Document:

Exhibit 10.1

 

CONFIDENTIAL

 

September 12, 2012

 

Ms. Amy Eskilson

5 Ike Williams Rd.

Newton, New Jersey 07860

 

Dear Amy:

 

On behalf of the Board of Directors of
Inrad Optics, Inc. (“Inrad”), I am pleased to offer you the position of President/CEO of Inrad and CEO of MRC Precision
Metal Optics (“MRC”), our wholly owned subsidiary. In this position, you will report directly to the Board of Inrad.
Following your acceptance, the Board intends to nominate you for Inrad and MRC Board membership at the earliest possible date in
accordance with the Corporation’s By Laws. You will assume the responsibilities as President/CEO of Inrad and CEO of MRC
effective October 1, 2012.

 

We have put together what we believe is
a comprehensive and appropriate compensation package consisting of base salary, eligibility for performance based incentive compensation,
and a grant of stock options as enumerated below:

 

		-	Your base salary will be $180,000 per
annum.

		-	You will be eligible for additional compensation
in cash and /or stock for 2012, the amount of which will be tied to the performance of the company. 

		-	You will be awarded a grant of 30,000
Incentive Stock Options as of the date you accept this position. This grant will be awarded in accordance with the rules of the
Corporation’s 2010 Equity Compensation program, one third of which vest after 12, 24, and 36 months, respectively.

 

Your current package of Inrad employee
benefits remains in effect and subject to modification, amendment and revocation in accordance with their terms.

 

Amy, as you know, this letter is not a
contract of employment either for a specific duration or period, nor does it alter your current at-will employment relationship
between Inrad and yourself.

 

The Board appreciates the solid contributions
you have already made to the company and we fully believe you will provide the leadership and management we need to meet the business
objectives of Inrad Optics.

 

Sincerely,

 

Jan M Winston

Chairman of the Board

Inrad Optics, Inc.EMPLOYMENT AGREEMENT

 

THIS EMPLOYMENT AGREEMENT
(this “Agreement”), dated September 12, 2012, is by and between Transgenomic, Inc., a Delaware corporation
(the “Company”), and Mark Colonnese (“Employee”).

 

WHEREAS, the parties
wish to establish the terms of Employee’s employment with the Company, effective as of the Effective Date.

 

ACCORDINGLY, the parties
agree as follows:

 

Section 1. Effective
Date; Position; Term. This Agreement shall be deemed effective on August 28, 2012 (the “Effective Date”).
The Company shall elect Employee as its Executive Vice President and Chief Financial Officer effective with the date of this Agreement.
The term of the Agreement will begin effective as of the Effective Date and terminate on the earlier to occur of (a) termination
pursuant to Section 9, or (b) the date that is thirty (30) days following delivery of written notice of termination of this Agreement,
for any reason or no reason, by Employee to the Company.

 

Section 2. Position
and Duties. During the term of this Agreement:

 

(a) Employee
shall have the normal responsibilities, duties and authorities of Executive Vice President and Chief Financial Officer of the Company
described in its bylaws and such other reasonable duties as may be assigned to him by the Chief Executive Officer and/or the Board
of Directors of the Company (the “Board”) from time to time; and

 

(b) Employee
shall report to the Chief Executive Officer, Employee shall perform faithfully the executive duties assigned to him to the best
of his ability in a diligent, trustworthy, businesslike and efficient manner and will devote his full business time and attention
to the business and affairs of the Company and its subsidiaries and affiliates and will not engage in any other employment, occupation,
consulting or other business activity unless authorized in writing by the Chief Executive Officer of the Company; provided,
however, that Employee may serve as a director of or a consultant to nonprofit corporations, civic organizations, professional
groups and similar entities.

 

Section 3. Basic
Compensation. As compensation for his services hereunder, the Company shall pay to Employee a base salary of $275,000 per
year (the “Initial Base Salary”). Employee’s base salary will be reviewed by the
compensation committee of the Board (the “Compensation Committee”) on an at least an annual basis and
may be increased as determined by the Compensation Committee. The Initial Base Salary, as may be increased pursuant to this Section
3, is referred to as the “Base Salary.” The Base Salary shall be payable in equal semi-monthly installments
or as otherwise may be mutually agreed upon and shall be subject to any payroll or other deductions as may be required to be made
pursuant to law, government order, or otherwise by agreement with, or consent of, Employee.

