The Chefs’ Warehouse, Inc. 8-K


Exhibit
10.6



THE CHEFS’ WAREHOUSE, INC.


RESTRICTED SHARE AWARD AGREEMENT


Transaction Bonus Award Grant 


 


THIS TRANSACTION AWARD
AGREEMENT (this “Agreement”) is made and entered into as of the [__] day of [_______], 2015 (the “Grant Date”),
between The Chefs’ Warehouse, Inc., a Delaware corporation (together with its Subsidiaries, the “Company”), and
[NAME] (the “Grantee”). Capitalized terms not otherwise defined herein shall have the meaning ascribed to such terms
in The Chefs’ Warehouse, Inc. 2011 Omnibus Equity Incentive Plan (the “Plan”).


 


WHEREAS, the Company
has adopted the Plan, which permits the issuance of restricted shares of the Company’s common stock, par value $0.01 per
share (the “Common Stock”); and


 


WHEREAS, pursuant
to the Plan, the Committee responsible for administering the Plan has granted an award of restricted shares to the Grantee as provided
herein; and


 


WHEREAS, on January
12, 2015, the Company entered into a definitive agreement to purchase substantially all of the assets and certain equity interests
of Del Monte Capitol Meat Co. and its affiliated companies (the “Transaction”); and


 


WHEREAS, on the
date hereof the Company consummated the Transaction; and


 


WHEREAS, in
recognition of the extraordinary contribution that the Grantee has made in connection with the Transaction, the Committee responsible
for administering the Plan has granted a special award of shares to the Grantee as provided herein.


 


NOW, THEREFORE,
in consideration of the mutual covenants hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged, the parties hereto, intending to be legally bound hereby, agree as follows:


 


1.    Grant of Restricted
Shares.


 


 (a)    The
Company hereby grants to the Grantee an award (the “Award”) of [_____] shares of Common Stock of the Company (the
“Shares” or the “Restricted Shares”) on the terms and conditions set forth in this Agreement and as otherwise
provided in the Plan.


 


 (b)    The Grantee’s rights with respect to the Award shall remain forfeitable
at all times prior to the dates on which the restrictions shall lapse in accordance with Sections 2 and 3 hereof.


 


2.    Terms and Rights
as a Stockholder.


 


 (a)    Except
as otherwise provided herein and subject to such other exceptions as may be determined by the Committee in its discretion, the
“Restricted Period” shall expire on the closing date of the Proposed Transaction. In the event that the Proposed Transaction
is not consummated or abandoned, this Grant shall be void ab initio and without further force and effect. Notwithstanding the
foregoing, one-half of the Shares subject to this Grant may not be transferred until the second anniversary of the closing of
the Proposed Transaction and the remaining half may not be transferred until the fourth anniversary of the Proposed Transaction.


 






    	 



    	 



    

 


 (b)    The
Grantee shall have all rights of a stockholder with respect to the Restricted Shares, including the right to receive dividends
and the right to vote such Shares, subject to the following restrictions:


 


 (i)    the
Grantee shall not be entitled to the removal of the restricted legends or restricted account notices or to delivery of the stock
certificate (if any) for any Shares until the expiration of the Restricted Period as to such Shares and the fulfillment of any
other restrictive conditions set forth herein;


 


 (ii)    none of the Restricted
Shares may be sold, assigned, transferred, pledged, hypothecated or otherwise encumbered or disposed of during the Restricted
Period as to such Shares and until the fulfillment of any other restrictive conditions set forth herein; and


 


 (iii)    except as
otherwise determined by the Committee at or after the grant of the Award hereunder, any Restricted Shares as to which the applicable
“Restricted Period” has not expired (or other restrictive conditions have not been met) shall be forfeited, and all
rights of the Grantee to such Shares shall terminate, without further obligation on the part of the Company, unless the Grantee
remains in the continuous employment (or other service-providing capacity) of the Company for the entire Restricted Period applicable
to such Shares.


 


 (c)    Notwithstanding
the foregoing, the Restricted Period shall automatically terminate as to all Restricted Shares awarded hereunder (as to which
such Restricted Period has not previously terminated) in the following circumstances:


  


(i)    upon
the termination of the Grantee’s employment from the Company which results from the Grantee’s death or Disability;


 


(ii)    immediately
prior to a Change in Control; provided, that if this Award is assumed in the Change in Control transaction under the terms set
forth in Section 13.3 of the Plan, the Restricted Period shall run according to the schedule set forth in Section 2(a)
hereof except that in the event of the termination of the Grantee’s employment within one year following the Change
in Control, if the Grantee’s employment with the Company (or its successor) is terminated by (A) the Grantee for Good Reason,
or (B) the Company for any reason other than for Cause, the Restricted Period shall terminate with respect to 100% of the Shares.


