Document:

Marchex, Inc. Annual Incentive Plan

 Exhibit 10.8 
 MARCHEX, INC. 
 ANNUAL INCENTIVE PLAN 

Adopted October 2, 2006 
 Marchex, Inc., a Delaware corporation (the “Company”), established the Marchex, Inc. Annual Incentive Plan (the “Incentive Plan”), effective as of January 1, 2007. The purpose of
the Incentive Plan is to motivate and reward performance resulting in the achievement of corporate objectives, to increase the competitiveness of pay without increasing fixed costs and to align the compensation of the management team to key
financial drivers. 
 ARTICLE I. 
 DEFINITIONS 
 Section 1.1—Base Compensation. “Base
Compensation,” with respect to a fiscal year, shall mean the Participant’s rate of annual base salary as in effect as of the last day of such fiscal year and shall exclude moving expenses, bonus pay and other payments which are not
considered part of annual base salary. 
 Section 1.2—Board. “Board” shall mean the Board of
Directors of the Company. 
 Section 1.3—Code. “Code” shall mean the Internal Revenue Code of 1986,
as amended. Any reference to a section of the Code herein shall be deemed to include a reference to the regulations promulgated under such section. 
 Section 1.4—Committee. “Committee” shall mean the Compensation Committee of the Board. 
 Section 1.5—Disability. “Disability” shall mean a permanent and total disability, within the meaning of Section 22(e)(3) of the Code. 

Section 1.6—Participant. “Participant” shall mean, with respect to any fiscal year during the term of the
Incentive Plan, a key employee of the Company selected by the Committee to participate in the Incentive Plan in accordance with Section 2.3 hereof. 
 ARTICLE II.  
 BONUS AWARDS 

Section 2.1—Bonus Pool. Each fiscal year the Committee shall determine the maximum aggregate amount of the bonus pool to
be awarded hereunder for such fiscal year. 
 Section 2.2—Performance Targets. A Participant shall be eligible
to earn a bonus award under the Incentive Plan based on the achievement of performance targets by the Company, as determined by the Committee for each fiscal year of the Company. The performance targets for a fiscal year shall be determined on or
before March 31st of such year and shall be based on the following objective business criteria and measured against such performance targets, as the Committee determines: (a) pre-tax income; (b) adjusted operating income before
amortization; (c) operating income before amortization; (d) 

 
operating income; (e) net earnings; (f) net income; (g) cash flow or funds from operations; (h) adjusted earnings per share; (i) earnings per share; (j) appreciation
in the fair market value of the Company’s stock; (k) cost reductions or savings; (l) implementation of critical processes or projects; or (m) adjusted EBITDA or earnings before any of the following items: interest, taxes,
depreciation or amortization. 
 Section 2.3—Bonus Awards. Each individual who (a) is a key employee and
(b) who is selected by the Committee to participate in the Incentive Plan with respect to such fiscal year, shall be eligible for a bonus award with respect to such fiscal year under this Incentive Plan. Each bonus award shall be in the sole
discretion of the Committee based on its assessment of (i) the Company’s achievement of the performance targets established by the Committee for the applicable fiscal year, and (ii) the Participant’s performance during such
fiscal year. 
 ARTICLE III. 
 PAYMENT OF BONUS AWARD 
 Section 3.1—Form of
Payment. Each Participant’s bonus award shall be paid in cash. 
 Section 3.2—Timing of Payment.
Unless a Participant has properly elected to defer all or part of a bonus award under a deferred compensation plan sponsored by the Company, each bonus award made by the Committee shall be paid within seventy (70) days after the end of the
fiscal year to which such bonus award relates. 
 ARTICLE IV.  

