Document:

EX10-2

 Exhibit 10.2 

 
 

 
 PARTNERRE LTD. 
 AMENDED AND RESTATED EMPLOYEE EQUITY PLAN 
 Effective May 10, 2005

 SECTION 1. Purpose.  
 The purpose of the Plan is to provide a means through which the Company and its Subsidiaries may attract able persons to enter and remain in employment or other service with the Company and motivate and
reward key employees and other persons who are expected to contribute significantly to the success of the Company, thereby furthering the best interests of the Company and its shareholders. 

SECTION 2. Definitions.  
 (a) “Award” means any award of Share Appreciation Rights, Nonqualified Share Options, Incentive Share Options, Restricted Share Units or Restricted Shares, or any Performance Award or
Other Share-Based Award, granted under the Plan. 
 (b) “Award Agreement” means any agreement, contract, or
other instrument or document, which may be in electronic format, between the Company and a Participant setting forth the specific terms of an Award, which may, but need not, be executed or acknowledged by the Participant. 

(c) “Beneficiary” means a person entitled to receive payments or other benefits or exercise rights that are available
under the Plan in the event of the Participant’s death. If no such person is named by a Participant, or if no Beneficiary designated by the Participant is eligible to receive payments or other benefits or exercise rights that are available
under the Plan at the Participant’s death, such Participant’s Beneficiary shall be such Participant’s estate. 

(d) “Board” means the Board of Directors of the Company. 

(e) “Cause” means, with respect to any Participant, “Cause” as defined in such Participant’s employment
agreement, if any, or if not so defined, except as otherwise provided in such Participant’s Award Agreement, “Cause” as defined in the Company’s Change in Control Policy, as may be amended from time to time. 

(f) “Change in Control” means, except as otherwise provided in a Participant’s Award Agreement, “Change in
Control” as defined in the Company’s Change in Control Policy, as may be amended from time to time. 
 (g)
“Code” means the U.S. Internal Revenue Code of 1986, as amended from time to time, and the rules, regulations, and guidance thereunder. Any reference to a provision in the Code shall include any successor provision thereto.

  
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 (h) “Committee” means the Compensation and Management Development
Committee of the Board or such other committee as may be designated by the Board. If the Board does not designate the Committee, references herein to the “Committee” shall refer to the Board. 

(i) “Company” means PartnerRe Ltd., a Bermuda corporation. 

(j) “Consultant” means any person, including any advisor, engaged by the Company or a Subsidiary to render consulting,
advisory or other services and who is compensated for such services, other than a member of the Board. 
 (k) “Covered
Employee” means an individual who is (i) either a “covered employee” or expected by the Committee to be a “covered employee,” in each case within the meaning of Section 162(m)(3) of the Code or
(ii) expected by the Committee to be the recipient of compensation (other than Section 162(m) Compensation) in excess of $1,000,000, in either case, for the tax year of the Company with regard to which a deduction in respect of such
individual’s Award would be claimed. 
 (l) “Disability” means, with respect to any Participant,
“Disability” as defined in such Participant’s employment agreement, if any, or if not so defined, except as otherwise provided in such Participant’s Award Agreement, such Participant’s qualification for long-term disability
benefits under any Company long-term disability insurance arrangement in which he or she participates. The Company may, at any time after the date of such qualification, give to the Participant a notice of Termination of Service, and the
Participant’s service shall terminate on the date of his or her Termination of Service. 
 (m) “Eligible
Person” means an Employee or a Consultant, or, for the purpose of granting Substitute Awards, a holder of options or other equity-based awards relating to the shares of a company acquired by the Company or with which the Company combines
who becomes an Employee or Consultant. 
 (n) “Employee” means a current or prospective common law employee of
the Company or a Subsidiary. 
 (o) “Exchange Act” means the U.S. Securities Exchange Act of 1934, as amended
from time to time, and the rules, regulations and guidance thereunder. Any reference to a provision in the Exchange Act shall include any successor provision thereto. 
 (p) “Fair Market Value” means (i) with respect to a Share, the closing price of a Share on the date in question (or, if there is no reported sale on such date, on the last preceding
date on which any reported sale occurred) on the principal stock market or exchange on which the Shares are quoted or traded, or if Shares are not so quoted or traded, the fair market value of a Share as determined in good faith by the Committee,
and (ii) with respect to any property other than Shares, the fair market value of such property determined by such methods or procedures as shall be established from time to time by the Committee. 

(q) “Incentive Share Option” means an option representing the right to acquire Shares from the Company, granted pursuant
to Section 7, that meets the requirements of Section 422 of the Code. 

  
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 (r) “Intrinsic Value” with respect to a Share Appreciation Right or
Option Award means (i) the excess, if any, of the price or implied price per Share in a Change in Control or other event over the exercise price of such Award multiplied by (ii) the number of Shares covered by such Award. 

(s) “Nonqualified Share Option” means an option representing the right to acquire Shares from the Company, granted
pursuant to Section 7, that is not an Incentive Share Option. 
 (t) “Option” means an Incentive Share
Option or a Nonqualified Share Option. 
 (u) “Other Share-Based Award” means an Award granted pursuant to
Section 11. 
 (v) “Participant” means the recipient of an Award granted pursuant to the Plan. 

(w) “Performance Award” means an award, denominated in cash or Shares or any combination thereof, granted pursuant to
Section 10 and payable only upon the achievement of performance goals, as set forth in Section 10. 
 (x)
“Performance Period” means the period established by the Committee at the time any Performance Award is granted or at any time thereafter during which any performance goals specified by the Committee with respect to such Award are
measured. 
 (y) “Plan” means this PartnerRe Ltd. Amended and Restated Employee Equity Plan, as may be amended
from time to time. 
 (z) “Restricted Period” means, with respect to any Restricted Share Unit or Restricted
Share, the period of time determined by the Committee during which such Restricted Share Unit or Restricted Share is subject to restrictions or forfeiture, as set forth in Section 8 and Section 9 and in the applicable Award Agreement.

 (aa) “Restricted Share” means a Share issued to a Participant pursuant to Section 9. 

(bb) “Restricted Share Unit” means a contractual right granted pursuant to Section 8 that is denominated in Shares.
Each Restricted Share Unit represents a right to receive the value of one Share, upon the terms and conditions set forth in the Plan and the applicable Award Agreement. Awards of Restricted Share Units may include the right to receive dividend
equivalents. 
 (cc) “Section 162(m) Compensation” means “qualified performance-based compensation”
within the meaning of Section 162(m) of the Code. 
 (dd) “Share Appreciation Right” means any right
granted pursuant to Section 6 to receive upon exercise by a Participant or settlement the excess of (i) the Fair Market Value of one Share on the date of exercise or settlement over (ii) the exercise price of the right on the date of
grant, or if granted in connection with an Option, on the date of the grant of the Option. 
 (ee) “Shares”
means the common shares, par value US$1.00 per share, of the Company. 

  
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 (ff) “Subsidiary” means any corporation of which a majority of the
outstanding voting securities or voting power is beneficially owned directly or indirectly by the Company and otherwise as provided in Section 86 of the Companies Act 1981 of Bermuda, as amended. 

(gg) “Substitute Award” means an Award granted in assumption of, or in substitution for, outstanding awards previously
granted by a company acquired by the Company or with which the Company combines. 
 (hh) “Termination of
Service” means, 
 (i) in the case of a Participant who is an employee of the Company or a Subsidiary,
the cessation of the employment relationship such that the Participant is no longer an employee of the Company or Subsidiary; or 
 (ii) in the case of a Participant who is a consultant or other advisor, the cessation of the performance of services for the Company or a Subsidiary; 

provided, however, that in the case of an Employee, the transfer of employment from the Company to a Subsidiary, from a Subsidiary to the Company,
from one Subsidiary to another Subsidiary or, unless the Committee determines otherwise, the cessation of employee status but the continuation of the performance of services for the Company or a Subsidiary as a member of the Board or a consultant or
other advisor shall not be deemed a cessation of service that would constitute a Termination of Service; and provided further, that a Termination of Service will be deemed to occur for a Participant employed by a Subsidiary when a Subsidiary
ceases to be a Subsidiary, unless such Participant’s employment continues with the Company or another Subsidiary. 

