bonus", "label": "Severance and Change of Control Agreement (Synta Pharmaceuticals Corp)", "score": 21.188911438, "published": true}, {"hash": "38XnpCqtl49", "uri": "/contracts/38XnpCqtl49#separation-bonus", "label": "Severance and Change of Control Agreement (Synta Pharmaceuticals Corp)", "score": 21.188911438, "published": true}, {"hash": "lMyDmOUk1bH", "uri": "/contracts/lMyDmOUk1bH#separation-bonus", "label": "Severance and Change of Control Agreement (Synta Pharmaceuticals Corp)", "score": 21.0, "published": true}], "size": 29, "snippet": "Within thirty (30) days following Executive\u2019s termination, payment of a separation bonus in an amount equal to the target annual bonus to which Executive may have been entitled for the year in which Executive is terminated, prorated for the portion of the year in which Executive was employed.", "hash": "41c51b5800c05d27dbf504bb3323dbd7", "id": 1}, {"snippet_links": [{"key": "the-company", "type": "definition", "offset": [3, 14]}, {"key": "sole-discretion", "type": "definition", "offset": [17, 32]}, {"key": "appropriate-approval", "type": "clause", "offset": [55, 75]}, {"key": "the-compensation-committee", "type": "clause", "offset": [81, 107]}, {"key": "following-executive", "type": "definition", "offset": [137, 156]}, {"key": "not-to-exceed", "type": "definition", "offset": [220, 233]}, {"key": "target-annual-bonus", "type": "clause", "offset": [268, 287]}, {"key": "the-year", "type": "definition", "offset": [334, 342]}], "samples": [{"hash": "jQ9kge2KFjt", "uri": "/contracts/jQ9kge2KFjt#separation-bonus", "label": "Severance and Change in Control Agreement (Altus Pharmaceuticals Inc.)", "score": 21.0, "published": true}], "size": 3, "snippet": "In the Company\u2019s sole discretion, and conditioned upon appropriate approval from the Compensation Committee, within forty-five (45) days following Executive\u2019s termination the Company may pay Executive a separation bonus not to exceed one hundred percent (100%) of the target annual bonus to which Executive may have been entitled for the year in which Executive is terminated, prorated for the portion of the year in which Executive was employed, provided any such payments will be made within forty-five (45) days following Executive\u2019s termination with the Company.", "hash": "f58e591e346db426ecea0e78fe4a6d05", "id": 3}, {"snippet_links": [{"key": "payment-of", "type": "clause", "offset": [0, 10]}, {"key": "earned-but-unpaid-bonus", "type": "clause", "offset": [19, 42]}, {"key": "the-year", "type": "definition", "offset": [47, 55]}, {"key": "to-executive", "type": "definition", "offset": [62, 74]}, {"key": "based-on", "type": "definition", "offset": [90, 98]}, {"key": "actual-performance", "type": "definition", "offset": [99, 117]}, {"key": "lump-sum", "type": "clause", "offset": [129, 137]}, {"key": "equal-to", "type": "definition", "offset": [180, 188]}, {"key": "target-annual-bonus", "type": "clause", "offset": [193, 212]}, {"key": "taxes-and", "type": "clause", "offset": [363, 372]}, {"key": "in-accordance-with", "type": "definition", "offset": [404, 422]}, {"key": "the-company", "type": "definition", "offset": [423, 434]}, {"key": "payroll-practices", "type": "clause", "offset": [444, 461]}], "samples": [{"hash": "gtGLwzhywF0", "uri": "/contracts/gtGLwzhywF0#separation-bonus", "label": "Severance and Change of Control Agreement (Madrigal Pharmaceuticals, Inc.)", "score": 35.1341546886, "published": true}, {"hash": "eMyBbYururp", "uri": "/contracts/eMyBbYururp#separation-bonus", "label": "Severance and Change of Control Agreement (Madrigal Pharmaceuticals, Inc.)", "score": 35.1341546886, "published": true}, {"hash": "b7QYpLvgmfL", "uri": "/contracts/b7QYpLvgmfL#separation-bonus", "label": "Severance and Change of Control Agreement (Madrigal Pharmaceuticals, Inc.)", "score": 35.1341546886, "published": true}], "size": 13, "snippet": "Payment of (i) any earned but unpaid bonus for the year prior to Executive\u2019s termination, based on actual performance, paid in a lump sum; and (ii) a separation bonus in an amount equal to the target annual bonus to which Executive may have been entitled for the year in which Executive is terminated paid over twelve (12) months, less all customary and required taxes