Document:

Marsh & McLennan Companies, Inc. Form of Senior Executive Severance Pay Plan

 EXHIBIT 10.2 
 MARSH & MCLENNAN COMPANIES, INC. 
 SENIOR EXECUTIVE SEVERANCE PAY PLAN 
 ARTICLE 1 
 PURPOSE 

The purpose of the Marsh & McLennan Companies, Inc. Senior Executive Severance Pay Plan (the “Plan”) is to provide eligible
employees with fair and reasonable protection from the risks arising from a Change in Control of the Company and to encourage them to remain in the employ of the Company and devote their full attention and efforts to its best interests. 

This document constitutes both the plan document and summary plan description required under ERISA. In the event of any conflict between the
provisions of this document and any other communication, the provisions of this document will govern. 
 ARTICLE 2 
 DEFINITIONS 
 For the purposes
of this Plan, the following terms shall have the meanings indicated. 
 Section 2.01. Administrator. “Administrator”
means MMC’s Senior Vice President, Chief Administrative Officer (or such other MMC executive with overall responsibility for human resources) or his or her designee. 
 Section 2.02 Board. “Board” means the Board of Directors of MMC. 
 Section 2.03.
Cause. “Cause” means the Participant’s: 
 (a) willful failure to substantially perform the
duties consistent with the Participant’s position which is not remedied within 10 days after receipt of written notice from the Company specifying such failure; 
 (b) willful violation of any written Company policy, including but not limited to, the Company’s Code of Business Conduct &
Ethics; 
 (c) commission at any time of any act or omission that results in a conviction, plea of no contest, plea of nolo
contendere or imposition of unadjudicated probation for any felony or crime involving moral turpitude; 
  

 (d) unlawful use (including being under the influence) or possession of illegal drugs;

 (e) gross negligence or willful misconduct which results in, or could reasonably be expected to result in, a material loss
to the Company or material damage to the reputation of the Company; or 
 (f) violation of any statutory or common law duty of
loyalty to the Company, including the commission at any time of any act of fraud, embezzlement, or material breach of fiduciary duty against the Company. 
 Section 2.04. Change in Control. For purposes of this Plan, a “Change in Control” of the Company shall have the meaning given to it in the Marsh & McLennan Companies, Inc. 2000 Employee
Incentive and Stock Award Plan, as it may be amended from time to time in accordance with its terms. 
 Section 2.05. CEO.
“CEO” means the Chief Executive Officer of MMC or his designee. 
 Section 2.06. Code. “Code” means the
Internal Revenue Code of 1986, as amended from time to time. References to any provision of the Code shall be deemed to include successor provisions thereto and regulations thereunder. 
 Section 2.07 Company. “Company” means Marsh & McLennan Companies, Inc. and its subsidiaries, and its successors and any
organization into which or with which March & McLennan Companies, Inc. may merge or consolidate or to which all or substantially all of its assets may be transferred. 
 Section 2.08. Compensation Committee. “Compensation Committee” means the Compensation Committee of the Board. 
 Section 2.09. Effective Date. “Effective Date” means September 20, 2007. 
 Section 2.10. ERISA. “ERISA” means the Employee Retirement Income Act of 1974, as amended from time to time. References to any
provision of ERISA shall be deemed to include successor provisions thereto and regulations thereunder. 
 Section 2.11 Exchange
Act. “Exchange Act” means the Securities Exchange Act of 1934, as amended from time to time. References to any provision of the Exchange Act shall be deemed to include successor provisions thereto and regulations thereunder.

  

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 Section 2.12. Good Reason. “Good Reason” means the occurrence of any of the
following without the Participant’s written consent: 
 (a) a material reduction in the Participant’s base salary;

