Document:

March 31, 2015 10K Exhibit 10.28

Exhibit 10.28

January 7, 2015 

Puneet Arora

   3905 Jamie Place

   San Ramon, Ca 94582

RE:SVP of Global Sales

Dear Puneet, 

On behalf of 8x8, Inc., a Delaware corporation (the "Company"), I am pleased to offer you the position of SVP of Global Sales beginning January 5, 2015. The terms of your new
employment relationship with the Company will be as set forth below and will be subject to the approval of the Company's Chief Executive Officer.

1.    Position.  You will become SVP of Global Sales. As such, you will have responsibilities as determined by the Company's Chief Executive Officer. Your duties and
responsibilities are subject to change depending on the needs of the Company.

2.    Compensation.

	Base Salary.  You will be paid an annualized salary of $275,000 payable in accordance with the Company's standard payroll policies subject to normal required
withholding.

	Salary Review.  Your base salary will be reviewed as part of the Company's normal salary review process.

	Expenses.  You will be reimbursed for all reasonable and necessary business expenses incurred in the performance of your duties as provided in the Company's
Employee Handbook.

3.    Commission Plan.  Starting with FQ4 2015 (January 5, 2015), while you are Senior Vice President of Global Sales you will be eligible to participate in a Commission
Incentive Plan, with a target annual commission of $150,000 earned quarterly  based on achievement of quarterly quota.  In month one and two of the quarter you will receive a
recoverable draw of $12,000 each month with a true up at quarter end based on actual quarterly results in accordance with your Incentive Compensation Plan.  In addition you will
receive an annual  $75,000 bonus tied to MBOs that will be determined by the Chief Executive Officer.  40% will be paid based on quarterly targets and 60% based on annual
targets. For FQ4 2015 you will have a commission of $37,500 at target and $18,750 bonus tied to MBOs as determined for FQ415 by the Chief Executive Officer. 

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4.    Stock Awards.

	Initial Equity Grants:  Subject to approval by the Board of Directors, you will receive the following awards of stock-based compensation, with the number of shares
subject to each award to be calculated by dividing the value of each award stated below based on 30 trading-day average closing price of a share of the Company's Common Stock
immediately prior to the grant date, and vesting commencing on the your start date:

	a nonstatutory stock option valued at $600,000 to purchase shares of Common Stock at an exercise price per share equal to Market Value on the grant date, vesting as to one-
fourth (1/4) of the shares subject to the option on the first anniversary of your start date and as to one thirty-sixth (1/36) of the remaining shares at the end of each consecutive
month thereafter , subject to your continued employment or other association with the Company;

	RSUs for shares of Common Stock valued at $300,000 which vest at a rate of one-fourth (1/4) of the shares after the 1st, 2nd, 3rd, 4th anniversary of your start date, subject to
your continued employment or other association with the Company.

	RSUs for shares of Common Stock valued at $150 ,000, which shares are subject to two vesting conditions: (A) none of such RSUs shall vest unless and until the average of
the Market Value of the Common Stock exceeds 150% of the Market Value on grant  date for at least one period of 30 consecutive trading-days during the four-year period following
your start date; and (B) if condition (A) is met, then 25% of such RSUs will vest on each consecutive anniversary of your start date, subject to your continued employment or other
association with the Company.  If condition (A) is met prior to an annual vesting date in condition (B), the unvested RSUs shall remain subject to the annual vesting requirement in
condition (B).  If condition (A) is not met within the four-year period, none of such RSUs will ever vest;

	RSUs for shares of Common Stock ("TSR Performance Shares") valued at $150,000, which shares will vest subject to your continued service and the performance of the price
per share of the Common Stock relative to the NASDAQ Composite Index ("'IXIC) over the following three measurement periods:

	25% of the TSR Performance Shares can be earned between the grant date and June 30, 2016;

	5013776% of the TSR Performance Shares can be earned between the grant date and June 30, 2017;

