Document:

Exhibit 10.3

 

SETTLEMENT AGREEMENT AND MUTUAL RELEASE

 

This Settlement Agreement
and Mutual Release (“Settlement Agreement” or “Agreement”) is entered into as of this 25th day
of February, 2015 by and between (i) Medical Transcription Billing Corp. with a principal address of 7 Clyde Road, Somerset, New
Jersey, 08873 (hereinafter sometimes referred to as “MTBC”); (ii) EA Health Corporation, a California corporation,
with a principal place of business of 440 Stevens Avenue, Suite 150, Solana Beach, CA 92075, (hereinafter sometimes referred to
as “EA Health”); and Christopher F. Burns (hereinafter sometimes referred to as “Burns”), an individual
residing at 13171 Deron Avenue, San Diego, CA 92129; who are more fully identified below and are sometimes hereinafter referred
to collectively as the “Parties.”

 

RECITALS

 

WHEREAS, the
Parties are currently in a dispute regarding, inter alia, the alleged improper interference with and solicitation by EA
Health and Burns of clients holding a business relationship with MTBC and their alleged infringement of certain trade secrets belonging
to MTBC (the “Dispute”);

 

WHEREAS, EA
Health and Burns deny any wrongdoing in connection with the Dispute and specifically deny the solicitation or interference with
any clients with whom MTBC may have a business relationship, or any infringement of any trade secrets or other confidential information
owned by MTBC.

 

WHEREAS FURTHER,
the Parties have agreed to amicably resolve their dispute by entering into this Settlement Agreement;

 

NOW THEREFORE
In consideration of the mutual covenants contained herein and for other good and valuable consideration, the adequacy and receipt
of which are hereby acknowledged and conclusively established, Parties agree as follows:

 

AGREEMENT

 

1.            Parties’ Settlement.
The Parties agree to the following:

 

(a)            For a period
of six (6) months commencing on December 17, 2014 and ending on June 17, 2015 (the “Restricted Period”), EA Health
and Burns agree not to do any of the following: (i) induce or seek to influence any current or former customer of MTBC, including
any former customer of Physician Development Strategies Inc. d/b/a Practice Development Strategies (“PDS”) to transact
Business (as defined below) with them or another competitor of MTBC, or not to do Business with MTBC; or (ii) contract or enter
into any business relationship concerning the Business with any current or former customer of MTBC including any former customer
of Physician Development Strategies Inc. d/b/a Practice Development Strategies. For purposes of this Agreement, Business shall
mean providing billing, collection and other revenue cycle management services to physicians and physician practices. The parties
acknowledge that the term Business shall not prohibit any agreements between EA Health (or an affiliate of EA Health) and a current
or former customer of PDS or MTBC in connection with EA Health’s specialty on-call coverage programs pursuant to which EA
Health (or an affiliate of EA Health) provides coding, billing and collection services on behalf of EA Health client hospitals.
MTBC acknowledges and agrees that the restrictions set forth in this Agreement shall expire upon the expiration of the Restricted
Period.

 

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(b)            Notwithstanding
the foregoing, the following customers shall be considered customers of EA Health, shall not be subject to the restrictions set
forth in Section 1(a) above, and MTBC shall not have any rights against EA Health and Burns in connection with any services provided
by EA Health to such customers (the “Existing EA Clients”). In addition, the termination date of any agreement between
the Existing EA Client and MTBC (“MTBC Termination Date”) is set forth below:

 

