Document:

exv10w9

 

Exhibit
10.9

Amended 3/19/02

Amended 6/3/02

Amended 8/23/02

Amended 12/30/03

Amended 4/7/04

Amended 2/17/06

Amended 5/4/07

Amended 12/10/07

BIOTROVE, INC.

AMENDED 2000 STOCK PLAN

Section 1

Title

     This Plan shall be known as the “BioTrove, Inc. 2000 Stock Plan.”

Section 2

Purpose

     The purpose of the Plan is to advance the interests of BioTrove, Inc., a Delaware corporation
(the “Company”) by providing key employees and certain other persons with opportunities to
participate in the ownership of the Company and its future growth through (a) the grant of options
which qualify as “incentive stock options” (“ISOs”) under Section 422(b) of the Internal Revenue
Code of 1986, as amended (the “Code”); (b) the grant of options which do not qualify as ISOs
(“Non-Qualified Options”); and (c) the grant of Restricted Stock award. Both ISOs and Non-Qualified
Options are referred to hereafter individually as an “Option” and collectively as “Options”;
collectively, with Restricted Stock Awards, the “Awards”).

Section 3

Administration

          3.1 The Plan shall be administered by the Board of Directors of the Company (the “Board”) or
by a committee appointed by the Board (the “Committee”). Hereinafter, all references in this Plan
to the “Committee” shall mean the Board if no Committee has been appointed.

          3.2 Subject to ratification of the grant or authorization of each Award by the Board (if so
required by applicable state law), and subject to the terms of the Plan, the Committee shall have
the authority to (i) determine to whom (from among the class of persons eligible under Section 4 to
receive Options) Awards shall be granted; (ii) determine the time or times at which Awards shall be
granted; (iii) determine the purchase price of shares subject to each Award, which prices with
respect to Options shall not be less than the minimum price specified in Section 7; (iv) determine
whether each Option granted shall be an ISO or a Non-Qualified Option; (v) determine (subject to
Section 7) the time or times when each Option shall become exercisable and the
duration of the exercise period; (vi) determine any other provisions

 

 

applicable to the Awards and the shares of Common Stock issuable upon exercise thereof; (vii) interpret the Plan and prescribe
and rescind rules and regulations relating to it; and (viii) make all other determinations
necessary or advisable for administration of the Plan.

          3.3 The interpretation and construction by the Committee of any provisions of the Plan or of
any Award granted under it shall be final and conclusive unless otherwise determined by the Board.
The Committee may from time to time adopt such rules and regulations for carrying out the Plan as
it may deem advisable.

          3.4 No member of the Board or the Committee nor any officer, director, employee or agent of
the Company shall be liable for any action or determination made in good faith with respect to the
Plan or any Award granted under it.

Section 4

Eligibility

          4.1 The Committee may grant Awards to those employees, officers, directors, consultants and
advisors whom the Committee, in its sole discretion, identifies as being in a position which
enables such individuals to contribute to the continued growth, development and future financial
success of the Company.

          4.2 A director, officer or other person who is not also an employee of the Company shall not
be eligible to receive an ISO.

          4.3 The granting of any Award to any individual shall neither entitle that individual to, nor
disqualify him from, participation in any other grant of Awards.

Section 5

Stock Reserved For Awards

          5.1 Subject to adjustment as provided in Section 14, the maximum number of shares of Common
Stock of the Company, par value $0.01 per share (the “Common Stock”) to be reserved for issuance
under the Plan shall be 2,707,562 shares of Common Stock.

          5.2 Any and all of the shares subject to Awards under the Plan may be authorized but unissued
shares of Common Stock, or issued shares of Common Stock that have been or shall have been
reacquired by the Company, as the Board may from time to time determine.

          5.3 If any Award granted under the Plan shall expire or terminate for any reason without
having been exercised in full or shall cease for any reason to be exercisable in whole or in part,
the unpurchased shares subject to such Award shall again be available for grants of Awards under
the Plan unless the Plan shall have been terminated.

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Section 6

Granting of Options

          6.1 Subject to the limitations of the Plan, the Committee may, after consultation with and
consideration of the recommendations of management and the Board as the Committee deems desirable,
select those individuals to be granted Options (“Optionees”) and determine the time when each such
Option shall be granted and such other terms of each Option. The Committee shall clearly designate
and identify each Option at the time it is granted as either an ISO or a Non-Qualified Option, as
the case may be. The date of grant of an Option under the Plan will be the date specified by the
Committee at the time it grants the Option; provided, however, that such date shall not be prior to
the date on which the Committee acts to approve the grant.

          6.2 The Committee may grant both ISOs and Non-Qualified Options to the same employee, and the
exercise of one such Option does not in any way affect the employee’s right to exercise the other.

          6.3 The grant of any Option under the Plan shall be evidenced by the execution of a written
Option Agreement (“Option Agreement”) between the Company and the Optionee. Such Option Agreement
shall set forth the date of grant of the Option, the exercise price, the term of the Option, the
designation of the Option as an ISO or Non-Qualified Option, and the time or times and the
conditions upon the happening of which the Option shall become exercisable. Such Option Agreement
shall also set forth the restrictions, if any, with respect to which the shares of Common Stock to
be purchased thereunder shall be subject, the restrictions, if any, on the repurchase of the shares
of Common Stock by the Company, and such other terms and conditions as the Committee shall
determine which are consistent with the provisions of the Plan and applicable laws and regulations.

          6.4 An Option shall expire ten (10) days after delivery to the Optionee of the Option
Agreement unless an Option Agreement shall have been signed by the Optionee to whom the Option is
granted and returned to the Company within such period.

Section 7

Option Price

          7.1 The exercise price per share specified in the Option Agreement relating to each
Non-Qualified Option granted under the Plan shall be determined by the Committee, without regard to
the provisions of Section 7.2 and 7.3 hereof.

          7.2 The exercise price per share specified in the Option Agreement relating to each ISO
granted under the Plan shall not be less than the fair market value per share of Common Stock on
the date of such grant. In the case of an ISO to be granted to an employee owning stock possessing
more than ten percent (10%) of the total combined voting power of all classes of stock of the
Company or any Related Corporation, the price per share specified in the agreement relating to such
ISO shall not be less than one hundred ten percent (110%) of the fair market value per share of
Common Stock on the date of grant. For purposes of determining stock ownership under this
paragraph, the rules of Section 424(d) of the Code shall apply.

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          7.3 Each eligible employee may be granted Options treated as ISOs only to the extent that, in
the aggregate under this Plan and all incentive stock option plans of the Company, ISOs do not
become exercisable for the first time by such employee during any calendar year with respect to
stock having a fair market value (determined at the time the ISOs were granted) in excess of
$100,000. The Company intends to designate any Options granted in excess of such limitation as
Non-Qualified Options.

          7.4 If the Common Stock is not publicly traded at the time an Option is granted under the
Plan, “fair market value” shall mean the fair value of the Common Stock as determined by the
Committee after taking into consideration all factors which it deems appropriate. If, at the time
an Option is granted under the Plan, the Company’s Common Stock is publicly traded, “fair market
value” shall be determined as of the last business day for which the prices or quotes discussed in
this sentence are available prior to the date such Option is granted and shall mean (i) the average
(on that date) of the high and low prices of the Common Stock on the principal national securities
exchange on which the Common Stock is traded, if the Common Stock is then traded on a national
securities exchange; or (ii) the last reported sale price (on that date) of the Common Stock on the
NASDAQ Stock Market, if the Common Stock is not then traded on a national securities exchange; or
(iii) the closing bid price (or average of bid prices) last quoted (on that date) by an established
quotation service for over-the-counter securities, if the Common Stock is not reported on the
NASDAQ Stock Market.

