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Exhibit 10.13    
  

 
 

COPART, INC.    
    
    2001 STOCK OPTION PLAN    
  

        
(As Amended for Stock Split on 01/04/02) 

        1.    Purposes of the Plan.    The purposes of this 2001 Stock Option Plan are: 

	•
	to
attract and retain the best available personnel for positions of substantial responsibility,

	•
	to
provide additional incentive to Employees, Directors and Consultants, and

	•
	to
promote the success of the Company's business. 

        Options
granted under the Plan may be Incentive Stock Options or Nonstatutory Stock Options, as determined by the Administrator at the time of grant. Stock Purchase Rights may also be
granted under the Plan. 

        2.    Definitions.    As used herein, the following definitions shall apply: 

        (a)  "Administrator" means the Board or any of its Committees as shall be administering the Plan, in accordance with Section 4
of the Plan. 

        (b)  "Applicable Laws" means the requirements relating to the administration of stock option plans under U.S. state corporate
laws, U.S. federal and state securities laws, the Code, any stock exchange or quotation system on which the Common Stock is listed or quoted and the applicable laws of any foreign country or
jurisdiction where Options or Stock Purchase Rights are, or will be, granted under the Plan. 

        (c)  "Board" means the Board of Directors of the Company. 

        (d)  "Change in Control" means the occurrence of any of the following events: 

          (i)  Any
"person" (as such term is used in Sections 13(d) and 14(d) of the Exchange Act) becomes the "beneficial owner" (as defined in Rule 13d-3 of the Exchange Act),
directly or indirectly, of securities of the Company representing fifty percent (50%) or more of the total voting power represented by the Company's then outstanding voting securities; or 

        (ii)  The
consummation of the sale or disposition by the Company of all or substantially all of the Company's assets; or 

        (iii)  The
consummation of a merger or consolidation of the Company with any other corporation, other than a merger or consolidation which would result in the voting
securities of the Company outstanding immediately prior thereto continuing to represent (either by remaining outstanding or by being converted into voting securities of the surviving entity or its
parent) at least fifty percent (50%) of the total voting power represented by the voting securities of the Company or such surviving entity or its parent outstanding immediately after such merger or
consolidation. 

        (e)  "Code" means the Internal Revenue Code of 1986, as amended. 

        (f)    "Committee" means a committee of Directors appointed by the Board in accordance with Section 4 of the Plan. 

        (g)  "Common Stock" means the common stock of the Company. 

        (h)  "Company" means Copart, Inc. a California corporation. 

        (i)    "Consultant" means any natural person, including an advisor, engaged by the Company or a Parent or Subsidiary to render
services to such entity. 

        (j)    "Director" means a member of the Board. 

 

        (k)  "Disability" means total and permanent disability as defined in Section 22(e)(3) of the Code. 

        (l)    "Employee" means any person, including Officers and Directors, employed by the Company or any Parent or Subsidiary of the
Company. A Service Provider shall not cease to be an Employee in the case of (i) any leave of absence approved by the Company or (ii) transfers between locations of the Company or between the Company,
its Parent, any Subsidiary, or any successor. For purposes of Incentive Stock Options, no such leave may exceed ninety days, unless reemployment upon expiration of such leave is guaranteed by statute
or contract. If reemployment upon expiration of a leave of absence approved by the Company is not so guaranteed, then three (3) months following the 91st day of such leave any Incentive
Stock Option held by the Optionee shall cease to be treated as an Incentive Stock Option and shall be treated for tax purposes as a Nonstatutory Stock Option. Neither service as a Director nor payment
of a director's fee by the Company shall be sufficient to constitute "employment" by the Company. 

        (m)  "Exchange Act" means the Securities Exchange Act of 1934, as amended. 

        (n)  "Fair Market Value" means, as of any date, the value of Common Stock determined as follows: 

          (i)  If
the Common Stock is listed on any established stock exchange or a national market system, including without limitation the Nasdaq National Market or The Nasdaq
SmallCap Market of The Nasdaq Stock Market, its Fair Market Value shall be the closing sales price for such stock (or the closing bid, if no sales were reported) as quoted on such exchange or system
on the day of
determination, as reported in The Wall Street Journal or such other source as the Administrator deems reliable; 

        (ii)  If
the Common Stock is regularly quoted by a recognized securities dealer but selling prices are not reported, the Fair Market Value of a Share of Common Stock shall be
the mean between the high bid and low asked prices for the Common Stock on the day of determination, as reported in The Wall Street Journal or such
other source as the Administrator deems reliable; or 

        (iii)  In
the absence of an established market for the Common Stock, the Fair Market Value shall be determined in good faith by the Administrator. 

        (o)  "Incentive Stock Option" means an Option intended to qualify as an incentive stock option within the meaning of Section
422 of the Code and the regulations promulgated thereunder. 

        (p)  "Nonstatutory Stock Option" means an Option not intended to qualify as an Incentive Stock Option. 

        (q)  "Notice of Grant" means a written or electronic notice evidencing certain terms and conditions of an individual Option or
Stock Purchase Right grant. The Notice of Grant is part of the Option Agreement. 

        (r)  "Officer" means a person who is an officer of the Company within the meaning of Section 16 of the Exchange Act and the
rules and regulations promulgated thereunder. 

        (s)  "Option" means a stock option granted pursuant to the Plan. 

        (t)    "Option Agreement" means an agreement between the Company and an Optionee evidencing the terms and conditions of an
individual Option grant. The Option Agreement is subject to the terms and conditions of the Plan. 

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        (u)  "Option Exchange Program" means a program whereby outstanding Options are surrendered in exchange for Options with a
lower exercise price. 

        (v)  "Optioned Stock" means the Common Stock subject to an Option or Stock Purchase Right. 

        (w)  "Optionee" means the holder of an outstanding Option or Stock Purchase Right granted under the Plan. 

        (x)  "Parent" means a "parent corporation," whether now or hereafter existing, as defined in Section 424(e) of the Code. 

        (y)  "Plan" means this 2001 Stock Option Plan. 

        (z)  "Restricted Stock" means shares of Common Stock acquired pursuant to a grant of Stock Purchase Rights under Section 11 of
the Plan. 

        (aa) "Restricted Stock Purchase Agreement" means a written agreement between the Company and the Optionee evidencing the
terms and restrictions applying to stock purchased under a Stock Purchase Right. The Restricted Stock Purchase Agreement is subject to the terms and conditions of the Plan and the Notice of Grant. 

        (bb) "Rule 16b-3" means Rule 16b-3 of the Exchange Act or any successor to Rule 16b-3, as in effect when discretion is being
exercised with respect to the Plan. 

        (cc) "Section 16(b)" means Section 16(b) of the Exchange Act. 

        (dd) "Service Provider" means an Employee, Director or Consultant. 

        (ee) "Share" means a share of the Common Stock, as adjusted in accordance with Section 13 of the Plan. 

        (ff)  "Stock Purchase Right" means the right to purchase Common Stock pursuant to Section 11 of the Plan, as evidenced by a
Notice of Grant. 

        (gg) "Subsidiary" means a "subsidiary corporation," whether now or hereafter existing, as defined in Section 424(f) of the
Code. 

        3.    Stock Subject to the Plan.    Subject to the provisions of Section 13 of the Plan, the maximum aggregate number
of Shares that may be optioned and sold under the Plan is 4,500,000 Shares. The Shares may be authorized, but unissued, or reacquired Common Stock. 

        If
an Option or Stock Purchase Right expires or becomes unexercisable without having been exercised in full, or is surrendered pursuant to an Option Exchange Program, the unpurchased
Shares which were subject thereto shall become available for future grant or sale under the Plan (unless the Plan has terminated); provided, however,
that Shares that have actually been issued under the Plan, whether upon exercise of an Option or Right, shall not be returned to the Plan and shall not become available for future distribution under
the Plan, except that if Shares of Restricted Stock are repurchased by the Company at their original purchase price, such Shares shall become available for future grant under the Plan. 

        4.    Administration of the Plan.    

        (a)    Procedure.    

        (i)    Multiple Administrative Bodies.    Different Committees with respect to different groups of Service Providers
may administer the Plan. 

        (ii)    Section 162(m).    To the extent that the Administrator determines it to be desirable to qualify Options
granted hereunder as "performance-based compensation" within the 

3

 

meaning of Section 162(m) of the Code, the Plan shall be administered by a Committee of two or more "outside directors" within the meaning of Section 162(m) of the Code. 

        (iii)    Rule 16b-3.    To the extent desirable to qualify transactions hereunder as exempt under Rule 16b-3, the
transactions contemplated hereunder shall be structured to satisfy the requirements for exemption under Rule 16b-3. 

        (iv)    Other Administration.    Other than as provided above, the Plan shall be administered by (A) the Board or (B)
a Committee, which committee shall be constituted to satisfy Applicable Laws. 

        (b)    Powers of the Administrator.    Subject to the provisions of the Plan, and in the case of a Committee, subject
to the specific duties delegated by the Board to such Committee, the Administrator shall have the authority, in its discretion: 

          (i)  to
determine the Fair Market Value; 

        (ii)  to
select the Service Providers to whom Options and Stock Purchase Rights may be granted hereunder; 

        (iii)  to
determine the number of shares of Common Stock to be covered by each Option and Stock Purchase Right granted hereunder; 

        (iv)  to
approve forms of agreement for use under the Plan; 

        (v)  to
determine the terms and conditions, not inconsistent with the terms of the Plan, of any Option or Stock Purchase Right granted hereunder. Such terms and conditions
include, but are not limited to, the exercise price, the time or times when Options or Stock Purchase Rights may be exercised (which may be based on performance criteria), any vesting acceleration or
waiver of forfeiture restrictions, and any restriction or limitation regarding any Option or Stock Purchase Right or the shares of Common Stock relating thereto, based in each case on such factors as
the Administrator, in its sole discretion, shall determine; 

        (vi)  to
reduce the exercise price of any Option or Stock Purchase Right to the then current Fair Market Value if the Fair Market Value of the Common Stock covered by such
Option or Stock Purchase Right shall have declined since the date the Option or Stock Purchase Right was granted; 

      (vii)  to
institute an Option Exchange Program; 

      (viii)  to
construe and interpret the terms of the Plan and awards granted pursuant to the Plan; 

        (ix)  to
prescribe, amend and rescind rules and regulations relating to the Plan, including rules and regulations relating to sub-plans established for the purpose of
satisfying applicable foreign laws; 

        (x)  to
modify or amend each Option or Stock Purchase Right (subject to Section 15(c) of the Plan), including the discretionary authority to extend the post-termination
exercisability period of Options longer than is otherwise provided for in the Plan; 

        (xi)  to
allow Optionees to satisfy withholding tax obligations by electing to have the Company withhold from the Shares to be issued upon exercise of an Option or Stock
Purchase Right that number of Shares having a Fair Market Value equal to the minimum amount required to be withheld. The Fair Market Value of the Shares to be withheld shall be determined on the date
that the amount of tax to be withheld is to be determined. All elections by an Optionee to have Shares withheld for this purpose shall be made in such form and under such conditions as the
Administrator may deem necessary or advisable; 

4

 

      (xii)  to
authorize any person to execute on behalf of the Company any instrument required to effect the grant of an Option or Stock Purchase Right previously granted by the
Administrator; 

      (xiii)  to
make all other determinations deemed necessary or advisable for administering the Plan. 

