Document:

WWW.EXFILE.COM, INC. -- 888-775-4789 -- CHATTEM, INC. -- EXHIBIT 10.4 TO FORM 10-Q

    EXHIBIT
10.4

     

    FORM OF

    SECOND AMENDED AND
RESTATED

    NON-COMPETITION AND
SEVERANCE AGREEMENT

    

    

    This
Second Amended and Restated Non-Competition and Severance Agreement (this
“Agreement”) is made and entered into as of the 8th day of July, 2008, by
and between CHATTEM, INC., a Tennessee corporation (the “Company”) and
__________________________ (the “Executive”).

    

    WITNESSETH

    

    WHEREAS,
the Company is desirous of assuring itself of continuity of management through
the hiring and retention of certain key executives, and to foster their unbiased
and analytical assessment of any offer to acquire control of the Company;
and

    

    WHEREAS,
the Company desires to impose upon the Executive obligations of confidentiality
and to restrict his ability to obtain employment with certain competitors of the
Company; and

    

    WHEREAS,
the Company and the Executive have previously entered that certain
Non-Competition and Severance Agreement dated October 28, 2005, which provides
certain benefits in the event of a change in control of the
Company;

    

    WHEREAS,
the Company desires to amend and restate the Agreement in the form hereinafter
set forth to comply with the provisions of Section 409A of the Internal Revenue
Code of 1986, as amended, (the “Code”) and to make certain other beneficial
changes; and

    

    WHEREAS,
the Executive is willing to accept obligations of confidentiality and
non-competition and to agree to the changes set forth herein in exchange for
specified additional severance benefits provided hereunder.

    

    NOW,
THEREFORE, the Company and the Executive do hereby agree as
follows:

    

    1.    Term.  The
term of this Agreement shall commence as of the day and year first above written
and continue indefinitely thereafter for a period ending with the termination of
the Executive’s employment with
the Company.  Notwithstanding the foregoing, the expiration of the
term of this Agreement shall not affect any right or obligations continuing
thereafter as specifically set forth herein.

    

    2.    Confidentiality
Obligations.  The Executive agrees to maintain all confidential
information and trade secrets obtained during the course of his employment with
the Company as confidential and to disclose the same to no one, other than in
the furtherance of the Company’s business in the normal course or to a fellow
employee with a reasonable need to know, unless the Executive can demonstrate by
documentary evidence that such information was (1) known to him prior to his
employment with the Company; (2) subsequently became part of 

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    the
public domain through no fault of his own; or (3) was subsequently disclosed to
him by a third party not in violation of any obligation of confidentiality and
non-use with the Company.  The Executive agrees to maintain such
confidential information and trade secrets as confidential during the term of
this Agreement and, for confidential information for a period of twelve (12)
months thereafter and, for trade secrets for so long as the information remains
a trade secret.  It is agreed that, for purposes of this Agreement,
the term “confidential information” shall mean any and all information relative
to the Company which is unpublished or not readily available to the general
public, and the term “trade secrets” means information, without regard to form,
that derives independent economic value, actual or potential, from not being
generally known to, and not being readily ascertainable by proper means by,
persons other than the Company who can obtain economic value from its disclosure
or use, and is the subject of efforts by the Company that are reasonable under
the circumstances to maintain its secrecy.

    

    3.    Non-Compete.  In
the event of a Change in Control (as hereinafter defined) while Executive is
employed by the Company and the termination of Executive’s employment entitling
Executive to the Severance Benefit, Executive will not, for a period of twelve
(12) months after such termination of employment, accept compensation or
anything of value from, nor offer or provide any services, including consulting
services, to any person, company, partnership, joint venture or other entity
which has or does a significant business involving, in whole or in part,
over-the-counter drugs, functional toiletries or dietary supplements which are
competitive with the products of the Company marketed and sold during the term
of this Agreement up through the date of termination of employment with annual
sales for the Company’s most recently completed fiscal year in excess of $10
million.  This provision applies only to persons or entities selling
the above specified products in competition with the Company through food, drug
or mass merchandiser channels of distribution in the United States.

    

    4.    Severance
Benefits.  If the Company Discharges or Constructively
Discharges the Executive during the term of this Agreement within twenty-four
(24) months after the occurrence of a Change in Control, the Executive shall
receive the Severance Benefit.  If the Company’s shareholders approve
a merger or other transaction which results in a Change in Control and the
Company Discharges or Constructively Discharges the Executive on or after the
date of the related shareholder meeting but before the actual date of the Change
in Control, Executive shall be deemed to have been Discharged or Constructively
Discharged immediately following the Change in Control.  In addition,
after a Change in Control, the Executive shall be entitled to resign his
employment with the Company and receive the Severance Benefit (a “Resignation”)
at any time during the period commencing one-hundred and eighty (180) days after
the Change in Control and ending two-hundred and forty (240) days after the
Change in Control notwithstanding that the fact that no Discharge or
Constructive Discharge has occurred. These terms are hereby defined as
follows:

    

    
      	
               
      

            	
              A.

            	
              “Change
      in Control” shall mean the occurrence of any one of the following
      events:

            

    

    

    
      	
               
      

            	
              (i)

            	
              the
      sale by the Company of all or substantially all of its assets or the
      consummation by the Company of any
merger,

            

    

    
      

      
        
          
          

        

        
          2

          
            

          

        

        
          
          

        

      

      
        	
                 
      

              	
                 

              	
                consolidation,
      reorganization, or business combination with any person, in each case,
      other than in a
transaction:

              

      

    
      	
               
      

            	
              (a)

            	
              in
      which persons who were shareholders of the Company immediately prior to
      such sale, merger, consolidation, reorganization, or business combination
      own, immediately thereafter, (directly or indirectly) more than 50% of the
      combined voting power of the outstanding voting securities of the
      purchaser of the assets or the merged, consolidated, reorganized or other
      entity resulting from such corporate transaction (the “Successor
      Entity”);

            

    

    

    
      	
               
      

            	
              (b)

            	
              in
      which the Successor Entity is an employee benefit plan sponsored or
      maintained by the Company or any person controlled by the Company;
      or

            

    

    

    
      	
               
      

            	
              (c)

            	
              after
      which more than 50% of the members of the board of directors of the
      Successor Entity were members of the Board of Directors of the Company
      (the “Board”) at the time of the action of the Board approving the
      transaction (or whose nominations or elections were approved by at least
      2/3 of the members of the Board at that
time);

            

    

    

    
      	
               
      

            	
              (ii)