	Existing EA Client	 	MTBC Termination Date
	 	 	 
	Chest Medicine and Critical Care Medical Group, Inc.	 	Jan. 1, 2015
	Catherine Maywood, M.D.	 	Jan. 31, 2015
	La Jolla Pulmonary & Critical Care, Inc.	 	Jan. 1, 2015
	Eileen S. Natuzzi, A Medical Corp.	 	Feb. 1, 2015
	Kamel L. Kamel, M.D., Inc.	 	Dec. 31, 2014
	John A. Grimaldi, D.O., Inc.	 	Feb. 5, 2015
	Prema Sai Medical PC (Dr. Rajpara)	 	Feb. 6, 2015
	Samuel  J. Clark, M.D., Inc.	 	Feb. 18, 2015
	Peter Schultz, CRNP	 	Jan. 7, 2015
	Gail T. Tominaga, M.D., Inc.	 	Jan. 1, 2015
	Imad S. Dandan, M.D.	 	Jan. 18, 2015
	James G. Schwendig, M.D., Inc.	 	Dec. 31, 2014
	Fady S. Nasrallah, M.D.	 	Dec. 30, 2014
	South Bay Surgical Associates	 	Jan. 15, 2015

 

(c)            To the extent
that an Existing EA Client requests EA Health to provide collection services in connection with claims for which MTBC provided
the original billing services (an “MTBC Claim”), MTBC shall cooperate with EA Health in assigning or transferring to
EA Health the MTBC Claim in order to permit EA Health to provide such services to the Existing EA Client, to the extent that MTBC
has made an arrangement with the Existing EA Client to permit such assignment. Notwithstanding the foregoing, EA Health shall be
entitled to assist the Existing EA Clients in connection with collections or any other aspect regarding any MTBC Claim on or after
the date which is thirty (30) days following the MTBC Termination Date with respect to each Existing EA Client.

 

(d)            MTBC and EA
Health shall promptly deliver to each other any payment, explanation of benefits, or correspondence received (electronically, or
otherwise), for any claim billed by the other party.

 

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(e)            Upon the expiration
of any wind down period under an MTBC contract in connection with an Existing EA Client, MTBC shall promptly deliver to EA Health
the following information in the following formats:

 

		i.	Patient demographic file (in .CSV format) including
primary and secondary payer info;

 

		ii.	Transaction Report, sorted by patient, with all charge/payment/adjustment
activity grouped by claim (billing #), in .pdf format;

 

		iii.	Patient Ledger Report for all patients, excluding
Paid Billings, with All References included;

 

		iv.	Aged A/R Report by Insurance, sorted by payer, with
claim details (preferably in .pdf format);

 

		v.	Aged A/R Report by Patient, with claim details (in
..pdf format);

 

		vi.	Transaction Code List, omitting charge (CPT) codes
(preferably in .CSV format);

 

		vii.	A disc from eBridge containing all scanned billing
documents (charges, paper EOBs, correspondence, etc.) upon receipt from the Existing EA Client of the $150.00 fee charged by eBridge;

 

		viii.	MTBC shall cooperate and execute any documents or
consents as may be necessary to permit access to the Existing EA Client electronic claim and ERA files on Gateway EDI clearinghouse;

 

		ix.	MTBC approval to transfer collection agency relationship
(if any) from PDS/MTBC to client directly; and

 

		x.	An electronic copy on disc or via ftp file transfer
of the Lytec database for each Existing EA Client.

 

2. Mutual Release.
 With the exception of the Parties’ obligations hereunder in consideration for the commitments contained within
this Settlement Agreement, each Party forever releases and discharges the other Party and all of their stockholders, employees,
agents, successors, assigns, employees, legal representatives, affiliates, directors, and officers from and against any and all
actions, claims, suits, demands, payment obligations or other obligations or liabilities of any nature whatsoever, accrued and
unaccrued, known or unknown, which such Party or any of its stockholders, employees, agents, successors, assigns, legal representatives,
affiliates, directors, or officers have had, now have, or may in the future have, directly or indirectly, arising out of or in
connection with:

 

(a) the Dispute;

(b) any agreement between the Parties;

 

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(c) any other matter between the
Parties; and/or

(d) any claims under federal, state,
or local law, rule or regulation of breach of contract, breach of confidentiality agreement, tortious interference with contract,
unlawful interference with contractual relation unlawful interference with prospective economic advantage and misappropriation
of confidential information or trade secret.

