Exhibit 10.3


 





RESTRICTED
STOCK AWARD AGREEMENT UNDER THE FRESH MARKET, INC. 2010 OMNIBUS INCENTIVE COMPENSATION PLAN, dated as of [DATE], between
The Fresh Market, Inc. (the “Company”), a Delaware corporation, and [NAME]. 


 


This Restricted Stock Award Agreement (the
“Award Agreement”) sets forth the terms and conditions of an award of [● shares (the “Award”)
of the Company’s common stock, $0.01 par value per share (each, a “Share”), that are being granted to
you [on the date hereof] (such date, the “Grant Date”), that are subject to the terms and conditions specified
herein (“Restricted Shares”), and that are granted to you under The Fresh Market, Inc. 2010 Omnibus Incentive
Compensation Plan (the “Plan”).


 


THIS AWARD IS SUBJECT TO ALL TERMS AND CONDITIONS
OF THE PLAN AND THIS AWARD AGREEMENT, INCLUDING THE DISPUTE RESOLUTION PROVISIONS SET FORTH IN SECTION 11 OF THIS AWARD AGREEMENT.
BY SIGNING YOUR NAME BELOW, YOU SHALL HAVE CONFIRMED YOUR ACCEPTANCE OF THE TERMS AND CONDITIONS OF THIS AWARD AGREEMENT.


 


SECTION
1. The Plan. This Award is made pursuant to the Plan, all the terms of which are hereby
incorporated in this Award Agreement. In the event of any conflict between the terms of the Plan, on the one hand, and the terms
of this Award Agreement or any other arrangement between you and the Company or any of its Affiliates, including any policy of
the Company or any of its Affiliates (any such arrangement, a “Company Arrangement”), on the other hand, the
terms of the Plan shall govern. Except as set forth in Section 11 of this Award Agreement, in the event of any conflict between
the terms of this Award Agreement and the terms of any other Company Arrangement, the terms of such Company Arrangement shall govern.


 


SECTION
2. Definitions. Capitalized terms used in this Award Agreement that are not defined in
this Award Agreement have the meanings as used or defined in the Plan. As used in this Award Agreement, the following terms have
the meanings set forth below:


 


(a)
“Cause” has the meaning set forth in any other Company Arrangement or, if
more favorable to you, means the occurrence of any one of the following:


 


(i)
your willful and continued failure to perform substantially your duties with the Company or any
of its Affiliates (other than any such failure resulting from incapacity due to physical or mental illness);


 


(ii)
your willful engaging in (A) gross misconduct that is materially and demonstrably injurious to
the Company or any of its Affiliates or (B) illegal conduct;


 


(iii)
your willful and material breach of any Company Arrangement;


 


(iv)
your willful violation of any material provision of the Company’s Code of Business Conduct
and Ethics; or


 






    	1



    	 



    
 


(v)
your willful failure to cooperate with an investigation by any governmental authority.


 


(b)
“Disability” means you are unable to engage in any substantial gainful activity
by reason of any medically determinable sickness or bodily injury that can be expected to result in death or which has lasted or
can be expected to last for a continuous period of not less than 12 months, and the permanence and degree of which shall be supported
by a specific diagnosis made by a Physician and supported by objective medical evidence satisfactory to the Committee. 


 


(c)
“Good Reason” means the occurrence of any of the events or circumstances set
forth below without your express prior written consent and other than as a result of your Disability: 


 


(i)
the failure of the Company to pay to you any material compensation when due; or


 


(ii)
any reduction of your base salary, other than a reduction by no more than 10% within any two-year
period that similarly affects substantially all similarly situated employees of the Company and its Affiliates, and other than
any such reduction that results from your demotion into a position that you occupied within the 18 months immediately prior to
such demotion.


