Document:

Exhibit

PLANTRONICS, INC.
2002 EMPLOYEE STOCK PURCHASE PLAN

Amended and Restated Effective as of May 19, 2016

1.    Purpose.  The purpose of the Plan is to provide employees of the Company and its Designated Subsidiaries with an opportunity to purchase Common Stock of the Company through accumulated payroll deductions or a cash contribution, if applicable.  This Plan includes two components: a Code Section 423 Plan Component and a Non-423 Plan Component. It is the intention of the Company to have the Code Section 423 Plan Component qualify as an “Employee Stock Purchase Plan” under Section 423 of the Code and the provisions of the Plan with respect to the Code Section 423 Component, accordingly, shall be construed so as to extend and limit participation in a manner consistent with the requirements of that section of the Code.  In addition, this Plan authorizes the grant of options under the Non-423 Plan Component that do not qualify under Section 423 of the Code, pursuant to the rules, procedures or sub-plans adopted by the Administrator that are designed to achieve tax, securities laws or other objectives for Employees and/or the Company.  Except as otherwise indicated, the Non-423 Plan Component will operate and be administered in the same manner as the Code Section 423 Plan Component.
		
	2.
	Definitions.

(a)    “Administrator” shall mean the Board of Directors of the Company or any committee of members of the Board of Directors authorized to administer the Plan.
(b)    “Applicable Laws” shall mean the requirements relating to the administration of equity-based awards under U.S. state corporate laws, U.S. federal and state securities laws, the Code, any stock exchange or quotation system on which the Common Stock is listed or quoted and the applicable laws of any foreign country or jurisdiction where the Plan is, or will be, offered.
(c)    “Code” shall mean the Internal Revenue Code of 1986, as amended. Reference to a specific section of the Code or U.S. Treasury Regulation thereunder will include such section or regulation, any valid regulation or other official applicable guidance promulgated under such section, and any comparable provision of any future legislation or regulation amending, supplementing or superseding such section or regulation.
(d)    “Code Section 423 Plan Component” shall mean the component of this Plan that is intended to meet the requirements set forth in Section 423(b) of the Code.  The Code Section 423 Plan Component shall be construed, administered and enforced in accordance with Section 423(b) of the Code.
(e)    “Common Stock” shall mean the common stock of the Company.
(f)    “Company” shall mean Plantronics, Inc., a Delaware corporation.
(g)    “Compensation” shall mean a Participant’s base straight time gross earnings rate, exclusive of any payments for overtime, shift premium, incentive compensation, incentive payments, bonuses, commissions, car allowances, profit-sharing and other compensation.  The Administrator shall have the discretion to determine what constitutes Compensation for Participants under the Plan, but for purposes of Participants participating in the Code Section 423 Plan Component, it will be applied on a uniform, non-discriminatory basis.
(h)    “Designated Subsidiary” shall mean any Subsidiary that has been designated by the Administrator from time to time in its sole discretion as eligible to participate in the Plan.  The Administrator may provide that any Designated Subsidiary shall only be eligible to participate in the Non-423 Plan Component and at any given time, a Subsidiary that is a Designated Subsidiary under the Code Section 423 Plan Component shall not be a Designated Subsidiary under the Non-423 Plan Component.

1

(i)    “Employee” shall mean any individual who is an employee of the Company or a Designated Subsidiary for tax purposes.  For purposes of the Plan, the employment relationship shall be treated as continuing intact while the individual is on sick leave or other leave of absence approved by the Company or Designated Subsidiary, as applicable, or is legally protected under Applicable Laws.  Where the period of leave exceeds three (3) months and the individual’s right to reemployment is not guaranteed either by statute or by contract, the employment relationship shall be deemed to automatically terminate on the date three (3) months and one day following the commencement of such leave.  The Administrator, in its discretion, from time to time may, prior to an Enrollment Date for all options to be granted on the first day of the Offering Period to which the Enrollment Date relates, determine (and for purposes of the Code Section 423 Plan Component, on a uniform and nondiscriminatory basis or as otherwise permitted by Treasury Regulation Section 1.423‐2) that the definition of Employee will or will not include an individual if he or she: (i) has not completed at least two (2) years of service since his or her last hire date (or such lesser period of time as may be determined by the Administrator in its discretion), (ii) customarily works not more than twenty (20) hours per week (or such lesser period of time as may be determined by the Administrator in its discretion), (iii) customarily works not more than five (5) months per calendar year (or such lesser period of time as may be determined by the Administrator in its discretion), (iv) is a highly compensated employee within the meaning of Section 414(q) of the Code, or (v) is a highly compensated employee within the meaning of Section 414(q) of the Code with compensation above a certain level or is an officer or subject to the disclosure requirements of Section 16(a) of the Securities Exchange Act of 1934, as amended, provided the exclusion is applied with respect to each Offering Period in an identical manner to all highly compensated individuals of the Company or Designated Subsidiary whose Employees are participating in that Offering Period.  Each exclusion shall be applied with respect to an Offering Period in a manner complying with U.S. Treasury Regulation Section 1.423‐2(e)(2)(ii).  For Offering Periods under the Non-423 Plan Component, Employee will also mean any other employee of the Company or Designated Subsidiary to the extent that Applicable Laws require participation in the Plan to be extended to such employee, as determined by the Administrator.
(j)    “Enrollment Date” shall mean the date that is seven (7) calendar days prior to the first day of each Offering Period or such other date determined by the Administrator on or prior to that Offering Period in a uniform and non-discriminatory basis.
(k)    “Exercise Date” shall mean the last day of each Offering Period.
(l)    “Fair Market Value” shall mean, as of any date, the value of Common Stock determined as follows:
(i)    If the Common Stock is listed on any established stock exchange or a national market system, including without limitation the New York Stock Exchange, its Fair Market Value shall be the closing sales price for such stock (or the closing bid, if no sales were reported) as quoted on such exchange or system for the last market trading day on the date of such determination, as reported in The Wall Street Journal or such other source as the Administrator deems reliable, or;
(ii)    If the Common Stock is regularly quoted by a recognized securities dealer but selling prices are not reported, the Fair Market Value of a share of Common Stock shall be the mean between the high bid and low asked prices for the Common Stock on the date of such determination, as reported in The Wall Street Journal or such other source as the Administrator deems reliable, or;
(iii)    In the absence of an established market for the Common Stock, the Fair Market Value shall be determined in good faith by the Administrator.
(m)    “Non-423 Plan Component” shall mean a component of this Plan that is not intended to meet the requirements set forth in Section 423(b) of the Code.
(n)    “Offering Period” shall mean a period of approximately six (6) months during which an option granted pursuant to the Plan may be exercised.  The duration of Offering Periods may be changed pursuant to Sections 4 and 20 of this Plan.
(o)    “Participant” shall mean an eligible Employee who has enrolled in an Offering Period in accordance with Section 5 of the Plan.
(p)    “Plan” shall mean this Plantronics, Inc. 2002 Employee Stock Purchase Plan, as amended and restated from time to time.
(q)    “Purchase Price” shall mean an amount equal to 85% of the Fair Market Value of a share of Common Stock on the first day of the Offering Period or on the Exercise Date, whichever is lower; provided, however, that the Purchase Price may be adjusted by the Administrator pursuant to Section 20.
(r)    “Reserves” shall mean the number of shares of Common Stock covered by each option under the Plan which have not yet been exercised and the number of shares of Common Stock which have been authorized for issuance under the Plan but not yet placed under option.

