Document:

Exhibit 10.1

 

EMPLOYMENT
AGREEMENT

 

This AGREEMENT is entered
into as of June 21, 2005, by and between Dan Ellis (the “Executive”) and
Align Technology, Inc., a Delaware corporation (the “Company”).

 

1.                                       Duties and Scope of Employment.

 

(a)                                  Position.  For the term of his employment under this
Agreement (“Employment”), the Company agrees to employ the Executive in the
position of Vice President, North American Sales.  The Executive shall report to the Chief
Executive Officer.  The Executive accepts
such employment and agrees to discharge all of the duties normally associated
with said position, and to faithfully and to the best of his abilities perform
such other services consistent with his position as Vice President, North
American Sales as may from time to time be assigned to him by the Chief
Executive Officer (the “CEO”).

 

(b)                                 Obligations
to the Company.  During the term of
his Employment, the Executive shall devote his full business efforts and time
to the Company.  The Executive agrees not
to actively engage in any other employment, occupation or consulting activity
for any direct or indirect remuneration without the prior approval of the CEO,
provided, however, that the Executive may, without the approval of the CEO,
serve in any capacity with any civic, educational or charitable
organization.  The Executive may own, as
a passive investor, no more than one percent (1%) of any class of the
outstanding securities of any publicly traded corporation.

 

(c)                                  No
Conflicting Obligations.  The Executive represents and warrants
to the Company that he is under no obligations or commitments, whether
contractual or otherwise, that are inconsistent with his obligations under this
Agreement.  The Executive represents and
warrants that he will not use or disclose, in connection with his employment by
the Company, any trade secrets or other proprietary information or intellectual
property in which the Executive or any other person has any right, title or
interest and that his employment by the Company as contemplated by this Agreement
will not infringe or violate the rights of any other person or entity.  The Executive represents and warrants to the
Company that he has returned all property and confidential information
belonging to any prior employers.

 

(d)                                 Commencement
Date.  The Executive commenced
full-time Employment on June 21, 2005.

 

2.                                       Cash and Incentive Compensation.

 

(a)                                  Salary.  The Company shall pay the Executive as
compensation for his services a base salary at a gross annual rate of $225,000,
payable in accordance with the Company’s standard payroll schedule.  The compensation specified in this Subsection (a),
together with any adjustments by the Company from time to time, is referred to
in this Agreement as “Base Salary.”

 

1

 

(b)                                 Target
Bonus.  The Executive shall be
eligible to participate in an annual bonus program that will provide him with
an opportunity to earn a potential annual bonus equal to 60.0% of the Executive’s
Base Salary.  The amount of the bonus
shall be based upon the performance of the Executive, as set by the individual
performance objectives described in this Subsection, and the Company in each
calendar year, and shall be paid by no later than January 31 of the
following year, contingent on the Executive remaining employed by the Company
as of such date.  The Executive’s
individual performance objectives and those of the Company’s shall be set by
the CEO after consultation with the Executive by no later than March 31,
of each calendar year.  For calendar year
2005, the Executive’s bonus shall be prorated based on the number of days of
such year that the Executive was employed by the Company.  Any bonus awarded or paid to the Executive
will be subject to the discretion of the Board.

 

(c)                                  Stock
Options.  The Executive shall be
eligible for an annual incentive stock option grant subject to the approval of
the Board.  The per share exercise price
of the option will be equal to the per share fair market value of the common
stock on the date of grant, as determined by the Board of Directors.  The term of such option shall be ten (10) years,
subject to earlier expiration in the event of the termination of the Executive’s
Employment.    The Executive shall vest
in 25% of the option shares after the first twelve (12) months of continuous
service and shall vest in the remaining option shares in equal monthly
installments over the next three (3) years of continuous service.  The grant of each such option shall be
subject to the other terms and conditions set forth in the Company’s 2005
Incentive Plan and in the Company’s standard form of stock option agreement.

