Document:

exv10w16

Exhibit 10.16

[EXECUTION COPY]

Aurora Diagnostics Holdings, LLC

114 Via Verde Way

Palm Beach Gardens, Florida 33418-6205

June 2, 2006

Summit Ventures VI-A, L.P.

SV VI-B Aurora Holdings, L.P.

Summit Ventures VI-B, L.P.

Summit VI Advisors Fund, L.P.

Summit VI Entrepreneurs Fund, L.P.

Summit Investors VI, L.P.

Summit Partners Private Equity Fund VII-A, L.P.

SPPE VII-B Aurora Holdings, L.P.

Summit Partners Private Equity Fund VII-B, L.P.

222 Berkeley Street — 18th Floor

Boston, Massachusetts 02116

	 	Re:  	 	Management Rights

Ladies and Gentlemen:

     This letter will confirm our agreement that effective upon your purchase of Class A Units (the
“Class A Units”) of Aurora Diagnostics Holdings, LLC, a Delaware limited liability company (the
“Company”), each of you will be entitled to the following contractual management rights, in
addition to rights to certain non-public financial information, inspection rights and other rights
that you may be entitled to pursuant to that certain Unit Purchase Agreement, dated as of the date
hereof, and the other agreements referenced therein that have been entered into on the date hereof:

     (1) You shall be permitted to consult with and offer advice to management of the Company and its
subsidiaries on significant business issues, including management’s proposed annual operating
plans, and management will make itself reasonably available to meet with you at the Company’s
facilities at mutually agreeable times for such consultation and advice and to review progress in
achieving said plans.

     (2) You may examine the books and records of the Company and its subsidiaries and inspect its
facilities and may request information at reasonable times and intervals concerning the general
status of the Company’s and its subsidiaries’ financial condition and operations, provided that
access to highly confidential proprietary information and facilities need not be provided
hereunder.

     (3) If and for so long as you do not have a representative on the Company’s Board of Managers, the
Company shall invite you to send your representative to attend in a nonvoting observer capacity all
meetings of its Board of Managers and, in this respect, shall give your representative copies of
all notices, minutes, consents, and other material that it provides to its Managers at the same
time and in the same manner provided to Managers; provided,
however, that the Company reserves the
right to exclude your
representative from access to any material or meeting or portion thereof if the Company believes
upon advice of counsel that such exclusion is reasonably necessary to preserve the attorney-client
privilege, to protect highly confidential proprietary information or for other similar reasons.

 

 

June 2, 2006

Page 2

The rights described herein shall terminate and be of no further force or effect upon the earlier
to occur of (i) the closing of an initial public offering of shares of the Company’s (or its
corporate successor’s) capital stock pursuant to a registration statement filed by the Company (or
its corporate successor) under the Securities Act of 1933 which has become effective thereunder
(other than a registration statement relating solely to employee benefit plans or a transaction
covered by Rule 145) and (ii) each of you ceasing to own any Class A Units (or any other equity
interests of the Company issued in exchanged therefor). All covenants and agreements in this letter
by or on behalf of any of the parties hereto shall bind and inure to the benefit of the respective
successors and assigns of the parties hereto whether so expressed or not.

- 2 -

 

	 	 	 	 	 
	 	Very truly yours,

AURORA DIAGNOSTICS HOLDINGS, LLC

 	 
	 	By:  	/s/ James C. New
 	 
	 	 	Name:  	James C. New 	 
	 	 	Title:  	Chief Executive Officer/Presidentexv10w17

Exhibit 10.17

Execution Version

Aurora Diagnostics Holdings, LLC

11025 RCA Center Dr., Ste. 300

Palm Beach Gardens, FL 33410

June 12, 2009

KRG Capital Partners, L.L.C.

1515 Arapahoe St, Tower One, Suite 1500

Denver, CO 80202

Attention: Christopher Bock

KRG Aurora Blocker, Inc. do

KRG Capital Partners, L.L.C.

1515 Arapahoe St, Tower One, Suite 1500

Denver, CO 80202

Attention: Mark M. King

                 Christopher Bock

	 	Re:  	 	Management Rights

Ladies and Gentlemen:

     This
letter will confirm our agreement that effective upon your purchase of Class A-1 Units (the
“Class A-1 Units”) of Aurora Diagnostics Holding, LLC, a Delaware limited liability company (the
“Company”), each of you will be entitled to the following contractual management rights, in
addition to rights to certain non-public financial information, inspection rights and other rights
that you may be entitled to pursuant to that certain Amended and Restated Limited Liability Company
Agreement of the Company dated as of the date hereof:

     (1) You shall be permitted to consult with and offer advice to management of the Company and its
subsidiaries on significant business issues, including management’s proposed annual operating
plans, and management will make itself reasonably available to meet with you at the Company’s
facilities at mutually agreeable times for such consultation and advice and to review progress in
achieving said plans.