 (b) a material reduction in the Participant’s annual incentive opportunity (including a material adverse change in the
method of calculating the Participant’s annual incentive); 
 (c) a material diminution of the Participant’s duties,
responsibilities or authority; or 
 (d) a relocation of more than 50 miles from the Participant’s office location in
effect immediately prior to the Change in Control of the Company. 
 The Participant must give the Company written notice of his or her intent
to terminate his or her employment for Good Reason within 30 days after first becoming aware of the occurrence of the circumstances constituting Good Reason. Such notice must specify which of the circumstances set forth above the Participant is
relying on and the particular action(s) or inaction(s) giving rise to such circumstance. The Good Reason termination shall be effective no earlier than 30 days after the Participant’s delivery of the written notice and no later than 60 days
after the Participant first became aware of the occurrence of the circumstances giving rise to Good Reason; provided, however, that the Company may remedy such circumstances within 30 days after receipt of the written notice. 
 Section 2.13. Key Employee. “Key Employee” means any executive below the “EX” grade level who is selected by the CEO or
his designee, in his or its sole discretion, to participate in the Plan and who is (i) a member of the executive committee of any Operating Company, or (ii) in a key corporate or Operating Company staff position. “Key Employee”
may also include an executive at the “EX” grade level whose participation is approved by the Compensation Committee. 
 Section 2.14 MMC. “MMC” means Marsh & McLennan Companies, Inc. 
 Section 2.15 Operating
Company. “Operating Company” means any entity designated by the CEO as an operating company of MMC. 
 Section 2.16.
Other Employee. “Other Employee” means an employee of the Company other than a Key Employee who is designated by the CEO or his designee in his or its sole discretion a Participant in the Plan. 
  

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 Section 2.17. Participant. “Participant” means those Key Employees and Other
Employees who meet the eligibility requirements of Article 4. 
 Section 2.18. Section 409A. “Section 409A” means
Section 409A of the Code and any regulations or guidance issued thereunder. 
 Section 2.19. Severance Benefits.
“Severance Benefits” means the payments and benefits payable in accordance with Article 5. 
 Section 2.20. Termination
Date. “Termination Date” means the date of the Participant’s termination of employment with the Company under the circumstances specified in Article 5. 
 Section 2.21. Welfare Benefit. “Welfare Benefit” means continuation of group welfare coverage comparable to the coverage provided to similarly-situated active employees for 12 months following
the Participant’s termination of employment (the “Extended Coverage”), followed immediately by coverage for a period, and on a basis, that is substantially similar to the COBRA continuation coverage that would apply if the
Participant’s termination of employment occurred at the conclusion of the Extended Coverage period. The premium contribution for the Extended Coverage shall be the same as the premium contribution for similarly-situated active employees, except
that the Participant’s premium contribution shall be paid by the Participant on an after-tax basis and the Company will impute taxable income to the Participant equal to the difference between the premiums paid by the Participant and the full
premium cost for similarly situated COBRA participants. Provision of the Welfare Benefit is subject to the Participant satisfying and continuing to satisfy all requirements necessary to maintain such coverage, including without limitation, paying
his/her share of all required premiums on a timely basis. The Company will not provide the Participant with any compensation in lieu of the Welfare Benefit. 
 ARTICLE 3 
 ADMINISTRATION 
 Section 3.01. Administrator. (a) This Plan shall be administered by the Administrator. The Administrator shall have full and final
authority to take the following actions, in each case subject to and consistent with the provisions of the Plan: 
 (i) to
determine eligibility for benefits and to decide claims under the terms of this Plan; 
 (ii) to adopt, amend, suspend, waive
and rescind such rules and regulations as the Administrator may deem necessary or advisable to administer the Plan; 
  

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 (iii) to correct any defect or supply any omission or reconcile any inconsistency in the
Plan and to construe and interpret the Plan and rules and regulations hereunder; and 
 (iv) to make all other decisions and
determinations as may be required under the terms of the Plan or as the Administrator may deem necessary or advisable for the administration of the Plan. 
 (b) Other provisions of the Plan notwithstanding, the Compensation Committee may perform any function of the Administrator under the Plan. In any case in which the Compensation Committee is performing a function of
the Administrator under the Plan, each reference to the Administrator herein shall be deemed to refer to the Compensation Committee, except where the context otherwise requires. Any action of the Administrator with respect to the Plan shall be
final, conclusive and binding on all persons, including, without limitation, the Company, its Operating Companies, Participants and any person claiming any rights under the Plan from or through any Participant. 
 (c) The Administrator shall be entitled to, in good faith, rely or act upon any report or other information furnished to him or her by any
officer or other employee of the Company or any of its Operating Companies, the Company’s independent certified public accountants, or other professional retained by the Company to assist in the administration of the Plan. Neither any member of
the Board, nor the Administrator or any other officer or employee of the Company acting on behalf of the Administrator, shall be personally liable for any action, determination or interpretation taken or made in good faith with respect to the Plan,
and all members of the Board, the Administrator and any other officer or employee of the Company acting on their behalf shall, to the fullest extent permitted by law, be fully indemnified and protected by the Company with respect to any such action,
determination or interpretation. 
 ARTICLE 4 
 ELIGIBILITY 
 Section 4.01. Commencement of Participation. Each individual who is
designated a Key Employee or Other Employee shall automatically become a Participant in the Plan as of the date of such designation. 
 Section 4.02. Duration of Participation. (a) A Participant shall cease to be a Participant in the Plan (i) if prior to a Change in Control of the Company he or she ceases to be a Key Employee or Other Employee,
or (ii) if his or her 

