Document:

exv10w55

Exhibit 10.55

EXECUTION
VERSION

FIRST AMENDMENT TO

AMENDED AND RESTATED EMPLOYMENT AGREEMENT

     This FIRST AMENDMENT TO AMENDED AND RESTATED EMPLOYMENT AGREEMENT (the “Amendment”), is made
and entered into as of the 16th day of September, 2008, by and between Critical Therapeutics, Inc.,
a Delaware corporation (the “Company”), and Scott B. Townsend (the “Executive”). The Company and
the Executive may be referred to herein as the “parties.”

W I T N E S S E T H :

     WHEREAS, the Company and the Executive entered into an Amended and Restated Employment
Agreement effective as of November 6, 2007 (the “Employment Agreement”);

     WHEREAS, the Company is a party to the Agreement and Plan of Merger by and among the Company,
Neptune Acquisition Corp. and Cornerstone BioPharma Holdings, Inc. (“Cornerstone”) dated May 1,
2008 (the “Merger Agreement”);

     WHEREAS, following the Merger, as defined in the Merger Agreement, the Company will relocate
from Massachusetts to North Carolina;

     WHEREAS, the parties acknowledge that such relocation by the Company will constitute a Good
Reason condition, as defined in the Employment Agreement, entitling the Executive to terminate his
employment and receive certain benefits;

     WHEREAS, the Company desires to encourage the Executive to remain employed by the Company
following the Merger and the Executive is willing to remain employed with the changes to the
Employment Agreement effected by this Amendment; and

     WHEREAS, the Company and the Executive desire to amend the Employment Agreement as stated
herein.

     NOW, THEREFORE, in consideration of the mutual terms and conditions set forth below and other
good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the
Company and the Executive agree as follows:

     1.      Term of Amendment. This Amendment and the amendments to the Employment Agreement effected
hereby shall be effective only for the period of time from the Closing, as defined in the Merger
Agreement, of the Merger to December 31, 2010. If such Closing should not occur, this Amendment
shall have no force or effect.

 

 

     2.      Specific Amendments to Employment Agreement. The Employment Agreement shall be amended as
follows:

               A.      In Section 2. Title; Capacity, the first sentence, shall be deleted and the
following inserted in lieu thereof: “The Executive shall serve as General Counsel, Executive Vice
President of Legal Affairs and Secretary of the Company.”

               B.      In Section 3.2. Annual Target Cash Bonus, the first sentence shall be deleted and
the following inserted in lieu thereof: “The Executive shall be eligible to receive an annual
target cash bonus of up to thirty-five (35) percent of his then annual base salary (“Target Cash
Bonus”).” In addition, the following sentence shall be added to the end of that Section: “The
actual award for the year ended December 31, 2008 will not be less than the thirty-five (35)
percent Target Cash Bonus if the Executive remains an employee in good standing with the Company
through December 31, 2008.”

               C.      Section 3.4. Fringe Benefits, shall be deleted and the following inserted in lieu
thereof:

           “3.4. Fringe Benefits. The Executive shall be able to
participate in all benefit plans and programs, including a car
allowance, provided to other vice president-level or executive vice
president-level executives at Cornerstone, subject to the applicable
terms, conditions, and eligibility requirements of those plans and
programs as they may be exist from time to time. Notwithstanding
the foregoing, the Executive shall be entitled to four (4) weeks of
paid vacation per year, accrued at a rate of 1.67 days per month,
and, if requested in writing by the Chief Executive Officer, such
vacation time shall be taken at such times as may be approved by the
Chief Executive Officer or his designee.”

               D.      In Section 3.5. Reimbursement of Expenses, the first clause of the first sentence
of that Section shall be amended by adding the phrase, “(including annual state bar membership fees
for the Commonwealth of Massachusetts and the State of North Carolina and such continuing legal
education expenses as are necessary to satisfy the minimum continuing legal education requirements
in such jurisdictions and annual membership dues for the American Bar Association, Association of
Corporate Counsel and state and local bar associations)” immediately following the phrase,
“entertainment and other expenses,” such that said clause shall read, in part, “The Company shall
reimburse the Executive for all reasonable travel, entertainment and other expenses (including
annual state bar membership fees for the Commonwealth of Massachusetts and the State of North
Carolina and such continuing legal education expenses as are necessary to satisfy the minimum
continuing legal education requirements in such jurisdictions and annual membership dues for the
American Bar Association, Association of Corporate Counsel and state and local bar associations)
incurred or paid by the Executive in connection with, or related to,
the performance of his duties. . .”.

