Document:

Exhibit 4.1

 

THE EXECUTIVE NONQUALIFIED EXCESS PLAN

PLAN DOCUMENT

 

 

THE EXECUTIVE NONQUALIFIED EXCESS PLAN

 

Section 1.                                          Purpose:

 

By execution of the Adoption Agreement, the Employer has adopted the Plan set forth herein, and in the Adoption Agreement, to provide a means by which certain management Employees or Independent Contractors of the Employer may elect to defer receipt of current Compensation from the Employer in order to provide retirement and other benefits on behalf of such Employees or Independent Contractors of the Employer, as selected in the Adoption Agreement. The Plan is intended to be a nonqualified deferred compensation plan that complies with the provisions of Section 409A of the Internal Revenue Code (the “Code”). The Plan is also intended to be an unfunded plan maintained primarily for the purpose of providing deferred compensation benefits for a select group of management or highly compensated employees under Sections 201(2), 301(a)(3) and 401(a)(l) of the Employee Retirement Income Security Act of 1974 (“ERISA”) and independent contractors. Notwithstanding any other provision of this Plan, this Plan shall be interpreted, operated and administered in a manner consistent with these intentions.

 

Section 2.                                          Definitions:

 

As used in the Plan, including this Section 2, references to one gender shall include the other, unless otherwise indicated by the context:

 

2.1                               “Active Participant” means, with respect to any day or date, a Participant who is in Service on such day or date; provided, that a Participant shall cease to be an Active Participant (i) immediately upon a determination by the Committee that the Participant has ceased to be an Employee or Independent Contractor, or (ii) at the end of the Plan Year that the Committee determines the Participant no longer meets the eligibility requirements of the Plan.

 

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2.2                               “Adoption Agreement” means the written agreement pursuant to which the Employer adopts the Plan. The Adoption Agreement is a part of the Plan as applied to the Employer.

 

2.3                               “Beneficiary” means the person, persons, entity or entities designated or determined pursuant to the provisions of Section 13 of the Plan.

 

2.4                               “Board” means the Board of Directors of the Company, if the Company is a corporation. If the Company is not a corporation, “Board” shall mean the Company.

 

2.5                               “Change in Control Event” means an event described in Section 409A(a)(2)(A)(v) of the Code (or any successor provision thereto) and the regulations thereunder.

 

2.6                               “Committee” means the persons or entity designated in the Adoption Agreement to administer the Plan. If the Committee designated in the Adoption Agreement is unable to serve, the Employer shall satisfy the duties of the Committee provided for in Section 9.

 

2.7                               “Company” means the company designated in the Adoption Agreement as such.

 

2.8                               “Compensation” shall have the meaning designated in the Adoption Agreement.

 

2.9                               “Crediting Date” means the date designated in the Adoption Agreement for crediting the amount of any Participant Deferral Credits or Employer Credits to the Deferred Compensation Account of a Participant.

 

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2.10                        “Deferred Compensation Account” means the account or accounts maintained with respect to each Participant under the Plan. The Deferred Compensation Account shall be credited with Participant Deferral Credits and Employer Credits, credited or debited for deemed investment gains or losses, and adjusted for payments in accordance with the rules and elections in effect under Section 8. As permitted in the Adoption Agreement, the Deferred Compensation Account of a Participant may consist of one or more accounts including In-Service or Education Accounts, if applicable. A Participant may elect payment options for each account as described in Section 7.1 and deemed investments for each account as described in Section 8.2.

 

2.11                        “Disabled or Disability” means Disabled or Disability within the meaning of Section 409A of the Code and the regulations thereunder. Generally, this means that the Participant is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment which can be expected to result in death or can be expected to last for a continuous period of not less than 12 months, or is, by reason of any medically determinable physical or mental impairment which can be expected to result in death or can be expected to last for a continuous period of not less than 12 months, receiving income replacement benefits for a period of not less than three months under an accident and health plan covering Employees of the Employer.

 

2.12                        “Education Account” is an In-Service Account which will be used by the Participant for educational purposes.

 

2.13                        “Effective Date” shall be the date designated in the Adoption Agreement.

 

2.14                        “Employee” means an individual in the Service of the Employer if the relationship between the individual and the Employer is the legal relationship of employer and employee. An individual shall cease to be an Employee upon the Employee’s Separation from Service.

 

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2.15                        “Employer” means the Company, as identified in the Adoption Agreement, and any Participating Employer which adopts this Plan. An Employer may be a corporation, a limited liability company, a partnership or sole proprietorship.

 

2.16                        “Employer Credits” means the amounts credited to the Participant’s Deferred Compensation Account by the Employer pursuant to the provisions of Section 4.2.

 

2.17                        “Grandfathered Amounts” means, if applicable, the amounts that were deferred under the Plan and were earned and vested within the meaning of Section 409A of the Code and regulations thereunder as of December 31, 2004. Grandfathered Amounts shall be subject to the terms designated in the Plan which were in effect as of October 3, 2004.

 

2.18                        “Independent Contractor” means an individual in the Service of the Employer if the relationship between the individual and the Employer is not the legal relationship of employer and employee. An individual shall cease to be an Independent Contractor upon the termination of the Independent Contractor’s Service. An Independent Contractor shall include a director of the Employer who is not an Employee.

 

2.19                        “In-Service Account” means a separate account to be kept for each Participant that has elected to take in-service distributions as described in Section 5.4. The In-Service Account shall be adjusted in the same manner and at the same time as the Deferred Compensation Account under Section 8 and in accordance with the rules and elections in effect under Section 8.

 

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2.20                        “Normal Retirement Age” of a Participant means the age designated in the Adoption Agreement.

 

2.21                        “Participant” means with respect to any Plan Year an Employee or Independent Contractor who has been designated by the Committee as a Participant and who has entered the Plan or who has a Deferred Compensation Account under the Plan; provided that if the Participant is an Employee, the individual must be a highly compensated or management employee of the Employer within the meaning of Sections 201(2), 301(a)(3) and 401(a)(1) of ERISA.

 

2.22                        “Participant Deferral Credits” means the amounts credited to the Participant’s Deferred Compensation Account by the Employer pursuant to the provisions of Section 4.1.

 

2.23                        “Participating Employer” means any trade or business (whether or not incorporated) which adopts this Plan with the consent of the Company identified in the Adoption Agreement.

 

2.24                        “Participation Agreement” means a written agreement entered into between a Participant and the Employer pursuant to the provisions of Section 4.1

 

2.25                        “Performance-Based Compensation” means compensation where the amount of, or entitlement to, the compensation is contingent on the satisfaction of preestablished organizational or individual performance criteria relating to a performance period of at least twelve months. Organizational or individual performance criteria are considered preestablished if established in writing within 90 days after the commencement of the period of service to which the criteria relates, provided that the outcome is substantially uncertain at the time the criteria are established. Performance-based compensation may include payments based upon subjective performance criteria as provided in regulations and administrative guidance promulgated under Section 409A of the Code.

 

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2.26                        “Plan” means The Executive Nonqualified Excess Plan, as herein set out and as set out in the Adoption Agreement, or as duly amended. The name of the Plan as applied to the Employer shall be designated in the Adoption Agreement.

 

2.27                        “Plan-Approved Domestic Relations Order” shall mean a judgment, decree, or order (including the approval of a settlement agreement) which is:

 

2.27.1              Issued pursuant to a State’s domestic relations law;

 

2.27.2              Relates to the provision of child support, alimony payments or marital property rights to a Spouse, former Spouse, child or other dependent of the Participant;

 

2.27.3              Creates or recognizes the right of a Spouse, former Spouse, child or other dependent of the Participant to receive all or a portion of the Participant’s benefits under the Plan;

 

2.27.4              Requires payment to such person of their interest in the Participant’s benefits in a lump sum payment at a specific time; and

 

2.27.5              Meets such other requirements established by the Committee.

 

2.28                        “Plan Year” means the twelve-month period ending on the last day of the month designated in the Adoption Agreement; provided that the initial Plan Year may have fewer than twelve months.

 

2.29                        “Qualifying Distribution Event” means (i) the Separation from Service of the Participant, (ii) the date the Participant becomes Disabled, (iii) the death of the Participant, (iv) the time specified by the Participant for an In-Service or Education Distribution, (v) a Change in Control Event, or (vi) an Unforeseeable Emergency, each to the extent provided in Section 5.

 

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2.30                        “Seniority Date” shall have the meaning designated in the Adoption Agreement.

 

2.31                        “Separation from Service” or “Separates from Service” means a “separation from service” within the meaning of Section 409A of the Code.

 

2.32                        “Service” as an Employee means employment by the Employer. For purposes of the Plan, the employment relationship is treated as continuing intact while the Employee is on military leave, sick leave, or other bona fide leave of absence if the period of such leave does not exceed six months, or if longer, so long as the Employee’s right to reemployment is provided either by statute or contract. If the Participant is an Independent Contractor, “Service” shall mean the period during which the contractual relationship exists between the Employer and the Participant. The contractual relationship is not terminated if the Participant anticipates a renewal of the contract or becomes an Employee.

 

2.33                        “Service Bonus” means any bonus paid to a Participant by the Employer which is not Performance-Based Compensation.

 

2.34                        “Specified Employee” means an Employee who meets the requirements for key employee treatment under Section 416(i)(l)(A)(i), (ii) or (iii) of the Code (applied in accordance with the regulations thereunder and without regard to Section 416(i)(5) of the Code) at any time during the twelve month period ending on December 31 of each year (the “identification date”). If the person is a key employee as of any identification date, the person is treated as a Specified Employee for the twelve-month period beginning on the first day of the fourth month following the identification date. Unless binding corporate action is taken to establish different rules for determining Specified Employees for all plans of the Company and its controlled group members that are subject to Section 409A of the Code, the foregoing rules and the other default rules under the regulations of Section 409A of the Code shall apply.

 

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2.35                        “Spouse” or ‘‘Surviving Spouse” means, except as otherwise provided in the Plan, a person who is the legally married spouse or surviving spouse of a Participant.

 

2.36                        “Unforeseeable Emergency” means an “unforeseeable emergency” within the meaning of Section 409A of the Code.

 

2.37                        “Years of Service” means each Plan Year of Service completed by the Participant. For vesting purposes, Years of Service shall be calculated from the date designated in the Adoption Agreement and Service shall be based on service with the Company and all Participating Employers.

 

Section 3.                                          Participation:

 

The Committee in its discretion shall designate each Employee or Independent Contractor who is eligible to participate in the Plan. A Participant who Separates from Service with the Employer and who later returns to Service will not be an Active Participant under the Plan except upon satisfaction of such terms and conditions as the Committee shall establish upon the Participant’s return to Service, whether or not the Participant shall have a balance remaining in his Deferred Compensation Account under the Plan on the date of the return to Service.

 

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Section 4.                                          Credits to Deferred Compensation Account:

 

4.1                               Participant Deferral Credits. To the extent provided in the Adoption Agreement, each Active Participant may elect, by entering into a Participation Agreement with the Employer, to defer the receipt of Compensation from the Employer by a dollar amount or percentage specified in the Participation Agreement. The amount of Compensation the Participant elects to defer, the Participant Deferral Credit, shall be credited by the Employer to the Deferred Compensation Account maintained for the Participant pursuant to Section 8. The following special provisions shall apply with respect to the Participant Deferral Credits of a Participant:

 

4.1.1                     The Employer shall credit to the Participant’s Deferred Compensation Account on each Crediting Date an amount equal to the total Participant Deferral Credit for the period ending on such Crediting Date.

 

4.1.2                     An election pursuant to this Section 4.1 shall be made by the Participant by executing and delivering a Participation Agreement to the Committee. Except as otherwise provided in this Section 4.1, the Participation Agreement shall become effective with respect to such Participant as of the first day of January following the date such Participation Agreement is received by the Committee. A Participant’s election may be changed at any time prior to the last permissible date for making the election as permitted in this Section 4.1, and shall thereafter be irrevocable. Any election of a Participant shall continue in effect for the time period as set forth in the Adoption Agreement and shall be described as evergreen or non-evergreen as appropriate.

 

4.1.3                     A Participant may execute and deliver a Participation Agreement to the Committee within 30 days after the date the Participant first becomes eligible to participate in the Plan. After the 30 day period expires, or after any shorter time period as agreed to by the Participant and the Committee, the latest election made by the Participant during that period becomes irrevocable. Such election shall then be effective as of the first payroll period commencing following the date the Participation Agreement becomes irrevocable. Whether a Participant is treated as newly eligible for participation under this Section shall be determined in accordance with Section 409A of the Code and the regulations thereunder, including (i) rules that treat all elective deferral account balance plans as one plan, and (ii) rules that treat a previously eligible Employee as newly eligible if his benefits had been previously distributed or if he has been ineligible for 24 months. For Compensation that is earned based upon a specified performance period (for example, an annual bonus), where a deferral election is made under this Section but after the beginning of the performance period, the election will only apply to the portion of the Compensation equal to the total amount of the Compensation for the service period multiplied by the ratio of the number of days remaining in the performance period after the date the election becomes irrevocable over the total number of days in the performance period.

 

4.1.4                     A Participant may unilaterally modify a Participation Agreement (either to terminate, increase or decrease the portion of his future Compensation which is subject to deferral within the percentage limits set forth in Section 4.1 of the Adoption Agreement) by providing a written modification of the Participation Agreement to the Committee. The modification shall become effective as of the first day of January following the date such written modification is received by the Committee, or at such later date as required under Section 409A of the Code.

 

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4.1.5                     If the Participant performed services continuously from the later of the beginning of the performance period or the date upon which the performance criteria are established through the date upon which the Participant makes an initial deferral election, a Participation Agreement relating to the deferral of Performance-Based Compensation may be executed and delivered to the Committee no later than the date which is 6 months prior to the end of the performance period, provided that in no event may an election to defer Performance-Based Compensation be made after such Compensation has become readily ascertainable.

 

4.1.6                     If the Employer has a fiscal year other than the calendar year, Compensation relating to Service in the fiscal year of the Employer (such as a bonus based on the fiscal year of the Employer), of which no amount is paid or payable during the fiscal year, may be deferred at the Participant’s election if the election to defer is made not later than the close of the Employer’s fiscal year next preceding the first fiscal year in which the Participant performs any services for which such Compensation is payable.

 

4.1.7                     Compensation payable after the last day of the Participant’s taxable year solely for services provided during the final payroll period containing the last day of the Participant’s taxable year (i.e., December 31) is treated for purposes of this Section 4.1 as Compensation for services performed in the subsequent taxable year.

 

4.1.8                     The Committee may from time to time establish policies or rules consistent with the requirements of Section 409A of the Code to govern the manner in which Participant Deferral Credits may be made.

 

4.1.9                     If a Participant becomes Disabled all currently effective deferral elections for such Participant shall be cancelled. At the time the participant is no longer Disabled, subsequent elections to defer future compensation will be permitted under this Section 4.

 

4.1.10              If a Participant applies for and receives a distribution on account of an Unforeseeable Emergency, all currently effective deferral elections for such Participant shall be cancelled. Subsequent elections to defer future compensation will be permitted under this Section 4.

