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					Exhibit 4.1

DESCRIPTION OF THE COMPANY’S SECURITIES
REGISTERED PURSUANT TO SECTION 12 OF THE
SECURITIES EXCHANGE ACT OF 1934

Although the following summary describes the material terms of the securities of Chatham Lodging Trust (the “Company” or “us”) registered under Section 12 of the Securities Exchange Act of 1934, as amended, it is not a complete description of the Maryland REIT Law, or the MRL, the provisions of the Maryland General Corporation Law, or the MGCL, provisions applicable to a Maryland real estate investment trust or our declaration of trust and bylaws. We have incorporated by reference our declaration of trust and bylaws as exhibits to the Annual Report on Form 10-K of which this Exhibit 4.1 is a part. 
General
Our declaration of trust provides that we may issue up to 500,000,000 common shares, $0.01 par value per share, and 100,000,000 preferred shares of beneficial interest, $0.01 par value per share, or preferred shares. Our declaration of trust authorizes our board of trustees to amend our declaration of trust to increase or decrease the aggregate number of authorized shares or the number of shares of any class or series without shareholder approval.
Under the MRL, shareholders are not personally liable for the obligations of a real estate investment trust solely as a result of their status as shareholders.
Common Shares
The common shares we may offer from time to time, when issued, will be duly authorized, fully paid and nonassessable. Subject to the preferential rights, if any, of holders of any other class or series of shares of beneficial interest and to the provisions of our declaration of trust regarding the restrictions on ownership and transfer of our shares, holders of our common shares are entitled to receive distributions on such shares of beneficial interest out of assets legally available therefor if, as and when authorized by our board of trustees and declared by us, and the holders of our common shares are entitled to share ratably in our assets legally available for distribution to our shareholders in the event of our liquidation, dissolution or winding up after payment of or adequate provision for all of our known debts and liabilities.
Subject to the provisions of our declaration of trust regarding the restrictions on ownership and transfer of our shares and except as may otherwise be specified in the terms of any class or series of common shares, each outstanding common share entitles the holder to one vote on all matters submitted to a vote of shareholders, including the election of trustees, and, except as provided with respect to any other class or series of shares of beneficial interest, the holders of our common shares will possess the exclusive voting power. There is no cumulative voting in the election of our trustees, which means that the shareholders entitled to cast a majority of the votes entitled to be cast in the election of trustees can elect all of the trustees then standing for election, and the remaining shareholders will not be able to elect any trustees.
Holders of common shares have no preference, conversion, exchange, sinking fund, redemption or appraisal rights and have no preemptive rights to subscribe for any of our securities. Subject to the restrictions on ownership and transfer of shares contained in our declaration of trust and the terms of any other class or series of common shares, all of our common shares will have equal dividend, liquidation and other rights.

Preferred Shares
Our declaration of trust authorizes our board of trustees to authorize the issuance of preferred shares in one or more classes or series and may determine, with respect to any such class or series, the rights, preferences, privileges and restrictions of the preferred shares of that class or series, including:

        
			
	distribution rights;
	
	conversion rights;
	
	voting rights;
	
	redemption rights and terms of redemptions; and
	
	liquidation preferences

The issuance of preferred shares could have the effect of delaying, deferring or preventing a change in control or other transaction that might involve a premium price for our common shares or otherwise be in the best interests of our shareholders. In addition, any preferred shares that we issue could rank senior to our common shares with respect to the payment of distributions, in which case we could not pay any distributions on our common shares until full distributions have been paid with respect to such preferred shares.
Power to Reclassify Our Unissued Shares of Beneficial Interest
Our declaration of trust authorizes our board of trustees to classify and reclassify any unissued common or preferred shares into other classes or series of shares of beneficial interest. Prior to the issuance of shares of each class or series, our board of trustees is required by the MRL and by our declaration of trust to set, subject to the provisions of our declaration of trust regarding the restrictions on ownership and transfer of shares of beneficial interest, the preferences, conversion or other rights, voting powers, restrictions, limitations as to dividends or other distributions, qualifications and terms and conditions of redemption for each class or series. Therefore, our board of trustees could authorize the issuance of common shares or preferred shares that have priority over our common shares as to voting rights, dividends or upon liquidation or with terms and conditions that could have the effect of delaying, deferring or preventing a change in control or other transaction that might involve a premium price for our common shares or otherwise be in the best interests of our shareholders. Currently, no preferred shares are issued and outstanding.
Power to Increase or Decrease Authorized Shares of Beneficial Interest and Issue Additional Common Shares and Preferred Shares
Our declaration of trust authorizes our board of trustees to amend our declaration of trust to increase or decrease the number of authorized shares of beneficial interest to issue additional authorized but unissued common shares or preferred shares and to classify or reclassify unissued common shares or preferred shares and thereafter to issue such classified or reclassified shares of beneficial interest. The additional classes or series, as well as the common shares, will be available for issuance without further action by our shareholders, unless such action is required by applicable law or the rules of any stock exchange or automated quotation system on which our securities may be listed or traded. Although our board of trustees presently does not intend to do so, it could authorize us to issue a class or series that could, depending upon the terms of the particular class or series, delay, defer or prevent a change in control or other transaction that might involve a premium price for our common shares or otherwise be in the best interests of our shareholders.
Restrictions on Ownership and Transfer
For us to qualify as a REIT under the Internal Revenue Code of 1986, as amended, or the Code, our shares of beneficial interest must be beneficially owned by 100 or more persons during at least 335 days of a taxable year of 12 months (other than the first year for which an election to be a REIT has been made) or during a proportionate part of a shorter taxable year. Also, not more than 50% of the value of our outstanding shares of beneficial interest may be owned, directly or indirectly, by five or fewer individuals (as defined in the Code to include certain entities) during the last half of a taxable year (other than the first year for which an election to be a REIT has been made).
Because our board of trustees believes it is at present in our best interests to qualify as a REIT, among other purposes, our declaration of trust, subject to certain exceptions, restricts the amount of our shares of beneficial interest that a person may beneficially or constructively own. Our declaration of trust provides that, subject to certain exceptions, no person may beneficially or constructively own more than 9.8% in value or in number of shares, whichever is more restrictive, of the outstanding shares of any class or series of our shares of beneficial interest.

