Document:

Exhibit

Exhibit 10.5

CHANGE IN CONTROL AGREEMENT

This Change in Control Agreement (this “Agreement”) is made effective on November 7, 2017 (the “Effective Date”) between Haemonetics Corporation, a Massachusetts corporation with its principal offices at 400 Wood Road, Braintree, Massachusetts, 02184 (herein referred to as the “Company”), and Christopher A. Simon (the “Executive”).  The Company and the Executive are collectively referred to herein as the “Parties” and individually referred to as a “Party.”

BACKGROUND

		
	A.
	The Executive is employed by the Company as a senior executive of the Company.

		
	B.
	The Board of Directors of the Company (the “Board”) decided that the Company should provide certain compensation and benefits to the Executive in the event that the Executive’s employment is terminated on or after a change in the ownership or control of the Company under certain circumstances.

		
	C.
	Reference is made to that certain Employment Agreement effective as of May 16, 2016 between the Executive and the Company (the “Employment Agreement”). The Executive and the Company are parties to that certain Change in Control Agreement dated effective as of the “Start Date” defined in the Employment Agreement (the “Prior Agreement”), and the Executive and the Company now desire to enter into this Agreement, which will replace and supersede the Prior Agreement in its entirety, and set forth terms and conditions pursuant to which Executive may be entitled to certain compensation and benefits, as well as set forth certain covenants of Executive. 

AGREEMENT

In consideration of the promises and the mutual covenants contained herein, the Parties agree as follows:

		
	1.
	Purpose.  The Company considers a sound and vital management team to be essential.  Management personnel who become concerned about the possibility that the Company may undergo a Change in Control (as defined in Paragraph 2 below) may terminate employment or become distracted.  Accordingly, the Board has determined to extend this Agreement to minimize the distraction the Executive may suffer from the possibility of a Change in Control.

		
	2.
	Change in Control.  The term “Change in Control” for purposes of this Agreement shall mean the earliest to occur of the following events during the Term (as defined in Paragraph 3 below): 

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	(a)
	a person, or any two or more persons acting as a group, and all affiliates of such person or persons, who prior to such time owned less than fifty percent (50%) of the then outstanding shares of the Company’s $0.01 par value common stock (“Common Stock”), shall acquire such additional shares of the Company’s Common Stock in one or more transactions, or series of transactions, such that following such transaction or transactions such person or group and affiliates beneficially own fifty percent (50%) or more of the Company’s Common Stock outstanding,

		
	(b)
	closing of the sale of all or substantially all of the assets of the Company on a consolidated basis to an unrelated person or entity,

		
	(c)
	individuals who constitute the Incumbent Board cease for any reason to constitute at least a majority of the Board (for this purpose, “Incumbent Board” means at any time those persons who are then members of the Board and who are either (i) members of the Board on the date of this Agreement, or (ii) have been elected, or have been nominated for election by the Company’s stockholders, by the affirmative vote of at least two-thirds of the directors comprising the Incumbent Board at the time of such election or nomination (either by a specific vote or by approval of the proxy statement of the Company in which such person is named as a nominee for director without objection to such nomination), or

		
	(d)
	there is a consummation of any merger, reorganization, consolidation or share exchange unless the persons who were the beneficial owners of the outstanding shares of the Company’s Common Stock immediately before the consummation of such transaction beneficially own more than 50% of the outstanding shares of the common stock of the successor or survivor entity in such transaction immediately following the consummation of such transaction.  For purposes of this Paragraph 2(d), the percentage of the beneficially owned shares of the successor or survivor entity described above shall be determined exclusively by reference to the shares of the successor or survivor entity which result from the beneficial ownership of shares of the Company’s Common Stock by the persons described above immediately before the consummation of such transaction.

		
	3.
	Term.  This Agreement may not be terminated by the Company for any reason for as long as the Executive continues to serve as the Chief Executive Officer of the Company. This Agreement shall be enforceable in accordance with its terms for any period following the Executive's Separation from Service to the Company until all  payments  and  benefits provided hereunder, if any, have been paid or delivered in full, and all other obligations of the parties to this Agreement have been fully discharged (the “Term”). If a Change in Control occurs during the Term, the Term shall automatically extend until the second anniversary of the Change in Control (the “Protection Period”).  At the end of the Term, this Agreement shall terminate without further action by either the Company or the Executive.  If no Change in Control occurs prior to expiration of the Term, if the Executive Separates from Service (as defined in Paragraph 5(d) below) before a Change in Control, this Agreement shall automatically terminate without any further action; provided, however, that Paragraph 13 

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below (regarding arbitration) shall continue to apply to the extent the Executive disputes the termination of this Agreement.  The obligations of the Company and the Executive under this Agreement which by their nature may require either partial or total performance after its expiration shall survive any such expiration.  For the avoidance of doubt, no Severance Benefits (as defined below) shall be paid or provided by the Company to the Executive under this Agreement if the Executive Separates from Service due to termination of employment (i) by the Company and its subsidiaries for Cause or (ii) by the Executive, including by the Executive's notification of the Company of the Executive's intention not to renew the term of the Employment Agreement, absent the occurrence of Constructive Termination.

		
	4.
	Severance Benefits.  If, during the Protection Period, the Executive “Separates from Service” (as defined in Paragraph 5(d) below) due to termination of employment by the Company and its subsidiaries without “Cause” (as defined in Paragraph 5(a) below) (including for the avoidance of doubt, the Company’s failure to renew the term of the Employment Agreement) or by the Executive due to “Constructive Termination” (as defined in Paragraph 5(b) below) (each, a “Qualifying Termination”), the Executive shall be entitled to the severance benefits set forth in this Paragraph 4.  The Executive shall not be entitled to severance benefits upon any other Separation from Service, including a termination of employment by the Company for Cause, by the Executive other than due to Constructive Termination, or due to the Executive’s death or Disability (as defined in Paragraph 5(c) below).  The payments and benefits provided for under this Paragraph 4 shall be in lieu of any other severance benefits otherwise payable by the Company to the Executive and shall be subject to reduction due to application of the 280G Cap as provided under Paragraph 6 below.  Payment of the severance benefits as may be reduced by the 280G Cap, if applicable, shall commence sixty (60) days after a Qualifying Termination, provided that the Executive has timely executed a release that is not revoked as provided under Paragraph 7 below.  No severance benefits shall be paid if the Executive has not timely executed a release under Paragraph 7 below.

		
	(a)
	Salary and Bonus Amount.  Subject to the Executive’s continued compliance with Paragraphs 7 and 15 below, the Company will pay to the Executive sixty (60) days after a Qualifying Termination a lump sum cash amount equal to the product obtained by multiplying:

		
	(i)
	the sum of (A) base salary at the annualized rate which was being paid by the Company and/or its subsidiaries to the Executive immediately prior to the time of such termination or, if greater, at the time of the Change in Control plus (B) the annual target bonus and/or any other annual cash incentive award opportunity applicable to the Executive at the time of the Qualifying Termination or, if greater, at the time of the Change in Control, by 

(ii)    2.99

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	(b)
	Payment for Welfare Benefits.  Subject to the Executive’s continued compliance with Paragraphs 7 and 15 below, the Company will pay to the Executive sixty (60) days after a Qualifying Termination a lump sum cash amount equal to (i) the approximate cost of the Company’s portion of the monthly premium for the Executive’s medical, dental, life insurance and disability insurance coverages as in effect immediately prior to the Separation from Service, multiplied by (ii) thirty-six (36) months.  For avoidance of doubt, medical coverage for this purpose shall include medical coverage provided to non-employees covered with the Executive under the Company sponsored plan, policy or program at the time of the Qualifying Termination, and premiums with respect to medical and dental coverage shall be determined using the rate charged for COBRA coverage.

