Document:

exv10w3

 

Exhibit 10.3

Dear ________:

     Under the terms and conditions of the 1996 Encore Medical Corporation
Incentive Stock Plan (the “Plan”) of Encore Medical Corporation, a Delaware
corporation (the “Company”), a copy of which is incorporated herein by
reference, the Company hereby grants to you, effective      , the option to
purchase       shares of the Company’s Common Stock, $0.001 par value, at the
price of $      per share, subject to adjustment as provided in the Plan. It is
intended that this option shall constitute an “incentive” stock option within
the meaning of the Plan.

     This option may be exercised in the manner prescribed by Paragraph 7(d) of
the Plan as follows:      ,

provided that to the extent not exercised, such installments shall accumulate
and be exercisable, in whole or in part, in any subsequent period, subject to
termination of this option.

     If there is a change in the control of the Company while any of your
options remain outstanding under the Plan, then any or all options shall be
exercisable in full. For the purposes of your option, a “change in control” of
the Company shall mean a change in control of a nature that is reportable in
response to Item 6(e) of Schedule 14A of Regulation 14A promulgated under the
Securities Exchange Act of 1934 (the “Exchange Act”) as in effect on the date
hereof; provided that, without limitation, such a change in control shall be
deemed to have occurred if any “person (as such term is used in Section 13(d)
and 14(d)(2) of the Exchange Act) is or becomes the beneficial owner, directly
or indirectly, of securities of the Company representing fifty-one percent
(51%) or more of the combined voting power of the Company’s then outstanding
securities.

     This
option shall be for a term commencing on      , 20      and ending
     , 20     , provided that this option shall terminate on the earlier of such
expiration date or upon severance of employment pursuant to the provisions of
Paragraph 7(i) of the Plan. This option is not transferable otherwise than by
will or under the laws of descent and distribution.

     The optionee hereby accepts and agrees to be bound by all the terms and
conditions of the Plan.

	 	 	 	 	 
	 	 	Very truly yours,
	 
	 	 	 	 
	 	 	ENCORE MEDICAL CORPORATION
	 
	 	 	 	 
	

	 	By:	 	 
	

	 	 	 	
 
	

	 	 	 	     Kenneth W. Davidson, CEO
	ACCEPTED:
	 	 	 	 
	 
	 	 	 	 
	

	 	 	 	 
	NAMEexv10w4

 

Exhibit 10.4

STOCK OPTION AGREEMENT

     THIS
STOCK OPTION AGREEMENT (this “Agreement”) is made as of the       day
of      , 20     , between ENCORE MEDICAL CORPORATION, a Delaware
corporation (the “Company”), and      , M.D. (“Optionee”).

     WHEREAS, Optionee will be serving Encore Medical, L.P. (“Encore”), a
wholly owned subsidiary of the Company, on the Encore Surgeon Advisory Panel
and it is expected that he will provide valuable assistance to Encore and the
Company with respect to Encore’s and the Company’s business and operations;

     WHEREAS, the Company has established the 1997 Surgeon Advisory Stock
Option Plan (the “Plan”); and

     WHEREAS, in view of the foregoing, the Company desires to grant to
Optionee from the Plan an option to purchase shares of the Company’s Common
Stock, par value $0.001, (the “Stock”).

     NOW, THEREFORE, in consideration of the foregoing, of the mutual covenants
hereinafter set forth and for other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, the Company and
Optionee, intending to be legally bound, hereby agree as follows:

     1. Grant of Option and Vesting. The Company hereby grants to Optionee an
option to purchase an aggregate total of
      (     ) shares of
Stock upon the terms and conditions hereinafter set forth, which options shall
vest as follows:      .

     2. Term of Option.

     (a) Optionee may exercise any vested options and purchase shares of
Stock under the Agreement at any time after such options have vested.
The option to purchase shares of Stock under this Agreement shall
terminate on      , 20     .

     (b) In the event of the failure of Optionee timely to exercise his
option(s) on or prior to      , 20     , or in the event of the failure
of Optionee to exercise his option(s) with respect to all of the shares
of Stock subject to the option within such time period, such part or
parts, or the whole, as the case may be, of Optionee’s option shall, ipso
facto, become null and void and shall no longer be of or have any further
force or effect.

     (c) Notwithstanding any other provisions of this Agreement, in the
event of the termination of Optionee’s Consulting Agreement with Encore
dated      , as amended (the “Consulting Agreement”), Optionee’s
option shall terminate and become null and void thirty (30) days after
the date of termination and shall no longer be of, or have, any further
force or effect. In the event of Optionee’s death, the

 

 

estate of
Optionee shall be entitled to exercise any vested but unexercised options
which existed as of the date of Optionee’s death (subject to any
limitations set forth in Article 2 hereof).

     3. Purchase Price. The purchase price per share of Stock subject to the
option specified herein shall be equal to      .

     4. Procedure for Exercise of Option. Subject to the provisions of Article
2 hereof, Optionee may exercise the option specified herein at each time
specified herein by complying with the provisions of paragraph 10 of the Plan.

     5. Investment Warranty. Optionee acknowledges and understands that, in
connection with the issuance of any shares of Stock to him pursuant to the
exercise of the option specified in this Agreement (such shares hereinafter in
this Article 5 referred to as the “Shares”) he has been fully informed as to
the circumstances under which he is permitted to take and required to hold the
Shares pursuant to the requirements of the Securities Act of 1933, as amended
(the “Act”), and any applicable state securities or Blue Sky law.