        (c)    Effect of Administrator's Decision.    The Administrator's decisions, determinations and interpretations shall
be final and binding on all Optionees and any other holders of Options or Stock Purchase Rights. 

        5.    Eligibility.    Nonstatutory Stock Options and Stock Purchase Rights may be granted to Service Providers.
Incentive Stock Options may be granted only to Employees. 

        6.    Limitations.    

        (a)  Each
Option shall be designated in the Option Agreement as either an Incentive Stock Option or a Nonstatutory Stock Option. However, notwithstanding such designation, to
the extent that the aggregate Fair Market Value of the Shares with respect to which Incentive Stock Options are exercisable for the first time by the Optionee during any calendar year (under all plans
of the Company and any Parent or Subsidiary) exceeds $100,000, such Options shall be treated as Nonstatutory Stock Options. For purposes of this Section 6(a), Incentive Stock Options shall be taken
into account in the order in which they were granted. The Fair Market Value of the Shares shall be determined as of the time the Option with respect to such Shares is granted. 

        (b)  Neither
the Plan nor any Option or Stock Purchase Right shall confer upon an Optionee any right with respect to continuing the Optionee's relationship as a Service
Provider with the Company, nor shall they interfere in any way with the Optionee's right or the Company's right to terminate such relationship at any time, with or without cause. 

        (c)  The
following limitations shall apply to grants of Options: 

          (i)  No
Service Provider shall be granted, in any fiscal year of the Company, Options to purchase more than 375,000 Shares. 

        (ii)  In
connection with his or her initial service, a Service Provider may be granted Options to purchase up to an additional 375,000 Shares, which shall not count against
the limit set forth in subsection (i) above. 

        (iii)  The
foregoing limitations shall be adjusted proportionately in connection with any change in the Company's capitalization as described in Section 13. 

        (iv)  If
an Option is cancelled in the same fiscal year of the Company in which it was granted (other than in connection with a transaction described in Section 13), the
cancelled Option will be counted against the limits set forth in subsections (i) and (ii) above. For this purpose, if the exercise price of an Option is reduced, the transaction will be treated as a
cancellation of the Option and the grant of a new Option. 

5

   
        7.    Term of Plan.    Subject to Section 20 of the Plan, the Plan shall become effective upon its adoption by the
Board. It shall continue in effect for a term of ten (10) years unless terminated earlier under Section 15 of the Plan. 

        8.    Term of Option.    The term of each Option shall be stated in the Option Agreement. In the case of an Incentive
Stock Option, the term shall be ten (10) years from the date of grant or such shorter term as may be provided in the Option Agreement. Moreover, in the case of an Incentive Stock Option granted to an
Optionee who, at the time the Incentive Stock Option is granted, owns stock representing more than ten percent (10%) of the total combined voting power of all classes of stock of the Company or any
Parent or Subsidiary, the term of the Incentive Stock Option shall be five (5) years from the date of grant or such shorter term as may be provided in the Option Agreement. 

        9.    Option Exercise Price and Consideration.    

        (a)    Exercise Price.    The per share exercise price for the Shares to be issued pursuant to exercise of an Option
shall be determined by the Administrator, subject to the following: 

          (i)  In
the case of an Incentive Stock Option 

        (A)  granted
to an Employee who, at the time the Incentive Stock Option is granted, owns stock representing more than ten percent (10%) of the voting power of all classes of
stock of the Company or any Parent or Subsidiary, the per Share exercise price shall be no less than 110% of the Fair Market Value per Share on the date of grant. 

        (B)  granted
to any Employee other than an Employee described in paragraph (A) immediately above, the per Share exercise price shall be no less than 100% of the Fair Market
Value per Share on the date of grant. 

        (ii)  In
the case of a Nonstatutory Stock Option, the per Share exercise price shall be determined by the Administrator. In the case of a Nonstatutory Stock Option intended
to qualify as "performance-based
compensation" within the meaning of Section 162(m) of the Code, the per Share exercise price shall be no less than 100% of the Fair Market Value per Share on the date of grant. 

        (iii)  Notwithstanding
the foregoing, Options may be granted with a per Share exercise price of less than 100% of the Fair Market Value per Share on the date of grant
pursuant to a merger or other corporate transaction. 

        (b)    Waiting Period and Exercise Dates.    At the time an Option is granted, the Administrator shall fix the period
within which the Option may be exercised and shall determine any conditions that must be satisfied before the Option may be exercised. 

        (c)    Form of Consideration.    The Administrator shall determine the acceptable form of consideration for exercising
an Option, including the method of payment. In the case of an Incentive Stock Option, the Administrator shall determine the acceptable form of consideration at the time of grant. Such consideration
may consist entirely of: 

          (i)  cash; 

        (ii)  check;

        (iii)  promissory
note; 

        (iv)  other
Shares which, in the case of Shares acquired directly or indirectly from the Company, (A) have been owned by the Optionee for more than six (6) months on the date
of surrender, and (B) have a Fair Market Value on the date of surrender equal to the aggregate exercise price of the Shares as to which said Option shall be exercised; 

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        (v)  consideration
received by the Company under a cashless exercise program implemented by the Company in connection with the Plan; 

        (vi)  a
reduction in the amount of any Company liability to the Optionee, including any liability attributable to the Optionee's participation in any Company-sponsored
deferred compensation program or arrangement; or 

      (vii)  any
combination of the foregoing methods of payment. 

        10.    Exercise of Option.    

        (a)    Procedure for Exercise; Rights as a Shareholder.    Any Option granted hereunder shall be exercisable according
to the terms of the Plan and at such times and under such conditions as determined by the Administrator and set forth in the Option Agreement. Unless the Administrator provides otherwise, vesting of
Options granted hereunder shall be suspended during any unpaid leave of absence. An Option may not be exercised for a fraction of a Share. 

        An
Option shall be deemed exercised when the Company receives: (i) written or electronic notice of exercise (in accordance with the Option Agreement) from the person entitled to exercise
the Option, and (ii) full payment for the Shares with respect to which the Option is exercised. Full payment may consist of any consideration and method of payment authorized by the Administrator and
permitted by the Option Agreement and the Plan. Shares issued upon exercise of an Option shall be issued in the name of the Optionee or, if requested by the Optionee, in the name of the Optionee and
his or her spouse. Until the Shares are issued (as evidenced by the appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company), no right to vote or receive
dividends or any other rights as a shareholder shall exist with respect to the Optioned Stock, notwithstanding the exercise of the Option. The Company shall issue (or cause to be issued) such Shares
promptly after the Option is exercised. No adjustment will be made for a dividend or other right for which the record date is prior to the date the Shares are issued, except as provided in Section 13
of the Plan. 

        Exercising
an Option in any manner shall decrease the number of Shares thereafter available, both for purposes of the Plan and for sale under the Option, by the number of Shares as to
which the Option is exercised. 

        (b)    Termination of Relationship as a Service Provider.    If an Optionee ceases to be a Service Provider, other
than upon the Optionee's death or Disability, the Optionee may exercise his or her Option within such period of time as is specified in the Option Agreement to the extent that the Option is vested on
the date of termination (but in no event later than the expiration of the term of such Option as set forth in the Option Agreement). In the absence of a specified time in the Option Agreement, the
Option shall remain exercisable for thirty (30) days following the Optionee's termination. If, on the date of termination, the Optionee is not vested as to his or her entire Option, the Shares covered
by the unvested portion of the Option shall revert to the Plan. If, after termination, the Optionee does not exercise his or her Option within the time specified by the Administrator, the Option shall
terminate, and the Shares covered by such Option shall revert to the Plan. 

        (c)    Disability of Optionee.    If an Optionee ceases to be a Service Provider as a result of the Optionee's
Disability, the Optionee may exercise his or her Option within such period of time as is specified in the Option Agreement to the extent the Option is vested on the date of termination (but in no
event later than the expiration of the term of such Option as set forth in the Option Agreement). In the absence of a specified time in the Option Agreement, the Option shall remain exercisable for
twelve (12) months following the Optionee's termination. If, on the date of termination, the Optionee is not vested as to his or her entire Option, the Shares covered by the unvested portion of the
Option shall revert to the Plan. If, after termination, the Optionee does 

7

 

not exercise his or her Option within the time specified herein, the Option shall terminate, and the Shares covered by such Option shall revert to the Plan. 

        (d)    Death of Optionee.    If an Optionee dies while a Service Provider, the Option may be exercised following the
Optionee's death within such period of time as is specified in the Option Agreement to the extent that the Option is vested on the date of death (but in no event may the option be exercised later than
the expiration of the term of such Option as set forth in the Option Agreement), by the Optionee's designated beneficiary, provided such beneficiary has been designated prior to Optionee's death in a
form acceptable to the Administrator. If no such beneficiary has been designated by the Optionee, then such Option may be exercised by the personal representative of the Optionee's estate or by the
person(s) to whom the Option is transferred pursuant to the Optionee's will or in accordance with the laws of descent and distribution. In the absence of a specified time in the Option Agreement, the
Option shall remain exercisable for twelve (12) months following Optionee's death. If, at the time of death, Optionee is not vested as to his or her entire Option, the Shares covered by the unvested
portion of the Option shall immediately revert to the Plan. If the Option is not so exercised within the time specified herein, the Option shall terminate, and the Shares covered by such Option shall
revert to the Plan. 

        11.    Stock Purchase Rights.    

        (a)    Rights to Purchase.    Stock Purchase Rights may be issued either alone, in addition to, or in tandem with
other awards granted under the Plan and/or cash awards made outside of the Plan. After the Administrator determines that it will offer Stock Purchase Rights under the Plan, it shall advise the offeree
in writing or electronically, by means of a Notice of Grant, of the terms, conditions and restrictions related to the offer, including the number of Shares that the offeree shall be entitled to
purchase, the price to be paid, and the time within which the offeree must accept such offer. The offer shall be accepted by execution of a Restricted Stock Purchase Agreement in the form determined
by the Administrator. 