  

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employment with the Company is terminated under circumstances pursuant to which he or she is not entitled to Severance Benefits under the terms of the Plan.
Notwithstanding any other provision in the Plan, the CEO shall have full discretion to add or remove an individual as a Participant in the Plan; provided, however, that any removal of a Participant pursuant to Section 4.02(a)(i) shall become
effective no earlier than six (6) months following written notice of such removal to the Participant. Notwithstanding the foregoing, no Participant shall be removed as a Participant pursuant to Section 4.02(a)(i) following a Change in
Control. 
 (b) A Participant entitled to Severance Benefits shall remain a Participant in the Plan until the full amount of
the Severance Benefits has been paid to him or her. 
 ARTICLE 5 
 SEVERANCE BENEFITS 
 Section 5.01. Change in Control Severance
Benefits. Subject to Section 5.03, a Participant shall be entitled to receive Severance Benefits from the Company in the amount provided for in Section 5.04 if a Change in Control of the Company has occurred and, within two years
thereafter, the Participant’s employment with the Company is terminated by the Company without Cause or by the Participant for Good Reason 
 Section 5.02. Non-Change in Control Severance Benefits. Subject to Section 5.03, a Participant shall be entitled to receive Severance Benefits from the Company in the amount provided for in Section 5.04 if at any time
prior to the effective date of a Change in Control of the Company, the Participant’s employment is terminated by the Company without Cause. 
 Section 5.03. Waiver and Release. No Severance Benefits shall be provided to the Participant unless the Participant has properly and timely executed and delivered to the Company a valid confidential waiver and release of claims
agreement (including restrictive covenants) in a form satisfactory to the Company (the “Release”) and such Release has become irrevocable as provided therein (the “Release Date”). The Participant shall deliver the
Release to the Company in time to allow payments hereunder to qualify as “short-term deferrals” for purposes of Section 409A. 
 Section 5.04. Amount of Severance Benefits. 
 (a) If a Participant is a Key Employee whose employment is terminated in
circumstances entitling him or her to the Severance Benefits provided in this Section 5.04(a), the Participant shall be entitled to each of the following: 
  

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 (i) a lump sum cash payment equal to the sum of (i) the Participant’s annual
base salary in effect as of the date of the Participant’s Termination Date and (ii) a bonus equal to the average of the annual bonuses paid (including amounts deferred under any Company arrangement as well as non-cash amounts that are
specifically designated as being part of the annual bonus, if any) to the Participant for each of the three calendar years prior to the calendar year in which the Participant’s Termination Date occurs, payable within 15 days following the
Release Date; 
 (ii) a pro-rata target bonus in a lump sum in cash for the year of termination equal to the
Participant’s target annual bonus for the calendar year in which the Participant’s Termination Date occurs multiplied by a fraction the numerator of which is the number of days that have elapsed in such calendar year through the
Termination Date and the denominator of which is 365, payable within 15 days following the Release Date; 
 (iii) outplacement
services provided by a firm selected by the Company for a period of twelve (12) months following the Termination Date or until the Participant begins working for another employer or provides services for compensation in a significant capacity,
whichever occurs first; provided that the Participant shall be obligated to provide written notice to the Company promptly upon beginning to work for another employer or providing services for compensation in a significant capacity; and

 (iv) the Welfare Benefit, in lieu of COBRA continuation coverage, provided, that the Participant is eligible to elect COBRA
continuation coverage at the time of his/her termination of employment. 
 (b) If a Participant is an Other Employee whose
employment is terminated in circumstances entitling him or her to the Severance Benefits provided in this Section 5.04(b), the Participant shall be entitled to payments and or benefits determined by the CEO at the time such Other Employee
becomes a Participant. 
 Section 5.05. Exclusive Payments. The Severance Benefits are in lieu of and not additive or cumulative
to any other severance benefits payable under any severance plan or arrangements sponsored by the Company. If a Participant is entitled to receive severance benefits under the terms of a written employment agreement, severance agreement, offer
letter or similar agreement between the Participant and the Company, the Severance Benefits shall be offset by any severance benefits received under such other arrangement. 
  