Section 8

Term of Options

          8.1 Subject to earlier termination as provided in paragraphs 10 and 11 or in the Option
Agreement, the Committee, in its discretion, shall prescribe the period during which Options may be
exercised; provided that an ISO shall not be exercisable more than ten years from the date of grant
in the case of ISOs generally and provided further that ISOs granted to an employee owning stock
possessing more than ten percent (10%) of the total combined voting power of all classes of stock
of the Company, as determined under Section 7.2, shall not be exercisable more than five years from
the date of grant.

          8.2 In the Option Agreement, the Committee, in its discretion, may prescribe any conditions or
events upon which the period during which an Option may be exercised may be shortened or
terminated.

Section 9

Exercise of Options

          9.1. Subject to the provisions of Sections 10 and 11, the Committee, in its discretion, shall
prescribe in the Option Agreement the manner in which, the number and size of installments (which
need not be equal) for which, and the contingencies upon which an Option may be exercised during
its term.

          9.2 Once an installment becomes exercisable it shall remain exercisable until expiration or
termination of the Option.

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          9.3 Each Option or installment may be exercised at any time or from time to time, in whole or
in part, for up to the total number of whole shares with respect to which it is then exercisable.
If an Optionee does not purchase all the shares that the Optionee shall be entitled to purchase in
any given installment, the Optionee’s right to purchase the remaining shares shall continue until
expiration of such Option. No less than 100 shares may be purchased at one time unless the number
purchased is the total number that may be then purchased under the Option.

          9.4 The Committee shall have the right to accelerate the date that any installment of any
Option becomes exercisable; provided that the Committee shall not, without the consent of an
Optionee, accelerate the permitted exercise date of any installment of any Option granted to any
employee as an ISO (and not previously converted into a Non-Qualified Option pursuant to paragraph
17) if such acceleration would violate the annual vesting limitation contained in Section 422(d) of
the Code, as described in paragraph 7.3.

Section 10

Termination of Employment

          10.1 Unless otherwise specified in the agreement relating to such ISO, if an ISO Optionee
ceases to be employed by the Company (including retirement) other than by reason of death or
disability as defined in Section 11, no further installments of his or her ISOs shall become
exercisable, and his or her ISOs shall terminate on the earlier of (a) ninety (90) days after the
date of termination of his or her employment, or (b) their specified expiration dates, except to
the extent that such ISOs (or unexercised installments thereof) have been converted into
Non-Qualified Options pursuant to Section 17 hereof.

          10.2 For purposes of this Section 10, employment shall be considered as continuing
uninterrupted during any bona fide leave of absence (such as those attributable to illness,
military obligations or governmental service) provided that the period of such leave does not
exceed ninety (90) days or, if longer, any period during which such Optionee’s right to
reemployment is guaranteed by statute. A bona fide leave of absence with the written approval of
the Committee shall not be considered an interruption of employment under this Section 10, provided
that such written approval contractually obligates the Company to continue the employment of the
Optionee after the approved period of absence.

          10.3 Nothing in the Plan (or, unless specifically provided therein, in any Option Agreement)
shall be deemed to give any grantee of any Option the right to be retained in employment by the
Company for any period of time.

          10.4 The Committee, in its discretion, shall determine the extent, if any, to which the
grantee of a Non-Qualified Option may exercise said Option upon his or her termination of
employment with the Company. If not otherwise specified in a Non-Qualified Option Agreement,
a Non-Qualified Option must be exercised no later than the thirtieth (30th) day after
the Optionee’s termination of employment with the Company.

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Section 11

Death or Disability

          11.1 Unless otherwise specified in the agreement relating to such ISO, if an ISO Optionee
ceases to be employed by the Company by reason of his or her death, any ISO owned by such Optionee
may be exercised, to the extent otherwise exercisable on the date of his death, by his estate,
personal representative or beneficiary who has acquired the ISO by will or by the laws of descent
and distribution, until the earlier of (i) the specified expiration date of the ISO or (ii) twelve
(12) months from the date of the Optionee’s death.

          11.2 If an ISO Optionee ceases to be employed by the Company by reason of his or her
disability, such Optionee shall have the right to exercise any ISO held by him or her on the date
of termination of employment, for the number of shares for which he or she could have exercised it
on that date, until the earlier of the specified expiration date of the ISO or twelve (12) months
from the date of the termination of the Optionee’s employment. For the purposes of the Plan, the
term “disability” shall mean “permanent and total disability” as defined in Section 22(e) (3) of
the Code or any successor statute.

          11.3 The Committee, in its discretion, shall determine the extent, if any, to which the
grantee of a Non-Qualified Option may exercise said Option upon his or her termination of
employment with the Company by reason of his or her disability or to which a legal representative
of a deceased holder of a Non-Qualified Option may exercise said Option after the death of the
Optionee. If not otherwise specified in a Non-Qualified Option Agreement, a Non-Qualified Option
must be exercised no later than ninety (90) days after the Optionee’s termination of employment
with the Company by reason of disability or death.

Section 12

Means of Exercising Options

          12.1. An Option (or any part or installment thereof) shall be exercised by giving written
notice to the Company at its principal office address, or to such transfer agent as the Company
shall designate. Such notice shall identify the Option being exercised and specify the number of
shares as to which such Option is being exercised, accompanied by full payment of the purchase
price therefore either (a) in United States dollars in cash or by check, (b) at the discretion of
the Committee, through delivery of shares of Common Stock that have been owned by the Optionee for
more than six months on the date of surrender (or cancellation of a portion of the Option) having a
fair market value equal as of the date of the exercise to the cash exercise price of the Option, or
(c) at the discretion of the Committee, by any combination of (a) and (b). If the Committee
exercises its discretion to permit payment of the exercise price of an ISO by means of the method
set forth in clauses (b) or (c) of the preceding sentence, such discretion shall be exercised in
writing at the time of the grant of the ISO in question.

          12.2 As soon as practicable following the exercise of an Option in the manner set forth above,
the Company shall issue or cause its transfer agent to issue stock certificates representing the
shares of Common Stock purchased. Until the issuance of such stock certificates (as evidenced by
the appropriate entry on the books of the Company or of a duly authorized transfer agent of the
Company), no right to vote or receive dividends or any other rights as a stockholder

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shall exist with respect to the shares of Common Stock. Except as expressly provided in Section 14 with
respect to changes in capitalization and stock dividends, no adjustment shall be made for dividends
or similar rights for which the record date is before the date such stock certificate is issued.

Section 13

Transferability of Options

          13.1 Except as otherwise provided in an Option Agreement pertaining to Non-Qualified Options,
(i) no Option shall be assignable or transferable by the grantee except by will or by the laws of
descent and distribution nor shall an Option be subject to attachment, execution or similar
process. Except as set forth in the previous sentence and, except as otherwise provided in an
Option Agreement pertaining to Non-Qualified Options, during the lifetime of a grantee each Option
shall be exercisable only by such grantee.

          13.2 In the event of (a) any attempt by the Optionee to alienate, assign, pledge, hypothecate
or otherwise dispose of the Option, except as provided in this Plan, or (b) the levy of any
attachment, execution or similar process upon the rights or interest hereby conferred, the Company
may terminate the Option by notice to the Optionee and it shall thereupon become null and void.

          13.3 If deemed necessary or appropriate by the Committee, each Option Agreement may contain
such provisions consistent with this Plan as the Committee, in its discretion, may determine to be
appropriate for restriction on the transfer and redemption by the Company or other disposition of
all shares pursuant to the Option received by the Optionee (or his legal representatives),
notwithstanding any tax consequences to the Optionee of such redemption or other disposition,
including, without limitation, restrictions on transfers pursuant to any buy-sell agreement or
stockholder agreement to which the Optionee is a party, under the Securities Act of 1933, as
amended (the “Securities Act”), and under any blue sky or securities law applicable to such Common
Stock. The Company may cause a restrictive legend to be placed on any certificate issued with
respect to the Common Stock acquired upon exercise of an Option in such form as may be prescribed
from time to time by applicable laws and regulations or as may be advised by legal counsel.