 

Section 4. Bonus.
In addition to the Base Salary, Employee shall be eligible to receive an annual bonus of up to 50% of the Base Salary with an opportunity
for an additional 15% for achieving stretch goals (which may be pro-rated for 2012) based on Employee’s performance in conjunction
with specific mutually agreed goals and objectives and formulas determined by the Compensation Committee in its sole discretion
prior to each calendar year. Bonuses, if any, will be payable at such time or times during or following each calendar year as shall
be determined by the Compensation Committee in its sole discretion. Any bonus for 2012 will be based upon a plan prepared by the
Chief Executive Officer and approved by the Compensation Committee within sixty (60) days of the Effective Date of this Agreement.
Notwithstanding anything to the contrary in this Agreement, Employee shall not be entitled to receive any annual bonus (or any
portion thereof) for any year during the term of this Agreement if Employee is no longer employed by the Company pursuant to this
Agreement at the end of the year that such annual bonus is to be paid with respect to such year.

 

    	 

    	 	

    

 

Section 5. Participation
in Employee Benefit Plans. Employee will be entitled to participate in all of the Company’s salaried employee benefit
plans and programs, subject to the terms and conditions of each such employee benefit plan or program and to the extent commensurate
with his position as Executive Vice President and Chief Financial Officer.

 

Section 6. Other
Benefits.

 

(a) Vacation.
Employee shall be eligible at hire for 4 weeks (160 hours) of vacation per calendar year (pro-rated for 2012).

 

(b) Directors
and Officers Insurance. The Executive Vice President and Chief Financial Officer position is a covered position under the Company’s
corporate directors & officers insurance policy.

 

(c) House
Hunting. The Company will reimburse Employee for reasonable and documented travel and lodging expenses incurred by Employee
and his spouse in connection with no more than two house-hunting trips totaling not more than ten (10) days of lodging in the aggregate
for the express purposes of finding a new residence in the New Haven, CT metropolitan area.

 

(d) Relocation
Assistance. The Company will reimburse Employee for reasonable moving expenses incurred within twelve (12) months from the
Effective Date in connection with relocation to the New Haven, CT metropolitan area.

 

(e)Temporary
Housing. Until Employee establishes permanent residence in the New Haven, CT metropolitan area but for a period of no longer
than (90) days, the Company shall provide temporary housing.

 

(f) Closing
Costs. The Company will reimburse Employee for closing costs on the sale of Employee’s primary residence in Georgia.
The Company will pay reasonable and documented closing costs on the primary residence Employee purchases in the New Haven, CT metropolitan
area.

 

(g) All relocation
expenses reimbursed by the Company that are not deductible by Employee on his personal federal income tax return will be grossed
up for federal, state and local income tax purposes.

 

    	 

    	 	

    
 

 

Section 7. Business
Expenses. The Company shall reimburse Employee for all reasonable and documented expenses incurred by him in the course
of performing his duties under this Agreement which are consistent with the Company’s policies in effect from time to time
with respect to travel, entertainment and other business expenses, subject to the Company’s requirements with respect to
reporting and documentation of such expenses. 

 

Section 8. Stock
Options and Option Shares. The Company will grant Employee, promptly following the date hereof, an option to purchase 250,000
shares (the “Option”) of the Company’s common stock, par value $0.01 per share (the “Common
Stock”), under the Transgenomic, Inc. 2006 Equity Incentive Plan (the “2006 Plan”), a copy
of which has been provided to the Employee. The terms of the Option will be subject to the terms and conditions of the 2006 Plan
and in the applicable stock option agreement and grant document for the Option (collectively, the “Option Documents”).
The Option shall vest in full contingent upon, and effective as of immediately prior to, a Change in Control (as defined in the
2006 Plan).

 

Section 9. Termination
of Employment.

