Document:

Exhibit 10.1

 

FOURTH AMENDMENT TO LEASE

 

THIS FOURTH AMENDMENT TO LEASE (this “Fourth Amendment”)  is made as of August 21, 2016, by and between ARE-480 ARSENAL STREET, LLC, a Delaware limited liability company (“Landlord”),  and SELECTA BIOSCIENCES, INC.,  a Delaware corporation (“Tenant”).

 

RECITALS

 

A.                                         Landlord and Tenant entered into that certain Lease Agreement dated as of September 30, 2008 (the “Original Lease”),  as amended by that certain First Amendment to Lease dated as of July 12, 2011, as amended by that certain Second Amendment to Lease dated as of October 17, 2011 (the “Second Amendment”), as amended by that certain Third Amendment to Lease dated as of April 6, 2015, and as amended by those certain letter agreements between Landlord and Tenant dated August 9, 2012, September 4, 2012, August 24, 2015, and June 23, 2016 (as amended, the “Lease”). Pursuant to the Lease, Tenant leases certain premises consisting of approximately 27,833 rentable square feet (“Premises”)  in a building located at 480 Arsenal Street, Watertown, Massachusetts, all as more particularly described in the Lease. Capitalized terms used herein without definition shall have the meanings defined for such terms in the Lease.

 

B.                                         Tenant has exercised its Extension Right to extend the Term of the Lease by the Extension Term, in accordance with Section 10 of the Second Amendment.

 

C.                                         Landlord and Tenant desire, subject to the terms and conditions set forth below, to among other things. extend the Term of the Lease by the Extension Term, and to modify certain other terms and provisions of the Lease, all as more particularly provided below.

 

NOW, THEREFORE, in consideration of the foregoing Recitals, which are incorporated herein by this reference, the mutual promises and conditions contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged Landlord and Tenant hereby agree as follows:

 

1.                                      Extension Term. The Term of the Lease, which is currently scheduled to expire on March 31, 2017, is hereby extended for the duration of the Extension Term. being a period of 36 months commencing on April 1, 2017 (the “Extension Term Commencement Date”)  and continuing through and expiring on March 31, 2020, upon and subject to all of the existing terms of the Lease, as amended by this Fourth Amendment.

 

2.                                      Rent. Tenant shall continue to pay Base Rent as provided for in the Lease through March 31, 2017 Commencing on April 1, 2017. Tenant shall pay Base Rent in the amount of $45.36 per rentable square foot of the Premises per year. Thereafter, on each April 1st during the Term (each, a “Fourth Amendment Adjustment Date”),  Base Rent shall be increased by multiplying the Base Rent payable immediately before such Fourth Amendment Adjustment Date by 3% and adding the resulting amount to the Base Rent payable immediately before such Fourth Amendment Adjustment Date.

 

3.                                      Condition of the Premises. Tenant is currently in possession of, and continues to accept from Landlord, the Premises in their existing “AS-IS,” “WHERE-IS” and “WITH ALL FAULTS” condition, and Tenant acknowledges that Landlord shall have no obligation to refurbish or otherwise improve the Premises or to provide any tenant improvement allowance.

 

4.                                      No Preferential Rights or Options. Tenant has exercised its only Extension Right under the Lease pursuant to Section 10 of the Second Amendment; therefore, notwithstanding anything contained in the Lease to the contrary, Landlord and Tenant stipulate and agree that Tenant has no preferential rights or options under the Lease, as herein amended, such as any rights of

 

 

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renewal, expansion, reduction, refusal, offer, purchase, cancellation, termination or any other such preferential rights or options, such rights or options originally set forth in the Lease, including, without limitation, said Section 10 of the Second Amendment, being hereby null and void in their entirety and of no further force or effect.

 

5.                                      Brokers. Landlord and Tenant each represents and warrants that, other than Transwestern, it has not dealt with any other broker, agent or other person (collectively, “Broker”)  in connection with the transaction reflected in this Fourth Amendment and that no Broker brought about this transaction. Landlord and Tenant each hereby agrees to indemnify and hold the other harmless from and against any claims by any Broker, other than Transwestern, claiming a commission or other form of compensation by virtue of having represented Tenant or Landlord, as applicable, with regard to this transaction. Notwithstanding the foregoing or anything to the contrary contained herein, Landlord agrees that Landlord shall pay any commission due and payable to Transwestern in connection with this Fourth Amendment pursuant to a separate written agreement between Transwestern and Landlord.

