Document:

Exhibit

	
	
	 

EXHIBIT 10.5

June 20, 2016

John W. Glick
Craft Brew Alliance, Inc.
929 North Russell Street
Portland, Oregon  97227

Re:    Employment Agreement
Dear John:
This letter amends and supersedes your employment letter dated August 5, 2014, and any prior formal or informal agreement regarding your employment by Craft Brew Alliance, Inc. (the "Company"), with the exception of any confidentiality, noncompetition, and/or nonsolicitation agreement(s) you have entered into with the Company.
This letter constitutes your Employment Agreement (this "Agreement") with the Company, effective July 1, 2016 (the "Effective Date").  You and the Company are collectively referred to in this Agreement as "the Parties" (or individually as a "Party").  This Agreement sets forth the terms and conditions of your continued employment with the Company as its Vice President, Emerging Business as of the Effective Date.  Capitalized terms not otherwise defined in the body of this Agreement have the meanings set forth on Exhibit A.
1.    Term
The term of this Agreement shall be three years, from July 1, 2016, through June 30, 2019 (the "Contract Term"), subject to Section 3 of this Agreement.  In the event that the Company experiences a Change in Control Event, the Contract Term will extend to the later of (a) the first anniversary of the Change in Control Event or (b) the date set forth in the preceding sentence.  In the event of a termination by either Party without Cause or Good Reason on or before the end of the Contract term, the terminating Party shall provide the other Party with at least 60 days' written notice of termination.

2.    Compensation and Benefits
2.1    Base Compensation
As of the Effective Date, your annual base salary rate is $255,000, subject to standard tax withholdings and other payroll deductions.  Your base salary level will be reviewed annually for adjustment by the Compensation Committee of the Company's Board of Directors (the "Board"), with salary adjustments, if any, generally made effective as of January 1.
2.2    Short-Term Incentive Compensation
You will be eligible for short-term incentive ("STI") compensation under the Company's Annual Cash Incentive Bonus Plan.  For 2016, your total STI target amount is $102,000.  For subsequent years, the performance targets and STI target amounts will be determined annually by the Compensation Committee.  
2.3    Long-Term Incentive Compensation
You will also be eligible to participate in the Company's 2014 Stock Incentive Plan as determined by the Compensation Committee.
2.4    Employee Benefits
You are eligible to participate in employee benefit programs made available to the Company's executive officers.  You will receive paid time off consistent with the policies for executive officers of the Company.
3.    Termination & Severance
3.1    Termination During Contract Term
Except as provided in Section 3.2, in the event that (a) the Company terminates your employment effective on a date prior to or as of the end of the Contract Term for any reason other than "Cause" or (b) you terminate your employment prior to or as of the end of the Contract Term due to "Good Reason," the Company will continue to pay you your then current base salary for 12 months from your termination date (the "Severance Period").  The severance payments under this paragraph shall not exceed two times the lesser of (y) the sum of your annualized compensation based upon your annual salary in the year preceding the year in which your employment is terminated (adjusted for any increase during that year that was expected to continue indefinitely if your employment had not terminated) and (z) the applicable dollar limit under Section 401(a)(17) of the Internal Revenue Code of 1986, as amended (the "Code"), for the calendar year in which your employment is terminated.
In addition, if you become entitled to severance pay under the first paragraph of this Section 3.1, the Company will also make a lump sum payment to you within 45 days of your termination of employment in an amount equal to the amount necessary to pay your COBRA premiums for continuation of group health insurance coverage during the Severance Period based on such premiums in effect on the date of your termination.