SECTION 3. Administration.  
 (a) The Plan shall be administered by the Committee, which may issue rules and regulations for administration of the Plan. 
 (b) Subject to the terms of the Plan and applicable law, the Committee (or its delegate) shall have full power and authority to: (i) designate Participants; (ii) determine the type or types of
the Awards (including Substitute Awards) to be granted to each Participant under the Plan; (iii) determine the number of Shares to be covered by (or with respect to which payments, rights or other matters are to be calculated in connection
with) Awards; (iv) determine the terms and conditions of any Award; (v) determine whether, and to what extent and under what circumstances Awards may be settled or exercised in cash, Shares, other Awards, other property, net settlement or
any combination thereof, or canceled, forfeited or suspended, and the method or methods by which Awards may be settled, exercised, canceled, forfeited or suspended; (vi) determine whether, and to what extent and under what circumstances cash,
Shares, other Awards, other property and other amounts payable with respect to an Award under the Plan shall be deferred either automatically or at the election of the holder thereof or of the Committee; (vii) interpret and administer the Plan
and any instrument or agreement relating to, or Award made under, the Plan; (viii) prescribe the form or forms of Award Agreements; (ix) establish, amend, suspend or waive such rules and regulations and appoint such agents as it shall deem
appropriate 

  
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for the proper administration of the Plan; and (x) make any other determination and take any other action that the Committee deems necessary or desirable for the administration of the Plan.

 (c) All decisions of the Committee shall be final, conclusive and binding upon all parties, including the Company, its
shareholders and Participants and any Beneficiaries thereof. The Committee may delegate to the Chief Executive Officer of the Company the authority, subject to such terms and limitations as the Committee shall determine, to grant Awards to, or to
cancel, modify, waive rights with respect to, alter, discontinue, suspend or terminate Awards held by, employees who are not officers or directors of the Company for purposes of Section 16 of the Exchange Act; provided, however, that any
such delegation shall conform to the requirements of the New York Stock Exchange applicable to the Company and Bermuda corporate law. 
 SECTION 4. Eligibility.  
 (a) Participation shall be limited to
Eligible Persons who have received notification from the Committee, or from a person designated by the Committee, that they have been selected to participate in the Plan. Substitute Awards may be granted to holders of options and other equity-based
awards relating to the shares of a company acquired by the Company or with which the Company combines who become Employees or Consultants. 
 (b) Incentive Share Options may be granted only to Employees. 
 SECTION 5.
Shares Available for Awards.  
 (a) Subject to adjustment as provided in Section 5(c), (i) the maximum number of
Shares available for issuance under the Plan shall not exceed 8,305,089 Shares, (ii) the maximum number of Shares with respect to which Awards may be made under Section 8 and Section 9 (including such Awards that also qualify under
Section 10) shall not exceed 3,358,325, and (iii) no Participant may receive under the Plan in any calendar year (A) Share Appreciation Rights and Options (including Share Appreciation Rights and Options that also qualify under
Section 10) that relate to more than 500,000 Shares or (B) if and to the extent that any such Awards are intended to constitute Section 162(m) Compensation and denominated in Shares, Restricted Share Units, Restricted Shares,
Performance Awards or Other Share-Based Awards that relate to more than 500,000 Shares. Shares underlying Substitute Awards and Shares remaining available for grant under a plan of an acquired company or of a company with which the Company combines,
appropriately adjusted to reflect the acquisition or combination transaction, shall not reduce the number of Shares remaining available for grant hereunder. The maximum number of Shares available for issuance under Incentive Share Options shall be
8,305,089 and shall not be increased by operation of Section 5(b). 
 (b) If any Shares subject to an Award or to an
equity-based award granted under a prior plan of the Company (other than a Substitute Award and any Award granted out of the authorized shares of an acquired plan) expires, is canceled, forfeited, or otherwise terminates or is settled without the
delivery of all the Shares underlying such Award or award (other than as a result of a net settlement, cashless exercise of an Option or similar arrangement), then the Shares subject to such Award or award shall again be, or shall become, available
for issuance under the 

  
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Plan. Shares becoming available for grant following any such forfeiture, termination, settlement or cancellation may be regranted as the same type of Award as the original Award, for purposes of
the limits on Award types set forth in Section 5(a). 
 (c) In the event that, as a result of any dividend or other
distribution (whether in the form of cash, Shares, other securities, or other property), recapitalization, share split, reverse share split, reorganization, merger, consolidation, split-up, spin-off, combination, repurchase or exchange of Shares or
other securities of the Company, issuance of warrants or other rights to acquire Shares or other securities of the Company, issuance of Shares pursuant to the anti-dilution provisions of securities of the Company, or other similar corporate
transaction or event affecting the Shares such that an adjustment is determined by the Committee to be appropriate in order to prevent dilution or enlargement of the benefits or potential benefits intended to be made available under the Plan, then
the Committee shall, in such manner as it may deem equitable, adjust any or all of: 
 (i) the number and type of
Shares (or other securities or property) which thereafter may be made the subject of Awards, including the aggregate and individual limits specified in Section 5(a); 

(ii) the number and type of Shares (or other securities or property) subject to outstanding Awards; and 

(iii) the grant, acquisition or exercise price with respect to any Award or, if deemed appropriate, make provision for a
cash payment to the holder of an outstanding Award; 
 provided, however, that the number of Shares subject to any Award denominated in
Shares shall always be a whole number. 
 (d) Shares underlying Substitute Awards and shares remaining available for grant under
a plan of an acquired company or of a company with which the Company combines shall not reduce the number of Shares remaining available for issuance under the Plan. 
 (e) Any Shares delivered pursuant to an Award may consist, in whole or in part, of authorized and unissued Shares. 
 SECTION 6. Share Appreciation Rights.  
 The Committee is authorized
to grant Share Appreciation Rights to Participants with the following terms and conditions and with such additional terms and conditions, in either case not inconsistent with the provisions of the Plan, as the Committee shall determine. Share
Appreciation Rights may be granted under the Plan to Participants either alone (“freestanding”) or in addition to other Awards granted under the Plan (“tandem”) and may, but need not, relate to a specific Option granted under
Section 7. 
 (a) The term of each Share Appreciation Right shall be fixed by the Committee but shall not exceed ten years
from the date of grant of such Share Appreciation Right. 

  
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 (b) The exercise price per Share under a Share Appreciation Right shall be determined by
the Committee; provided, however, that, except in the case of Substitute Awards, such exercise price shall not be less than the Fair Market Value per Share on the date of grant of such Share Appreciation Right (or if granted in connection
with an Option, on the grant date of such Option). Except in connection with an action taken pursuant to Section 5(c), no Share Appreciation Right shall be amended or replaced in any manner that would have the effect of reducing the exercise
price of such Share Appreciation Right established at the time of grant thereof. 
 (c) Share Appreciation Rights shall vest and
become exercisable in such manner and on such date or dates set forth in the Award Agreement as may be determined by the Committee; provided, however, that notwithstanding any vesting dates set by the Committee, the Committee may in its sole
discretion accelerate the vesting of any Share Appreciation Rights, which acceleration shall not affect the terms and conditions of any such Share Appreciation Right other than with respect to vesting. Unless the Committee shall establish another
vesting schedule in accordance with the foregoing, Share Appreciation Rights shall vest and become exercisable in increments of 33%, 33% and 34%, respectively, on the first, second and third anniversaries of the date of grant; provided,
however, that the foregoing restriction shall not apply to any Substitute Awards. 
 (d) Except as otherwise provided in the
applicable Award Agreement, Share Appreciation Rights shall settle in Shares. If, and only if, a Share Appreciation Right is issued to a Participant who is not a U.S. taxpayer at the time of the grant of such Share Appreciation Right or exercise
thereof, the value of the Shares otherwise deliverable to the Participant upon settlement of such Share Appreciation Right may, solely at the Committee’s discretion, be delivered in cash. 