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 ARTICLE 6 
 SUCCESSORS TO THE COMPANY 
 Section 6.01. Successors. This Plan shall bind any successor (whether direct or indirect, by purchase, merger, consolidation or otherwise) to all or substantially all of the business and/or assets of the Company, in the same
manner and to the same extent that the Company would be obligated under this Plan if no succession had taken place. In the case of any transaction in which a successor would not by the foregoing provision or by operation of law be bound by this
Plan, the Company shall require such successor expressly and unconditionally to assume and agree to perform the obligations of the Company under this Plan, in the same manner and to the same extent that the Company would be required to perform if no
such succession had taken place. 
 ARTICLE 7 
 DURATION, AMENDMENT AND PLAN TERMINATION 
 Section 7.01. Duration. This Plan shall continue in effect until terminated in accordance with Section 7.02. If a Change in Control of the Company occurs, the Plan shall continue in full force and effect and shall not
terminate or expire until after all Participants entitled to Severance Benefits hereunder shall have received such payments in full. 
 Section 7.02. Amendment and Termination. Prior to a Change in Control, the Plan may be amended or terminated by the Compensation Committee at any time with or without prior notice; provided, however, that during the
period commencing on the commencement of negotiations that could reasonably be expected to result in a Change in Control of the Company and ending on the effective date of a Change in Control of the Company, the Plan shall not be amended or
terminated without the written consent of a majority of Participants if such amendment or termination would be materially adverse to Participants. Any purported amendment or termination of the Plan shall be null and void ab initio if, within
6-months of the adoption of such purported amendment or termination, a Change in Control of the Company occurs. After a Change in Control, the Plan shall not be amended or terminated for two years following the effective date of a Change in Control
of the Company without the written consent of a majority of Participants if such amendment or termination would be materially adverse to Participants. 
  

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 ARTICLE 8 
 CLAIMS PROCEDURE 
 Section 8.01. A Participant who is eligible for
Severance Benefits under this Plan will be notified and provided with any forms required in connection with receipt of Plan benefits including, a Release. If such Participant disagrees with the determination of his/her benefits, he/she may, within
30 days of receipt of the initial notification, submit a written statement to the Administrator describing the basis of his/her claim for benefits, together with any documents which he/she believes supports his/her claim. Any Participant who is not
so notified but believes that he/she is eligible for Severance Benefits under the Plan may, within 60 days of such Participant’s Termination Date, submit a written statement to the Administrator describing the basis of his/her claim for
Severance Benefits and requesting any forms required in connection with payment of such Severance Benefits. 
 Section 8.02. If any
claim for Severance Benefits is wholly or partially denied, the Administrator shall notify the claimant within 90 days after the Plan’s receipt of the written claim (except that in special circumstances the Administrator may take an additional
90 days to consider its decision, in which case the claimant will be notified of the extension). Such notification shall set forth: (a) the specific reason(s) for the denial (including reference to any pertinent Plan provisions on which the
denial is based); (b) if applicable, a description of any additional material or information necessary for the claimant to perfect the claim, and an explanation of why such material or information is necessary; (c) the claims review
procedure; and (d) a statement of the claimant’s right to bring a civil action under Section 502(a) of ERISA if the claim is denied following a review on appeal. 
 Section 8.03. Any Participant whose claim for Severance Benefits under this Plan is denied may make a written request to the Administrator within 60
days after such denial for a review of the denial. Any such request must include any evidence relevant to the claim and may include a request for relevant documents. The Participant claiming Severance Benefits shall be notified of the final decision
of the Administrator within 60 days after his/her request for a review is received. However, if the Administrator finds it necessary to extend this period due to special circumstances and so notifies the claimant in writing, the decision shall be
rendered as soon as practicable, but in no event later than 120 days after the claimant’s request for review. The decision shall be in writing and shall set forth the specific reasons for the denial (including reference to any pertinent Plan
provisions on which the denial is based) and a statement of the claimant’s right to bring a civil action under Section 502(a) of ERISA. 
 Section 8.04. The Administrator’s action or determination in this review procedure shall be final, binding, and conclusive on all interested persons. No action for benefits may be brought by any Participant or beneficiary unless
the 

  

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Plan’s claims review procedure has been exhausted (that is, all appeals of adverse determinations have been made and decided). Any such action must be
commenced within three years of the first date by which all the essential facts and circumstances which support the claim had arisen, provided that the three-year period will never begin later than the date on which the claim arose or, if the
individual properly and timely follows the Claims Procedure described above, the date a final determination denying the claim, in whole or part, has been issued under that procedure. 
 ARTICLE 9 
 GENERAL INFORMATION AND ERISA
RIGHTS 
 Section 9.01. The following describes other information a Plan Participant should know about the Plan.

