Document:

Master Service Agreement - Level 3 Communications, LLC

 Exhibit 10.20 
 

 
 Master Service Agreement 
 (SFMSA Version 5.0 – 12/20/05) 
 This Master Service Agreement (“Agreement”) is made
this 17th day of March, 2006 between LEVEL 3 COMMUNICATIONS, LLC (“Level 3”) and NETSUITE, INC. (“Customer”). This Agreement provides the general terms and conditions applicable to Customer’s purchase of
communications services (“Service”) from Level 3. 
 ARTICLE I. ORDERS FOR AND DELIVERY OF SERVICE

 1.1 Submission and Acceptance of Customer Order(s). Customer may submit requests for Service in a form designated by Level 3
(“Customer Order”). The Customer Order shall contain the duration for which Service is ordered (“Service Term”) and pricing for Service. Level 3 will notify Customer of acceptance (in writing or electronically) of the
Customer Order and the date by which Level 3 will install Service (the “Customer Commit Date”); renewal Customer Orders will be accepted by Level 3’s continuation of Service. If Customer submits Customer Orders
electronically, Customer shall assure that any passwords or access devices are available only to those having authority to submit Customer Orders. 
 1.2
Credit Approval and Deposits. Customer will provide Level 3 with credit information as requested. Level 3 may require Customer to make a deposit as a condition of Level 3’s acceptance of any Customer Order or
continuation of: a) any usage-based Service; or b) any non-usage based Service where Customer fails to timely make any payment due hereunder or Level 3 reasonably determines that Customer has had an adverse change in financial condition.
Deposits will not exceed 2 months’ estimated charges for Service and will be due upon Level 3’s written request. When Service is discontinued, the deposit will be credited to Customer’s account and the balance refunded.

 1.3 Customer Premises. If access to non-Level 3 facilities is required for the installation, maintenance or removal of Level 3
equipment, Customer shall, at its expense, secure such right of access and shall arrange for the provision and maintenance of power and HVAC as needed for the proper operation of such equipment. 
 1.4 Scheduled Maintenance. Scheduled maintenance will not normally result in Service interruption. If scheduled maintenance requires Service interruption,
Level 3 will (i) provide Customer 7 days’ prior written notice, (ii) work with Customer to try to minimize Service interruptions and (iii) use commercially reasonable efforts to perform such maintenance between midnight and
6:00 a.m. local time. 
 ARTICLE II. BILLING AND PAYMENT 
 2.1 Commencement of Billing. Level 3 will deliver written or electronic notice (a “Connection Notice”) to Customer upon installation of
Service. If Customer notifies Level 3 within 3 days after delivery of the Connection Notice that Service is not functioning properly, Level 3 shall correct any deficiencies and deliver a new Connection Notice to Customer. The date of
delivery of an undisputed Connection Notice is the “Service Commencement Date”. Charges shall be invoiced and commence on the Service Commencement Date, regardless of whether Customer is prepared to accept delivery of Service. 

2.2 Payment of Invoices and Disputes. Invoices are delivered monthly and due 30 days after the date of invoice. Fixed charges are billed in advance and
usage-based charges are billed in arrears. Billing for partial months is prorated. Past due months bear interest at [**] or the highest rate allowed by law (whichever is less). Customer is responsible for all charges respecting the Service, even if
incurred as the result of unauthorized use. If Customer reasonably disputes an invoice, Customer must pay the undisputed amount and submit written notice of the disputed amount (with details of the nature of the dispute and the Services and
invoice(s) disputed). Disputes must be submitted in writing within 90 days from the date of the invoice. If the dispute is resolved against Customer, Customer shall pay such amounts plus interest from the date originally due. 
 2.3 Taxes and Fees. Except for taxes based on Level 3’s net income, Customer will be responsible for all taxes that arise in any jurisdiction,
including value added, consumption, sales, use, gross receipts, foreign withholding (which will be grossed up), excise, access, bypass, franchise or other taxes, fees, duties, charges or surcharges imposed on or incident to the provision, sale or
use of Service (whether imposed on Level 3 or any affiliate of Level 3). Such charges may be shown on invoices as cost recovery fees. Charges for Service are exclusive of taxes. Customer may present Level 3 a valid exemption
certificate and Level 3 will give effect thereto prospectively. 
 2.4 Regulatory and Legal Changes. If any change in applicable law,
regulation, rule or order materially affects delivery of Service, the parties will negotiate appropriate changes to this Agreement. If the parties are unable to reach agreement within 30 days after Level 3’s delivery of written notice
requesting renegotiation: (a) Level 3 may pass any increased costs relating to delivery of Service through to Customer and (b) if Level 3 does so, Customer may terminate the affected Service without termination liability by
delivering written notice to Level 3 within 30 days. 

 [**] – Confidential treatment
has been requested for the bracketed portions. The confidential redacted portion has been omitted and filed separately with the Securities and Exchange Commission. 
  

			
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 2.5 Cancellation and Termination Charges. 
 (A) Customer may cancel a Customer Order (or portion thereof) prior to delivery of the Connection Notice upon written notice to Level 3 identifying the affected Customer Order and Service. If Customer does so,
Customer shall pay Level 3 a cancellation charge equal to the sum of: [**] 
 (B) Customer may terminate Service after delivery of the Connection Notice
upon 30 days’ written notice to Level 3 identifying the terminated Service. If Customer does so, or if Service is terminated by Level 3 as the result of an uncured default by Customer, Customer shall pay to Level 3 a termination
charge equal to the sum of: [**]. The parties agree that the charges in this Section are a genuine estimate of Level 3’s actual damages and are not a penalty. 
 ARTICLE III. DEFAULT 
 If (A) Customer fails to make any payment when due and such failure continues
for 5 business days after written notice from Level 3, or (B) either party fails to observe or perform any other material term of this Agreement and such failure continues for 30 days after written notice from the other party, then the
non-defaulting party may: (i) terminate this Agreement and/or any Customer Order, in whole or in part, and/or (ii) subject to Section 4.1, pursue any remedies it may have at law or in equity. 
 ARTICLE IV. LIABILITIES AND SERVICE LEVELS 
 4.1 No Special Damages. Neither party shall be liable for any damages for lost profits, lost revenues, loss of goodwill, loss of anticipated savings, loss of data or cost of purchasing replacement services, or any indirect,
incidental, special, consequential, exemplary or punitive damages arising out of the performance or failure to perform under this Agreement or any Customer Order. 
 4.2 Disclaimer of Warranties. LEVEL 3 MAKES NO WARRANTIES OR REPRESENTATIONS, EXPRESS OR IMPLIED, EITHER IN FACT OR BY OPERATION OF LAW, STATUTORY OR OTHERWISE, INCLUDING WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A
PARTICULAR USE, EXCEPT THOSE EXPRESSLY SET FORTH IN THIS AGREEMENT OR ANY APPLICABLE SERVICE SCHEDULE. 
 4.3 Service Levels. The “Service
Level” commitments applicable to the Services are found in Level 3’s Service Schedules for each Service. If Level 3 does not achieve a Service Level, a credit will be issued to Customer as set forth in the applicable Service
Schedule upon Customer’s request. Level 3’s maintenance log and trouble ticketing systems will be used for calculating any Service Level events. To request a credit, Customer must contact Level 3 Customer Service (contact
information can be found at www.level3.com) or deliver a written request (with sufficient detail necessary to identify the affected Service) within 60 days after the end of the month in which the credit was earned. In no event shall the total
credits issued to Customer per month exceed the non-recurring and monthly recurring charges for the affected Service for that month. Customer’s sole remedies for any outages in Service are contained in the Service Levels applicable to the
affected Service. 
 4.4 Right of Termination for Installation Delay. In lieu of any Service Level credits for installation delays, if
Level 3’s installation of Service is delayed for more than 30 business days beyond the Customer Commit Date, Customer may terminate the affected Service upon written notice to Level 3 and without payment of any applicable termination
charge, provided such written notice is delivered prior to Level 3 delivering a Connection Notice for the affected Service. This Section shall not apply to any Service where Level 3 has agreed to construct network facilities in or to a new
location not previously served by Level 3. 
 ARTICLE V. GENERAL TERMS 
 5.1 Force Majeure. Neither party shall be liable, nor shall any credit allowance or other remedy be extended, for any failure of performance or equipment
due to causes beyond such party’s reasonable control (“force majeure event”). In the event Level 3 is unable to deliver Service as a result of a force majeure event, Customer shall not be obligated to pay Level 3 for the
affected Service for so long as Level 3 is unable to deliver the affected Service. Force majeure events along with scheduled maintenance under section 1.4 shall be considered “Excused Outages.” 
 5.2 Assignment and Resale. Customer may not assign its rights or obligations under this Agreement or any Customer Order without the prior written consent
of Level 3, which will not be unreasonably withheld. This Agreement shall apply to any permitted transferees or assignees. Customer may resell the Service to third parties, provided that Customer shall indemnify, defend and hold Level 3
harmless from any claims made against Level 3 or its affiliates arising from Services resold or otherwise provided by Customer. Nothing in this Agreement, express or implied, is intended to or shall confer upon any thirty third party any right,
benefit or remedy of any nature whatsoever under or by reason of this Agreement. 
 5.3 Affiliates. Service may be provided to Customer
pursuant to this Agreement by an affiliate of Level 3, but Level 3 shall remain responsible to Customer for the delivery and performance of the Service. Customer’s affiliates may purchase Service pursuant to this Agreement. Customer
shall be jointly and severally liable for all claims and liabilities related to Service ordered by any Customer affiliate, and any default under this Agreement by any Customer affiliate shall also be a default by Customer. 

