Document:

EX-10.7

 Exhibit 10.7 

CHANGE IN CONTROL 

SEVERANCE AGREEMENT 
 This
CHANGE IN CONTROL SEVERANCE AGREEMENT is dated as of October 5, 2020, by and between TREACE MEDICAL CONCEPTS, INC., a Delaware corporation (the “Company”), and Jaime A. Frias (the “Executive”). 

PURPOSE 
 In order to
induce the Executive to remain in the employment of the Company and its Affiliates in the event of a potential Change in Control (as defined below), the Company desires to enter into this Change in Control Severance Agreement (the
“Agreement”) to provide the Executive with certain benefits if the Executive’s employment is terminated in connection with or following the occurrence of a Change in Control. 

NOW, THEREFORE, in consideration of the respective agreements of the parties contained herein, it is agreed as follows: 

SECTION 1. Definitions 

For purposes of this Agreement, the following terms have the meanings set forth below: 

“Affiliate” means, with respect to any individual or entity, any other individual or entity who, directly or indirectly
through one or more intermediaries, controls, is controlled by or is under common control with, such individual or entity. 

“Annual Base Salary” means the Executive’s annual base salary in effect immediately before his or her Severance. 

“Annual Target Bonus Opportunity” means the amount of the annual cash incentive payable to an Executive under a Company or
Affiliate annual incentive plan with respect to a given fiscal year of the Company or Affiliate, as applicable, assuming that the target level of performance under the plan was achieved. 

“Board” means the Board of Directors of the Company. 

“Cause” shall mean: 

(a) the Executive’s willful and continued failure to attempt in good faith (other than as a result of incapacity due to
mental or physical impairment) to substantially perform the duties of his or her position, and such failure is not remedied within 30 days after receipt of written notice from the Board or the Chief Executive Officer specifying such failure; 

(b) the Executive’s failure to attempt in good faith to carry out, or comply with, in any material respect any lawful and
reasonable directive of the Board or the Chief Executive Officer consistent with the duties of his or her position, which is not remedied within 30 days after receipt of written notice from the Board or the Chief Executive Officer specifying such
failure; 

 (c) a material breach by the Executive of the Company’s code of ethics,
which is not remedied within 30 days after receipt of written notice from the Board or the Chief Executive Officer specifying such failure; 

(d) the Executive’s conviction, plea of no contest or plea of nolo contendere, or imposition of unadjudicated
probation for any felony (other than a traffic violation or arising purely as a result of the Executive’s position with the Company or an Affiliate and not in connection with any act or omission of the Executive); 

(e) the Executive’s knowing unlawful use (including being under the influence) or possession of illegal drugs; or 

(f) the Executive’s commission of a material bad faith act of fraud, embezzlement, misappropriation, willful misconduct,
gross negligence, or breach of fiduciary duty, in each case against the Company or any Affiliate. 
 For the purposes of this definition, no
act (or omission) that is (i) taken in good faith and (ii) not adverse to the best interests of the Company or its Affiliates shall be considered to be willful. 

“Change in Control” shall have the same meaning as assigned to that term in the Company’s 2014 Stock Plan (or any
successor to or replacement of such plan). 
 “Code” means the Internal Revenue Code of 1986, as amended. 

“Disability” means a disability within the meaning of Code section 409A(a)(2)(C) and U.S. Treasury Regulations section 1.409A-3(i)(4) (or any successor provision). 
 “Effective Date” shall mean the date
first set forth above. 
 “Good Reason” means the occurrence of any of the following events, unless the
Executive otherwise consents in writing to such event: 
 (a) a material reduction in the Executive’s Annual Base Salary
(other than a reduction of less than ten percent (10%) that is applicable to all employees generally); 
 (b) a material
reduction in the Executive’s Annual Target Bonus Opportunity as compared to his or her Annual Target Bonus Opportunity for the fiscal year of the Company in which the Change in Control occurred; 

  
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 (c) requiring the Executive to relocate his or her principal place of
employment to a location more than fifty (50) miles from the Executive’s current principal place of employment; or 

(d) the failure or refusal by a successor or acquiring company, upon the consummation of a Change in Control, to
(i) assume the obligations of the Company under this Agreement or (ii) assume obligations to Executive that are substantially equivalent to or more favorable than the obligations under this Agreement. 

The Executive shall provide the Company with a written notice of resignation within ninety (90) days following the occurrence of the event constituting
Good Reason and the Company (or its Affiliate, if applicable) shall have a period of thirty (30) days following its receipt of such notice in which to cure such event without such event constituting Good Reason. If the Company (or its
Affiliate, if applicable) does not cure the condition or conditions by the end of such thirty (30) day period, the Executive may voluntarily terminate employment within thirty (30) days after the last day of the thirty (30) day cure
period. The Executive’s voluntary termination of employment other than in accordance with the requirements of this definition shall not constitute termination for Good Reason. 

“Release” means a general release of claims against the Company and the other persons specified therein in the form attached
hereto as Exhibit A, or in such other form as is required to comply with applicable law. 
 “Severance” means
(a) the involuntary termination of the Executive’s employment by the Company or any Affiliate thereof, other than for Cause, death or Disability or (b) a termination of the Executive’s employment with the Company and its
Affiliates by the Executive for Good Reason, in each case, in connection with a Change in Control or within an eighteen (18) month period following the occurrence of a Change in Control. 

“Severance Date” means the date on which the Executive incurs a Severance. 

“Severance Period” means the period following the Executive’s Severance pursuant to which the Company owes payments
and/or benefits to the Executive pursuant to this Agreement. 
 “Treasury Regulations” means the final, temporary or
proposed regulations issued by the Treasury Department and/or Internal Revenue Service as modified in Title 26 of The United States Code of Federal Regulations. Any references made in this Agreement to specific Treasury Regulations shall also refer
to any successor or replacement regulations thereto. 
 SECTION 2. Term of Agreement. The term of this Agreement (the
“Term”) will commence on the Effective Date, and will continue until (a) in the event the Executive’s employment is terminated for any reason other than the Executive’s Severance, the date of such termination of
employment, or (b) in the event the Executive incurs a Severance, the date on which the Company has fulfilled all obligations owed to the Executive pursuant to this Agreement. 