 

3.                                       Vacation and Executive Benefits. 
During the term of his Employment, the Executive shall be eligible for
17 days vacation per year, in accordance with the Company’s standard policy for
senior management, as it may be amended from time to time.  During the term of his Employment, the
Executive shall be eligible to participate in any employee benefit plans
maintained by the Company for senior management, subject in each case to the
generally applicable terms and conditions of the plan in question and to the
determinations of any person or committee administering such plan.

 

4.                                       Business Expenses. 
During the term of his Employment, the Executive shall be authorized to
incur necessary and reasonable travel, entertainment and other business
expenses in connection with his duties hereunder.  The Company shall reimburse the Executive for
such expenses upon presentation of an itemized account and appropriate supporting
documentation, all in accordance with the Company’s generally applicable
policies.

 

5.                                       Term of Employment.

 

(a)                                  Basic
Rule.  The Company agrees to continue
the Executive’s Employment, and the Executive agrees to remain in Employment
with the Company, from the commencement date set forth in Section 1(d) until
the date when the Executive’s Employment terminates pursuant to Subsection (b) below.  The Executive’s Employment with the Company
shall be “at will,” and either the Executive or the Company may terminate the
Executive’s Employment at any time, for any reason, with or without Cause.  Any contrary representations, which may have
been made to the Executive shall be superseded by this Agreement.  This Agreement shall constitute the full and
complete agreement between the Executive and the Company on the “at will”
nature of the Executive’s Employment, which may only be changed in an express
written agreement signed by the Executive and a duly authorized officer of the
Company.

 

 

(b)                                 Termination.  The
Company may terminate the Executive’s Employment at any time and for any reason
(or no reason), and with or without Cause, by giving the Executive notice in
writing.  The Executive may terminate his
Employment by giving the Company fourteen (14) days advance notice in
writing.  The Executive’s Employment
shall terminate automatically in the event of his death or Permanent
Disability.  For purposes of this
Agreement, “Permanent Disability” shall mean that the Executive has become so
physically or mentally disabled as to be incapable of satisfactorily performing
the duties under this Agreement for a period of one hundred eighty (180)
consecutive calendar days.

 

(c)                                  Rights
Upon Termination.  Except as
expressly provided in Section 6, upon the termination of the Executive’s
Employment pursuant to this Section 5, the Executive shall only be
entitled to the compensation, benefits and reimbursements described in Sections
2, 3 and 4 for the period preceding the effective date of the termination.  The payments under this Agreement shall fully
discharge all responsibilities of the Company to the Executive.

 

(d)                                 Termination
of Agreement.  The termination of
this Agreement shall not limit or otherwise affect any of the Executive’s
obligations under Section 7.

 

6.                                       Termination Benefits.

 

(a)                                  General
Release.  Any other provision of this
Agreement notwithstanding, Subsections (b), (c) or (d) below shall
not apply unless the Executive (i) has executed a general release in a
form prescribed by the Company of all known and unknown claims that he may then
have against the Company or persons affiliated with the Company, and (ii) has
agreed not to prosecute any legal action or other proceeding based upon any of
such claims.

 

(b)                                 Termination
without Cause.  If, during the term
of this Agreement, and not in connection with a Change of Control as addressed
in Subsection (c) below, the Company terminates Executive’s
employment without Cause or due to Permanent Disability or Executive resigns
for Good Reason, then:

 

(i)                                     the
Executive shall immediately vest in an additional number of shares under all
outstanding options as if he had performed twelve (12) additional months of
service; and

 

(ii)                                  the
Company shall pay the Executive, an amount equal to:  (x) the then current year’s Target Bonus prorated
for the number of days of Executive is employed in said year, payable in a lump
sum within 30 days of the date of termination of Employment; (y) one year’s
Base Salary, payable in equal installments in accordance with the Company’s standard
payroll schedule; and (z) the greater of the then current year’s Target Bonus
or the actual prior year’s bonus, payable in a lump sum on the one year
anniversary of termination of Employment. 
The Executive’s Base Salary shall be paid at the rate in effect at the time
of the termination of Employment.