SECTION 7. Options.  
 The Committee is authorized to grant Options to Participants with the following terms and conditions and with such additional terms and conditions, in either case not inconsistent with the provisions of
the Plan, as the Committee shall determine. 
 (a) The term of each Option shall be fixed by the Committee but shall not exceed
ten years from the date of grant of such Option. 
 (b) The exercise price per Share under an Option shall be determined by the
Committee; provided, however, that, except in the case of Substitute Awards, such exercise price shall not be less than the Fair Market Value per Share on the date of grant of such Option. Except in connection with an action taken pursuant to
Section 5(c), no Option shall be amended or replaced in any manner that would have the effect of reducing the exercise price of such Option established at the time of grant thereof. 

(c) Options shall vest and become exercisable in such manner and on such date or dates set forth in the Award Agreement as may be
determined by the Committee; provided, however, that notwithstanding any vesting dates set by the Committee, the Committee may in its sole discretion accelerate the vesting of any Option, which acceleration shall not affect the terms

  
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and conditions of any such Option other than with respect to vesting. Unless the Committee shall establish another vesting schedule in accordance with the foregoing, Options shall vest and become
exercisable in increments of 33%, 33% and 34%, respectively, on the first, second and third anniversaries of the date of grant; provided, however, that the foregoing restriction shall not apply to any Substitute Awards. 

(d) The Committee may determine the method or methods by which, and the form or forms, including cash, Shares, other Awards, other
property, net settlement or any combination thereof, having a Fair Market Value on the exercise date equal to the relevant exercise price, in which payment of the exercise price with respect thereto may be made or deemed to have been made.

 (e) Except as otherwise provided in the applicable Award Agreement, Options shall settle in Shares. 

(f) The terms of any Incentive Share Option granted under the Plan shall comply in all respects with the provisions of Section 422
of the Code. 
 SECTION 8. Restricted Share Units.  

The Committee is authorized to grant Awards of Restricted Share Units to Participants with the following terms and conditions and with
such additional terms and conditions, in either case not inconsistent with the provisions of the Plan, as the Committee shall determine. 
 (a) Restricted Share Units shall be subject to such restrictions as the Committee may impose (including, without limitation, any limitation on the right to receive any dividend equivalent or other right
or property), which restrictions may lapse separately or in combination at such time or times, in such installments or otherwise, as the Committee may deem appropriate. 
 (b) If the restrictions or vesting conditions applicable to an Award of Restricted Share Units relate exclusively to the passage of time and continued employment or provision of services, or refraining
therefrom, such time period (during which period such restrictions or vesting conditions may lapse ratably or on a “cliff” basis) shall consist of not less than 36 months; provided, however, that the foregoing restriction shall not
apply to any Substitute Awards. 
 (c) If and to the extent that the Committee intends that an Award granted under this
Section 8 shall constitute or give rise to Section 162(m) Compensation, such Award may be structured in accordance with the requirements of Section 10, including the performance criteria and the Award limitation set forth therein, and
any such Award shall be considered a Performance Award for purposes of the Plan. 
 (d) Except as otherwise provided in the
applicable Award Agreement, Restricted Share Units shall settle in Shares. 
 SECTION 9. Restricted Shares. 

  
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 The Committee is authorized to grant Awards of Restricted Shares to Participants with
the following terms and conditions and with such additional terms and conditions, in either case not inconsistent with the provisions of the Plan, as the Committee shall determine. 

(a) Restricted Shares shall be subject to such restrictions as the Committee may impose (including, without limitation, any limitation on
the right to vote a Restricted Share or the right to receive any dividend or other right or property), which restrictions may lapse separately or in combination at such time or times, in such installments or otherwise, as the Committee may deem
appropriate. 
 (b) If the restrictions or vesting conditions applicable to an Award of Restricted Shares relate exclusively to
the passage of time and continued employment or provision of services, or refraining therefrom, such time period (during which period such restrictions or vesting conditions may lapse ratably or on a “cliff” basis) shall consist of not
less than 36 months; provided, however, that the foregoing restriction shall not apply to any Substitute Awards. 
 (c)
Restricted Shares granted under the Plan may be evidenced in such manner as the Committee may deem appropriate including, without limitation, book-entry registration or issuance of a share certificate or certificates. In the event any share
certificate is issued in respect of Restricted Shares granted under the Plan, such certificate shall be registered in the name of the Participant and shall bear an appropriate legend referring to the terms, conditions, and restrictions applicable to
such Restricted Shares. 
 (d) If and to the extent that the Committee intends that an Award granted under this Section 9
shall constitute or give rise to Section 162(m) Compensation, such Award may be structured in accordance with the requirements of Section 10, including the performance criteria and the Award limitation set forth therein, and any such Award
shall be considered a Performance Award for purposes of the Plan. 
 (e) The Committee may provide in an Award Agreement that an
Award of Restricted Shares is conditioned upon the Participant making or refraining from making an election with respect to the Award under Section 83(b) of the Code. If a Participant makes an election pursuant to Section 83(b) of the Code
with respect to an Award of Restricted Shares, the Participant shall be required to file promptly a copy of such election with the Company. 
 SECTION 10. Performance-based Compensation.  
 The Committee is
authorized to grant Performance Awards to eligible Participants under this Section 10 with the following terms and conditions and with such additional terms and conditions, in either case not inconsistent with the provisions of the Plan, as the
Committee shall determine. 
 (a) Performance Awards may be denominated as a cash amount, a number of Shares, or a combination
thereof and are Awards which may be earned upon achievement or satisfaction of performance conditions specified by the Committee. In addition, the Committee may specify that any other award shall constitute a Performance Award by conditioning the
right of a Participant to exercise the Award or have it settled, and the timing thereof, upon achievement or satisfaction of such performance conditions as may be specified by the Committee. The

