Document:

EXHIBIT
10.3

 

Schedule
of Directors/Officers with Indemnification Agreement

 

	 	Directors	Officer
	 	Mark
    F. Albino	Paul
    J. Kane
	 	James
    M. Dubin	Edwin
    Moran
	 	David
    K. Evans	Dean
    Rivest 
	 	J.
    Nicholas Filler	Timothy
    Scanlan
	 	Derek
    Glanvill	Steven
    Treichel
	 	Kevin
    R. Hoben	 
	 	Bruce
    C. Klink	 
	 	Stewart
    B. ReedEXHIBIT 10.17

 

OMEGA FLEX, INC.

Phantom Stock Agreements

Schedule of Directors and Officers

As of December 31, 2019

 

	Director/Officer	 	Type	 	 	Number	 	Grant Date	 	Grant Price	 	 	Maturity Date	 	Vesting Schedule
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Dean W. Rivest	 	 	Full	 	 	1,800	 	02/16/2016	 	$	33.02	 	 	02/16/2020	 	3 years
	 	 	 	Full	 	 	1,200	 	02/14/2017	 	$	44.23	 	 	02/14/2021	 	3 years
	 	 	 	Full	 	 	1,000	 	02/12/2018	 	$	55.60	 	 	02/12/2022	 	3 years
	 	 	 	Full	 	 	930	 	02/15/2019	 	$	65.40	 	 	02/15/2023	 	3 years
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Paul J. Kane	 	 	Full	 	 	1,800	 	02/16/2016	 	$	33.02	 	 	02/16/2020	 	3 years
	 	 	 	Full	 	 	1,200	 	02/14/2017	 	$	44.23	 	 	02/14/2021	 	3 years
	 	 	 	Full	 	 	1,000	 	02/12/2018	 	$	55.60	 	 	02/12/2022	 	3 years
	 	 	 	Full	 	 	930	 	02/15/2019	 	$	65.40	 	 	02/15/2023	 	3 years
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Edwin B. Moran	 	 	Full	 	 	1,800	 	02/16/2016	 	$	33.02	 	 	02/16/2020	 	3 years
	 	 	 	Full	 	 	1,200	 	02/14/2017	 	$	44.23	 	 	02/14/2021	 	3 years
	 	 	 	Full	 	 	1,000	 	02/12/2018	 	$	55.60	 	 	02/12/2022	 	3 years
	 	 	 	Full	 	 	930	 	02/15/2019	 	$	65.40	 	 	02/15/2023	 	3 years
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Steven A. Treichel	 	 	Full	 	 	2,550	 	02/16/2016	 	$	33.02	 	 	02/16/2020	 	3 years
	 	 	 	Full	 	 	2,000	 	02/14/2017	 	$	44.23	 	 	02/14/2021	 	3 years
	 	 	 	Full	 	 	1,500	 	02/12/2018	 	$	55.60	 	 	02/12/2022	 	3 years
	 	 	 	Full	 	 	1,400	 	02/15/2019	 	$	65.40	 	 	02/15/2023	 	3 years
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Timothy P. Scanlan	 	 	Full	 	 	1,800	 	02/16/2016	 	$	33.02	 	 	02/16/2020	 	3 years
	 	 	 	Full	 	 	1,200	 	02/14/2017	 	$	44.23	 	 	02/14/2021	 	3 years
	 	 	 	Full	 	 	1,000	 	02/12/2018	 	$	55.60	 	 	02/12/2022	 	3 years
	 	 	 	Full	 	 	930	 	02/15/2019	 	$	65.40	 	 	02/15/2023	 	3 years
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Steven Hockenberry	 	 	Full	 	 	710	 	02/16/2016	 	$	33.02	 	 	02/16/2020	 	3 years
	 	 	 	Full	 	 	475	 	02/14/2017	 	$	44.23	 	 	02/14/2021	 	3 years
	 	 	 	Full	 	 	475	 	02/12/2018	 	$	55.60	 	 	02/12/2022	 	3 years
	 	 	 	Full	 	 	465	 	02/15/2019	 	$	65.40	 	 	02/15/2023	 	3 years
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Robert Haines	 	 	Full	 	 	475	 	02/14/2017	 	$	44.23	 	 	02/14/2021	 	3 years
	 	 	 	Full	 	 	475	 	02/12/2018	 	$	55.60	 	 	02/12/2022	 	3 years
	 	 	 	Full	 	 	465	 	02/15/2019	 	$	65.40	 	 	02/15/2023	 	3 yearsExhibit 10.20

 

CHANGE
OF CONTROL AGREEMENT

 

This
Change of Control Agreement is made as of March 1, 2019, by and between Omega Flex, Inc., a Pennsylvania corporation (the
Company”) and _________(the “Employee”) to take effect only if and at such time that the Board of Directors of the Company
(the “Board”) has authorized or ratified this Agreement pursuant to Section 11 hereof.