2

(s)    “Subscription Agreement” shall mean a form(s) of agreement approved by the Administrator from time to time authorizing payroll deductions or a cash contribution, if applicable, in connection with a Participant’s enrollment in one or more Offering Periods under this Plan.
(t)    “Subsidiary” shall mean a corporation, domestic or foreign, of which not less than 50% of the voting shares are held by the Company or a Subsidiary, whether or not such corporation now exists or is hereafter organized or acquired by the Company or a Subsidiary.
		
	3.
	Eligibility.

(a)    Subject to Section 3(b) below, any Employee who shall be employed by the Company or a Designated Subsidiary for a minimum of seven (7) calendar days prior to the first day of an Offering Period, or such other length of time determined by the Administrator on or prior to that Offering Period shall be eligible to participate in the Plan; provided that for purposes of Participants participating in the Code Section 423 Plan Component, it will be applied in a uniform and non-discriminatory basis.
(b)    Employees who are citizens or residents of a non-U.S. jurisdiction (without regard to whether they also are citizens or residents of the United States or resident aliens (within the meaning of Section 7701(b)(1)(A) of the Code)) may be excluded from participation in the Plan or an Offering Period if the participation of such Employees is prohibited under the laws of the applicable jurisdiction or if complying with the laws of the applicable jurisdiction would cause the Plan or an offering under the Plan to violate Section 423 of the Code.
(c)    Any provisions of the Plan to the contrary notwithstanding, no Employee shall be granted an option under the Plan;
(i)    to the extent that, immediately after the grant, such Employee (or any other person whose stock would be attributed to such Employee pursuant to Section 424(d) of the Code) would own capital stock of the Company and/or hold outstanding options to purchase such stock possessing five percent (5%) or more of the total combined voting power or value of all classes of the capital stock of the Company or of any Subsidiary;
(ii)    to the extent that his or her rights to purchase stock under all employee stock purchase plans (as defined in Section 423 of the Code) of the Company and its Subsidiaries accrues at a rate which exceeds twenty-five thousand dollars ($25,000) worth of Common Stock (determined at the Fair Market Value of the shares at the time such option is granted) for each calendar year in which such option is outstanding at any time; or
		
	(iii)
	to purchase more than 5,000 shares in any Offering Period.

4.    Offering Periods.  The Plan shall be implemented by consecutive Offering Periods with the Offering Period commencing on or around February 15 and August 15 of each year and ending approximately six (6) months later on August 15 and February 15, respectively.  If the commencement or ending date of any Offering Period occurs on a weekend, holiday or other day on which any stock exchange or national market system on which the Common Stock is listed is not open, the last market trading date immediately prior shall be the applicable Offering Period commencement or ending date.  The Administrator shall have the power to change the duration of Offering Periods (including the commencement dates thereof) with respect to future offerings without stockholder approval if such change is announced prior to the scheduled beginning of the first Offering Period to be affected thereafter.
5.    Participation.  An eligible Employee may become a Participant by submitting a properly completed Subscription Agreement to the Company either through an on-line enrollment process established by the Administrator or submitting a hard copy to the Company’s stock administration manager on or prior to the applicable Enrollment Date; provided that for purposes of Participants participating in the Code Section 423 Plan Component, the processing of enrollments, whether on-line or via hard copy, will be applied in a uniform and non-discriminatory basis.
		
	6.
	Payment Methods.

(a)    At the time a Participant submits his or her Subscription Agreement, he or she shall elect to have payroll deductions made on each payday during the Offering Period at a rate equal to not less than one percent (1.0%) and not exceeding ten percent (10.0%) (in whole percentages only) of his or her Compensation payable on each payday during the Offering Period.
(b)    Any such payroll deductions for a Participant shall commence on the first payday following the first day of the Offering Period and shall end on the last payday in the Offering Period to which such authorization is applicable, unless sooner terminated by the Participant as provided in Section 10 hereof.

3

(c)    Notwithstanding the foregoing and lieu of the payroll deductions in subsection (a) above, the Administrator may, for any Offering Period, permit each Participant to make a lump sum cash contribution by check payable to the Company in an amount equal to not less than one percent (1.0%) and not exceeding ten percent (10.0%) (in whole percentages only) of his or her Compensation payable during the Offering Period, subject to such conditions and limitations as the Administrator may determine from time to time in its discretion; provided that for purposes of Participants participating in the Code Section 423 Plan Component, such conditions and limitations will be applied in a uniform and non-discriminatory basis.
(d)    All payroll deductions or any cash contribution, if applicable, made by or for a Participant shall be credited to his or her account under the Plan.  
(e)    A Participant may discontinue his or her participation in the Plan as provided in Section 10 hereof.  A Participant’s Subscription Agreement shall remain in effect for successive Offering Periods unless terminated as provided in Section 10 hereof or modified by completion and timely submission of a new Subscription Agreement prior to the applicable successive Offering Period Enrollment Date.
(f)    Notwithstanding the foregoing, a Participant’s payroll deductions or cash contribution, if applicable, may be decreased at any time to the extent necessary to comply with Section 423(b)(8) of the Code and Section 3(c) hereof.  Any payroll deductions shall recommence at the rate provided in such Participant’s Subscription Agreement at the beginning of the first Offering Period which is scheduled to end in the following calendar year, unless the Participant terminates the Subscription Agreement as provided in Section 10 hereof.
(g)    At the time the option is exercised, in whole or in part, or at the time some or all of the Common Stock issued under the Plan is disposed of, the Participant must make adequate provision for the Company’s federal, state, or other tax withholding obligations, if any, which arise upon the exercise of the option or the disposition of the Common Stock.  At any time, the Company may, but shall not be obligated to, withhold from the Participant’s pay the amount necessary for the Company to meet applicable withholding obligations, including any withholding required to make available to the Company any tax deductions or benefits attributable to sale or early disposition of Common Stock by the Participant.
7.    Grant of Option.  On the first day of each Offering Period, each Participant shall be granted an option to purchase on the Exercise Date of such Offering Period (at the applicable Purchase Price) up to a number of shares of Common Stock determined by dividing such Participant’s payroll deductions or cash contribution, if applicable, accumulated prior to such Exercise Date and retained in the Participant’s account as of the Exercise Date by the applicable Purchase Price; provided that such purchase shall be subject to the limitations set forth in Sections 3(c) and 12 hereof.  Exercise of the option shall occur as provided in Section 8 hereof, unless the Participant has previously withdrawn pursuant to Section 10 hereof.  The Administrator may, for future Offering Periods, increase or decrease, in its absolute discretion, the maximum number of shares of Common Stock a Participant may purchase during an Offering Period.  The option shall expire on the last day of the Offering Period.
8.    Exercise of Option.  Unless a Participant previously withdraws from the Plan as provided in Section 10 hereof, his or her option for the purchase of shares shall be exercised automatically on the Exercise Date, and the maximum number of shares subject to the option shall be purchased for such Participant at the applicable Purchase Price with the accumulated payroll deductions or cash contribution, if applicable, in his or her account. If the Exercise Date of any Offering Period occurs on a weekend, holiday or other day on which any stock exchange or national market system on which the Common Stock is listed is not open, the applicable Offering Period Exercise Date shall be the last market trading date immediately prior to the Exercise Date.  Fractional shares may be purchased subject to the limitations set forth in Section 3(c).  Any payroll deductions or cash contribution, if applicable, accumulated in a Participant’s account which are in excess of the amounts permissible for the purchase of shares authorized under Section 3(c), shall be returned to the Participant as soon as administratively practicable after the Exercise Date of the relevant Offering Period. During a Participant’s lifetime, a Participant’s option to purchase shares hereunder is exercisable only by him or her.
9.    Delivery.  As promptly as practicable after each Exercise Date, the Company shall cause to be delivered to each Participant, as appropriate, the shares purchased upon exercise of his or her option.