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	25% of the TSR Performance Shares can be earned between the grant date and June 30, 2018;

where in each such measurement period, (1) if the performance return on the price per share of Common Stock exceeds the performance return on the NASDAQ Composite
Index, (which shall be determined by subtracting the percentage return on the NASDAQ Composite Index from the percentage return on the price per share of the Common Stock),
then all of the TSR Performance Shares for such measurement period will be deemed earned and will vest; (2) if the performance return on the price per share of Common Stock is
more than 50% lower than the performance return on the NASDAQ Composition Index, then none of the TSR Performance Shares for such measurement period will be deemed
earned or vest; and (3) if the performance return on the price per share of Common Stock is between 0% and 50% lower than the performance return on the NASDAQ Composite
Index, then the number of TSR Performance Shares deemed earned and vesting for such measurement period will be reduced by 2% for each 1% by which the performance return
on the NASDAQ Composite Index exceeds the performance return on the Common Stock. The performance return on each of the price per share of Common Stock and the
NASDAQ Composite Index will be determined in the manner described in SEC Regulation S-K, Item 201(e)(1) , which assumes a dollar amount invested in each at the applicable
price of the Common Stock and the NASDAQ Composite Index at the beginning of the measurement period, and which shall be compared with the dollar value of the investment at
the end of the measurement period based on the 30-day trading average price of each of the Common Stock and the NASDAQ Composite Index prior to and through the grant date
and the last trading day of each of the relevant measurement periods, as the case may be.

Ex.1 - Assume that for the period from the grant date through June 30, 2016 the beginning and ending prices per share of Common Stock (determined as provided above)
are $9.50 and $12.00 respectively, and the beginning and ending "IXIC are 3,660 and 3,750, respectively. Assume no dividends are paid by the Company during the period.
Therefore, $100 invested in Common Stock at the beginning of the period is worth $126 at the end, a 26% return, and $100 invested in "IXIC at the beginning of the period is worth
$103 at the end, a return of 3%.  Therefore, the performance return on the price per share of Common Stock exceeds the performance return on the NASDAQ Composite Index so if
you are in continued service to the Company on June 30, 2016 you will earn and vest as to 25% of the TSR Performance Shares.

Ex.2 - Assume that for the period from the grant date through June 30, 2017, the beginning and ending prices per share of Common Stock (determined as provided above) are
$9.50 and $8.00, respectively, and the beginning and ending "IXIC are 3, 660 and 3,250, respectively.  Assume no dividends are paid by the Company during the period.  Therefore,
$100 invested in Common Stock at the beginning of the period is worth $84 at the end, (-16%) return, and $100 invested in "IXIC at the beginning of the period is worth $89 at the
end, (-11%) return.  The performance

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return on the price per share of Common Stock compared with the "IXIC is (-5%) worse than the performance return on the NASDAQ
Composite Index.  Therefore, the total number of TSR Performance Shares for the period is reduced by 10% (5% x 2) and 90% of the 50% of the TSR Performance Shares eligible
to be earned during such measurement period, or 45% of the total number of TSR Performance Shares will be earned and vest, if you were in continuous service to the Company
through June 30, 2017.

	Share Retention: You agree to acquire and retain an ownership interest in Common Stock which is equal in value to one times the amount of your base salary in
Paragraph 2(a).  Shares counted for this purpose will consist of shares of Common Stock you own directly by whatever means acquired, shares under unvested RSUs that are
subject only to time-based vesting, shares held in a 401(k) or similar plan, and shares acquired under the Company's Employee Stock Purchase Plan. You will have five years from
your start date in which to meet this stock ownership threshold.  If at any time thereafter, while you remain SVP of Global Sales of the Company, your aggregate share ownership as
defined in this Paragraph 4(b) should fall below the threshold, you agree to retain shares as they vest and you acquire them, and not to sell any of your shares of Common Stock,
until your share ownership exceeds the threshold.  In the event of a termination of your employment, or a Corporate Transaction, this Paragraph 3(b) shall become inapplicable.