 

PRELIMINARY
STATEMENT

 

The
Company has determined that it is in the best interests of the Company and its stockholders to assure that the Company will have
the continued dedication of the Employee, notwithstanding the possibility, threat or occurrence of a Change of Control (as defined
below) of the Company. The Company believes it is imperative to diminish the inevitable distraction of the Employee by virtue
of the personal uncertainties and risks created by a pending or threatened Change of Control and to encourage the Employee’s
full attention and dedication to the Company currently and in the event of any threatened or pending Change of Control. The Company
also believes that it is necessary to provide the Employee with compensation and benefit arrangements upon a Change of Control
which ensure that the compensation and benefit expectations of the Employee will be satisfied and which are competitive with those
of other similarly situated business entities. The Company and the Employee therefore desire to enter into this Agreement to accomplish
these objectives.

 

In
furtherance of the foregoing and in consideration of the mutual promises contained herein, the parties hereto agree as follows:

 

1.
Certain Definitions; Purpose of Agreement.

 

(a)
The “Effective Date” shall mean the first date during the Change of Control Period (as defined in Section 1(b))
on which a Change of Control (as defined in Section 2) occurs. Anything in this Agreement to the contrary notwithstanding, if
a Change of Control occurs and if the Employee’s employment with the Company is terminated by the Company within 12
months prior to the date on which the Change of Control occurs, the “Effective Date” shall mean the date
immediately prior to the date of such termination of employment and the provisions of Sections 5 and 6 below shall be
applicable to any such termination of employment unless the Company shall sustain the burden of proving that the termination
(i) was not at the request of a third party who has taken steps reasonably calculated to effect a Change of Control, (ii) was
not carried out by the Company in anticipation of a Change of Control and (iii) did not otherwise arise in connection with or
anticipation of a Change of Control.

 

(b)
The “Change of Control Period” shall commence on the date hereof and continue in effect until the date which is thirty-six
(36) months from the date of this Agreement (the “Anniversary Date”) and shall automatically be extended for one additional
twelve (12) month period on the Anniversary Date, and on each Anniversary Date thereafter unless the Company or the Employee shall
give written notice to the other at least 90 days’ prior to an Anniversary Date that this Agreement shall not be extended.
Notwithstanding the foregoing, this Agreement shall continue in effect for the period specified in Section 3 hereof if a Change
of Control of the Company shall have occurred within 12 months prior to such notice or within 24 months after such notice (the
“Covered Period), provided that the Employee does not voluntarily terminate his employment relationship with the Company
during the Covered Period and prior to a Change of Control of the Company.

 

    	 	1	 

    	 

    

 

(c)
The Company and the Employee acknowledge and agree that the purpose of this Agreement is to guarantee to the extent possible that
the Employee shall be secure in undertaking his duties and responsibilities on behalf of the Company currently and in the event
of any threatened or pending Change of Control and that the Company shall gain the benefit of management stability notwithstanding
any Change of Control. Accordingly, all of the terms and conditions of this Agreement shall be interpreted and construed in furtherance
of and in a manner consistent with the stated purpose of this Agreement, including without limitation (i) those provisions of
this Agreement that govern the issue of whether this Agreement is in effect and the effect of this Agreement, (ii) whether rights
that may previously have expired or been terminated come back into existence as a result of the occurrence of other events and/or
(iii) the applicability of specific time periods set forth in this Agreement. For example, any inconsistencies in whether the
last sentence of Paragraph 1(b) above is effective to cause this Agreement to be in effect after the termination of the Change
of Control Period shall be interpreted and construed in a manner that protects the stability of management, and this presumption
can only be overcome by the presentation of specific facts to the contrary by the Company.

 

(d)
The Company and the Employee acknowledge and agree that notwithstanding the provisions of this Agreement and any other written
agreement between the Employee and the Company that require the Company to make payments and/or provide benefits to the Employee,
the Employee’s estate and/or beneficiaries following the termination of the employment relationship between the Company
and the Employee, the employment of the Employee by the Company is “at will”, and the Employee’s employment
may be terminated by either the Employee or the Company at any time, subject to all terms and conditions of this Agreement.

 

2. Change
of Control. For purposes of this Agreement, a “Change of Control” shall mean the occurrence of an event
described below:

 

(a)
Individuals who, as of the date hereof, constitute the Board of Directors of the Company (the “Incumbent Board”) cease
for any reason to constitute at least a majority of the Board; provided, however, that any individual becoming a director subsequent
to the date hereof whose election, or nomination for election by the Company’s shareholders, was approved by a vote of at
least a majority of the directors then comprising the Incumbent Board shall be considered as though such individual were a member
of the Incumbent Board, but excluding, for this purpose, any such individual whose initial assumption of office occurs as a result
of either an actual or threatened solicitation of proxies or consents by or on behalf of a Person other than the Board; or

 

