Document:

Form of Stock Option Agreement

 Exhibit 10.2 
 CHANGE IN CONTROL ACCELERATION 
 RACKABLE SYSTEMS, INC. 
 2005 EQUITY INCENTIVE
PLAN 
 STOCK OPTION GRANT NOTICE 
 Rackable Systems, Inc. (the “Company”), pursuant to its 2005 Equity Incentive Plan (the “Plan”), hereby grants to
Optionholder an option to purchase the number of shares of the Company’s Common Stock set forth below. This option is subject to all of the terms and conditions as set forth herein and in the Option Agreement, the Plan and the Notice of
Exercise, all of which are attached hereto and incorporated herein in their entirety. 
  

							
		 	Optionholder:	 	  
	 	
		 	 Date of Grant:
	 	  
	 	
		 	 Vesting Commencement Date:
	 	  
	 	
		 	 Number of Shares Subject to Option:
	 	  
	 	
		 	 Exercise Price (Per Share):
	 	  
	 	
		 	 Total Exercise Price:
	 	  
	 	
		 	 Expiration Date:
	 	  
	 	

  

					
	Type of Grant:	  	 ̈ Incentive Stock Option1 	  	 ̈ Nonstatutory Stock Option
		
	Exercise Schedule:	  	[the shares shall vest and become exercisable in a series of forty-eight (48) successive equal monthly installments measured from the Vesting Commencement Date.] All of the shares
shall vest and become exercisable immediately upon a Change in Control occurring on or after June 9, 2007.
		
	Payment:	  	By one or a combination of the following items (described in the Option Agreement):
		
		  	x     By cash or check
		
		  	x     Pursuant to a Regulation T Program if the Shares are publicly traded
		
		  	x     By delivery of already-owned shares if the Shares are publicly traded
		
		  	 ̈     By net exercise

 Additional Terms/Acknowledgements: The undersigned Optionholder acknowledges receipt of, and understands
and agrees to, this Stock Option Grant Notice, the Option Agreement and the Plan. Optionholder further acknowledges that as of the Date of Grant, this Stock Option Grant Notice, the Option Agreement and the Plan set forth the entire understanding
between Optionholder and the Company regarding the acquisition of stock in the Company and supersede all prior oral and written agreements on that subject with the exception of (i) options previously granted and delivered to Optionholder under
the Plan, and (ii) the following agreements only: 
  

											
	 OTHER AGREEMENTS:
	 	  

		 		 	  

			
	RACKABLE SYSTEMS, INC.	 		 	OPTIONHOLDER:
				
	By:	 	  
	 		 	  

		 	Signature	 		 		 		 	Signature
	Title:	 	  
	 		 	Date:	 		 	  

						
	Date:	 	  
	 		 		 		 	

 ATTACHMENTS: Option Agreement, 2005 Equity
Incentive Plan and Notice of Exercise 
  

	1	If this is an Incentive Stock Option, it (plus other outstanding Incentive Stock Options) cannot be first exercisable for more than $100,000 in value
(measured by exercise price) in any calendar year. Any excess over $100,000 is a Nonstatutory Stock Option. 

 NO CHANGE IN CONTROL
ACCELERATION 
 RACKABLE SYSTEMS, INC. 
 2005 EQUITY INCENTIVE PLAN 
 STOCK OPTION GRANT NOTICE 
 Rackable Systems, Inc. (the
“Company”), pursuant to its 2005 Equity Incentive Plan (the “Plan”), hereby grants to Optionholder an option to purchase the number of shares of the Company’s Common Stock set forth below. This
option is subject to all of the terms and conditions as set forth herein and in the Option Agreement, the Plan and the Notice of Exercise, all of which are attached hereto and incorporated herein in their entirety. 
  

							
		 	Optionholder:	 	  
	 	
		 	 Date of Grant:
	 	  
	 	
		 	 Vesting Commencement Date:
	 	  
	 	
		 	 Number of Shares Subject to Option:
	 	  
	 	
		 	 Exercise Price (Per Share):
	 	  
	 	
		 	 Total Exercise Price:
	 	  
	 	
		 	 Expiration Date:
	 	  
	 	

  

					
	Type of Grant:	  	 ̈ Incentive Stock Option2 	  	 ̈ Nonstatutory Stock Option
		
	Exercise Schedule:	  	[1/4th of the shares shall vest and become
exercisable one year after the Vesting Commencement Date; the balance of the shares shall vest and become exercisable in a series of thirty-six (36) successive equal monthly installments measured from the first anniversary of the Vesting
Commencement Date.][the shares shall vest and become exercisable in a series of forty-eight (48) successive equal monthly installments measured from the Vesting Commencement Date.]
		
	Payment:	  	By one or a combination of the following items (described in the Option Agreement):
		
		  	 x         By cash or check

		
		  	 x         Pursuant to a Regulation T Program if
the Shares are publicly traded

		
		  	 x         By delivery of already-owned shares if
the Shares are publicly traded

		
		  	  ̈          By net exercise

 Additional Terms/Acknowledgements: The undersigned Optionholder acknowledges receipt of, and understands
and agrees to, this Stock Option Grant Notice, the Option Agreement and the Plan. Optionholder further acknowledges that as of the Date of Grant, this Stock Option Grant Notice, the Option Agreement and the Plan set forth the entire understanding
between Optionholder and the Company regarding the acquisition of stock in the Company and supersede all prior oral and written agreements on that subject with the exception of (i) options previously granted and delivered to Optionholder under
the Plan, and (ii) the following agreements only: 
  

									
	 OTHER AGREEMENTS:
	 	  

		 	  

			
	RACKABLE SYSTEMS, INC.	 		 	OPTIONHOLDER:
				
	By:	 	  
	 		 	  

		 	Signature	 		 	Signature
					
	Title:	 	  
	 		 	Date:	 	  

	Date:	 	  
	 		 	

 ATTACHMENTS: Option Agreement, 2005 Equity
Incentive Plan and Notice of Exercise 
  

	1	If this is an Incentive Stock Option, it (plus other outstanding Incentive Stock Options) cannot be first exercisable for more than $100,000 in value (measured by
exercise price) in any calendar year. Any excess over $100,000 is a Nonstatutory Stock Option. 

