Document:

EX-10.1 AMENDMENT NO.1 TO EMPLOYMENT AGREEMENT

EXHIBIT 10.1

AMENDMENT NO. 1

TO

EMPLOYMENT AGREEMENT

     THIS AMENDMENT NO. 1, made as of this 8th day of July, 2008, by and between EMAGEON INC., a
Delaware corporation (the “Company”) and CHARLES A. JETT, JR. (“Executive”);

W I T N E S S E T H

     WHEREAS, the Company and Executive entered into an Employment Agreement, dated as of August
10, 2004 (the “Employment Agreement”), providing for the terms and conditions of Executive’s
employment by the Company; and

     WHEREAS, the parties now desire to amend the Employment Agreement in the manner hereinafter
provided;

     NOW, THEREFORE, in consideration of the premises and the covenants and agreements contained
herein and in the Employment Agreement, the Employment Agreement is hereby amended, as follows:

1. Section 4(d) is hereby amended by deleting the present Section in its entirety and substituting
the following in lieu thereof:

“(d) Termination by the Executive. The Executive shall have the right to resign at
any time, with or without Good Reason. The term “Good Reason” shall mean the
occurrence (without Executive’s express written consent) of any one of the
following acts by the Company, or failures by the Company to act, or, under
paragraph (6) below, the Executive’s act, unless, in the case of any Company act or
failure to act described below, such act or failure to act is corrected by the
Company prior to the Date of Termination specified in the notice of termination
given in respect thereof:

(1) a material reduction in Executive’s duties or responsibilities;
provided, however, that the fact that Executive’s employment after a Change
in Control shall be with a non-publicly traded subsidiary of an entity
resulting from or surviving the Change in Control, if that is the case,
shall not of itself be deemed a material diminution in Executive’s duties
or responsibilities for purposes of this paragraph;

(2) a material reduction in Executive’s Base Salary or target bonus;

 

 

(3) the failure by the Company to maintain a benefit program (or to provide
a substitute benefit program) that is material to Executive’s overall
compensation;

(4) the relocation of Executive’s office or the Company’s headquarters from
its location on the Effective Date to a location more than 35 miles away;

(5) the Company’s material breach of any other provision of this Employment
Agreement; or

(6) any termination by Executive for any reason or no reason during the
60-day period following the consummation of a Change in Control (as defined
in subsection (g) below).

     Executive’s right to terminate the Executive’s employment for Good Reason
shall not be affected by the executive’s incapacity due to physical or mental
illness, except for a Disability as defined in subsection (b) above. Except with
respect to the 60-day period in paragraph (6) above, Executive’s continued
employment shall not constitute consent to, or a waiver of rights with respect to,
any circumstance constituting Good Reason hereunder.

     Any claim of Good Reason shall be communicated by the Executive to the Company
in writing within 90 days of its initial existence and shall specifically identify
the factual details concerning the event(s) giving rise to Executive’s claim of
Good Reason under this Section 4(d). Except for the event specified in subsection
(d)(6), the Company shall have a period of 30 days to cure any claimed event of
Good Reason prior to the specified Date of Termination.”

2. Section 5(c)(2) is hereby amended by changing the words “30 days” to “10 days” in the first
sentence of the present Section.

3. Section 5(c)(3) is hereby amended by deleting the present Section in its entirety and
substituting the following in lieu thereof:

     “(3) Pursuant to COBRA, Executive may elect to continue the group health
and dental care coverage provided to Executive at his Date of Termination, including
any spousal or dependent coverage in effect on such Date of Termination. Subject to
the special payment rules for specified employees in subsection (6) below, within 10
days after Executive’s Date of Termination, the Company will pay to Executive an
amount equal to the full monthly COBRA premium for the group health and dental
coverage Executive had in place on the Date of Termination less the monthly cost
Executive was paying for such coverages at the time of termination, multiplied by
the number of full or partial months during the Severance Period. In addition,
subject to the special payment rules in subsection (6) below, if the Company
maintains

 

 

any individual executive life insurance policy (or policies) for Executive, the
Company shall pay the Executive within 10 days after Executive’s Date of
Termination, a lump sum payment equal to the monthly amount of the premiums for such
policy or policies as of the Date of Termination, multiplied by the number of full
or partial months during the Severance Period. If the terms of any benefit plan
referred to in this paragraph (3), or the laws applicable to such plan do not permit
continued participation by Executive, then the Company will pay Executive within 10
days after his Date of Termination a lump sum amount equal to the estimated costs of
such coverage(s) for the applicable Severance Period, as determined by the Company
in good faith.”