Section 14

Restricted Stock

          14.1 Grant of Restricted Stock. The Committee may award shares of Restricted Stock
and determine the purchase price, if any, therefor, the duration of the restricted period, if any,
during which the Restricted Stock is subject to forfeiture and/or restrictions on transferability
(“Restricted Period”), the conditions, if any, under which the Shares may be forfeited to or
repurchased by the Company and any other terms and conditions of the Awards. The Committee may
modify or waive any restrictions, terms and conditions with respect to any Restricted Stock.
Shares of Restricted Stock may be issued for such consideration, if any, as is determined by the
Committee, subject to applicable law.

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          14.2 Transferability. Except as set forth in the applicable Award Agreement, Shares of
Restricted Stock may not be sold, assigned, transferred, pledged or otherwise encumbered.
Furthermore, the Award of Shares of Restricted Stock may be made subject to a repurchase right or
right of first refusal, with respect to the Shares of Restricted Stock, in favor of the Company,
its designee and certain stockholders of the Company upon the occurrence of certain specified
events.

          14.3 Evidence of Award. Shares of Restricted Stock shall be evidenced in such manner
as the Committee may determine. Any certificates issued in respect of Shares of Restricted Stock
shall be registered in the name of the Participant and, unless otherwise determined by the
Committee, deposited by the Participant, together with a stock power endorsed in blank, with the
Company (or its designee). At the expiration of the Restricted Period(s), the Company (or such
designee) shall deliver the certificates no longer subject to such restrictions to the Participant.

          14.4 Shareholder Rights. A Participant shall have all the rights of a shareholder with
respect to Restricted Stock awarded, including voting and dividend rights, unless otherwise
provided in the Award Agreement.

          14.5 Deferred Compensation. To the extent that any Award of Shares of Restricted
Stock may constitute a deferral of compensation, the Award shall comply with the requirements of
Section 409A of the Code as set forth in the corresponding Award Agreement.

          14.6 Vesting of Restricted Stock. Except as otherwise expressly provided in the Award
Agreement pursuant to which Shares of Restricted Stock are issued, all such Shares issued under the
Plan shall be subject to vesting (unless waived by the Committee) in accordance with the following
schedule: vesting shall occur over a three (3) year period, on a quarterly basis, commencing on the
last day of the first calendar quarter ending after the Grant Date, and on the third anniversary of
the Grant Date, each such quarterly installment to be in an equal number of shares (pro rated based
on actual number of days elapsed for any partial calendar quarter).

Section 15

Adjustments Upon Changes in Capitalization and “Terminating Transaction” Events

          15.1 Upon the occurrence of any of the following events, a Participant’s rights with respect
to Awards granted to such Participant hereunder shall be adjusted as hereinafter provided, unless
otherwise specifically provided in the Award Agreement:

                    A. Stock Dividends and Stock Splits. If the shares of Common Stock of the Company
shall be subdivided or combined into a greater or smaller number of shares or if the Company shall
issue any shares of its Common Stock as a stock dividend on its outstanding
Common Stock, the number of shares of Common Stock deliverable upon the exercise of Awards shall be
appropriately increased or decreased proportionately, and appropriate adjustments shall be made in
the purchase price per share to reflect such subdivision, combination or stock dividend.

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                    B. Recapitalization or Reorganization. In the event of a recapitalization or
reorganization of the Company (other than in connection with a transaction described in
subparagraph C below) pursuant to which securities of the Company or of another corporation are
issued with respect to the outstanding shares of Common Stock, an Optionee upon exercising an
Option shall be entitled to receive for the purchase price paid upon such exercise the securities
he would have received if he had exercised his Option prior to such recapitalization or
reorganization. Notwithstanding the foregoing, any adjustment under this Section shall not be
permitted to the extent that the individual Award or this Plan, in general, would constitute
deferred compensation subject to Section 409A of the Code unless the Award Agreement sets forth the
terms and conditions necessary to comply with the requirements of Section 409A of the Code.

                    C. “Terminating Transaction” Events. Except as otherwise provided herein or in an
Award Agreement, upon the consummation of a Terminating Transaction, the Board may, in its
discretion, take any one or more of the following actions, as to outstanding Options: (i) provide
that such Options (or portions thereof) shall be assumed or equivalent options shall be
substituted, by the acquiring or succeeding corporation (or an affiliate thereof), with appropriate
adjustments as to the number and kinds of shares or units and exercise prices; (ii) upon written
notice to the Optionees, provide that the Plan and all unexercised Options (or portions thereof)
will terminate immediately prior to the consummation of the Sale of the Company unless exercised by
the Optionee within a specified period of time; (iii) in the event that such Sale of the Company is
a merger or other transaction under the terms of which holders of Common Stock of the Company will
receive upon the consummation thereof a cash payment for each share surrendered in the merger or
other transaction (the “Transaction Price”), make or provide for a cash payment to the Optionees
equal to the difference between (A) the Transaction Price times the number of shares of Common
Stock subject to such outstanding Options (to the extent then exercisable at prices not in excess
of the Transaction Price) and (B) the aggregate exercise price of all such outstanding Options that
shall become exercisable in full immediately prior to such event; (iv) terminate any restrictions
applicable to shares of Restricted Stock; or (v) repurchase (or cause the surviving or acquiring
entity to purchase) any shares of Restricted Stock for such amounts, if any, as the Board
determines to be appropriate in its sole discretion.

          For purposes of this Plan, “Terminating Transaction” means a single transaction or
series of related transactions, other than a Public Offering, pursuant to which a Person or Persons
other than existing stockholders of the Company (i) acquires capital stock of the Company
possessing the voting power to elect a majority of the Board, (ii) consummates a merger,
amalgamation or consolidation with the Company as a result of which the stockholders of the Company
who own common stock or other voting securities prior to such transaction(s) shall own, directly or
indirectly, less than fifty percent (50%) of the voting securities of the surviving entity, or
(iii) acquire all or substantially all of the assets of the Company.

          For purposes of this Plan, “Person” shall mean an individual, corporation, limited
liability company, association, trust, joint venture, unincorporated organization and any
government, governmental department or agency or political subdivision thereof.

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          For purposes of this Plan, “Public Offering” shall mean an underwritten public
offering pursuant to an effective registration statement under the Securities Act, covering the
offer and sale by the company of Common Stock.

          15.2 Notwithstanding the foregoing, any adjustments made pursuant to Section 14.1(a), (b), or
(c) above with respect to ISOs shall be made only after the Committee, after consulting with
counsel for the Company, determines whether such adjustments would constitute a “modification” of
such ISOs (as that term is defined in Section 424 of the Code) or would cause any adverse tax
consequences for the holders of such ISOs. If the Committee determines that such adjustments made
with respect to ISOs would constitute a modification of such ISOs or would cause adverse tax
consequences to the holders, it may refrain from making such adjustments.

          15.3 The Company may grant Options under the Plan in substitution for options held by
employees of another corporation who become employees of the Company, or a subsidiary of the
Company, as result of a merger or consolidation of the employing corporation with the Company or a
subsidiary of the Company, or as a result of the acquisition by the Company, or one of its
subsidiaries, of property or stock of the employing corporation. The Company may direct that
substitute options be granted on such terms and conditions as the Board considers appropriate in
the circumstances.

