Document:

exv10w4

 

Exhibit 10.4

INDEMNIFICATION AGREEMENT

     THIS INDEMNIFICATION AGREEMENT is to be effective as of                      ,                      (this
“Agreement”) by and between USA Mobility, Inc., a Delaware corporation,
(the “Company”) and                                          ,                                          of the
Company (together with such person’s legal representatives or other successors,
“Indemnitee”).

     WHEREAS, in order to induce Indemnitee to serve, or continue to serve, as                                of
to accept, or continue to accept, the duties,
responsibilities and burdens associated with such service, the Company desires,
and the board of directors of the Company have resolved to provide the
Indemnitee with the indemnification arrangements set forth herein; and

     WHEREAS, Indemnitee is willing to serve or continue to serve as                      of the Company on the terms set forth herein;

     NOW, THEREFORE, in consideration of the foregoing premises and the mutual
covenants and agreements contained herein, and for good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged,
the parties hereto agree as follows:

     1. DEFINITIONS; INTERPRETIVE PRINCIPLES.

               (a) Definitions

               For purposes of this Agreement:

                    “Affiliate” of any particular Person means any other Person controlling,
controlled by or under common control with such particular Person, where
“control” means the possession, directly or indirectly, of the power to direct
the management and policies of a Person whether through the ownership of voting
securities, contract or otherwise.

                    “Company Entity” shall mean any Company or any Subsidiary of the Company.

                    “Corporate Status” describes the status of a Person who is or was a
director, officer, employee or agent or fiduciary of any Company Entity or of
any other corporation, partnership, joint venture, trust, employee benefit plan
or other enterprise which such Person is or was serving at the express request
of any Company Entity.

                    “Disinterested Director” means a member of the board of directors of the
Company who is not and was not a party to the Proceeding in respect of which
indemnification is sought by Indemnitee.

                    “Expenses” shall include all reasonable attorneys’ fees, retainers, court
costs, transcript costs, fees of experts, witness fees, travel expenses,
duplicating costs, printing and binding costs, telephone charges, postage,
delivery service fees, and all other disbursements or expenses of the types
customarily incurred in connection with prosecuting, defending, preparing to
prosecute or defend, investigating, participating or being or preparing to be a
witness in any Proceeding or other proceeding of the type described in the
definition of “Proceeding” set forth below.

                    “Including” means including but not limited to.

 

 

        
            “Independent Counsel” means a law firm, or a member of a law firm, that is
experienced in matters of corporation law and neither presently is, nor in the
past 5 years has been, retained to represent: (i) any Company Entity or
Indemnitee in any matter (other than with respect to matters concerning
Indemnitee under this Agreement); or (ii) any other party to the Proceeding
giving rise to a claim for indemnification hereunder. Notwithstanding the
foregoing, the term “Independent Counsel” shall not include any Person who,
under the applicable standards of professional conduct then prevailing, would
have a conflict of interest in representing any Company Entity or Indemnitee in
an action to determine Indemnitee’s rights under this Agreement.

            
        “Losses” means judgments, penalties, liabilities, losses, claims, damages,
fines and amounts, including amounts paid in settlement.

          
          “Person” shall mean any person or entity of any nature whatsoever,
specifically including an individual, a firm, a company, a corporation, a
limited liability company, a partnership, a trust or other entity. A Person,
together with that Person’s Affiliates and any group of Persons acting as a
partnership, limited partnership, joint venture, association, syndicate or
other group (whether or not formally organized), or otherwise acting jointly or
in concert or in a coordinated or consciously parallel manner (whether or not
pursuant to any express agreement), for the purpose of acquiring, holding,
voting, or disposing of securities of any Company Entity with such Person,
shall be deemed a single “Person.”

          
          “Proceeding” includes any actual, threatened, pending or completed action,
suit, litigation, claim, arbitration, mediation, alternate dispute resolution
mechanism, investigation, inquiry, administrative hearing or any other actual,
threatened, pending or completed proceeding arising on or after the date
hereof, whether brought by or in the right of any Company Entity or otherwise
and whether civil, criminal, administrative or investigative, in which
Indemnitee was, is or will be involved as a party or otherwise, by reason of
the fact that he is or was a director, officer, employee, trustee, agent,
attorney-in-fact or fiduciary of any Company Entity at any time on or after the
date hereof, or is or was serving at the request of any Company Entity as a
director, officer, employee, trustee, agent, attorney-in-fact or fiduciary of
another corporation, partnership, joint venture, trust or other enterprise, or
by reason of any action taken by him or of any inaction on his part, on or
after the date hereof, while acting as director, officer, employee, trustee,
agent, attorney-in-fact or fiduciary of any Company Entity, or while serving at
the request of any Company Entity as a director, officer, employee, trustee,
agent, attorney-in-fact or fiduciary of another corporation, partnership, joint
venture, trust or other enterprise, in each case whether or not he is acting or
serving in any such capacity at the time any expense, judgment, penalty,
liability, loss, claim, damage, fine or other amount for which indemnification
can be provided under this Agreement is incurred or imposed.

            
        “Subsidiary” shall mean with respect to any Person, any corporation or
other entity of which a majority of the voting power of the voting equity
securities or equity interest is owned, directly or indirectly by that Person.

         
      (b) Interpretive Principles

     
          For purposes of this Agreement, (i) the terms defined in this Section
include the plural as well as the singular, (ii) the use of any gender herein
shall be deemed to include the other genders; and (iii) references herein to
Sections without reference to a document are to designated Sections in this
Agreement.

     2. SERVICE TO THE COMPANY: SCOPE OF INDEMNIFICATION.

     Indemnitee hereby agrees to serve or continue to serve as a director,
officer, employee, trustee, agent, attorney-in-fact or fiduciary on and subject
to the terms set forth herein and Indemnitee, in his sole

 

 

discretion, may resign from his position(s) at any time and for any
reason. The obligations of the Company to indemnify Indemnitee in the manner
set forth in this Agreement shall continue in full force and effect, consistent
with the terms of Section 10, notwithstanding any termination or resignation
that may occur.

