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Exhibit 10.17  

 
 

Form Of
  LOCK-UP AGREEMENT    
    

June 27,
2007 

Friedman,
Billings, Ramsey & Co., Inc.

1001 Nineteenth Street North, 18th Floor

Arlington, Virginia 22209 

Ladies
and Gentlemen: 

        The
undersigned understands and agrees as follows: 

        1.     Friedman,
Billings, Ramsey & Co., Inc. ("FBR") proposes to enter into a Purchase/Placement Agreement (the
"Purchase/Placement Agreement") with BancTec, Inc., a Delaware corporation (the "Company"),
providing for (i) the initial purchase by FBR of shares of the Company's common stock, $0.01 par value per share (the "Common Stock"), and the
resale of such shares by FBR to certain eligible purchasers, (ii) the direct sale by the Company of its Common Stock to certain accredited investors, and (iii) an option for FBR to
purchase or place additional shares of Common Stock either for resale by FBR to certain eligible purchasers or for direct sale by the Company to certain accredited investors (all of such shares of the
Common Stock are collectively referred to as the "Shares" and the transactions referred to in (i), (ii) and (iii) above are collectively
referred to as the "Offering"), in each case, in transactions exempt from the registration requirements of the Securities Act of 1933, as amended (the
"Securities Act"). 

        2.     In
connection with the Offering and pursuant to the terms of a Registration Rights Agreement (the "Registration Rights
Agreement") to be entered into in connection with the closing of the Offering, the Company has agreed to file with the Securities and Exchange Commission (the
"Commission") one or more registration statements providing for the resale of the Shares under the Securities Act. 

        3.     In
order to induce FBR to act as the initial purchaser and placement agent in connection with the Offering and in recognition of the benefit that the Offering will confer
upon the undersigned and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged by the undersigned, the undersigned hereby agrees that, without the
prior written consent of FBR (which consent may be withheld or delayed in FBR's sole discretion), he, she or it will refrain during the period commencing on the date of the Agreement and ending on the
date that is one hundred and eighty (180) days after the effective date of the first registration statement to be filed pursuant to the Registration Rights Agreement (the
"Lock-Up Period"), from: (i) offering, pledging, selling, contracting to sell, selling any option or contract to purchase, purchasing
any option or contract to sell, granting any option, right or warrant for the sale of, lending or otherwise disposing of or transferring, directly or indirectly, any equity securities of the Company,
or any securities convertible into or exercisable or exchangeable for equity securities of the Company; or (ii) entering into any swap or other arrangement that transfers to another, in whole
or in part, directly or indirectly, any of the economic consequences of ownership of equity securities of the Company, whether any such transaction described in clause (i) 

 

or
(ii) above is to be settled by delivery of Common Stock or such other securities, in cash or other consideration. In addition, if (a) during the last 17 days of any
Lock-Up Period, (1) the Company releases earnings results or (2) material news or a material event relating to the Company occurs, or (b) prior to the expiration of
any Lock-Up Period, the Company announces that it will release earnings results during the 16-day period following the last day of such Lock-Up Period, then in each
case such Lock-Up Period will be extended (the "Extended Lock-Up Period"), and the restrictions imposed by this agreement (the
"Lock-Up Agreement") shall continue to apply, until the expiration of the 18-day period beginning on the date of the release of
the earnings results or the occurrence of material news or a material event relating to the Company, as the case may be, unless FBR waives, in writing, such extension. 

        Notwithstanding
the foregoing, subject to applicable securities laws and the restrictions contained in the Company's charter, the undersigned may transfer any securities of the Company
(including, without limitation, Common Stock) as follows: (i) pursuant to the exercise and issuance of options; (ii) as a bona fide gift or gifts, provided that the donee or donees
thereof agree to be bound in writing by the restrictions set forth herein; (iii) to any trust for the direct or indirect benefit of the undersigned or the immediate family of the undersigned,
provided that the trustee of the trust agrees to be bound in writing by the restrictions set forth herein; (iv) as a distribution to stockholders, partners or members of the undersigned,
provided that such stockholders, partners or members agree to be bound in writing by the restrictions set forth herein; (v) collateral for any loan, provided that the lender agrees in writing
to be bound by the restrictions set forth in herein; or (vi) with respect to sales of securities acquired in the open market after the closing of the Offering. For purposes of this
Lock-Up Agreement, "immediate family" shall mean any relationship by blood, marriage or adoption, not more remote than first cousin. 