		
	 (c)
	Outplacement Services.  Subject to the Executive’s continued compliance with Paragraphs 7 and 15 below, the Executive shall be entitled to outplacement services by a senior counselor of a firm nationally recognized as a reputable national provider of such services for a period not to exceed twelve (12) months following Separation from Service, plus evaluation testing, at a location mutually agreeable to the Parties. Services under this Paragraph 4(c) will be provided by an outside organization selected and paid for by the Company.  If the Executive elects not to take advantage of such program within thirty (30) days of the Executive’s Qualifying Termination, unless otherwise agreed in writing by the Parties, the Company will not be obligated to provide this service.  In no circumstance will the Company pay cash to the Executive in lieu of the use of these services.

		
	(d)
	Equity Awards.  Subject to the Executive’s continued compliance with Paragraph 15 below, the vesting of the Executive’s Equity Awards shall be governed by this Paragraph 4(d).  The term “Equity Award” shall mean stock options, stock appreciation rights, restricted stock, restricted stock units, performance shares or any other form of award that is measured with reference to the Company’s Common Stock granted at any time before the end of the Term.

		
	(i)
	The vesting of the Executive’s Equity Awards granted on or after the Effective Date that vest solely on the basis of continued employment with the Company or any of its subsidiaries shall be accelerated solely by reason of a Change in Control only if the surviving corporation or acquiring corporation following a Change in Control refuses to assume or continue the Executive’s Equity Awards or to substitute similar Equity Awards for those outstanding immediately prior to the Change in Control.  If such Executive’s Equity Awards are so continued, assumed or substituted and at any time after the Change in Control the Executive incurs a Qualifying Termination and complies with Paragraph 7 below, then the vesting and exercisability of all such unvested Equity Awards held by the Executive that are then outstanding shall be accelerated in full and any reacquisition rights held by the Company with respect to any such Equity Award shall lapse in full, in each case, upon such termination.

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	(ii)
	The vesting of the Executive’s Equity Awards that vest, in whole or in part, based upon achieving “Performance Criteria” (as defined in this Paragraph 4(d)) shall be accelerated on a pro rata basis by reason of a Change in Control.  The pro rata vesting amount shall equal the designated target award multiplied by a fraction, the numerator of which is the number of days the Executive was employed during the award’s performance period as of the date of the Change in Control, and the denominator of which is the number of days in such performance period.  For purposes of this Paragraph 4(d), “Performance Criteria” means any business criteria that apply to the Executive, a business unit, division, subsidiary, affiliate, the Company or any combination of the foregoing.

		
	(iii)
	This Paragraph 4(d) sets forth the Executive’s minimum vesting rights under the Equity Awards in connection with a Change in Control.  If an Equity Award provides more favorable vesting rights in connection with a Change in Control than set forth in this Paragraph 4(d), the vesting terms of such Equity Award shall govern. 

		
	(iv)
	Enforcement of the terms of this Paragraph 4(d) shall survive termination of this Agreement.  

By accepting severance benefits under this Paragraph 4, the Executive waives the Executive’s right, if any, to have any payment made under this Paragraph 4 taken into account to increase the benefits otherwise payable to, or on behalf of, the Executive under any employee benefit plan, policy or program, whether qualified or nonqualified, maintained by the Company (e.g., there will be no increase in the Executive’s tax-qualified retirement plan benefits, non-qualified deferred compensation plan benefits or life insurance because of severance benefits received hereunder).

		
	5.
	Definitions of “Cause,” “Constructive Termination,” “Disability,” and “Separation from Service”.  For purposes of this Agreement, the following terms shall have the meanings set forth below:

		
	(a)
	“Cause” means (i) the Executive’s conviction of (or a plea of guilty or nolo contendere to) a felony or any other crime involving moral turpitude, dishonesty, fraud, theft or financial impropriety; or (ii) a determination by a majority of the Board in good faith that the Executive has (A) willfully and continuously failed to perform substantially the Executive’s duties (other than any such failure resulting from the Executive’s Disability or incapacity due to bodily injury or physical or mental illness), after a written demand for substantial performance is delivered to the Executive by the Board that specifically identifies the manner in which the Board believes that the Executive has not substantially performed the Executive’s duties, (B) engaged in gross misconduct or a material act of theft, embezzlement, fraud, malfeasance, dishonesty, or misappropriation of the Company’s property, or (C) willfully violated a material requirement of the Company’s code of conduct or the Executive’s fiduciary 

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duty to the Company.  No act or failure to act on the part of the Executive shall be considered “willful” unless it is done, or omitted to be done, by the Executive in bad faith and without reasonable belief that the Executive’s action or omission was in, or not opposed to, the best interests of the Company or its subsidiaries.  In order to terminate the Executive’s employment for Cause, the Company shall be required to provide the Executive a reasonable opportunity to be heard (with counsel) before the Board, which shall include at least ten (10) business days of advance written notice to the Executive.  Further, the Executive’s attempt to secure employment with another employer that does not breach the Executive’s non-competition obligations shall not constitute an event of “Cause”.  

		
	(b)
	“Constructive Termination” means, without the express written consent of the Executive, the occurrence of any of the following during the Protection Period (as defined in Paragraph 3 above):

		
	(i)
	a material reduction in the Executive’s annual base salary as in effect immediately prior to a Change in Control or as the same may be increased from time to time or a material failure to provide the Executive with an opportunity to earn annual incentive compensation and long-term incentive compensation at least as favorable as in effect immediately prior to a Change in Control or as the same may be increased from time to time,

		
	(ii)
	a material diminution in the Executive’s authority, duties, or responsibilities as in effect at the time of the Change in Control;

		
	(iii)
	a material diminution in the authority, duties, or responsibilities of the supervisor to whom the Executive is required to report (it being understood that if the Executive reports to the Board, a requirement that the Executive report to any individual or body other than the Board will constitute Constructive Termination hereunder);

		
	(iv)
	a material diminution in the budget over which the Executive retains authority;

		
	(v)
	the Company’s requiring the Executive to be based anywhere outside a fifty mile radius of the Company’s offices at which the Executive is based as of immediately prior to a Change in Control (or any subsequent location at which the Executive has previously consented to be based) except for required travel on the Company’s business to an extent that is not substantially greater than the Executive’s business travel obligations as of immediately prior to a Change in Control or, if more favorable, as of any time thereafter; or

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	(vi)
	 any other action or inaction that constitutes a material breach by the Company or any of its subsidiaries of the terms of this Agreement.