(b)
Approval by the shareholders of the Company of a reorganization, merger, or consolidation of the Company, unless, in each case,
following such reorganization, merger, or consolidation, (i) more than 75 percent of the then outstanding shares of common stock
of the business entity resulting from such reorganization, merger or consolidation and the combined voting power of the then outstanding
voting securities of such entity entitled to vote generally in the election of directors is then beneficially owned, directly
or indirectly, by all or substantially all of the individuals and entities who were the beneficial owners, respectively, of the
outstanding Company common stock and outstanding Company voting securities immediately prior to such reorganization, merger, or
consolidation in substantially the same proportions as the ownership, immediately prior to such reorganization, merger or consolidation,
of the outstanding Company common stock and outstanding Company voting securities, as the case may be; and (ii) at least a majority
of the members of the board of directors of the business entity resulting from such reorganization, merger, or consolidation were
members of the Incumbent Board at the time of the execution of the initial agreement providing for such reorganization, merger
or consolidation (collectively satisfying each of (i) and (ii) a “Continuation of Control”); or

 

    	 	2	 

    	 

    

 

(c)
Approval by the shareholders of the Company of (i) a complete liquidation or dissolution of the Company or (ii) the sale or other
disposition of all or substantially all of the assets of the Company, other than to an entity, with respect to which following
such sale or other disposition there is a Continuation of Control.

 

3.
Post-Change Employment Period. The Company hereby agrees to continue the Employee in its employ, and the Employee hereby
agrees to remain in the employ of the Company subject to the terms and conditions of this Agreement, for the three (3) year period
commencing on the Effective Date and ending on the third anniversary of the Effective Date (the “Post-Change Employment
Period”).

 

4.
Terms of Employment

 

	 	(a)	Position
    and Duties

 

(i)
During the Post-Change Employment Period, except as may be mutually agreed by the Company and the Employee (A) the Employee’s
duties and responsibilities will be commensurate with those experienced by the Employee immediately preceding the Effective Date,
taking into consideration the realities of the Employer’s organizational structure; and (B) the Employee’s services
shall be performed at the location where the Employee was employed immediately preceding the Effective Date or any office or location
less than 35 miles from such location. The Company and the Employee acknowledge and agree that the requirements of Paragraph 4(a)
(i)(A) may be satisfied by the Company without the Employee having the same position, title and reporting requirements as in effect
with respect to the Employee immediately preceding the Effective Date depending upon the nature of the Change of Control with
respect to the Company.

 

(ii)
During the Post-Change Employment Period, and excluding any periods of vacation and sick leave to which the Employee is entitled,
the Employee agrees to devote Employee’s attention and time during business hours to the business and affairs of the Company
and, to the extent necessary to discharge the responsibilities assigned to the Employee hereunder, to use the Employee’s
best efforts to perform faithfully and efficiently such responsibilities. During the Post-Change Employment Period it shall not
be a violation of this Agreement for the Employee to (A) serve on corporate, civic or charitable boards or committees, (B) deliver
lectures, fulfill speaking engagements or teach at educational institutions and (C) manage personal investments, so long as such
activities do not materially interfere with the performance of the Employee’s responsibilities as an employee of the Company
in accordance with this Agreement. It is expressly understood and agreed that to the extent that any such activities have been
conducted by the Employee prior to the Effective Date, the continued conduct of such activities (or the conduct of activities
similar in nature and scope thereto) subsequent to the Effective Date shall not thereafter be deemed to interfere with the performance
of the Employee’s responsibilities to the Company.

 

	 	(b)	Compensation

 

(i)
Annual Base Salary. During the Post-Change Employment Period, the Employee shall receive an annual base salary (“Annual
Base Salary”), which is at least equal to the highest base salary paid or payable, including any base salary which has been
earned but deferred, to the Employee by the Company and its affiliated companies in respect of the twelve-month period immediately
preceding the month in which the Effective Date occurs. As used in this Agreement, the term “affiliated companies”
shall include any company controlled by, controlling, or under common control with the Company. The provisions of this Paragraph
4(b) are intended to establish a minimum Annual Base Salary during the Post-Change Employment Period and are not intended to prohibit
the Employee from receiving an Annual Base Salary during such period of time that may be greater than the Annual Base Salary specified
pursuant to this Paragraph 4(b).

 

    	 	3	 

    	 

    

 

(ii)
Incentive Plans. During the Post-Change Employment Period, in addition to Annual Base Salary, the Employee shall be entitled
to participate in any incentive compensation, bonus, stock option, or performance plans of the Company (collectively, “Performance
Plans”), or any other plan similar in nature and scope, in which Employee participated (and in accordance with the most
favorable policies, practices and procedures of the Company and its affiliated companies then in effect for the Employee) at any
time during the 120-day period immediately preceding the Effective Date or, if more favorable to the Employee, as in effect generally
at any time thereafter with respect to other peer employees of the Company and its affiliated companies. The participation by
the Employee in any such Performance Plans of the Company during the Post-Change Employment Period and the compensation earned
by the Employee pursuant to any such Performance Plans shall be based upon the actual performance of the Company during the Post-Change
Employment Period, and the compensation that the Employee may have earned pursuant to any similar Performance Plans prior to the
Post-Change Employment Period shall not be taken into account in any respect in connection with the participation by the Employee
in Performance Plans during the Post-Change Employment Period as provided herein. In the alternative, the Employee may elect by
written notice delivered by the Employee to the Company within twenty (20) days from the Effective Date not to participate in
any Performance Plans during the Post-Change Employment Period (an “Employee Election Notice”). Upon the delivery
by the Employee to the Company of an Employee Election Notice as provided herein, the Employee shall be paid during each year
of the Post-Change Employment Period in addition to the Annual Base Salary an annual amount (the “Additional Compensation
Amount”) equal to the average annual compensation paid by the Company to the Employee during the three completed fiscal
years of the Company immediately preceding the Effective Date pursuant to the Performance Plans of the Company in effect during
such three fiscal year period. The Additional Compensation Amount shall be payable by the Company to the Employee instead of the
participation by the Employee in any Performance Plans during the Post-Change Employment Period. The Additional Compensation Amount
shall be payable in monthly installments, in arrears, beginning upon the date which is thirty (30) days from the Effective Date
and continuing on the same day of each month thereafter with respect to the entire Post-Change Employment Period.