	Corporate Transaction:  In the event that you are subject to an Involuntary Termination (as defined below) within one year following a Corporate Transaction (as
defined in the 2012 plan):

	if the condition in Paragraph 4(a)(iii) has been met as of the closing date of the Corporate Transaction (based on the price per share of Common Stock being paid in such
transaction), vesting shall accelerate with respect to the percentage of then unvested RSUs still subject to the condition in Paragraph 4(a)(iii)(B) , which equals 100% times the
quotient of the number of months from the grant date to such closing date divided by 48, and the remainder of the unvested RSUs will continue to vest in accordance with the
original vesting schedule, subject only to your continued service subsequent to the Corporate Transaction;

	 any TSR Performance Shares for which the performance conditions in Paragraph 4(a)(iv) have been met as of the closing date of the Corporate Transaction (based on the
price per share of Common Stock being paid in such transaction) shall be settled by delivery of the corresponding number of shares of Common Stock, and all other unvested TSR
Performance Shares shall vest over the remainder of the original period expiring June 30, 2018, subject only to your continued service subsequent to the Corporate Transaction with
no further performance conditions; and

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	all remaining unvested options and RSUs granted under paragraph 4a(i) and 4a(ii),  as of the closing date of the Corporate Transaction shall continue to vest thereafter subject
only to your continued employment or other association with the Company and if, your employment is terminated without Cause (as defined below) within 12 months following a
Corporate Transaction of the Company , all of your remaining unvested options and RSUs granted under Paragraph 4 will vest in full.

	"Involuntary Termination" means any of the following events: (i) without your express written consent, a significant reduction of your duties, position or responsibilities relative to
your duties, position or responsibilities in effect immediately prior to such reduction; (ii) without your express written consent, a material reduction by the Company (or its successor)
of your base salary as in effect immediately prior to such reduction; (iii) without your express written consent, a material reduction by the Company (or its successor) in the kind or
level of employee benefits to which you were entitled immediately prior to such reduction with the result that your overall benefits package is significantly reduced; (iv) without your
express written consent , your relocation to a facility or a location more than 25 miles from our San Jose, CA location immediately prior to such relocation; or (v) any purported
termination of you other than for Cause (as defined below); and

	"Cause" means: (i) any act of personal dishonesty taken by you in connection with your responsibilities in your service to the Company which is intended to result in your
personal enrichment ; (ii) your conviction of a felony ; (iii) any act by you that constitutes material misconduct and is injurious to the Company; (iv) any breach of fiduciary duty to the
Company , (v) a material breach of any agreement with the Company , or (vi) your initiating litigation against the Company.

5.    Benefits. The Company will make available to you standard vacation, medical and dental insurance benefits. The Company will also make available to you a 401(k)
Plan. You are eligible for benefits on the first day of your employment.  Medical benefits will start on your date of hire and your dental will start on the first day of the month following
your date of hire. You will be eligible to participate in the employee stock purchase plan upon enrollment by February 1st or August 1st of any year.

6.    Standard Confidentiality and Inventions Assignment Agreement.  Like all Company employees , you will be required to sign the Company's standard Confidential
Information and Inventions Assignment Agreement (the "Confidentiality Agreement ") relating to protection of the Company's proprietary and confidential information and assignment
of inventions.

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7.    At-Will Employment.  You will continue to be an employee-at-will, meaning that either you or the Company may terminate your employment at any time, without notice,
for any reason or no reason without further obligation or liability to either party. Such termination will not affect the parties' respective obligations under the Confidentiality Agreement.
You will receive the Company's Employee Handbook with all of our policies and procedures on your first day of employment, which Employee Handbook as in effect from time-to-
time will be a part of the terms of your employment with the Company.

8.    No Outside Consulting. You agree to not sit on any board of directors, or do any outside consulting work for any other person or Company while employed full-time at
the Company other than with the advance written approval of the Chief Executive Officer of the Company.

9.    Background Check. This offer letter is contingent upon the results of a background check and the completion of your reference checks and may be rescinded at any
time in the event the background check fails to meet the employment qualifications of the Company.

10.    Expiration Date.  If not accepted, this offer will expire on January 8, 2015.

11.    Start Date. Your new position will be become effective as of January 12, 2015.

Please indicate your acceptance by signing and returning a copy of the signed letter to me via e-mail or facsimile at 408-436-6417.

Congratulations on your new assignment!