 

(c)                                  Upon
a Change of Control. In the event of the occurrence of a Change in Control
while the Executive is employed by the Company:

 

(i)                                     the
Executive shall immediately vest in an additional number of shares under all
outstanding options as if he had performed twelve (12) additional months of
service; and

 

 

(ii)                                  if
within twelve (12) months following the occurrence of the Change of Control,
one of the following events occurs:

 

(A) the Executive’s employment is terminated by the Company
without Cause; or

 

(B) the Executive resigns for Good Reason

 

then the Executive shall immediately vest as to all
shares under all outstanding options and the Company shall pay the Executive,
in a lump sum, an amount equal to:  (i) the
then current year’s Target Bonus prorated for the number of days of Executive
is employed in said year; (ii) one year’s Base Salary; and (iii) the
greater of the then current year’s Target Bonus or the actual prior year’s
bonus.  The Executive’s Base Salary shall
be paid at the rate in effect at the time of the termination of Employment.

 

(d)                                 Health
Insurance.  If Subsection (b) or
(c) above applies, and if the Executive elects to continue his health
insurance coverage under the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended (“COBRA”) following
the termination of his Employment, then the Company shall pay the Executive’s
monthly premium under COBRA until the earliest of (i) 12 months following
the termination of the Executive’s Employment, or (ii) the date upon which
the Executive commences employment with an entity other than the Company.

 

(e)                                  Definition
of “Cause.”  For all purposes under this Agreement, “Cause” shall
mean any of the following:

 

(i)                                     Unauthorized
use or disclosure of the confidential information or trade secrets of the
Company;

 

(ii)                                  Any
breach of this Agreement or the Employee Proprietary Information and Inventions
Agreement between the Executive and the Company;

 

(iii)                               Conviction of, or a plea
of “guilty” or “no contest” to, a felony under the laws of the United States or
any state thereof;

 

(iv)                              Misappropriation
of the assets of the Company or any act of fraud or embezzlement by Executive,
or any act of dishonesty by Executive in connection with the performance of his
duties for the Company that adversely affects the business or affairs of the
Company; or

 

(v)                                 Intentional
misconduct or the Executive’s failure to satisfactorily perform his/her duties
after having received written notice of such failure and at least thirty (30)
days to cure such failure.

 

The foregoing shall not
be deemed an exclusive list of all acts or omissions that the Company may
consider as grounds for the termination of the Executive’s Employment.

 

(f)                                    Definition
of ”Good Reason.”  For all purposes under this Agreement,
the Executive’s resignation for “Good Reason” shall mean the Executive’s
resignation within ninety (90) days the occurrence of any one or more of the
following events:

 

 

(i)                                     The
Executive’s position, authority or responsibilities being significantly
reduced;

 

(ii)                                  The
Executive being asked to relocate his principal place of employment such that
his commuting distance from his residence prior to the Change of Control is
increased by over thirty-five (35) miles;

 

(iii)                               The Executive’s annual
Base Salary or bonus being reduced; or

 

(iv)                              The
Executive’s benefits being materially reduced.

 

(g)                                 Definition
of “Change of Control.”  For all purposes under this Agreement, “Change
of Control” shall mean any of the following:

 

(i)                                     a
sale of all or substantially all of the assets of the Company;

 

(ii)                                  the
acquisition of more than fifty percent (50%) of the common stock of the Company
(with all classes or series thereof treated as a single class) by any person or
group of persons;

 

(iii)                               a reorganization of the
Company wherein the holders of common stock of the Company receive stock in
another company (other than a subsidiary of the Company), a merger of the
Company with another company wherein there is a fifty percent (50%) or greater
change in the ownership of the common stock of the Company as a result of such
merger, or any other transaction in which the Company (other than as the parent
corporation) is consolidated for federal income tax purposes or is eligible to
be consolidated for federal income tax purposes with another corporation; or

 

(iv)                              in
the event that the common stock is traded on an established securities market,
a public announcement that any person has acquired or has the right to acquire
beneficial ownership of more than fifty percent (50%) of the then-outstanding
common stock and for this purpose the terms “person” and “beneficial ownership”
shall have the meanings provided in Section 13(d) of the Securities
and Exchange Act of 1934 or related rules promulgated by the Securities
and Exchange Commission, or the commencement of or public announcement of an
intention to make a tender offer or exchange offer for more than fifty percent
(50%) of the then outstanding Common Stock.