 

4.1.11              If a Participant receives a hardship distribution from a 401(k) or a 403(b) plan that requires all currently effective deferral elections under all plans maintained by the Employer to be cancelled, then all currently effective deferral elections shall be cancelled until the later of the beginning of the next calendar year or six months after the date of the hardship distribution. Subsequent elections to defer future compensation under this Section 4 will not be effective until the later of the beginning of the next calendar year or six months after the date of the hardship distribution. If the effective date of such an election occurs after the beginning of the next calendar year, as permitted by the Employer, a Participant may make elections for the next calendar year prior to January 1st of the next calendar year, but these elections will not become effective until the end of the six-month waiting period.

 

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4.2          Employer Credits. If designated by the Employer in the Adoption Agreement, the Employer shall cause the Committee to credit to the Deferred Compensation Account of each Active Participant an Employer Credit as determined in accordance with the Adoption Agreement. A Participant must make distribution elections with respect to any Employer Credits credited to his Deferred Compensation Account by the deadline that would apply under Section 4.1 for distribution elections with respect to Participant Deferral Credits credited at the same time, on a Participation Agreement that is timely executed and delivered to the Committee pursuant to Section 4.1. If no distribution election is made, vested amounts in the Deferred Compensation Account will be distributed in a lump sum upon the earliest of any Qualifying Distribution Event limited to Separation from Service, Disability, Death or Change in Control.

 

4.3          Deferred Compensation Account. All Participant Deferral Credits and Employer Credits shall be credited to the Deferred Compensation Account of the Participant as provided in Section 8.

 

Section 5.              Qualifying Distribution Events:

 

5.1          Separation from Service. If the Participant Separates from Service with the Employer, the vested balance in the Deferred Compensation Account shall be paid to the Participant by the Employer as provided in Section 7. Notwithstanding the foregoing, no distribution shall be made earlier than six months after the date of Separation from Service (or, if earlier, the date of death) with respect to a Participant who as of the date of Separation from Service is a Specified Employee of a corporation the stock in which is traded on an established securities market or otherwise. Any payments to which such Specified Employee would be entitled during the first six months following the date of Separation from Service shall be accumulated and paid on the first day of the seventh month following the date of Separation from Service, and shall be adjusted for deemed investment gain and loss incurred during the six month period.

 

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5.2          Disability. If the Employer designates in the Adoption Agreement that distributions are permitted under the Plan when a Participant becomes Disabled, and the Participant becomes Disabled while in Service, the vested balance in the Deferred Compensation Account shall be paid to the Participant by the Employer as provided in Section 7.

 

5.3          Death. If the Participant dies while in Service, the Employer shall pay a benefit to the Participant’s Beneficiary in the amount designated in the Adoption Agreement. Payment of such benefit shall be made by the Employer as provided in Section 7.

 

5.4          In-Service or Education Distributions. If the Employer designates in the Adoption Agreement that in-service or education distributions are permitted under the Plan, a Participant may designate in the Participation Agreement to have a specified amount credited to the Participant’s In-Service or Education Account for in-service or education distributions at the date specified by the Participant. In no event may an in-service or education distribution of an amount be made before the date that is two years after the first day of the year in which any deferral election to such In-Service or Education Account became effective. Notwithstanding the foregoing, if a Participant incurs a Qualifying Distribution Event prior to the date on which the entire balance in the In-Service or Education Account has been distributed, then the vested balance in the In-Service or Education Account on the date of the Qualifying Distribution Event shall be paid as provided under Section 7.1 for payments on such Qualifying Distribution Event.

 

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5.5          Change in Control Event. If the Employer designates in the Adoption Agreement that distributions are permitted under the Plan upon the occurrence of a Change in Control Event, the Participant may designate in the Participation Agreement to have the vested balance in the Deferred Compensation Account paid to the Participant upon a Change in Control Event by the Employer as provided in Section 7.

 

5.6          Unforeseeable Emergency. If the Employer designates in the Adoption Agreement that distributions are permitted under the Plan upon the occurrence of an Unforeseeable Emergency event, a distribution from the Deferred Compensation Account may be made to a Participant in the event of an Unforeseeable Emergency, subject to the following provisions:

 

5.6.1       A Participant may, at any time prior to his Separation from Service for any reason, make application to the Committee to receive a distribution in a lump sum of all or a portion of the vested balance in the Deferred Compensation Account (determined as of the date the distribution, if any, is made under this Section 5.6) because of an Unforeseeable Emergency. A distribution because of an Unforeseeable Emergency shall not exceed the amount required to satisfy the Unforeseeable Emergency plus amounts necessary to pay taxes reasonably anticipated as a result of such distribution, after taking into account the extent to which the Unforeseeable Emergency may be relieved through reimbursement or compensation by insurance or otherwise or by liquidation of the Participant’s assets (to the extent the liquidation of such assets would not itself cause severe financial hardship) or by stopping current deferrals under the Plan pursuant to Section 4.1.10.

 

5.6.2       The Participant’s request for a distribution on account of Unforeseeable Emergency must be made in writing to the Committee. The request must specify the nature of the financial hardship, the total amount requested to be distributed from the Deferred Compensation Account, and the total amount of the actual expense incurred or to be incurred on account of the Unforeseeable Emergency.

 

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5.6.3       If a distribution under this Section 5.6 is approved by the Committee, such distribution will be made as soon as practicable following the date it is approved. The processing of the request shall be completed as soon as practicable from the date on which the Committee receives the properly completed written request for a distribution on account of an Unforeseeable Emergency. If a Participant’s Separation from Service occurs after a request is approved in accordance with this Section 5.6.3, but prior to distribution of the full amount approved, the approval of the request shall be automatically null and void and the benefits which the Participant is entitled to receive under the Plan shall be distributed in accordance with the applicable distribution provisions of the Plan.

 

5.6.4       The Committee may from time to time adopt additional policies or rules consistent with the requirements of Section 409A of the Code to govern the manner in which such distributions may be made so that the Plan may be conveniently administered.

 

Section 6.              Vesting:

 

A Participant shall be fully vested in the portion of his Deferred Compensation Account attributable to Participant Deferral Credits, and all income, gains and losses attributable thereto. A Participant shall become fully vested in the portion of his Deferred Compensation Account attributable to Employer Credits, and income, gains and losses attributable thereto, in accordance with the vesting schedule and provisions designated by the Employer in the Adoption Agreement. If a Participant’s Deferred Compensation Account is not fully vested upon Separation from Service, the portion of the Deferred Compensation Account that is not fully vested shall thereupon be forfeited.

 

Section 7.              Distribution Rules:

 

7.1          Payment Options. The Employer shall designate in the Adoption Agreement the payment options which may be elected by the Participant (lump sum, annual installments, or a combination of both). Different payment options may be made available for each Qualifying Distribution Event, and different payment options may be available for different types of Separations from Service, all as designated in the Adoption Agreement. The Participant shall elect in the Participation Agreement the method under which the vested balance in the Deferred Compensation Account will be distributed from among the designated payment options. The Participant may at such time elect a different method of payment for each Qualifying Distribution Event as specified in the Adoption Agreement. If the Participant is permitted by the Employer in the Adoption Agreement to elect different payment options and does not make a valid election, the vested balance in the Deferred Compensation Account will be distributed as a lump sum upon the Qualifying Distribution Event.

 

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Notwithstanding the foregoing, if certain Qualifying Distribution Events occur prior to the date on which the vested balance of a Participant’s Deferred Compensation Account is completely paid pursuant to this Section 7.1 following the occurrence of certain Qualifying Distribution Events, the following rules apply:

 

7.1.1       If the currently effective Qualifying Distribution Event is a Separation from Service or Disability, and the Participant subsequently dies, the remaining unpaid vested balance of a Participant’s Deferred Compensation Account shall be paid as a lump sum.

 

7.1.2       If the currently effective Qualifying Distribution Event is a Change in Control Event, and any subsequent Qualifying Distribution Event occurs (except an In-Service or Education Distribution described in Section 2.29(iv)), the remaining unpaid vested balance of a Participant’s Deferred Compensation Account shall be paid as provided under Section 7.1 for payments on such subsequent Qualifying Distribution Event.

 

7.2          Timing of Payments. Payment shall be made in the manner elected by the Participant and shall commence as soon as practicable after (but no later than 60 days after) the distribution date specified for the Qualifying Distribution Event. For each payment, the Committee must specify a date for the Deferred Compensation Account(s) to be valued. In the event the Participant fails to make a valid election of the payment method, the distribution will be made in a single lump sum payment as soon as practicable after (but no later than 60 days after) the Qualifying Distribution Event. A payment may be further delayed to the extent permitted in accordance with regulations and guidance under Section 409A of the Code.

 

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7.3          Installment Payments. If the Participant elects to receive installment payments upon a Qualifying Distribution Event, the payment of each installment shall be made on the anniversary of the date of the first installment payment, and the amount of the installment shall be adjusted on such anniversary for credits or debits to the Participant’s account pursuant to Section 8 of the Plan. Such adjustment shall be made by dividing the balance in the Deferred Compensation Account on such date by the number of installments remaining to be paid hereunder; provided that the last installment due under the Plan shall be the entire amount credited to the Participant’s account on the date of payment.

 

7.4          De Minimis Amounts. Notwithstanding any payment election made by the Participant, if the Employer designates a pre-determined de minimis amount in the Adoption Agreement, the vested balance in all Deferred Compensation Accounts of the Participant will be distributed in a single lump sum payment if at the time of a permitted Qualifying Distribution Event the vested balance does not exceed such pre-determined de minimis amount; provided, however, that such distribution will be made only where the Qualifying Distribution Event is a Separation from Service, death, Disability (if applicable) or Change in Control Event (if applicable). Such payment shall be made on or before the later of (i) December 31 of the calendar year in which the Qualifying Distribution Event occurs, or (ii) the date that is 2-1/2 months after the Qualifying Distribution Event occurs. In addition, the Employer may distribute a Participant’s vested balance in all of the Participant’s Deferred Compensation Accounts at any time if the balance does not exceed the limit in Section 402(g)(1)(B) of the Code and results in the termination of the Participant’s entire interest in the Plan as provided under Section 409A of the Code.

 

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7.5          Subsequent Elections. With the consent of the Committee, a Participant may delay or change the method of payment of the Deferred Compensation Account subject to the following requirements:

 

7.5.1       The new election may not take effect until at least 12 months after the date on which the new election is made.

 

7.5.2       If the new election relates to a payment for a Qualifying Distribution Event other than the death of the Participant, the Participant becoming Disabled, or an Unforeseeable Emergency, the new election must provide for the deferral of the payment for a period of at least five years from the date such payment would otherwise have been made.

 

7.5.3       If the new election relates to a payment from the In-Service or Education Account, the new election must be made at least 12 months prior to the date of the first scheduled payment from such account.

 

For purposes of this Section 7.5 and Section 7.6, a payment is each separately identified amount to which the Participant is entitled under the Plan; provided, that entitlement to a series of installment payments is treated as the entitlement to a single payment.

 

7.6          Acceleration Prohibited. The acceleration of the time or schedule of any payment due under the Plan is prohibited except as expressly provided in regulations and administrative guidance promulgated under Section 409A of the Code (such as accelerations for domestic relations orders and employment taxes). It is not an acceleration of the time or schedule of payment if the Employer waives or accelerates the vesting requirements applicable to a benefit under the Plan.

 

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7.7          Residual Distributions. If calculation of the amount of any credit to a Participant’s Deferred Compensation Account is not administratively practicable due to events beyond the control of the Employer, payments may be made to the Participant for residual amounts contributed to or remaining in a Deferred Compensation Account after payments under the provisions of this Section 7 have commenced or been completed. The residual amount shall be credited to the Deferred Compensation Account when the calculation of the amount becomes administratively practicable. Examples of residual amounts include, but are not limited to, additional investment returns credited after payment (due to dividends or pricing changes) or additional contributions made after payment (such as an annual bonus deferral or an Employer Credit). Payments that would have been made had the residual amount been calculable at the benefit commencement date shall be made up as soon as practicable after crediting to the Deferred Compensation Account, in no case later than the end of the year in which calculation of the amount becomes administratively practicable.

 

7.8          Ineffective Deferrals. If a Participant deferral election under Section 4 to contribute to an In-Service or Education Account carries over to a subsequent year (an evergreen election) and the deferral election is ineffective (i.e., the distribution election would cause payment in the current or prior years), the amount deferred will be credited to a Deferred Compensation Account that is not an In-Service or Education Account. If the Participant only has one account of this type, the amount deferred will be credited to that account. If the Participant has multiple accounts of this type, and one of the accounts has a lump sum at Separation from Service distribution election, the amount deferred will be credited to that account. If the Participant has multiple accounts of this type and does not have an account with a lump sum at Separation from Service distribution election, one will be established with a lump sum at Separation from Service distribution election and the amount deferred will be credited to this account.

 

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Section 8.              Accounts; Deemed Investment; Adjustments to Account:

 

8.1          Accounts. The Committee shall establish a book reserve account, entitled the “Deferred Compensation Account,” on behalf of each Participant. The Committee shall also establish an In-Service or Education Account as a part of the Deferred Compensation Account of each Participant, if applicable. The amount credited to the Deferred Compensation Account shall be adjusted pursuant to the provisions of Section 8.3.

 

8.2          Deemed Investments. The Deferred Compensation Account of a Participant shall be credited with an investment return determined as if the account were invested in one or more investment funds made available by the Committee. The Participant shall elect the investment funds in which his Deferred Compensation Account shall be deemed to be invested. Such election shall be made in the manner prescribed by the Committee and shall take effect upon the entry of the Participant into the Plan. The investment election of the Participant shall remain in effect until a new election is made by the Participant. In the event the Participant fails for any reason to make an effective election of the investment return to be credited to his account, the investment return shall be determined by the Committee.

 

8.3          Adjustments to Deferred Compensation Account. With respect to each Participant who has a Deferred Compensation Account under the Plan, the amount credited to such account shall be adjusted by the following debits and credits, at the times and in the order stated:

 

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8.3.1       The Deferred Compensation Account shall be debited each business day with the total amount of any payments made from such account since the last preceding business day to him or for his benefit. Unless otherwise specified by the Employer, each deemed investment fund will be debited pro-rata based on the value of the investment funds as of the end of the preceding business day.

 

8.3.2       The Deferred Compensation Account shall be credited on each Crediting Date with the total amount of any Participant Deferral Credits and Employer Credits to such account since the last preceding Crediting Date.

 

8.3.3       The Deferred Compensation Account shall be credited or debited on each day securities are traded on a national stock exchange with the amount of deemed investment gain or loss resulting from the performance of the deemed investment funds elected by the Participant in accordance with Section 8.2. The amount of such deemed investment gain or loss shall be determined by the Committee and such determination shall be final and conclusive upon all concerned.

 

Section 9.              Administration by Committee:

 

9.1          Membership of Committee. If the Committee consists of individuals appointed by the Board, they will serve at the pleasure of the Board. Any member of the Committee may resign, and his successor, if any, shall be appointed by the Board.