 RACKABLE SYSTEMS, INC. 
 2005 EQUITY INCENTIVE PLAN 
 OPTION AGREEMENT 
 (INCENTIVE STOCK
OPTION OR NONSTATUTORY STOCK OPTION) 
 Pursuant to your Stock
Option Grant Notice (“Grant Notice”) and this Option Agreement, Rackable Systems, Inc. (the “Company”) has granted you an option under its 2005 Equity Incentive Plan (the
“Plan”) to purchase the number of shares of the Company’s Common Stock indicated in your Grant Notice at the exercise price indicated in your Grant Notice. Defined terms not explicitly defined in this Option Agreement
but defined in the Plan shall have the same definitions as in the Plan. 
 The details of your option are as follows: 
 1. VESTING. Subject to the limitations contained herein, your option will vest as provided in your Grant Notice, provided that
vesting will cease upon the termination of your Continuous Service. 
 2. NUMBER OF SHARES
AND EXERCISE PRICE. The number of shares of Common Stock subject to your option and your exercise price per share referenced in your Grant Notice may be adjusted from time to time for Capitalization
Adjustments. 
 3. EXERCISE PRIOR TO VESTING (“EARLY
EXERCISE”). If permitted in your Grant Notice (i.e., the “Exercise Schedule” indicates that “Early Exercise” of your option is permitted) and subject to the provisions of your option, you may elect
at any time that is both (i) during the period of your Continuous Service and (ii) during the term of your option, to exercise all or part of your option, including the nonvested portion of your option; provided, however, that:

 (a) a partial exercise of your option shall be deemed to cover first vested shares of Common Stock and then the earliest vesting
installment of unvested shares of Common Stock; 
 (b) any shares of Common Stock so purchased from installments that have not vested
as of the date of exercise shall be subject to the purchase option in favor of the Company as described in the Company’s form of Early Exercise Stock Purchase Agreement; 
 (c) you shall enter into the Company’s form of Early Exercise Stock Purchase Agreement with a vesting schedule that will result in the same
vesting as if no early exercise had occurred; and 
 (d) if your option is an Incentive Stock Option, then, to the extent that the
aggregate Fair Market Value (determined at the time of grant) of the shares of Common Stock with respect to which your option plus all other Incentive Stock Options you hold are exercisable for the first time by you during any calendar year (under
all plans of the Company and its Affiliates) exceeds one hundred thousand dollars ($100,000), your option(s) or portions thereof that exceed such limit (according to the order in which they were granted) shall be treated as Nonstatutory Stock
Options. 

 4. METHOD OF PAYMENT. Payment of the exercise price
is due in full upon exercise of all or any part of your option. You may elect to make payment of the exercise price in cash or by check or in any other manner permitted by your Grant Notice, which may include one or more of the
following: 
 (a) In the Company’s sole discretion at the time your option is exercised and provided that at the time of exercise
the Common Stock is publicly traded and quoted regularly in The Wall Street Journal, pursuant to a program developed under Regulation T as promulgated by the Federal Reserve Board that, prior to the issuance of Common Stock, results in either
the receipt of cash (or check) by the Company or the receipt of irrevocable instructions to pay the aggregate exercise price to the Company from the sales proceeds. 
 (b) In the Company’s sole discretion at the time your option is exercised and provided that at the time of exercise the Common Stock is publicly traded and quoted regularly in The Wall Street
Journal, by delivery to the Company (either by actual delivery or attestation) of already-owned shares of Common Stock either that you have held for the period required to avoid a charge to the Company’s reported earnings (generally six
(6) months) or that you did not acquire, directly or indirectly from the Company, that are owned free and clear of any liens, claims, encumbrances or security interests, and that are valued at Fair Market Value on the date of exercise.
“Delivery” for these purposes, in the sole discretion of the Company at the time you exercise your option, shall include delivery to the Company of your attestation of ownership of such shares of Common Stock in a form approved by the
Company. Notwithstanding the foregoing, you may not exercise your option by tender to the Company of Common Stock to the extent such tender would violate the provisions of any law, regulation or agreement restricting the redemption of the
Company’s stock. 
 5. WHOLE SHARES. You may exercise your option only for whole shares of Common
Stock. 
 6. SECURITIES LAW COMPLIANCE. Notwithstanding anything to the contrary
contained herein, you may not exercise your option unless the shares of Common Stock issuable upon such exercise are then registered under the Securities Act or, if such shares of Common Stock are not then so registered, the Company has determined
that such exercise and issuance would be exempt from the registration requirements of the Securities Act. The exercise of your option also must comply with other applicable laws and regulations governing your option, and you may not exercise your
option if the Company determines that such exercise would not be in material compliance with such laws and regulations. 
 7.
TERM. You may not exercise your option before the commencement or after the expiration of its term. The term of your option commences on the Date of Grant and expires upon the earliest of the following: 
 (a) three (3) months after the termination of your Continuous Service for any reason other than your Disability or death or upon a change in
Control, provided that if during any part of such three (3) month period your option is not exercisable solely because of the condition set forth in Section 6, your option shall not expire until the earlier of the Expiration Date or until
it shall have been exercisable for an aggregate period of three (3) months after the termination of your Continuous Service; 