4

		
	10.
	Withdrawal.

(a)    A Participant may withdraw the entire balance credited to his or her account and not yet used to exercise his or her option under the Plan at any time through an on-line process established by the Administrator or by giving written notice to the Company in a form(s) approved by the Administrator from time to time at least two (2) business days prior to the applicable Exercise Date.  Notwithstanding the foregoing, for purposes of Participants participating in the Code Section 423 Plan Component, the processing of withdrawals, whether on-line or via hard copy, will be applied in a uniform and non-discriminatory basis.  The entire balance credited to a Participant’s account shall be paid to such Participant promptly after timely receipt of the Participant’s notice of withdrawal pursuant to this subsection, in which case such Participant’s option for the Offering Period shall be automatically terminated, and no further payroll deductions or cash contribution, if applicable, for the purchase of shares shall be made for such Offering Period.  If a Participant withdraws from an Offering Period (or submits a withdrawal request pursuant to this subsection that is not timely received for a particular Offering Period), his or her participation in the Plan shall not resume at the beginning of the succeeding Offering Period unless the Participant re-enrolls in the Plan by timely submitting to the Company a new Subscription Agreement.
(b)    A Participant’s withdrawal from an Offering Period shall not have any effect upon his or her eligibility to participate in any similar plan which may hereafter be adopted by the Company or in succeeding Offering Periods which commence after the termination of the Offering Period from which the Participant withdraws.
11.    Termination of Employment.  Upon a Participant’s ceasing to be an Employee for any reason, he or she shall be deemed to have automatically and immediately elected to withdraw from the Plan and the entire balance then credited to such Participant’s account shall be returned to such Participant or, in the case of his or her death, to the person or persons entitled thereto under Section 15 hereof, and such Participant’s option shall be automatically terminated.  The foregoing shall apply whether or not a Participant ceases to be an Employee within the two (2) business days prior to an applicable Exercise Date referred to in Section 10(a) above.
12.    Interest.  No interest shall accrue on any amounts credited to a Participant’s account under the Plan, except as may be required by Applicable Laws, as determined by the Administrator, for Participants in the Non-423 Plan Component (or the Code Section 423 Plan Component if permitted under Section 423 of the Code).
		
	13.
	Stock.

(a)    Subject to adjustment upon changes in capitalization of the Company as provided in Section 19 hereof, the maximum number of shares of the Common Stock available for sale under the Plan shall be 3,000,000 shares.  If, on a given Exercise Date, the number of shares with respect to which options for all Participants are to be exercised exceeds the number of shares then available under the Plan, the Company shall make a pro rata allocation of the shares remaining available for purchase in as uniform a manner as shall be practicable and as it shall determine to be equitable; provided, however, for purposes of Participants participating in the Code Section 423 Plan Component, any pro rata allocation, will be applied in a uniform and non-discriminatory basis.
(b)    The Participant shall have no interest, voting right or rights to dividends in connection with shares covered by his or her option until such option has been exercised.
(c)    Shares to be delivered to a Participant under the Plan shall be registered in the name of the Participant. 

5

14.    Administration.  The Plan shall be administered by the Administrator.  The Administrator shall have full and exclusive discretionary authority to construe, interpret and apply the terms of the Plan, to determine eligibility, to adjudicate all disputed claims filed under the Plan and to establish such procedures that it deems necessary for the administration of the Plan (including, without limitation, to adopt such procedures and sub-plans as are necessary or appropriate to permit the participation in the Plan by Employees who are foreign nationals or employed outside the U.S., the terms of which sub-plans may take precedence over other provisions of this Plan, with the exception of Section 13(a) hereof, but unless otherwise superseded by the terms of such sub-plan, the provisions of this Plan shall govern the operation of such sub-plan).  Unless otherwise determined by the Administrator, the Employees eligible to participate in each sub-plan will participate in a separate offering.  Without limiting the generality of the foregoing, the Administrator is specifically authorized to adopt rules and procedures regarding eligibility to participate, the definition of Compensation, making of payroll deductions and/or cash contributions under the Plan, handling of payroll deductions and/or cash contributions, establishment of any bank or trust accounts to hold payroll amounts deducted and/or cash contributions, any payment of interest, conversion of local currency, obligations to pay payroll tax, determination of beneficiary designation requirements, withholding procedures and handling of stock certificates that vary with applicable local requirements.  The Administrator also is authorized to determine that, to the extent permitted by U.S. Treasury Regulation Section 1.423‐2(f), the terms of an option granted under the Plan or an Offering Period to citizens or residents of a non-U.S. jurisdiction will be less favorable than the terms of options granted under the Plan or the same Offering Period to Employees resident solely in the U.S.  Every finding, decision and determination made by the Administrator shall, to the full extent permitted by law, be final and binding upon all parties, and shall be given the maximum possible deference permitted by Applicable Laws.
		