Sincerely,

By:_____________________

        Vikram Verma

          Chief Executive Officer

ACCEPTED:    

_________________________

                Puneet Arora

               Date: _____________________

                         6Exhibit 4.3

 

AMENDED AND RESTATED SUBORDINATED PROMISSORY NOTE

 

WHEREAS, effective as of May 2, 2014 (the “Effective Date”), Teladoc, Inc., a Delaware corporation (“Purchaser”) and David E. Lindsey (“Member Representative”) executed that certain Subordinated Promissory Note in the original principal amount of Three Million Five Hundred thousand Dollars ($3,500,000) (the “Original Note”) payable by Purchaser to the order of the persons listed on Schedule I attached hereto (collectively, the “Members”);

 

WHEREAS, Purchaser and Member Representative desire to amend and restate the Original Note to, among other things, extend the date for payments thereunder, as more particularly set forth herein.

 

NOW THEREFORE, Purchaser and Member Representative, declaring their intention to enter into and be bound hereby, and for the good and valuable consideration set forth below, hereby covenant and agree that the Original Note is hereby amended and restated in its entirety as follows:

 

For value received, Purchaser promises to pay in accordance with the terms hereof to Member Representative the initial principal amount of Three Million Five Hundred Thousand Dollars ($3,500,000), or such other principal amount as to which the initial principal amount is adjusted from time to time as hereinafter set forth in this Note (the “Principal Amount”), together with interest on the outstanding Principal Amount at an annual rate equal to the rate specified in Section 3 of this Note, but subject to offset in accordance with Section 2 below. This Amended and Restated Subordinated Promissory Note (the “Note”) amends, restates (but does not extinguish) and evidences the outstanding indebtedness evidenced by the Original Note.

 

1.                                      General. Purchaser and Member Representative agree that (a) this Note is being given by Purchaser to Member Representative in connection with that certain Agreement and Plan of Merger dated May 1, 2014, by and among Purchaser, the Member Representative, AmeriDoc, LLC, a Florida limited liability company, and the Members (the “AmeriDoc Merger Agreement”), and that certain Agreement and Plan of Merger dated May 1, 2014, by and among Purchaser, the Member Representative, TeleMedServices, LLC, a Texas limited liability company, and the Members (the “TeleMedServices Merger Agreement,” and together with the AmeriDoc Merger Agreement, the “Merger Agreements,” and each a “Merger Agreement”), and (b) the Principal Amount (but not any interest) under this Note is subject to offset and adjustment in accordance with Section 2 below. Capitalized terms used but not defined herein have the respective meanings given to such terms in the applicable Merger Agreement.

 

2.                                      Payments of Principal Amount; Offset. The Principal Amount shall be due and payable in installments on the dates set forth in the remainder of this Section 2. If any payment shall become due on a day which is not a Business Day, such payment shall be made on the next succeeding Business Day.

 

(a)                                 Claims Against Principal Amount. If at any time on or prior to 5:00 p.m., Central Time, on the date that is eighteen (18) months following the Effective Date (the “Final Claim Date”), Purchaser (on behalf of itself or any other Purchaser Indemnitee) shall assert a claim (a “Claim”) (x) for indemnification pursuant to Section 9.02 of the AmeriDoc Merger Agreement

 

 

or Section 9.02 of the TeleMedServices Merger Agreement, or (y) for offset against the Principal Amount in respect of a Post-Closing Adjustment due pursuant to Section 2.07(c) of the AmeriDoc Merger Agreement, then Purchaser shall submit to the Member Representative a written claim (a “Claim Notice”) stating: (i) the facts and circumstances giving rise to the Claim, (ii) the basis for such Claim under the AmeriDoc Merger Agreement or the TeleMedServices Merger Agreement, (iii) to the extent possible, an estimate of the portion of the Principal Amount which Purchaser or the applicable Purchaser Indemnitee reasonably believes it is entitled to offset in respect of the Claim pursuant to Section 9.02 or Section 2.07(c) of the AmeriDoc Merger Agreement or Section 9.02 of the TeleMedServices Merger Agreement (the “Claimed Amount”).