In no event shall the Executive be entitled to terminate employment with the Company on account of “Constructive Termination” unless the Executive provides written notice of the existence of the condition that purportedly constitutes “Constructive Termination” within ninety (90) days following its initial existence, and the Company fails to cure such condition (if curable) within thirty (30) days after the receipt of such notice. 

		
	(c) 
	“Disability” means the Executive’s inability, due to physical or mental incapacity resulting from injury, sickness or disease, for one hundred and eighty (180) days in any twelve-month period to perform the Executive’s duties of employment, with or without reasonable accommodation. 

		
	(d)
	“Separation from Service” or “Separates from Service” for purposes of this Agreement shall mean a “separation from service” within the meaning of Section 409A of the Code (after applying the presumptions in Treas. Reg. Sect. 1.409A-1(h)).

		
	6.
	Section 280G Restriction.  Notwithstanding any provision of this Agreement to the contrary, the following provisions shall apply:

		
	(a)
	If it is determined that part or all of the compensation and benefits payable to the Executive (whether pursuant to the terms of this Agreement or otherwise) before application of this Paragraph 6 would constitute “parachute payments” under Section 280G of the Code, and the payment thereof would cause the Executive to incur the 20% excise tax under Section 4999 of the Code, then the amounts otherwise payable to or for the benefit of the Executive pursuant to this Agreement (or otherwise) that, but for this Paragraph 6 would be “parachute payments,” (referred to below as the “Total Payments”) shall either (i) be reduced so that the present value of the Total Payments to be received by the Executive will be equal to three times the “base amount” (as defined under Section 280G of the Code) less $1,000 (the “280G Cap”), or (ii) paid in full, whichever produces the better after-tax position to the Executive (taking into account all applicable taxes, including but not limited to the excise tax under Section 4999 of the Code and any federal and state income and employment taxes).  Any required reduction under clause (i) above shall be made in a manner that maximizes the net after-tax amount payable to the Executive, as reasonably determined by the Consultant (as in Paragraph 6(b) defined below).

		
	(b)
	All determinations required under this Paragraph 6 shall be made by a nationally recognized accounting, executive compensation or law firm appointed by the Company (the “Consultant”) that is reasonably acceptable to the Executive on the basis of “substantial authority” (within the meaning of Section 6662 of the Code).  The Consultant, in making the determinations required under this Paragraph 6, shall apply the exemption under Section 280G of the Code and the regulations promulgated 

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thereunder for amounts, if any, that the Consultant determines, in the Consultant’s good faith discretion, to be reasonable compensation for personal services actually rendered by the Executive before the date of the change in ownership or control that triggers application of Section 280G of the Code within the meaning of Section 280G of the Code and the regulations promulgated thereunder.  The Consultant’s fee shall be paid by the Company.  The Consultant shall provide a report to the Executive that may be used by the Executive to file the Executive’s federal tax returns.

		
	(c)
	It is possible that payments could be made by the Company that should not have been made pursuant to this Paragraph 6.  If the Company determines following the payment of amounts owed to the Executive under this Agreement (or otherwise) that clause (i) in Paragraph 6(a) above should have applied to reduce such amounts, then the Executive shall immediately repay to the Company, upon the Company’s written notification that an overpayment has been made, the amount of such payments in excess of the 280G Cap.

		
	(d)
	Nothing in this Paragraph 6 shall require the Company to be responsible for, or have any liability or obligation with respect to, any excise tax liability under Section 4999 of the Code.

		
	7.
	Release.  The Executive agrees that the Company will have no obligations to the Executive under Paragraph 4 above until the Executive executes a release in a form acceptable by the Company and allows such release to go into effect without revocation.  The Company has no obligation under Paragraph 4 above if the Executive revokes such release.  The Executive shall have the period of time required by the Age Discrimination in Employment Act of 1967, which period may be twenty-one (21) days or forty-five (45) days, as specified in the release, to consider whether or not to sign the release.  If the Executive fails to return an executed release to the Company’s Vice President of Human Resources within such period, or the Executive subsequently revokes a timely filed release, the Company shall have no obligation to pay any amounts or benefits under Paragraph 4 above.

		
	8.
	No Interference with Other Vested Benefits.  Regardless of the circumstances under which the Executive may terminate from employment, the Executive shall have a right to any benefits under any employee benefit plan, policy or program maintained by the Company which the Executive had a right to receive under the terms of such employee benefit plan, policy or program after a termination of the Executive’s employment without regard to this Agreement.  The Company shall within thirty (30) days of Separation from Service pay the Executive any earned but unpaid base salary and bonus, shall promptly pay the Executive for any earned but untaken vacation and shall promptly reimburse the Executive for any incurred but unreimbursed expenses which are otherwise reimbursable under the Company’s expense reimbursement policy as in effect for senior executives immediately before the Executive’s employment termination. 

		
	9.
	Consolidation or Merger.  If the Company is at any time before or after a Change in Control merged or consolidated into or with any other corporation, association, partnership or other 

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entity (whether or not the Company is the surviving entity), or if substantially all of the assets thereof are transferred to another corporation, association, partnership or other entity, the provisions of this Agreement will be binding upon and inure to the benefit of the corporation, association, partnership or other entity resulting from such merger or consolidation or the acquirer of such assets (collectively, “Acquiring Entity”) unless the Executive voluntarily elects not to become an employee of the Acquiring Entity as determined in good faith by the Executive.  Furthermore, in the event of any such consolidation or transfer of substantially all of the assets of the Company, the Company shall enter into an agreement with the Acquiring Entity that shall provide that such Acquiring Entity shall assume this Agreement and all obligations and liabilities under this Agreement; provided that the Company’s failure to comply with this provision shall not adversely affect any right of the Executive hereunder.  This Paragraph 9 will apply in the event of any subsequent merger or consolidation or transfer of assets.

In the event of any merger, consolidation or sale of assets described above, nothing contained in this Agreement will detract from or otherwise limit the Executive’s right to or privilege of participation in any restricted stock plan, bonus or incentive plan, stock option or purchase plan, profit sharing, pension, group insurance, hospitalization or other compensation or benefit plan or arrangement which may be or become applicable to officers of the corporation resulting from such merger or consolidation or the Acquiring Entity acquiring such assets of the Company.

In the event of any merger, consolidation or sale of assets described above, references to the Company in this Agreement shall, unless the context suggests otherwise, be deemed to include the entity resulting from such merger or consolidation or the acquirer of such assets of the Company.

		
	10.
	No Mitigation.  The Company agrees that the Executive is not required to seek other employment after a Qualifying Termination or to attempt in any way to reduce any amounts payable to the Executive by the Company under Paragraph 4 above.  Further, the amount of any payment or benefit provided for in this Agreement shall not be reduced by any compensation earned by the Executive as the result of employment by another employer, by retirement benefits, by offset against any amount claimed to be owed by the Executive to the Company, or otherwise. 

		
	11.
	Payments.  All payments provided for in this Agreement shall be paid in cash in the currency of the primary jurisdiction in which the Executive provided services to the Company and its subsidiaries immediately prior to Separation from Service.  The Company shall not be required to fund or otherwise segregate assets to ensure payments under this Agreement.