     6. No Rights as Stockholder. The option specified in this Agreement shall
not, in and of itself, entitle Optionee to any rights as a stockholder of the
Company including, without limitation, the right to receive dividends or other
distributions of any kind, the right to vote or otherwise act at any annual or
special meeting of Stockholders of the Company, the right to receive notice of
any corporate action and the right to exercise any preemptive rights.

     7. Expenses. All expenses incurred by or on behalf of either party hereto
in connection with the authorization, preparation, execution and consummation
of this Agreement, the option specified herein and the possible purchase of the
shares of Stock subject to the option, including, without limitation of the
generality of the foregoing, all fees and expenses of representatives, counsel
and accountants employed by either such party, shall be borne solely and
entirely by the party who or which has incurred the same.

     8. Warranties of the Company. The Company hereby represents and warrants
as follows:

     (a) the Company’s Board of Directors has authorized the execution
and delivery of this Agreement by the officers of the Company executing
same;

     (b) the Company’s Board of Directors has reserved for issuance,
during the period the option specified herein is exercisable, such number
of shares of Company Stock as shall be necessary for full exercise of the
option specified in this Agreement and shall take such steps as are
necessary to cause there to be authorized shares available for the
issuance of the Stock in the event that the option is exercised; and

     (c) any shares of Company Stock issued and delivered pursuant to the
exercise of the option specified herein shall be validly issued, fully
paid and non-assessable.

2

 

     9. Miscellaneous.

     (a) All notices, requests, demands and other communications
hereunder shall be in writing and shall be deemed to have been duly
given, if delivered or sent by registered or certified mail, return
receipt requested, first class postage prepaid, as follows:

	 	 	 
	(1)

	 	If to the Company:
	 
	 	 
	

	 	Encore Medical Corporation
	

	 	Attn.: Harry L. Zimmerman,
	

	 	Executive Vice President – General Counsel
	

	 	9800 Metric Boulevard
	

	 	Austin, Texas 78758
	 
	 	 
	(2)

	 	If to Optionee:
	 
	 	 
	

	 	
 
	

	 	
 
	

	 	
 

or to such other address as either such party may designate in accordance
with this Section 9(a).

     (b) This Agreement shall be binding upon the parties hereto and
their respective successors and assigns, heirs, legatees and legal and
personal representatives.

     (c) The provisions of this Agreement are not intended to be (and
shall not serve) for the benefit of any creditor (other than a party
hereto in its or his capacity as such) of, or any other person (other
than a party hereto in its or his capacity as such) to whom any debts,
liabilities obligations are owed by (or who otherwise has a claim
against), either party hereto, and no such creditor or other person shall
obtain any right under any provision hereof or shall by reason of any
such provision make claims in respect of the aforesaid debts, liabilities
or obligations (or otherwise) against Company or the other party hereto.

     (d) The Article and other headings in this Agreement are inserted
solely as a matter of convenience and for reference and are not a part of
this Agreement.

     (e) This Agreement supersedes all prior agreements and
understandings, oral or written, between the parties hereto with respect
to the subject matter hereof. Neither this Agreement, nor any provision
hereof, may be changed, waived, discharged or terminated orally, but only
by a statement in writing signed by the party against which or whom the
enforcement of such change, waiver, discharge or termination is sought.

3

 

     (f) This Agreement shall be construed and enforced in accordance
with the laws of the State of Texas.

     (g) The Company does not guarantee the Stock from loss or
depreciation.

     (h) All claims, disputes and other matters in question between the
parties to this Agreement, arising out of or relating to this Agreement
or the breach thereof, shall be decided by arbitration in accordance with
the Arbitration Rules of the American Arbitration Association then
obtaining unless the parties mutually agree otherwise. Notice of the
demand for arbitration shall be filed in writing with the other party to
this Agreement and with the American Arbitration Association. The demand
shall be made within a reasonable time after the claim, dispute or other
matter in question has arisen. In no event shall the demand for
arbitration be made after the date when institution of legal or equitable
proceedings based on such claim, dispute or other matter in question
would be barred by the applicable statute of limitations. The award
rendered by the arbitrators shall be final, and judgment may be entered
upon it in accordance with applicable law in any court having
jurisdiction thereof.

     (i) If any action is asserted or brought to enforce this Agreement,
the party or parties prevailing in any such action are entitled to
reimbursement, and shall be reimbursed by the non-prevailing party or
parties for all costs and expenses (including, without limitation,
attorneys’ and accounting fees and expenses) reasonably incurred by the
prevailing party or parties in asserting or bringing such action;
provided, however, if such action is asserted for monetary damages and if
the party or parties asserting same are only partially successful in
asserting or bringing any such action, they shall be entitled to
reimbursement hereunder for their costs and expenses only in the
proportion that the amount awarded to such prevailing party bears to the
total amount for which any such action is brought or asserted.

     (j) The terms of this Agreement are also subject to the terms and
conditions of the Plan. Any conflict between the terms of this Agreement
and the Plan shall be resolved in favor of the specific terms of this
Agreement, but in the event that there is no specific language in this
Agreement concerning any specific provision, the terms and conditions of
the Plan shall govern.

4

 

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

	 	 	 	 	 
	 	 	COMPANY:
	 
	 	 	 	 
	 	 	ENCORE MEDICAL CORPORATION,
	 	 	   a Delaware corporation
	 
	 	 	 	 
	

	 	By:	 	 
	

	 	 	 	
 
	

	 	 	 	Kenneth W. Davidson, President
	 
	 	 	 	 
	 	 	OPTIONEE:
	 
	 	 	 	 
	 	 	
 
	 	 	
	, M.D.

5

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00074-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00074-of-00352.parquet"}]]