TERMINATIONS 
 A Participant who, whether voluntarily or involuntarily, is terminated, demoted, transferred or otherwise ceases to be a key employee at any time during a fiscal year shall not be eligible to receive a
partial fiscal year bonus award; provided, however, that if a Participant has executed an individually negotiated employment contract or agreement with the Company providing otherwise, such Participant’s entitlement to a bonus award for such
fiscal year shall be governed by the terms of the individually negotiated employment contract or agreement. 
 Notwithstanding
the terms of the previous paragraph, in the event of a Participant’s death or disability, or in the event of a change in ownership or control, the Committee may, in its sole discretion, provide partial fiscal year bonus awards to affected
Participants. 
 ARTICLE V. 
 ADMINISTRATION 
 It shall be the duty of the Committee to conduct the
general administration of the Incentive Plan in accordance with its provisions. The Committee shall have the power to interpret the Incentive Plan, and to adopt such rules for the administration, interpretation and application of the Incentive Plan
as are consistent therewith and to interpret, amend or revoke any such rules. All actions taken and all interpretations and determinations made by the Committee or the Board in good faith shall be final and binding upon all parties. 

  
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 ARTICLE VI. 
 OTHER PROVISIONS 
 Section 6.1—Amendment, Suspension or
Termination of the Incentive Plan. This Incentive Plan does not constitute a promise to pay and may be wholly or partially amended or otherwise modified, suspended or terminated at any time or from time to time by the Committee or the Board.

 Section 6.2—Miscellaneous. 
 (a) The Company shall deduct all federal, state and local taxes required by law or Company policy from any bonus paid to a Participant hereunder. 

(b) In no event shall the Company be obligated to pay to any Participant a bonus award for a fiscal year by reason of the Company’s
payment of a bonus to such Participant in any other fiscal year. 
 (c) The rights of Participants under the Incentive Plan
shall be unfunded and unsecured. Amounts payable under the Incentive Plan are not and will not be transferred into a trust or otherwise set aside. The Company shall not be required to establish any special or separate fund or to make any other
segregation of assets to assure the payment of any bonus under the Incentive Plan. 
 (d) Nothing contained herein shall be
construed as a contract of employment or deemed to give any Participant the right to be retained in the employ of the Company, or to interfere with the rights of the Company to discharge any individual at any time, with or without cause, for any
reason or no reason, and with or without notice except as may be otherwise agreed in writing. 
 (e) No rights of any
Participant to payments of any amounts under the Incentive Plan shall be sold, exchanged, transferred, assigned, pledged, hypothecated or otherwise disposed of other than by will or by laws of descent and distribution, and any such purported sale,
exchange, transfer, assignment, pledge, hypothecation or disposition shall be void. 
 (f) Any provision of the Incentive Plan
that is prohibited or unenforceable shall be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions of the Incentive Plan. 

(g) The Incentive Plan and the rights and obligations of the parties to the Incentive Plan shall be governed by, and construed and
interpreted in accordance with, the law of the State of Washington (without regard to principles of conflicts of law). 

*  *  *  *  * 

  
 3Form of Retention Agreement

 EXHIBIT 10.10 
 FORM OF RETENTION AGREEMENT 
 This Retention Agreement (the
“Agreement”) is entered into effective this 2nd day of October 2006, between Marchex, Inc., a Delaware corporation (the “Company”), and
                     (the “Executive”). 
 WITNESSETH: 
 WHEREAS, Executive is employed by the Company or one of its
wholly-owned subsidiaries (referred to collectively as the “Company”) and the Company desires to provide certain security to Executive in connection with any potential change in control of the Company; and 

NOW, THEREFORE, it is hereby agreed by and between the parties, for good and valuable consideration the receipt and sufficiency of which
are hereby acknowledged, as follows: 
 1. Payment Upon a Change of Control. In the event of a Change of Control (as
defined below) the Company shall, within thirty (30) days of such Change of Control or such later date as is required by Section 409A(a)(2)(B)(i) of the Internal Revenue Code of 1986, as amended (the “Code), make a lump sum cash
payment to Executive equal to two (2) times the product of the Executive’s Annual Salary (as defined below) plus the greater of the aggregate amount of any bonuses paid to or earned by the Executive with respect to the Company’s
immediately prior fiscal year or such Executive’s pro rata portion of the aggregate bonus pool under the Company’s Annual Incentive Plan (the “Plan”) for the then current fiscal year assuming achievement under the Plan of the
maximum performance targets for such fiscal year. 
 2. Benefits Upon a Change of Control. If within twelve
(12) months following a Change of Control (as defined below): (i) the Company shall terminate the Executive’s employment with the Company without Cause (as defined below), or (ii) the Executive shall voluntarily terminate such
employment with Good Reason (as defined below), the Company shall provide reimbursement of health care premiums for Executive and his dependents, for a period of eighteen (18) months from the date of Executive’s Employment Termination (as
defined below), to the extent that Executive is eligible for and elects continuation coverage under COBRA (provided that such reimbursement shall terminate upon commencement of new employment by an employer that offers health care coverage to its
employees). 
 3. Definitions. For purposes of this Agreement: 