     3. INDEMNITY.

               (a) If an Indemnitee is, or is threatened to be made, a party to or
participant in any Proceeding whether such Proceeding is by or in the right of
any Company Entity, any third party or any other Person, the Company hereby
agrees to hold harmless and indemnify from and against any and all Expenses and
Losses incurred by Indemnitee or incurred on his behalf to the fullest extent
authorized or permitted by applicable law, by the Certificate of Incorporation
of the Company and by the By-Laws of the Company as the foregoing may be
amended from time to time, and including any and all Expenses and Losses
arising out of or relating to the actual or alleged acts, omissions, negligence
or active or passive wrongdoing of Indemnitee. The only limitation that shall
exist upon the indemnification obligations of the Company pursuant to this
Agreement is that the Company shall not be obligated to make any
indemnity-related payment to Indemnitee that is finally determined (pursuant to
the procedures and subject to the presumptions set forth in Sections 7 and 8)
to be unlawful under Delaware law.

               (b) Notwithstanding any other provision of this Agreement to the contrary,
to the extent that Indemnitee is a party to and is successful, on the merits or
otherwise, in any Proceeding, he shall be indemnified pursuant to subsection
(a) above to the maximum extent permitted by law. However, if (i) Indemnitee
is not wholly successful in a Proceeding but is successful, on the merits or
otherwise, as to one or more but less than all claims, issues or matters in
such Proceeding, and (ii) it is determined that it is unlawful for Indemnitee
to be indemnified with respect to such unsuccessful claims, issues or matters,
in such instance Company shall indemnify Indemnitee against all Expenses and
Losses incurred by Indemnitee, or incurred on his behalf in connection with
each successfully resolved claim, issue or matter. For purposes of this
Section and without limitation, the termination of any claim, issue or matter
in a Proceeding by dismissal, with or without prejudice, shall be deemed to be
successful on the merits or otherwise as to such claim, issue or matter.

               (c) Any other provision herein to the contrary notwithstanding, the
Company shall not be obligated pursuant to the terms of this Agreement;

                    (i) To indemnify Indemnitee for any acts or omissions or
transactions from which a director may not be relieved of liability under
the Delaware General Corporation Law; or

                    (ii) To indemnify or advance expenses to Indemnitee with respect to
a Proceeding (or part thereof) initiated or brought voluntarily by
Indemnitee and not by way of defense, except with respect to a Proceeding
(or part thereof) brought to enforce a right to indemnification under
this Agreement and except with respect to a Proceeding authorized or
consented to by the board of directors of the Company; provided that this
limitation shall not apply to counterclaims or affirmative defenses
asserted by Indemnitee in a Proceeding brought against Indemnitee;or

                    (iii) To indemnify Indemnitee for any expenses incurred by the
Indemnitee with respect to any Proceeding instituted by Indemnitee to
enforce or interpret this Agreement, if a court of competent jurisdiction
determines in a non-appealable final judgment that

 

 

each of the material assertions made by the Indemnitee in such
proceeding was not made in good faith or was frivolous; or

                    (iv) To indemnify Indemnitee for expenses and the payment of profits
arising from the purchase and sale by Indemnitee of securities that is
deemed, pursuant to a non-appealable final judicial decision from which
there is no further right to appeal, in violation of Section 16(b) of the
Securities Exchange Act of 1934, as amended, or any similar successor
statute.

     4. CONTRIBUTION IN THE EVENT OF JOINT LIABILITY.

                    (a) Irrespective of whether the indemnification
rights granted pursuant to Section 3
are available in any given instance, it is agreed by the parties that with
respect to any Proceeding in which any Company Entity is jointly liable with
Indemnitee (or would be liable if joined in such Proceeding), the Company shall
pay, in the first instance, the entire amount of any and all Expenses and
Losses relating to or incurred in connection with such Proceeding, without
requiring Indemnitee to contribute to such payment, and the Company hereby
waives sad relinquishes any right of contribution they may have against
Indemnitee. The Company shall not enter into any settlement of any Proceeding
in which any Company Entity is jointly liable with Indemnitee (or would be
liable if joined in such Proceeding) unless such settlement provides for a full
and final release of all claims asserted against Indemnitee.

                    (b) Without diminishing or impairing the obligations
of the Company set forth in
subsection (a) above, if, for any reason, Indemnitee should elect or be
required by any relevant judicial or administrative authority to pay all or any
portion of any Expenses and Losses relating to or incurred in connection with
any Proceeding in which any Company Entity is jointly liable with Indemnitee
(or would be liable if joined in such Proceeding), the Company shall contribute
to the amount of Expenses and Losses incurred and paid or payable by
Indemnitee. The contribution by the Company shall be in an amount proportional
to (i) on the one hand, the relative benefits received or enjoyed from the
transaction to which the Proceeding relates by any Company Entity and all
directors, officers, employees, trustees, agents, attorneys-in-fact or
fiduciaries of any Company Entity (other than Indemnitee) who are jointly
liable with Indemnitee (or would be liable if joined in such Proceeding), and
(ii) the relative benefits received or enjoyed from the transaction to which
the Proceeding relates by Indemnitee provided, however, that such proportional
calculation, to the extent necessary to conform to applicable law, may be
further adjusted: (i) by reference to the relative fault of any Company Entity
and all directors, officers, employees, trustees, agents, attorneys-in-fact or
fiduciaries of any Company Entity (other than Indemnitee) who are jointly
liable with Indemnitee (or would be if joined in such Proceeding) on the one
hand and Indemnitee on the other hand in connection with the events that
resulted in such Expenses and Losses; and/or (ii) by any other equitable
considerations which the law may require to be considered. The relative fault
of any Company Entity and all directors, officers, employees, trustees, agents,
attorneys-in-fact or fiduciaries of any Company Entity (other than Indemnitee)
who are jointly liable with him (or would be liable if joined in such
Proceeding) on the one hand, and Indemnitee, on the other hand, shall be
determined by taking into account, among other factors, the degree to which
their respective actions were motivated by intent to gain personal profit or
advantage the degree to which their liability is primary or secondary and the
degree to which their conduct is active or passive.