  
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 SECTION 3. Severance Benefits 

3.1 Generally. Subject to Sections 3.6, 5 and 7.2 of this Agreement, the Executive shall be entitled to the severance payments and
benefits described below. 
 3.2 Payment of Accrued Obligations. The Company shall pay to the Executive upon the Executive’s
Severance a lump sum payment in cash, paid in accordance with applicable law, as soon as practicable but no later than ten (10) days after the Severance Date, equal to the sum of (a) the Executive’s accrued annual base salary and any
accrued vacation pay through the Severance Date, and (b) any annual bonus earned by the Executive but not yet paid as of the Severance Date. 

3.3 Severance Payments. Subject to Section 3.6, upon the Executive’s Severance the Executive shall be entitled to receive an
amount equal to the sum of (a) the Executive’s Annual Base Salary, plus (b) the Executive’s Annual Target Bonus Opportunity for the Company’s (or its Affiliate’s, if applicable) fiscal year in which the Severance Date
occurs, payable in cash in installments over the 12-month period immediately following the Executive’s Severance Date. The Severance Payments shall be paid according to the Company’s normal payroll
practices in effect prior to the Severance, with the first installment commencing on the next regularly-scheduled payroll date that is at least sixty-one (61) days following the Severance Date and such
first installment shall include any amounts that would have been paid during the period from the Executive’s Severance Date through the date of such first installment, absent the delay described herein. 

3.4 Outplacement Services. Subject to Section 3.6, in addition to the benefits provided in Sections 3.3 and 3.5, the Executive
shall be entitled to receive outplacement services of up to $10,000 for the period ending on the first anniversary of the Executive’s Severance Date. 

3.5 Welfare Benefits. Subject to Section 3.6 and upon the Executive incurring a Severance, the Executive shall also be entitled to
receive the benefits described in Section 3.5(a) or (b) below, plus the benefits described in Section 3.5(c). 

(a) The Company shall directly pay Executive’s total COBRA premiums for eighteen (18) months of COBRA continuation
coverage under the Company’s health benefit plan (i.e., medical, dental and vision coverage). To the extent permitted by applicable law, Executive shall have the right to change Executive’s coverage elections under the Company’s
health benefit plan during the COBRA continuation period and any such change in elections shall not reduce or eliminate the Company’s obligation to pay applicable premiums. 

(b) Notwithstanding Section 3.5(a), in the event that the direct COBRA payment arrangement described in
Section 3.5(a) would result in adverse 

  
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tax consequences for the Executive under Code Section 105(h) (or similar law), the Company shall pay to the Executive upon the Executive’s Severance an amount equal to one hundred and
twenty five percent (125%) of the total premiums the Executive would be required to pay for eighteen (18) months of COBRA continuation coverage under the Company’s health benefit plan, determined using the COBRA premium rate in effect for
the level of coverage that the Executive has in place immediately prior to the Severance Date (the “COBRA Payment”). The Company shall pay the COBRA Payment in cash in a single lump sum on the date that is sixty-one (61) days following the Severance Date. In the event that the Company makes a payment pursuant to this Section 3.5(b), the Executive shall not be required to purchase COBRA continuation coverage
in order to receive the COBRA Payment nor shall the Executive be required to apply the COBRA Payment to payment of applicable premiums for COBRA continuation coverage. 

(c) In addition, during the COBRA continuation coverage period the Company shall permit the Executive (and his or her eligible
dependents) to participate in any optional life insurance and optional personal accident plans of the Company for which senior executives of the Company are eligible, to the same extent and at the same premium rates as if the Executive had continued
to be an employee of the Company during such period. 
 (d) The coverage period for purposes of COBRA continuation
requirements of Section 4980B of the Code shall commence on the day immediately following the Severance Date. 
 3.6 Release and
Restrictive Covenant Agreement. The Executive shall be eligible to receive the payments and other benefits under this Agreement (other than payments under Section 3.2) only if after the Severance Date (a) the Executive first executes
the Release in favor of the Company and others attached hereto as Exhibit A and the Release has not been revoked by the Executive, by the sixtieth (60th) day following the Severance Date, and (b) the Executive provides the Company
written attestation that the Confidentiality, Non-Competition, Non-Solicitation and Inventions Agreement attached hereto as Exhibit B (the “Restrictive
Covenants Agreement”) is in effect and enforceable. If the Executive does not execute and return the Release and attestation such that either or both agreements do not become effective (or, in the case of the Release, is revoked) within the
60-day period immediately following the Severance Date, the Executive shall not be entitled to any payments or benefits under this Agreement (other than payments under Section 3.2). 

3.7 Forfeiture. If the Executive is found in a judgment no longer subject to review or appeal to have breached the obligations set
forth in the Restrictive Covenants Agreement, then the Executive shall immediately forfeit any amounts payable or benefits to be received and shall promptly reimburse the Company any amounts actually paid to the Executive pursuant to this Agreement
(other than payments made pursuant to Section 3.2). 

  
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 3.8 No Duplication of Benefits. Except as otherwise noted herein, during the Term of
this Agreement the compensation to be paid to the Executive hereunder will be in lieu of any similar severance or termination compensation (compensation based directly on the Executive’s annual salary or annual salary and bonus) to which the
Executive may be entitled under any other Company or Affiliate severance or termination agreement, plan, program, policy, practice or arrangement (collectively, “Severance Plans”). The Executive affirmatively waives any rights he
may have to payments or benefits provided under the Severance Plans to the extent the Executive receives similar payments or benefits under this Agreement. The Executive’s entitlement to any compensation or benefits of a type not provided in
this Agreement will be determined in accordance with the Company’s or its Affiliates’ employee benefit plans and other applicable programs, policies and practices as in effect from time to time. 