        (b)    Repurchase Option.    Unless the Administrator determines otherwise, the Restricted Stock Purchase Agreement
shall grant the Company a repurchase option exercisable upon the voluntary or involuntary termination of the purchaser's service with the Company for any reason (including death or Disability). The
purchase price for Shares repurchased pursuant to the Restricted Stock Purchase Agreement shall
be the original price paid by the purchaser and may be paid by cancellation of any indebtedness of the purchaser to the Company. The repurchase option shall lapse at a rate determined by the
Administrator. 

        (c)    Other Provisions.    The Restricted Stock Purchase Agreement shall contain such other terms, provisions and
conditions not inconsistent with the Plan as may be determined by the Administrator in its sole discretion. 

        (d)    Rights as a Shareholder.    Once the Stock Purchase Right is exercised, the purchaser shall have the rights
equivalent to those of a shareholder, and shall be a shareholder when his or her purchase is entered upon the records of the duly authorized transfer agent of the Company. No adjustment will be made
for a dividend or other right for which the record date is prior to the date the Stock Purchase Right is exercised, except as provided in Section 13 of the Plan. 

        12.    Transferability of Options and Stock Purchase Rights.    Unless determined otherwise by the Administrator, an
Option or Stock Purchase Right may not be sold, pledged, assigned, hypothecated, transferred, or disposed of in any manner other than by will or by the laws of descent or distribution and may be
exercised, during the lifetime of the Optionee, only by the Optionee. If the Administrator makes an Option or Stock Purchase Right transferable, such Option or Stock Purchase Right shall contain such
additional terms and conditions, as the Administrator deems appropriate. 

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        13.    Adjustments Upon Changes in Capitalization, Dissolution or Change in Control.    

        (a)    Changes in Capitalization.    Subject to any required action by the shareholders of the Company, the number of
shares of Common Stock that have been authorized for issuance under the Plan but as to which no Options or Stock Purchase Rights have yet been granted or which have been returned to the Plan upon
cancellation or expiration of an Option or Stock Purchase Right, and the number of shares of Common Stock as well as the price per share of Common Stock covered by each such outstanding Option or
Stock Purchase Right, shall be proportionately adjusted for any increase or decrease in the number of issued shares of Common Stock resulting from a stock split, reverse stock split, stock dividend,
combination or reclassification of the Common Stock, or any other increase or decrease in the number of issued shares of Common Stock effected without receipt of consideration by the Company;
provided, however, that conversion of any convertible securities of the Company shall not be deemed to have been "effected without receipt of consideration." Such adjustment shall be made by the
Board, whose determination in that respect shall be final, binding and conclusive. Except as expressly provided herein, no issuance by the Company of shares of stock of any class, or securities
convertible into shares of stock of any class, shall affect, and no adjustment by reason thereof shall be made with respect to, the number or price of shares of Common Stock subject to an Option or
Stock Purchase Right. 

        (b)    Dissolution or Liquidation.    In the event of the proposed dissolution or liquidation of the Company, the
Administrator shall notify each Optionee as soon as practicable prior to the effective date of such proposed transaction. The Administrator in its discretion may provide for an Optionee to have the
right to exercise his or her Option until fifteen (15) days prior to such transaction as to all of the Optioned Stock covered thereby, including Shares as to which the Option would not otherwise be
exercisable. In addition, the Administrator may provide that any Company repurchase option applicable to any Shares purchased upon exercise of an Option or Stock Purchase Right shall lapse as to all
such Shares, provided the proposed dissolution or liquidation takes place at the time and in the manner contemplated. To the extent it has not been previously exercised, an Option or Stock Purchase
Right will terminate immediately prior to the consummation of such proposed action. 

        (c)    Change in Control.    In the event of a Change in Control, each outstanding Option and Stock Purchase Right
shall be assumed or an equivalent option or right substituted by the successor corporation or a Parent or Subsidiary of the successor corporation. 

        In
the event that the successor corporation refuses to assume or substitute for the Option or Stock Purchase Right, the Optionee shall fully vest in and have the right to exercise the
Option or Stock Purchase Right as to all of the Optioned Stock, including Shares as to which it would not otherwise be vested or exercisable. If an Option or Stock Purchase Right becomes fully vested
and exercisable in lieu of assumption or substitution in the event of a Change in Control, the Administrator shall notify the Optionee in writing or electronically that the Option or Stock Purchase
Right shall be fully vested and exercisable for a period of fifteen (15) days from the date of such notice, and the Option or Stock Purchase Right shall terminate upon the expiration of such period. 

        For
the purposes of this subsection (c), the Option or Stock Purchase Right shall be considered assumed if, following the Change in Control, the option or right confers the right to
purchase or receive, for each Share of Optioned Stock subject to the Option or Stock Purchase Right immediately prior to the Change in Control, the consideration (whether stock, cash, or other
securities or property) received in the Change in Control by holders of Common Stock for each Share held on the effective date of the transaction (and if holders were offered a choice of
consideration, the type of consideration chosen by the holders of a majority of the outstanding 

9

 

Shares); provided, however, that if such consideration received in the Change in Control is not solely common stock of the successor corporation or its Parent, the Administrator may, with the consent
of the successor corporation, provide for the consideration to be received upon the exercise of the Option or Stock Purchase Right, for each Share of Optioned Stock subject to the Option or Stock
Purchase Right, to be solely common stock of the successor corporation or its Parent equal in fair market value to the per share consideration received by holders of Common Stock in the Change in
Control. 

        14.    Date of Grant.    The date of grant of an Option or Stock Purchase Right shall be, for all purposes, the date
on which the Administrator makes the determination granting such Option or Stock Purchase
Right, or such other later date as is determined by the Administrator. Notice of the determination shall be provided to each Optionee within a reasonable time after the date of such grant. 

        15.    Amendment and Termination of the Plan.    

        (a)    Amendment and Termination.    The Board may at any time amend, alter, suspend or terminate the Plan. 

        (b)    Shareholder Approval.    The Company shall obtain shareholder approval of any Plan amendment to the extent
necessary and desirable to comply with Applicable Laws. 

        (c)    Effect of Amendment or Termination.    No amendment, alteration, suspension or termination of the Plan shall
impair the rights of any Optionee, unless mutually agreed otherwise between the Optionee and the Administrator, which agreement must be in writing and signed by the Optionee and the Company.
Termination of the Plan shall not affect the Administrator's ability to exercise the powers granted to it hereunder with respect to Options granted under the Plan prior to the date of such
termination. 

        16.    Conditions Upon Issuance of Shares.    

        (a)    Legal Compliance.    Shares shall not be issued pursuant to the exercise of an Option or Stock Purchase Right
unless the exercise of such Option or Stock Purchase Right and the issuance and delivery of such Shares shall comply with Applicable Laws and shall be further subject to the approval of counsel for
the Company with respect to such compliance. 

        (b)    Investment Representations.    As a condition to the exercise of an Option or Stock Purchase Right, the Company
may require the person exercising such Option or Stock Purchase Right to represent and warrant at the time of any such exercise that the Shares are being purchased only for investment and without any
present intention to sell or distribute such Shares if, in the opinion of counsel for the Company, such a representation is required. 

        17.    Inability to Obtain Authority.    The inability of the Company to obtain authority from any regulatory body
having jurisdiction, which authority is deemed by the Company's counsel to be necessary to the lawful issuance and sale of any Shares hereunder, shall relieve the Company of any liability in respect
of the failure to issue or sell such Shares as to which such requisite authority shall not have been obtained. 

        18.    Reservation of Shares.    The Company, during the term of this Plan, will at all times reserve and keep
available such number of Shares as shall be sufficient to satisfy the requirements of the Plan. 

        19.    Shareholder Approval.    The Plan shall be subject to approval by the shareholders of the Company within twelve
(12) months after the date the Plan is adopted. Such shareholder approval shall be obtained in the manner and to the degree required under Applicable Laws. 

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COPART, INC.    
    
    2001 STOCK OPTION PLAN    
    
    STOCK OPTION AGREEMENT    
  

        Unless otherwise defined herein, the terms defined in the 2001 Stock Option Plan shall have the same defined meanings in this Stock Option Agreement. 

I.    NOTICE OF STOCK OPTION GRANT  

        [Optionee's Name and Address]

        You
have been granted an option to purchase Common Stock of the Company, subject to the terms and conditions of the Plan and this Option Agreement, as follows: 

	Grant Number	 	    

	

Date of Grant	
 	

    

	

Vesting Commencement Date	
 	

    

	

Exercise Price per Share	
 	

$    

	

Total Number of Shares Granted	
 	

    

	

Total Exercise Price	
 	

$    

	

Type of Option:	
 	

___ Incentive Stock Option
	

 	
 	

___ Nonstatutory Stock Option
	

Term/Expiration Date:	
 	

    

 Vesting Schedule:  

        This Option shall be exercisable, in whole or in part, in accordance with the following schedule: 

20%
of the Shares subject to the Option shall vest twelve months after the Vesting Commencement Date, and 1/60th of the Shares subject to the Option shall vest cumulatively each month thereafter, such
that 100% of the Shares subject to the Option will be vested five (5) years from Vesting Commencement Date subject to the Optionee continuing to be a Service Provider as of each such dates. 

 Vesting Acceleration on Change of Control.  

A.    Vesting Acceleration.    Following an assumption or substitution of the Option in connection with a transaction that
constitutes a Change of Control and in the event of the subsequent "Involuntary Termination" (as defined below) of the Optionee within twelve (12) months of such Change of Control, then Optionee's
right to purchase the Shares shall become automatically vested in their entirety on an accelerated basis and be fully exercisable as of the date immediately preceding any such "Involuntary
Termination." 

B.    Involuntary Termination.    "Involuntary Termination" shall mean (i) a termination by the Company of the Optionee's employment
with or services to the Company other than for "Cause" (as defined in below); (ii) without the Optionee's consent, a material reduction of or variation in the Optionee's duties, authority or
responsibilities, relative to the Optionee's duties, authority or responsibilities as in effect immediately prior to such reduction or variation; (iii) without the Optionee's consent, a material
reduction in the base salary of the Optionee as in effect immediately prior to such reduction; (iv) without the Optionee's consent, a material reduction by the Company in the kind or level of employee
benefits to which the Optionee was entitled immediately prior to such reduction, with the result that the Optionee's overall benefits package is 

 

materially reduced; or (v) without the Optionee's consent, the relocation of the Optionee to a facility or a location more than one hundred (100) miles from the Optionee's then present location. 

