Document:

Exhibit 10.1

 

 

BJ'S RESTAURANTS, INC.

EQUITY INCENTIVE PLAN

(formerly known as the 2005 Equity Incentive Plan)

 

(As amended by the Board on September 4, 2020)

 

PART I.

PURPOSE, ADMINISTRATION AND RESERVATION OF SHARES

 

SECTION 1.     
PURPOSE OF THE PLAN. The purposes of this Plan are (a) to promote the growth and success of the Company’s business,
and (b) to attract and retain the most talented Employees, Officers, Directors and Consultants available, (i) by aligning the long-term
interests of Employees, Officers, Directors and Consultants with those of the shareholders by providing an opportunity to acquire
an equity interest in the Company and (ii) by providing both rewards for exceptional performance and long term incentives for future
contributions to the success of the Company and its Subsidiaries.

 

The Plan permits the grant of Incentive Stock Options, Nonqualified Stock Options, Restricted
Stock, Restricted Stock Units, SARs, and Performance Compensation Awards (Shares and Units) at the discretion of the Committee
and as reflected in the terms of the Award Agreement. Each Award will be subject to conditions specified in the Plan, such as continued
employment or satisfaction of performance criteria.

 

The Committee may elect to establish sub-plans or procedures governing the grants to
Employees, Officers Directors and Consultants and this Plan will serve as the framework for any such sub-plans.

 

		SECTION	2.      DEFINITIONS. As used herein, the following definitions
shall apply:

 

(a)    “ACTIVE
STATUS” shall mean (i) for Employees, the absence of any interruption or termination of service as an Employee; provided,
that the Board or Committee, in its sole discretion, may determine that Active Status may continue if an Employee becomes a Consultant
immediately following termination of or interruption of service as an Employee, in which case Active Status shall thereafter be
determined in accordance with clause (iii) below, (ii) for Non-Employee Directors, the termination of his or her service as a member
of the Board (other than in cases of removal from the Board following a Board determination of Misconduct by such Director where
the Director is reelected by the shareholders at the immediately succeeding election of Directors), and (iii) for Consultants,
the absence of any interruption, expiration, or termination of such person’s consulting or advisory relationship with the
Company or any Subsidiary or the occurrence of any termination event as set forth in such person’s Award Agreement. Active
Status shall not be considered interrupted (A) for an Employee in the case of sick leave, maternity leave, infant care leave, medical
emergency leave, military leave, or any other leave of absence properly taken in accordance with the policies of the Company or
any applicable Subsidiary as may be in effect from time to time, and (B) for a Consultant, in the case of any temporary interruption
in such person’s availability to provide services to the Company or any Subsidiary which has been granted in writing by an
authorized Officer of the Company. Whenever a mandatory severance period applies under applicable law with respect to a termination
of service as an Employee, Active Status shall be considered terminated upon such Employee’s receipt of notice of termination
in whatever form prescribed by applicable law.

 

     

     

    

 

(b)    “AWARD”
shall mean any award or benefits granted under the Plan, including Options, Restricted Stock, Restricted Stock Units, SARs, Performance
Shares and Performance Units.

 

(c)    “AWARD
AGREEMENT” shall mean a written or electronic agreement between the Company and the Participant setting forth the terms of
the Award.

 

(d)    “BENEFICIAL
OWNERSHIP” shall have the meaning set forth in Rule 13d-3 promulgated under the Exchange Act.

 

(e)    “BOARD”
shall mean the Board of Directors of the Company.

 

(f)     “CHANGE
OF CONTROL” shall mean the first day that any one or more of the following conditions shall have been satisfied:

 

(i)                
the sale, liquidation or other disposition of all or substantially all of the Company’s assets in one or a series
of related transactions;

 

(ii)        an acquisition (other
than directly from the Company) of any outstanding voting securities by any person, after which such person (as the term is used
for purposes of Section 13(d) or 14(d) of the Exchange Act) has Beneficial Ownership of fifty percent (50%) or more of the then
outstanding voting securities of the Company, other than a Board-approved transaction;

 

(iii)        during any 36-consecutive
month period, the individuals who, at the beginning of such period, constitute the Board (“Incumbent Directors”) cease
for any reason other than death to constitute at least a majority of the members of the Board; provided however that except as
set forth in this Section 2(f)(iii), an individual who becomes a member of the Board subsequent to the beginning of the 36-month
period, shall be deemed to have satisfied such 36-month requirement and shall be deemed an Incumbent Director if such Director
was elected by or on the recommendation of or with the approval of at least two-thirds of the Directors who then qualified as Incumbent
Directors either actually (because they were Directors at the beginning of such period) or by operation of the provisions of this
section; if any such individual initially assumes office as a result of or in connection with either an actual or threatened solicitation
with respect to the election of Directors (as such terms are used in Rule 14a-12(c) of Regulation 14A promulgated under the Exchange
Act) or other actual or threatened solicitations of proxies or consents by or on behalf of a person other than the Board, then
such individual shall not be considered an Incumbent Director; or

 

(iv)        a merger, consolidation
or reorganization of the Company, as a result of which the shareholders of the Company immediately prior to such merger, consolidation
or reorganization own directly or indirectly immediately following such merger, consolidation or reorganization less than fifty
percent (50%) of the combined voting power of the outstanding voting securities of the entity resulting from such merger, consolidation
or reorganization.

 

     

     

    

 

(g)    “CODE”
shall mean the Internal Revenue Code of 1986, as amended.

 

(h)    “COMMITTEE”
shall mean the Compensation Committee appointed by the Board.

 

(i)     
“COMMON STOCK” shall mean the common stock of the Company, no par value per share.

 

(j)     
“COMPANY” shall mean BJ's Restaurants, Inc., a California corporation, and any successor thereto.

 

(k)    “CONSULTANT”
shall mean any person, except an Employee, engaged by the Company or any Subsidiary of the Company, to render personal services
to such entity, including as an advisor, pursuant to the terms of a written agreement.

 

(l)     
“DIRECTOR” shall mean a member of the Board.

 

(m)        “DISABILITY”
shall mean (i) in the case of a Participant whose employment with the Company or a Subsidiary is subject to the terms of an employment
or consulting agreement that includes a definition of “Disability” as used in this Plan shall have the meaning set
forth in such employment or consulting agreement during the period that such employment or consulting agreement remains in effect;
and (ii) in all other cases, the term “Disability” as used in this Plan shall have the same meaning as set forth under
the Company’s long-term disability plan applicable to the Participant as may be amended from time to time, and in the event
the Company does not maintain any such plan with respect to a Participant, a physical or mental condition resulting from bodily
injury, disease or mental disorder which renders the Participant incapable of continuing his or her usual and customary employment
with the Company or a Subsidiary, as the case may be, for a period of not less than 120 days or such other period as may be required
by applicable law.

 

(n)    “EMPLOYEE”
shall mean any person, including an Executive Officer or Officer, who is a common law employee of, receives remuneration for personal
services to, is reflected on the official human resources database as an employee of, and is on the payroll of the Company or any
Subsidiary of the Company. A person is on the payroll if he or she is paid from or at the direction of the payroll department of
the Company, or any Subsidiary of the Company. Persons providing services to the Company, or to any Subsidiary of the Company,
pursuant to an agreement with a staff leasing organization, temporary workers engaged through or employed by temporary or leasing
agencies, and workers who hold themselves out to the Company, or a Subsidiary to which they are providing services as being independent
contractors, or as being employed by or engaged through another company while providing the services, and persons covered by a
collective bargaining agreement (unless the collective bargaining agreement applicable to the person specifically provides for
participation in this Plan) are not Employees for purposes of this Plan and do not and cannot participate in this Plan, whether
or not such persons are, or may be reclassified by the courts, the Internal Revenue Service, the U.S. Department of Labor, or other
person or entity as, common law employees of the Company, or any Subsidiary, either solely or jointly with another person or entity.

 

     

     

    

 

(o)    “EXCHANGE
ACT” shall mean the Securities Exchange Act of 1934, as amended.

 

(p)    “EXECUTIVE
OFFICERS” shall mean the officers of the Company as such term is defined in Rule 16a-1 under the Exchange Act.