 


Any Shares, any other securities of the Company
and any other property (except for cash dividends) distributed with respect to the Restricted Shares shall be subject to the same
restrictions, terms and conditions as such Restricted Shares.


 


3.    Termination of Restrictions.
Following the termination of the Restricted Period, and provided that all other restrictive conditions set forth herein have been
met, all restrictions set forth in this Agreement or in the Plan relating to such portion or all, as applicable, of the Restricted
Shares shall lapse as to such portion or all, as applicable, of the Restricted Shares, and a stock certificate for the appropriate
number of Shares, free of the restrictions and restrictive stock legend, shall, upon request, be delivered to the Grantee or Grantee’s
beneficiary or estate, as the case may be, pursuant to the terms of this Agreement (or, in the case of book-entry Shares, such
restrictions and restricted stock legend shall be removed from the confirmation and account statements delivered to the Grantee
in book-entry form).


 






    	 



    	 



    

 


4.    Delivery of Shares.


 


 (a)    As of the date hereof,
certificates representing the Restricted Shares may be registered in the name of the Grantee and held by the Company or transferred
to a custodian appointed by the Company for the account of the Grantee subject to the terms and conditions of the Plan and shall
remain in the custody of the Company or such custodian until their delivery to the Grantee or Grantee’s beneficiary or estate
as set forth in Sections 4(b) and (c) hereof or their forfeiture or reversion to the Company as set forth in Section
2(b) hereof. The Committee may, in its discretion, provide that the Grantee’s ownership of Restricted Shares prior to
the lapse of any transfer restrictions or any other applicable restrictions shall, in lieu of such certificates, be evidenced by
a “book entry” (i.e., a computerized or manual entry) in the records of the Company or its designated agent in accordance
with and subject to the applicable provisions of the Plan.


 


 (b)    If certificates shall
have been issued as permitted in Section 4(a) above, certificates representing Restricted Shares in respect of which the
Restricted Period has lapsed pursuant to this Agreement shall be delivered to the Grantee upon request following the date on which
the restrictions on such Restricted Shares lapse.


 


 (c)    If certificates shall
have been issued as permitted in Section 4(a) above, certificates representing Restricted Shares in respect of which the
Restricted Period lapsed upon the Grantee’s death shall be delivered to the executors or administrators of the Grantee’s
estate as soon as practicable following the receipt of proof of the Grantee’s death satisfactory to the Company.


 


 (d)    Any certificate representing
Restricted Shares shall bear (and confirmation and account statements sent to the Grantee with respect to book-entry Shares may
bear) a legend in substantially the following form or substance:


 


THE SHARES OF STOCK REPRESENTED BY THIS
CERTIFICATE MAY NOT BE SOLD, TRANSFERRED, PLEDGED OR OTHERWISE DISPOSED OF WITHOUT REGISTRATION UNDER THE SECURITES ACT OF 1933
AND UNDER APPLICABLE BLUE SKY LAW OR UNLESS SUCH SALE, TRANSFER, PLEDGE OR OTHER DISPOSITION IS EXEMPT FROM REGISTRATION THEREUNDER.


 


THIS CERTIFICATE AND THE SHARES OF STOCK
REPRESENTED HEREBY ARE SUBJECT TO THE TERMS AND CONDITIONS (INCLUDING FORFEITURE AND RESTRICTIONS AGAINST TRANSFER) CONTAINED IN
THE CHEFS’ WAREHOUSE, INC. 2011 OMNIBUS EQUITY INCENTIVE PLAN (THE “PLAN”) AND THE RESTRICTED SHARE AWARD AGREEMENT
(THE “AGREEMENT”) BETWEEN THE OWNER OF THE RESTRICTED SHARES REPRESENTED HEREBY AND THE CHEFS’ WAREHOUSE, INC.
(THE “COMPANY”). THE RELEASE OF SUCH SHARES FROM SUCH TERMS AND CONDITIONS SHALL BE MADE ONLY IN ACCORDANCE WITH THE
PROVISIONS OF THE PLAN AND THE AGREEMENT AND ALL OTHER APPLICABLE POLICIES AND PROCEDURES OF THE COMPANY, COPIES OF WHICH ARE ON
FILE AT THE COMPANY.


 


5.    Effect of Lapse of
Restrictions. To the extent that the Restricted Period applicable to any Restricted Shares shall have lapsed, the Grantee
may receive, hold, sell or otherwise dispose of such Shares free and clear of the restrictions imposed under the Plan and this
Agreement upon compliance with applicable legal requirements.


 






    	 



    	 



    

 


6.    No Right to Continued
Employment. This Agreement shall not be construed as giving the Grantee the right to be retained in the employ of the Company,
and subject to any other written contractual arrangement between the Company and the Grantee, the Company may at any time dismiss
the Grantee from employment, free from any liability or any claim under the Plan.