4. Section 5(c) is hereby amended by the addition of a new subsection (6), as follows:

     “(6) It is the intent of the Company that all payments payable to the Executive
pursuant to this Section 5 shall be exempt from Section 409A of the Code as
short-term deferrals. However, if, at the time of Executive’s Date of Termination,
Executive is a “specified employee” and if the Company reasonably determines that
any payment to Executive pursuant to this Employment Agreement is not exempt as a
short-term deferral and must be delayed for six-months to avoid a violation of
Section 409A(a)(2)(B) of the Code, such payment shall be paid on the next business
day following the six-month anniversary of the Executive’s Date of Termination.
For purposes of this Employment Agreement, whether Executive is a “specified
employee” shall be determined under the rules set forth in Section 409A of the Code
and the regulations and other guidance promulgated thereunder, plus any policies and
elections properly made by the Company in accordance with such guidance.”

5. Section 6 is hereby amended by the addition of a new subsection (e), as follows:

     “(e) Notwithstanding the other provisions of this Section 6, (i) each Gross-Up
Payment required to be made by the Company to Executive hereunder and each
repayment of a Gross-Up Payment required to be made by Executive to the Company
hereunder shall be paid no later than the end of the calendar year next following
the calendar year in which Executive remits the corresponding taxes to the Internal
Revenue Service, and (ii) each reimbursement of expenses related to a tax audit or
litigation addressing the existence or amount of a tax liability required to be
made by the Company to Executive hereunder and each repayment of such a
reimbursement required to be made by Executive to the Company hereunder shall be
paid no later than the end of the calendar year next following the calendar year in
which Executive remits to the Internal Revenue Service the taxes that are the
subject of the audit or litigation or, where as a result of the audit or litigation
no taxes are due or are remitted but other reimbursable costs and/or expenses have
been incurred, the end of the calendar year following the calendar year in

 

 

which the audit is completed or there is a final and nonappealable settlement or
other resolution of the litigation.”

6. Section 8(i)(2) is hereby amended by deleting the present section in its entirety and
substituting the following in lieu thereof:

“(2) Legal Fees. If Executive terminates his employment for Good Reason or if the
Company involuntarily terminates Executive without Cause, then, in the event
Executive incurs legal fees and other expenses in seeking to obtain or to enforce
any rights or benefits provided by this Employment Agreement and is successful, in
whole or in any significant part, in obtaining or enforcing any such rights or
benefits through settlement, mediation, arbitration or otherwise, the Company shall
promptly pay in accordance with this subsection, Executive’s reasonable legal fees
and expenses and related costs incurred in enforcing this Employment Agreement
including, without limitation, attorneys fees and expenses, experts fees and
expenses, investigative fees, and travel expenses. Except to the extent provided
in the preceding sentence, each party shall pay its own legal fees and other
expenses associated with any dispute under this Employment Agreement. In no event
will any reimbursement under this subsection be made later than the end of the
calendar year next following the calendar year in which the expense was incurred by
Executive. Executive must provide such written substantiation in time for the
Company to make such reimbursement by such deadline. The amount of expenses
eligible for reimbursement under this Section 8(i)(2) during a calendar year will
not affect the amount of expenses eligible for reimbursement under this Section
8(i)(2) in another calendar year, and the right to such reimbursement is not
subject to liquidation or exchange for another benefit from the Company.”

 

 

7. This Amendment No. 1 shall be effective as of July 8, 2008. Except as hereby
modified, the Employment Agreement shall remain in full force and effect.

     IN WITNESS WHEREOF, the parties have executed this Amendment No. 1 as of the date
first written above.

	 	 	 	 	 
	 	COMPANY:
EMAGEON INC.