 

9.2          General Administration. The Committee shall be responsible for the operation and administration of the Plan and for carrying out its provisions. The Committee shall have the full authority and discretion to make, amend, interpret, and enforce all appropriate rules and regulations for the administration of this Plan and decide or resolve any and all questions, including interpretations of this Plan, as may arise in connection with this Plan. Any such action taken by the Committee shall be final and conclusive on any party. To the extent the Committee has been granted discretionary authority under the Plan, the Committee’s prior exercise of such authority shall not obligate it to exercise its authority in a like fashion thereafter. The Committee shall be entitled to rely conclusively upon all tables, valuations, certificates, opinions and reports furnished by any actuary, accountant, controller, counsel or other person employed or engaged by the Employer with respect to the Plan. The Committee may, from time to time, employ agents and delegate to such agents, including Employees of the Employer, such administrative or other duties as it sees fit.

 

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9.3          Indemnification. To the extent not covered by insurance, the Employer shall indemnify the Committee, each Employee, officer, director, and agent of the Employer, and all persons formerly serving in such capacities, against any and all liabilities or expenses, including all legal fees relating thereto, arising in connection with the exercise of their duties and responsibilities with respect to the Plan, provided however that the Employer shall not indemnify any person for liabilities or expenses due to that person’s own gross negligence or willful misconduct.

 

Section 10.            Contractual Liability, Trust:

 

10.1        Contractual Liability. Unless otherwise elected in the Adoption Agreement, the Company shall be obligated to make all payments hereunder. This obligation shall constitute a contractual liability of the Company to the Participants, and such payments shall be made from the general funds of the Company. The Company shall not be required to establish or maintain any special or separate fund, or otherwise to segregate assets to assure that such payments shall be made, and the Participants shall not have any interest in any particular assets of the Company by reason of its obligations hereunder. To the extent that any person acquires a right to receive payment from the Company under the Plan, such right shall be no greater than the right of an unsecured creditor of the Company.

 

10.2        Trust. The Employer may establish a trust to assist it in meeting its obligations under the Plan. Any such trust shall conform to the requirements of a grantor trust under Revenue Procedures 92-64 and 92-65 and at all times during the continuance of the trust the principal and income of the trust shall be subject to claims of general creditors of the Employer under federal and state law. The establishment of such a trust would not be intended to cause Participants to realize current income on amounts contributed thereto, and the trust would be so interpreted and administered.

 

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Section 11.                                   Allocation of Responsibilities:

 

The persons responsible for the Plan and the duties and responsibilities allocated to each are as follows:

 

11.1                        Board.

 

(i)                                    To amend the Plan;

 

(ii)                                To appoint and remove members of the Committee; and

 

(iii)                            To terminate the Plan as permitted in Section 14.

 

11.2                        Committee.

 

(i)                                    To designate Participants;

 

(ii)                                To interpret the provisions of the Plan and to determine the rights of the Participants under the Plan, except to the extent otherwise provided in Section 16 relating to claims procedure;

 

(iii)                            To administer the Plan in accordance with its terms, except to the extent powers to administer the Plan are specifically delegated to another person or persons as provided in the Plan;

 

(iv)                             To account for the amount credited to the Deferred Compensation Account of a Participant;

 

(v)                                 To direct the Employer in the payment of benefits;

 

(vi)                             To file such reports as may be required with the United States Department of Labor, the Internal Revenue Service and any other government agency to which reports may be required to be submitted from time to time; and

 

(vii)                         To administer the claims procedure to the extent provided in Section 16.

 

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Section 12.                                   Benefits Not Assignable; Facility of Payments:

 

12.1                        Benefits Not Assignable. No portion of any benefit credited or paid under the Plan with respect to any Participant shall be subject in any manner to anticipation, alienation, sale, transfer, assignment, pledge, encumbrance or charge, and any attempt so to anticipate, alienate, sell, transfer, assign, pledge, encumber or charge the same shall be void, nor shall any portion of such benefit be in any manner payable to any assignee, receiver or any one trustee, or be liable for his debts, contracts, liabilities, engagements or torts.

 

12.2                        Plan-Approved Domestic Relations Orders. The Committee shall establish procedures for determining whether an order directed to the Plan is a Plan-Approved Domestic Relations Order. If the Committee determines that an order is a Plan-Approved Domestic Relations Order, the Committee shall cause the payment of amounts pursuant to or segregate a separate account as provided by (and to prevent any payment or act which might be inconsistent with) the Plan-Approved Domestic Relations Order notwithstanding Section 12.1.

 

12.3                        Payments to Minors and Others. If any individual entitled to receive a payment under the Plan shall be physically, mentally or legally incapable of receiving or acknowledging receipt of such payment, the Committee, upon the receipt of satisfactory evidence of his incapacity and satisfactory evidence that another person or institution is maintaining him and that no guardian or committee has been appointed for him, may cause any payment otherwise payable to him to be made to such person or institution so maintaining him. Payment to such person or institution shall be in full satisfaction of all claims by or through the Participant to the extent of the amount thereof.

 

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Section 13.                                   Beneficiary:

 

The Participant’s Beneficiary shall be the person, persons, entity or entities designated by the Participant on the Beneficiary designation form provided by and filed with the Committee or its designee. If the Participant does not designate a Beneficiary, the Beneficiary shall be his Surviving Spouse. If the Participant does not designate a Beneficiary and has no Surviving Spouse, the Beneficiary shall be the Participant’s estate. The designation of a Beneficiary may be changed or revoked only by filing a new Beneficiary designation form with the Committee or its designee. If a Beneficiary (the “primary Beneficiary”) is receiving or is entitled to receive payments under the Plan and dies before receiving all of the payments due him, the balance to which he is entitled shall be paid to the contingent Beneficiary, if any, named in the Participant’s current Beneficiary designation form. If there is no contingent Beneficiary, the balance shall be paid to the estate of the primary Beneficiary. Any Beneficiary may disclaim all or any part of any benefit to which such Beneficiary shall be entitled hereunder by filing a written disclaimer with the Committee before payment of such benefit is to be made. Such a disclaimer shall be made in a form satisfactory to the Committee and shall be irrevocable when filed. Any benefit disclaimed shall be payable from the Plan in the same manner as if the Beneficiary who filed the disclaimer had predeceased the Participant.

 

Section 14.                                   Amendment and Termination of Plan:

 

The Company may amend any provision of the Plan or terminate the Plan at any time; provided, that in no event shall such amendment or termination reduce the balance in any Participant’s Deferred Compensation Account as of the date of such amendment or termination, nor shall any such amendment materially adversely affect the Participant relating to the payment of such Deferred Compensation Account. Notwithstanding the foregoing, the following special provisions shall apply:

 

14.1                        Termination in the Discretion of the Employer. Except as otherwise provided in Sections 14.2, the Company in its discretion may terminate the Plan and distribute benefits to Participants subject to the following requirements and any others specified under Section 409A of the Code:

 

14.1.1              All arrangements sponsored by the Employer that would be aggregated with the Plan under Section 1.409A-l(c) of the Treasury Regulations are terminated.

 

14.1.2              No payments other than payments that would be payable under the terms of the Plan if the termination had not occurred are made within 12 months of the termination date.

 

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14.1.3              All benefits under the Plan are paid within 24 months of the termination date.

 

14.1.4              The Employer does not adopt a new arrangement that would be aggregated with the Plan under Section 1.409A-1(c) of the Treasury Regulations providing for the deferral of compensation at any time within 3 years following the date of termination of the Plan.

 

14.1.5              The termination does not occur proximate to a downturn in the financial health of the Employer.

 

14.2                        Termination Upon Change in Control Event. If the Company terminates the Plan within thirty days preceding or twelve months following a Change in Control Event, the Deferred Compensation Account of each Participant shall become payable to the Participant in a lump sum within twelve months following the date of termination, subject to the requirements of Section 409A of the Code.

 

Section 15.                                   Communication to Participants:

 

The Employer shall make a copy of the Plan available for inspection by Participants and their beneficiaries during reasonable hours at the principal office of the Employer.

 

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Section 16.                                   Claims Procedure:

 

The following claims procedure shall apply with respect to the Plan:

 

16.1                        Filing of a Claim for Benefits. If a Participant or Beneficiary (the “claimant”) believes that he is entitled to benefits under the Plan which are not being paid to him or which are not being accrued for his benefit, he shall file a written claim therefore with the Committee.

 

16.2                        Notification to Claimant of Decision. Within 90 days after receipt of a claim by the Committee (or within 180 days if special circumstances require an extension of time), the Committee shall notify the claimant of the decision with regard to the claim. In the event of such special circumstances requiring an extension of time, there shall be furnished to the claimant prior to expiration of the initial 90-day period written notice of the extension, which notice shall set forth the special circumstances and the date by which the decision shall be furnished. If such claim shall be wholly or partially denied, notice thereof shall be in writing and worded in a manner calculated to be understood by the claimant, and shall set forth: (i) the specific reason or reasons for the denial; (ii) specific reference to pertinent provisions of the Plan on which the denial is based; (iii) a description of any additional material or information necessary for the claimant to perfect the claim and an explanation of why such material or information is necessary; and (iv) an explanation of the procedure for review of the denial and the time limits applicable to such procedures, including a statement of the claimant’s right to bring a civil action under ERISA following an adverse benefit determination on review.

 

16.3                        Procedure for Review. Within 60 days following receipt by the claimant of notice denying his claim, in whole or in part, or, if such notice shall not be given, within 60 days following the latest date on which such notice could have been timely given, the claimant may appeal denial of the claim by filing a written application for review with the Committee. Following such request for review, the Committee shall fully and fairly review the decision denying the claim. Prior to the decision of the Committee, the claimant shall be given an opportunity to review pertinent documents and to submit issues and comments in writing.

 

26

 

16.4                        Decision on Review. The decision on review of a claim denied in whole or in part by the Committee shall be made in the following manner:

 

16.4.1              Within 60 days following receipt by the Committee of the request for review (or within 120 days if special circumstances require an extension of time), the Committee shall notify the claimant in writing of its decision with regard to the claim. In the event of such special circumstances requiring an extension of time, written notice of the extension shall be furnished to the claimant prior to the commencement of the extension.

 

16.4.2              With respect to a claim that is denied in whole or in part, the decision on review shall set forth specific reasons for the decision, shall be written in a manner calculated to be understood by the claimant, and shall set forth:

 

(i)                        the specific reason or reasons for the adverse determination;

 

(ii)                    specific reference to pertinent Plan provisions on which the adverse determination is based;

 

(iii)                a statement that the claimant is entitled to receive, upon request and free of charge, reasonable access to, and copies of, all documents, records, and other information relevant to the claimant’s claim for benefits; and

 

(iv)                 a statement describing any voluntary appeal procedures offered by the Plan and the claimant’s right to obtain the information about such procedures, as well as a statement of the claimant’s right to bring an action under ERISA section 502(a).

 

16.4.3              The decision of the Committee shall be final and conclusive.

 

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16.5                        Action by Authorized Representative of Claimant. All actions set forth in this Section 16 to be taken by the claimant may likewise be taken by a representative of the claimant duly authorized by him to act in his behalf on such matters. The Committee may require such evidence of the authority to act of any such representative as it may reasonably deem necessary or advisable.

 

16.6                        Disability Claims

 

Notwithstanding any provision of the Plan to the contrary, if a claim for benefits is based on Disability, the following claims procedures shall apply: The Committee shall maintain a procedure under which any Participant or Beneficiary can file a claim for benefits under this Plan based on Disability.

 

16.6.1              After receiving a claim for benefits, the Committee will notify the Participant or Beneficiary of its claim determination within 45 days of the receipt of the claim. This period may be extended by 30 days if an extension is necessary to process the claim due to matters beyond the control of the Committee. A written notice of the extension, the reason for the extension and when the Committee expects to decide the claim, will be furnished to the Participant or Beneficiary within the initial 45-day period. This period may be extended for an additional 30 days beyond the original extension. A written notice of the additional extension, the reason for the additional extension and when the Committee expects to decide the claim, will be furnished to the Participant or Beneficiary within the first 30-day extension period if an additional extension of time is needed. However, if a period of time is extended due to a Participant or Beneficiary’s failure to submit information necessary to decide a claim, the period for making the benefit determination by the Committee will be tolled from the date on which the notification of the extension is sent to the Participant or Beneficiary until the date on which the Participant or Beneficiary responds to the request for additional information.

 

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16.6.2              If a claim for benefits is denied, in whole or in part, a Participant or Beneficiary or his or her authorized representative, will receive a written notice of the denial. The notice will follow the rules of 29 C.F.R. § 2560.503-1(o) for culturally and linguistically appropriate notices and will be written in a manner calculated to be understood by the Participant or Beneficiary. The notice will include:

 

(i)                        the specific reason(s) for the denial,

 

(ii)                    references to the specific Plan provisions on which the benefit determination was based,

 

(iii)                a description of any additional material or information necessary to perfect a claim and an explanation of why such information is necessary,

 

(iv)                 a description of the Committee’s appeals procedures and applicable time limits, including, to the extent applicable, a statement of the right to bring a civil action under section 502(a) of ERISA following an adverse benefit determination on review,

 

(v)                     a discussion of the decision, including an explanation of the basis for disagreeing with or not following: (i) the views presented by the claimant to the Committee of health care professionals treating the claimant and vocational professionals who evaluated the claimant; (ii) the views of medical or vocational experts whose advice was obtained on behalf of the Committee in connection with a claimant’s adverse benefit determination, without regard to whether the advice was relied upon in making the benefit determination; and (iii) a disability determination regarding the claimant presented by the claimant to the Committee made by the Social Security Administration,

 

(vi)                 if the determination is based on medical necessity or experimental treatment or similar exclusion or limit, either an explanation of the scientific or clinical judgment for the determination, applying the terms of the Plan to the relevant medical circumstances, or a statement that such explanation will be provided free of charge upon request,

 

(vii)             either the specific internal rules, guidelines, protocols, standards or other similar criteria of the Plan relied upon in making the adverse benefit determination, or a statement that such rules, guidelines, protocols, standards, or other similar criteria of the Plan do not exist, and

 

29

 

(viii)         a statement that the Participant or Beneficiary is entitled to receive, upon request and free of charge, reasonable access to, and copies of, all documents, records, and other information relevant to his or her claim for benefits.

 

16.6.3              If a claim for benefits is denied, a Participant or Beneficiary, or his or her representative, may appeal the denied claim in writing within 180 days of receipt of the written notice of denial. The Participant or Beneficiary may submit any written comments, documents, records and any other information relating to the claim. Upon request, the Participant or Beneficiary will also have access to, and the right to obtain copies of, all documents, records and information relevant to his or her claim free of charge.

 

16.6.4              A full review of the information in the claim file and any new information submitted to support the appeal will be conducted. The claim decision will be made by a first review appeals committee appointed by the Employer. This committee will consist of individuals who were not involved in the initial benefit determination, nor will such individuals be subordinate to any person involved in the initial benefit determination. This review will not afford any deference to the initial benefit determination.

 

16.6.5              If the initial adverse decision was based in whole or in part on a medical judgment, the first review appeals committee will consult with a healthcare professional who has appropriate training and experience in the field of medicine involved in the medical judgment, was not consulted in the initial adverse benefit determination and is not a subordinate of the healthcare professional who was consulted in the initial adverse benefit determination.