 

(b)                                 Resolution of Asserted Claims. If the Member Representative does not deliver to Purchaser a written notice (a “Claim Objection”) specifying the basis upon which the Member Representative disputes the Claim Notice or any portion of the Claimed Amount that the Member Representative objects to being offset by Purchaser (on behalf of itself or any other Purchaser Indemnitee), within twenty (20) days after the date of receipt of such Claim Notice, then (i) the Member Representative shall be conclusively deemed to have acknowledged the correctness of the Claim Notice, and (ii) and, automatically upon the expiration of such twenty (20) day period, the Principal Amount shall be offset by any portion of the Claimed Amount specified in such Claim Notice with respect to which the Member Representative did not timely submit a Claim Objection. For purposes of this Note, the term “Business Day” means any day except Saturday, Sunday or any other day on which commercial banks located in Dallas, Texas are authorized or required by Law to be closed for business.

 

(c)                                  Resolution of Disputed Claims Against Principal Amount. If the Member Representative delivers to Purchaser a Claim Objection at any time on or prior to twenty (20) days after the date of receipt of a Claim Notice, then the Principal Amount shall not be offset by the portion of the Claimed Amount objected to in such Claim Objection unless and until Purchaser has received either: (i) a certificate signed on behalf of Purchaser and the Member Representative certifying the resolution of the amount of the asserted Claim in dispute and stating a specified amount of the Claimed Amount to the Members, Purchaser or any Purchaser Indemnitee is entitled in respect of such Claim; or (ii) a certified copy of a final, binding and nonappealable judgment of a court of competent jurisdiction determining the amount of the asserted Claim in dispute and that the Members, the Purchaser or any Purchaser Indemnitee is entitled to such amount (each of the items delivered to Purchaser pursuant to the foregoing clauses (i) and (ii), a “Certification”). Upon receipt of any such Certification, the Claim shall be treated as a resolved undisputed Claim and up the receipt of such Certification, (i) if the Certification provides that Purchaser or any Purchaser Indemnitee is entitled to any portion of the Claimed Amount, the Principal Amount Shall automatically be offset by the portion of the Claimed Amount to which it is so entitled, and (ii) if the Certification provides that the Members are entitled to any portion of the Claimed Amount and is received by Purchaser on or after the Payment Date (defined below), Purchaser shall, within three (3) Business Days following the receipt of such Certification and subject to and only to the extent provided by Section  2(g), pay to the Members a portion of the Principal Amount equal to the Claimed Amount (together with accrued and unpaid interest thereon) to which the Members are so entitled. All remaining portions of the Principal Amount shall be retained by Purchaser and continue to accrue interest until paid or offset in accordance with this Section 2(c), or Section 2(g), as applicable.

 

 

Notwithstanding anything herein to the contrary, in the event that it is finally determined (in accordance with Section 2.07(d) of the Ameridoc Merger Agreement) that any amounts are due to Purchaser pursuant to Section 2.07(c) of the Ameridoc Merger Agreement, the parties will be automatically deemed to have delivered to Purchaser a Certification to offset such amounts against the Principal Amount.

 

(d)                                 Deadline for Claims. Purchaser shall not (either on behalf of itself or any other Purchaser Indemnitee) be entitled to assert any Claim for offset against the Principal Amount after the Final Claim Date; provided, however, that any Claim which is the subject of a Claim Notice submitted to the Member Representative in accordance with Section 2(a) on or prior to the Final Claim Date (whether or not formal legal action has been commenced based upon such Claim and whether or not damages have actually been incurred) shall continue, subject to final resolution as provided in Section 2(c).

 

(e)                                  Intentionally Omitted.

 

(f)                                   Intentionally Omitted.