 

(a) Death
or Disability. This Agreement shall be deemed terminated upon Employee’s date of death or the date Employee is given
written notice that Employee has been determined to be disabled by the Company. For purposes of this Agreement, Employee shall
be deemed to be disabled if Employee, as a result of illness or incapacity, shall be unable to perform substantially Employee’s
required duties for a period of one hundred eighty (180) consecutive days with or without accommodation; provided, however,
that if Employee, after being unable to perform substantially Employee’s required duties for a period of less than one hundred
eighty (180) consecutive days as a result of illness or incapacity returns to active duty for less than thirty (30) days, the period
of such active duty will be disregarded in determining whether the 180 consecutive day threshold has been accumulated (although
it will not be accumulated as part of the 180 day period). A termination of Employee’s employment by the Company for disability
shall be communicated to Employee by written notice and shall be effective on the tenth (10th) business day after receipt of such
notice by Employee, unless Employee returns to full-time performance of Employee’s duties before such tenth (10th) business
day.

 

(b) Termination
by Company for Just Cause. This Agreement may be terminated immediately for Just Cause (as defined below) by the Company
before the expiration of the term provided for herein if, during the term of this Agreement, Employee (i) materially violates the
provisions of Sections 11 or 12 below or provisions of the non-competition or confidentiality agreements between the Company and
Employee; (ii) is convicted of, or pleads nolo contendere to, any crime involving dishonesty or misuse or misappropriation of money
or other property of the Company or any felony; (iii) exhibits repeated willful or wanton failure or refusal to perform, or substantial
disregard of, his duties in furtherance of the Company’s business interest or in accordance with this Agreement, which failure,
refusal or disregard is not remedied by Employee within thirty (30) days after notice from the Company; (iv) commits any fraud
or other act of willful misconduct against the Company, which materially adversely affects the business or reputation of the Company
or intentionally takes any other action materially detrimental to the best interests of the Company; or (v) commits an act of gross
misconduct, or any act involving gross moral turpitude, which materially adversely affects the business or reputation of the Company
(all of the foregoing clauses (i) through (v) constituting reasons for termination for “Just Cause”).
In the event of a termination for Just Cause, the Company may by written notice immediately terminate Employee’s employment
with the Company and, in that event, the Company shall be obligated only to pay Employee the compensation due him up to the date
of termination, all accrued, vested or earned benefits under any applicable benefit plan and any other compensation to which Employee
is entitled under this Agreement up to and ending on the date of Employee’s termination.

 

    	 

    	 	

    
 

 

(c) Other
Termination by the Company. The Company may terminate this Agreement for any reason or no reason at any time upon thirty
(30) days’ advance written notice to Employee; provided that in the event this Agreement is terminated by the Company
outside of Employee’s death or disability for other than Just Cause, Employee shall be entitled to receive a severance payment
(the “Severance Payment”) equal to nine (9) months of the Base Salary and any earned but unpaid bonus,
conditioned on Employee executing the Company’s standard form severance and release agreement. The Severance Payment will
be paid to Employee over a period of nine (9) months in the manner described in Section 3 and will be subject to applicable income
tax withholding consistent with the Company’s normal payroll practices. Additionally, if Employee is terminated by the Company
as part of a Change in Control (as defined in the 2006 Plan), Employee will be entitled to the Severance Payment.

 

(d) Effect
of Breach of Noncompetition Provisions. In the event Employee breaches or otherwise fails to comply with the provisions of
Section 11, 12 or 13 below in any material respect, then, in addition to any other remedies provided herein or at law or in equity,
the Company shall have the right to require the immediate return of any Severance Payment made to Employee. Return of such Severance
Payment pursuant to the preceding sentence shall not relieve Employee of his obligations pursuant to Sections 11, 12 and 13 below
and the return of such Severance Payment shall not limit or otherwise impair any additional remedies otherwise available to the
Company as a result of Employee’s breach or other failure.

 

Section 10. Assignment
and Succession.

 

(a) The rights
and obligations of the Company under this Agreement shall inure to the benefit of and be binding upon its respective successors
and assigns, and Employee’s rights and obligations hereunder shall inure to the benefit of and be binding upon his successors
and permitted assigns, whether so expressed or not.

 

(b) Employee
acknowledges that the services to be rendered by him hereunder are unique and personal. Accordingly, Employee may not pledge or
assign any of his rights or delegate any of his duties or obligations under this Agreement without the express prior written consent
of the Board.

 

(c) The Company
may not assign its interest in or obligations under this Agreement without the prior written consent of Employee.

 

    	 

    	 	

    

 

Section 11. Confidential
Information.