 (b) twelve (12) months after the termination of your Continuous Service due to your
Disability; 
 (c) eighteen (18) months after your death if you die either during your Continuous Service or within three
(3) months after your Continuous Service terminates; 
 (d) twelve (12) months following the effective date of a Change in
Control if your Continuous Service terminates as of or within twelve (12) months following such Change in Control; 
 (e) the
Expiration Date indicated in your Grant Notice; or 
 (f) the day before the tenth (10th) anniversary of the Date of Grant.

 If your option is an Incentive Stock Option, note that to obtain the federal income tax advantages associated with an Incentive Stock
Option, the Code requires that at all times beginning on the date of grant of your option and ending on the day three (3) months before the date of your option’s exercise, you must be an employee of the Company or an Affiliate, except in
the event of your death or your permanent and total disability, as defined in Section 22(e) of the Code. (The definition of disability in Section 22(e) of the Code is different from the definition of the Disability under the Plan). The
Company has provided for extended exercisability of your option under certain circumstances for your benefit but cannot guarantee that your option will necessarily be treated as an Incentive Stock Option if you continue to provide services to the
Company or an Affiliate as a Consultant or Director after your employment terminates or if you otherwise exercise your option more than three (3) months after the date your employment with the Company or an Affiliate terminates. 
 8. EXERCISE. 
 (a)
You may exercise the vested portion of your option (and the unvested portion of your option if your Grant Notice so permits) during its term by delivering a Notice of Exercise (in a form designated by the Company) together with the exercise
price to the Secretary of the Company, or to such other person as the Company may designate, during regular business hours, together with such additional documents as the Company may then require. 
 (b) By exercising your option you agree that, as a condition to any exercise of your option, the Company may require you to enter into an
arrangement providing for the payment by you to the Company of any tax withholding obligation of the Company arising by reason of (i) the exercise of your option, (ii) the lapse of any substantial risk of forfeiture to which the shares of
Common Stock are subject at the time of exercise, or (iii) the disposition of shares of Common Stock acquired upon such exercise. 
 (c) If your option is an Incentive Stock Option, by exercising your option you agree that you will notify the Company in writing within fifteen (15) days after the date of any disposition of any of the shares of the Common Stock
issued upon exercise of your option that occurs within two (2) years after the date of your option grant or within one (1) year after such shares of Common Stock are transferred upon exercise of your option. 

 9. TRANSFERABILITY. Your option is not transferable, except by will or by the laws
of descent and distribution, and is exercisable during your life only by you. Notwithstanding the foregoing, by delivering written notice to the Company, in a form satisfactory to the Company, you may designate a third party who, in the event of
your death, shall thereafter be entitled to exercise your option. In addition, you may transfer your option to a trust if you are considered to be the sole beneficial owner (determined under Section 671 of the Code and applicable state law)
while the option is held in the trust, provided that you and the trustee enter into transfer and other agreements required by the Company. 
 10. OPTION NOT A SERVICE CONTRACT. Your option is not an employment or service contract, and nothing in your option shall be deemed to create in any way
whatsoever any obligation on your part to continue in the employ of the Company or an Affiliate, or of the Company or an Affiliate to continue your employment. In addition, nothing in your option shall obligate the Company or an Affiliate, their
respective stockholders, Boards of Directors, Officers or Employees to continue any relationship that you might have as a Director or Consultant for the Company or an Affiliate. 
 11. WITHHOLDING OBLIGATIONS. 
 (a) At the time you exercise your option, in whole or in part, or at any time thereafter as requested by the Company, you hereby authorize withholding from payroll and any other amounts payable to you, and
otherwise agree to make adequate provision for (including by means of a “cashless exercise” pursuant to a program developed under Regulation T as promulgated by the Federal Reserve Board to the extent permitted by the Company), any sums
required to satisfy the federal, state, local and foreign tax withholding obligations of the Company or an Affiliate, if any, which arise in connection with the exercise of your option. 
 (b) Upon your request and subject to approval by the Company, in its sole discretion, and compliance with any applicable legal conditions or
restrictions, the Company may withhold from fully vested shares of Common Stock otherwise issuable to you upon the exercise of your option a number of whole shares of Common Stock having a Fair Market Value, determined by the Company as of the date
of exercise, not in excess of the minimum amount of tax required to be withheld by law (or such lower amount as may be necessary to avoid variable award accounting). If the date of determination of any tax withholding obligation is deferred to a
date later than the date of exercise of your option, share withholding pursuant to the preceding sentence shall not be permitted unless you make a proper and timely election under Section 83(b) of the Code, covering the aggregate number of
shares of Common Stock acquired upon such exercise with respect to which such determination is otherwise deferred, to accelerate the determination of such tax withholding obligation to the date of exercise of your option. Notwithstanding the filing
of such election, shares of Common Stock shall be withheld solely from fully vested shares of Common Stock determined as of the date of exercise of your option that are otherwise issuable to you upon such exercise. Any adverse consequences to you
arising in connection with such share withholding procedure shall be your sole responsibility. 
 (c) You may not exercise your option
unless the tax withholding obligations of the Company and/or any Affiliate are satisfied. Accordingly, you may not be able to exercise your option when desired even though your option is vested, and the Company shall have no obligation to issue a
certificate for such shares of Common Stock or release such shares of Common Stock from any escrow provided for herein unless such obligations are satisfied. 