  
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Committee may use such business criteria and other measures of performance as it may deem appropriate in establishing any performance conditions. Subject to the terms of the Plan, the performance
goals to be achieved during any Performance Period, the length of any Performance Period, the amount of any Performance Award granted and the amount of any payment or transfer to be made pursuant to any Performance Award shall be determined by the
Committee. If the Performance Award relates to Shares on which dividends are declared during the Performance Period, the Performance Award shall not provide for the payment of such dividend (or dividend equivalent) to the Participant prior to the
time at which such Performance Award, or the applicable portion thereof, is earned. 
 (b) Each Performance Award shall, if the
Committee intends that such Award should constitute Section 162(m) Compensation, include a pre-established formula, such that payment, retention or vesting of the Award is subject to the achievement during a performance period or periods, as
determined by the Committee, of a level or levels, or increases in, as determined by the Committee, of one or more of the following performance measures with respect to the Company: (i) earnings per Share (basic or fully diluted);
(ii) total or net revenues, or revenue growth; (iii) earnings, before or after taxes, from operations (generally or specified operations), or before or after interest expense, depreciation, amortization, incentives, or extraordinary or
special items; (iv) cash flow, free cash flow, operating cash flow, cash flow return on investment (discounted or otherwise), net cash provided by operations, cash available to company from a subsidiary or subsidiaries, or cash flow in excess
of cost of capital; (v) return on net assets, net asset value, reserve value, return on assets, assets, asset turnover, return on investment, net investment income, return on (invested) capital, internal rate of return, working capital
turnover, inventory turnover, (underwriting year) return on equity, financial year return on common equity, or return on average adjusted equity; (vi) economic value per Share or economic value added; (vii) margin, gross margin, operating
margin, operating expense, underwriting and administrative expenses, expense control, reduction, or containment; (viii) net income or net income per Share, pre-tax income, gross or net profit margin; (ix) gross or net premiums written,
(net) premiums earned, gross or net premium growth; (x) Share price or total shareholder return and/or value, market price appreciation of Share value, dividends, appreciation in and/or maintenance of the price of Shares or any other publicly
traded securities of the Company; (xi) book value or growth in (fully-convertible) book value (per Share), economic book and/or intrinsic book value; (xii) expense ratio, loss and loss expense, loss ratio, adjusted combined loss and
expense ratio, reduction in costs and expense growth, financial return ratios, or statutory combined ratio; (xiii) operating earnings/income, operating earnings/income per Share, or retained earnings; (xiv) unit volume, production, sales,
or sales growth; (xv) comprehensive income or pro forma net income; (xvi) reserve replacement, capacity utilization, budget achievement, net capital employed, embedded value of new business, change in embedded value, or firm value;
(xvii) product development, client development, leadership, corporate governance, project progress or completion, increase in customer base, environment health and safety, comparisons with various stock market indices, organizational
objectives, diversity, or quality and (xviii) strategic business criteria, consisting of one or more objectives based on meeting specified market penetration, geographic business expansion goals, cost targets, overhead costs, customer
satisfaction, supervision of litigation and information technology, and goals relating to acquisitions or divestitures of Subsidiaries, affiliates or joint ventures. Performance criteria may be measured on an absolute (e.g., plan or budget)
or relative basis. Relative performance may be measured 

  
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against a group of peer companies, a financial market index or other acceptable objective and quantifiable indices. 
 (c) Except in the case of an Award intended to qualify as Section 162(m) Compensation, if the Committee determines that a change in the business, operations, corporate structure or capital structure
of the Company, or the manner in which the Company conducts its business, or other events or circumstances render the performance objectives unsuitable, the Committee may modify the performance objectives or the related minimum acceptable level of
achievement, in whole or in part, as the Committee deems appropriate or equitable. Performance measures may vary from Performance Award to Performance Award, and from Participant to Participant, and may be established on a stand-alone basis or other
basis as determined by the Committee. 
 (d) The maximum amount of any Performance Award denominated in cash that is intended to
constitute Section 162(m) Compensation that may be earned in any calendar year shall not exceed $5,000,000. The Committee shall have the power to impose such other restrictions on Awards subject to Section 10(b) as it may deem necessary or
appropriate to ensure that such Awards satisfy all requirements for Section 162(m) Compensation. 
 (e) Settlement of
Performance Awards shall be in cash, Shares, other Awards, other property, net settlement or any combination thereof, in the discretion of the Committee. Performance Awards will be settled only after the end of the relevant Performance Period. The
Committee may, in its discretion, increase or reduce the amount of a settlement otherwise to be made in connection with a Performance Award but may not exercise discretion to increase any amount payable to a Covered Employee in respect of a
Performance Award intended to qualify as Section 162(m) Compensation. Any settlement that changes the form of payment from that originally specified shall be implemented in a manner such that the Performance Award and other related Awards do
not, solely for that reason, fail to qualify as Section 162(m) Compensation. 
 SECTION 11. Other Share-Based
Awards.  
 The Committee is authorized, subject to limitations under applicable law, to grant to Participants such other
Awards that may be denominated or payable in, valued in whole or in part by reference to, or otherwise based on, or related to, Shares or factors that may influence the value of Shares, including convertible or exchangeable debt securities, other
rights convertible or exchangeable into Shares, acquisition rights for Shares, Awards with value and payment contingent upon performance of the Company or business units thereof or any other factors designated by the Committee. The Committee shall
determine the terms and conditions of such Awards. Shares delivered pursuant to an Award in the nature of an acquisition right granted under this Section 11 shall be acquired for such consideration, paid for at such times, by such methods and
in such forms, including cash, Shares, other Awards, other property or any combination thereof, as the Committee shall determine; provided that the acquisition price thereof shall not be less than the Fair Market Value of such Shares on the
date of grant of such right. 
 SECTION 12. Effect of Termination of Service or a Change in Control on Awards.

  
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 (a) The Committee may provide, by rule or regulation or in any Award Agreement, or may
determine in any individual case, the circumstances in which, and the extent to which, an Award may be exercised, settled, vested, paid or forfeited in the event of a Participant’s Termination of Service prior to the end of a Performance Period
or the vesting, exercise or settlement of such Award. 
 (b) The Committee may set forth the treatment of an Award upon a Change
in Control in the applicable Award Agreement. 
 (c) Except as otherwise provided in the applicable Award Agreement, in the
event of a Change in Control, notwithstanding any vesting schedule established by the Committee, (i) with respect to an Award of Restricted Share Units or Restricted Shares, the Restricted Period shall lapse immediately with respect to the
maximum number of Restricted Share Units or Restricted Shares subject to such Award, with effect from the day preceding the date of such Change in Control, (ii) all outstanding Share Appreciation Rights and Options shall immediately vest and
become exercisable and (iii) all outstanding Performance Awards shall be paid as if the maximum performance goals established in connection therewith were fully achieved. 
 (d) In the case of a Share Appreciation Right or Option Award, except as otherwise provided in the applicable Award Agreement, upon a Change in Control, a merger or consolidation involving the Company or
any other event with respect to which the Committee deems it appropriate, the Committee may cause such Award to be canceled in consideration of (i) the full acceleration of such Award and either (A) a period of at least ten days prior to
such Change in Control, merger, consolidation or other event to exercise the Award or (B) a payment in cash or other consideration to the Participant who holds such Award in an amount equal to the Intrinsic Value of such Award (which may be
equal to but not less than zero), which, if in excess of zero, shall be payable upon the effective date of such Change in Control, merger, consolidation or other event or (ii) a substitute award (which immediately upon grant shall have an
Intrinsic Value equal to the Intrinsic Value of such Award and shall include terms and conditions not less favorable to the Participant than the terms and conditions of such Award). 

SECTION 13. General Provisions Applicable to Awards.  

(a) Awards shall be granted for no cash consideration or for such minimal cash consideration as may be required by applicable law.

 (b) Subject to the terms of the Plan, payments or transfers to be made by the Company upon the grant, exercise, or settlement
of an Award may be made in the form of cash, Shares, other Awards, other property, net settlement or any combination thereof, as determined by the Committee in its discretion, and may be made in a single payment or transfer, in installments or on a
deferred basis, in each case in accordance with rules and procedures established by the Committee. Such rules and procedures may include provisions for the payment or crediting of reasonable interest on installment or deferred payments or the grant
or crediting of dividend equivalents in respect of installment or deferred payments. 
 (c) Except as otherwise specifically
provided in the Plan, no person shall be entitled to any of the privileges of share ownership in respect of Shares subject to Awards granted 

  
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 Amended and Restated Employee Equity Plan August 2012 

 

 
  

 
hereunder until such Shares have been duly issued and the Participant has become the record owner thereof. All certificates for Shares and/or other securities delivered under the Plan pursuant to
any Award or the exercise thereof shall be subject to such stop transfer orders and other restrictions as the Committee may deem advisable under the Plan or the rules, regulations and other requirements of the Securities and Exchange Commission, any
stock market or exchange upon which such Shares or other securities are then quoted, traded or listed, and any applicable securities laws, and the Committee may cause a legend or legends to be put on any such certificates to make appropriate
reference to such restrictions. 
 (d) No fractional Shares shall be issued or delivered pursuant to the Plan or any Award, and
the Committee shall determine whether cash or other securities shall be paid or transferred in lieu of any fractional Shares, or whether such fractional Shares or any rights thereto shall be canceled, terminated, or otherwise eliminated. 