 

(q)    “FAIR
MARKET VALUE” shall mean the closing price per share of the Common Stock on Nasdaq as to the date specified (or the previous
trading day if the date specified is a day on which no trading occurred), or if Nasdaq shall cease to be the principal exchange
or quotation system upon which the shares of Common Stock are listed or quoted, then such exchange or quotation system as the Company
elects to list or quote its shares of Common Stock and that the Committee designates as the Company’s principal exchange
or quotation system, or at the discretion of the Committee in the case that the Company ceases to be publicly traded.

 

(r)    “FORMER
PLAN” shall mean the BJ's Restaurants, Inc. Amended and Restated 1996 Stock Option Plan, as amended.

 

(s)     “GOVERNANCE
AND NOMINATION COMMITTEE” shall mean the Governance and Nomination Committee appointed by the Board.

 

(t)     
“INCENTIVE STOCK OPTION” shall mean any Option intended to qualify as an incentive stock option within the meaning
of Section 422 of the Code.

 

(u)    “INDEPENDENT
DIRECTOR” shall mean a Director who: (1) meets the independence requirements of Nasdaq, or if Nasdaq shall cease to be the
principal exchange or quotation system upon which the shares of Common Stock are listed or quoted, then such exchange or quotation
system as the Company elects to list or quote its shares of Common Stock and that the Committee designates as the Company’s
principal exchange or quotation system; (2) qualifies as an “outside director” under Section 162(m) of the Code; (3)
qualifies as a “non-employee director” under Rule 16b-3 promulgated under the Exchange Act; and (4) satisfies independence
criteria under any other applicable laws or regulations relating to the issuance of Shares to Employees.

 

(v)    “MAXIMUM
ANNUAL PARTICIPANT AWARD” shall have the meaning set forth in Section 6(b).

 

(w)        “MISCONDUCT”
shall mean any of the following; provided, however, that with respect to Non-Employee Directors “Misconduct” shall
mean subsection (viii) only:

 

(i)                
any material breach of an agreement between the Participant and the Company or any Subsidiary;

 

(ii)             
willful unauthorized use or disclosure of confidential information or trade secrets of the Company or any Subsidiary by
the Participant;

 

     

     

    

 

(iii)           
the Participant’s continued willful and intentional failure to satisfactorily perform Participant’s essential
responsibilities;

 

(iv)            
material failure of the Participant to comply with rules, policies or procedures of the Company or any Subsidiary as they
may be amended from time to time, including, without limitation, failure to comply with (1) the Company's Code of Ethics and Code
of Conduct, (2) policies and procedures of the Company relating to use and maintenance of facilities and equipment, or (3) policies
and procedures of the Company relating to the occurrence, reporting or investigation of any harassment or discrimination allegations
or complaints;

 

(v)              
Participant’s dishonesty, fraud or gross negligence related to the business or property of the Company or any Subsidiary;

 

(vi)            
personal conduct that is materially detrimental to the business of the Company or any Subsidiary;

 

(vii)         
conviction of or plea of nolo contendere to a felony;

 

(viii)       
in the case of Non-Employee Directors, (1) the removal from the Board for cause in accordance with the provisions of Section
302 of the California Corporations Code, (2) the removal from the Board as a result of a shareholder suit in accordance with the
provisions of Section 304 of the California Corporations Code, (3) the determination by at least a majority of the disinterested
members of the Board that such Non-Employee Director has materially breached his or her fiduciary duties or duties of loyalty to
the Company or has grossly abused such Non-Employee Director's authority with respect to the Company, (4) the determination by
at least a majority of the disinterested members of the Board that such Non-Employee Director has committed fraudulent or dishonest
acts which have or could reasonably be expected to have a material adverse effect on the Company, or (5) the determination by at
least a majority of the disinterested members of the Board that such Non-Employee Director has materially failed to comply with
rules, policies or procedures of the Company applicable to Non-Employee Directors, as they may be amended from time to time;

 

(ix)            
intentional or negligent acts or omissions that cause the Company or any Subsidiary to be subject to a fine, citation, shut
down, or other disciplinary action by any federal, state or local governmental agency, including, without limitation, any agency
regulating health, occupational safety, alcoholic beverage control or immigration;

 

(x)              
Participant's inducing any customer or supplier to break or terminate any contract with the Company or any Subsidiary;

 

(xi)            
Participant’s inducing any principal for whom the Company or any Subsidiary acts as an agent to terminate such agency
relationship;

 

(xii)         
causes a fire, explosion or other catastrophic event involving the facilities or equipment of the Company or any Subsidiary
that could have been reasonably avoided by following the established policies of the Company or any Subsidiary;

 

     

     

    

 

(xiii)       
Participant's solicitation of any of the Company's agents or employees to provide services to any other business or entity;
or

 

(xiv)        
with respect to any Participant whose employment with the Company or a Subsidiary is subject to the terms of an effective
employment or consulting agreement that includes a definition of “Cause,” conduct by Participant that constitutes "Cause."

 

(x)    “NASDAQ”
shall mean The Nasdaq Stock Market, Inc.

 

(y)   “NON-EMPLOYEE
DIRECTOR” shall mean a Director who is not an Employee.

 

(z)   “NONQUALIFIED
STOCK OPTION” shall mean an Option that does not qualify or is not intended to qualify as an Incentive Stock Option.

 

(aa)           
“OFFICER” shall mean any Executive Officer of the Company as well as any president, vice president, secretary
or treasurer duly appointed by the Board, or any other person designated as an officer by the Board or by the Bylaws of the Company.

 

(bb)          
“OPTION” shall mean a stock option granted pursuant to Section 10 of the Plan, including a Nonqualified Stock
Option and an Incentive Stock Option.

 

(cc)           
“OPTIONEE” shall mean a Participant who has been granted an Option.

 

(dd)          
“PARENT” shall mean a “parent corporation,” whether now or hereafter existing, as defined in Section
424(e) of the Code.

 

(ee)           
“PARTICIPANT” shall mean an Employee, Officer, Director or Consultant granted an Award.

 

(ff)  “PERFORMANCE
COMPENSATION AWARD” means any Awards designated by the Committee as a Performance Compensation Award pursuant to Section
13 of the Plan, including Performance Shares and Performance Units.

 

(gg)          
“PERFORMANCE CRITERIA” shall mean one or more of the following (as selected by the Committee) criterion or criteria
that the Committee shall select for purposes of establishing the Performance Goal(s) for a Performance Period with respect to any
Award under the Plan: (i) cash flow; (ii) earnings per share, including as adjusted (A) to exclude the impact of any (1) significant
acquisitions or dispositions of businesses by the Company, (2) one-time, non-operating charges, or (3) accounting changes (including
the early adoption of any accounting change mandated by any governing body, organization or authority); and (B) for any stock split,
stock dividend or other recapitalization; (iii) earnings before interest, taxes, and amortization; (iv) return on equity; (v) total
shareholder return; (vi) share price performance; (vii) return on capital; (viii) return on assets or net assets; (ix) revenue;
(x) income; (xi) operating income; (xii) operating profit; (xiii) profit margin; (xiv) return on operating revenue; (xv) return
on invested capital; (xvi) market price; (xvii) brand recognition/acceptance; (xviii) customer satisfaction; (xix) productivity;
or (xx) sales growth and volume. With respect to Performance Compensation Awards initially granted following December 31, 2017,
the Performance Criteria may consist of such other Company-wide, divisional, or individual goals, or any other basis determined
by the Committee in its discretion.

 

     

     

    

 

(hh)          
 “PERFORMANCE FORMULA” means, for a Performance Period, one or more objective formulas or standards established
by the Committee for purposes of determining whether or the extent to which a Performance Compensation Award has been earned based
on the level of performance attained or to be attained with respect to one or more Performance Goals. Performance Formulae may
vary from Performance Period to Performance Period and from Participant to Participant and may be established on a stand-alone
basis, in tandem or in the alternative.

 

(ii)  “PERFORMANCE
GOAL” means, for a Performance Period, the one or more goals established by the Committee for the Performance Period based
on the Performance Criteria. Performance Goals may be established based on Performance Criteria with respect to the Company or
any of its Subsidiaries, divisions or operational units, or any composition thereof.

 

(jj)  “PERFORMANCE
PERIOD” means one or more periods of time as the Committee may designate, over which the attainment of one or more Performance
Goals will be measured for the purpose of determining a Participant’s rights in respect of a Performance Compensation Award.

 

(kk)          
 “PERFORMANCE SHARE” means a Performance Compensation Award granted pursuant to Section 13 of the Plan that
is denominated in a specified number of Shares, which Shares or their future cash equivalent (or a combination of both) may be
paid to the Participant upon achievement of applicable Performance Goals during the relevant Performance Period as the Committee
shall establish.