 Plan Sponsor 
 Marsh & McLennan
Companies, Inc. 
 1166 Avenue of the Americas 
 New York, New York 10036 
 (212) 345 - 5000 
 Plan Administrator 
 MMC Senior Vice President, Chief Administrative Officer 
 1166 Avenue of the Americas 
 New York, New
York 10036 
 (212) 345 - 5000 
 Type of Plan

 The Plan is a severance plan maintained primarily for the purpose of providing benefits for a select group of management or highly
compensated employees. 
 Effective Date 
 The
Plan is effective as of September 20, 2007. 
 Plan Year 
 The Plan’s records are kept on a calendar year basis. 
 Plan Identification 
 The official name of the Plan is the Marsh & McLennan Companies, Inc. Change in Control Separation Benefits Plan. The Internal Revenue Service
identifies Marsh & McLennan Companies, Inc. by the Employer Identification Number 36-2668272. 
  

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 Legal Service 
 It is hoped that legal action with regard to the Plan will not be considered necessary. However, if a Participant feels that he/she has cause for legal action after he/she has exhausted the Plan’s Claims Procedures (see Section 8
above), a timely complaint may be served on the agent named for service of process: 
 John W. Hamlin, Esq. 
 Chief Employment Counsel 
 Marsh &
McLennan Companies, Inc. 
 1166 Avenue of the Americas 
 New York, New York 10036-2708 
 Additionally, legal service may be served on the Administrator. 

ERISA Rights 
 A Participant is entitled to certain rights and protections
under ERISA. ERISA provides that a Participant shall be entitled to: 
 Receive Information about the Plan and Benefits 
  

	 	•	 	 Examine without charge, at the Administrator’s office and at other specified locations, including work sites, all documents governing the Plan; and

  

	 	•	 	 Obtain, upon written request to the Administrator, copies of documents governing the operation of the Plan and an updated Summary Plan Description. The
Administrator may make a reasonable charge for the copies. 

 Under ERISA, there are several steps a Participant can take to enforce
his/her rights. For instance, if a Participant requests a copy of Plan documents from the Plan and does not receive them within 30 days, the Participant may file suit in a Federal court. In such a case, the court may require the Administrator to
provide the materials and pay the Participant up to $110 a day until the Participant receives the materials, unless the materials were not sent for reasons beyond the control of the Administrator. If a Participant has a claim for benefits which is
denied or ignored, in whole or in part, the Participant may file suit in a state or Federal court. If it should happen that Plan fiduciaries misuse the Plan’s money, or if a Participant is discriminated against for asserting his/her rights, the
Participant may seek assistance from the U.S. Department of Labor, or he/she may file suit in a Federal court. The court will decide who should pay court costs and legal fees. If the Participant is successful, the court may order the person whom the
Participant has sued to pay these costs and fees. If the Participant loses, the court may order the Participant to pay these costs and fees; for example, if the court finds that the Participant’s claim is frivolous. 
  

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 Assistance with Questions 
 If a Participant has any questions about the Plan, the Participant should contact: 
 MMC Senior Vice President, Chief Administrative
Officer 
 1166 Avenue of the Americas 
 New York, New York 10036 
 (212) 345 - 5000 
 If a Participant has any questions about this statement or about the Participant’s rights under ERISA, or if a Participant needs assistance in obtaining documents from the Administrator, the Participant should contact the nearest
office of the Employee Benefits Security Administration, U.S. Department of Labor, listed in the telephone directory or the Division of Technical Assistance and Inquiries, Employee Benefits Security Administration, U.S. Department of Labor, 200
Constitution Avenue, N.W., Washington, D.C. 20210. A Participant may also obtain certain publications about a Participant’s rights and responsibilities under ERISA by calling the publications hotline of the Employee Benefits Security
Administration. 
 ARTICLE 10 
 MISCELLANEOUS 
 Section 10.01. Employment Status. The Plan does not constitute a contract of employment
or impose on the Company any obligation to retain any Participant as an employee, to maintain or change the status of any Participant’s employment as a Key Employee or Other Employee (as applicable), or to change any employment policies of the
Company. 
 Section 10.02. Withholding of Taxes. The Company shall withhold from any amounts payable under the Plan all federal,
state, local or other taxes that are legally required to be withheld. 
 Section 10.03. Validity and Severability. The invalidity
or unenforceability of any provision of the Plan shall not affect the validity or enforceability of any other provision of the Plan, which shall remain in full force and effect, and any prohibition or unenforceability in any jurisdiction shall not
invalidate or render unenforceable such provision in any other jurisdiction. 
 Section 10.04. Headings. The headings in the Plan
are for convenience of reference only and shall not limit or otherwise affect the meaning of terms contained herein. 
 SECTION 10.05. Unfunded Obligation. All Severance Benefits provided under the Plan shall constitute an unfunded obligation of the Company. Payments shall be made, as due, from the general funds of the Company.
This Plan shall constitute solely an unsecured promise by the Company to provide such benefits to Participants to the extent provided herein. For avoidance of doubt, any 

