Document:

Exhibit

Exhibit 10.3

Carbonite Inc. 
Employee Severance Plan

Effective: April 2016

Amended: July 26, 2018

		
	1.
	SUMMARY INFORMATION

Name of Plan:  The name of the Plan under which benefits are provided is the Carbonite, Inc. (“Company”) Employee Severance Plan, and will be referred to throughout this booklet as the “Severance Plan.” Capitalized terms used but not otherwise defined herein shall have the meaning ascribed to such terms in the 2011 Equity Award Plan.
Plan Sponsor:  The Sponsor of the Severance Plan is:
Carbonite Inc. 
Two Avenue de Lafayette 
Boston, MA 02111
617-587-1100

Plan Administrator:  The Plan Administrator of the Severance Plan is:
The Severance Plan Committee
c/o Carbonite, Inc.
Two Avenue de Lafayette
Boston, MA 02111
617-587-1100

Employer Identification Number and Plan Number:  The Employer Identification Number (EIN) assigned to the Plan Sponsor by the Internal Revenue Service is 33-1111329.  The Plan Number (PN) assigned to the Severance Plan by the Company is 501. 
Type of Plan:  The Severance Plan is a welfare benefit plan as defined by the Employee Retirement Income Security Act of 1974, as amended (ERISA).  The Severance Plan provides salary continuation for eligible employees.
Plan Year:  Calendar year. 
Type of Administration:  Self-Administered. 
Funding:  Benefits payable under the Severance Plan are provided from the general assets of the Company.
Agent for Service of Legal Process:  For disputes arising under the Severance Plan, service of legal process may be made upon the Plan Administrator.
		
	2.
	ELIGIBILITY FOR SEVERANCE PAY

(a) Eligible Employees. The Severance Plan provides severance benefits to those employees of the Company (and designated subsidiaries), located within the United States, and whose employment with the Company is involuntarily terminated by the Company other than for Cause.  
For the avoidance of doubt, the following employees shall not be eligible for benefits under this Severance Plan: (i) employees employed by the Company (and its designated subsidiaries) located outside of the United States and (ii) senior executives listed on Exhibit B of the Company’s Senior Executive Severance Plan.  

(b) Continuous Employment. Employees must be employed on a full-time basis in order to be covered under the Severance Plan and must perform in a satisfactory manner, as determined by the Company, in order to receive severance pay under the Severance Plan.  If an eligible employee voluntarily terminates his or her employment or fails to perform his or her job duties in a satisfactory manner through the employee’s last date of scheduled employment, he or she will not be eligible for severance pay under the Severance Plan.  
 (c) Change in Control. No severance benefits are payable under the Severance Plan if, subsequent to a Change of Control of the Company, an employee is offered employment on the same or a substantially similar basis with the surviving or successor entity.
 (d) Execution of Separation Agreement. In addition, an employee otherwise eligible for benefits hereunder must execute and not revoke a Separation Agreement, Waiver of Claims and Release (the “Separation Agreement”) in substantially the form attached hereto at Exhibit A and by the deadline specified by the Plan Administrator (but in any event no later than 52 days following the termination date) in order to be eligible for benefits under the Severance Plan. Exhibit A maybe modified from time to time in the sole discretion of the Plan Administrator so as to ensure that the form remains consistent with current laws.
		
	3.
	SEVERANCE PAY PROVIDED

Eligible employees will receive a severance benefit in the form of a lump sum payment equal to:
(a) For executive-level employees who are not otherwise subject to Carbonite’s Senior Executive Severance Plan (“Executives”), an aggregate one-time payment of three (3) months’ pay, based on the employee’s base salary or base wages at the time of termination.  Furthermore, if an Executive is terminated without Cause within one (1) year after the consummation of a Change of Control of the Company, such Executive shall be entitled to receive an aggregate one-time payment equal to an additional three (3) months’ pay, based on such employee’s base salary or base wages at the time of termination.
(b) For all other employees, two (2) weeks’ pay for each year of service or partial year thereof (based on the employee’s base salary or base wages at the time of termination), up to a maximum severance payment not to exceed twelve (12) weeks’ pay, unless otherwise approved by the Chief Executive Officer or Chief Financial Officer. 
		