 

7.                                       Non-Solicitation and Non-Disclosure.

 

(a)                                  Non-Solicitation.  During the period commencing on the date of
this Agreement and continuing until the first anniversary of the date when the
Executive’s Employment terminated for any reason, the Executive shall not
directly or indirectly, personally or through others, solicit or attempt to
solicit (on the Executive’s own behalf or on behalf of any other person or
entity) the employment of any employee of the Company or any of the Company’s
affiliates.

 

(b)                                 Proprietary
Information.  As a condition of
employment, the Executive has entered into a Proprietary Information and
Inventions Agreement with the Company, attached to this Agreement as Exhibit A,
which is incorporated herein by reference.

 

 

8.                                       Successors.

 

(a)                                  Company’s
Successors.  This Agreement shall be
binding upon any successor (whether direct or indirect and whether by purchase,
lease, merger, consolidation, liquidation or otherwise) to all or substantially
all of the Company’s business and/or assets. 
For all purposes under this Agreement, the term “Company” shall
include any successor to the Company’s business and/or assets which becomes
bound by this Agreement.

 

(b)                                 Executive’s
Successors.  This Agreement and all
rights of the Executive hereunder shall inure to the benefit of, and be
enforceable by, the Executive’s personal or legal representatives, executors,
administrators, successors, heirs, distributees, devisees and legatees.

 

9.                                       Miscellaneous Provisions.

 

(a)                                  Notice.  Notices and all other communications
contemplated by this Agreement shall be in writing and shall be deemed to have
been duly given when personally delivered or when mailed by overnight courier,
U.S. registered or certified mail, return receipt requested and postage
prepaid.  In the case of the Executive,
mailed notices shall be addressed to him at the home address which he most
recently communicated to the Company in writing.  In the case of the Company, mailed notices
shall be addressed to its corporate headquarters, and all notices shall be
directed to the attention of its Secretary.

 

(b)                                 Modifications
and Waivers.  No provision of this
Agreement shall be modified, waived or discharged unless the modification,
waiver or discharge is agreed to in writing and signed by the Executive and by
an authorized officer of the Company (other than the Executive).  No waiver by either party of any breach of,
or of compliance with, any condition or provision of this Agreement by the
other party shall be considered a waiver of any other condition or provision or
of the same condition or provision at another time.

 

(c)                                  Whole
Agreement.  No other agreements,
representations or understandings (whether oral or written) which are not
expressly set forth in this Agreement have been made or entered into by either
party with respect to the subject matter of this Agreement.  This Agreement and the Proprietary
Information and Inventions Agreement contain the entire understanding of the
parties with respect to the subject matter hereof.

 

(d)                                 Withholding
Taxes.  All payments made under this
Agreement shall be subject to reduction to reflect taxes or other charges
required to be withheld by law.

 

(e)                                  Choice
of Law.  The validity,
interpretation, construction and performance of this Agreement shall be
governed by the laws of the State of California (except provisions governing
the choice of law).

 

(f)                                    Severability.  The invalidity or unenforceability of any
provision or provisions of this Agreement shall not affect the validity or
enforceability of any other provision hereof, which shall remain in full force
and effect.