(e) The obligation of the Company to make payment of Awards in Shares or otherwise shall be subject to all applicable laws, rules, and
regulations, and to such approvals by governmental agencies as may be required and to which the Company is subject. If any provision of the Plan or any Award Agreement is or becomes or is deemed to be invalid, illegal or unenforceable in any
jurisdiction, or as to any person or Award, or would disqualify the Plan or any Award under any law deemed applicable by the Committee, such provisions shall be construed or deemed amended without, in the determination of the Committee, materially
altering the intent of the Plan or the Award Agreement, such provision shall be stricken as to such jurisdiction, person or Award, and the remainder of the Plan and any such Award Agreement shall remain in full force and effect. 

(f) The Committee may specify in an Award Agreement that the Participant’s rights, payments, and benefits with respect to an Award
shall be subject to reduction, cancellation, forfeiture or recoupment upon the occurrence of certain specified events, in addition to any otherwise applicable vesting or performance conditions of an Award. Such events may include a Termination of
Service with or without Cause (and, in the case of any Cause that is resulting from an indictment or other non-final determination, the Committee may provide for such Award to be held in escrow or abeyance until a final resolution of the matters
related to such event occurs, at which time the Award shall either be reduced, canceled, or forfeited (as providing in such Award Agreement) or remain in effect, depending on the outcome), violation of material policies, breach of noncompetition,
confidentiality or other restrictive covenants that may apply to the Participant, or other conduct by the Participant that is detrimental to the business or reputation of the Company and/or its Subsidiaries. 

(g) If the Company is required to prepare an accounting restatement due to material noncompliance of the Company, as a result of
misconduct, with any financial reporting requirement under the securities laws, and if the Participant knowingly or grossly negligently engaged in the misconduct, or if the Participant is one of the individuals subject to automatic forfeiture under
Section 304 of the United States Sarbanes-Oxley Act of 2002 (and not otherwise exempted), the Participant shall reimburse the Company the amount of any payment in settlement of any Award earned or accrued during the 12-month period following
the first initial public issuance or filing with the United States Securities and Exchange Commission (whichever first occurred) of the financial documents not in compliance with such financial reporting

  
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 Amended and Restated Employee Equity Plan August 2012 

 

 
  

 
requirement. Rights, payments and benefits under any Award shall be subject to repayment to or recoupment (clawback) by the Company in accordance with such policies and procedures as the
Committee or Board may adopt from time to time, including policies and procedures to implement applicable law, stock market or exchange rules and regulations or accounting or tax rules and regulations. 

(h) The Company or a Subsidiary, as appropriate, shall be authorized to withhold from any Award granted or any payment due or transfer
made under any Award or under the Plan or from any compensation or other amount owing to a Participant the amount (in cash, Shares, other Awards, other property, net settlement or any combination thereof) of applicable withholding taxes due in
respect of an Award, its exercise or settlement or any payment or transfer under such Award or under the Plan and to take such other action (including providing for elective payment of such amounts in cash or Shares by the Participant) as may be
necessary in the opinion of the Company or the Subsidiary to satisfy all obligations for the payment of such taxes. 
 (i)
Except as may be provided in any Award Agreement, no employee or other person shall have any claim or right to be granted an Award under the Plan nor, having been selected for the grant of an Award, to be selected for a grant of any other Award.
Neither this Plan nor any action taken hereunder shall be construed as giving any Participant any right to be retained in the employ of, or to continue to provide services to, the Company or a Subsidiary. Further, the Company and its Subsidiaries
may at any time dismiss a Participant, free from any liability, or any claim under the Plan, unless otherwise expressly provided in the Plan or in any Award Agreement or in any other agreement binding the parties. The receipt of any Award under the
Plan is not intended to confer any rights on the receiving Participant except as set forth in the applicable Award Agreement. 

(j) No amendment or modification of any provision of any Award Agreement shall be effective unless signed in writing by or on behalf of
the Company and the Participant, except that, without the Participant’s consent, the Company may amend or modify any Award Agreement as otherwise set forth in the applicable Award Agreement or amend or modify the Plan in accordance with the
provisions of the Plan. No waiver of any breach or condition of any Award Agreement shall be deemed to be a waiver of any other or subsequent breach or condition whether of like or different nature. Any amendment or modification of or to any
provision of any Award Agreement, or any waiver of any provision of any Award Agreement, shall be effective only in the specific instance and for the specific purpose for which made or given. 

(k) Each Participant may, in accordance with procedures to be established by the Committee, designate in writing one or more persons as
the Beneficiary who shall be entitled to receive the amounts payable with respect to Awards granted hereunder, if any, due under the Plan upon his or her death. A Participant may, from time to time, revoke or change his or her Beneficiary
designation without the consent of any prior Beneficiary by filing a new such designation. In the event of any issue or question arising in respect of any Beneficiary designation, the Company shall be entitled to pay to the Participant’s estate
any amounts owing to the Participant under the Plan or any Award. 
 (l) No provision of the Plan shall require the Company, for
the purpose of satisfying any obligations under the Plan, to purchase assets or place any assets in a trust or other entity to 

  
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 Amended and Restated Employee Equity Plan August 2012 

 

 
  

 
which contributions are made or otherwise to segregate any assets, nor shall the Company maintain separate bank accounts, books, records or other evidence of the existence of a segregated or
separately maintained or administered fund for such purposes. Participants shall have no rights under the Plan other than as unsecured general creditors of the Company, except that insofar as they may have become entitled to payment of additional
compensation by performance of services, they shall have the same rights as other employees under general law. 
 (m) A
Participant’s rights and interest under the Plan or under any Award, including amounts payable, may not be sold, assigned, donated, or transferred or otherwise disposed of, mortgaged, pledged or encumbered except, in the event of a
Participant’s death, to a designated Beneficiary to the extent permitted by the Committee, or in the absence of such designation, by will or the laws of descent and distribution. Share Appreciation Rights and Options shall be exercisable during
the lifetime of a Participant only by the Participant. Notwithstanding the foregoing, Awards may be transferable, to the extent provided in the respective Award Agreement, to any person or entity who would be considered a “family member”
of the Participant (as defined in General Instructions A1(a)(5) of Form S-8 registration statement under the U.S. Securities Act of 1933). The provisions of this Section 13(m) shall not apply to any Award that has been fully exercised or
settled, as the case may be, and shall not preclude forfeiture of an Award in accordance with the terms thereof. 
 (n) Awards
may, in the discretion of the Committee, be granted either alone or in addition to or in tandem with any other Award or any award granted under any other plan of the Company. Awards granted in addition to or in tandem with other Awards, or in
addition to or in tandem with awards granted under any other plan of the Company, may be granted either at the same time as or at a different time from the grant of such other Awards or awards. 

(o) No payment under the Plan shall be taken into account in determining any benefits under any pension, retirement, profit sharing,
group insurance or other benefit plan of the Company or any Subsidiary except as may otherwise be specifically provided. 