 	 
	 	By:  	/s/
John W. Wilhoite	 
	 	 	John W. Wilhoite 	 
	 	 	Its:  Chief Financial Officer 	 
	 

	 	 	 	 	 
	 	EXECUTIVE:

 	 
	 	/s/
Charles A. Jett, Jr.	 
	 	Charles A. Jett, Jr.EX-10.1

EXHIBIT 10.1

FOURTH AMENDMENT TO CREDIT AGREEMENT

     THIS FOURTH AMENDMENT TO CREDIT AGREEMENT (this “Fourth Amendment”), made effective as
of the 9th day of July, 2008 (the “Fourth Amendment Effective Date”), by and among SUPERIOR
WELL SERVICES, INC., a Delaware corporation (“SWS”), and SUPERIOR WELL SERVICES, LTD., a
Pennsylvania limited partnership (“Superior”), and being the surviving entity of a merger
with Bradford Resources, Ltd., a Pennsylvania limited partnership (SWS and Superior are each a
“Borrower” and collectively, the “Borrowers”), and CITIZENS BANK OF PENNSYLVANIA, a
Pennsylvania state chartered bank (the “Lender”).

BACKGROUND

     A. The Borrowers are parties to that certain Credit Agreement dated as of October 18, 2005, as
amended by that certain First Amendment to Credit Agreement dated as of August 16, 2006, as further
amended by that certain Second Amendment to Credit Agreement dated as of August 30, 2006, as
further amended by that certain Third Amendment to Credit Agreement dated as of May 15, 2007 (as
amended, and as amended, modified and supplemented from to time to time hereafter, the “Credit
Agreement”) pursuant to which the Lender has made, inter alia, Revolving Credit Loans available
to the Borrowers.

     B. The Borrowers have requested that the Lender to temporarily increase the Revolving Credit
Commitment to an amount up to Forty-Five Million Dollars ($45,000,000.00), and the Lender is
willing to do so upon the terms and conditions set forth in this Fourth Amendment.

     NOW, THEREFORE, the Borrowers and the Lender, intending to be legally bound, covenant and
agree as follows:

SECTION 1. USE OF TERMS; RECITALS

     1.1 The Borrowers acknowledge that the recitals set forth above in the Background above are
true and correct and are incorporated herein by reference.

     1.2 Capitalized terms used herein (including the Background above) shall have the same meaning
ascribed thereto in the Credit Agreement, unless otherwise specified herein.

SECTION 2. AMENDMENTS TO THE CREDIT AGREEMENT

     2.1 The following definitions as set forth in Schedule One of the Credit Agreement are
amended and restated in their entirety to read as follows:

     “Inventory Sublimit” means Seven Million Five Hundred Thousand Dollars
($7,500,000.00).

     “Revolving Credit Commitment” means (i) during the period from the
Fourth Amendment Effective Date up to November 6, 2008, an amount not to exceed
Forty- Five Million Dollars ($45,000,000.00), and (ii) from and after November 6,
2008, an amount not to exceed Twenty Million Dollars ($20,000,000.00).

     “Revolving Credit Note” means the Amended and Restated Revolving Credit
Note in the original principal amount of Forty-Five Million Dollars ($45,000,000.00)
issued by the Borrowers to the Lender on July 9, 2008, in form and substance
satisfactory to the Lender, such note being an amendment and restatement, and not a
novation or

 

 

satisfaction, of that certain Revolving Credit Note dated October 18,
2005 in the original principal amount of Twenty Million Dollars ($20,000,000.00)
issued by the Borrowers to the Lender.

     2.2 The meaning ascribed to “Loan Documents” in the Credit Agreement is hereby amended to the
extent necessary to expressly incorporate in such meaning this Fourth Amendment.