		
	12.
	Tax Withholding; Section 409A.

		
	(a)
	All payments made by the Company to the Executive or the Executive’s dependents, beneficiaries or estate will be subject to the withholding of such amounts relating to tax and/or other payroll deductions as may be required by law.

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	(b)
	The Parties intend that the benefits and payments provided under this Agreement shall be exempt from, or comply with, the requirements of Section 409A of the Code.  Notwithstanding the foregoing, the Company shall in no event be obligated to indemnify the Executive for any taxes or interest that may be assessed by the IRS pursuant to Section 409A of the Code.

		
	13.
	Arbitration.

(a)    The Parties agree that any legal disputes (including but not limited to claims arising under federal or state statute, contract, tort, or public policy) that may occur between the Company and the Executive, and that arise out of, or are related in any way to, your employment with or termination of employment from the Company or the termination of this Agreement, and which disputes cannot be resolved informally, will be resolved exclusively through final and binding arbitration.  The Parties will be precluded from raising in any other forum, including, but not limited to, any federal or state court of law, or equity, any claim arising under or pertaining to this Agreement which could be raised in arbitration; provided, however, that nothing in this Agreement precludes the Executive from filing a charge or from participating in an administrative investigation of a charge before an appropriate government agency or the Company from initiating an arbitration over a matter covered by this Agreement.

(b)    Each Party may demand arbitration, no later than three hundred (300) days after the date on which the claim arose, by submitting to the other party a written demand which states: (i) the claim asserted, (ii) the facts alleged, (iii) the applicable statute or principal of law (e.g., breach of contract) upon which the demand is based, and (iv) the remedy sought. Any response to such demand must be made, in writing, within twenty (20) days after receiving the demand, and will specifically admit or deny each factual allegation.

(c)    Arbitration timely initiated under this Paragraph 13 will be conducting in Boston, Massachusetts or at such other location as may be agreeable to the Parties, in accordance with the National Rules for the Resolution of Employment Disputes of the American Arbitration Association in effect on the date of such arbitration (the “Rules”), and judgment upon the award rendered by the arbitrator or arbitrators may be entered in any court having jurisdiction thereof.  The award of the arbitrator shall be final and binding and shall be the sole and exclusive remedy between the Parties regarding any claims, counterclaims, issues or accountings presented to the arbitrator.   

(d)    The Parties agree that the arbitration shall be conducted by one (1) person mutually acceptable to the Company and the Executive, provided that if the Parties cannot agree on an arbitrator within thirty (30) days of filing a notice of arbitration, the arbitrator shall be selected by the manager of the principal office of the American Arbitration Association in Suffolk County in the Commonwealth of Massachusetts.  

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Any action to enforce or vacate the arbitrator’s award shall be governed by the federal Arbitration Act, if applicable, and otherwise by applicable state law.

(e)    If either Party pursues any claim, dispute or controversy against the other in a proceeding other than the arbitration provided for herein, the responding Party shall be entitled to dismissal or injunctive relief regarding such action and recovery of all costs, losses and attorney’s fees related to such action.

(f)    All of the Executive’s reasonable costs and expenses incurred in connection with such arbitration shall be paid in full by the Company promptly on written demand from the Executive, including the arbitrators’ fees, administrative fees, travel expenses, out-of-pocket expenses such as copying and telephone, court costs, witness fees and attorneys’ fees; provided, however, the Company shall pay no more than $50,000 per year in attorneys’ fees unless a higher figure is awarded in the arbitration, in which event the Company shall pay the figure awarded in the arbitration.

(g)    Reimbursement of reasonable costs and expenses under Paragraph 13(f) above shall be administered consistent with the following additional requirements as set forth in Treas. Reg. § 1.409A-3(i)(1)(iv): (i) the Executive’s eligibility for benefits in one year will not affect the Executive’s eligibility for benefits in any other year; (ii) any reimbursement of eligible expenses will be made on or before the last day of the year following the year in which the expense was incurred; and (iii) the Executive’s right to benefits is not subject to liquidation or exchange for another benefit.  Notwithstanding the foregoing, if the Executive is a “specified employee” for purposes of Section 409A of the Code, reimbursement for benefits under Paragraph 13(f) above shall be made in accordance with the six (6)-month delay rules under Treas. Reg. § 1.409A-3(i)(2).

(h)    The Executive acknowledges and agrees that this arbitration provision constitutes a voluntary waiver of trial by jury in any action or proceeding to which the Executive or the Company may be parties arising out of or pertaining to this Agreement.

(i)    Notwithstanding anything to the contrary contained in this Paragraph 13, the Company and the Executive agree that the Company has the right to seek injunctive or other equitable relief from a court of competent jurisdiction with respect to the enforcement of any obligations the Executive has pursuant to the Restrictive Covenants (as defined in Paragraph 15 below).

		
	14.
	Assignment; Payment on Death.

		
	(a)
	The provisions of this Agreement shall be binding upon and shall inure to the benefit of the Executive, the Executive’s executors, administrators, legal representatives and assigns and the Company and its successors.  The Company will require any successor (whether direct, indirect, by purchase, merger, consolidation or otherwise) to all or substantially all of its business or assets expressly to assume and agree to 

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perform this Agreement to the same extent that the Company would be required to perform it if no such succession had taken place.

		
	(b)
	In the event that the Executive becomes entitled to payments under this Agreement and subsequently dies, all amounts payable to the Executive hereunder and not yet paid to the Executive at the time of the Executive’s death shall be paid to the Executive’s beneficiary.  No right or interest to or in any payments shall be assignable by the Executive; provided, however, that this provision shall not preclude the Executive from designating one or more beneficiaries to receive any amount that may be payable after the Executive’s death and shall not preclude the legal representatives of the Executive’s estate from assigning any right hereunder to the person or persons entitled thereto under the Executive’s will or, in the case of intestacy, to the person or persons entitled thereto under the laws of intestacy applicable to the Executive’s estate.  The term “beneficiary” as used in this Agreement shall mean the beneficiary or beneficiaries so designated by the Executive to receive such amount or, if no such beneficiary is in existence at the time of the Executive’s death, the legal representative of the Executive’s estate.

		
	(c)
	No right, benefit or interest hereunder shall be subject to anticipation, alienation, sale, assignment, encumbrance, charge, pledge, hypothecation, or set-off in respect of any claim, debt or obligation, or to execution, attachment, levy or similar process, or assignment by operation of law.  Any attempt, voluntary or involuntary, to effect any action specified in the immediately preceding sentence shall, to the full extent permitted by law, be null, void and of no effect.

		
	15.
	Non-Competition and Non-Solicitation.  With execution of this Agreement, the Executive ratifies and confirms the Executive’s obligations to the Company and its affiliates under  Section 6 (Confidential Information) and Section 7 (Restrictive Covenants) of the Employment Agreement or under any similar provisions or obligations concerning confidentiality, non-solicitation or non-competition (collectively, the “Restrictive Covenants”).  In the event the Executive violates any provision of the Restrictive Covenants, the Company shall be relieved of its obligation to provide any further payments or benefits pursuant to Paragraph 4 above, and the Executive shall immediately repay to the Company any cash amounts the Executive received pursuant to Paragraph 4 above prior to such violation.

