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Employee Retention Credit Agreement
"I need an Employee Retention Credit Agreement for our senior software developer who we want to retain during our upcoming merger, with a retention bonus of £50,000 payable in two installments between January 2025 and December 2025, subject to continued employment and meeting specific performance targets."
1. Parties: Identification of employer and employee
2. Background: Context of the retention agreement and employment relationship
3. Definitions: Key terms used throughout the agreement including Retention Period, Retention Payment, and other defined terms
4. Retention Period: Specification of the duration of the retention commitment and any relevant dates
5. Retention Payment: Details of the retention bonus amount, structure, and payment timing
6. Payment Conditions: Specific conditions that must be met for the employee to receive the retention payment
7. Termination Provisions: Circumstances under which the agreement can be terminated and consequences of termination
8. General Provisions: Standard contractual provisions including governing law, entire agreement, and variation
1. Confidentiality: Terms regarding the treatment and protection of confidential information during and after the retention period
2. Non-Competition: Restrictions on working for competitors during and after the retention period, applicable for senior employees
3. Performance Criteria: Specific performance targets and metrics that must be met in addition to retention requirements
4. Tax Provisions: Specific provisions regarding the tax treatment of retention payments and responsibilities
5. Dispute Resolution: Specific procedures for handling disputes related to the retention agreement
1. Schedule 1 - Payment Structure: Detailed breakdown of retention payments, including amounts, dates, and calculation methods
2. Schedule 2 - Performance Metrics: Detailed performance criteria and measurement methods if payment is linked to performance
3. Schedule 3 - Existing Employment Terms: Reference to and integration with existing employment contract terms
4. Schedule 4 - Confidentiality Obligations: Detailed list of confidential information and specific obligations regarding their protection
Authors
Business Day
Confidential Information
Effective Date
Employer
Employee
Employment Agreement
Good Leaver
Bad Leaver
Group
Payment Date
Performance Criteria
Retention Bonus
Retention Credit
Retention Period
Service
Termination Date
Trigger Event
Vesting Date
Working Hours
Performance Metrics
Performance Period
Performance Targets
Qualifying Conditions
Success Criteria
Installment Date
Payment Schedule
Qualifying Period
Stage Payment
Vesting Schedule
Retention Payment
Payment Terms
Conditions for Payment
Qualifying Period
Termination
Tax Treatment
Confidentiality
Entire Agreement
Governing Law
Performance Criteria
Clawback
Non-Competition
Non-Solicitation
Data Protection
Force Majeure
Assignment
Severability
Variation
Notices
Change of Control
Good Leaver/Bad Leaver Provisions
Bonus Arrangements
Share Options
Restrictive Covenants
Intellectual Property
Integration with Existing Employment Agreement
Dispute Resolution
Warranty and Representation
Set-off Rights
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