  

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pension, health or life insurance benefits to which a Participant may be entitled under this Plan shall be provided under other applicable employee benefit
plans of the Company. This Plan does not provide the substantive benefits under such other employee benefit plans, and nothing in this Plan shall restrict the Company’s ability to amend, modify or terminate such other employee benefit plans
(whether before or after a Change in Control of the Company). 
 Section 10.06. Other Rights. Except as provided in
Section 5.04, the Plan shall not affect or impair the rights or obligations of the Company or a Participant under any other written plan, contract, arrangement, or pension, profit sharing or other compensation plan. 
 Section 10.07. Transferability of Rights. No Participant shall have any right to encumber, transfer or otherwise dispose of or alienate any
present or future right or expectancy which the Participant may have at any time to receive payments of benefits hereunder, which benefits and the right thereto are expressly declared to be nonassignable and nontransferable, except to the extent
required by law. 
 Section 10.08. Section 409A. (a) Notwithstanding the due date of any post-employment payments, if
at the time of the termination of employment the Participant is a “specified employee” (as defined in Section 409A), the Participant will not be entitled to any payments upon termination of employment until the earlier of (i) the
date which is 6 months after the termination of employment for any reason other than death or (ii) the date of the Participant’s death. The provisions of this paragraph will only apply if and to the extent required to avoid any
“additional tax” under Section 409A. 
 (b) It is intended that this Plan and the Company’s exercise of
authority or discretion hereunder shall comply with the provisions of Section 409A so as not to subject the Participant to the payment of interest and tax penalty which may be imposed under Section 409A. In furtherance of this interest, to
the extent that any regulations or other guidance issued under Section 409A would result in the Participant being subject to payment of “additional tax” under Section 409A, the Company will use its best efforts to amend the Plan
to avoid the imposition of any such “additional tax” under Section 409A, which such amendment shall be designed to minimize the adverse economic effect on the Participant without increasing the cost to the Company (other than
transactions costs), all as reasonably determined in good faith by the Company to maintain to the maximum extent practicable the original intent of the applicable provisions. This Section 10.08 does not guarantee that payments under the
Plan will not be subject to “additional tax” under Section 409A. 
 Section 10.09 Governing Law. The Plan shall be
governed by and construed in accordance with the laws of the State of New York without reference to principles of conflicts of laws, except as superseded by ERISA and other applicable Federal (U.S.) law. 
  

 13Form of Stock Unit Award Agreement under the SumTotal Inc. 2004 Equity Incentive

 Exhibit 10.2 
 SUMTOTAL SYSTEMS, INC. 
 2004 EQUITY INCENTIVE PLAN 
 STOCK UNIT AWARD AGREEMENT 
 Amended
and Restated on February 20, 2008 
 Unless otherwise defined herein, the terms defined in the 2004 Equity Incentive Plan
(“Plan”) will have the same defined meanings in this Stock Unit Award Agreement (the “Agreement”). 
  

	I.	NOTICE OF GRANT OF STOCK UNITS 

 Name:

 Address: 
 You have been granted an award of Stock Units (the “Award”). Each such Stock Unit is equivalent to one share of the Company’s Common Stock for purposes of determining the number of Shares subject to this Award. No Shares
underlying the Stock Units will be issued (nor will you have the rights of a stockholder with respect to the underlying Shares) until the vesting conditions described in this Agreement are satisfied. Additional terms of this Award are as follows:

  

			
	Grant Number	  	________________________
		
	Date of Grant	  	________________________
		
	Vesting Schedule	  	See attached Vesting Appendix
		
	Number of Shares	  	________________________

 Non-Transferability of Award. 
 This Award of Stock Units may not be transferred in any manner otherwise than by will or by the laws of descent or distribution and may be
exercised during the lifetime of Participant only by Participant. The terms of the Plan and this Agreement will be binding upon the executors, administrators, heirs, successors and assigns of the Participant. 
  