	15.
	Designation of Beneficiary.

(a)    A Participant may file a written designation of a beneficiary who is to receive any shares and cash, if any, from the Participant’s account under the Plan in the event of such Participant’s death subsequent to an Exercise Date on which the option is exercised but prior to delivery to such Participant of such shares and cash.  In addition, a Participant may file a written designation of a beneficiary who is to receive any cash from the Participant’s account under the Plan in the event of such Participant’s death prior to exercise of an option.  If a Participant is married and the designated beneficiary is not the spouse, spousal consent shall be required for such designation to be effective.
(b)    Such designation of beneficiary may be changed by the Participant at any time by written notice.  In the event of the death of a Participant and in the absence of a beneficiary validly designated under the Plan who is living at the time of such Participant’s death, the Company shall deliver such shares and/or cash to the executor or administrator of the estate of the Participant, or if to the knowledge of the Company no such executor or administrator has been appointed, the Company, in its discretion, may retain the shares and/or cash until such time as a representative of the Participant’s estate is so appointed or provides to the Administrator an order or instructions from a court or administrative body of competent jurisdiction authorizing the release of such shares and/or cash to the representative.  The Administrator may, prior to the release of any shares and/or cash, require execution of an indemnification or other form of agreement relieving the Company, Administrator and all Company agents and representatives from liability for invalid release of any shares and/or cash.
(c)    Any beneficiary designations made pursuant to this Section shall be made in the form and manner determined by the Administrator from time to time in its discretion.
16.    Transferability.  Neither payroll deductions or any cash contribution, if applicable, credited to a Participant’s account nor any rights with regard to the exercise of an option or to receive shares under the Plan may be assigned, transferred, pledged or otherwise disposed of in any way (other than by will, the laws of descent and distribution or as provided in Section 15 hereof) by the Participant.  Any such attempt at assignment, transfer, pledge or other disposition shall be without effect, except that the Company may treat such act as an election to withdraw funds from an Offering Period in accordance with Section 10 hereof.
17.    Use of Funds.  All payroll deductions and/or cash contributions received or held by the Company under the Plan may be used by the Company for any corporate purpose, and the Company shall not be obligated to segregate such amounts unless otherwise required by Applicable Laws, as determined by the Administrator.
18.    Reports.  Individual accounts shall be maintained for each Participant.  Statements of account shall be given to Participants at least annually, which statements shall set forth the amounts of payroll deductions and/or cash contributions, if applicable, made by or for the Participant, the Purchase Price, the number of shares of Common Stock purchased and the remaining cash balance, if any.

6

		
	19.
	Adjustments Upon Changes in Capitalization, Dissolution, Liquidation, Merger or Asset Sale.

(a)    Changes in Capitalization.  Subject to any required action by the stockholders of the Company, the Reserves, the maximum number of shares each Participant may purchase per Offering Period (pursuant to Section 7), as well as the price per share and the number of shares of Common Stock covered by each option under the Plan which has not yet been exercised shall be proportionately adjusted for any increase or decrease in the number of issued shares of Common Stock resulting from a stock split, reverse stock split, stock dividend, combination or reclassification of the Common Stock, or any other increase or decrease in the number of shares of Common Stock effected without receipt of consideration by the Company; provided, however, that conversion of any convertible securities of the Company shall not be deemed to have been “effected without receipt of consideration.”  Such adjustment shall be made by the Administrator, whose determination in that respect shall be final, binding and conclusive.  Except as expressly provided herein, no issuance by the Company of shares of stock of any class, or securities convertible into shares of stock of any class, shall affect, and no adjustment by reason thereof shall be made with respect to, the number or price of shares of Common Stock subject to an option.
(b)    Dissolution or Liquidation.  In the event of the proposed dissolution or liquidation of the Company, the Offering Period then in progress shall be shortened by setting a new Exercise Date (the “New Exercise Date”), and shall terminate immediately prior to the consummation of such proposed dissolution or liquidation, unless provided otherwise by the Administrator.  The New Exercise Date shall be before the date of the Company’s proposed dissolution or liquidation.  The Administrator shall notify each Participant in writing, at least ten (10) business days prior to the New Exercise Date, that the Exercise Date for the Participant’s option has been changed to the New Exercise Date and that the Participant’s option shall be exercised automatically on the New Exercise Date, unless prior to such date the Participant has withdrawn from the Offering Period as provided in Section 10 hereof.
(c)    Merger or Asset Sale.  In the event of a proposed sale of all or substantially all of the assets of the Company, or the merger of the Company with or into another corporation, each outstanding option shall be assumed or an equivalent option substituted by the successor corporation or a parent or subsidiary of the successor corporation.  In the event that the successor corporation refuses to assume or substitute for the option, the Offering Period then in progress shall be shortened by setting a new Exercise Date (the “New Exercise Date”).  The New Exercise Date shall be before the date of the Company’s proposed sale or merger.  The Administrator shall notify each Participant in writing, at least ten (10) business days prior to the New Exercise Date, that the Exercise Date for the Participant’s option has been changed to the New Exercise Date and that the Participant’s option shall be exercised automatically on the New Exercise Date, unless prior to such date the Participant has withdrawn from the Offering Period as provided in Section 10 hereof.
		
	20.
	Amendment or Termination.

(a)    The Administrator, in its sole discretion, may amend, suspend, or terminate the Plan, or any part thereof, at any time and for any reason.  Except as provided in Section 19 hereof, no such termination can affect options previously granted, provided that an Offering Period may be terminated by the Administrator on any Exercise Date if the Administrator determines that the termination of the Offering Period or the Plan is in the best interests of the Company and its stockholders.  Except as provided in Sections 19 and 20 hereof, no amendment may make any change in any option theretofore granted which adversely affects the rights of any Participant.
(b)    Without stockholder consent and without regard to whether any Participant’s rights may be considered to have been “adversely affected,” the Administrator shall be entitled to change the Offering Periods, limit the frequency and/or number of changes in the amount withheld or contributed, if applicable, during an Offering Period, establish the exchange ratio applicable to amounts withheld or contributed, if applicable, in a currency other than U.S. dollars, permit payroll withholding and/or contributions, if applicable, in excess of the amount designated by a Participant in order to adjust for delays or mistakes in the Company’s processing of properly completed withholding or contribution elections, establish reasonable waiting and adjustment periods and/or accounting and crediting procedures to ensure that amounts applied toward the purchase of Common Stock for each Participant properly correspond with a Participant’s payroll deductions or cash contribution, if applicable, and establish such other limitations or procedures as the Administrator determines in its sole discretion advisable which are consistent with the Plan.
(c)    In the event the Administrator determines that the ongoing operation of the Plan may result in unfavorable financial accounting consequences, the Administrator may, in its discretion and, to the extent necessary or desirable, modify or amend the Plan to reduce or eliminate such accounting consequence including, but not limited to:
(i)    altering the Purchase Price for any Offering Period including an Offering Period underway at the time of the change in Purchase Price;
(ii)    shortening any Offering Period so that the Offering Period ends on a new Exercise Date, including an Offering Period underway at the time of the Administrator action; and
(iii)    allocating shares.
(d)    Such modifications or amendments shall not require stockholder approval or the consent of any Participants.

7

21.    Notices.  All notices or other communications by a Participant to the Company under or in connection with the Plan shall be deemed to have been duly given when received in the form specified by the Company at the location, or by the person, designated by the Company for the receipt thereof.
		