3.9 No Mitigation or Offset. In the event of any termination of the Executive’s employment, the Executive shall not be
required to seek other employment to mitigate damages, and any income earned by the Executive from other employment or self-employment shall not be offset against any obligations of the Company and its Affiliates to Executive under this Agreement.

 SECTION 4. Golden Parachute Tax. It is the intention of the Company and the Executive that the Executive receive the full
benefits available under this Agreement and any other agreement, plan, program, policy or similar arrangement providing for compensation or benefits in the event of a Change in Control. If a Change of Control occurs and a determination is made by
legislation, regulation, ruling directed to the Executive or the Company, or court decision that the aggregate amount of any payment made to the Executive hereunder, or pursuant to any plan, program, policy or similar arrangement of the Company (or
any subsidiary or affiliate or successor thereto) in connection with, on account of, or as a result of, such Change in Control constitutes “excess parachute payments” as defined in Code Section 280G (as well as any successor or
similar sections thereof), subject to the excise tax provisions of Code Section 4999 (as well as any successor or similar sections thereof), the Executive shall be entitled to receive from the Company, in addition to any other amounts payable
hereunder, a lump sum payment equal to 100% of such excise tax, plus an amount equal to the federal and state income tax, FICA, and Medicare taxes (based upon Executive’s projected marginal income tax rates) on such lump sum payment. The
amounts under this Section 4 shall be paid to Executive as soon as may be practicable after such final determination is made and in all events shall be made no later than the end of the Executive’s taxable year next following his taxable
year in which he remitted the related taxes. The Executive and the Company shall mutually and reasonably determine whether or not such determination has occurred or whether any appeal to such determination should be made. 

SECTION 5. Death During the Severance Period. If the Executive dies during the Severance Period, any unpaid amounts shall be paid to
the Executive’s estate within ten (10) days following the Executive’s death. The Executive’s right to outplacement services described in Section 3.4(b) and continued participation in the life insurance and accident plans
described in Section 3.5 shall terminate as of the date of the Executive’s death.

  
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 SECTION 6. Amendments; Waiver. This Agreement contains the entire
agreement of the parties with respect to severance payments and benefits payable in connection with a Severance. No amendment or modification of this Agreement shall be valid unless evidenced by a written instrument executed by the parties hereto.
No waiver by either party of any breach by the other party of any provision or condition of this Agreement shall be deemed a waiver of any similar or dissimilar provision or condition at the same or any prior or subsequent time. 

SECTION 7. General Provisions. 

7.1 Except as otherwise provided herein or by law, no right or interest of the Executive under this Agreement shall be assignable or
transferable, in whole or in part, either directly or by operation of law or otherwise, including without limitation by execution, levy, garnishment, attachment, pledge or in any manner; no attempted assignment or transfer thereof shall be
effective; and no right or interest of the Executive under this Agreement shall be liable for, or subject to, any obligation or liability of such Executive. When a payment is due under this Agreement to the Executive and the Executive is unable to
care for his or her affairs, payment may be made directly to his or her guardian or personal representative. 
 7.2 If the Company or any
Affiliate thereof is obligated by law or by contract to pay severance pay, a termination indemnity, notice pay, or the like, or if the Company or any Affiliate thereof is obligated by law or by contract to provide advance notice of separation
(“Notice Period”), then any severance pay under this Agreement shall be reduced by the amount of any such severance pay, termination indemnity, notice pay or the like, as applicable, and by the amount of any compensation received
during any Notice Period. If the Executive is entitled to benefits under the Workers Adjustment Retraining Notification Act of 1988, or any similar state or local statute or ordinance (collectively the “WARN Act”), severance pay
under this Agreement shall be reduced dollar-for-dollar by any benefits received pursuant to the WARN Act. 

7.3 Neither this Agreement, nor any modification thereof, nor the creation of any fund, trust or account, nor the payment of any benefits
shall be construed as giving the Executive, or any person whomsoever, the right to be retained in the service of the Company or any Affiliate thereof, and the Executive shall remain subject to discharge to the same extent as if this Agreement had
never existed. 
 7.4 If any provision of this Agreement shall be held invalid or unenforceable, such invalidity or unenforceability shall
not affect any other provisions hereof, and this Agreement shall be construed and enforced as if such provisions had not been included. 

7.5 This Agreement shall inure to the benefit of and be binding upon the heirs, executors, administrators, successors and assigns of the
parties, including the Executive, present and future, and any successor to the Company. 
 7.6 The headings and captions herein are provided
for reference and convenience only, shall not be considered part of this Agreement, and shall not be employed in the construction of this Agreement. 

  
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 7.7 The Agreement shall not be required to be funded unless such funding is authorized by
the Board. Regardless of whether the Agreement is funded, the Executive shall not have any right to, or interest in, any assets of any Company which may be applied by the Company to the payment of benefits or other rights under this Agreement. For
purposes of clarity, nothing in this Section 7.7 shall be construed to relieve the Company or its Affiliates from their obligations to the Executive pursuant to this Agreement. 

7.8 All notices and other communications given or made pursuant to this Agreement shall be in writing and shall be deemed effectively given:
(a) upon personal delivery to the party to be notified, (b) when sent by confirmed electronic mail or facsimile if sent during normal business hours of the recipient, and if not so confirmed, then on the next business day, (c) five
(5) days after having been sent by registered or certified mail, return receipt requested, postage prepaid, or (d) one day after deposit with a nationally recognized overnight courier, specifying next-day
delivery, with written verification of receipt. All communications shall be sent: 
 (i) To the Executive, at: 

Last address in records of the Company 

(ii) To the Company, at: 
 Treace
Medical Concepts, Inc. 
 203 Fort Wade Rd., Suite 150 

Ponte Vedra, FL 32081 
 Attention:
General Counsel 
 7.9 This Agreement shall be governed, construed, interpreted and enforced in accordance with the substantive laws of the
State of Florida, without reference to principles of conflicts or choice of law under which the law of any other jurisdiction would apply. 

