Document:

EXHIBIT
10.1

 

MONMOUTH
REAL ESTATE INVESTMENT CORPORATION

AMENDED AND RESTATED 2007 INCENTIVE AWARD PLAN

 

STOCK
OPTION AGREEMENT

GRANT
NOTICE

 

Monmouth
Real Estate Investment Corporation (the “Company”), pursuant to its Amended and Restated 2007 Incentive
Award Plan, as amended from time to time (the “Plan”), hereby grants to the participant set forth below
(“Participant”), an Option to purchase the number of shares of the Company’s Common Stock (referred
to herein as “Shares”) set forth below. This Option is subject to all of the terms and conditions as
set forth herein and in the Stock Option Agreement attached hereto as Exhibit A (the “Stock Option Agreement”)
and the Plan, each of which is incorporated herein by reference. Unless otherwise defined herein, the terms defined in the Plan
shall have the same defined meanings in this Stock Option Grant Notice and the Stock Option Agreement.

 

	Participant:	___________________________________
	Grant
    Date:	___________________________________
	Vesting
    Commencement Date:	___________________________________
	Exercise
    Price per Share:	$__________________________________
	Total
    Exercise Price:	$__________________________________
	Total
    Number of Shares Subject to Option:	__________________________________
	Expiration
    Date:	___________________________________

 

	Type of Option: 	[  ]	Incentive Stock Option 	[  ]	Non-Qualified Stock Option

 

Vesting
Schedule: 

 

By
his or her signature and the Company’s signature below, Participant agrees to be bound by the terms and conditions of the
Plan, the Stock Option Agreement and this Grant Notice. Participant has reviewed the Stock Option Agreement, the Plan and this
Grant Notice in their entirety, has had an opportunity to obtain the advice of counsel prior to executing this Grant Notice and
fully understands all provisions of this Grant Notice, the Stock Option Agreement and the Plan. Participant hereby agrees to accept
as binding, conclusive and final all decisions or interpretations of the Administrator of the Plan upon any questions arising
under the Plan or the Option.

 

	MONMOUTH REAL ESTATE INVESTMENT CORPORATION: 

	 	PARTICIPANT:
	 	 	 	 	 
	By:		 	By:	
	Name:		 	Name:	
	Title:		 	 	 

  

    	 

    	 

    

 

EXHIBIT
A

 

TO
STOCK OPTION AGREEMENT

 

Pursuant
to the Stock Option Grant Notice (“Grant Notice”) to which this Stock Option Agreement (this “Agreement”)
is attached, Monmouth Real Estate Investment Corporation (the “Company”) has granted to Participant
an Option under the Company’s Amended and Restated 2007 Incentive Award Plan, as amended from time to time (the “Plan”),
to purchase the number of Shares indicated in the Grant Notice.

 

ARTICLE
I

GENERAL

 

1.1       Defined
Terms. Capitalized terms not specifically defined herein shall have the meanings specified in the Plan and the Grant Notice.

 

1.2       Incorporation
of Terms of Plan. The Option is subject to the terms and conditions of the Plan which are incorporated herein by reference.
In the event of a conflict between the terms of the Agreement and the Plan, the terms of the Plan shall control.

 

1.3       Grant
of Option. In consideration of Participant’s past and/or continued employment with or service to the Company or a parent
or subsidiary and for other good and valuable consideration, effective as of the grant date set forth in the Grant Notice (the
“Grant Date”), the Company irrevocably grants to Participant an Option to purchase any part or all of
an aggregate of the number of Shares set forth in the Grant Notice, upon the terms and conditions set forth in the Plan and this
Agreement. Unless designated as a Non-Qualified Stock Option in the Grant Notice, the Option shall be an Incentive Stock Option
to the maximum extent permitted by law.

 

1.4       Consideration
to the Company. In consideration of the grant of the Option by the Company, Participant agrees to render faithful and efficient
services to the Company and its Subsidiaries. Nothing in the Plan or this Agreement shall confer upon Participant any right to
continue in the employ or service of the Company or any Subsidiary or shall interfere or restrict in any way the rights of the
Company and its Subsidiaries, which rights are hereby expressly reserved, to discharge or terminate the services of Participant
at any time for any reason whatsoever, with or without cause, except to the extent expressly provided otherwise in a written agreement
between the Company and Participant. 