 


7.    Adjustments.
The Committee may make equitable and proportionate adjustments in the terms and conditions of, and the criteria included in, this
Award in recognition of unusual or nonrecurring events (and shall make adjustments for the events described in Section 4.2
of the Plan) affecting the Company or the financial statements of the Company or of changes in applicable laws, regulations,
or accounting principles in accordance with the Plan whenever the Committee determines that such events affect the Shares. Any
such adjustments shall be effected in a manner that precludes the material enlargement of rights and benefits under this Award.


 


8.    Amendment to Award.
Subject to the restrictions contained in the Plan, the Committee may waive any conditions or rights under, amend any terms of,
or alter, suspend, discontinue, cancel or terminate the Award, prospectively or retroactively; provided that any such waiver,
amendment, alteration, suspension, discontinuance, cancellation or termination that would materially and adversely affect
the rights of the Grantee or any holder or beneficiary of the Award shall not to that extent be effective without the consent
of the Grantee, holder or beneficiary affected.


 


9.    Withholding of Taxes.
If the Grantee makes an election under Section 83(b) of the Code with respect to the Award, the Award made pursuant to this Agreement
shall be conditioned upon the prompt payment to the Company of any applicable withholding obligations or withholding taxes by
the Grantee (“Withholding Taxes”). Failure by the Grantee to pay such Withholding Taxes will render this Agreement
and the Award granted hereunder null and void ab initio and the Restricted Shares granted hereunder will be immediately
cancelled. If the Grantee does not make an election under Section 83(b) of the Code with respect to the Award, upon the lapse
of the Restricted Period with respect to any portion of Restricted Shares (or property distributed with respect thereto), the
Company may satisfy the required Withholding Taxes as set forth by Internal Revenue Service guidelines for the employer’s
minimum statutory withholding with respect to the Grantee and issue vested shares to the Grantee without restriction. The Company
may satisfy the required Withholding Taxes by withholding from the Shares included in the Award that number of whole shares necessary
to satisfy such taxes as of the date the restrictions lapse with respect to such Shares based on the Fair Market Value of the
Shares, or by requiring the Grantee to remit to the Company the proper Withholding Taxes in cash.


 


10.    Plan Governs.
The Grantee hereby acknowledges receipt of a copy of (or electronic link to) the Plan and agrees to be bound by all the terms
and provisions thereof. The terms of this Agreement are governed by the terms of the Plan, and in the case of any inconsistency
between the terms of this Agreement and the terms of the Plan, the terms of the Plan shall govern.


 


11.    Severability.
If any provision of this Agreement is, or becomes, or is deemed to be invalid, illegal, or unenforceable in any jurisdiction or
as to any Person or the Award, or would disqualify the Plan or Award under any laws deemed applicable by the Committee, such provision
shall be construed or deemed amended to conform to the applicable laws, or if it cannot be construed or deemed amended without,
in the determination of the Committee, materially altering the intent of the Plan or the Award, such provision shall be stricken
as to such jurisdiction, Person or Award, and the remainder of the Plan and Award shall remain in full force and effect.


 






    	 



    	 



    

 


12.    Notices. All
notices required to be given under this Award shall be deemed to be received if delivered or mailed as provided for herein, to
the parties at the following addresses, or to such other address as either party may provide in writing from time to time.


 





	 	To the Company:	 	The Chefs’
Warehouse, Inc.
	 	 	100 East Ridge Road
	 	 	Ridgefield, CT 06877
	 	 	Attn: Corporate Secretary



 


	 	To the Grantee:	 	The address
then maintained with respect to the Grantee in the Company’s records.





 


13.    Governing Law.
The validity, construction and effect of this Agreement shall be determined in accordance with the laws of the State of Delaware
without giving effect to conflicts of laws principles.


 


14.    Successors in Interest.
This Agreement shall inure to the benefit of and be binding upon any successor to the Company. This Agreement shall inure to the
benefit of the Grantee’s legal representatives. All obligations imposed upon the Grantee and all rights granted to the Company
under this Agreement shall be binding upon the Grantee’s heirs, executors, administrators and successors.


 


15.    Resolution of Disputes.
Any dispute or disagreement which may arise under, or as a result of, or in any way related to, the interpretation, construction
or application of this Agreement shall be determined by the Committee. Any determination made hereunder shall be final, binding
and conclusive on the Grantee and the Company for all purposes.


 


IN WITNESS WHEREOF,
the parties have caused this Restricted Share Award Agreement to be duly executed effective as of the day and year first above
written.


 





	 	THE CHEFS’ WAREHOUSE, INC.
	 	 






	 	By: 	 



 


	 	GRANTEE: