Document:

ex10-01.htm

Exhibit 10.01

EMPLOYMENT AGREEMENT

THIS EMPLOYMENT AGREEMENT is made effective as of the 1st day of June, 2012 (the “Effective Date”).

AMONG:

ENERGY TELECOM, INC., a corporation formed pursuant to the laws of the State of Florida and having an office for business located at 3501-B N. Ponce de Leon Blvd., #393, St. Augustine, Florida 32084 ("Employer");

AND

THOMAS RICKARDS, an individual having an address at 3406 Waterway Court, Saint Augustine, FL 32084 (“Employee”).

WHEREAS, Employee has agreed to continue to serve as an Employee of Employer, and Employer has agreed to hire Employee as such, pursuant to the terms and conditions of this Employment Agreement (the “Agreement”).

NOW THEREFORE THIS AGREEMENT WITNESSETH THAT in consideration of the premises and the mutual covenants, agreements, representations and warranties contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Employee and Employer hereby agree as follows:

ARTICLE 1

EMPLOYMENT

Employer hereby affirms, renews and extends the employment of Employee as President and Chief Executive Officer of the Employer and Employee hereby affirms, renews and accepts such employment by Employer for the “Term” (as defined in Article 3 below), upon the terms and conditions set forth herein.

ARTICLE 2

DUTIES

During the Term, Employee shall serve Employer faithfully, diligently and to the best of his ability, under the direction and supervision of Employer as defined and shall use his best efforts to promote the interests and goodwill of Employer and any affiliates, successors, assigns, subsidiaries, and/or future purchasers of Employer. Employee shall render such services during the Term at Employer’s principal place of business or at such other place of business as may be determined by Employer, as Employer may from time to time reasonably require of him, and shall devote all of his business time to the performance thereof. Employee shall have those duties and powers as generally pertain to
each of the offices of which he holds, as the case may be, subject to the control of Employer.

ARTICLE 3

TERM

The term of Employee's employment under this Agreement shall commence on the date hereof and shall continue for a period of one year (the "Term").  The Term is subject to earlier termination as set forth in Article 10.

  

  

  

ARTICLE 4

COMPENSATION

4.1 – Salary

Employer shall pay to Employee an annual salary (the “Salary”) of (i) Thirty-Six Thousand Dollars ($36,000),  which may be increased during the Term by mutual agreement of the Employer and the Employee, depending on the financial condition of the Employer, not to exceed an annual salary of $72,000 (the “Cash Salary”) and (ii) 400,000 shares of class A common stock and (the “Stock Salary”), with the Cash Salary payable in equal installments at the end of such regular payroll accounting periods as are established by Employer, or in such other installments upon which the parties hereto shall mutually agree, and in accordance with Employer’s usual
payroll procedures, but no less frequently than monthly, and the Stock Salary payable in equal installments at the end of each calendar quarter. In addition to the Salary, Employee will be entitled to a discretionary annual bonus as determined by Employer.

4.2 – Signing Bonus

Upon execution of this Agreement, Employer shall issue to Employee 400,000 shares of class B common stock.  The class B common stock shall be considered a signing bonus and fully earned and paid upon issuance.

4.3 – Benefits

During the Term, Employee shall be entitled to participate in all medical and other employee benefit plans, including vacation, sick leave, retirement accounts and other employee benefits provided by the Employer to similarly situated employees on terms and conditions no less favorable than those offered to such employees. Such participation shall be subject to the terms of the applicable plan documents, Employer’s generally applicable policies, and the discretion of the Board of Directors or any administrative or other committee provided for in, or contemplated by, such plan.

4.4 – Expense Reimbursement

Employer shall reimburse Employee for reasonable and necessary expenses incurred by him on behalf of Employer in the performance of his duties hereunder during the Term in accordance with Employer's then customary policies, provided that such expenses are adequately documented.