 

(g)                                  Payment of the Principal Amount On and After Payment Date. On the date (the “Payment Date”) that is the earliest of (i) three (3) Business Days following the receipt, on or after April 30, 2016, by Purchaser of a written demand from Member Representative that Purchaser pay to the Members the entire portion of the Principal Amount to which the Members are then entitled pursuant to this Section 2(g), (ii) the election by Purchaser to prepay in accordance with Section 6 the entire portion of the Principal Amount to which the Members are then entitled pursuant to this Section  2(g), or (iii) April 30, 2017, Purchaser shall pay to the Members a portion of the Principal Amount equal to the then-outstanding Principal Amount, minus the aggregate amount of any pending unresolved Claims for which Claims Notices have been submitted pursuant to Section 2(a), plus all accrued and unpaid interest on such amount. Thereafter, to the extent any such Claim is resolved (in accordance with Section 2(c) in favor of the Members, the portion of the Principal Amount being held in respect of such Claim (plus all accrued and unpaid interest thereon) shall be paid by Purchaser to the Members within three (3) Business Days following such resolution, but only to the extent such disbursement does not cause the balance of the Principal Amount to be (or remain) less than the aggregate amount of any then-unresolved Claims for which Claims Notices have been submitted pursuant to Section 2(a) prior to the Final Claim Date.

 

3.                                      Interest. Interest on this Note shall accrue at a simple interest rate of ten percent (10%) per annum and will be calculated on the basis of a 365-day year, based on the actual number of days elapsed. On December 15, 2014, Purchaser shall prepay all interest on the outstanding principal of this Note for the period from and including the Effective Date to and including December 31, 2014. Thereafter, all accrued and unpaid interest shall be due and payable on each annual anniversary of the Effective Date, and at such other times as Purchaser is required to pay to the Members any portion of the Principal Amount hereunder, all accrued and unpaid interest with respect to such portion of the Principal Amount shall simultaneously be due and payable to the Members. Provided, at any time any portion of the Principal Amount is not paid within five (5) days following the date such amount is due, including if such payment is not permitted to be paid pursuant to the Subordination Agreement (defined below), such unpaid

 

 

portion of the Principal Amount shall bear interest at the lesser of 15% per annum or the highest interest rate permitted under applicable law.

 

4.                                      Division of Payments. All payments of the Principal Amount and interest to the Members hereunder shall be paid to the accounts and in proportion to the respective Membership Interests set forth on Schedule I attached hereto.

 

5.                                      Subordination. Notwithstanding anything herein to the contrary, this Note is subject in all respects to that certain Subordination Agreement dated of even date herewith (as the same may be amended from time to time, the “Subordination Agreement”) by and among Purchaser, Member Representative and Silicon Valley Bank, a California corporation, the terms of which are incorporated herein by reference. In the event of a conflict between the terms of this Note and the Subordination Agreement, the Subordination Agreement shall prevail. No breach or default of this Note shall occur in the event that payments of the Principal Amount or interest under this Note are restricted or prohibited pursuant to the Subordinated Agreement.

 

6.                                      Prepayment. At any time on or after April 30, 2016, Purchaser may, without premium or penalty, at any time and from time to time, prepay all or any portion of the then-outstanding principal balance of this Note, provided that each such prepayment is accompanied by accrued interest on the amount of the principal prepaid calculated to the date of such prepayment.

 

7.                                      Attorneys’ Fees and Other Collection Costs. Purchaser shall pay all of Member Representative’s reasonable out-of-pocket expenses actually incurred to enforce or collect any of the obligations under this Note including, without limitation, reasonable arbitration, paralegals’, attorneys’ and experts’ fees and expenses, whether incurred without the commencement of a suit, in any trial, arbitration, or administrative proceeding, or in any appellate or bankruptcy proceeding.

 

8.                                      Default. If any of the following occurs, a default (“Default”) under this Note shall exist:

 

(a)                                 Nonpayment. The failure of timely payment of the obligations under (1) this Note, however denominated, or (2) any agreements between Purchaser and Silicon Valley Bank, a California corporation (subject to any applicable notice and cure period set forth therein).

 

(b)                                 Nonperformance. Except as provided in Section 8(a) above, any material breach of the provision of (1) this Note which continues after thirty (30) days following written notice from the Member Representative, or (2) any agreement between Purchaser and Silicon Valley Bank, a California corporation, which continues after thirty (30) days following written notice from Silicon Valley Bank.

 

(c)                                  Cessation: Bankruptcy. The dissolution of, termination of existence of, loss of good standing status by, appointment of a receiver for, assignment for the benefit of creditors of, or commencement of any bankruptcy or insolvency proceeding by or against Purchaser or its Subsidiaries, if any.