 [**] – Confidential treatment has been requested for the bracketed portions. The confidential redacted portion has
been omitted and filed separately with the Securities and Exchange Commission. 
  

			
	CONFIDENTIAL	 	Page 2

 5.4 Notices. All notices shall be in writing and sufficient and received if delivered in person, or when
sent via facsimile, pre-paid overnight courier, electronic mail (if an e-mail address is provided below) or sent by U.S. Postal Service (or First Class International Post (as applicable)), addressed as follows: 
  

									
		 	IF TO LEVEL 3:	 	IF TO CUSTOMER:	 	
				
		 	 For billing inquiries/disputes, requests for Service Level credits and/or requests
 for disconnection of Service (other than for default):
	 		 	
				
		 	 Level 3 Communications, LLC
 1025 Eldorado Blvd.
 Broomfield, Colorado 80021
 Attn: Director, Billing
 Facsimile:
(877) 460-9867
 E-mail: billing@level3.com
	 		 	
				
		 	For all other notices:	 		 	
				
		 	 Level 3 Communications, LLC
	 	NetSuite, Inc.	 	
		 	 1025 Eldorado Blvd.
	 	2955 Campus Drive, Suite 175	 	
		 	 Broomfield, Colorado 80021
	 	San Mateo, California 94403-2511	 	
		 	 Attn: General Counsel
	 	Attn:	 	  
	 	
		 	 Facsimile: (720) 888-5128
	 	Facsimile:	 	  
	 	
		 		 	Email:	 	  
	 	

 Either party may change its notice address upon notice to the other party. All notices shall be deemed to have
been given on (i) the date delivered if delivered personally, by facsimile or e-mail (one business day after delivery if delivered on a weekend or legal holiday), (ii) the business day after dispatch if sent by overnight courier, or
(iii) the third business day after posting if sent by U.S. Postal Service (or other applicable postal delivery service). 
 5.5 Acceptable Use
Policy; Data Protection. Customer’s use of Service shall comply with Level 3’s Acceptable Use Policy and Privacy Policy, as communicated in writing to Customer from time to time and which are also available through
Level 3’s web site at www.level3.com. Level 3 may transfer, process and store billing and utilization data and other data necessary for Level 3’s operation of its network and for the performance of its obligations under this
Agreement to or from the United States. Customer consents that Level 3 may (i) transfer, store and process such data in the United States; and (ii) use such data for its own internal purposes and as allowed by law. This data will not
be disclosed to third parties. 
 5.6 Marks and Publicity; Non-Disclosure. Neither party shall have the right to use the other party’s or
its affiliates’ trademarks, service marks or trade names without the prior written consent of the other party. Neither party shall issue any press release or other public statement relating to this Agreement, except as may be required by law or
agreed between the parties in writing. Any information or documentation disclosed between the parties during the performance of this Agreement (including this Agreement) shall be subject to the terms and conditions of the applicable non-disclosure
agreement then in effect between the parties. 
 5.7 Governing Law; Amendment. This Agreement shall be governed and construed in accordance
with the laws of the State of Colorado, without regard to its choice of law rules. This Agreement, including any Service Schedule(s) and Customer Order(s) executed hereunder, constitutes the entire and final agreement and understanding between the
parties with respect to the Service and supersedes all prior agreements relating to the Service. This Agreement may only be modified or supplemented by an instrument executed by an authorized representative of each party. No failure by either party
to enforce any right(s) hereunder shall constitute a waiver of such right(s). 
 5.8 Relationship of the Parties. The relationship between
Customer and Level 3 shall not be that of partners, agents, or joint venturers for one another, and nothing contained in this Agreement shall be deemed to constitute a partnership or agency agreement between them for any purposes. 

5.9 Counterparts. This Agreement may be executed in one or more counterparts, all of which taken together shall constitute one and the same instrument.
Facsimile signatures shall be sufficient to bind the parties to this Agreement. 
  

			
	CONFIDENTIAL	 	Page 3

									
	LEVEL 3 COMMUNICATIONS, LLC (“Level 3”)	 		 	NETSUITE, INC. (“Customer”)
					
	By	 	 /s/ Michael J. Mooney
	 		 	By	 	 /s/ Maurice Smallwood

					
	Name	 	Michael J. Mooney	 		 	Name	 	Maurice Smallwood
					
	Title	 	VP: Legal	 		 	Title	 	VP, IT & Facilities

  

			
	CONFIDENTIAL	 	Page 4

 SERVICE SCHEDULE 
 LEVEL 3® PRIVATE LINE LEASE
SERVICE 
 (Version Issue Date: March 15, 2006) 
 1. Applicability. This Service Schedule is applicable only where Customer orders Level 3® Private Line Lease Service. Level 3® Private Line Lease Service may be designated as (3)Link® Private Line Service in customer orders, order acceptance, service delivery, billing (and related) documents. 
 2.
Definitions. Any capitalized terms used herein and not otherwise defined shall have the meaning set forth in the Agreement. 
 (A)
“Protected” shall mean any Service that includes a protection scheme that allows traffic to be re-routed in the event of a fiber cut or equipment failure. 
 (B) “Submarine” shall mean any Service that transits any portion of Level 3’s trans-oceanic network. 
 (C) “Terrestrial” shall mean any Service that generally transits Level 3’s land-based network (with limited water crossings, including, without limitation, bay and channel crossings) and does not in any way transit
Level 3’s trans-oceanic network. 
 (D) “Unprotected” shall mean any Service that does not include a protection scheme that would allow
traffic to be re-routed in the event of a fiber cut or equipment failure. 
 3. Service Description. Level 3 Private Line Lease Service is
a dedicated, non-switched, point to point circuit between two (2) specified locations. At the end of any stated Service Term, the Level 3 Private Line Lease Service will be provided to Customer on a month-to-month basis at Customer’s
existing prices or Level 3’s then-current prices (as elected by Level 3). 
 4. Services from Others. Where necessary for the
interconnection of Level 3 Private Line Lease Service with services provided by others, Customer will provide Level 3 with circuit facility assignment information, firm order commitment information and the design layout records necessary
to enable Level 3 to make the necessary cross-connection between the Level 3 Private Line Lease Service and Customer’s designated carrier. Any delay by Customer in providing such information to Level 3 may delay
Level 3’s provision of the necessary cross-connection. Notwithstanding any such delay in the provision of the cross-connection, billing for the Level 3 Private Line Lease Service shall commence on the Service Commencement Date.
Level 3 may charge Customer non-recurring and monthly recurring cross-connect fees to make such connection. 
 5. Connection to Customer
Premises. 
 (A) Where Level 3 Private Line Lease Service is being terminated Off-Net at the Customer Premises through an Off-Net Local Loop to
be provisioned by Level 3 on behalf of Customer, the charges set forth in the Customer Order for such Level 3 Private Line Lease (Off-Net) Service assumes that such Level 3 Private Line Lease (Off-Net) Service will be terminated at a
pre-established demarcation point or minimum point of entry (MPOE) in the building within which the Customer Premises is located, as determined by the local access provider. Where the local access provider determines that it is necessary to extend
the demarcation point or MPOE through the provision of additional infrastructure, cabling, electronics or other materials necessary to reach the Customer Premises, (i) Level 3 may charge Customer additional non-recurring charges and/or
monthly recurring charges not otherwise set forth in the Customer Order for such Level 3 Private Line Lease (Off-Net) Service, (ii) installation of Service may be delayed and (iii) Section 7(A) of this Service Schedule shall not
apply. Level 3 will notify Customer of any additional non-recurring charges and/or monthly recurring charges as soon as practicable after Level 3 is notified by the local access provider of the amount of such charges. 
 (B) In addition, where Level 3 Private Line Lease Service is being terminated Off-Net at the Customer Premises through an Off-Net Local Loop to be provisioned by
Level 3 on behalf of the Customer, the charges and the Service Term set forth in the Customer Order for such Level 3 Private Line Lease (Off-Net) Service assumes that such Level 3 Private Line Lease (Off-Net) Service can be
provisioned by Level 3 through the local access provider selected by Level 3 (and/or Customer) for the stated Service Term. In the event Level 3 is unable to provision such Level 3 Private Line Lease (Off-Net) Service through the
selected local access provider or the selected local access provider requires a longer Service Term than that set forth in the Customer Order, Level 3 reserves the right, regardless of whether Level 3 has accepted the Customer Order, to
suspend provisioning of such Level 3 Private Line Lease (Off-Net) Service and notify Customer in writing of any additional non-recurring charges, monthly recurring charges and/or Service Term that may apply. Upon receipt of such notice,
Customer will have five (5) business days to accept or reject such changes. If Customer does not respond to Level 3 within the five (5) business day period, such changes will be deemed rejected by Customer. In the event Customer
rejects the changes (whether affirmatively or through the expiration of the five (5) business day period), the affected Level 3 Private Line Lease (Off-Net) Service will be cancelled without cancellation or termination liability of either
party. 
 (C) Level 3 does not guarantee that any Level 3 Private Line Lease (Off-Net) Service will be provided by a specified local access
provider. 
  