     (2) You may examine the books and records of the Company and its subsidiaries and inspect its
facilities and may request information at reasonable times and intervals concerning the general
status of the Company’s and its subsidiaries’ financial condition and operations, provided that
access to highly confidential proprietary information and facilities need not be provided
hereunder.

     (3) If and for so long as you do not have a representative on the Company’s Board of Managers, the
Company shall invite you to send your representative to attend in a nonvoting observer capacity all
meetings of its Board of Managers and, in this respect, shall give your representative copies of
all notices, minutes, consents, and other material that it provides to its Managers at the same
time and in the same manner provided to Managers; provided, however, that the Company reserves the
right to exclude your representative from access to any material or meeting or portion thereof if
the Company believes upon advice of counsel that such exclusion is reasonably necessary to preserve
the attorney-client privilege, to protect highly confidential proprietary information or for other
similar reasons.

 

 

The rights described herein shall terminate and be of no further force or effect upon the earlier
to occur of (i) the closing of an initial public offering of shares of the Company’s (or its
corporate successor’s) capital stock pursuant to a registration statement filed by the Company (or
its corporate successor) under the Securities Act of 1933 which has become effective thereunder
(other than a registration statement relating solely to employee benefit plans or a transaction
covered by Rule 145) and (ii) each of you ceasing to own any Class A-I Units (or any other equity
interests of the Company). All covenants and agreements in this letter by or on behalf of any of
the parties hereto shall bind and inure to the benefit of the respective successors and assigns of
the parties hereto whether so expressed or not.

	 	 	 	 	 
	 	Very truly yours,

AURORA DIAGNOSTICS HOLDINGS, LLC

 	 
	 	By:  	/s/ James C. New
 	 
	 	 	Name:  	James C. New 	 
	 	 	Title:  	Chief Executive Officer/President 	 
	 

Signature Page to Management Rights Letterexv10w18

Exhibit 10.18

Execution Version

AURORA DIAGNOSTICS, LLC

AMENDED AND RESTATED MANAGEMENT SERVICES AGREEMENT

          THIS AMENDED AND RESTATED MANAGEMENT SERVICES AGREEMENT (this “Agreement”) is made as of June 12,
2009 (the “Effective Date”), by and among Summit Partners, L.P., a Delaware limited partnership
(“Summit”), KRG Capital Management, L.P., a Delaware limited partnership (“KRG”), and Aurora
Diagnostics, LLC, a Delaware limited liability company (the “Company”). Capitalized terms used
herein and not otherwise defmed herein shall have the meaning ascribed such terms in the Amended
and Restated Limited Liability Company Agreement of the Parent dated as of the Effective Date, as
amended (the “LLC Agreement”).

          WHEREAS, this Agreement amends and restates that certain Management Services
Agreement dated June 2, 2006 between the Company and certain of the Existing Members in its
entirety (the “Prior Agreement”)

          WHEREAS, the Company is a wholly owned subsidiary of Aurora Diagnostics
Holdings, LLC, a Delaware limited liability company (“Parent”);

          WHEREAS, certain investment funds managed by Summit and KRG own, directly or
indirectly, Equity Securities of the Parent;

          WHEREAS, the Company desires to receive, or continue to receive, financial and management advisory
services from Summit and KRG and obtain the benefit of Summit’s and KRG’s experience in business
and financial management generally and their knowledge of the Company and the Company’s financial
affairs in particular;

          WHEREAS, in connection with their ownership of Equity Securities of the Parent, Summit and KRG are
willing to provide financial and management advisory services to the Company, and the compensation
arrangements set forth in this Agreement are designed to compensate Summit and KRG for such
services; and

          WHEREAS, the execution and delivery of this Agreement is a condition to the
transactions contemplated by the Securities Purchase Agreement.

          NOW, THEREFORE, in consideration of the foregoing premises and the respective
agreements hereinafter set forth and the mutual benefits to be derived herefrom, Summit, KRG and
the Company hereby agree as follows:

          1. Engagement. The Company hereby engages Summit and KRG as general financial and management
advisors, and Summit and KRG hereby agree to provide certain financial and management advisory
services to the Company, all on the terms and subject to the conditions set forth below.