4.5 – Automobile

Employer shall pay Employee $600 per month for Employee’s full-time use of an automobile owned or leased by Employee for Employer business

ARTICLE 5

OTHER EMPLOYMENT

During the Term of this Agreement, Employee shall devote substantially all of his business and professional time and effort, attention, knowledge, and skill to the management, supervision and direction of Employer’s business and affairs as Employee’s highest professional priority. Except as provided below, Employer shall be entitled to all benefits, profits or other issues arising from or incidental to all work, services and advice performed or provided by Employee. Provided that the activities listed below do not materially interfere with the duties and responsibilities under this Agreement, nothing in this Agreement shall preclude Employee from devoting reasonable periods required
for:

	
  

	
(a)

	
Serving as a member or owner of any organization involving no conflict of interest with Employer, provided that Employee must obtain the written consent of Employer;

	
  

	
(b)

	
Serving as a consultant in his area of expertise to government, commercial and academic panels where it does not conflict with the interests of Employer; and

	
  

	
(c)

	
Managing his personal investments or engaging in any other non-competing business.

  

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ARTICLE 6

CONFIDENTIAL INFORMATION/INVENTIONS

6.1 – Confidential Information

Employee shall not, in any manner, for any reasons, either directly or indirectly, divulge or communicate to any person, firm or corporation, any confidential information concerning any matters not generally known or otherwise made public by Employer which affects or relates to Employer’s business, finances, marketing and/or operations, research, development, inventions, products, designs, plans, procedures, or other data (collectively, “Confidential Information”) except in the ordinary course of business or as required by applicable law. Without regard to whether any item of Confidential Information is deemed or considered confidential, material, or important, the parties
hereto stipulate that as between them, to the extent such item is not generally known, such item is important, material, and confidential and affects the successful conduct of Employer’s business and goodwill, and that any breach of the terms of this Section 6.1 shall be a material and incurable breach of this Agreement. Confidential Information shall not include information in the public domain at the time of the disclosure of such information by Employee or information that is disclosed by Employee with the prior consent of Employer.

6.2 – Documents

Employee further agrees that all documents and materials furnished to Employee by Employer and relating to the Employer’s business or prospective business are and shall remain the exclusive property of Employer. Employee shall deliver all such documents and materials, not copied, to Employer upon demand therefore and in any event upon expiration or earlier termination of this Agreement. Any payment of sums due and owing to Employee by Employer upon such expiration or earlier termination shall be conditioned upon returning all such documents and materials, and Employee expressly authorizes Employer to withhold any payments due and owing pending return of such documents and
materials.

6.3 – Inventions

All ideas, inventions, and other developments or improvements conceived or reduced to practice by Employee, alone or with others, during the Term of this Agreement, whether or not during working hours, that are within the scope of the business of Employer or that relate to or result from any of Employer’s work or projects or the services provided by Employee to Employer pursuant to this Agreement, shall be the exclusive property of Employer. Employee agrees to assist Employer, at Employer’s expense, to obtain patents and copyrights on any such ideas, inventions, writings, and other developments, and agrees to execute all documents necessary to obtain such patents and copyrights in
the name of Employer.

6.4 – Disclosure

During the Term, Employee will promptly disclose to the Board of Directors of Employer full information concerning any interest, direct or indirect, of Employee (as owner, shareholder, partner, lender or other investor, director, officer, employee, consultant or otherwise) or any member of his immediate family in any business that is reasonably known to Employee to purchase or otherwise obtain services or products from, or to sell or otherwise provide services or products to, Employer or to any of its suppliers or customers.

ARTICLE 7

COVENANT NOT TO COMPETE

Except as expressly permitted in Article 5 above, during the Term of this Agreement, (a) Employee shall not engage, directly or indirectly, in any business or activity competitive to any business or activity engaged in, or proposed to be engaged in, by Employer or (b) soliciting or taking away or interfering with any contractual relationship of any employee, agent, representative, contractor, supplier, vendor, customer, franchisee, lender or investor of Employer, or using, for the benefit of any person or entity other than Employer, any Confidential Information of Employer. The foregoing covenant prohibiting competitive activities shall survive the termination of this Agreement and shall extend,
and shall remain enforceable against Employee, for the period of one (1) year following the date this Agreement is terminated. In addition, during the one-year period following such expiration or earlier termination, neither Employee nor Employer shall make or permit the making of any negative statement of any kind concerning Employer or its affiliates, or their directors, officers or agents or Employee.