C.    Cause.    "Cause" shall mean (i) the Optionee's continued failure to substantially perform the principal duties and
obligations of his or her position with the Company (other than any such failure resulting from Disability), which failure is not remedied in a reasonable period of time after receipt of written
notice from the Company; (ii) any act of personal dishonesty, fraud or misrepresentation taken by the Optionee which was intended to result in substantial gain or personal enrichment of the Optionee
at the expense of the Company; (iii) the Optionee's violation of a federal or state law or regulation applicable to the Company's business which violation which was or is reasonably likely to be
materially injurious to the Company; (iv) the Optionee's conviction of a felony or a plea of nolo contendere under the laws of the United States or any State; or (v) the Optionee's breach of the terms
of the Optionee's proprietary information and inventions assignment agreement with the Company, if any. 

 Termination Period:  

        This Option may be exercised for thirty (30) days after Optionee ceases to be a Service Provider. Upon the death or Disability of the Optionee, this Option may be
exercised for twelve (12) months after Optionee ceases to be a Service Provider. In no event shall this Option be exercised later than the Term/Expiration Date as provided above. 

II.    AGREEMENT  

        A.    Grant of Option.    

        The
Plan Administrator of the Company hereby grants to the Optionee named in the Notice of Grant attached as Part I of this Agreement (the "Optionee") an option (the "Option") to
purchase the number of Shares, as set forth in the Notice of Grant, at the exercise price per share set forth in the Notice of Grant (the "Exercise Price"), subject to the terms and conditions of the
Plan, which is
incorporated herein by reference. Subject to Section 16(c) of the Plan, in the event of a conflict between the terms and conditions of the Plan and the terms and conditions of this Option Agreement,
the terms and conditions of the Plan shall prevail. 

        If
designated in the Notice of Grant as an Incentive Stock Option ("ISO"), this Option is intended to qualify as an Incentive Stock Option under Section 422 of the Code. However, if this
Option is intended to be an Incentive Stock Option, to the extent that it exceeds the $100,000 rule of Code Section 422(d) it shall be treated as a Nonstatutory Stock Option ("NSO"). 

        B.    Exercise of Option.    

        (a)    Right to Exercise.    This Option is exercisable during its term in accordance with the Vesting Schedule set
out in the Notice of Grant and the applicable provisions of the Plan and this Option Agreement. 

        (b)    Method of Exercise.    This Option is exercisable by delivery of an exercise notice, in the form attached as  Exhibit A (the
"Exercise Notice"), which shall state the election to exercise the Option, the number of Shares in respect of which the Option is being
exercised (the "Exercised Shares"), and such other representations and agreements as may be required by the Company pursuant to the provisions of the Plan. The Exercise Notice shall be completed by
the Optionee and delivered to the Corporate Secretary of the Company. The Exercise Notice shall be accompanied by payment of the aggregate Exercise Price as to all Exercised Shares. This Option shall
be deemed to be exercised upon receipt by the Company of such fully executed Exercise Notice accompanied by such aggregate Exercise Price. 

2

 

        No
Shares shall be issued pursuant to the exercise of this Option unless such issuance and exercise complies with Applicable Laws. Assuming such compliance, for income tax purposes the
Exercised Shares shall be considered transferred to the Optionee on the date the Option is exercised with respect to such Exercised Shares. 

        C.    Method of Payment.    

        Payment
of the aggregate Exercise Price shall be by any of the following, or a combination thereof, at the election of the Optionee: 

        1.    cash;
or 

        2.    check;
or 

        3.    consideration
received by the Company under a formal cashless exercise program implemented by the Company in connection with the Plan; or 

        4.    surrender
of other Shares which (i) in the case of Shares acquired either directly or indirectly from the Company, have been owned by the Optionee for more than six (6)
months on the date of surrender, and (ii) have a Fair Market Value on the date of surrender equal to the aggregate Exercise Price of the Exercised Shares. 

        D.    Non-Transferability of Option.    

        This
Option may not be transferred in any manner otherwise than by will or by the laws of descent or distribution and may be exercised during the lifetime of Optionee only by the
Optionee. The terms of the Plan and this Option Agreement shall be binding upon the executors, administrators, heirs, successors and assigns of the Optionee. 

        E.    Term of Option.    

        This
Option may be exercised only within the term set out in the Notice of Grant, and may be exercised during such term only in accordance with the Plan and the terms of this Option
Agreement. 

        F.    Tax Obligations.    

        (a)    Withholding Taxes.    Optionee agrees to make appropriate arrangements with the Company (or the Parent or
Subsidiary employing or retaining Optionee) for the satisfaction of all Federal, state, local and foreign income and employment tax withholding requirements applicable to the Option exercise. Optionee
acknowledges and agrees that the Company may refuse to honor the exercise and refuse to deliver Shares if such withholding amounts are not delivered at the time of exercise. 

        (b)    Notice of Disqualifying Disposition of ISO Shares.    If the Option granted to Optionee herein is an ISO, and
if Optionee sells or otherwise disposes of any of the Shares acquired pursuant to the ISO on or before the later of (1) the date two years after the Date of Grant, or (2) the date one year after the
date of exercise, the Optionee shall immediately notify the Company in writing of such disposition.
Optionee agrees that Optionee may be subject to income tax withholding by the Company on the compensation income recognized by the Optionee. 

        G.    Entire Agreement; Governing Law.    

        The
Plan is incorporated herein by reference. The Plan and this Option Agreement constitute the entire agreement of the parties with respect to the subject matter hereof and supersede in
their entirety all prior undertakings and agreements of the Company and Optionee with respect to the subject matter hereof, and may not be modified adversely to the Optionee's interest except by means
of a writing signed by the Company and Optionee. This agreement is governed by the internal substantive laws, but not the choice of law rules, of California. 

3

 

        H.    NO GUARANTEE OF CONTINUED SERVICE.    

        OPTIONEE
ACKNOWLEDGES AND AGREES THAT THE VESTING OF SHARES PURSUANT TO THE VESTING SCHEDULE HEREOF IS EARNED ONLY BY CONTINUING AS A SERVICE PROVIDER AT THE WILL OF THE COMPANY (AND NOT
THROUGH THE ACT OF BEING HIRED, BEING GRANTED AN OPTION OR PURCHASING SHARES HEREUNDER). OPTIONEE FURTHER ACKNOWLEDGES AND AGREES THAT THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREUNDER AND THE
VESTING SCHEDULE SET FORTH HEREIN DO NOT CONSTITUTE AN EXPRESS OR IMPLIED PROMISE OF CONTINUED ENGAGEMENT AS A SERVICE PROVIDER FOR THE VESTING PERIOD, FOR ANY PERIOD, OR AT ALL, AND SHALL NOT
INTERFERE WITH OPTIONEE'S RIGHT OR THE COMPANY'S RIGHT TO TERMINATE OPTIONEE'S RELATIONSHIP AS A SERVICE PROVIDER AT ANY TIME, WITH OR WITHOUT CAUSE. 

        By
your signature and the signature of the Company's representative below, you and the Company agree that this Option is granted under and governed by the terms and conditions of the
Plan and this Option Agreement. Optionee has reviewed the Plan and this Option Agreement in their entirety, has had an opportunity to obtain the advice of counsel prior to executing this Option
Agreement and fully understands all provisions of the Plan and Option Agreement. Optionee hereby agrees to accept as binding, conclusive and final all decisions or interpretations of the Administrator
upon any questions relating to the Plan and Option Agreement. Optionee further agrees to notify the Company upon any change in the residence address indicated below. 

	OPTIONEE:	 	COPART, INC.
	

    
 Signature	
 	

    
 By
	

    
 Print Name	
 	

    
 Title
	

    
 Residence Address	
 	

 
	

    
	
 	

 

4

 
 

EXHIBIT A    
  

 
 

COPART, INC.    
    2001 STOCK OPTION PLAN    
    EXERCISE NOTICE    
  

Copart, Inc.

5500 E. Second Street

Benicia, California 94510  

Attention:
Corporate Secretary 

        1.    Exercise of Option.    Effective as of today,
                                    ,
                , the undersigned ("Purchaser") hereby elects to purchase
                            shares (the "Shares") of the Common Stock of Copart,
Inc. (the "Company") under and pursuant to the 2001 Stock Option Plan (the "Plan") and the Stock Option Agreement dated
                                    ,
                 (the "Option Agreement"). Subject to adjustment in accordance with Section 13 of the Plan, the purchase price for the Shares shall be
$                   , as required by the Option Agreement. 

        2.    Delivery of Payment.    Purchaser herewith delivers to the Company the full purchase price for the Shares. 

        3.    Representations of Purchaser.    Purchaser acknowledges that Purchaser has received, read and understood the
Plan and the Option Agreement and agrees to abide by and be bound by their terms and conditions. 

        4.    Rights as Shareholder.    Until the issuance (as evidenced by the appropriate entry on the books of the Company
or of a duly authorized transfer agent of the Company) of the Shares, no right to vote or receive dividends or any other rights as a shareholder shall exist with respect to the Optioned Stock,
notwithstanding the exercise of the Option. The Shares so acquired shall be issued to the Optionee as soon as practicable after exercise of the Option. No adjustment will be made for a dividend or
other right for which the record date is prior to the date of issuance, except as provided in Section 13 of the Plan. 

        5.    Tax Consultation.    Purchaser understands that Purchaser may suffer adverse tax consequences as a result of
Purchaser's purchase or disposition of the Shares. Purchaser represents that Purchaser has consulted with any tax consultants Purchaser deems advisable in connection with the purchase or disposition
of the Shares and that Purchaser is not relying on the Company for any tax advice. 

        6.    Entire Agreement; Governing Law.    The Plan and Option Agreement are incorporated herein by reference. This
Agreement, the Plan and the Option Agreement constitute the entire agreement of the parties with respect to the subject matter hereof and supersede in their entirety all prior undertakings and
agreements of the Company and Purchaser with respect to the subject matter hereof, and may not be modified adversely to the Purchaser's interest except by means of a writing signed by 

 

the Company and Purchaser. This agreement is governed by the internal substantive laws, but not the choice of law rules, of California. 

	Submitted by:	 	Accepted by:
	

PURCHASER:	
 	

COPART, INC.
	