3.2    Termination in Connection with a Change in Control Event.
In the event that (a) the Company experiences a Change in Control Event and (b) either (i) the Company terminates your employment effective on a date prior to the first anniversary of the Change in Control Event for any reason other than "Cause" or (ii) you terminate your employment prior to the first anniversary of the Change in Control Event due to "Good Reason," and (c) in the case of a Change in Control Event described in Paragraph (c) of the definition of Change in Control Event, you represent and warrant that, as of the termination of your employment, you have not entered into any understanding or arrangement with the acquiring individual or entity regarding future employment, the Company will make a lump sum payment to you within 45 days of the termination of your employment equal to the sum of:  (A) your then current monthly base salary multiplied by 18; (B) an amount equal to the amount necessary to pay your COBRA premiums for continuation of group health insurance coverage for 18 months based on such premiums in effect on the date of your termination; and (C) your full target STI bonus amount for the year in which your termination of employment occurs.  The payments under this Section 3.2 are in lieu of the benefits under Section 3.1, and in no event will you be paid benefits under both Sections 3.1 and 3.2.
Notwithstanding the foregoing, in the event that (A) the Company experiences a Change in Control Event described in Paragraph (c) of the definition of Change in Control Event and (B) prior to the date of payment under this Section 3.2 you accept a position with the acquirer of the Company's assets, which in any other Change in Control Event would not be deemed Good Reason under Section 3.2(b)(ii), all benefits under Sections 3.1 and 3.2 will be forfeited.
The Parties agree and acknowledge that their intent is that none of the benefits payable under this Section 3.2 shall constitute an "excess parachute payment" under Section 280G of the Code that would give rise to an excise tax under Section 4999 of the Code or a loss of deduction under Section 280G of the Code.  To give effect to that intent, and notwithstanding any other provision of this Agreement to the contrary, the Parties specifically agree that the aggregate amount of the benefits payable to you or for your benefit that constitute "parachute payments" within the meaning of Section 280G(b)(2) of the Code, under this Agreement or any other agreement or arrangement between you and the Company, shall not exceed 2.99 multiplied by your "base amount," as defined in Section 280G(b)(3) of the Code (the "Maximum Benefit Amount").  The Company shall make all calculations and determinations under this Section 3.2 (including application and interpretation of the Code and related regulatory, administrative and judicial authorities) in good faith, which calculations and determinations shall be binding on you absent manifest error.  The Company shall provide you with a reasonable opportunity to review and comment on the Company's calculations.  If at any time it is determined that the amount paid to you or for your benefit pursuant to this Agreement or any other agreement or arrangement between you and the Company exceeded the Maximum Benefit Amount, you shall immediately repay the excess to the Company, together with interest from the date of original payment to you at the discount rate applicable under Section 280G(d)(4) of the Code.
3.3    Termination at End of Contract Term
Following the Contract Term, if the Parties have not negotiated a replacement agreement or renewal of this Agreement, this Agreement shall terminate (except with respect to any obligations that expressly extend beyond termination) and employment may continue on an at-will basis with either Party free to end the employment relationship for any reason at any time, with or without Cause, Good Reason or notice, and without severance obligations.

3.4    Release of Claims
The Company will require you to execute an appropriate general release of all claims that you may have relating to your employment with the Company and termination of your employment as a condition to your receipt of any severance payments or other benefits under this Agreement other than those required by law or provided to employees generally.  If such general release of claims is not executed within 30 days following the date your employment with the Company is terminated, all severance payments and other benefits payable after such 30‐day period will be forfeited, and you agree to repay any severance payments, and the value of other benefits, paid to you during such period.
3.5    Competition During Severance Period 
If, during the Severance Period, you become employed or associated with a brewing or other company that the Company determines, in its reasonable discretion, is a competitor of the Company or the portion of the Company's business relating to alcoholic beverages, your severance payments and benefits under Section 3.1 will terminate as of the effective date of such employment or association.  The foregoing does not supersede or replace any provision of any noncompetition agreement between you and the Company.
4.    Code Section 409A
For purposes of this Agreement, a termination of your employment will be deemed to occur only when or if there has been a "separation from service" as such term is defined in Treasury Regulation Section 1.409A-1(h).  The severance payments and other benefits under this Agreement are intended to be exempt from the requirements of Section 409A of the Code by reason of all payments under this Agreement being either "short-term deferrals" within the meaning of Treasury Regulation Section 1.409A-1(b)(4) or separation pay due to involuntary separation from service under Treasury Regulation Section 1.409A-1(b)(9)(iii).  All provisions of this Agreement shall be interpreted in a manner consistent with preserving these exemptions.
5.    Severability
In the event that a court of competent jurisdiction determines that a provision of this Agreement is unenforceable or not fully enforceable, the Parties agree that this Agreement is severable and should be enforced to the full extent allowed by law to best effectuate the intentions of the Parties.
6.    Code of Conduct
By your signature below, you agree to comply with the Company's Code of Conduct and Ethics as in effect from time to time, and to be subject to the Company's policies and procedures in effect from time to time for senior executives of the Company.