Our declaration of trust also prohibits any person from (i) beneficially owning shares of beneficial interest to the extent that such beneficial ownership would result in our being “closely held” within the meaning of Section 856(h) of the Code (without regard to whether the ownership interest is held during the last half of the taxable year), (ii) transferring our shares of beneficial interest to the extent that such transfer would result in our shares of beneficial interest being beneficially owned by less than 100 persons (determined under the principles of Section 856(a)(5) of the Code), (iii) beneficially or constructively owning our shares of beneficial interest to the extent such beneficial or constructive ownership would cause us to constructively own ten percent or more of the ownership interests in a tenant (other than a taxable REIT subsidiary, or TRS) of our real property within the meaning of Section 856(d)(2)(B) of the Code or (iv) beneficially or constructively owning or transferring our shares of beneficial interest if such ownership or transfer would otherwise cause us to fail to qualify as a REIT under the Code, including, but not limited to, as a result of any hotel management companies failing to qualify as “eligible independent contractors” under the REIT rules of the Code. Any person who acquires or attempts or intends to acquire beneficial or constructive ownership of our shares of beneficial interest that will or may violate any of the foregoing restrictions on transferability and ownership, or any person who would have owned our shares of beneficial interest that resulted in a transfer of shares to a charitable trust, is required to give written notice immediately to us, or in the case of a proposed or attempted transaction, to give at least 15 days prior written notice, and provide us with such other information as we may request in order to determine the effect, if any, of such transfer on our status as a REIT. The foregoing restrictions on ownership and transfer will not apply if our board of trustees determines that it is no longer in our best interests to continue to qualify as a REIT or that compliance is no longer required in order for us to qualify as a REIT.
Our board of trustees, in its sole discretion, may prospectively or retroactively exempt a person from certain of the limits described in the paragraph above and may establish or increase an excepted holder percentage limit for such person. The person seeking an exemption must provide to our board of trustees such representations, covenants and undertakings as our board of trustees may deem appropriate in order to conclude that granting the exemption will not cause us to lose our status as a REIT. Our board of trustees may not grant such an exemption to any person if such exemption would result in our failing to qualify as a REIT. Our board of trustees may require a ruling from the Internal Revenue Service, or the IRS, or an opinion of counsel, in either case in form and substance satisfactory to the board of trustees, in its sole discretion, in order to determine or ensure our status as a REIT. Our board of trustees may impose such conditions or restrictions as it deems appropriate in connection with granting an exemption.
Any attempted transfer of our shares of beneficial interest which, if effective, would violate any of the restrictions described above will result in the number of shares causing the violation to be automatically transferred to a trust for the exclusive benefit of one or more charitable beneficiaries, except that any transfer that results in the violation of the restriction relating to our shares of beneficial interest being beneficially owned by fewer than 100 persons will be void  ab initio . In either case, the proposed transferee will not acquire any rights in such shares. The automatic transfer will be deemed to be effective as of the close of business on the business day prior to the date of the purported transfer or other event that results in the transfer to the trust. Shares held in the trust will be issued and outstanding shares. The proposed transferee will not benefit economically from ownership of any shares held in the trust, will have no rights to dividends or other distributions and will have no rights to vote or other rights attributable to the shares held in the trust. The trustee of the trust will have all voting rights and rights to dividends or other distributions with respect to shares held in the trust. These rights will be exercised for the exclusive benefit of the charitable beneficiary. Any dividend or other distribution paid prior to our discovery that shares have been transferred to the trust will be paid by the recipient to the trustee upon demand. Any dividend or other distribution authorized but unpaid will be paid when due to the trustee. Any dividend or other distribution paid to the trustee will be held in trust for the charitable beneficiary. Subject to Maryland law, the trustee will have the authority (i) to rescind as void any vote cast by the proposed transferee prior to our discovery that the shares have been transferred to the trust and (ii) to recast the vote in accordance with the desires of the trustee acting for the benefit of the charitable beneficiary. However, if we have already taken irreversible trust action, then the trustee will not have the authority to rescind and recast the vote.
Within 20 days of receiving notice from us that shares of beneficial interest have been transferred to the trust, the trustee will sell the shares to a person designated by the trustee, whose ownership of the shares will not violate the above ownership and transfer restrictions. Upon the sale, the interest of the charitable beneficiary in the shares sold will terminate and the trustee will distribute the net proceeds of the sale to the proposed transferee and to the charitable beneficiary as follows. The proposed transferee will receive the lesser of (i) the price paid by the proposed transferee for the shares or, if the event causing the shares to be held in the trust did not involve a purchase of the shares at market price (as defined in our declaration of trust), the market price of the shares on day of the event causing the shares to be held in the trust and (ii) the price received by the trustee (net of any commission and other expenses of sale) from the sale or other disposition of the shares. The trustee may reduce the amount payable to the proposed transferee by the amount of dividends or other distributions paid to the proposed transferee and owed by the proposed transferee to the trustee. Any net sale proceeds in excess of the amount payable to the proposed transferee will be paid immediately to the charitable beneficiary. If, prior to our discovery that our shares have been 

transferred to the trust, the shares are sold by the proposed transferee, then (i) the shares shall be deemed to have been sold on behalf of the trust and (ii) to the extent that the proposed transferee received an amount for the shares that exceeds the amount he or she was entitled to receive, the excess shall be paid to the trustee upon demand.
In addition, shares of beneficial interest held in the trust will be deemed to have been offered for sale to us, or our designee, at a price per share equal to the lesser of (i) the price per share in the transaction that resulted in the transfer to the trust or, if the event causing the shares to be held in trust did not involve a purchase of the shares at market price, the market price of the shares on the day of the event causing the shares to be held in trust and (ii) the market price on the date we, or our designee, accept the offer, which we may reduce by the amount of dividends and other distributions paid to the proposed transferee and owed by the proposed transferee to the trustee. We will have the right to accept the offer until the trustee has sold the shares. Upon a sale to us, the interest of the charitable beneficiary in the shares sold will terminate and the trustee will distribute the net proceeds of the sale to the proposed transferee and the charitable beneficiary and any dividends or other distributions held by the trustee shall be paid to the charitable beneficiary.
If a transfer to a charitable trust, as described above, would be ineffective for any reason to prevent a violation of a restriction, the transfer that would have resulted in such violation will be void  ab initio , and the proposed transferee shall acquire no rights in such shares.
Every owner of more than 5% (or such lower percentage as required by the Code or the regulations promulgated thereunder) of our shares of beneficial interest, within 30 days after the end of each taxable year, is required to give us written notice, stating his or her name and address, the number of shares of each class and series of our shares of beneficial interest that he or she beneficially owns and a description of the manner in which the shares are held. Each such owner is required to provide us with such additional information as we may request in order to determine the effect, if any, of his or her beneficial ownership on our status as a REIT and to ensure compliance with the ownership limits. In addition, each shareholder will upon demand be required to provide us with such information as we may request in good faith in order to determine our status as a REIT and to comply with the requirements of any taxing authority or governmental authority or to determine such compliance.
These ownership and transfer restrictions could delay, defer or prevent a transaction or a change in control that might involve a premium price for our shares or otherwise be in the best interest of our shareholders.
Stock Exchange Listing
Our common shares are listed on the NYSE under the symbol “CLDT.”

