Termination Pursuant to Order Clause Samples
The 'Termination Pursuant to Order' clause allows a contract to be ended if a court, government authority, or other competent body issues an order requiring termination. In practice, this means that if a law, regulation, or official directive makes it illegal or impossible for the parties to continue their agreement, either party can terminate the contract without penalty. This clause ensures that the parties are not forced to remain bound by the contract in situations where compliance would violate legal or regulatory requirements, thereby protecting them from legal risk and ensuring the contract remains enforceable only under lawful circumstances.
Termination Pursuant to Order. If the Executive is removed and/or permanently prohibited from participating in the conduct of the Bank's affairs by an order issued under Section 8(e)(4) or (g)(1) of the Federal Deposit Insurance Act (12 U.S.C. ss.1818(e)(4) or (g)(1)), all obligations of the Company and Bank under this Agreement shall terminate as of the effective date of the order, but vested rights of the Company, the Bank and the Executive shall not be affected.
Termination Pursuant to Order. If the Executive is removed and/or permanently prohibited from participating in the conduct of the Association's affairs by an order issued under Section 8(e)(4) or (g)(1) of the Federal Deposit Insurance Act (12 U.S.C. Section 1818(e)(4) or (g)(1)), all obligations of the Association under this Agreement shall terminate as of the effective date of the order, but vested rights of the Association and Executive shall not be affected.
4. Section 7(e) is amended to read in its entirety as follows:
Termination Pursuant to Order. If the Executive is removed and/or permanently prohibited from participating in the conduct of the Association's affairs by an order of the FHLBB or FSLIC issued under Section 5(d)(4)(D) or Section 5(d)(5)(A) of the Home Owners' Loan Act (12 U.S.C. 1464(d)(4)(D) and (d)(5)(A)) or under Section 407(g)(3) or Section 407(h) of the National Housing Act (12 U.S.C. 1730(g)(3) and (h)), all obligations of the Association under this Agreement shall terminate as of the effective date of the order, but vested rights of the Association and Executive shall not be affected.
Termination Pursuant to Order. If the Executive is removed and/or permanently prohibited form participating in the conduct of the Bank's affairs by an order of the Department of Banking or the FDIC all obligations of the Bank under this Agreement shall terminate as of the effective date of the order and Executive shall cease immediately the performance of his duties and responsibilities to the Bank under this Agreement, but any options granted to Executive pursuant to Section 4(c) hereof which have then vested shall not be affected.