 

(ll)  “PERFORMANCE
UNIT” means a Performance Compensation Award granted pursuant to Section 13 of the Plan that has a dollar value set by the
Committee (or that is determined by reference to a Performance Formula), which value may be paid to the Participant in cash, in
Shares, or such combination of cash and Shares as the Committee may determine in its sole discretion, upon achievement of applicable
Performance Goals during the relevant Performance Period as the Committee shall establish. (mm)“PLAN” shall mean this
BJ's Restaurants, Inc. Equity Incentive Plan (formerly known as the 2005 Equity Incentive Plan), including any amendments thereto.

 

(nn)          
“REPRICE” shall mean (i) the adjustment or amendment of the exercise price of Options or SARs previously awarded
whether through amendment, cancellation, replacement of grants or any other means, or (ii) the repurchase of outstanding Options
for cash at a time when the exercise price of the repurchased Options is above the Fair Market Value of the underlying Common Stock.

 

     

     

    

 

(oo)          
“RESIGNATION (OR RESIGN) FOR GOOD REASON” shall mean (i) in the case of a Participant whose employment with
the Company or a Subsidiary is subject to the terms of an employment or consulting agreement that includes a definition of “Resignation
for Good Reason” (or similar terms) as used in this Plan shall have the meaning set forth in such employment or consulting
agreement during the period that such employment or consulting agreement remains in effect, or (ii) in all other cases, any voluntary
termination by written resignation of the Active Status of any Officer or Employee of the Company after a Change of Control because
of: (1) a material reduction in the Officer's or Employee's authority, responsibilities or scope of employment; (2) an assignment
of duties to the Officer or Employee inconsistent with the Officer's or Employee's role at the Company (including its Subsidiaries)
prior to the Change of Control, (3) a reduction in the Officer's base salary; (4) solely with respect to an Officer, a material
adverse change in such Officer’s reporting relationship, (5) a material reduction in the Officer's or Employee's benefits
unless such reduction applies to all Officers or Employees of comparable rank; or (6) the relocation of the Officer's or Employee's
primary work location more than fifty (50) miles from the Officer's primary work location prior to the Change of Control; provided
that the Officer's or Employee's written notice of voluntary resignation must be tendered within one (1) year after the Change
of Control, and shall specify which of the events described in (1) through (6) resulted in the resignation.

 

(pp)          
“RESTRICTED STOCK” shall mean a grant of Shares pursuant to Section 11 of the Plan.

 

(qq)          
 “RESTRICTED STOCK UNITS” shall mean a grant of the right to receive Shares in the future or their cash
equivalent (or both) pursuant to Section 11 of the Plan.

 

(tt)           "RETIREMENT"
shall mean, with respect to any Non-Employee Director, ceasing to be a Director pursuant to election by the Company's shareholders
or by voluntary resignation with the approval of the Board's Chairman (or a majority of the disinterested members of the Board)
after having served continuously on the Board for at least six years.

 

(rr)           “SAR”
shall mean a stock appreciation right awarded pursuant to Section 12 of the Plan.

 

(ss)           “SEC” shall mean the Securities and Exchange
Commission.

 

(tt)             “SHARE”
shall mean one share of Common Stock, as adjusted in accordance with Section 5 of the Plan.

 

(uu)          
“STAND-ALONE SARS” shall have the meaning set forth in Section 12(b) of the Plan.

 

(vv)          
“SUBCOMMITTEE” shall have the meaning set forth in Section 3(d).

 

(ww)      
 “SUBSIDIARY” shall mean (1) in the case of an Incentive Stock Option a “subsidiary corporation,”
whether now or hereafter existing, as defined in Section 424(f) of the Code, and (2) in the case of a Nonqualified Stock Option,
Restricted Stock, a Restricted Stock Unit, SAR, Performance Shares, or Performance Units, in addition to a subsidiary corporation
as defined in (1), (A) a limited liability company, partnership or other entity in which the Company controls fifty percent (50%)
or more of the voting power or equity interests, or (B) an entity with respect to which the Company possesses the power, directly
or indirectly, to direct or cause the direction of the management and policies of that entity, whether through the Company’s
ownership of voting securities, by contract or otherwise.

 

     

     

    

 

		SECTION	3.      ADMINISTRATION OF THE PLAN.(a) AUTHORITY.
The Plan shall be administered by the Committee. The Committee shall have full and exclusive power to administer the Plan on behalf
of the Board, subject to such terms and conditions as the Committee may prescribe. Notwithstanding anything herein to the contrary,
the Committee’s power to administer the Plan, and actions the Committee takes under the Plan, shall be limited by the provisions
set forth in the Committee’s charter, as such charter may be amended from time to time, and the further limitation that certain
actions may be subject to review and approval by either the full Board or a panel consisting of all of the Independent Directors
of the Company.

 

(b)    POWERS
OF THE COMMITTEE. Subject to the other provisions of this Plan, the Committee shall have the authority, in its discretion:

 

(i)                
to grant Incentive Stock Options, Nonqualified Stock Options, Restricted Stock, Restricted Stock Units, SARs, Performance
Shares, Performance Units and any other Awards authorized under this Plan to Participants and to determine the terms and conditions
of such Awards, including the determination of the Fair Market Value of the Shares and the exercise price and unit price, and to
modify or amend each Award, with the consent of the Participant when required;

 

(ii)             
to determine the Participants, to whom Awards, if any, will be granted hereunder, the timing, vesting and exercisability
of such Awards, and the number of Shares to be represented by each Award;

 

(iii)           
to construe and interpret the Plan and the Awards granted hereunder;

 

(iv)            
to prescribe, amend, and rescind rules and regulations relating to the Plan, including the form of Award Agreement, and
manner of acceptance of an Award, such as correcting a defect or supplying any omission, or reconciling any inconsistency so that
the Plan or any Award Agreement complies with applicable law, regulations and listing requirements and to avoid unanticipated consequences
deemed by the Committee to be inconsistent with the purposes of the Plan or any Award Agreement;

 

(v)              
to establish performance criteria for Awards made pursuant to the Plan in accordance with a methodology established by the
Committee, and to determine whether performance goals have been attained;

 

(vi)            
to accelerate or defer (with the consent of the Participant) the exercise or vested date of any Award;

 

(vii)         
to authorize any person to execute on behalf of the Company any instrument required to effectuate the grant of an Award
previously granted by the Committee;

 

     

     

    

 

(viii)       
to establish sub-plans, procedures or guidelines for the grant of Awards to Employees, Executive Officers, Officers, Directors,
Non-Employee Directors and Consultants; and

 

(ix)            
to make all other determinations deemed necessary or advisable for the administration of the Plan;

 

Provided that, no consent of a Participant is necessary under clauses (i) or (vi) if
a modification, amendment, acceleration, or deferral, in the reasonable judgment of the Committee confers a benefit on the Participant
or is made pursuant to an adjustment in accordance with Section 5.

 

(c)    EFFECT
OF COMMITTEE’S DECISION. All decisions, determinations, and interpretations of the Committee shall be final and binding on
all Participants, the Company (including its Subsidiaries), any shareholder and all other persons.

 

(d)    DELEGATION.
Consistent with the Committee’s charter, as such charter may be amended from time to time, the Committee may delegate (i)
to one or more separate committees consisting of members of the Committee or other Directors who are Independent Directors (any
such committee a “Subcommittee”), or (ii) to an Executive Officer of the Company, the ability to grant Awards and take
the other actions described in Section 3(b) with respect to Participants who are not Executive Officers, and such actions shall
be treated for all purposes as if taken by the Committee; provided that the grant of Awards shall be made in accordance with parameters
established by the Committee. Any action by any such Subcommittee or Executive Officer within the scope of such delegation shall
be deemed for all purposes to have been taken by the Committee.

 

(e)    ADMINISTRATION.
The Committee may delegate the administration of the Plan to an Officer or Officers of the Company, and such administrator(s) may
have the authority to directly, or under their supervision, execute and distribute agreements or other documents evidencing or
relating to Awards granted by the Committee under this Plan, to maintain records relating to the grant, vesting, exercise, forfeiture
or expiration of Awards, to process or oversee the issuance of Shares upon the exercise, vesting and/or settlement of an Award,
to interpret the terms of Awards and to take such other actions as the Committee may specify. Any action by any such administrator
within the scope of its delegation shall be deemed for all purposes to have been taken by the Committee and references in this
Plan to the Committee shall include any such administrator, provided that the actions and interpretations of any such administrator
shall be subject to review and approval, disapproval or modification by the Committee.