7.10 The Company may withhold from any payments due to the Executive hereunder such amounts as are required to be withheld under applicable
federal, state and local tax laws. 
 SECTION 8. Entire Agreement. This Agreement constitutes the entire agreement between the
parties hereto and supersedes all prior agreements, if any, understandings and arrangements, oral or written, between the parties hereto with respect to severance protection in connection with a Change in Control. 

SECTION 9. Disputes.  

9.1 Except as provided in the Restrictive Covenants Agreement, any dispute or controversy arising under, out of, in connection with or in
relation to this Agreement shall, at the election and upon written demand of any party to this Agreement, be finally determined and settled by arbitration in Jacksonville, Florida in accordance with the rules and procedures of the American
Arbitration Association, and judgment upon the award may be entered in any court having jurisdiction thereof. 

  
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 9.2 If, with respect to any alleged failure by the Company or its Affiliates to comply with
any of the terms of this Agreement, the Executive hires legal counsel with respect to this Agreement or institutes any negotiations or institutes or responds to legal action to assert or defend the validity of, enforce his rights under, or recover
damages for breach of this Agreement, and thereafter the Company or its Affiliates are found in a judgment no longer subject to review or appeal to have breached this Agreement in any material respect, then the Company or its Affiliates (but not
both) shall reimburse the Executive for his actual expenses for attorneys’ fees and disbursements within thirty (30) days following receipt of any invoice for such expenses. 

SECTION 10. Section 409A of the Code. 

10.1 It is intended that this Agreement shall comply with or be exempt from the provisions of Section 409A of the Code and the Treasury
Regulations relating thereto, so as not to subject the Executive to the payment of additional taxes and interest under Section 409A of the Code. This Agreement shall be interpreted, operated, and administered in a manner consistent with and in
furtherance of this intent. 
 10.2 Any payment required under this Agreement that is payable in installment payments shall be deemed to be
a separate payment for purposes of Section 409A of the Code and the Treasury Regulations thereunder. 
 10.3 Notwithstanding any
provision to the contrary in this Agreement, no payment or distribution under this Agreement which constitutes an item of deferred compensation under Section 409A of the Code and becomes payable by reason of the Executive’s termination of
employment with the Company or its Affiliates or an Executive’s resignation for Good Reason will be made unless the Executive’s termination of employment or resignation (as applicable) constitutes a “separation from service” (as
such term is defined in Treasury Regulations issued under Section 409A of the Code). In addition and solely to the extent required by Code Section 409A, no such payment or distribution will be made to the Executive prior to the earlier of
(a) the expiration of the six (6)-month period measured from the date of the Executive’s “separation from service” (as such term is defined in Treasury Regulations issued under Section 409A of the Code) or (b) the date
of the Executive’s death, if the Executive is deemed at the time of such separation from service to be a “specified employee” within the meaning of that term under Section 409A(a)(2) of the Code and to the extent such delayed
commencement is otherwise required in order to avoid a prohibited distribution under Section 409A(a)(2) of the Code. All payments and benefits which had been delayed pursuant to the immediately preceding sentence shall be paid (without
interest) to the Executive in a lump sum upon expiration of such six-month period (or if earlier upon the Executive’s death). 

[SIGNATURE PAGE FOLLOWS] 

  
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 IN WITNESS WHEREOF, the parties have executed and delivered this Agreement as of the date
first above written. 
  

	
	TREACE MEDICAL CONCEPTS, INC.
	
	                /s/ John T. Treace
	 John T. Treace
 Chief Executive
Officer

	
	EXECUTIVE
	
	                /s/ Jaime A. Frias
	Jaime A. Frias

  
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 EXHIBIT A 

RELEASE AGREEMENT 
 (To be
signed after the Severance Date) 
 In return for payment of severance benefits pursuant to the Change in Control Severance Agreement
between Treace Medical Concepts, Inc., and me (the “CIC Severance Agreement”), I hereby generally and completely release Treace Medical Concepts, Inc. (“Treace”), its parent and subsidiary entities (collectively the
“Company”), and its or their directors, officers, employees, shareholders, partners, agents, attorneys, predecessors, successors, insurers, affiliates, and assigns (collectively “Released Parties”), from any and all
claims, liabilities and obligations, both known and unknown, that arise out of or are in any way related to events, acts, conduct, or omissions occurring prior to my signing this Release Agreement (the “Agreement”). This general
release includes, but is not limited to: (1) all claims arising out of or in any way related to my employment with the Company or the termination of that employment; (2) all claims related to my compensation or benefits from the Company,
including wages, salary, bonuses, commissions, vacation pay, expense reimbursements (to the extent permitted by applicable law), severance pay, fringe benefits, stock, stock options, or any other ownership interests in the Company; (3) all
claims for breach of contract, wrongful termination, and breach of the implied covenant of good faith and fair dealing; (4) all tort claims, including without limitation claims for fraud, defamation, emotional distress, and discharge in
violation of public policy; and (5) all federal, state, and local statutory claims, including without limitation claims for discrimination, harassment, retaliation, attorneys’ fees, or other claims arising under the federal Civil Rights
Act of 1964 (as amended), the federal Americans with Disabilities Act of 1990, the federal Age Discrimination in Employment Act of 1967 (as amended) (“ADEA”), the federal Worker Adjustment and Retraining Notification Act (as
amended) and similar laws in other jurisdictions, the Employee Retirement Income Security Act of 1974 (as amended), the Family and Medical Leave Act of 1993, and any similar laws in other jurisdictions; provided, however, that this Release does not
waive, release or otherwise discharge any claim or cause of action arising after the date I sign this Agreement. 
 This Agreement includes
a release of claims of discrimination or retaliation on the basis of workers’ compensation status, but does not include workers’ compensation claims. Excluded from this Agreement are any claims which by law cannot be waived in a private
agreement between employer and employee, including but not limited to the right to file a charge with or participate in an investigation conducted by the Equal Employment Opportunity Commission (“EEOC”) or any state or local fair
employment practices agency. I waive, however, any right to any monetary recovery or other relief should the EEOC or any other agency pursue a claim on my behalf. 