 

ARTICLE
II

PERIOD
OF EXERCISABILITY

 

2.1       Vesting;
Commencement of Exercisability.

 

(a)       Subject
to Sections 2.1(b) and 2.3, the Option shall become vested and exercisable in such amounts and at such times as are set forth
in the vesting schedule in the Grant Notice (the “Vesting Schedule”).

 

(b)       Unless
otherwise determined by the Administrator, and subject to Section 6.5 of the Plan, any portion of the Option that has not become
vested and exercisable on or prior to the date of the Participant’s Termination of Service shall be forfeited on the date
of the Participant’s Termination of Service and shall not thereafter become vested or exercisable.

 

    	 

    	 

    

 

2.2       Duration
of Exercisability. The installments provided for in the Vesting Schedule are cumulative. Each such installment which becomes
vested and exercisable pursuant to the Vesting Schedule shall remain vested and exercisable until it becomes unexercisable under
Section 2.3 or pursuant to the terms of the Plan. Once the Option becomes unexercisable, it shall be forfeited immediately.

 

2.3       Expiration
of Option. The Option may not be exercised to any extent by anyone after the first to occur of the following events:

 

(a)       The
Expiration Date set forth in the Grant Notice;

 

(b)       Except
as the Administrator may otherwise approve, the expiration of three months following the date of Participant’s Termination
of Service, unless such Termination of Service occurs by reason of Participant’s death, Disability or Cause;

 

(c)       Except
as the Administrator may otherwise approve, the expiration of one year following the date of Participant’s Termination of
Service by reason of Participant’s death or Disability; or

 

(d)       The
date of Participant’s Termination of Service for Cause. If Participant is given notice by the Company of Participant’s
Termination of Service for Cause, and the effective date of such Termination of Service is subsequent to the date of the delivery
of such notice, the right to exercise the Option shall be suspended from the time of the delivery of such notice until the earlier
of (i) such time as it is determined or otherwise agreed that Participant’s status as a Service Provider shall not be terminated
for Cause as provided in such notice or (ii) the effective date of such Termination of Service (in which case the right to exercise
the Option shall, pursuant to this Section, terminate immediately upon the effective date of such Termination of Service).

 

Participant
acknowledges that an Incentive Stock Option exercised more than three months after Participant’s termination of status as
an Employee, other than by reason of death or Disability, will be taxed as a Non-Qualified Stock Option.

 

2.4       Special
Tax Consequences. If the Option is an Incentive Stock Option, Participant acknowledges that, to the extent that the aggregate
fair market value (determined as of the time the Option is granted) of all Shares with respect to which Incentive Stock Options,
including the Option, are first exercisable for the first time by Participant in any calendar year exceeds $100,000 (or such other
limitation as imposed by Section 422(d) of the Code), the Option and such other options shall be treated as not qualifying under
Section 422 of the Code but rather shall be considered Non-Qualified Stock Options. Participant further acknowledges that the
rule set forth in the preceding sentence shall be applied by taking Options and other “incentive stock options” into
account in the order in which they were granted.

 

ARTICLE
III

EXERCISE OF OPTION

 

3.1       Person
Eligible to Exercise. During the lifetime of Participant, only Participant may exercise the Option or any portion thereof.
After the death of Participant, any exercisable portion of the Option may, prior to the time when the Option becomes unexercisable
under Section 2.3, be exercised by Participant’s personal representative or by any person empowered to do so under the deceased
Participant’s will or under the then applicable laws of descent and distribution.

 

    	 

    	 

    

 

3.2       Partial
Exercise. Any exercisable portion of the Option or the entire Option, if then wholly exercisable, may be exercised in whole
or in part at any time prior to the time when the Option or portion thereof becomes unexercisable under Section 2.3.