 

(a) Company
Information. Employee agrees at all times during the term of his relationship with the Company and thereafter, to hold in strictest
confidence, and not to use, except for the benefit of the Company, or to disclose to any person, firm, corporation or other entity
without written authorization of the Board, any Confidential Information (as defined below) which Employee obtains or creates,
by whatever means. Employee understands that “Confidential Information” means any Company proprietary
information, technical data, trade secrets or know-how, including, but not limited to, research, data, product plans, products,
services, suppliers, customer lists and customers (including, but not limited to, customers of the Company on whom Employee called
or with whom Employee became acquainted during the relationship), prices and costs, markets, software, developments, inventions,
laboratory notebooks, processes, formulas, technology, designs, drawings, engineering, hardware configuration information, marketing,
licenses, finances, budgets or other business information disclosed to Employee by the Company either directly or indirectly in
writing, orally or by drawings or observation of parts or equipment or created by Employee during the period of the relationship,
whether or not during working hours. Employee understands that “Confidential Information” includes, but
is not limited to, information pertaining to any aspects of the Company’s business which is either information not known
by actual or potential competitors of the Company or is proprietary information of the Company or its customers or suppliers, whether
of a technical nature or otherwise. Employee further understands that “Confidential Information” does
not include any of the foregoing items which have become publicly and widely known and made generally available through no wrongful
act of Employee or of others who were under confidentiality obligations as to the item or items involved. In addition to the foregoing,
and as a condition of employment, Employee agrees to execute and abide by the Employee Confidentiality Agreement attached hereto
as Exhibit A (the “ECA Agreement”).

 

(b) Former
Employer Information. Employee represents that as an employee of the Company, he has not breached and will not breach any agreement
to keep in confidence proprietary information, knowledge or data acquired by Employee in confidence or trust prior or subsequent
to the commencement of Employee’s relationship with the Company, and Employee will not disclose to the Company, or induce
the Company to use, any inventions, confidential or proprietary information or material belonging to any previous employer or any
other party. During Employee’s employment by the Company, Employee will use in the performance of Employee’s duties
only information which is generally known and used by persons with training and experience comparable to Employee’s own,
common knowledge in the industry, otherwise legally in the public domain, or obtained or developed by the Company or by Employee
in the course of Employee’s work for the Company.

 

(c) Third
Party Information. Employee recognizes that the Company has received and in the future will receive confidential or proprietary
information from third parties subject to a duty on the Company’s part to maintain the confidentiality of such information
and to use it only for certain limited purposes. Employee agrees to hold all such confidential or proprietary information in the
strictest confidence and not to disclose it to any person, firm or corporation or to use it except as necessary in carrying out
Employee’s work for the Company consistent with the Company’s agreement with such third party.

 

    	 

    	 	

    
 

Section 12. Return
of Company Property and Documents. Employee agrees that, at the time of termination of his relationship with the Company,
he will deliver to the Company (and will not keep in his possession, recreate or deliver to anyone else) any and all devices, computers,
cell phones, records, data, notes, reports, proposals, lists, correspondence, specifications, drawings, blueprints, sketches, laboratory
notebooks, materials, flow charts, equipment, other documents or property, or reproductions of any aforementioned items developed
by Employee pursuant to the relationship or otherwise belonging to the Company, its successors or assigns. Employee agrees to represent
in writing to the Company upon termination of his relationship with the Company for any reason that he has complied with the provisions
of this Section 12. Employee further agrees that any property situated on the Company’s premises and owned by the Company,
including disks and other storage media, filing cabinets or other work areas, is subject to inspection by Company personnel at
any time with or without notice.

 

Section 13. Noncompetition;
Nonsolicitation. Independent of any obligation under any other contract or agreement between Employee and the Company,
while Employee is employed with the Company and for a period of nine (9) months following the termination of Employee’s employment
relationship with the Company, Employee shall not, directly or indirectly, whether as an individual for his own account, or for
or with any other person, firm, corporation, partnership, joint venture, association, or other entity whatsoever, which is or intends
to be engaged in the genetic testing business and, more particularly, in the clinical laboratory, pharmacogenetics or diagnostics
business; provided, however, that the restrictions set forth in this clause shall not apply to involvement that consists
solely of being a passive investor that “beneficially owns,” as such term is used in Rule 13d-3 promulgated under the
Exchange Act, 2% or less of the outstanding securities of any class of securities issued by a publicly-traded entity:

 