    
 Signature	
 	

 By
	

 Print Name	
 	

 Print Name
	

 	
 	

 Title
	
Address:	
 	

Address:
	

 

    
	
 	

  

    

	

  

  

    	
 	

 Date Received

2

 
 

COPART, INC.    
    
    2001 STOCK OPTION PLAN    
    
    NOTICE OF GRANT OF STOCK PURCHASE RIGHT    
  

        Unless otherwise defined herein, the terms defined in the Plan shall have the same defined meanings in this Notice of Grant. 

        [Grantee's Name and Address]

        You
have been granted the right to purchase Common Stock of the Company, subject to the Company's Repurchase Option and your ongoing status as a Service Provider (as described in the
Plan and the attached Restricted Stock Purchase Agreement), as follows: 

	Grant Number	 	

	

Date of Grant	
 	

	

Price Per Share	
 	

$

	

Total Number of Shares Subject to This Stock Purchase Right	
 	

	

Expiration Date:	
 	

        YOU
MUST EXERCISE THIS STOCK PURCHASE RIGHT BEFORE THE EXPIRATION DATE OR IT WILL TERMINATE AND YOU WILL HAVE NO FURTHER RIGHT TO PURCHASE THE SHARES. By your signature and the signature
of the Company's representative below, you and the Company agree that this Stock Purchase Right is granted under and governed by the terms and conditions of the 2001 Stock Option Plan and the
Restricted Stock Purchase Agreement, attached hereto as Exhibit A-1, both of which are made a part of this document. You further agree to execute the
attached Restricted Stock Purchase Agreement as a condition to purchasing any shares under this Stock Purchase Right. 

	GRANTEE:	 	COPART, INC.
	

 Signature	
 	

 By
	

 Print Name	
 	

 Title

 
 

EXHIBIT A-1    
  

 
  COPART, INC.    
    
    2001 STOCK OPTION PLAN    
    
    RESTRICTED STOCK PURCHASE AGREEMENT    
  

        Unless otherwise defined herein, the terms defined in the Plan shall have the same defined meanings in this Restricted Stock Purchase Agreement. 

        WHEREAS
the Purchaser named in the Notice of Grant (the "Purchaser") is a Service Provider and the Purchaser's continued participation is considered by the Company to be important for
the Company's continued growth; and 

        WHEREAS
in order to give the Purchaser an opportunity to acquire an equity interest in the Company as an incentive for the Purchaser to participate in the affairs of the Company, the
Administrator has granted to the Purchaser a Stock Purchase Right subject to the terms and conditions of the Plan and the Notice of Grant, which are incorporated herein by reference, and pursuant to
this Restricted Stock Purchase Agreement (the "Agreement"). 

        NOW
THEREFORE, the parties agree as follows: 

        1.    Sale of Stock.    The Company hereby agrees to sell to the Purchaser and the Purchaser hereby agrees to purchase
shares of the Company's Common Stock (the "Shares"), at the per Share purchase price and as otherwise described in the Notice of Grant. 

        2.    Payment of Purchase Price.    The purchase price for the Shares may be paid by delivery to the Company at the
time of execution of this Agreement of cash, a check, or some combination thereof. 

        3.    Repurchase Option.    

        (a)  In
the event the Purchaser ceases to be a Service Provider for any or no reason (including death or disability) before all of the Shares are released from the Company's
Repurchase Option (see Section 4), the Company shall, upon the date of such termination (as reasonably fixed and determined by the Company) have an irrevocable, exclusive option (the "Repurchase
Option") for a period of sixty (60) days from such date to repurchase up to that number of shares which constitute the Unreleased Shares (as defined in Section 4) at the original purchase price per
share (the "Repurchase Price"). The Repurchase Option shall be exercised by the Company by delivering written notice to the Purchaser or the Purchaser's executor (with a copy to the Escrow Holder)
AND, at the Company's option, (i) by delivering to the Purchaser or the Purchaser's executor a check in the amount of the aggregate Repurchase Price, or (ii) by canceling an amount of the Purchaser's
indebtedness to the Company equal to the aggregate Repurchase Price, or (iii) by a combination of (i) and (ii) so that the combined payment and cancellation of indebtedness equals the aggregate
Repurchase Price. Upon delivery of such notice and the payment of the aggregate Repurchase Price, the Company shall become the legal and beneficial owner of the Shares being repurchased and all rights
and interests therein or relating thereto, and the Company shall have the right to retain and transfer to its own name the number of Shares being repurchased by the Company. 

        (b)  Whenever
the Company shall have the right to repurchase Shares hereunder, the Company may designate and assign one or more employees, officers, directors or shareholders
of the Company or other persons or organizations to exercise all or a part of the Company's purchase rights under this Agreement and purchase all or a part of such Shares. If the Fair Market Value of
the Shares to be repurchased on the date of such designation or assignment (the "Repurchase FMV") exceeds the aggregate Repurchase Price of such Shares, then each such designee or assignee shall pay
the Company cash equal to the difference between the Repurchase FMV and the aggregate Repurchase Price of such Shares. 

 

        4.    Release of Shares From Repurchase Option.    

        (a)  Twenty
percent (20%) of the Shares shall be released from the Company's Repurchase Option one year after the Date of Grant and 1/60th of the Shares
cumulatively at the end of each month thereafter, such that 100% of the Shares shall be released from the Company's Repurchase Option five (5) years after the Date of Grant provided that the Purchaser
does not cease to be a Service Provider prior to the date of any such release. 

        (b)  Any
of the Shares that have not yet been released from the Repurchase Option are referred to herein as "Unreleased Shares." 

        (c)  The
Shares that have been released from the Repurchase Option shall be delivered to the Purchaser at the Purchaser's request (see Section 6). 

        Vesting
Acceleration on Change of Control: 

        (d)  In
addition, following an assumption or substitution of the Stock Purchase Right in connection with a transaction that constitutes a Change of Control and in the event
of a subsequent "Involuntary Termination" (as defined below) of Purchaser within twelve (12) months of such Change of Control, all of the Company's rights to repurchase Restricted Stock from the
Purchaser under this Restricted Stock Purchase Agreement shall lapse in its entirety on an accelerated basis as of the date immediately preceding any such "Involuntary Termination." 

        (e)    Involuntary Termination.    "Involuntary Termination" shall mean (i) a termination by the Company of the
Optionee's employment with or services to the Company other than for "Cause" (as defined in below); (ii) without the Optionee's consent, a material reduction of or variation in the Optionee's duties,
authority or responsibilities, relative to the Optionee's duties, authority or responsibilities as in effect immediately prior to such reduction or variation; (iii) without the Optionee's consent, a
material reduction in the base salary of the Optionee as in effect immediately prior to such reduction; (iv) without the Optionee's consent, a material reduction by the Company in the kind or level of
employee benefits to which the Optionee was entitled immediately prior to such reduction, with the result that the Optionee's overall benefits package is materially reduced; or (v) without the
Optionee's consent, the relocation of the Optionee to a facility or a location more than one hundred (100) miles from the Optionee's then present location. 

        (f)    Cause.    "Cause" shall mean (i) the Optionee's continued failure to substantially perform the principal duties
and obligations of his or her position with the Company (other than any such failure resulting from Disability), which failure is not remedied in a reasonable period of time after receipt of written
notice from the Company; (ii) any act of personal dishonesty, fraud or misrepresentation taken by the Optionee which was intended to result in substantial gain or personal enrichment of the Optionee
at the expense of the Company; (iii) the Optionee's violation of a federal or state law or regulation applicable to the Company's business which violation which was or is reasonably likely to be
materially injurious to the Company; (iv) the Optionee's conviction of a felony or a plea of nolo contendere
under the laws of the United States or any State; or (v) the Optionee's breach of the terms of the Optionee's proprietary information and inventions assignment agreement with the Company, if any. 

        5.    Restriction on Transfer.    Except for the escrow described in Section 6 or the transfer of the Shares to the
Company or its assignees contemplated by this Agreement, none of the Shares or any beneficial interest therein shall be transferred, encumbered or otherwise disposed of in any way until such Shares
are released from the Company's Repurchase Option in accordance with the provisions of this Agreement, other than by will or the laws of descent and distribution. 

2

 

        6.    Escrow of Shares.    

        (a)  To
ensure the availability for delivery of the Purchaser's Unreleased Shares upon repurchase by the Company pursuant to the Repurchase Option, the Purchaser shall, upon
execution of this Agreement, deliver and deposit with an escrow holder designated by the Company (the "Escrow Holder") the share certificates representing the Unreleased Shares, together with the
stock assignment duly endorsed in blank, attached hereto as Exhibit A-2. The Unreleased Shares and stock assignment shall be held by the Escrow Holder,
pursuant to the Joint Escrow Instructions of the Company and Purchaser attached hereto as Exhibit A-3, until such time as the Company's Repurchase
Option expires. 

        (b)  The
Escrow Holder shall not be liable for any act it may do or omit to do with respect to holding the Unreleased Shares in escrow while acting in good faith and in the
exercise of its judgment. 

        (c)  If
the Company or any assignee exercises the Repurchase Option hereunder, the Escrow Holder, upon receipt of written notice of such exercise from the proposed
transferee, shall take all steps necessary to accomplish such transfer. 

        (d)  When
the Repurchase Option has been exercised or expires unexercised or a portion of the Shares has been released from the Repurchase Option, upon request the Escrow
Holder shall promptly cause a new certificate to be issued for the released Shares and shall deliver the certificate to the Company or the Purchaser, as the case may be. 

        (e)  Subject
to the terms hereof, the Purchaser shall have all the rights of a shareholder with respect to the Shares while they are held in escrow, including without
limitation, the right to vote the Shares and to receive any cash dividends declared thereon. If, from time to time during the term of the Repurchase Option, there is (i) any stock dividend, stock
split or other change in the Shares, or (ii) any merger or sale of all or substantially all of the assets or other acquisition of the Company, any and all
new, substituted or additional securities to which the Purchaser is entitled by reason of the Purchaser's ownership of the Shares shall be immediately subject to this escrow, deposited with the Escrow
Holder and included thereafter as "Shares" for purposes of this Agreement and the Repurchase Option. 

        7.    Legends.    The share certificate evidencing the Shares, if any, issued hereunder shall be endorsed with the
following legend (in addition to any legend required under applicable state securities laws): 

THE
SHARES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO CERTAIN RESTRICTIONS UPON TRANSFER AND RIGHTS OF REPURCHASE AS SET FORTH IN AN AGREEMENT BETWEEN THE COMPANY AND THE SHAREHOLDER, A COPY OF
WHICH IS ON FILE WITH THE CORPORATE SECRETARY OF THE COMPANY. 