 

(g)                                 Arbitration.  Each party agrees that any and all disputes
which arise out of or relate to the Executive’s employment, the termination of
the Executive’s employment, or the terms of this Agreement shall be resolved
through final and binding arbitration.  Such arbitration shall be in lieu of any trial
before a judge and/or jury, and the Executive and Company expressly waive all
rights to

 

 

have such disputes resolved via trial before a judge
and/or jury.  Such disputes shall
include, without limitation, claims for breach of contract or of the covenant
of good faith and fair dealing, claims of discrimination, claims under any
federal, state or local law or regulation now in existence or hereinafter
enacted and as amended from time to time concerning in any way the subject of
the Executive’s employment with the Company or its termination.  The only claims not covered by this Agreement
to arbitrate disputes are:  (i) claims
for benefits under the unemployment insurance benefits; (ii) claims for
workers’ compensation benefits under any of the Company’s workers’ compensation
insurance policy or fund; (iii) claims arising from or relating to the
non-competition provisions of this Agreement; and (iv) claims concerning
the validity, infringement, ownership, or enforceability of any trade secret,
patent right, copyright, trademark or any other intellectual property right,
and any claim pursuant to or under any existing confidential/proprietary/trade
secrets information and inventions agreement(s) such as, but not limited to,
the Proprietary Information and Inventions Agreement.  With respect to such disputes, they shall not
be subject to arbitration; rather, they will be resolved pursuant to applicable
law.

 

Arbitration shall be
conducted in accordance with the National Rules for the Resolution of
Employment Disputes of the American Arbitration Association (“AAA Rules”),
provided, however, that the arbitrator shall allow the discovery authorized by California Code of Civil Procedure section 1282, et seq., or any other discovery required by applicable law
in arbitration proceedings, including, but not limited to, discovery available
under the applicable state and/or federal arbitration statutes.  Also, to the extent that any of the AAA Rules or
anything in this arbitration section conflicts with any arbitration
procedures required by applicable law, the arbitration procedures required by
applicable law shall govern.

 

Arbitration will be
conducted in Santa Clara County, California or, if the Executive does not
reside within 100 miles of Santa Clara County at the time the dispute arises,
then the arbitration may take place in the largest metropolitan area within 50
miles of the Executive’s place of residence when the dispute arises.

 

During the course of the
arbitration, the Executive and the Company will each bear equally the
arbitrator’s fee and any other type of expense or cost of arbitration, unless
applicable law requires otherwise, and each shall bear their own respective
attorneys’ fees incurred in connection with the arbitration.  The arbitrator will not have authority to
award attorneys’ fees unless a statute or contract at issue in the dispute
authorizes the award of attorneys’ fees to the prevailing party. In such case,
the arbitrator shall have the authority to make an award of attorneys’ fees as
required or permitted by the applicable statute or contract.  If there is a dispute as to whether the
Executive or the Company is the prevailing party in the arbitration, the
arbitrator will decide this issue.

 

The arbitrator shall
issue a written award that sets forth the essential findings of fact and
conclusions of law on which the award is based. 
The arbitrator shall have the authority to award any relief authorized
by law in connection with the asserted claims or disputes.  The arbitrator’s award shall be subject to
correction, confirmation, or vacation, as provided by applicable law setting
forth the standard of judicial review of arbitration awards.  Judgment upon the arbitrator’s award may be
entered in any court having jurisdiction thereof.

 

(h)                                 No
Assignment.  This Agreement and all
rights and obligations of the Executive hereunder are personal to the Executive
and may not be transferred or assigned by the Executive at any time.  The Company may assign its rights under this
Agreement to any entity that assumes the Company’s obligations hereunder in
connection with any sale or transfer of all or a substantial portion of the
Company’s assets to such entity.

 

 

(i)                                     Counterparts.  This Agreement may be executed in two or more
counterparts, each of which shall be deemed an original, but all of which
together shall constitute one and the same instrument.

 

 

[The
remainder of this page intentionally left blank.]

 

 

IN WITNESS WHEREOF, each
of the parties has executed this Agreement, in the case of the Company by its
duly authorized officer, as of the day and year first above written.

 

 

	
   

  	
  Dan Ellis

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
    /s/ Dan
  Ellis

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  ALIGN TECHNOLOGY, INC.

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
    /s/ Thomas
  M. Prescott

  	
   

  
	
   

  	
  By: Thomas M. Prescott

  	
   

  
	
   

  	
  Title: President and
  CEO

  	
   

  

 

 

EXHIBIT A

 

PROPRIETARY INFORMATION AND INVENTIONS AGREEMENT

(ATTACHED)

 

 

ALIGN TECHNOLOGY, INC.