SECTION 14. Nonexclusivity of the Plan.  
 Neither the adoption of this Plan by the Board nor the submission of this Plan to the shareholders of the Company for approval shall be construed as creating any limitations on the power of the Board to
adopt such other incentive arrangements as it may deem desirable, and such arrangements may be either applicable generally or only in specific cases. 
 SECTION 15. Amendments and Termination.  
 (a) Except to the extent
prohibited by applicable law and unless otherwise expressly provided in an Award Agreement or in the Plan, the Board may amend, alter, suspend, discontinue, or terminate the Plan or any portion thereof at any time; provided, however, that no
such amendment, alteration, suspension, discontinuation or termination shall be made without (i) shareholder approval if such approval is necessary to comply with applicable law or the rules of the stock market of exchange, if any, on which the
Shares are principally quoted or traded or (ii) the consent of the affected Participant, if such action would adversely affect the rights of such Participant under any outstanding Award, except to the extent any such amendment, alteration,

  
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 Amended and Restated Employee Equity Plan August 2012 

 

 
  

 
suspension, discontinuance or termination is made to cause the Plan to comply with applicable law, stock market or exchange rules and regulations or accounting or tax rules and regulations.
Notwithstanding anything to the contrary herein, the Committee may amend the Plan in such manner as may be necessary to enable the Plan to achieve its stated purposes in any jurisdiction in a tax-efficient manner and in compliance with local laws,
rules and regulations. 
 (b) The Committee may waive any conditions or rights under, amend any terms of, or amend, alter,
suspend, discontinue or terminate, any Award theretofore granted, prospectively or retroactively, without the consent of any relevant Participant or holder or Beneficiary of an Award; provided, however, that no such action shall impair
the rights of any Participant or holder or Beneficiary under any Award theretofore granted under the Plan without the consent of the affected Participant, holder or Beneficiary, except to the extent any such action is made to cause the Plan to
comply with applicable law, stock market or exchange rules and regulations or accounting or tax rules and regulations; provided further that, except as provided in Section 5(c), the Committee shall not without the approval of the
Company’s shareholders (i) lower the exercise price per Share of a Share Appreciation Right or Option after it is granted or take any other action that would be treated as a repricing of such Award under the rules of the principal stock
market or exchange on which the Company’s Shares are quoted or traded, or (ii) cancel a Share Appreciation Right or Option when the exercise price per Share exceeds the Fair Market Value in exchange for cash or another Award (other than in
connection with a Change in Control); and provided further, that the Committee’s authority under this Section 15(b) is limited, in the case of Awards subject to Section 10(b), as provided in Section 10(b). 

(c) Except as provided in Section 10(e), the Committee shall be authorized to make adjustments in the terms and conditions of, and
the criteria included in, Awards in recognition of events (including the events described in Section 5(c)) affecting the Company, or the financial statements of the Company, or of changes in applicable law, stock market or exchange rules and
regulations or accounting or tax rules and regulations, whenever the Committee determines that such adjustments are appropriate in order to prevent dilution or enlargement of the benefits or potential benefits intended to be made available under the
Plan. 
 (d) Any provision of the Plan or any Award Agreement to the contrary notwithstanding, the Committee may cause any Award
granted hereunder to be canceled in consideration of a cash payment or alternative Award made to the holder of such canceled Award equal in value to the Fair Market Value of such canceled Award. 

(e) The Committee may correct any defect, supply any omission, or reconcile any inconsistency in the Plan or any Award in the manner and
to the extent it shall deem desirable to carry the Plan into effect. 
 SECTION 16. Effective Date of the Plan. 

 The Plan shall be effective as of May 10, 2005. 

SECTION 17. Term of the Plan.  
 No Award shall be granted under the Plan after the earliest to occur of (i) the ten-year anniversary of the effective date (i.e., May 10, 2015) (ii) the maximum number of Shares

  
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 Amended and Restated Employee Equity Plan August 2012 

 

 
  

 
available for issuance under the Plan has been issued or (iii) the Board terminates the Plan in accordance with Section 15(a). However, unless otherwise expressly provided in the Plan
or in an applicable Award Agreement, any Award theretofore granted may extend beyond such date, and the authority of the Committee to amend, alter, adjust, suspend, discontinue or terminate any such Award, or to waive any conditions or rights under
any such Award, and the authority of the Board to amend the Plan, shall extend beyond such date. 
 SECTION 18.
Section 409A and Section 457A of the Code.  
 (a) With respect to any Awards subject to Section 409A or
Section 457A of the Code, the Plan is intended to comply with the requirements of Section 409A or Section 457A of the Code, as applicable, and the provisions of the Plan and any Award Agreement shall be interpreted in a manner that
satisfies the requirements of Section 409A or Section 457A of the Code, as applicable, and the Plan shall be operated accordingly. If any provision of the Plan or any term or condition of any Award would otherwise frustrate or conflict
with this intent, the provision, term or condition will be interpreted and deemed amended so as to avoid this conflict. 
 (b)
For the avoidance of doubt, nothing in the Plan is intended to guarantee that the Participants will not be subjected to the payment of “additional tax” or interest under Section 409A or Section 457A of the Code, and nothing in
the Plan permits the Participants to seek or obtain such indemnification from the Company for any such “additional tax” or interest. If an amount payable under an Award as a result of the Participant’s Termination of Service (other
than due to death) occurring while the Participant is a “specified employee” under Section 409A of the Code constitutes a deferral of compensation subject to Section 409A of the Code, then payment of such amount shall not occur
until six months and one day after the date of the Participant’s Termination of Service, except as permitted under Section 409A of the Code. Notwithstanding the foregoing, the tax treatment of the benefits provided under the Plan or any
Award Agreement is not warranted or guaranteed. 
 SECTION 19. Data Protection.  

By participating in the Plan, the Participant consents to the holding and processing of personal information provided by the Participant
to the Company or any Subsidiary, trustee or third-party service provider, for all purposes relating to the operation of the Plan. These include, but are not limited to: 

(i) administering and maintaining Participant records; 

(ii) providing information to the Company, Subsidiaries, trustees of any employee benefit trust, registrars, brokers or
third-party administrators of the Plan; 
 (iii) providing information to future purchasers or merger partners of
the Company or any Subsidiary, or the business in which the Participant works; and 
 (iv) transferring
information about the Participant to any country or territory that may not provide the same protection for the information as the Participant’s home country. 

  
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 Amended and Restated Employee Equity Plan August 2012 

 

 
  

 SECTION 20. Governing Law. 

The Plan shall be governed by and construed in accordance with the laws of Bermuda without reference to the principles of conflicts of
law thereof. 

  
 Page 18 of 18

 Amended and Restated Employee Equity Plan August 2012Exhibit 10.1

 Exhibit 10.1 
 INVESTMENT ADVISORY AGREEMENT 
 THIS INVESTMENT ADVISORY AGREEMENT (this
“Agreement”) is entered into and made effective as of the 1st day of November, 2004 by and between GLADSTONE LAND CORPORATION, a Delaware corporation (the
“Company”), and GLADSTONE MANAGEMENT CORPORATION, a Delaware corporation (the “Adviser”). 

W I T N E S S E T H: 
 WHEREAS, the Company intends to be treated as a real estate investment trust (REIT); 
 WHEREAS, the Adviser is an investment adviser registered under the Investment Advisers Act of 1940, as amended (the “Advisers Act”), and the rules and regulations promulgated
thereunder; 
 WHEREAS, the Adviser desires to serve as the Company’s investment adviser and, in connection therewith, to
perform certain services for the Company with respect to the administration of the Company and its investment activities, in all cases under the supervision and control of the Company’s Board of Directors and on the terms and subject to the
conditions set forth herein; and 
 WHEREAS, the Company desires to retain the Adviser to serve as its investment adviser and,
in connection therewith, to perform certain administrative and investment advisory services under the supervision of the Company’s Board of Directors and on the terms and conditions set forth herein. 

NOW, THEREFORE, in consideration of the mutual covenants and agreements of the parties hereto as herein set forth, the parties covenant
and agree as follows: 
 1. APPOINTMENT OF ADVISER; DUTIES OF ADVISER. 