Transfer Agent and Registrar
The transfer agent and registrar for our common shares is EQ Shareholder Services.

Number of Trustees; Vacancies

Our declaration of trust and bylaws provide that the number of our trustees may be established by our board of trustees but may not be more than 15. Our declaration of trust also provides that, at such time as we have at least three independent trustees and a class of our common shares or preferred shares is registered under the Exchange Act, we elect to be subject to the provision of Subtitle 8 of Title 3 of the MGCL regarding the filling of vacancies on our board of trustees. Accordingly, except as may be provided by our board of trustees in setting the terms of any class or series of shares, any and all vacancies on our board of trustees may be filled only by the affirmative vote of a majority of the remaining trustees in office, even if the remaining trustees do not constitute a quorum, and any individual elected to fill such vacancy will serve for the remainder of the full term in which the vacancy occurred and until a successor is duly elected and qualifies.

Each of the members of our board of trustees are elected by our shareholders annually. A plurality of all votes cast on the matter at a meeting of shareholders at which a quorum is present is sufficient to elect a trustee. The presence in person or by proxy of shareholders entitled to cast a majority of all the votes entitled to be cast at a meeting constitutes a quorum.

Policy on Majority Voting

Our board of trustees has adopted a policy regarding the election of trustees in uncontested elections. Pursuant to the policy, in an uncontested election of trustees, any nominee who receives a greater number of votes affirmatively withheld from his or her election than votes for his or her election will, within two weeks following certification of the shareholder vote by our company, submit a written resignation offer to our board of trustees for consideration by our Nominating and Corporate Governance Committee. Our Nominating and Corporate Governance Committee will consider the resignation offer and, within 60 days following certification by our company of the shareholder vote with respect to such election, will make a recommendation to our board of trustees concerning the acceptance or rejection of the resignation offer. Our board of trustees will take formal action on the recommendation no later than 90 days following certification of the shareholder vote by our company. We will publicly disclose the decision of our board of trustees. Our board of trustees will also provide an explanation of the process by which the decision was made and, if applicable, its reason or reasons for rejecting the tendered resignation.

Removal of Trustees

Our declaration of trust provides that, subject to the rights of holders of any class or series of preferred shares, a trustee may be removed only for “cause,” and then only by the affirmative vote of at least two-thirds of the votes entitled to be cast generally in the election of trustees. For this purpose, “cause” means, with respect to any particular trustee, conviction of a felony or a final judgment of a court of competent jurisdiction holding that such trustee caused demonstrable, material harm to us through bad faith or active and deliberate dishonesty. These provisions, when coupled with the exclusive power of our board of trustees to fill vacancies on our board of trustees, generally precludes shareholders from removing incumbent trustees except for “cause” and with a substantial affirmative vote and filling the vacancies created by such removal with their own nominees.

Business Combinations

Under Maryland law, certain “business combinations” between a Maryland real estate investment trust and an interested shareholder or an affiliate of an interested shareholder are prohibited for five years after the most recent date on which the interested shareholder becomes an interested shareholder. These business combinations include a merger, consolidation, statutory share exchange, or, in circumstances specified in the statute, an asset transfer or issuance or reclassification of equity securities. An interested shareholder is defined as:

 any person who beneficially owns, directly or indirectly, ten percent or more of the voting power of the real estate investment trust’s voting shares; or

 an affiliate or associate of the real estate investment trust who, at any time within the two-year period prior to the date in question, was the beneficial owner, directly or indirectly, of ten percent or more of the voting power of the then outstanding voting shares of the real estate investment trust.

A person is not an interested shareholder under the statute if the board of trustees approved in advance the transaction by which he otherwise would have become an interested shareholder. However, in approving a transaction, the board of trustees may provide that its approval is subject to compliance, at or after the time of approval, with any terms and conditions determined by the board.

After the five-year prohibition, any business combination between the Maryland real estate investment trust and an interested shareholder generally must be recommended by the board of trustees of the trust and approved by the affirmative vote of at least:

 80% of the votes entitled to be cast by holders of outstanding voting shares of the real estate investment trust; and
two-thirds of the votes entitled to be cast by holders of voting shares of the real estate investment trust other than shares held by the interested shareholder with whom or with whose affiliate the business combination is to be effected or held by an affiliate or associate of the interested shareholder.

These super majority approval requirements do not apply if the real estate investment trust’s common shareholders receive a minimum price, as defined under Maryland law, for their shares in the form of cash or other consideration in the same form as previously paid by the interested shareholder for its shares.

The statute permits various exemptions from its provisions, including business combinations that are exempted by the board of trustees before the time that the interested shareholder becomes an interested shareholder.

Pursuant to the statute, our board of trustees has by resolution exempted business combinations between us and any other person from these provisions of the MGCL, provided that the business combination is first approved by our board of trustees, including a majority of trustees who are not affiliates or associates of such person, and, consequently, the five year prohibition and the supermajority vote requirements will not apply to such business combinations. As a result, any person may be able to enter into business combinations with us that may not be in the best interests of our shareholders without compliance by us with the supermajority vote requirements and other provisions of the statute. This resolution, however, may be altered or repealed in whole or in part at any time. If this resolution is repealed, or our board of trustees does not otherwise approve a business combination, the statute may discourage others from trying to acquire control of us and increase the difficulty of consummating any offer.

Control Share Acquisitions

Maryland law provides that control shares of a Maryland real estate investment trust acquired in a control share acquisition have no voting rights except to the extent approved by the affirmative vote of two-thirds of the votes entitled to be cast on the matter. Shares owned by the acquiror, by officers or by employees who are trustees of the trust are excluded from shares entitled to vote on the matter. Control Shares are voting shares which, if aggregated with all other shares owned by the acquiror or in respect of which the acquiror is able to exercise or direct the exercise of voting power (except solely by virtue of a revocable proxy), would entitle the acquiror to exercise voting power in electing trustees within one of the following ranges of voting power:

						
		one-tenth or more but less than one-third,

						
		one-third or more but less than a majority, or

						
		a majority or more of all voting power.

Control shares do not include shares the acquiring person is then entitled to vote as a result of having previously obtained shareholder approval or shares acquired directly from the real estate investment trust. A control share acquisition means the acquisition of control shares, subject to certain exceptions.

A person who has made or proposes to make a control share acquisition may compel the board of trustees of the trust to call a special meeting of shareholders to be held within 50 days of demand to consider the voting rights of the shares. The right to compel the calling of a special meeting is subject to the satisfaction of certain conditions, including an undertaking to pay the expenses of the meeting. If no request for a meeting is made, the real estate investment trust may itself present the question at any shareholders meeting.