I acknowledge and represent that I have not suffered any age or other discrimination, harassment, retaliation, or wrongful treatment by any
Released Party. I also acknowledge and represent that I have not been denied any rights including, but not limited to, rights to a leave or reinstatement from a leave under the Family and Medical Leave Act of 1993, the Uniformed Services Employment
and Reemployment Rights Act of 1994, or any similar law of any jurisdiction. 

  
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 I agree that I am voluntarily executing this Agreement. I acknowledge that I am knowingly
and voluntarily waiving and releasing any rights I may have under the ADEA, as amended by the Older Workers Benefit Protection Act of 1990, and that the consideration given for this Release is in addition to anything of value to which I was already
entitled. I further acknowledge that I have been advised by this writing, as required by the ADEA, that: (a) my waiver and release specified in this paragraph does not apply to any rights or claims that may arise after the date I sign this
Agreement; (b) I have been advised to consult with an attorney prior to signing this Agreement; (c) if a “Severance” (as defined in the CIC Severance Agreement) involves an employment termination program, I have received a
disclosure from the Company that includes a description of the class, unit or group of individuals covered by the program, the eligibility factors for such program, and any time limits applicable to such program and a list of job titles and ages of
all employees selected for this group termination and ages of those individuals in the same job classification or organizational unit who were not selected for termination; (d) I have at least twenty-one
(21) or forty-five (45) days, depending on the circumstances of my Severance, from the date that I receive this Release (although I may choose to sign it any time on or after my Severance Date (as defined in the CIC Severance Agreement))
to consider the release; (e) I have seven (7) calendar days after I sign this Release to revoke it (“Revocation Period”) by sending my revocation to the Human Resources Manager in writing at 203 Fort Wade Rd., Suite 150,
Ponte Vedra, FL 32081; and (f) this Agreement will not be effective until I have signed it and returned it to the Company’s Corporate Secretary and the Revocation Period has expired. 

I UNDERSTAND THAT THIS AGREEMENT INCLUDES A RELEASE OF ALL KNOWN AND UNKNOWN CLAIMS. 

 

					
	  
	  	  

	JAIME A. FRIAS	  	Date

  
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 EXHIBIT B 

RESTRICTIVE COVENANTS AGREEMENT 
 See
attached Employee Confidentiality, Nonsolicitation and Noncompete Agreement between Executive and the Company dated July 17, 2017. 

  
 13EX-10.8

 Exhibit 10.8 

SEPARATION AGREEMENT AND GENERAL RELEASE 

This SEPARATION AGREEMENT AND GENERAL RELEASE (collectively with its Exhibits, this “Agreement”) is made between ROBERT P. JORDHEIM
(“Employee”) and TREACE MEDICAL CONCEPTS, INC., and its affiliates, subsidiaries, parent, predecessors, successors and assigns (collectively and individually, “Company”). 

A.    REASONS FOR AGREEMENT 

1.    Employee is being separated from employment with the Company as of July 31, 2020 (the “Separation
Date”). 
 2.    For the consideration from Employee specified below, Company has agreed to provide Employee with
certain benefits which Employee would not otherwise be entitled to receive. Employee acknowledges and agrees that this Agreement is supported by good and valuable consideration. 

B.    AGREEMENT 
 For
and in consideration of the mutual promises and commitments specified herein, the parties agree as follows: 

1.    Special Severance Package. In consideration of and subject to Employee’s execution and compliance with
this Agreement, including its Exhibits, the Company agrees to provide Employee a “Special Severance Package,” consisting of (1) a payment of $279,822.56 (which is equivalent to 12 months of base salary and 2020 bonus at target pro-rated for Employee’s 7 months of 2020 employment) and (2) COBRA premiums for twelve (12) months of COBRA continuation coverage under the Company’s health benefit plan per Employee’s
elections in effect at the Separation Date, paid by Company directly to the insurer. All amounts payable under this Agreement will be subject to applicable withholdings under applicable federal, state and local tax laws. The payments are subject to
being taxed at the supplemental tax rate. Company agrees to pay the sum set forth in clause (1) above in a lump sum promptly after expiration of the seven-day revocation period referenced in
Section 4. 
 2.    Accrued Benefits / No Other Payments. Signing this Agreement will not affect the
following (the “Accrued Benefits”): (a) the payment of Employee’s base pay for the period of time since Company’s last payroll date through the Separation Date along with any earned but unused vacation and/or paid time off days;
(b) any vested rights Employee may have under any Company-sponsored retirement plan, if any; (c) Employee’s ability to exercise any post-separation conversion rights provided under Company’s insurance and benefits plans, if any,
subject to the provisions of Section 8 below; or (d) any general rights to continue certain health and welfare benefits in accordance with COBRA, if applicable, and in each case, subject to applicable withholdings. Employee acknowledges
and agrees that Employee has been fully and properly paid by Company for Employee’s work to date, and Employee affirms that Employee has no work-related injuries or occupational diseases. Employee also acknowledges and agrees that, except for
the Accrued Benefits and the Special Severance Package, Employee is not entitled to and waives the right to seek any additional payments, benefits or consideration from Company or the parties released below. The Special Severance Package shall be in
complete satisfaction of any rights or claims related to Employee’s employment with or separation from Company. 