		
	16.
	Amendments and Waivers.  Except as otherwise specified in this Agreement, this Agreement may be amended, and the observance of any term of this Agreement may be waived (either generally or in a particular instance and either retroactively or prospectively), only with the written consent of the Parties.

		
	17.
	Integration.  The terms of this Agreement shall supersede any prior agreements, understandings, arrangements or representations, oral or otherwise, expressed or implied, with respect to the subject matter hereof which have been made by either Party, including but not limited to the Prior Agreement, provided that in the event of any conflict between 

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the terms of this Agreement and any Executive Severance Agreement between the Company and the Executive, (i) the terms of this Agreement shall prevail with respect to a Separation from Service that occurs on or after a Change in Control and (ii) the terms of the Executive Severance Agreement shall prevail with respect to a Separation from Service prior to a Change in Control.  By signing this Agreement, the Executive releases and discharges the Company from any and all obligations and liabilities heretofore or now existing under or by virtue of such prior agreements other than any such Executive Severance Agreement.

		
	18.
	Notices.  For the purpose of this Agreement, notices and all other communications provided for in this Agreement shall be in writing and shall be deemed to have been duly given (a) on the date of delivery if delivered by hand, (b) on the date of transmission, if delivered by confirmed facsimile, (c) on the first business day following the date of deposit if delivered by guaranteed overnight delivery service, or (d) on the fourth business day following the date mailed by United States registered or certified mail, return receipt requested, postage prepaid, addressed as follows:

If to the Executive:  at the address (or to the facsimile number) shown on the records of the Company.

If to the Company:
General Counsel
Haemonetics Corporation
400 Wood Road
Braintree, MA 02184

or to such other address as either Party may have furnished to the other in writing in accordance herewith, except that notices of change of address shall be effective only upon receipt.

		
	19.
	Severability.  Any provision of this Agreement held to be unenforceable under applicable law will be enforced to the maximum extent possible, and the balance of this Agreement will remain in full force and effect.

		
	20.
	Headings of No Effect.  The paragraph headings contained in this Agreement are included solely for convenience or reference and shall not in any way affect the meaning or interpretation of any of the provisions of this Agreement.

		
	21.
	Not an Employment Contract.  This Agreement is not an employment contract and shall not give the Executive the right to continue in employment by Company or any of its subsidiaries for any period of time or from time to time nor shall this Agreement give the Executive the right to continued membership on the Company’s Executive Leadership Team.  This Agreement shall not adversely affect the right of the Company or any of its subsidiaries to terminate the Executive’s employment with or without cause at any time. Membership on the Company’s Executive Leadership Team shall be determined in the sole discretion of the Company.

13

		
	22.
	Governing Law.  This Agreement and its validity, interpretation, performance and enforcement shall be governed by the laws of the Commonwealth of Massachusetts (without reference to the choice of law principles thereof).

		
	23.
	Counterparts.  This Agreement may be executed in counterparts, each of which will be deemed an original, but all of which together will constitute one and the same instrument.

REMAINDER OF PAGE INTENTIONALLY BLANK

14

IN WITNESS WHEREOF, the Company has caused this Agreement to be executed by its officers thereto duly authorized, and the Executive has signed this Agreement.

HAEMONETICS CORPORATION

By:  /s/ Richard J. Meelia
       Richard J. Meelia
       Its:   Chairman of the Board

EXECUTIVE

/s/ Christopher A. Simon
Name:   Christopher A. Simon

15acor-ex101_53.htm

EXHIBIT 10.1

AMENDMENT C

 

THIS AMENDMENT C (this “Amendment”) is made as of this 11th day of October, 2017, by and between NORTH RIVER EVERETT AVE, LLC, a Delaware limited liability company with a mailing address of and a place of business at 224 12th Avenue, New York, New York 10001 (“Landlord”), and CIVITAS THERAPEUTICS, INC., a Delaware corporation with a mailing address of and a place of business at 384 Powder Mill Road, Concord, Massachusetts 01742 (“Tenant”).  Landlord and Tenant are sometimes hereinafter referred to each as a “Party” and collectively, as the “Parties.”

 

RECITALS:

 

WHEREAS, Landlord, as successor in interest to H&N Associates, LLC (“H&N”), and Tenant, as successor in interest to Advanced Inhalation Research, Inc. (“AIR”) and Alkermes, Inc. (“Alkermes”), are parties to that certain Lease between H&N and AIR dated December 6, 2000, as amended by (i) Side Letter between H&N and AIR dated December 6, 2000; (ii) Amendment A between H&N and AIR dated August 22, 2002; (iii) Side Letter from H&N to AIR dated January 13, 2004; (iv) Amendment B between H&N and AIR dated December 4, 2006; (v) Side Letter from H&N to Alkermes dated August 1, 2007; (vi) Side Letter from H&N to Alkermes dated December 19, 2007; (vii) Side Letter from H&N to Alkermes dated January 26, 2011; (viii) Side Letter from H&N to Alkermes dated April 13, 2011, (ix) letter of extension from Alkermes to H&N dated March 27, 2015; (x) Assignment and Amendment of Lease among H&N, Alkermes, and Tenant dated November 30, 2015; and (xi) Assignment and Assumption of Lease between 190 Everett Ave Nominee Trust and Landlord made as of February 28, 2017 (as amended, the “Lease”); and

 

WHEREAS, the Parties wish to further amend the Lease on the terms and conditions set forth herein.

AGREEMENT:

 

NOW THEREFORE, in consideration of the mutual promises and consideration set forth herein, the receipt and sufficiency of which is hereby acknowledged, the Parties agree and acknowledge as follows:

 

1.Recitals.  The above set forth recitals are incorporated by reference and made a part hereof.

 

2.Definitions.  Capitalized terms not defined herein shall have the same meaning given them in the Lease.

 

3.Amendment.  The Parties wish to further amend the Lease by adding the premises located at 115 Carter Street, Chelsea, Massachusetts (the “Expansion Space”) on the terms and conditions set forth in Schedule I attached hereto and made a part hereof.  Except as set forth in Article 1.1(k) of Schedule I, the Expansion Space shall not be subject to any terms or conditions of the Lease other than those expressly set forth in said Schedule I. 

 

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IN WITNESS WHEREOF, the undersigned have caused this Amendment C to be executed as of the date first above-written.

 

 

 

WITNESS:LANDLORD:

NORTH RIVER EVERETT AVE, LLC

 

 

 

[WITNESS]By:/s/ Christopher H. Pachios

 

Print Name:Christopher H. Pachios

 

Its:Vice President

Duly authorized

 

 

WITNESS:TENANT:

CIVITAS THERAPEUTICS, INC.

 

 

 

[WITNESS]By:/s/ Ron Cohen

 

Print Name:Ron Cohen, M.D.

 

Its:Authorized Representative

Duly authorized

 

 

 

WITNESS:SEEN AND AGREED TO BY GUARANTOR:

ACORDA THERAPEUTICS, INC.

 

 

 

[WITNESS]By:/s/ Ron Cohen

 

Print Name:Ron Cohen, M.D.