 

 

9.                                      Remedies Upon Default. If a Default occurs under this Note, Member Representative may at any time thereafter, take the following actions:

 

(a)                                 Acceleration Upon Default. Accelerate the maturity of this Note; provided, however, if the Default is based upon a bankruptcy or insolvency proceeding commenced by or against Purchaser, all obligations under this Note shall automatically and immediately be due and payable.

 

(b)                                 Cumulative. Exercise any rights and remedies provided by law or equity.

 

10.                               Audited Financial Statements. So long as any Principal Amount or interest under this Note is outstanding, Purchaser shall deliver to Purchaser’s annual audited financial statements to Member Representative promptly following the preparation of such financial statements.

 

11.                               Representations and Warranties.

 

(a)                                 Purchaser represents and warrants that it is duly authorized to execute, deliver and perform its obligations under this Note and to otherwise be bound to the terms and conditions of this Note, and to consummate the transactions contemplated hereby.

 

(b)                                 Member Representative represents and warrants that he has the capacity to execute and deliver this Note, to carry out his obligations under this Note and to consummate the transactions contemplated hereby.

 

12.                               Usury. This Note is intended to be performed in accordance with, and only to the extent permitted by, all applicable usury laws. If any provision hereof or the application thereof to any person or circumstance shall, for any reason and to any extent, be invalid or unenforceable, neither the application of such provision to any other person or circumstance nor the remainder of the instrument in which such provision is contained shall be affected thereby and shall be enforced to the greatest extent permitted by law. It is expressly stipulated and agreed to be the intent of Purchaser and Member Representative to at all times comply with the usury and other applicable laws now or hereafter governing the interest payable on the indebtedness evidenced by this Note. If the applicable law is ever revised, repealed, or judicially interpreted so as to render usurious any amount called for under this Note, or contracted for, charged, taken, reserved, or received with respect to the indebtedness evidenced by this Note, or if any prepayment by Purchaser results in Purchaser having paid any interest in excess of that permitted by law, then it is the express intent of Purchaser and Member Representative that all excess amounts theretofore collected by Member Representative be credited on the principal balance of this Note (or, if this Note has been paid in full, refunded to Purchaser), and the provisions of this Note immediately be deemed reformed and the amounts thereafter collectable hereunder reduced, without the necessity of the execution of any new document, so as to comply with the then applicable law, but so as to permit the recovery of the fullest amount otherwise called for hereunder. All sums paid, or agreed to be paid, by Purchaser for the use, forbearance, detention, taking, charging, receiving, or reserving of the indebtedness of Purchaser to Member Representative under this Note shall, to the maximum extent permitted by applicable law, be amortized, prorated, allocated, and spread throughout the full term of such indebtedness until

 

 

payment in full so that the rate or amount of interest on account of such indebtedness does not exceed the usury ceiling from time to time in effect and applicable to such indebtedness for so long as such indebtedness is outstanding.

 

13.                               Non-Negotiable: Assignment. This Note is non-negotiable and may not be assigned, pledged or otherwise transferred in any manner whatsoever by Member Representative without obtaining Purchaser’s prior written consent. Purchaser shall not assign its rights and interest hereunder without the prior written consent of Member Representative, and any attempt by Purchaser to assign without Member Representative’s prior written consent is null and void. Any assignment shall not release Purchaser from the obligations under this Note.

 

14.                               Entire Agreement. This Note, the Merger Agreements and the Subordination Agreement constitute the sole and entire agreement of the parties to this Note with respect to the subject matter contained herein and therein, and supersede all prior and contemporaneous understandings and agreements, both written and oral, with respect to such subject matter.

 

15.                               Amendment and Modification; Waiver. This Note may only be amended, modified, supplemented or waived by an agreement in writing signed by Purchaser and the Member Representative. No waiver by Member Representative of any Default shall operate as a waiver of any other Default or the same Default on a future occasion. Neither the failure nor any delay on the part of Member Representative in exercising any right, power, or remedy under this Note and other Merger Agreements shall operate as a waiver thereof, nor shall a single or partial exercise thereof preclude any other or further exercise thereof or the exercise of any other right, power or remedy.