                    (c) The Company hereby agrees to fully indemnify and
hold Indemnitee harmless from and against any and all claims
of contribution which may be brought by any director, officer,
employee, trustee, agent, attorney-in-fact or fiduciary of any
Company Entity who may be jointly liable with Indemnitee in
connection with any given Proceeding.

     5. INDEMNIFICATION FOR EXPENSES INCURRED AS A WITNESS.

 

 

     Notwithstanding any other provision of this Agreement to the contrary, to
the extent that Indemnitee is, by reason of his Corporate Status, a witness in
any Proceeding to which Indemnitee is not a party, the Company shall indemnify
Indemnitee for and against all Expenses actually and reasonably incurred by
Indemnitee or incurred on his behalf in connection therewith.

     6. ADVANCEMENT OF EXPENSES.

     Notwithstanding any other provision of this Agreement to the contrary, the
Company shall advance or directly pay all Expenses incurred by or on behalf of
Indemnitee in connection with any Proceeding relevant hereto, within 10 days
after the receipt by the Company of any statement from Indemnitee requesting
such advances or payments from time to time, whether prior to or after final
disposition of such Proceeding. Such statement shall reasonably evidence the
Expenses incurred by or on behalf of, or charged to Indemnitee. In connection
herewith, as a condition to any advancement or direct payment of any Expenses
incurred by or on behalf of Indemnitee in connection with any Proceeding,
Indemnitee hereby agrees and undertakes to repay any Expenses advanced or paid
hereunder, and Indemnitee shall, at the request of the Company, execute one or
more agreements and undertakings in reasonable form, in favor of the Company or
any insurer or other Person reasonably selected by the Company, to repay any
Expenses advanced or paid if ultimately it is determined that Indemnitee is not
entitled to be indemnified or reimbursed for such Expenses in any given
instance, in accordance with applicable law and the Certificate of
Incorporation and By-laws of the Company, as the foregoing may be amended from
time to time. The foregoing undertaking to repay such Expenses by Indemnitee
shall be unsecured and interest-free. Notwithstanding the foregoing, the
obligation of the Company to advance Expenses pursuant to this Section 6 shall
be subject to the condition that if, when and to the extent that the Company
reasonably determine that Indemnitee would not be permitted to be indemnified
under applicable law (subject to the terms and conditions of Section 7) the
Company shall be entitled to reimbursement within 30 days of such determination
by Indemnitee for all such amounts theretofore paid; provided, however, that if
Indemnitee has commenced or thereafter commences legal proceedings in a court
of competent jurisdiction to secure a determination that he should be
indemnified under applicable law any determination made by the Company that
Indemnitee is not entitled to indemnification under applicable law in a given
instance shall not be binding, and Indemnitee shall not be required to
reimburse the Company for any advance or payment of Expenses until a final
judicial determination is made with respect thereto (as to which all rights of
appeal therefrom have been exhausted or have lapsed).

     7.
PROCEDURES AND PRESUMPTIONS FOR DETERMINATION OF ENTITLEMENT TO INDEMNIFICATION.

     It is the intent of this Agreement to secure for Indemnitee rights of
indemnity that are as favorable and as broad as permitted under the law and
public policy of Delaware. Accordingly, the parties hereby agree that the
following procedures and presumptions shall apply if any question or dispute as
to whether Indemnitee is entitled to indemnification under this Agreement.

               (a) To obtain indemnification under this Agreement,
Indemnitee shall submit to the
Company a written request, including therein or therewith such documentation
and information as is reasonably available to Indemnitee and as may be
reasonably necessary to enable the Company to determine whether and to what
extent Indemnitee is entitled to indemnification. The Secretary of the
Company, as applicable, shall, promptly upon receipt of such a request for
indemnification advise the board of directors of such request in writing.
Indemnitee’s failure to strictly comply with the procedural requirements set
forth in this Section, however, shall not relieve the Company of any obligation
it may have to indemnify hereunder and shall not alter or waive any
presumptions for determination of entitlement to indemnification contained
herein.

 

 

               (b) Upon each submission of a written request by
Indemnitee for indemnification
pursuant to subsection (a) above, a determination with respect to Indemnitee’s
entitlement thereto shall be made in accordance with one of the following
methods, the selection of which method shall be at Indemnitee’s discretion:
(i) by a majority vote of the Disinterested Directors even if such
Disinterested Directors constitute less than a quorum; (ii) by Independent
Counsel in a written opinion pursuant to the procedures and selection processes
set forth in subsection (c) below; or (iii) by a majority vote of the Company’s
stockholders, pursuant to the procedures set forth in subsection (g) below.

               (c) If Indemnitee elects for the determination of
entitlement to indemnification to be
made by Independent Counsel pursuant to subsection (b) above, the Independent
Counsel shall be selected as provided in this subsection (c). The Independent
Counsel shall be selected jointly by Indemnitee and by a majority vote of the
Disinterested Directors even if such Disinterested Directors constitute less
than a quorum. If within 20 days after Indemnitee’s submission of a written
request for indemnification pursuant to subsection (a) above, no Independent
Counsel shall have been selected by virtue of a failure of the Indemnity and
the majority of the Disinterested Directors to jointly select Independent
Counsel, the Company or Indemnitee may petition the Court of Chancery of
Delaware or any other court of competent jurisdiction for resolution of any
objection made by the Company on the one hand, and Indemnitee on the other
hand, to any Independent Counsel selected by the other and/or for the
appointment of an Independent Counsel selected by the court or by such other
Person as the court may designate. The Company shall pay any and all Expenses
of such Independent Counsel relating to its performance of services in
connection herewith, and the Company shall pay all Expenses incident to the
procedures contained in this subsection (c) irrespective of the manner in which
such Independent Counsel was selected or appointed.

