Document:

Brick Plan

 Exhibit 10.11 
 BRICK AND COMPANY 
 DEFERRED INCOME PLAN FOR
JOEL R. ZULLINGER AGE 33 
 Responsibilities and liabilities of Directors have materially increased in recent years.
This modern deferred income plan will help your Company retain and attract highly qualified people necessary to meet your Board’s many obligations. In this way, your Company can benefit without any increase in costs. 
 The Revenue Act of 1978 provides the clearest and the most favorable tax treatment of deferred income for independent contractors (Corporate
Directors) that we have ever had. The Brick Plan is based on sound actuarial principles and conforms strictly to the new tax law. 
 The Brick Plan will provide the future income indicated in exchange for the deferral of your Director’s fees for five years: 
  

							
	 Annual Fees Deferred
 For Five Years
	 	Total Fees Deferred For
Five Years	 	Annual Income For Ten
Years Beginning At Age 65*	 	Total Deferred Income
Age 65-75
	$2,400	 	$12,000	 	$19,855	 	$198,556

  

	*	In the event of the Director’s death before age 65, this income will be paid to the Director’s beneficiary starting at the time of death if the director is
past age 60, deferred income payments will begin in five years. 

 The amount of deferred income may increase or
decrease slightly depending upon actual insurance costs. 
 The plan is optional for each Director because the net cost of
deferred income in actuarially certified to be the same as paying current fees. 
 As a Director, you will want to consider
these additional advantages of the Brick Plan: 
  

	 	1.	You have no tax liability until deferred income payments begin. 

  

	 	2.	The plan meets all IRS requirements. 

  

	 	3.	Your deferred income will not reduce your need for life insurance. 

  

	 	4.	You could not duplicate the economic benefit of the Brick Plan with the after-tax proceeds of your Director’s fees. 

 If you leave the Board before completing five years service, you will receive a pro-rata share of the deferred income. For example, if you
serve two years, you will receive 2/5 or 40% of the deferred income stated above. 

 DEFERRED INCOME AGREEMENT 
 JOEL R. ZULLINGER 
 ORRSTOWN BANK 
 ORRSTOWN, PENNSYLVANIA 
 AUGUST 1, 1982 

 DIRECTOR’S COMPENSATION AGREEMENT 
 This Agreement is entered into this first day of August, 1982, between ORRSTOWN BANK, 3560 Orrstown Road, Orrstown, Pennsylvania 17240
(herein referred to as the “Bank”) and JOEL R. ZULLINGER, 1555 Wilson Ave., Chambersburg, Pennsylvania 17201 (herein referred to as the “Director”). 
 WITNESSETH 
 WHEREAS, the Bank recognized that the competent and
faithful efforts of the Director on behalf of the Bank have contributed significantly to the success and growth of the Bank; and 
 WHEREAS, the Bank values the efforts, abilities and accomplishments of the Director and recognizes that his services are vital to its continued growth and profits in the future; and 
 WHEREAS, the Bank desires to compensate the Director and retain his services for five years, if elected, to serve on the Board of Directors.
Such compensation is set forth below; and 
 WHEREAS, the Director, in consideration of the foregoing, agrees to continue to
serve as a Director, if elected, 
 NOW, THEREFORE, it is mutually agreed as follows: 
  

	 	1.	 Compensation. The Bank agrees to pay Director the total sum of $218,040 payable in monthly installments of $1,817 for 120 consecutive months,
commencing on the first day of the month following Director’s 65th birthday. Payments to the Director will terminate when the 120 payments have been made or at the time of the Director’s death, whichever occurs first. 

  

	 	2.	Death of Director Before Age 65. In the event Director should die before reaching age 65, the Bank agrees to pay to Director’s beneficiary designated in
writing to the Bank, the sum of $1,817 per month for 120 consecutive months. Payments will begin on the first day of the month following Director’s death. 