 12. NOTICES. Any notices provided for in your option or the Plan shall be given in
writing and shall be deemed effectively given upon receipt or, in the case of notices delivered by mail by the Company to you, five (5) days after deposit in the United States mail, postage prepaid, addressed to you at the last address you
provided to the Company. 
 13. GOVERNING PLAN DOCUMENT. Your option is subject to all
the provisions of the Plan, the provisions of which are hereby made a part of your option, and is further subject to all interpretations, amendments, rules and regulations, which may from time to time be promulgated and adopted pursuant to the Plan.
In the event of any conflict between the provisions of your option and those of the Plan, the provisions of the Plan shall control. 

 ATTACHMENT II 
 2005 EQUITY INCENTIVE PLAN 

 ATTACHMENT III 
 NOTICE OF EXERCISEForm of Stock Bonus Agreement

 Exhibit 10.3 
 Rackable Systems, 
 Inc. Stock Bonus Grant Notice 
 (2005 Equity Incentive Plan) 
 Rackable Systems, Inc.
(the “Company”), pursuant to Section 7(b) of the Company’s 2005 Equity Incentive Plan (the “Plan”), hereby awards to Participant the right to acquire that number of shares of the
Company’s Common Stock set forth below (the “Award”). This Award shall be evidenced by a Stock Bonus Award Agreement (the “Award Agreement”). This Award is subject to all of the terms and
conditions as set forth herein and in the applicable Award Agreement and the Plan, each of which are attached hereto and incorporated herein in their entirety. 
  

							
		 	Participant:	  	  
	  	
		 	Date of Grant:	  	  
	  	
		 	Vesting Commencement Date:	  	  
	  	
		 	Number of Shares Subject to Award:	  	  
	  	
		 	Payment for Common Stock:	  	Participant’s services to the Company	  	

 Vesting Schedule: The shares subject to the Award shall vest [in a series of sixteen (16) successive
equal quarterly installments over the four (4)-year period measured from the Vesting Commencement Date]; provided, however, that the Participant’s Continuous Service has not terminated prior to each such vesting date. If shares subject
to the Award vest on a day that does not occur during a “window period,” vesting may be delayed as provided in Section 4 of the Award Agreement. 
  

					
	 Change in Control
 Vesting Acceleration:
	  	 ̈	  	All of the shares subject to the Award shall vest immediately upon a Change in Control occurring on or after June 9, 2007
		  	 ̈	  	None
			
	Special Tax Withholding Right:	  	 ̈	  	You may direct the Company to withhold, from shares otherwise issuable upon vesting of the Award, a portion of those shares with an aggregate fair market value (measured as of the vesting date)
equal to the amount of the applicable withholding taxes, and make a cash payment equal to such fair market value directly to the appropriate taxing authorities, as provided in Section 17 of the Award Agreement
		  	 ̈	  	None

 Additional Terms/Acknowledgements: Participant acknowledges receipt of, and understands and agrees to, this
Stock Bonus Grant Notice, the Award Agreement, and the Plan. Participant further acknowledges that as of the Date of Grant, this Stock Bonus Grant Notice, the Award Agreement and the Plan set forth the entire understanding between Participant and
the Company regarding the acquisition of the Common Stock pursuant to the Award specified above and supersede all prior oral and written agreements on that subject with the exception of (i) Awards previously granted and delivered to Participant
under the Plan, and (ii) the following agreements only: 
  

									
	 OTHER AGREEMENTS:
	 	  

			
	RACKABLE SYSTEMS, INC.	 		 	PARTICIPANT
				
	By:	 	  
	 		 	  

		 	Signature	 		 		 	Signature
					
	Title:	 	  
	 		 	Date:	 	  

					
	Date:	 	  
	 		 		 	
	
	ATTACHMENTS: Award Agreement, and 2005 Equity Incentive Plan

 RACKABLE SYSTEMS, INC. 
 2005 EQUITY INCENTIVE PLAN 
 STOCK BONUS AWARD AGREEMENT 
 Pursuant to
the Stock Bonus Grant Notice (“Grant Notice”) and this Stock Bonus Award Agreement (“Agreement”), Rackable Systems, Inc. (the “Company”) has awarded you
(“Participant”) the right to acquire shares of Common Stock from the Company pursuant to Section 7(b) of the Company’s 2005 Equity Incentive Plan (the “Plan”) for the number of shares
indicated in the Grant Notice (collectively, the “Award”). The Award is granted in exchange for past services to be rendered by you to the Company or an Affiliate. In the event additional consideration is required by law so
that the Common Stock acquired under this Agreement is deemed fully paid and nonassessable, the Board shall determine the amount and character of such additional consideration to be paid. Defined terms not explicitly defined in this Agreement but
defined in the Plan shall have the same definitions as in the Plan. 
 The details of your Award, in addition to those set forth in the Grant
Notice, are as follows. 
 1. ACQUISITION OF SHARES. By signing the Grant Notice, you
hereby agree to acquire from the Company, and the Company hereby agrees to issue to you, the aggregate number of shares of Common Stock specified in your Grant Notice for the consideration set forth in Section 3 and subject to all of the terms
and conditions of the Award and the Plan. You may not acquire less than the aggregate number of shares specified in the Grant Notice. 
 2. CLOSING. Your acquisition of the shares shall be consummated as follows: 
 (a) You shall acquire the
shares by delivering your Grant Notice, executed by you in the manner required by the Company, to the Corporate Secretary of the Company, or to such other person as the Company may designate, during regular business hours, on the date that you have
executed the Grant Notice (or at such other time and place as you and the Company may mutually agree upon in writing) (the “Closing Date”) along with any consideration, other than your past services, required to be delivered
by you by law on the Closing Date and such additional documents as the Company may then require. 
 (b) The Company shall direct the
transfer agent for the Company to deliver to the Escrow Agent pursuant to the terms of Section 9 below, the certificate or certificates evidencing the shares of Common Stock being acquired by you. You acknowledge and agree that any such shares
may be held in book entry form directly registered with the transfer agent or in such other form as the Company may determine. 
 3.
CONSIDERATION. Unless otherwise required by law, the shares of Common Stock to be delivered to you on the Closing Date shall be deemed paid, in whole or in part in exchange for past services to be rendered to the
Company or an Affiliate in the amounts and to the extent required by law. 