          15.4 In the event of the proposed dissolution or liquidation of the Company, each Award will
terminate immediately prior to the consummation of such proposed action or at such other time and
subject to such other conditions as shall be determined by the Committee.

          15.5 Except as expressly provided herein, no issuance by the Company of shares of stock of any
class, or securities convertible into shares of stock of any class, shall affect, and no adjustment
by reason thereof shall be made with respect to, the number or price of shares subject to Awards.
No adjustments shall be made for dividends paid in cash or in property other than securities of the
Company.

          15.6 No fractional shares shall be issued under the Plan and the Participant shall receive
cash in lieu of such fractional shares.

          15.7 Upon the happening of any of the events described in Section 15.1 above, the class and
aggregate number of shares set forth in Section 5 hereof that are subject to Awards which
previously have been or subsequently may be granted under the Plan shall also be appropriately
adjusted to reflect the events described in such subparagraphs. The Committee or the Successor
Board shall determine the specific adjustments to be made under this Section 15 and, subject to
Section 3, its determination shall be conclusive.

Section 16

Conversion of ISOs into Non-Qualified Options

          16.1 The Committee, at the written request or with the written consent of any Optionee, may in
its discretion take such actions as may be necessary to convert such Optionee’s

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ISOs (or any installments or portions of installments thereof) that have not been exercised on the date of
conversion into Non-Qualified Options at any time prior to the expiration of such ISOs, regardless
of whether the Optionee is an employee of the Company at the time of such conversion. Such actions
may include, but shall not be limited to, extending the exercise period or reducing the exercise
price of the appropriate installments of such ISOs.

          16.2 At the time of such conversion, the Committee (with the consent of the Optionee) may
impose such conditions on the exercise of the resulting Non-Qualified Options as the Committee in
its discretion may determine, provided that such conditions shall not be inconsistent with this
Plan.

          16.3 Nothing in the Plan shall be deemed to give any Optionee the right to have such
Optionee’s ISOs converted into Non-Qualified Options, and no such conversion shall occur until and
unless the Committee takes appropriate action.

Section 17

Cancellation of Options

     Except as otherwise expressly provided in the agreement pursuant to which an Option is issued,
the Board may, in its sole discretion, in cases involving a serious breach of conduct by an
employee or former employee, or activity of a former employee in competition with the business of
the Company, cancel any Option, whether vested or not, in whole or in part. Such cancellation
shall be effective as of the date specified by the Board but may not be retroactive. Activities
which shall constitute a serious breach of conduct include: (i) the disclosure or misuse of
confidential information or trade secrets; (ii) activities in violation of the policies of the
Company, including without limitation, the Company’s insider trading policy; (iii) the violation or
breach of any material provision in any employment contract or agreement among the Optionee and the
Company; and (iv) engaging in conduct relating to the Optionee’s employment with the Company for
which either criminal or civil penalties may be sought. The determination of whether an employee
or former employee has engaged in a serious breach of conduct or activity in competition with the
business of the Company shall be determined by the Board in good faith and in sole discretion.

Section 18

Termination and Amendment of Plan

          18.1 This Plan was adopted by the Board of Directors on December 1, 2000 (the “Effective
Date”). Unless terminated earlier by the Board, the Plan shall terminate on the tenth anniversary
of the Effective Date.

          18.2 The Board may terminate or amend the Plan in any respect at any time, except that,
without the approval of the stockholders obtained within 12 months before or after the Board adopts
a resolution authorizing any of the following actions: (a) the total number of shares that may be
issued under the Plan may not be increased (except by adjustment pursuant to Section 14); (b) the
benefits accruing to participants under the Plan may not be materially increased; (c) the
requirements as to eligibility for grants of ISOs may not be modified; (d) the

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provisions of Section 6 regarding the exercise price at which shares may be offered pursuant to ISOs may not be
modified (except by adjustment pursuant to Section 14); or (e) the expiration date of the Plan may
not be extended.

          18.3 Except as otherwise provided in this Section 18, in no event may action of the Board or
stockholders alter or impair the rights of a grantee, without such grantee’s consent, under any
Award previously granted to such grantee.

Section 19

Notice to Company of Disqualifying Disposition

     By accepting an ISO granted under the Plan, each Optionee agrees to notify the Company in
writing immediately after he makes a Disqualifying Disposition (as described in Sections 421, 422
and 424 of the Code and regulations thereunder) of any stock acquired pursuant to the exercise of
ISOs granted under the Plan. A Disqualifying Disposition is generally any disposition occurring on
or before the later of (a) the date two years following the date the ISO was granted or (b) the
date one year following the date the ISO was exercised.

Section 20

Withholding of Additional Income Taxes

          20.1 Upon the exercise of a Non-Qualified Option, the making of a Disqualifying Disposition
(as defined in Section 19), the vesting or transfer of securities acquired on the exercise of an
Option or lapse of the Restricted Period with respect to Restricted Stock hereunder, or the making
of a distribution or other payment with respect to such stock or securities, the Company may
withhold taxes in respect of amounts that constitute compensation includible in gross income, which
amount shall not exceed the minimum statutory withholding amount. The Committee in its discretion
may condition the exercise of an Option, the vesting or transferability of restricted stock or
securities acquired by exercising an Option, on the Participant’s making satisfactory arrangement
for such withholding. Such arrangement may include payment by the Participant in cash or by check
of the amount of the withholding taxes or, at the discretion of the Committee, by the Participant’s
delivery of previously held shares of Common Stock or the withholding from the shares of Common
Stock otherwise deliverable upon exercise of an Option or vesting of Restricted Stock shares having
an aggregate fair market value equal to the minimum amount required to be withheld.

          20.2 Any adverse consequences incurred by the Participant with respect to the use of the
shares of Common Stock to pay any part of the exercise price of any tax in connection with the
exercise of an Option, including, without limitation, any adverse tax consequences as a result
of a Disqualifying Disposition within the meaning of Section 422 of the Code, shall be the sole
responsibility of the Participant.

-12-

 

Section 21

Governing Law

     The validity and construction of the Plan and the instruments evidencing Options shall be
governed by the laws of the State of Delaware, or the laws of any jurisdiction in which the Company
or its successors in interest may be organized.

Adopted by the Board of Directors as of December 1, 2000.

Adopted by the Stockholders as of November 29, 2001.

AMENDMENTS:

     On March 19, 2002, the Board of Directors and a majority of the Stockholders approved an
amendment to this Plan to increase the number of shares available for grant from 98,500 (on a
pre-split basis) to 205,000 (on a post-split basis).

     On
May 31, 2002, the Board of Directors approved an amendment to this Plan to increase the number of shares available for
grant from 205,000 to 243,230.

     On August 23, 2002, the Board of Directors and a majority of the Stockholders approved an
amendment to this Plan to increase the number of shares available for grant from 235,730 to
714,823.

     On
December 30, 2003, the Board of Directors and on December 30, 2003, a majority of the
Stockholders approved an amendment to this Plan to increase the number of shares available for
grant from 714,823 to 932,131.

     On April 7, 2004, the Board of Directors and a majority of the Stockholders approved an
amendment to this Plan to increase the number of shares available for grant from 932,131 to
1,329,517.

     On February 17, 2006, the Board of Directors and a majority of the Stockholders approved an
amendment to this Plan to increase the number of shares available for grant from 1,329,517 to
1,829,517.

     On November 3, 2006, the Board of Directors and on December 18, 2006 a majority of the
Stockholders approved an amendment to this Plan to increase the number of shares available for
grant from 1,829,517 to 2,355,861.

-13-

 

     On May 4, 2007, the Board of Directors and a majority of the Stockholders approved an
amendment to this Plan to increase the number of shares available for grant from 2,355,861 to
2,707,562.