        8.    Adjustment for Stock Split.    All references to the number of Shares and the purchase price of the Shares in
this Agreement shall be appropriately adjusted to reflect any stock split, stock dividend or other change in the Shares that may be made by the Company after the date of this Agreement. 

        9.    Tax Consequences.    The Purchaser has reviewed with the Purchaser's own tax advisors the federal, state, local
and foreign tax consequences of this investment and the transactions contemplated by this Agreement. The Purchaser is relying solely on such advisors and not on any statements or representations of
the Company or any of its agents. The Purchaser understands that the Purchaser (and not the Company) shall be responsible for the Purchaser's own tax liability that may arise as a result of the
transactions contemplated by this Agreement. The Purchaser understands that Section 83 of the Internal Revenue Code of 1986, as amended (the "Code"), taxes as ordinary income the 

3

 

difference between the purchase price for the Shares and the Fair Market Value of the Shares as of the date any restrictions on the Shares lapse. In this context, "restriction" includes the right of
the Company to buy back the Shares pursuant to the Repurchase Option. The Purchaser understands that the Purchaser may elect to be taxed at the time the Shares are purchased rather than when and as
the Repurchase Option expires by filing an election under Section 83(b) of the Code with the IRS within 30 days from the date of purchase. The form for making this election is attached as  Exhibit A-4 hereto. 

        THE
PURCHASER ACKNOWLEDGES THAT IT IS THE PURCHASER'S SOLE RESPONSIBILITY AND NOT THE COMPANY'S TO FILE TIMELY THE ELECTION UNDER SECTION 83(b), EVEN IF THE PURCHASER REQUESTS THE
COMPANY OR ITS REPRESENTATIVES TO MAKE THIS FILING ON THE PURCHASER'S BEHALF. 

        10.    General Provisions.    

        (a)  This
Agreement shall be governed by the internal substantive laws, but not the choice of law rules of California. This Agreement, subject to the terms and conditions of
the Plan and the Notice of Grant, represents the entire agreement between the parties with respect to the purchase of the Shares by the Purchaser. Subject to Section 15(c) of the Plan, in the event of
a conflict between the terms and conditions of the Plan and the terms and conditions of this Agreement, the terms and conditions of the Plan shall prevail. Unless otherwise defined herein, the terms
defined in the Plan shall have the same defined meanings in this Agreement. 

        (b)  Any
notice, demand or request required or permitted to be given by either the Company or the Purchaser pursuant to the terms of this Agreement shall be in writing and
shall be deemed given when delivered personally or deposited in the U.S. mail, First Class with postage prepaid, and addressed to the parties at the addresses of the parties set forth at the end of
this Agreement or such other address as a party may request by notifying the other in writing. 

        Any
notice to the Escrow Holder shall be sent to the Company's address with a copy to the other party hereto. 

        (c)  The
rights of the Company under this Agreement shall be transferable to any one or more persons or entities, and all covenants and agreements hereunder shall inure to
the benefit of, and be enforceable by the Company's successors and assigns. The rights and obligations of the Purchaser under this Agreement may only be assigned with the prior written consent of the
Company. 

        (d)  Either
party's failure to enforce any provision of this Agreement shall not in any way be construed as a waiver of any such provision, nor prevent that party from
thereafter enforcing any other provision of this Agreement. The rights granted both parties hereunder are cumulative and shall not constitute a waiver of either party's right to assert any other legal
remedy available to it. 

        (e)  The
Purchaser agrees upon request to execute any further documents or instruments necessary or desirable to carry out the purposes or intent of this Agreement. 

        (f)    PURCHASER
ACKNOWLEDGES AND AGREES THAT THE VESTING OF SHARES PURSUANT TO SECTION 4 HEREOF IS EARNED ONLY BY CONTINUING SERVICE AS A SERVICE PROVIDER AT THE WILL OF THE
COMPANY (AND NOT THROUGH THE ACT OF BEING HIRED OR PURCHASING SHARES HEREUNDER). PURCHASER FURTHER ACKNOWLEDGES AND AGREES THAT THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREUNDER AND THE VESTING
SCHEDULE SET FORTH HEREIN DO NOT CONSTITUTE AN EXPRESS OR IMPLIED PROMISE OF CONTINUED ENGAGEMENT AS A SERVICE PROVIDER FOR THE VESTING PERIOD, FOR ANY PERIOD, OR AT ALL, AND SHALL NOT INTERFERE WITH
PURCHASER'S 

4

 

RIGHT OR THE COMPANY'S RIGHT TO TERMINATE PURCHASER'S RELATIONSHIP AS A SERVICE PROVIDER AT ANY TIME, WITH OR WITHOUT CAUSE. 

        By
Purchaser's signature below, Purchaser represents that he or she is familiar with the terms and provisions of the Plan, and hereby accepts this Agreement subject to all of the terms
and provisions thereof. Purchaser has reviewed the Plan and this Agreement in their entirety, has had an opportunity to obtain the advice of counsel prior to executing this Agreement and fully
understands all provisions of this Agreement. Purchaser agrees to accept as binding, conclusive and final all decisions or interpretations of the Administrator upon any questions arising under the
Plan or this Agreement. Purchaser further agrees to notify the Company upon any change in the residence indicated in the Notice of Grant. 

	DATED:	 	    
	 	 
	

PURCHASER:	
 	

COPART, INC.
	

    
 Signature	
 	

    
 By
	

    
 Print Name	
 	

    
 Title

5

 
 

EXHIBIT A-2    
  

 
 

ASSIGNMENT SEPARATE FROM CERTIFICATE    
  

        FOR VALUE RECEIVED I,
                                        ,
hereby sell, assign and transfer unto
                                         
   
                                         
    (                  ) shares of the Common Stock of Copart, Inc. standing in my name of the books of said corporation represented
by Certificate No.              herewith and do hereby irrevocably constitute and appoint to transfer the said stock on the books of the within named corporation with
full power of substitution in the premises. 

        This
Stock Assignment may be used only in accordance with the Restricted Stock Purchase Agreement (the "Agreement") between Copart, Inc. and the undersigned dated
                                    ,
                . 

	Dated:
                                    ,
                	 	 
	 	 	Signature:                                      
                                

INSTRUCTIONS: Please do not fill in any blanks other than the signature line. The purpose of this assignment is to enable the Company to exercise the Repurchase Option, as set
forth in the Agreement, without requiring additional signatures on the part of the Purchaser.

 
 

EXHIBIT A-3    
  

 
 

JOINT ESCROW INSTRUCTIONS    
  

                            ,
             

Corporate
Secretary

Copart, Inc.

5500 E. Second Street

Benicia, California 94510 

Dear
                    : 

        As
Escrow Agent for both Copart, Inc., a California corporation (the "Company"), and the undersigned purchaser of stock of the Company (the "Purchaser"), you are hereby authorized and
directed to hold the documents delivered to you pursuant to the terms of that certain Restricted Stock Purchase Agreement ("Agreement") between the Company and the undersigned, in accordance with the
following instructions: 

        1.    In
the event the Company and/or any assignee of the Company (referred to collectively as the "Company") exercises the Company's Repurchase Option set forth in the
Agreement, the Company shall give to Purchaser and you a written notice specifying the number of shares of stock to be purchased, the purchase price, and the time for a closing hereunder at the
principal office of the Company. Purchaser and the Company hereby irrevocably authorize and direct you to close the transaction contemplated by such notice in accordance with the terms of said notice. 

        2.    At
the closing, you are directed (a) to date the stock assignments necessary for the transfer in question, (b) to fill in the number of shares being transferred, and (c)
to deliver same, together with the certificate evidencing the shares of stock to be transferred, to the Company or its assignee, against the simultaneous delivery to you of the purchase price (by
cash, a check, or some combination thereof) for the number of shares of stock being purchased pursuant to the exercise of the Company's Repurchase Option. 

        3.    Purchaser
irrevocably authorizes the Company to deposit with you any certificates evidencing shares of stock to be held by you hereunder and any additions and
substitutions to said shares as defined in the Agreement. Purchaser does hereby irrevocably constitute and appoint you as Purchaser's attorney-in-fact and agent for the term of this escrow to execute
with respect to such securities all documents necessary or appropriate to make such securities negotiable and to complete any transaction herein contemplated, including but not limited to the filing
with any applicable state blue sky authority of any required applications for consent to, or notice of transfer of, the securities. Subject to the provisions of this paragraph 3, Purchaser shall
exercise all rights and privileges of a shareholder of the Company while the stock is held by you. 

        4.    Upon
written request of the Purchaser, but no more than once per calendar year, unless the Company's Repurchase Option has been exercised, you shall deliver to Purchaser
a certificate or certificates representing so many shares of stock as are not then subject to the Company's Repurchase Option. Within 90 days after Purchaser ceases to be a Service Provider, you shall
deliver to Purchaser a certificate or certificates representing the aggregate number of shares held or issued pursuant to the Agreement and not purchased by the Company or its assignees pursuant to
exercise of the Company's Repurchase Option. 

        5.    If
at the time of termination of this escrow you should have in your possession any documents, securities, or other property belonging to Purchaser, you shall deliver all
of the same to Purchaser and shall be discharged of all further obligations hereunder. 

        6.    Your
duties hereunder may be altered, amended, modified or revoked only by a writing signed by all of the parties hereto. 

 

        7.    You
shall be obligated only for the performance of such duties as are specifically set forth herein and may rely and shall be protected in relying or refraining from
acting on any instrument reasonably believed by you to be genuine and to have been signed or presented by the proper party or parties. You shall not be personally liable for any act you may do or omit
to do hereunder as Escrow Agent or as attorney-in-fact for Purchaser while acting in good faith, and any act done or omitted by you pursuant to the advice of your own attorneys shall be conclusive
evidence of such good faith. 

        8.    You
are hereby expressly authorized to disregard any and all warnings given by any of the parties hereto or by any other person or corporation, excepting only orders or
process of courts of law, and are hereby expressly authorized to comply with and obey orders, judgments or decrees of any court. In case you obey or comply with any such order, judgment or decree, you
shall not be liable to any of the parties hereto or to any other person, firm or corporation by reason of such compliance, notwithstanding any such order, judgment or decree being subsequently
reversed, modified, annulled, set aside, vacated or found to have been entered without jurisdiction. 

        9.    You
shall not be liable in any respect on account of the identity, authorities or rights of the parties executing or delivering or purporting to execute or deliver the
Agreement or any documents or papers deposited or called for hereunder. 