	22.
	Conditions Upon Issuance of Shares.

(a)    Shares shall not be issued with respect to an option unless the exercise of such option and the issuance and delivery of such shares pursuant thereto shall comply with all applicable provisions of law, domestic or foreign, including, without limitation, the Securities Act of 1933, as amended, the Securities Exchange Act of 1934, as amended, the rules and regulations promulgated thereunder, and the requirements of any stock exchange upon which the shares may then be listed, and shall be further subject to the approval of counsel for the Company with respect to such compliance.
(b)    As a condition to the exercise of an option, the Company may require a Participant to represent and warrant at the time of any such exercise that the shares are being purchased only for investment and without any present intention to sell or distribute such shares if, in the opinion of counsel for the Company, such a representation is required by any of the aforementioned applicable provisions of law.
23.    Code Section 409A.  The Code Section 423 Plan Component is exempt from the application of Code Section 409A.  The Non-423 Plan Component is intended to be exempt from Code Section 409A under the short-term deferral exception and any ambiguities herein will be interpreted to so be exempt from Code Section 409A.  In furtherance of the foregoing and notwithstanding any provision in the Plan to the contrary, if the Administrator determines that an option granted under the Plan may be subject to Code Section 409A or that any provision in the Plan would cause an option under the Plan to be subject to Code Section 409A, the Administrator may amend the terms of the Plan and/or of an outstanding option granted under the Plan, or take such other action the Administrator determines is necessary or appropriate, in each case, without the Participant’s consent, to exempt any outstanding option or future option that may be granted under the Plan from or to allow any such options to comply with Code Section 409A, but only to the extent any such amendments or action by the Administrator would not violate Code Section 409A.  Notwithstanding the foregoing, the Company shall have no liability to a Participant or any other party if the option to purchase Common Stock under the Plan that is intended to be exempt from or compliant with Code Section 409A is not so exempt or compliant or for any action taken by the Administrator with respect thereto.  The Company makes no representation that the option to purchase Common Stock under the Plan is compliant with Code Section 409A.
24.    Term of Plan.  The Plan shall become effective upon its adoption by the Administrator or its approval by the stockholders of the Company, if applicable, and shall continue in effect until terminated under Section 20 hereof.
25.    Stockholder Approval.  The Plan will be subject to approval by the stockholders of the Company in the manner and to the degree required under Applicable Laws.
26.    Governing Law; Severability.  The Plan and all determinations made and actions taken thereunder shall be governed by the internal substantive laws, and not the choice of law rules, of the State of California, United States and construed accordingly, to the extent not superseded by applicable U.S. federal law.  If any provision of the Plan shall be held unlawful or otherwise invalid or unenforceable in whole or in part, the unlawfulness, invalidity or unenforceability shall not affect any other provision of the Plan or part thereof, each of which shall remain in full force and effect.

8Exhibit 10.1

 

THIRD AMENDMENT TO LEASE

 

This Third Amendment to Lease (the “Third Amendment”) is effective as of April 29, 2016 (“Amendment Effective Date”), and is entered into by and between MIDDLEFIELD PARK, a California general partnership (“Landlord”), and DERMIRA, INC., a Delaware corporation (“Tenant”).

 

RECITALS

 

A.                                    Landlord and Tenant entered into that certain Lease Agreement dated July 24, 2014 (the “Original Lease”), as amended by that certain First Amendment of Lease dated September 10, 2014 (the “First Amendment”), and that certain Second Amendment to Lease dated December 4, 2015 (the “Second Amendment”), and collectively with the Original Lease, the First Amendment and the Second Amendment, (the “Lease Agreement”), pursuant to which Landlord is leasing to Tenant, and Tenant is leasing from Landlord, certain premises (collectively, the “Premises”) commonly known as: (i) Suite 150, consisting of 18,651 rentable square feet (the “Suite 150 Space”), (ii) Suite 200, consisting of 2,882 rentable square feet (the “Suite 200 Space”), (iii) Suite 210, consisting of 5,140 rentable square feet (the “Suite 210 Space”), and (iv) Suite 50, consisting of 18,519 rentable square feet (the “Suite 50 Space”).  The Premises are located in the building located at 275 Middlefield Road, Menlo Park, California (the “Building”), as more particularly described in the Lease.

 

B.                                    Tenant now desires to (i) accelerate the Expansion Space Commencement Date as to the Suite 200 Space, the Suite 210 Space, and the Suite 50 Space, and (ii) accelerate the construction of the Suite 50 Space, and Landlord is willing to agree to the foregoing, on the following terms and conditions set forth herein.

 

AGREEMENT

 

In consideration of the respective agreements hereinafter set forth, Landlord and Tenant agree as follows:

 

1.                                      Defined Terms.  All initially capitalized terms used but not otherwise defined herein shall have the meanings ascribed to them in the Lease Agreement.  Notwithstanding the foregoing, all references to the Suite 200/210 Expansion Space, shall hereinafter mean the Suite 200 Space and the Suite 210 Space, as applicable, and all references to the Suite 50 Expansion Space shall mean the Suite 50 Space.

 

2.                                      Expansion Space Commencement Dates.

 

2.1                               Suite 200 Commencement Date.  The Expansion Space Commencement Date as to the Suite 200 Space is hereby amended to be the date that is one (1) business day after the current tenant of Suite 200 vacates the Suite 200 Space in a condition acceptable to Landlord (the “Suite 200 Commencement Date”).  The parties anticipate the Suite 200 Commencement Date shall occur on or about May 2, 2016.  All references to the Expansion Space Commencement Date in the Second Amendment as it relates to the Suite 200 Space shall hereinafter mean the Suite 200 Commencement Date as defined in this Third Amendment.  Other than new carpet or interior wall paint, Landlord

 

1

 

shall have no obligation to review any improvement plans prepared by Tenant as to the Suite 200 Space until Tenant has elected in writing not to exercise its Termination Option.

 

2.2                               Suite 210 Commencement Date.  The Expansion Space Commencement Date as to the Suite 210 Space is hereby amended to be the date that is thirty (30)  days after the current tenant of Suite 210 vacates the Suite 210 Space in a condition acceptable to Landlord (the “Suite 210 Commencement Date”).  The parties anticipate the Suite 210 Commencement Date shall occur on or about September 14, 2016.  All references to the Expansion Space Commencement Date in the Second Amendment as it relates to the Suite 210 Space shall hereinafter mean the Suite 210 Commencement Date as defined in this Third Amendment.  Other than new carpet or interior wall paint, Landlord shall have no obligation to review any improvement plans prepared by Tenant as to the Suite 210 Space until Tenant has elected in writing not to exercise its Termination Option.

 

2.3                               Suite 50 Commencement Date.  The Expansion Space Commencement Date as to the Suite 50 Space is hereby amended to be the date on which Substantial Completion (as defined in Exhibit C attached hereto) of the Suite 50 TI (as defined in Exhibit C attached hereto) occurs (the “Suite 50 Commencement Date”), provided, however in no event shall the Suite 50 Commencement Date occur later than the date that is thirty (30) days after the current tenant of Suite 50 vacates the Suite 50 Space in a condition acceptable to Landlord, subject to delays as set forth in Section 4.1 of Exhibit C.  The parties anticipate the Suite 50 Commencement Date shall occur on or about September 14, 2016.  All references to the Expansion Space Commencement Date in the Second Amendment as it relates to the Suite 50 Space shall hereinafter mean the Suite 50 Commencement Date as defined in this Third Amendment.

 

2.4                               Confirmation Letter.  At any time after the Suite 200 Commencement Date, the Suite 210 Commencement Date and/or the Suite 50 Commencement Date, Landlord may deliver to Tenant a notice confirming the Suite 200 Commencement Date, the Suite 210 Commencement Date and/or the Suite 50 Commencement Date, as applicable.  Tenant shall execute and return such notice within ten (10) business days after receiving it.