     On
December 4, 2007, the Board of Directors and on December 10, 2007 a majority of the
Stockholders approved an amendment to this Plan to increase the number of shares available for
grant from 2,707,562 to 3,238,262.

	 	 	 	 	 
	 	BioTrove, Inc.

 	 
	 	By:  	/s/
Albert A. Luderer
 	 
	 	 	Name:  	Albert A. Luderer, Ph.D. 	 
	 	 	Title:  	President & CEO 	 
	 

-14-exv10w11

 

Exhibit 10.11

BIOTROVE, INC.

EMPLOYMENT AGREEMENT

     THIS EMPLOYMENT AGREEMENT dated as of December 5, 2007 (the “Effective Date”) by and between
BioTrove, Inc. with a mailing address at 12 Gill Street, Suite 4000, Woburn MA 01801-1728 (the
“Company”) and Albert A. Luderer with a mailing address set forth under the Executive’s name on the
signature line (the “Executive”).

RECITALS

A. The Company is engaged in the business of researching, developing, manufacturing,
commercializing, providing service and selling systems and technologies for use in the field of
pharmaceutical drug discovery, biotechnology, materials discovery and molecular diagnostics (the
“Business”).

B. The Company and the Executive desire to enter into this Agreement to reflect the terms and
conditions on which the Executive is employed by the Company.

     NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged the Company and the Executive hereby agree as follows:

     1. Term. The Company agrees to employ the Executive, and the Executive agrees to accept such
employment, on the terms and conditions hereinafter as an at will employee. As an at-will employee,
subject to the terms and conditions hereof, the Company may terminate the Executive’s employment at
any time and for any reason or no reason. While employed by the Company, the terms and conditions
of the Executive’s employment shall be governed by this Agreement. The period in which the
Executive is employed shall be referred to herein as the “Term”.

     2. Capacity. The Executive shall be employed as President and CEO of the Company. In such
capacity, the Executive shall report to and be subject to the supervision of the Chairman of the
Board of the Company. The Company shall employ the Executive on a full-time basis and the Executive
shall devote his full time diligent professional efforts to the performance of his duties as
President and CEO of the Company. The Executive’s place of employment will be the head office of
the Company. The Executive shall adhere to the business policies of the Company in the performance
of his duties, including without limitation as set forth in the Employee Handbook and as the
Company may otherwise or additionally establish.

     3. Compensation and Benefits.

          (a) Base Compensation. The Company shall pay to the Executive a base salary at an annual rate
of US $260,004.00 payable in 24 equal semi-monthly installments of $10,833.50 per calendar
month.

 

 

          (b) Compensation Adjustment. The Executive’s annual base salary shall be reviewed annually by
the Board of Directors and may be adjusted upward at the sole discretion of the Company.

          (c) Executive and Other Bonus Plans. The Executive shall be entitled to participate in any
bonus plan approved by the Board of Directors in its sole discretion for Company executives in
general. While there are no guarantees that there will be a bonus plan in any particular year, or
that any bonus plan will be funded at any particular level, the Executive shall participate in any
such plan without discrimination. If a bonus plan is approved for a particular year, the Executive
shall be entitled to an annual bonus in an amount consistent with the existing plan year, with
performance goals to be established by the Board of Directors in good faith upon consultation with
Executive.

          (d) Benefits. The Executive shall have the benefits set forth on Exhibit A. The
Executive shall be entitled to participate in any other benefits program approved by the Board of
Directors for Company executives in general and/or as set forth in the Employee Handbook as adopted
by the Company from time to time. The Executive’s participation in any benefit program shall be at
the same level of employee/employer contribution as has been set for all participants in such
plans, in accordance with applicable law.

          (e) Reimbursement of Expenses. The Company shall promptly reimburse the Executive for all
reasonable and necessary business expenses incurred by the Executive in the furtherance of, and in
connection with, the Business of the Company, including, without limitation, travel, board,
lodging, telephone and postage, in accordance with the Company policies in effect from time to
time. To obtain reimbursement, the Executive shall submit to the Company an itemized statement of
such expenses together with copies of bills and receipts. Notwithstanding the foregoing, the
Company may require additional documentation and/or explanations in order to reimburse the
Executive.

     4. Non-Competition.

          (a) Definitions. Certain capitalized terms used in this Section 4 shall have the following
meanings

“Competing Organization” means any person or organization, including the Executive,
engaged in, or that anticipates becoming engaged in, researching, acquiring,
producing, distributing, providing investigating, developing, manufacturing,
marketing, supervising, licensing or commercializing a Competing Product or Service
anywhere in the world.

“Competing Product or Service” means any product, process, or service of any person
or organization other than the Company or any of its subsidiaries, in existence or
under development, (i) which is identical to, substantially the same as, in
competition with, or an adequate substitute for any product, process, or service of
the Company or any of its

2

 

subsidiaries, in existence or under development, or about which the Executive
acquires Confidential Information, and (ii) which is (or could reasonably be
anticipated to be) marketed or distributed or is under development to be marketed
or distributed, as to compete with such product, process or service of the Company
or any of its subsidiaries.

          (b) Employment with a Competing Organization. Notwithstanding the provisions of this
Section 4, the Company agrees to permit the Executive to accept employment with a Competing
Organization, provided that the Executive’s duties with that Competing Organization during the
twelve (12) month period after termination of the Executive’s employment with the Company, either
directly or indirectly, do not relate to any Competing Product or Service, and provided that the
Executive shall have delivered to the Company a written statement, confirmed in writing by the
Executive’s prospective employer, describing the Executive’s duties and stating that all such
duties will be wholly unrelated, either directly or indirectly, to any Competing Product or Service
and the Executive will not be required or asked to disclose any Confidential Information of the
Company in the course of the performance of his duties. The term “wholly unrelated” shall mean
among other things that the Executive will not work in, consult with, cooperate with or provide
information to any person, department or business segment of the Competing Organization which is
researching, acquiring, producing, distributing, providing, investigating, developing,
manufacturing, marketing, supervising, licensing or commercializing any Competing Product or
Service.

          (c) Stipulations. As a material inducement to the Company’s willingness to employ the
Executive, and in order to protect the Company’s Confidential Information and good will, the
Executive agrees to the following stipulations:

	 	(i)	 	During the Term and for a period of one
year after termination of the Executive’s employment with the
Company, the Executive will not, directly or indirectly, solicit or
divert business from any of the customers or accounts of the Company.
	 
	 	(ii)	 	During the term and for a period of one
year after the Executive’s termination of employment with the
Company, the Executive will not render services, directly or
indirectly, as an employee, consultant, director, advisor or
otherwise, to any Competing Organization.
	 
	 	(iii)	 	During the Term and for a period of one
year thereafter, the Executive will not solicit any of the Company’s
employees or consultants to leave the employ of the Company or hire
or cause to be hired any person who was during or for six months
after the termination of Executive’s employment by the Company an
employee or consultant of the Company.

3

 

     5. Disclosure of Developments. The Executive will make full and prompt disclosure to the
Company of all inventions, original works or authorship, improvements, modifications, discoveries,
creations, methods, processes and developments which are within the scope of the Company’s actual
or reasonably anticipated business and which are made or conceived by the Executive alone or
together with others during the term of his employment, whether or not such developments are
patentable or protected as confidential information, whether or not such developments are in
process or reduced to practice, whether or not such developments are made or conceived during
normal working hours or on or off the premises of the Company (all of which are hereinafter
collectively termed “Developments”), and whether or not such Developments are assignable to the
Company under the provisions of Section 6 below.

