Common use of Termination as a Result of Disability Clause in Contracts

Termination as a Result of Disability. In the event of any termination of this Agreement pursuant to Section 7.2 hereof, Executive shall receive from DMGI in a lump-sum payment due within ten (10) business days of the effective date of termination, the base salary at the rate then in effect for whatever time period is remaining under the term of this Agreement or for six (6) months, whichever amount is lesser. In the event of a disability termination pursuant to Section 7.2 hereof, Executive will not be eligible to receive any ongoing benefits subsequent to the effective date of termination nor will there be any proration of any potential annual incentive bonus under Section 6.3 hereof for the fiscal year in which such termination occurs.

Appears in 3 contracts

Sources: Employment Agreement (Digital Music Group, Inc.), Employment Agreement (Digital Music Group, Inc.), Employment Agreement (Digital Music Group, Inc.)