SECTION 3. AMENDED AND RESTATED REVOLVING CREDIT NOTE

     From and after the Fourth Amendment Effective Date, the Revolving Credit Loans shall be
evidenced by an Amended and Restated Revolving Credit Note in the original principal amount of
Forty-Five Million Dollars ($45,000,000.00) (the “Amended and Restated Revolving Credit
Note”), in form and substance satisfactory to the Lender, appropriately completed and duly
executed by the Borrowers. Upon the Lender’s receipt of the appropriately completed and duly
executed Amended and Restated Revolving Credit Note, the previously outstanding Revolving Credit
Note dated October 18, 2005 in the original principal amount of Twenty Million Dollars
($20,000,000.00) issued by the Borrowers to the Lender (the “Prior Note”) shall be marked
amended, restated and replaced by the Amended and Restated Revolving Credit Note. The Amended and
Restated Revolving Credit Note is intended as an amendment and restatement, and not a novation or
satisfaction, of the Prior Note, and all outstanding principal and unpaid interest and other
charges, if any, accrued and owing on the Prior Note shall be outstanding under the Amended and
Restated Revolving Credit Note, without discharging any security granted by the Borrowers under the
Credit Agreement, the Collateral Documents or otherwise.

SECTION 4. REPRESENTATIONS, WARRANTIES AND COVENANTS

     4.1 The Borrowers hereby ratify, confirm and reaffirm, without condition, all the terms and
conditions of the Credit Agreement and the other Loan Documents to which they are a party and agree
that they continue to be bound by the terms and conditions thereof as amended by this Fourth
Amendment. Except as specifically amended by this Fourth Amendment, the Credit Agreement shall
remain in full force and effect in accordance with its terms. This Fourth Amendment is not
intended to be, nor shall it be construed to create, a novation or accord and satisfaction of the
Borrowers’ indebtedness and obligations under the Credit Agreement, and the Credit Agreement as
herein modified shall continue in full force and effect. The Borrowers further confirm that they
have no defense, set-off, recoupment or counterclaim against their obligations under the Credit
Agreement, and such obligations are absolute and unconditional.

     4.2 The Borrowers hereby ratify, confirm, reaffirm and restate the grant and conveyance of all
liens and security interests granted by the Borrowers to the Lender in the Collateral pursuant to
the Collateral Documents, and such liens and security interests continue to secure the Obligations,
including, without limitation, the Swing Line Loans. The Borrowers further agree and confirm that
the term “Obligations” includes within the meaning thereof, and encompasses, all of the
indebtedness and obligations of the Borrowers to the Lender under the Amended and Restated
Revolving Credit Note and the Credit Agreement as amended by this Fourth Amendment.

     4.3 The Borrowers represent and warrant to the Lender that:

     (i) this Fourth Amendment, the Amended and Restated Revolving Credit Note and
all other documents and instruments executed by the Borrowers and delivered to the
Lender in connection herewith (collectively, the “Fourth Amendment
Documents”) have been duly authorized, executed and delivered by the Borrowers
and constitute the

2

 

legal, valid and binding obligations of the Borrowers enforceable in accordance
with their terms;

     (ii) the representations and warranties set forth within Article V of the
Credit Agreement continue to be true and correct in all material respects as of the
Fourth Amendment Effective Date except to the extent that (A) such representations
and warranties expressly relate to an earlier date, or (B) such representations and
warranties have changed, and such changes are reflected on revised schedules to the
Credit Agreement attached to this Fourth Amendment;

     (iii) no Event of Default or Potential Default has occurred and is continuing
on the Fourth Amendment Effective Date;

     (iv) no Material Adverse Effect has occurred since December 31, 2007, and no
event or events have occurred and are continuing which, individually or in the
aggregate, could reasonably be expected to result in a Material Adverse Effect; and

     (v) each Borrower has the power and authority to execute, deliver and perform
the Fourth Amendment Documents to which it is a party; each Borrower has taken all
necessary action (including, without limitation, obtaining approval of its
stockholders, if necessary) to authorize its execution, delivery and performance of
the Fourth Amendment; no consent, approval or authorization of, or declaration or
filing with, any Authority, and no consent of any other Person, is required in
connection with any Borrower’s execution, delivery and performance of the Fourth
Amendment Documents to which it is a party, except for those already duly obtained;
the execution, delivery or performance of the Fourth Amendment Documents by the
Borrowers does not conflict with, or constitute a violation or breach of, or
constitute a default under, or result in the creation or imposition of any Lien upon
the property of any Borrower by reason of the terms of any contract, mortgage,
lease, agreement, indenture or instrument to which any Borrower is a party or which
is binding upon any Borrower, any Law applicable to any Borrower, or the
Organization Documents of any Borrower.