	4.
	COMPANY-PAID MEDICAL, DENTAL, AND VISION COVERAGE 

If the employee is currently enrolled in the medical, dental and vision plans: 
(a) For Executives, following the termination date, all benefits offered by the Company, including health insurance benefits, shall cease. From and after such date, the Executive may elect to continue participation in the Group Medical Insurance benefits pursuant to the Consolidated Omnibus Budget Reconciliation Act of 1985 (“COBRA”), at their own expense pursuant to COBRA by notifying the Company in the time specified in the COBRA notice provided by the COBRA administrator and by paying the monthly premium.  If the Executive elects COBRA coverage, the Executive shall be entitled to receive a lump sum payment equal to three (3) times the monthly amount of the Company’s portion of the monthly premium payments for each such coverage elected by the Executive for the Executive and his or her eligible dependents, if applicable, during the month immediately preceding the termination date. Furthermore, if an Executive is terminated without Cause within one (1) year after the consummation of a 

Change of Control of the Company and elects COBRA coverage, such Executive shall be entitled to receive an additional aggregate one-time payment equal to three (3) times the monthly amount of the Company’s portion of the monthly premium payments for each such coverage elected by the Executive for the Executive and his or her eligible dependents, if applicable, during the month immediately preceding the termination date.
(b) For all other employees, following the termination date, certain benefits offered by the Company, including 401(k) matches, life insurance, short-term disability and long-term disability, shall cease. Any health, dental and vision benefits the employee is enrolled in will continue until the last day of the month in which the termination date occurs. If the employee elects COBRA coverage, the coverage will continue for thirty (30) days after the date of termination. From and after such date, the employee may elect to continue participation in the Group Medical Insurance benefits pursuant to COBRA, at the employee’s expense by notifying the Company in the time specified in the COBRA notice provided by the COBRA administrator and by paying the monthly premium.  
Coverage under all other benefit plans and policies plans will cease as of the employee’s last day of active employment in accordance with the terms of the relevant plan documents.  
		
	5.
	OPTIONS AND RESTRICTED STOCK UNITS

Employees may have been granted incentive stock options (“ISOs”) or restricted stock units (“RSUs”) under the Company’s 2011 Equity Award Plan.  Under that plan, all unvested RSUs and ISOs will be void as of the termination date and the employee shall have no further rights with respect to those awards. Employees shall have the right for 90-days following the termination date (the “Exercise Period”) to exercise vested ISOs. Any vested ISOs which the employee does not exercise by the end of the Exercise Period will thereafter be void and the employee shall have no further rights with respect to those vested ISOs.  
		
	6.
	PAYMENT INFORMATION

Severance will be paid in a lump sum on the first regular payroll cycle following an eligible employee’s termination of employment and timely execution and non-revocation of the Release (but in no event later than 60-days after the termination date).  All payments will be subject to legally-mandated withholdings such as FICA and federal and state income taxes.
		
	7.
	ADDITIONAL INFORMATION

Neither the adoption of the Severance Plan nor its operations shall in any way affect the right of the Company to dismiss or discharge any employee, with or without Cause, at any time. 
		
	8.
	PLAN ADMINISTRATION

The Severance Plan shall be administered by the Severance Plan Committee (the “Plan Administrator”), which shall be the “named fiduciary” of the Severance Plan for purposes of ERISA.  The Severance Plan Committee will be comprised of the Company’s Chief Financial Officer, General Counsel and the Vice President of Human Resources.  The Plan Administrator has the sole and absolute power and authority to interpret and apply the provisions of the Severance Plan to a particular circumstance, make all factual and legal determinations, construe uncertain or disputed terms and make eligibility and benefit determinations in such manner and to such extent as the Plan Administrator, in its sole discretion may determine.  Benefits under the Severance Plan will be paid only if the Plan Administrator, in its sole discretion, determines that an individual is entitled to them.

