Document:

EXECUTIVE SALARY CONTINUATION & PARTICIPATION AGREEMENT

 EXHIBIT 10.19 
  

					
	STATE OF GEORGIA	 	)	  	
		 	)	  	
	COUNTY OF RICHMOND	 	)	  	

 EXECUTIVE SALARY CONTINUATION AND PARTICIPATION AGREEMENT 
 THIS AGREEMENT, made and entered into this 1st day of October, 2005 (hereinafter called the “Agreement” or “Participation
Agreement” in this document) by and between Georgia Bank & Trust Company of Augusta, a banking corporation organized and existing under the laws of the State of Georgia (hereinafter called the “Bank”), and Darrell R.
Rains (hereinafter called the “Executive”). 
 WITNESSETH: 
 WHEREAS, the Executive is in the employ of the Bank serving as an executive officer, and 
 WHEREAS, the experience of the Executive, his knowledge of the affairs of the Bank, his reputation and contacts in the industry are so valuable
that assurance of his continued services is essential for the future growth and profits of the Bank it is in the best interests of the Bank to arrange terms of continued employment for the Executive so as to reasonably assure him remaining in the
Bank’s employment during his lifetime or until the age of retirement; and 
 WHEREAS, it is the desire of the Bank that the
services of the Executive be retained as herein provided; and 
 WHEREAS, the Bank has established a Non-Qualified Defined Benefit
Plan (hereinafter called the “Plan”) as of the first day of October, 2000; 
 WHEREAS, the Executive accepts the Bank’s
invitation to participate in the Plan and hereby acknowledges having read the Plan, understood its terms, understood that benefits will paid pursuant to the Plan only under certain circumstances described therein, understood that the Executive is a
general creditor of the Bank, or its successors and assigns, and that the Executive has no interest in specific assets owned by the Bank; 
 WHEREAS, the Executive is willing to continue in the employ of the Bank provided the Bank agrees to pay him or his beneficiaries certain benefits in accordance with the terms and conditions hereafter set forth; 
  

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 NOW, THEREFORE, in consideration of the services to be performed in the future, as well as the
mutual promise and covenants herein contained, it is agreed as follows: 
 ARTICLE 1. 
 Definitions 
  

	1.1.	Beneficiary – The term Beneficiary shall mean the person or persons whom the Executive shall designate in writing to receive the benefits provided hereunder and as further
designated on the Executive’s Beneficiary Designation shown as Schedule B hereto. 

  

	1.2.	Disability – For the purposes of this Agreement, Executive shall be deemed to have a Disability if Executive (i) is unable to engage in any substantial gainful activity by
reason of any medically determinable physical or mental impairment which can be expected to result in death or can be expected to last for a continuous period of not less than 12 months or (ii) is, by reason of any medically determinable
physical or mental impairment which can be expected to result in death or can be expected to last for a continuous period of not less than 12 months, receiving income replacement benefits for a period of not less than 3 months under an accident and
health plan covering the Bank’s employees. The determination of whether Executive has a “Disability” under clause (i) above shall be made by a licensed physician selected by the Bank’s Board of Directors.

  

	1.3.	Named Fiduciary and Plan Administrator – Subject to the direction of the Compensation Committee of the Board of Directors of the Bank, the Secretary of the Bank is hereby
designated as the Named Fiduciary and the Chief Operating Officer as the Plan Administrator of this Plan. 

 ARTICLE 2.

 Terms of Employment 
  

	2.1.	Employment – The Bank agrees to employ the Executive in such capacity as the Bank may from time to time determine. The Executive will continue in the employ of the Bank in such
capacity and with such duties and responsibilities as may be assigned to him, and with such compensation as may be determined from time to time by the Board of Directors of the Bank. 

  

	2.2.	Full Efforts – The Executive agrees to devote his full time and attention exclusively to the business and affairs of the Bank, except during vacation periods, and to use his
best efforts to furnish faithful and satisfactory services to the Bank. 

  

	2.3.	Fringe Benefits – The salary continuation benefits provided by this Agreement are granted by the Bank as a fringe benefit to the Executive and are not part of any salary
reduction plan or any arrangement deferring a bonus or a salary increase. The Executive has no option to take any current payment or bonus in lieu of these salary continuation benefits. 

