Common use of Termination of Employment Due to Disability Clause in Contracts

Termination of Employment Due to Disability. If, prior to full vesting of the RSUs, the Recipient’s employment or other association with the Company is terminated due to his/her Disability (as defined below) and the Company does not have grounds to terminate Recipient’s employment or other association with the Company for cause, then the Recipient’s unvested RSUs scheduled to vest on the next anniversary of the Grant Date shall vest in accordance with the original terms of the RSUs (prorated based on (A) the number of full months of the Recipient’s employment from the later of the Grant Date or the most recent anniversary of the Grant Date through the date of termination due to Disability divided by (B) twelve (12)) and the remaining RSUs and the corresponding Dividend Equivalents shall be forfeited; provided, however, that if the Recipient’s termination due to Disability occurs during the one-month period following the Grant Date, all of the RSUs and the corresponding Dividend Equivalents shall be forfeited. “Disability” shall mean the inability to engage in any substantial gainful occupation to which the relevant individual is suited by education, training or experience, by reason of any medically determinable physical or mental impairment, which condition can be expected to result in death or otherwise continue for a period of not less than twelve (12) consecutive months.

Appears in 6 contracts

Samples: Agreement (PennyMac Financial Services, Inc.), Agreement (PennyMac Financial Services, Inc.), Award Agreement (PennyMac Financial Services, Inc.)

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Termination of Employment Due to Disability. If, prior to full vesting and settlement of the RSUs, the Recipient’s employment or other association with the Company is terminated due to his/her Disability (as defined below) and the Company does not have grounds to terminate Recipient’s employment or other association with the Company for cause, then the Recipient’s unvested RSUs scheduled shall vest and be settled in the manner and as provided in Section 2 with achievement not to vest on exceed 100% payout if such termination due to Disability occurs prior to the next anniversary end of the Grant Date shall vest in accordance with the original terms of the RSUs performance period (prorated pro-rated based on (A) the number of full months of the Recipient’s employment from the later beginning of the Grant Date or the most recent anniversary of the Grant Date performance period through the date of termination due to Disability divided by (B) twelve (12)the total number of months in the performance period) and the remaining RSUs and the corresponding Dividend Equivalents shall be forfeited; provided, however, that if the Recipient’s termination due to Disability occurs during the one-month period following the Grant Date, all of the RSUs and the corresponding Dividend Equivalents shall be forfeited. “Disability” shall mean the inability to engage in any substantial gainful occupation to which the relevant individual is suited by education, training or experience, by reason of any medically determinable physical or mental impairment, which condition can be expected to result in death or otherwise continue for a period of not less than twelve (12) consecutive months.

Appears in 3 contracts

Samples: Agreement (PennyMac Financial Services, Inc.), Agreement (PennyMac Financial Services, Inc.), Award Agreement (PennyMac Financial Services, Inc.)

Termination of Employment Due to Disability. If, prior to full vesting of the RSUs, the Recipient’s employment or other association with the Company is terminated due to his/her Disability (as defined below) and the Company does not have grounds to terminate Recipient’s employment or other association with the Company for cause, then the Recipient’s unvested RSUs scheduled to vest on the next anniversary of the Grant Date shall vest in accordance with the original terms of the RSUs (prorated based on (A) the number of full months of the Recipient’s employment from the later of the Grant Date or the most recent anniversary of the Grant Date through the date of termination due to Disability divided by (B) twelve (12)) and the remaining RSUs and the corresponding Dividend Equivalents shall be forfeited; provided, however, that if the Recipient’s termination due to Disability occurs during the one-month period following the Grant Date, all of the RSUs and the corresponding Dividend Equivalents shall be forfeited. “Disability” shall mean the inability to engage in any substantial gainful occupation to which the relevant individual is suited by education, training or experience, by reason of any medically determinable physical or mental impairment, which condition can be expected to result in death or otherwise continue for a period of not less than twelve (12) consecutive months.

Appears in 1 contract

Samples: Award Agreement (Pennymac Financial Services, Inc.)

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Termination of Employment Due to Disability. If, prior to full vesting and settlement of the RSUs, the Recipient’s employment or other association with the Company is terminated due to his/her Disability (as defined below) and the Company does not have grounds to terminate Recipient’s employment or other association with the Company for cause, then the Recipient’s unvested RSUs scheduled shall vest and be settled in the manner and as provided in Section 2 with achievement not to vest on exceed 100% payout if such termination due to Disability occurs prior to the next anniversary end of the Grant Date shall vest in accordance with the original terms of the RSUs performance period (prorated pro-rated based on (A) the number of full months of the Recipient’s employment from the later beginning of the Grant Date or the most recent anniversary of the Grant Date performance period through the date of termination due to Disability divided by (B) twelve (12)the total number of months in the performance period) and the remaining RSUs and the corresponding Dividend Equivalents shall be forfeited; provided, however, that if the Recipient’s termination due to Disability occurs during the one-month period following the Grant Date, all of the RSUs and the corresponding Dividend Equivalents shall be forfeited. “Disability” shall mean the inability to engage in any substantial gainful occupation to which the relevant individual is suited by education, training or experience, by reason of any medically determinable physical or mental impairment, which condition can be expected to result in death or otherwise continue for a period of not less than twelve (12) consecutive months.

Appears in 1 contract

Samples: Award Agreement (Pennymac Financial Services, Inc.)

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