(a) The Company hereby retains the Adviser to serve as its investment adviser for the period and on the terms and subject to the
conditions as set forth in this Agreement. 
 (b) Subject to the supervision and control by the Company’s Board of
Directors, the Adviser shall: 
 (i)    (A) consistent with the Company’s investment policies adopted by
the Company’s Board of Directors, as revised from time to time, manage the investment and reinvestment of the Company’s assets; 
 (B) continuously review, supervise and administer the Company’s investment program to determine in its discretion the securities to be purchased or sold and the portion of the Company’s assets
to be held un-invested; 
 (C) provide the Company with all required records concerning the Adviser’s efforts on behalf of
the Company; and 
 (D) provide regular reports to the Company’s Board of Directors concerning the Adviser’s
activities on behalf of the Company; 
 (ii)    (A) consistent with the Company’s investment policies
adopted by the Company’s Board of Directors, as revised from time to time, manage the acquisition and divesture of real estate and mortgage loans purchased or originated for the account of the Company; 

 (B) manage the Company’s portfolio of real estate, including leases,
“sale-leaseback”, mortgage loans and similar transactions in connection therewith; and 
 (C) manage any other
investments of the Company; 
 (iii) use its best efforts to present the Company with investment opportunities consistent with
the Company’s investment policies and objectives as adopted by the Company’s Board of Directors and as revised from time to time; and 
 (iv) devote sufficient resources to the business of the Company to discharge its obligations under this Agreement. 
 (c) The Company’s Board of Directors retains, and has the exclusive right, to: 

(i) Grant stock compensation to the officers of the Company and any employee of the Adviser; 

(ii) Hire, fire and control the activities of the Adviser’s employees in connection with and to the extent of such employees’
work for the Company; 
 (iii) Determine the economic value of the services performed by the Adviser’s employees that are
assigned to the Company (including wages and the number of units and value of any stock compensation granted); and 
 (iv) Remit
funds sufficient to cover the complete compensation, including all payroll taxes, of the Adviser’s employees assigned to the Company. 

2. ACCEPTANCE BY ADVISER. 

The Adviser hereby accepts appointment as investment adviser to the Company on the terms and conditions set forth on this Agreement, and
agrees to discharge the foregoing responsibilities in compliance with the investment objectives, policies and limitations of the Company and as set forth under applicable laws and regulations, and under the supervision and control of the
Company’s Board of Directors. 
 3. COMPENSATION. 
 (a) The Adviser shall pay all of its own costs and expenses, including such costs and expenses as the Adviser may incur in the performance of its duties pursuant to this Agreement. In consideration for
the Adviser’s services as set forth in this Agreement, the Company shall reimburse the Adviser for expenses that it incurs as described in this Section 3. 
 (b) The Company will reimburse the Adviser promptly, against the Adviser’s voucher, for any expenses incurred the by the Adviser for the Company’s account. Without limitation, such expenses
shall include (i) expenses of the Company’s organization, (ii) expenses incurred in connection with the Company’s initial public offering, (iii) expenses of any offering and sale by the Company of its securities,
(iv) the fees and disbursements of the Company’s counsel, accountants, custodian, transfer agent and registrar, (v) fees and expenses incurred in producing and effecting filings with federal and state securities administrators,
(vi) costs of the Company’s periodic reports to and other communications with the Company’s stockholders, (vii) fees and expenses of members of the Company’s Board of Directors who are not directors, managers, officers or
employees of the Adviser, and are not managers, officers or employees of any entity managed by the Adviser, (viii) fees of members of the Company’s Board of Directors who are such directors, managers, officers or employees, and
(ix) premiums for any fidelity bond and similar insurance maintained by the Company. 

 (c) The Company shall also reimburse the Adviser promptly, against the Adviser’s
voucher, for all fees charged by third parties that are directly related to the Company’s business, which may include, without limitation (i) any origination fee with respect to any loan, lease or investment made by the Company, and
(ii) and all transaction costs incident to the acquisition and disposition by the Company of securities, leases, mortgage loans, real estate and other investments and assets, including, without limitation, legal and accounting fees and other
professional or technical fees and expenses (e.g., credit reports, appraisals, title search and delivery charges, costs of specialized consultants such as accountants or industry-specific technical experts, and deal-specific travel expenses)
incurred in monitoring, negotiating and working-out such securities, leases, mortgage loans or real estate and other investments and assets, as well as responding to any litigation or other disputes arising therefrom. All such origination fees
described in clause (i) above shall be reviewed as of the end of each calendar quarter by the Company’s Board of Directors. 
 (d) The Company shall also reimburse the Adviser for the Company’s pro rata portion of the payroll and related benefits (including tax withholding) for each of the Adviser’s employees who
provide services to the Company. This amount shall be computed on a monthly basis for each employee as the ratio of the hours spent on behalf of the Company to the total hours worked by the employee applied to the employee’s payroll and related
benefits for that month. 
 (e) The Company shall also reimburse the Adviser for its pro rata portion of the
Adviser’s total operating expenses (excluding payroll and related benefits) not incurred for direct benefit of any party whom the Adviser manages (e.g., general administrative and other overhead expenses) (“Overhead”). This expense reimbursement and the payroll reimbursement
discussed in paragraph (D) above are collectively the equivalent of a management fee and are collectively hereafter referred to as the “Management Fee.” The Overhead reimbursement component of the Management Fee shall be
computed monthly on the following basis: 
 (i) The Adviser shall calculate the total aggregate hours of service performed by all
of its employees, directors and associates during the month, and that number shall be the “Denominator.” 
 (ii) The Adviser and each of the Adviser’s employees, directors and associates shall calculate the total aggregate number of hours of service performed on behalf of the Company during the month, and
that number shall be the “Numerator.” 
 (iii) The percentage derived by dividing the Numerator by the
Denominator shall be the percentage of all Overhead that shall be billed to the Company for that month (the “Monthly Percentage”). 
 (iv) The Adviser will estimate its total operating expenses (less payroll and related benefits and expenses incurred directly for the benefit of parties that the Adviser manages, such as those expenses
described in Section 3(b) and 3(c)) for the month (the “Estimated Overhead”), based on historical monthly expenses, and make any adjustments to the prior monthly bills in order to reconcile the actual results with the
earlier estimates. The Adviser shall then calculate the month’s Management Fee by multiplying the Monthly Percentage by the Estimated Overhead and adding the product to the payroll reimbursement for the month (described in Section 3(d)).
The Adviser will then bill the Company for an amount equal to Management Fee for that month. The Management Fee for each month will be paid by the Company on the fifth business day of the subsequent month. 

 (v) The Management Fee is subject to an annual maximum of 2.0% of the Company’s average
invested assets (as determined jointly by the Company and the Adviser) (the “Annual Management Fee Cap”) during each calendar year. The Adviser shall reimburse the Company no less frequently than annually for the amount by
which amounts billed to and paid by the Company exceed the Management Fee Cap during a given year. Notwithstanding the foregoing, in the event that payroll reimbursements exceed the Annual Management Fee Cap, any payroll amounts in excess of the
Annual Management Fee Cap will nevertheless be reimbursed by the Company, but no reimbursement for overhead would be paid by the Company in such event, except as described in paragraph (VI) below. 

(vi) To the extent that aggregate Management Fees payable or reimbursable by the Company exceed the Annual Management Fee Cap (such
amount, the “Excess Fees”) and the Company’s independent directors determine, by majority vote, that the excess Management Fees were justified based on unusual and nonrecurring factors which they deem sufficient, the
Company may reimburse the Adviser in future years for the full amount of the Excess Fees, or any portion thereof, but only to the extent that the reimbursement would not cause the Company’s Management Fees and Excess Fees to collectively exceed
the Annual Management Fee Cap in any year. 
 (vii) In the event this Agreement is terminated, any compensation to which the
Adviser may be entitled to receive pursuant to this Section 3(e) shall be computed as of the period ending on the last business day on which this Agreement is in effect, subject to pro rata adjustment based on the number of days elapsed in the
current month as a percentage of the total number of days in such month, as appropriate. 
 (f) The Company shall establish an
Equity Incentive Plan for the officers and directors of the Company. The plan shall be administered by the Board of Directors or by its Compensation Committee if the Board of Directors delegates that authority to the Compensation Committee.