 

EMPLOYEE PROPRIETARY INFORMATION

AND INVENTIONS AGREEMENT

 

In consideration of my employment or continued employment by ALIGN TECHNOLOGY, INC. (the “Company”),
and the compensation now and hereafter paid to me, I hereby agree as follows:

 

1.                                      PROPRIETARY INFORMATION.  At
all times during my employment and thereafter, I will hold in strictest
confidence and will not disclose, use, lecture upon or publish any of the
Company’s Proprietary Information (defined below), except as such disclosure,
use or publication may be required in connection with my work for the Company,
or unless an officer of the Company expressly authorizes such in writing.  “Proprietary Information”
shall mean any and all confidential and/or proprietary knowledge, data or
information of the Company, its affiliated entities, customers and suppliers,
including but not limited to information relating to products, processes, know-how,
designs, formulas, methods, developmental or experimental work, improvements,
discoveries, inventions, ideas, source and object codes, data, programs, other
works of authorship, and plans for research and development.  During my employment by the Company I will
not improperly use or disclose any confidential information or trade secrets,
if any, of any former employer or any other person to whom I have an obligation
of confidentiality, and I will not bring onto the premises of the Company any
unpublished documents or any property belonging to any former employer or any
other person to whom I have an obligation of confidentiality unless consented
to in writing by that former employer or person.

 

2.                                      Assignment of Inventions.

 

2.1.                            Proprietary Rights.  The
term “Proprietary Rights” shall
mean all trade secret, patent, copyright, mask work and other intellectual
property rights throughout the world.

 

2.2.                            Inventions. The term “Inventions” shall mean all trade
secrets, inventions, mask works, ideas, processes, formulas, source and object
codes, data, programs, other works of authorship, know-how, improvements,
discoveries, developments, designs and techniques.

 

2.3.                            Prior Inventions. I have set forth on Exhibit B (Previous
Inventions) attached hereto a complete list of all Inventions that I have,
alone or jointly with others, made prior to the commencement of my employment
with the Company that I consider to be my property or the property of third
parties and that I wish to have excluded from the scope of this Agreement
(collectively referred to as “Prior Inventions”).  If no such disclosure is attached, I
represent that there are no Prior Inventions. 
If, in the course of my employment with the Company, I incorporate a
Prior Invention into a Company product, process or machine, the Company is
hereby granted and shall have a nonexclusive, royalty-free, irrevocable,
perpetual, worldwide license (with rights to sublicense through multiple tiers
of sublicensees) to make, have made, modify, use and sell such Prior Invention.  Notwithstanding the foregoing, I agree that I
will not incorporate, or permit to be incorporated, Prior Inventions in any
Company Inventions without the Company’s prior written consent.

 

2.4.                            Assignment of Inventions. 
Subject to Section 2.6 and except for those Inventions which I can
prove qualify fully under the provisions of California Labor Code 2870 (as set
forth in Exhibit A), I hereby assign and
agree to assign in the future (when any such Inventions or Proprietary Rights
are first reduced to practice or first fixed in a tangible medium, as
applicable) to the Company all my right, title and interest in and to any and
all Inventions (and all Proprietary Rights with respect thereto).  I will, at the Company’s request, promptly
execute a written assignment to the Company of any such Company Invention, and
I will preserve any such Invention as part of the Proprietary Information of
the Company (the “Company Inventions”).

 

2.5.                            Obligation to Keep Company
Informed.  I will promptly and fully disclose in writing
to the Company all Inventions during my employment and for one (1) year
after my employment, including any that may be covered by Section 2870.  I agree to assist in every proper way and to
execute those documents and take such acts as are reasonably requested by the
Company to obtain,

 

 

sustain and from time to time enforce patents, copyrights and other
rights and protections relating to Inventions in the United States or any other
country.