The Plan Administrator shall promulgate any rules and regulations necessary to carry out the purposes of the Severance Plan or to interpret the terms and conditions of the Severance Plan.  The rules, regulations and interpretations made by the Plan Administrator shall be applied on a uniform basis and shall be final and binding on any eligible employee or former eligible employee and any successor in interest.
The Plan Administrator may delegate any administrative duties, including, without limitation, duties with respect to the processing, review, investigation, approval and payment of severance pay, to designated individuals or committees.
		
	9.
	CLAIMS PROCEDURE

If the employee believes he or she is eligible for severance benefits and has not been so notified, the employee should submit a written request for benefits to the employee’s immediate supervisor.  The employee must take such action no later than 30-days after the termination of employment.
If the Claim is Denied
If all or part of the claim for severance benefits is denied, the employee will receive written notice of the denial from the Vice President of Human Resources within 60-days after the employee has applied for a benefit.  This notice will include:
*    the specific reason(s) for the denial;
		
	*
	reference to specific Severance Plan provisions on which the denial is based;

		
	*
	a description of any additional material or information which must be submitted to perfect the claim, and an explanation of why such material or information is necessary; 

*    an explanation of the Severance Plan’s review procedures; and
		
	*
	an explanation of the right to bring a suit for benefits under ERISA in the event of an adverse decision upon review.

If the employee disagrees with the decision, the employee may send a written notice to have the claim reviewed by the Plan Administrator.  The employee must send the notice for review within 60-days after the original denial was provided or mailed to the employee. 
In connection with review of the claim, the employee (or the employee’s authorized representative) will be given the opportunity to review all documentation pertaining to the decision, and to submit issues and comments in writing.
The employee’s claim will be reconsidered and the employee will receive written notice of the decision within 60-days after receiving the notice for review.  If special circumstances require an extension, the employee will receive written notice to that effect; in this case, the employee will be informed of the final decision within 120-days.  This decision will be in writing and will include the reason for the decision, with specific reference to pertinent plan provisions and an explanation of the right to bring a suit for benefits under ERISA section 502(a).  All interpretations, determinations and decisions of the Plan Administrator will be final and binding.

		
	10.
	AMENDMENT AND TERMINATION OF PLAN

The Company reserves the right to amend or terminate the Severance Plan in its discretion at any time; provided, however, that no such amendment or termination shall deprive any person, without such person’s consent, of any rights previously granted pursuant to the Severance Plan in connection with such person’s qualifying termination of employment, prior to the amendment or termination of the Severance Plan. 
		
	11.
	CONSTRUCTION AND ENFORCEMENT

Except as superseded by ERISA or other federal law, this Severance Plan shall be governed by and interpreted according to the laws of the Commonwealth of Massachusetts.  The Plan Administrator shall have complete authority and discretion to interpret the provisions of this Severance Plan as they apply to particular facts and circumstances and such interpretations shall be binding on all interested parties, provided that such interpretations are applied consistently and in a nondiscriminatory manner to similar facts and circumstances, and in accordance with applicable law.
		
	12.
	STATEMENT OF ERISA RIGHTS

As a participant in the Severance Plan employees are entitled to certain rights and protections under ERISA.  ERISA provides that all Severance Plan participants shall be entitled to:
		
	•
	Examine, without charge, at the Plan Administrator’s office and at other specified locations, such as worksites, all documents governing the Severance Plan and a copy of the latest annual report (Form 5500 Series) filed by the plan with the U.S. Department of Labor and available at the Public Disclosure Room of the Employee Benefits Security Administration.

		
	•
	Obtain, upon written request to the Plan Administrator, copies of documents governing the operation of the Severance Plan and copies of the latest annual report (Form 5500 Series) and updated summary plan description.  The Plan Administrator may make a reasonable charge for the copies.

		
	•
	Receive a summary of the Severance Plan’s annual financial report.  The Plan Administrator is required by law to furnish each participant with a copy of this summary annual report.