  

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 ARTICLE 3. 
 Benefits 
  

	3.1.	Retirement – If the Executive shall continue in the employment of the Bank until he attains the age of sixty-five (65), he may retire from active daily employment as of the
first day of the month next following attainment of sixty-five (65) or upon such later date as may be mutually agreed upon by the Executive and the Bank. After the Executive has been employed by the Bank for a period of at least fifteen
(15) years from the date of this Agreement, the Executive may take Early Retirement (as defined in the Plan). 

  

	 3.2.
	 Payment – The Bank agrees that upon regular or early retirement it will pay to the Executive the annual sum of
thirty-six thousand dollars ($36,000), payable monthly on the first day of each month beginning with the seventh (7th) month following such retirement for a period of two hundred forty (240) months; subject to the conditions and limitations hereinafter set forth. 

  

	3.3.	Payment After Death – The Bank agrees that if the Executive shall die before receiving the full amount of monthly payments to which he is entitled hereunder (if any), it will
continue to make such monthly payments to the Executive’s designated Beneficiary for the remaining period. The Executive shall execute a Beneficiary Designation as shown on the attached Schedule B, but if a valid Beneficiary Designation is not
in effect, the payment shall be made to the Executive’s surviving spouse or, if none, said payments shall be made to the duly qualified personal representative, executor or administrator of his estate. 

  

	3.4.	[Intentionally Omitted] 

  

	3.5.	Death or Disability Prior to Full Vesting – In the event the Executive should die or become Disabled while actively employed by the Bank, at any time after the date of this
Agreement but prior to him having been employed by the Bank for a period of at least fifteen (15) years from the date of this Agreement, the Executive will be considered to be vested in the annual benefit amount set forth in Schedule A
corresponding with the year in which the death occurred or the Disability commenced, payable monthly for 240 months to Executive (in the case of Disability) or to the Executive’s beneficiary or estate as contemplated by Section 3.3 above
(in the case of death) beginning with the month following death or Disability, as applicable. 

 ARTICLE 4. 

Termination 
  

	4.1.	Termination of Employment – The Bank reserves the right to terminate the employment of the Executive at any time prior to retirement. In the event that the employment of the
Executive shall terminate prior to him attaining age sixty-five (65), other than by reason of his Disability or his death, the Executive shall be entitled to the following benefits under the following circumstances: 

  

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	 	4.1.1. 	If the Executive is terminated with reasonable cause (as defined below), Executive shall receive no benefit under this Agreement and shall lose any right to any benefit vested at
the time of termination. 

  

	 	4.1.2. 	If the Executive voluntarily terminates employment with the Bank prior to having been employed by the Bank for a period of at least fifteen (15) years from the date of this
Agreement, Executive shall receive no benefit under this Agreement and shall lose any right to any benefit vested at the time of termination. If the Executive voluntarily terminates employment with the Bank prior to retirement after Executive has
been employed by the Bank for a period of at least fifteen (15) years from the date of this Agreement, the Executive will be paid the full annual benefit over the time period and subject to the conditions applicable to Section 3.2.

  

	 	 4.1.3. 
	 Anything hereinabove to the contrary notwithstanding, if the Bank terminates the Executive’s employment
involuntarily for any reason other than “reasonable cause” prior to Executive having been employed by the Bank for a period of at least fifteen (15) years from the date of this Agreement, or if the Bank undertakes any action or course
of action designed to induce the Executive to terminate his employment (e.g., reducing the Executive’s title or responsibilities, reducing the Executive’s compensation disproportionately as compared to reductions for other Bank executives)
prior to such time, the Bank shall pay to the Executive a reduced benefit payment based upon the vesting schedule attached here to as Schedule A. The benefits shall be paid commencing on the Executive’s 65th birthday. “Reasonable cause” means the Executive’s gross negligence, fraud or conviction for any willful violation of any law or
significant regulatory policy, committed in connection with the Executive’s employment and resulting in a material adverse effect on the Bank. “Reasonable cause” shall not include ordinary negligence or failure to act, whether due to
an error in judgment or otherwise, if the Executive has exercised substantial efforts in good faith to perform the duties reasonably assigned or appropriate to the position. 