 

3.3       Manner
of Exercise. The Option, or any exercisable portion thereof, may be exercised solely by delivery to the Company, or such other
place as may be determined by the Administrator, of all of the following prior to the time when the Option or such portion thereof
becomes unexercisable under Section 2.3:

 

(a)       An
exercise notice in substantially in the form attached as Exhibit B to the Grant Notice (or such other form as is prescribed
by the Administrator) (the “Exercise Notice”) in writing signed by Participant or any other person then
entitled to exercise the Option or portion thereof, stating that the Option or portion thereof is thereby exercised, such notice
complying with all applicable rules established by the Administrator; and

 

(b)       Full
payment for the Shares with respect to which the Option or portion thereof is exercised in accordance with Section 3.4;

 

(c)       Full
payment for any applicable withholding tax in in accordance with Section 3.5; and

 

(d)       In
the event the Option or portion thereof shall be exercised pursuant to Section 3.1 by any person or persons other than Participant,
appropriate proof of the right of such person or persons to exercise the Option.

 

3.4       Method
of Payment. Payment of the exercise price shall be by any of the following, or a combination thereof, at the election of Participant:

 

(a)       By
cash or check made payable to the Company;

 

(b)       With
the consent of the Administrator, surrender of shares of Common Stock (including, without limitation, shares of Common Stock otherwise
issuable upon exercise of the Option) held for such period of time as may be required by the Administrator in order to avoid adverse
accounting consequences and having a Fair Market Value on the date of delivery equal to the aggregate exercise price of the Option
or exercised portion thereof;

 

(c)       Through
the delivery of a notice that Participant has placed a market sell order with a broker acceptable to the Company with respect
to shares of Common Stock then issuable upon exercise of the Option, and that the broker has been directed to pay a sufficient
portion of the net proceeds of the sale to the Company in satisfaction of the Option exercise price; provided that payment of
such proceeds is then made to the Company at such time as may be required by the Administrator, but in any event not later than
the settlement of such sale; or

 

(d)       Any
other form of legal consideration acceptable to the Administrator.

 

    	 

    	 

    

 

3.5       Tax
Withholding. Notwithstanding any other provision of this Agreement:

 

(a)       The
Company and its Subsidiaries have the authority to deduct or withhold, or require Participant to remit to the Company or the applicable
Subsidiary, an amount sufficient to satisfy any applicable federal, state, local and foreign taxes (including the employee portion
of any FICA obligation) required by law to be withheld with respect to any taxable event arising pursuant to this Agreement. The
Company and its Subsidiaries may withhold or Participant may make such payment in one or more of the forms specified below:

 

(i)       by
cash or check made payable to the Company or the Subsidiary with respect to which the withholding obligation arises;

 

(ii)
       by the deduction of such amount from other compensation payable to Participant;

 

(iii)
       with respect to any withholding taxes arising in connection with the exercise of the
Option, with the consent of the Administrator, by requesting that the Company withhold a net number of shares of Common Stock
issuable upon the exercise of the Option having a then current Fair Market Value not exceeding the amount necessary to satisfy
the withholding obligation of the Company and its Subsidiaries based on the minimum applicable statutory withholding rates for
federal, state, local and foreign income tax and payroll tax purposes;

 

(iv)
       with respect to any withholding taxes arising in connection with the exercise of the
Option, with the consent of the Administrator, by tendering to the Company shares of Common Stock having a then current Fair Market
Value not exceeding the amount necessary to satisfy the withholding obligation of the Company and its Subsidiaries based on the
minimum applicable statutory withholding rates for federal, state, local and foreign income tax and payroll tax purposes;

 

(v)       with
respect to any withholding taxes arising in connection with the exercise of the Option, through the delivery of a notice that
Participant has placed a market sell order with a broker acceptable to the Company with respect to shares of Common Stock then
issuable to Participant pursuant to the Option, and that the broker has been directed to pay a sufficient portion of the net proceeds
of the sale to the Company or the Subsidiary with respect to which the withholding obligation arises in satisfaction of such withholding
taxes; provided that payment of such proceeds is then made to the Company or the applicable Subsidiary at such time as
may be required by the Administrator, but in any event not later than the settlement of such sale; or

 

(vi)       
in any combination of the foregoing.