In addition to creating rights for plan participants, ERISA imposes duties upon the people who are responsible for the operation of the Severance Plan.  The people who operate the Severance Plan, called “fiduciaries” of the plan, have a duty to do so prudently and in the interest of the employee and other plan participants.  No one, including the Company or any other person, may fire or otherwise discriminate against the employee in any way to prevent the employee from obtaining a severance benefit or exercising rights under ERISA.
If the employee’s claim for a severance benefit is denied or ignored, in whole or in part, the employee has a right to know why this was done, to obtain copies of documents relating to the decision without charge, and to appeal any denial, all within certain time schedules.
Under ERISA, there are steps the employee can take to enforce the above rights.  For instance, if the employee requests a copy of plan documents or the latest annual report from the Plan Administrator and does not receive them within 30 days, the employee may file suit in a Federal court.  In such a case, the court may require the Plan Administrator to provide the materials and pay the employee up to $110 a day until the employee receives the materials, unless the materials were not sent because of 

reasons beyond the control of the Plan Administrator.  If the employee has a claim for benefits which is denied or ignored, in whole or in part, the employee may file suit in a state or Federal court.  If it should happen that the employee is discriminated against for asserting their rights, the employee may seek assistance from the U.S. Department of Labor or may file suit in a Federal court.  The court will decide who should pay court costs and legal fees.  If the employee is successful, the court may order the Company to pay these costs and fees.  If the employee loses, the court may order the employee to pay these costs and fees, for example, if it finds the claim is frivolous.
Any questions about the Severance Plan should be directed to the Plan Administrator.  Any questions about this statement or about the rights under ERISA, or if the employee needs assistance in obtaining documents from the Plan Administrator, the employee should contact the nearest office of the Employee Benefits Security Administration (EBSA) (formerly known as the Pension and Welfare Benefits Administration), U.S. Department of Labor, listed in the telephone directory or the Division of Technical Assistance and Inquiries, Employee Benefits Security Administration, U.S. Department of Labor, 200 Constitution Avenue N.W., Washington, D.C. 20210.  The employee may also obtain certain publications about the rights and responsibilities under ERISA by calling the toll-free Employer and Employee hotline of the Employee Benefits Security Administration.Exhibit

Exhibit 10.4

CARBONITE, INC.

RESTRICTED STOCK UNIT AGREEMENT

1.      Grant of Restricted Stock Units.  Carbonite, Inc., a Delaware corporation (the “Company”), hereby grants to [__________________] (the “Recipient”), pursuant to the Company’s 2011 Equity Award Plan (the “Plan”), [_________] restricted stock units (each, a “Restricted Stock Unit” and collectively, the “Restricted Stock Units”), subject to the terms and conditions of this agreement (the “Agreement”) and the Plan.  Except where the context otherwise requires, the term “Company” shall include the parent and all subsidiaries of the Company as defined in Sections 424(e) and 424(f) of the Internal Revenue Code of 1986, as amended (the “Code”).  Capitalized terms used but not otherwise defined herein shall have the meaning ascribed to such terms in the Plan.  To the extent that any term of this Agreement conflicts or is otherwise inconsistent with any term of the Plan, as amended from time to time, the terms of the Plan shall take precedence and supersede any such conflicting or inconsistent term contained herein.

2.      Vesting and Provisions for Termination.

(a)    Vesting Schedule.  Subject to the provisions of this Section 2 and Section 6, the Restricted Stock Units shall vest and become “Vested Units” as to [__]% of the Restricted Stock Units on each anniversary of the date of grant set forth on the final page hereof (each, a “Vest Date”). Except as otherwise specifically provided herein, there shall be no proportionate or partial vesting in the periods prior to each Vest Date, and all vesting shall occur only on the applicable Vest Date.

(b)    Continuous Employment Required.  Except as otherwise provided in this Section 2, no Restricted Stock Units shall become Vested Units unless on the Vest Date the Recipient is, and has been at all times since the date of grant of the Restricted Stock Units, an employee of the Company.  If the Recipient ceases to be an employee for any reason, then any Restricted Stock Units that are not Vested Units, and that do not become Vested Units pursuant to Section 6 as a result of such termination, shall be forfeited immediately upon such cessation and revert back to the Company without any payment to the holder thereof.  