 

3.                                      Basic Rent.  Paragraphs 4.2 and 4.3 of the Second Amendment are hereby deleted in their entirety, and replaced with the following:

 

3.1.                            Suite 200 Space Basic Rent.  Beginning on the Suite 200 Commencement Date and continuing throughout the Expansion Space Term, the schedule of Basic Rent for the Suite 200 Space shall be as follows:

 

2

 

	
Period During
   Expansion Space
   Term
    	
 
    	
Monthly Rate Per
   Square Foot
    	
 
    	
Monthly Basic Rent
    	
 
    
	
Suite 200 Commencement Date - November 30,   2017
    	
 
    	
$
    	
5.57
    	
 
    	
$
    	
16,052.74
    	
 
    
	
December 1, 2017 – November 30, 2018
    	
 
    	
$
    	
5.74
    	
 
    	
$
    	
16,542.68
    	
 
    
	
December 1, 2018 – November 30, 2019
    	
 
    	
$
    	
5.91
    	
 
    	
$
    	
17,032.62
    	
 
    
	
December 1, 2019 – November 30, 2020
    	
 
    	
$
    	
6.09
    	
 
    	
$
    	
17,551.38
    	
 
    
	
December 1, 2020 – December 31, 2021
    	
 
    	
$
    	
6.27
    	
 
    	
$
    	
18,070.14
    	
 
    

 

All such Basic Rent shall be payable by Tenant in accordance with the terms of the Lease Agreement.  Landlord and Tenant acknowledge that with respect to the Suite 200 Space, Tenant has prepaid to Landlord the installment of Basic Rent for the first full calendar month of the Expansion Space Term.  Notwithstanding anything to the contrary set forth in this Third Amendment, if Tenant does not exercise Tenant’s Termination Right with respect to the Suite 200 Space, Basic Rent for the Suite 200 Space shall be abated, in the amount of $16,052.74 per month, for three (3) months beginning on December 1, 2016.

 

3.2                               Suite 210 Space Basic Rent.  Beginning on the Suite 210 Commencement Date and continuing throughout the Expansion Space Term, the schedule of Basic Rent for the Suite 210 Space shall be as follows:

 

	
Period During
   Expansion Space
   Term
    	
 
    	
Monthly Rate Per
   Square Foot
    	
 
    	
Monthly Basic Rent
    	
 
    
	
Suite 210 Commencement Date - November 30,   2017
    	
 
    	
$
    	
5.57
    	
 
    	
$
    	
28,629.80
    	
 
    
	
December 1, 2017 – November 30, 2018
    	
 
    	
$
    	
5.74
    	
 
    	
$
    	
29,503.60
    	
 
    
	
December 1, 2018 – November 30, 2019
    	
 
    	
$
    	
5.91
    	
 
    	
$
    	
30,377.40
    	
 
    
	
December 1, 2019 – November 30, 2020
    	
 
    	
$
    	
6.09
    	
 
    	
$
    	
31,302.60
    	
 
    
	
December 1, 2020 – December 31, 2021
    	
 
    	
$
    	
6.27
    	
 
    	
$
    	
32,227.80
    	
 
    

 

All such Basic Rent shall be payable by Tenant in accordance with the terms of the Lease Agreement.  Landlord and Tenant acknowledge that with respect to the Suite 210 Space, Tenant has prepaid to Landlord the installment of Basic Rent for

 

3

 

the first full calendar month of the Expansion Space Term.  Notwithstanding anything to the contrary set forth in this Third Amendment, if Tenant does not exercise Tenant’s Termination Right with respect to the Suite 210 Space, Basic Rent for the Suite 210 Space shall be abated, in the amount of $28,629.80 per month, for three (3) months beginning on December 1, 2016.

 

3.3                               Suite 50 Space Basic Rent.  Beginning on the Suite 50 Commencement Date, and continuing throughout the Expansion Space Term, the schedule of Basic Rent for the Suite 50 Space shall be as follows:

 

	
Period During
   Expansion Space
   Term
    	
 
    	
Monthly Rate Per
   Square Foot
    	
 
    	
Monthly Basic Rent
    	
 
    
	
Suite 50 Commencement Date – November 30,   2017
    	
 
    	
$
    	
4.90
    	
 
    	
$
    	
90,743.10
    	
 
    
	
December 1, 2017 – November 30, 2018
    	
 
    	
$
    	
5.05
    	
 
    	
$
    	
93,520.95
    	
 
    
	
December 1, 2018 – November 30, 2019
    	
 
    	
$
    	
5.20
    	
 
    	
$
    	
96,298.80
    	
 
    
	
December 1, 2019 – November 30, 2020
    	
 
    	
$
    	
5.35
    	
 
    	
$
    	
99,076.65
    	
 
    
	
December 1, 2020 – December 31, 2021
    	
 
    	
$
    	
5.51
    	
 
    	
$
    	
102,039.69
    	
 
    

 

All such Basic Rent shall be payable by Tenant in accordance with the terms of the Lease Agreement.  Landlord and Tenant acknowledge that with respect to the Suite 50 Space, Tenant has prepaid to Landlord the installment of Basic Rent for the first full calendar month for which Basic Rent is payable hereunder (i.e. the fourth (4th) full calendar month of the Expansion Space Term).  Notwithstanding anything to the contrary set forth in this Third Amendment, Basic Rent for the Suite 50 Expansion Space shall be abated, in the amount of $90,743.10 per month, for the first three (3) full calendar months of the Expansion Space Term.

 

4.                                      Termination Option.  Paragraph 10.1 and 10.2 of the Second Amendment are hereby deleted in their entirety and replaced with the following:

 

“10.1  Conditions to Termination Right; Grant of Termination Right.  If, on or prior to September 30, 2016, (i) the results from Tenant’s ongoing DRM01 Phase 2b trial or DRM04 Phase 3 trial are negative, and, as a consequence thereof, Tenant will not proceed to the next phase of development for either or both trials, and (ii) Tenant provides Landlord with written notice of the condition listed in (i) above concurrently with its written notice to terminate the Lease (the “Termination Notice”) as to the Suite 200 Space and the Suite 210 Space, Tenant is hereby granted the one-time option to terminate the Lease early (the “Termination Option”) as to both the Suite 200 Space and the Suite 210 Space, effective as of November 30, 2016 (the

 

4

 

“Termination Date”).  If Tenant elects to exercise the Termination Option, Tenant must do so in compliance with the terms and conditions set forth herein.

 

10.2  Termination Fee.  In the event that Tenant elects to exercise the Termination Option, Tenant shall pay to Landlord a fee (the “Termination Fee”) in the amount equal to the sum of Basic Rent and Tenant’s share of Additional Rent for six (6) months (without any right to abatement).  The Termination Fee shall be paid in six (6) monthly installments beginning on December 1, 2016 (the “Termination Fee Payment Period”).  Notwithstanding the forgoing, in the event Landlord leases the Suite 200 Space and/or the Suite 210 Space after the Termination Date, and Landlord commences collecting rent pursuant to the terms of such new lease for periods applicable to any period falling within the Termination Fee Payment Period, then Tenant shall have no obligation to pay the portion of the Termination Fee applicable to such period.  Landlord shall provide Tenant with written notice if Landlord enters into a lease for either the Suite 200 Space and/or the Suite 210 Space, which notice shall also indicate the Basic Rent payable under such third party lease, if any, for any portion of the term of the third party lease falling within the Termination Fee Payment Period.  If Tenant exercises the Termination Option hereunder, Landlord shall use commercially reasonable efforts to lease the Suite 200 Space and the Suite 210 Space at market rent, and shall provide no greater than a “market” free rent amount.”