          2. Services. Summit and KRG hereby agree during the term of this engagement to consult with and
advise the boards of managers of the Company and the Parent and the management of the Company and
the Parent in such manner and on such business and financial matters as may be reasonably requested
from time to time and as may be agreed to by Summit and KRG, including:
(i) corporate strategy; (ii) budgeting of future corporate investments; and (iii) acquisition and
divestiture strategies.

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          3. Personnel. Summit and KRG shall provide and devote to the performance of this Agreement such of
its partners and employees as Summit and KRG, respectively, shall deem appropriate in their
discretion for the furnishing of the services to be provided hereunder.

          4. Management Fee. Commencing on the Effective Date, the Company shall pay to Summit and KRG, in
the aggregate, an annual management fee (the “Management Fee”) equal to 1% of the net revenues of
the Company and its subsidiaries from operations on a consolidated basis as determined in
accordance with GAAP, consistently applied (“Revenues”). Each of Summit and KRG shall be entitled
to their Applicable Percentage (as defined below) of the Management Fee. The Company shall pay the
Management Fee in quarterly installments equal to 1% of Revenues for the immediately preceding
fiscal quarter (i.e., the three months ended March 31, June 30, September 30 and December 31) (the
end of each such preceding fiscal quarter is herein defined as a “Date of Determination” for
purposes of this Section 4). Each quarterly installment of the Management Fee shall be payable
within three business days following delivery of the quarterly consolidated financial statements of
Parent and its subsidiaries pursuant to the LLC Agreement. At the end of each fiscal year during
the term of this Agreement, following an audit of the Company’s financial statements for such
fiscal year: (x) in the event the Company paid Summit and KRG, in the aggregate, an amount less
than 1% of Revenues for such fiscal year (the “Audited Management Fee”), the Company shall promptly
pay to Summit and KRG the difference between the Audited Management Fee and the Management Fee
actually paid to Summit and KRG with respect to such fiscal year (the “Actual Management Fee”) in
accordance with the calculations set forth above; and (y) in the event the Actual Management Fee is
greater than the Audited Management Fee for such fiscal year, the Company shall receive a credit
against the immediately succeeding quarterly installment or installments, as applicable, under this
Agreement for the difference between the Actual Management Fee and the Audited Management Fee. For
the avoidance of doubt, Revenues shall not include proceeds from the sale or other disposition of
any subsidiary, division, line or segment or business (including the sale of assets outside the
ordinary course of business) of the Company or its subsidiaries. Summit shall remain entitled to
any management fee or expense reimbursement due to it under the Prior Agreement which remains
unpaid on the Effective Date and which amounts are computed consistent with this Agreement except
that Summit was entitled to 8 7.5% of such management fee. For purposes of this Agreement, the term
“Applicable Percentage” shall mean the quotient obtained by dividing (x) with respect to Summit,
the sum of the aggregate number of Class A-l Units plus the number of Class A Units, in each case,
held by Summit by the aggregate total number of Class A Units and Class A-I Units held by both
Summit and KRG on each Date of Determination and (y) with respect to KRG, the sum of the aggregate
number of Class A-I Units plus the number of Class A Units, in each case, held by KRG by the
aggregate total number of Class A Units and Class A-l Units held by both Summit and KRG on each
Date of Determination. On the Effective Date, Summit’s Applicable Percentage is 60% and KRG’s
Applicable Percentage is 40%. Notwithstanding the foregoing, in the event that the Applicable
Percentages change during any fiscal quarter, the portion of the Management Fee payable to each of
Summit and KRG (i) with respect to the portion of the fiscal quarter prior to such change, shall be
based on their respective Applicable Percentages prior to such change and (ii) with respect to the
portion of the fiscal quarter on or subsequent to such change, shall be based on their respective
Applicable Percentages giving effect to such change.

          5. Transaction Bonus. Summit and KRG shall be entitled to a one-time transaction bonus in an
aggregate amount equal to $375,000 (the “Transaction Bonus”) payable upon consummation of a
Liquidity Event (as defined in the LLC Agreement). Each of Summit and KRG shall be entitled to
their Applicable Percentage of the Transaction Bonus as of the date of such Liquidity Event.