 4. VESTING. 
 (a) The shares shall vest as provided in the Vesting Schedule set forth in your Grant Notice. If specified in your Grant Notice, all of the shares
shall vest immediately upon a Change in Control. Vesting shall cease upon the termination of your Continuous Service. Notwithstanding the foregoing, in the event that you are subject to the Company’s Policy Regarding Stock Trading By
Officers, Directors And Employees (or any successor policy) and any shares covered by your Award vest on a day (the “Original Vest Date”) that does not occur during a “window period” applicable to you as
determined by the Company in accordance with such policy, then such shares shall not vest on such Original Vest Date and shall instead vest on the earliest to occur of the following: (i) the first day of the next “window period”
applicable to you pursuant to such policy; (ii) your Involuntary Termination Without Cause (as defined in Section 4(b) below) after the Original Vest Date; or (iii) the day that is sixty (60) days after the Original Vest Date.
Shares acquired by you that have vested in accordance with the Vesting Schedule set forth in your Grant Notice and this Section 4(a) or any other provision of the Plan are “Vested Shares.” Shares acquired by you pursuant
to this Agreement that are not Vested Shares are “Unvested Shares.” 
 (b) For purposes of this Agreement,
“Involuntary Termination Without Cause” shall mean the Company’s termination of your Continuous Service unless such termination was on account of the occurrence of any of the following: (i) your commission of any
felony or any crime involving fraud, dishonesty or moral turpitude; (ii) your attempted commission of, or participation in, a fraud or act of dishonesty against the Company or an Affiliate; (iii) your intentional, material violation of any
material contract or agreement between you and the Company or an Affiliate or any statutory duty owed to the Company or an Affiliate; (iv) your unauthorized use or disclosure of confidential information or trade secrets of the Company or an
Affiliate; or (v) your gross misconduct. The determination that your Continuous Service was terminated due to an Involuntary Termination Without Cause shall be made by the Company in its sole discretion. Any such determination by the Company
for the purposes of this Agreement shall have no effect upon any determination of the rights or obligations of you or the Company for any other purpose. 
 5. RIGHT OF REACQUISITION. The Company shall simultaneously with the termination of your Continuous Service automatically reacquire (the
“Reacquisition Right”) for no consideration all of the Unvested Shares, unless the Company agrees to waive its Reacquisition Right as to some or all of the Unvested Shares. Any such waiver shall be exercised by the Company by
written notice to you or your representative (with a copy to the Escrow Agent, as defined below) within ninety (90) days after the termination of your Continuous Service, and the Escrow Agent may then release to you the number of Unvested
Shares not being reacquired by the Company. If the Company does not waive its reacquisition right as to all of the Unvested Shares, then upon such termination of your Continuous Service, the Escrow Agent shall transfer to the Company the number of
Unvested Shares the Company is reacquiring. The Reacquisition Right shall expire when all of the shares have become Vested Shares. 
  

 2. 

 6. CAPITALIZATION CHANGES. The number of shares of
Common Stock subject to your Award and referenced in your Grant Notice may be adjusted from time to time for changes in capitalization pursuant to Section 11(a) of the Plan. 
 7. CERTAIN CORPORATE TRANSACTIONS. In the event of a Corporate Transaction as defined in the Plan,
the Reacquisition Right may be assigned by the Company to the successor of the Company (or such successor’s parent corporation), if any, in connection with such transaction. To the extent the Reacquisition Right remains in effect following such
transaction, it shall apply to the new capital stock or other property received in exchange for the Common Stock in consummation of the transaction, but only to the extent the Common Stock was at the time covered by such right. 
 8. SECURITIES LAW COMPLIANCE. You may not be issued any Common Stock under your Award
unless the shares of Common Stock are either (i) then registered under the Securities Act of 1933, as amended (the “Securities Act”), or (ii) the Company has determined that such issuance would be exempt from the
registration requirements of the Securities Act. Your Award must also comply with other applicable laws and regulations governing the Award, and you shall not receive such Common Stock if the Company determines that such receipt would not be in
material compliance with such laws and regulations. 
 9. ESCROW OF UNVESTED
COMMON STOCK. As security for your faithful performance of the terms of this Agreement and to insure the availability for delivery of your Common Stock upon execution of the Reacquisition Right provided in
Section 5, above, you agree to the following “Joint Escrow” and “Joint Escrow Instructions,” and you and the Company hereby authorize and direct the Corporate Secretary of the Company or the Corporate Secretary’s
designee (“Escrow Agent”) to hold the documents delivered to Escrow Agent pursuant to the terms of this Agreement and of your Grant Notice, in accordance with the following Joint Escrow Instructions: 
 (a) In the event you cease your Continuous Service, the Company shall pursuant to the Reacquisition Right, automatically reacquire for no
consideration all Unvested Shares, as of the date of such termination, unless the Company elects to waive such right as to some or all of the Unvested Shares. If the Company (or its assignee) elects to waive the Reacquisition Right, the Company or
its assignee will give you and Escrow Agent a written notice specifying the number of shares of stock not to be reacquired. You and the Company hereby irrevocably authorize and direct Escrow Agent to close the transaction contemplated by such notice
as soon as practicable following the date of termination of service in accordance with the terms of this Agreement and the notice of waiver, if any. 
 (b) Vested Shares shall be delivered to you upon your request given in the manner provided in Section 19 for providing notice. 
 (c) At any closing involving the transfer or delivery of some or all of the property subject to the Grant Notice and this Agreement, Escrow Agent is directed (i) to date any stock assignments necessary for
the transfer in question, (ii) to fill in the number of shares being transferred, and (iii) to deliver same, together with the certificate, if any, evidencing the shares of Common Stock to be transferred, to you or the Company, as
applicable. 
  

