Company: CIO
Filing Date: 2025-09-08
Form Type: DEFM14A
Source: 0001193125-25-198418
Chunk: 94

Company: City Office REIT, Inc.
Filing Date: 2025-09-08
Form: DEFM14A
Chunk 94
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 the executive officer in connection with the Merger would be subject to an excise tax by reason of Sections 4999 and 280G of the Code, such benefits and payments will be reduced to the extent necessary to prevent any portion of the executive officer’s merger-related payments and benefits from becoming subject to such excise tax, but only if, by reason of that reduction, the net after-tax benefitreceived by the executive officer exceeds the net after-tax benefitthe executive officer would receive if no reduction was made. None of the employment agreements provide for indemnification or “gross-up”payments for golden parachute excise tax liabilities. Restrictive Covenants.Messrs. Maretic and Tylees’ employment agreements also contain customary restrictive covenants, including confidentiality, non-competition and non-solicitation provisions,that apply during the term of the executive officer’s employment with the Company and (1) for 6 months thereafter, or, if earlier, until a “Change in Corporate Control” (as defined in the applicable employment agreement). Mr. Farrar’s employment agreement, as amended, also includes similar provisions except that his non-competitionprovision applies for a period of 12 months after his employment for any reason. Value of Payments. For an estimate of the value of the severance payments and benefits described above that would become payable to each of our named executive officers upon a severance-qualifying termination, see the section entitled “-Quantification of Potential Payments to Our Named Executive Officers in Connection with the Merger” below. Indemnification of Our Directors and Officers The Merger Agreement provides that, the Surviving Entity will (and Parent will cause the Surviving Entity to) indemnify and hold harmless each individual who at the Effective Time is, or at any time prior to the Effective Time was, a director or officer of the Company (each an “Indemnified Party”), for any and all costs and expenses (including reasonable fees and expenses of legal counsel, which will be advanced as they are incurred; provided, that the Indemnified Party will have made an undertaking to repay such expenses if it is ultimately determined that such Indemnified Party was not entitled to indemnification under the Merger Agreement), judgments, fines, penalties or liabilities (including amounts paid in settlement or compromise) imposed upon or reasonably incurred by such Indemnified Party in connection with or arising out of any action, suit or legal proceeding (whether civil or criminal) in which such Indemnified