          6. Expenses. The Company shall promptly reimburse Summit, KRG and their

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affiliates for such reasonable travel expenses and other reasonable out-of-pocket fees and expenses
as may be incurred by Summit, KRG and their affiliates in connection with the rendering of services
hereunder. In addition, and without duplication to any expense reimbursement provision of any other
agreement between the Company and one or both of Summit and KRG, the Company shall pay and hold
Summit, KRG and their affiliates harmless against liability for the payment of the out-of-pocket
expenses (including the fees and expenses of legal counsel or other advisors) arising in connection
with (i) the preparation, negotiation and execution of this Agreement (subject to the terms of the
Securities Purchase Agreement), (ii) any amendments or waivers (whether or not the same become
effective) under or in respect of this Agreement, and (iii) the interpretation, investigation and
enforcement of the rights granted under this Agreement.

          7. Restrictions on Payments.

          (a) Notwithstanding any provision herein to the contrary, so long as any Default (as such term is
defined in the Credit Agreement) exists and is continuing or would result from a payment of
management fees hereunder exists and is continuing or would result from a payment of management
fees hereunder, and, in either case, as a result, the Company is prohibited under the Credit
Agreement from making any management fee payments, Summit and KRG will defer receipt of the
Management Fee until such Default has been cured or waived or otherwise ceases to exist. “Credit
Agreement” means, collectively, that (i) certain First Lien Credit and Guaranty Agreement, dated as
of December 10, 2007, by and among the Company, Parent, the guarantors party thereto, the lenders
party thereto and Wells Fargo Foothill, Inc., as administrative agent, as amended restated,
supplemented or otherwise modified from time to time pursuant to its terms and (ii) certain Second
Lien Credit and Guaranty Agreement, dated as of December 10, 2007, by and among the Company,
Parent, the guarantors party thereto, the lenders party thereto and Goldman Sachs, as
administrative agent, as amended restated, supplemented or otherwise modified from time to time
pursuant to its terms.

          (b) Any Management Fees due and payable under this Agreement which are not paid as a result of the
limitations set forth in Section 7(a) above shall be accrued as an obligation of the Company and
shall be paid at the earliest date that the Company reasonably anticipates that the making of such
payment will not cause such violation, or that such violation will not cause material harm to the
Company. The foregoing provision is intended to comply with proposed guidance issued by the
Internal Revenue Service (the “IRS”) under Section 409A of the Internal Revenue Code of 1986, as
amended (the “Code”), in order to avoid the acceleration of any tax, or imposition of any penalty,
under Code §409A with respect to the payment of fees pursuant to this Agreement. The parties hereto
agree to modify the foregoing provisions of this Section 7(b) to comply with any future guidance
issued under Code §409A to the extent necessary to avoid the acceleration of any tax, or imposition
of any penalty, under Code §409A with respect to the payment of fees pursuant to this Agreement.

          8. Term. This Agreement shall replace the Prior Agreement in its entirety and be in effect for a term
commencing on the Effective Date and terminating on the earlier to occur of (i) the date that the
Summit Funds and KRG no longer own any Equity Securities of Parent and its subsidiaries and (ii) a
Liquidity Event or Public Offering. No termination of this Agreement shall affect the Company’s
obligations with respect to the fees, costs and expenses (including the Management Fee) incurred by
Summit or KRG in rendering services hereunder and not reimbursed or otherwise paid by the Company
as of the date of such termination, and the Company shall pay to Summit and KRG all such unpaid
fees, costs and expenses (including any unpaid Management Fees) prior to or in connection with any
such termination.

          9. Liability. None of Summit KRG or any of their respective affiliates, partners,

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members, employees or agents shall be liable to the Parent, the Company or their subsidiaries or
affiliates for any loss, liability, damage or expense arising out of or in connection with the
performance of services contemplated by this Agreement, unless such loss, liability, damage or
expense shall be proven to result directly from such person’s willful misconduct as determined by a
court of competent jurisdiction in a final and non-appealable proceeding.

          10. Indemnification. The Company agrees to indemnify and hold harmless Summit, KRG and their
partners, members, affiliates, officers, agents and employees against and from any and all losses,
liabilities, suits, claims, costs, damages and expenses (including attorneys’ fees and expenses)
arising from their performance hereunder (and under the Prior Agreement), except as a result of
such person’s willful misconduct as determined by a court of competent jurisdiction in a final and
non-appealable proceeding.

          11. Independent Contractor. Summit and KRG shall perform services hereunder as an independent
contractor, retaining control over and responsibility for its own operations and personnel. None of
Summit, KRG or their respective directors, officers, partners, members or employees shall be
considered employees or agents of the Company or Parent as a result of this Agreement.