     4.4 The Borrowers agree to pay all costs and expenses incurred by the Lender in connection
with the preparation, negotiation and execution of this Fourth Amendment and any other Loan
Documents executed pursuant hereto.

SECTION 5. CONDITIONS PRECEDENT

     5.1 The amendments set forth in this Fourth Amendment shall be effective as of the Fourth
Amendment Effective Date provided that as of the Fourth Amendment Effective Date each of the
following conditions has been satisfied or effectively waived by the Lender:

     (i) The representations and warranties set forth in Section 4.3 of this Fourth
Amendment shall be true and correct as of the Fourth Amendment Effective Date.

     (ii) Contemporaneously with or prior to the execution hereof, the Borrowers
shall deliver, or cause to be delivered, to the Lender:

     (A) the Amended and Restated Revolving Credit Note, duly
executed by the Borrowers;

3

 

     (B) a Guarantor Acknowledgment and Confirmation, in form and
substance satisfactory to the Lender, duly executed by the
Guarantor;

     (C) as to SWS, a certificate of its secretary or assistant
secretary dated the Fourth Amendment Effective Date and certifying
as to (i) true copies of its Certificate of Incorporation and
Bylaws, and all amendments thereto, as in effect on the Fourth
Amendment Effective Date, (ii) true copies of all action taken by
its Board of Directors in authorizing the execution, delivery and
performance of the Fourth Amendment Documents and the consummation
of the transactions contemplated thereby, and (iii) the names and
true signatures of its officers authorized to execute and deliver
the Fourth Amendment Documents on behalf of SWS;

     (D) as to Superior, a certificate of its general partner dated
the Fourth Amendment Effective Date and certifying as to (i) true
copies of its Certificate of Limited Partnership and Limited
Partnership Agreement, and all amendments thereto, as in effect on
the Fourth Amendment Effective Date, (ii) true copies of all action
taken by its partners in authorizing the execution, delivery and
performance of the Fourth Amendment Documents and the consummation
of the transactions contemplated thereby, and (iii) the names and
true signatures of the Persons authorized to execute and deliver the
Fourth Amendment Documents on behalf of Superior;

     (E) as to the Guarantor, a certificate of its sole member dated
the Fourth Amendment Effective Date and certifying as to (i) true
copies of the Guarantor’s Certificate of Formation and Limited
Liability Company Agreement, and all amendments thereto, as in
effect on the Fourth Amendment Effective Date, (ii) true copies of
all action taken as by its sole member in authorizing the execution,
delivery and performance of the Fourth Amendment Documents to which
it is a party and the consummation of the transactions contemplated
thereby, and (iii) the names and true signatures of the Persons
authorized to execute and deliver the Fourth Amendment Documents to
which it is a party on behalf of the Guarantor;

     (F) a Certificate signed by a Responsible Officer of SWS on
behalf of each Borrower, dated as of the Fourth Amendment Effective
Date, stating that: (x) the representations and warranties contained
in Article V of the Credit Agreement are true and correct on and as
of such date except to the extent that such representations and
warranties expressly relate to an earlier date or such
representations and warranties have changed, and such changes are
reflected on revised schedules to the Credit Agreement attached to
this Fourth Amendment, as though made on and as of such date, (y) no
Potential Default or Event of Default has occurred and is continuing
on the Fourth Amendment Effective Date, and (z) no event or
circumstance has occurred since December 31, 2007 that has had or
could reasonably be expected to have a Material Adverse Effect;

4

 

        (G) such other documents, instruments and certificates
reasonably required by the Lender and its counsel in connection with
the transactions contemplated by this Fourth Amendment.

     (iii) The Lender shall have received evidence satisfactory to the Lender that
the liens and security interests in the Collateral in favor of the Lender have
priority over all other Liens except Permitted Liens.

     (iv) All legal details and proceedings in connection with the transactions
contemplated by this Fourth Amendment shall be satisfactory to counsel for the
Lender, and the Lender shall have received all such originals or copies of such
documents as the Lender may request.

SECTION 6. MISCELLANEOUS

     6.1 This Fourth Amendment shall be construed in accordance with, and governed by the internal
laws of the Commonwealth of Pennsylvania without giving effect to its conflict of laws principles.