 

16.6.6              Before an adverse benefit determination on review is issued, the first review appeals committee will provide the Participant or Beneficiary, free of charge, with any new or additional evidence considered, relied upon, or generated by the committee or other person making the benefit determination (or at the direction of the committee or such other person) in connection with the claim. Such evidence will be provided as soon as possible and sufficiently in advance of the date on which the notice of adverse benefit determination on review is required to be provided to give the Participant or Beneficiary a reasonable opportunity to respond prior to that date.

 

16.6.7              Before the first review appeals committee issues an adverse benefit determination on review based on a new or additional rationale, the committee will provide the Participant or Beneficiary, free of charge, with the rationale. The rationale will be provided as soon as possible and sufficiently in advance of the date on which the notice of adverse benefit determination on review is required to be provided to give the Participant or Beneficiary a reasonable opportunity to respond prior to that date.

 

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16.6.8              The first review appeals committee will make a determination on an appealed claim within 45 days of the receipt of an appeal request. This period may be extended for an additional 45 days if the committee determines that special circumstances require an extension of time. A written notice of the extension, the reason for the extension and the date that the committee expects to render a decision will be furnished to the Participant or Beneficiary within the initial 45-day period. However, if the period of time is extended due to a Participant’s or Beneficiary’s failure to submit information necessary to decide the appeal, the period for making the benefit determination will be tolled from the date on which the notification of the extension is sent until the date on which the Participant or Beneficiary responds to the request for additional information.

 

16.6.9              If the claim on appeal is denied in whole or in part, a Participant or Beneficiary will receive a written notification of the denial. The notice will follow the rules of 29 C.F.R. § 2560.503-1(o) for culturally and linguistically appropriate notices and will be written in a manner calculated to be understood by the claimant. The notice will include:

 

	
 
    	
(i)
    	
the specific   reason(s) for the adverse determination,
    

 

	
 
    	
(ii)
    	
references to the   specific Plan provisions on which the determination was based,
    

 

	
 
    	
(iii)
    	
a statement regarding   the right to receive upon request and free of charge reasonable access to,   and copies of, all records, documents and other information relevant to the   benefit claim,
    

 

	
 
    	
(iv)
    	
a description of the   first review appeals committee’s review procedures and applicable time   limits, including a statement of the right to bring a civil action under   section 502(a) of ERISA following an adverse benefit determination on   review,
    

 

	
 
    	
(v)
    	
a discussion of the   decision, including an explanation of the basis for disagreeing with or not   following: (i) the views presented by the claimant to the committee of   health care professionals treating the claimant and vocational professionals   who evaluated the claimant; (ii) the views of medical or vocational   experts whose advice was obtained by or on behalf of the committee in   connection with a claimant’s adverse benefit determination, without regard to   whether the advice was relied upon in making the benefit determination; and   (iii) a disability determination regarding the claimant presented by the   claimant to the committee made by the Social Security Administration,
    

 

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(vi)
    	
if the determination is   based on medical necessity or experimental treatment or similar exclusion or   limit, either an explanation of the scientific or clinical judgment for the   determination, applying the terms of the Plan to the relevant medical   circumstances, or a statement that such explanation will be provided free of   charge upon request, and
    

 

	
 
    	
(vii)
    	
either the specific   internal rules, guidelines, protocols, standards or other similar criteria of   the Plan relied upon in making the adverse benefit determination, or a   statement that such rules, guidelines, protocols, standards, or other similar   criteria of the Plan do not exist.
    

 

16.6.10       If the appeal of the benefit claim denial is denied, a Participant or Beneficiary, or his or her representative, may make a second appeal of the denial in writing to the Committee within 180 days of the receipt of the written notice of denial. The Participant or Beneficiary may submit with the second appeal any written comments, documents, records and any other information relating to the claim. Upon request, the Participant or Beneficiary will also have access to, and the right to obtain copies of, all documents, records and information relevant to the claim free of charge.

 

16.6.11       Upon receipt of the second appeal, a full review of the information in the claim file and any new information submitted to support the appeal will be conducted. The claim decision will be made by a second review appeals committee appointed by the Employer. This committee will consist of individuals who were not involved in the initial benefit determination or the first review appeals committee, nor will such individuals be subordinate to any person involved in the initial benefit or first appeal determination.

 

16.6.12       If the first appeal was based in whole or in part on a medical judgment, the second appeals review committee will consult with a healthcare professional who has appropriate training and experience in the field of medicine involved in the medical judgment, was not consulted in the initial adverse benefit determination nor in the first appeal and is not a subordinate of the healthcare professional(s) consulted in the initial adverse benefit determination and first appeal.

 

16.6.13       Before the second appeals review committee issues a denial of the second claim appeal, the committee will provide the Participant or Beneficiary, free of charge, with any new or additional evidence considered, relied upon, or generated by the committee or other person making the benefit determination (or at the direction of the committee or such other person) in connection with the claim. Such evidence will be provided as soon as possible and sufficiently in advance of the date on which the notice of adverse benefit determination on review is required to be provided to give the Participant or Beneficiary a reasonable opportunity to respond prior to that date.

 

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16.6.14       Before the second review appeals committee issues a denial of the second claim appeal based on a new or additional rationale, the committee will provide the Participant or Beneficiary, free of charge, with the rationale. The rationale will be provided as soon as possible and sufficiently in advance of the date on which the notice of adverse benefit determination on review is required to be provided to give the Participant or Beneficiary a reasonable opportunity to respond prior to that date.

 

16.6.15       The second appeals review committee will make a determination on the second claim appeal within 45 days of the receipt of the appeal request. This period may be extended for an additional 45 days if the committee determines that special circumstances require an extension of time. A written notice of the extension, the reason for the extension and the date that the committee expects to render a decision will be furnished to the Participant or Beneficiary within the initial 45-day period. However, if the period of time is extended due to the Participant’s or Beneficiary’s failure to submit information necessary to decide the appeal, the period for making the benefit determination will be tolled from the date on which the notification of the extension is sent until the date on which the Participant or Beneficiary responds to the request for additional information.

 

16.6.16       If the claim on appeal is denied in whole or in part for a second time, the Participant or Beneficiary will receive a written notification of the denial. The notice will follow the rules of 29 C.F.R. § 2560.503-1(o) for culturally and linguistically appropriate notices and will be written in a manner calculated to be understood by the applicant. The notice will include the same information that was included in the first adverse determination letter and will identify the contractual limitations period that applies to the Participant’s or Beneficiary’s right to bring an action under section 502(a) of ERISA including the calendar date on which the contractual limitations period expires for the claim.

 

16.6.17       A claimant may not commence a judicial proceeding against any person, including the Committee, the Employer, the Board, the first or second appeals review committee(s), or any other person or committee, with respect to a claim for benefits without first exhausting the claims procedures set forth in the preceding paragraphs. No suit or legal action contesting in whole or in part any denial of benefits under the Plan shall be commenced later than the earlier of (i) the first anniversary of (A) the date of the notice of the Committee’s final decision on appeal, or (B) if the claimant fails to request any level of administrative review within the timeframe permitted under this Section 16.6, the deadline for requesting the next level of administrative review, and (ii) the last date on which such legal action could be commenced under the applicable statute of limitations under ERISA (including, for this purpose, any applicable state statute of limitations that applies under ERISA to such legal action).

 

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16.6.18       A claimant has the right to request a written explanation of any violation of these claims procedures. The Committee will provide an explanation within 10 days of the request.

 

Section 17.                                   Miscellaneous Provisions:

 

17.1                        Set off. The Employer may at any time offset a Participant’s Deferred Compensation Account by an amount up to $5,000 to collect the amount of any loan, cash advance, extension of other credit or other obligation of the Participant to the Employer that is then due and payable in accordance with the requirements of Section 409A of the Code.

 

17.2                        Notices. Each Participant who is not in Service and each Beneficiary shall be responsible for furnishing the Committee or its designee with his current address for the mailing of notices and benefit payments. Any notice required or permitted to be given to such Participant or Beneficiary shall be deemed given if directed to such address and mailed by regular United States mail, first class, postage prepaid. If any check mailed to such address is returned as undeliverable to the addressee, mailing of checks will be suspended until the Participant or Beneficiary furnishes the proper address. This provision shall not be construed as requiring the mailing of any notice or notification otherwise permitted to be given by posting or by other publication.

 

17.3                        Lost Distributees. A benefit shall be deemed forfeited if the Committee is unable to locate the Participant or Beneficiary to whom payment is due by the fifth anniversary of the date payment is to be made or commence; provided, that the deemed investment rate of return pursuant to Section 8.2 shall cease to be applied to the Participant’s account following the first anniversary of such date; provided further, however, that such benefit shall be reinstated if a valid claim is made by or on behalf of the Participant or Beneficiary for all or part of the forfeited benefit.

 

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17.4                        Reliance on Data. The Employer and the Committee shall have the right to rely on any data provided by the Participant or by any Beneficiary. Representations of such data shall be binding upon any party seeking to claim a benefit through a Participant, and the Employer and the Committee shall have no obligation to inquire into the accuracy of any representation made at any time by a Participant or Beneficiary.

 

17.5                        Headings. The headings and subheadings of the Plan have been inserted for convenience of reference and are to be ignored in any construction of the provisions hereof.

 

17.6                        Continuation of Employment. The establishment of the Plan shall not be construed as conferring any legal or other rights upon any Employee or any persons for continuation of employment, nor shall it interfere with the right of the Employer to discharge any Employee or to deal with him without regard to the effect thereof under the Plan.

 

17.7                        Merger or Consolidation; Assumption of Plan. No Employer shall consolidate or merge into or with another corporation or entity, or transfer all or substantially all of its assets to another corporation, partnership, trust or other entity (a “Successor Entity”) unless such Successor Entity shall assume the rights, obligations and liabilities of the Employer under the Plan and upon such assumption, the Successor Entity shall become obligated to perform the terms and conditions of the Plan. Nothing herein shall prohibit the assumption of the obligations and liabilities of the Employer under the Plan by any Successor Entity.

 

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17.8                        Construction. The Employer shall designate in the Adoption Agreement the state according to whose laws the provisions of the Plan shall be construed and enforced, except to the extent that such laws are superseded by ERISA and the applicable requirements of the Code.

 

17.9                        Taxes. The Employer or other payor may withhold a benefit payment under the Plan or a Participant’s wages, or the Employer may reduce a Participant’s Deferred Compensation Account balance, in order to meet any federal, state, or local or employment tax withholding obligations with respect to Plan benefits, as permitted under Section 409A of the Code. The Employer or other payor shall report Plan payments and other Plan-related information to the appropriate governmental agencies as required under applicable laws.

 

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NOTE: Execution of this Adoption Agreement creates a legal liability of the Employer with significant tax consequences to the Employer and Participants. Principal Life Insurance Company disclaims all liability for the legal and tax consequences which result from the elections made by the Employer in this Adoption Agreement.

 

		
Principal Life Insurance Company,   Raleigh, NC 27612
    
		
A member of the   Principal Financial Group®
    

 

THE EXECUTIVE NONQUALIFIED EXCESS PLAN

 

ADOPTION AGREEMENT

 

THIS AGREEMENT is the adoption by US Ecology, Inc. (the “Company”) of the Executive Nonqualified Excess Plan (“Plan”).

 

WITNESSETH:

 

WHEREAS, the Company desires to adopt the Plan as an unfunded, nonqualified deferred compensation plan; and

 

WHEREAS, the provisions of the Plan are intended to comply with the requirements of Section 409A of the Code and the regulations thereunder and shall apply to amounts subject to section 409A; and

 

WHEREAS, the Company has been advised by Principal Life Insurance Company to obtain legal and tax advice from its professional advisors before adopting the Plan,

 

NOW, THEREFORE, the Company hereby adopts the Plan in accordance with the terms and conditions set forth in this Adoption Agreement:

 

ARTICLE I

 

Terms used in this Adoption Agreement shall have the same meaning as in the Plan, unless some other meaning is expressly herein set forth. The Employer hereby represents and warrants that the Plan has been adopted by the Employer upon proper authorization and the Employer hereby elects to adopt the Plan for the benefit of its Participants as referred to in the Plan. By the execution of this Adoption Agreement, the Employer hereby agrees to be bound by the terms of the Plan.

 

ARTICLE II

 

The Employer hereby makes the following designations or elections for the purpose of the Plan:

 

2.6                          Committee: The duties of the Committee set forth in the Plan shall be satisfied by:

 

		
XX
    	
(a)
    	
Company
    
				
		
  
    	
(b)
    	
The administrative committee   appointed by the Board to serve at the pleasure of the Board.
    
				
		
  
    	
(c)
    	
Board.
    
				
		
  
    	
(d)
    	
Other (specify):                                       .
    

 

 

2.8                          Compensation: The “Compensation” of a Participant shall mean all of a Participant’s:

 

		
XX
    	
(a)
    	
Base salary.
    
				
		
   
    	
(b)
    	
Service Bonus.
    
				
				
    Service   Bonus earned from 1/1 — 12/31, paid on or around first quarter of   the following Plan Year.
    
				
				
    Service   Bonus earned each calendar quarter, paid on or around the following   calendar quarter.
    
				
				
    Service   Bonus with no defined earnings period (e.g.: a “spot bonus”)
    
				
		
XX
    	
(c)
    	
Performance-Based Compensation   earned in a period of 12 months or more.
    
				
				
XX   Management Incentive Plan (MIP) earned from 1/1 — 12/31,   paid on or around first quarter the following Plan Year and whose elections   must be made no later than 6/30 of the Plan Year it is earned.
    
				
				
    Performance   Based Bonus earned from         ,   paid on or around              the following   Plan Year and whose elections must be made no later than               of the   Plan Year it is earned.
    
				
		
XX
    	
(d)
    	
Commissions.
    
				
		
XX
    	
(e)
    	
Compensation received as an   Independent Contractor reportable on Form 1099.
    
				
		
  
    	
(f)
    	
Other:                                         
    

 

2.9                          Crediting Date: The Deferred Compensation Account of a Participant shall be credited as follows:

 

Participant Deferral Credits at the time designated below:

 

		
XX
    	
(a)
    	
On any business day as specified   by the Employer.
    
		
		
  
    	
(b)
    	
Each pay day as reported by the   Employer.
    
		
		
  
    	
(c)
    	
The last business day of each   payroll period during the Plan Year.
    

 

Employer Credits at the time designated below:

 

		
XX
    	
(a)
    	
On any business day as specified   by the Employer.
    

 

2

 

2.13                   Effective Date:

 

		
XX
    	
(a)
    	
This is a newly-established Plan,   and the Effective Date of the Plan is January 1,   2020.
    

 

		
  
    	
(b)
    	
This is an amendment of a plan   named                                   dated                and governing all contributions to the plan through                   .   The Effective Date of this amended Plan is                .
    

 

2.20                   Normal Retirement Age: The Normal Retirement Age of a Participant shall be:

 

		
XX
    	
(a)
    	
Age 65.
    

 

		
  
    	
(b)
    	
The later of age        or the             anniversary of the   participation commencement date. The participation commencement date is the   first day of the first Plan Year in which the Participant commenced   participation in the Plan.
    

 

		
  
    	
(c)
    	
Other:                                     .
    

 

2.23                   Participating Employer(s): As of the Effective Date, the following Participating Employer(s) are parties to the Plan:

 

	
Name of Employer
    		
EIN
    
			
	
US Ecology, Inc.
    		