  

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ARTICLE 8

SURVIVAL

Employee agrees that the provisions of Articles 6, 7 and 9 shall survive expiration or earlier termination of this Agreement for any reasons, whether voluntary or involuntary, with or without cause, and shall remain in full force and effect thereafter.  Notwithstanding the foregoing, if this Agreement is terminated upon the dissolution of Employer, the filing of a petition in bankruptcy by Employer or upon an assignment for the benefit of creditors of the assets of Employer, Articles 6, 7 and 9 shall be of no further force or effect.

ARTICLE 9

INJUNCTIVE RELIEF

Employee acknowledges and agrees that the covenants and obligations of Employee set forth in Articles 6 and 7 with respect to non-competition, non-solicitation, confidentiality and Employer’s property relate to special, unique and extraordinary matters and that a violation of any of the terms of such covenants and obligations will cause Employer irreparable injury for which adequate remedies are not available at law. Therefore, Employee agrees that Employer shall be entitled to an injunction, restraining order or such other equitable relief (without the requirement to post bond) as a court of competent jurisdiction may deem necessary or appropriate to restrain Employee from committing any
violation of the covenants and obligations referred to in this Article 9. These injunctive remedies are cumulative and in addition to any other rights and remedies Employer may have at law or in equity.

ARTICLE 10

TERMINATION

10.1 – Termination by Employee

Employee may terminate this Agreement for Good Reason at any time upon 30 days’ written notice to Employer, provided the Good Reason has not been cured within such period of time.

10.2 – Good Reason

In this Agreement, “Good Reason” means, without Employee’s prior written consent, the occurrence of any of the following events, unless Employer shall have fully cured all grounds for such termination within thirty (30) days after Employee gives notice thereof:

	 	
(i) 

	
any reduction in his then-current Salary;

	
  

	
(ii)

	
failure to pay or provide required compensation and benefits;

	
  

	
(iii)

	
any failure to appoint, elect or reelect him to the position of President and Chief Executive Officer of the Employer or the removal of him from such position;

	
  

	
(iv)

	
any material diminution in his title or duties or the assignment to him of duties not customarily associated with Employee’s position as President and Chief Executive Officer of the Employer;

	
  

	
(v)

	
any relocation of Employee’s office as assigned to him by Employer, to a location more than 25 miles from the assigned location;

	
  

	
(vi)

	
the failure of Employer to obtain the assumption in writing of its obligation to perform the Employment Agreement by any successor to all or substantially all of the assets of Employer or upon a merger, consolidation, sale or similar transaction of Employer; or

	
  

	
(vii)

	
the voluntary or involuntary dissolution of Employer, the filing of a petition in bankruptcy by Employer or upon an assignment for the benefit of creditors of the assets of Employer.

  

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The written notice given hereunder by Employee to Employer shall specify in reasonable detail the cause for termination, and such termination notice shall not be effective until thirty (30) days after Employer’s receipt of such notice, during which time Employer shall have the right to respond to Employee’s notice and cure the breach or other event giving rise to the termination.

10.3 – Termination by Employer

Employer may terminate its employment of Employee under this Agreement for cause at any time by written notice to Employee. For purposes of this Agreement, the term “cause” for termination by Employer shall be (a) a conviction of or plea of guilty or nolo contendere by Employee to either (i) a felony, or (ii) any crime involving fraud or embezzlement; (b) the refusal by Employee to perform his material duties and obligations hereunder; (c) Employee’s willful and intentional misconduct in the performance of his material duties and obligations; or (d) if Employee or any member of his family makes any personal profit arising
out of or in connection with a transaction to which Employer is a party or with which it is associated without making disclosure to and obtaining the prior written consent of Employer. The written notice given hereunder by Employer to Employee shall specify in reasonable detail the cause for termination, and such termination notice shall not be effective until thirty (30) days after Employee’s receipt of such notice, during which time Employee shall have the right to respond to Employer’s notice and cure the breach or other event giving rise to the termination.

10.4 – Severance

Upon a termination of this Agreement without Good Reason by Employee or with cause by Employer, Employer shall pay to Employee all accrued and unpaid compensation as of the date of such termination. Upon a termination of this Agreement with Good Reason by Employee or without cause by Employer, Employer shall pay to Employee all accrued and unpaid compensation and expense reimbursement as of the date of such termination and the “Severance Payment.”  The Severance Payment shall be payable in a lump sum, subject to Employer’s statutory and customary withholdings.  If the termination of Employee hereunder is by Employee with Good Reason, the Severance Payment
shall be paid by Employer within five (5) business days of the expiration of any applicable cure period. If the termination of Employee hereunder is by Employer without cause, the Severance Payment shall be paid by Employer within five (5) business days of termination.  The “Severance Payment” shall equal the amount of the Salary payable to Employee under Section 4.1 of this Agreement from the date of such termination until the end of the Term of this Agreement (prorated for any partial month) as stated in Article 3.