 

(b)       With
respect to any withholding taxes arising in connection with the Option, in the event Participant fails to provide timely payment
of all sums required pursuant to Section 3.4(a), the Company shall have the right and option, but not the obligation, to
treat such failure as an election by Participant to satisfy all or any portion of Participant’s required payment obligation
pursuant to Section 3.4(a)(ii) or Section 3.4(a)(iii) above, or any combination of the foregoing as the Company
may determine to be appropriate. The Company shall not be obligated to deliver any certificate representing shares of Common Stock
issuable with respect to the exercise of the Option to, or to cause any such shares of Common Stock to be held in book-entry form
by, Participant or his or her legal representative unless and until Participant or his or her legal representative shall have
paid or otherwise satisfied in full the amount of all federal, state, local and foreign taxes applicable with respect to the taxable
income of Participant resulting from the exercise of the Option or any other taxable event related to the Option.

 

    	 

    	 

    

 

(c)
       In the event any tax withholding obligation arising in connection with the Option will
be satisfied under Section 3.4(a)(iii), then the Company may elect to instruct any brokerage firm determined acceptable
to the Company for such purpose to sell on Participant’s behalf a whole number of shares from those shares of Common Stock
then issuable upon the exercise of the Option as the Company determines to be appropriate to generate cash proceeds sufficient
to satisfy the tax withholding obligation and to remit the proceeds of such sale to the Company or the Subsidiary with respect
to which the withholding obligation arises. Participant’s acceptance of this Award constitutes Participant’s instruction
and authorization to the Company and such brokerage firm to complete the transactions described in this Section 3.4(c),
including the transactions described in the previous sentence, as applicable. The Company may refuse to issue any shares of Common
Stock to Participant until the foregoing tax withholding obligations are satisfied, provided that no payment shall be delayed
under this Section 3.4(c) if such delay will result in a violation of Section 409A of the Code.

 

(d)
       Participant is ultimately liable and responsible for all taxes owed in connection with
the Option, regardless of any action the Company or any Subsidiary takes with respect to any tax withholding obligations that
arise in connection with the Option. Neither the Company nor any Subsidiary makes any representation or undertaking regarding
the treatment of any tax withholding in connection with the awarding, vesting or exercise of the Option or the subsequent sale
of Common Stock. The Company and the Subsidiaries do not commit and are under no obligation to structure the Option to reduce
or eliminate Participant’s tax liability.

 

ARTICLE
IV

OTHER PROVISIONS

 

4.1       Notices.
Any notice to be given under the terms of this Agreement to the Company shall be addressed to the Company at its principal executive
offices in care of the Secretary of the Company, and any notice to be given to Participant shall be addressed to Participant at
the most recent address for Participant shown in the Company’s records. By a notice given pursuant to this Section 4.1,
either party may hereafter designate a different address for notices to be given to that party. Any notice which is required to
be given to Participant shall, if Participant is then deceased, be given to the person entitled to exercise his or her Option
by written notice under this Section 4.1. Any notice shall be deemed duly given when sent via email or when sent by certified
mail (return receipt requested) and deposited (with postage prepaid) in a post office or branch post office regularly maintained
by the United States Postal Service.

 

4.2       Titles.
Titles are provided herein for convenience only and are not to serve as a basis for interpretation or construction of this Agreement.

 

4.3       Governing
Law; Severability. This Agreement and the Exercise Notice shall be administered, interpreted and enforced under the laws of
the State of Maryland, without regard to the conflicts of law principles thereof. Should any provision of this Agreement be determined
by a court of law to be illegal or unenforceable, the other provisions shall nevertheless remain effective and shall remain enforceable.

 

4.4       Conformity
to Securities Laws. Participant acknowledges that the Plan is intended to conform to the extent necessary with all provisions
of the Securities Act and the Exchange Act and any and all regulations and rules promulgated by the Securities and Exchange Commission
thereunder, and state securities laws and regulations. Notwithstanding anything herein to the contrary, the Plan shall be administered,
and the Option is granted and may be exercised, only in such a manner as to conform to such laws, rules and regulations. To the
extent permitted by applicable law, the Plan and this Agreement shall be deemed amended to the extent necessary to conform to
such laws, rules and regulations.