 

Except to the extent otherwise provided by law, Purchaser Note waives presentment, protest, notice of dishonor, demand for payment, notice of intention to accelerate maturity, notice of acceleration of maturity, notice of sale and all other notices of any kind.

 

16.                               Governing Law; Waiver of Jury Trial; Venue.

 

(a)                                 This Note shall be governed by and construed in accordance with the internal laws of the State of Texas without giving effect to any choice or conflict of law provision or rule (whether of the State of Texas or any other jurisdiction).

 

(b)                                 EACH PARTY ACKNOWLEDGES AND AGREES THAT ANY CONTROVERSY WHICH MAY ARISE UNDER THIS NOTE IS LIKELY TO INVOLVE COMPLICATED AND DIFFICULT ISSUES AND, THEREFORE, EACH SUCH PARTY IRREVOCABLY AND UNCONDITIONALLY WAIVES ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LEGAL ACTION ARISING OUT OF OR RELATING TO THIS NOTE OR THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY. EACH PARTY TO THIS NOTE CERTIFIES AND ACKNOWLEDGES THAT (A) NO REPRESENTATIVE OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT SEEK TO ENFORCE THE FOREGOING WAIVER IN THE EVENT OF A LEGAL ACTION, (B) SUCH PARTY HAS CONSIDERED THE IMPLICATIONS OF THIS WAIVER, (C) SUCH PARTY MAKES THIS WAIVER VOLUNTARILY, AND (D) SUCH PARTY HAS BEEN INDUCED TO ENTER

 

 

INTO THIS NOTE BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION.

 

(c)                                  THE PARTIES HERETO AGREE THAT ALL DISPUTES, ACTIONS, SUITS AND PROCEEDINGS ARISING OUT OF OR RELATING TO THIS NOTE MUST BE BROUGHT EXCLUSIVELY IN A STATE OR FEDERAL DISTRICT COURT LOCATED IN DALLAS COUNTY, TEXAS (COLLECTIVELY THE “DESIGNATED COURTS”). EACH PARTY HERETO HEREBY CONSENTS AND SUBMITS TO THE EXCLUSIVE JURISDICTION OF THE DESIGNATED COURTS. NO ACTION, SUIT OR PROCEEDING WITH RESPECT TO THIS NOTE MAY BE BROUGHT IN ANY OTHER FORUM. EACH PARTY HEREBY IRREVOCABLY WAIVES ALL CLAIMS OF IMMUNITY FROM JURISDICTION AND ANY OBJECTION WHICH SUCH PARTY MAY NOW OR HEREAFTER HAVE TO THE LAYING OF VENUE OF ANY SUIT, ACTION OR PROCEEDING IN ANY DESIGNATED COURT, INCLUDING ANY RIGHT TO OBJECT ON THE BASIS THAT ANY DISPUTE, ACTION, SUIT OR PROCEEDING BROUGHT IN THE DESIGNATED COURTS HAS BEEN BROUGHT IN AN IMPROPER OR INCONVENIENT FORUM OR VENUE.

 

17.                               Counterparts. This Note may be executed in counterparts, each of which shall be deemed an original, but all of which together shall be deemed to be one and the same agreement.

 

[SIGNATURE PAGE FOLLOWS]

 

 

	
EXECUTED   as of the 5th day of December, 2014.
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
PURCHASER:
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
TELADOC, INC.
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
By   
    	
/s/   Mark Hirschhorn
    	
 
    	
 
    
	
Name:   
    	
Mark   Hirschhorn
    	
 
    	
 
    
	
Title:   
    	
Chief   Financial Officer
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
MEMBER   REPRESENTATIVE:
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
/s/   David E. Lindsey
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
David   E. Lindsey
    	
 
    	
 
    

 

 

Schedule I

 

Members

 

	
Member
    	
 
    	
Membership Interest
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
David E. Lindsey
    	
 
    	
100
    	
%
    
	
 
    	
 
    	
 
    	
 
    
	
Michael R. Thompson
    	
 
    	
0
    	
%
    
	
 
    	
 
    	
 
    	
 
    
	
Total
    	
 
    	
100
    	
%

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00245-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00245-of-00352.parquet"}]]