Common use of Post-Distribution Reciprocal Service Crediting Clause in Contracts

Post-Distribution Reciprocal Service Crediting. Each of Temple-Inland, Guaranty and Forestar (acting directly or through their respective Affiliates) shall cause each of the Temple-Inland Service Plans, Guaranty Service Plans and Forestar Service Plans, respectively, to provide the following service crediting rules effective as of the Relevant Time: (i) If a Temple-Inland Employee, Guaranty Employee or Forestar Employee, respectively, who participates in any of the Temple-Inland Service Plans, Guaranty Service Plans or Forestar Service Plans, respectively, directly transfers employment among any of the Temple-Inland Group, Guaranty Group or Forestar Group prior to the first anniversary of the Distribution Date (the “Service Crediting Date”), then such employee’s service with the group employing the employee immediately before the transfer shall be recognized for purposes of eligibility, vesting and level of benefits under the appropriate Temple-Inland Service Plans, Guaranty Service Plans and Forestar Service Plans, in each case to the same extent as such employee’s service was recognized under the corresponding service plans immediately before the transfer; provided, that, such service shall not be recognized to the extent that such recognition would result in the duplication of benefits. (ii) If a Temple-Inland Employee, Guaranty Employee or Forestar Employee, respectively, who participates in any of the Temple-Inland Service Plans, Guaranty Service Plans or Forestar Service Plans, respectively, either transfers employment among any of the Temple-Inland Group, Guaranty Group or Forestar Group on or after the Service Crediting Date or does not directly transfer employment among such group members, then, except to the extent required by applicable Law, such employee’s service with the group employing the employee immediately before the transfer shall not be recognized for any purpose under the service plans of the post-transfer employer.