            	
              the
      acquisition directly or indirectly by any “person” or “group” (as those
      terms are used in Sections 13(d), and 14(d) of the Securities Exchange Act
      of 1934 (the “Exchange Act”), including without limitation, Rule 13d-5(b))
      of “beneficial ownership” (as determined pursuant to Rule 13d-3 under the
      Exchange Act) of securities entitled to vote generally in the election of
      directors (“voting securities”) of the Company that represent 30% or more
      of the combined voting power of the Company’s then-outstanding voting
      securities, other than:

            

    

    

    
      	
               
      

            	
              (a)

            	
              an
      acquisition by a trustee or other fiduciary holding securities under any
      employee benefit plan (or related trust) sponsored or maintained by the
      Company or any person controlled by the Company or by any employee benefit
      plan (or related trust) sponsored or maintained by the Company or any
      person controlled by the Company;

            

    

    

    
      	
               
      

            	
              (b)

            	
              an
      acquisition of voting securities by the Company or a person owned,
      directly or indirectly, by the holders of at least 50% of the voting power
      of the Company’s then

            

    

    
      

      
        
          
          

        

        
          3

          
            

          

        

        
          
          

        

      

      
        	
                 
      

              	
                 

              	
                outstanding
      securities in substantially the same proportions as their ownership of the
      stock of the Company;

              

      

       

    

    
      	
               
      

            	
              (c)

            	
              an
      acquisition of voting securities from the Company;
  or

            

    

    

    
      	
               
      

            	
              (d)

            	
              an
      acquisition of voting securities pursuant to a transaction described in
      clause (i) of this definition that would not be a Change in Control under
      clause (i); and

            

    

    

    
      	
               
      

            	
              for
      purposes of clarification, an acquisition of the Company’s securities by
      the Company that causes the Company’s voting securities beneficially owned
      by a person or group to represent 30% or more of the combined voting power
      of the Company’s then-outstanding voting securities is not to be treated
      as an “acquisition” by any person or group for purposes of this clause
      (ii);

            

    

    

    
      	
               
      

            	
              (iii)

            	
              a
      change in the composition of the Board that causes less than a majority of
      the directors of the Company to be directors that meet one or more of the
      following descriptions:

            

    

    

    
      	
               
      

            	
              (a)

            	
              a
      director who has been a director of the Company for a continuous period of
      at least 24 months;

            

    

    

    
      	
               
      

            	
              (b)

            	
              a
      director whose election or nomination as director was approved by a vote
      of at least 2/3 of the then directors described in clauses (iii)(a), (b)
      or (c) of this definition by prior nomination or election, but excluding,
      for the purposes of this subclause (b), any director whose initial
      assumption of office occurred as a result of an actual or threatened
      (i) election
      contest with respect to the election or removal of directors or other
      actual or threatened solicitation of proxies or consents by or on behalf
      of a person or group other than the Board or (ii) tender offer,
      merger, sale of substantially all of the Company’s assets, consolidation,
      reorganization, or business combination that would be a Change in Control
      under clause (i) on the consummation thereof;
or

            

    

    

    
      	
               
      

            	
              (c)

            	
              a
      director who was serving on the Board as a result of the consummation of a
      transaction described in clause

            

    

    
      

      
        
          
          

        

        
          4

          
            

          

        

        
          
          

        

      

      
        	
                 
      

              	
                 

              	
                (i)
      that would not be a Change in Control under clause (i);
  or

              

      

       

    

    
      	
               
      

            	
              (iv)

            	
              the
      approval by the Company’s shareholders of a liquidation or dissolution of
      the Company other than in connection with a transaction described in
      clause (i) of this definition that would not be a Change in Control
      thereunder.

            

    

    

    Except as
otherwise specifically defined in this definition, the term “person” means an
individual, corporation, partnership, trust, association or any other entity or
organization.

    

    
      	
               
      

            	
              B.

            	
              “Discharges”:  terminates
      the Executive for any reason other than indictment or conviction for a
      felony or other crime involving substantial moral turpitude, disability,
      death, alcoholism, drug addiction or the gross, active misfeasance of the
      Executive with regard to his duties with the
  Company.

            

    

    

    
      	
               
      

            	
              C.

            	
              “Constructively
      Discharges”:  changes location or reduces the Executive’s
      status, duties, responsibilities or direct or indirect compensation,
      (including future increases commensurate with those given other managers
      of the Company), or so alters the style or philosophy of the conduct of
      the Company’s business, in the opinion of the Executive, as to cause it to
      be undesirable to the Executive to remain in the employ of the Company,
      any of which events shall be deemed to occur on the date the Executive
      provides written notice to the Company of the circumstances constituting a
      Constructive Discharge.

            

    

    

    
      	
               
      

            	
              D.

            	
              “Severance
      Benefit”:  a payment equal to two-hundred percent (200%) of the
      Executive’s “annualized includible compensation for the base period” as
      defined in Section 280G(d) of the
Code.

            

    

    

    
      	
               
      

            	
                  Notwithstanding
      the foregoing Severance Benefit formula, any payments to which the
      Executive is entitled upon Discharge or Constructive Discharge or
      Resignation from the Company shall be adjusted so that the aggregate
      present value of all “parachute payments” (as defined in Section
      280G(b)(2) of the Code) to which the Executive is entitled is less than
      300% of the Executive’s “annualized includible compensation for the base
      period” as defined in Section 280G(d) of the Code.  The
      determination as to whether there is any adjustment (and the extent
      thereof) in the payments due the Executive because of this paragraph shall
      be made in writing within thirty (30) days after Discharge or Constructive
      Discharge or Resignation, by the Company’s independent accountants,
      compensation consultants or legal

            

    

    
      

      
        
          
          

        

        
          5

          
            

          

        

        
          
          

        

      

      
        	
                 
      

              	
                counsel
      (“Independent Advisor”) on the date of the Change in Control and shall be
      final and binding on the Executive and the Company.  The Company
      shall furnish said Independent Advisor with all data required to make said
      determination within ten (10) days after Discharge, or Constructive
      Discharge or Resignation.  If there is any such adjustment, the
      Executive may request which payments or distributions shall be reduced and
      the Company may acquiesce in such request if permitted under applicable
      law.

              

      

       

    

    
      	
               
      

            	
                  If,
      notwithstanding the foregoing, it is established pursuant to the final
      determination of a court or the Internal Revenue Service that payments
      have been made to, or provided for the benefit of, Executive by the
      Company which are subject to the excise tax of Section 4999, the Company
      shall reimburse, or pay for the benefit of, the Executive such excise tax
      and indemnify and hold the Executive harmless, on an after-tax basis, for
      any additional excise, income or employment taxes, including interest and
      penalties, imposed as a result of such final determination with any such
      reimbursements being made no later than the end of the taxable year of the
      Executive following the taxable year in which the excise tax is
      remitted.

            

    

    

    5.    Payment.  The
Severance Benefit shall be paid to the Executive in a lump sum not later than
thirty (30) days after Discharge or Constructive Discharge or
Resignation.  No interest shall be due upon the Severance Benefit
unless it is not paid when due and in which case interest shall accrue thereon
at the applicable Federal rate used to determined present value under Section
280G of the Code.

    

    Notwithstanding the foregoing, in the
event the Executive is a “specified employee” within the meaning of Section 409A
of the Code and the regulations thereunder as of the date of Discharge,
Constructive Discharge or Resignation, the Severance Benefit under this Section
3 shall be paid six (6) months after the date of Discharge, Constructive
Discharge or Resignation as required by Section 409A, or, if earlier, the date
of death of the Executive.

    

    6.    Continuation of
Benefits.  If the Executive becomes entitled to the Severance
Benefit in accordance with Section 4 hereof, the Company shall continue to
provide health, medical and life insurance in accordance with the following
rules:

    

    A.           General
Rule.  If Executive is eligible for the Severance Benefit under
Section 4 and timely elects COBRA coverage under the provisions of Section 4980B
of the Code in connection with Executive’s termination of employment, the
Company shall reimburse Executive for the COBRA coverage premiums Executive pays
each month to purchase such coverage from the Company for Executive and, if so
elected, for Executive’s eligible dependents, and the reimbursement for one
month shall be made no later than the end of the immediately following month;
provided, however, such reimbursement shall be made for no more than 24 months
of COBRA coverage.

    

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

    B.           Special
Rules.

    

    (i).           COBRA Coverage
Expires.  If Executive’s COBRA coverage expires in less than 24
months and Executive elects before the expiration of such COBRA coverage to
continue to purchase from the Company coverage identical to COBRA coverage under
this Section 6.B(i) at 100% of the then COBRA coverage premium, Executive may
purchase such coverage until the  total number of months of coverage
Executive has purchased under Section 6.A and  this Section 6.B(i)
equals 24.  The Company shall reimburse Executive for such premiums,
and the reimbursement for premiums paid for one month shall be made no later
than the end of the following month.

    

    (ii).           Additional
Coverage.  If Executive elects before the expiration of
Executive’s coverage under Section 6.A or Section 6.B(i), whichever comes last,
to continue to purchase from the Company coverage identical to COBRA coverage
under this Section 6.B(ii), Executive may purchase such coverage at Executive’s
expense at 100% of the then COBRA coverage premium for a period which shall not
exceed 18 additional months, provided Executive pays such premiums at the same
time and in the same manner as the Company then requires for premium payments to
purchase COBRA coverage.

    

    C.           Life
Insurance.  In addition, if Executive is eligible for the
Severance Benefit under Section 4, the Company shall reimburse Executive for
life insurance premiums Executive pays each month to purchase life insurance
coverage at substantially the same level of benefits as the Executive has at the
date of termination of employment, and the reimbursement for one month shall be
made no later than the end of the immediately following month.  Such
payments shall continue through the twenty-fourth (24th) month
following Executive’s termination of employment.  Notwithstanding the
foregoing subsections, in the event the Executive is a “specified employee”
within the meaning of Section 409A of the Code and the regulations thereunder as
of the date of termination of employment, the reimbursements under this
subsection 6C shall accrue during the first six (6) months after the date of
termination of employment and be paid on the first day of the seventh (7th) month
after the date of termination of employment as required by Section 409A, or, if
earlier, the date of death of the Executive.  Thereafter, subsequent
reimbursements shall be made in the time and manner set forth in this subsection
6C.

    

    7.    Injunction.  Executive
expressly recognizes that any breach of the provisions of this Agreement is
likely to result in irreparable injury to Company and that monetary damages may
not adequately compensate Company for such breach.  Therefore,
Executive agrees that Company shall be entitled, if it so elects, to institute
and prosecute proceedings in any court of competent jurisdiction not only to
obtain damages for any breach of this Agreement, but also to enforce the
specific performance of this Agreement by Executive and to enjoin Executive from
activities in violation of this Agreement.  Further, Executive agrees
that any breach of the provisions of this Agreement shall automatically toll and
suspend the period of restraint for the amount of time that the breach
continues.

    

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

    8.    Notices.  Any
notices, requests, demands and other communications provided for by this
Agreement shall be sufficient if in writing and if sent by registered or
certified mail to the Executive at the last address he has filed in writing with
the Company or, in the case of the Company, at its principal executive offices
addressed to the President.

    

    9.    Non-Alienation.  The
Executive shall not have any right to pledge, hypothecate, anticipate or in any
way create a lien upon any amounts provided under this Agreement; and no
benefits payable hereunder shall be assignable in anticipation of payment either
by voluntary or involuntary acts, or by operation of
law.  Notwithstanding the foregoing provisions, in the event that the
Executive dies following Discharge or Constructive Discharge or Resignation
after a Change in Control but before receiving all of his Severance Benefit, the
unpaid Severance Benefit shall be paid to his Estate in accordance with the
terms of this Agreement.

    

    10.    Governing
Law.  The provisions of this Agreement shall be construed in
accordance with the laws of the State of Tennessee.  Executive and the
Company agree that any proceeding arising out of or in connection with this
Agreement may be brought in the courts of Hamilton County, Tennessee, and
Executive and the Company waive, to the fullest extent permitted by applicable
law, any objection either may have to the appropriate venue of such court in any
such proceeding.

    

    11.    Amendment.  This
Agreement may not be amended or cancelled except by the mutual agreement of the
parties in writing.

    

    12.    Successors to the
Company.  Except as otherwise provided herein, this Agreement
shall be binding upon and inure to the benefit of the Company and any successor
of the Company.

    

    13.    Severability.  In
the event that any provision or portion of this Agreement shall be determined to
be invalid or unenforceable for any reason, the remaining provisions of this
Agreement shall be unaffected thereby and shall remain in full force and
effect.

    

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

    IN
WITNESS WHEREOF, the Executive has hereunto set his hand and, pursuant to the
authorization from its Board of Directors, the Company has caused these presents
to be executed in its name on its behalf, and its corporate seal to be hereunto
affixed and attested by its Secretary, all as of the day and year first above
written.

    

    

     

    
      	 	

              _____________________________________

               

              

              

              CHATTEM,
      INC.

              

              By:
      __________________________________

              Name:  _______________________________

              Title:
      _________________________________ 

            

    

     

    
       

      
        
          
          

        

        
          9WWW.EXFILE.COM, INC. -- 888-775-4789 -- CHATTEM, INC. -- EXHIBIT 10.5 TO FORM 10-Q

    EXHIBIT 10.5

      

      

      FORM OF

      NON-COMPETITION AND
SEVERANCE AGREEMENT

      

      This
Agreement is made and entered into by and between Chattem, Inc., a Tennessee
corporation (“Chattem”) and _______________________ (the “Executive”) effective
on the Effective Date.

      

      WITNESSETH

      

      WHEREAS,
Chattem desires to enter into this Agreement with Executive; and

       

      WHEREAS,
Executive desires to enter into this Agreement with Chattem;

      

      NOW,
THEREFORE, Chattem and Executive for such consideration as each deems full and
adequate do hereby agree as follows:

      

      § 1.           Term.  The
initial term of this Agreement shall commence on the Effective Date and shall
expire on the third anniversary of such date; provided, however, the initial
term automatically shall extend for 1 additional year on each anniversary of the
Effective Date unless either Chattem or Executive delivers written notice to the
other no less than 90 days before such anniversary of the Effective Date to the
effect that there will be no such extension.

      

      § 2.           Definitions.

      

      Board.  The
term “Board” for purposes of this Agreement means the Board of Directors of
Chattem.

      

      Cause.  The
term “Cause” for purposes of this Agreement means (i) willful or gross
misconduct by Executive that is materially detrimental to Chattem or a
Chattem  Affiliate, including but not limited to, a violation of
Chattem’s trading policy or code of business conduct, (ii) acts of personal
dishonesty or fraud by an Executive toward Chattem or a Chattem Affiliate which
is materially detrimental to Chattem or a Chattem Affiliate, (iii) Executive’s
conviction of a felony, except for a conviction related to vicarious liability
based solely on Executive’s position with Chattem or a Chattem Affiliate,
provided that Executive had no involvement in actions leading to such liability
or had acted upon the advice of Chattem’s or a Chattem Affiliate’s counsel or
(iv) Executive’s refusal to cooperate in an investigation of Chattem if
requested to do so by the Board.

      

      Change in
Control.  The term “Change in Control” for purposes of this
Agreement means:

      

      
        	
                 
      

              	
                (a)

              	
                the
      sale by Chattem of all or substantially all of its assets or the
      consummation by Chattem of any merger, consolidation, reorganization, or
      business combination with any person, in each case, other than in a
      transaction:

              

      

      

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      
        	
                 
      

              	
                (i)

              	
                in
      which persons who were shareholders of Chattem immediately prior to such
      sale, merger, consolidation, reorganization, or business combination own,
      immediately thereafter, (directly or indirectly) more than 50% of the
      combined voting power of the outstanding voting securities of the
      purchaser of the assets or the merged, consolidated, reorganized or other
      entity resulting from such corporate transaction (the “Successor
      Entity”);

              

      

      

      
        	
                 
      

              	
                (ii)

              	
                in
      which the Successor Entity is an employee benefit plan sponsored or
      maintained by Chattem or any person controlled by Chattem;
    or

              

      

      

      
        	
                 
      

              	
                (iii)

              	
                after
      which more than 50% of the members of the board of directors of the
      Successor Entity were members of the Board at the time of the action of
      the Board approving the transaction (or whose nominations or elections
      were approved by at least 2/3 of the members of the Board at that
      time);

              

      

      

      
        	
                 
      

              	
                (b)

              	
                the
      acquisition directly or indirectly by any “person” or “group” (as those
      terms are used in Sections 13(d), and 14(d) of the Exchange Act, including
      without limitation, Rule 13d-5(b)) of “beneficial ownership” (as
      determined pursuant to Rule 13d-3 under the Exchange Act) of securities
      entitled to vote generally in the election of directors (“voting
      securities”) of Chattem that represent 30% or more of the combined voting
      power of Chattem’s then-outstanding voting securities, other
      than:

              

      

      

      
        	
                 
      

              	
                (i)

              	
                an
      acquisition by a trustee or other fiduciary holding securities under any
      employee benefit plan (or related trust) sponsored or maintained by
      Chattem or any person controlled by Chattem or by any employee benefit
      plan (or related trust) sponsored or maintained by Chattem or any person
      controlled by Chattem;

              

      

      

      
        	
                 
      

              	
                (ii)

              	
                an
      acquisition of voting securities by Chattem or a person owned, directly or
      indirectly, by the holders of at least 50% of the voting power of
      Chattem’s then outstanding securities in substantially the same
      proportions as their ownership of the stock of
  Chattem;

              

      

      

      
        	
                 
      

              	
                (iii)

              	
                an
      acquisition of voting securities from Chattem;
  or

              

      

      

      
        
          
          

        

        
          2

          
            

          

        

        
          
          

        

      

      
        	
                 
      

              	
                (iv)

              	
                an
      acquisition of voting securities pursuant to a transaction described in
      clause (a) of this definition that would not be a Change in Control under
      clause (a); and

              

      

      

      for
purposes of clarification, an acquisition of Chattem’s securities by Chattem
that causes Chattem’s voting securities beneficially owned by a person or group
to represent 30% or more of the combined voting power of Chattem’s
then-outstanding voting securities is not to be treated as an “acquisition” by
any person or group for purposes of this clause (b);

      

      
        	
                 
      

              	
                (c)

              	
                a
      change in the composition of the Board that causes less than a majority of
      the directors of Chattem to be directors that meet one or more of the
      following descriptions:

              

      

      

      
        	
                 
      

              	
                (i)

              	
                a
      director who has been a director of Chattem for a continuous period of at
      least 24 months;

              

      

      

      
        	
                 
      

              	
                (ii)

              	
                a
      director whose election or nomination as director was approved by a vote
      of at least 2/3 of the then directors described in clauses (c)(i), (ii) or
      (iii) of this definition by prior nomination or election, but excluding,
      for the purposes of this subclause (ii), any director whose initial
      assumption of office occurred as a result of an actual or threatened (y)
      election contest with respect to the election or removal of directors or
      other actual or threatened solicitation of proxies or consents by or on
      behalf of a person or group other than the Board or (z) tender offer,
      merger, sale of substantially all of Chattem’s assets, consolidation,
      reorganization, or business combination that would be a Change in Control
      under clause (a) on the consummation thereof;
or

              

      

      

      
        	
                 
      

              	
                (iii)

              	
                a
      director who was serving on the Board as a result of the consummation of a
      transaction described in clause (a) that would not be a Change in Control
      under clause (a); or

              

      

      

      
        	
                 
      

              	
                (d)

              	
                the
      approval by Chattem’s shareholders of a liquidation or dissolution of
      Chattem other than in connection with a transaction described in clause
      (a) of this definition that would not be a Change in Control
      thereunder.

              

      

      

      Except as
otherwise specifically defined in this definition, the term “person” means an
individual, corporation, partnership, trust, association or any other entity or
organization.

      
        
          
          

        

        
          3

          
            

          

        

        
          
          

        

      

      

      Chattem.  The
term “Chattem” for purposes of this Agreement means Chattem, Inc. and any
successor to Chattem, Inc.

      

      Chattem
Affiliate.  The term “Chattem Affiliate” for purposes of this
Agreement means any organization whose employees are treated as employed by
Chattem under § 414(c) of the Code.

      

      COBRA
Coverage.  The term “COBRA Coverage” means the health, vision
and dental care coverage which Chattem is required to provide pursuant to §4980B
of the Code.

      

      Code.  The
term “Code” for purposes of this Agreement means the Internal Revenue Code of
1986, as amended.

      

      Compensation
Committee.  The term “Compensation Committee” for purposes of
this Agreement means the Compensation Committee of the Board or any successor to
such committee.

      

      Confidential or Proprietary
Information.  The term “Confidential or Proprietary
Information” for purposes of this Agreement means any secret, confidential, or
proprietary information of Chattem or a Chattem Affiliate (not otherwise
included in the definition of Trade Secret in this Agreement) that has not
become generally available to the public by the act of one who has the right to
disclose such information without violating any right of Chattem or a Chattem
Affiliate.

      

      Current Cash Compensation
Package.  The term “Current Cash Compensation Package” for
purposes of this Agreement means the sum of the following:

      

      
        	
                 
      

              	
                (a)

              	
                Executive’s
      highest annual base salary from Chattem and any Chattem Affiliate which
      (but for any salary deferral election) is in effect at any time during the
      1 year period which ends on the date Executive has a Separation from
      Service under the circumstances described in § 4.1;
    and

              

      

      

      
        	
                 
      

              	
                (b)

              	
                The
      greater of (i) Executive’s bonus for the calendar year which immediately
      precedes the calendar year in which Executive has a Separation from
      Service under the circumstances described in § 4.1 or (ii) 100% of
      Executive’s target bonus for the calendar year in which Executive has a
      Separation from Service under the circumstances described in §
      4.1.

              

      

      

      Effective
Date.  The term “Effective Date” for purposes of this Agreement
means the date shown in the signature section of this Agreement as the date
Chattem signs this Agreement.

      
        
          
          

        

        
          4

          
            

          

        

        
          
          

        

      

      

      Equity
Grants.  The term “Equity Grants” for purposes of this
Agreement means any equity or equity-type grant made by Chattem or by a Chattem
Affiliate, including stock option grants, restricted stock grants, stock
appreciation right grants and restricted stock unit grants.

      

      Exchange
Act.  The term “Exchange Act” for purposes of this Agreement
means the Securities Exchange Act of 1934, as amended.

      

      Good
Reason.  The term “Good Reason” for purposes of this Agreement
means (i) a material demotion or a material diminution of Executive’s duties,
responsibilities and status; (ii) a material reduction in base salary or annual
incentive opportunities; (iii) the assignment to a primary workplace which is
more than 50 miles from Executive’s primary workplace on the date of this
Agreement, unless Executive voluntarily consents to the applicable change
described in clause (i), (ii), or (iii) of this definition; or (iv) any material
breach of this Agreement by Chattem.

      

      Gross Up
Payment.  The term “Gross Up Payment” for purposes of this
Agreement means a payment to or on behalf of Executive which shall be sufficient
to pay (i) any excise tax described in § 4.4(c)(3) in full, (ii) any
federal, state and local income tax and social security and other employment tax
on the payment made to pay such excise tax as well as any additional taxes,
including excise taxes, on such payment and (iii) any interest or penalties
assessed by the Internal Revenue Service on Executive which are related to the
payment of such excise tax unless such interest or penalties are attributable to
Executive’s willful misconduct or negligence.

      

      Restricted
Period.  The term “Restricted Period” for purposes of this
Agreement means the period which starts on the effective date of a Change in
Control and ends on the first anniversary of the date of Executive’s Separation
from Service following such Change in Control.

      

      Separation from
Service.  The term “Separation from Service” means a
“separation from service” within the meaning of §409A of the Code from Chattem
and from any Chattem Affiliate.

      

      Trade
Secret.  The term “Trade Secret” for purposes of this Agreement
means information, including, but not limited to, technical or nontechnical
data, a formula, a pattern, a compilation, a program, a device, a method, a
technique, a drawing, a process, financial data, financial plans, product plans,
or a list of actual or potential customers or suppliers that:

      

      
        	
                 
      

              	
                (a)

              	
                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

              

      

      

      
        
          
          

        

        
          5

          
            

          

        

        
          
          

        

      

      
        	
                 
      

              	
                (b)

              	
                is
      the subject of reasonable efforts by Chattem or a Chattem Affiliate to
      maintain its secrecy.

              

      

      

      § 3.           Restrictive
Covenants

      

      3.1           No Competitive
Activity.  Absent the Compensation Committee’s written consent,
Executive shall not, during the Restricted Period accept compensation or
anything of value from, nor offer or provide any services, including consulting
services, to any person, company, partnership, joint venture or other entity
which has or does a significant business involving, in whole or in part,
over-the-counter drugs, functional toiletries or dietary supplements which are
competitive with the products of Chattem marketed and sold during the term of
this Agreement up through the date of termination of employment with annual
sales for Chattem's most recently completed fiscal year in excess of $10
million.  This provision applies only to persons or entities selling
the above-specified products in competition with Chattem through food, drug or
mass merchandiser channels of distribution in the United States.

      

      3.2           No Solicitation of Customers
or Clients.  Executive shall not during the Restricted Period
solicit any customer or client of Chattem or any Chattem Affiliate with whom
Executive had any material business contact during the 2 year period which ends
on the date Executive has a Separation from Service on behalf of any business
that engages directly or indirectly in the sale of health and beauty aid
products over-the-counter, either individually, or as an owner, partner,
employee, agent, consultant, advisor, contractor, stockholder, investor, officer
or director of, or service provider to, any corporation, partnership, venture or
other business entity.

      

      3.3           Antipirating of
Employees   Absent the Compensation Committee's written
consent, Executive will not during the Restricted Period solicit to employ on
Executive's own behalf or on behalf of any other person, firm or corporation,
any person who was employed by Chattem or a Chattem Affiliate during the term of
Executive’s employment by Chattem or a Chattem Affiliate (whether or not such
employee would commit a breach of contract) unless at the time of such
solicitation such person had not been employed by Chattem or a Chattem Affiliate
for a period of at least 1 year.

      

      3.4           Trade Secrets and
Confidential Information.  Executive agrees that Executive will
hold in a fiduciary capacity for the benefit of Chattem and each Chattem
Affiliate, and will not directly or indirectly use or disclose, any Trade Secret
that Executive may have acquired during the term of Executive's employment by
Chattem or a Chattem Affiliate for so long as such information remains a Trade
Secret.  Executive in addition agrees that during the Restricted
Period Executive will hold in a fiduciary capacity for the benefit of Chattem
and each Chattem Affiliate, and will not directly or indirectly use or disclose,
any Confidential or Proprietary Information that Executive may have acquired
(whether or not developed or compiled by Executive and whether or not Executive
was authorized to have access to such information) during the term of, in the
course of, or as a result of Executive's employment by Chattem or a Chattem
Affiliate.  

      
        
          
          

        

        
          6

          
            

          

        

        
          
          

        

      

       

      This
§ 3.4 is intended to provide rights to Chattem which are in addition to,
and not in lieu of, any rights which Chattem has under applicable
law.

      

      3.5           Reasonable and Necessary
Restrictions and Non-Disparagement.  Executive acknowledges
that the restrictions, prohibitions and other provisions set forth in this
Agreement, including without limitation the Territory and Restricted Period, are
reasonable, fair and equitable in scope, terms and duration; are necessary to
protect the legitimate business interests of Chattem; and are a material
inducement to Chattem to enter into this Agreement.  Executive
covenants that Executive will not challenge the enforceability of this Agreement
nor will Executive raise any equitable defense to its
enforcement.  Further, Executive and Chattem each agree not to
knowingly make false or materially misleading statements or disparaging comments
about the other during the Restricted Period.

      

      3.6           Injunction.  Executive
expressly recognizes that any breach of the provisions of this § 3 is likely
to result in irreparable injury to Chattem and that monetary damages may not
adequately compensate Chattem for such breach.  Therefore, Executive
agrees that Chattem shall be entitled, if it so elects, to institute and
prosecute proceedings in any court of competent jurisdiction not only to obtain
damages for any breach of this Agreement, but also to enforce the specific
performance of this Agreement by Executive and to enjoin Executive from
activities in violation of this Agreement.  Further, Executive agrees
that any breach of the provisions of this Agreement shall automatically toll and
suspend the period of restraint for the amount of time that the breach
continues.

      

                     
§ 4.         Severance
Benefits

      

      4.1           Cash
Severance.

      

      (a)           General
Rule.  Subject to § 4.1(b), if Executive has a Separation
from Service initiated by Chattem without Cause or Executive has a Separation
from Service initiated by Executive’s resignation for Good Reason during the 1
year period which starts immediately following a Change in Control, Chattem
shall pay Executive in cash 2 times Executive’s then Current Cash Compensation
Package (less applicable tax withholdings) within 30 days after Executive’s
employment so terminates or, if Chattem acting in good faith reasonably
determines such payment at that time would subject Executive to an additional
tax under § 409A of the Code because Executive is a “specified employee”
under §409A of the Code, within 30 days after the 6 month anniversary of the
date of Executive’s Separation from Service or, if Executive dies before the end
of such 6 month period, within 30 days after Chattem has notice of Executive’s
death.

      

      (b)           Special
Rules.

      

      
        	
                 
      

              	
                (1)

              	
                Cause.  Any
      determination of “Cause” shall be made by the Compensation Committee
      acting in good faith after offering Executive a reasonable opportunity to
      “cure” in the case of an act described in clause (iv) of the definition of
      Cause and after offering Executive the opportunity to make a presentation
      in Executive’s defense in the case of an act described in clause (i) or
      (ii) of the definition of Cause.

              

      

      

      
        
          
          

        

        
          7

          
            

          

        

        
          
          

        

      

      
        	
              	
                (2) 

              	
                Good
      Reason.

              

      

      

      (A)           Cure
Period.  Executive must give written notice to Chattem within
the 60 day period which starts on the date on which Executive has actual notice
of the applicable change described in clause (i), (ii) or (iii) in the
definition of “Good Reason”, and Chattem will have a 30 day cure period from
date of the delivery of such notice to reverse such change.  Executive
shall have the right to resign for “Good Reason” only if Chattem fails to
reverse such change before the end of such 30 day cure period.

      

      (B)           Extension of Deadline to
Resign.  If the 60 day period described in § 4.1(b) (2)
(A) begins before the 1 year period described in § 4.1(a) ends and
Executive resigns for Good Reason within the 10 consecutive business day period
which immediately follows the last day of the 30 day cure period described in
§ 4.1(b) (2) (A), Executive’s deadline for resigning under § 4.1(a)
shall automatically be extended through the last day of such 10 consecutive
business day period.

      

      
        	
                 
      

              	
                (3)

              	
                Shareholder
      Approval.  If Chattem’s shareholders approve a merger or
      other transaction which results in a Change in Control and Executive has a
      Separation from Service initiated by Chattem without Cause or Executive
      has a Separation from Service initiated by Executive’s resignation for
      Good Reason on or after the date of the related shareholder meeting,
      Executive shall be deemed under §4.1(a) to have a Separation from Service
      initiated by Chattem without Cause or to have a Separation from Service
      initiated by Executive’s resignation for Good Reason immediately following
      a Change in Control.

              

      

      

      4.2           COBRA
Coverage.

      

      (a)           General
Rule.  If Executive is eligible for a cash payment under
§ 4.1 and timely elects COBRA Coverage in connection with Executive’s
Separation from Service, Chattem shall reimburse Executive for the COBRA
Coverage premiums Executive pays each month to purchase such coverage from
Chattem for Executive and, if so elected, for Executive’s eligible dependents,
and the reimbursement for one month shall be made no later than the end of the
immediately following month; provided, however, such reimbursement shall be made
for no more than 24 months of COBRA Coverage.

      
        
          
          

        

        
          8

          
            

          

        

        
          
          

        

      

      

      (b)           Special
Rules.

      

      (1)           COBRA Coverage
Expires.  If Executive’s COBRA Coverage expires in less than 24
months and Executive elects before the expiration of such COBRA Coverage to
continue to purchase from Chattem coverage identical to COBRA Coverage under
this §4.2(b) (1) at 100% of the then COBRA Coverage premium, Executive may
purchase such coverage until the total number of months of coverage Executive
has purchased under §4.2(a) and this §4.2(b) (1) equals 24.  Chattem
shall reimburse Executive for such premiums, and the reimbursement for premiums
paid for one month shall be made no later than the end of the following
month.

      

      (2)           Additional
Coverage.  If Executive elects before the expiration of
Executive’s coverage under §4.2(a) or §4.2(b)(1), whichever comes
last,  to continue to purchase from Chattem coverage identical to
COBRA Coverage under this §4.2(b)(2), Executive may purchase such coverage at
Executive’s expense at 100% of the then COBRA Coverage premium for a period
which shall not exceed 18 additional months, provided Executive pays such
premiums at the same time and in the same manner as Chattem then requires for
premium payments to purchase COBRA Coverage.

      

                     
4.3           Equity
Grants.

       

      If
Executive has any outstanding Equity Grants on Executive’s Separation from
Service, Executive’s rights with respect to such Equity Grants shall be
determined under the related plans or agreement pursuant to which such grants
were made.

      

                     
4.4           Golden Parachute
Tax.

      

      (a)           Determination.  Chattem
shall engage Chattem’s independent accountants, compensation consultants or
legal counsel (“Independent Advisor”) to determine in accordance with §4.4(b)
whether any payment and any benefit coverage called for under this Agreement
together with Executive’s Equity Grants and any other payments and benefits made
available to Executive by Chattem or a Chattem Affiliate (collectively
Executive’s “Change in Control Benefits”) will result in Executive being subject
to an excise tax under § 4999 of the Code.  If Chattem’s
Independent Advisor determines that Executive will be subject to an excise tax
under §4999 of the Code,  such Independent Advisor in accordance with
§4.4(b) shall further determine whether the net amount of Executive’s Change in
Control Benefits which Executive would receive after paying such excise tax
under §4999 of the Code would be more or less than the net amount of the Change
in Control Benefits which Executive would receive if such Change in Control
Benefits were reduced by the minimum amount required so that Executive would not
be subject to an excise tax under §4999 of the Code.

      

      (b)           Process.  The
determinations called for in §4.4(a) shall be made by Chattem’s Independent
Advisor reasonably and in good faith in accordance with § 280G of the Code
and any related regulations (whether proposed, temporary or final) and any

      
        
          
          

        

        
          9

          
            

          

        

        
          
          

        

      

      related
Internal Revenue Service rulings and any related case law.  Chattem
and Executive shall provide such information to Chattem’s Independent Advisor as
such advisor shall reasonably request in order to make such determinations, and
a copy of any proposed determinations shall be made available when completed to
Executive and Executive’s advisors.  Executive or Executive’s advisors
shall be provided a reasonable opportunity to review and comment on any such
proposed determinations before such determinations are finalized, and any such
comments shall be taken into account in making the final determinations to the
extent that there is clear support for such comments in §280G of the Code or any
related regulations or rulings or case law.

      

      (c)           Reduction in Change in
Control Benefits.

      

      (1)           If
Chattem’s Independent Advisor's final determination under §4.4(a) is that the
net amount of Executive’s Change in Control Benefits which Executive would
receive after paying such excise tax under §4999 of the Code would be less than
the net amount of the Change in Control Benefits which Executive would receive
if such Change in Control Benefits were reduced by the minimum amount required
so that Executive would not be subject to an excise tax under §4999 of the Code,
Executive hereby irrevocably waives Executive’s right to such Change in Control
Benefits to the extent provided in such final determination under §4.4(a);
provided,

      

      (2)           Executive
shall have the right (consistent with such final determination) to request which
specific payments and benefits, including Equity Grants, shall be subject to the
waiver described in §4.4(c)(1), and Chattem shall honor such request to the
maximum extent practicable under the circumstances, and

      

      (3)           If
the Internal Revenue Service proposes to assess an excise tax under §4999 of the
Code on Executive notwithstanding the waiver by Executive under this §4.4(c),
Chattem and Executive shall cooperate in preparing a response to such proposal,
Chattem shall reimburse Executive for any expenses, including legal expenses,
which Executive incurs in connection with such response, and Chattem shall make
a Gross Up Payment to or on Executive’s behalf to the extent such assessment is
made and Executive is responsible for paying such
tax.   Executive shall submit a claim to Chattem for any
reimbursement called for under this 4.4(c)(3) within 30 normal business days at
Chattem after Executive incurs an expense which is reimbursable under this
§4.4(c)(3) and such reimbursement shall be made within 10 normal business days
at Chattem after Executive submits such claim to Chattem for reimbursement, and
any Gross Up Payment called for under this §4.4(c)(3) shall be made by Chattem
before the due date for Executive paying such tax so that the tax is timely paid
by Chattem or Executive has the Gross Up Payment in hand to timely pay such
tax.

      
        
          
          

        

        
          10

          
            

          

        

        
          
          

        

      

      

      4.5.           Release.  Chattem
shall have the right to condition any payment and any benefit coverage described
in § 4.1 and § 4.2 on Executive timely executing a release in favor of
Chattem in substantially the same form as set forth in Exhibit A to this
Agreement.

      

      4.
6           Insurance and
Indemnification.  If Executive is eligible for a cash payment
under § 4.1, Chattem shall continue to provide to Executive following
Executive’s Separation from Service such insurance protection and
indemnification protection with respect to claims made against Executive based
on Executive’s status as an officer or employee of Chattem or a Chattem
Affiliate as Chattem provided immediately before Executive’s Separation from
Service for as long as Executive is at risk for being subject to any such
claims.

      

      § 5.           Dispute
Allowance.  If there is any dispute regarding any claim made by
Executive with respect to Executive’s rights under this Agreement, Chattem
promptly shall pay, or at Executive’s election, promptly reimburse Executive for
paying, 100% of Executive’s reasonable legal, accounting and other fees and
related expenses incurred in connection with such claim except to the extent
that there is a final determination by a court of competent jurisdiction that
Executive’s claim is frivolous.    Any such payments or
reimbursement shall be made subject to any applicable tax
withholdings.

      

      § 6.           Notices.  Any
notices, requests, demands and other communications provided for by this
Agreement shall be sufficient if in writing and if sent by registered or
certified mail to the Executive at the last address Executive has filed in
writing with Chattem or, in the case of Chattem, at its principal executive
offices addressed to the President.

      

      § 7.           Non-Alienation.  Executive
shall not have any right to pledge, hypothecate, anticipate or in any way create
a lien upon any amounts provided under this Agreement; and no benefits payable
under this Agreement shall be assignable in anticipation of payment either by
voluntary or involuntary acts, or by operation of
law.  Notwithstanding the foregoing provisions, in the event that
Executive dies following a Discharge or Constructive Discharge after a Change in
Control but before receiving all of Executive’s benefits under § 4, the
unpaid benefits shall be paid to Executive’s Estate in accordance with the terms
of this Agreement.  All cash payments to Executive shall be made from
Chattem’s general assets, and Executive shall be a general and unsecured
creditor of Chattem with respect to such payments.

      

      § 8.           Governing Law and
Forum.  This Agreement shall be construed, interpreted and
applied in accordance with the laws of the State of Tennessee (without giving
effect to the choice of law principles thereof), except to the extent superseded
by federal law.  Executive and Chattem agree to submit any dispute
arising out of or relating to this Agreement to the exclusive concurrent
jurisdiction of the federal and state courts located in the State of
Tennessee.  Executive and Chattem also irrevocably 

      
        
          
          

        

        
          11

          
            

          

        

        
          
          

        

      

      waive, to
the fullest extent permitted by applicable law, any objection either may now or
hereafter have to the laying of venue of any such dispute brought in such court
and any defense of inconvenient forum for the maintenance of such dispute, and
Executive and Chattem agree to accept service of legal process issuing in the
State of Tennessee.

      

      § 9.          Amendment.  This
Agreement may not be amended or cancelled except by the mutual agreement of
Executive and Chattem in writing.

      

      § 10.        Successors to
Chattem.  Except as otherwise provided in this Agreement, this
Agreement shall be binding upon and inure to the benefit of Chattem and any
successor of Chattem.

      

      § 11.        Severability.  In
the event that any provision or portion of this Agreement shall be determined to
be invalid or unenforceable for any reason, the remaining provisions of this
Agreement shall be unaffected thereby and shall remain in full force and
effect.

      

      § 12.        Entire
Agreement.  This Agreement constitutes the entire understanding
and agreement of Chattem and Executive with respect to the matters contemplated
in this Agreement and supersedes all prior understanding and agreements between
Chattem and Executive with respect to such matters.

      

      IN
WITNESS WHEREOF, Executive and Chattem, intending to be legally bound, have
signed this Agreement.

       

      
        	 	      
                
                   

                  
                    
      

                   

                  CHATTEM,
      INC.

                  

                  

                  By:    ____________________________

                  Title:
      ____________________________

                  Date:
      ____________________________ 

                

              

      

       

      
        
          
             

          

           

        

        
          12

          
            

          

        

        
           

        

      

      EXHIBIT
A

      

      FULL AND
COMPLETE RELEASE

      

      

      I, ______________, in consideration for
the payment of the severance to me which is described in the Amended
Non-Competition and Severance Agreement dated ___________ between me and
Chattem, Inc. (“Agreement”), for myself and my heirs, executors, administrators
and assigns, do hereby knowingly and voluntarily release and forever discharge
Chattem, Inc. and its affiliates, and their respective current and former
directors, officers and employees from any and all claims, actions and causes of
action under those federal, state and local laws prohibiting employment
discrimination based on age, sex, race, color, national origin, religion,
disability, veteran or marital status, sexual orientation, or any other
protected trait or characteristic, or retaliation for engaging in any protected
activity, including without limitation, the Age Discrimination in Employment Act
of 1967, 29 U.S.C. § 621 et seq., as amended by
the Older Workers Benefit Protection Act, P.L. 101-433, the Equal Pay Act
of 1963, 9 U.S.C.§ 206, et seq., Title VII
of The Civil Rights Act of 1964, as amended, 42 U.S.C. § 2000e et seq., the Civil
Rights Act of 1866, 42 U.S.C. § 1981, the Civil Rights Act of
1991, 42 U.S.C. § 1981a, the Americans with Disabilities Act,
42 U.S.C. § 12101, et seq., the
Rehabilitation Act of 1973, 29 U.S.C. § 791 et seq., the Family and
Medical Leave Act of 1993, 28 U.S.C. §§ 2601 and 2611 et seq., whether KNOWN
OR UNKNOWN, fixed or contingent, which I ever had, now have, or may have, or
which I, my heirs, executors, administrators or assigns hereafter can, shall or
may have, from the beginning of time through the date on which I sign this Full
and Complete Release (this “Release”), arising out of or related to my
employment by Chattem and my separation from employment with Chattem
(collectively the “Released Claims”).

      

      I warrant and represent that I have
made no sale, assignment, or other transfer, or attempted sale, assignment, or
other transfer, of any of the Released Claims.

      

      I fully understand and agree
that:

      

      
        	
                 
      

              	
                1.

              	
                this
      Release is in exchange for severance payments to which I would otherwise
      not be entitled;

              

      

      
        	
                 
      

              	
                2.

              	
                no
      rights or claims are released or waived that may arise after the date this
      Release is signed by me;

              

      

      
        	
                 
      

              	
                3.

              	
                I
      am hereby advised to consult with an attorney before signing this
      Release;

              

      

      
        	
                 
      

              	
                4.

              	
                I
      have 21 days from my receipt of this Release within which to consider
      whether or not to sign it;

              

      

      
        	
                 
      

              	
                5.

              	
                I
      have 7 days following my signature of this Release to revoke the Release;
      and

              

      

      
        	
                 
      

              	
                6.

              	
                this
      Release shall not become effective or enforceable until the revocation
      period of 7 days has expired.

              

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

      If I choose to revoke this Release, I
must do so by notifying Chattem in writing.  This written notice of
revocation must be mailed by U.S. first class mail or by U.S. certified mail
within the 7 day revocation period and addressed as follows:

      

      Chattem,
Inc.

      1715 West
38th
Street

      Chattanooga,
Tennessee 37409

      

      This Release is the complete
understanding between me and Chattem in respect of the subject matter of this
Release and supersedes all prior agreements relating to the same subject
matter.  I have not relied upon any representations, promises or agreements
of any kind except those set forth herein in signing this Release.

      

      In the event that any provision of this
Release should be held to be invalid or unenforceable, each and all of the other
provisions of this Release shall remain in full force and effect.  If any
provision of this Release is found to be invalid or unenforceable, such
provision shall be modified as necessary to permit this Release to be upheld and
enforced to the maximum extent permitted by law.

      

      This Release is to be governed and
enforced under the laws of the State of Tennessee (except to the extent that
Tennessee conflicts of law rules would call for the application of the law of
another jurisdiction).

      

      This Release inures to the benefit of
Chattem and its successors and assigns.

      

      I have carefully read this Release,
fully understand each of its terms and conditions, and intend to abide by this
Release in every respect.  As such, I knowingly and voluntarily sign this
Release.

      

       

      
        
          	
                   

                	
                   

                	 	 
	 	 	 	 
	 	 	 	 
	 	 	

                  Date:

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00144-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00144-of-00352.parquet"}]]