We appreciate your continued efforts on behalf of the Company and look forward to having you as a member of our team for years to come.
Sincerely,
/s/ Andrew J. Thomas                                     
Andrew J. Thomas
Chief Executive Officer

Acknowledged and Agreed:
/s/ John W. Glick                                               Date: June 30, 2016
John W. Glick

Attachment:  Exhibit A (Definitions)

EXHIBIT A
Definitions
1.    "Cause" shall mean that (a) you have engaged in conduct which has substantially and adversely impaired the interests of the Company, or would be likely to do so if you were to remain employed by the Company; (b) you have engaged in fraud, dishonesty or self-dealing relating to or arising out of your employment with the Company; (c) you have violated any criminal law relating to your employment or to the Company; (d) you have engaged in conduct which constitutes a material violation of a significant Company policy or the Company's Code of Conduct and Ethics as in effect from time to time, including, without limitation, violation of policies relating to discrimination, harassment, use of drugs and alcohol and workplace violence; or (e) you have repeatedly refused to obey lawful directions of the Board or the Company's Chief Executive Officer.
2.    "Change in Control Event" shall mean the occurrence of any of the following events:
(a)    Any one person or entity, or more than one person or entity acting as a group (as defined in Treasury Regulation Section 1.409A-3), acquires ownership of stock of the Company that, together with stock previously held by the acquirer, constitutes more than 50 percent of the total fair market value or total voting power of the Company's stock.  If any one person or entity, or more than one person or entity acting as a group, is considered to own more than 50 percent of the total fair market value or total voting power of the Company's stock, the acquisition of additional stock by the same person or entity or persons or entities acting as a group does not cause a Change in Control Event.  An increase in the percentage of stock owned by any one person or entity, or persons or entities acting as a group, as a result of a transaction in which the Company acquires its stock in exchange for property, is treated as an acquisition of stock; or
(b)    A majority of the members of the Board is replaced during any 12‐month period by directors whose appointment or election is not endorsed by a majority of the members of the Board prior to the date of appointment or election; or
(c)    Any one person or entity, or more than one person or entity acting as a group, acquires (or has acquired during the 12‐month period ending on the date of the most recent acquisition by that person or entity or persons or entities acting as a group) assets from the Company that have a total gross fair market value equal to at least 75 percent of the total gross fair market value of all the Company's assets immediately prior to the acquisition or acquisitions.  Gross fair market value means the value of the Company's assets, or the value of the assets being disposed of, without regard to any liabilities associated with these assets.
In determining whether a Change in Control Event has occurred, the attribution rules under Section 318 of the Code will apply to determine stock ownership.  The stock underlying a vested option is treated as owned by the individual who holds the vested option, and the stock underlying an unvested option is not treated as owned by the individual who holds the unvested option.
3.    "Good Reason" shall mean the occurrence of one or more of the following events without your consent:  (a) a material reduction in your base compensation; (b) a material reduction in your authority, duties, or responsibilities as the Company's Vice President, Emerging Business; (c) a material reduction in the authority, duties, or responsibilities of the person or persons to whom you report 

(including, if applicable, a requirement that you report to a Company officer or employee instead of reporting directly to the Board); or (d) a relocation of your principal office to a location that is more than 100 miles from Portland, Oregon; provided, however, that "good reason" shall only be deemed to have occurred if:  (i) within 90 days after the initial existence of the circumstances constituting "Good Reason," you provide the Company with a written notice describing such circumstances; (ii) the Company fails to cure the circumstances within 30 days after the Company receives your notice; and (iii) you terminate your employment with the Company within 90 days of the date of your notice.The Chefs’ Warehouse, Inc. 10-Q

Exhibit 10.1

 

THE CHEFS’ WAREHOUSE, INC. 