95-3889638
    

 

2.26                   Plan: The name of the Plan is

 

US Ecology, Inc. Nonqualified Deferred Compensation Plan.

 

2.28                   Plan Year: The Plan Year shall end each year on the last day of the month of December.

 

2.30                   Seniority Date: The date on which a Participant has:

 

		
  
    	
(a)
    	
Attained age    .
    
	
		
  
    	
(b)
    	
Completed       Years of Service from First Date of Service.
    
	
		
  
    	
(c)
    	
Attained age       and completed     Years of Service from First Date of Service.
    
	
		
XX
    	
(d)
    	
Not applicable — distribution   elections for Separation from Service are not based on Seniority Date.
    

 

3

 

4.1                          Participant Deferral Credits: Subject to the limitations in Section 4.1 of the Plan, a Participant may elect to have his Compensation (as selected in Section 2.8 of this Adoption Agreement) deferred within the annual limits below by the following percentage or amount as designated in writing to the Committee:

 

	
XX
    	
(a)
    	
Base salary:
    			
						
			
minimum deferral:
    			
%
    
						
			
maximum deferral:
    		
100
    	
%
    
						
	
  
    	
(b)
    	
Service Bonus:
    			
						
			
   Service Bonus
    			
						
			
minimum deferral:
    			
%
    
						
			
maximum deferral:
    			
%
    
						
	
XX
    	
(c)
    	
Performance-Based Compensation:
    	
						
			
XX   Management Incentive Plan (MIP)
    	
						
			
minimum deferral:
    			
%
    
						
			
maximum deferral:
    		
100
    	
%
    
						
	
XX
    	
(d)
    	
Commissions:
    			
						
			
minimum deferral:
    			
%
    
						
			
maximum deferral:
    		
100
    	
%
    
						
	
XX
    	
(e)
    	
Form 1099 Compensation:
    			
						
			
minimum deferral:
    			
%
    
						
			
maximum deferral:
    		
100
    	
%
    
						
	
  
    	
(f)
    	
Other:
    			
						
			
minimum deferral:
    			
%
    
						
			
maximum deferral:
    			
%
    
						
	
  
    	
(g)
    	
Participant deferrals not   allowed.
    	

 

4

 

4.1.2                Participant Deferral Credits and Employer Credits — Election Period: Participant elections regarding Participant Deferral Credits and Employer Credits shall be subject to the following effective periods (one must be selected):

 

	
 
    	
XX
    	
(a)
    	
Evergreen election. An election   made by the Participant shall continue in effect for subsequent years until   modified by the Participant as permitted in Section 4.1 and   Section 4.2. (This option is not permitted if source year accounts are   elected in Section 4.3)
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(b)
    	
Non-Evergreen election. Any   election made by the Participant shall only remain in effect for the current   election period and will then expire. An election for each subsequent year   will be required as permitted in Sections 4.1 and 4.2.
    

 

4.2                          Employer Credits: Employer Credits will be made in the following manner:

 

	
 
    	
 
    	
(a)
    	
Employer Credits   1 (Employer Discretionary Credits):   The Employer may make discretionary credits to the Deferred Compensation   Account of each Active Participant in an amount determined as follows:
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
(i)
    	
An amount determined each Plan   Year by the Employer.
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
(ii)
    	
Other:                                        .
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(b)
    	
Employer Credits   2 (Other Employer Credits): The Employer may make other   credits to the Deferred Compensation Account of each Active Participant in an   amount determined as follows:
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
(i)
    	
An amount   determined each Plan Year by the Employer.
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
(ii)
    	
Other:                                        .
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
XX
    	
(c)
    	
Employer   Credits not allowed.
    

 

5

 

4.3                          Deferred Compensation Account: The Participant is permitted to establish the following accounts:

 

	
 
    	
XX
    	
(a)
    	
Non-source year account(s).   Deferred Compensation Account(s) will not be established on a source   year basis:
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
(i)
    	
A Participant may establish only   one account to be distributed upon Separation from Service. One set of   payment options for that account is allowed as permitted in Section 7.1.   Additional In-Service or Education accounts may be established as permitted   in Section 5.4.
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
XX
    	
(ii)
    	
A Participant may establish   multiple accounts to be distributed upon Separation from Service. Each   account may have one set of payment options as permitted in Section 7.1 Additional   In-Service or Education accounts may be established as permitted in   Section 5.4. If this multiple account option is elected, the Participant   will also be required to elect Separation from Service payment options for   each In-Service or Education account established.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(b)
    	
Source year account(s): Annual   Deferred Compensation Account(s) will be established each year in which   Participant Deferral Credits or Employer Credits are credited to the   Participant. Only one account may be established each year for distribution upon   Separation from Service. One set of payment options for that account is   allowed as permitted in Section 7.1. Additional In-Service or Education   accounts may be established for each source year as permitted in   Section 5.4. If this option is selected, Evergreen elections as   described in Section 4.1.2 are not permitted.
    

 

5.2                          Disability of a Participant:

 

	
 
    	
XX
    	
(a)
    	
A Participant’s becoming Disabled   shall be a Qualifying Distribution Event and the Deferred Compensation   Account shall be paid by the Employer as provided in Section 7.1.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(b)
    	
A   Participant becoming Disabled shall not be a Qualifying Distribution   Event.
    

 

5.3                          Death of a Participant: If the Participant dies while in Service, the Employer shall pay a benefit to the Beneficiary in an amount equal to the vested balance in the Deferred Compensation Account of the Participant determined as of the date payments to the Beneficiary commence, plus:

 

	
 
    	
 
    	
(a)
    	
An amount   to be determined by the Committee.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
XX
    	
(b)
    	
No   additional benefits.
    

 

6

 

5.4                          In-Service or Education Distributions: In-Service and Education Accounts are permitted under the Plan:

 

	
 
    	
XX
    	
(a)
    	
In-Service   Accounts are allowed with respect to:
    
	
 
    	
 
    	
 
    	
XX
    	
Participant   Deferral Credits only.
    
	
 
    	
 
    	
 
    	
 
    	
Employer   Credits only.
    
	
 
    	
 
    	
 
    	
 
    	
Participant   Deferral and Employer Credits.
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
In-service distributions may be   made in the following manner:
    
	
 
    	
 
    	
 
    	
XX
    	
Single   lump sum payment.
    
	
 
    	
 
    	
 
    	
XX
    	
Annual   installments over a term certain not to exceed 5 years.
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
Education Accounts are allowed   with respect to:
    
	
 
    	
 
    	
 
    	
 
    	
Participant   Deferral Credits only.
    
	
 
    	
 
    	
 
    	
 
    	
Employer   Credits only.
    
	
 
    	
 
    	
 
    	
 
    	
Participant   Deferral and Employer Credits.
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
Education Accounts distributions   may be made in the following manner:
    
	
 
    	
 
    	
 
    	
 
    	
Single   lump sum payment.
    
	
 
    	
 
    	
 
    	
 
    	
Annual   installments over a term certain not to exceed     years.
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
If applicable, amounts not vested   at the time payments due under this Section cease will be:
    
	
 
    	
 
    	
 
    	
 
    	
Forfeited
    
	
 
    	
 
    	
 
    	
 
    	
Distributed   at Separation from Service if vested at that time
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(b)
    	
No In-Service or Education   Distributions permitted.
    

 

5.5                          Change in Control Event:

 

	
 
    	
 
    	
(a)
    	
Participants may elect upon   initial enrollment to have accounts distributed upon a Change in Control   Event.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
XX
    	
(b)
    	
A Change   in Control shall not be a Qualifying Distribution Event.
    

 

5.6                          Unforeseeable Emergency Event:

 

	
 
    	
XX
    	
(a)
    	
Participants   may apply to have accounts distributed upon an Unforeseeable Emergency event.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(b)
    	
An   Unforeseeable Emergency shall not be a Qualifying Distribution Event.
    

 

7

 

6.                                 Vesting: An Active Participant shall be fully vested in the Employer Credits made to the Deferred Compensation Account upon the first to occur of the following events:

 

		
  
    	
(a)
    	
Normal Retirement Age.
    
				
		
  
    	
(b)
    	
Death.
    
				
		
  
    	
(c)
    	
Disability.
    
				
		
  
    	
(d)
    	
Change in Control Event
    
				
		
  
    	
(e)
    	
Satisfaction of the vesting   requirement as specified below:
    
				
			
  
    	
Employer Credits   1 (Employer Discretionary Credits):
    

 

		
  
    	
(i)
    	
Immediate 100% vesting.
    

 

		
  
    	
(ii)
    	
100% vesting after      Years of Service.
    

 

		
  
    	
(iii)
    	
100% vesting at age   .
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(iv)
    	
Number of Years of   Service      Vested Percentage
    

 

		
Less than
    	
1
    			
%
    
			
1
    			
%
    
			
2
    			
%
    
			
3
    			
%
    
			
4
    			
%
    
			
5
    			
%
    
			
6
    			
%
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
For this purpose, Years   of Service of a Participant shall be calculated from the date designated   below:
    

 

	
 
    	
 
    	
(1)
    	
First day of Service.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(2)
    	
Effective date of Plan   participation.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(3)
    	
Each Crediting Date. Under this   option (3), each Employer Credit shall vest based on the Years of Service of   a Participant from the Crediting Date on which each Employer Discretionary   Credit is made to his or her Deferred Compensation Account.
    

 

8

 

			
  
    	
Employer Credits   2 (Other Employer Credits):
    

 

		
  
    	
(i) 
    	
Immediate 100% vesting.
    

 

		
  
    	
(ii)
    	
100% vesting after      Years of Service.
    

 

		
  
    	
(iii)
    	
100% vesting at age   .
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(iv)
    	
Number of Years of Service          Vested Percentage
    

 

		
Less than
    	
1
    			
%
    
			
1
    			
%
    
			
2
    			
%
    
			
3
    			
%
    
			
4
    			
%
    
			
5
    			
%
    
			
6
    			
%
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
For this purpose, Years   of Service of a Participant shall be calculated from the date designated   below:
    

 

	
 
    	
  
    	
(1)
    	
First day of Service.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
  
    	
(2)
    	
Effective date of Plan   participation.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
  
    	
(3)
    	
Each Crediting Date. Under this   option (3), each Employer Credit shall vest based on the Years of Service of   a Participant from the Crediting Date on which each Employer Discretionary   Credit is made to his or her Deferred Compensation Account.
    

 

9

 

7.1                          Payment Options: Any benefit payable under the Plan upon a permitted Qualifying Distribution Event may be made to the Participant or his Beneficiary (as applicable) in any of the following payment forms, as selected by the Participant in the Participation Agreement:

 

	
 
    	
 
    	
(a)
    	
Separation from Service   (Seniority Date is Not Applicable)
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
XX
    	
(i)
    	
A lump sum.
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
XX
    	
(ii)
    	
Annual installments over a term   certain as elected by the Participant not to exceed 10 years.
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(b)
    	
Separation from Service prior to   Seniority Date (If Applicable)
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
(i)
    	
A lump sum.
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
XX
    	
(ii) 
    	
Not Applicable
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(c)
    	
Separation from Service on or   After Seniority Date (If Applicable)
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
(i)
    	
A lump sum.
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
(ii)
    	
Annual installments over a term   certain as elected by the Participant not to exceed        years.
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
XX
    	
(iii)
    	
Not Applicable
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(d)
    	
Separation from Service Upon a   Change in Control Event
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
XX
    	
(i)
    	
A lump sum.
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(e)
    	
Death
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
XX
    	
(i)
    	
A lump sum.
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
(ii)
    	
Annual installments over a term   certain as elected by the Participant not to exceed        years.
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
(f)
    	
Disability
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
XX
    	
(i)
    	
A lump sum.
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
XX
    	
(ii)
    	
Annual installments over a term   certain as elected by the Participant not to exceed 10 years.
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
(iii)
    	
Not applicable.
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
If applicable, amounts   not vested at the time payments due under this Section cease will be:
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
Forfeited
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
Distributed at Separation from   Service if vested at that time
    

 

10

 

	
 
    	
 
    	
(g)
    	
Change in Control Event
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
(i)
    	
A lump sum.
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
XX
    	
(ii)
    	
Not applicable.
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
If applicable, amounts   not vested at the time payments due under this Section cease will be:
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
Forfeited
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
Distributed at Separation from   Service if vested at that time
    

 

7.4                          De Minimis Amounts.

 

	
 
    	
 
    	
 
    	
 
    	
(a)
    	
Notwithstanding any payment   election made by the Participant, the vested balance in all Deferred   Compensation Account(s) of the Participant will be distributed in a   single lump sum payment at the time designated under the Plan if at the time   of a permitted Qualifying Distribution Event that is either a Separation from   Service, death, Disability (if applicable) or Change in Control Event (if   applicable) the vested balance does not exceed $            . In   addition, the Employer may distribute a Participant’s vested balance in all   Deferred Compensation Account(s) of the Participant at any time if the   balance does not exceed the limit in Section 402(g)(1)(B) of the   Code and results in the termination of the Participant’s entire interest in   the Plan and any other Employer plan subject to aggregation under   Section 409A of the Code.
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
XX
    	
(b)
    	
There shall be no pre-determined   de minimis amount under the Plan; however, the Employer may distribute a   Participant’s vested balance at any time if the balance does not exceed the   limit in Section 402(g)(1)(B) of the Code and results in the   termination of the Participant’s entire interest in the Plan and any other   Employer plan subject to aggregation under Section 409A of the Code.
    

 

10.1                   Contractual Liability: Liability for payments under the Plan shall be the responsibility of the:

 

	
 
    	
 
    	
 
    	
XX
    	
(a)
    	
Company.
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
(b)
    	
Employer or Participating   Employer who employed the Participant when amounts were deferred.
    

 

14.                          Amendment and Termination of Plan: Notwithstanding any provision in this Adoption Agreement or the Plan to the contrary, Section            of the Plan shall be amended to read as provided in attached Exhibit           .

 

	
 
    	
 
    	
 
    	
XX
    	
There are no amendments to the   Plan.
    

 

17.8                   Construction: The provisions of the Plan shall be construed and enforced according to the laws of the State of Idaho, except to the extent that such laws are superseded by ERISA and the applicable provisions of the Code.

 

11

 

IN WITNESS WHEREOF, this Agreement has been executed as of the day and year stated below.

 

	
 
    	
US   Ecology, Inc.
    
	
 
    	
Name of Employer
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Jana Straubhar
    
	
 
    	
Authorized Person Jana Straubhar   (Nov 4, 2019)
    
	
 
    	
Date:
    	
11/04/2019
    

 

12Exhibit 10.1

 

CONFIDENTIAL

 

EMPLOYMENT AGREEMENT

 

This Employment Agreement (the “Agreement”)
is made on the 3rd day of January, 2020 between Iradimed Corporation, a Delaware corporation, having offices at 1025 Willa Springs
Drive, Winter Springs, Florida (“Iradimed” or “Company”), and MaryBeth Smith,
an individual residing at 1895 Dove Mountain Ct., Reno, NV 89523 (“Executive”).

 

WITNESSETH:

 

WHEREAS, Iradimed desires to employ
Executive upon the terms and conditions hereinafter stated; and

 

WHEREAS, Executive wishes to be employed
by Iradimed on the terms and conditions contained in this Agreement.