 

(iii)
Other Reimbursements and Benefits. During the Post-Change Employment Period, the Employee shall be entitled to such other
reimbursements, benefits and perquisites as provided for Employee (and in accordance with the most favorable policies, practices
and procedures of the Company then in effect for the Employee) at any time during the 120-day period immediately preceding the
Effective Date, excluding however, the 2006 Omega Flex, Inc. Phantom Stock Plan.

 

5.
Termination of Employment During Post-Change Employment Period.

 

(a)
Death, Disability or Retirement. The Employee’s employment shall terminate automatically upon the Employee’s
death during the Post-Change Employment Period. If the Company determines in good faith that Disability of the Employee has occurred
during the Post-Change Employment Period (pursuant to the definition of Disability set forth below), it may give to the Employee
written notice in accordance with Section 13(b) of this Agreement of its intention to terminate the Employee’s employment.
In such event, the Employee’s employment with the Company shall terminate effective on the 30th day after receipt of such
notice by the Employee (the “Disability Effective Date”), provided that, within the 30 days after such receipt, the
Employee shall not have returned to full-time performance of the Employee’s duties hereunder. For purposes of this Agreement,
“Disability” shall mean the absence of the Employee from the Employee’s duties with the Company on a full-time
basis for 6 consecutive calendar months (occurring within or ending during the Post-Change Employment Period) as a result of incapacity
due to mental or physical illness verified by a physician selected by the Company or its insurers and reasonably acceptable to
the Employee or the Employee’s legal representative but in no event shall a Disability have occurred if disability benefits
have been denied to Employee under any disability plan provided by or paid for by the Company. For purposes of this paragraph,
“Retirement” shall mean termination by the Employee on or after his 65th birthday, or voluntary early retirement
by the Employee prior to his 65th birthday. Written notice of termination of employment based on Retirement shall be
given by Employee at least 30 days in advance.

 

    	 	4	 

    	 

    

 

(b)
Cause. The Company may terminate the Employee’s employment during the Post- Change Employment Period for Cause. For
purposes of this Agreement, “Cause” shall mean:

 

(i)
deliberate misconduct having a material adverse effect on the business of the Company;

 

(ii)
the Employee’s demonstrable failure to perform a substantial portion of his duties and responsibilities hereunder for reasons
other than Disability, which failure continues for more than 30 days after the Company gives written notice to the Employee which
sets forth in reasonable detail the nature of such failure;

 

(iii)
the conviction of the Employee of a felony having a material adverse effect on the Company;

 

(iv)
the Employee’s abuse of controlled substances or habitual intoxication, which activity continues for more than 30 days after
the Company gives written notice to the Employee of the material adverse effect of such activity on the Company; or

 

(v)
any material breach by the Employee of his obligations hereunder having a material adverse effect on the Company.

 

The
cessation of employment of the Employee during the Post-Change Employment Period shall not be deemed to be for Cause unless and
until there shall have been delivered to the Employee a copy of a resolution duly adopted by the affirmative vote of not less
than 75% of the entire membership of the Board at a meeting of the Board (after reasonable notice is provided to the Employee
and the Employee is given an opportunity, together with counsel, to be heard before the Board), finding that, in the good faith
opinion of the Board, the Employee’s conduct satisfies the definition of “Cause” contained herein.

