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Clawback is a provision under which money thats already been paid out must be returned to the employer or the firm. This is a special contractual clause, used mostly in financial firms, for money paid for services to be returned under special circumstances or events as stated in the contract.
A clawback is a contractual provision whereby money already paid to an employee must be returned to an employer or benefactor, sometimes with a penalty. Many companies use clawback policies in employee contracts for incentive-based pay like bonuses. They are most often used in the financial industry.
This is a common term of the private equity agreement. To the extent that the general partner receives more than its fair share of profits, as determined by the carried interest, the general partner clawback holds the individual partners responsible for paying back the limited partners what they are owed.
This is a common term of the private equity agreement. To the extent that the general partner receives more than its fair share of profits, as determined by the carried interest, the general partner clawback holds the individual partners responsible for paying back the limited partners what they are owed.
The clawback policy must mandate recovery of incentive-based compensation from current and former executive officers who received such compensation during the three fiscal years preceding the date on which the listed company is required to prepare an accounting restatement to correct a material error.
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Clawback is a provision under which money thats already been paid out must be returned to the employer or the firm. This is a special contractual clause, used mostly in financial firms, for money paid for services to be returned under special circumstances or events as stated in the contract.
The term clawback or claw back refers to any money or benefits that have been given out, but are required to be returned (clawed back) due to special circumstances or events, such as the monies having been received as the result of a financial crime, or where there is a clawback provision in the executive compensation
What Is a Clawback? A clawback is a contractual provision whereby money already paid to an employee must be returned to an employer or benefactor, sometimes with a penalty. Many companies use clawback policies in employee contracts for incentive-based pay like bonuses.
In venture and private equity circles, a clawback obligation represents the general partners promise that the managers will not receive a greater share of the funds distributions than they bargained for.
Clawback provisions in private investment fund agreements are designed to require the general partner to return any excess distributions of carried interest if such distributions exceed the share of profits agreed upon among the investors and the general partner at the funds outset.

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