 

NOW, THEREFORE, in consideration of the
facts, mutual promises and covenants contained herein and intending to be legally bound thereby, Iradimed and Executive agree as
follows:

 

		1.	Employment. Iradimed shall employ Executive, and Executive hereby accepts employment by Iradimed, for the period and
upon the terms and conditions contained in this Agreement, beginning January 20, 2020 (the “Start Date”).

 

		2.	Title and Duties. Executive is being hired to serve Iradimed as Vice President of Worldwide Sales.  Executive
will report to the President and Chief Executive Officer of the Company (the “CEO”) and/or his/her designee,
and shall have such authority and responsibilities as delegated or assigned from time to time by the CEO and/or his/her designee.
Executive shall primarily be responsible for meeting revenue and sales cost objectives, customer service and clinical education,
and developing and maintaining personnel meeting such goals.

 

		3.	Term. This Agreement shall commence on the Start Date and shall continue until terminated in accordance with Sections
7 and 8 below (the “Term”). If the Agreement is not renewed in writing, such non-renewal is not considered
a termination, and the Executive is not entitled to any compensation that becomes effective if the Agreement is terminated.

 

		4.	Policies. Except as provided herein, Executive shall be covered by and agrees to comply with all Iradimed policies on
the same terms as are applicable to other full-time Executives.

 

     

     

    

 

CONFIDENTIAL

 

		5.	Extent of Services. Executive shall devote substantially all of her entire business and professional time and attention
to the faithful and diligent performance of Executive’s duties hereunder, and will not engage in any other business, profession,
or occupation for compensation or otherwise which would conflict or interfere with the performance of such services either directly
or indirectly without the prior written consent of Iradimed. Notwithstanding the foregoing, Executive will be permitted to (a)
with the prior written consent of the CEO (which consent will not be unreasonably withheld or delayed), act or serve as a director,
trustee, committee member, or principal of any type of business, civic, or charitable organization as long as such activities are
disclosed in writing to Iradimed’s CEO, (b) maintain Executive’s ownership of any business or entity as such ownership
exists on the Start Date, (c) with the prior written consent of the CEO, purchase or own any business or entity, and (d) purchase
or own less than five percent (5%) of the publicly traded securities of any corporation; provided that, such ownership represents
a passive investment and that the Executive is not a controlling person of, or a member of a group that controls, such corporation;
provided further that, the activities described in clauses (a) through (d) do not interfere with the performance of the Executive’s
duties and responsibilities to the Company as provided hereunder.

 

		6.	Compensation. 

 

		(a)	Base Salary. The Company shall pay Executive a minimum annual salary of two hundred fifty thousand United States dollars
(US$250,000), or in the event of any portion of a year, a pro rata daily amount of such annual salary. Executive’s salary
will be payable as earned in accordance with the Company’s customary payroll practice and subject to tax withholdings as
applicable and required by law. Executive shall also be annually reviewed and eligible for merit increases as warranted by performance.
Merit increases shall be based on Executive’s base salary and subsequent performance review(s), beginning in February 2021
and each year thereafter while Executive is employed by the Company.

 

		(b)

                                                     
	Annual Bonus. Executive shall be eligible each fiscal year to receive cash bonus compensation based upon attaining specific
qualitative and/or quantitative goals as assigned by the CEO with consideration of any special situations in which the Executive
may have demonstrated exemplary performance. The target value of such annual cash bonus awards shall be 50% of the then prevailing
Base Salary (the “Annual Bonus”). For the period beginning on the Start Date and ending on December 31, 2020 (the last
day of the Company’s 2020 fiscal year), the Executive shall be eligible to receive a prorated Annual Bonus (calculated as
the Annual Bonus that would have been paid for the entire calendar year multiplied by a fraction, the numerator of which is equal
to the number of days (including weekends and holidays) that the Executive was employed in the applicable fiscal year and the denominator
of which is equal to the total number of days in such year.) The Annual Bonus shall be deemed to have been earned by, and payable
to the Executive as of the date of the Board of Directors’ determination of the amount of the Annual Bonus, regardless of
whether Executive is still employed on the payment date.

 

    - 2 -

     

    

 

CONFIDENTIAL

 

		(c)	Equity Compensation. The Company shall provide Executive with a restricted stock unit award (RSU) that will be subject
to the terms and conditions of the Iradimed Restricted Stock Unit Agreement executed by Executive and Company (the “RSU Grant”).
The RSU Grant will be awarded on the Start Date, having a value of U.S. $125,000, with the number of shares determined by the price
of Iradimed Common Stock at the Nasdaq market closing price the trading day preceding the day of RSU Grant.

 

			The RSU Grant will vest over four years in annual installments,
each equal to 25% of the RSU Grant, with the first installment vesting twelve (12) months from the Start Date, and the second,
third and fourth installments vesting respectively 24, 36 and 48 months from the Start Date.

 

		(d)	Annual Equity Bonus. Beginning in December 2020, Executive will be eligible for consideration for future equity compensation,
which shall be annually awarded as an RSU grant having a targeted value of U.S. $125,000 which may be increased or decreased subject
to Executive’s performance against goals as set by the CEO and the Board of Directors with the number of shares determined
in a like manner to that indicated in 6(c) (the “Equity Bonus”).

 

		(e)	Benefits. Executive will be eligible to participate in Iradimed employee benefit plans that apply to all employees generally,
including without limitation, health and dental insurance programs, 401(k) plan, and four weeks (twenty business days) annually
of paid personal leave (vacation, sick and personal days).

 

		(f)	Expenses. The Company will reimburse Executive for reasonable travel, entertainment or other expenses incurred by Executive
in the furtherance of or in connection with the performance of Executive’s duties hereunder, in accordance with the Company’s
expense reimbursement policy as in effect from time to time.

 

		(g)	Relocation Bonus. In consideration of anticipated costs to be incurred by Executive in connection with her part-time
relocation to Florida, on the Start Date, the Company shall pay to Executive a cash bonus in an amount such that Executive shall
receive $15,000 on an after-tax basis.

 

		7.	Termination By Company.

 

		(a)	Termination For Cause. Iradimed may terminate Executive’s employment hereunder for “Cause”
upon: (a) any willful breach of any material obligation under this Agreement; (b) any gross negligence or willful misconduct by
Executive in the performance of her duties as an Iradimed employee; (c) Executive’s conviction of or plea of guilty or nolo
contendre to a crime that constitutes a felony under the laws of the United States or any state thereof, if such felony or other
crime is of personal dishonesty or moral turpitude of the Executive and/or is work-related, materially impairs the Executive’s
ability to perform services for the Company or results in material or financial harm to the Company or its affiliates; (d) Executive’s
commission or participation in any act of fraud, embezzlement or dishonesty; (e) Executive’s willful, material breach of
an Iradimed policy; (f) willful misconduct or breach of fiduciary duty by the Executive in respect of the duties or obligations
of the Executive under this Agreement; (g) engagement in illegal drug use or alcohol abuse which prevents the Executive from performing
her duties in any manner; and (h) breach of any restrictive covenant obligation set forth in this Agreement. Executive shall not
be terminated under subparagraphs (a), (e), or (h) herein, unless she has received written notice of such breach from the Company’s
CEO, has had an opportunity to respond to the notice, and has failed substantially, where possible, to cure such breach within
thirty (30) calendar days of such notice. For purposes of this provision, no act or failure to act on the part of the Executive
shall be considered “willful” unless it is done, or omitted to be done, by the Executive in bad faith or without reasonable
belief that the Executive’s action or omission was in the best interests of the Company. Any act, or failure to act, based
upon the authority given pursuant to a resolution duly adopted by the Board or upon the advice of counsel for the Company shall
be conclusively presumed to be done, or omitted to be done, by the Executive in good faith and in the best interests of the Company.

 

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CONFIDENTIAL

 

		(b)

                                                         
	Termination Without Cause. The Company may terminate this Agreement at any time by providing a Notice of Termination
which includes a Date of Termination at least thirty (30) calendar days after delivery of the Notice of Termination. The Company,
at its option, may elect to have the Executive not report to work after the date of the written notice.

 

		(c)	Notice of Termination. For purposes of this Agreement, a “Notice of Termination” shall mean
a notice, in writing, which shall indicate the specific termination provision of this Agreement relied upon as the basis for the
Termination and the Date of Termination. The Date of Termination shall not be earlier than the date such Notice of Termination
is delivered (as defined above); provided however, that the Company, at its option, may elect to have the Executive not report
to work after the date of the written notice. “Date of Termination” means the date on which this Agreement
shall terminate in accordance with the Notice of Termination and the provisions of this Agreement.

 

		8.	Termination By Executive.

 

		(a)	Termination for Good Reason. Executive may terminate her employment hereunder by tendering her resignation to Iradimed.
Unless otherwise consented to in writing by Executive, a resignation by Executive shall be for “Good Reason,”
where such resignation is tendered within sixty (60) days following: (a) a reduction in Executive’s minimum Base Salary (other
than a general reduction in Base Salary that affects all similarly situated executives in substantially the same proportions);
or (b) a material, adverse change in the Executive’s title, authority, duties, or responsibilities (other than temporarily
while the Executive is physically or mentally incapacitated or as required by applicable law). Prior to accepting Executive’s
resignation for any of the reasons set forth in this paragraph, the Company shall have an opportunity to rectify the matter that
gave rise to Executive’s resignation. If the matter is not rectified within fifteen (15) days, Executive’s resignation
shall be deemed accepted by the Company.

 

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CONFIDENTIAL

 

		(b)	Resignation in connection with a Control Transaction. Executive may resign her position as a consequence of a Control
Transaction (a “Change in Control Resignation”) where such resignation is tendered within sixty (60)
days following any of the events listed below and such event occurs within twelve (12) months following a Control Transaction as
defined in Section 8(c):

 

		(i)	an assignment to Executive of any duties inconsistent with, or a significant change in the nature or scope of Executive’s authority, responsibilities, title, reporting structure, or duties from, those held by Executive immediately prior to the Control Transaction;

 

		(ii)	a material reduction in Executive’s annual salary or bonus program in effect immediately prior to the Control Transaction;

 

		(iii)	the failure to provide Executive with a number of paid personal leave days at least equal to the number of paid personal leave
days to which she was entitled in the last full calendar year prior to the Control Transaction;

 

		(iv)	the failure to provide Executive with substantially the same fringe benefits that were provided to Executive immediately prior to the Control Transaction, or with a package of fringe benefits that, though one or more of such benefits may vary from those in effect immediately prior to the Control Transaction, is, in Executive’s opinion, substantially at least as beneficial to Executive in all material respects to such fringe benefits taken as a whole;

 

		(v)	the failure to obtain the express written assumption of, and agreement to, perform the obligations in this Agreement by any
successor.

 

		(c)	Control Transaction. In this Agreement, a “Control Transaction” means a change in control
of the Company defined as a transfer of ownership of more than 50% of the outstanding shares of the Company’s stock in a
single transaction or in a series of transactions that are related to the same or related parties. The regular daily trading of
the Company’s Common Stock, when aggregated over time, does not constitute a Control Transaction.

 

		(d)	Termination Without Cause. The Executive may terminate this Agreement by delivering a Notice of Termination to the Company.
The Date of Termination shall be specified in the Notice of Termination; provided however, that the Date of Termination shall not
be earlier than thirty (30) calendar days after delivery of the Notice of Termination.

 

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CONFIDENTIAL 

 

		9.	Death or Disability.

 

		(a)	If, during the term of this Agreement, Executive becomes disabled such that she is not able to effectively discharge her duties
under this Agreement due to physical or mental incapacity, to perform the essential functions of her job, with or without reasonable
accommodation, for a period of one hundred eighty days (180) out of any three hundred sixty-five (365) day period (a “Disability”),
Iradimed’s obligations under this Agreement shall cease, except that Executive may participate in any Iradimed-provided group
disability benefits in accordance with the terms of those plans. However, in the event that the Company temporarily replaces the
Executive, or transfers the Executive’s duties or responsibilities to another individual on account of the Executive’s
inability to perform such duties due to a mental or physical incapacity which is, or is reasonably expected to become, a Disability,
then the Executive’s employment shall not be deemed terminated by the Company. Any question as to the existence of the Executive’s
Disability as to which the Executive and the Company cannot agree shall be determined in writing by a qualified independent physician
mutually acceptable to the Executive and the Company. If the Executive and the Company cannot agree as to a qualified independent
physician, each shall appoint such a physician and those two physicians shall select a third who shall make such determination
in writing. The determination of Disability made in writing to the Company and the Executive shall be final and conclusive for
all purposes of this Agreement.

 

		(b)	If the Executive’s employment is terminated during the Term on account of the Executive’s death or Disability,
the Executive or the Executive’s estate or beneficiaries, as the case may be shall be entitled to receive the following:

 

		(i)	All accrued Base Salary and vacation time;

 

		(ii)	A lump sum payment of all (A) unpaid Annual Bonuses and (B) the pro-rata Annual Bonus that the Executive would have earned
for the fiscal year in which the death or Disability occurs, based on the achievement of applicable performance goals for such
year, which shall be payable on the date that annual bonuses are paid to the Company’s similarly situated executives, but
in no event later than two-and-a-half (2 1/2 ) months following the end of the fiscal year in which the termination occurs.

 

		(iii)	All vested equity grants.

 

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CONFIDENTIAL 

 

		10.	Consequences of Termination Other than From Death or Disability.

 

		(a)	Compensation.

 

		(i)	In the event that Iradimed terminates Executive’s employment hereunder Without Cause or Executive resigns from Iradimed
with Good Reason, then Iradimed shall pay to Executive (i) the full amount of any earned but unpaid Base Salary through the date
of termination; (ii) her accrued and unused vacation leave as of the last day worked, (iii) her approved business expenses; (iv)
the full amount of any unpaid cash bonus awarded for any fiscal years prior to the date of termination; (v) an amount equal to
twelve (12) months Base Salary; (vi) subject to Executive’s timely election to continue
her existing health benefits under COBRA, and consistent with the terms of COBRA and the Company’s health insurance plan,
the Company will provide Executive a taxable lump sum payment in an amount equal to pay the employer portion of the insurance premiums
to continue your existing health benefits under COBRA for twelve (12) months following the termination date, as such premiums would
be measured on the termination date, less applicable federal and state payroll deductions (the “COBRA Payment”);
and (vii) all unvested equity awards pursuant to Sections 6(c) and (d) above shall be immediately accelerated and deemed
vested as of the termination date. Such payment shall be made as a lump sum within fifteen (15) days of the effective date
of such termination. Notwithstanding anything to the contrary in this Agreement, if Company determines in its sole discretion that
it cannot provide the COBRA Benefit without potentially violating applicable law (including, without limitation, Section 2716 of
the Public Health Service Act) or incurring an excise or penalty tax, the Parties agree to reform this Section. Notwithstanding
anything to the contrary in this Agreement, if Executive becomes eligible to participate in any other company sponsored health
insurance plan, cancels COBRA or otherwise becomes ineligible to receive COBRA benefits, the Company’s obligations under
this provision shall cease immediately.