If voting rights are not approved at the meeting or if the acquiring person does not deliver an acquiring person statement as required by the statute, then the real estate investment trust may redeem for fair value any or all of the control shares, except those for which voting rights have previously been approved. The right of the real estate investment trust to redeem control shares is subject to certain conditions and limitations. Fair value is determined, without regard to the absence of voting rights for the control shares, as of the date of the last control share acquisition by the acquiror or of any meeting of shareholders at which the voting rights of the shares are considered and not approved. If voting rights for control shares are approved at a shareholders meeting and the acquiror becomes entitled to vote a majority of the shares entitled to vote, all other shareholders may exercise appraisal rights. The fair value of the shares as determined for purposes of appraisal rights may not be less than the highest price per share paid by the acquiror in the control share acquisition.

The control share acquisition statute does not apply (a) to shares acquired in a merger, consolidation or share exchange if the real estate investment trust is a party to the transaction, or (b) to acquisitions approved or exempted by the declaration of trust or bylaws of the real estate investment trust.

Our bylaws contain a provision exempting from the control share acquisition statute any and all acquisitions by any person of our shares. There is no assurance that such provision will not be amended or eliminated at any time in the future.

Subtitle 8

Subtitle 8 of Title 3 of the MGCL permits a Maryland real estate investment trust with a class of equity securities registered under the Exchange Act and at least three independent trustees to elect to be subject, by provision in its declaration of trust or bylaws or a resolution of its board of trustees and notwithstanding any contrary provision in the declaration of trust or bylaws, to any or all of five provisions:

						
		a classified board;

						
		a two-thirds vote of outstanding shares for removing a trustee;

						
		a requirement that the number of trustees be fixed only by vote of the trustees;

						
		a requirement that a vacancy on the board be filled only by the remaining trustees and for the remainder of the full term of the class of trustees in which the vacancy occurred; and

						
		a majority requirement for the calling of a shareholder-requested special meeting of shareholders.

We have elected to be subject to the provision of Subtitle 8 that requires that vacancies on our board may be filled only by the remaining trustees and for the remainder of the full term of the trusteeship in which the vacancy occurred. Through provisions in our declaration of trust and bylaws unrelated to Subtitle 8, we already (1) require the affirmative vote of the holders of not less than two-thirds of all of the votes entitled to be cast on the matter for the removal of any trustee from the board, which removal will be allowed only for cause, (2) vest in the board the exclusive power to fix the number of trusteeships and (3) provide that special meetings of our shareholders may only be called by our chairman, chief executive officer, president and board of trustees.

Meetings of Shareholders

Pursuant to our declaration of trust and bylaws, a meeting of our shareholders for the purpose of the election of trustees and the transaction of any business will be held annually on a date and at the time and place set by our board of trustees. In addition, our chairman, chief executive officer, president or board of trustees may call a special meeting of our shareholders.

Mergers; Extraordinary Transactions

Under the MRL, a Maryland real estate investment trust generally cannot merge with, or convert into, another entity unless advised by its board of trustees and approved by the affirmative vote of shareholders holding at least two-thirds of the shares entitled to vote on the matter unless a lesser percentage (but not less than a majority of all of the votes entitled to be cast on the matter) is set forth in the trust’s declaration of trust. Our declaration of trust provides that these actions may be approved by the affirmative vote of a majority of all of the votes entitled to be cast on the matter. Our declaration of trust also provides that we may sell or transfer all or substantially all of our assets if advised by our board of trustees and approved by the affirmative vote of a majority of all the votes entitled to be cast on the matter. However, many of our operating assets are held by our subsidiaries, and these subsidiaries may be able to sell all or substantially all of their assets or merge with another entity without the approval of our shareholders.

Amendment to Our Declaration of Trust and Bylaws

Under the MRL, a Maryland real estate investment trust generally cannot amend its declaration of trust unless advised by its board of trustees and approved by the affirmative vote of shareholders entitled to cast at least two-thirds of the votes entitled to be cast on the matter unless a different percentage (but not less than a majority of all of the votes entitled to be cast on the matter) is set forth in the trust’s declaration of trust.

Except for amendments to the provisions of our declaration of trust related to the removal of trustees and the vote required to amend the provision regarding amendments to the removal provisions itself (each of which require the affirmative vote of the holders of not less than two-thirds of all the votes entitled to be cast on the matter) and certain amendments 

described in our declaration of trust that require only approval by our board of trustees, our declaration of trust may be amended only if advised by our board of trustees and approved by the affirmative vote of at least a majority of all of the votes entitled to be cast on the matter.

Our board of trustees has the exclusive power to adopt, alter or repeal any provision of our bylaws and to make new bylaws.

Our Termination

Our declaration of trust provides for us to have a perpetual existence. Our termination must be approved by a majority of our entire board of trustees and the affirmative vote of the holders of not less than a majority of all of the votes entitled to be cast on the matter.

Advance Notice of Trustee Nominations and New Business

Our bylaws provide that, with respect to an annual meeting of shareholders, nominations of individuals for election to our board of trustees at an annual meeting and the proposal of business to be considered by shareholders may be made only (1) pursuant to our notice of the meeting, (2) by or at the direction of our board of trustees or (3) by a shareholder of record both at the time of giving notice and at the time of the annual meeting who is entitled to vote at the meeting and has complied with the advance notice provisions set forth in our bylaws. Our bylaws currently require the shareholder generally to provide notice to the secretary containing the information required by our bylaws not less than 120 days nor more than 150 days prior to the first anniversary of the date of our proxy statement for the solicitation of proxies for election of trustees at the preceding year’s annual meeting.

With respect to special meetings of shareholders, only the business specified in our notice of meeting may be brought before the meeting. Nominations of individuals for election to our board of trustees at a special meeting may be made only (1) by or at the direction of our board of trustees or (2) provided that our board of trustees has determined that trustees will be elected at such meeting, by a shareholder of record at the time of giving notice and who is entitled to vote at the meeting in the election of each individual so nominated and has complied with the advance notice provisions set forth in our bylaws. Such shareholder may nominate one or more individuals, as the case may be, for election as a trustee if the shareholder’s notice containing the information required by our bylaws is delivered to the secretary not earlier than the 120th day prior to such special meeting and not later than 5:00 p.m., eastern time, on the later of (1) the 90th day prior to such special meeting or (2) the tenth day following the day on which public announcement is first made of the date of the special meeting and the proposed nominees of our board of trustees to be elected at the meeting.