 

(f)        INDEMNIFICATION. In
addition to such other rights of indemnification as they may have as Directors or members of the Committee, and to the extent allowed
by applicable law, any person(s) acting as administrator(s) and each of the administrator’s consultants shall be indemnified
by the Company against the reasonable expenses, including attorney’s fees, actually incurred in connection with any action,
suit or proceeding or in connection with any appeal therein, to which the administrator(s) or any of such administrator's consultants
may be party by reason of any action taken or failure to act under or in connection with the Plan or any Award granted under the
Plan, and against all amounts paid by the administrator(s) or any of such administrator's consultants in settlement thereof (provided
that the settlement has been approved by the Company, which approval shall not be unreasonably withheld) or paid by the administrator(s)
or any of such administrator's consultants in satisfaction of a judgment in any such action, suit or proceeding, except in relation
to matters as to which it shall be adjudged in such action, suit or proceeding that such administrator(s) or any of such administrator's
consultants did not act in good faith and in a manner which such person reasonably believed to be in the best interests of the
Company, and in the case of a criminal proceeding, had no reason to believe that the conduct complained of was unlawful; provided,
however, that within sixty (60) days after institution of any such action, suit or proceeding, such administrator(s) or any of
such administrator's consultants shall, in writing, offer the Company the opportunity at its own expense to handle and defend such
action, suit or proceeding.

 

     

     

    

 

		SECTION	4.      SHARES SUBJECT TO THE PLAN.

 

(a)    RESERVATION
OF SHARES. The shares of Common Stock reserved under this Plan will be Seven Million Five Hundred Thirty Three Thousand Four Hundred
Twenty Eight (7,533,428) Shares (adjusted, proportionately, in the event of any stock split or stock dividend with respect to the
Shares) consisting of (i) Seven Million Two Hundred Thousand (7,200,000) Shares plus (ii) Three Hundred Thirty Three Thousand Four
Hundred Twenty Eight (333,428) additional Shares representing the number of Shares as to which an option award previously granted
under the Former Plan was forfeited or terminated without exercise. All of reserved shares under the Plan may be granted as Incentive
Stock Options under the Plan. The aggregate number of Shares available for issuance under the Plan will be reduced by one Share
for each Share delivered in settlement of an Option and by one and one-half (1.5) Shares for each Share delivered in settlement
of any Award of Restricted Stock, Restricted Stock Units, SARs, or Performance Shares or Performance Units unless a greater reduction
is specified by the Committee with respect to a specific Award grant. If an Award expires, is forfeited or becomes unexercisable
for any reason without having been exercised in full, the undelivered Shares which were subject thereto shall, unless the Plan
shall have been terminated, become available for future Awards under the Plan. The Shares may be authorized but unissued, or reacquired
shares of Common Stock. The Company, during the term of this Plan, will at all times reserve and keep available such number of
Shares as shall be sufficient to satisfy the requirements of the Plan.

 

(b)    TIME OF
GRANTING AWARDS. The date of grant of an Award shall, for all purposes, be the date on which the Company completes the corporate
action relating to the grant of such Award and all conditions to the grant have been satisfied, provided that conditions to the
exercise of an Award shall not defer the date of grant. Notice of a grant shall be given to each Participant to whom an Award is
so granted within a reasonable time after the determination has been made.

 

(c)    SECURITIES
LAW COMPLIANCE. Shares shall not be issued pursuant to the exercise of an Award unless the exercise of such Award and the issuance
and delivery of such Shares pursuant thereto shall comply with all relevant provisions of law, including, without limitation, the
Securities Act of 1933, as amended, the Exchange Act, the rules and regulations promulgated under either such Act, and the requirements
of any stock exchange or quotation system upon which the Shares may then be listed or quoted, and shall be further subject to the
approval of counsel for the Company with respect to such compliance.

 

     

     

    

 

(d)    SUBSTITUTIONS
AND ASSUMPTIONS. The Board or the Committee shall have the right to substitute or assume Awards in connection with mergers, reorganizations,
separations, or other transactions to which Section 424(a) of the Code applies, provided such substitutions and assumptions are
permitted by Section 424 of the Code and the regulations promulgated thereunder. The number of Shares reserved pursuant to Section
4(a) may be increased by the corresponding number of Awards assumed and, in the case of a substitution, by the net increase in
the number of Shares subject to Awards before and after the substitution.

 

SECTION 5.     
ADJUSTMENTS TO SHARES SUBJECT TO THE PLAN. If any change is made to the Shares by reason of any stock split, stock
dividend, recapitalization, combination of shares, exchange of shares or other change affecting the outstanding Shares as a class
without the Company’s receipt of consideration, appropriate adjustments shall be made to (i) the maximum number and/or class
of securities issuable under the Plan, (ii) the number and/or class of securities and/or the price per Share covered by outstanding
Awards under the Plan and (iii) the Maximum Annual Participant Award. The Committee may also make adjustments described in (i)-(iii)
of the previous sentence in the event of any distribution of assets to shareholders other than a normal cash dividend, if any.
In determining adjustments to be made under this Section 5, the Committee may take into account such factors as it deems appropriate,
including the restrictions of applicable law and the potential tax consequences of an adjustment, and in light of such factors
may make adjustments that are not uniform or proportionate among outstanding Awards. Adjustments, if any, and any determinations
or interpretations, including any determination of whether a distribution is other than a normal cash dividend, made by the Committee
shall be final, binding and conclusive. For purposes of this Section 5, conversion of any convertible securities of the Company
shall not be deemed to have been “effected without receipt of consideration.”

 

Except as expressly provided herein, no issuance by the Company of shares of any class,
or securities convertible into shares of any class, shall affect, and no adjustment by reason thereof shall be made with respect
to, the number or price of Shares subject to an Award.

 

PART II.

TERMS APPLICABLE TO ALL AWARDS

 

		SECTION	6.      GENERAL ELIGIBILITY; AWARD LIMITATIONS.

 

(a)    AWARDS.
Awards may be granted to Participants who are Employees, Directors or Consultants; provided however that Incentive Stock Options
may only be granted to Employees.

 

     

     

    

 

(b)    MAXIMUM
ANNUAL PARTICIPANT AWARD. The aggregate number of Shares with respect to which an Award or Awards may be granted to any one Participant
in any one taxable year of the Company (the “Maximum Annual Participant Award”) shall not exceed 500,000 shares of
Common Stock (increased, proportionately, in the event of any stock split or stock dividend with respect to the Shares). In addition,
no Non-Employee Director shall be granted one or more Awards within any fiscal year of the Company, solely with respect to service
as a Director, that in the aggregate exceed five hundred thousand dollars ($500,000) in aggregate value of cash-based and other
Awards, with such value determined by the Committee as of the date of grant of the Awards. For purposes of clarification regarding
the foregoing limit, Awards granted in previous fiscal years will not count against the Award limits in subsequent fiscal years
even if the Awards from previous fiscal years are earned or otherwise settled in fiscal years following the fiscal year in which
they are granted.

 

(c)    NO EMPLOYMENT/SERVICE
RIGHTS. Nothing in the Plan shall confer upon any Participant the right to an Award or to continue in service as an Employee or
Consultant for any period of specific duration, or interfere with or otherwise restrict in any way the rights of the Company (or
any Subsidiary employing or retaining such person), or of any Participant, which rights are hereby expressly reserved by each,
to terminate such person’s services at any time for any reason, with or without cause. ).

 

(d)    AWARDS
TO NON-EMPLOYEE DIRECTORS. Subject to the limitations set forth in this Plan, Non-Employee Directors shall receive periodic Awards
under the Plan with the exact amount and nature of such Awards being approved from time to time by the Committee and/or the Board.

 

(e)        CLAWBACK/RECOVERY.
All Awards granted under the Plan will be subject to recoupment in accordance with any clawback policy that the Company is required
to adopt pursuant to the listing standards of any national securities exchange or association on which the Company’s securities
are listed or as is otherwise required by the Dodd-Frank Wall Street Reform and Consumer Protection Act or other applicable law.
In addition, the Committee may impose such other clawback, recovery or recoupment provisions in an Award Agreement as the Committee
determines necessary or appropriate, including but not limited to a reacquisition right in respect of previously acquired shares
of Common Stock or other cash or property upon the occurrence of cause as determined by the Committee.