 

Its:President and C.E.O.

Duly authorized

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Schedule I to Amendment C

 

ARTICLE I

Reference Data and Exhibits

1.1DATA

 

	
(a)
	
Landlord:  North River Everett Ave, LLC, a Delaware limited liability company

 

(b)Tenant:  Civitas Therapeutics, Inc., a Delaware corporation

 

(c)Expansion Space:  The Land (defined below) together with the free-standing building thereon commonly known as 115 Carter Street, Chelsea, Massachusetts 02150.

 

(d)Term:  Beginning on the Commencement Date (defined below) and coterminous with Tenant’s existing Lease at 190 Everett Avenue, Chelsea, Massachusetts, expiring on December 31, 2025, subject to any extension rights in the Lease (the “Term”).

 

 

(e)Commencement Date:  October 15, 2017

 

 

(f)Rent:  $375,000.00 NNN annually for each year of the Lease with respect to the Expansion Space, payable in monthly installments in advance on the 15th day of each month (i.e., $31,250.00 plus NNN Charges [defined below]), as shown on the “Rent Table” below.  Beginning on October 15, 2018, and on every October 15th thereafter during the initial Term, Rent shall increase by three percent (3%), as shown on the Rent Table below.  Rent for any fraction of a month at the commencement or termination of the Term shall be prorated accordingly.

 

Rent Table:

 

10/15/17-10/14/18:  $375,000.00 (payable in 12 installments)

10/15/18-10/14/19:  $386,250.00 (payable in 12 installments)

10/15/19-10/14/20:  $397,837.50 (payable in 12 installments)

10/15/20-10/14/21:  $409,772.63 (payable in 12 installments)

10/15/21-10/14/22:  $422,065.81 (payable in 12 installments)

10/15/22-10/14/23:  $434,727.78 (payable in 12 installments)

10/15/23-10/14/24:  $447,769.61 (payable in 12 installments)

10/15/24-10/14/25:  $461,202.70 (payable in 12 installments)

10/15/25-12/31/25:  $98,966.41 (payable in 2.5 installments)

 

(g)Use of Expansion Space:  Parking and storage relating to the premises at 190 Everett Avenue, as allowed under the Chelsea zoning ordinance.

 

(h)Tenant's Insurance:  Public liability insurance:  Two Million Dollars ($2,000,000).  Casualty Insurance:  One Million Dollars ($1,000,000).  Landlord and Landlord’s lender(s) shall be named additional insureds on all policies and certificates shall be provided on or before 

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October 15 of each year during the Term, and as may be requested by Landlord and Landlord’s lender(s).  All policies shall only be cancellable with ten (10) days’ notice to Landlord.

 

	
(i)
	
Address for Notices, Landlord:North River Everett Ave, LLC

224 12th Avenue

New York, New York 10001-1005

 

(j)Address for Notices, Tenant:Civitas Therapeutics, Inc.

c/o Acorda Therapeutics, Inc.

420 Saw Mill River Road

Ardsley, New York 10502

Attn: General Counsel

 

(k) Sections of Lease Applicable to Expansion Space:  Section 3(D), Section 4(B), Section 6(6), Section 6(15), Article VII, Article IX, and Sections 10(D)(E)(G)(H)(I)(J) and (O) of the Lease shall be applicable to the Expansion Space during the Term.  Any section of the Lease not expressly set forth in this clause (k) shall have no force and effect with respect to the Expansion Space.

 

 

1.2EFFECT OF REFERENCE TO DATA

 

Each reference in this Schedule to any of the terms contained in Section 1.1 shall be construed to incorporate the data stated thereunder.

 

1.3EXHIBITS

 

The exhibits listed in this Section and attached to this Schedule are incorporated by reference and are a part of this Schedule.  Each Party agrees to perform all obligations stated therein to be performed by such Party.

 

EXHIBIT A.Site Plan.

 

ARTICLE II

Expansion Space

 

2.1EXPANSION SPACE

 

Landlord hereby leases to the Tenant, "as is" and subject to and with the benefit of the terms, covenants, conditions and provisions of this Schedule, the premises described in Section 1.1 as the "Expansion Space" and shown on Exhibit A, situated within the Land delineated on Exhibit A, together with the appurtenances specifically granted in this Schedule.

 

2.2LAND

 

The term "Land", wherever used in this Schedule shall be deemed to mean the lot commonly known as 115 Carter Street, Chelsea, Massachusetts 02150, including any and all 

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structures, common facilities, and the like, built thereon, as shown on Exhibit A, as the same may from time to time be reduced by eminent domain takings or dedications to public authorities.  

 

ARTICLE III

Term

 

3.1TERM OF SCHEDULE; EXTENSION RIGHTS

 

(a)The Term of the Lease with respect to the Expansion Space shall be coterminous with the Lease of 190 Everett Avenue, Chelsea, which shall expire on December 31, 2025 (subject to any extension rights in the Lease).

 

(b)The Term may be extended or renewed as provided for in the Lease; provided, however, that the monthly Rent applicable to the Expansion Space at the commencement of the first Lease extension or renewal term shall be the same as the monthly Rent applicable to the Expansion Space as of December 31, 2025 (as set forth in the Rent Table in Section 1.1(f) herein).  The Rent applicable to the Expansion Space for any extension or renewal term shall increase 3% above the then-immediately prior twelve-month period on every October 15th, with the first such rent escalation to occur on October 15, 2026.

 

ARTICLE IV

 

[intentionally omitted]

 

ARTICLE V

Rent

 

	
5.1
	
RENT

 

(a)Tenant shall pay Landlord, without setoff or deduction, the Rent set forth in Section 1.1(f) of this Schedule.

 

(b)“Rent” shall also include all of Landlord’s costs, fees, charges and expenses, if any, reasonably incurred in connection with the operation, external cleaning, external maintenance, repair and upkeep of the Expansion Space.  Such expenses (collectively, the “NNN Charges”), shall be paid by Tenant to Landlord within thirty (30) days after receipt of invoice therefor (together with reasonably detailed backup documentation evidencing the charge).

 

ARTICLE VI

Real Estate Taxes

 

6.1PAYMENT OF REAL ESTATE TAXES

 

The Tenant shall pay to the Landlord as additional rent, an amount equal to the ad valorem real estate taxes (the “Real Estate Taxes”) from time to time payable during or with 

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respect to, any tax period which includes any part of the Term.  The Landlord shall estimate the Tenant's annual share of Real Estate Taxes and one-twelfth (1/12th) of the amount estimated shall be paid together with each rent payment.  Within fifteen (15) days after the Landlord furnishes the Tenant a copy of a bill for Real Estate Taxes for a tax period the Landlord and the Tenant shall make an adjustment, with payment to or repayment by Landlord so that the Landlord receives the entire amount of the Real Estate Taxes and no more.  If, at the beginning or end of the Term, the Lease with respect to the Expansion Space is in effect for less than a full tax period, the Real Estate Taxes for that tax period shall be prorated based on the number of days the Lease shall be in effect with respect to the Expansion Space during such tax period.  If a partial tax period occurs at the end of the Term the adjustment referred to above shall occur at the end of the Term or, if necessary, as soon thereafter as accurate information as to the Real Estate Taxes for the tax period is known.  Notwithstanding anything herein to the contrary, Tenant may elect to pay the Real Estate Taxes directly to the appropriate taxing authority.