Exclusive Forum

Our bylaws provide that, unless we consent in writing to the selection of an alternative forum, the Circuit Court for Baltimore City, Maryland, or, if that court does not have jurisdiction, the United States District Court for the District of Maryland, Baltimore Division, will be the sole and exclusive forum for (a) any derivative action or proceeding brought on our behalf, (b) any action asserting a claim of breach of any duty owed by any of our trustees, officers or other employees to us or to our shareholders, (c) any action asserting a claim against us or any of our trustees, officers or other employees arising pursuant to any provision of the MRL, the MGCL (to the extent applicable to us) or our declaration of trust or bylaws or (d) any action asserting a claim against us or any of our trustees, officers or other employees that is governed by the internal affairs doctrine.

Anti-takeover Effect of Certain Provisions of Maryland Law and of Our Declaration of Trust and Bylaws

If the applicable exemption in our bylaws is repealed and the applicable resolution of our board of trustees is repealed, the control share acquisition provisions and the business combination provisions of the MGCL, respectively, as well as the provisions in our declaration of trust and bylaws, as applicable, on removal of trustees and the filling of trustee vacancies and the restrictions on ownership and transfer of shares of beneficial interest, together with the advance notice and shareholder-requested special meeting provisions of our bylaws, alone or in combination, could serve to delay, deter or prevent a transaction or a change in our control that might involve a premium price for holders of our common shares or otherwise be in their best interests.

Indemnification and Limitation of Trustees’ and Officers’ Liability

Maryland law permits a Maryland real estate investment trust to include in its declaration of trust a provision limiting the liability of its trustees and officers to the trust and its shareholders for money damages except for liability resulting from (a) actual receipt of an improper benefit or profit in money, property or services or (b) active or deliberate dishonesty established by a final judgment and is material to the cause of action. Our declaration of trust contains a provision which limits the liability of our trustees and officers to the maximum extent permitted by Maryland law.

Our declaration of trust permits us and our bylaws obligate us, to the maximum extent permitted by Maryland law, to indemnify and to pay or reimburse reasonable expenses in advance of final disposition of a proceeding to (a) any present or former trustee or officer or (b) any individual who, while a trustee or officer and at our request, serves or has served another real estate investment trust, corporation, partnership, limited liability company, joint venture, trust, employee benefit plan or any other enterprise as a trustee, director, officer, partner, member or manager and who is made or is threatened to be made a party to the proceeding by reason of his or her service in any such capacity, from and against any claim or liability to which that individual may become subject or which that individual may incur by reason of his or her service in any such capacity and to pay or reimburse his or her reasonable expenses in advance of final disposition of a proceeding. Our declaration of trust and bylaws also permit us to indemnify and advance expenses to any person who served a predecessor of our company in any of the capacities described above and to any employee or agent of our company or a predecessor of our company. Maryland law requires us to indemnify a trustee or officer who has been successful, on the merits or otherwise, in the defense of any proceeding to which he or she is made a party by reason of his or her service in that capacity.

The MRL permits a Maryland real estate investment trust to indemnify and advance expenses to its trustees, officers, employees and agents to the same extent as permitted for directors and officers of Maryland corporations. The MGCL permits a Maryland corporation to indemnify its present and former directors and officers, among others, against judgments, penalties, fines, settlements and reasonable expenses actually incurred by them in connection with any proceeding to which they may be a party by reason of their service in those or other capacities unless it is established that (a) the act or omission of the director or officer was material to the matter giving rise to the proceeding and (i) was committed in bad faith or (ii) was a result of active and deliberate dishonesty, (b) the director or officer actually received an improper personal benefit in money, property or services or (c) in the case of any criminal proceeding, the director or officer has reasonable cause to believe that the act or omission was unlawful. However, a Maryland corporation may not indemnify for an adverse judgment in a suit by or in the right if the corporation or if the director or officer was adjudged to be liable on the basis that a personal benefit was improperly received, unless in either case a court orders indemnification and then only for expenses. The MGCL requires us, as a condition to advancing expenses, to obtain (a) a written affirmation by the trustee or officer of his or her good faith belief that he or she has met the standard of conduct necessary for indemnification and (b) a written statement by or on his or her behalf to repay the amount paid or reimbursed by us if it shall ultimately be determined that the standard of conduct was not met.

We have entered into indemnification agreements with our trustees and our executive officers providing for procedures for indemnification by us to the fullest extent permitted by law and advancements by us of certain expenses and costs relating to claims, suits or proceedings arising from their service to us.

REIT Qualification

Our declaration of trust provides that our board of trustees may revoke or otherwise terminate our REIT election, without approval of our shareholders, if it determines that it is no longer in our best interests to continue to qualify as a REIT.Exhibit 10.1

 

GARMIN LTD.

2005 EQUITY INCENTIVE PLAN

as amended and restated on June 7, 2019

RESTRICTED STOCK UNIT AWARD AGREEMENT

 

(Performance-Based and Time-Based Vesting)

(For Executive Officers - Switzerland)

 

	To:	_______________________ (“you”
or the “Grantee”)
	 	 
	Date of Grant: 	_______________________
	 	 
	Performance Year:	_______________________
	 	 
	Total Shares Subject to RSUs:	_______________________ (the
“Eligible Shares”)

 

Notice
of Grant:

 

You have been granted
restricted stock units (“RSUs”) relating to the shares, CHF 0.10 par value per share, of Garmin Ltd. (“Shares”),
subject to the terms and conditions of the Garmin Ltd. 2005 Equity Incentive Plan, as amended and restated on June 7, 2019 (the
“Plan”) and the Award Agreement between you and Garmin Ltd. (the “Company”), attached as Exhibit
A. Accordingly, based on the satisfaction of the applicable performance-based and time-based vesting conditions set forth in this
Notice of Grant, Exhibit A and Exhibit B, the Company agrees to pay you Shares as follows:

 

		●	The
                                         number of Shares that may be issued under this Agreement is a percentage (ranging from
                                         0% to 100% or higher, as set forth in Exhibit B) of the Eligible Shares. The percentage
                                         of the Eligible Shares eligible to be issued, if any (the “Earned Shares”),
                                         is based on the satisfaction of one or more of the preestablished performance goals (the
                                         “Performance Goals”) for the Company’s fiscal year listed above
                                         opposite the heading “Performance Year” and the applicable weighting percentage
                                         of each such goal. The performance goals and applicable weighting percentages for each
                                         goal are set forth and described in Exhibit B to this Agreement.

 

		●	At
                                         a meeting of the Company’s Compensation Committee following the end of the Performance
                                         Year (the “Certification Date”), the Company’s Compensation Committee
                                         will assess the achieved level of performance and certify the goal(s) achievement.

 

		●	Any
                                         Earned Shares will be issued in three equal installments commencing within 30 days of
                                         the Certification Date and each anniversary thereof, provided you are employed
                                         with the Company on each such date.

  

In order to fully understand your rights
under the Plan (a copy of which is attached) and the Award Agreement (the “Award Agreement”), attached as Exhibit
A, you are encouraged to read the Plan and this document carefully. Please refer to the Plan document for the definition of otherwise
undefined capitalized terms used in this Agreement.