(a) Solicit,
interfere with, or endeavor to entice away from the Company, any person, firm, corporation, partnership, or entity of any kind
whatsoever, which was or is a client or licensor of the Company or for which the Company performed services, with respect to any
business, product or service that is competitive to the products or services offered by the Company, or under development by the
Company, as of the date of the termination of Employee’s relationship with the Company. This restriction shall apply only
to such clients or licensors of the Company that Employee serviced, solicited or had material contact with at any time during the
one (1) year prior to the separation of Employee’s relationship with the Company, either as an independent contractor or
as an employee of the Company;

 

(b) Hire,
solicit, encourage or endeavor to induce any of the Company’s employees or consultants to terminate their relationship with
the Company, or take away such employees or consultants, or attempt to hire, solicit, induce, recruit, encourage or take away employees
or consultants of the Company, either for Employee or for any other person or entity;

 

    	 

    	 	

    

 

(c) Induce
or attempt to induce any supplier, licensee or other business relation of the Company to cease doing business with the Company,
or in any way interfere with the relationship between any such supplier, licensee or business relation and the Company;

 

(d) Make
any written or oral statements or disclosures, or cause or encourage any other person or entity to make any written or oral statements
or disclosures, that defame, disparage or in any way criticize the Company or the reputation, practices or conduct of the Company;
or

 

(e) Engage
as an officer, director, joint venturer, employee, independent contractor, consultant, adviser, sales representative, or owner
or stockholder in, or as an investor (whether through debt or equity) in, any business or otherwise participate in, assist, aid
or advise in any way, contribute any capital or make any advances or loans to, take any profit-sharing percentage or ownership
interest in, or receive any income, compensation or consulting fees from, any person, business or enterprise that is adverse or
antagonistic to the Company, its business or prospects, financial or otherwise.

 

Section 14. Business
Opportunity. Employee represents and acknowledges that the foregoing restrictions will not prevent him from obtaining
gainful employment in his field of expertise or cause him undue hardship; and that there are numerous other employment opportunities
available to him that are not affected by the foregoing restrictions. Employee further acknowledges that the foregoing restrictions
are reasonable and necessary, in order to protect the Company’s legitimate interests, and that any violation thereof would
result in irreparable injury to the Company.

 

Section 15. Conflict
of Interest Policies. Employee shall diligently adhere to the Company’s Conflict of Interest Policy as adopted by
the Board and in effect from time to time.

 

Section 16. Arbitration
and Equitable Remedies.

 

(a) Except
as provide in Section 16(b) hereof, the parties agree that any dispute or controversy arising out of, relating to, or concerning
the interpretation, construction, performance or breach of this Agreement, shall be settled by arbitration to be held in Omaha,
Nebraska, in accordance with the Employment Dispute Resolution rules of the American Arbitration Association then in effect. The
arbitrator may grant injunctions or other relief in such dispute or controversy and the decision of the arbitrator shall be final,
conclusive and binding on the parties to the arbitration. Judgment may be entered on the arbitrator’s decision in any court
having jurisdiction. The Company and Employee agree that the costs and expenses of such arbitration shall be paid by the party
that the Arbitrator rules against (and if the Arbitrator rules against each party, in part, each party shall pay one-half of such
costs and expenses), and each shall separately pay the fees and expenses of their respective legal counsel.

 

THIS
ARBITRATION CLAUSE CONSTITUTES A WAIVER OF EMPLOYEE’S RIGHT TO A JURY TRIAL AND RELATES TO THE RESOLUTION OF ALL DISPUTES
RELATING TO ALL ASPECTS OF THE EMPLOYER/EMPLOYEE RELATIONSHIP.

 

    	 

    	 	

    

 

(b) Notwithstanding
paragraph (a) of this Section 16, the parties agree that, in the event of the breach or threatened breach of Sections 11, 13 or
14 of this Agreement by Employee, monetary damages alone would not be an adequate remedy to the Company and its subsidiaries for
the injury that would result from such breach, and that the Company and its subsidiaries shall be entitled to apply to any court
of competent jurisdiction for specific performance and/or injunctive relief (without posting bond or other security) in order to
enforce or prevent any violation of such provisions of this Agreement. Employee further agrees that any such injunctive relief
obtained by the Company or any of its subsidiaries shall be in addition to monetary damages.