 

(c)
Good Reason. The Employee’s employment may be terminated by the Employee during the Post-Change Employment Period
for Good Reason. For purposes of this Agreement, “Good Reason” shall mean:

 

(i)
the assignment to the Employee of any substantial duties inconsistent in any material respect with the Employee’s authority,
duties or responsibilities as required pursuant to Section 4(a)(i)(A) of this Agreement consisting of either (A) the assignment
to the Employee of any substantial duties that impose upon the Employee duties and responsibilities that materially increase and
expand the Employee’s authority with the Company unless agreed to the by the Employee or (B) the assignment to the Employee
of any substantial duties that result in a material diminution in the authority, duties or responsibilities of the Employee as
required to be maintained by the Company pursuant to Paragraph 4(a)(i)(b) above and the failure of the Company to utilize the
Employee’s training, skills and experience consistent with the manner in which the Company utilized the Employee’s
training, skills and experience prior to the Effective Date (a “Material Diminution”) or any other action by the Company
which results in a Material Diminution excluding for this purpose an isolated, insubstantial and inadvertent action not taken
in bad faith and which is remedied by the Company promptly after receipt of notice thereof given by the Employee;

 

    	 	5	 

    	 

    

 

(ii)
any failure by the Company to comply in all material respects with any of the provisions of Section 4(b) of this Agreement, other
than an isolated, insubstantial and inadvertent failure not occurring in bad faith and which is remedied by the Company promptly
after receipt of notice thereof given by the Employee;

 

(iii)
the Company requiring the Employee to be based at any office or location other than as provided in Section 4(a)(i)(B) hereof or
the Company requiring the Employee to travel on Company business to a substantially greater extent than required immediately prior
to the Effective Date;

 

(iv)
any purported termination by the Company of the Employee’s employment otherwise than as expressly permitted by this Agreement;
or

 

(v)
any failure by the Company to comply with and satisfy Section 12(c) of this Agreement.

 

(d)
Notice of Termination. During the Post-Change Employment Period. Any termination by the Company for Cause, or by the Employee
for Good Reason, shall be communicated by Notice of Termination to the other party hereto given in accordance with Section 13(b)
of this Agreement. For purposes of this Agreement, a “Notice of Termination” means a written notice which:

 

(i)
indicates the specific termination provision or provisions in this Agreement relied upon;

 

(ii)
to the extent applicable, sets forth in reasonable detail the facts and circumstances claimed to provide a basis for termination
of the Employee’s employment under the provision so indicated; and

 

(iii)
if the Date of Termination (as defined below) is other than the date of receipt of such notice, specifies the termination date
which shall be not more than thirty days after the giving of such notice. The failure by the Employee or the Company to set forth
in the Notice of Termination any fact or circumstance which contributes to a showing of Good Reason or Cause shall not waive any
right of the Employee or the Company, respectively, hereunder or preclude the Employee or the Company, respectively, from asserting
such fact or circumstance in enforcing the Employee’s or the Company’s rights hereunder,

 

(e)
Date of Termination. During the Post-Change Employment Period, “Date of Termination”
means:

 

(i)
if the Employee’s employment is terminated by the Company for Cause, or by the Employee for Good Reason, the date of receipt
of the Notice of Termination or any later date specified therein, as the case may be.

 

    	 	6	 

    	 

    

 

(ii)
if the Employee’s employment is terminated by the Company other than for Cause, Death, Disability, or Retirement, the date
on which the Company notifies the Employee of such termination;

 

(iii)
if the Employee’s employment is terminated by reason of Death or Disability, the date of Death of the Employee or the Disability
Effective Date, as the case may be; and

 

(iv)
if the Employee’s employment is terminated by reason of Retirement, the date specified for retirement in his notice to the
Company.

 

6.
Obligations of the Company Upon Termination During the Post-Change Employment Period.

 

(a)
Termination. If, during the Post-Change Employment Period, the Employee’s employment by the Company shall terminate
other than for Cause, Death, Disability or Retirement, or if the Employee shall terminate employment for Good Reason, the Company
shall:

 

(i)
pay to the Employee the following amounts:

 

A.
the sum of (1) the Employee’s Annual Base
Salary through the Date of Termination to the extent not theretofore paid and (2) any compensation previously deferred by the
Employee (together with any accrued interest or earnings thereon) in each case to the extent not theretofore paid (the sum of
the amounts described in clauses (1) and (2) shall be hereinafter referred to as the “Accrued Obligations”). The aggregate
amount of the Accrued Obligations shall be payable in a lump sum in cash within sixty (60) days after the Date of Termination;
and

 

B.
a severance benefit equal to [one][two] times
the sum of (1) the Employee’s Annual Base Salary, and (2) the average of the last two annual bonuses (annualized in the
case of any bonus paid with respect to a partial year) paid to the Employee preceding the Effective Date or preceding the Date
of Termination, whichever is greater (the “Severance Payment”). The Severance Payment shall be paid a lump sum within
60 days of the Date of Termination.

 

(ii)
continue participation of the Employee and his dependents in the Company’s benefit plans (including but not limited to health,
dental and life insurance benefits) for a period of 12 months after the Date of Termination, under substantially the same terms
as was provided to the Employee immediately prior to the Date of Termination, with the Company obligated to reimburse the Employee
for the Employee’s COBRA cost if any such continued participation in any such benefit plan is required to be carried out
through COBRA, provided, however, that such benefit continuation will terminate upon the Employee’s coverage under any other
comparable plans and will have no effect on any COBRA eligibility period; and

 

(iii)
to the extent not theretofore paid or provided, the Company shall timely pay or provide to the Employee any other amounts or benefits
required to be paid or provided or which the Employee is eligible to receive under any plan, program, policy or practice or contract
or agreement of the Company and its affiliated companies (such other amounts and benefits shall be hereinafter referred to as
the “Other Benefits”, as further defined in Section 6(b), (c) and (d) below in the event of the Employee’s Death,
Disability or Retirement as described therein).