  


Your right to terminate employment
for Good Reason shall not be affected by your incapacity due to physical or mental illness. Termination of your employment for
Good Reason shall be effectuated by giving the Company written notice (“Notice of Termination for Good Reason”), not
later than 90 days following the date that you would reasonably be expected to be aware of the occurrence of the circumstance that
constitutes Good Reason, setting forth in reasonable detail the specific conduct of the Company that constitutes Good Reason. The
Company shall be entitled, during the 30-day period following receipt of a Notice of Termination for Good Reason, to cure the circumstances
that gave rise to Good Reason, provided that the Company shall be entitled to waive its right to cure or reduce the cure period
by delivery of written notice to that effect to the Participant (such 30-day or shorter period, the “Cure Period”).
If, during the Cure Period, such circumstance is remedied, you shall not be permitted to terminate employment for Good Reason as
a result of such circumstance. If, at the end of the Cure Period, the circumstance that constitutes Good Reason has not been remedied,
you shall be entitled to terminate employment for Good Reason during the 180-day period that follows the end of the Cure Period
(the “Termination Period”). If you do not terminate employment during the Termination Period, you shall not be permitted
to terminate employment for Good Reason as a result of such circumstance.


  


(d)
“Physician” means a person legally licensed, in the jurisdiction in which
care is given, to practice medicine, psychiatry, psychology, psychotherapy or other legally qualified practice of a healing art
that we are required by law to recognize, who is practicing within the scope of that license and is neither you nor a member of
your immediate family. 


 






    	2



    	 



    
 


(e)
“Vesting Date” means the date on which your rights with respect to all or
a portion of the Restricted Shares subject to this Award Agreement may become fully vested, and the restrictions set forth in this
Award Agreement may lapse, as provided in Section 3 of this Award Agreement.


 


SECTION
3. Vesting and Delivery. (a)Normal Vesting. On each Vesting Date set forth below,
your rights with respect to the number of Restricted Shares that corresponds to such Vesting Date, as specified in the chart below,
shall become vested and such Restricted Shares shall become nonforfeitable and transferable, provided that you must be continuously
employed by the Company or any of its Affiliates through the relevant Vesting Date, except as otherwise determined by the Committee
in its sole discretion or as otherwise provided in this Section 3 or in any other Company Arrangement. 


 


	Vesting Date	Percentage of Total Restricted Shares Eligible to Vest	Actual Number of Restricted Shares Eligible to Vest
	[Date]	[l]%	[l]
	[Date]	[l]%	[l]
	[Date]	[l]%	[l]
	[Date]	[l]%	[l]


 


(b)
Change of Control. In the event of a Change of Control following which (i) the Restricted
Shares are not assumed by, or converted into, equivalent awards of the acquiring, resulting or successor corporation (as the case
may be) or (ii) the Restricted Shares are assumed by, or converted into, equivalent awards of the acquiring, resulting or successor
corporation (as the case may be) and within twenty-four months following such Change of Control your employment is terminated without
Cause or you terminate employment for Good Reason, your rights with respect to any then unvested Restricted Shares awarded pursuant
to this Award Agreement shall become vested as of immediately prior to the Change of Control or on such date of termination, as
applicable, and such Restricted Shares shall become nonforfeitable and transferable. 


 


(c)
Death. In the event of your death while employed by the Company or any
of its Affiliates, your rights with respect to any then unvested Restricted Shares
awarded pursuant to this Award Agreement shall become vested in your estate or in any person who acquired such Restricted
Shares by bequest or inheritance, and such Restricted Shares shall become nonforfeitable and transferable. 


 






    	3



    	 



    
 


(d)
Disability. In the event your employment with the Company or any of its Affiliates terminates
due to Disability, your rights with respect to any then unvested Restricted Shares awarded
pursuant to this Award Agreement shall become vested in you or your guardian or legal representative, as applicable, as
of such termination, and such Restricted Shares shall become nonforfeitable and transferable.


 


(e)
Delivery of Shares. On or following the date of this Award Agreement, the Restricted Shares
subject to this Award Agreement shall be evidenced in such manner as the Company shall determine. Any certificate or book entry
credit issued or entered in respect of such Restricted Shares shall be registered in your name and shall bear an appropriate legend
referring to the terms, conditions and restrictions applicable to the Restricted Shares, substantially in the following form:


 


“The transferability of the
shares of stock represented hereby is subject to the terms and conditions (including forfeiture) of The Fresh Market, Inc. 2010
Omnibus Incentive Compensation Plan and an Award Agreement, as well as the terms and conditions of applicable law. Copies of such
Plan and Agreement are on file at the offices of The Fresh Market, Inc.”


 


The Company shall require that the
certificates or book entry credits evidencing title of the Restricted Shares be held in custody by the Company until such time,
if any, as your rights with respect to the Restricted Shares have vested, and the Company may require that, as a condition of your
receiving the Restricted Shares you shall have delivered to the Company a stock power, endorsed in blank, relating to such Restricted
Shares. To the extent that your rights with respect to the Restricted Shares become vested, the legend set forth above shall be
removed from the certificates or book entry credits evidencing such Shares.