 

Section 17. Indemnification.
The Company agrees to indemnify and hold harmless Employee to the degree, and subject to the conditions, set forth in the Company’s
Certificate of Incorporation and Bylaws and Delaware law.

 

Section 18. Entire
Agreement. This Agreement, together with the ECA Agreement and the Option Documents, represents the entire agreement between
the parties relating to the subject matters covered hereby and shall supersede any prior understandings, agreements or representations
by or between the parties, written or oral, which may have related to the subject matter hereof in any way and shall not be amended
or waived except in a writing signed by the parties hereto.

 

Section 19. Notices.
Any notice or request required or permitted to be given hereunder shall be in writing and will be deemed to have been given (a)
when delivered personally, sent by telecopy (with hard copy to follow) or overnight express courier or (b) five days following
mailing by certified or registered mail, postage prepaid and return receipt requested, to the addresses below unless another address
is specified by such party in writing:

 

	 	To the Company:	Transgenomic, Inc.
	 	 	12325 Emmet Street
	 	 	Omaha, NE 68164
	 	 	Attention:    Chairman of the Board
	 	 	Telephone:  (402) 452-5400 
	 	 	Telecopy:    (402) 452-5447
	 	 	 
	 	To Employee:	Mark Colonnese
	 	 	[***************]
	 	 	[***************]
	 	 	[***************]

 

Section 20. Headings;
Section References. The section headings herein are for convenience of reference only and shall not define or limit the
provisions hereof. Section references contained in this Agreement refer to sections of this Agreement.

 

Section 21. Applicable
Law. The corporate law of the State of Delaware will govern all questions concerning the relative rights of the Company
and its stockholders. All other questions concerning the construction, validity and interpretation of this Agreement shall be governed
by the internal laws of the State of Delaware, without regard to conflict of interest principles.

 

    	 

    	 	

    

 

Section 22. Severability.
Whenever possible, each provision of this Agreement will be interpreted in such manner as to be effective and valid under applicable
law, but if any provision of this Agreement is held prohibited by, invalid or unenforceable in any respect under applicable law,
such provision will be ineffective only to the extent of such prohibition or invalidity, without invalidating the remainder of
such provision or the remaining provisions of this Agreement.

 

Section 23. Amendments
and Waivers. Any provision of this Agreement may be amended or waived only with the prior written consent of the Company
and Employee.

 

Section 24. No
Strict Construction. The language used in this Agreement will be deemed to be the language chosen by the parties hereto
to express their mutual intent, and no rule of strict construction will be applied against any party hereto.

 

Section 25. Counterparts.
This Agreement may be executed in separate counterparts, each of which is deemed to be an original and all of which taken together
constitute one and the same agreement.

 

Section 26. Employee
Representations. Employee hereby represents and warrants to the Company that (a) the execution, delivery and performance
of this Agreement by Employee does not and will not conflict with, breach, violate or cause a default under any contract, agreement,
instrument, order, judgment or decree to which Employee is a party or by which he is bound, (b) Employee is not a party to or bound
by any employment agreement, non-compete agreement or confidentiality agreement with any other person or entity, and (c) upon the
execution and delivery of this Agreement by the Company, this Agreement shall be the valid and binding obligation of Employee,
enforceable in accordance with its terms.

 

Section 27. Disclosure.
If Employee becomes employed or otherwise engaged by another employer, Employee shall be required to disclose to such employer
Employee’s obligations to the Company pursuant to Sections 11, 12 and 13, and Employee hereby consents to the Company’s
disclosure of same to such employer.

 

Section 28. Survival.
Sections 11, 12, 13, 16, 17, 19-24, 27 and this Section 28 shall survive and continue in full force in accordance with their terms
notwithstanding any termination or expiration of this Agreement.

 

[Signature Page Follows]

 

    	 

    	 	

    

IN WITNESS WHEREOF, the Company has caused this Employment Agreement to be signed by its duly authorized officer and Employee
has signed this Agreement.

 

TRANSGENOMIC, INC.

 

By /s/ Craig J. Tuttle                                         

Name: Craig J. Tuttle

Title: President and Chief Executive Officer

 

 

EMPLOYEE

 

 

/s/ Mark Colonnese                                           

Mark Colonnese

 

 

    	 

    	 	

    
 

 

Exhibit
A

ECA Agreement

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