 

    1

     

    

 

By accepting these RSUs, you are also
agreeing to be bound by Exhibits A and B, including the restrictive covenants in Section 7 of Exhibit A.

 

	 	GARMIN LTD. 
	 	 	 
	 	By:	 
	 	Name: 	Clifton A. Pemble
	 	Title:	President and CEO

 

	Grantee:	 
	 	 
	 	 
	Date:	 	 

 

    2

     

    

 

EXHIBIT A

 

AGREEMENT:

 

In consideration of
the mutual promises and covenants contained herein and other good and valuable consideration paid by the Grantee to the Company,
the Grantee and the Company agree as follows:

 

Section
1. Incorporation of Plan

 

All provisions of this
Award Agreement and the rights of the Grantee hereunder are subject in all respects to the provisions of the Plan and the powers
of the Board therein provided. Capitalized terms used in this Award Agreement but not defined shall have the meaning set forth
in the Plan.

 

Section
2. Grant of RSUs

 

		(a)	Calculation of Earned Shares. As of the Date of Grant identified
above, the Company grants to you, subject to the terms and conditions set forth herein and in the Plan, the opportunity to receive
the product of (i) the Eligible Shares and (ii) the “Aggregate Vesting Percentage” as calculated under Section 3, such
product the “Earned Shares”. If the application of this Section 2(a) results in a fractional Earned Share, the
number of Earned Shares shall be rounded up to the nearest whole Share. 

 

		(b)	Vesting and Delivery of Earned Shares. Provided you are employed
(and at all times since the Date of Grant have been employed) by the Company on a Full-Time Basis (which, for purposes of this
Award Agreement, means regularly scheduled to work 30 hours or more per week) and unless your right to receive the Earned Shares
has been forfeited pursuant to Sections 3 or 4 below, then (subject to Section 13 below) you will be paid one-third (1/3) of the
Earned Shares within 30 days of the Certification Date (as defined on the Notice of Grant), one-third (1/3) of the Earned Shares
on the first anniversary of the Certification Date and one-third of the Earned Shares on the second anniversary of the Certification
Date. If any of the first or second anniversaries of the Certification Date is a Saturday or Sunday or any other non-business day,
then you will be paid the Earned Shares payable on that date on the next business day. For purposes of this Agreement, except where
the Board otherwise determines, a Grantee who, immediately before taking a Company-approved leave of absence, was employed on a
Full-Time Basis will be considered employed on a Full-Time Basis during the period of such Company-approved leave. 

 

Section
3. Calculation of Aggregate Vesting Percentage; Forfeiture of Unearned Shares

 

The “Aggregate
Vesting Percentage” is the total of the individual vesting percentages for each of the achieved Performance Goals for
the Performance Year as set forth on Exhibit B. All Eligible Shares, if any, which, due to the Aggregate Vesting Percentage being
less than 100% do not become Earned Shares shall be immediately forfeited as of the Certification Date.

 

    3

     

    

 

Section
4. Effect of Termination of Affiliation or Cessation as Full-Time Employee

 

If you have a Termination
of Affiliation or cease to be employed on a Full-Time Basis for any reason, including termination by the Company with or without
Cause, voluntary resignation, change in employment status from full-time to part-time, death, or Disability, the effect of such
Termination of Affiliation or ceasing to be employed on a Full-Time Basis on all or any portion of the RSUs is as provided below.

 

		(a)	If you have a Termination of Affiliation on account of death or Disability
after the Certification Date, any Earned Shares that were forfeitable immediately before such Termination of Affiliation shall
thereupon become nonforfeitable and the Company shall, promptly settle all such Earned Shares by delivery to you (or, after your
death, to your personal representative or designated beneficiary) a number of unrestricted Shares equal to the aggregate number
of your remaining Earned Shares;

 

		(b)	If you have a Termination of Affiliation on account of death or Disability
before the Certification Date, within 30 days following the Certification Date the Company shall settle that number of your Eligible
Shares which would have become Earned Shares as of the Certification Date but for your death or Disability;

 

		(c)	If you have a Termination of Affiliation after the Certification
Date and during the period (“Change of Control Period”) commencing on a Change of Control and ending on the first
anniversary of the Change of Control, which Termination of Affiliation is initiated by the Company or a Subsidiary other than for
Cause, or initiated by the Grantee for Good Reason, then any Earned Shares that were forfeitable at the time of such Termination
of Affiliation shall thereupon become nonforfeitable and the Company shall immediately settle all Earned Shares by delivery to
you of a number of unrestricted Shares equal to the aggregate number of your remaining Earned Shares; 

 

		(d)	If you have a Termination of Affiliation before the Certification
Date and during the Change of Control Period, which Termination of Affiliation is initiated by the Company or a Subsidiary other
than for Cause, or initiated by the Grantee for Good Reason, then all of your Eligible Shares that would have become Earned Shares
as of the Certification Date but for such Termination of Affiliation shall thereupon become Earned Shares and nonforfeitable and
the Company shall within 30 days of the Certification Date settle all such Earned Shares by delivery to you a number of unrestricted
Shares equal to the aggregate number of your Earned Shares;

 

		(e)	If you have a Termination of Affiliation for Cause or for any reason
other than for (i) death or Disability or (ii) under the circumstances described above in Section 4(c) or (d), then your Eligible
Shares (to the extent such Termination of Affiliation occurs before the Certification Date) or your Earned Shares (to the extent
such Termination of Affiliation occurs after the Certification Date), to the extent forfeitable immediately before such Termination
of Affiliation and to the extent permitted by the applicable Swiss law, shall thereupon automatically be forfeited and you shall
have no further rights under this Award Agreement;

 

    4

     

    

 

		(f)	If you cease to be employed on a Full-Time Basis for any reason other
than as provided above in Sections 4(c) or (d), your Eligible Shares (to the extent such Termination of Affiliation occurs before
the Certification Date) or your Earned Shares (to the extent such Termination of Affiliation occurs after the Certification Date),
to the extent forfeitable immediately before such cessation of employment on a Full-Time Basis and to the extent permitted by applicable
Swiss law, shall thereupon automatically be forfeited and you shall have no further rights under this Award Agreement.