10.5 – Termination Upon Death

If Employee dies during the Term of this Agreement, Employer shall pay Employee’s estate, within fifteen (15) business days all compensation pursuant to Section 4.1 of this Agreement from the date of such death until the end of the Term of this Agreement (prorated for any partial month) as stated in Article 3.

10.6 – Termination Upon Disability

If, during the Term of this Agreement, Employee suffers and continues to suffer from a “Disability” then Employer may terminate this Agreement by delivering to Employee thirty (30) days’ prior written notice of termination based on such Disability, setting forth with specificity the nature of such Disability and the determination of Disability by Employer. For the purposes of this Agreement, “Disability” means Employee’s inability, with reasonable accommodation, to substantially perform Employee’s duties, services and obligations under this Agreement due to physical or mental illness for a continuous, uninterrupted period of ninety (90) calendar days or
one hundred twenty (120) days during any twelve month period.  Upon any such termination for Disability, Employer shall pay Employee or Employee’s estate, within fifteen (15) business days, all compensation pursuant to Section 4.1 of this Agreement from the date of such termination for disability until the end of the Term of this Agreement (prorated for any partial month) as stated in Article 3.

  

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ARTICLE 11

PERSONNEL POLICIES, BENEFITS, BENEFICIARIES

Except as otherwise provided herein, Employee’s employment shall be subject to the personnel policies, benefit plans and vacation plans which apply generally to Employer’s employees as the same may be interpreted, adopted, revised or deleted from time to time, during the Term of this Agreement, by Employer in its sole discretion. This Agreement shall inure to the benefit of Employer and any affiliates, successors, assigns, parent corporations, subsidiaries, and/or purchasers of Employer as they now or shall exist while this Agreement is in effect.

ARTICLE 12

GENERAL PROVISIONS

12.1 – No Waiver

No failure by either party to declare a default based on any breach by the other party of any obligation under this Agreement, nor failure of such party to act quickly with regard thereto, shall be considered to be a waiver of any such obligation, or of any future breach.

12.2 – Indemnification

Employer agrees that if Employee is made a party to any action, suit or proceeding by reason of the fact that he is or was a director or officer of the Employer, Employee shall be indemnified and held harmless by Employer to the fullest extent permitted and will be reimbursed by Employer for any expenses and legal fees associated with defending such action, suit or proceeding.

12.3 – Modification

No waiver or modification of this Agreement or of any covenant, condition, or limitation herein contained shall be valid unless in writing and duly executed by the parties to be charged therewith.

12.4 – Choice of Jurisdiction

This Agreement shall be governed by and construed in accordance with the laws of the state and country where the Employee maintains a permanent address, without regard to any conflict-of-laws principles. Employer and Employee hereby consent to personal jurisdiction before all courts in such state and country, and hereby acknowledge and agree that to be the most proper forum to bring a complaint before a court of law.

12.5 – Entire Agreement

This Agreement embodies the whole agreement between the parties hereto regarding the subject matter hereof and supersedes any agreement prior to the Effective Date first above written. The parties agree that there are no inducements, promises, terms, conditions, or obligations made or entered into by Employer or Employee other than contained herein.

12.6 – Severability, Headings and Assignment

All agreements and covenants contained herein are severable, and in the event any of them, with the exception of those contained in Articles 1 and 4 hereof, shall be held to be invalid by any competent court, this Agreement shall be interpreted as if such invalid agreements or covenants were not contained herein. The headings contained herein are for the convenience of reference and are not to be used in interpreting this Agreement. Employee may not assign, pledge or encumber his interest in this Agreement nor assign any of his rights or duties under this Agreement without the prior written consent of Employer.

  

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12.7 – Independent Legal Advice

Employer has obtained legal advice concerning this Agreement and has requested that Employee obtain independent legal advice.

IN WITNESS WHEREOF the parties have executed this Agreement as of the Effective Date first above written.