 

Notwithstanding
anything contained in this Agreement to the contrary, this Agreement shall not be deemed to release Burns from any duties or obligations
under that certain Asset Purchase Agreement Modification/Settlement Agreement and Mutual Release dated on or around February 18,
2015 among Burns, MTBC, Ravindran Ramoji, and Physician Development Strategies, d/b/a Practice Development Strategies (the “MTBC
Ramoji Settlement Agreement”), and the MTBC Ramoji Settlement Agreement shall remain in full force and effect.

 

3.            Acknowledgments.
Each party hereby:

 

(a)            states
that it is not relying on, and has not relied on, any representation or statement made by the other party with respect to any facts,
or with regard to the rights or asserted rights of the parties, except those that appear in this Settlement Agreement;

 

(b)            assumes
the risk of any mistake of the fact with regard to any claims or facts which are now unknown to it;

 

(c)            expressly
waives any and all rights that might be granted to it pursuant to Section 1542 of the California Civil Code. California
Civil Code Section 1542 reads:

 

“A general release does not extend
to claims which the creditor does not know or suspect to exist in his or her favor at the time of executing the release, which
if known by him or her must have materially affected his or her settlement with the debtor.”

 

(d)            represents
and warrants that it is the lawful owner of, and has not heretofore assigned or transferred any of, the claims against the other
party released hereunder; and

 

(e)            represents
that it has the full and complete authority to execute this Settlement Agreement and to bind itself and its affiliates to the terms
and provisions of this Settlement Agreement.

 

4.            Miscellaneous.

 

a.            Acknowledgement.
Each Party hereby declares that the terms of this Agreement have been completely read and are fully understood and voluntarily
accepted by such Party and each Party has had the opportunity to seek any necessary advice of counsel.

 

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b.            Entire
Agreement. This is the entire agreement between the Parties concerning the subject matter contained herein.
 This Agreement shall not be modified or amended unless done so in a writing signed by the Parties themselves or their
authorized representatives.

 

c.            Construction.
The Parties agree that this Agreement shall not be construed more strictly against any Party.

 

d.            Counterparts.
This Agreement may be executed in counterparts, and signatures may be exchanged by facsimile, and when so executed and exchanged
such signatures shall be fully binding as if all Parties had signed the same original document and delivered it to the other.

 

e.            Further
Actions. Each Party shall take such further action (including, but not limited to, the execution, acknowledgment
and delivery of documents, data or the like in such Party's possession) necessary to facilitate the implementation and performance
of this Agreement.

 

f.            No
Admissions. This Agreement is entered into by the Parties as a compromise of disputed claims and shall not be
construed as an admission of liability on the part of any Party, nor as an admission of the merit or lack of merit of any claim
or defense asserted or which could have been asserted by any Party.

 

g.            Jurisdiction
and Venue. This Agreement shall be interpreted, construed and enforced in all respects in accordance with the laws of the State
of New Jersey, excluding its conflict of laws principles. The Parties irrevocably agree that any action to enforce the provisions
of this Settlement Agreement or arising under or by reason of this Settlement Agreement shall be brought solely in the Superior
Court of New Jersey, Somerset County venue.

 

h.            Ownership
of Claims. Each of the parties represents and warrants that it owns all rights, title and interest in and to all claims, causes
of action, demands and indebtedness provided to be settled, released or waived by it pursuant to this Agreement. Each party further
represents and warrants that it has not assigned, hypothecated, transferred, sold or in any manner alienated any such claims, demands,
causes of action or indebtedness, whether in whole or in part, whether individually or collectively. Each party agrees that it
will indemnify and defend the other in the event any claim is asserted on the basis of any claim released, settled or waived pursuant
to this Agreement.

 

i.            Covenant
Not to Sue. The parties hereto promise that they will not bring any action against any other party asserting any claim or liability
that is released pursuant to section 2 of this Agreement.

 

j.            Non-disparagement.
During the period ending three (3) years after the execution of this Agreement, each Party agrees to refrain from making any disparaging,
negative or uncomplimentary statements, whether public or private, regarding any Party or any of its stockholders, employees, agents,
successors, assigns, employees, legal representatives, affiliates, directors or officers.