	II.	AGREEMENT 

 1. Grant of
Award. The Company hereby grants to the individual named in the Notice of Grant of Stock Units (the “Participant”) an award of Stock Units as set forth in the Notice of Grant of Stock Units, and subject to the terms and conditions of
the Plan, which are incorporated herein by reference. 

 Stock Unit Agreement 
 Amended and Restated on February 20, 2008 
  

 2. No Payment of Purchase Price Necessary. When the Stock Units are settled
after vesting by the issuance of Shares, the par value of the underlying Company Common Stock will be deemed paid by the Participant for each Share through the past services rendered by the Participant and such deemed payment will be subject to any
applicable tax withholdings. 
 3. Company’s Obligation. Each Stock Unit represents the right to receive a Share
after satisfying the applicable vesting conditions set forth in the Notice of Grant of Stock Units. Unless and until the Stock Units vest, the Participant will have no right to receive Shares under such Stock Units. Prior to actual distribution of
any Shares pursuant to the vesting of any Stock Units, such Stock Units will represent an unsecured obligation of the Company, payable (if at all) only from the general assets of the Company. 
 4. Vesting Schedule. Subject to Section 5, and to relevant Plan provisions, the Stock Units awarded by this Agreement will
vest according to the vesting schedule specified in the Notice of Grant of Stock Units. 
 5. Forfeiture upon Termination
of Service. Notwithstanding any contrary provision of this Agreement or the Notice of Grant of Stock Units, if the Participant terminates service as a Service Provider, for any or no reason prior to vesting, the unvested Stock Units awarded by
this Agreement will thereupon be forfeited at no cost to the Company. 
 6. Payment after Vesting. Any Stock Units that
vest in accordance with this Agreement will be paid to the Participant (or in the event of the Participant’s death, to his or her estate) in Shares, subject to the Participant satisfying the applicable tax withholding obligations set forth in
Section 8. 
 7. Payments after Death. Any distribution or delivery to be made to the Participant under this
Agreement will, if the Participant is then deceased, be made to the administrator or executor of the Participant’s estate. Any such administrator or executor must furnish the Company with (a) written notice of his or her status as
transferee, and (b) evidence satisfactory to the Company to establish the validity of the transfer and compliance with any laws or regulations pertaining to said transfer. 
 8. Withholding of Taxes. Notwithstanding any contrary provision of this Agreement, no certificate representing the Shares of Common
Stock underlying any vested Stock Unit will be issued unless and until satisfactory arrangements (as determined by the Administrator) will have been made with respect to the payment of income and 

 Stock Unit Agreement 
 Amended and Restated on February 20, 2008 
  

 
employment taxes which the Company determines must be withheld with respect to such Shares. The Administrator shall require the tax withholding obligations
under this Agreement to be satisfied by withholding otherwise deliverable Shares having a Fair Market Value equal to the minimum amount required to be withheld. No fractional Shares will be withheld or issued pursuant to the grant of Stock Units and
the issuance of Shares hereunder. By accepting this award of Stock Units, the Participant expressly consents to the withholding of Shares as provided for in this Section 8. The Company may, instead of withholding in Shares, in its sole and
absolute discretion, permit the Participant to satisfy such tax withholding obligation, in whole or in part by one or more of the following: (a) paying cash, (b) permitting the Participant to deliver to the Company already vested and owned
Shares having a Fair Market Value equal to the amount required to be withheld, or (c) selling a sufficient number of such Shares otherwise deliverable to Participant through such means as the Company may determine in its sole discretion
(whether through a broker or otherwise) equal to the amount required to be withheld. All income and other taxes related to this award of Stock Units are the sole responsibility of the Participant. In the event the withholding requirements are not
satisfied through the withholding of Shares and the Participant otherwise fails to make satisfactory arrangements for the payment of any required tax withholding obligations hereunder at the time any applicable Shares otherwise are scheduled to
vest, the Participant will permanently forfeit such Shares and the Shares will be returned to the Company at no cost to the Company. 
 9. Rights as Stockholder. Neither the Participant nor any person claiming under or through the Participant will have any of the rights or privileges of a stockholder of the Company in respect of any Shares deliverable hereunder
unless and until certificates representing such Shares will have been issued, recorded on the records of the Company or its transfer agents or registrars, and delivered to the Participant or Participant’s broker. 