  

	 	4.1.4. 	 Anything hereinabove to the contrary notwithstanding, if the Executive is not fully vested in the amount set forth in Schedule A, he or she shall become fully
vested in the benefit payment previously described in Section 3.2 in the event of a transfer in the controlling ownership or sale of the Bank or its parent (a “change of control”). This benefit shall remain an obligation of the Bank
and 

  

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its successors regardless of a change of control or continued employment of the Executive after the change of control. The benefit shall be paid in
accordance with Section 3.2, commencing in the seventh (7th) months following the termination of
Executive’s employment. From and after the occurrence of a change of control, the Bank shall pay all reasonable legal fees and expenses incurred by the Executive seeking to obtain or enforce any right or benefit provided by this Agreement
promptly from time to time, at the Executive’s request, as such fees and expenses are incurred; provided, however, that the Executive shall be required to reimburse the Bank for any such fees and expenses if a court or any other adjudicator
agreed to by the parties determines that the Executive’s claim is without substantial merit. The Executive shall not be required to pay any legal fees or expenses incurred by the Bank in connection with any claim or controversy arising out of
or relating to this Agreement, or any breach thereof. 

  

	4.2.	Termination of Agreement by Reason of Changes in Law – The Bank is entering into this Agreement upon the assumption that certain existing tax laws will continue in effect in
substantially their current form. In the event of any changes in such federal laws, the Bank shall have an option to terminate or modify this Agreement; provided, however, that the Executive shall be entitled to at least the same amounts as he would
have been entitled to under Article 3 hereof. The payment of said amount shall be made upon such terms and conditions and, at such time as the Bank shall determine appropriate to obtain favorable tax treatment, but in no event commencing later than
age sixty-five (65). 

  

	4.3.	 Competition with Bank – Anything in this Agreement to the contrary notwithstanding (but subject to the following proviso), if the Executive, directly or
indirectly, at any time after the execution of this Agreement, owns, manages, operates, joins, controls or participates in or is employed by or gives consultation or advice to or extends credit to (other than through insured deposits) or otherwise
is connected in any manner, directly or indirectly with, any bank, financial institution, firm, person, sole proprietorship, partnership, corporation, company or other entity (other than the Bank or entities controlled or under common control with
the Bank) that provides financial services, including, without limitation, retail or commercial lending services, and has an office within 50 miles of any banking location of the Bank or any of its affiliates, then the Bank shall have the option, in
its sole and absolute discretion, to terminate the Executive’s right to receive any benefits under this Agreement (and, to the extent Executive may already have begun receiving benefits hereunder, terminate Executive’s right to receive any
further benefits hereunder); provided, however, that (i) this Section 4.3 shall be of no further force and effect after a change of control occurs, (ii) this Section 4.3 shall not apply if Executive’s employment with Bank is
terminated by the Bank 

  

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other than for reasonable cause prior to age 65 of the Executive and (iii) nothing in this Section 4.3 shall prohibit the Executive from owning
less than one percent (1%) of the outstanding shares of any company whose common stock is publicly traded. 

 ARTICLE 5. 
 Miscellaneous 
  

	5.1.	Nonassignability – Neither the Executive, his spouse, nor any other beneficiary under this Agreement shall have any power or right to transfer, assign, anticipate, hypothecate,
mortgage, commute, modify, or otherwise encumber in advance any of the benefits payable hereunder, nor shall any of said benefits be subject to seizure for the payment of any debts, judgments, alimony or separate maintenance, owned by the Executive
or his beneficiary or any of them, or be transferable by operation of law in the event of bankruptcy, insolvency or otherwise. 

  

	5.2.	Claims Procedure – The Bank shall make all determinations as to rights to benefits under this Agreement. Any decision by the Bank denying a claim by the Executive or his
beneficiary for benefits under this Agreement shall be stated in writing and delivered or mailed to the Executive or such beneficiary. Such decision shall set forth the specific reasons for the denial, written to the best of the Corporation’s
ability in a manner calculated to be understood without legal or actuarial counsel. In addition, the Bank shall provide a reasonable opportunity to the Executive or such beneficiary for full and fair review of the decision denying such claim.

  

	5.3.	Unsecured General Creditor – The Executive and his beneficiary shall have no legal right or equitable rights, interests, or claims in or to any property or assets of the Bank.
No assets of the Bank shall be held under any trust for the benefit of the Executive or his beneficiaries or held in any way as security for the fulfilling of the obligations of the Bank under this plan. All of the Bank’s assets shall be and
remain the general, unpledged, unrestricted assets of the Bank. The Bank’s obligation under this plan shall be that of an unfunded and unsecured promise by the Bank to pay money in the future. Executives and their beneficiaries shall be
unsecured general creditors with respect to any benefits hereunder. 