RESTRICTED SHARE AWARD AGREEMENT

(Directors)

 

THIS RESTRICTED
SHARE AWARD AGREEMENT (this “Agreement”) is made and entered into as of the ____ day of ______, 20__ (the “Grant
Date”), between The Chefs’ Warehouse, Inc., a Delaware corporation (together with its Subsidiaries, the “Company”),
and ____________ (the “Grantee”). Capitalized terms not otherwise defined herein shall have the meaning ascribed to
such terms in The Chefs’ Warehouse, Inc. 2011 Omnibus Equity Incentive Plan (the “Plan”).

 

WHEREAS,
the Company has adopted the Plan, which permits the issuance of restricted shares of the Company’s common stock, par value
$0.01 per share (the “Common Stock”); and

 

WHEREAS,
pursuant to the Plan, the Committee responsible for administering the Plan has granted an award of restricted shares to the
Grantee as provided herein.

 

NOW, THEREFORE,
in consideration of the mutual covenants hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged, the parties hereto, intending to be legally bound hereby, agree as follows:

 

1.            Grant of Restricted
Shares.

 

(a)         The Company hereby
grants to the Grantee an award (the “Award”) of ______ shares of Common Stock (the “Shares” or the “Restricted
Shares”) on the terms and conditions set forth in this Agreement and as otherwise provided in the Plan.

 

(b)         The
Grantee’s rights with respect to the Award shall remain forfeitable at all times prior to the dates on which the restrictions
shall lapse in accordance with Sections 2 and 3 hereof.

 

2.           Terms and Rights
as a Stockholder.

 

(a)         Except as provided
herein and subject to such other exceptions as may be determined by the Committee in its discretion, the “Restricted Period”
for Restricted Shares granted herein shall expire on the earlier of the first anniversary of the Grant Date or the date of the
subsequent annual meeting of the Company’s stockholders at which any directors are elected.

 

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(b)         The Grantee shall
have all rights of a stockholder with respect to the Restricted Shares, including the right to receive dividends and the right
to vote such Shares, subject to the following restrictions:

 

(i)           the Grantee shall
not be entitled to the removal of the restricted legends or restricted account notices or to delivery of the stock certificate
(if any) for any Shares until the expiration of the Restricted Period as to such Shares and the fulfillment of any other restrictive
conditions set forth herein;

 

(ii)         none of the Restricted
Shares may be sold, assigned, transferred, pledged, hypothecated or otherwise encumbered or disposed of during the Restricted Period
as to such Shares and until the fulfillment of any other restrictive conditions set forth herein; and

 

(iii)        except as otherwise
determined by the Committee at or after the grant of the Award hereunder, all of the Restricted Shares shall be forfeited, and
all rights of the Grantee to such Shares shall terminate, without further obligation on the part of the Company, unless the Grantee
continues his/her service as a director of the Company for the entire Restricted Period.

 

(c)         Notwithstanding
the foregoing, the Restricted Period shall automatically terminate as to all Restricted Shares awarded hereunder (as to which such
Restricted Period has not previously terminated) upon (i) the termination of the Grantee’s service as a director of the Company
which results from the Grantee’s death or Disability, or (ii) a Change in Control.

 

Any Shares, any other securities of
the Company and any other property (except for cash dividends) distributed with respect to the Restricted Shares shall be subject
to the same restrictions, terms and conditions as such Restricted Shares.