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                         Section 3.5. shall also be amended by adding the following at the end of that Section:

          “In addition, the parties recognize that the Executive may, for
some period of time, continue to reside in Massachusetts after the
Company’s relocation to North Carolina. During such time, the
Company shall reimburse the Executive for reasonable expenses he
incurs or pays for business travel to and from Massachusetts and
North Carolina and temporary lodging while in North Carolina. The
Company shall also reimburse the Executive for out-of-pocket
expenses he incurs or pays for the maintenance of a home office in
Massachusetts, including telephone, facsimile, cell phone, and
internet charges, during the time he chooses to continue to reside
in Massachusetts after the Closing.”

     3.      Restricted Stock Award. Contemporaneously with the execution of this Amendment, the
parties are also entering into a restricted stock agreement which provides that on the first
business day after the Closing, the Company shall grant restricted stock under the Company’s 2004
Stock Incentive Plan, as amended, of that number of shares of the Company’s common stock that will
represent one percent (1.0%) of the outstanding equity, on a fully diluted basis, of the Company
after giving effect to the Reverse Stock Split and the Merger, in each case as defined in the
Merger Agreement; such restricted stock agreement is attached hereto as Exhibit A.

     4.      Severance in Specified Circumstances. The parties acknowledge and agree that following the
Merger, the relocation of the place of business at which the Executive is principally located from
Massachusetts to North Carolina (the “Relocation”) is a Good Reason condition, the Executive has
given notice of the Good Reason condition, and the condition is not subject to cure by the Company.

               The parties agree that if the Executive’s employment is terminated at any time on or before
December 31, 2009 (i) by the Company without Cause, (ii) by the Executive for Good Reason, or (iii)
because of the Executive’s death or Disability, the Company shall provide the Executive or his
estate, as applicable, the payments and benefits specified in Section 5.5, Termination Without
Cause or for Good Reason during a Change in Control Period, of the Employment Agreement;
provided, however, if the Executive resigns his employment for Good Reason related to the
Relocation, the accelerated vesting of the Executive’s outstanding unvested stock options and
restricted stock pursuant to Section 5.5(iv) of the Employment Agreement shall not include any of
the restricted stock (the “Restricted Stock”) granted pursuant to the Restricted Stock Agreement
being entered into contemporaneously with this Amendment with a Grant Date that is the first
business day after Closing Date (as defined in the Merger Agreement), and, if the Executive’s
employment is terminated by the Company without Cause, then thirty-five percent (35%) of the
Restricted Stock shall be included in the accelerated vesting pursuant to Section 5.5(iv) of the
Employment Agreement, unless such termination is during a Change in Control Period relating to a
transaction other than that contemplated by the Merger Agreement, in which case, one hundred
percent (100%) of the Restricted Stock shall be included in the

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accelerated vesting pursuant to that Section 5.5(iv). For purposes of clarification, the
parties acknowledge and agree that Executive would be entitled to the payments and benefits
specified in Section 5.4, Termination Without Cause or For Good Reason not during a Change in
Control Period, of the Employment Agreement, if the Executive’s employment is terminated after
December 31, 2009 (i) by the Company without Cause or (ii) by the Executive for Good Reason not
related to the Relocation. The parties agree that in the event of the Executive’s death, no
outplacement services will be provided.

               To the extent the parties’ agreement above with respect to severance conflicts with any of the
provisions of the current Employment Agreement, the above agreement shall control notwithstanding
any contrary or otherwise differing provisions of the Employment Agreement.

     5.      Ratification of Employment Agreement. Except as hereby amended, the Employment Agreement
shall remain in full force and effect and is hereby ratified and confirmed in all respects.