 3.    General Release. In consideration for the Special Severance
Package, and except as prohibited by law, Employee agrees, for Employee and Employee’s heirs, representatives, successors and assigns, that Employee has been finally and permanently separated from employment with Company as of the Separation
Date, and that Employee waives, releases and forever discharges the Company, its attorneys, directors, officers, employees, benefit plans, insurers, successors and agents (the “Releasees”), from any and all claims, known or unknown, that
Employee has or may have relating to or arising out of any facts, omissions, contracts, events or actions existing or occurring on or before the Release Date (as defined below) , including but not limited to claims related to Employee’s
employment with the Company or the termination thereof, any claims of wrongful discharge, breach of express or implied contract, breach of the implied covenant of good faith and fair dealing, fraud, misrepresentation, defamation, liability in tort
(including without limitation claims for emotional distress), discrimination, harassment, retaliation, violation of public policy, negligence, personal injury, invasion of privacy, or promissory estoppel, any claims under Title VII of the Civil
Rights Act of 1964, the Civil Rights Act of 1991, the Americans with Disabilities Act, the Age Discrimination in Employment Act (ADEA), the Employee Retirement Income Security Act, the Family and Medical Leave Act, the Worker Adjustment and
Retraining Notification Act, the Fair Credit Reporting Act, the Occupational Safety and Health Act, the Florida Civil Rights Act, and any other whistleblower statutes, or any other federal, state or local law including such laws relating to
employment, wages, employee benefits or the termination of employment and any claims related to misuse of devices, software or proprietary information, breach of confidentiality obligations, improper controls, product design or manufacturing issues,
improper use or sale of unapproved products, or infringement of intellectual property rights. The claims released by Employee in this Agreement, including but not limited to those released in this Section 3 and Section 4, are collectively
referred to as the “Released Claims”. Employee further represents that Employee is not aware of any facts giving rise to claims against the Company under the Fair Labor Standards Act, any analogous state law, or any other law. For the
avoidance of doubt, Employee is not waiving the right to receive the Accrued Benefits (except as expressly set forth in Section 8 below) and any rights to indemnification under the Company’s Certificate of Incorporation or Bylaws or his
Indemnification Agreement with the Company dated November 13, 2017. This release excludes any claims or rights that cannot be waived or released by law. The “Release Date” means the last to occur of the following: (i) the
Separation Date or (ii) the date that Employee signs this Agreement. 
 4.    Release of Age Discrimination
Claims; Periods for Review and Reconsideration. Employee understands and agrees that this document includes a release of claims arising under the Age Discrimination in Employment Act (ADEA), and does not waive rights or claims that may arise
after the Release Date. Employee understands Employee has been given a period of at least twenty-one (21) days to review and consider this Agreement and Employee may use as much or all of this 21-day period as Employee wishes before signing, and that Employee has done so. Employee understands that Employee is hereby advised to consult with an attorney prior to executing the Agreement. By signature below,
Employee warrants that Employee has had the opportunity to do so and to be fully and fairly advised by that legal counsel as to the terms of the Agreement. Employee understands that Employee has seven (7) days after the Release Date to revoke
it by notice in writing delivered to the Company. This Agreement shall be binding, effective, and enforceable upon the expiration of this seven-day revocation period without such revocation being received, but
not before such time. Employee understands and 

  
 2 

 
agrees that Special Severance Package contingent upon the execution of this Agreement will not be made prior to the expiration of this seven-day revocation
period. Payment of Special Severance Package is conditioned on the execution of this Agreement, and will be made within fourteen (14) days following (i) the expiration of the seven-day revocation
period, or (ii) the Separation Date, whichever is later. 
 5.    Release of Unknown Claims. Employee
acknowledges that the Released Claims include claims that Employee does not know or suspect to exist in his favor on the Release Date. Employee, for himself and his heirs, representatives, successors and assigns, hereby expressly waives any and all
provisions, rights and benefits conferred under any law of the United States or any state or territory of the United States, or principle of common law, that protects Employee from releasing any claims that Employee does not know or suspect to exist
in his favor on the Release Date, which if known by Employee might have materially affected Employee’s determination to enter into this Agreement or to not revoke this Agreement within the permitted period. The Released Claims shall be deemed
to be fully, finally and forever settled and released as of the Release Date, without regard to the subsequent discovery or existence of facts relating to the Released Claims in addition to or different from those that Employee believed to be true
on the Release Date. 
 6.    Additional Representations. By executing this Agreement, (a) Employee hereby
represents that (i) he has complied with all known Company policies and procedures during the period of his employment and (ii) he has not filed or permitted to be filed with any court, governmental or administrative agency, or arbitration
tribunal, any Released Claim; (b) Employee hereby waives any right that he may have ever had or may now have to commence a Released Claim against the Releasees; (c) Employee hereby represents that he has not transferred or assigned to any
other person any of the Released Claims; (d) he further covenants and agrees not to bring or knowingly participate in any Released Claim or to encourage or permit any of the Released Claims to be filed by any other person or entity on his
behalf; and (e) Employee agrees that this waiver and release may be plead as a full and complete defense to any subsequent action or other proceeding arising out of, relating to, or having anything to do with any and all of the Released Claims,
counterclaims, defenses or other matters capable of being alleged, that are specifically released and discharged by this Agreement, and this Agreement may be used to abate any such action or proceeding. 

7.     Affirmation of Important Obligations under Existing Agreements. Employee acknowledges having executed that
certain Employee Confidentiality, Non-Competition, Non-Solicitation and Inventions Agreement effective November 13, 2017 (the “Confidentiality and Non-Competition Agreement”), which is attached as Exhibit 1 to this Agreement. Employee affirms that Employee has not divulged any proprietary or confidential information of Company and will continue to
maintain the confidentiality of such information consistent with Company’s policies and Employee’s agreement(s) with Company and/or common law. Employee affirms that he has complied and shall continue to comply with Employee’s current
and continuing obligations under the Confidentiality and Non-Competition Agreement. If Employee breaches the obligations set forth in this Agreement or the Confidentiality and
Non-Competition Agreement, then Employee shall immediately forfeit any amounts payable or benefits to be received and shall promptly reimburse the Company any amounts actually paid to Employee pursuant to this
Agreement (other than the Accrued Benefits). 