 

(f)        COMPLIANCE WITH SECTION
409A. It is the intention of this Plan that any Awards granted hereunder shall satisfy the additional conditions applicable to
nonqualified deferred compensation under Section 409A of the Code. No Award shall provide for deferral of compensation that
does not comply with Section 409A of the Code, unless the Board or Committee, at the time of grant, specifically provides
that the Award is not intended to comply with Section 409A of the Code. In the event that an Award is determined to constitute
"nonqualified deferred compensation" that would be subject to the additional tax under Section 409A(a)(1)(B) of the Code
(or any successor provisions), the Committee shall have the authority to impose such additional conditions as it deems necessary
to avoid the imposition of the additional tax. Notwithstanding anything to the contrary set forth in this Plan, the Company shall
have no liability to any Participant or any other person (i) if an Award does not satisfy the additional conditions applicable
to nonqualified deferred compensation under Section 409A of the Code or (ii) for any other unexpected tax consequence
affecting any Participant or other person due to the receipt or settlement of any Award granted hereunder.

 

     

     

    

 

		SECTION	7.      PROCEDURE FOR EXERCISE OF AWARDS; RIGHTS AS A SHAREHOLDER.

 

(a)    PROCEDURE.
An Award shall be exercised when written, electronic or verbal notice of exercise has been given to the Company, or the brokerage
firm or firms approved by the Company to facilitate exercises and sales under this Plan, in accordance with the terms of the Award
by the person entitled to exercise the Award and full payment for the Shares with respect to which the Award is exercised has been
received by the Company or the brokerage firm or firms, as applicable. The notification to the brokerage firm shall be made in
accordance with procedures of such brokerage firm approved by the Company. Full payment may, as authorized by the Committee, consist
of any consideration and method of payment allowable under Section 7(b) of the Plan. The Company shall issue (or cause to be issued)
such share certificate promptly upon exercise of the Award. In the event that the exercise of an Award is treated in part as the
exercise of an Incentive Stock Option and in part as the exercise of a Nonqualified Stock Option pursuant to Section 10(a), the
Company shall issue a share certificate evidencing the Shares treated as acquired upon the exercise of an Incentive Stock Option
and a separate share certificate evidencing the Shares treated as acquired upon the exercise of a Nonqualified Stock Option, and
shall identify each such certificate accordingly in its share transfer records. No adjustment will be made for a dividend or other
right for which the record date is prior to the date the share certificate is issued, except as provided in Section 5 of the Plan.

 

(b)    METHOD
OF PAYMENT. The consideration to be paid for any Shares to be issued upon exercise or other required settlement of an Award, including
the method of payment, shall be determined by the Committee at the time of settlement and which forms may include: (i) with respect
to an Option and subject to any restrictions or limitations imposed under applicable law, a request that the Company or the designated
brokerage firm conduct a cashless exercise of the Option; (ii) cash; and (iii) tender of shares of Common Stock owned by the Participant
in accordance with rules established by the Committee from time to time. Shares used to pay the exercise price shall be valued
at their Fair Market Value on the exercise date. Payment of the aggregate exercise price by means of tendering previously-owned
shares of Common Stock shall not be permitted when the same may, in the reasonable opinion of the Company, cause the Company to
record a loss or expense as a result thereof.

 

(c)    WITHHOLDING
OBLIGATIONS. To the extent required by applicable federal, state, local or foreign law, the Committee may and/or a Participant
shall make arrangements satisfactory to the Company for the satisfaction of any withholding tax obligations that arise with respect
to any Incentive Stock Option, Nonqualified Stock Option, SAR, Restricted Stock or Restricted Stock Units, Performance Shares,
Performance Units or any sale of Shares. The Company shall not be required to issue Shares or to recognize the disposition of such
Shares until such obligations are satisfied. These obligations may be satisfied by having the Company withhold a portion of the
Shares that otherwise would be issued to a Participant under such Award or by tendering Shares previously acquired by the Participant
in accordance with rules established by the Committee from time to time.

 

     

     

    

 

(d)    SHAREHOLDER
RIGHTS. Except as otherwise provided in this Plan, until the issuance (as evidenced by the appropriate entry on the books of the
Company or of a duly authorized transfer agent of the Company) of the share certificate evidencing such Shares, no right to vote
or receive dividends or any other rights as a shareholder shall exist with respect to the Shares subject to the Award, notwithstanding
the exercise of the Award.

 

(e)    NON-TRANSFERABILITY
OF AWARDS. An Award may not be sold, pledged, assigned, hypothecated, transferred, or disposed of in exchange for consideration,
except that an Award may be transferred by will or by the laws of descent or distribution and may be exercised, during the lifetime
of the Participant, only by the Participant; unless the Committee permits further transferability, on a general or specific basis,
in which case the Committee may impose conditions and limitations on any permitted transferability.

 

		SECTION	8.      EXPIRATION OF AWARDS.

 

(a)    EXPIRATION,
TERMINATION OR FORFEITURE OF AWARDS. Unless otherwise provided in the applicable Award Agreement or any severance agreement, vested
Awards granted under this Plan shall expire, terminate, or otherwise be forfeited as follows:

 

(i)                
three (3) months after the effective date of termination of Active Status for a Participant other than a Non-Employee Director,
other than in circumstances covered by (ii), (iii), or (iv) below; or six (6) months after the date a Non-Employee Director ceases
to be a Director or Consultant other than in circumstances covered by (ii) and (iv) below:

 

(ii)             
immediately upon termination of a Participant’s Active Status for Misconduct;

 

(iii)           
twelve (12) months after the date on which a Participant other than a Non-Employee Director ceased performing services as
a result of his or her total and permanent Disability; and

 

(iv)            
twelve (12) months after the date of the death of a Participant whose Active Status terminated as a result of his or her
death.

 

(b)    EXTENSION
OF TERM. Notwithstanding subsection (a) above, the Committee shall have the authority to extend the expiration date of any outstanding
Option, other than an Incentive Stock Option, or SAR in circumstances in which it deems such action to be appropriate (provided
that no such extension shall extend the term of an Option or SAR beyond the date on which the Option or SAR would have expired
if no termination of the Employee’s Active Status had occurred).

 

SECTION 9.  EFFECT OF
CHANGE OF CONTROL. Notwithstanding any other provision in the Plan to the contrary, the following provisions shall apply unless
otherwise provided in the most recently executed agreement between the Participant and the Company, or specifically prohibited
under applicable laws, or by the rules and regulations of any applicable governmental agencies or national securities exchanges
or quotation systems.

 

     

     

    

 

(a)    ACCELERATION.
Awards of a Participant shall be Accelerated (as defined in Section 9(b) below) as follows:

 

(i)                
With respect to Non-Employee Directors, upon the occurrence of a Change of Control described in Section 2(f);

 

(ii)             
With respect to any Employee, upon the occurrence of a Change of Control described in Section 2(f)(i);

 

(iii)           
With respect to any Employee who Resigns for Good Reason or whose Active Status is terminated for reasons other than Misconduct,
so long as such resignation or termination occurs within one year after a Change of Control described in Section 2(f)(ii), (iii)
or (iv); and

 

(iv)            
With respect to any Employee, upon the occurrence of a Change of Control described in Section 2(f)(iv) in connection with
which each Award is not assumed or an equivalent award substituted by such successor entity or a parent or subsidiary of such successor
entity.

 

(b)    DEFINITION.
For purposes of this Section 9, Awards of a Participant being “Accelerated” means, with respect to such Participant:

 

(i)                
any and all Options and SARs shall become fully vested and immediately exercisable, and shall remain exercisable for the
greater of (1) the time period specified in the original Award (but subject to termination upon termination of Active Status in
accordance with the terms of the original Award) or, (2) one year following the date of such acceleration;

 

(ii)             
any restriction periods and restrictions imposed on Restricted Stock or Restricted Stock Units that are not performance-based
shall lapse;

 

(iii)           
any restriction periods and restrictions imposed on Restricted Stock, Restricted Stock Units, and Performance Compensation
Awards that are performance-based shall lapse, unless such performance-based Awards remain outstanding after the Change of Control
(or are assumed by any successor entity) and the applicable Performance Criteria can be accurately tracked following the Change
of Control; and

 

(iv)            
the restrictions and deferral limitations and other conditions applicable to any other Awards shall lapse, and such other
Awards shall become free of all restrictions, limitations or conditions and become fully vested and transferable to the full extent
of the original grant.