(c)    Settlement of Restricted Stock Units.  The Recipient shall receive one share of the Company’s common stock, par value $0.01 per share (the “Common Stock”), for each Restricted Stock Unit awarded hereunder that becomes a Vested Unit, free and clear of the restrictions set forth in this Agreement, except for any restrictions necessary to comply with federal and state securities laws.  The Company shall reflect the Recipient’s ownership of such shares of Common Stock on its stock records as of the date on which Restricted Stock Units become Vested Units.  Settlement of the Vested Units shall be made promptly, and in no event later than 30 days following the applicable Vest Date.  

3.    Non-transferability of Restricted Stock Units; No Equity Securities.  The Restricted Stock Units may not be transferred, assigned, pledged, or hypothecated in any manner (whether by operation of law or otherwise).  Upon any attempt to transfer, assign, pledge, hypothecate or otherwise dispose of any Restricted Stock Units, or upon the levy of any attachment or similar process upon the Restricted Stock Units, the Restricted Stock Units and the associated rights contemplated by this Agreement shall, at the election of the Company, become null, void, and of no further force or effect.  Unless and until such time as the Common Stock is issued in settlement of Vested Units, Recipient shall have no ownership of the Common Stock reserved for issuance upon settlement of the Restricted Stock Units and shall have no right to dividends or to vote such shares.

4.    No Special Employment Rights.  Nothing contained in the Plan or this Agreement shall be construed or deemed by any Person under any circumstances to bind the Company to continue the employment of the Recipient for the period within which the Restricted Stock Units may become Vested Units.  

5.    Adjustments.

(a)     General.  If: (i) the Company shall at any time be involved in a merger or other transaction in which shares of Common Stock are changed or exchanged, (ii) the Company shall subdivide or combine shares of Common Stock or the Company shall declare a dividend payable in shares of Common Stock, other securities or other property, (iii) the Company shall effect a cash dividend the amount of which, on a per share of Common Stock basis, exceeds 10% of the Fair Market Value of a share of Common Stock at the time the dividend is declared, or the Company shall effect any other dividend or other distribution on shares of Common Stock in the form of cash, or a repurchase of shares of Common Stock, that the Board determines by resolution is special or extraordinary in nature or that is in connection with a transaction that the Company characterizes publicly as a recapitalization or reorganization involving shares of Common Stock, or (iv) any other event shall occur, which in the judgment of the Board or Committee necessitates an adjustment to prevent dilution or enlargement of the benefits or potential benefits intended to be made available under the Plan, then the Committee shall, in such manner as it may deem equitable to prevent dilution or enlargement of the benefits or potential benefits intended to be made available under the Plan, proportionately adjust the number of Restricted Stock Units covered by this Agreement and the terms of the restrictions on such Restricted Stock Units.

(b)    Committee Authority to Make Adjustments.  Adjustments under this Section 5 will be made by the Committee, whose determination as to what adjustments, if any, will be made and the extent thereof will be final and binding.  

6.      Change of Control.  

(a)    General.  In the event of a Change of Control, the Recipient shall, with respect to any Restricted Stock Units that are not Vested Units, be entitled to the rights and benefits, and be subject to the limitations, set forth in Section 15 of the Plan.

(b)    Acceleration.  If a Change of Control occurs while the Recipient is still an employee of the Company, and if (i) the Recipient is not offered employment or continued employment by the Successor Entity upon consummation of such Change of Control or (ii) prior to the first anniversary of such Change of Control, the Recipient is (A) discharged by the Successor Entity other than for Cause or (B) resigns from his or her employment with the Successor Entity as a result of a Good Reason, then the vesting schedule set forth in Section 2(a) of this Agreement shall be accelerated such that all Restricted Stock Units that are not Vested Units subject to this Agreement shall, immediately prior to (x) the consummation of such Change of Control (with regard to the provisions of subsection (i) above) or (y) the cessation of the Recipient’s employment with the Successor Entity (with regard to the provisions of subsections (ii)(A) and (ii)(B) above), vest and become Vested Units.  For purposes of this Agreement, any date on which vesting is so accelerated shall be treated as a Vest Date.