               (d) In making a determination with respect to
Indemnitee’s entitlement to
indemnification hereunder, the Person(s) making such determination shall
presume that Indemnitee is entitled to indemnification under this Agreement if
he has submitted a request for indemnification in accordance with subsection
(a) above. Anyone seeking to overcome this presumption shall have the burden
of proof and the burden of persuasion, by clear and convincing evidence. In
addition, if the Person(s) making a determination pursuant to subsection (b)
above shall determine that Indemnitee is not entitled to indemnification
hereunder, such determination shall not create a presumption against
Indemnitee’s entitlement to indemnification in any later action, suit or
proceeding initiated by Indemnitee to enforce his rights under this Agreement.

               (e) Indemnitee shall be deemed to have acted in good
faith if his action is based on
the records or books of account of any Company Entity or any other Person,
including financial statements, or on information supplied to Indemnitee by the
officers of any Company Entity or such other Person, in the course of their
duties or on the advice of legal counsel for any Company Entity, or on
information or records given or reports made to any Company Entity by an
independent certified public accountant, by a financial advisor or by an
appraiser or other expert selected by any Company Entity. In addition, the
knowledge and/or actions, or failure to act, of any director, officer, agent or
employee of any Company Entity or any other Person, shall not be imputed to
Indemnitee for purposes of determining his right to indemnification under this
Agreement. Irrespective of whether the foregoing provisions of this subsection
(e) are satisfied, it shall be presumed in any event that each Indemnitee has
at all times acted in good faith and in a manner he reasonably believed to be
in or not opposed to the best interests of any Company Entity. Anyone seeking
to overcome this presumption shall have the burden of proof and the burden of
persuasion, by clear and convincing evidence.

               (f) The Company acknowledges that a settlement or
other disposition of a
Proceeding short of final judgment may be desirable if it permits a party to
avoid expense, delay, distraction, disruption and uncertainty. If any
Proceeding to which Indemnitee is a party is resolved in any manner other than
by adverse judgment against Indemnitee (including settlement of such Proceeding

 

 

with or without payment of money or other consideration) it shall be presumed
that Indemnitee has been successful on the merits or otherwise in such
Proceeding. Anyone seeking to overcome this presumption shall have the burden
of proof and the burden of persuasion by clear and convincing evidence.

               (g) If the Person(s) empowered or selected under subsection (b) above to
determine whether Indemnitee is entitled to indemnification shall not have made
a determination within 30 days after receipt by the Company of the request
therefore, the requisite determination of entitlement to
indemnification shall be deemed to have been made in favor of the
Indemnitee, and he shall be entitled to such indemnification, absent (i) an
intentional misstatement by Indemnitee of a material fact, or an intentional
omission of a material fact necessary to make Indemnitee’s statement not
materially misleading, in connection with the request for indemnification; or
(ii) a prohibition of such indemnification under applicable law; provided,
however, that such 30-day period may be extended for a reasonable time, not to
exceed an additional 15 days, if the Person(s) making such determination
reasonably and in good faith requires such additional time to complete the
obtaining or evaluation of documentation and/or information relating thereto;
and provided, further, that the foregoing provisions of this subsection (g)
shall not apply if the determination of entitlement to indemnification is to be
made by the stockholders pursuant to subsection (b) above, and if (A) within 15
days after receipt by the Company of the request for such determination, the
board of directors or the Disinterested Directors, if appropriate, resolve to
submit such determination to the stockholders for their consideration at an
annual meeting thereof to be held within 75 days after such receipt and such
determination is made thereat; or (B) a special meeting of stockholders is
called within 15 days after such receipt for the purpose of making such
determination, and such meeting is held for such purpose within 60 days after
having been so called, and such determination is made thereat.

               (h) Indemnitee shall reasonably cooperate with the Person(s) making the
determination regarding his entitlement to indemnification, including providing
to such Person(s) upon reasonable advance request any documentation or
information which is not privileged or otherwise protected from disclosure and
which is reasonably available to Indemnitee and reasonably necessary to such
determination. Any Independent Counsel, member of the board of directors, or
stockholder of the Company shall act reasonably and in good faith in making a
determination of Indemnitee’s entitlement to indemnification hereunder. Any
Expenses incurred by Indemnitee in so cooperating with the Person(s) making
such determination shall be borne by the Company (irrespective of the
determination as to Indemnitee’s entitlement to indemnification), and the
Company hereby agrees to indemnify and hold harmless Indemnitee therefrom.

     8. REMEDIES.

               (a) If: (i) a determination is made pursuant to Section 7 that Indemnitee
is not entitled to indemnification under this Agreement; (ii) advancement of
Expenses is not timely made pursuant to Section 6; (iii) contribution is not
made pursuant to Section 4; (iv) no determination of entitlement to
indemnification is made pursuant to Section 7 within 90 days after receipt by
the Company of the request for indemnification; (v) payment of indemnification
pursuant to this Agreement is not made within 10 days of the receipt by the
Company of a written request therefore; (vi) payment of indemnification is not
made within ten days after a determination has been made that Indemnitee is
entitled to indemnification or such determination is deemed to have been made
pursuant to Section 7; or (vii) the Company has not complied with any other
term of this Agreement intended for the benefit of Indemnitee, then in any such
event, Indemnitee shall be entitled to an adjudication of the foregoing in an
appropriate court of Delaware, or in any other court of competent jurisdiction.
The Company shall not oppose Indemnitee’s right to seek any such adjudication.

               (b) If a determination shall have been made pursuant to Section 7 that
Indemnitee is not entitled to indemnification, any judicial proceeding
commenced pursuant to this Section 8 shall be

 

 

conducted in all respects as a de novo trial, on the merits, and Indemnitee
shall not be prejudiced by reason of that adverse determination.

               (c) If a determination shall have been made pursuant to Section 7 that
Indemnitee is entitled to indemnification, the Company shall be bound by such
determination in any judicial proceeding commenced pursuant to this Section 8,
absent a prohibition of such indemnification under applicable law.