and employment-related deductions, in accordance with the Company\u2019s normal payroll practices (provided such payments will be made at least monthly).", "hash": "dba69f56b3e98e9e5d54f0bc80d23ba5", "id": 2}, {"snippet_links": [{"key": "effective-july-1", "type": "clause", "offset": [0, 16]}, {"key": "provide-a", "type": "definition", "offset": [43, 52]}, {"key": "separation-package", "type": "clause", "offset": [53, 71]}, {"key": "employees-who", "type": "clause", "offset": [75, 88]}, {"key": "years-of-service", "type": "definition", "offset": [118, 134]}, {"key": "full-year-of-service", "type": "clause", "offset": [168, 188]}, {"key": "the-separation", "type": "clause", "offset": [263, 277]}, {"key": "subject-to-the-following-conditions", "type": "clause", "offset": [287, 322]}, {"key": "employment-with-the", "type": "clause", "offset": [362, 381]}, {"key": "turnpike-authority", "type": "definition", "offset": [382, 400]}, {"key": "highway-authority", "type": "definition", "offset": [402, 419]}, {"key": "combination-of-both", "type": "clause", "offset": [426, 445]}, {"key": "service-time", "type": "clause", "offset": [447, 459]}, {"key": "an-employee-must", "type": "clause", "offset": [506, 522]}, {"key": "eligible-to-retire", "type": "definition", "offset": [526, 544]}, {"key": "public-employees", "type": "clause", "offset": [554, 570]}, {"key": "retirement-system", "type": "clause", "offset": [572, 589]}, {"key": "at-the-time", "type": "definition", "offset": [597, 608]}, {"key": "separation-of-employment", "type": "clause", "offset": [620, 644]}, {"key": "anniversary-date", "type": "clause", "offset": [736, 752]}, {"key": "employees-having", "type": "clause", "offset": [766, 782]}, {"key": "periods-of", "type": "clause", "offset": [799, 809]}, {"key": "payments-made", "type": "clause", "offset": [947, 960]}, {"key": "the-beneficiary", "type": "clause", "offset": [964, 979]}, {"key": "an-employee-who", "type": "clause", "offset": [983, 998]}, {"key": "by-the-authority", "type": "clause", "offset": [1011, 1027]}], "samples": [{"hash": "cWHpd63tSdH", "uri": "/contracts/cWHpd63tSdH#separation-bonus", "label": "Collective Bargaining Agreement", "score": 17.0, "published": true}], "size": 1, "snippet": "Effective July 1, 2007, the Authority will provide a separation package to employees who retire with ten (10) or more years of service at an amount of $550.00 for each full year of service. Interchange Managers will receive $600.00 for each full year of service. The separation bonus is subject to the following conditions: \u2022 \u2018Authority service\u2019 means full-time employment with the Turnpike Authority, Highway Authority, or a combination of both. Service time need not be continuous. \u2022 \u2018Retire\u2019 means that an employee must be eligible to retire into the Public Employees\u2019 Retirement System (PERS) at the time of his/her separation of employment from the Authority. \u2022 A \u2018full year\u2019 of Authority service shall be defined by an employee\u2019s anniversary date. In cases of employees having two (2) or more periods of Authority service, the separation bonus shall be calculated using the aggregate full years of service. \u2022 This benefit will be applied to payments made to the beneficiary of an employee who is employed by the Authority at the time of his/her death.", "hash": "c4ba21b9018827124b1bd9e5e00d1c76", "id": 5}, {"snippet_links": [{"key": "the-company-shall", "type": "clause", "offset": [0, 17]}, {"key": "two-times", "type": "clause", "offset": [32, 41]}, {"key": "annual-bonus-paid", "type": "definition", "offset": [62, 79]}, {"key": "retirement-date", "type": "clause", "offset": [156, 171]}, {"key": "the-parties-acknowledge", "type": "clause", "offset": [179, 202]}, {"key": "prior-to-december", "type": "clause", "offset": [263, 280]}, {"key": "equal-installments", "type": "clause", "offset": [324, 342]}, {"key": "payroll-dates", "type": "clause", "offset": [367, 380]}, {"key": "period-of", "type": "definition", "offset": [387, 396]}, {"key": "commencing-from", "type": "clause", "offset": [419, 434]}, {"key": "in-accordance-with", "type": "definition", "offset": [455, 473]}, {"key": "payroll-practice", "type": "clause", "offset": [485, 