Common use of Division of Liabilities Clause in Contracts

Division of Liabilities. Effective on the Distribution Date, (i) Company shall retain and shall be responsible for all accrued liabilities (whether vested or unvested, and whether funded or unfunded) for vacation and sick leave in respect of all Company Individuals as of the Distribution Date, and (ii) Lakes shall assume and shall be responsible for all accrued liabilities (whether vested or unvested, and whether funded or unfunded) for vacation and sick leave in respect of all Lakes Individuals as of the Distribution Date. From and after the Distribution Date, (x) Company shall be solely responsible for the payment to Company Individuals of vacation or sick leave accrued after the Distribution Date and (y) Lakes shall be solely responsible for the payment to Lakes Individuals of vacation or sick leave accrued after the Distribution Date.