			
	CONFIDENTIAL	 	Page 5

 6. (3)HubSM
 Private Line Service. 
 (A) Level 3 Private Line Service is also available configured as (3)HubSM Private Line Service. (3)HubSM Private Line Service is comprised of (i) a single
Level 3 Private Line Service between two (2) locations (such single Level 3 Private Line Service is sometimes referred to as the (3)HubSM
Private Line Facility); and (ii) one or more individual Level 3 Private Line Service(s) within the (3)HubSM Private Line Facility (such
individual Level 3 Private Line Services are each sometimes referred to as a (3)HubSM Private Line Circuit). (3)HubSM Private Line Circuits will have equal or less capacity than the (3)HubSM Private Line
Facility. The Level 3 Private Line Service(s) comprising any (3)HubSM Private Line Service shall be configured as specified in the applicable Customer
Order. 
 (B) Notwithstanding any terms and
conditions in the Agreement or this Service Schedule to the contrary, Customer may not terminate a (3)HubSM Private Line Facility regardless of cause
without either (i) terminating all (3)HubSM Private Line Circuit(s) within such (3)HubSM Private Line Facility and paying all applicable termination charges related thereto; and/or (ii) converting all (3)HubSM Private Line Circuits comprising such (3)HubSM Private Line Facility into stand-alone Level 3 Private Line Service(s) (without changing the
end-point locations) at Level 3’s then standard charges for the remainder the applicable Service Term. 
 7.
Service Levels. 
 (A) Installation Service Level. Level 3 will exercise commercially reasonable efforts to install any Level 3
Private Line Service on or before the Customer Commit Date specified for the particular Level 3 Private Line Service. This Installation Service Level shall not apply to Customer Orders that contain incorrect information supplied by Customer or
Customer Orders that are altered at Customer’s request after submission and acceptance by Level 3. In the event Level 3 does not meet this Installation Service Level for a particular Level 3 Private Line Service for reasons other
than an Excused Outage, Customer will be entitled to a service credit off of the non-recurring charges (“NRC”) and/or monthly recurring charges (“MRC”) for the affected Level 3 Private Line Service as set forth in the
following table: 
 For any Level 3 Private Line (On-Net) Service: 
  

			
	 Installation Delay Beyond Customer Commit Date
	  	 Service Level Credit

	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]

 For any Level 3 Private Line (Off-Net) Service: 
  

			
	 Installation Delay Beyond Customer Commit Date
	  	 Service Level Credit

	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]

 (B) Availability Service Level for Protected Level 3 Private Line Service. The Availability Service
Level for Protected Level 3 Private Line Service is [**]. In the event that any Protected Level 3 Private Line Service becomes unavailable (as defined below) for reasons other than an Excused Outage, Customer will be entitled to a service
credit off of the MRC for the affected Protected Level 3 Private Line Service based on the cumulative unavailability of the affected Protected Level 3 Private Line Service in a given calendar month as set forth in the following table.

 For any Protected Level 3 Private Line (On-Net) Service: 
  

			
	 Cumulative Unavailability
 (in hrs:mins:secs)
	  	 Service Level Credit

	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]

 [**] – Confidential treatment has been requested
for the bracketed portions. The confidential redacted portion has been omitted and filed separately with the Securities and Exchange Commission. 
  

			
	CONFIDENTIAL	 	Page 6

 For any Protected Terrestrial Level 3 Private Line (Off-Net) Service: 
  

					
	 Cumulative Unavailability
 (in hrs:mins:secs)
	  	 Service Level Credit
	  	 
	[**]	  	[**]	  	
	[**]	  	[**]	  	
	[**]	  	[**]	  	
	[**]	  	[**]	  	
	[**]	  	[**]	  	
	[**]	  	[**]	  	
	[**]	  	[**]	  	

 For purposes of this Section 7(B) and Section 7(C) below, “unavailable” or
“unavailability” means the duration of a break in transmission measured from the first of ten (10) consecutive severely erred seconds (“SESs”) on the affected Level 3 Private Line Service until the first of ten
(10) consecutive non-SESs. An SES is a second with a bit error ratio of greater than or equal to 1 in 1000. 
 (C) Availability Service Level for
Unprotected Level 3 Private Line Service. In the event that any Unprotected Level 3 Private Line Service becomes unavailable (as defined in Section 7(B) above) for reasons other than an Excused Outage, Customer will be entitled to
a service credit off of the MRC for the affected Unprotected Level 3 Private Line Service based on the cumulative unavailability for the affected Unprotected Level 3 Private Line Service in a given calendar month as set forth in the
following table: 
 For any Unprotected Level 3 Private Line (On-Net) Service: 
  

			
	 Cumulative Unavailability
 (in hrs:mins:secs)
	  	 Service Level Credit

	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]

 For any Unprotected Terrestrial Level 3 Private Line (Off-Net) Service: 
  

			
	 Cumulative Unavailability
 (in hrs:mins:secs)
	  	 Service Level Credit

	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]

 (D) Off-Net Service Limitations. The Service Levels set forth in this Section 7 and the rights of
termination pursuant to Section 4.4 of the Agreement respecting Level 3 Private Line (Off-Net) Service shall only apply to Terrestrial Level 3 Private Line (Off-Net) Service with end point locations in the United States and/or the
European Union. For any other Off-Net Local Loop Service or Level 3 Private Line (Off-Net) Service provisioned by Level 3 through a third party carrier for the benefit of Customer and not otherwise covered by this Section 7,
Level 3 will pass-through to Customer any service levels and associated credits (or other express remedies) (if applicable) provided to Level 3 by the applicable third party carrier. 
 8. Chronic Outage. Customer may elect to terminate an affected On-Net Level 3 Private Line Service prior to the end of the Service Term without
termination liability if, for reasons other than an Excused Outage, 
 (1) For Protected On-Net Level 3 Private Line Service, such Protected
On-Net Level 3 Private Line Service is unavailable (as defined in Section 7(B) above) for [**] 
 (2) For Unprotected On-Net Level 3
Private Line Service, such Unprotected On-Net Level 3 Private Line Service is unavailable (as defined in Section 7(B) above) for [**] 
 Customer may
only terminate such On-Net Level 3 Private Line Service that is unavailable as described above, and must exercise its right to terminate the affected On-Net Level 3 Private Line Service under this Section, in writing, within thirty
(30) days after the event giving rise to a right of termination hereunder, which termination will be effective as set forth by Customer in such notice of termination. Except for any credits that have accrued pursuant to Section 7, this
Section 8 sets forth the sole remedy of Customer for chronic outages or interruptions of any Level 3 Private Line Service. 
 

 [**] – Confidential treatment has been requested for the bracketed portions. The confidential redacted portion has been omitted and
filed separately with the Securities and Exchange Commission. 
  

			
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 SERVICE SCHEDULE 
 LEVEL 3® COLOCATION 