  
 3 

 8.    Agreement on Exercise by Employee of Stock Options.
Employee acknowledges that he and the Company are party to several stock option agreements granting Employee the right to purchase shares of the Company’s capital stock upon terms and conditions specified in such agreements. The Stock Option
Agreements consist of those listed in Exhibit 2 attached to this Agreement and made an integral part hereof and are referred to collectively as the “Stock Option Agreements.” In consideration of the covenants and agreements set
forth in this Agreement, Employee has agreed that he may exercise his rights to purchase shares of the capital stock of the Company only under the Stock Option Agreement dated as of December 19, 2017 for the aggregate purchase of 285,714 shares
at an exercise price of $1.40 per share (the “2017 Option Agreement”), and only with respect to up to 214,286 of such shares (the “Purchasable Shares”). Employee agrees and covenants that he shall not exercise his right to
purchase any shares of the Company’s capital stock under any Stock Option Agreement other than the Purchasable Shares, and all Stock Option Agreements and all options and other rights hereunder (other than the 2017 Option Agreement with respect
to Purchasable Shares) shall be forfeited and shall have no further effect. Employee will continue to comply with all provisions of the 2017 Option Agreement as provided therein, including but not limited to notifying the Company of any
disqualifying disposition of any shares acquired pursuant to any incentive stock options. The Company makes no representations or warranties with respect to any options, Stock Option Agreements, stock option plan or shares acquired upon the exercise
of options or otherwise, including but not limited to their tax treatment, nor will the Company indemnify, defend or hold harmless any individual with respect to the tax consequences of any options, shares acquired upon exercise or other aspects
thereof. 
 9.     Agreement Confidentiality. Employee agrees that the terms of this Agreement and the Special
Severance Package are confidential, and agrees not to disclose the facts, terms or amount thereof to any person other than Employee’s attorney, income tax preparer or similar professional, or to Employee’s spouse and immediate family. To
the extent that Employee discloses this information as allowed by the previous sentence, Employee agrees to instruct such professional, spouse or immediate family member that this information is to be kept confidential. 

10.    Confidential Information. In addition to complying with his obligations under the Confidentiality and Non-Competition Agreement, Employee agrees that Employee will not divulge or give anyone any confidential information obtained by Employee during Employee’s employment concerning the Company’s business or
affairs, including without limitation information relating to (a) the Company’s policies, practices, human resources matters, or other confidential or proprietary information or trade secrets, (b) the Company’s development,
design, manufacturing, use, promotion or sale of medical devices, prototypes, or other products or services, in any stage of development, (c) information, documentation, licenses, software or intellectual property accessible to the Company,
(d) training materials and processes, compliance programs, incident reports, and patient records, and (e) the Company’s relationships with actual or potential customers, consulting or other physicians, sales agents or representatives,
or the needs, requirements or confidential or privileged information belonging to such customers, except as required by a lawfully issued subpoena and as consistent with applicable legal ethics rules. Employee also agrees not to disclose any
information concerning any legal matters in which the Company is involved, except as required by a lawfully issued subpoena and as consistent with applicable legal ethics rules. If Employee receives a subpoena for information or is subject to
another legal compulsion requiring disclosure, then Employee will, to the extent permitted by law and practicable under the circumstance, notify the Company before disclosing its confidential information to permit the Company to seek protection from
disclosure. 

  
 4 

 11.    Non-Disparagement and
Employment Reference. Employee agrees not to disparage or discuss the Company or any of its services, products, agents or employees in a derogatory manner, whether in writing, verbally, or on any online forum. Upon request directed to the
Company’s HR Manager, the Company agrees to provide a neutral employment reference to Employee, prospective employers, or other authorized third parties. In response to such request, the neutral reference will contain only Employee’s dates
of employment, salary information, and title/position(s) held with the Company. 
 12.    Communications with
Government Agencies. Nothing in this Agreement precludes Employee from communicating, filing a charge, including a challenge to the validity of this Agreement, or participating in any investigation or proceeding, with the Equal Employment
Opportunity Commission (“EEOC”) or comparable state or municipal fair employment agency or the National Labor Relations Board (“NLRB”), the Occupational Safety and Health Administration or the U.S. Securities and Exchange
Commission. However, Employee waives the right to receive any damages or other remedies in connection with any such matter to the fullest extent permitted by law. 

13.    No Admission. It is understood and agreed that the Company is not admitting any wrongdoing by entering into
this Agreement and that nothing in this Agreement shall be construed as an admission of any wrongdoing by the Company. The Company has entered into this Agreement solely for maintaining an amicable and cooperative relationship between Employee and
the Company. 
 14.    No Re-Employment. Employee agrees not to seek re-employment with the Company, and agrees that the Company shall have no obligation to rehire Employee under any circumstances. 

15.    Cooperation. Employee agrees to cooperate with the Company in the transition of matters in which Employee
was involved which are ongoing and to provide, upon request, needed information or assistance following the Separation Date as reasonably requested by the Company and, in connection with providing transition support, Employee will be considered
engaged by the Company to render financial advisory services if and as requested by the Company, and will retain Service Provider status under the 2017 Option Agreement, through December 31, 2020. Without limiting the generality of the
foregoing, Employee shall execute all documents and do all acts that Company reasonably requests to fulfill Employee’s obligations under this Agreement or the Confidentiality and Non-Competition
Agreement. 
 16.    Return of Property. Employee affirms that Employee has and/or promptly will return all of
Company’s property, documents, passwords, access codes, equipment, and/or any confidential information in Employee’s possession or control. Employee also affirms that Employee is and/or will be in possession of all of Employee’s
property that Employee had at Company’s premises and that Company is not and/or will not be in possession of any of Employee’s property. 