 

    	 

    	 

    

 

4.5       Successors
and Assigns. The Company may assign any of its rights under this Agreement and the Exercise Notice to single or multiple assignees,
and this Agreement shall inure to the benefit of the successors and assigns of the Company. Subject to the restrictions on transfer
herein set forth, this Agreement shall be binding upon Participant and his or her heirs, executors, administrators, successors
and assigns.

 

4.6       Entire
Agreement. The Plan and this Agreement (including all Exhibits hereto) constitute the entire agreement of the parties and
supersede in their entirety all prior undertakings and agreements of the Company and Participant with respect to the subject matter
hereof.

 

*
* * * *EXHIBIT
10.2

 

MONMOUTH
REAL ESTATE INVESTMENT CORPORATION

AMENDED AND RESTATED 2007 INCENTIVE AWARD PLAN

 

RESTRICTED
STOCK AWARD AGREEMENT

 

GRANT
NOTICE

 

Monmouth
Real Estate Investment Corporation (the “Company”), pursuant
to its Amended and Restated 2007 Incentive Award Plan, as amended from time to time (the “Plan”),
hereby grants to the participant set forth below (“Participant”),
the number of shares of the Company’s Common Stock (referred to herein as “Shares”)
set forth below. These Shares are subject to all of the terms and conditions
as set forth herein and in the Restricted Stock Award Agreement attached hereto as Exhibit A (the “Restricted
Stock Award Agreement”) and the Plan, each of which is incorporated herein by reference. Unless otherwise
defined herein, the terms defined in the Plan shall have the same defined meanings in this Grant Notice and the Restricted Stock
Award Agreement.

 

	Participant:	 	
	Grant
    Date:	 	
	Total
    Number of Shares of Restricted Stock:	 	 
	Vesting
    Commencement Date:	 	

 

Vesting
Schedule:

 

By
his or her signature and the Company’s signature below, Participant agrees to be bound by the terms and conditions of the
Plan, the Restricted Stock Award Agreement and this Grant Notice. Participant has reviewed the Restricted Stock Award Agreement,
the Plan and this Grant Notice in their entirety, has had an opportunity to obtain the advice of counsel prior to executing this
Grant Notice and fully understands all provisions of this Grant Notice, the Restricted Stock Award Agreement and the Plan. Participant
hereby agrees to accept as binding, conclusive and final all decisions or interpretations of the Administrator of the Plan upon
any questions arising under the Plan or the Restricted Stock Award Agreement.

 

	MONMOUTH REAL ESTATE INVESTMENT CORPORATION: 

	 	PARTICIPANT:
	 	 	 	 	 
	By:		 	By:	
	Name:		 	Name:	
	Title:		 	 	 

 

    	 	 	 

     

    

 

EXHIBIT
A

 

TO
RESTRICTED STOCK AWARD AGREEMENT

 

Pursuant
to the Restricted Stock Award Grant Notice (“Grant Notice”) to
which this Restricted Stock Award Agreement (this “Agreement”) is
attached, Monmouth Real Estate Investment Corporation (the “Company”)
has granted to Participant the right to acquire the number of shares of Restricted Stock under the Company’s Amended
and Restated 2007 Incentive Award Plan, as amended from time to time (the “Plan”)
indicated in the Grant Notice.

 

ARTICLE
I

 

GENERAL

 

1.1
Defined Terms. Capitalized terms not specifically defined herein shall have the meanings specified in the Plan and the
Grant Notice.

 

1.2
Incorporation of Terms of Plan. The Option is subject to the terms and conditions of the Plan which are incorporated herein
by reference. In the event of a conflict between the terms of the Agreement and the Plan, the terms of the Plan shall control.