  

	 	3.	Death of Director After Age 65. If the Director dies after age 65 prior to receiving the full 120 monthly installments, the remaining monthly installments will
be paid to the Director’s designated beneficiary (ies). The beneficiary (ies) shall receive all remaining monthly installments which the Director would have received until the total sum of $218,040 set forth in paragraph “1” is paid.
If the director fails to designate a beneficiary in writing to the Bank, the balance of monthly installments remaining at the time of his death shall be paid to the legal representative of the estate of the Director. 

  

	 	4.	Termination of Service as A Director. If the Director, for any reason other than death, fails to serve five consecutive years as a Director, he will receive
monthly compensation beginning at age 65 on the basis that the number of full months served bears to the required number of 60 months times the compensation stated in paragraph “1”. For example, if the Director serves only 36 months, he
will be entitled to 36/60 or 60% of the compensation stated in paragraph “1”. 

  

	 	5.	Suicide. No payments will be made to the Director’s beneficiary (ies) or to his estate in the event of death by suicide during the first three years of this
agreement. 

  

	 	6.	Status of Agreement. This agreement does not constitute a contract of employment between the parties, nor shall any provision of this agreement restrict the
right of the Bank’s Shareholders to replace the Director or the right of the Director to terminate hi service. 

  

	 	7.	Binding Effect. This agreement shall be binding upon the parties hereto and upon the successors and assigns of the Bank, and upon the heirs and legal
representatives of the Director. 

  

	 	8.	Interruption of Service. The service of the Director shall not be deemed to have been terminated or interrupted due to his absence from active service on the
account of illness, disability, during any authorized vacation or during temporary leaves of absence granted by the Bank for reasons of professional advancement, education, health or government service, or during military leave for any period if the
Director is elected to serve on the Board following such interruption. 

  

	 	9.	Forfeiture of Compensation by Competition. The Director agrees that all rights to compensation following age 65 shall be forfeited by him if he engages in
competition with the Bank, without the prior written consent of the Bank, within a radius of 50 miles of the main office of the Bank for a period of ten years, coinciding with the number of years that the Director shall receive such compensation.

  

	 	10.	Assignment of Rights. None of the rights to compensation under this Agreement are assignable by the Director or any beneficiary or designee of the Director and
any attempt to anticipate, sell, transfer, assign, pledge, encumber or change Director’s right to receive compensation shall be void. 

	 	11.	Status of Director’s Rights. The rights granted to the Director or any designee or beneficiary under this Agreement shall be solely those of an unsecured
creditor of the Bank. 

  

	 	12.	Amendments. This Agreement may be amended only by a written Agreement signed by the parties. 

  

	 	13.	If the Bank shall acquire an insurance policy or any other asset in connection with the liabilities assumed by it hereunder, it is expressly understood and agreed that
neither Director nor any beneficiary of Director shall have any right with respect to, or claim against, such policy or other asset except as expressly provided by the terms of such policy or in the title to such other asset. Such policy or asset
shall not be deemed to be held under any trust for the benefit of Director or his beneficiaries or to be held in any way as collateral security for the fulfilling of the obligations of the Bank under this Agreement except as may be expressly
provided by the terms of such policy or other asset. It shall be, and remain, a general, unpledged, unrestricted asset of the Bank. 

  

	 	14.	This agreement shall be construed under and governed by the laws of the State of Pennsylvania. 

  

	 	15.	Interpretation. Wherever appropriate in this Agreement, words used in the singular shall include the plural and the masculine shall include the feminine gender.

  

	 	16.	Period of Economic Hardship. If, in any year, payments made under this Agreement would, in the sole judgment of the Board of Directors, create economic hardship
for the Bank’s Depositors, the Board of Directors has full authority to postpone such payments. 

 IN WITNESS HEROF, the
parties have signed this Agreement the day and year above written. 
  