 


SECTION
4. Forfeiture of Restricted Shares. Unless the Committee determines otherwise, and except
as provided in Section 3 or in any other Company Arrangement, if your rights with respect to any Restricted Shares awarded pursuant
to this Award Agreement have not become vested prior to the date on which your employment with the Company and its Affiliates terminates,
your rights with respect to such Restricted Shares shall immediately terminate, and you shall be entitled to no further payments
or benefits with respect thereto.


 


SECTION
5. Voting Rights; Dividends. Prior to the date on which your rights with respect to a
Restricted Share have become vested, you shall be entitled to exercise voting rights with respect to such Restricted Share and
shall be entitled to receive dividends or other distributions with respect thereto.


 


SECTION
6. Non-Transferability of Restricted Shares . Unless otherwise provided by the Committee
in its discretion, Restricted Shares may not be sold, assigned, alienated, transferred, pledged, attached or otherwise encumbered
except as provided in Section 9(c) of the Plan. Any purported sale, assignment, alienation, transfer, pledge, attachment or other
encumbrance of a Restricted Share in violation of the provisions of this Section 6 and Section 9(c) of the Plan shall be void.


 






    	4



    	 



    
 


SECTION
7. Section 83(b) Election, Withholding, Consents and Legends. (a) Section 83(b) Election.
You are authorized, if you so choose, to file an election with the Internal Revenue Service pursuant to Section 83(b) of the Code
with respect to all or a portion of the Restricted Shares. You agree that if you make such Section 83(b) election, you shall provide
a copy of such election to the Company not later than ten days after filing the election with the Internal Revenue Service or other
governmental authority. The Company has made no recommendation to you with respect to the advisability of making any such election.
You acknowledge that it is your sole responsibility to seek advice regarding Section 83(b) of the Code and to determine the effect
of making or failing to make such election.


 


(b)
Withholding. The delivery of Shares pursuant to Section 3(e) of this Award Agreement is
conditioned on satisfaction of any applicable withholding taxes in accordance with Section 9(l) of the Plan. In the event that
there is withholding tax liability in connection with the vesting of Restricted Shares, you may satisfy, in whole or in part, any
withholding tax liability at the minimum statutory rate by having the Company withhold from the number of Restricted Shares you
would be entitled to receive, a number of Shares having a Fair Market Value equal to such withholding tax liability.


 


(c)
Consents. Your rights in respect of the Restricted Shares are conditioned on the receipt
to the full satisfaction of the Committee of any required consents that the Committee may determine to be necessary or advisable
(including your consenting to the Company’s supplying to any third-party recordkeeper of the Plan such personal information
as the Committee deems advisable to administer the Plan).


 


(d)
Legends. The Company may affix to certificates for Shares issued pursuant to this Award
Agreement any legend that the Committee determines to be necessary or advisable (including to reflect any restrictions to which
you may be subject under any applicable securities laws). The Company may advise the transfer agent to place a stop order against
any legended Shares.


 


SECTION
8. Recoupment. You acknowledge and agree that the Company
has adopted The Fresh Market, Inc.’s Compensation Recoupment Policy (the “Recoupment
Policy”). You acknowledge and agree that you have either received a copy of the Recoupment Policy in effect as of the date
of this Award Agreement or, if you have not received a copy, that you have the ability to request and receive a copy of the Recoupment
Policy prior to accepting this Award Agreement. You acknowledge and agree that the Recoupment Policy is subject to change after
the Grant Date as required by applicable law, and that this Award,
the Restricted Shares and the shares or other property, including cash proceeds therefrom, may, as a result of such change,
be subject to the Recoupment Policy. 


 


SECTION
9. Successors and Assigns of the Company. The terms and conditions of this Award Agreement
shall be binding upon and shall inure to the benefit of the Company and its successors and assigns.


 


SECTION
10. Committee Discretion. The Committee shall have discretion with respect to any actions
to be taken or determinations to be made in connection with this Award Agreement, and its determinations shall be final, binding
and conclusive.