 

ARTICLE
II

 

GRANT
of restricted stock

 

	 	2.1	Grant
    of Restricted Stock.

 

(a)
Award. In consideration of the Participant’s past and/or continued employment with or service to the Company or a Subsidiary,
and for other good and valuable consideration which the Committee has determined exceeds the aggregate par value of the Shares
subject to the Award (as defined below), as of the Grant Date, the Company issues to the Participant the Award described in this
Agreement (the “Award”) effective as of the Grant Date. The number of Shares subject to the Award is
set forth in the Grant Notice.

 

(b)
Book Entry Form. At the discretion of any officer of the Company, the Shares will be issued in either (i) uncertificated form,
with the Shares recorded in the name of the Participant in the books and records of the Company’s transfer agent with appropriate
notations regarding the restrictions on transfer imposed pursuant to this Agreement; or (ii) certificate form pursuant to the
terms of Sections 2.1(d) and (e) hereof.

 

(c)
Legend. Certificates, if any, representing Shares issued pursuant to this Agreement shall, until all Restrictions (as defined
below) imposed pursuant to this Agreement lapse or shall have been removed and the Shares shall thereby have become vested or
the Shares represented thereby have been forfeited hereunder, bear the following legend (or such other legend as shall be determined
by the Administrator):

 

“THE
SECURITIES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO CERTAIN VESTING REQUIREMENTS AND MAY BE SUBJECT TO FORFEITURE UNDER
THE TERMS OF A RESTRICTED STOCK AWARD AGREEMENT BY AND BETWEEN MONMOUTH REAL ESTATE INVESTMENT CORPORATION AND THE REGISTERED
OWNER OF SUCH SHARES, AND SUCH SHARES MAY NOT BE, DIRECTLY OR INDIRECTLY, OFFERED, TRANSFERRED, SOLD, ASSIGNED, PLEDGED, HYPOTHECATED
OR OTHERWISE DISPOSED OF UNDER ANY CIRCUMSTANCES, EXCEPT PURSUANT TO THE PROVISIONS OF SUCH AGREEMENT.”

 

    	 	 	 

     

    

 

(d)
Escrow. The Company or such other escrow holder as the Administrator may appoint may retain physical custody of the certificates
representing the Shares until all of the Restrictions imposed pursuant to this Agreement lapse or shall have been removed; in
such event the Participant shall not retain physical custody of any certificates representing unvested Shares issued to him. The
Participant, by acceptance of the Award, shall be deemed to appoint, and does so appoint the Company and each of its authorized
representatives as the Participant’s attorney(s)-in-fact to effect any transfer of unvested forfeited Shares (or Shares
otherwise reacquired by the Company hereunder) to the Company as may be required pursuant to the Plan or this Agreement and to
execute such documents as the Company or such representatives deem necessary or advisable in connection with any such transfer.

 

(e)
Delivery of Shares Upon Vesting. As soon as administratively practicable after the vesting of any Share subject to the Award pursuant
to Section 2.2(b), the Company shall, as applicable, either remove the notations on any Shares subject to the Award issued in
book entry form which have vested or deliver the Participant a certificate or certificates evidencing the number of Shares subject
to the Award which have vested (or, in either case, such lesser number of shares as may be permitted pursuant to the Plan). The
Participant (or the beneficiary or personal representative of the Participant in the event of the Participant’s death or
Disability, as the case may be) shall deliver to the Company any representations or other documents or assurances required by
the Company. The Shares so delivered shall no longer be subject to the Restrictions hereunder.

 

	 	2.2	Vesting
    and Lapse of Restrictions.

 

(a)
Forfeiture. Any Award that is not vested as of the date of Participant’s Termination of Service (after taking into account
any accelerated vesting and lapsing of Restrictions which may occur in connection with such Termination of Service, if any) shall
thereupon be forfeited immediately and without any further action by the Company. For purposes of this Agreement, “Restrictions”
shall mean the restrictions on sale or other transfer set forth in Section 3.2 and the exposure to forfeiture set forth
in this Section 2.2(a). Furthermore, any shares of non-vested Restricted Stock shall be automatically forfeited to the Company
if the Board of Directors of the Company determines that the Participant has breached a material obligation to the Company, including
without limitation, material provisions in any employment or confidentiality agreement.