 

5.                                      Work Letter.  Exhibit C of the Second Amendment is hereby deleted in its entirety and replaced with Exhibit C attached hereto.

 

6.                                      Server Room Access.  Tenant acknowledges that McDermott Will Emery, LLC (“MWE”) has equipment which is located within the server room of the Premises.  Tenant will cooperate with and provide reasonable access during business hours to MWE from time to time to access their equipment for service or removal at a later date.

 

7.                                      Effectiveness of Third Amendment.  The effectiveness of this Third Amendment is conditioned upon the execution of a Lease Termination Agreement (the “Lease Termination Agreement”) concurrently herewith, between Delphix Corp. (“Delphix”) and Landlord, in a form acceptable to Landlord, in its sole discretion, whereby Delphix agrees to terminate its lease with respect to the Expansion Premises prior to the expiration date of the lease.

 

8.                                      Counterparts.  This Amendment may be executed in counterparts, each of which will constitute an original, but all of which together will constitute one and the same instrument.  The parties agree that a signed copy of this Third Amendment transmitted by one party to the other party(ies) by facsimile or electronic transmission will be binding upon the sending party to the same extent as if it had delivered a signed original of this Amendment.

 

9.                                      Miscellaneous.  All references in this Third Amendment to the Lease shall be deemed to refer to the Lease, as modified by the terms of this Third Amendment.  In the event of a conflict between the terms and provisions of the Lease and the terms and conditions of this Third Amendment, the terms and provisions of this Third Amendment shall prevail.  As amended herein, the Lease remains in full force and effect and is hereby ratified by the parties.

 

5

 

IN WITNESS WHEREOF, Landlord and Tenant have entered into this Third Amendment as of the Amendment Effective Date.

 

 

	
“LANDLORD”:
    	
 
    
	
 
    	
 
    
	
MIDDLEFIELD   PARK, a California general partnership
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
By:
    	
/s/   Richard M. Jacobsen
    	
 
    
	
Name:
    	
Richard   M. Jacobsen 
    	
 
    
	
Title:
    	
Managing   Partner
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
“TENANT”
    	
 
    
	
 
    	
 
    
	
DERMIRA, INC.,   a
    	
 
    
	
Delaware   corporation
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
By:
    	
/s/   Tom Wiggans 
    	
 
    
	
Name:
    	
Tom   Wiggans 
    	
 
    
	
Its:
    	
CEO
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
By:
    	
/s/   Andrew Guggenhime
    	
 
    
	
Name:
    	
Andrew   Guggenhime
    	
 
    
	
Its:
    	
COO   & CFO 
    	
 
    

 

6

 

EXHIBIT C

 

TENANT WORK LETTER

 

This Tenant Work Letter (“Tenant Work Letter”) sets forth the terms and conditions relating to the construction of improvements for the Expansion Space.  This Tenant Work Letter is attached as Exhibit C to that certain Third Amendment to Lease dated April 29, 2016 (the “Third Amendment”).  All references in this Tenant Work Letter to the “Lease” shall mean the relevant portions of the Lease as defined in the Third Amendment.

 

SECTION 1
 TENANT IMPROVEMENTS

 

Landlord shall, at its sole cost, supervise the construction of tenant improvements (the “Tenant Improvements”) requested by Tenant and approved by Landlord in accordance with this Tenant Work Letter.  The scope of the initial Tenant Improvements (the “Initial Tenant Improvements”) shall consist of: (i) new carpet and paint in the Suite 50 Space; and (ii) new carpet and paint in the Suite 200 Space and the Suite 210 Space.  The scope of the access and non-structural reconfiguration Tenant Improvements (the “Access/Reconfiguration Tenant Improvements”) shall consist of: (a) the non-structural reconfiguration of certain offices and rooms in the Suite 200 Space, the Suite 210 Space, and the Suite 50 Space; (b) at Tenant’s election, an internal staircase between the Suite 150 Space and the Suite 50 Space (“Access TI”), the location of which shall be mutually acceptable to both Landlord and Tenant; and (c) potentially replacing Suite 50 exterior patio entry double doors with folding glass doors to widen the opening for hosted events.  The scope of the Tenant Improvements shall not include changes or modifications to the structure of the Building, the roof, and/or any base building system located in the Building.  Subject to Landlord’s obligation to pay for exterior code compliance (exterior being the common areas and path of travel to Building) at Landlord’s sole cost, the Tenant Improvements (including any building code upgrades required within the Premises as a result of the construction of the Tenant Improvements) shall be constructed by Contractor at Tenant’s sole cost.  The Tenant Improvements shall be constructed with materials and finishes consistent with the existing materials and finishes in the Building.  Landlord shall have the right to require the removal of the Tenant Improvements (or any portion thereof) and restoration of the Premises as a result thereof in accordance with Section 8 of the Lease Agreement; provided, however, Tenant shall provide Landlord with written notice at least one hundred twenty (120) days prior to the end of the term to ascertain whether Landlord will require the removal of the Access TI.

 

SECTION 2
 CONSTRUCTION DRAWINGS

 

2.1                               Selection of Architect/Construction Drawings.  Tenant shall retain Fawni Hill as the architect (the “Architect”) to prepare the Construction Drawings for the Access/Reconfiguration Tenant Improvements.  If required by Landlord, Tenant shall retain engineering consultants designated by Landlord (the “Engineers”) to prepare all plans and engineering working drawings relating to the structural, mechanical, electrical, plumbing, HVAC, life-safety, and sprinkler work in the Expansion Space.  If Tenant is unsatisfied with the services provided by Architect or Engineer, Tenant may hire an alternate architect or engineer provided Tenant obtains Landlord’s prior written consent which shall not be unreasonably withheld or delayed.  The plans and drawings to be prepared by Architect and the Engineers hereunder shall be known collectively as the “Construction Drawings.”  All Construction Drawings shall comply with the drawing format and specifications determined by Landlord, and shall be subject to Landlord’s approval.  Tenant and Architect shall verify, in the field, the dimensions and conditions as shown on the relevant portions of the base building plans, and Tenant and Architect shall be solely responsible for the same, and Landlord shall have no responsibility in connection therewith.  Landlord’s review of the Construction Drawings as set forth in this Section 2, shall be for its own purpose and shall not imply Landlord’s review of the same, or obligate Landlord to review the same for quality, design, compliance with applicable laws or other like matters.  Accordingly, notwithstanding that any Construction Drawings are reviewed by Landlord or its space planner, architect, engineers and consultants, and notwithstanding any advice or assistance which may be rendered to Tenant by Landlord or

 

 

Landlord’s space planner, architect, engineers, and consultants, Landlord shall have no liability whatsoever in connection therewith and shall not be responsible for any omissions or errors contained in the Construction Drawings.