               (d) If Indemnitee, pursuant to this Section 8, seeks a judicial
adjudication of his rights under, or to recover damages for breach of, this
Agreement, or to recover under any directors’ and
officers’ liability insurance policies maintained by the Company, the
Company shall pay on his behalf, in advance, any and all Expenses incurred by
him in such judicial adjudication, regardless of whether Indemnitee ultimately
is determined to be entitled to such indemnification, advancement of expenses
or insurance recovery.

               (e) The Company shall be precluded from asserting in any judicial
proceeding commenced pursuant to this Section 8 that the procedures and
presumptions of this Agreement are not valid, binding and enforceable and shall
stipulate in any such court that the Company are bound by all the provisions of
this Agreement.

     9. NON-EXCLUSIVITY; SURVIVAL OF RIGHTS; INSURANCE; SUBROGATION.

               (a) The rights of indemnification, advancement or contribution set forth
in this Agreement shall not be deemed exclusive of any other rights to which
Indemnitee may at any time be entitled under applicable law, the Certificate of
Incorporation of the Company, the By-Laws of the Company or any other agreement
to which the Indemnitee, the Company or any Affiliates of the Company is a
party. No amendment, alteration or repeal of this Agreement or any provision
hereof shall limit or restrict any right of Indemnitee under this Agreement in
respect of any action taken or omitted by Indemnitee as a function of his
Corporate Status prior to such amendment, alteration or repeal. To the extent
that a change in the law, whether by statute or judicial decision, permits
greater indemnification, advancement or contribution rights than currently are
afforded under the Certificate of Incorporation of the Company, the By-Laws of
the Company and this Agreement, it is the intent of the parties hereto that
Indemnitee shall enjoy by this Agreement the greater benefits so afforded by
such change. No right or remedy conferred herein is intended to be exclusive
of any other right or remedy of Indemnitee, and every other right or remedy
shall be cumulative and in addition to every other right or remedy given
hereunder or now or hereafter existing at law or in equity or otherwise. The
assertion or employment of any right or remedy hereunder shall not prevent the
concurrent assertion or employment of any other right or remedy.

               (b) To the extent that any Company Entity maintains an insurance policy or
policies providing liability insurance for director, officer, employee,
trustee, agent, attorney-in-fact or fiduciary of any Company Entity or of any
other corporation, partnership, joint venture, trust, employee benefit plan or
other enterprise which such Person serves at the request of any Company Entity,
Indemnitee shall be covered by such policy or policies in accordance with its
or their terms to the maximum extent of the coverage available for any such
director, officer, employee, trustee, agent, attorney-in-fact or fiduciary
under such policy or policies.

               (c) In the event of any payment under this Agreement, the Company shall be
subrogated to the extent of such payment to all of the rights of recovery of
Indemnitee, who shall execute all papers required and take all action necessary
to secure such rights, including execution of such documents as are necessary
to enable the Company to bring suit to enforce such rights.

 

 

               (d) The Company shall not be liable under this Agreement to make any
payment of amounts otherwise indemnifiable hereunder if and to the extent that
Indemnitee otherwise and actually has received such payment under any insurance
policy, contract, agreement or otherwise.

     10. DURATION OF AGREEMENT.

     All agreements and obligations of the Company contained herein shall
continue with respect to Indemnitee during the period in which he serves as a
director, officer, employee, trustee, agent, attorney-in-fact or fiduciary of
any Company Entity (or is or was serving at the request of any Company Entity
as a director, officer, employee, trustee, agent, attorney-in-fact or fiduciary
of another corporation, partnership, joint venture, trust or other enterprise),
whether or not such service occurred prior to or after the date this Agreement
was effective, and shall continue in perpetuity thereafter, whether or not
Indemnitee is acting or serving in any such capacity at the time any
Expenses or Losses are incurred for which indemnification, advancement or
contribution can be provided under this Agreement. This Agreement shall be
binding upon, shall inure to the benefit of and shall be enforceable by the
parties hereto and their respective successors (including any direct or
indirect successor by purchase, merger, consolidation or otherwise to all or
substantially all of the business or assets of the Company), assigns, spouses,
heirs, executors and personal and legal representatives.

     13. SECURITY.

     To the extent requested by Indemnitee and approved by the board of
directors, the Company may at any time and from time to time provide security
to Indemnitee for the obligations of the Company hereunder through an
irrevocable bank line of credit, funded trust or other collateral or by other
means. Any such security, once provided to Indemnitee, may not be revoked or
released without the prior written consent of such Indemnitee.

     12. ENFORCEMENT; ENTIRE AGREEMENT.

               (a) The Company expressly confirm and agree that it has entered into this
Agreement and has assumed the obligations imposed on it hereby in order to
induce Indemnitee to serve or continue to serve as a director, officer,
employee, trustee, agent, attorney-in-fact or fiduciary of any Company Entity,
and the Company acknowledges that Indemnitee is relying upon this Agreement in
agreeing to serve as a director, officer, employee, trustee, agent,
attorney-in-fact or fiduciary of any Company Entity.

               (b) Subject to Section 9, this Agreement constitutes the entire agreement
between the parties hereto with respect to the subject matter hereof and
supersedes all prior agreements and understandings, oral, written and implied,
between the parties hereto with respect to the subject matter hereof, except to
the extent referenced in Section 9 hereof.

     13. SEVERABILITY.

     If any provision of this Agreement shall be held by a court of competent
jurisdiction to be invalid, void, illegal or otherwise unenforceable for any
reason whatsoever: (i) the validity, legality and enforceability of the
remaining provisions of this Agreement (including each portion of any section
of this Agreement containing any such provision held to be invalid, illegal or
unenforceable that is not itself invalid, illegal or unenforceable) shall not
be affected or impaired in any way thereby and shall remain enforceable to the
fullest extent permitted by law; and (ii) to the fullest extent possible, the
provisions of this Agreement (including each portion of any section of this
Agreement containing any such provision held to be invalid, illegal or
unenforceable that is not itself invalid, illegal or unenforceable) shall be
construed so as to give effect to the intent manifested thereby.