  

	5.4.	Reorganization – The Bank shall not merge or consolidate into or with another Bank, or reorganize, or sell substantially all of its assets to another Bank, firm, or person
unless and until such succeeding or continuing Bank, firm, or person agrees to assume and discharge the obligations of the Bank under this Agreement. Upon the occurrence of such event, the term “Bank” as used in this Agreement shall be
deemed to refer to such successor or survivor Bank. 

  

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	5.5.	Binding Effect – This Agreement shall be binding upon and inure to the benefits of the Executive and his personal representatives, and the Bank and any successor organization,
which shall succeed to substantially all of its assets and business. 

  

	5.6.	Not a Contract of Employment – This agreement shall not be deemed to constitute a contract of employment between the parties hereto, nor shall any provision hereof restrict the
right of the Bank to discharge the Executive, or restrict the right of the Executive to terminate his employment. 

 ARTICLE
6. 
 Participation in Plan 
  

	6.1	Acceptance of Invitation to Participate in the Plan - The Executive hereby agrees to accept the invitation of the Bank to participate in the Plan, subject to its terms and
conditions as set forth therein. 

  

	6.2	In the event of any inconsistency between the Plan and this Agreement, this Agreement shall control. 

 IN WITNESS WHEREOF, the Bank has caused this Agreement to be duly executed by its proper officer and the Executive has hereunto set his hand at
Augusta, Georgia, the day and year first above written. 
  

			
	Georgia Bank & Trust Company of Augusta
		
	By:	 	/s/ R. Daniel Blanton
	Print Name: R. Daniel Blanton
	Title: President & CEO

  

	
	EMPLOYEE:
	
	/s/ Darrell R. Rains
	Darrell R. Rains

  

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 SCHEDULE A 
  

				
	 Year
	  	Limited
Benefit
	 October 1, 2005 to September 30, 2006
	  	$	0
	 October 1, 2006 to September 30, 2007
	  	$	2,400
	 October 1, 2007 to September 30, 2008
	  	$	4,800
	 October 1, 2008 to September 30, 2009
	  	$	7,200
	 October 1, 2009 to September 30, 2010
	  	$	9,600
	 October 1, 2010 to September 30, 2011
	  	$	12,000
	 October 1, 2011 to September 30, 2012
	  	$	14,400
	 October 1, 2012 to September 30, 2013
	  	$	16,800
	 October 1, 2013 to September 30, 2014
	  	$	19,200
	 October 1, 2014 to September 30, 2015
	  	$	21,600
	 October 1, 2015 to September 30, 2016
	  	$	24,000
	 October 1, 2016 to September 30, 2017
	  	$	26,400
	 October 1, 2017 to September 30, 2018
	  	$	28,800
	 October 1, 2018 to September 30, 2019
	  	$	31,200
	 October 1, 2019 to September 30, 2020
	  	$	33,600
	 October 1, 2020 and thereafter
	  	$	36,000

  

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 SCHEDULE B 
 BENEFICIARY DESIGNATION 
 FOR 
 EXECUTIVE SALARY CONTINUATION AND 
 PARTICIPATION AGREEMENT 
 To the Plan Administrator of the Georgia Bank & Trust Company Non-Qualified Defined Benefit Plan for the benefit of Darrell R. Rains: 
 Pursuant to the Provisions of my Executive Salary Continuation and Participation Agreement with Georgia Bank & Trust Company of Augusta dated October 1,
2005 permitting the designation of a beneficiary or beneficiaries by a participant, I hereby designate the following persons and entities as primary and secondary beneficiaries of any benefit under said Agreement payable by reason of my death:

 Primary Beneficiary: 
  

					
	 Name
	  	Social Security Number	  	Relationship
		  		  	
		  		  	

 Secondary (Contingent) Beneficiary: 
  

					
	 Name
	  	Social Security Number	  	Relationship
		  		  	
		  		  	