 

Section
5. Investment Intent

 

The Grantee agrees
that the Shares acquired pursuant to the vesting of one or more tranches of Earned Shares shall be acquired for his/her own account
for investment only and not with a view to, or for resale in connection with, any distribution or public offering thereof within
the meaning of the Securities Act of 1933 (the “1933 Act”) or other applicable securities laws. The Company may, but
in no event shall be required to, bear any expenses of complying with the 1933 Act, other applicable securities laws or the rules
and regulations of any national securities exchange or other regulatory authority in connection with the registration, qualification,
or transfer, as the case may be, of this Award Agreement or any Shares acquired hereunder. The foregoing restrictions on the transfer
of the Shares shall be inoperative if (a) the Company previously shall have been furnished with an opinion of counsel, satisfactory
to it, to the effect that such transfer will not involve any violation of the 1933 Act and other applicable securities laws or
(b) the Shares shall have been duly registered in compliance with the 1933 Act and other applicable state or federal securities
laws. If this Award Agreement, or the Shares subject to this Award Agreement, are so registered under the 1933 Act, the Grantee
agrees that he will not make a public offering of the said Shares except on a national securities exchange on which the shares
of the Company are then listed.

 

Section
6. Nontransferability of RSUs, Eligible Shares and Earned Shares

 

No rights under this
Award Agreement relating to the RSUs or any undelivered Eligible Shares or Earned Shares may be sold, transferred, pledged, assigned,
or otherwise alienated or hypothecated, including, unless specifically approved by the Company, any purported transfer to a current
spouse or former spouse in connection with a legal separation or divorce proceeding. All rights with respect to the RSUs or any
undelivered Eligible Shares or Earned Shares granted to the Grantee shall be available during his or her lifetime only to the Grantee.

 

Section
7. Restrictive Covenants

 

To the extent permitted
by applicable law, as a condition of this Award Agreement, the Grantee’s right to the RSUs or any Eligible Shares or Earned Shares,
and in addition to any restrictive agreements the Grantee may have entered into with the Company, the Grantee accepts and agrees
to be bound as follows:

 

		(a)	Nondisclosure of Award Agreement Terms. The Grantee
agrees not to disclose or cause to be disclosed at any time, nor authorize anyone to disclose any information concerning this Award
Agreement except (i) as required by law, or (ii) to the Grantee’s legal and financial advisors who agree to be bound by this Paragraph
7(a).

 

    5

     

    

 

		(b)	Noncompetition. During the Grantee’s employment and
until one year after the Grantee ceases being employed by or acting as a consultant or independent contractor to the Company or
any Subsidiary, the Grantee will not perform services as an employee, director, officer, consultant, independent contractor or
advisor, or invest in, whether in the form of equity or debt, or otherwise have an ownership interest in any company, entity or
person that directly competes anywhere in the United States, the United Kingdom, Taiwan, or in any other location outside the United
States, the United Kingdom or Taiwan where the Company or a Subsidiary conducts or (to the Grantee’s knowledge) plans to conduct
business. Nothing in this Section 7(b) shall, however, restrict the Grantee from making an investment in and owning up to one-percent
(1%) of the common stock of any company whose stock is listed on a national securities exchange or actively traded in an over-the-counter
market; provided that such investment does not give the Grantee the right or ability to control or influence the policy decisions
of any direct competitor of the Company or a Subsidiary.

 

		(c)	Noninterference. During the Grantee’s employment and
until one year after the Grantee ceases being employed by or acting as a consultant or independent contractor to the Company or
any Subsidiary, the Grantee will not, either directly or indirectly through another business or person, solicit, entice away, or
otherwise interfere with any employee, customer, prospective customer, vendor, prospective vendor, supplier or other similar business
relation or (to the Grantee’s knowledge) prospective business relation of the Company or any Subsidiary.

 

		(d)	Nonsolicitation. During the Grantee’s employment and
until one year after the Grantee ceases being employed by or acting as a consultant or independent contractor to the Company or
any Subsidiary, the Grantee will not, either directly or indirectly through another business or person, hire, recruit, employ,
or attempt to hire, recruit or employ, or facilitate any such acts by others, any person then currently employed by the Company
or any Subsidiary.

 

		(e)	Confidentiality. The Grantee acknowledges that it is
the policy of the Company and its subsidiaries to maintain as secret and confidential all valuable and unique information and techniques
acquired, developed or used by the Company and its Subsidiaries relating to their businesses, operations, employees and customers
(“Confidential Information”). The Grantee recognizes that the Confidential Information is the sole and exclusive
property of the Company and its subsidiaries, and that disclosure of Confidential Information would cause damage to the Company
and its Subsidiaries. The Grantee shall not at any time disclose or authorize anyone else to disclose any Confidential Information
or proprietary information that (A) is disclosed to or known by the Grantee as a result or as a consequence of or through the Grantee’s
performance of services for the Company or any Subsidiary, (B) is not publicly or generally known outside the Company and (C) relates
in any manner to the Company’s business. This obligation will continue even though the Grantee’s employment with the Company or
a Subsidiary may have terminated. This paragraph 7(e) shall apply in addition to, and not in derogation of any other confidentiality
agreements that may exist, now or in the future, between the Grantee and the Company or any Subsidiary.

 

    6

     

    

 

		(f)	No Detrimental Communications. The Grantee agrees not
to disclose or cause to be disclosed at any time any untrue, negative, adverse or derogatory comments or information about the
Company or any Subsidiary, about any product or service provided by the Company or any Subsidiary, or about prospects for the future
of the Company or any Subsidiary.

 

		(g)	Remedy. The Grantee acknowledges the consideration
provided herein (absent the Grantee’s agreement to this Section 7) is more than the Company is obligated to pay, and the Grantee
further acknowledges that irreparable harm would result from any breach of this Section and monetary damages would not provide
adequate relief or remedy. Accordingly, the Grantee specifically agrees that, if the Grantee breaches any of the Grantee’s obligations
under this Section 7, the Company and any Subsidiary shall be entitled to injunctive relief therefor, and in particular, without
limiting the generality of the foregoing, neither the Company nor any Subsidiary shall be precluded from pursuing any and all remedies
they may have at law or in equity for breach of such obligations. In addition, this Award Agreement and all of Grantee’s right
hereunder shall terminate immediately the first date on which the Grantee engages in such activity and the Board shall be entitled
on or after the first date on which the Grantee engages in such activity to require the Grantee to return any Shares obtained by
the Grantee’s upon vesting of any Earned Shares to the Company and to require the Grantee to repay any proceeds received at any
time from the sale of Shares obtained by the Grantee pursuant to the vesting of any Earned Shares (plus interest on such amount
from the date received at a rate equal to the prime lending rate as announced from time to time in The Wall Street Journal)
and to recover all reasonable attorneys’ fees and expenses incurred in terminating this Award Agreement and recovering such Shares
and proceeds.