 3. 

 (d) You irrevocably authorize the Company to deposit with Escrow Agent the certificates, if any,
evidencing shares of Common Stock to be held by Escrow Agent hereunder and any additions and substitutions to said shares as specified in this Agreement. You do hereby irrevocably constitute and appoint Escrow Agent as your attorney-in-fact and
agent for the term of this escrow to execute with respect to such securities and other property all documents of assignment and/or transfer and all stock certificates necessary or appropriate to make all securities negotiable and complete any
transaction herein contemplated. 
 (e) This escrow shall terminate upon the expiration or application in full of the Reacquisition
Right, whichever occurs first, and the completion of the tasks contemplated by these Joint Escrow Instructions. 
 (f) If at the time
of termination of this escrow, Escrow Agent should have in its possession any documents, securities, or other property belonging to you, Escrow Agent shall deliver all of same to you and shall be discharged of all further obligations hereunder.

 (g) Except as otherwise provided in these Joint Escrow Instructions, Escrow Agent’s duties hereunder may be altered, amended,
modified, or revoked only by a writing signed by all of the parties hereto. 
 (h) Escrow Agent shall be obligated only for the
performance of such duties as are specifically set forth herein and may rely and shall be protected in relying or refraining from acting on any instrument reasonably believed by Escrow Agent to be genuine and to have been signed or presented by the
proper party or parties or their assignees. Escrow Agent shall not be personally liable for any act Escrow Agent may do or omit to do hereunder as Escrow Agent or as attorney-in-fact for you while acting in good faith and any act done or omitted by
Escrow Agent pursuant to the advice of Escrow Agent’s own attorneys shall be conclusive evidence of such good faith. 
 (i)
Escrow Agent is hereby expressly authorized to disregard any and all warnings given by any of the parties hereto or by any other person or corporation, excepting only orders or process of courts of law, and is hereby expressly authorized to
comply with and obey orders, judgments, or decrees of any court. In case Escrow Agent obeys or complies with any such order, judgment, or decree of any court, Escrow Agent shall not be liable to any of the parties hereto or to any other person,
firm, or corporation by reason of such compliance, notwithstanding any such order, judgment, or decree being subsequently reversed, modified, annulled, set aside, vacated, or found to have been entered without jurisdiction. 
 (j) Escrow Agent shall not be liable in any respect on account of the identity, authority, or rights of the parties executing or delivering or
purporting to execute or deliver this Agreement or any documents or papers deposited or called for hereunder. 
 (k) Escrow Agent
shall not be liable for the outlawing of any rights under any statute of limitations with respect to these Joint Escrow Instructions or any documents deposited with Escrow Agent. 
 (l) Escrow Agent’s responsibilities as Escrow Agent hereunder shall terminate if Escrow Agent shall cease to be the Secretary of the Company
or if Escrow Agent 

  

 4. 