        10.  You
shall not be liable for the outlawing of any rights under the statute of limitations with respect to these Joint Escrow Instructions or any documents deposited with
you. 

        11.  You
shall be entitled to employ such legal counsel and other experts as you may deem necessary properly to advise you in connection with your obligations hereunder, may
rely upon the advice of such counsel, and may pay such counsel reasonable compensation therefor. 

        12.  Your
responsibilities as Escrow Agent hereunder shall terminate if you shall cease to be an officer or agent of the Company or if you shall resign by written notice to
each party. In the event of any such termination, the Company shall appoint a successor Escrow Agent. 

        13.  If
you reasonably require other or further instruments in connection with these Joint Escrow Instructions or obligations in respect hereto, the necessary parties hereto
shall join in furnishing such instruments. 

        14.  It
is understood and agreed that should any dispute arise with respect to the delivery and/or ownership or right of possession of the securities held by you hereunder,
you are authorized and directed to retain in your possession without liability to anyone all or any part of said securities until such disputes shall have been settled either by mutual written
agreement of the parties concerned or by a final order, decree or judgment of a court of competent jurisdiction after the time for appeal has
expired and no appeal has been perfected, but you shall be under no duty whatsoever to institute or defend any such proceedings. 

        15.  Any
notice required or permitted hereunder shall be given in writing and shall be deemed effectively given upon personal delivery or upon deposit in the United States
Post Office, by registered or certified mail with postage and fees prepaid, addressed to each of the other parties thereunto 

2

 

entitled at the following addresses or at such other addresses as a party may designate by ten days' advance written notice to each of the other parties hereto. 

	COMPANY:	 	Copart, Inc.

Benicia, California
	

PURCHASER:	
 	

    
    
    

	

ESCROW AGENT:	
 	

Corporate Secretary

Copart, Inc.

Benicia, California

        16.  By
signing these Joint Escrow Instructions, you become a party hereto only for the purpose of said Joint Escrow Instructions; you do not become a party to the Agreement. 

        17.  This
instrument shall be binding upon and inure to the benefit of the parties hereto, and their respective successors and permitted assigns. 

3

 

        18.  These
Joint Escrow Instructions shall be governed by, and construed and enforced in accordance with, the internal substantive laws, but not the choice of law rules, of
California. 

	 	 	Very truly yours,
	

 	
 	

COPART, INC.
	

 	

 	

 By
	

 	
 	

 Title
	

 	

 	

PURCHASER:
	

 	

 	

 Signature
	

 	
 	

 Print Name
	

ESCROW AGENT:	

 	

 
	

    
 Corporate Secretary	
 	

 

4

 
 

EXHIBIT A-4    
  

 
 

ELECTION UNDER SECTION 83(b)    
    OF THE INTERNAL REVENUE CODE OF 1986    
  

The
undersigned taxpayer hereby elects, pursuant to Section 83(b) of the Internal Revenue Code of 1986, as amended, to include in taxpayer's gross income for the current taxable year the amount of any
compensation taxable to taxpayer in connection with his or her receipt of the property described below: 

	1.
	The
name, address, taxpayer identification number and taxable year of the undersigned are as follows: 

	

        NAME:	
 	

TAXPAYER:	
 	

SPOUSE:
	

        ADDRESS:	
 	

 	
 	

 
	

        IDENTIFICATION NO.:	
 	

TAXPAYER:	
 	

SPOUSE:
	

        TAXABLE YEAR:	
 	

 	
 	

 

	2.
	The
property with respect to which the election is made is described as follows:                      shares (the "Shares") of the Common Stock of
Copart, Inc.
(the "Company").

	3.
	The
date on which the property was transferred is:                                ,
                .

	4.
	The
property is subject to the following restrictions:

   
The
Shares may be repurchased by the Company, or its assignee, upon certain events. This right lapses with regard to a portion of the Shares based on the continued performance of services by the
taxpayer over time. 

	5.
	The
fair market value at the time of transfer, determined without regard to any restriction other than a restriction which by its terms will never lapse, of such property is:
$                                    .

	6.
	The
amount (if any) paid for such property is:
$                                    . 

The
undersigned has submitted a copy of this statement to the person for whom the services were performed in connection with the undersigned's receipt of the above-described property. The transferee
of such property is the person performing the services in connection with the transfer of said property. 

The undersigned understands that the foregoing election may not be revoked except with the consent of the Commissioner.

	

Dated:                                        
              ,                 	
 	

    
 Taxpayer
	

The undersigned spouse of taxpayer joins in this election.	
 	

 
	

Dated:                                        
              ,                 	
 	

    
 Spouse of Taxpayer

QuickLinks

Exhibit 10.13

COPART, INC. 2001 STOCK OPTION PLAN

COPART, INC. 2001 STOCK OPTION PLAN STOCK OPTION AGREEMENT

EXHIBIT A

COPART, INC. 2001 STOCK OPTION PLAN EXERCISE NOTICE

COPART, INC. 2001 STOCK OPTION PLAN NOTICE OF GRANT OF STOCK PURCHASE RIGHT

EXHIBIT A-1

COPART, INC. 2001 STOCK OPTION PLAN RESTRICTED STOCK PURCHASE AGREEMENT

EXHIBIT A-2

ASSIGNMENT SEPARATE FROM CERTIFICATE

EXHIBIT A-3

JOINT ESCROW INSTRUCTIONS

EXHIBIT A-4

ELECTION UNDER SECTION 83(b) OF THE INTERNAL REVENUE CODE OF 1986<Page>

                                 TRIBUNE COMPANY
             TRANSITIONAL COMPENSATION PLAN FOR EXECUTIVE EMPLOYEES

Tribune Company, by resolution of its Board of Directors, adopted the Tribune
Company Transitional Compensation Plan for Executive Employees (the "Plan") on
December 9, 1985, to attract and retain executives of outstanding competence and
to provide additional assurance that they will remain with Tribune Company and
its subsidiaries on a long-term basis. The following provisions constitute an
amendment and restatement of the Plan effective as of December 4, 2001.

1.   PARTICIPATION. Any full-time, key executive employee of Tribune Company or
     of any of its subsidiaries shall be eligible to participate in the Plan in
     one of two separate tiers, if at the time his employment terminates he has
     been designated by the Committee as being covered by the Plan within a
     specific tier, and such designation has not been revoked; provided,
     however, that no revocation of such designation shall be effective if made:
     (a) on the day of, or within 36 months after, occurrence of a "Change in
     Control," as such term is hereinafter defined; or (b) prior to a Change in
     Control, but at the request of any third party participating in or causing
     the Change in Control; or (c) otherwise in connection with or in
     anticipation of a Change in Control.

     For the purposes of the Plan, the term "subsidiary" shall mean any
     corporation, more than 50 percent of the outstanding, voting stock in which
     is owned by Tribune Company or by a subsidiary.

2.   ADMINISTRATION. The Plan shall be administered by the Governance and
     Compensation Committee of the Board of Directors of Tribune Company (the
     "Committee") or by a successor committee. The Committee shall have the
     authority to make rules and regulations governing the administration of the
     Plan, to designate executive employees to be covered by the Plan, to revoke
     such designations, and to make all other determinations or decisions, and
     to take such actions, as may be necessary or advisable for the
     administration of the Plan. The Committee's determinations need not be
     uniform, and may be made selectively among eligible employees, whether or
     not they are similarly situated.

3.   ELIGIBILITY FOR TRANSITIONAL COMPENSATION. An executive who is a
     Participant in the Plan shall be eligible to receive transitional
     compensation, in the amounts and at the times described in paragraph 5, if:

     (a)  His employment with the Company and all of its subsidiaries is
terminated:

          (i)  On the day of, or within 36 months after, occurrence of a "Change
               in Control," as such term is hereinafter defined; or
<Page>

          (ii) Prior to a Change in Control, but at the request of any third
               party participating in or causing the Change in Control; or

         (iii) Otherwise in connection with or in anticipation of a Change in
               Control; and

     (b)  The Participant's termination of employment was not:

          (i)  On account of his death;

          (ii) On account of a physical or mental condition that would entitle
               him to long-term disability benefits under the Tribune Company
               Salary Continuation Plan, as then in effect (whether or not he is
               actually a Participant in such plan);

         (iii) For conduct involving dishonesty or willful misconduct which, in
               either case, is detrimental in a significant way to the business
               of Tribune Company or any of its subsidiaries; or

          (iv) On account of the employee's voluntary resignation; provided that
               a resignation shall not be considered to be "voluntary" for the
               purposes of the Plan in the following situations: (x) if the
               termination by Tribune Company's Chairman & Chief Executive
               Officer or those designated as Tier I participants as of January
               1, 1995 occurs during the 30-day period immediately following the
               first anniversary of the Change in Control (i.e., this provision
               is not available for Tier II Participants); or (y) if the
               termination occurs under the circumstances described in paragraph
               13(a) of the Plan; or (z) if, subsequent to the Change in Control
               and prior to such resignation, there has been a reduction in the
               nature or scope of the Participant's compensation or benefits, or
               a change in the city in which he is required to perform his
               duties.

4.   CHANGE IN CONTROL. For the purposes of the Plan, a "Change in Control"
     shall mean:

     (a)  The acquisition, other than from Tribune Company, by any person,
          entity, or "group" (within the meaning of Section 13(d)(3) or 14(d)(2)
          of the Securities Exchange Act of 1934 (the "Exchange Act")),
          excluding for this purpose the Robert R. McCormick Tribune Foundation,
          the Cantigny Foundation (or any charitable trust, foundation,
          organization, or similar entity or entities succeeding to one or both
          of those Foundations or any substantial part thereof) and any employee
          benefit plan or trust of Tribune Company or its subsidiaries, of
          beneficial ownership (within the meaning of Rule 13d-3 promulgated
          under the Exchange Act) of 20 percent or more

                                       2
<Page>

          of either the then outstanding shares of common stock or the combined
          voting power of Tribune Company's then outstanding voting securities
          entitled to vote generally in the election of directors; or

     (b)  Individuals who, as of December 7, 1998, constitute the Board of
          Directors of Tribune Company (as of December 7, 1998 the "Incumbent
          Board" and, generally, the "Board") cease for any reason to constitute
          at least a majority of the Board, provided that any person becoming a
          director subsequent to the date hereof whose election, or nomination
          for election, by the shareholders of Tribune Company was approved by a
          vote of at least a majority of the directors then comprising the
          Incumbent Board (other than an election or nomination of an individual
          whose initial assumption of office is in connection with an actual or
          threatened election contest relating to the election of the members of
          the Board of Tribune Company, as such terms are used in Rule 14a-11 of
          Regulation 14A promulgated under the Exchange Act) shall be considered
          as though such person were a member of the Incumbent Board; or

     (c)  Consummation of a reorganization, merger, or consolidation involving
          Tribune Company, in each case, with respect to which persons who were
          the shareholders of Tribune Company immediately prior to such
          reorganization, merger or consolidation do not, immediately
          thereafter, own, directly or indirectly, 50% or more of the combined
          voting power of the then outstanding securities entitled to vote
          generally in the election of directors of the reorganized, merged or
          consolidated company, or a liquidation or dissolution of Tribune
          Company, or the sale of all or substantially all of the assets of
          Tribune Company.