[signature page follows]

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[Signature Page to First Amendment to Amended and Restated Employment Agreement]

     IN WITNESS WHEREOF, this Amendment has been duly executed as of the day and year set forth
above.

	 	 	 	 	 
	 	CRITICAL THERAPEUTICS, INC.

 	 
	 	By:  	/s/ Trevor Phillips
 	 
	 	 	Name:  	Trevor Phillips, Ph.D. 	 
	 	 	Title:  	President and Chief Executive
Officer 	 
	 

	 	 	 	 	 
	 	EXECUTIVE

 	 
	 	/s/ Scott B. Townsend
 	 
	 	     Name:  	Scott B. Townsendexv10w56

Exhibit 10.56

EXECUTION
VERSION

CRITICAL THERAPEUTICS, INC.

Restricted
Stock Agreement dated as of September 16, 2008

	 	 	 	 	 
	Name of Recipient:	 	Scott B. Townsend
	 
	 	 	 	 
	Number of shares of
restricted common stock
awarded:	 	That number of shares of the Company’s common
stock that will represent one percent (1.0%)
of the outstanding equity, on a fully diluted
basis, of the Company immediately following
the closing of the Company’s merger
transaction with Cornerstone BioPharma
Holdings, Inc. and after giving effect to the
related reverse stock split
	 
	 	 	 	 
	 	 	__________________ (specific number of shares
under foregoing grant language to be inserted
by the Company’s CFO following closing of the
Company’s merger transaction with Cornerstone
BioPharma Holdings, Inc. and confirmed by the
parties initials below)
	 
	 	 	 	 
	 

	 	Recipient: ______________
	 	Company: ______________
	 
	 	 	 	 
	Grant Date:	 	The first business day following the closing
date of the Company’s merger transaction with
Cornerstone BioPharma Holdings, Inc.

     Critical Therapeutics, Inc. (the “Company”) has selected you to receive the restricted stock
award described above, which is subject to the provisions of the Company’s 2004 Stock Incentive
Plan, as amended (the “Plan”) and the terms and conditions contained in this Restricted Stock
Agreement (the “Agreement”). Please confirm your acceptance of this restricted stock award and of
the terms and conditions of this Agreement by signing a copy of this Agreement where indicated
below.

	 	 	 	 	 
	 	CRITICAL THERAPEUTICS, INC.

 	 
	 	By:  	/s/ Trevor Phillips
 	 
	 	 	Name:  	Trevor Phillips, Ph.D. 	 
	 	 	Title:  	President and CEO 	 
	 

Accepted and Agreed:

	 	 	 	 	 
	 	 	 
	/s/ Scott B. Townsend
 	 	 
	Scott B. Townsend 	 	 

RSP #
     

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CRITICAL THERAPEUTICS, INC.

Restricted Stock Agreement

     The terms and conditions of the award of shares of restricted common stock of the Company (the
“Restricted Shares”) made to the Recipient, as set forth on the cover page of this Agreement, are
as follows:

     1.      Issuance of Restricted Shares.

               (a)      The Restricted Shares are issued to the Recipient, effective as of the Grant Date (as set
forth on the cover page of this Agreement), in consideration of employment services rendered and to
be rendered by the Recipient to the Company.

               (b)      As promptly as practicable following the Grant Date, the Company shall issue one or more
certificates in the name of the Recipient for the Restricted Shares. Such certificate(s) shall
initially be held on behalf of the Recipient by the Secretary of the Company. Following the
vesting of any Restricted Shares pursuant to Section 2 below, the Secretary shall, if requested by
the Recipient, deliver to the Recipient a certificate representing the vested Restricted Shares.
The Recipient agrees that the Restricted Shares shall be subject to the forfeiture provisions set
forth in Section 3 of this Agreement and the restrictions on transfer set forth in Section 4 of
this Agreement.