 THE RIGHT TO REVOKE OR CHANGE ANY BENEFICIARY DESIGNATION IS HEREBY RESERVED. ALL PRIOR DESIGNATIONS, IF ANY, OF
BENEFICIARIES AND SECONDARY BENEFICIARIES ARE HEREBY REVOKED. 
 The Plan Administrator shall pay all sums payable under the Agreement by reason of my death
to the Primary Beneficiary, if he or she survives me, and if no Primary Beneficiary shall survive me, then to the Secondary Beneficiary, and if no named beneficiary survives me, then the Plan Administrator shall pay all amounts in accordance with
the terms of the Executive Salary Continuation and Participation Agreement dated October 1, 2005. In the event that a named beneficiary survives me and dies prior to receiving the entire benefit payable under said Agreement, then and in that
event, the remaining unpaid benefit, payable according to the terms of the Agreement, shall be payable to the personal representatives of the estate of said deceased beneficiary, who survive me, but die prior to receiving the total benefit.

  

					
			
	   	 		 	   
	Date of Designation	 		 	Signature of Executive

  

 153CHANGE IN CONTROL AGREEMENT

 EXHIBIT 10.20 
 CHANGE IN CONTROL AGREEMENT 
 THIS AGREEMENT (the “Agreement”) is made as of
January 3, 2006 (the “Effective Date”) by and between Darrell R. Rains (the “Employee”) and Georgia Bank & Trust Company, a Georgia corporation (the “Bank”). 
 WHEREAS, the Employee is currently employed by the Bank, a wholly-owned subsidiary of Southeastern Bank Financial Corporation (the “Company”);
and 
 WHEREAS, the Bank desires to induce the Employee to continue in the employ of the Bank by offering this agreement providing severance
benefits to the Employee upon a Change in Control (as defined below) of the Company or the Bank. 
 NOW, THEREFORE, in consideration of the
mutual covenants herein contained, the parties agree as follows: 
 1. Definitions. For purposes of this Agreement, the
following terms and conditions shall have the meanings set forth in this Section 1: 
 (a) “Area” means
the geographic area within the boundaries of Richmond and Columbia Counties, Georgia. It is the express intent of the parties that the Area as defined herein is the area where the Employee performs services on behalf of the Bank as of the Effective
Date. 
 (b) “Board of Directors” means the Board of Directors of the Company or the Bank, as the context
implies. 
 (c) “Business of the Company” means the business conducted by the Company and the Bank which is
the business of banking, including the solicitation of time and demand deposits and the making of residential, consumer, commercial and corporate loans. 
 (d) “Cause” means the occurrence of any of the following events: (i) conduct by the Employee that is demonstrably likely to lead to material financial harm to the Company or the Bank;
(ii) conduct by the Employee of a fraudulent nature against the Company or the Bank that resulted or was intended to result in direct or indirect gain to or personal enrichment of the Employee; (iii) conduct resulting in the conviction of
the Employee of a felony; and (iv) conduct by the Employee that results in the permanent removal of the Employee from his position as an officer or an employee of the Company or the Bank pursuant to written order by any regulatory agency with
authority and jurisdiction over the Company or the Bank, as the case may be. 
 (e) “Change in Control” means
the occurrence of any of the following events on or after the Effective Date: 
  

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 (i) within any twelve-month period
(beginning on or after the Effective Date) the persons who constitute the Board of Directors of the Company or the Bank immediately before such twelve-month period (the “Incumbent Directors”) cease for any reason to constitute at least a
majority of such Board of Directors; provided, however, that any person becoming a director subsequent to the Effective Date shall be deemed to be an Incumbent Director if that director was elected to such Board of Directors by, or on the
recommendation of or with the approval of, at least two-thirds (2/3) of the directors who then qualified as Incumbent Directors; and provided further that no director whose initial assumption of office is in connection
with an actual or threatened election contest relating to the election of directors shall be deemed an Incumbent Director; 
 (ii) the consummation of a reorganization, merger or consolidation of the Company or the Bank, with respect to which persons who were the stockholders of the Company or the Bank, as the case may be, immediately prior to such reorganization,
merger or consolidation do not, immediately thereafter, own more than fifty percent (50%) of the combined voting power entitled to vote in the election of directors of the reorganized, merged or consolidated entity’s then outstanding
voting securities; or 
 (iii) the sale, transfer or assignment of all or substantially all of the assets of the Company and
the Bank to any third party. 
 (f) “Confidential Information” means data and information relating to the
Business of the Company (which does not rise to the status of a Trade Secret) which is or has been disclosed to the Employee or of which the Employee became aware as a consequence of or through its relationship to the Company and the Bank and which
has value to the Company and the Bank and is not generally known to its competitors. Without limiting the foregoing, Confidential Information shall include the following: 
 (i) all items of information that could be classified as a trade secret pursuant to Georgia law; 
 (ii) the names, addresses and banking requirements of the customers of the Company and the Bank and the nature and amount of business done
with such customers; 
 (iii) the names and addresses of employees and other business contacts of the Company and the Bank;