									
	 	 	 	 	ORRSTOWN BANK	 	 
					
		 		 	By:	 	 /s/ Dale E. Auchey
	 	
		 		 		 	Dale E. Auchey, President	 	
					
	 /s/ Patricia A. Corwell
	 		 		 	 /s/ Joel R. Zullinger
	 	
	 Witness
	 		 		 	Joel R. Zullinger, Director	 	

 BENEFICIARY DESIGNATION 
 Date September 7, 1982 
 Pursuant to Paragraph
“2” and Paragraph “3” of the Director’s Compensation Agreement with ORRSTOWN BANK and JOEL R. ZULLINGER, DIRECTOR, dated August 1, 1982, the undersigned hereby requests that any death benefits payable under the
provisions of said agreement be payable to: 
  

	
	  

	
	  

	
	  

  

	
	 /s/ Joel R. Zullinger

	 Joel R. Zullinger, DirectorDirector/Excutive Officer Deferred Compensation Plan

 Exhibit 10.13(a) 
 ORRSTOWN FINANCIAL SERVICES, INC. 
 AND ITS WHOLLY-OWNED
SUBSIDIARIES 
 DIRECTOR/EXECUTIVE OFFICER DEFERRED COMPENSATION PLAN 
 ORRSTOWN FINANCIAL SERVICES, INC AND ITS WHOLLY-OWNED SUBSIDIARIES, hereinafter collectively called “ Company,” hereby adopts the
Orrstown Financial Services, Inc. Director/Executive Officer Deferred Compensation Plan effective September 1, 1995, hereinafter call “Plan,” to assist it in attracting and retaining persons of outstanding competence and stature to
serve as directors or executive officers by giving them the option of planning effectively for their respective futures by deferring receipt of their fees or compensation. 
  

	1.	Effective Date: The Plan shall apply to all fees or compensation payable to directors or executive officers for services rendered after
August 31, 1995. 

  

	2.	Participation: Each director or executive officer of the Company who is entitled to receive fees or compensation for services as a
director/executive officer may elect to defer receipt of the fees or compensation otherwise payable to him/her as provide for in the Plan. Each such director or executive officer who elects to defer fees or compensation shall be a participant in the
Plan. 

  

	3.	Administration: The Company’s board of directors shall appoint an officer(s) of Orrstown Bank, who is not a participant in this plan, to act
as the administrator(s) of the Plan. Such designated person(s) shall serve at the pleasure of the board of directors and shall administer, construe, and interpret the Plan. The administrator(s) shall not be liable for any act done or determination
made in good faith. 

  

	4.	Deferrals: 

  

	 	(a)	Election: Prior to January 1 and July 1 (and with respect to 1995, prior to September 1, 1995) any eligible director or executive
officer may file with the board of directors and/or administrator(s) of the Plan an election in writing to participate in the Plan for that year or for that year and succeeding years. When such election is filed, fees or compensation will be reduced
according to the election for that year, or for that year and for succeeding years. If an election is filed to participate in the Plan for succeeding years, an election to termination participation in the Plan for any year must be field prior to
January 1 and July 1 of that year. An individual who first becomes a director or executive officer during a calendar year may make an election to defer fees or compensation for the remainder of the year within 30 days of such date.

  

	 	(b)	Accounting: An appropriate record shall be maintained by the Company called the “Directors’/Executive Officers’ Compensation
Account” which shall list each participant and the amount of the individual credits and earnings due. The Company shall add to each participant’s account an amount equivalent to the fees or compensation that would have been paid to the
participant if election had not been made to participate in the Plan. The addition shall be made on the date on which the fee or compensation would have been paid absent a deferral election. 

  

	 	(c)	Establishment of Trust: The Company will establish a trust fund to aid it in accumulating the amounts necessary to satisfy its contractual
liability to pay such benefits. 

 The Company may make contributions to this trust from time to time, which
contributions (if made) will be applied in payment of the Company’s obligations to pay such benefits. 
 The Company will
pay all benefits payable under its Directors/Executive Officer Deferred Compensation Plan from its general assets, and the establishment of this trust shall not reduce or otherwise affect the Company’s continuing liability to pay benefits from
such assets except that the Company’s liability shall be offset by actual benefit payments made by this trust. 

 The trust established by this trust agreement is intended to be classified for income tax
purposes as a “grantor trust” with the result that the income of the trust will be treated as income of the Company pursuant to Subpart E of Subchapter J or Chapter 1, or Subtitle A of the Internal Revenue Code 1986 , as amended (the
code). 
  