	
Employer:

	
Employee:

	  	  	  
	  	  	  
	
ENERGY TELECOM, INC.

	
THOMAS RICKARDS

	  	  	  
	
/s/ THOMAS RICKARDS

	
/s/ THOMAS RICKARDS

	
By:

	
Thomas Rickards

	  
	
Its:

	
President, Chief Executive Officer and

	  
	  	
Chairman of the Board

	  

 

 

7Exhibit 10.1

 

Grant No.:       

 

CUBESMART
 2007 EQUITY INCENTIVE PLAN 
 (As Amended and Restated, Effective June 2, 2010)

 

PERFORMANCE SHARE UNIT AWARD AND AGREEMENT

 

This is a Performance Share Unit Award (this “Award”) from CubeSmart, a Maryland real estate investment trust (the “Company”), to the Grantee named below (the “Grantee”), subject to the vesting performance and conditions set forth in the attachment.  Except as otherwise provided below, upon and subject to the vesting of the Performance Share Units (the “PSUs”) under this Award, the Company will deliver one common share of beneficial interest, $.01 par value (a “Share”), of the Company to the Grantee for each vested PSU, subject to adjustment as provided below under “Adjustments”).  Additional terms and conditions applicable to this Award are set forth in this cover sheet, in the attached Agreement and in the Company’s Amended and Restated 2007 Equity Incentive Plan (the “Plan”).

 

Award Date: May 30, 2012

Award Date Price: $11.32

Vesting Date: December 31, 2013

Measurement Date: June 30, 2014
 Name of Grantee:  Dean Jernigan
 Number of PSUs Covered by this Award, subject to satisfaction of the applicable performance and vesting conditions:

 

	
Maximum:
    	
412,002
    
	
Target:
    	
274,668
    
	
Threshold:
    	
137,334
    

 

By signing this cover sheet, the Grantee agrees to all of the terms and conditions described in the attached Agreement and in the Plan, a copy of which has been provided to the Grantee.  The Grantee acknowledges that he or she has carefully reviewed the Plan and agrees that in the event any provision of this Award or the attached Agreement is inconsistent with the terms of the Plan, the terms of the Plan shall control.

 

 

	
Grantee:
    	
/s/   Dean Jernigan
    	
 
    
	
 
    	
Name:   Dean Jernigan
    	
 
    
	
 
    	
 
    	
 
    
	
Company:
    	
/s/   William M. Diefenderfer III
    	
 
    
	
 
    	
Name:   William M. Diefenderfer III
    	
 
    
	
 
    	
Title:   Chairman
    	
 
    

 

S-1

 

CUBESMART
 AMENDED AND RESTATED 2007 EQUITY INCENTIVE PLAN

 

PERFORMANCE SHARE UNIT AGREEMENT

 

	
PSUs/Non-transferability
    	
 
    	
This   Award is a Performance Based Performance Award for up to the maximum number   of PSUs set forth on the cover sheet and is subject to the performance and   vesting conditions described below. Each PSU that vests represents the right   to delivery of one Share (subject to adjustment as provided below under   “Adjustments”). The PSUs are restricted and may not be transferred, assigned,   pledged or hypothecated, whether by operation of law or otherwise, nor may   the Shares potentially subject to delivery upon vesting of PSUs be made   subject to execution, attachment or similar process.
    
	
 
    	
 
    	
 
    
	
Vesting   of PSUs and Issuance of Shares
    	
 
    	
Except   as otherwise provided below, the Company will issue on the Measurement Date   one Share (subject to adjustment as provided below under “Adjustments”) in   your name with respect to each PSU that vests pursuant to the terms of this   Agreement. 

 

Provided   that you continue in service through the Vesting Date, the number of PSUs   that shall vest shall be equal to the number that is the product of   (i) 274,668 multiplied by (ii) the Performance Vesting Factor (as   defined below) on the Measurement Date. 

 

The   Performance Vesting Factor shall be a fraction equal to “x” divided by “y”   where:

 

“x”   is the average closing Share price during the thirty (30) trading days   immediately preceding the Measurement Date, provided that “x” shall not   exceed 1.5 * Award Date Price, and provided that if the applicable average   closing Share price is less than 0.5 * Award Date Price, the value of “x”   shall be deemed to be zero; and 

 

“y”   equals the Award Date Price. 