 (Version Issue Date: March 15, 2006) 
 1. Applicability. This Service Schedule is applicable only where Customer orders Colocation Space
and associated services (i.e., power). Level 3® Colocation Service may be designated as (3)Center® Colocation in customer
orders, order acceptance, service delivery, billing (and related) documents. 
 2. Definitions. Any capitalized terms used herein and not
otherwise defined shall have the meaning set forth in the Agreement. 
 (A) “Colocation Area” shall mean the location within a Gateway in which
Colocation Space ordered by Customer is located. 
 (B) “Colocation Space” shall mean the location(s) within the Colocation Area where Customer is
permitted to colocate communications and networking equipment pursuant to a Customer Order accepted by Level 3. 
 (C) “Hot Aisle Cold Aisle”
shall mean the arrangement of Customer equipment where the equipment air intake is facing a common aisle (“Cold Aisle”), and the air exhaust of the equipment faces the alternate common aisle (“Hot Aisle”), as designated by
Level 3. 
 (D) “Colocation Environment” shall mean relative humidity in the Colocation Area of [**] and temperature in the Colocation Space
[**], as measured [**]. 
 3. Grant of License. Customer shall be granted the right to occupy the Colocation Space identified in an accepted
Customer Order during the Service Term subject to the applicable rates set forth in such Customer Order. At the end of any stated Service Term, the Colocation Space will be provided to Customer on a month-to-month basis at Level 3’s
then-current prices. Level 3 retains the right to access any Colocation Space for any legitimate business purpose at any time. 
 4. Use of
Colocation Space. Customer shall be permitted to use the Colocation Space only for placement and maintenance of communications equipment. Customer may access the Colocation Space twenty four (24) hours per day, seven (7) days per
week, subject to any and all rules, regulations and access requirements imposed by Level 3 governing such access. 
 5. Level 3
Maintenance. Level 3 shall perform janitorial services, environmental systems maintenance, power plant maintenance and other actions as are reasonably required to maintain the Colocation Area in a condition that is suitable for the
placement of communications equipment. Level 3 shall maintain a Colocation Environment in the facility at all times. Customer shall install equipment in a Hot Aisle Cold Aisle configuration. Customer shall maintain the Colocation Space in an
orderly and safe condition, and shall return the Colocation Space to Level 3 at the conclusion of the Service Term in the same condition (reasonable wear and tear excepted) as when such Colocation Space was delivered to Customer. EXCEPT AS
EXPRESSLY STATED HEREIN OR IN ANY CUSTOMER ORDER, THE COLOCATION SPACE SHALL BE DELIVERED AND ACCEPTED “AS IS” BY CUSTOMER, AND NO REPRESENTATION HAS BEEN MADE BY LEVEL 3 AS TO THE FITNESS OF THE COLOCATION SPACE FOR CUSTOMER’S
INTENDED PURPOSE. 
 6. Release of Landlord. If and to the extent that Level 3’s underlying leases so require (but only if they so
require) Customer hereby agrees to release Level 3’s landlord (and its agents, subcontractors and employees) from all liability relating to Customer’s access to the Gateway and the Colocation Area and Customer’s use and/or
occupancy of the Colocation Space. 
 7. Security. Level 3 will provide and maintain in working condition card readers, scanners and/or
other access devices as selected by Level 3 for access to the Colocation Area. Customer shall under no circumstances “prop open” any door to, or otherwise bypass the Level 3 security measures for, the Colocation Area.
Level 3 will provide a locking device for the Colocation Space, and Customer shall be solely responsible for locking and/or activating such device. In the event that unauthorized parties gain access to any Level 3 facility through access
cards, keys or other access devices provided to Customer, Customer shall be responsible for any damages caused by such parties. Customer shall be responsible for the cost of replacing any security devices lost or stolen after delivery thereof to
Customer. 
 8. Prohibited Activities. Customer shall abide by any posted or otherwise communicated rules relating to use of, access to, or
security measures respecting each Level 3 facility. 
 9. Termination of Use. Level 3 shall have the right to terminate
Customer’s use of the Colocation Space or the Service delivered therein in the event that: (a) Level 3’s rights to use the Gateway terminates or expires for any reason; (b) Customer is in default hereof; (c) Customer
makes any material alterations to the Colocation Space without first obtaining the written consent of Level 3; (d) Customer allows personnel or contractors access to the Level 3 facilities who have not been approved by Level 3 in
advance; or (e) Customer or any of its agents or employees possess any firearms, illegal drugs or alcohol in a facility or engage in any criminal activity in any facility. With respect to items (b), (c) and (d), unless (in
Level 3’s opinion) Customer’s actions interfere or have the potential to interfere with other Level 3 customers, Level 3 shall provide Customer a written notice and a ten (10) day opportunity to cure before terminating
Customer’s rights to the Colocation Space. 

 [**] – Confidential treatment has been
requested for the bracketed portions. The confidential redacted portion has been omitted and filed separately with the Securities and Exchange Commission. 
  

			
	CONFIDENTIAL	 	Page 8

 10. Removal of Equipment. Within 10 days following the expiration or termination of the Service Term for
any Colocation Space, Customer shall remove all Customer equipment from the Colocation Space. In the event Customer fails to remove the equipment within such 10-day period, Level 3 may disconnect, remove and dispose of Customer’s equipment
without prior notice. Customer shall be responsible for any costs and expenses incurred by Level 3, or its agent, representative or contractor, resulting from disconnection, removal, disposal and storage of Customer’s equipment.
Level 3 shall not be obligated to release equipment to Customer unless Customer has paid all such costs and expenses and all other charges due and owing by Customer to Level 3 under the Agreement. Level 3 shall not be liable for any
loss or damage incurred by Customer arising out of Level 3’s disconnection, removal, storage or disposal of Customer’s equipment. 
 11.
Sublicenses. Customer may sublicense the use of Colocation Space under the following conditions: (a) all proposed sublicensees must be approved in writing by Level 3 in Level 3’s sole discretion, except Customer may
sublicense the use of the Colocation Space to an Affiliate of Customer upon prior written notice to Level 3; (b) all proposed sublicensees shall abide by the terms of the Agreement, this Service Schedule and the applicable Customer Order;
(c) Customer shall indemnify, defend and hold Level 3 harmless from all claims brought against Level 3 arising from any act or omission of any sublicensee or its agents; and (d) any sublicensee shall be considered Customer’s
agent and all of such party’s acts and omissions shall be attributable to Customer for the purposes of the Agreement and this Service Schedule. In the event Customer sublicenses use of the Colocation Space without Level 3’s prior
written approval, Level 3 may upon ten (10) days’ prior written notice reclaim the sublicensed portion of the Colocation Space. Customer shall surrender such reclaimed Colocation Space and shall be subject to termination charges
associated with the reclaimed Colocation Space as provided in Section 2.5 of the Agreement. No refunds shall be made to Customer regarding reclaimed Colocation Space. 
 12. Changes. 
 (A) Level 3 reserves the right to change (at Level 3’s cost) the location or
configuration of the Colocation Space licensed to Customer; provided that Level 3 shall not arbitrarily require such changes. Level 3 and Customer shall work in good faith to minimize any disruption in Customer’s services that may be
caused by such changes in location or configuration of the Colocation Space. 
 (B) In the event any Customer Order for Colocation Space is altered
(including, without limitation, any changes in the configuration or build-out of the Colocation Space) at Customer’s request after Customer’s submission and Level 3’s acceptance of such Customer Order that results in a delay of
Level 3’s delivery of such Colocation Space to Customer, billing for such Colocation Space shall commence no later than the original Customer Commit Date. 
 13. Insurance. Prior to occupancy by Customer of any Colocation Space and during the Service Term, Customer shall procure and maintain the following minimum insurance coverage: (a) Workers’
Compensation in compliance with all applicable statutes of appropriate jurisdiction (including Employer’s Liability with limits of [**] each accident); (b) Commercial General Liability with combined single limits of [**] each occurrence;
and (c) “All Risk” Property insurance covering all of Customer’s personal property located in the Gateway. Customer acknowledges that it retains the risk of loss for, loss of (including, without limitation, loss of use), or
damage to, Customer equipment and other personal property located in a Level 3 facility. Customer further acknowledges that Level 3’s insurance policies do not provide coverage for Customer’s personal property located in a
Level 3 facility. Customer shall, at its option, maintain a program of property insurance or self-insurance covering loss of or damage to its equipment and other personal property. Customer’s Commercial General Liability policy shall be
endorsed to show Level 3 (and any underlying property owner, as requested by Level 3) as an additional insured. Customer shall waive and/or cause its insurance carriers to waive all rights of subrogation against Level 3, which will
include, without limitation, an express waiver in all insurance policies. Customer shall furnish Level 3 with certificates of insurance demonstrating that Customer has obtained the required insurance coverage prior to use of any Level 3
facility. Such certificates shall contain a statement that the insurance coverage shall not be materially changed or cancelled without at least 30 days’ prior written notice to Level 3. Customer shall require any contractor, customer or
other third party entering the Gateway on Customer’s behalf to procure and maintain the same types, amounts and coverage extensions as required of Customer above. 
 14. Storage of Customer Equipment. Level 3 may, at its option, agree to store equipment that Customer intends to colocate in Customer’s Colocation Space for not more than 45 days prior to the
applicable Customer Commit Date. Storage of such equipment is purely incidental to the Service ordered by Customer and Level 3 will not charge Customer a fee for such storage. No document delivered as part of such storage shall be deemed a
warehouse receipt. Absent Level 3’s gross negligence or intentional misconduct, Level 3 shall have no liability to Customer or any third party arising from such storage. In the event Customer stores equipment for longer than 45 days,
Level 3 may, but shall not be obligated to, return Customer’s equipment to Customer without liability, at Customer’s sole cost and expense. 
 15. Promotional Signage. Customer may display a single promotional sign with Customer’s name and/or logo on the outside of any Colocation Space; provided such signage does not exceed 8 inches by 11 inches. All other
promotional signage is prohibited. 
 16. Power. 
 (A) The pricing for power shall be on a breakered amp load basis. 
 (B) The supportable power density in any Colocation Space is [**]. Any
additional power required by Customer is subject to prior written approval by Level 3. 

 [**]
– Confidential treatment has been requested for the bracketed portions. The confidential redacted portion has been omitted and filed separately with the Securities and Exchange Commission. 
  