     2.      Vesting.

     Unless otherwise provided in this Agreement or the Plan, the Restricted Shares shall vest in
accordance with the following vesting schedule: 25% of the total number of Restricted Shares shall
vest on May 1, 2009; 25% shall vest on May 1, 2010; 25% shall vest on May 1, 2011; and 25% shall
vest on May 1, 2012. Any fractional number of Restricted Shares resulting from the application of
the foregoing percentages shall be rounded up to the nearest whole number of Restricted Shares.
Notwithstanding anything to the contrary in the Plan (including Section 10(b)(3)(b) therein), the
Restricted Shares shall not be subject to accelerated vesting for any reason in connection with the
termination of Recipient’s employment except as expressly set forth in the Recipient’s Amended and
Restated Employment Agreement (as amended by First Amendment thereto).

     3.      Forfeiture of Unvested Restricted Shares Upon Employment Termination.

     In the event that the Recipient ceases to be employed by the Company for any reason or no
reason, with or without cause (except as provided in Section 2 above), all of the Restricted Shares
that are unvested as of the time of such employment termination shall be forfeited immediately and
automatically to the Company, without the payment of any consideration to the Recipient, effective
as of such termination of employment. The Recipient hereby authorizes the Company to take any
actions necessary or appropriate to cancel any certificate(s) representing forfeited Restricted
Shares and transfer ownership of such forfeited Restricted Shares to the Company; and if the
Company or its transfer agent requires an executed stock power or similar confirmatory instrument
in connection with such cancellation and transfer, the Recipient shall promptly execute and deliver
the same to the Company. The Recipient shall have no further

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rights with respect to any Restricted Shares that are so forfeited. If the Recipient is
employed by a subsidiary of the Company, any references in this Agreement to employment with the
Company shall instead be deemed to refer to employment with such subsidiary.

     4.      Restrictions on Transfer.

     The Recipient shall not sell, assign, transfer, pledge, hypothecate or otherwise dispose of,
by operation of law or otherwise (collectively “transfer”) any Restricted Shares, or any interest
therein, until such Restricted Shares have vested, except that the Recipient may transfer such
Restricted Shares: (a) to or for the benefit of any spouse, children, parents, uncles, aunts,
siblings, grandchildren and any other relatives approved by the Board (as defined below)
(collectively, “Approved Relatives”) or to a trust established solely for the benefit of the
Recipient and/or Approved Relatives, provided that such Restricted Shares shall remain
subject to this Agreement (including without limitation the forfeiture provisions set forth in
Section 3 and the restrictions on transfer set forth in this Section 4) and such permitted
transferee shall, as a condition to such transfer, deliver to the Company a written instrument
confirming that such transferee shall be bound by all of the terms and conditions of this
Agreement; or (b) as part of the sale of all or substantially all of the shares of capital stock of
the Company (including pursuant to a merger or consolidation). The Company shall not be required
(i) to transfer on its books any of the Restricted Shares which have been transferred in violation
of any of the provisions of this Agreement or (ii) to treat as owner of such Restricted Shares or
to pay dividends to any transferee to whom such Restricted Shares have been transferred in
violation of any of the provisions of this Agreement.

     5.      Restrictive Legends.

     All certificates representing Restricted Shares shall have affixed thereto a legend in
substantially the following form, in addition to any other legends that may be required under
applicable law:

“These shares of stock are subject to forfeiture provisions and restrictions
on transfer set forth in a certain Restricted Stock Agreement between
Critical Therapeutics, Inc. (the “Corporation”) and the registered owner of
these shares (or his or her predecessor in interest), and such Agreement is
available for inspection without charge at the office of the Secretary of
the Corporation.”

     6.      Rights as a Shareholder.

     Except as otherwise provided in this Agreement, for so long as the Recipient is the registered
owner of the Restricted Shares, the Recipient shall have all rights as a shareholder with respect
to the Restricted Shares, whether vested or unvested, including, without limitation, any rights to
vote the Restricted Shares and act in respect of the Restricted Shares at any meeting of
shareholders and to receive dividends and distributions with respect to such Restricted Shares;
provided, however, that if any such dividends or distributions are paid in shares, or consist of a
dividend or distribution to holders of Common Stock other than an ordinary cash dividend, the
shares, cash or other property will be subject to the same restrictions on transferability and
forfeitability as the shares of Restricted Stock with respect to which they were paid. Each

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dividend payment will be made no later than the end of the calendar year in which the
dividends are paid to shareholders of that class of stock or, if later, the 15th day of
the third month following the date the dividends are paid to shareholders of that class of stock.