        5.     The
undersigned hereby authorizes the Company during any Lock-Up Period (or any Extended Lock-Up Period, as the case may be) to cause any transfer
agent for the Common Stock to decline to transfer, and to note stop transfer restrictions on the stock register and other records relating to, the Common Stock for which the undersigned is the record
holder and, in the case of Common Stock for which the undersigned is the beneficial but not the record holder, agrees during any Lock-Up Period (or any Extended Lock-Up Period,
as the case may be) to cause the record holder to cause the relevant transfer agent to decline to transfer, and to note stop transfer restrictions on the stock register and other records relating to,
such Common Stock. The undersigned hereby further agrees that, without the prior written consent of FBR, during any Lock-Up Period (or any Extended Lock-Up Period, as the case
may be) the undersigned (i) other than in the undersigned's capacity as an officer and/or director of the Company, if applicable, will not file or participate in the filing with the Commission
of any registration statement, or circulate or participate in the circulation of any preliminary or final prospectus or other disclosure document with respect to any proposed offering or sale of
Common Stock (or any other securities of the Company) and (ii) will not exercise any rights the undersigned may have to require registration with the Commission of any proposed offering or sale
of any Common Stock (or other securities of the Company). 

        6.     The
undersigned acknowledges that FBR is relying on the agreements of the undersigned set forth herein in making its decision to enter into the Purchase/Placement
Agreement and to continue its efforts in connection with the Offering. 

        7.     The
undersigned represents and warrants that the undersigned has full power and authority to enter into this Lock-Up Agreement and that this
Lock-Up Agreement constitutes the legal, valid and binding obligation of the undersigned, enforceable in accordance with its terms. Upon request, the undersigned will execute any
additional documents reasonably necessary in connection with enforcement hereof. Any obligations of the undersigned shall be binding upon the successors and assigns of the undersigned from the date
first above written. 

2

 

        8.     This
Lock-Up Agreement shall be governed by and construed in accordance with the laws of the State of New York without regard to principles of conflict of
laws. 

        9.     This
Lock-Up Agreement may be executed in one or more counterparts and delivered by facsimile, each of which shall be deemed to be an original but all of
which shall constitute one and the same agreement. 

[SIGNATURE
PAGE FOLLOWS] 

3

 

        IN
WITNESS WHEREOF, the undersigned has executed this Lock-Up Agreement, or caused this Lock-Up Agreement to be executed, as of the date first written above. 

	 	 	Very truly yours,
	

 	
 	

  
	
 	

 
	 	 	Name:	[Name of Executive]	 	 
	 	 	Title:	 	 	 
	

 	
 	

BANCTEC, INC.

2701 E. Grauwyler Road

Irving, Texas 75061

[SIGNATURE
PAGE TO BANCTEC LOCK-UP AGREEMENT] 

QuickLinks

Form Of LOCK-UP AGREEMENTexhibit10_1.htm

    Exhibit
10.1

    

    [LEXICON
PHARMACEUTICALS, INC. LETTERHEAD]

    

    

    April
29, 2008

    

    Ms.
Julia P. Gregory

    

    

    Dear
Julia:

    

    We
invite you to serve as a consultant to Lexicon Pharmaceuticals, Inc. (which,
together with its subsidiaries and affiliates, is referred to as the “Company”
or “Lexicon”).  The purpose of this letter agreement (this
“Agreement”) is to set forth our mutual understanding of the terms and
conditions under which you would provide consulting services, as set forth
below.

    

    1.           Consulting
Services.  Under this agreement, you will provide such
consulting and advisory services as may be requested by Arthur T. Sands, M.D.,
Ph.D., the Company’s President and Chief Executive Officer, or his designee
relating to matters previously within the scope of your employment at Lexicon
prior to the termination of such employment.  You will devote up to
two (2) days per month to providing such services to the Company under this
Agreement, on a schedule and at times reasonably agreed upon by you and Dr.
Sands.