 

     

     

    

 

PART III.

SPECIFIC TERMS APPLICABLE TO OPTIONS, STOCK AWARDS AND SARS

 

		SECTION	10.  GRANT, TERMS AND CONDITIONS OF OPTIONS.

 

(a)    DESIGNATION.
Each Option shall be designated in an Award Agreement as either an Incentive Stock Option or a Nonqualified Stock Option. However,
notwithstanding such designations, to the extent that the aggregate Fair Market Value of the Shares with respect to which Options
designated as Incentive Stock Options are exercisable for the first time by any Employee during any calendar year (under all plans
of the Company) exceeds $100,000, such excess Options shall be treated as Nonqualified Stock Options. Options shall be taken into
account in the order in which they were granted.

 

(b)    TERMS OF
OPTIONS. The term of each Option shall be no more than ten (10) years from the date of grant. However, in the case of an Incentive
Stock Option granted to a Participant who, at the time the Option is granted, owns Shares representing more than ten percent (10%)
of the voting power of all classes of shares of the Company or any Parent or Subsidiary, the term of the Option shall be no more
than five (5) years from the date of grant.

 

(c)    OPTION
EXERCISE PRICES.

 

(i)                
The per Share exercise price under an Incentive Stock Option shall be as follows:

 

(A)        If granted to an Employee
who, at the time of the grant of such Incentive Stock Option, owns shares representing more than ten percent (10%) of the voting
power of all classes of shares of the Company or any Parent or Subsidiary, the per Share exercise price shall be no less than 110%
of the Fair Market Value per Share on the date of grant.

 

(B)   If granted to
any other Employee, the per Share exercise price shall be no less than 100% of the Fair Market Value per Share on the date of grant.

 

(ii)             
The per Share exercise price under a Nonqualified Stock Option or SAR shall be no less than one hundred percent (100%) of
the Fair Market Value per Share on the date of grant.

 

(iii)           
In no event shall the Board or the Committee be permitted to Reprice an Option after the date of grant without shareholder
approval.

 

(d)    VESTING.
Unless otherwise provided in the applicable Award Agreement, to the extent Options vest and become exercisable in increments, such
Options shall cease vesting as of the date of the Optionee's Disability or termination of such Optionee's Active Status for reasons
other than Retirement or death of a Non-Employee Director, in which cases such Options shall immediately vest in full.

 

     

     

    

 

(e)    EXERCISE.
Any Option granted hereunder shall be exercisable at such times and under such conditions as determined by the Committee at the
time of grant, and as are permissible under the terms of the Plan. An Option may not be exercised for a fraction of a Share.

 

		SECTION	11.  GRANT, TERMS AND CONDITIONS OF STOCK AWARDS.

 

(a)    DESIGNATION.
Restricted Stock or Restricted Stock Units may be granted either alone, in addition to, or in tandem with other Awards granted
under the Plan. Restricted Stock or Restricted Stock Units may include a dividend equivalent right, as permitted by Section 5.
After the Committee determines that it will offer Restricted Stock or Restricted Stock Units, it will advise the Participant in
writing or electronically, by means of an Award Agreement, of the terms, conditions and restrictions, including vesting, if any,
related to the offer, including the number of Shares that the Participant shall be entitled to receive or purchase, the price to
be paid, if any, and, if applicable, the time within which the Participant must accept the offer. The offer shall be accepted by
execution of an Award Agreement or as otherwise directed by the Committee. Restricted Stock Units may be paid as permitted by Section
7(b). The term of each award of Restricted Stock or Restricted Stock Units shall be at the discretion of the Committee. 

 

(b)    PERFORMANCE
BASED STOCK AWARDS. The Committee may elect to grant Restricted Stock and/or Restricted Stock Units that are subject to the attainment
of Performance Goals relating to Performance Criteria selected by the Committee and specified at the time such Restricted Stock
and/or Restricted Stock Units are granted. 

 

(c)    VESTING.
Subject to the provisions of Section 9 of this Plan, unless the Board or Committee determines otherwise, the Award Agreement shall
provide for the forfeiture of the non-vested Shares underlying Restricted Stock or Restricted Stock Units upon the termination
of a Participant’s Active Status for reasons other than Retirement or death of a Non-Employee Director, in which case such
Awards shall immediately vest in full; provided, however, that in no case shall any Award Agreement provide for the vesting
of performance-based Restricted Stock or performance-based Restricted Stock Units prior to the expiration of one year following
the applicable grant date. The Committee shall be bound to administer Awards of Restricted Stock or Restricted Stock Units that
are not performance-based with a minimum vesting period of at least one year; provided, however, the Board or Committee may authorize
the grant of up to 62,500 shares, which represents five percent (5%) of the most recent increase in the number of shares under
the Plan approved by shareholders, with immediate vesting to employees in connection with one-time, non-recurring events (as determined
by the Committee).

 

		SECTION	12.  GRANT, TERMS AND CONDITIONS OF SARS.

 

(a)    GRANTS.
The Committee shall have the full power and authority, exercisable in its sole discretion, to grant SARs to selected Participants.
The terms of SARs shall be at the discretion of the Committee. In no event shall the Board or the Committee be permitted to Reprice
a SAR after the date of grant without shareholder approval.

 

     

     

    

 

(b)    STAND-ALONE
SARS.

 

(i)        
A Participant may be granted stand-alone stock appreciation rights ("Stand-Alone SARs") that are not tied to any
underlying Option under Section 10 of the Plan. The Stand-Alone SAR shall cover a specified number of Shares and shall be exercisable
upon such terms and conditions as the Committee shall establish. Upon exercise of the Stand-Alone SAR, the holder shall be entitled
to receive a distribution from the Company in an amount equal to the excess of (A) the aggregate Fair Market Value (on the exercise
date) of the Shares underlying the exercised right over (B) the aggregate base price in effect for those Shares.

 

(ii)        The number of Shares underlying each Stand-Alone SAR
and the base price in effect for those Shares shall be determined by the Committee at the time the Stand-Alone SAR is granted.
In no event, however, may the base price per Share be less than the Fair Market Value per underlying Share on the grant date.

 

(iii)        The distribution with
respect to an exercised Stand-Alone SAR may be made in Shares valued at Fair Market Value on the exercise date, in cash, or partly
in Shares and partly in cash, as the Committee shall deem appropriate.

 

(c)    EXERCISED
SARS. The Shares issued in settlement of any SARs exercised under this Section 12 shall not be available for subsequent issuance
under the Plan. In accordance with Section 4, Shares underlying any exercised SARs that were not issued in settlement of the SAR
shall become available for future issuance under the Plan.

 

		SECTION	13.  GRANT, TERMS AND CONDITIONS OF PERFORMANCE COMPENSATION AWARDS.

 

(a)    GRANTS.
The Committee shall have the full power and authority, exercisable in its sole discretion, to grant Performance Compensation Awards
in the form of Performance Units or Performance Shares to Employees (including Officers) and shall evidence such grant in an Award
Agreement that is delivered to the Participant setting forth the terms and conditions of the Award.

 

(b)    ELIGIBILITY.
The Committee shall, in its sole discretion, designate within the first 90 days of a Performance Period (or, if shorter, within
the maximum period allowed under Section 162(m) of the Code) which Participants will be eligible to receive Performance Compensation
Awards in respect of such Performance Period; provided, however, that such 90 day restriction shall not apply to Performance Compensation
Awards initially granted subsequent to December 31, 2017. However, designation of a Participant eligible to receive an Award hereunder
for a Performance Period shall not in any manner entitle the Participant to receive payment in respect of any Performance Compensation
Award for such Performance Period. The determination as to whether or not such Participant becomes entitled to payment in respect
of any Performance Compensation Award shall be decided solely in accordance with the provisions of this Section 13. Moreover, designation
of a Participant eligible to receive a Performance Compensation Award hereunder for a particular Performance Period shall not require
designation of such Participant eligible to receive a Performance Compensation Award hereunder in any subsequent Performance Period
and designation of one person as a Participant eligible to receive a Performance Compensation Award hereunder shall not require
designation of any other person as a Participant eligible to receive a Performance Compensation Award hereunder in such period
or in any other period.