 

3.           Termination of
Restrictions. Following the termination of the Restricted Period, and provided that all other restrictive conditions set forth
herein have been met, all restrictions set forth in this Agreement or in the Plan relating to the Restricted Shares shall lapse
and a stock certificate for the appropriate number of Shares, free of the restrictions and restrictive stock legend, shall, upon
request, be delivered to the Grantee or the Grantee’s beneficiary or estate, as the case may be, pursuant to the terms of
this Agreement (or, in the case of book-entry Shares, such restrictions and restricted stock legend shall be removed from the confirmation
and account statements delivered to the Grantee in book-entry form).

 

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4.           Delivery of Shares.

 

(a)         As of the date hereof,
certificates representing the Restricted Shares may be registered in the name of the Grantee and held by the Company or transferred
to a custodian appointed by the Company for the account of the Grantee subject to the terms and conditions of the Plan and shall
remain in the custody of the Company or such custodian until their delivery to the Grantee or Grantee’s beneficiary or estate
as set forth in Sections 4(b) and (c) hereof or their forfeiture or reversion to the Company as set forth in Section
2(b) hereof. The Committee may, in its discretion, provide that Grantee’s ownership of Restricted Shares prior to the
lapse of any transfer restrictions or any other applicable restrictions shall, in lieu of such certificates, be evidenced by a
“book entry” (i.e., a computerized or manual entry) in the records of the Company or its designated agent in accordance
with and subject to the applicable provisions of the Plan.

 

(b)         If certificates shall
have been issued as permitted in Section 4(a) above, the certificates representing Restricted Shares in respect of which
the Restricted Period has lapsed pursuant to this Agreement shall be delivered to the Grantee upon request following the date on
which the restrictions on such Restricted Shares lapse.

 

(c)          If certificates shall
have been issued as permitted in Section 4(a) above, the certificates representing Restricted Shares in respect of which
the Restricted Period lapsed upon the Grantee’s death shall be delivered to the executors or administrators of the Grantee’s
estate as soon as practicable following the receipt of proof of the Grantee’s death satisfactory to the Company.

 

(d)         Any certificate representing
Restricted Shares shall bear (and confirmation and account statements sent to a Grantee with respect to book-entry Shares may bear)
a legend in substantially the following form or substance:

 

THE SHARES OF STOCK REPRESENTED BY THIS
CERTIFICATE MAY NOT BE SOLD, TRANSFERRED, PLEDGED OR OTHERWISE DISPOSED OF WITHOUT REGISTRATION UNDER THE SECURITIES ACT OF 1933
AND UNDER APPLICABLE BLUE SKY LAW OR UNLESS SUCH SALE, TRANSFER, PLEDGE OR OTHER DISPOSITION IS EXEMPT FROM REGISTRATION THEREUNDER.

 

THIS CERTIFICATE AND THE SHARES OF STOCK
REPRESENTED HEREBY ARE SUBJECT TO THE TERMS AND CONDITIONS (INCLUDING FORFEITURE AND RESTRICTIONS AGAINST TRANSFER) CONTAINED IN
THE CHEFS’ WAREHOUSE, INC. 2011 OMNIBUS EQUITY INCENTIVE PLAN (THE “PLAN”) AND THE RESTRICTED SHARE AWARD AGREEMENT
(THE “AGREEMENT”) BETWEEN THE OWNER OF THE RESTRICTED SHARES REPRESENTED HEREBY AND THE CHEFS’ WAREHOUSE, INC.
(THE “COMPANY”). THE RELEASE OF SUCH SHARES FROM SUCH TERMS AND CONDITIONS SHALL BE MADE ONLY IN ACCORDANCE WITH THE
PROVISIONS OF THE PLAN AND THE AGREEMENT AND ALL OTHER APPLICABLE POLICIES AND PROCEDURES OF THE COMPANY, COPIES OF WHICH ARE ON
FILE AT THE COMPANY.

 

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5.           Effect of Lapse
of Restrictions. To the extent that the Restricted Period applicable to any Restricted Shares shall have lapsed, the Grantee
may receive, hold, sell or otherwise dispose of such Shares free and clear of the restrictions imposed under the Plan and this
Agreement upon compliance with applicable legal requirements.