501]}, {"key": "of-the-company", "type": "clause", "offset": [502, 516]}, {"key": "separate-and-distinct", "type": "clause", "offset": [551, 572]}, {"key": "for-purposes-of", "type": "clause", "offset": [581, 596]}, {"key": "code-section-409a", "type": "definition", "offset": [597, 614]}, {"key": "first-payment", "type": "definition", "offset": [644, 657]}, {"key": "payroll-day", "type": "clause", "offset": [691, 702]}, {"key": "following-the", "type": "definition", "offset": [703, 716]}, {"key": "due-and-payable", "type": "definition", "offset": [805, 820]}, {"key": "for-the-avoidance-of-doubt", "type": "clause", "offset": [869, 895]}, {"key": "dollar-amount", "type": "definition", "offset": [901, 914]}, {"key": "in-the-event", "type": "clause", "offset": [965, 977]}, {"key": "fiscal-year-2013", "type": "definition", "offset": [1027, 1043]}], "samples": [{"hash": "aleugdTHwhC", "uri": "/contracts/aleugdTHwhC#separation-bonus", "label": "Separation Agreement (Impax Laboratories Inc)", "score": 22.603012085, "published": true}], "size": 1, "snippet": "The Company shall pay Executive two times Executive\u2019s average annual bonus paid for each completed fiscal year since January 1, 2010 that ends prior to the Retirement Date, which the Parties acknowledge would equal $1,048,894 if the Retirement Date were to occur prior to December 31, 2013 (the \u201cSeparation Bonus\u201d), paid in equal installments on the Company\u2019s normal payroll dates for a period of 12 consecutive months commencing from the Retirement Date in accordance with the normal payroll practice of the Company, with each payment deemed to be a separate and distinct payment for purposes of Code Section 409A, provided, however, that the first payment shall be made on the next normal payroll day following the 60th day after the Retirement Date, which first payment shall include amounts otherwise due and payable under this Section 3(b) on or before such date. For the avoidance of doubt, the dollar amount in this Section 3(b) will be revised as necessary in the event that the Retirement Date occurs after the end of fiscal year 2013.", "hash": "5efd14c93e12795b335bdd875b4b8791", "id": 9}, {"snippet_links": [{"key": "the-company-shall", "type": "clause", "offset": [0, 17]}, {"key": "the-executive", "type": "clause", "offset": [22, 35]}, {"key": "incentive-bonus", "type": "clause", "offset": [97, 112]}, {"key": "section-22", "type": "clause", "offset": [128, 139]}, {"key": "from-the-company", "type": "clause", "offset": [192, 208]}, {"key": "fiscal-years", "type": "clause", "offset": [217, 229]}, {"key": "term-of-the-employment-agreement", "type": "clause", "offset": [251, 283]}, {"key": "payroll-dates", "type": "clause", "offset": [331, 344]}, {"key": "period-of", "type": "definition", "offset": [351, 360]}, {"key": "in-accordance-with", "type": "definition", "offset": [383, 401]}, {"key": "exhibit-a", "type": "clause", "offset": [402, 411]}, {"key": "a-schedule", "type": "clause", "offset": [418, 428]}, {"key": "code-409a", "type": "clause", "offset": [472, 483]}, {"key": "for-purposes-of", "type": "clause", "offset": [539, 554]}], "samples": [{"hash": "cdxzUkULQ2W", "uri": "/contracts/cdxzUkULQ2W#separation-bonus", "label": "General Release and Waiver (Impax Laboratories Inc)", "score": 26.1622180939, "published": true}], "size": 2, "snippet": "The Company shall pay the Executive $1,967,793.00 (representing two (2) times the average of the Incentive Bonus (as defined in Section 2.2 of the Employment Agreement) the Executive received from the Company for all fiscal years completed during the term of the Employment Agreement), paid in installments on the Company\u2019s normal payroll dates for a period of 12 consecutive months in accordance with Exhibit A, with a schedule that complies with, or is exempt from, IRS Code \u00a7 409A, and with each payment deemed to be a separate payment for purposes of IRS Code \u00a7409A.", "hash": "c718ae18d552e180e0bf872dcf3fba8f", "id": 4}, {"snippet_links": [{"key": "step-one", "type": "definition", "offset": [7, 15]}, {"key": "restructuring-transaction", "type": "clause", "offset": [16, 41]}, {"key": "step-two", "type": "definition", "offset": [49, 57]}, {"key": "at-any-time", "type": "clause", "offset": [123, 