 4. LIMITATION OF LIABILITY. 
 In the absence of: (i) willful misfeasance, bad faith or gross negligence on the part of the Adviser in the performance of its obligations and duties hereunder; (ii) reckless disregard by the
Adviser of its obligations and duties hereunder; or (iii) a loss resulting from a breach of fiduciary duty with respect to the receipt of compensation for services, the Adviser shall not be subject to liability to the Company or any of its
stockholders for any error of judgment, mistake of law or any other act or omission in the course of, or connected with, its rendering of services hereunder including, without limitation, for any losses that may be sustained in connection with the
purchase, holding, redemption or sale of any security by the Adviser on behalf of the Company. 
 5. EXCLUSIVITY. 

The services provided by the Adviser hereunder are not exclusive and the Adviser shall therefore remain free to render such services to
others. 
 6. RECORDS. 
 The Adviser agrees to preserve the records required by Rule 204-2 promulgated under the Advisers Act for the period specified therein. 

 7. WRITTEN DISCLOSURE STATEMENT. 

The Adviser has previously delivered to the Company a written disclosure statement as required by Section 204-3(a) of the Advisers
Act in the form of either a copy of Part II of the Adviser’s Form ADV which complies with Section 204-1(b) of the Advisers Act or a written document containing at least the information required by Part II of Form ADV. Such written
disclosure statement was delivered by the Adviser to the Company within the time period specified by Section 204-1(b) of the Advisers Act. 

8. DURATION. 
 This
Agreement shall be effective beginning on the date set forth in the preamble hereof, and shall remain in force through December 31, 2006. Upon expiration of the initial term, the term of this Agreement shall be automatically extended for
successive one (1) year periods, unless either the Company or the Adviser notifies the other party of its intention not to renew this Agreement at least 120 days prior to the end of the term. 

9. TERMINATION. 
 (a)
This Agreement may be terminated by 
 (i) the Company’s Board of Directors, immediately, for Cause or upon the Bankruptcy
of the Adviser; 
 (ii) the vote of a majority of the Company’s Independent Directors upon sixty (60) days prior
written notice to the Adviser; or 
 (iii) the Adviser, immediately, with Good Reason. 

(b) Definitions. For the purposes of this Section 9, the following terms shall have the following definitions: 

(i) “Cause” shall mean fraud, criminal conduct, willful or negligent breach of fiduciary duty, or the commission
of a material breach of this Agreement; 
 (ii) “Good Reason” shall mean either (A) a failure to
obtain a satisfactory agreement from any successor to the Company to assume and agree to perform the Company’s obligations under this Agreement, or (B) a material breach of this Agreement; and 

(iii) “Bankruptcy” shall mean the happening of any of the following: (A) the filing of an application by the
Adviser for the appointment of a trustee, receiver or similar person over all or substantially all of his or its assets; (B) the filing by the Adviser of a voluntary petition in bankruptcy or the filing of a pleading in any court of record
admitting in writing the Adviser’s inability to pay substantially all of its debts as they become due; (C) the making by the Adviser of a general assignment for the benefit of creditors in connection with the winding up or liquidation of
the Adviser’s business; (D) the expiration of 60 calendar days after a petition for involuntary bankruptcy shall have been filed against the Adviser, or the appointment of, or the taking of possession by, a receiver, custodian, trustee or
liquidator of the Adviser or of a substantial part of its property shall have occurred, provided that the same shall not have been vacated or dismissed within such 60-day period or there shall be remaining open any motion to vacate or dismiss such
petition filed before the expiration of any such 60-day period; provided that such motion shall not remain open in excess of 120 calendar days in the aggregate; (E) the filing by the Adviser of an answer admitting the material allegations of,
or its consenting to, or defaulting in answering, a bankruptcy petition filed against the Adviser in any bankruptcy proceeding; or (F) the entry of an order, judgment, or decree by any court of competent jurisdiction adjudicating the Adviser
bankrupt or appointing a trustee over its assets, and such order, judgment or decree continuing unstayed and in effect for a period of 60 consecutive calendar days. 

 10. AMENDMENTS. 
 This Agreement may be amended with the mutual consent of the parties; PROVIDED, HOWEVER, that the Company shall not consent to any such amendment unless such amendment shall be approved by (i) a
majority of the Company’s directors and (ii) a majority the Company’s independent directors. 
 11. SEVERABILITY.

 If any term or condition of this Agreement shall be found to be invalid or unenforceable to any extent or in any
application, the remainder of this Agreement, including such term or condition, except to the extent or in such application such term or condition is held invalid or unenforceable, shall not be affected thereby, and each and every term and condition
of this Agreement shall be valid and enforceable to the fullest extent and in the broadest application permitted by law. 
 12. CAPTIONS.

 The captions of this Agreement are included for convenience only and in no way define or limit any of the provisions
hereof or otherwise affect their construction or effect. 
 13. DEFINITIONS. 

For purposes of this Agreement, “Majority Of The Outstanding Voting Securities,”
“Assignment” and “Interested Person” shall have the respective meanings assigned to them in the Investment Company Act of 1940, as amended (the “Investment Company Act”),
subject, however, to such exemptions as may be granted by the Securities and Exchange Commission pursuant to its rule-making authority as set forth in the Investment Company Act or the Advisers Act, as the case may be. “Independent
Director” shall have the meaning ascribed to such term under the rules of the Nasdaq Stock Market or such other securities market on which the securities of the Company are traded, if any. 

14. NOTICES. 
 All
notices required or permitted to be delivered under or pursuant to this Agreement shall be so delivered by certified mail, postage prepaid, as follows: 

 

			
	If to the Adviser:	 	 Gladstone Management Corporation

1750 Tysons Blvd., 4th Floor
 McLean, VA
22102
 Attn: President

		
	If to the Company:    	 	 Gladstone Land Corporation

1161 Crest Lane
 McLean, VA 22101

Attn: Chairman

 Any notice delivered pursuant to this Section 14 shall be deemed delivered on the third day
following its deposit in the United States mail or the date such notice is actually received by the addressee, whichever shall occur first. 

 15. ASSIGNMENT. 
 This Agreement is generally not assignable or transferable by either party hereto without the prior written consent of the other party. HOWEVER, (i) the Adviser may assign this Agreement to an
affiliate of the Adviser without the Company’s consent if the Adviser guarantees the performance of the obligations hereunder, and (ii) either party may assign or transfer this Agreement to a successor in interest. 

16. ENTIRE AGREEMENT. 

This Agreement contains the entire agreement of the parties with respect to the matters referred to herein and supersedes all prior
agreements, negotiations, commitments or understandings. 
 17. COUNTERPARTS. 

This Agreement may be executed in any number of counterparts, each of which when so executed and delivered shall be taken to be an
original and together shall constitute one and the same document. 
 18. GOVERNING LAW; VENUE. 

This Agreement shall be construed in accordance with the laws of the State of Delaware and the applicable provisions of the Advisers Act.
Venue for any adjudication hereunder shall be exclusively in the courts resident in Fairfax County, or the City of Alexandria, Virginia. 
 [REMAINDER OF THIS PAGE LEFT INTENTIONALLY BLANK] 

 IN WITNESS WHEREOF, the undersigned have executed and delivered this Agreement as of the
date first above written. 
  

			
	GLADSTONE LAND CORPORATION
		
	By:	 	/s/ David Gladstone
		 	 David Gladstone
 Chairman of
the Board and CEO

  

			
	GLADSTONE MANAGEMENT CORPORATION
		
	By:	 	/s/ Terry Brubaker
		 	 Terry Brubaker
 President
and COO

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