Common use of Reduction in Payments Clause in Contracts

Reduction in Payments. The amount of any payments of compensation and benefits to Executive under this Section 6 shall be reduced by the amount, if any, necessary to prevent any part of such payments from being treated as an "excess parachute payment" (as that term is defined for purposes of Section 280G(b)(1) of the Code and the related federal tax regulations); provided, however, that such reduction shall apply only if the reduction will result in payments to Executive under this Section 6 which have, after consideration of all applicable taxes, a greater after-tax benefit to Executive than the amount of such payments to Executive under this Section 6 computed without such reduction. The determination of relative benefits shall be made by the Company on the basis of information supplied by Executive.

Reduction in Payments. The amount of any payments of compensation and benefits to Executive under this Section 6 shall be reduced by the amount, if any, necessary to prevent any part of such payments from being treated as an "excess parachute payment" (as that term is defined for purposes of Section 280G(b)(1) of the Code and the related federal tax regulations); provided, however, however that such reduction shall apply only if the reduction will result in payments to Executive under this Section 6 which have, after consideration of all applicable taxes, a greater after-tax benefit to Executive than the amount of such payments to Executive under this Section 6 computed without such reduction. The determination of relative benefits shall be made by the Company on the basis of information supplied by Executive.