 

For   avoidance of doubt, if the applicable average closing Share price on the   Measurement Date is less than 0.5 * Award Date Price, then no PSUs shall vest   and, therefore, no Shares shall be deliverable with respect to PSUs, and all   Shares that were potentially deliverable with respect to PSUs on the   Measurement Date shall be forfeited.
    
	
 
    	
 
    	
 
    
	
Termination   of Service Due to Death, Disability, or Company-
    	
 
    	
If   your service with the Company terminates due to death, disability or Company-initiated   termination without Cause or (if you have an Employment Agreement with the   Company that provides for severance benefits upon your resignation for Good   Reason) you terminate service
    

 

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Initiated   Termination of Service Without Cause
    	
 
    	
due   to your resignation for Good Reason, then the number of PSUs subject to this   Award shall be fixed at the Target number of PSUs listed on the cover sheet,   provided further that if you terminate service because of a Company-initiated   termination of service without Cause, vesting of your PSUs is also   conditioned on your continued adherence to all restrictive covenants and   confidentiality obligations you have to the Company or any of its   Subsidiaries or Affiliates from the date on which your service terminates   through the Vesting Date. As used in this Agreement, (i) the term   “Cause” has the meaning given to it in the Plan or (if you have an Employment   Agreement with the Company) the Employment Agreement between you and the   Company, and (ii) the term “Good Reason” has the meaning given to it in   the Employment Agreement (if any) between you and the Company.
    
	
 
    	
 
    	
 
    
	
Change   In Control
    	
 
    	
In   the event of a Change in Control before the Measurement Date, the number of   PSUs subject to this Award shall be fixed at the Target number of PSUs listed   on the cover sheet. The Target number of PSUs shall vest if you continue in   service through the Vesting Date, provided that the Target number of PSUs   shall vest on the date your service terminates if your service terminates   because of a Company-initiated termination of service without Cause, or (if   you have an Employment Agreement with the Company that provides for severance   benefits upon a resignation for Good Reason) you terminate service due to   your resignation with Good Reason. If your service terminates because of your   death or disability after a Change in Control and before the Measurement   Date, the number of PSUs subject to this Award shall be fixed at the Target   number of PSUs listed on the cover sheet and shall vest as of the date your   service terminated because of your death or disability.
    

 

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Forfeiture   of Unvested Shares
    	
 
    	
Except   as provided pursuant to the terms of any Employment Agreement between you and   the Company or in the provisions of this Award relating to Change in Control,   in the event that your service terminates for any reason other than for Good   Reason, death, disability, or Company-initiated termination of service without   Cause before the Vesting Date, you will forfeit to the Company all of the   Shares subject to this Award that have not yet vested.
    
	
 
    	
 
    	
 
    
	
Repayment

 
    	
 
    	
If   it is determined by the Board of Trustees (the “Board”) of the Company   or Compensation Committee of the Board (the “Committee”) that your   gross negligence, intentional misconduct or fraud caused or partially caused   the Company to have to restate all or a portion of its financial statements,   the Board or Committee, in its sole discretion, may, to the extent permitted   by law and to the extent it determines in its sole judgment that it is in the   best interests of the Company to do so, require repayment of Shares delivered   pursuant to vested PSUs or effect the cancellation of unvested PSUs if (i) the   vesting of PSUs was calculated based upon, or contingent on, the achievement   of financial or operating results that were the subject of or affected by the   restatement, and (ii) the extent of vesting of PSUs would have been less   had the financial statements been correct.    You also agree that each of the Board and Committee has the authority   to amend this provision relating to cancellation or repayment to the extent   it reasonably determines that such an amendment is required to comply with   the Dodd—Frank Wall Street Reform and Consumer Protection Act, or any other   applicable law relating to cancellation or repayment of compensation   following the restatement of financial statements by a public company.
    
	
 
    	
 
    	
 
    
	
Discretion   to Pay Cash Instead of Delivering Shares
    	
 
    	
At   any time you may have the right to receive Shares in connection with the   vesting of PSUs under this Agreement, the Company may direct that you shall   receive payment, subject to applicable withholding in cash in an amount equal   to the closing Share price on the date on which the Share would otherwise be   delivered to you (or if such date is not a trading date, the closing Share   price on the immediately preceding trading date).  
    