 

 

     14. MODIFICATION AND WAIVER.

     No supplement, modification, waiver, termination or amendment of all or
any portion of this Agreement shall be binding unless expressed in a written
instrument executed by the parties hereto. No waiver of any term or provision
of this Agreement shall be deemed or shall constitute a waiver of any other
term or provision hereof (whether or not similar), and any such waiver shall be
effective only in the specific instance, for the specific duration and for the
express purpose for which it is given. Any waiver or failure to insist upon
strict compliance with any term or provision of this Agreement shall not
operate as a waiver of, or an estoppel with respect to, any subsequent or other
failure to comply.

     15. NOTICE OF SERVICE BY INDEMNITEE.

     Indemnitee agrees promptly to notify the Company in writing upon being
served with any summons, citation, subpoena, compliant, indictment or other
document relating to any Proceeding or matter which may be subject to
indemnification covered hereunder. The failure to so notify the Company shall
not relieve the Company of any obligations which they may have to Indemnitee
under this Agreement or otherwise.

     16. NOTICES.

     All notices, requests, demands and other communications hereunder shall be
in writing and shall be deemed to have been duly given if (i) delivered by and
receipted for by the party to whom said notice or other communication shall
have been directed; (ii) mailed by certified or registered mail with postage
prepaid, on the third business day after the date on which it is so mailed; or
(iii) sent by facsimile, the successful transmission and receipt of which is
confirmed in a written report; in each instance to the addresses and/or
facsimile numbers set forth below:

	 	 	 	 	 	 	 	 	 
	 

	 	(a)
	 	If to Indemnitee, to:
	 	 	 	 
	

	 	 	 	 	 	
 	 	 
	

	 	 	 	 	 	
 	 	 
	

	 	 	 	 	 	
 	 	 
	

	 	 	 	 	 	Facsimile:	 	 
	

	 	 	 	 	 	
 	 	 
	

	 	(b)
	 	If to the Company, to:	 	 	 	 

or to such other address or facsimile number as may have been furnished to
Indemnitee by the Company, as the case may be.

     17. IDENTICAL COUNTERPARTS.

     This Agreement may be executed in one or more counterparts, each of which
shall for all purposes be deemed to be an original but all of which together
shall constitute one and the same agreement. Only one such counterpart signed
by the party against whom enforceability is sought needs to be produced to
evidence the existence of this Agreement.

     18. HEADINGS.

     The headings of the paragraphs of this Agreement are inserted for
convenience only and shall not be deemed to constitute part of this Agreement
or to affect the construction or interpretation thereof.

     19. GOVERNING LAW.

 

 

     The parties agree that this Agreement shall be governed by, and construed
and enforced in accordance with, the laws of Delaware without application of
the conflict of laws principles thereof.

     IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of
the date first above written.

	 	 	 	 	 	 	 
	 	 	[COMPANY NAME]	 	 
	 	 	
By:
	 	 

	 	 
	 	 	
Its:	 	 	 	 
	 	 	 	 	

	 	 
	 	 	 	 	 	 	 
	 	 	INDEMNITEE<PAGE>
                                                                    EXHIBIT 10.1

The Bank of New York
Corporate Trust and Agency Services
2 North LaSalle Street, Suite 1020
Chicago, IL 60602
Charles Baker
(312) 827-8576
Distribution Date: October 28, 2004

                      SEQUOIA MORTGAGE FUNDING CORPORATION
                 COLLATERALIZED MBS FUNDING BONDS, SERIES 2002-A

                    CERTIFICATE MONTHLY DISTRIBUTION SUMMARY

<TABLE>
<CAPTION>
                            BEGINNING          PASS         INTEREST     PRINCIPAL        TOTAL       REALIZED    ENDING CERT
  CLASS        CUSIP       CERT BALANCE      THROUGH      DISTRIBUTION  DISTRIBUTION  DISTRIBUTION     LOSSES       BALANCE
----------  ------------  --------------  --------------  ------------  ------------  -------------  ----------  -------------
<S>         <C>           <C>             <C>             <C>           <C>           <C>            <C>         <C>
A-1            81743UAA3   10,679,648.70       2.440000%     21,715.29   878,335.89      900,051.17        0.00   9,801,312.81
A-2            81743UAB1    1,610,530.06       2.590000%      3,476.06    32,501.99       35,978.05        0.00   1,578,028.07
----------  ------------  --------------  --------------  ------------  ------------  -------------  ----------  -------------
Total                      12,290,178.76                     25,191.35   910,837.88      936,029.22        0.00  11,379,340.88
----------  ------------  --------------  --------------  ------------  ------------  -------------  ----------  -------------
</TABLE>

                           CURRENT PAYMENT INFORMATION
                                FACTORS PER $1.00

<TABLE>
<CAPTION>
                             ORIGINAL CERT     BEGINNING      INTEREST       PRINCIPAL        ENDING       CURRENT PASS
    CLASS          CUSIP        BALANCE         FACTOR         FACTOR         FACTOR          FACTOR          THROUGH
--------------  -----------  --------------  -------------  -------------  -------------  --------------  ---------------
<S>             <C>          <C>             <C>            <C>            <C>            <C>             <C>
A-1              81743UAA3    64,761,000.00  164.908644077    0.335314243   13.562728905   151.345915172        2.440000%
A-2              81743UAB1    15,861,000.00  101.540260006    0.219157728    2.049176717    99.491083290        2.590000%
--------------  -----------  --------------  -------------  -------------  -------------  --------------  ---------------
Total                         80,622,000.00  152.441998003    0.312462435   11.297634374   141.144363629
--------------  -----------  --------------  -------------  -------------  -------------  --------------  ---------------
</TABLE>