17.    Defend Trade Secrets Act Notice. Employee acknowledges that in accordance with the Defend Trade Secrets Act
of 2016, he will not be held criminally or civilly liable under 

  
 5 

 
any federal or state trade secret law for the disclosure of a trade secret that is made in confidence to a federal, state, or local government official, either directly or indirectly, or to an
attorney solely for the purpose of reporting or investigating a suspected violation of law, or is made in a complaint or other document that is filed under seal in a lawsuit or other proceeding. Employee also understands that if he files a lawsuit
against the Company alleging retaliation for reporting a suspected violation of law, Employee may disclose the Company’s trade secrets to his attorney and use the trade secret information in the court proceeding if he files any document
containing the trade secret under seal and does not disclose the trade secret except under a court order. 

18.    General Provisions. 

(a)    The parties understand and agree that all terms of this Agreement and are contractual and are not a mere recital,
and represent and warrant that they are competent and possess the full and complete authority to covenant and agree as herein provided. 

(b)    Employee understands, agrees, and represents that the covenants made herein and the releases herein executed may
affect rights and liabilities of substantial extent and agrees that the covenants and releases provided herein are in Employee’s best interest. Employee represents and warrants that, in negotiating and executing this Agreement, Employee has had
an adequate opportunity to consult with competent counsel or other representatives of Employee’s choosing concerning the meaning and effect of each term and provision hereof, and that there are no representations, promises or agreements other
than those expressly set forth in writing herein. 
 (c)    The parties have carefully read this Agreement in its
entirety; fully understand and agree to its terms and provisions; intend and agree that it is final and binding and understand that, in the event of a breach, either party may seek relief, including damages, restitution and injunctive relief, at law
or in equity, in a court of competent jurisdiction. 
 (d)    The Employee agrees that he is not signing this Agreement
in reliance upon any promise, representation or warranty not expressly contained in this Agreement, including its exhibits. Any oral representations regarding this Agreement, including its exhibits, shall have no force or effect. No modification,
termination, or attempted waiver of any of the provisions of this Agreement shall be binding upon the Company unless reduced to writing and signed by a duly authorized official. Each provision of this Agreement is severable from each other provision
of this Agreement. If any provision of this Agreement is determined to be invalid or unenforceable, the remaining portions of this Agreement will continue to be operative and in full force and effect. This Agreement shall be construed according to a
plain reading of its terms and no presumption or burden of proof shall arise favoring or disfavoring any party by virtue of the authorship of any provision in this Agreement. The Company’s failure or delay in enforcing any provision of this
Agreement will not be a waiver of enforcement of that provision or any other provision. All rights and remedies provided for in this Agreement are cumulative, are in addition to any other rights and remedies provided for by law, and may, to the
extent permitted by law, be exercised concurrently or separately. The exercise of any one right or remedy shall not be deemed to be an election of such right or remedy or to preclude the exercise or pursuit of any other right or remedy. 

(e)    Except as otherwise provided herein or by law, no right or interest of Employee under this Agreement shall be
assignable or transferable, in whole or in part, either directly or by operation of law or otherwise, including without limitation by execution, levy, garnishment, attachment, pledge or in any manner; no attempted assignment or transfer thereof
shall be effective. 

  
 6 

 (f)     This Agreement and any dispute arising under this Agreement will
be governed by Florida law, without regard to any conflict of law principles. Any litigation under this Agreement will be brought by either party exclusively in the federal courts located in Federal District Court, Middle District of Florida,
Jacksonville Division and in no other venue. As such, the parties irrevocably consent to the jurisdiction of the courts in Federal District Court, Middle District of Florida, Jacksonville Division for all such disputes and to service of process via
nationally recognized overnight carrier, without limiting other service methods available under applicable law, and waive the right to have a trial by jury under or in connection with this Agreement. 

EMPLOYEE FREELY AND KNOWINGLY, AND AFTER DUE CONSIDERATION, ENTERS INTO THIS AGREEMENT INTENDING TO WAIVE, SETTLE AND RELEASE ALL EMPLOYMENT DISPUTES
EMPLOYEE HAS OR MIGHT HAVE AGAINST RELEASEES. EMPLOYEE ACKNOWLEDGES THAT THIS AGREEMENT CONTAINS A RELEASE OF ALL KNOWN AND UNKNOWN, SUSPECTED AND UNSUSPECTED CLAIMS. 

  
 7 

 IN WITNESS WHEREOF, the undersigned have made, entered into, and executed this Agreement on the dates
shown below. 
  

							
		 		 	
				
	7/31/2020	 		 		 	             /s/ Robert P. Jordheim

	Date	 		 		 	Employee
		 		 		 	

  

							
		 		 	TREACE MEDICAL CONCEPTS, INC.
				
	7/31/2020                                	 		 		 	    /s/ Jaime A. Frias
				
	Date	 		 		 	Name: Jaime A. Frias
				
		 		 		 	Title: EVP, General Counsel 

  
 8 

 Exhibit 1 

Employee Confidentiality, Non-Competition, 

Non-Solicitation and Inventions Agreement 

  
 9 

 Exhibit 2 

Stock Option Agreements 
  

	 	1.	 Stock Option Agreement dated December 19, 2017 for 285,714 shares at an exercise price of $1.40 per share
(which is defined in Section 8 as the 2017 Option Agreement). 

  

	 	2.	 Stock Option Agreement dated December 19, 2017 for 164,286 shares at an exercise price of $1.40 per share.

  

	 	3.	 Stock Option Agreement dated January 23, 2018 for 8,300 shares at an exercise price of $1.40 per share.

  

	 	4.	 Stock Option Agreement dated January 22, 2019 for 42,500 shares at an exercise price of $2.10 per share.

  

	 	5.	 Stock Option Agreement dated January 21, 2020 for 31,500 shares at an exercise price of $5.38 per share.

 For the avoidance of doubt, Employee agrees that he may exercise his rights to purchase shares of the capital stock of the Company only
with respect to 214,286 shares under the 2017 Option Agreement (i.e., the Purchasable Shares), and further agrees to not exercise any other right to purchase under any of the above-listed Stock Option Agreements. 

  
 10

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