 

     

     

    

 

(c)    DISCRETION
OF COMMITTEE WITH RESPECT TO PERFORMANCE COMPENSATION AWARDS. With regard to a particular Performance Period, the Committee shall
have full discretion to select the length of such Performance Period, the type(s) of Performance Compensation Awards to be issued,
the Performance Criteria that will be used to establish the Performance Goal(s), the kind(s) and/or level(s) of the Performance
Goals(s) that is (are) to apply, or any combination of the foregoing, and the Performance Formula. Within the first 90 days of
a Performance Period (or, if shorter, within the maximum period allowed under Section 162(m) of the Code), the Committee shall,
with regard to the Performance Compensation Awards to be issued for such Performance Period, exercise its discretion with respect
to each of the matters enumerated in the immediately preceding sentence and record the same in writing; provided, however, that
such 90 day restriction shall not apply to Performance Compensation Awards initially granted subsequent to December 31, 2017..

 

(d)    MODIFICATION
OF PERFORMANCE GOALS. The Committee is authorized at any time during the first ninety (90) days of a Performance Period (or, if
shorter, within the maximum period allowed under Section 162(m) of the Code), or any time thereafter (but only to the extent the
exercise of such authority after such 90-day period (or such shorter period, if applicable) would not cause the Performance Compensation
Awards granted to any participant for the Performance Period to fail to qualify as "qualified performance-based compensation"
under Section 162(m) of the Code), in its sole discretion, to adjust or modify the calculation of a Performance Goal for such Performance
Period to the extent permitted under Section 162(m) of the Code (i) in the event of, or in anticipation of, any unusual or extraordinary
corporate item, transaction, event or development affecting the Company (to the extent applicable to such Performance Goal) or
(ii) in recognition of, or in anticipation of, any other unusual or nonrecurring events affecting the Company (to the extent applicable
to such Performance Goal), or the financial statements of the Company (to the extent applicable to such Performance Goal), or of
changes in applicable rules, rulings, regulations or other requirements of any governmental body or securities exchange, accounting
principles, law or business conditions. Notwithstanding anything to the contrary contained in this Section 13(d), the foregoing
ninety (90) day restriction shall not apply to Performance Compensation Awards initially granted subsequent to December 31, 2017.

 

(e)    PAYMENT
OF PERFORMANCE COMPENSATION AWARDS.

 

(i)        A Participant must be
employed by the Company on the last day of a Performance Period to be eligible for payment in respect of a Performance Compensation
Award for such Performance Period. Notwithstanding the foregoing, in the discretion of the Committee, Performance Compensation
Awards may be paid to a Participant whose Active Status as an employee has terminated after the beginning of the Performance Period
for which a Performance Compensation Award is made, or to the designee or estate of a Participant who died prior to the last day
of a Performance Period.

 

     

     

    

 

(ii)        A Participant shall
be eligible to receive payments in respect of a Performance Compensation Award only to the extent that (1) the Performance Goal(s)
for such period are achieved and certified by the Committee in accordance with Section 13(e)(iii) and (2) the Performance Formula
as applied against such Performance Goal(s) determines that all or some portion of such Participant's Performance Compensation
Award has been earned for the Performance Period.

 

(iii)        Following the completion
of a Performance Period, the Committee shall meet to review and certify in writing whether, and to what extent, the Performance
Goals for the Performance Period have been achieved and, if so, to calculate and certify in writing that amount of the Performance
Compensation Awards earned for the period based upon the Performance Formula. The Committee shall then determine the actual size
of each Participant's Performance Compensation Award for the Performance Period.

 

(iv)        [Intentionally omitted]

 

(v)        The Performance Compensation
Awards granted for a Performance Period shall be paid to Participants as soon as administratively possible following completion
of the certifications required by Section 13(e)(iii), unless the Committee shall determine that any Performance Compensation Award
shall be deferred.

 

(vi)        In no event shall any
discretionary authority granted to the Committee by the Plan be used to (1) grant or provide payment in respect of Performance
Compensation Awards for a Performance Period if the Performance Goals for such Performance Period have not been attained, or (2)
increase a Performance Compensation Award for any Participant at any time after the first 90 days of the Performance Period (or,
if shorter, the maximum period allowed under Section 162(m)); provided, however, that such 90 day restriction shall not apply to
Performance Compensation Awards initially granted subsequent to December 31, 2017.

 

(vii)       With respect to Performance
Compensation Awards initially granted subsequent to December 31, 2017, the Committee may, in its discretion, either at the time
it grants a Performance Compensation Award or at any time thereafter, provide for the positive or negative adjustment of the Performance
Goals applicable to a Performance Compensation Award granted to any Participant to reflect such Participant’s individual
performance in his or her position with the Company or such other factors as the Committee may determine. If permitted under a
Participant’s Award Agreement, the Committee shall have the discretion, on the basis of such criteria as may be established
by the Committee, to reduce some or all of the value of the Performance Compensation Award that would otherwise be paid to the
Participant upon its settlement notwithstanding the attainment of any Performance Goal and the resulting value of the Performance
Compensation Award determined in accordance with the Performance Formula.

 

     

     

    

 

PART IV.

TERM OF PLAN AND SHAREHOLDER APPROVAL

 

SECTION 14.  TERM OF PLAN.
The Plan shall continue in effect until (i) midnight on June 30, 2028, or (ii) until terminated under Section 15 of the Plan or
extended by an amendment approved by the shareholders of the Company pursuant to Section 15(a).

 

		SECTION	15.  AMENDMENT AND TERMINATION OF THE PLAN.

 

(a)    AMENDMENT
AND TERMINATION. The Board or the Committee may amend or terminate the Plan from time to time in such respects as the Board may
deem advisable (including, but not limited to amendments which the Board deems appropriate to enhance the Company’s ability
to claim deductions related to stock option exercises); provided that to the extent required by the Code or the rules of Nasdaq
or the SEC, shareholder approval shall be required for any amendment of the Plan. Subject to the foregoing, it is specifically
intended that the Board or Committee may amend the Plan without shareholder approval to comply with legal, regulatory and listing
requirements and to avoid unanticipated consequences deemed by the Committee to be inconsistent with the purpose of the Plan or
any Award Agreement.

 

(b)    PARTICIPANTS
IN FOREIGN COUNTRIES. The Committee shall have the authority to adopt such modifications, procedures, and sub-plans as may be necessary
or desirable to comply with provisions of the laws of foreign countries in which the Company or its Subsidiaries may operate to
assure the viability of the benefits from Awards granted to Participants performing services in such countries and to meet the
objectives of the Plan.

 

(c)    EFFECT
OF AMENDMENT OR TERMINATION. Any amendment or termination of the Plan shall not affect Awards already granted and such Awards shall
remain in full force and effect as if this Plan had not been amended or terminated, unless mutually agreed otherwise between the
Participant and the Committee, which agreement must be in writing and signed by the Participant and the Company.

 

SECTION 16.  SHAREHOLDER
APPROVAL. The effectiveness of the Plan, or any amendment thereof requiring approval of the shareholders of the Company, is
subject to approval by the shareholders of the Company in accordance with applicable Nasdaq rules.Exhibit 10.1 

 

LOAN AND SECURITY MODIFICATION AGREEMENT

 

This Loan and Security Modification Agreement
(this “Amendment”) is entered into as of September 2, 2020, by and among (i) TABULA RASA HEALTHCARE GROUP, INC.,
a Delaware corporation (“OpCo”), TABULA RASA HEALTHCARE, INC., a Delaware corporation (“Parent”),
CK SOLUTIONS, LLC, a Delaware limited liability company (“CK Solutions”; Parent, OpCo and CK Solutions are each referred
to herein as a “Borrower”, and collectively, as the “Borrowers”), (ii) the several banks and other
financial institutions or entities party hereto (each a “Lender” and, collectively, the “Lenders”), and
(iii) WESTERN ALLIANCE BANK, an Arizona corporation (“Bank”), as a Lender and as administrative agent and collateral
agent for the Lenders (in such capacities, the “Administrative Agent”).

 

1.            DESCRIPTION
OF EXISTING INDEBTEDNESS: Among other indebtedness which may be owing by the Borrowers to Bank, the Borrowers are indebted
to Bank pursuant to, among other documents, an Amended and Restated Loan and Security Agreement, dated September 6, 2017 by
and among the Borrowers, the Lenders and the Administrative Agent, as may be amended from time to time (the “Loan and Security
Agreement”). Capitalized terms used without definition herein shall have the meanings assigned to them in the Loan and Security
Agreement.