(a) “Annual Salary” shall mean Executive’s salary at the greater of (i) Executive’s annualized
base salary (including Executive’s monthly car allowance, if any) in effect on the date of the Change of Control, or (ii) Executive’s annualized base salary in effect on Executive’s Employment Termination. 

   (b) “Cause” shall mean that the Company’s Board
of Directors (the “Board”) has reasonably determined in good faith that any one or more of the following has occurred: 
  

	 	(i)	the Executive shall have been convicted of, or shall have pleaded guilty or nolo contendere to, any felony; 

 

	 	(ii)	the Executive shall have willfully failed or refused to carry out the reasonable and lawful instructions of the Board (other than as a result of illness or disability)
concerning duties or actions consistent with the Executive’s then current position in a timely manner and otherwise in a manner reasonable acceptable to the Board and such failure or refusal shall have continued for a period of ten
(10) days following written notice from the Board describing such failure or refusal in reasonable detail; 

  

	 	(iii)	the Executive shall have breached any material provision of his confidentiality and assignment of inventions agreement; or 

 

	 	(iv)	the Executive shall have committed any material fraud, embezzlement, misappropriation of funds, breach of fiduciary duty or other act of dishonesty against the Company.

   (c) “Change of Control” shall mean the occurrence of any of the following
events: 
  

	 	(i)	an acquisition (other than directly from the Company) of any voting securities of the Company (the “Voting Securities”) by any “Person” or
“Group” (as such terms are used for the purposes of Section 13(d) or 14(d) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”)) immediately after which such Person or Group has Beneficial Ownership
(within the meaning of Rule l3d-3 promulgated under the Exchange Act) of fifty percent (50%) or more of the combined voting power of the Company’s then-outstanding Voting Securities; provided, however, in determining whether or not a
Change of Control has occurred, Voting Securities which are acquired in a “Non-Control Acquisition” (as hereinafter defined) shall not constitute an acquisition which would constitute a Change of Control. A “Non-Control
Acquisition” shall mean an acquisition by (i) any employee benefit plan (or related trust) sponsored or maintained by the Company or any affiliate of the Company, (ii) the Company, (iii) any Person in connection with a
Non-Control Transaction (as hereinafter defined), or (iv) any holder of the Company’s Class A Common Stock as of the date hereof; 

  

	 	(ii)	 individuals who, as of the date hereof, constitute the Board (the “Incumbent Board”) cease for any reason to constitute at least a majority
of the Board; provided, however, that any individual becoming a director subsequent to the date hereof whose election, or nomination for election by the Company’s shareholders, was approved by a vote of at least a

  
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majority of the directors then comprising the Incumbent Board shall be considered as though such individual were a member of the Incumbent Board, but excluding, for this purpose, any such
individual whose initial assumption of office occurs as a result of an actual or threatened election contest with respect to the election or removal of directors or other actual or threatened solicitation of proxies or consents by or on behalf of a
Person other than the Board; or 

  

	 	(iii)	the consummation of: 

  

	 	(a)	A merger, consolidation or reorganization with or into the Company or in which securities of the Company are issued, unless such merger, consolidation or reorganization
is a “Non-Control Transaction”. A “Non-Control Transaction” is a merger, consolidation or reorganization with or into the Company or in which securities of the Company are issued where: 

 