	
 
    	
 
    	
 
    
	
Withholding   Taxes
    	
 
    	
You   agree, as a condition of this Award, that you will make acceptable   arrangements to pay any withholding or other taxes that may be due as a   result of the vesting of PSUs or Shares acquired under this Award. In the   event that the Company determines that any federal, state, local or foreign   tax or withholding payment is required relating to the vesting of PSUs or   Shares issuable under this Award, the Company shall have the 
    

 

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right   to: (i) require such payments from you, (ii) withhold such amounts   from other payments due to you from the Company or any Affiliate or (iii) cause   an immediate forfeiture of Shares subject to vesting pursuant to this   Agreement in an amount sufficient to satisfy the withholding or other taxes   due.
    
	
 
    	
 
    	
 
    
	
Retention   Rights
    	
 
    	
This   Agreement does not give you the right to be retained by the Company (or any   parent, Subsidiaries or Affiliates) in any capacity.
    
	
 
    	
 
    	
 
    
	
Shareholder   Rights
    	
 
    	
You   do not have any of the rights of a shareholder by virtue of or with respect   to the PSUs unless and until the PSUs relating to the Shares vest.  You do not have the right to make an   election pursuant to Section 83(b) of the Internal Revenue Code of   1986, as amended.
    
	
 
    	
 
    	
 
    
	
Adjustments
    	
 
    	
In   the event of a Share combination or split, a Share dividend or a similar   change in the Shares, the number of Shares covered by this Award and the   applicable closing Share prices shall be adjusted pursuant to the Plan,   provided that the adjusted number of Shares shall be rounded down to the   nearest whole number.  Shares subject   to delivery under PSUs shall be subject to the terms of any agreement of   merger, liquidation or reorganization which become applicable to the Company.
    
	
 
    	
 
    	
 
    
	
Legends
    	
 
    	
Any   certificates representing Shares issued in connection with this Award shall,   where applicable, have endorsed thereon the following legend:

 

“THE   SHARES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO CERTAIN RESTRICTIONS ON   TRANSFER SET FORTH IN AN AGREEMENT BETWEEN THE COMPANY AND THE REGISTERED   HOLDER, OR HIS OR HER PREDECESSOR IN INTEREST. A COPY OF SUCH AGREEMENT IS ON   FILE AT THE PRINCIPAL OFFICE OF THE COMPANY AND WILL BE FURNISHED UPON   WRITTEN REQUEST TO THE SECRETARY OF THE COMPANY BY THE HOLDER OF RECORD OF   THE SHARES REPRESENTED BY THIS CERTIFICATE.”
    
	
 
    	
 
    	
 
    
	
Applicable   Law
    	
 
    	
This   Agreement will be interpreted and enforced under the laws of the State of   Maryland, other than any conflicts or choice of law rule or principle   that might otherwise refer construction or interpretation of this Agreement   to the substantive law of another jurisdiction.
    
	
 
    	
 
    	
 
    
	
Data   Privacy
    	
 
    	
In   order to administer the Plan, the Company may process personal data about   you. Such data includes, but is not limited to, the information provided in   this Agreement and any changes thereto, other appropriate personal and   financial data about you such as home address and business addresses and   other contact information, payroll information and any other information that   might be deemed appropriate by the Company to 
    

 

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facilitate   the administration of the Plan.

 

By   accepting this Award, you give explicit consent to the Company to process any   such personal data. You also give explicit consent to the Company to transfer   any such personal data outside the country in which you work or are employed,   including, with respect to non-U.S. resident Grantees, to the United States,   to transferees who shall include the Company and other persons who are   designated by the Company to administer the Plan.
    
	
 
    	
 
    	
 
    
	
Consent   to Electronic Delivery
    	
 
    	
The   Company may choose to deliver certain statutory materials relating to the   Plan in electronic form. By accepting this Award, you agree that the Company   may deliver the Plan prospectus and the Company’s annual report to you in an   electronic format. If at any time you would prefer to receive paper copies of   these documents, as you are entitled to, the Company would be pleased to   provide copies. Please contact the Secretary of the Company to request paper   copies of these documents.
    

 

By signing the cover sheet of this Agreement, you agree to all of the terms and conditions described above and in the Plan.

 

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