134]}, {"key": "completion-of", "type": "clause", "offset": [168, 181]}, {"key": "the-company-shall", "type": "clause", "offset": [261, 278]}, {"key": "to-the-executive", "type": "clause", "offset": [283, 299]}, {"key": "per-month", "type": "clause", "offset": [318, 327]}, {"key": "obligation-to-pay", "type": "clause", "offset": [396, 413]}, {"key": "monthly-amount", "type": "clause", "offset": [419, 433]}, {"key": "employed-by", "type": "definition", "offset": [497, 508]}, {"key": "any-other-person", "type": "definition", "offset": [509, 525]}], "samples": [{"hash": "3ExdCeBttej", "uri": "/contracts/3ExdCeBttej#separation-bonus", "label": "Employment Agreement (Peekay Boutiques, Inc.)", "score": 25.1793289185, "published": true}], "size": 1, "snippet": "If the Step One Restructuring Transaction or the Step Two Restructuring Transaction is completed and the Executive resigns at any time within twelve (12) months of the completion of such Step One Restructuring Transaction or Step Two Restructuring Transaction, the Company shall pay to the Executive $8,333.33 in cash per month for up to twelve (12) months; provided, however, that the Company's obligation to pay such monthly amount to the Executive shall immediately cease once the Executive is employed by any other person.\"", "hash": "034be13e03920d9dcf1113d4296f3ed6", "id": 8}, {"snippet_links": [{"key": "recognition-of", "type": "clause", "offset": [3, 17]}, {"key": "contributions-to", "type": "clause", "offset": [33, 49]}, {"key": "the-group", "type": "clause", "offset": [50, 59]}, {"key": "the-company-hereby", "type": "clause", "offset": [61, 79]}, {"key": "pay-to", "type": "definition", "offset": [90, 96]}, {"key": "in-addition-to-the", "type": "clause", "offset": [111, 129]}, {"key": "other-amounts-payable", "type": "clause", "offset": [130, 151]}, {"key": "net-amount", "type": "definition", "offset": [202, 212]}, {"key": "tax-due", "type": "definition", "offset": [255, 262]}, {"key": "the-separation", "type": "clause", "offset": [290, 304]}, {"key": "company-in", "type": "clause", "offset": [332, 342]}, {"key": "lump-sum", "type": "clause", "offset": [347, 355]}, {"key": "that-\u2587", "type": "clause", "offset": [393, 399]}, {"key": "the-obligations", "type": "clause", "offset": [438, 453]}, {"key": "sections-10", "type": "clause", "offset": [467, 478]}, {"key": "assistance-to", "type": "clause", "offset": [563, 576]}], "samples": [{"hash": "kygkPiVtTJX", "uri": "/contracts/kygkPiVtTJX#separation-bonus", "label": "Separation Agreement (CTC Media, Inc.)", "score": 22.5947971344, "published": true}], "size": 1, "snippet": "In recognition of \u2587\u2587. \u2587\u2587\u2587\u2587\u2587\u2587\u2587\u2587\u2019\u2587 contributions to the Group, the Company hereby agrees to pay to \u2587\u2587. \u2587\u2587\u2587\u2587\u2587\u2587\u2587\u2587, in addition to the other amounts payable hereunder, a special cash separation bonus in the net amount of $200,000 (net of any applicable income tax due) (the \u201cSeparation Bonus\u201d). The Separation Bonus shall be paid by the Company in one lump sum on or about August 9, 2013; provided that \u2587\u2587. \u2587\u2587\u2587\u2587\u2587\u2587\u2587\u2587 remains in compliance with the obligations described in Sections 10 and 11 below, and provided further that \u2587\u2587. \u2587\u2587\u2587\u2587\u2587\u2587\u2587\u2587 provides reasonable transition assistance to his successor.", "hash": "f251139311e79d8c50fca96c1353900e", "id": 6}, {"snippet_links": [{"key": "to-pay", "type": "clause", "offset": [19, 25]}, {"key": "business-days", "type": "clause", "offset": [47, 60]}, {"key": "effective-date-of-the-release", "type": "definition", "offset": [75, 104]}, {"key": "state-and-federal", "type": "definition", "offset": [167, 184]}, {"key": "payroll-deductions", "type": "definition", "offset": [185, 203]}], "samples": [{"hash": "l81l3xC2qLj", "uri": "/contracts/l81l3xC2qLj#separation-bonus", "label": "Separation Agreement (Lyris, Inc.)", "score": 22.1923332214, "published": true}], "size": 1, "snippet": "The Company agrees to pay you, within five (5) business days following the Effective Date of the Release, a separation bonus in the amount of $35,000, less applicable state and federal payroll