 

    	 	7	 

    	 

    

 

(b)
Death. If the Employee’s employment is terminated by reason of the Employee’s death during the Post-Change
Employment Period, this Agreement shall terminate without further obligation to the Employees legal representatives under this
Agreement, other than for payment of Accrued Obligations and the timely payment or provision of Other Benefits. Accrued Obligations
shall be paid to the Employee’s estate or beneficiary, as applicable, in a lump sum in cash within 30 days of the Date of
Termination. With respect to the provision of Other Benefits, the term Other Benefits as utilized in this Section 6(b) shall include,
without limitation, and the Employee’s estate and/or beneficiaries shall be entitled to receive, benefits at least equal
to the most favorable benefits provided by the Company and affiliated companies under such plans, programs, practices and policies
relating to death benefits, if any, including without limitation COBRA, as in effect with respect to other peer employees and
their beneficiaries at any time during the 120 day period immediately preceding the Effective Date or, if more favorable to the
Employee’s estate and/or the Employee’s beneficiaries, as in effect on the date of the Employee’s death with
respect to other peer employees of the Company and its affiliated companies and their beneficiaries.

 

(c)
Disability. If the Employee’s employment is terminated by reason of the Employee’s Disability during the Post-Change
Employment Period, this Agreement shall terminate without further obligation to the Employee, other than for payment of Accrued
Obligations and the timely payment or provision of Other Benefits. Accrued Obligations shall be paid to the Employee in a lump
sum in cash within 30 days of the Date of Termination. With respect to the provision of Other Benefits, the term Other Benefits
as utilized in this Section 6(c) shall include, and the Employee shall be entitled after the Disability Effective Date to receive,
disability and other benefits not less than the most favorable of those generally provided by the Company and its affiliated companies
to disabled employees and/or their families in accordance with such plans, programs, practices and policies relating to disability,
if any, as in effect generally with respect to other peer employees and their families at any time during the 120-day period immediately
preceding the Disability Effective Date or, if more favorable to the Employee and/or the Employee’s family, as in effect
at any time thereafter generally with respect to other peer employees of the Company and its affiliated companies and their families.

 

(d)
Retirement. If the Employee’s employment is terminated by reason of the Employee’s Retirement during the Post-Change
Employment Period, this Agreement shall terminate without further obligation to the Employee, other than for payment of Accrued
Obligations and the timely payment or provision of Other Benefits. Accrued Obligations shall be paid to the Employee in a lump
sum in cash within 30 days of the Date of Termination. With respect to the provision of Other Benefits, the term Other Benefits
as utilized in this Section 6(d) shall include, and the Employee shall be entitled after the Effective Date to receive, retirement
and other benefits at least equal to the most favorable of those generally provided by the Company and its affiliated companies
to retired employees and/or their families in accordance with such plans, programs, practices and policies relating to retirement,
if any, as in effect generally with respect to other peer employees and their families at any time during the 120-day period immediately
preceding the Date of Termination or, if more favorable to the Employee and/or the Employee’s family, as in effect at any
time thereafter generally with respect to other peer employees of the Company and its affiliated companies and their families.

 

(e)
Cause. If the Employee’s employment shall be terminated for Cause during the Post- Change Employment Period, this
Agreement shall terminate without further obligation to the Employee other than for payments of Accrued Obligations and the timely
payment or provision of Other Benefits, in each case to the extent theretofore unpaid.

 

    	 	8	 

    	 

    

 

7.
Non-competition: Nondisclosure of Information

 

(a)
Non-Competition. Employee covenants and agrees that Employee shall not at any time during the term of his employment with
the Company directly compete with the Company or have more than a five percent (5%) ownership interest in any firm, corporation,
partnership, proprietorship or other business that manufactures, sells or distributes products that are directly competitive with
the Company’s products, or engages with third parties in the activities then engaged in and in the territory served by the
Company.

 

(b)
Nondisclosure. Employee will not, during the term of this Agreement or at any time after the termination of this Agreement,
disseminate or disclose to any person, firm, corporation or other business entity, or use for his own benefit or account or for
the benefit or account of any third party, any information disclosed to Employee as a consequence of or through the Employee’s
duties under this Agreement, including information which is not generally known in the industry in which the Company is or may
become engaged, or relating to the Company’s products, processes, or services, research, development, inventions, engineering,
purchasing, accounting, marketing, merchandising, advertising or selling (the “Proprietary Information”). Further,
Employee shall not disclose the terms and conditions contained in this Agreement to any third parties, including any other employees
of the Company; provided, however, Employee may disclose this Agreement to his attorney or accountant in relation to the execution
and performance of this Agreement. The parties hereto understand and agree that for purposes of this Agreement, Proprietary Information
does not include information:

 

(i)
that was generally available to the public prior to disclosure to Employee by the Company or that becomes generally available
to the public after disclosure to Employee by the Company other than through any act or omission of Employee in breach of this
Agreement;

 

(ii)
that becomes known to Employee through a source that has no obligation of confidentiality to the Company; or

 

(iii)
that was known to and in the possession of Employee prior to disclosure to Employee by the Company.