     6.2 All notices, communications, agreements, certificates, documents or other instruments
executed and delivered after the execution and delivery of this Fourth Amendment may refer to the
Credit Agreement and the other Loan Documents without making specific reference to this Fourth
Amendment, but nevertheless all such references shall be deemed a reference to the Credit Agreement
and the other Loan Documents as respectively amended by this Fourth Amendment unless the context
requires otherwise. All references to the Credit Agreement and the other Loan Documents in any
document, instrument or agreement executed in connection with the Credit Agreement and the other
Loan Documents shall be deemed to refer to the Credit Agreement and the other Loan Documents as
respectively amended by this Fourth Amendment unless the context requires otherwise.

     6.3 This Fourth Amendment shall inure to the benefit of, and shall be binding upon, the
respective successors and assigns of the Borrowers and the Lender. The Borrowers may not assign
any of their rights or obligations hereunder without the prior written consent of the Lender.

     6.4 This Fourth Amendment may be executed in any number of counterparts and by the different
parties hereto on separate counterparts each of which, when so executed, shall be deemed an
original, but all such counterparts shall constitute but one and the same instrument. Delivery by
telecopier of an executed counterpart of a signature page to this Fourth Amendment or any notice,
communication, agreement, certificate, document or other instrument in connection with the Credit
Agreement and the other Loan Documents shall be effective as delivery of an executed original
counterpart thereof.

     6.5 Each Borrower releases, waives and forever discharges and relieves the Lender and its
Subsidiaries and Affiliates and the officers, directors, agents, attorneys and employees of each
(hereinafter “Releasees”) from any and all claims, causes of action, suits, debts, liens,
obligations, liabilities, demands, losses, defenses, offsets, costs or expenses (including
attorneys’ fees) of any kind, character or nature whatsoever, vested or contingent, at law, in
equity or otherwise (collectively, “Claims”), which such Borrower ever had, now has, or
which may result from the past or present state of things, against or related to Releasees. Each
Borrower agrees to assume the risk of releasing any and all unknown, unanticipated or misunderstood
Claims hereby.

5

 

     6.6 THE BORROWERS REAFFIRM AND RESTATE THE PROVISIONS OF SECTION 9.02 OF THE CREDIT AGREEMENT
WHEREBY THE BORROWERS GRANTED THE LENDER THE POWER TO CONFESS JUDGMENT AGAINST THE BORROWERS UPON
THE OCCURRENCE OF CERTAIN EVENTS, AND THE PROVISIONS OF SECTION 10.09 OF THE CREDIT AGREEMENT
WHEREBY THE BORROWERS WAIVED THE RIGHT TO A TRIAL BY JURY, SUCH PROVISIONS BEING INCORPORATED
HEREIN BY REFERENCE TO THE SAME EXTENT AS IF REPRODUCED HEREIN IN THEIR ENTIRETY EXCEPT REFERENCES
TO THE CREDIT AGREEMENT SHALL BE DEEMED REFERENCES TO THIS FOURTH AMENDMENT.

******SIGNATURES APPEAR ON THE FOLLOWING PAGE******

6

 

     IN WITNESS WHEREOF, the parties hereto, intending to be legally bound hereby, have caused
their duly authorized officers to execute and deliver this Fourth Amendment to Credit Agreement the
day and year first above written.

	 	 	 	 	 	 	 	 	 	 	 
	WITNESS/ATTEST:	 	 	 	SUPERIOR WELL SERVICES, INC.	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	/s/ Scott E. Whetsell	 	 	 	By:  	 	/s/ Thomas W. Stoelk	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	Title: Chief Financial Officer	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	SUPERIOR WELL SERVICES, LTD.	 	 
	WITNESS/ATTEST:	 	 	 	By:	 	Superior GP, L.L.C., Its 
sole general partner	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	/s/
Meghan A. Ratchford

	 	 	 	 	 	By:
	 	/s/ Thomas W. Stoelk	 	 
	 

	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 	 	Title:
	 	Vice President	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	CITIZENS BANK OF PENNSYLVANIA	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	By:	 	/s/ Joseph F. King	 	 
	 	 	 	 	 	 	 	 	 
	 	 	 	 	Title: Senior Vice President	 	 

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