 Stock Unit Agreement 
 Amended and Restated on February 20, 2008 
  

 10. Code Section 409A. Notwithstanding anything in the Plan or this
Agreement to the contrary, if the vesting of the balance, or some lesser portion of the balance, of the Stock Units is accelerated in connection with Participant’s termination as a Service Provider (provided that such termination is a
“separation from service” within the meaning of Section 409A of the Code, as determined by the Company) and if (x) Participant is a “specified employee” within the meaning of Section 409A of the Code at the time of
such termination and (y) the payment of such accelerated Stock Units will result in the imposition of additional tax under Section 409A of the Code if paid to Participant on or within the six (6) month period following
Participant’s termination, then the payment of such accelerated Stock Units will not be made until the date six (6) months and one (1) day following the date of Participant’s termination. It is the intent of this Agreement to
comply with the requirements of Section 409A of the Code so that none of the Stock Units provided under this Agreement or shares of Stock issuable thereunder will be subject to the additional tax imposed under Section 409A of the Code, and
any ambiguities herein will be interpreted to so comply. 
 11. General Provisions. 
 (a) This Agreement will be governed by the internal substantive laws, but not the choice of law rules of California. This Agreement,
subject to the terms and conditions of the Plan and the Notice of Grant, represents the entire agreement between the parties with respect to the purchase of the Shares by the Participant. Subject to Section 11.1 of the Plan, in the event of a
conflict between the terms and conditions of the Plan and the terms and conditions of this Agreement, the terms and conditions of the Plan will prevail. Unless otherwise defined herein, the terms defined in the Plan will have the same defined
meanings in this Agreement. 
 (b) Any notice, demand or request required or permitted to be given by either the Company or
the Participant pursuant to the terms of this Agreement will be in writing and will be deemed given when delivered personally or deposited in the U.S. mail, First Class with postage prepaid, and addressed to the parties at the addresses of the
parties set forth at the end of this Agreement or such other address as a party may request by notifying the other in writing. 
 (c) The rights of the Company under this Agreement will be transferable to any one or more persons or entities, and all covenants and agreements hereunder will inure to the benefit of, and be enforceable by the Company’s successors and
assigns. The rights and obligations of the Participant under this Agreement may only be assigned with the prior written consent of the Company. 
 (d) Either party’s failure to enforce any provision of this Agreement will not in any way be construed as a waiver of any such provision, nor prevent that party from thereafter enforcing any other provision of
this Agreement. The rights granted both parties hereunder are cumulative and will not constitute a waiver of either party’s right to assert any other legal remedy available to it. 

 Stock Unit Agreement 
 Amended and Restated on February 20, 2008 
  

 (e) The Participant agrees upon request to execute any further documents or
instruments necessary or desirable to carry out the purposes or intent of this Agreement. 
 (f) Participant acknowledges and
agrees that the vesting of the Stock Units is earned only by continuing as a Service Provider at the will of the Company (and not through the act of being hired or purchasing Shares hereunder). Participant further acknowledges and agrees that this
Agreement, the transactions contemplated hereunder and the vesting schedule set forth herein do not constitute an express or implied promise of continued engagement as a Service Provider for the vesting period, for any period, or at all, and will
not interfere with the Participant’s right or the Company’s right to terminate the Participant’s relationship as a Service Provider at any time, with or without cause. 
 By Participant’s signature below, Participant represents that he or she is familiar with the terms and provisions of the Plan, and
hereby accepts this Agreement subject to all of the terms and provisions thereof. Participant has reviewed the Plan and this Agreement in their entirety, has had an opportunity to obtain the advice of counsel prior to executing this Agreement and
fully understands all provisions of this Agreement. Participant agrees to accept as binding, conclusive and final all decisions or interpretations of the Administrator upon any questions arising under the Plan or this Agreement. Participant further
agrees to notify the Company upon any change in the residence indicated in the Notice of Grant of Stock Units. 
  

									
	PARTICIPANT	 		 	SUMTOTAL SYSTEMS, INC.
				
	 	 		 	By:	 	 
	Signature	 		 		 	
				
	 	 		 	Title: 	 	 
	Print Name	 		 		 	

 VESTING APPENDIX

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