     6. Assignment of Developments.

          a. The Executive agrees to assign and hereby assigns to the Company all title, interests and
rights, including, without limitation, intellectual property rights, in and to any and all
Developments, and agrees to assign to the Company any and all patents and patent applications
arising from such Developments, and agrees to execute and deliver such assignments, patents and
patent applications and other documents (including, without limitation, powers of attorney) as the
Company may direct, and agrees to cooperate fully with the Company during the Term, to enable the
Company to secure and maintain rights in said Developments in any and all countries. In the event
that any of such Developments are by operation of applicable state law excluded from this
assignment, the Executive agrees that the Company shall have a non-exclusive, fully paid license to
use for all purposes any such Developments not assigned to the Company under this Section 6. The
Executive understands and agrees that the Company shall determine, in its sole and absolute
discretion, whether an application for patent, copyright, mask work registration, or for any other
intellectual property right shall be filed on any Development which is assigned to the Company
under this Agreement, and whether such application shall be prosecuted or abandoned prior to
issuance or registration.

          b. If the Company is unable to procure Executive’s signature, within thirty (30) days
following delivery of written request therefor, on any document reasonably necessary to apply for,
prosecute, obtain, or enforce any patent, copyright, trademark or other right or protection
relating to any Development, whether by reason of Executive’s mental or physical incapacity,
Executive’s unavailability, or any other cause whatsoever, then Executive agrees and hereby
irrevocably appoints the Company and each of its duly authorized officers as the Executive’s agent
and attorney-in-fact, to act for and in Executive’s behalf to execute and file any such document
and to do all other lawfully permitted acts to further the prosecution, issuance, and enforcement
of patents, copyrights, or other rights or protections, with the same force and effect as if
executed and delivered by Executive.

     7. Copyright. The Executive acknowledges that all works of authorship and all mask works that
fall within the scope of his employment are owned by the Company and are works made for hire.
Accordingly, the Executive agrees to assign and hereby

4

 

assigns to the Company any and all copyrights and mask work registration rights, and all other
mask work rights in all material prepared by him during the Term related to the Business.

     8. Confidentiality. During the course of his employment with the Company, the Executive shall
have access to, learn of, or participate in the development of the Company’s confidential
information or confidential information entrusted to the Company by other persons, corporations, or
firms. The Company’s confidential information includes matters not generally known outside of the
Company, such as, assays, nucleic acid sequences, amino acid sequences, vectors, cells, technical
data, methodologies, processes, know-how, trade secrets, experimentation, research and developments
relating to existing and future products and services marketed or used by the Company (whether or
not such products or services are actually realized or pursued by the Company), and also any
information which gives the Company a competitive advantage including, without limitation, data
relating to the general business operations of the Company (e.g., sales, costs, profits,
organizations, customer lists, pricing methods, etc.). The Executive agrees to hold such
information as strictly confidential and not disclose any such confidential information to any
person, corporation, or firm (other than the Company). The Executive further agrees not to make use
of such confidential information except on the Company’s behalf whether or not such information is
produced by his own efforts. These restrictions shall apply to all such information whether
written, oral, magnetic, optical or in any other form. The Executive understands and agrees that
his confidentiality obligations under this Section 8 shall continue both during his employment and
after termination of his employment until such confidential information becomes generally available
to the public through legitimate means. It is understood and agreed that specific information which
the Executive may receive, observe, perceive, create, develop, or learn while an employee of the
Company shall not be deemed to be generally available to the public merely because such specific
information is embraced by more general information that is generally available to the public.

     9. Return of Information. Upon termination of his employment or at any time upon the request
of the Company, the Executive agrees to deliver to the Company all records, lab books, drawings,
notebooks, notes, reports, correspondence, documents, computer disks and tapes and other data in
any and all forms (without retaining copies) which pertain to the Company’s confidential
information (whether prepared by the Executive or others) or Developments, and also to return to
the Company any equipment, tools, computers or other devices owned by the Company and in his
possession. The Executive agrees that the above documents, data and devices are the exclusive
property of the Company and shall not be copied or removed from the Company premises except in the
pursuit of the business of the Company.

     10. No Conflicts. The Executive hereby represents that he has no present obligation to assign
to any former employer, or any other person, corporation or firm (other than the Company), any
Developments covered by Section 6. The Executive is not subject to any agreement, restriction,
right or interest in anyone limiting in any way the scope of this Agreement or his employment by
the Company or in any way inconsistent herewith. The Executive will not disclose to the Company, or
induce the Company to use,

5

 

any confidential information of other persons, corporations, or firms including his present or
former employers (if any).

     11. Termination of Employment.

          (a) Change in Control. As used in Sections 11 and 12, a “Change in Control” shall be deemed
to have occurred upon the occurrence of any one of the following events:

	 	(i)	 	any “Person,” as such term is used in
Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as
amended (the “Act”) (other than the Company, any of its subsidiaries,
or any trustee, fiduciary or other person or entity holding
securities under any employee benefit plan or trust of the Company or
any of its subsidiaries), together with all “affiliates” and
“associates” (as such terms are defined in Rule 12b-2 under the Act)
of such person, shall become the “beneficial owner” (as such term is
defined in Rule 13d-3 under the Act), directly or indirectly, of
securities of the Company representing 50 percent or more of the
combined voting power of the Company’s then outstanding securities
having the right to vote in an election of the Company’s Board of
Directors (“Voting Securities”) (in such case other than as a result
of an acquisition of securities directly from the Company); or
	 
	 	(ii)	 	persons who, as of the date hereof,
constitute the Company’s Board of Directors (the “Incumbent
Directors”) cease for any reason, including, without limitation, as a
result of a tender offer, proxy contest, merger or similar
transaction, to constitute at least a majority of the Board, provided
that any person becoming a director of the Company subsequent to the
date hereof shall be considered an Incumbent Director if such
person’s election was approved by or such person was nominated for
election by either (A) a vote of at least a majority of the Incumbent
Directors or (B) a vote of at least a majority of the Incumbent
Directors who are members of a nominating committee comprised, in the
majority, of Incumbent Directors; but provided further, that any such
person whose initial assumption of office is in connection with an
actual or threatened election contest relating to the election of
members of the Board of Directors or other actual or threatened
solicitation of proxies or consents by or on behalf of a Person other
than the Board, including by reason of agreement intended to avoid or
settle any such

6

 

	 	 	 	actual or threatened contest or solicitation, shall not be
considered an Incumbent Director; or
	 
	 	(iii)	 	the consummation of (A) any consolidation
or merger of the Company where the stockholders of the Company,
immediately prior to the consolidation or merger, would not,
immediately after the consolidation or merger, beneficially own (as
such term is defined in Rule 13d-3 under the Act), directly or
indirectly, shares representing in the aggregate more than 50 percent
of the voting shares of the Company issuing cash or securities in the
consolidation or merger (or of its ultimate parent corporation, if
any), or (B) any sale, lease, exchange or other transfer (in one
transaction or a series of transactions contemplated or arranged by
any party as a single plan) of all or substantially all of the assets
of the Company; or
	 
	 	(iv)	 	the approval by the Company’s stockholders
of any plan or proposal for the liquidation or dissolution of the
Company.

          (b) Notwithstanding the provisions of Section 1, the Executive’s employment hereunder shall
terminate under the following circumstances:

	 	(i)	 	Death or Disability. The Executive’s
employment hereunder shall terminate upon his death or disability (as
hereinafter defined). For purposes of this Agreement only, the
Executive shall be deemed disabled if in the opinion of the Board of
Directors, determined in good faith relying specifically on the
opinion of a qualified regionally recognized medical doctor (to be
chosen by the Board of Directors) specializing in such alleged
disability, the Executive is unable to substantially perform services
hereunder due to illness, injury, accident or condition of either a
physical disability or mental illness for greater than one hundred
eighty (180) days in the aggregate in any twelve (12) month period.
	 