 

6.           No Right to Continued
Service. This Agreement shall not be construed as giving Grantee the right to continue to serve as a director of the Company,
and the Company may at any time dismiss Grantee from service as a director, free from any liability or any claim under the Plan.

 

7.           Adjustments.
The Committee may make equitable and proportionate adjustments in the terms and conditions of, and the criteria included in, this
Award in recognition of unusual or nonrecurring events (and shall make adjustments for the events described in Section 4.2
of the Plan) affecting the Company or the financial statements of the Company or of changes in applicable laws, regulations, or
accounting principles in accordance with the Plan whenever the Committee determines that such events affect the Shares. Any such
adjustments shall be effected in a manner that precludes the material enlargement of rights and benefits under this Award.

 

8.           Amendment to Award.
Subject to the restrictions contained in the Plan, the Committee may waive any conditions or rights under, amend any terms of,
or alter, suspend, discontinue, cancel or terminate, the Award, prospectively or retroactively; provided that any such waiver,
amendment, alteration, suspension, discontinuance, cancellation or termination that would materially and adversely affect the rights
of the Grantee or any holder or beneficiary of the Award shall not to that extent be effective without the consent of the Grantee,
holder or beneficiary affected.

  

9.           Plan Governs.
The Grantee hereby acknowledges receipt of (or electronic link to) a copy of the Plan and agrees to be bound by all the terms and
provisions thereof. The terms of this Agreement are governed by the terms of the Plan, and in the case of any inconsistency between
the terms of this Agreement and the terms of the Plan, the terms of the Plan shall govern.

 

10.         Severability.
If any provision of this Agreement is, or becomes, or is deemed to be invalid, illegal, or unenforceable in any jurisdiction or
as to any Person or the Award, or would disqualify the Plan or Award under any laws deemed applicable by the Committee, such provision
shall be construed or deemed amended to conform to the applicable laws, or if it cannot be construed or deemed amended without,
in the determination of the Committee, materially altering the intent of the Plan or the Award, such provision shall be stricken
as to such jurisdiction, Person or Award, and the remainder of the Plan and Award shall remain in full force and effect.

 

11.         Notices.
All notices required to be given under this Award shall be deemed to be received if delivered or mailed as provided for herein,
to the parties at the following addresses, or to such other address as either party may provide in writing from time to time.

 

	 	To the Company:	The Chefs’ Warehouse, Inc.

 

	 	 	100 East Ridge Road
	 	 	 
	 	 	Ridgefield, CT 06877
	 	 	 
	 	 	Attn: Corporate
Secretary
	 	 	 
	 	To the Grantee:	The address then maintained with respect to the Grantee in the Company’s records.

  

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12.         Governing Law.
The validity, construction and effect of this Agreement shall be determined in accordance with the laws of the State of Delaware
without giving effect to conflicts of laws principles.

 

13.         Successors in
Interest. This Agreement shall inure to the benefit of and be binding upon any successor to the Company. This Agreement shall
inure to the benefit of the Grantee’s legal representatives. All obligations imposed upon the Grantee and all rights granted
to the Company under this Agreement shall be binding upon the Grantee’s heirs, executors, administrators and successors.

 

14.         Resolution of
Disputes. Any dispute or disagreement which may arise under, or as a result of, or in any way related to, the interpretation,
construction or application of this Agreement shall be determined by the Committee. Any determination made hereunder shall be final,
binding and conclusive on the Grantee and the Company for all purposes.

 

(remainder of page left blank intentionally)

 

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IN WITNESS WHEREOF,
the parties have caused this Restricted Share Award Agreement to be duly executed effective as of the day and year first above
written.

 

	 	THE CHEFS’ WAREHOUSE, INC.	 
	 	 	 
	 	By:	 	 
	 	 	 
	 	GRANTEE:	 	 
	 	 	 	 
	 	 	 

  

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