7.      Withholding Taxes.  The Recipient acknowledges and agrees that the Recipient (and not the Company) is solely responsible for any and all taxes that may be assessed by any taxing authority in the United States or any other jurisdiction, arising in any way out of this Agreement, the Restricted Stock Units, the Vested Units, or Common Stock issued or issuable upon settlement of the Vested Units and the Company is not liable for any such assessments.  Prior to the settlement of the Recipient’s Vested Units, the Recipient shall pay or make adequate arrangements satisfactory to the Company to satisfy all withholding obligations of the Company in connection with such settlement.  In this regard, and with the Committee’s consent, these arrangements may include, to the extent permissible under local law, (a) the Company withholding shares of Common Stock that otherwise would be issued to the Recipient when the Recipient’s Vested Units are settled, provided that the Company only withholds the number of shares of Common Stock necessary to satisfy the minimum statutory withholding amount, and provided, further, that the Fair Market Value of these shares of Common Stock, determined as of the effective date when taxes otherwise would have been withheld in cash, will be applied as a credit against the withholding taxes, (b) having the Company withhold all applicable withholding taxes legally payable by the Recipient from the proceeds of the sale of shares of Common Stock, through a voluntary sale elected by the Recipient, provided that the Recipient timely adopts, or has previously timely adopted, the Rule 10b5-1 Sales Plan in substantially the form attached hereto as Appendix A, (c) having the Company withhold all applicable withholding taxes legally payable by the Recipient from the Recipient’s wages or other cash compensation paid to the Recipient by the Company (on the Recipient’s behalf pursuant to this authorization), (d) the Recipient electing to deliver to the Company at the time that the Company is obligated to withhold taxes in 

connection with such receipt or settlement, as the case may be, such amount as the Company requires to meet its withholding obligations under applicable tax laws and regulations, or (e) any other arrangement approved by the Committee.  The Fair Market Value of any fractional shares of Common Stock resulting from the withholding or sale, as applicable, of shares of Common Stock pursuant to this Section 7 will be paid to the Recipient in cash.  The Company may refuse to deliver shares of Common Stock upon settlement of Vested Units if the Recipient fails to comply with the Recipient’s obligations in connection with the tax withholding as described in this section. 

8.      Miscellaneous.

(a)     Except as provided herein, this Agreement may not be amended or otherwise modified unless evidenced in writing and signed by the Company and the Recipient.

(b)     All notices under this Agreement shall be mailed, delivered by hand, or delivered by electronic means to the parties pursuant to the contact information for the applicable party set forth in the records of E*Trade Corporate Financial Services, Inc. (“E*TRADE”) or any successor third-party equity plan administrator designated by the Company from time to time (the “Administrative Service”), or at such other address as may be designated in writing by either of the parties to the other party.

(c)     This Agreement shall be governed by and construed in accordance with the laws of the State of Delaware (without regard to principles of conflicts of laws).

(d)    The Recipient hereby accepts, by signature or electronic means delivered to the Administrative Service, this Agreement and agrees to the terms and conditions of this Agreement and the Company’s 2011 Equity Award Plan.  The Recipient hereby acknowledges receipt of a copy of the Company’s 2011 Equity Award Plan.

Date of Grant:    [_____________]            CARBONITE, INC.

By:_____________________________                
Name:  
Title:  

APPENDIX A

RULE 10b5-1 SALES PLAN

1.General.  I hereby enter into this Rule 10b5-1 Plan (the “Plan”) in accordance with the terms set forth below with respect to all sales of shares of the Company’s Common Stock for my account in order to satisfy the Company’s withholding obligations with respect to the settlement of restricted stock units granted by the Company to me pursuant to the terms of any restricted stock unit agreements (each, an “Award”). Capitalized terms used but not otherwise defined herein shall have the meaning ascribed to such terms in the Award. 