 

ARTICLE VII

Common Areas

 

7.1USE

 

Landlord agrees that Tenant may during the Term hereof have the exclusive right to use the common areas and facilities contained within the Land for the accommodation of Tenant, its officers, directors, agents, employees, contractors, vendors, customers, and other invitees.  Landlord has no right to access the Expansion Space other than as expressly set forth in the Schedule and as may be reasonably necessary to inspect the Expansion Space from time to time and, after April 15, 2025, show the Expansion Space in connection with the leasing or sale of the Expansion Space.

 

7.2MAINTENANCE

 

Tenant shall operate, manage, equip, police, light, repair and maintain (collectively, “Maintenance” or “Maintain”) the Expansion Space and the common areas for their intended purposes in such manner as the Tenant shall in its sole discretion determine up to an annual cost of Twenty Thousand Dollars ($20,000.00) per year (the “Cap”).  For the purposes of this Section 7.2, the term “annual” shall mean one (1) year commencing on October 15 and ending on the following October 14.  In the event that Tenant’s engineer reasonably determines that such amounts are insufficient to Maintain the Expansion Space, then either Landlord may, but need not, elect to perform or reimburse Tenant for costs exceeding the Cap, or in the event Landlord elects not to so Maintain, Tenant may either (i) perform such Maintenance without reimbursement from Landlord for costs exceeding the Cap, or (ii) demolish the building located on the Expansion Space and replace it with a paved parking surface all at Tenant’s sole cost.  In connection with any work on the Expansion Space, Tenant shall be permitted to select contractors of its choosing that are reasonably acceptable to Landlord. 

 

7.3PAYMENT OF OPERATING EXPENSES

 

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Tenant shall pay all expenses associated with operating, repairing and maintaining the Expansion Space, subject to Section 7.2 hereof.

ARTICLE VIII

Utilities

 

8.1PAYMENT OF UTILITIES

 

From and after the Commencement Date, Tenant shall pay all utility charges, fees, costs and expenses of any kind whatsoever serving the Expansion Space, including, but not limited to, gas, water, electricity and the like, and shall pay for all heating and air-conditioning serving the Expansion Space.

 

ARTICLE IX

Tenant's Additional Covenants

 

9.1AFFIRMATIVE COVENANTS

 

The Tenant covenants at all times during the Term and such further time as the Tenant occupies the Expansion Space or any part thereof:

 

(a)To perform promptly all of the obligations of the Tenant set forth in this Schedule; and to pay when due items of rent and all charges, rates and other sums which by the terms of this Schedule are to be paid by the Tenant.

 

(b)To store all trash and refuse if any within the Expansion Space and to attend to the daily disposal thereof; to keep all drains inside the Expansion Space clean.

 

(c)To keep and maintain the sidewalks and ramps adjacent to the Expansion Space and any receiving doors and platforms used by the Tenant free and clear of snow, ice and refuse if required by law or by the terms of any sublease of a portion of the Expansion Space.

 

(d)To pay promptly when due the entire cost of any work to the Expansion Space undertaken by the Tenant so that the Expansion Space shall at all times be free of liens for labor and materials; promptly to clear the record of any notice of any such lien; to procure all necessary permits before undertaking such work; and to save the Landlord harmless and indemnified from all injury, loss, claims or damage to any person or property occasioned by or growing out of such work.

 

(e)At the termination of the Lease with respect to the Expansion Space, to remove such of the Tenant's goods and effects as are not permanently affixed to the Expansion Space (although Tenant need not remove any of the alterations and additions made by the Tenant); and peaceably to yield up the Expansion Space in the condition the same were in on the Commencement Date, reasonable wear and tear and casualty excepted, and subject to Tenant’s rights as set forth in Section 10.1 herein.

 

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(f)To remain fully obligated under this Schedule notwithstanding any assignment or sublease or any indulgence granted by the Landlord to the Tenant or to any assignee or sublessee.

 

(g)To comply with all laws, statutes and ordinances, and the rules and regulations thereunder, applicable to the Expansion Space; provided, however, that Tenant’s obligations under this clause (g) shall be governed in accordance with Section 7.2 hereof.  For the avoidance of ambiguity, with respect to Hazardous Substances, Section 14.11 shall govern and this clause (g) shall be of no force and effect.

 

9.2NEGATIVE COVENANTS

 

The Tenant covenants at all times during the term of the Lease with respect to the Expansion Space and such further time as the Tenant occupies the Expansion Space or any part thereof:

 

(a)Not to make any use of the Expansion Space other than the permitted use set forth in Section 1.1.

 

(b)Not to injure, overload, deface or otherwise harm the Expansion Space; nor commit any nuisance; nor permit the emission of any objectionable noise or odor; nor burn any trash or refuse within the Land; nor make any use of the Expansion Space which is improper or contrary to any law or ordinance.

 

ARTICLE X

 

[intentionally omitted]

 

ARTICLE XI

Damage and Eminent Domain

 

11.1OTHER CASUALTY

 

In case the Expansion Space or any part thereof are damaged or destroyed by fire, or other casualty, this Schedule shall remain in full force and effect, and the Tenant may, in its sole discretion, choose to (1) leave the building in its then-“as is” condition (unless ordered to be demolished by the action of any public authority in consequence of a fire or other casualty), (2) restore the building, (3) restore the building only as needed for safety, or (4) demolish the building and replace it with a paved parking surface pursuant to Article 7.2.  

 

11.2EMINENT DOMAIN

 

The Landlord reserves and excepts all rights to damages to the Expansion Space and the leasehold hereby created now accrued or hereafter accruing (not including damages to the Tenant's stock in trade, or for interference with the Tenant's business and damages to fixtures which the Tenant is entitled to remove upon termination of this Schedule) by reason of any 

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exercise of the right of eminent domain, or by reason of anything lawfully done in pursuance of any public or other authority; and by way of confirmation the Tenant grants to the Landlord all the Tenant's rights to such damages so reserved and excepted.  The Tenant covenants to execute and deliver such further instruments of assignment thereof as the Landlord may from time to time request.  If the entire Expansion Space are taken by eminent domain, this Schedule shall terminate when the Tenant is required to vacate the Expansion Space.  If a material taking impairs Tenant’s use of the Expansion Space, the rent shall be equitably adjusted.

 

ARTICLE XII

 

[intentionally omitted]

 

ARTICLE XIII

 

[intentionally omitted]

 

ARTICLE XIV

Miscellaneous Provisions

 

14.1PAYMENT ON ACCOUNT

 

No payment by Tenant, or acceptance by Landlord, of a lesser amount than shall be due from Tenant to Landlord shall be treated otherwise than a payment on account.  The acceptance by Landlord of a check for a lesser amount with an endorsement or statement thereon, or upon any letter accompanying such check, that such lesser amount is payment in full, shall be given no effect, and Landlord may accept such check without prejudice to any other rights or remedies which Landlord may have against Tenant.