	 	(d)	Investments: The trust will establish several investment options for participants in the non-qualified deferred compensation plan. The participant
shall direct the trustee, in writing, to invest their account in the following investment vehicles: 

  

	 	1.	Orrstown Bank Certificates of Deposit. Minimum Investment $3,000 

  

	 	2.	Vanguard Wellington Fund 

  

	 	3.	Vanguard Indexed Trust 500 Portfolio 

  

	 	4.	Life Insurance and annuities 

 Any un-invested cash shall be held in a money market fund that is designated by the Trustee. Changes in the investment direction may be made on a semi-annual basis. 
  

	5.	Distribution: Prior to the date on which payment shall commence, the plan administrator(s) shall determine the method of distribution as permitted
hereunder. In the case of a director, payment must commence not later than January 15 following the year in which the director attains age 75 or terminates service as a director, whichever occurs later. In the case of an executive director,
payment must commence not later than January 15 following the year in which the executive officer attains age 65 or retires, whichever occurs later. Payment may be made in equal monthly or annual installments of the principal amount of the
account balance determined as of December 31 preceding commencement of distribution over not more than ten years. Monthly principal payments shall be accompanied by payment of 1/12 of the unpaid earnings credited on or before December 31
of the year ended before payment of the installments. 

 Not withstanding the foregoing, the administrator(s) may
accelerate distribution to a participant at the participant’s request upon a finding by the administrator(s) that the participant has a severe financial hardship which was not foreseeable at the time the deferral election became effective. In
such case, the amount of the accelerated distribution shall not exceed the amount needed to alleviate the hardship. 
 In the
following situations, the administrator shall made immediate distributions in full satisfaction of the participants’ deferred compensation, including all earnings thereon: 
  

	 	(a)	Development of a hostile takeover 

  

	 	(b)	Failure by an acquiring bank, bank holding company, or other acquiring organization to approve this Plan. 

  

	 	(c)	Bankruptcy of the bank or acquiring bank, holding company, or other acquiring organization. 

  

	6.	Death: If a participant dies prior to the payment of his entire account, the Company shall pay the balance to the participant’s designated
beneficiary in a single lump sum payment and shall pay the earnings credited to the account for the year of death no later than April 15 of the following year. Such payments shall be in complete satisfaction of all the rights of the participant
under the Plan. If the participant has not designated a beneficiary or the designated beneficiary is not living on the date payment is to be made, the participant’s estate shall be the beneficiary. 

  

	7.	Assignment and Alienation of Benefits: To the maximum extent permitted by law, a participant’s rights or benefits under this Plan shall not be
subject to anticipation, alienation, sale, assignment, pledge, encumbrance, or charge, and any attempt to anticipate, alienate, sell, assign, pledge, encumber, or charge the same shall be void. No right or benefit hereunder shall in any manner be
liable for or subject to the debts, contracts, liabilities or torts of the person entitled to such benefit. If any participant becomes bankrupt or attempts to anticipate, alienate, sell, assign, pledge, encumber or charge any right to a benefit
hereunder, then such right or benefit, in the discretion of the administrator(s), may be terminated. In such event the Company may hold or apply the same or any part thereof for the benefit of the participant, his or her spouse, children or other
dependents, or any of them, in such manner and portion as the administrator(s) may deem proper. 

	8.	Amendment or Termination: The board of directors of the Company may amend or terminate this Plan at any time. Any amendment or termination of this
Plan shall not affect the rights of the participant accrued prior thereto without his written consent. The Plan shall automatically terminate if it is determined by the Internal Revenue Service to not qualify as a deferred compensation agreement
deferring income taxes of the director or officer. Such automatic termination shall be effective the first day of the month following the determination by the Internal Revenue Service. 

  

	9.	Status of Amounts Due: No liability of the Company hereunder shall be deemed to be secured by any pledge or other encumbrance on any property of
the Company. In not event may the Company create a security interest in the Plan assets in favor of participants or beneficiaries of the Plan.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00170-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00170-of-00352.parquet"}]]