 

2.6.                            Government or Third Party.  I
also agree to assign all my right, title and interest in and to any particular
Company Invention to a third party, including without limitation the United
States, as directed by the Company.

 

3.                                      NO CONFLICTING OBLIGATION.  I REPRESENT that my performance of all the terms of this
Agreement and as an employee of the Company does not and will not breach any
agreement to keep in confidence information acquired by me in confidence or in
trust prior to my employment by the Company. 
I have not entered into, and I agree I will not enter into, any
agreement either written or oral in conflict herewith.

 

4.                                      RETURN OF COMPANY DOCUMENTS.  Upon
termination of my employment with the Company for any reason whatsoever,
voluntarily or involuntarily, and at any earlier time the Company requests, I
will deliver to the person designated by the Company all originals and copies
of all documents and other property of the Company in my possession, under my
control or to which I may have access.  I
will not reproduce or appropriate for my own use, or for the use of others, any
property, Proprietary Information or Company Inventions.

 

5.                                      LEGAL AND EQUITABLE REMEDIES. 
Because my services are personal and unique and because I may have
access to and become acquainted with the Proprietary Information of the
Company, the Company shall have the right to enforce this Agreement and any of
its provisions by injunction, specific performance or other equitable relief,
without bond and without prejudice to any other rights and remedies that the
Company may have for a breach of this Agreement.

 

6.                                      NOTICES.  Any
notices required or permitted hereunder shall be given to the appropriate party
at the address specified below or at such other address as the party shall
specify in writing.  Such notice shall be
deemed given upon personal delivery to the appropriate address or if sent by
certified or registered mail, three (3) days after the date of mailing.

 

7.                                      EMPLOYMENT.  I
agree and understand that nothing in this Agreement shall confer any right with
respect to continuation of employment by the Company, nor shall it interfere in
any way with my right or the Company’s right to terminate my employment at any
time, with or without cause.

 

GENERAL PROVISIONS.  This
Agreement will be governed by and construed according to the laws of the State
of California, as such laws are applied to agreements entered into and to be
performed entirely within California between California residents.  In case any one or more of the provisions
contained in this Agreement shall, for any reason, be held to be invalid,
illegal or unenforceable in any respect, such invalidity, illegality or
unenforceability shall not affect the other provisions of this Agreement, and
this Agreement shall be construed as if such invalid, illegal or unenforceable provision
had never been contained herein.  This
Agreement will be binding upon my heirs, executors, administrators and other
legal representatives and will be for the benefit of the Company, its
successors, and its assigns.  The
provisions of this Agreement shall survive the termination of my employment and
the assignment of this Agreement by the Company to any successor in interest or
other assignee.  No waiver by the Company
of any breach of this Agreement shall be a waiver of any preceding or
succeeding breach.  No waiver by the
Company of any right under this Agreement shall be construed as a waiver of any
other right.  The obligations pursuant to
Sections 1 and 2 of this Agreement shall apply to any time during which I was
previously employed, or am in the future employed, by the Company as a
consultant if no other agreement governs nondisclosure and assignment of
inventions during such period.  This
Agreement is the final, complete and exclusive agreement of the parties with
respect to the subject matter hereof and supersedes and merges all prior
discussions between us.  No modification
of or amendment to this Agreement, nor any waiver of any rights under this
Agreement, will be effective unless in writing and signed by the party to be
charged.  Any subsequent change or
changes in my duties, salary or compensation will not affect the validity or
scope of this Agreement.

 

13

 

This Agreement shall be
effective as of the first day of my employment with the Company.

 

	
  Dated:

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  (Signature)

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  (Printed Name)

  	
   

  
	
   

  	
   

  
	
  ACCEPTED AND AGREED TO:

  	
   

  
	
  ALIGN TECHNOLOGY, INC.