 

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IN WITNESS WHEREOF,
the Parties have caused this Termination Agreement to be duly executed as of the date set forth below.

 

 

	Medical Transcription Billing, Corp.	 	EA Health Corporation,
	a Delaware Corporation	 	 a California Corporation
	 	 	 	 	 
	 	 	 	 	 
	BY:	/s/ Stephen Snyder	 	BY:	/s/ Arthur L. Gruen
	Date:	February 25, 2015	 	Date:	February 25, 2015
	Name/Title:	Stephen Snyder/President	 	Name/Title:	Arthur L. Gruen,
Chief Executive Officer
	 	 	 	 	 
	 	 	 	 	 
	/s/ Christopher F. Burns	 	 	 
	CHRISTOPHER F. BURNS, an individual	 	 	 
	Date:	February 25, 2015	 	 	 

 

    	6WR-12.31.2014-10K Exhibit 10f-FormofRestrictedShareUnitsAward

Exhibit 10(f)

WESTAR ENERGY 
2011 LONG-TERM INCENTIVE AND SHARE AWARD PLAN 
 
RESTRICTED SHARE UNITS AWARD
	
		
	Name:
	«Officer»

	Number of Restricted Share Units:
	«Number_of_Restricted Share Units»

	Grant Date:
	____________________________________

Westar Energy, Inc. (the "Company") hereby grants to you «Number_of_Restricted Share Units» Restricted Share Units pursuant to the Company's 2011 Long-Term Incentive and Share Award Plan (the "Plan"), a copy of which has been delivered to you and made a part hereof, subject to the following terms and conditions and the terms and conditions of the Plan.  The terms used in this Award shall have the same meaning as in the Plan, except as otherwise specified herein, and except that "Restricted Share Units" shall refer only to the Restricted Share Units granted under this Award.
		
	1.
	Restricted Share Units.  Subject to the terms and conditions hereof and as contained in the Plan, each Restricted Share Unit shall represent the right to receive one share of the Company's common stock.

		
	2.
	Vesting.  The Restricted Share Units covered by this Award shall vest on January 1, «Third_Year_Following_Grant_Date_Year», if your employment continues uninterrupted through such date (the "Scheduled Vesting Date").  The period beginning on the Grant Date and ending on the Scheduled Vesting Date for purposes of this Award shall be called the "Restricted Period."

3.Dividend Equivalents.  
		
	(a)
	During the Restricted Period you shall receive, in cash, dividend equivalents in an amount equal to the amount of the cash dividends that you would have received if you owned during the Restricted Period the number of shares of the Company's common stock represented by such Restricted Share Units and such dividend equivalents shall be paid to you at the same time as dividends are paid to the Company's shareholders; provided, however, that the Company may, in its sole discretion, permit you to elect to defer receipt of such dividend equivalents pursuant to the Westar Energy, Inc. 2005 Deferred Compensation Plan.

		
	(b)
	If during the Restricted Period any shares of the Company's common stock or other property (other than cash) are distributed to holders of the Company's common stock in a pro rata distribution other than as a result of a stock split, you shall be entitled to receive the number of shares of the Company's common stock or the other property that you would have received if you owned during the Restricted Period the number of shares of the Company's common stock represented by the Restricted Share Units, and such stock or other property shall be paid to you at the same time as such payments are made to the Company's shareholders.

Exhibit 10(f)

		
	(c)
	If during the Restricted Period any shares of the Company's common stock are distributed to holders of the Company's common stock as a result of a stock split, your Award shall be increased by a number of additional Restricted Share Units equal to the number of shares of the Company's common stock that you would have received if you owned during the Restricted Period the number of shares of the Company's common stock represented by your Award.  Such additional Restricted Share Units shall be subject to the same terms, conditions and restrictions as the original Restricted Share Units covered by this Award.

4.Payment and Withholding.
		