 

(b)
Vesting and Lapse of Restrictions. Subject to Sections 2.2(a), the Award shall vest and Restrictions shall lapse in accordance
with the vesting schedule set forth on the Grant Notice. Notwithstanding anything contained herein, the Award shall not vest and
the Restrictions shall not lapse to the extent that such lapsing of Restrictions and vesting is prohibited by Section 13.6 of
the Plan.

 

    	 	 	 

     

    

 

(c)
Tax Withholding. Notwithstanding any other provision of this Agreement, no Shares shall be delivered to the Participant or his
legal representative unless and until the Participant or his legal representative shall have paid to the Company the full amount
of all federal and state withholding or other taxes applicable to the taxable income of Participant resulting from the grant of
Shares or the lapse or removal of the Restrictions. The Company and its Subsidiaries have the authority to deduct or withhold,
or require Participant to remit to the Company or the applicable Subsidiary, an amount sufficient to satisfy any applicable federal,
state, local and foreign taxes (including the employee portion of any FICA obligation) required by law to be withheld with respect
to any taxable event arising pursuant to this Agreement. The Company and its Subsidiaries may withhold or Participant may make
such payment in one or more of the forms specified below:

 

(i)
by cash or check made payable to the Company or the Subsidiary with respect to which the withholding obligation arises;

 

(ii)
by the deduction of such amount from other compensation payable to Participant;

 

(iii)
with the consent of the Administrator, by requesting that the Company withhold a net number of shares of Common Stock issuable
upon vesting of the Restricted Stock having a then current Fair Market Value not exceeding the amount necessary to satisfy the
withholding obligation of the Company and its Subsidiaries based on the minimum applicable statutory withholding rates for federal,
state, local and foreign income tax and payroll tax purposes;

(iv)
with the consent of the Administrator, by tendering to the Company shares of Common Stock having a then current Fair Market Value
not exceeding the amount necessary to satisfy the withholding obligation of the Company and its Subsidiaries based on the minimum
applicable statutory withholding rates for federal, state, local and foreign income tax and payroll tax purposes;

 

(v)
through the delivery of a notice that Participant has placed a market sell order with a broker acceptable to the Company with
respect to shares of Common Stock then issuable to Participant pursuant to the Award, and that the broker has been directed to
pay a sufficient portion of the net proceeds of the sale to the Company or the Subsidiary in satisfaction of such withholding
taxes; provided that payment of such proceeds is then made to the Company at such time as may be required by the Administrator,
but in any event not later than the settlement of such sale; or

 

(vi)
in any combination of the foregoing.

 

(d)
Participant is ultimately liable and responsible for all taxes owed in connection with the Award, regardless of any action the
Company or any Subsidiary takes with respect to any tax withholding obligations that arise in connection with the Award. Neither
the Company nor any Subsidiary makes any representation or undertaking regarding the treatment of any tax withholding in connection
with the awarding, vesting or exercise of the Option or the subsequent sale of Common Stock. The Company and the Subsidiaries
do not commit and are under no obligation to structure the Option to reduce or eliminate Participant’s tax liability.

 

    	 	 	 

     

    

 

2.3
Rights as Stockholder. So long as the Award granted hereunder remains outstanding, the Participant shall be entitled to
all rights of a stockholder with respect to the Restricted Stock, including the right to vote the Restricted Stock granted
hereunder and to receive any dividends and other distributions payable with respect to such Shares of Restricted Stock
beginning from and after the Grant Date, provided, however, any such dividend or payment shall be reinvested in
additional Shares of Restricted Stock which shall be transferred to the Participant, free of any Restrictions, if and when
the Restrictions with respect to the corresponding Shares of Restricted Stock granted hereunder shall have lapsed.