			
	CONFIDENTIAL	 	Page 9

 (C) [**] 
 (D) Customer
agrees not to place inverters for the purposes of conversion from DC power to AC power in the Colocation Space. 
 17. Service Levels.

 (A) Installation Service Level. This Installation Service Level applies to cabinet and private suite Colocation Space. Level 3 will exercise
commercially reasonable efforts to install any Colocation Space on or before the Customer Commit Date specified for such Colocation Space. This Installation Service Level shall not apply to Customer Orders that contain incorrect information supplied
by Customer, Customer Orders that are altered at Customer’s request after submission and acceptance by Level 3, or Customer Orders that require Level 3 to configure Colocation Space to specifications other than Level 3’s
standard specifications for Colocation Space (such standard specifications shall be made available to Customer upon request). In the event Level 3 does not meet this Installation Service Level for a particular Colocation Space for reasons other
than an Excused Outage, Customer will be entitled to a service credit [**]. 
 (B) Power Service Level. In the event of any outage of Level 3 provided
power to the Colocation Space for reasons other than an Excused Outage, Customer will be entitled to a service credit off of the MRC for the affected Colocation Space based on the cumulative unavailability for the affected service in a given
calendar month as set forth in the following table): 
  

			
	 Cumulative Unavailability
 (in hrs:mins:secs)
	  	 Service Level Credit

	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]

 [**] – Confidential treatment has been requested
for the bracketed portions. The confidential redacted portion has been omitted and filed separately with the Securities and Exchange Commission. 
  

			
	CONFIDENTIAL	 	Page 10

 SERVICE SCHEDULE 
 LEVEL 3® CROSS CONNECT
SERVICE AND LEVEL3 MONDO CONDO FIBER LINK SERVICE 
 (Version Issue Date: March 15, 2006) 
 1. Applicability. This Service Schedule is applicable only where Customer Orders Level 3® Cross Connect Service and/or Level 3® Mondo Condo Fiber Link Service. Level 3® Cross Connect Service and Level 3® Mondo Condo Fiber Link Service may be designated as (3)Link®
 Cross Connect Service and/or Mondo Condo Fiber Link Service in Customer Orders, order acceptance, service delivery, billing (and related) documents. 
 2. Definitions. Any capitalized terms used herein and not otherwise defined shall have the meaning set forth in the Agreement. 
 3. Service Description. Level 3 Cross Connect Service is copper or fiber optic cabling
cross-connected between Level 3 provided Level 3® Colocation (cabinets and/or suites), other Level 3 provided Service or Facilities and/or third party provided services or
facilities that terminate within the Level 3 Gateway. Customer Commit Dates may not be provided for Level 3 Cross Connect Service, in which case service delivery shall constitute Level 3’s acceptance. Level 3 Mondo Condo
Fiber Link Service is fiber optic cabling that provides connectivity between the Level 3 Mondo Condo facility and the Level 3 Gateway in the same metropolitan area. Level 3 Mondo Condo Fiber Link Service can provide connectivity
between Level 3® Colocation (cabinets and/or suites) within a Level 3 Mondo Condo facility and the Level 3 Gateway, Level 3 provided dark fiber and/or third party
provided services or facilities that terminate within a Level 3 Gateway. 
 4. Interconnection. Unless otherwise agreed between the
parties, any Level 3 Cross Connect Service or Level 3 Mondo Condo Fiber Link Service will be interconnected to a Level 3 provided panel within the Level 3 Gateway (and not directly to Customer provided equipment or facilities).
Upon request of Customer at the time of submission of the applicable Customer Order, Level 3 will interconnect such Level 3 Cross Connect Service or Level 3 Mondo Condo Fiber Link Service directly to Customer provided equipment or
facilities within the Level 3 Gateway; provided, however, Level 3 shall not be liable to Customer or any third party for any loss or damage to such Customer provided equipment or facilities arising out of such direct interconnection.

 5. Service Level. Level 3 will exercise commercially reasonable efforts to install any Level 3 Cross Connect Service and any
Level 3 Mondo Condo Fiber Link Service on or before the Customer Commit Date specified for the particular Level 3 Cross Connect Service or Level 3 Mondo Condo Fiber Link Service (as the case may be). This Installation Service Level
shall not apply to Customer Orders that contain incorrect information supplied by Customer or Customer Orders that are altered at Customer’s request after submission and acceptance by Level 3. In the event Level 3 does not meet this
Installation Service Level for a particular Level 3 Cross Connect Service or Level 3 Mondo Condo Fiber Link Service (as the case may be) for reasons other than an Excused Outage, Customer will be entitled to a service credit off of the
non-recurring charges (“NRC”) and/or monthly recurring charges (“MRC”) for the affected Level 3 Cross Connect Service or Level 3 Mondo Condo Fiber Link Service (as the case may be) as set forth in the following tables:

 For Level 3 Cross Connect Service: 
  

			
	 Installation Delay Beyond Customer Commit Date
	  	 Service Level Credit

	[**]	  	[**]
	[**]	  	[**]
	[**]	  	[**]

 For Level 3 Mondo Condo Fiber Link Service: 
  

			
	 Installation Delay Beyond Customer Commit Date
	  	 Service Level Credit

	[**]	  	[**]
	[**]	  	[**]

 [**] – Confidential treatment has been requested
for the bracketed portions. The confidential redacted portion has been omitted and filed separately with the Securities and Exchange Commission. 
  

			
	CONFIDENTIAL	 	Page 11Severance and Change of Control Agreement - Zachary Nelson

 EXHIBIT 10.21 
 NETSUITE, INC. 
 SEVERANCE AND CHANGE OF CONTROL AGREEMENT 
 This Severance and Change of Control Agreement (the “Agreement”) is made and entered into by and between Zachary Nelson (“Executive”)
and NetSuite Inc. (the “Company”), effective as of July 1 , 2007 (the “Effective Date”). 
 RECITALS

 1. It is possible that the Company could terminate Executive’s employment with the Company and it is expected that the Company
from time to time will consider the possibility of an acquisition by another company or other change of control. The Board of Directors of the Company (the “Board”) recognizes that such considerations can be a distraction to Executive and
can cause Executive to consider alternative employment opportunities. The Board has determined that it is in the best interests of the Company and its stockholders to assure that the Company will have the continued dedication and objectivity of
Executive, notwithstanding the possibility, threat or occurrence of such a termination of employment or the occurrence of a Change of Control (as defined herein) of the Company. 
 2. The Board believes that it is in the best interests of the Company and its stockholders to provide Executive with an incentive to continue his or her
employment and to motivate Executive to maximize the value of the Company for the benefit of its stockholders. 
 3. The Board believes that
it is imperative to provide Executive with certain severance benefits upon Executive’s termination of employment and with certain additional benefits upon a Change of Control. These benefits will provide Executive with enhanced financial
security and incentive and encouragement to remain with the Company. 
 4. Certain capitalized terms used in the Agreement are defined in
Section 6 below. 
 AGREEMENT 
 NOW, THEREFORE, in consideration of the mutual covenants contained herein, the parties hereto agree as follows: 
 1. Term of Agreement. This Agreement will terminate upon the date that all of the obligations of the parties hereto with respect to this Agreement have been satisfied. 
 2. At-Will Employment. The Company and Executive acknowledge that Executive’s employment is and will continue to be at-will, as defined under
applicable law, except as may otherwise be specifically provided under the terms of any written formal employment agreement between the Company and Executive (an “Employment Agreement”). If Executive’s employment terminates for any
reason, including (without limitation) any termination not set for in Section 3, Executive will not be entitled to any payments, benefits, damages, awards or compensation other than as provided by this Agreement. 

 3. Severance Benefits. 
 (a) Termination without Cause and not in Connection with a Change of Control. If the Company (or any Affiliate) terminates Executive’s
employment with the Company (or any Affiliate), for a reason other than Cause, Executive becoming Disabled or Executive’s death at any time other than during the period commencing three (3) months before and ending twelve (12) months
after a Change of Control, then, subject to Section 4, Executive will receive the following severance from the Company: 
 (i)
Accrued Compensation. The Company will pay Executive all accrued but unpaid vacation, expense reimbursements, wages, and other benefits due to Executive under any Company-provided plans, policies, and arrangements. 
 (ii) Severance Payment. Executive will be paid continuing payments of severance pay at a rate equal to Executive’s base salary rate, as then
in effect, for twelve (12) months from the date of such termination of employment, to be paid periodically in accordance with the Company’s normal payroll policies. 
 (iii) Pro-Rated Bonus Payment. Executive will receive a lump-sum severance payment equal to one hundred percent (100%) of Executive’s
target bonus as in effect for the fiscal year in which Executive’s termination occurs, pro-rated by multiplying such bonus amount by a fraction, the numerator of which shall be the number of days from and including the first day of such fiscal
year through and including the date of Executive’s termination, and the denominator of which shall be three-hundred and sixty-five (365). 
 (iv) Equity. All of Executive’s unvested and outstanding equity awards that would have become vested had Executive remained in the employ of the Company for the twelve (12) month period following Executive’s
termination of employment shall immediately vest and become exercisable as of the date of Executive’s termination. In addition, Executive will have twelve (12) months following any such termination in which to exercise any stock options,
stock appreciation rights, or similar rights to acquire Company common stock, but in no event will such equity award be permitted to be exercised beyond the earlier of the original maximum term of such equity award or 10 years from the original
grant date of such equity award. 
 (v) Outplacement Benefits. If requested by Executive, the Company will pay the expense for
outplacement benefits provided by a service to be determined by the Company in its discretion for a period of up to twelve (12) months following Executive’s termination. 
 (vi) Continued Employee Benefits. Executive will receive Company-paid coverage for a period of twelve (12) months for Executive and
Executive’s eligible dependents under the Company’s Benefit Plans. 
  