 

 

14.2COVENANT OF QUIET ENJOYMENT

 

Tenant, subject to the terms and provisions of this Schedule, on payment of the rent and observing, keeping and performing all of the terms and provisions of this Schedule on its part to be observed, kept and performed, shall lawfully, peaceably and quietly have, hold, occupy and enjoy the Expansion Space during the term hereof without hindrance or ejection by any persons lawfully claiming under Landlord; but it is understood and agreed that this covenant and any and all other covenants of Landlord contained in this Schedule shall be binding upon the Landlord and Landlord's successors only with respect to breaches occurring during Landlord's and Landlord's successors' respective ownership of Landlord's interest hereunder.

 

14.3[intentionally omitted]

 

 

14.4 WAIVERS

 

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Failure of either party to complain of any act or omission on the part of the other party, no matter how long the same may continue, shall not be deemed to be a waiver by said party of any of its rights hereunder.  No waiver by either party at any time, express or implied, of any breach of any provisions of this Schedule shall be deemed a waiver of a breach of any other provision of this Schedule or a consent to any subsequent breach of the same or any other provision.  If any action by either party shall require the consent or approval of the other party, the other party's consent to or approval of such action on any one occasion shall not be deemed a consent to or approval of said action on any subsequent occasion or a consent to or approval of any other action on the same or any subsequent occasion.  Any and all rights and remedies which either party may have under this Schedule or by operation of law, either at law or in equity, upon any breach, shall be distinct, separate and, cumulative and shall not be deemed inconsistent with each other; and no one of them, whether exercised by said party or not, shall be deemed to be in exclusion of any other; and any two or more or all of such rights and remedies may be exercised at the same time.  Without limiting the generality of the foregoing, if any restrictions contained in this Schedule for the benefit of either party shall be violated, said party, without waiving any claim for breach of agreement against the other party, may bring such proceedings as it may deem necessary, either at law or in equity, in its own name or in the name of the other party, against the person violating said restriction.

 

14.5[intentionally omitted]

 

14.6COSTS

 

Whenever in this Schedule provision is made for the doing of any act by any person, such act shall be done by such person at its own cost and expense unless a contrary intent is expressed.

 

14.7SCHEDULE NOT TO BE RECORDED

 

Each of Landlord and Tenant agrees that it will not record this Schedule with any Registry of Deeds or at any Registry District of the Land Court, but Landlord agrees to execute and deliver to Tenant at Tenant’s request a notice of Schedule in statutory form, which Tenant may record in its discretion.

 

14.8INTENDED USE

 

Tenant intends to use the Expansion Space primarily but not exclusively for overflow parking for its employees in a building adjacent to the Expansion Space.  Landlord agrees that Tenant may, at Tenant’s discretion, elect to terminate the Lease with respect to the Expansion Space upon notice to Landlord if Tenant’s intended use is not permitted, or becomes prohibited, by statute, regulation, or ordinance of any governmental authority.

 

14.9APPLICABLE LAW AND CONSTRUCTION

 

This Schedule shall be governed by and construed in accordance with the laws of the Commonwealth of Massachusetts and, if any provisions of this Schedule is to any extent invalid, 

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the remainder of this Schedule, and the application of such provisions in other circumstances, shall not be affected thereby.  There are no other oral or written agreements between the Landlord and the Tenant affecting this Schedule.  This Schedule may be amended only by instruments in writing executed by the Landlord and the Tenant.  The Landlord shall not be deemed, in any way or for any purpose, to have become, by the execution of this Schedule or any action taken hereunder, a partner of the Tenant in its business or otherwise or a joint venturer or a member of any joint enterprise with the Tenant.  The titles of the several Articles and Sections contained herein are for convenience only and shall not be considered in construing this Schedule.  Unless repugnant to the context, the words "Landlord" and "Tenant" appearing in this Schedule shall be construed to mean those named above and their respective heirs, executors, administrators, successors and assigns, and those claiming through or under them respectively.  Whenever the singular is used and when required by the context it shall include the plural, and the neuter gender shall include the masculine and feminine.

 

14.10WAIVER OF SUBROGATION

 

Insofar as and to the extent that the following provision may be effective without invalidating or making it impossible to secure insurance coverage obtainable from responsible insurance companies doing business in the Commonwealth of Massachusetts (even though extra premium may result therefrom), the Landlord and the Tenant mutually agree that with respect to any loss which is covered by insurance then being carried by them respectively, the one carrying such insurance and suffering said loss releases the other of and from any and all claims with respect to such loss to the extent that payment has been received from the insurer; and each further mutually agrees that their respective insurance companies shall have no right of subrogation against the other on account thereof.  If an extra premium is required to be paid by either party as a result of this provision, the other party shall reimburse the party paying such premium the amount of such extra premium.  If, at the written request of one party, this release and nonsubrogation provision is waived, then the obligation of reimbursement shall cease for such period of time as such waiver is effective, and nothing contained in this Section shall be deemed to modify or otherwise affect releases elsewhere herein contained of either party from liability for claims.

 

14.11RESPONSIBILITY REGARDING HAZARDOUS SUBSTANCES

 

(a)Hazardous Substance.

  The term "Hazardous Substance," as used in this Schedule, shall include, without limitation, flammables, explosives, radioactive materials, asbestos, polychlorinated biphenyls (PCBs), chemicals known to cause cancer or reproductive toxicity, pollutants, contaminants, hazardous wastes, toxic substances or related materials, petroleum and petroleum products, and substances declared to be hazardous or toxic under any law or regulation now or hereafter enacted or promulgated by any governmental authority.

 

(b)Tenant’s Restriction.

  Tenant shall not, during the term of the Lease with respect to the Expansion Space, cause or permit to occur the use, generation, release, manufacture, refining, production, processing, storage, or disposal of any Hazardous Substance on, under, or about the Expansion Space, or the transportation to or from the Expansion Space of any 

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Hazardous Substance, except as allowed by law and in the normal course of Tenant’s use and enjoyment of the Expansion Space.

 

 

 

(c)Indemnification.

 

(i)Tenant shall indemnify, defend, and hold harmless Landlord, the manager of the property, and their respective officers, directors, beneficiaries, shareholders, partners, agents, and employees from all fines, suits, procedures, claims, and actions of every kind, and all costs associated therewith (including attorneys’ fees and consultants’ fees) arising out of or in any way connected with any deposit, spill, discharge, or other release of any Hazardous Substance that arises at any time from Tenant’s use or occupancy of the Expansion Space.                                                                    

 

(ii)Landlord shall indemnify, defend, and hold harmless Tenant, its affiliates, the manager of the property, and their respective officers, directors, beneficiaries, shareholders, partners, agents, and employees from all fines, suits, procedures, claims, and actions of every kind, and all costs associated therewith (including attorneys’ fees and consultants’ fees) arising out of or in any way connected with any deposit, spill, discharge, or other release of any Hazardous Substance at or from the Expansion Space that (a) occurred prior to the Commencement Date or (b) is caused by Landlord after the Commencement Date.

 

 

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Exhibit A to Schedule I

 

Site Plan

 

(See attached)

12292983.11

 

12292983.11

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