          12. Notices. All notices, demands and other communications to be given or delivered under or by
reason of the provisions of this Agreement shall be in writing and shall be deemed to have been
given (i) when personally delivered or sent by telecopy (with hard copy to follow), (ii) one
business day following the day when deposited with a reputable and established overnight express
courier (charges prepaid), or (iii) five days following mailing by certified or registered mail,
postage prepaid and return receipt requested. Unless another address is specified in writing,
notices, demands and communications to the Company, KRG and Summit shall be sent to the addresses
indicated below (or at such other address as shall be given in writing by one party to the other):

          If to Summit:

Summit Partners, L.P.

222 Berkeley Street, 18th Floor

Boston, Massachusetts 02116

Attention: Thomas S. Roberts

Telephone: (617) 824-1000

Facsimile: (617) 824-1100

with a copy to:

Kirkland & Ellis LLP

200 East Randolph Drive

Chicago, Illinois 60601

Attention: Ted H. Zook, P.C.

Telephone: (312) 861-2000

Facsimile: (312) 861-2200

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          If to KRG:

KRG Capital Management, L.P.

1515 Arapahoe St, Tower One, Suite 1500

Denver, CO 80202

Attention: Mark M. King

                  Christopher Bock

Telephone: (303) 390-5001

 Facsimile: (303) 390-5015

with a copy to:

Hogan & Hartson LLP

One Tabor Center, Suite 1500

1200 Seventeenth Street

Denver, Colorado 80202

Attention: George A. Hagerty, Esq.

Telephone: (303) 899-7300

Facsimile: (303) 899-7333

          If to the Company:

Aurora Diagnostics, LLC

11025 RCA Center Drive

Suite 300

Palm Beach Gardens, FL 33410

Attention: Gregory A. Marsh

Telephone: (561) 626-5512

Facsimile: (561) 626-4530

with a copy to:

Alston & Bird LLP

Bank of America Plaza

101 South Tryon Street, Suite 4000

Charlotte, North Carolina 28280-4000

Attention: Lee Rimler, Esq.

Telephone: (704) 444-1073

Facsimile: (704) 444-1111

          13. Entire Agreement Modification. This Agreement contains the complete and entire understanding
and agreement of Summit, KRG and the Company with respect to the subject matter hereof and
supersede all prior and contemporaneous understandings, conditions and agreements, oral or written,
express or implied, respecting the engagement of Summit and KRG in connection with the subject
matter hereof. The provisions of this Agreement may be amended, modified and/or waived only with
the prior written consent of the Company, Summit and KRG.

          14. Waiver of Breach. The waiver by any party of a breach of any provision of this Agreement by any
other party shall not operate or be construed as a waiver of any subsequent breach of that
provision or any other provision hereof

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          15. Assignment. None of Summit, KRG or the Company may assign its rights or obligations under this
Agreement without the express written consent of the other parties, except that Summit and KRG may
assign their respective rights and obligations to any of its affiliates.

          16. Successors. This Agreement and all the obligations and benefits hereunder shall inure to the
successors and permitted assigns of the parties.

          17. Counterparts. This Agreement may be executed and delivered by each party hereto in separate
counterparts (including by means of facsimile), each of which when so executed and delivered shall
be deemed an original and both of which taken together shall constitute one and the same agreement.

          18. Choice of Law. This Agreement shall be governed by and construed in accordance with the
domestic laws of the State of Delaware, without giving effect to any choice of law or conflict of
law provision or rule (whether of the State of Delaware or any other jurisdiction) that would cause
the application of the laws of any jurisdiction other than the State of Delaware.

*     *     *     *     *     *

6

 

          IN WITNESS WHEREOF, the undersigned have caused this Amended and Restated Management Services
Agreement to be duly executed and delivered on the date and year first above written.

	 	 	 	 	 
	 	AURORA DIAGNOSTICS, LLC

 	 
	 	By:  	/s/ James C. New
 	 
	 	 	Name:  	James C. New 	 
	 	 	Title:  	Chief  Executive Officer 	 
	 
	 	SUMMIT PARTNERS, L.P.

 	 
	 	By:  	Summit Master Company, LLC
 	 
	 	Its: 	 General Partner 	 
	 	 	 
	 	By:  	/s/ Thomas S. Roberts 	 
	 	 	Name:  	Thomas S. Roberts 	 
	 	 	Title:  	 	 
	 
	 	KRG CAPITAL MANAGEMENT, L.P.

 	 
	 	By:  	KRG Capital, LLC
 	 
	 	Its 	 General Partner 	 
	 	 	 
	 	By:  	/s/ Mark M. King 	 
	 	 	Name:  	Mark M. King 	 
	 	 	Title:  	Managing Director 	 
	 

Signature Page to Amended and Restated Management Services Agreement

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