    

    2.           Compensation.  As
full consideration for your services as a consultant to the Company and your
obligations under this Agreement, you will receive a monthly retainer of $6,000,
with the first such payment being due thirty (30) days after the date of this
letter.  In addition, you will be reimbursed for your reasonable,
ordinary and necessary travel expenses incurred by you at the Company’s prior
request in connection with your performance of your services under this
Agreement.

    

    3.           Confidential
Information.

    

    (a)           In
the course of your service as a consultant to the Company, you may learn or be
exposed, orally, visually, electronically or in writing, to inventions,
discoveries, improvements, materials, data, technology, processes, formulas,
know-how, trade secrets, ideas and other information which we consider
proprietary or confidential (“Confidential Information”).   You
agree to hold any Confidential Information disclosed to you by the Company or
learned by you from the Company in conjunction with your services under this
Agreement in strict confidence and to take all reasonable precautions to protect
such Confidential Information, not to disclose any such Confidential Information
to any third party, and to use such Confidential Information only in furtherance
of your services under this Agreement; provided that your
nondisclosure obligation shall not apply to the extent such Confidential
Information (i) is already in the public domain or hereafter enters the public
domain other than through your acts or omissions in violation of this Agreement;
(ii) is already known to you, as may be shown by competent written records;
(iii) is hereafter received by you without restriction as to confidentiality or
use from a third party lawfully entitled so to disclose same in such manner; or
(iv) is hereafter generated by you, other than in performance of your services
under this Agreement, without the use of any Confidential Information,
facilities or personnel of the Company.  Information shall not be
deemed to be within the foregoing exceptions merely because such information is
embraced by more general information in the public domain or in your
possession.  All Confidential Information (and any copies and notes
thereof) shall remain the sole property of the Company.

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    (b)           You
agree not to disclose or otherwise make available to the Company any information
that you possess under an obligation of confidentiality to a third
party.  You may disclose to the Company any information made available
generally to the scientific community at large through published reports or
public presentations prior to disclosure to the Company.

    

    4.           Inventions and
Discoveries.

    

    (a)           You
hereby assign and transfer to the Company all of your right, title and interest
throughout the world in all inventions, discoveries, improvements, materials,
data, works of authorship and other intellectual property, whether or not
patentable or subject to copyright, which may be made, written or conceived by
you in the course of, or arising as a result of, your performance of your
services under this Agreement, in whole or in part and whether alone or in
conjunction with others (collectively, “Intellectual Property”).  All
such Intellectual Property shall be the sole property of the Company or its
nominee.

    

    (b)           You
shall promptly disclose any Intellectual Property in writing to the Company in
order to permit the Company to claim rights to which it may be entitled under
this Agreement.  The Company shall have full power and authority to
file and prosecute patent applications and copyright registrations throughout
the world with respect to all Intellectual Property, and to procure and maintain
patents and copyrights with respect thereto. You agree, at the Company’s
reasonable request and expense, to sign, execute and acknowledge, or cause to be
signed, executed and acknowledged, any applications, assignments, instruments
and other documents, and to perform such other acts, as the Company may deem
necessary, useful or convenient to confirm and vest in the Company or its
nominee all right, title and interest throughout the world in and to any
Intellectual Property and all patent, copyright and other intellectual property
rights and protections therein, and to assist the Company in procuring,
maintaining, enforcing and defending such patent, copyright and other
intellectual property rights and protections throughout the world. You agree to
treat all such Intellectual Property as Confidential Information under this
Agreement.

    

    5.           Term and
Termination.  You will render your advisory and consulting
services to the Company for a period of one year commencing upon the date of
this letter, at which time this Agreement will terminate.  This
Agreement shall terminate if you have not signed the Release and Severance
Agreement with the Company dated April 29, 2008 within twenty-one (21) days of
the date of this letter, or if you revoke such Release and Severance Agreement.
This Agreement may be earlier terminated by either party for breach of this
Agreement by the other party that, where curable, is not cured within ten (10)
business days after written notice of such breach is delivered to the breaching
party.  The termination of this Agreement shall not relieve the
parties of any obligation accruing prior to such termination.