	 	(ii)	 	Termination by the Company for Cause. The
Company may terminate the Executive’s employment for “Cause” (as
hereinafter defined) after seven (7) days’ prior written notice to
the Executive setting forth in reasonable detail the nature of such
cause if during such period the Executive shall not have cured the
basis therefor. For the purposes hereof, “Cause” shall be determined
by the Board of Directors of the Company acting in good faith and
shall mean any of the following:

7

 

	 	(A)	 	the conviction of the
Executive by a court of competent jurisdiction of any felony
involving dishonesty, breach of trust or misappropriation or
the entering of a plea by the Executive of nolo contendre
thereto;
	 
	 	(B)	 	the commission by the
Executive of an act of fraud upon, or breaching his duty of
loyalty to, the Company or any of its subsidiaries;
	 
	 	(C)	 	a conviction for willful
violation of any law, rule or regulation governing the
operation of the Company or any of its subsidiaries which is
punishable by imprisonment for six (6) months or more;
	 
	 	(D)	 	the substantial and
continuing failure or refusal of the Employee, after written
notice thereof, to reasonably attempt to perform his or her
job duties and responsibilities (other than failure or
refusal resulting from incapacity due to physical disability
or mental illness) which failure or refusal is committed in
bad faith and is not in the best interest of the Company;
	 
	 	(E)	 	a breach by the Executive
of Sections 4, 5, 6, 7, 8, 9 or 10 of this Agreement, which
breach continues for more than seven (7) days after written
notice has been given to the Executive, such notice setting
forth in reasonable detail the nature of such breach; or
	 
	 	(F)	 	the deliberate and willful
disregard of the written rules or policies of the Company
which results in a material and substantial loss, damage or
injury to the Company.

	 	(iii)	 	Termination Without Cause. The Company
may terminate the Executive without Cause at anytime subject to the
terms and conditions hereof.
	 
	 	(iv)	 	Termination by the Executive for Good
Reason. The Executive may terminate his or her employment with the
Company for Good Reason within one year following the occurrence of a
Change in Control. For purposes of this Agreement, “Good Reason”
shall mean the occurrence of any of the following events:

8

 

	 	(A)	 	a reduction in the
Executive’s then-current annual base salary or bonus
opportunity ; or
	 
	 	(B)	 	any failure to offer the
Executive’s the same level of benefits offered to similarly
situated employees; or
	 
	 	(C)	 	a significant diminution in
the Executive’s duties or responsibilities; or
	 
	 	(D)	 	the relocation of the
Executive’s primary business location to a location that
increases the Executive’s commute by more than fifty (50)
miles compared to the commute of the Executive to the
Executive’s then-current primary business location; or
	 
	 	(E)	 	the failure to pay the
Executive any portion of his or her current base salary,
bonus or benefits within twenty (20) days of the date such
compensation is due, based upon the payment terms currently
in effect; or
	 
	 	(F)	 	the failure of the Company
to obtain a reasonably satisfactory agreement from any
successor to assume and agree to perform this Agreement.

provided that any of the events described in clauses (A), (B), (C), (D), (E) or (F) of this Section
11(b)(iv) shall constitute Good Reason only if the Company fails to cure such event within thirty
(30) days after receipt from the Executive of written notice of the event which constitutes Good
Reason; provided, further, that “Good Reason” shall cease to exist for an event on the sixtieth
(60th) day following its occurrence, unless the Executive has given the Company written
notice thereof prior to such date.

     12. Payments Upon Termination of Employment.

          (a) Payments Upon Termination by the Company for Cause; Termination due to Death or Disability
of the Executive or Resignation of the Executive for any reason. If at any time during the Term,
the Company shall terminate the Executive for cause, if the Executive dies or suffers a disability
during the Term or if the Executive resigns for any reason, the Executive shall be entitled to
receive from the Company only such portion of the base salary (determined in accordance with
Section 3(a)) as is accrued and unpaid through the date of such termination. The Executive will
immediately forfeit all then unvested options and unvested restricted stock.

          (b) Payments Upon Termination Without Cause or for Good Reason. If at any time during the Term
the employment of the Executive is terminated without Cause by the Company or the Executive
terminates the Executive’s Employment for Good Reason, then in such case, subject to the Executive
signing the Company’s standard Termination and Release Agreement within 30 days of the date of
termination:

9

 

	 	(i)	 	The Company shall continue to pay to the
Executive, or to his personal representative(s) (in case of his
death), the Executive’s base salary in effect just prior to the date
of such termination for a period equal to twelve (12) months after
the date of termination (the “Severance Period”) payable in
installments as and when such salary would normally have been paid as
provided in Section 3(a). If the Executive is Employed (as defined
below) with another company as of the end of the first six (6) months
Severance Period, the Company shall no longer be obligated to pay to
the Executive the Executive’s severance payments for the remainder of
the Severance Period. In all cases, severance payments hereunder
shall continue only so long as the Executive continues to comply with
and not breach the terms of this Agreement and the Termination and
Release Agreement and in the event of such noncompliance or breach,
all severance payments shall immediately be terminated. For the
purposes hereof, “Employed” includes employment as an employee or
engagement as a consultant, where such engagement is contracted for
at least 35 hours per week for at least three (3) months guaranteed,
or the equivalent thereof.
	 
	 	(ii)	 	The Company shall maintain in effect during
the Severance Period, at its sole expense, all group insurance
(including life, health, accident and disability insurance) and, to
the extent permitted by applicable law, all other employee benefit
plans, programs or arrangements in which the Executive was
participating at any time during the six (6) month period preceding
such termination provided that this obligation shall terminate as of
the date when then the Company is no longer required to make
severance payments under Section 12(b)(i). During the Severance
Period if the Company is unable to maintain the health insurance plan
in which the Executive was participating or provide the Executive
coverage under the health insurance plan because the Executive is
ineligible for coverage under the terms thereof, the Executive shall
be eligible to receive continued group health plan benefits to the
extent authorized by and consistent with 29 U.S.C. § 1161 et seq.
(COBRA), with the cost of the regular premium for such benefits
shared in the same relative proportion by the Executive and the
Company as in effect on the Date of Termination. In all cases,
provision of benefits hereunder shall continue only so long as the
Executive continues to comply with and not breach the terms of this
Agreement and the Termination and Release Agreement and in the

10

 

	 	 	 	event of such noncompliance or breach, all benefits (except as
required by law) shall immediately be terminated.
	 
	 	(iii)	 	All non-vested stock options or restricted
stock in the Company held by the Executive or in a trust established
by the Executive for the benefit of his spouse, children or heirs
will continue to vest according to its applicable schedule during the
Severance Period but only so long as the Executive continues to
comply with and not breach the terms of this Agreement and the
Termination and Release Agreement and in the event of such
noncompliance or breach, all then unvested stock options and
restricted stock shall be immediately terminated; provided however
that notwithstanding anything to the contrary in any applicable
option agreement or stock-based award agreement, upon a termination
of the Executive without Cause within one year following a Change of
Control of the Company or a Termination by the Executive for Good
Reason, all non-vested stock options or restricted stock in the
Company held by the Executive or in a trust established by the
Executive for the benefit of his spouse, children or heirs shall
immediately accelerate and become exercisable or non-forfeitable as
of the effective date of such termination. It is understood that such
continued vesting may disqualify the shares options from being
treated as incentive stock options.
	 
	 	(iv)	 	The Company shall pay to the Executive on
the Termination Date accrued but unused personal time off (PTO) in
accordance with the provisions of the Company’s PTO policy then in
effect.