5.   AMOUNT AND PAYMENT OF TRANSITIONAL COMPENSATION. A Participant who is
     eligible for transitional compensation shall receive:

     (a)  A lump-sum cash payment, payable within 30 calendar days after the
          date on which his employment terminates, in an amount equal to the sum
          of:

          (i)  For Tier I Participants, three (3) multiplied by the sum of (x)
               the Participant's highest annual rate of Base Salary in effect
               within the three years prior to or upon the effective date of
               termination and (y) two hundred percent (200%) of the
               Participant's target bonus payable for the year in which the
               Change in Control occurs under the Tribune Company 1997 Incentive
               Compensation Plan, as now or hereafter amended, or any
               replacement or successor plan; or

          (ii) For Tier II Participants, two (2) multiplied by the sum of (x)
               the Participant's highest annual rate of Base Salary in effect
               within the three years prior to or upon the effective date of
               termination and (y) two hundred percent (200%) of the
               Participant's target bonus payable

                                       3
<Page>

               for the year in which the Change in Control occurs under the
               Tribune Company 1997 Incentive Compensation Plan, as now or
               hereafter amended, or any replacement or successor plan.

     (b)  Outplacement services at a qualified agency selected by Tribune
          Company;

     (c)  Continuation of coverage under his employer's group medical, group
          life, and group long-term disability plans, if any, and under any
          policy or policies of "split dollar" life insurance maintained by his
          employer, until the earliest to occur of:

          (i)  The expiration of 36 months for Tier I Participants, and the
               expiration of 24 months for Tier II Participants, from the date
               on which his employment terminates; or

          (ii) The date on which he obtains comparable coverage provided by a
               new employer.

     For purposes of this paragraph 5, a Participant's annual rate of base
     salary shall be determined prior to any reduction for deferred
     compensation, "401(k)" plan contributions, and similar items, provided that
     any reduction in a Participant's annual rate of salary, group insurance or
     split dollar coverage, occurring within 36 months after a Change in Control
     shall be disregarded, and the payments and coverage under this paragraph
     shall be governed by the annual salary, group insurance and split dollar
     coverage, provided to such Participant immediately prior to such reduction.

6.   TAXES. If, for any reason, any part or all of the amounts payable to a Tier
     I or Tier II Participant pursuant to the Plan (or otherwise, if such
     amounts are paid by Tribune Company or any of its subsidiaries after there
     has been a Change in Control) are deemed to be "excess parachute payments"
     within the meaning of Section 280G(b)(1) of the Internal Revenue Code of
     1986, as amended (the "Code"), Tribune Company shall pay to such
     Participant, in addition to any other amounts that he may be entitled to
     receive pursuant to the Plan, an amount which, after all federal, state,
     and local taxes (of whatever kind) imposed on the Participant with respect
     to such amount are subtracted therefrom, is equal to the excise taxes
     imposed on such excess parachute payments pursuant to Section 4999 of the
     Code.

7.   NO FUNDING OF TRANSITIONAL COMPENSATION. Nothing herein contained shall
     require or be deemed to require Tribune Company or a subsidiary to
     segregate, earmark, or otherwise set aside any funds or other assets to
     provide for any payments required to be made hereunder, and the rights of a
     terminating Participant to transitional compensation hereunder shall be
     solely those of a

                                       4
<Page>

     general, unsecured creditor of Tribune Company. However, Tribune Company
     may, in its discretion, deposit cash or property, or both, equal in value
     to all or a portion of the amounts anticipated to be payable hereunder for
     any or all Participants into a trust, the assets of which are to be
     distributed at such times as are provided for in the Plan; provided that
     such assets shall be subject at all times to the rights of Tribune
     Company's general creditors.

8.   DEATH. In the event of a Participant's death, any amount or benefit payable
     or distributable to him pursuant to paragraph 5(a) and paragraph 6 shall be
     paid to the beneficiary designated by such Participant for such purpose in
     the last written instrument received by the Committee prior to the
     Participant's death, if any, otherwise, to the Participant's estate.

9.   RIGHTS IN THE EVENT OF DISPUTE. If a claim or dispute arises concerning the
     rights of a Participant or beneficiary to benefits under the Plan,
     regardless of the party by whom such claim or dispute is initiated, Tribune
     Company shall, upon presentation of appropriate vouchers, pay all legal
     expenses, including reasonable attorneys' fees, court costs, and ordinary
     and necessary out-of-pocket costs of attorneys, billed to and payable by
     the Participant or by anyone claiming under or through the Participant
     (such person being hereinafter referred to as the Participant's
     "claimant"), in connection with the bringing, prosecuting, defending,
     litigating, negotiating, or settling such claim or dispute; provided that:

     (a)  The Participant or the Participant's claimant shall repay to Tribune
          Company any such expenses theretofore paid or advanced by Tribune
          Company if and to the extent that the party disputing the
          Participant's rights obtains a judgment in its favor from a court of
          competent jurisdiction from which no appeal may be taken, whether
          because the time to do so has expired or otherwise, and it is
          determined that such expenses were not incurred by the Participant or
          the Participant's claimant while acting in good faith; provided
          further that

     (b)  In the case of any claim or dispute initiated by a Participant or the
          Participant's claimant, such claim shall be made, or notice of such
          dispute given, with specific reference to the provisions of this Plan,
          to the Committee within one year after the occurrence of the event
          giving rise to such claim or dispute.

10.  AMENDMENT OR TERMINATION. The Board of Directors of Tribune Company
     reserves the right to amend, modify, suspend, or terminate the Plan at any
     time; provided that:

     (a)  Without the consent of the Participant, no such amendment,
          modification, suspension, or termination shall reduce or diminish his
          right to receive any payment or benefit which becomes due and payable
          under the Plan as then in effect by reason of his termination of
          employment prior to the date on

                                       5
<Page>

          which such amendment, modification, suspension, or termination becomes
          effective; and

     (b)  No such amendment, modification, suspension, or termination which has
          the effect of reducing or diminishing the right of any Participant to
          receive any payment or benefit under the Plan will become effective
          prior to the expiration of the 36 consecutive month period commencing
          on the date of a Change in Control, if such amendment, modification,
          suspension, or termination was effected: (i) on the day of or
          subsequent to the Change in Control; (ii) prior to the Change in
          Control, but at the request of any third party participating in or
          causing the Change in Control; or (iii) otherwise in connection with
          or in anticipation of a Change in Control.

11.  NO OBLIGATION TO MITIGATE DAMAGES. In the event a Participant becomes
     eligible to receive benefits hereunder, the Participant shall have no
     obligation to seek other employment in an effort to mitigate damages. To
     the extent a Participant shall accept other employment after his
     termination of employment, the compensation and benefits received from such
     employment shall not reduce any compensation and benefits due under this
     Plan, except as provided in paragraph 5(c).

12.  OTHER BENEFITS. The benefits provided under the Plan shall, except to the
     extent otherwise specifically provided herein, be in addition to, and not
     in derogation or diminution of, any benefits that a Participant or his
     beneficiary may be entitled to receive under any other plan or program now
     or hereafter maintained by Tribune Company or by any of its subsidiaries.

13.  SUCCESSORS.

     (a)  Tribune Company will require any successor (whether direct or
          indirect, by purchase, merger, consolidation, or otherwise) to all or
          substantially all of the business and/or assets of Tribune Company, to
          expressly assume and agree to perform Tribune Company's obligations
          under this Plan in the same manner and to the same extent that Tribune
          Company would be required to perform them if no such succession had
          taken place unless, in the opinion of legal counsel mutually
          acceptable to a majority of the Participants, such obligations have
          been assumed by the successor as a matter of law. Failure of Tribune
          Company to obtain such agreement prior to the effectiveness of any
          such succession (unless the foregoing opinion is rendered to the
          Participants) shall entitle each Participant to terminate his
          employment and to receive the payments provided for in paragraphs 5
          and 6 above. As used in this Plan, "Tribune Company" shall mean such
          company, as presently constituted, and any successor to its business
          and/or assets which executes and delivers the agreement provided for
          in this paragraph 13 or which otherwise becomes bound by all the terms
          and provisions of the Plan as a matter of law.

                                       6
<Page>

     (b)  A Participant's rights under this Plan shall inure to the benefit of,
          and shall be enforceable by, the Participant's legal representative or
          other successors in interest, but shall not otherwise be assignable or
          transferable.

14.  NOTICES. Any notices referred to herein shall be in writing and shall be
     sufficient if delivered in person or sent by U.S. registered or certified
     mail to the Participant at his address on file with his employer (or to
     such other address as the Participant shall specify by notice), or to
     Tribune Company at 435 North Michigan Avenue, Chicago, Illinois 60611,
     Attention: Governance and Compensation Committee.

15.  WAIVER. Any waiver of any breach of any of the provisions of the Plan shall
     not operate as a waiver of any other breach of such provisions or any other
     provisions, nor shall any failure to enforce any provision of the Plan
     operate as a waiver of any party's right to enforce such provision or any
     other provision.

16.  SEVERABILITV. If any provision of the Plan or the application thereof is
     held invalid or unenforceable by a court of competent jurisdiction, the
     invalidity or unenforceability thereof shall not affect any other
     provisions or applications of this Plan which can be given effect without
     the invalid or unenforceable provision or application.

17.  GOVERNING LAW. The validity, interpretation, construction, and performance
     of the Plan shall be governed by the laws of the state of Illinois.

18.  HEADINGS. The headings and paragraph designations of the Plan are included
     solely for convenience of reference and shall in no event be construed to
     effect or modify any provisions of the Plan.

19.  GENDER AND NUMBER. In the Plan where the context admits, words in any
     gender shall include the other gender, words in the plural shall include
     the singular, and words in the singular shall include the plural.

                                       7

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