 

2.2                               Notification of Specifications for Initial Tenant Improvements.  On or before July 1, 2016, Tenant shall notify Landlord in writing of the specifications (including color and finishes) for the Initial Tenant Improvements.

 

2.3                               Space Plan.  In connection with the construction of the Access/Reconfiguration Tenant Improvements, Tenant shall cause Architect to prepare a space plan (“Space Plan”) for Suite 50 Space, at Tenant’s sole cost, which Space Plan shall include a layout and designation of all offices, rooms and other partitioning, their intended use, equipment to be contained therein, and at Tenant’s election, the Access TI, and Tenant shall deliver the Space Plan to Landlord for Landlord’s approval.  Tenant may elect to also include a space plan for Suite 200/210 Expansion Space or delay the initiation of the Suite 200/210 TI until some future date which shall be agreed to between Tenant and Landlord.  Landlord shall have no obligation to review any space plan for the Suite 200 Space and/or the Suite 210 Space until Tenant has waived its Termination Right (or the Termination Right has otherwise lapsed) as set forth in the Third Amendment.

 

2.4                               Final Working Drawings.  In connection with the construction of the Access/Reconfiguration Tenant Improvements, Tenant shall cause the Architect and the Engineers to complete the Construction Drawings for the Space Plan, and cause the Architect to compile a fully coordinated set of architectural, structural, mechanical, electrical and plumbing working drawings in a form which is complete to allow subcontractors to bid on the work and to obtain all applicable permits (collectively, the “Final Working Drawings”), and shall submit the same to Landlord for Landlord’s approval.

 

2.5                               Approved Working Drawings.  Landlord shall submit the Landlord-approved Final Working Drawings (the “Approved Working Drawings”) to the applicable local governmental agency for all applicable building permits necessary to allow the Contractor, (as defined below), to commence and fully complete the construction of the Tenant Improvements (collectively, the “Permits”), and, in connection therewith, Tenant shall coordinate with Landlord in all phases of the permitting process.  Tenant shall pay for all permit fees and costs, at Tenant’s sole cost.  No changes, modifications or alterations in the Approved Working Drawings may be made without the prior written consent of Landlord which shall not be unreasonably withheld or delayed.

 

2.6                               Time Deadlines.  Tenant shall cooperate with Architect, the Engineer, and Landlord to complete all phases of the Construction Drawings, the permitting process and to receive the Permits, and with the Contractor, for approval of the Cost Proposal, (as defined below) in a timely manner.  Tenant shall meet with Landlord on a weekly basis (or such other basis as Tenant and Landlord shall reasonably determine) to discuss Landlord’s progress in connection with the same.

 

SECTION 3
 CONSTRUCTION OF THE TENANT IMPROVEMENTS

 

3.1                               Contractor.  A general contractor, under the supervision of Landlord, shall construct the Access/Reconfiguration Tenant Improvements (the “Contractor”).  Tenant shall select one of the following two (2) contractors to serve as Contractor, Brett Construction or Gidel and Kocal, and Landlord hereby approves each of the contractors listed in this sentence to serve as Contractor.  Tenant shall enter into all construction contract agreements directly with Contractor.  If Tenant is unsatisfied with the services provided by Contractor, Tenant may hire an alternate contractor provided Tenant obtains Landlord’s prior written consent which shall not be unreasonably withheld or delayed.  Landlord shall not be entitled to any supervision fee or management fee in connection with the construction of the Tenant Improvements.

 

3.2                               Cost Proposal.  After the Approved Working Drawings are signed by Landlord and Tenant and Tenant and Contractor have executed a construction agreement, Tenant will deliver to Landlord a copy of the cost proposal as agreed to by Tenant and Contractor (the “Cost Proposal”).

 

 

3.3                               Construction of Tenant Improvements by Contractor under the Supervision of Landlord.  Contractor shall construct the Tenant Improvements (under the supervision of Landlord) in a good and workmanlike manner in accordance with all applicable laws, and, with respect to the Access/Reconfiguration Tenant Improvements, in accordance with the Approved Working Drawings.  Landlord and Tenant shall work together in good faith with Architect and the Contractor to ensure that the construction of the Tenant Improvements do not trigger Title 24 code compliance upgrades.  Landlord, at its option, may post notices of non-responsibility or similar notices in or on the Premises in connection therewith.  Tenant shall at all times permit such notices to be posted in the Premises and remain posted in the Premises until Tenant Improvements are completed. To the extent the construction of the Tenant Improvements triggers building code compliance upgrades, Landlord shall be responsible for the cost of such changes to the extent the changes are located in the common areas of the Complex or the Building, and Tenant shall be responsible for the cost of such changes to the extent the changes are located within the Expansion Space or the Suite 150 Space.   Within ten (10) days after completion of construction of the Tenant Improvements, Tenant and Landlord shall cause the Contractor and the Architect to record a Notice of Completion in the office of the Recorder of San Mateo County in accordance with Section 3093 of the Civil Code of the State of California or any successor statute and furnish a copy thereof to Landlord upon recordation, failing which, Landlord may itself execute and file the same on behalf of Tenant as Tenant’s agent for such purpose.   In addition, Tenant, immediately after the Substantial Completion of the Access/Reconfiguration Tenant Improvements, shall have prepared and delivered to the Building management office a copy of the “as built” plans and specifications (including all working drawings) for the Access/Reconfiguration Tenant Improvements, together with a computer disk containing the Approved Working Drawings in AutoCAD (to the extent Tenant has the Approved Working Drawings in AutoCAD) and in PDF format.  If Landlord has the base building plans in AutoCAD format, Landlord shall provide the same to Tenant.

 

SECTION 4
 SUBSTANTIAL COMPLETION

 

4.1                               Substantial Completion.  “Substantial Completion” of the Access/Reconfiguration Tenant Improvements shall occur upon the completion of construction of the Access/Reconfiguration Tenant Improvements pursuant to the Approved Working Drawings, with the exception of any punchlist items and any tenant fixtures, work-stations, built-in furniture, or equipment to be installed by Tenant.

 

SECTION 5
 MISCELLANEOUS

 

5.1                               Tenant’s Representative.  Tenant has designated Stephen Cheng as its sole representative with respect to the matters set forth in this Tenant Work Letter, who shall have full authority and responsibility to act on behalf of the Tenant as required in this Tenant Work Letter.

 

5.2                               Landlord’s Representative.  Landlord has designated Milan Patel as its sole representative with respect to the matters set forth in this Tenant Work Letter, who, until further notice to Tenant, shall have full authority and responsibility to act on behalf of the Landlord as required in this Tenant Work Letter.  Jack Issa will act as Landlord’s representative in connection with the supervision of the construction of the Tenant Improvements.

 

5.3                               Time of the Essence in This Tenant Work Letter.  Unless otherwise indicated, all references herein to a “number of days” shall mean and refer to calendar days.  In all instances where Tenant is required to approve or deliver an item, if no written notice of approval is given or the item is not delivered within the stated time period, at Landlord’s sole option, at the end of said period the item shall automatically be deemed approved or delivered by Tenant and the next succeeding time period shall commence.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00261-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00261-of-00352.parquet"}]]