 

Section
8. Status of the Grantee

 

The Grantee shall not
be deemed a shareholder of the Company with respect to any of the Shares subject to this Award Agreement until such time as the
underlying Shares shall have been issued to him or her. The Company shall not be required to issue or transfer any Shares pursuant
to this Award Agreement until all applicable requirements of law have been complied with and such Shares shall have been duly listed
on any securities exchange on which the Shares may then be listed. Grantee (i) is not entitled to receive any dividends or dividend
equivalents, whether such dividends would be paid in cash or in kind, or receive any other distributions made with respect to the
RSUs or any undelivered Eligible Shares or Earned Shares , and (ii) does not have nor may he or she exercise any voting rights
with respect to any of the RSUs or any undelivered Eligible Shares or Earned Shares, in both cases (i) and (ii) above, unless and
until the actual Shares underlying any Earned Shares have been delivered pursuant to this Award Agreement.

 

Section
9. No Effect on Capital Structure

 

This Award Agreement
shall not affect the right of the Company to reclassify, recapitalize or otherwise change its capital or debt structure or to merge,
consolidate, convey any or all of its assets, dissolve, liquidate, windup, or otherwise reorganize.

 

    7

     

    

 

Section
10. Adjustments

 

Notwithstanding any
provision herein to the contrary, in the event of any change in the number of outstanding Shares effected without receipt of consideration
therefor by the Company, by reason of a merger, reorganization, consolidation, recapitalization, separation, liquidation, stock
dividend, stock split, share combination or other change in the corporate structure of the Company affecting the Shares, the aggregate
number and class of Shares subject to this Award Agreement shall be automatically adjusted to accurately and equitably reflect
the effect thereon of such change; provided, however, that any fractional share resulting from such adjustment shall be eliminated.
In the event of a dispute concerning such adjustment, the decision of the Board shall be conclusive.

 

Section
11. Amendments 

 

This Award Agreement
may be amended only by a writing executed by the Company and the Grantee which specifically states that it is amending this Award
Agreement; provided that this Award Agreement is subject to the power of the Board to amend the Plan as provided therein. Except
as otherwise provided in the Plan, no such amendment shall materially adversely affect the Grantee’s rights under this Award Agreement
without the Grantee’s consent.

 

Section
12. Board Authority

 

Any questions concerning
the interpretation of this Award Agreement, any adjustments required to be made under Sections 10 or 11 of this Award Agreement,
and any controversy which arises under this Award Agreement shall be settled by the Board in its sole discretion.

 

Section
13. Withholding

 

At the time any of
the Earned Shares are delivered to you pursuant to this Award Agreement, the Company will be obligated to pay withholding and social
taxes on your behalf. Accordingly, the Company shall have the power to withhold, or require you to remit to the Company, an amount
sufficient to satisfy any such federal, state, local or foreign withholding tax or social tax requirements. At the Company’s discretion,
withholding may be taken from other compensation payable to you or may be satisfied by reducing the number of Shares deliverable
to you. If the Company elects to reduce the number of Shares deliverable to you and less than the full value of a Share is needed
to satisfy any applicable withholding taxes, the Company will distribute to you the value of the remaining fractional share in
cash in an amount equal to the Fair Market Value of a Share as of the Settlement Date multiplied by the remaining fractional Share.

 

Section
14. Notice

 

Whenever any notice
is required or permitted hereunder, such notice must be given in writing Any notice required or permitted to be delivered hereunder
shall be effective upon receipt thereof by the addressee The Company or the Grantee may change, at any time and from time to time,
by written notice to the other, the address specified for receiving notices. Until changed in accordance herewith, the Company’s
address for receiving notices shall be Garmin Ltd., Attention: General Counsel, Mühlentalstrasse 2, 8200 Schaffhausen, Switzerland.
Unless changed, the Grantee’s address for receiving notices shall be the last known address of the Grantee on the Company’s records.
It shall be the Grantee’s sole responsibility to notify the Company as to any change in his or her address. Such notification shall
be made in accordance with this Section 14.

 

    8

     

    

 

Section
15. Severability

 

If any part of this
Award Agreement is declared by any court or governmental authority to be unlawful or invalid, such unlawfulness or invalidity shall
not serve to invalidate any part of this Award Agreement not declared to be unlawful or invalid. Any part so declared unlawful
or invalid shall, if possible, be construed in a manner which gives effect to the terms of such part to the fullest extent possible
while remaining lawful and valid. Additionally, if any of the covenants in Section 7 are determined by a court to be unenforceable
in whole or in part because of such covenant’s duration or geographical or other scope, such court shall have the power to modify
the duration or scope of such provision as the case may be, so as to cause such covenant, as so modified, to be enforceable.

 

Section
16. Binding Effect

 

This Award Agreement
shall bind, and, except as specifically provided herein, shall inure to the benefit of the respective heirs, legal representatives,
successors and assigns of the parties hereto.

 

Section
17. Governing Law and Jurisdiction

 

This Award Agreement
and the rights of all persons claiming hereunder shall be construed and determined in accordance with the laws of the State of
Kansas without giving effect to the principles of the Conflict of Laws to the contrary. Except as otherwise provided by mandatory
forum requirements of the applicable law, the courts of the State of Kansas shall have exclusive jurisdiction with regard to any
disputes under the Plan. The Company shall retain, however, in addition the right to bring any claim in any other appropriate forum.

 

Section 18.  Shareholder Approval
and Company Clawback or Recoupment Policies

 

You acknowledge that
any award under the Notice of Grant may be subject to certain provisions of the Dodd-Frank Wall Street Reform and Consumer Protection
Act of 2010 (“Dodd-Frank”) that could require the Company to recover certain amounts of incentive compensation paid
to certain executive officers if the Company is required to prepare an accounting restatement due to the material noncompliance
of the Company with any financial reporting requirements under any applicable securities laws. By accepting this grant, whether
or not any compensation is ultimately paid hereunder, you agree and consent to any forfeiture or required recovery or reimbursement
obligations of the Company with respect to any compensation paid to you that is forfeitable or recoverable by the Company pursuant
to Dodd-Frank and in accordance with any Company policies and procedures adopted by the Compensation Committee in order to comply
with Dodd Frank, as the same may be amended from time to time.

 

    9

     

    

 

EXHIBIT B

 

[PERFORMANCE GOALS
AND WEIGHTING PERCENTAGE]

 

    10

     

    

 

 

APPENDIX TO RESTRICTED STOCK AWARD
AGREEMENT

 

This Appendix includes additional terms and conditions that
govern the Restricted Stock Unit awards if the Grantee is a member of the Company’s Executive Management.

 

You acknowledge that any award under this Notice of Grant is,
to the extent required by applicable Swiss law and the articles of association of the Company subject to approval by the general
meeting of shareholders of the Company and subject to recovery, forfeiture or clawback by the Company if and to the extent (i)
the award is granted prior to approval by the general meeting of shareholders and (ii) the first general meeting of shareholders
to whom the Company’s board of directors submits for approval the proposed amount of compensation for the period for which the
awards have been granted does not approve the proposal.

 

  

11

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