deductions.", "hash": "3ee4970056d057f1aabd43e37f834761", "id": 7}, {"snippet_links": [{"key": "the-public-offering", "type": "clause", "offset": [3, 22]}, {"key": "at-any-time", "type": "clause", "offset": [91, 102]}, {"key": "completion-of", "type": "clause", "offset": [139, 152]}, {"key": "the-company-shall", "type": "clause", "offset": [175, 192]}, {"key": "to-the-executive", "type": "clause", "offset": [197, 213]}, {"key": "per-month", "type": "clause", "offset": [232, 241]}, {"key": "obligation-to-pay", "type": "clause", "offset": [310, 327]}, {"key": "monthly-amount", "type": "clause", "offset": [333, 347]}, {"key": "employed-by", "type": "definition", "offset": [411, 422]}, {"key": "any-other-person", "type": "definition", "offset": [423, 439]}], "samples": [{"hash": "iZz9vZ04PFs", "uri": "/contracts/iZz9vZ04PFs#separation-bonus", "label": "Employment Agreement (Peekay Boutiques, Inc.)", "score": 24.9958934784, "published": true}], "size": 1, "snippet": "If the public offering contemplated by Section 3(j) is completed and the Executive resigns at any time following twelve (12) months of the completion of such public offering, the Company shall pay to the Executive $8,333.33 in cash per month for up to twelve (12) months; provided, however, that the Company's obligation to pay such monthly amount to the Executive shall immediately cease once the Executive is employed by any other person.\"", "hash": "b539668cb6a9abfc451c0052797aaa6a", "id": 10}], "next_curs": "ClkSU2oVc35sYXdpbnNpZGVyY29udHJhY3RzcjULEhZDbGF1c2VTbmlwcGV0R3JvdXBfdjU2IhlzZXBhcmF0aW9uLWJvbnVzIzAwMDAwMDBhDKIBAmVuGAAgAA==", "clause": {"parents": [["payments-upon-termination", "Payments Upon Termination"], ["termination-by-company-without-cause-or-by-executive-for-good-reason-following-a-change-of-control", "Termination by Company Without Cause or by Executive For Good Reason Following a Change of Control"], ["change-of-control-severance", "Change Of Control Severance"], ["termination-by-company-without-cause-or-by-executive-for-good-reason", "Termination by Company Without Cause or by Executive For Good Reason"], ["lump-sum-severance-payment", "Lump Sum Severance Payment"]], "title": "Separation Bonus", "children": [["", ""], ["board-of-directors-appointment", "Board of Directors Appointment"], ["termination-and-return-of-payments-certain-remedies", "Termination and Return of Payments; Certain Remedies"], ["time-for-consideration-effective-date", "Time for Consideration; Effective Date"], ["counterparts", "Counterparts"]], "size": 46, "id": "separation-bonus", "related": [["retention-bonus", "Retention Bonus", "Retention Bonus"], ["vacation-bonus", "Vacation Bonus", "Vacation Bonus"], ["retention-bonuses", "Retention Bonuses", "Retention Bonuses"], ["severance-pay", "Severance Pay", "Severance Pay"], ["salary-bonus-and-benefits", "Salary, Bonus and Benefits", "Salary, Bonus and Benefits"]], "related_snippets": [], "updated": "2026-02-21T05:44:01+00:00", "also_ask": ["What negotiation leverage does a separation bonus provide to either party?", "Which essential terms must be included to ensure enforceability of a separation bonus clause?", "What are the most common legal pitfalls or risks in drafting separation bonus provisions?", "How do separation bonus clauses compare to statutory severance requirements in relevant jurisdictions?", "What factors do courts consider when determining the validity of a separation bonus in employment disputes?"], "drafting_tip": "Specify the bonus amount and payment timing to ensure clarity; define eligibility criteria to prevent disputes; state tax treatment to avoid misunderstandings.", "explanation": "A Separation Bonus clause defines the payment or compensation an employee is entitled to receive upon the termination of their employment, typically in situations such as layoffs, mutual separation, or company restructuring. This clause outlines the amount, timing, and conditions under which the bonus is paid, and may specify eligibility criteria such as length of service or reason for separation. Its core practical function is to provide financial support to departing employees and to clarify the employer\u2019s obligations, thereby reducing disputes and ensuring a smoother transition for both parties."}, "json": true, "cursor": ""}}