     In the event that the Executive’s participation in any of the foregoing plans, programs or
arrangements contemplated by Clause (ii) of Section 12(b) is barred by law or otherwise, or in the
event that any such plan, program or arrangement is discontinued or the benefits thereunder are
materially reduced during such period, the Company shall provide the Executive with benefits
substantially similar to those to which the Executive was entitled immediately prior to the date of
his termination of employment, to the extent and for the periods specified in this Clause (ii) of
Section 12(b).

     Anything in this Agreement to the contrary notwithstanding, if at the time of the Executive’s
termination of employment, the Executive is considered a “specified employee” within the meaning of
Section 409A(a)(2)(B)(i) of the Internal Revenue Code of 1986, as amended (the “Code”), and if any
payment that the Executive becomes entitled to under this Agreement is considered deferred
compensation subject to interest and additional tax imposed pursuant to Section 409A(a) of the Code
as a result of the application of Section 409A(a)(2)(B)(i) of the Code, then no such payment shall
be

11

 

payable prior to the date that is the earliest of (i) six months after the Executive’s Date of
Termination, (ii) the Executive’s death, or (iii) such other date as will cause such payment not to
be subject to such interest and additional tax, and the initial payment shall include a catch-up
amount covering amounts that would otherwise have been paid during the first six-month period but
for the application of this Section 4(d).

          (c) Additional Limitation. In the event that any payment or benefit received or to be
received by Executive in connection with the termination of Executive’s employment (whether
pursuant to the terms of this Agreement or any other plan, arrangement or agreement with the
Company, or any person affiliated with the Company or such person) (collectively “Parachute
Payments”) would not be deductible (in whole or part) as a result of section 280G of the
Internal Revenue Code of 1986, as amended (the “Code”), by the Company, an affiliate or
other person making such payment or providing such benefit, the Company shall use its commercially
reasonable efforts to obtain the requisite shareholder approval necessary to avoid the application
of Section 280G of the Code. If after utilizing such efforts the Company is unable to obtain such
approval, at Executive’s election (a) the Parachute Payments shall be reduced until no portion of
the Parachute Payments is not deductible, or (b) Executive shall pay the excise tax payable
pursuant to Section 4999 of the Code with respect to the excess Parachute Payment (as defined in
Section 280G(b) of the Code).

     13. Notices. Any notices, requests, demands and other communications provided for by this
Agreement shall be sufficient if in writing and delivered in person or sent by registered or
certified mail, postage paid, to the Executive at the last address the Executive has filed in
writing with the Company, or, in the case of the Company, to the attention of its President. All
such communications shall be deemed given upon receipt. Any party may by notice in writing to the
other parties change the address to which notices to it or him are to be addressed hereunder.

     14. Miscellaneous.

          (a) Indemnification. During the period of his employment hereunder, the Company agrees to
indemnify the Executive in his capacity as an officer and Director of the Company and, to the
extent applicable, each subsidiary of the Company, all to the maximum extent permitted under
Section 145 of the Delaware General Corporation Law.

          (b) Entire Agreement. This Agreement constitutes the entire Agreement between the parties and
may not be changed except by a writing duly executed and delivered by the parties hereto.

          (c) Survival. Except as otherwise provided in this Agreement, the obligations of the Company
and the Executive contained in Sections 4, 5, 6, 7, 8, 9, 10 and 14(a) shall survive the
termination of this Agreement.

          (d) Governing Law. This Agreement is governed by and shall be construed in accordance with
the internal laws of the Commonwealth of Massachusetts. The parties hereby consent to the
jurisdiction of the Superior Court of the

12

 

Commonwealth of Massachusetts and the United States District Court for the District of
Massachusetts. Accordingly, with respect to any such court action, the Executive (a) submits to the
personal jurisdiction of such courts; (b) consents to service of process; and (c) waives any other
requirement (whether imposed by statute, rule of court, or otherwise) with respect to personal
jurisdiction or service of process.

          (e) Enforcement. In view of the substantial harm that will result from the breach by the
Executive of any of the covenants contained in Sections 4, 5, 6, 7, 8 and 9, the parties agree that
such covenants shall be enforced to the fullest extent permitted by law. Accordingly, if, in any
judicial proceeding, a court shall determine that such covenants are unenforceable because they
cover too extensive a geographic area or survive for too long a period of time, or for any other
reason, then the parties intend that such covenants shall be deemed to cover such maximum
geographic area and maximum period of time and shall otherwise be deemed to be limited in such
manner as will permit enforceability by such court. If any term or provision of this Agreement or
the application thereof to any circumstance shall, to any extent, be invalid or unenforceable, the
remainder of this Agreement or the application to other persons and circumstances shall not be
affected thereby and each term and provision hereof shall be enforced to the fullest extent
permitted by law.

          (f) Remedies. Executive agrees that his breach of any of the provisions of Sections 4, 5, 6,
7, 8 and 9 above will cause irreparable damage to the Company and that the recovery by the Company
of money damages will not alone constitute an adequate remedy for such breach. Accordingly, the
Executive agrees that such provisions may be specifically enforced against it or him, in addition
to any other rights or remedies available to the Company on account of any such breach, and the
Executive hereby waives the defense in any equitable proceeding that there is an adequate remedy at
law for any such breach and agrees that injunctive or other equitable relief will not constitute
any hardship upon the Executive.

          (g) Successors. This Agreement shall be binding upon the respective successors, assigns and
heirs of the parties hereto.

          (h) Legal Fees. The Company shall reimburse the Executive all reasonable and documented legal
fees, costs and expenses incurred by the Executive in contesting or disputing any breach of this
Agreement by the Company or in seeking to obtain or enforce any right or benefit provided by this
Agreement up to but not exceeding $100,000; provided, however, that the Company shall have no such
obligation to reimburse the Executive for such legal fees, costs and expenses unless the final
resolution of such matter is determined by a court of competent jurisdiction to be in the
Executive’s favor.

          (i) Effect on Other Plans. An election by the Executive to resign after a Change in Control
under the provisions of this Agreement shall not be deemed a voluntary termination of employment by
the Executive for the purpose of interpreting the provisions of any of the Company’s benefit plans,
programs or policies. Nothing in this Agreement shall be construed to limit the rights of the
Executive under the Company’s

13

 

benefit plans, programs or policies except that the Executive shall have no rights to any
severance benefits under any Company severance pay plan. In the event that the Executive is party
to an employment agreement with the Company providing for change in control payments or benefits,
the Executive must elect to receive either the benefits payable under such other agreement or the
benefits payable under this Agreement, but not both. The Executive shall make such an election in
the event of a Change in Control.

[Rest of page intentionally left blank; the next page is the signature page]

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     IN WITNESS WHEREOF, the parties hereto have executed this Agreement as a sealed document on
the date first above written.

	 	 	 	 	 	 	 
	 	 	BIOTROVE INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By:	 	/s/ Joshua Phillips	 	 
	 

	 	Name:
	 	 

Joshua Phillips
	 	 
	 

	 	Title:
	 	Chairman of the Board	 	 
	 
	 	 	 	 	 	 
	 	 	/s/ Albert A. Luderer	 	 
	 	 	 	 	 
	 	 	Albert A. Luderer, Ph.D.	 	 
	 

	 	Address:
	 	26 South St.	 	 
	 

	 	 	 	W. Newbury, MA 01985	 	 

15

 

Exhibit A

     1. Personal Time Off. The Executive shall be entitled to four weeks personal time off in each
calendar year during the term of the Agreement. Unused PTO can accrue to, but not exceed, the
limits provided for in the Company’s PTO Policy. The Executive shall also be entitled to all paid
holidays recognized by the Company.

     2. Insurance and Other Benefit Plans. The Executive shall be entitled to participate in the
Company’s medical, dental, short term and long term disability, life and accidental death and
dismemberment, and other similar insurance plans as they may exist and be generally available to
the Company’s employees from time to time in accordance with the terms of such plans.

16

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