 

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CONFIDENTIAL

 

		(ii)	In the event that Company terminates Executive’s employment as a result of a Control Transaction or Executive tenders
a Change in Control Resignation, then Iradimed shall pay to Executive (i) the full amount of any earned but unpaid Base Salary
through the date of termination; (ii) her accrued and unused vacation leave as of the last day worked; (iii) her approved business
expenses; (iv) the full amount of any unpaid cash bonus awarded for any fiscal years prior to the date of termination; (v) an amount
equal to twelve (12) months Base Salary; (vi) subject to Executive’s timely election
to continue her existing health benefits under COBRA, and consistent with the terms of COBRA and the Company’s health insurance
plan, the Company will provide you a taxable lump sum payment in an amount equal to pay the employer portion of the insurance premiums
to continue your existing health benefits under COBRA for twelve (12) months following the termination date, as such premiums would
be measured on the termination date, less applicable federal and state payroll deductions (the “COBRA Payment”);
and (vii) all unvested equity awards pursuant to Sections 6(c) and (d) above shall be immediately accelerated and deemed vested.
Such payment shall be made as a lump sum within fifteen (15) days of the effective date of such termination. Notwithstanding anything
to the contrary in this Agreement, if Company determines in its sole discretion that it cannot provide the COBRA Benefit without
potentially violating applicable law (including, without limitation, Section 2716 of the Public Health Service Act) or incurring
an excise or penalty tax, the Parties agree to reform this Section. Notwithstanding anything to the contrary in this Agreement,
if Executive becomes eligible to participate in any other company sponsored health insurance plan, cancels COBRA or otherwise becomes
ineligible to receive COBRA benefits, the Company’s obligations under this provision shall cease immediately.

 

		(iii)	In the event that Iradimed terminates Executive’s employment hereunder for Cause or Executive resigns without Good Reason,
Iradimed shall pay Executive her earned and unpaid Base Salary and her accrued and unused vacation leave as of the last day worked,
and approved business expenses and Iradimed shall have no obligation to make any further payments to or to provide any further
benefits hereunder to Executive. Such payment shall be made within fifteen (15) days of the effective date of resignation or termination.

 

		11.	Noncompetition/Nonsolicitation/Confidentiality. Executive agrees to execute a Non-Solicitation, Non-Compete and Confidentiality
Agreement simultaneously with the execution of this Agreement.

 

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CONFIDENTIAL

 

		12.	Ownership of Developments. All information, data, ideas, customer lists or other material which Executive develops or
conceives during her employment, (1) which are along the lines of business, work or investigations of the Company, or (2) which
result from or are suggested by any work performed by Executive on behalf of the Company, shall be the exclusive property of the
Company, shall be promptly disclosed to the Company, and Executive will promptly execute and deliver all documents and do all other
things necessary and proper to make all such information, data, ideas, customer lists or other material the absolute property of
the Company. Executive agrees to assist the Company in every proper way to obtain for the Company’s benefit copyrights, patents,
or other appropriate legal protection for information, data, ideas, customer lists or other material that become the exclusive
property of the Company.

 

		13.	Notices. Any notice required or desired to be given under this Agreement shall be deemed given if in writing and sent
by certified mail to the addresses set forth below. Notice shall be deemed given immediately if delivered in person or within three
(3) days after mailing by certified mail to the following addresses:

 

	
        

        MaryBeth Smith

        1895 Dove Mountain
        Ct.

        Reno, NV 89523
	
        

        Leslie McDonnell, President and CEO

        Iradimed Corporation

        1025 Willa Springs Dr.

        Winter Springs, FL 32708

 

			Any party may alter the address to which communications
or copies are to be sent by giving notice of such change of address in conformity with the provisions of this paragraph for the
giving of notice.

 

		14.	Assignment. Executive acknowledges that her services are unique and personal and that she therefore may not assign her
rights or delegate her duties under this Agreement. This Agreement shall inure to the benefit of and be binding on Iradimed, its
successors and assigns, including, without limitation, any entity which is or may become affiliated with or related to Iradimed.

 

		15.	Waiver. Failure to insist upon strict compliance with any term or condition of this Agreement shall not be deemed a
waiver of such term or condition. The waiver of a breach of any term or condition of this Agreement by any party shall not be deemed
to constitute the waiver of any other breach of the same or any other term of condition.

 

		16.	Entire Agreement. This Agreement contains the entire agreement of the parties relating to the subject matter hereof,
and the parties hereto have made no agreements, representations, or warranties relating to the subject matter of this Agreement
that are not set forth herein. No modification of this Agreement shall be valid unless made in writing and signed by the parties
hereto. Section headings are for convenience only, and are neither a part of this Agreement nor a limitation of the scope of the
particular sections to which they refer.

 

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CONFIDENTIAL

 

		17.	Governing Law. This Agreement shall be construed in accordance with the laws of the State of Florida.

 

		18.	Severability. The provisions of this Agreement are severable, and if any provision(s) or any part of any provision(s)
is held to be illegal, void or invalid under applicable law, such provision(s) may be changed to the extent reasonably necessary
to make the provision(s), as so changed, legal, valid and binding, and to reflect the original intentions of the parties as nearly
as possible in accordance with applicable law. This Agreement shall be construed according to its fair meaning and not strictly
for or against either party.

 

		19.	Venue and Jurisdiction. The parties to this Agreement hereby expressly and irrevocably elect as the sole judicial forum
for the adjudication of any matters arising under or in connection with this Agreement, and consent and subject themselves to the
jurisdiction of the courts of the State of Florida and/or the United States District Court for the Middle District of Florida,
Orlando Division.

 

		20.	Execution in Counterparts. This Agreement may be executed in any number of counterparts, each of which shall be deemed
to be an original as against any party whose signature appears thereon, and all of which shall together constitute one and the
same instrument. This Agreement shall become binding when one or more counterparts hereof, individually or taken together, shall
bear the signatures of all of the parties reflected hereon as signatories.

 

		21.	Named Party Litigation. In the event that Executive is a named Party with the Company involving Executive’s former
employer, Executive shall be represented by the Company’s defense attorneys. No cost for such defense shall be borne by Executive.

 

		22.	Indemnification. In the event that the Executive is made a party or threatened to be made a party to any action, suit,
or proceeding, whether civil, criminal, administrative, or investigative (a “Proceeding”), by reason
of the fact that the Executive is or was a director or officer of the Company, or any affiliate of the Company, or is or was serving
at the request of the Company as a director, officer, member, employee, or agent of another corporation or a partnership, joint
venture, trust, or other enterprise, the Executive shall be indemnified and held harmless by the Company to the maximum extent
permitted under applicable law and the Company’s bylaws from and against any liabilities, costs, claims, and expenses, including
all costs and expenses incurred in defense of any Proceeding (including attorneys’ fees). Costs and expenses incurred by
the Executive in defense of such Proceeding (including attorneys’ fees) shall be paid by the Company in advance of the final
disposition of such litigation upon receipt by the Company of: (i) a written request for payment; (ii) appropriate documentation
evidencing the incurrence, amount, and nature of the costs and expenses for which payment is being sought; and (iii) an undertaking
adequate under applicable law made by or on behalf of the Executive to repay the amounts so paid if it shall ultimately be determined
that the Executive is not entitled to be indemnified by the Company under this Agreement.

 

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CONFIDENTIAL

 

 (b)   During the employment Term and for a period of three (3) years thereafter, the Company or any successor to the Company shall purchase and maintain, at its own expense, directors’ and officers’ liability insurance providing coverage to the Executive on terms that are no less favorable than the coverage provided to other directors and similarly situated executives of the Company.

 

[Signature Page Follows]

 

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CONFIDENTIAL

 

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

 

	IRADIMED CORPORATION	 	 
	 	 	 
	 	 	 
	/s/
    Leslie McDonnell 	 	 
	Leslie McDonnell	 	 
	President and CEO	 	 
	 	 	 
	 	 	 
	EXECUTIVE	 	 
	 	 	 
	 	 	 
	/s/
    MaryBeth Smith 	 	 
	MaryBeth Smith	 	 
	Executive	 	 

 

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CONFIDENTIAL

 

Non-Solicitation, Non-Compete and Confidentiality
Agreement

 

This Non-Solicitation, Non-Compete and Confidentiality
Agreement (“Agreement”) is made as of the 3rd day of January, 2020 (“Effective Date”)
in favor of Iradimed Corporation a Delaware corporation, having offices at 1025 Willa Springs Drive, Winter Springs, Florida 32708
(the “Company”); by MayBeth Smith whose principal work address is 1025 Willa Springs Dr., Winter Springs,
Florida 32708 (“Executive”). In consideration of Executive’s employment or continued employment
with the Company and other good and valuable consideration, the sufficiency of which Executive hereby acknowledges, Executive agrees
as follows:

 

RECITALS

 

WHEREAS, Executive
is subject to an Employment Agreement dated January 3, 2010; and

 

WHEREAS, the
Company is in the business of developing, manufacturing and selling medical devices and related technology (“Business”);
and

 

WHEREAS, the
Company has developed and will develop relationships with customers, prospective customers, vendors and suppliers, which are and
will become of great importance and value to the Company in connection with the Business, and the loss of or injury to the Business
will result in substantial and irreparable damage to the Company; and

 

WHEREAS, in
the course of Executive’s employment by the Company, Executive may receive, be taught or otherwise have access to items and
information associated with the Business such as business and strategic plans, financial records, customer, vendor and supplier
information, inventions, programs, formulas, trade secrets, techniques, processes, sales and marketing information, pricing information,
and other information which is confidential and proprietary; and

 

WHEREAS, the
Company has acquired and/or developed certain trade secrets and Confidential Information, as more fully described below, and has
expended significant time and expense in acquiring or developing its trade secret or Confidential Information; and expends significant
time and expense on an ongoing basis in supporting its Executives, including the Executive; and

 

WHEREAS, as
a condition of employment, the Executive agrees to comply fully with the terms of this Agreement and all policies and procedures
in effect for executives, including but not limited to, all terms and conditions set forth in the employee handbook, any code of
conduct, any restrictive covenant policies and any other memoranda and communications applicable to Executive pertaining to the
Company’s policies and procedures; and

 

WHEREAS, the
parties hereto are entering into this Agreement as a condition precedent to entering into the Employment Agreement.

 

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CONFIDENTIAL

 

NOW, THEREFORE,
in consideration of the mutual promises, covenants and agreements contained herein, and intending to be legally bound hereby, the
Company and Executive do hereby agree as follows:

 

AGREEMENT

 

 1.            Adoption of Recitals. Executive adopts the above recitals as being true and correct.

 

2.            Definitions.

 

(a)        For purposes of this Agreement, the term “Affiliate” shall mean any company that directly or indirectly
controls, is controlled by or is under common control with the Company.

 

(b)        For purposes of this Agreement, the term “Confidential Information” shall mean (i) any information
regarding (A) Customer lists and prospective Customer lists; specific information on Customers and prospective Customers (including
information on preferences, credit information, and pricing); (B) marketing strategies, programs, plans and methods; (C) pricing
policies, product strategies and methods of operation and other business methods; (D) customer lists, customer identification,
customer prospects and other basic customer information; (E) customer credit and pricing information; (F) expansion plans and other
business policies and strategies; (G) business forecasts, financial data, costs, sales and revenue reports, and any analyses not
publicly disclosed; (H) confidential information about employees and other representatives of Company or its Affiliates; (I) other
information which enables Company to compete successfully; terms and conditions under which the Company or its Affiliates deals
with Vendors and supplier or prospective Vendors or suppliers; (J) the Company’s or its Affiliates’’ billing
rates, pricing lists (including item and Customer specific pricing information); (K) trade secrets; license agreements; proprietary
sales and utilization methods and techniques; (L) proprietary compositions, ideas and improvements; pricing methods and strategies;
(M) utilization methods and strategies; (N) computer programs, computer systems, computer data, system documentation, special hardware,
product hardware, related software development and computer software design and/or improvements; (O) market feasibility studies;
(P) proposed or existing marketing techniques or plans; (Q) sales and sales volumes; (R) documentation, marketing and business
needs of Customers, potential Customers and/or Vendors; (S) inventions; (T) future Company and Affiliate business plans; project
files; design systems; (U) information on current and potential Vendors including, but not limited to, their identity, pricing,
and purchasing information not generally known; (V) personal information about the Company’s and Affiliates’ executives,
officers and directors; (W) correspondence, and letters, notes, notebooks, reports, flowcharts, proposals, processes and/or any
and/or (X) all other confidential or proprietary information belonging to the Company or its Affiliates or relating to the Company’s
or its Affiliates’ business and/or affairs; and (ii) any information that is of value or significance to Company or its Affiliates
that derives independent economic value, actual or potential, from not being generally known to, and not being readily ascertainable
by proper means by, other persons who can obtain economic value from its disclosure or use, including information not generally
known to the competitors of Company or its Affiliates nor intended by Company or its Affiliates for general dissemination. Confidential
Information shall not include any (a) information known generally to the public (other than as a result of unauthorized disclosure
by Executive), (b) information that became available from a third party source and such source is not bound by a confidentiality
agreement, or (c) any information not otherwise considered by the Company or its Affiliates to be Confidential Information.

 

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CONFIDENTIAL

 

(c)        The term “Customer” shall mean any person or entity, which has conducted business with the Company
or its Affiliates or entered into any contract with the Company or its Affiliates, within the one (1) year immediately preceding
the termination of the Executive’s employment with the Company for whatever reason.

 

(d)        The phrase “directly or indirectly” shall include the Executive either on his/her own account,
or as a partner, owner, promoter, joint venturer, employee, agent, consultant, advisor, manager, employee, independent contractor,
officer, director, stockholder, or otherwise, of an entity.

 

(e)        The term “Non-Compete Period” shall mean during the Executive’s employment with the Company
and the twelve (12) months immediately following termination of the Executive’s employment with the Company for whatever
reason.

 

(f)         The term “Person” shall mean any individual, corporation, association, partnership (general or
limited), joint venture, trust, estate, limited liability company, or other legal entity or organization.

 

(g)        The term “Restricted Area” shall include any geographical location anywhere in the world where
the Executive has been assigned to performed services on behalf of the Company or an Affiliate during the Executive’s employment
with the Company and where the Company, its Affiliates or subsidiaries either (a) are engaged in business, and/or
(b) have evidenced an intention to engage in business.

 

(h)        The term “Restricted Business” shall mean any business that competes with the Business of the
Company or its Affiliates, as such business now exists (and is defined above in the Recitals) or may exist at the time of the termination
of the Executive’s employment with the Company for whatever reason.

 

(i)         The term “Prospective Customer” shall mean any person or entity, which has evidenced an intention
to conduct business with the Company or its Affiliates or evidenced an intention to enter into any contract with the Company or
its Affiliates, within the one (1) year immediately preceding the termination of the Executive’s employment with the Company
for whatever reason.

 

(j)         The term “Vendor” shall mean any supplier, person or entity from which the Company or its Affiliates
has purchased products or services during the one (1) year immediately preceding the termination of the Executive’s employment
with the Company for whatever reason.

 

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CONFIDENTIAL

 

		3.	Non-Competition. As a material inducement to the Company enter into the Employment
Agreement with the Executive, the Executive agrees that, during the Non-Compete Period, in the Restricted Area, the Executive shall
not, directly or indirectly, engage in, promote, finance, own, operate, develop, sell or manage or assist in or carry on in any
Restricted Business; provided, however, that Executive may at any time own securities of any competitor corporation whose
securities are publicly traded on a recognized exchange so long as the aggregate holdings of the Executive in any one such corporation
shall constitute not more than 5% of the voting stock of such corporation.