 
shall resign by written notice to each party. In the event of any such termination, the Company may appoint any officer or assistant officer of the Company
or other person who in the future assumes the position of Secretary for the Company as successor Escrow Agent and you hereby confirm the appointment of such successor or successors as your attorney-in-fact and agent to the full extent of such
successor Escrow Agent’s appointment. 
 (m) If Escrow Agent reasonably requires other or further instruments in connection with
these Joint Escrow Instructions or obligations in respect hereto, the necessary parties hereto shall join in furnishing such instruments. 
 (n) It is understood and agreed that should any dispute arise with respect to the delivery and/or ownership or right of possession of the securities, Escrow Agent is authorized and directed to retain in its possession without
liability to anyone all or any part of said securities until such dispute shall have been settled either by mutual written agreement of the parties concerned or by a final order, decree, or judgment of a court of competent jurisdiction after the
time for appeal has expired and no appeal has been perfected, but Escrow Agent shall be under no duty whatsoever to institute or defend any such proceedings. 
 (o) By signing this Agreement below Escrow Agent becomes a party hereto only for the purpose of said Joint Escrow Instructions in this Section 9; Escrow Agent does not become a party to any other rights
and obligations of this Agreement apart from those in this Section 9. 
 (p) Escrow Agent shall be entitled to employ such legal
counsel and other experts as Escrow Agent may deem necessary properly to advise Escrow Agent in connection with Escrow Agent’s obligations hereunder. Escrow Agent may rely upon the advice of such counsel, and may pay such counsel reasonable
compensation therefor. The Company shall be responsible for all fees generated by such legal counsel in connection with Escrow Agent’s obligations hereunder. 
 (q) These Joint Escrow Instructions set forth in this Section 9 shall be binding upon and inure to the benefit of the parties hereto and their respective successors and permitted assigns. It is understood
and agreed that references to “Escrow Agent” or “Escrow Agent’s” herein refer to the original Escrow Agent and to any and all successor Escrow Agents. It is understood and agreed that the Company may at any time or from time
to time assign its rights under the Agreement and these Joint Escrow Instructions in whole or in part. 
 10. Execution of Documents.
You hereby acknowledge and agree that the manner selected by the Company by which you indicate your consent to your Grant Notice is also deemed to be your execution of your Grant Notice and of this Agreement. You further agree that such manner of
indicating consent may be relied upon as your signature for establishing your execution of any documents to be executed in the future in connection with your Award. 
 11. IRREVOCABLE POWER OF ATTORNEY. You constitute and appoint the Company’s Secretary as attorney-in-fact and agent to transfer said Common Stock
on the books of the Company with full power of substitution in the premises, and to execute with respect to 

  

 5. 

 
such securities and other property all documents of assignment and/or transfer and all stock certificates necessary or appropriate to make all securities
negotiable and complete any transaction herein contemplated. This is a special power of attorney coupled with an interest (specifically, the Company’s underlying security interest in retaining the shares of Common Stock in the event you do not
perform the requisite services for the Company), and is irrevocable and shall survive your death or legal incapacity. This power of attorney is limited to the matters specified in this Agreement. 
 12. RIGHTS AS STOCKHOLDER. Subject to the provisions of this Agreement, you shall have the right to
exercise all rights and privileges of a stockholder of the Company with respect to the shares deposited in the Joint Escrow. You shall be deemed to be the holder of the shares for purposes of receiving any dividends that may be paid with respect to
such shares and for purposes of exercising any voting rights relating to such shares, even if some or all of the shares are Unvested Shares. 
 13. TRANSFER RESTRICTIONS. In addition to any other limitation on transfer created by applicable securities laws, you shall not sell, assign, hypothecate, donate, encumber, or otherwise dispose of any
interest in the Common Stock while such shares of Common Stock are Unvested Shares or continue to be held in the Joint Escrow; provided, however, that an interest in such shares may be transferred pursuant to a qualified domestic relations
order as defined in the Internal Revenue Code of 1986, as amended (the “Code”) or Title I of the Employee Retirement Income Security Act of 1974, as amended. After any Common Stock has been released from the Joint Escrow, you
shall not sell, assign, hypothecate, donate, encumber, or otherwise dispose of any interest in the Common Stock except in compliance with the provisions herein and applicable securities laws. Notwithstanding the foregoing, by delivering written
notice to the Company, in a form satisfactory to the Company, you may designate a third party who, in the event of your death, shall thereafter be entitled to receive any distribution of Common Stock pursuant to this Agreement. 
 14. NON-TRANSFERABILITY OF THE AWARD. Your Award (except for Vested
Shares issued pursuant thereto) is not transferable except by will or by the laws of descent and distribution. In the event of the termination of your Continuous Service prior to the Closing Date, the closing contemplated in this Agreement shall not
occur. 
 15. RESTRICTIVE LEGENDS. The Common Stock issued under your Award shall be endorsed with
appropriate legends, if any, as determined by the Company. 
 16. AWARD NOT A
SERVICE CONTRACT. Your Award is not an employment or service contract, and nothing in your Award shall be deemed to create in any way whatsoever any obligation on your part to continue in the service
of the Company or any Affiliate, or on the part of the Company or any Affiliate to continue such service. In addition, nothing in your Award shall obligate the Company or any Affiliate, their respective stockholders, boards of directors, or
employees to continue any relationship that you might have as an Employee or Consultant of the Company or any Affiliate. 
 17.
WITHHOLDING OBLIGATIONS. At the time your Award is granted, or at any time thereafter as requested by the Company, you hereby authorize withholding from any amounts 

  

 6. 