             UNDERLYING CERTIFICATES MONTHLY DISTRIBUTION - GROUP I

<TABLE>
<CAPTION>
                                                           INTEREST
                    ORIGINAL      BEGINNING      PASS       DISTRI-    PRINCIPAL       TOTAL      REALIZED  INTEREST      ENDING
SERIES    CLASS     BALANCE        BALANCE      THROUGH     BUTION    DISTRIBUTION  DISTRIBUTION   LOSSES   SHORTFALL     BALANCE
--------  -----  --------------  -------------  ---------  ---------  ------------  ------------  --------  ---------  -------------
<S>       <C>    <C>             <C>            <C>        <C>        <C>           <C>           <C>       <C>        <C>
CWMBS
  94K       A1   123,119,000.00           0.00  0.000000%       0.00         0.00           0.00      0.00      0.00            0.00
DLJMA
  93-Q18   1A1    51,833,000.00           0.00  0.000000%       0.00         0.00           0.00      0.00      0.00            0.00
DLJMA
  94-2A    1A1    85,787,000.00     363,624.06  5.255675%   1,592.57       859.34       2,451.91      0.00      0.00      362,764.72
ONE 00-2    2A   152,653,000.00           0.00  0.000000%       0.00         0.00           0.00      0.00      0.00            0.00
RYMS3
  92-B     1A2     7,712,906.00           0.00  0.000000%       0.00         0.00           0.00      0.00      0.00            0.00
SBM7
  94-2      A1    49,384,000.00           0.00  0.000000%       0.00         0.00           0.00      0.00      0.00            0.00
SMS 91-K    A1   110,588,063.00           0.00  0.000000%       0.00         0.00           0.00      0.00      0.00            0.00
SMS 91-K    A3     1,917,885.00           0.00  0.000000%       0.00         0.00           0.00      0.00      0.00            0.00
EAGLE
  98-1      M1    46,029,000.00  10,612,376.66  2.805000%  23,441.57   901,849.69     925,291.26      0.00      0.00    9,710,526.97
INMC
  94-R      M2     4,620,000.00           0.00  0.000000%       0.00         0.00           0.00      0.00      0.00            0.00
INMC
  94-V      B1     3,618,000.00           0.00  0.000000%       0.00         0.00           0.00      0.00      0.00            0.00
INMC
  94-X      B1     2,769,000.00           0.00  0.000000%       0.00         0.00           0.00      0.00      0.00            0.00
INMC
  95-C      B1    12,828,797.00           0.00  0.000000%       0.00         0.00           0.00      0.00      0.00            0.00
INMC
  95-T      A2    65,695,250.00           0.00  0.000000%       0.00         0.00           0.00      0.00      0.00            0.00
--------  -----  --------------  -------------  ---------  ---------  ------------  ------------  --------  --------   -------------
Total            718,554,901.00  10,976,000.72             25,034.15   902,709.03     927,743.18      0.00      0.00   10,073,291.69
--------  -----  --------------  -------------  ---------  ---------  ------------  ------------  --------  --------   -------------
</TABLE>

<PAGE>

             UNDERLYING CERTIFICATES MONTHLY DISTRIBUTION - GROUP II

<TABLE>
<CAPTION>
                                                            INTEREST
                    ORIGINAL       BEGINNING      PASS      DISTRI-    PRINCIPAL        TOTAL     REALIZED   INTEREST      ENDING
SERIES    CLASS     BALANCE         BALANCE      THROUGH    BUTION    DISTRIBUTION  DISTRIBUTION   LOSSES   SHORTFALL     BALANCE
--------  -----  --------------  -------------  ---------  ---------  ------------  ------------  --------  ---------  -------------
<S>       <C>    <C>             <C>            <C>        <C>        <C>           <C>           <C>       <C>        <C>
GRCAP
  94-HM4    A1   245,813,000.00     268,260.48  4.134609%     924.29        750.78      1,675.07      0.00       0.00     267,509.71
INMC
  95-E      B1     4,608,492.00           0.00  0.000000%       0.00          0.00          0.00      0.00       0.00           0.00
PMLT
  99-A      M1     2,914,000.00   1,375,137.54  2.940003%   3,369.09     32,414.52     35,783.61      0.00       0.00   1,342,723.02
RTC 95-2    A3   119,696,000.00           0.00  0.000000%       0.00          0.00          0.00      0.00       0.00           0.00
--------  -----  --------------  -------------  ---------  ---------  ------------  ------------  --------  ---------  -------------
Total            373,031,492.00   1,643,398.02              4,293.38     33,165.30     37,458.68      0.00       0.00   1,610,232.73
--------  -----  --------------  -------------  ---------  ---------  ------------  ------------  --------  ---------  -------------
</TABLE>

                 UNDERLYING POOL DELINQUENT INFORMATION BY GROUP

<TABLE>
<CAPTION>
                    LOANS         DELINQUENT      DELINQUENT      DELINQUENT                                            REALIZED
                 OUTSTANDING      30-59 DAYS      0-89 DAYS        90+ DAYS          FORECLOSURE         REO             LOSSES
SERIES             BALANCE      NO.    BALANCE   NO.  BALANCE  NO.     BALANCE    NO.    BALANCE   NO.     BALANCE    CURR. AMOUNT
---------------  -------------  ---  ----------  ---  -------  ---  ------------  ---  ----------  ---  ------------  ------------
<S>              <C>            <C>  <C>         <C>  <C>      <C>  <C>           <C>  <C>         <C>  <C>           <C>
CWMBS 94K                 0.00   0         0.00   0      0.00   0           0.00   0         0.00   0           0.00         0.00
DLJMA 93-Q18(1)           0.00   0         0.00   0      0.00   0           0.00   0         0.00   0           0.00         0.00
DLJMA 94-2A(1)      589,374.82   0         0.00   0      0.00   0           0.00   0         0.00   0           0.00         0.00
ONE 00-2(2)               0.00   0         0.00   0      0.00   0           0.00   0         0.00   0           0.00         0.00
RYMS3 92-B(2)             0.00   0         0.00   0      0.00   0           0.00   0         0.00   0           0.00         0.00
SBM7 94-2(2)              0.00   0         0.00   0      0.00   0           0.00   0         0.00   0           0.00         0.00
SMS 91-K                  0.00   0         0.00   0      0.00   0           0.00   0         0.00   0           0.00         0.00
EAGLE 98-1       16,442,925.09   7   444,095.60   0      0.00  11   1,709,695.36  14   997,049.83   9   1,112,341.59         0.00
INMC 94-R                 0.00   0         0.00   0      0.00   0           0.00   0         0.00   0           0.00         0.00
INMC 94-V                 0.00   0         0.00   0      0.00   0           0.00   0         0.00   0           0.00         0.00
INMC 94-X                 0.00   0         0.00   0      0.00   0           0.00   0         0.00   0           0.00         0.00
INMC 95-C                 0.00   0         0.00   0      0.00   0           0.00   0         0.00   0           0.00         0.00
INMC 95-T(2)              0.00   0         0.00   0      0.00   0           0.00   0         0.00   0           0.00         0.00
---------------  -------------  ---  ----------  ---  -------  ---  ------------  ---  ----------  ---  ------------  ------------
Total            17,032,299.91   7   444,095.60   0      0.00  11   1,709,695.36  14   997,049.83   9   1,112,341.59         0.00
---------------  -------------  ---  ----------  ---  -------  ---  ------------  ---  ----------  ---  ------------  ------------
</TABLE>

