Common use of Termination Upon Acquisition Clause in Contracts

Termination Upon Acquisition. If the Company or a significant portion thereof is sold or merged or undergoes a change of control transaction prior to the Expiration Date, this Agreement shall automatically terminate as of the date of the completion of the transaction at issue. In such an event, the Company shall be obligated to pay Executive any remaining base salary, as specified in Section 3 of this agreement. This payment will be made in a single lump sum, subject to all payroll deductions as required by law. In the event that the company is acquired by Roxio, Inc. this Agreement will automatically terminate once the transaction is approved by the shareholders and the Company shall be obligated to pay Executive his base salary, prorated to the effective date of termination only.

Termination Upon Acquisition. If the Company or a significant portion thereof is sold or merged or undergoes a change of control transaction prior to the Expiration Date, this Agreement shall automatically terminate as of the date of the completion of the transaction at issue. In such an event, the Company shall be obligated to pay Executive any remaining base salary, as specified in Section 3 of this agreementAgreement. This payment will be made in a single lump sum, subject to all payroll deductions as required by law. In the event that the company is acquired by Roxio, Inc. this Agreement will automatically terminate once the transaction is approved by the shareholders and the Company shall be obligated to pay Executive his base salary, prorated to the effective date of termination only.