 (iv) the particular names, methods and procedures utilized by the Company and the Bank in the conduct and advertising of
their business; 
 (v) the applications, operating system, communication and other computer software and derivatives thereof,
including, without limitation, sources and object codes, flow charts, coding sheets, routines, subrouting and related documentation and manuals of the Company and the Bank; and 
  

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 (vi) marketing techniques, purchasing information, pricing policies, loan policies,
quoting procedures, financial information, customer data and other materials or information relating to the Company’s and the Bank’s manner of doing business. 
 Confidential Information shall not include any data or information that has been voluntarily disclosed to the public by the Company or the Bank (except where such public disclosure has been made by the Employee
without authorization) or that has been independently developed and disclosed by others, or that otherwise enters the public domain through lawful means. 
 (g) “Good Reason” means, with respect to a voluntary resignation by the Employee, any one of the following events, but only if such event first arose within forty-five (45) days of such
resignation, the Employee provided the Employer with written notice of the event within fifteen (15) days after the event occurred and an opportunity to cure for at least ten (10) business days from its receipt of the notice and the
circumstances continued, uncured, through the effective date of the Employee’s resignation: 
 (i) a material diminution
in the Employee’s position, authority or duties effected by the Employer; 
 (ii) a material reduction in the
Employee’s base salary rate or annual bonus opportunity effected by the Employer; or 
 (iii) a requirement by the
Employer that the Employee’s services be rendered primarily at a location more than fifty (50) miles from August, Georgia. 
 (h) “Trade Secrets” means information, without regard to form, including, but not limited to, technical or nontechnical data, formulas, patterns, compilations, programs, devices, methods, techniques, drawings, processes,
financial data, financial plans, product plans or lists of actual or potential customers or suppliers which (i) derives economic value, actual or potential, from not being generally known to, and not being readily ascertainable by proper means
by, other persons who can obtain economic value from its disclosure or use, and (ii) is the subject of efforts that are reasonable under the circumstances to maintain its secrecy. 
 2. Term. The term of this Agreement (the “Term”) shall become effective as of the Effective Date and shall remain in effect until
the earliest of (a) the Employee’s termination of employment with the Bank prior to a Change in Control; (b) the twenty-fourth-month anniversary of the effective date of a Change in Control if there has been no Qualifying Termination
of Employment (as defined in Section 3); (c) a termination of this Agreement pursuant to Section 18; or (d) until all amounts that may be payable to the Employee pursuant to Section 3 below have been paid. 
  

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 3. Severance Benefits Upon Termination of Employment. If, while this Agreement is in
effect, the Employee (a) is involuntarily terminated by the Bank without Cause within twenty (24) months following a Change in Control; or (b) resigns his employment with the Bank for Good Reason within twenty-four (24) months
following such Change in Control (each, a “Qualifying Termination of Employment”), the Bank shall pay to the Employee in a lump sum an amount equal to two (2) times the sum of (i) the Employee’s annual base salary in effect
at the time of termination of employment and (ii) the largest annual bonus amount paid to the Employee within the three calendar years preceding the calendar year in which occurs the Change in Control (the “Lump Sum Payment. The Lump Sum
Payment is sometimes referred to in this Agreement as the “Severance Benefits.” In no event shall the payment described in this Section 3 exceed the amount permitted by Section 280G of the Internal Revenue Code, as amended (the
“Code”). Therefore, if the aggregate present value (determined as of the date of the Change in Control in accordance with the provisions of Section 280G of the Code) of both the Severance Benefits and all other payments to the
Employee in the nature of compensation which are contingent on a change in ownership or effective control of the Company or the Bank or in the ownership of a substantial portion of the assets of the Company or the Bank (the “Aggregate
Severance”) would result in a “parachute payment,” as defined under Section 280G of the Code, then the Aggregate Severance shall not be greater than an amount equal to 2.99 multiplied by Employee’s “base amount”
for the “base period,” as those terms are defined under Section 280G. In the event the Aggregate Severance is required to be reduced pursuant to this Section 3, the Employee shall be entitled to determine which portions of the
Aggregate Severance are to be reduced so that the Aggregate Severance satisfies the limit set forth in the preceding sentence. 
 The Lump
Sum Payment shall be paid to the Employee as soon as practicable following the effective date of the Qualifying Termination of Employment. The Bank shall be entitled to withhold appropriate employment and income taxes, if required by applicable law,
from any Severance Benefits that become payable. 
 4. Confidentiality. 
 (a) All Confidential Information and Trade Secrets and all physical embodiments thereof received or developed by the Employee while
employed by the Bank are confidential to and are and will remain the sole and exclusive property of the Company and the Bank. Except to the extent necessary to perform the duties assigned to him by the Bank, the Employee will hold such Confidential
Information and Trade Secrets in trust and strictest confidence, and will not use, reproduce, distribute, disclose or otherwise disseminate the Confidential Information and Trade Secrets or any physical embodiments thereof and may in no event take
any action causing or fail to take the action necessary to prevent, any Confidential Information and Trade Secrets disclosed to or developed by the Employee to lose its character or cease to qualify as Confidential Information or Trade Secrets.