 

		4.	Non-Solicitation of Executives or Independent Contractors. As a material inducement
to the Company enter into the Employment Agreement with the Executive, the Executive agrees that, during the Non-Compete Period,
Executive shall not directly or indirectly, solicit or attempt to induce any employee of Company or its Affiliates or independent
contractor engaged and/or utilized by Company or its Affiliates in any capacity to terminate his/her employment with, or engagement
by, Company or its Affiliates. Likewise, during the Non-Compete Period, Executive shall not, directly or indirectly, hire or attempt
to hire for another entity or person any employee of Company or its Affiliates or independent contractor engaged and/or utilized
by Company or its Affiliates in any capacity.

 

		5.	Non-Solicitation of Customers, Prospective Customers and Vendors. As a material inducement
to the Company enter into the Employment Agreement with the Executive, the Executive agrees that, during the Non-Compete Period,
the Executive shall not, directly or indirectly sell, market, assemble, manufacture or distribute products or services of the type
sold or distributed by the Company or its Affiliates to any Customer, Prospective Customer or Vendor of the Company or its Affiliates
personally or through any entity other than the Company. The Executive acknowledges and agrees that the Company and its Affiliates
have substantial relationships with its Customers, Vendors and Prospective Customers, which the Company and its Affiliates expend
significant time and resources in acquiring and maintaining, and that the Company and its Affiliates have Confidential Information
pertaining to its business and to its Customers, Prospective Customers and Vendors, and that the Company’s and its Affiliates’
Confidential Information and relationships with its Customers, Prospective Customers and Vendors constitute significant and valuable
assets of the Company.

 

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CONFIDENTIAL

 

		6.	Non-Disclosure of Confidential Information of the Company. As a material inducement
to the Company to allow the Executive to remain an employee of the Company, and as a material inducement to the Company to disclose
or allow to be known to the Executive some or all of the Confidential Information during the term of the Executive’s employment
with the Company (at the Company’s sole and absolute discretion), the Executive hereby agrees that, during and after the
Executive’s employment with the Company, Executive agrees to use Confidential Information only in the course and scope of
Executive’s employment by the Company and for the exclusive benefit of the Company. Except for disclosure in the course and
scope of Executive’s employment by the Company and on behalf of the Company, Executive will never at any time, either during
or after employment by the Company, directly or indirectly, use, publish, disseminate, distribute or otherwise disclose any Confidential
Information to any other person or entity. Executive agrees to take all steps necessary, and all steps requested by the Company,
to ensure that the Confidential Information is kept secret and confidential and for the sole use and benefit of the Company and
its Affiliates and to comply with all applicable policies and procedures of the Company regarding the storage and security of all
Confidential Information whether in hard copy form or stored on computer disks or other electronic media. Such policies and procedures
may include, but not be limited to, a prohibition against Executive sending any Company document to a personal e-mail account or
using any removable media, such as a flash or external drive, at Executive’s work station, absent explicit written permission
from a superior. If the Executive is requested or legally required to disclose any Confidential Information or trade secrets, the
Executive must notify the Company prior to doing so by providing the Company with written notice ten (10) business days in advance
of the intended or compelled disclosure. (If disclosure is required sooner than ten (10) days, the Executive must provide the Company
with Notice immediately upon learning that disclosure is sought and before disclosure is required or compelled).
Notice shall be provided to the following address: Leslie McDonnell, President and CEO, Iradimed Corporation, 1025 Willa Springs
Dr., Winter Springs, FL 32708, lmcdonnell@iradimed.com, (407) 677-8022.

 

		7.	Notice of Immunity under the Economic Espionage Act of 1996, as amended by the Defend Trade
Secrets Act of 2016 (“ DTSA” ). Notwithstanding any other provision of this Agreement, the Executive shall
not be held criminally or civilly liable under any federal or state trade secret law for any disclosure of a trade secret that:
(a) is made: (1) in confidence to a federal, state, or local government official, either directly or indirectly, or to an attorney;
and (2) solely for the purpose of reporting or investigating a suspected violation of law; or (b) is made in a complaint or other
document that is filed under seal in a lawsuit or other proceeding. Notwithstanding any other provision of this Agreement, if the
Executive files a lawsuit for retaliation by the Company for reporting a suspected violation of law, the Executive may disclose
the Company’s trade secrets to the Executive’s attorney and use the trade secret information in the court proceeding
if the Executive: (x) files any document containing the trade secret under seal; and (y) does not disclose the trade secret, except
pursuant to court order.

 

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CONFIDENTIAL

 

		8.	Non- Disparagement. It is understood that Executive may not always agree with the
policies, procedures and practices of Company. Executive agrees, however, that it is Executive’s duty to support the Company
and its actions and, therefore, agrees that during or after the term of this Agreement, Executive will not publicly criticize or
make any defamatory or disparaging remarks or writings about Company, its Affiliates or its or their officers, managers, attorneys
or other employees. This section does not, in any way, restrict or impede the Executive from exercising protected rights to the
extent that such rights cannot be waived by agreement or from complying with any applicable law or regulation or a valid order
of a court of competent jurisdiction or an authorized government agency, provided that such compliance does not exceed that required
by the law, regulation, or order. The Executive shall promptly provide written notice of any such order to the Company’s
board of directors. The Company agrees and covenants that it shall cause its officers and directors to refrain from making any
defamatory or disparaging remarks, comments, or statements concerning the Executive to any third parties.

 

		9.	Need for Restrictions. Executive acknowledges and agrees that each of the restrictive
covenants contained in this Agreement is reasonable and necessary to protect the legitimate business interests of Company, including,
without limitation, the need to protect Company’s trade secrets and Confidential Information and the need to protect its
relationships with its Customers, Prospective Customers, and Vendors. Executive also acknowledges and agrees, as set forth in Section
11below, that Company may obtain a temporary, preliminary and/or permanent injunction to restrain any violations of, or otherwise
enforce, the restrictive covenants contained in this Agreement. Executive also acknowledges and agrees that, if his/her future
employment’s job duties would inevitably cause him/her to disclose Confidential Information or trade secrets of Company,
Company may seek to protect its legitimate business interests by enjoining him/her from working in that future position.

 

		10.	Proprietary Rights.

 

		(a)	Ownership. The Company shall own all right, title and interest in and to all documentation,
manuals, materials, creative works, methods, techniques, compositions, ideas, recipes, creations, improvements, inventions, computer
programs and data, system documentation, special hardware, product hardware, related software development, correspondence, letters,
notes, notebooks, reports, flowcharts, proposals, know-how and other information, in any medium whatsoever (including, without
limitation, any Confidential Information, trade secrets and all software, software code, processes, copyrights, patents, technologies
and inventions (collectively, “Inventions”), including, without limitation, new contributions, improvements,
ideas and discoveries, whether patentable or not, conceived, developed, invented or made by the Executive during his/her employment
by the Company (including his/her employment with the Company prior to the date hereof), provided that such Inventions grew out
of the Executive’s work with the Company, are related in any manner to the Business, as such term is defined in the Recitals,
or are conceived or made on the Company’s time or with the use of the Company’s facilities or materials). Executive
acknowledges and agrees that any of his/her work product created, produced or conceived in connection with his/her association
with the Company shall be deemed work for hire and shall be deemed owned exclusively by the Company.

 

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CONFIDENTIAL

 

		(b)	Executive's Obligations.Executive shall (i) promptly disclose such Inventions
to the Company (ii) assign to the Company, without additional compensation, all patent and other rights to such Inventions
for the United States and foreign countries; (iii) execute and deliver all documents required by the Company to document or
perfect the Company’s proprietary rights in and to the Company’s work product; and (iv) give testimony in support
of his/her inventorship. Executive shall deliver all Confidential Information, trade secrets and/or Inventions to the Company upon
the Company’s request, and, in any event, immediately upon termination of the Executive’s employment by the Company.

 

		(c)	Executive's Restrictions. Executive acknowledges that the Confidential Information,
trade secrets and/or Inventions constitute valuable trade secrets of the Company. Executive shall not infringe or violate any trade
secret or other proprietary right of the Company related to the Confidential Information, trade secrets and/or Inventions, and
shall not own, apply for or otherwise attempt to obtain, on behalf of Executive or others, any proprietary right in any Confidential
Information, trade secrets and/or Inventions, which the Company owns or has a right to own, in which the Company has an interest
and/or to which the Company has title.

 

		11.	Breach of Restrictive Covenants. Executive understands that if she violates the terms
of this Agreement while employed by the Company, Executive will be subject to disciplinary action up to and including discharge
from employment. Executive acknowledges and agrees that Confidential Information is a special and unique asset of the Company and
derives independent economic value, actual or potential, from not being generally known by the public or by other persons or entities
who can obtain economic value from its disclosure. Executive further agrees and acknowledges that improper disclosure of the Company’s
Confidential Information and the breach of any other restrictive set forth this Agreement would cause irreparable injury to the
Company, and that, if the Company shall bring legal proceedings against Executive to enforce any restrictive covenant, the Company
shall be entitled to seek all available civil remedies, at law or in equity, including, without limitation, an injunction without
posting a bond, damages, attorneys’ fees, and costs.

 

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CONFIDENTIAL

 

		12.	Successors and Assigns. This Agreement shall be binding upon and inure to the benefit
of the Company and its successors and assigns, and the Executive agrees that this Agreement may be assigned by the Company without
the Executive’s consent. This Agreement is not assignable by the Executive.

 

		13.	Return of Company Property. On termination of employment, Executive shall immediately
deliver all records, customer lists, notes, data memoranda, and equipment of any nature that are in Executive’s possession
or under her control and that are the property of the Company or relate to the employment or to the business of the Company.

 

		14.	Prior Agreements and Indemnification. Executive represents to the Company: (a) that
there are no restrictions, agreements, or understandings whatsoever to which the Executive is a party which would prevent or make
unlawful the Executive’s execution of this Agreement or employment hereunder, (b) that the Executive’s execution of
this Agreement and employment hereunder shall not constitute a breach of any contract, agreement or understanding, oral or written,
to which the Executive is a party or by which the Executive is bound, and (c) that the Executive is free and able to execute this
Agreement and to enter into at-will employment by the Company. The Executive further represents and agrees that she will not bring
with her, disclose or otherwise use any confidential, proprietary or trade secret information acquired from any prior employer,
whether that information was created by the Executive or others. A written or oral notice or complaint that Executive breached
this provision or violated a restrictive covenant or an agreement not to disclose confidential information shall subject the Executive,
at the Company’s sole discretion, to immediate termination, including a termination for Cause, to the extent applicable.
Executive also agrees to fully indemnify the Company for any and all damages, costs and/or attorney’s fees incurred by the
Company that arise from any claims that were related to the Executive’s alleged or actual breach of a restrictive covenant
or an agreement not to disclose confidential information.

 

		15.	Construction, Survival. If the period of time, area, or scope of restriction specified
in this Agreement should be adjudged unreasonable in any proceeding, then the period of time, area, or scope shall be reduced so
that the restrictions may be enforced as is adjudged to be reasonable. If the Executive violates any of the restrictions contained
in this Agreement, the restrictive period shall be tolled during the time that the Executive is in violation. All the provisions
of this Agreement shall survive Executive’s employment with the Company.

 

		16.	Modification/Entire Agreement/Amendments. No provision of this Agreement may be modified,
waived or discharged unless such waiver, modification or discharge is approved by the Company and agreed to in writing signed by
Executive and such officer as may be specifically authorized by the Company. This Agreement contains the entire understanding of
the parties hereto, and no agreements or representations, oral or otherwise, express or implied, with respect to the subject matter
hereof have been made by either party, which are not set forth expressly in this Agreement. This Agreement supersedes all negotiations,
preliminary agreements, and all prior and contemporaneous discussions and understandings of the parties hereto and/or their affiliates.
The Executive acknowledges that she has not relied on any prior or contemporaneous discussions or understandings in entering into
this Agreement.

 

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CONFIDENTIAL

 

		17.	Waiver. The waiver by any party of any breach of any provision of this Agreement
shall not be construed as a waiver of any subsequent breach of such provision or the breach of any other provision contained in
this Agreement.

 

		18.	Supersedes.This Agreement supersedes and replaces all prior restrictive covenants,
contracts or agreements between the Executive and the Company. The Executive acknowledges that employment is sufficient consideration
for entering into this Agreement.

 

		19.	Right to Review and Seek Counsel. The Executive acknowledges that she has had the
opportunity to seek independent counsel and tax advice in connection with the execution of this Agreement, and the Executive represents
and warrants to the Company (a) that she has sought such independent counsel and advice as she has deemed appropriate in connection
with the execution hereof and the transactions contemplated hereby, and (b) that she has not relied on any representation of the
Company as to tax matters, or as to the consequences of the execution hereof.

 

		20.	Headings and Captions. The titles and captions of paragraphs and subparagraphs contained
in this Agreement are provided for convenience of reference only, and shall not be considered terms or conditions of this Agreement.

 

		21.	Governing Law. This Agreement shall be governed and construed in accordance with
the laws of the State of Florida without regard to conflicts of law.

 

		22.	Validity. The invalidity or unenforceability of any provision of this Agreement shall
not affect the validity or enforceability of any other provision of this Agreement, which shall remain in full force and effect.

 

		23.	Consent to Personal Jurisdiction and Venue; Waiver of Service of Process. The Executive
hereby consents to personal jurisdiction and exclusive venue in the United States District Court for the Middle District of Florida,
if such Court can exercise jurisdiction over the matter for any action brought by the Company or the Executive arising out of or
in connection with this Agreement or the Executive’s employment with the Company. In the event the foregoing Court lacks
jurisdiction, the Executive consents to personal jurisdiction and exclusive venue in the Circuit Court in and for Orange County,
Florida. For purposes of this Section, the term “Executive” includes any business entity owned or controlled by the
Executive. Each party hereby irrevocably waives personal service of process and consents to process being served in any such suit,
action or proceeding by mailing a copy thereof to such party at the address listed herein and agrees that such service shall constitute
good and sufficient service of process and notice thereof. Nothing contained herein shall be deemed to limit in any way any right
to serve process in any manner permitted by law. Notice shall be provided to the following address: To Company: Notice shall be
provided to the following address: Leslie McDonnell, President and CEO, Iradimed Corporation, 1025 Willa Springs Dr., Winter Springs,
FL 32708 lmcdonnell@iradimed.com; (407) 677-8022. To Executive: MaryBeth Smith, 1895 Dove Mountain Ct., Reno, NV 89523.

 

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CONFIDENTIAL

 

		24.	Counterparts. This Agreement may be executed in one or more separate counterparts,
each of which, when so executed, shall be deemed to be an original. Such counterparts shall together constitute and shall be one
and the same instrument. This Agreement, and the counterparts thereto, may be executed by the Parties using their respective signatures
transmitted by via electronic mail.

 

Agreed and accepted this 3rd day of January, 2020.

 

 

	EXECUTIVE	 
	 	 
	 	 
	/s/
    MaryBeth Smith 	 
	MaryBeth Smith	 
	 	 

 

    - 22 -

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