 

(c)
Upon termination of this Agreement, all documents, records, notebooks, and similar repositories of or containing the Proprietary
Information, including copies thereof, then in possession of Employee, whether prepared by Employee or others, shall be returned
to the Company.

 

(d)
The obligations of Employee and the rights of the Company pursuant to this Section 7 shall survive the termination of this Agreement.

 

8.
Non-Exclusivity of Rights; Effect of Agreement; Severance.

 

(a)
Nothing in this Agreement shall prevent or limit the Employee’s continuing or future participation in any plan, program,
policy or practice (other than any severance pay plan) provided by the Company or any of its affiliated companies and for which
the Employee may qualify. Nothing in this Agreement shall limit or otherwise affect such rights as the Employee may have under
any contract or agreement with the Company or any of its affiliated companies. Amounts which are vested benefits or which the
Employee is otherwise entitled to receive under any plan, policy, practice or program of or any contract or agreement with the
Company or any of its affiliated companies at or subsequent to the Date of Termination shall be payable in accordance with such
plan, policy, practice or program or contract or agreement except as explicitly modified by this Agreement.

 

    	 	9	 

    	 

    

 

(b)
In the event of any termination of the employment relationship between the Company and the Employee by either the Company or the
Employee at any time, and subject to the applicable provisions of any other written agreements as may be in effect, upon the termination
of the employment relationship between the Company and the Employee prior to the Effective Date, the Employee shall not have any
further rights under this Agreement other than the rights expressly provided the Employee in this Agreement, including without
limitation the Employee’s rights pursuant to Sections 1(b), 1(c) above and Section 8(c) below. From and after the Effective
Date, this Agreement shall supercede and replace any other agreement between the Company and the Employee with respect to the
compensation and benefits that the Employee shall receive in the event of the termination of the employment relationship between
the Company and the Employee during the Post-Change Employment Period, including without limitation the provisions of this Agreement
relating to the payment by the Company of the Accrued Obligations, the payment by the Company of the Severance Payment and the
provision by the Company to the Employee of certain benefits and rights, including the Other Benefits. The provisions of any such
other written agreements that do not relate directly to the specific obligations of the Company upon the termination of the employment
relationship between the Company and the Employee during the Post- Change Employment Period, as set forth in Paragraph 6 above,
shall continue in effect and be binding upon the Company and the Employee, including without limitation the provisions of the
Supplemental Retirement Agreement between the Company and the Employee (including the provisions of Section 2(b) of the Supplemental
Retirement Agreement), the provisions of any indemnification agreement by the Company in favor of the Employee and the provisions
of any stock option plan of the Company that the Employee participates in.

 

(c)
During any period prior to any Post-Change Employment Period or in the 12 month period after any termination of this Agreement
which occurs prior to the Post Change Employment Period, if the employment of Employee shall be terminated by the Company for
any reason other than death, disability or for Cause , Employee (or his assigns) shall be entitled to receive as severance his
Annual Base Salary for a period of 18 months on the regular bi-weekly payroll schedule, continuation of all reimbursements and
benefits for 18 full calendar months, extension of any period in which to exercise vested stock options for 18 full calendar months,
continued participation in any incentive compensation, bonus, stock option or performance plans of the Company through the next
annual calculation and distribution period and benefits under the Supplemental Retirement Agreement shall become effective and
payable beginning on the day after the day of the last payment of Annual Base Salary described above in this Section 8(c). The
provisions of this Section 8(c) constitute an alternative to the provisions of Section 6 and the provisions of this Section 8(c)
shall be of no force or effect and shall terminate if the Employee’s employment is terminated pursuant to Section 5
above.

 

9.
Full Settlement: Legal Fees. The Company’s obligation to make the payments provided for in this Agreement and otherwise
to perform its obligations hereunder shall not be affected by any set-off, counterclaim, recoupment, defense or other claim, right
or action which the Company may have against the Employee or others. In no event shall the Employee be obligated to seek other
employment or take any other action by way of mitigation of the amounts payable to the Employee under any of the provisions of
the Agreement and such amounts shall not be reduced whether or not the Employee obtains other employment. The Company agrees to
pay as incurred, to the full extent permitted by law, all reasonable attorney’s fees and expenses which the Employee or
his legal representatives may reasonably incur in enforcing Employee’s rights under this Agreement, plus in each case interest
on any payment not received by the Employee when required pursuant to this Agreement at the applicable Federal rate provided for
in Section 7872(f)(2)(B) of the Code.

 

    	 	10	 

    	 

    

 

10.
Withholding and Excess Payment.

 

(a)
All payments to be made to the Employee under this Agreement shall be subject to any required withholding of federal, state and
local income and employment taxes.