  

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 (b) The covenants of confidentiality set forth herein will apply during the term of the
Employee’s employment to any Confidential Information and Trade Secrets disclosed by the Bank or developed by the Employee prior to or after the date hereof. The covenants restricting the use of Confidential Information will continue and be
maintained by the Employee for a period of twelve (12) months following termination of this Agreement. The covenants restricting the use of Trade Secrets will continue and be maintained by the Employee following termination of this Agreement
for so long as permitted by the then-current Georgia Trade Secrets Act of 1990, O.C.G.A. § 10-1-760, et. seq. 
 5.
Noncompetition. The Employee agrees that, for twelve (12) months following the Employee’s termination of employment, regardless of the reason, the Employee will not (except on behalf of or with the prior written consent of
the Bank), within the Area, either directly or indirectly, on his own behalf or in the service or on behalf of others, as an employee or in any other capacity which involves duties and responsibilities similar to those undertaken for the Bank,
engage in any business which is the same as or essentially the same as the Business of the Company. 
 6. Nonsolicitation. The
Employee agrees that, for twelve (12) months following the Employee’s termination of employment, regardless of the reason: 
 (a) the Employee will not (except on behalf of or with the prior written consent of the Bank), on the Employee’s own behalf or in the service or on behalf of others, solicit, divert or appropriate or attempt to solicit, divert or
appropriate, directly or by assisting others, any business from any of the customers of the Bank, including actively sought prospective customers, with whom the Employee has or had material contact during the last two (2) years of the
Employee’s employment, for purposes of providing products or services that are competitive with those provided by the Company and the Bank; and 
 (b) the Employee will not on the Employee’s own behalf or in the service or on behalf of others, solicit, recruit or hire away or attempt to solicit, recruit or hire away, directly or by assisting others, any
employee of the Bank with whom the Employee has or had material contact during the last two (2) years of the Employee’s employment, whether or not such employee is a full-time employee or a temporary employee of the Bank and whether or not
such employment is pursuant to a written agreement and whether or not such employment is for a determined period or is at will. 
 7.
Remedies. The Employee agrees that, in addition to all remedies provided by law or in equity, the Bank shall be entitled to specific performance of this Agreement and to both temporary and permanent injunctions to prevent a breach or
contemplated breach by the Employee of the covenants in Sections 4, 5 and 6 hereof. If the Employee breaches his obligations pursuant to Sections 4, 5 or 6 hereof, the Employee will forfeit any amounts owed to the Employee under Section 3
hereof which have not been paid to the Employee. 
 8. No Mitigation. No amounts or benefits payable to the Employee hereunder
shall be subject to mitigation or reduction by income or benefits the Employee receives from other sources. 
  