2.    Election to Participate; Appointment of Broker as Agent.  This Plan shall become effective 30 days after the date on which I execute this Plan.  During the period when the Plan is effective, I (i) acknowledge and agree that I appoint E*TRADE as my agent and attorney-in-fact to effect the sales contemplated under this Plan, and (ii) agree to pay E*TRADE its commissions and any transaction fees relating to such sales from the proceeds of the sales.

3.    Election to Cease Participating. This Plan will terminate on the earliest to occur of (i) 10 days after the date on which I have both properly elected to terminate this Plan in writing to the Company and E*TRADE and notified SECFilings@carbonite.com of such termination, and (ii) 10 days after the date on which my employment with the Company terminates for any reason.  If I elect to terminate this Plan, I may not enter into a similar plan until six months after the date of such termination.

4.    Representations of Recipient.  I represent and warrant to the Company that (i) on the date on which I execute this Plan, I am not aware of any material nonpublic information with respect to the Company or any of its securities (including the Common Stock), (ii) I am not subject to any legal, regulatory, or contractual restriction or undertaking that would prevent E*TRADE from conducting sales throughout the term of this Plan, (iii) I am entering into this Plan in good faith and not as part of a plan or scheme to evade the prohibitions of Section 10(b) or Rules10b-5 or 10b5-1 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), (iv) the Common Stock subject to this Plan is not subject to any liens, security interests or other impediments to transfer (except for limitations imposed by Rules 144 and 145 under the Exchange Act, or Rule 701 under the Securities Act of 1933, as amended, if I am  subject to these rules), nor is there any litigation, arbitration or other proceeding pending, or to my knowledge threatened, that would prevent or interfere with the sale of Common Stock under this Plan, (v) I have not entered into or altered, nor will I enter into or alter, any corresponding or hedging transaction while this Plan is effective, and (vi) I do not have authority, influence or control over any sales of Common Stock effected by E*TRADE pursuant to this Plan, and will not attempt to exercise any authority, influence or control over such sales.

5.    Authorized Sales.  By executing this Plan, I hereby authorize and direct E*TRADE and the Company as follows:

(a)    The Company shall promptly notify E*TRADE of the amount of my tax withholding obligation related to the settlement of Vested Units on each applicable Vest Date of each applicable Award.  If the Company does not timely notify E*TRADE of the amount of such tax withholding obligation and E*TRADE is unable to calculate such amount, E*TRADE shall promptly request such information from the Company.

(b)    On each Vesting Date of each applicable Award, I am required to pay to the Company taxes required by law to be withheld hereunder to satisfy a withholding obligation. With no further action by me, I hereby instruct E*TRADE to sell, during the three-consecutive-trading-day period immediately following each applicable Vest Date of each applicable Award, a number of whole shares of Common Stock necessary to produce sales proceeds that satisfy, after deduction of any applicable commissions and transaction fees, my tax withholding obligation, based on the minimum statutory withholding rates for federal and state tax purposes, including payroll taxes, that are applicable to such supplemental income relating to the Vested Units settled on each applicable Vest Date (in such amount as the Company shall communicate to E*TRADE and me) and to promptly issue a check for such amount to the Company.  Thereafter, after giving effect to my withholding and other obligations described herein, any fractional shares of 

Common Stock resulting from such a sale shall promptly be issued to me in cash, by E*TRADE into my E*TRADE account.  

6.     Section 16 Officers.  If I am subject to Section 16 of the Exchange Act with respect to the Company’s securities, I shall effect the sales contemplated by this Plan in accordance with Rule 144 under the Exchange Act, and E*TRADE hereby agrees to prepare and timely file all required Form 144s. 

I hereby execute this Plan in good faith on the date I accept this Plan by signature or electronic means delivered to E*TRADE, and intend that this Plan comply with the requirements of Rule 10b5-1(c)1 under the Exchange Act. This Plan is intended to comply with the requirements of Rule 10b5-1(c)(1) and shall be interpreted and administered accordingly.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00286-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00286-of-00352.parquet"}]]