	(a)
	As soon as administratively practicable following, but in no event later than thirty days of, the Scheduled Vesting Date set forth in Section 2 above for the Restricted Share Units, either certificate(s) evidencing the shares of the Company's common stock represented by the Restricted Share Units shall be delivered to you (without any legend to reflect terms, conditions and restrictions hereunder) or such shares shall be credited to an account maintained for you; provided, however, that the Company may, in its sole discretion, permit you to elect to defer receipt of such shares pursuant to the Westar Energy, Inc. 2005 Deferred Compensation Plan.

		
	(b)
	In the case of your death, shares to be delivered or credited pursuant to subsection (a) above following the Scheduled Vesting Date set forth in Section 2 above, shall instead be made to the beneficiary designated in writing by you pursuant to a form of designation provided by the Company, or, if none, to your estate.

		
	(c)
	The Company, if required, shall withhold taxes, at a rate not to exceed the minimum statutory rate, on any income realized in connection with the payment of Restricted Share Units or dividend equivalents.

		
	5.
	Separation from Service.  Except as provided below in this Section 5 and in Section 6, you shall be eligible for payment of awarded Restricted Share Units only if your employment with the Company continues uninterrupted through the end of the Restricted Period.

		
	(a)
	If your employment terminates due to a Separation from Service as defined in Internal Revenue Code section 409A during the Restricted Period on account of your death or Disability (as defined below), your Award shall be prorated based on the number of days from the Grant Date to the date of your Separation from Service, and the prorated Award shall be paid as provided in Section 4 above.  For purposes of this Award, the term "Disability" means, (1) you are unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than 12 months, or (2) you are, by reason of any medically determinable physical or mental impairment that 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 three months under an accident and health plan covering employees of the Company, or (3) you are determined to be totally disabled by the Social Security Administration.

Exhibit 10(f)

		
	(b)
	If you have a Separation from Service during the Restricted Period on account of your Retirement (as defined below), your Award shall be prorated based on the number of days from the Grant Date to the date of your Separation from Service, and the prorated Award shall be paid as provided in Section 4 above.  For purposes of this Award, the term “Retirement” means your cessation of services as an employee of the Company on or after the attainment of 60 years of age and 10 years of "Service" as defined in the Westar Energy, Inc. Retirement Plan.

		
	6.
	Change in Control.  Notwithstanding anything herein to the contrary, if a “Change in Control,” as defined below, occurs during the Restricted Period, your Restricted Share Units shall vest on the effective date of such Change in Control, and certificate(s) evidencing the shares of the Company’s common stock represented by the Restricted Share Units shall be delivered to you (without any legend to reflect terms, conditions and restrictions hereunder) or such shares shall be credited to an account maintained for you, or the consideration to be received upon consummation of the Change in Control shall be paid to you, as soon as administratively practicable following, but in no event later than thirty days of, the effective date of the Change in Control.  Section 8(a) of the Plan shall not apply to the Restricted Share Units covered by this Award.

The term “Change in Control” means any one of events (a), (b) or (c):
		
	(a)
	Change in the Ownership of the Company.

Any one person, or more than one person acting as a group (as defined below in (d)) acquires ownership of stock of the Company that, together with stock held by such person or group, constitutes more than 50 percent of the total fair market value or total voting power of the stock of the Company.
		
	(b)
	Change in the Effective Control of the Company.

Either (i) any one person, or more than one person acting as a group (as defined below in (d)), acquire (or has acquired during the 12- month period ending on the date of the most recent acquisition by such person or persons) ownership of stock of the Company possessing 35 percent or more of the total voting power of the stock of the Company; or (ii) a majority of members of the Company’s Board of Directors is replaced during any 12-month period by directors whose appointment or election is not endorsed by a majority of the members of the Company’s Board of Directors prior to the date of the appointment or election.
		
	(c)
	Change in the Ownership of a Substantial Portion of the Company’s Assets.

Any one person, or more than one person acting as a group (as defined below in (d)), acquire (or has acquired during the 12- month period ending on the date of the most recent acquisition by such person or persons) assets from the Company that have a total gross fair market value (“gross fair market value” means the value of the assets of the Company, or the value of the assets being disposed of, determined without regard to any liabilities associated with such assets) equal to or more than 40 percent of the total gross fair market value of all 

Exhibit 10(f)

of the assets of the Company immediately prior to such acquisition or acquisitions.
		
