Company: CPSS
Filing Date: 2025-10-28
Form Type: DEF 14A
Source: 0001683168-25-007815
Chunk: 53

Company: CONSUMER PORTFOLIO SERVICES, INC.
Filing Date: 2025-10-28
Form: DEF 14A
Chunk 53
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 of exercise (the closing price reported by Nasdaq) and the exercise price of the option. |

Pension Plans

The Company’s officers do not participate in any pension or retirement
plan, other than a tax-qualified defined contribution plan (commonly known as a 401(k) plan).

Potential Payments Upon Termination or Change of Control

This section provides information regarding payments and benefits to the
named executive officers that would be triggered by termination of the officer’s employment (including resignation, or voluntary
termination; severance, or involuntary termination; and retirement) or a change of control of the Company.

Each of the named executive officers is an at-will employee and, as such,
does not have an employment contract. In addition, if the officer’s employment terminates for any reason other than a change of
control of the Company, any unvested stock options are terminated, and vested options become subject to accelerated expiration: ordinarily
three months following separation from service, or twelve months in the case of disability, retirement or death. Accordingly, there are
no payments or benefits that are triggered by any termination event (including resignation and severance) other than in connection with
a change of control of the Company.

Benefits Triggered by Change of Control or Termination after Change of Control

Our stock option plans provide that each employee of ours who holds outstanding
unexpired options under our stock option may have the right to exercise such options following a change of control of the Company, without
regard to the date such option would first be exercisable. Each of the named executive officers holds such options. The “acceleration”
of options is mandatory following certain changes of control, and subject to the discretion of the Compensation Committee following certain
others. Acceleration is mandatory in the event of (i) the sale, or other disposition of substantially all of the Company’s
assets, or (ii) a merger or similar transaction in which shareholders of the Company hold less than 50% of the shares of the surviving
entity; provided, however, that acceleration following a merger or similar transaction is mandatory only if the holder suffers a Qualifying
Termination (defined below) within one year following the transaction, or if the surviving entity does not provide the holder with an
equivalent award. Acceleration is also mandatory if a holder suffers a Qualifying Termination within one year following (iii) a change
within a three-year period in the membership of a majority of the Board (excluding changes recommended by the Board), or (