  	
   

  
	
  By:

  	
   

  	
   

  
	
   

  	
   

  
	
  Title:

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  (Address)

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
  Dated:

  	
   

  	
   

  
						

 

14

 

EXHIBIT A

 

LIMITED EXCLUSION NOTIFICATION

 

THIS IS TO NOTIFY you in
accordance with Section 2872 of the California Labor Code that the
foregoing Agreement between you and the Company does not require you to assign
or offer to assign to the Company any invention that you developed entirely on
your own time without using the Company’s equipment, supplies, facilities or
trade secret information except for those inventions that either:

 

1.                                      Relate
at the time of conception or reduction to practice of the invention to the
Company’s business, or actual or demonstrably anticipated research or
development of the Company;

 

2.                                      Result
from any work performed by you for the Company.

 

To the extent a provision in the foregoing Agreement
purports to require you to assign an invention otherwise excluded from the
preceding paragraph, the provision is against the public policy of this state
and is unenforceable.

 

This limited
exclusion does not apply to any patent or invention covered by a contract
between the Company and the United States or any of its agencies requiring full
title to such patent or invention to be in the United States.

 

I ACKNOWLEDGE RECEIPT of a copy
of this notification.

 

	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  (PRINTED
  NAME OF EMPLOYEE)

  
	
   

  	
   

  	
   

  
	
   

  	
  Date:

  	
   

  
	
   

  	
   

  	
   

  
	
  WITNESSED BY:

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  (PRINTED NAME OF REPRESENTATIVE)

  	
   

  	
   

  
					

 

A-1

 

EXHIBIT B

 

	
  TO:

  	
  ALIGN TECHNOLOGY, INC.

  
	
   

  	
   

  
	
  FROM:

  	
   

  
	
   

  	
   

  
	
  DATE:

  	
   

  
	
   

  	
   

  
	
  SUBJECT:

  	
  Previous
  Inventions

  

 

 

1.                                       Except
as listed in Section 2 below, the following is a complete list of all
inventions or improvements relevant to the subject matter of my employment by ALIGN TECHNOLOGY, INC. (the “Company”)
that have been made or conceived or first reduced to practice by me alone or
jointly with others prior to my engagement by the Company:

 

o                                    No
inventions or improvements.

 

o                                    See
below:

 

 

 

o                          Additional
sheets attached.

 

2.                                       Due
to a prior confidentiality agreement, I cannot complete the disclosure under Section 1
above with respect to inventions or improvements generally listed below, the
proprietary rights and duty of confidentiality with respect to which I owe to
the following party(ies):

 

	
   

  	
  Invention or Improvement

  	
   

  	
  Party(ies)

  	
   

  	
  Relationship

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  1.

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  2.

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  3.

  	
   

  	
   

  	
   

  	
   

  	
   

  

 

o                          Additional
sheets attached.

 

2Exhibit 10.1

 

NON-EMPLOYEE DIRECTOR COMPENSATION

 

	
  • Board membership

  	
   

  	
  $50,000 restricted stock
  grant with a 1 year vesting period

  
	
  • Board
  Chairman

  	
   

  	
  $20,000 restricted stock grant with a 1 year vesting period. In
  addition, if the Chairman is not
  the Chairman of the Corporate Governance Committee the Chairman will receive
  an additional $20,000 per year (paid $5,000 per quarter) cash compensation.

  
	
   

  	
   

  	
   

  
	
  • Corporate
  Governance Members

  	
   

  	
  $20,000 per year (paid $5,000/quarter) cash compensation

  
	
  • Corporate
  Governance Chairman

  	
   

  	
  $60,000 per year (paid $15,000/quarter) cash compensation

  
	
   

  	
   

  	
   

  
	
  • Audit Members

  	
   

  	
  $20,000 per year (paid $5,000/quarter) cash compensation

  
	
  • Audit
  Chairman

  	
   

  	
  $40,000 per year (paid $10,000/quarter) cash compensation

  
	
   

  	
   

  	
   

  
	
  • Compensation
  Members

  	
   

  	
  $8,000 per year (paid $2,000/quarter) cash compensation

  
	
  • Compensation
  Chairman

  	
   

  	
  $20,000 per year (paid $5,000/quarter) cash compensation

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00086-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00086-of-00352.parquet"}]]