 

6.                                      OFAC. Tenant and all beneficial owners of Tenant are currently (a) in compliance with and shall at all times during the Term of this Lease remain in compliance with the regulations of the Office of Foreign Assets Control (“OFAC”)  of the U.S. Department of Treasury and any statute, executive order, or regulation relating thereto (collectively, the “OFAC Rules”),  (b) not listed on, and shall not during the term of this Lease be listed on, the Specially Designated Nationals and Blocked Persons List, Foreign Sanctions Evaders List, or the Sectoral Sanctions Identification List, which are all maintained by OFAC and/or on any other similar list maintained by OFAC or other governmental authority pursuant to any authorizing statute, executive order, or regulation, and (c) not a person or entity with whom a U.S. person is prohibited from conducting business under the OFAC Rules.

 

7.                                      Miscellaneous.

 

a.                                      This Fourth Amendment is the entire agreement between Landlord and Tenant with respect to the subject matter hereof and supersedes all prior and contemporaneous oral and written agreements and discussions. This Fourth Amendment may be amended only by an agreement in writing, signed by Landlord and Tenant.

 

b.                                      This Fourth Amendment is binding upon and shall inure to the benefit of the parties hereto and their respective successors and assigns.

 

c.                                       Tenant acknowledges that it has read the provisions of this Fourth Amendment, understands them, and is bound by them. Time is of the essence in this Fourth Amendment.

 

d.                                      This Fourth Amendment may be executed in any number of counterparts, each of which shall be deemed an original, but all of which when taken together shall constitute one and the same instrument. The signature page of any counterpart may be detached therefrom without impairing the legal effect of the signature(s) thereon provided such signature page is attached to any other counterpart identical thereto except having additional signature pages executed by other parties to this Fourth Amendment attached thereto.

 

e.                                       Except as amended and/or modified by this Fourth Amendment, the Lease is hereby ratified and confirmed and all other terms of the Lease shall remain in full force and effect, unaltered and unchanged by this Fourth Amendment. In the event of any conflict between the provisions of this Fourth Amendment and the provisions of the Lease, the provisions of this Fourth Amendment shall prevail.  Whether or not specifically amended by this Fourth Amendment, all of the terms and provisions of the Lease are hereby amended to the extent necessary to give effect to the purpose and intent of this Fourth Amendment.

 

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[Signatures are on the next page]

 

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IN WITNESS WHEREOF,  the parties hereto have executed this Fourth Amendment as of the day and year first above written.

 

	
 
    	
TENANT:
    
	
 
    	
 
    
	
 
    	
SELECTA BIOSCIENCES, INC.,
    
	
 
    	
a Delaware corporation
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ David Siewers
    
	
 
    	
Its:
    	
CFO
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
LANDLORD:
    
	
 
    	
 
    
	
 
    	
ARE-480 ARSENAL STREET, LLC,
    
	
 
    	
a Delaware limited liability company
    
	
 
    	
 
    
	
 
    	
By:
    	
ALEXANDRIA REAL ESTATE EQUITIES, L.P.,
    
	
 
    	
 
    	
a   Delaware limited partnership,
    
	
 
    	
 
    	
managing member
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
ARE-QRS CORP.,
    
	
 
    	
 
    	
 
    	
a   Maryland corporation,
    
	
 
    	
 
    	
 
    	
general partner

 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
By:
    	
/s/ Eric S. Johnson
    
	
 
    	
 
    	
 
    	
Its:
    	
Eric S. Johnson
    
	
 
    	
 
    	
 
    	
 
    	
Senior Vice   President
   RE Legal Affairs
    

 

4Exhibit 10.1

 

Sixth Amendment
to Employment Agreement

 

This Sixth Amendment (“Sixth Amendment”),
to the Employment Agreement (the “Agreement”) dated February 27, 2007 between Payment Data Systems, Inc. (“PDS”)
and Michael R. Long (“Executive”) is entered into this 8th day of September, 2016, and is made part of the Agreement
which is hereby amended as follows:

 

1.Definitions. All capitalized
terms used herein and not expressly defined herein shall have the respective meanings given to such terms in the Agreement.

 

2.Entire Agreement. Except as
expressly modified by this Sixth Amendment, the Agreement shall be and remain in full force and effect in accordance with its terms
and shall constitute the legal, valid, binding and enforceable obligations of PDS and Executive.

 

3.Successors and Assigns. This
Sixth Amendment shall be binding upon and inure to the benefit of the successors and permitted assigns of the parties hereto.