	(d)
	Persons Acting as a Group.

Persons will not be considered to be acting as a group solely because they purchase or own stock, or purchase assets, of the same corporation at the same time, or as a result of the same public offering. However, persons will be considered to be acting as a group if they are owners of a corporation that enters into a merger, consolidation, purchase or acquisition or stock or assets, or similar business transaction with the corporation.  If a person, including an entity or entity shareholder, owns stock in both corporations that enter into a merger, consolidation, purchase or acquisition of stock or assets, or similar transaction, such shareholder is considered to be acting as a group with other shareholders in a corporation (only with respect to the ownership in that corporation in the case of a change in the Effective Control of a Company or only to the extent of the ownership in that corporation in the case of a Change in the Ownership of a Substantial Portion of a Company’s Assets) prior to the transaction giving rise to the change and not with respect to the ownership interest in the other corporation.  
		
	7.
	Forfeiture of Restricted Share Units.  If you have a Separation from Service for any reason other than those described in Section 5 above during the Restricted Period, all of the Restricted Share Units shall be forfeited, and you shall have no further right to receive any benefits or payments under this Award.

		
	8.
	Rights as Shareholder.  During the Restricted Period, you shall have none of the rights of a shareholder of the Company with respect to the shares of the Company's common stock represented by the Restricted Share Units.  You shall, however, have the right to receive dividend equivalents as described in Section 3 above.  In addition, if shares of the Company's common stock are held under a "rabbi trust" (the assets of which are subject to claims of the Company's creditors in the event of the Company's insolvency) established to assist the Company in meeting its obligations under this and other restricted share unit awards, you may (at the Company's sole discretion) be given the right during the Restricted Period to direct the trustee as to the voting of a number of shares held by the trustee corresponding to the Award.

		
	9.
	Nontransferability.  Except by will or by the laws of descent and distribution, you may not sell, transfer, assign, pledge or otherwise encumber or dispose of any Restricted Share Units nor may you sell, transfer, assign, pledge, encumber or dispose of any of the shares of the Company's common stock represented by your Restricted Share Units prior to the payment of such shares to you pursuant to Section 4 or Section 6.

		
	10.
	Unsecured Creditor Status.  This Award constitutes a mere promise by the Company to pay you the benefits described in this Award (to the extent vested).  You shall have the status of a general unsecured creditor of the Company with respect to any benefits payable under this Award.

		
	11.
	Committee Authority.  Any questions concerning the interpretation of this Award, including without limitation any adjustments under Section 4(c) of the Plan (relating to 

Exhibit 10(f)

Share splits, reorganizations, mergers, spin-offs and other corporate transactions and events), and any controversy which arises under this Award shall be settled by the Committee, as defined in the Plan, in its sole discretion.
		
	12.
	Inconsistencies.  The terms of this Award are governed by the terms of the Plan and in the case of any inconsistency between the terms of this Award and the terms of the Plan, the terms of the Plan shall control.  By signing this Award letter, you acknowledge receipt of a copy of the Plan.  

		
	13.
	Governing Law.  The provisions of this Award shall be governed by the laws of the State of Kansas without giving effect to principles of conflict of laws.

		
	14.
	Compliance with Section 409A.  It is the intent of the parties that the provisions of this award comply with Internal Revenue Code Section 409A and the Treasury regulations and guidance issued thereunder ("Section 409A") and that this award be interpreted and operated consistent with such requirements of Section 409A in order to avoid the application of additive income taxes under Section 409A ("409A Penalties").  To the extent that a payment, or the settlement or deferral thereof, is subject to Section 409A, except as the Company and the above-named officer otherwise determine in writing, the payment shall be paid, settled or deferred in a manner that will meet the requirements of Section 409A, such that the payment, settlement or deferral shall not be subject to the 409A Penalties.  

WESTAR ENERGY, INC. 

By:                             
Name:                  
Title:    

AGREED TO: 
                                            
Name:                          Date
Title:

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