 
payable to you, or otherwise agree to make adequate provision in cash for, any sums required to satisfy the federal, state, local and foreign tax withholding
obligations of the Company or any Affiliate, if any, which arise in connection with your Award (the “Withholding Taxes”). If specified in your Grant Notice, you may direct the Company to withhold a portion of the Vested
Shares with a Fair Market Value (measured as of the vesting date) equal to the amount of such Withholding Taxes; provided, however, that the amount of any Vested Shares so withheld shall not exceed the amount necessary to satisfy the
Company’s required tax withholding obligations using the minimum statutory withholding rates for federal, state, local and foreign tax purposes, including payroll taxes, that are applicable to supplemental taxable income. Unless the tax
withholding obligations of the Company and/or any Affiliate are satisfied, the Company shall have no obligation to deliver to you any Common Stock. 
 18. TAX CONSEQUENCES. You agree to review with your own tax advisors the federal, state, local and foreign tax consequences of this investment and the transactions contemplated by this Agreement. You
shall rely solely on such advisors and not on any statements or representations of the Company or any of its agents. You understand that you (and not the Company) shall be responsible for your own tax liability that may arise as a result of this
investment or the transactions contemplated by this Agreement. You understand that Section 83 of the Code taxes as ordinary income to you the fair market value of the shares of Common Stock as of the date any restrictions on the shares lapse
(that is, as of the date on which part or all of the shares vest). In this context, “restriction” includes the right of the Company to reacquire the shares pursuant to its Reacquisition Right. You understand that you may elect to be taxed
on the fair market value of the shares at the time the shares are acquired rather than when and as the Company’s Reacquisition Right expires by filing an election under Section 83(b) of the Code with the Internal Revenue Service within
thirty (30) days after the date you acquire the shares pursuant to your Award. YOU ACKNOWLEDGE THAT IT IS YOUR SOLE RESPONSIBILITY, AND NOT THE COMPANY’S, TO FILE A TIMELY ELECTION UNDER CODE SECTION 83(b), EVEN IF YOU REQUEST THE COMPANY
OR ITS REPRESENTATIVES TO MAKE THE FILING ON YOUR BEHALF. You further acknowledge that you are aware that should you file an election under Section 83(b) of the Code and then subsequently forfeit the shares, you will not be able to report as a
loss the value of any shares forfeited and will not get a refund of any of the tax paid. 
 19. NOTICES.
Any notice or request required or permitted hereunder shall be given in writing to each of the other parties hereto and shall be deemed effectively given on the earlier of (i) the date of personal delivery, including delivery by express
courier, or (ii) the date that is five (5) days after deposit in the United States Post Office (whether or not actually received by the addressee), by registered or certified mail with postage and fees prepaid, addressed at the following
addresses, or at such other address(es) as a party may designate by ten (10) days’ advance written notice to each of the other parties hereto: 
  

					
		 	COMPANY:	  	Rackable Systems, Inc.
		 		  	Attn: General Counsel
		 		  	1933 Milmont Drive
		 		  	Milpitas, CA 95035
			
		 	PARTICIPANT:	  	Your address as on file with the Company
		 		  	at the time notice is given
			
		 	ESCROW AGENT:	  	Rackable Systems, Inc.
		 		  	Attn: Corporate Secretary
		 		  	1933 Milmont Drive
		 		  	Milpitas, CA 95035

  

 8. 

 20. HEADINGS. The headings of the Sections in this Agreement are
inserted for convenience only and shall not be deemed to constitute a part of this Agreement or to affect the meaning of this Agreement. 
 21. MISCELLANEOUS. 
 (a) The rights and obligations of the Company under your Award shall be
transferable by the Company to any one or more persons or entities, and all covenants and agreements hereunder shall inure to the benefit of, and be enforceable by, the Company’s successors and assigns. 
 (b) You agree upon request to execute any further documents or instruments necessary or desirable in the sole determination of the Company to
carry out the purposes or intent of your Award. 
 (c) You acknowledge and agree that you have reviewed your Award in its entirety,
have had an opportunity to obtain the advice of counsel prior to executing and accepting your Award and fully understand all provisions of your Award. 
 (d) This Agreement shall be subject to all applicable laws, rules, and regulations, and to such approvals by any governmental agencies or national securities exchanges as may be required. 
 (e) All obligations of the Company under the Plan and this Agreement shall be binding on any successor to the Company, whether the existence of
such successor is the result of a direct or indirect purchase, merger, consolidation, or otherwise, of all or substantially all of the business and/or assets of the Company. 
 22. GOVERNING PLAN DOCUMENT. Your Award is subject to all the provisions of the Plan,
the provisions of which are hereby made a part of your Award, and is further subject to all interpretations, amendments, rules and regulations which may from time to time be promulgated and adopted pursuant to the Plan. In the event of any conflict
between the provisions of your Award and those of the Plan, the provisions of the Plan shall control. 
 23. EFFECT
ON OTHER EMPLOYEE BENEFIT PLANS. The value of the Award subject to this Agreement shall not be included as compensation, earnings, salaries, or other similar terms used
when calculating benefits under any employee benefit plan (other than the Plan) sponsored by the Company or any Affiliate except as such plan otherwise expressly provides. The Company expressly reserves its rights to amend, modify, or terminate any
or all of the employee benefit plans of the Company or any Affiliate. 
  

 8. 

 24. CHOICE OF LAW. The interpretation, performance
and enforcement of this Agreement shall be governed by the law of the state of California without regard to such state’s conflicts of laws rules. 
 25. SEVERABILITY. If all or any part of this Agreement or the Plan is declared by any court or governmental authority to be unlawful or invalid, such unlawfulness or invalidity shall not
invalidate any portion of this Agreement or the Plan not declared to be unlawful or invalid. Any Section of this Agreement (or part of such a Section) so declared to be unlawful or invalid shall, if possible, be construed in a manner which will give
effect to the terms of such Section or part of a Section to the fullest extent possible while remaining lawful and valid. 
 26.
OTHER DOCUMENTS. You hereby acknowledge receipt or the right to receive a document providing the information required by Rule 428(b)(1) promulgated under the Securities Act. In addition, you
acknowledge receipt of the Company’s Policy Against Trading on the Basis of Inside Information. 
 * * * * * 
 This Stock Bonus Award Agreement shall be deemed to be signed by the Company and the Participant upon the signing by the Participant of the Stock Bonus
Grant Notice to which it is attached. 
 The Escrow Agent hereby acknowledges and accepts its rights and responsibilities pursuant to
Section 9, above. 
  

	
	  

	Escrow Agent

  

 9. 

 RACKABLE SYSTEMS, INC. 
 2005 EQUITY INCENTIVE PLAN 
  

 11.

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