 -2- 

 (vii) Payments or Benefits Required by Law. Executive will receive such other compensation or
benefits from the Company as may be required by law (for example, Title X of the Consolidated Budget Reconciliation Act of 1985, as amended (“COBRA”)). 
 (b) Termination without Cause or Resignation for Good Reason in Connection with a Change of Control. If during the period commencing three (3) months before and ending twelve (12) months after a
Change of Control, (i) Executive terminates his or her employment with the Company (or any Affiliate) for Good Reason or (ii) the Company (or any Affiliate) terminates Executive’s employment for other than Cause, Executive becoming
Disabled or Executive’s death, then, subject to Section 4, Executive will receive the following severance from the Company: 
 (i)
Accrued Compensation. The Company will pay Executive all accrued but unpaid vacation, expense reimbursements, wages, and other benefits due to Executive under any Company-provided plans, policies, and arrangements. 
 (ii) Severance Payment. Executive will receive a lump-sum severance payment equal to twelve (12) months of Executive’s annual base
salary as in effect immediately prior to Executive’s termination date or (if greater) at the level in effect immediately prior to the Change of Control. 
 (iii) Bonus Payment. Executive will receive a lump-sum severance payment equal to one hundred percent (100%) of the higher of (i) Executive’s target bonus as in effect for the fiscal year in
which the Change of Control occurs or (ii) Executive’s target bonus as in effect for the fiscal year in which Executive’s termination occurs. 
 (iv) Equity. Executive will be entitled to accelerated vesting as to one hundred percent (100%) of the then unvested portion of all of Executive’s outstanding equity awards. In addition, Executive
will have twelve (12) months following any such termination in which to exercise any stock options, stock appreciation rights, or similar rights to acquire Company common stock, but in no event will such equity award be permitted to be
exercised beyond the earlier of the original maximum term of such equity award or 10 years from the original grant date of such equity award. 
 (v) Continued Employee Benefits. Executive will receive Company-paid coverage for a period of twelve (12) months for Executive and Executive’s eligible dependents under the Company’s Benefit Plans. 
 (vi) Outplacement Benefits. If requested by the Executive, the Company will pay the expense for outplacement benefits provided by a service to be
determined by the Company in its discretion for a period of twelve (12) months following Executive’s termination. 
 (vii)
Payments or Benefits Required by Law. Executive will receive such other compensation or benefits from the Company as may be required by law (for example, COBRA). 
  

 -3- 

 For purposes of Section 3(a) and (c), if Executive’s employment with the Company or one of its
Affiliates terminates, he will not be determined to have been terminated without Cause, provided he continues to remain employed by the Company or one of its Affiliates (e.g., upon transfer from on Affiliate to another); provided, however, that the
parties understand and acknowledge that any such termination could potentially result in Executive’s ability to resign for Good Reason under Section 3(c). 
 (c) Disability; Death. If Executive’s employment with the Company (or any Affiliate) is terminated due to Executive’s becoming Disabled or Executive’s death, then Executive or Executive’s
estate (as the case may be) will (i) receive the earned but unpaid base salary through the date of termination of employment, (ii) receive all accrued vacation, expense reimbursements and any other benefits due to Executive through the
date of termination of employment in accordance with Company-provided or paid plans, policies and arrangements, and (iii) not be entitled to any other compensation or benefits from the Company except to the extent required by law (for example,
COBRA). 
 (d) Voluntary Resignation; Termination for Cause. If Executive voluntarily terminates Executive’s employment with the
Company or any Affiliate (other than for Good Reason during the period that commences three (3) months before a Change of Control and ends twelve (12) months after a Change of Control) or if the Company (or any Affiliate) terminates
Executive employment with the Company (or any Affiliate) for Cause, then Executive will (i) receive his or her earned but unpaid base salary through the date of termination of employment, (ii) receive all accrued vacation, expense
reimbursements and any other benefits due to Executive through the date of termination of employment in accordance with established Company-provided or paid plans, policies and arrangements, and (iii) not be entitled to any other compensation
or benefits (including, without limitation, accelerated vesting of any equity awards) from the Company except to the extent provided under agreement(s) relating to any equity awards or as may be required by law (for example, COBRA). 
 (e) Exclusive Remedy. In the event of a termination of Executive’s employment, the provisions of this Agreement are intended to be and are
exclusive and in lieu of and supersede any other rights or remedies to which Executive or the Company (or any Affiliate) may otherwise be entitled, whether at law, tort or contract (including Executive’s Employment Agreement) or in equity.
Executive will be entitled to no benefits, compensation or other payments or rights upon termination of employment other than those benefits expressly set forth in this Agreement. 
 4. Conditions to Receipt of Severance 
 (a) Release of Claims Agreement. The receipt of any severance pay or other benefits pursuant to Sections 3(a) or (c) above will be subject to Executive signing and not revoking a separation agreement and release of claims with
the Company in a form acceptable to the Company. No such severance pay or other benefits will be paid or provided until the release of claims agreement becomes effective, and any severance amounts or benefits otherwise payable between the date of
the Executive’s termination and the date of such release becomes effective shall be paid on the effective date of such release. 
  

 -4- 

 (b) Non-solicitation and Non-competition. Executive agrees, to the extent permitted by applicable
law, that in the event the Executive receives severance pay or other benefits pursuant to Sections 3(a) and (c) above, for the twelve (12) consecutive month period immediately following the date of Executive’s termination, Executive,
as a condition to receipt of severance pay and benefits under Sections 3(a) and (c), will not (i) either directly or indirectly, solicit, induce, attempt to hire, recruit, encourage or take away any employee of the Company or cause an employee
to leave his employment either for Executive or for any other entity or person, or (ii) without the express written consent of the Company, directly or indirectly engage in, enter the employ, have any ownership interest in, or participate in
any entity that as of the date of involuntary termination, engages in the design, development, manufacture, production, marketing, sale or servicing of any product or the provision of any service that competes with any service offered by the Company
or any product sold by the Company or under development by the Company; provided, however, that ownership of less than one percent (1%) of the outstanding stock of any publicly traded corporation will not be deemed to be violative of the
restrictive covenant set forth in this paragraph. In the event Executive violates the provisions of this Section 4(b), all severance pay and other benefits pursuant to Section 3 shall cease immediately. 
 The covenants contained in this Section 4(b) hereof shall be construed as a series of separate covenants, one for each country, province, state,
city or other political subdivision in which the Company currently engages in its business or, during the term of this Agreement, becomes engaged in its business. Except for geographic coverage, each such separate covenant shall be deemed identical
in terms to the covenant contained in this Section 4(b). If, in any judicial proceeding, a court refuses to enforce any of such separate covenants (or any part thereof), then such unenforceable covenant (or such part) shall be eliminated from
this Agreement to the extent necessary to permit the remaining separate covenants (or portions thereof) to be enforced. In the event that the provisions of this Section 4(b) are deemed to exceed the time, geographic or scope limitations
permitted by applicable law, then such provisions shall be reformed to the maximum time, geographic or scope limitations, as the case may be, permitted by applicable law. 
 (c) Section 409A. 
 (i) Notwithstanding anything to the contrary in this Agreement, if Executive
is a “specified employee” within the meaning of Section 409A of the Code and the final regulations and any guidance promulgated thereunder (“Section 409A”) at the time of Executive’s termination, and the severance
payable to Executive, if any, pursuant to this Agreement, when considered together with any other severance payments or separation benefits which may be considered deferred compensation under Section 409A (together, the “Deferred
Compensation Separation Benefits”), then to the extent such portion of the Deferred Compensation Separation Benefits would otherwise have been payable within the first six (6) months following Executive’s termination of employment, it
will become payable on the first payroll date that occurs on or after the date six (6) months and one (1) day following the date of Executive’s termination of employment. All subsequent Deferred Compensation Separation Benefits, if
any, will be payable in accordance with the payment schedule applicable to each payment or benefit. 
  

