Company: ECIA
Filing Date: 2025-07-14
Form Type: DEF 14A
Source: 0001079973-25-001145
Chunk: 20

Company: ENCISION INC
Filing Date: 2025-07-14
Form: DEF 14A
Chunk 20
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 any incremental expense, or reduced expense, that occurs as a result of raising capital for such purpose shall
be excluded as an expense, or as income, from the pre-tax GAAP income calculation,

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45% of the bonus pool will
be allocated to the CEO.

55% of the bonus pool will
be allocated to members of the Encision Leadership Team and allocated at the direction of the CEO.

Mr. Trudel will be entitled
to receive a special cash bonus of $50,000 in the event that we are acquired during the term of Mr. Trudel's employment. In addition,
the Employment Agreement provides that Mr. Trudel is eligible to participate in our standard benefit plans and programs.

Under the Employment Agreement,
if we terminate Mr. Trudel without cause or Mr. Trudel resigns for "good reason" (as defined in the Employment Agreement), Mr.
Trudel will be entitled to receive a severance amount (up to one times his Base Salary) based upon the length of time Mr. Trudel was employed
by us prior to the termination. Such severance will be paid out ratably over the twelve months following the termination. However, if
the termination is in connection with the closing of a Change of Control (as defined in our 2014 Equity Incentive Plan), then the severance
will be paid in one lump sum. No severance will be paid if the term of the Employment Agreement expires or is not renewed.

The Employment Agreement
requires Mr. Trudel to maintain the confidentiality of our proprietary information. The Employment Agreement also includes typical non-competition
and non-solicitation provisions that Mr. Trudel must comply with for a period of one year after termination of his employment with us.

Equity Incentive Awards

On August 13, 2014, our
shareholders approved the adoption of the 2014 Equity Incentive Plan (the “2014 Plan”) providing for awards of stock options,
stock appreciation rights, restricted stock, restricted stock units, performance units, and other stock-based awards to our employees
and directors. The 2014 Plan permits the granting of incentive stock options meeting the requirements of Section 422 of the Internal Revenue
Code of 1986, as amended, and also nonqualified stock options which do not meet the requirements of Section 422. As approved by the shareholders,
we reserved 1,100,000 shares of our common stock for issuance