 

ARTICLE
III

 

OTHER
PROVISIONS

 

3.1
Restricted Stock Not Transferable. No Shares or any interest or right therein or part thereof shall be liable for the debts,
contracts or engagements of the Participant or his successors in interest or shall be subject to disposition by transfer, alienation,
anticipation, pledge, encumbrance, assignment or any other means whether such disposition be voluntary or involuntary or by operation
of law by judgment, levy, attachment, garnishment or any other legal or equitable proceedings (including bankruptcy), and any
attempted disposition thereof shall be null and void and of no effect; provided, however, that this Section 3.1 notwithstanding,
with the consent of the Administrator, the Shares may be transferred to certain persons or entities related to Participant, including
but not limited to members of Participant’s family, charitable institutions or trusts or other entities whose beneficiaries
or beneficial owners are members of Participant’s family or to such other persons or entities as may be expressly approved
by the Administrator, pursuant to any such conditions and procedures the Administrator may require.

 

3.2
Restrictive Legends and Stop-Transfer Orders.

 

(a)
Participant agrees that, in order to ensure compliance with the Restrictions and the other restrictions referred to herein, the
Company may issue appropriate “stop transfer” instructions to its transfer agent, if any, and that, if the Company
transfers its own securities, it may make appropriate notations to the same effect in its own records.

 

(b)
The Company shall not be required: (i) to transfer on its books any Shares that have been sold or otherwise transferred in violation
of any of the provisions of this Agreement, or (ii) to treat as owner of such Shares or to accord the right to vote or pay dividends
to any purchaser or other transferee

 

(c)
to whom such shares shall have been so transferred.

 

3.3
Notices. Any notice to be given under the terms of this Agreement to the Company shall be addressed to the Company at its
principal executive offices in care of the Secretary of the Company, and any notice to be given to Participant shall be addressed
to Participant at the most recent address for Participant shown in the Company’s records. By a notice given pursuant to
this Section 4.2, either party may hereafter designate a different address for notices to be given to that party. Any notice which
is required to be given to Participant shall, if Participant is then deceased, be given to the person entitled to exercise his
or her Option by written notice under this Section 4.2. Any notice shall be deemed duly given when sent via email or when sent
by certified mail (return receipt requested) and deposited (with postage prepaid) in a post office or branch post office regularly
maintained by the United States Postal Service.

 

    	 	 	 

     

    

 

3.4
Titles. Titles are provided herein for convenience only and are not to serve as a basis for interpretation or construction
of this Agreement.

 

3.5
Governing Law; Severability. This Agreement and the Exercise Notice shall be administered, interpreted and enforced under
the laws of the State of Maryland, without regard to the conflicts of law principles thereof. Should any provision of this Agreement
be determined by a court of law to be illegal or unenforceable, the other provisions shall nevertheless remain effective and shall
remain enforceable.

 

3.6
Conformity to Securities Laws. Participant acknowledges that the Plan is intended to conform to the extent necessary with
all provisions of the Securities Act and the Exchange Act and any and all regulations and rules promulgated by the Securities
and Exchange Commission thereunder, and state securities laws and regulations. Notwithstanding anything herein to the contrary,
the Plan shall be administered, and the Option is granted and may be exercised, only in such a manner as to conform to such laws,
rules and regulations. To the extent permitted by applicable law, the Plan and this Agreement shall be deemed amended to the extent
necessary to conform to such laws, rules and regulations.

 

3.7
Limitations Applicable to Section 16 Persons. Notwithstanding any other provision of the Plan or this Agreement, if the
Participant is subject to Section 16 of the Exchange Act, the Plan, the Award and this Agreement shall be subject to any additional
limitations set forth in any applicable exemptive rule under Section 16 of the Exchange Act (including any amendment to Rule 16b-3
of the Exchange Act) that are requirements for the application of such exemptive rule. To the extent permitted by applicable law,
this Agreement shall be deemed amended to the extent necessary to conform to such applicable exemptive rule.

 

3.8
Successors and Assigns. The Company may assign any of its rights under this Agreement and the Exercise Notice to single
or multiple assignees, and this Agreement shall inure to the benefit of the successors and assigns of the Company. Subject to
the restrictions on transfer herein set forth, this Agreement shall be binding upon Participant and his or her heirs, executors,
administrators, successors and assigns.

 

3.9
Entire Agreement. The Plan and this Agreement constitute the entire agreement of the parties and supersede in their entirety
all prior undertakings and agreements of the Company and Participant with respect to the subject matter hereof.

 

*
* * * *

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