 

(b)
Notwithstanding anything to the contrary contained in this Agreement, if any of the payments provided for in Section 6(a) of this
Agreement, together with any other payments that must be included in such determination, would constitute an “Excess Parachute
Payment” (as defined in Section 2800 of the Internal Revenue Code of 1986, as amended and in effect as of the date hereof
(the “Code”), and proposed and final regulations thereunder), and would be subject to the excise tax imposed by Section
4999 of the Code, the amounts payable hereunder shall be limited in as narrow a manner as possible to prevent such payments from
constituting an “Excess Parachute Payment” by spreading such payments over sufficient annual tax periods as mutually
agreed by the Company and Employee notwithstanding the actual payment dates set forth herein. In the event that there are limitations
on the actual payment amounts that can be received by the Employee in order to avoid the effect of the excise tax imposed by Section
4999 of the Code, the amount of the payments hereunder shall be reduced but only to the extent necessary to prevent such payments
from being subject to the excise tax imposed by Section 4999 of the Code.

 

11.
Conditions to Effectiveness of Agreement. Notwithstanding anything to the contrary contained in this Agreement, and notwithstanding
execution of this Agreement by the Company and the Employee, this Agreement and the rights and obligations of the parties hereto
shall not be binding upon or enforceable by or against either party hereto, or their respective executors, heirs, administrators,
successors or assigns, unless and until (a) the Company’s Board of Directors has authorized and/or ratified this Agreement,
as evidenced either by minutes of a meeting of the Board of Directors attested to by the Company’s Secretary or by fully
executed unanimous written consent in lieu of meeting to that effect being included in the Company’s records of meetings
of the Board of Directors. Written notification of such authorization or ratification (including a photocopy of such attested
minutes or executed consent) shall be given to the Employee by the Company promptly following the date of such authorization or
ratification

 

12.
Successors

 

(a)
This Agreement is personal to the Employee and without the prior written consent of the Company shall not be assignable by the
Employee otherwise than by will or the laws of descent and distribution. This Agreement shall inure to the benefit of and be enforceable
by the Employee’s legal representatives.

 

(b)
This Agreement shall inure to the benefit of and be binding upon the Company and its successors and assigns.

 

(c)
The Company will require any successor (whether direct or indirect, by purchase, merger, consolidation or otherwise) to all or
substantially all of the business and/or assets of the Company to assume expressly and agree to perform this Agreement in the
same manner and to the same extent that the Company would be required to perform it if no such succession had taken place. As
used in this Agreement, “Company” shall mean Omega Flex, Inc. and any successor to its business and/or assets as aforesaid
which shall assume and agree to perform this Agreement by operation of law or otherwise.

 

    	 	11	 

    	 

    

 

13.
Miscellaneous

 

(a)
This Agreement shall be governed by and construed in accordance with the laws of the Commonwealth of Pennsylvania. The captions
of this Agreement are not part of the provisions hereof and shall have no force or effect. This Agreement may not be amended or
modified otherwise than by a written agreement executed by the parties hereto or their respective successors and legal representatives.

 

(b)
All notices and other communications hereunder shall be in writing and shall be given by hand delivery to the other party or by
certified mail, return receipt requested, postage prepaid, or by national overnight courier with confirmation of receipt, addressed
as follows:

 

	If
    to the Employee:	If
    to the Company:
	 	 
	 	Omega
        Flex, Inc.

                                                         451 Creamery Way

        Exton,
        PA 19341

        Attn: President

 

Any
notice delivered by hand delivery shall be effective upon delivery, any notice sent by certified mail shall be effective two (2)
business days following the deposit of such notice in the mail, any notice sent by national overnight courier shall be effective
on the business day following the day on which such notice is sent and any notice sent by telecopier as provided herein shall
be effective when sent.

 

(c)
The invalidity or unenforceability of any provision of this Agreement shall not affect the validity or enforceability of any other
provision of this Agreement.

 

(d)
The Company may withhold from any amount payable under this Agreement such Federal, state, local or foreign taxes as shall be
required to be withheld pursuant to any applicable law or regulation.

 

(e)
The Employee’s or the Company’s failure to insist upon strict compliance with any provision hereof or any other provision
of this Agreement or the failure to assert any right the Employee or the Company may have hereunder, including, without limitation,
the right of the Employee to terminate employment for Good Reason pursuant to Section 5(c) of this Agreement, shall not
be deemed to be a waiver of such provision or right or any other provision or right of this Agreement.

 

(f)
This Agreement supersedes all prior agreements or understandings, oral or written, between the parties hereto with respect to
the subject matter hereof, and specifically supersedes and cancels that certain Change of Control Agreement between the parties
dated October 3, 2015.

 

IN
WITNESS WHEREOF, this Agreement has been signed as a sealed instrument by the Employee and, subject to the authorization or ratification
from its Board of Directors the Company as of the date first written above.

 

	 	OMEGA
    FLEX, INC.
	 	 
	 	 
	 	Kevin
        R. Hoben,

        Chairman
        & CEO

	 	 
	 	 
	 	______________,
    Employee

 

    	 	12

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