     7.      Provisions of the Plan.

     This Agreement is subject to the provisions of the Plan, a copy of which is furnished to the
Recipient with this Agreement.

     8.      Tax Matters.

               (a)      Acknowledgments; Section 83(b) Election. The Recipient acknowledges that he or
she is responsible obtaining the advice of the Recipient’s own tax advisors with respect to the
acquisition of the Restricted Shares and the Recipient is relying solely on such advisors and not
on any statements or representations of the Company or any of its agents with respect to the tax
consequences relating to the Restricted Shares. The Recipient understands that the Recipient (and
not the Company) shall be responsible for the Recipient’s tax liability that may arise in
connection with the acquisition, vesting and/or disposition of the Restricted Shares. The
Recipient acknowledges that he or she has been informed of the availability of making an election
under Section 83(b) of the Internal Revenue Code, as amended, with respect to the issuance of the
Restricted Shares and that the Recipient has decided not to file a Section 83(b) election.

               (b)      Withholding. The Recipient acknowledges and agrees that the Company has the right
to deduct from payments of any kind otherwise due to the Recipient any federal, state, local or
other taxes of any kind required by law to be withheld with respect to the vesting of the
Restricted Shares. On each date on which Restricted Shares vest, the Company shall deliver written
notice to the Recipient of the amount of withholding taxes due with respect to the vesting of the
Restricted Shares that vest on such date; provided, however, that the total tax withholding cannot
exceed the Company’s minimum statutory withholding obligations (based on minimum statutory
withholding rates for federal and state tax purposes, including payroll taxes, that are applicable
to such supplemental taxable income). The Recipient shall satisfy such tax withholding obligations
by making a cash payment to the Company on the date of vesting of the Restricted Shares, in the
amount of the Company’s withholding obligation in connection with the vesting of such Restricted
Shares. The Recipient may, if the Board, in its sole discretion, so approves in writing in advance
of the applicable vesting date, satisfy such tax withholding obligations by transferring to the
Company, on each date on which Restricted Shares vest under this Agreement, such number of
Restricted Shares that vest on such date as have a fair market value (calculated using the last
reported sale price of the common stock of the Company on the NASDAQ Capital Market on the trading
date immediately prior to such vesting date) equal to the amount of the Company’s tax withholding
obligation in connection with the vesting of such Restricted Shares. In the event that the Board
approves such method of satisfying the tax withholding, to effect such delivery of Restricted
Shares, the Recipient shall be required to authorize the Company to take any actions necessary or
appropriate to cancel any certificate(s) representing such Restricted Shares and transfer ownership
of such Restricted Shares to the Company; and if the Company or its transfer agent requires an
executed stock power or similar confirmatory instrument in connection with such cancellation and
transfer, the Recipient shall promptly execute and deliver the same to the Company.

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     9.      Miscellaneous.

               (a)      Authority of the Board. In making any decisions or taking any actions with
respect to the matters covered by this Agreement, the Board of Directors of the Company or a
designated committee of the Board, including, but not limited to, the Compensation Committee of the
Board (collectively, the “Board”) shall have all of the authority and discretion, and shall be
subject to all of the protections, provided for in the Plan. All decisions and actions by the
Board with respect to this Agreement shall be made in the Board’s discretion and shall be final and
binding on the Recipient.

               (b)      No Right to Continued Employment. The Recipient acknowledges and agrees that,
notwithstanding the fact that the vesting of the Restricted Shares is contingent upon his or her
continued employment by the Company, this Agreement does not constitute an express or implied
promise of continued employment or confer upon the Recipient any rights with respect to continued
employment by the Company.

               (c)      Governing Law. This Agreement shall be construed, interpreted and enforced in
accordance with the internal laws of the State of Delaware without regard to any applicable
conflicts of laws provisions.

               (d)      Recipient’s Acknowledgments. The Recipient acknowledges that he or she has read
this Agreement, has received and read the Plan, and understands the terms and conditions of this
Agreement and the Plan.

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