 

4.Section References. Section
titles and references used in this Sixth Amendment shall be without substantive meaning or content of any kind whatsoever and are
not a part of the agreements among the parties hereto evidenced hereby.

 

5. Now, therefore, in consideration
of the mutual covenants set forth herein and for other good and valuable consideration, the adequacy, receipt and sufficiency of
which are hereby acknowledged:

 

		a.	Section 4(c) of the Agreement is hereby amended solely with respect to Executive’s termination
as a result of death as follows:

 

“(i) When Due.
The estate of Executive shall be entitled to the Deferred Compensation as calculated below, the initial installment of which is
to be paid within 30 days after the event giving rise to the payout (except as provided below) in the event that Executive’s
employment is terminated for death of Executive. No Deferred Compensation shall be due if Executive’s estate receives continuation
of Base Salary payments at the time of his death as follows: the Company and/or a third party insurance company shall continue
to pay the Base Salary to the estate of Executive up to a maximum of 36 months minus the monthly Base Salary already paid to Executive
prior to his death pursuant to his disability. If such Base Salary payments cease before 36 months for any reason, the Company
shall pay Executive’s estate the Deferred Compensation minus Base Salary payments within 30 days.

 

(ii) Amount. The Deferred
Compensation shall be an amount equal to 2.95 times of Base Salary (as defined in Section 4(a) of the Agreement) (“Deferred
Compensation”). For the avoidance of doubt, Deferred Compensation shall not include amounts paid or accrued to Executive
for bonuses or Bonus Compensation, benefits or equity awards. Unpaid and unearned Bonus Compensation or Bonus Deferred Compensation
shall be forfeited.

 

The Deferred Compensation herein
shall be deemed liquidated damages resulting from the Company’s termination of this Agreement due to death of the Executive
and shall be the estate of the Executive’s sole and exclusive remedy for any such termination.

 

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(iii)
Outstanding Equity Awards. All stock options issued to Executive and all restricted stock granted to Executive shall continue
on their vesting schedule without acceleration. Upon vesting of such stock options or restricted
stock, Company agrees to execute all documents and provide all legal opinions to the estate of the Executive as requested by the
authorized representative in order for the estate of the Executive to sell, register, collateralize, or transfer such stock.”

 

		b.	Section 4(c) of the Agreement is hereby amended solely with respect to Executive’s termination
as a result of disability as follows:

 

“(i)
When Due. Executive shall be entitled to the Deferred Compensation as calculated below the initial installment of which
is to be paid within 30 days after the event giving rise to the payout (except as provided below) in the event that Executive’s
employment is terminated for disability pursuant to Section 7(a).

 

(ii) Amount. The Deferred
Compensation shall be an amount equal to 36 monthly Base Salary payments (for the avoidance of doubt one monthly Base Salary payment
shall equal 1/12th of Executive’s Base Salary and Base Salary shall be the salary amount paid to Executive on
his last pay check before termination of the disability occurred) (“Deferred Compensation”) to be made monthly on a
continuing basis for up to 36 months by the Company and/or a third party insurance company. For the avoidance of doubt, Deferred
Compensation shall not include amounts paid or accrued to Executive for bonuses or Bonus Compensation, benefits or equity awards.
Unpaid and unearned Bonus Compensation or Bonus Deferred Compensation shall be forfeited.

 

(iii) Outstanding Equity
Awards. All stock options issued to Executive and all restricted stock granted to Executive shall continue on their vesting
schedule without acceleration. Upon vesting of such stock options or restricted stock, Company agrees to execute all documents
and provide all legal opinions to the estate of the Executive as requested by the authorized representative in order for the estate
of the Executive to sell, register, collateralize, or transfer such stock.”

 

6. This Sixth Amendment amends the
Agreement as set forth herein. All previously existing obligations under the Agreement are hereby reaffirmed in all respects.

 

 

[Signature Page
follows.]

 

 

 

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In witness thereof, the parties hereto
have caused this Sixth Amendment to the Employment Agreement to be executed on the day and year first above written.

 

 

 

	 	Payment Data Systems, Inc.	 	Executive
	 	 	 	 	 	 
	 	By:	/s/ Peter
Kirby	 	By: 	/s/ Michael R. Long
	 	 	Name: Peter Kirby	 	 	Name:
Michael R. Long
	 	 	Title: Chairman of
the	 	 	 
	 	 	Compensation Committee	 	 	 
	 	 	 	 	 	 

 

 

 

 

 

 

 

 

 

 

 

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