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 9. Continued Employment. Nothing herein shall entitle Employee to continued employment with
the Bank or to continued tenure in any specific office or position. The Employee’s employment with the Bank shall be terminable at the will of the Bank, with or without Cause, subject to the terms of any other written agreement as may be in
effect between the parties. 
 10. Assignment. The rights and obligations of the Bank under this Agreement shall inure to the
benefit of the Bank’s successors and assigns. This Agreement may be assigned by the Bank to any legal successor of the Bank or to an entity which purchases all or substantially all of the assets of the Bank. In the event the Bank assigns this
Agreement as permitted by this Agreement and the Employee remains employed by the assignee, the “Bank” as defined herein will refer to the assignee and the Employee will not be deemed to have terminated employment hereunder until the
Employee terminates employment from the assignee. 
 11. Arbitration. Any controversy or claim arising out of or relating to
this Agreement, or the breach thereof, shall be adjudicated through binding arbitration before a single arbitrator in accordance with the Commercial Arbitration Rules of the American Arbitration Association. The Bank and the Employee agree that they
will seek to enforce any arbitration award in the Superior Court of Richmond County, Georgia. The decision of the arbitration panel shall be final and binding upon the parties and judgment upon the award rendered by the arbitration panel may be
entered by any court having jurisdiction. The Bank and the Employee agree to share equally the fees and expenses associated with the arbitration proceedings, except as otherwise provided by Section 12 below. [Employee must initial here:
DRR] 
 12. Attorneys’ Fees. With respect to arbitration of disputes and if litigation ensues between
the parties concerning the enforcement of an arbitration award and the Employee prevails in the dispute, the Bank will pay and be financially responsible for all costs, expenses, reasonable attorneys’ fees and reasonable expenses incurred by
the Employee (or the Employee’s estate in the event of his death) in connection with the dispute. 
 13. Notice. All
notices, consents, waivers and other communications required or permitted by this Agreement shall be in writing and shall be deemed given to a party when (a) delivered to the appropriate address by hand or by nationally recognized overnight
courier service (costs prepaid); (b) sent by facsimile with confirmation of transmission by the transmitting equipment; or (c) received or rejected by the addressee, if sent by certified mail, return receipt requested, in each case to the
following addresses or facsimile numbers and marked to the attention of the person (by name or title) designated below (or to such other address, facsimile number or person as a party may designate by written notice to the other parties):

  

			
	If to the Bank, to the Bank at:	  	Mr. Ronald L. Thigpen, EVP
		  	Georgia Bank & Trust Company
		  	 3530 Wheeler Road
 Augusta, Georgia.
30909

		  	

  

 159 

					
	If to the Employee, to the Employee at:	  	Mr. Darrell R. Rains	  	
		  	3515 Wheeler Road	  	
		  	Augusta, Georgia 30909	  	

 14. Headings. Sections or other headings contained herein are for reference purposes
only and shall not affect in any way the meaning or interpretation of this Agreement. 
 15. Entire Agreement. This Agreement
contains the entire understanding of the parties with respect to the subject matter hereof. 
 16. Severability. In the event
that one or more of the provisions of this Agreement shall be or become invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions contained herein shall not be affected thereby.

 17. Applicable Law and Choice of Forum. This Agreement shall be construed and enforced under and in accordance with the laws
of the State of Georgia. The parties agree that any appropriate state or federal court located in Richmond County, Georgia shall have exclusive jurisdiction of any case or controversy arising under or in connection with Sections 4 through 7 of this
Agreement shall be a proper forum in which to adjudicate such case or controversy. The parties consent and waive any objection to the jurisdiction or venue of such courts. 
 18. Amendment. This Agreement may not be modified, amended, supplemented or terminated except by a written agreement between the Bank and
the Employee. 
 19. Survival. The provisions of Sections 4, 5, 6, 7, 11, 12, 17 and 20 above shall survive, as necessary, the
expiration of the Term or any other termination of this Agreement. 
 20. Confidentiality and Professionalism. Employee
represents and agrees that Employee will keep the terms, amount, value, and nature of consideration paid to Employee, and the fact of this Agreement completely confidential, and that Employee will not hereafter disclose any information concerning
this Agreement to anyone other than Employee’s immediate family and professional representatives who will be informed of and bound by this confidentiality clause. 
 [Remainder of page intentionally left blank] 
  

 160 

 IN WITNESS WHEREOF, each of the parties has executed this Agreement as of the date and year first above
written. 
  

			
	THE BANK:

 Georgia Bank & Trust Company 
  

			
	By:	 	/s/ R. Daniel Blanton
	Print Name: R. Daniel Blanton
	Title: President & CEO

  

			
	EMPLOYEE:
	
	/s/ Darrell R. Rains
	Darrell R. Rains

  

 161

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