	 	A.	the shareholders of the Company immediately before such merger, consolidation, or reorganization, own, directly or indirectly, at least fifty-one percent (51%) of
the combined voting power of the outstanding voting securities of the corporation resulting form such merger, consolidation or reorganization (the “Surviving Corporation”) in substantially the same proportion as their ownership of the
Voting Securities immediately before such merger, consolidation or reorganization, 

  

	 	B.	the individuals who were members of the Incumbent Board immediately prior to the execution of the agreement providing for such merger, consolidation or reorganization
constitute at least a majority of the members of the board of directors of the Surviving Corporation or a corporation owning directly or indirectly fifty-one percent (51%) or more of the Voting Securities of the Surviving Corporation, and

  

	 	C.	no Person or Group, other than (i) the Company, (ii) any subsidiary of the Company, (iii) any employee benefit plan (or any trust forming a part thereof)
maintained by the Company immediately prior to such merger, consolidation, or reorganization, or (iv) any holder of the Company’s Class A Common Stock as of the date hereof, owns twenty percent (20%) or more of the combined
voting power of the Surviving Corporation’s then-outstanding voting securities; or 

  

	 	(b)	a complete liquidation or dissolution of the Company; or 

  

	 	(c)	the sale of disposition of all or substantially all of the assets of the Company to any Person. 

  
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 Notwithstanding the foregoing, a Change of Control shall not be deemed to occur solely
because any Person (the “Subject Person”) acquired Beneficial Ownership of more than the permitted amount of the outstanding Voting Securities as a result of the acquisition of Voting Securities by the Company which, by reducing the number
of Voting Securities outstanding, increases the proportional number of shares Beneficially Owned by the Subject Person, provided that if a Change of Control would occur (but for the operation of this sentence) and after such acquisition of Voting
Securities by the Company, the Subject Person becomes the Beneficial Owner of any additional Voting Securities, then a Change of Control shall occur. 
 (d) “Employment Termination” shall mean the effective date of: (i) Executive’s voluntary termination of employment with the Company with Good Reason, or (ii) the termination of
Executive’s employment by the Company without Cause. 
  

	 	(e)	“Good Reason” shall exist if, without Executive’s express written consent, the following occurs: 

 

	 	(i)	a material diminution in the nature or scope of the Executive’s duties, responsibilities, authority, powers or functions as compared to the Executive’s
duties, responsibilities, authority, powers or functions immediately prior to the Change of Control; 

  

	 	(ii)	if the Executive is no longer (a) an executive officer of a publicly-traded company, or (b) a Section 16 reporting person under the 1934 Act;

  

	 	(iii)	a reduction in the Executive’s Annual Salary; or 

  

	 	(iv)	the relocation of Executive’s office at which he is to perform his duties and responsibilities hereunder to a location more than sixty (60) miles from
Seattle, Washington. 

 4. Certain Additional Payments by the Company. In the event it shall be determined
at any time that as a result, directly or indirectly, of any payment or distribution by the Company to or for the benefit of the Executive, whether paid or payable or distributed or distributable pursuant to the terms of this Agreement or otherwise
(a “Payment”), the Executive would be subject to the excise tax imposed by Section 4999 of the Code or any interest or penalties are incurred by the Executive with respect to such excise tax (such excise tax, together with any such
interest and penalties, are hereinafter collectively referred to as the “Excise Tax), then the Executive shall be entitled to promptly receive from the Company an additional payment (a “Gross-Up Payment”) in an amount such that after
payment by the Executive of all taxes (including any interest or penalties imposed with respect to such taxes), including, without limitation, any income taxes (and any interest and penalties imposed with respect thereto) and Excise Tax imposed upon
the Gross-Up Payment, but excluding any income taxes on the Payment, the Executive is in the same after-tax position as if no Excise Tax had been imposed upon the Executive. 
 5. Mitigation and Set-Off. Executive shall not be required to mitigate Executive’s damages by seeking other employment or otherwise, and except as expressly provided in Section

  
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2 of this Agreement, the Company’s obligations under this Agreement shall not be reduced in any way by reason of any compensation or benefits received (or foregone) by Executive from sources
other than the Company after Executive’s employment termination, or any amounts that might have been received by Executive in other employment had Executive sought other employment. 