 -5- 

 (ii) The foregoing provision is intended to comply with the requirements of Section 409A so that
none of the severance payments and benefits to be provided hereunder will be subject to the additional tax imposed under Section 409A, and any ambiguities herein will be interpreted to so comply. The Company and Executive agree to work together
in good faith to consider amendments to this Agreement and to take such reasonable actions which are necessary, appropriate or desirable to avoid imposition of any additional tax or income recognition prior to actual payment to Executive under
Section 409A. 
 5. 280G Gross-Up. 
 (a) In the event it will be determined that any payment or distribution by the Company or other amount with respect to the Company to or for the benefit of Executive, whether paid or payable or distributed or
distributable pursuant to the terms of this Agreement or otherwise, but determined without regard to any additional payments required under this Section 5 (a “Payment”), is (or will be) subject to the excise tax imposed by
Section 4999 of the Internal Revenue Code of 1986, as amended (the “Code”) or any interest or penalties are (or will be) incurred by Executive with respect to the excise tax imposed by Section 4999 of the Code with respect to the
Company (the excise tax, together with any interest and penalties, are hereinafter collectively referred to as the “Excise Tax”), Executive will be entitled to receive an additional cash payment (a “Gross-Up Payment” from the
Company in an amount equal to the sum of the Excise Tax and an amount sufficient to pay the cumulative Excise Tax and all cumulative income taxes (including any interest and penalties imposed with respect to such taxes) relating to the Gross-Up
Payment so that the net amount retained by Executive is equal to all payments to which Employee is entitled pursuant to the terms of this Agreement (excluding the Gross-Up Payment) or otherwise less income taxes (but not reduced by the Excise Tax or
by income taxes attributable to the Gross-Up Payment). 
 (b) Subject to the provisions of Section 5(c), all determinations required to
be made under this Section 5, including whether and when a Gross-Up Payment is required and the amount of such Gross-Up Payment and the assumptions to be utilized in arriving at the determination, will be made by a nationally recognized
certified public accounting firm selected by the Company with the consent of Executive, which should not unreasonably be withheld (the “Accounting Firm”) which will provide detailed supporting calculations both to the Company and Executive
within thirty (30) days after the receipt of notice from Executive that there has been a Payment, or such earlier time as is requested by the Company. All fees and expenses of the Accounting Firm will be borne solely by the Company. The
Company, as determined in accordance with this Section 5, will pay any Gross-Up Payment to Executive within five (5) days after the receipt of the Accounting Firm’s determination. If the Accounting Firm determines that no Excise Tax
is payable by Executive, it will so indicate to Executive in writing. Any determination by the Accounting Firm will be binding upon the Company and Executive; provided, however, that as a result of uncertainty in the application of Section 4999
of the Code at the time of the initial determination by the Accounting Firm, it is possible that Gross-Up Payments that the Company should have made will not have been made (an “Underpayment”), consistent with the calculations required to
be made hereunder. In the event the Company exhausts its remedies in accordance with Section 5(c), or elects not to exercise such remedies, and Executive thereafter is required to make a 

  

 -6- 

 
payment of any Excise Tax, the Accounting Firm will determine the amount of Underpayment that has occurred and the Underpayment will be promptly paid by the
Company to or for the benefit of Executive. 
 (c) Executive will notify the Company in writing of any claim by the Internal Revenue Service
that, if successful, would require a Gross-Up Payment (that has not already been paid by the Company). The notification will be given as soon as practicable but no later than ten (10) business days after Executive is informed in writing of the
claim and will apprise the Company of the nature of the claim and the date on which the claim is requested to be paid. Executive will not pay the claim prior to the expiration of the 30-day period following the date on which Executive gives notice
to the Company or any shorter period ending on the date that any payment of taxes with respect to the claim is due. If the Company notifies Executive in writing prior to the expiration of the 30-day or shorter period that it desires to contest the
claim, Executive will: 
 (i) give the Company any information reasonably requested by the Company relating to the claim; 
 (ii) take any action in connection with contesting the claim as the Company will reasonably request in writing from time to time, including, without
limitation, accepting legal representation with respect to the claim by an attorney reasonably selected by the Company; 
 (iii) cooperate
with the Company in good faith in order effectively to contest the claim; and 
 (iv) permit the Company to participate in any proceedings
relating to the claim. 
 (d) The Company will bear and pay directly all costs and expenses (including additional interest and penalties)
incurred in connection with the contest and will indemnify and hold Executive harmless, on an after-tax basis, for any Excise Tax or income tax (including interest and penalties with respect thereto) imposed as a result of the representation and
payment of costs and expenses. Without limitation of the forgoing provisions of this Section 5, the Company will control all proceedings taken in connection with the contest and, at its sole option, may pursue or forego any and all
administrative appeals, proceedings, hearings, and conferences with the taxing authority in respect of the claim and may, at its sole option, either direct Executive to pay the tax claimed and sue for a refund or contest the claim in any permissible
manner, and Executive agrees to prosecute the contest to a determination before any administrative tribunal, in a court of initial jurisdiction and in one or more appellate courts, as the Company will determine. If the Company directs Executive to
pay the claim and sue for a refund, the Company will advance the amount of the payment to Executive, on an interest-free basis, and will indemnify and hold Executive harmless, on an after-tax basis, from any Excise Tax or income tax (including
interest or penalties with respect thereto) imposed with respect to the advance or with respect to any imputed income with respect to the advance; and any extension of the statute of limitations relating to payment of taxes for the taxable year of
Executive with respect to which the contested amount is claimed to be due will be limited 

  

 -7- 

 
solely to the contested amount. The Company’s control of the contest will be limited to issues with respect to which a Gross-Up Payment would be payable
hereunder and Executive will be entitled to settle or contest, as the case may be, any other issue raised by the Internal Revenue Service or any other taxing authority. 
 (e) If, after the receipt by Executive of an amount advanced by the Company pursuant to Section 5(d), Executive becomes entitled to receive any refund with respect to the claim, Executive will, subject to the
Company’s compliance with the requirements of Section 5(d), promptly pay to the Company the amount of the refund (together with any interest paid or credited thereon after taxes applicable thereto). If, after the receipt by Executive of an
amount advanced by the Company pursuant to this Section 5(d), a determination is made that Executive will not be entitled to any refund with respect to the claim and the Company does not notify Executive in writing of its intent to contest the
denial of refund prior to the expiration of thirty (30) days after the determination, then the advance will be forgiven and will not be required to be repaid and the amount of the advance will offset, to the extent thereof, the amount of
Gross-Up Payment required to be paid. 
 (f) Should the Company elect not to contest the Internal Revenue Service claim in accordance with
the foregoing provisions of Section 5(c) or otherwise not provide Executive with written notice of its intention to contest such claim within the applicable thirty (30) day or shorter notice period provided in Section 5(c), then the
Company will promptly thereafter pay Executive the applicable Gross-Up Payment attributable to such claim. 
 6. Definition of Terms.
The following terms referred to in this Agreement will have the following meanings: 
 (a) Affiliate. “Affiliate” means the
Company and any other parent or subsidiary corporation of the Company, as such terms are defined in Section 424(e) and (f) of the Code. 
 (b) Benefit Plans. “Benefit Plans” means plans, policies or arrangements that the Company sponsors (or participates in) and that immediately prior to Executive’s termination of employment provide Executive and/or
Executive’s eligible dependents with medical, dental, vision and similar benefits. Benefit Plans do not include any other type of benefit (including, but not by way of limitation, disability, life insurance, or retirement benefits). A
requirement that the Company provide Executive and Executive’s eligible dependents with coverage under the Benefit Plans will not be satisfied unless the coverage is no less favorable than that provided to executives of the Company at any
applicable time during the period Executive is entitled to receive severance pursuant to Section 3. The Company may, at its option, satisfy any requirement that the Company provide coverage under any Benefit Plan by (i) reimbursing
Executive’s premiums under COBRA after Executive has properly elected continuation coverage under COBRA (in which case Executive will be solely responsible for electing such coverage for his eligible dependents), or (ii) providing coverage
under a separate plan or plans providing coverage that is no less favorable or by paying Executive a lump-sum payment which is, on an after-tax basis, sufficient to provide Executive and Executive’s eligible dependents with equivalent coverage
under a third party plan that is reasonably available to Executive and Executive’ s eligible dependents. 
  