<TABLE>
<CAPTION>
                                                                                                                           REALIZED
                 LOANS          DELINQUENT        DELINQUENT        DELINQUENT                                              LOSSED
              OUTSTANDING       30-59 DAYS         0-89 DAYS         90+ DAYS          FORECLOSURE          REO              CURR.
SERIES          BALANCE      NO.     BALANCE    NO.   BALANCE     NO.    BALANCE    NO.    BALANCE     NO.    BALANCE       AMOUNT
------------  -------------  ---  ------------  ---  ----------  ---  ------------  ---  ------------  ---  ------------  ---------
<S>           <C>            <C>  <C>           <C>  <C>         <C>  <C>           <C>  <C>           <C>  <C>           <C>
GRCAP 94-HM4   3,708,065.74   0           0.00   0         0.00   0           0.00   0           0.00   0           0.00      0.00
INMC 95-E              0.00   0           0.00   0         0.00   0           0.00   0           0.00   0           0.00      0.00
PMLT 99-A     20,654,123.23  20   1,287,352.17   7   376,999.42   6     440,284.40  12     660,397.38   3     160,454.28      0.00
RTC 95-2(1)            0.00   0           0.00   0         0.00   0           0.00   0           0.00   0           0.00      0.00
------------  -------------  ---  ------------  ---  ----------  ---  ------------  ---  ------------  ---  ------------  ---------
Total         24,362,188.97  20   1,287,352.17   7   376,999.42   6     440,284.40  12     660,397.38   3     160,454.28      0.00
------------  -------------  ---  ------------  ---  ----------  ---  ------------  ---  ------------  ---  ------------  ---------

------------  -------------  ---  ------------  ---  ----------  ---  ------------  ---  ------------  ---  ------------  ---------
Total All     41,394,488.88  27   1,731,447.77   7   376,999.24  17   2,149,979.76  26   1,657,447.21  12   1,272,795.87      0.00
------------  -------------  ---  ------------  ---  ----------  ---  ------------  ---  ------------  ---  ------------  ---------
</TABLE>

(1)   Information shown for the Underlying Mortgage Loans for this Pooled
      Security is based on the Underlying Mortgage Loan group related to such
      Pooled Security only.

(2)   Information shown for the Underlying Mortgage Loans for this Pooled
      Security is based on all the Underlying Mortgage Loan groups in the
      related series.

<PAGE>

                         CERTIFICATE ACCOUNT INFORMATION

<TABLE>
<CAPTION>
                                           WITHDRAWALS                                                       ENDING
GROUP  BEGINNING BALANCE  FUNDS DEPOSITED  TRUSTEE FEE  MANAGEMENT FEE  AVAILABLE FUNDS  FUNDS DISTRIBUTED   BALANCE
-----  -----------------  ---------------  -----------  --------------  ---------------  -----------------  ----------
<S>    <C>                <C>              <C>          <C>             <C>              <C>                <C>
I            0.00             927,743.18       274.40          0.00        927,468.78        900,051.17      27,417.50
II           0.00              37,458.68        41.08          0.00         37,417.60         35,978.05       1,439.54
-----  -----------------  ---------------  -----------  --------------  ---------------  -----------------  ----------
Total        0.00             965,201.86       315.48          0.00        964,886.37        936,029.22      28,857.15
-----  -----------------  ---------------  -----------  --------------  ---------------  -----------------  ----------
</TABLE>

<TABLE>
<CAPTION>
          ADDITIONAL REPORTING ITEMS            POOL I          POOL II         TOTAL
------------------------------------------   -------------   -------------   -------------
<S>       <C>                                <C>             <C>             <C>
2.15(a)   Available Interest                     25,034.15        4,293.38       29,327.53
          Available Principal                   902,709.03       33,165.30      935,874.33
2.15(b)   Monthly Interest Amt.                   see p. 1
2.15(c)   Carryforward Interest                       0.00            0.00            0.00
2.15(d)   Principal Paid                          see p. 1
2.15(e)   Class Print Amts.                       see p. 1
2.15(f)   Beginning Actual OC                      2.7000%         2.0000%
          Ending Actual OC                         2.7000%         2.0000%
2.15(g)   2nd preceding pool bal             18,560,806.47   24,871,185.93   43,431,992.40
2.15(h)   Required OC                              2.7000%         2.0000%
2.15(i)   Has Step-up Occurred?                         No              No
2.15(k)   Monies Deposited to Reserve Fund            0.00            0.00            0.00
2.15(l)   Amts. Dist. to Investor                27,417.60        1,439.54       28,857.15
          Certificateholders
</TABLE>

Note: Management Fee is to be paid on an annual basis. This month's Fee together
      with last month's annualized amount equals the full annual Fee.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00074-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00074-of-00352.parquet"}]]