6. Attorney’s Fees. In the event that any suit or action is instituted to enforce any provision in this Agreement, the
prevailing party in such dispute shall be entitled to recover from the losing party all fees, costs and expenses of enforcing any right of such prevailing party under or with respect to this Agreement, including without limitation, such reasonable
fees and expenses of attorneys and accountants, which shall include, without limitation, all fees, costs and expenses of appeals. 
 7. Assignment and Transfer. This Agreement shall not be terminated by the merger or consolidation of the Company with any corporate or other entity or by the transfer of all or substantially all of
the assets of the Company to any other person, corporation, firm or entity. In the event of a sale of all or substantially all of the assets of the Company and in connection with such sale the person or entity purchasing such assets does not assume
this Agreement, the Executive shall have the right to terminate his employment hereunder for Good Reason. The provisions of this Agreement shall be binding on and shall inure to the benefit of any such successor in interest to the Company. Neither
this Agreement nor any of the rights, duties or obligations of the Executive shall be assignable by the Executive, nor shall any of the payments required or permitted to be made to the Executive by this Agreement be encumbered, transferred or in any
way anticipated, except as required by applicable laws. 
 8. Severable Provisions. The provisions of this Agreement are
severable and the invalidity of any one or more provisions shall not affect the validity of any other provision. 
 9.
Withholding. The Company may withhold from any payment that it is required to make under this Agreement amounts sufficient to satisfy applicable withholding requirements under any federal, state or local law. 

10. Amendment. This Agreement may be amended at any time by written agreement between the Company and Executive. 

11. Financing. Cash and benefit payments under this Agreement shall constitute general obligations of the Company. Executive shall
have only an unsecured right to payment thereof out of the general assets of the Company. Notwithstanding the foregoing, the Company may, by agreement with one or more trustees to be selected by the Company, create a trust on such terms, as the
Company shall determine, to make payments to Executive in accordance with the terms of this Agreement. 

  
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 12. Notices. All notices hereunder shall be in writing and shall be deemed to have
been duly given on the date of personal delivery; or on the date of electronic confirmation of receipt, if sent by telecopier; or three (3) days after deposit in the United States mail, if mailed by certified or registered mail, return receipt
requested (postage prepaid); or one (1) day after delivery by a reputable overnight courier (delivery charges prepaid), as follows: 
 If
to the Company: 
 Marchex, Inc. 
 413 Pine Street, Suite 500 
 Seattle, WA 98101 

Telephone No.: 206.331.3310 
 Facsimile No: 206.331.3696 
 Attention: General Counsel 

Copy to: 
 Francis J. Feeney,
Jr., Esq. 
 DLA Piper US LLP 
 33 Arch Street, 26th floor 
 Boston, MA 02110 

Telephone No: (617) 406-6063 
 Facsimile No: (617) 406-6163 
 If to the Executive: 

Telephone No.: 

Facsimile No. 
 or to such
other address as a party may notify the other pursuant to a notice given in accordance with this Section 12. 
 13.
Governing Law. This Agreement shall be construed under and enforced in accordance with the internal substantive laws of the State of Washington. Any litigation arising out of or incidental to this Agreement shall be initiated only in a court
of competent jurisdiction located within the State of Washington. Each party hereby consents to the personal jurisdiction of the State of Washington, acknowledges that venue is proper in any state or Federal court in the State of Washington, agrees
that any action related to this Agreement must be brought in a state or Federal court in the State of Washington and waives any objection that may exist, now or in the future, with respect to any of the foregoing. 

14. Employment. This Agreement shall not be construed as creating an express or implied contract of employment and, except as
otherwise agreed to in writing between the Executive and the Company, the Executive shall not have any right to be retained in the employ of the Company. 
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 IN WITNESS WHEREOF, the parties hereto have executed this Agreement as an instrument under
seal on the day and year first written above. 
  

			
	MARCHEX, INC
		
	 By:
	 	  

		 	Name:
		 	Title:
	
	EMPLOYEE:
		
		 	  

		 	Name:

  
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