 

The Loan and Security Agreement and any and all other documents
executed by the Borrowers in favor of the Lenders and/or the Administrative Agent shall be hereinafter referred to as the “Existing
Documents.”

 

2.            DESCRIPTION
OF CHANGE IN TERMS.

 

A.           Modification(s) to
Loan and Security Agreement:

 

1)            The
following defined term in Section 1.1 of the Loan and Security Agreement is hereby amended and restated in its entirety as
follows:

 

 “Revolving Maturity Date” means
December 6, 2020.

 

2)            The
following defined term is hereby added to Section 1.1 of the Loan and Security Agreement:

 

 “Eighth Modification”
means that certain Loan and Security Modification Agreement, dated as of September 2, 2020, by and among Parent, Tabula Rasa
Healthcare Group, Inc., CK Solutions, LLC, the several banks and other financial institutions or entities party thereto and
Bank.

 

3)            Section 2.5(a) of
the Loan and Security Agreement is hereby amended and restated in its entirety as follows:

 

 “(a)      Facility
Fees. On each of the Closing Date and on each anniversary of the Closing Date, a fee payable to each Lender with respect to
the Revolving Facility equal to 0.25% of the amount of such Lender’s Revolving Commitment under such Revolving Facility;
provided that on the third anniversary of the Closing Date such fee payable to the Lenders with respect to the Revolving Facility
shall be equal to $37,500 in the aggregate, payable pro rata to each Lender in accordance with such Lender’s respective Revolving
Commitment and pursuant to the Eighth Modification; and”

 

     

     

    

 

4)           Section 2.5(c) of
the Loan and Security Agreement is hereby amended and restated in its entirety as follows:

 

“(c)      Success
Fee. A fully earned, non-refundable success fee equal to $200,000.00 (the “Success Fee”), which Success Fee shall
be fully earned, due and payable upon the earliest to occur of the following: (i) the Revolving Maturity Date (as such term
may be amended from time to time), (ii) the acceleration of the Revolving Line, and (iii) the prepayment of the Revolving
Line and termination of Bank’s commitments under the Revolving Line pursuant to Section 2.6.”

 

3.            CONSISTENT
CHANGES. The Existing Documents are each hereby amended wherever necessary to reflect the changes described above.

 

4.            NO
DEFENSES OF THE BORROWERS/GENERAL RELEASE. Each Borrower agrees that, as of this date, it has no defenses against the obligations
to pay any amounts under the Existing Documents. Each Borrower (each, a “Releasing Party”) acknowledges that the Lenders
and the Administrative Agent would not enter into this Amendment without Releasing Party’s assurance that it has no claims
against the Lenders and the Administrative Agent or any of the Lenders’ and the Administrative Agent’s officers, directors,
employees or agents. Except for the obligations arising hereafter under this Amendment, each Releasing Party releases the Lenders
and the Administrative Agent, and each of the Lenders’ and the Administrative Agent’s officers, directors and employees
from any known or unknown claims that Releasing Party now has against any Lender and/or the Administrative Agent of any nature,
including any claims that Releasing Party, its successors, counsel, and advisors may in the future discover they would have now
had if they had known facts not now known to them, whether founded in contract, in tort or pursuant to any other theory of liability,
including but not limited to any claims arising out of or related to the Loan and Security Agreement or the transactions contemplated
thereby. Each Releasing Party waives the provisions of California Civil Code section 1542, which states:

 

A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS THAT THE
CREDITOR OR RELEASING PARTY DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE AND THAT
IF KNOWN BY HIM OR HER, WOULD HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR OR RELEASED PARTY.

 

The provisions, waivers and releases set forth in this section
are binding upon each Releasing Party and its shareholders, agents, employees, assigns and successors in interest. The provisions,
waivers and releases of this section shall inure to the benefit of the Lenders and the Administrative Agent and their respective
agents, employees, officers, directors, assigns and successors in interest. The provisions of this section shall survive payment
in full of the Obligations, full performance of all the terms of this Amendment and the Loan and Security Agreement, and/or any
Lender’s and/or the Administrative Agent’s actions to exercise any remedy available under the Loan and Security Agreement
or otherwise.

 

5.            CONTINUING
VALIDITY. Each Borrower understands and agrees that in modifying the Existing Documents, the Lenders and the Administrative
Agent are relying upon such Borrower’s representations, warranties, and agreements, as set forth in the Existing Documents.
Each Borrower represents and warrants that the representations and warranties contained in the Loan and Security Agreement are
true and correct as of the date of this Amendment, and that no Event of Default has occurred and is continuing. Except as expressly
modified pursuant to this Amendment, the terms of the Existing Documents remain unchanged and in full force and effect. The Lenders’
and the Administrative Agent’s agreement to modifications to the Existing Documents pursuant to this Amendment in no way
shall obligate any Lender and/or the Administrative Agent to make any future modifications to the Existing Documents. Nothing in
this Amendment shall constitute a satisfaction of the Obligations. It is the intention of the Lenders, the Administrative Agent
and the Borrowers to retain as liable parties all makers and endorsers of Existing Documents, unless the party is expressly released
by the Lenders and the Administrative Agent in writing. No maker, endorser, or guarantor will be released by virtue of this Amendment.
The terms of this paragraph apply not only to this Amendment, but also to any subsequent loan and security modification agreements.

 

     

     

    

 

6.            CONDITIONS
PRECEDENT. As a condition to the effectiveness of this Amendment, the Administrative Agent shall have received, in form and
substance satisfactory to the Administrative Agent, the following:

 

(a)            payment
of all the Administrative Agent Expenses incurred through the date of this Amendment, including payment of the $37,500 pro-rata
facility fee as set forth in Section 2.A(3) hereof, which shall be fully earned and nonrefundable; and

 

(b)            such
other documents, and completion of such other matters, as the Administrative Agent may reasonably deem necessary or appropriate.

 

7.            NOTICE
OF FINAL AGREEMENT. BY SIGNING THIS DOCUMENT EACH PARTY REPRESENTS AND AGREES THAT: (A) THIS WRITTEN AGREEMENT REPRESENTS
THE FINAL AGREEMENT BETWEEN THE PARTIES, (B) THERE ARE NO UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES, AND (C) THIS
WRITTEN AGREEMENT MAY NOT BE CONTRADICTED BY EVIDENCE OF ANY PRIOR, CONTEMPORANEOUS, OR SUBSEQUENT ORAL AGREEMENTS OR UNDERSTANDINGS
OF THE PARTIES.

 

8.            COUNTERSIGNATURE.
This Amendment shall become effective only when executed by the Lenders, the Administrative Agent and the Borrowers.

 

[Signature Page Follows]

 

     

     

    

 

IN WITNESS WHEREOF, the parties hereto have
caused this Amendment to be executed as of the date first above written.

 

	 	BORROWERS:
	 	 
	 	TABULA RASA HEALTHCARE, INC.
	 	 
	 	 
	 	By:  	/s/ Brian W. Adams
	 	Name:	Brian W. Adams
	 	Title:	Chief Financial Officer
	 	 
	 	TABULA RASA HEALTHCARE GROUP, INC.
	 	 
	 	 
	 	By:	/s/ Brian W. Adams
	 	Name:	Brian W. Adams
	 	Title:	Chief Financial Officer
	 	 
	 	CK SOLUTIONS, LLC
	 	 
	 	 
	 	By:	/s/ Brian W. Adams
	 	Name:	Brian W. Adams
	 	Title:	Chief Financial Officer

 

     

     

    

 

IN WITNESS WHEREOF, the parties hereto have
caused this Amendment to be executed as of the date first above written.

 

	 	ADMINISTRATIVE AGENT:
	 	 
	 	WESTERN ALLIANCE BANK, an Arizona
    corporation
	 	 
	 	 
	 	By:	/s/
    Whitley Mayberry
	 	Name:	Whitley Mayberry
	 	Title:	Relationship Manager

 

     

     

    

 

IN WITNESS WHEREOF, the parties hereto have
caused this Amendment to be executed as of the date first above written.

 

	 	LENDERS:
	 	 
	 	WESTERN ALLIANCE BANK, an Arizona
    corporation
	 	 
	 	 
	 	By:	/s/ Whitley Mayberry
	 	Name:	Whitley Mayberry 
	 	Title:	Relationship Manager

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