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    6.           Independent
Contractor.  For purposes of this Agreement, you will be deemed
an independent contractor and not an employee or agent of Lexicon. In this
connection, you will not be eligible for, nor entitled to, any employee benefits
that we normally extend to our employees, and we will not withhold any taxes
from the compensation paid to you, all of which shall be your responsibility.
The manner in which you render your services under this Agreement will be within
your reasonable control and discretion.  You have no express or
implied authority to incur any liability, or to make any decision or to create
any binding obligation, on our behalf.

    

    7.           Compliance with Laws and
Procedures.   To the extent you provide services under
this Agreement on our premises, you agree to observe our business hours, as well
as our rules, policies and security procedures concerning conduct and the
health, safety and protection of persons and property. You will comply with all
applicable governmental laws, ordinances, rules and regulations applicable to
the performance of your services under this Agreement.

    

    8.           Governing
Law.  This Agreement shall be governed by, and construed and
enforced in accordance with, the laws of the State of Texas as they apply to
contracts entered into and wholly to be performed in Texas.

    

    9.           Enforcement.  You
agree that a breach of any of the restrictions set forth in the provisions of
this Agreement would cause the Company irreparable injury and damage, and that,
in the event of any breach or threatened breach, the Company, in addition to all
other rights and remedies at law or in equity, shall have the right to enforce
the specific performance of such restrictions and to apply for injunctive relief
against their violation.

    

    10.           Survival of
Terms.  The provisions of Sections 3, 4 and 7 through 15 hereof
shall survive termination of this Agreement.

    

    11.           Successors and
Assigns. You may not assign this Agreement without the written consent of
the Company.  This Agreement shall be binding on your heirs,
executors, administrators and legal representatives and the Company’s successors
and assigns.

    

    12.           Severability.  The
invalidity or unenforceability of any provision of this Agreement (or portion
thereof) shall not affect the validity or enforceability of any other provision
of this Agreement, and if such provision (or portion thereof) is so broad as to
be unenforceable, it shall be interpreted to be only as broad as is
enforceable.

    

    13.           Entire
Agreement.  This Agreement constitutes the sole and complete
agreement of the parties with respect to the matters included herein, and
supersedes any previous oral or written agreement, if any, relating to the
subject matters included herein.

    

    14.           Amendment and
Waiver.  This Agreement may not be amended or supplemented in
any way, nor may the benefit of any provision hereof be waived, except by a
written agreement duly executed by both you and the Company.

    

    15.           No
Conflict.  You represent that the performance of your
obligations and duties under this Agreement does not conflict with any
obligations or duties, express or implied, that you may have to third
parties.

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    16.           Construction.  Each
party to this Agreement has had the opportunity to review this Agreement with
legal counsel.  This Agreement shall not be construed or interpreted
against any party on the basis that such party drafted or authored a particular
provision, parts of or the entirety of this Agreement.

    

    If
the foregoing correctly sets forth our mutual understanding, please so indicate
by signing this letter in the space provided below and return it to the Company
at the above address on the date hereof, whereupon this Agreement shall
constitute a binding contract between us and our legal representatives,
successors, and assigns.

    

    
      
        	 
      Very
      truly yours, 
	 
      	 
      
	
                LEXICON
      PHARMACEUTICALS, INC.

              
	 
      	 
      
	 
      	 
      
	
                By:

              	
                /s/
      Arthur T. Sands

              
	 
      	
                Arthur
      T. Sands, M.D., Ph.D.

              
	 
      	
                President
      and Chief Executive
Officer

              

      

    

     

    
      
        	
                Accepted
      and agreed to:

              
	 
      	 
      
	 
      	 
      
	
                By:

              	
                /s/
      Julia P. Gregory

              
	 
      	
                Julia
      P. Gregory

              
	 
      	 
      
	
                Date:  April
      29, 2008

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