 






    	5



    	 



    
 


SECTION
11. Dispute Resolution. (a) In General. All disputes, controversies and claims
arising between you and the Company concerning the subject matter of this Award Agreement or the Plan shall be settled by arbitration
in accordance with the rules and procedures of the American Arbitration Association in effect at the time that the arbitration
begins, to the extent not inconsistent with this Award Agreement or the Plan. The location of the arbitration shall be Greensboro,
North Carolina or such other place as the parties to the dispute may mutually agree. In rendering any award or ruling, the arbitrator
or arbitrators shall determine the rights and obligations of the parties according to the substantive and procedural laws of the
State of Delaware. The arbitration shall be conducted by an arbitrator selected in accordance with the aforesaid arbitration procedures.
Any arbitration pursuant to this Section 11(a) shall be final and binding on the parties, and judgment upon any award rendered
in such arbitration may be entered in any court, Federal or state, having jurisdiction. The parties to any dispute shall each pay
their own costs and expenses (including arbitration fees and attorneys’ fees) incurred in connection with arbitration proceedings
and the fees of the arbitrator shall be paid in equal amounts by the parties. Nothing in this Section 11(a) shall preclude you
or the Company from seeking temporary injunctive relief from any Federal or state court located within the County of Guilford,
North Carolina in connection with or as a supplement to an arbitration hereunder.


 


(b)
Waiver of Jury Trial. You and the Company hereby waive, to the fullest extent permitted
by applicable law, any right either of you may have to a trial by jury in respect to any litigation directly or indirectly arising
out of, under or in connection with this Award Agreement or the Plan. 


 


(c)
Confidentiality. You hereby agree to keep confidential the existence of, and any information
concerning, a dispute described in this Section 11, except that you may disclose information concerning such dispute to the court
that is considering such dispute or to your legal counsel (provided that such counsel agrees not to disclose any such information
other than as necessary to the prosecution or defense of the dispute).


 


SECTION
12. Notice. All notices or other communications required or permitted under the terms
of this Award Agreement shall be made in writing and all such notices or communications shall be deemed to have been duly given
when delivered or (unless otherwise specified) mailed by United States certified or registered mail, return receipt requested,
postage prepaid, addressed as follows:


 


	
        If to the Company:

         

         

         

         

         
	
        The Fresh Market, Inc.

        628 Green Valley Road, Suite 500

        Greensboro, North Carolina 27408

         

        Attention: General Counsel

         

	If to you:	
        To your address as most recently supplied to the Company and
        set forth in the Company’s records

         



 






    	6



    	 



    
 


or to such other address as any party may have furnished to
the other in writing in accordance herewith, except that notices of change of address shall be effective only upon receipt.


 


SECTION
13. Governing Law. This Award Agreement shall be deemed to be made in the State of Delaware,
and the validity, construction and effect of this Award Agreement in all respects shall be determined in accordance with the laws
of the State of Delaware, without giving effect to the conflict of law principles thereof.


 


SECTION
14. Headings and Construction. Headings are given to the Sections and subsections of this
Award Agreement solely as a convenience to facilitate reference. Such headings shall not be deemed in any way material or relevant
to the construction or interpretation of this Award Agreement or any provision thereof. Whenever the words “include”,
“includes” or “including” are used in this Award Agreement, they shall be deemed to be followed by the
words “but not limited to”. The term “or” is not exclusive.


 


SECTION
15. Amendment of this Award Agreement. The Committee may waive any conditions or rights
under, amend any terms of, or alter, suspend, discontinue, cancel or terminate this Award Agreement prospectively or retroactively;
provided, however, that any such waiver, amendment, alteration, suspension, discontinuance, cancelation or termination
that would materially and adversely impair your rights hereunder shall not to that extent be effective without your consent (it
being understood, notwithstanding the foregoing proviso, that this Award Agreement and the Restricted Shares shall be subject to
the provisions of Section 4(b) of the Plan).


 


SECTION
16. Counterparts. This Award Agreement may be signed in counterparts, each of which shall
be an original, with the same effect as if the signatures thereto and hereto were upon the same instrument.


 



    	7



    	 



    

 


 


IN WITNESS WHEREOF, the parties have
duly executed this Award Agreement as of the date first written above.


 


 


	THE FRESH MARKET, INC.,
	By
	 	 
	 	Name:             
	 	Title:   
	 	 
	[NAME] 
	 	 
	 	 


 
    	8