Common use of Short-Term Deferrals Clause in Contracts

Short-Term Deferrals. To the extent any payment under this Agreement is intended to qualify for the short-term deferral exception under Section 409A, such payment will be made no later than the later of (a) the 15th day of the third month following the end of the Executive’s first taxable year in which the right to the payment is no longer subject to a substantial risk of forfeiture, or (b) the 15th day of the third month following the end of the Company’s first taxable year in which the right to the payment is no longer subject to a substantial risk of forfeiture.