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 (c) Cause. “Cause” means (i) Executive’s failure to devote sufficient time and
effort to the performance of his or her duties; (ii) Executive’s continued failure to perform his or her employment duties, (iii) Executive’s repeated unexplained or unjustified absences from the Company;
(iv) Executive’s material and willful violation of any federal or state law which if made public would injure the business or reputation of the Company; (v) Executive’s refusal or willful failure to act in accordance with any
specific lawful direction or order of the Company or stated written policy of the Company; (vi) Executive’s commission of any act of fraud with respect to the Company; or (vii) Executive’s conviction of, or plea of nolo
contendere to, a felony or a crime involving moral turpitude causing material harm to the standing and reputation of the Company, in each case as reasonably determined by the Company or the Board of Directors of the Company (the
“Board”). The Company may not terminate the employment of an Executive under clause (i), (ii), or (iii) above unless the Company (1) provides Executive with a written notice that specifically sets forth the factual basis to
support the Company’s right to terminate Executive’s employment under clause (i), (ii), or (iii) above, and (2) permits Executive to cure such failure, to the Company’s satisfaction, within 10 business days after receiving
such notice. 
 (d) Change of Control. “Change of Control” means the occurrence of any of the following: 
 (i) Any “person” (as such term is used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as amended), except Tako Ventures,
LLC, or an affiliate of Tako Ventures, LLC, becomes the “beneficial owner” (as defined in Rule 13d-3 under said Act), directly or indirectly, of securities of the Company representing 50% or more of the total voting power represented by,
or 50% or more of the fair value of, the Company’s then outstanding voting securities; or 
 (ii) Any action or event occurring within
an one-year period, as a result of which less than a majority of the directors are Incumbent Directors. “Incumbent Directors” will mean directors who either (A) are directors of the Company as of the date hereof, or (B) are
elected, or nominated for election, to the Board with the affirmative votes of a majority of the Incumbent Directors at the time of such election or nomination (but will not include an individual whose election or nomination is in connection with an
actual or threatened proxy contest relating to the election of directors to the Company); or 
 (iii) The consummation of a merger or
consolidation of the Company with any other corporation, other than a merger or consolidation which would result in the voting securities of the Company outstanding immediately prior thereto continuing to represent (either by remaining outstanding
or by being converted into voting securities of the surviving or resulting entity, including any parent holding company) at least fifty percent (50%) of the total voting power represented by the voting securities of the Company or such
surviving or resulting entity outstanding immediately after such merger or consolidation; or 
 (iv) The consummation of the sale, lease, or
other disposition by the Company of all or substantially all the Company’s assets. 
  

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 (e) Disability. “Disability” will mean that the Employee has been unable to perform his
or her Company duties as the result of his or her incapacity due to physical or mental illness, and such inability, at least twenty-six (26) weeks after its commencement or one hundred and eighty (180) days in any consecutive twelve
(12) month period, is determined to be total and permanent by a physician selected by the Company or its insurers and acceptable to Executive or Executive’s legal representative (such agreement as to acceptability not to be unreasonably
withheld). Termination resulting from Disability may only be effected after at least thirty (30) days’ written notice by the Company of its intention to terminate the Employee’s employment. In the event that the Employee resumes the
performance of substantially all of his or her duties hereunder before the termination of his or her employment becomes effective, the notice of intent to terminate will automatically be deemed to have been revoked. 
 (f) Good Reason. “Good Reason” means Executive’s resignation within thirty (30) days following the expiration of any Company
cure period following the occurrence of one or more of the following, without the Executive’s written consent: (i) the significant reduction of Executive’s duties, authority, responsibilities, job title or reporting relationships
relative to Executive’s duties, authority, responsibilities, job title, or reporting relationships as in effect immediately prior to such reduction, or the assignment to Executive of such reduced duties, authority, responsibilities, job title,
or reporting relationships; provided, however, that a reduction in position or responsibilities solely by virtue of a Change in Control shall not constitute “Good Reason”; (ii) a reduction of more than five percent of Executive’s
Base Salary in any one year; (iii) a reduction by more than ten percent of Executive’s total target annual cash compensation in any one year (which consists of Executive’s Base Salary plus target bonus incentive compensation);
(iii) the material change in the geographic location at which Executive must perform services (for these purposes, the relocation of Executive to a facility that is more than twenty-five (25) miles from Executive’s current employment
location will be considered material); (iv) the failure of the Company to obtain assumption of this Agreement by any successor; and (v) the breach by the Company of a material provision of this Agreement. For purposes of clause
(i), Executive’s duties, authority, responsibilities, job title and reporting relationships will be deemed to have been significantly reduced if Executive does not (a) hold at least the
same title and position (including responsibility over at least the same functional areas as prior to the change of control) with the Company business or the business with which such business is operationally merged or
subsumed (as, for example, where the President and Chief Executive Officer of the Company remains the President and Chief Executive Officer of the Company following a Change in Control where the Company becomes a wholly owned but separate
operating subsidiary of the acquirer, but is not made the President and Chief Executive Officer of the acquiring corporation), or (b) remains a member of the executive officer management staff of the Company business or the business
with such business is operationally merged or subsumed. Executive will not resign for Good Reason without first providing the Company with written notice within ninety (90) days of the event that Executive believes constitutes “Good
Reason” specifically identifying the acts or omissions constituting the grounds for Good Reason and a reasonable cure period of not less than thirty (30) days following the date of such notice. 
  

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 7. Successors. 
 (a) The Company’s Successors. Any successor to the Company (whether direct or indirect and whether by purchase, merger, consolidation, liquidation or otherwise) to all or substantially all of the
Company’s business and/or assets will assume the obligations under this Agreement and agree expressly to perform the obligations under this Agreement in the same manner and to the same extent as the Company would be required to perform such
obligations in the absence of a succession. For all purposes under this Agreement, the term “Company” will include any successor to the Company’s business and/or assets which executes and delivers the assumption agreement described in
this Section 7(a) or which becomes bound by the terms of this Agreement by operation of law. 
 (b) Executive’s Successors.
The terms of this Agreement and all rights of Executive hereunder will inure to the benefit of, and be enforceable by, Executive’s personal or legal representatives, executors, administrators, successors, heirs, distributees, devisees and
legatees. 
 8. Notice. 
 (a) General. Notices and all other communications contemplated by this Agreement will be in writing and will be deemed to have been duly given when personally delivered or when mailed by U.S. registered or certified mail, return
receipt requested and postage prepaid. In the case of Executive, mailed notices will be addressed to him or her at the home address which he or she most recently communicated to the Company in writing. In the case of the Company, mailed notices will
be addressed to its corporate headquarters, and all notices will be directed to the attention of its President. 
 (b) Notice of
Termination. Any termination by the Company for Cause or by Executive for Good Reason will be communicated by a notice of termination to the other party hereto given in accordance with Section 8(a) of this Agreement. Such notice will
indicate the specific termination provision in this Agreement relied upon, will set forth in reasonable detail the facts and circumstances claimed to provide a basis for termination under the provision so indicated, and will specify the termination
date (which will be not more than thirty (30) days after the giving of such notice). The failure by Executive to include in the notice any fact or circumstance which contributes to a showing of Good Reason will not waive any right of Executive
hereunder or preclude Executive from asserting such fact or circumstance in enforcing his or her rights hereunder. 
 9. Miscellaneous
Provisions. 
 (a) No Duty to Mitigate. Executive will not be required to mitigate the amount of any payment contemplated by this
Agreement, nor will any such payment be reduced by any earnings that Executive may receive from any other source. 
 (b) Waiver. No
provision of this Agreement will be modified, waived or discharged unless the modification, waiver or discharge is agreed to in writing and signed by Executive and by an authorized officer of the Company (other than Executive). No waiver by either

  

 -11- 

 
party of any breach of, or of compliance with, any condition or provision of this Agreement by the other party will be considered a waiver of any other
condition or provision or of the same condition or provision at another time. 
 (c) Headings. All captions and section headings used
in this Agreement are for convenient reference only and do not form a part of this Agreement. 
 (d) Entire Agreement. This Agreement,
together with any Employment Agreement, constitutes the entire agreement of the parties hereto and supersedes in their entirety all prior representations, understandings, undertakings or agreements (whether oral or written and whether expressed or
implied) of the parties with respect to the subject matter hereof. No waiver, alteration, or modification of any of the provisions of this Agreement will be binding unless in writing and signed by duly authorized representatives of the parties
hereto and which specifically mention this Agreement. 
 (e) Choice of Law. The validity, interpretation, construction, and
performance of this Agreement will be governed by the laws of the State of California (with the exception of its conflict of laws provisions). Any claims or legal actions by one party against the other arising out of the relationship between the
parties contemplated herein (whether or not arising under this Agreement) will be commenced or maintained in any state or federal court located in the jurisdiction where Executive resides, and Executive and the Company hereby submit to the
jurisdiction and venue of any such court. 
 (f) Severability. The invalidity or unenforceability of any provision or provisions of
this Agreement will not affect the validity or enforceability of any other provision hereof, which will remain in full force and effect. 
 (g) Withholding. All payments made pursuant to this Agreement will be subject to withholding of applicable income and employment taxes. 
 (h) Counterparts. This Agreement may be executed in counterparts, each of which will be deemed an original, but all of which together will constitute one and the same instrument. 
  

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 IN WITNESS WHEREOF, each of the parties has executed this Agreement, in the case of the Company by its
duly authorized officer, as of the day and year set forth below. 
  

							
	COMPANY	 		 	NETSUITE, INC.
				
		 		 	By:	 	 /s/ Douglas P. Solomon

				
		 		 	Title:	 	 Vice President, Legal and Corporate Affairs & Secretary

			
	EXECUTIVE	 		 	 /s/ Zachary Nelson

  

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