Document:

Ex_1033

		
			Exhibit 10.3.3
		

		
			TESSCO TECHNOLOGIES INCORPORATED 
		

		
			RESTRICTED STOCK AWARD
		

		
			THIS RESTRICTED STOCK AWARD (this “Award”) is made as of ______, 20___ (the “Grant Date”), by and between TESSCO TECHNOLOGIES INCORPORATED, a Delaware corporation (the “Company”), and __________________(“Grantee”).
		

		
			EXPLANATORY STATEMENT
		

		
			Grantee serves as a member of the Board of Directors of the Company (a “Director”). The Compensation Committee of the Board of Directors, with the concurrence of the Board of Directors as a whole, has determined, and the Grantee has agreed, that certain fees to be paid to the Directors for service as such for fiscal year 2021 will be paid, in lieu of in cash, by grant of an award pursuant to the Company’s 2019 Stock and Incentive Plan, as amended (the “Plan”), of _______________ (________)  Shares of Restricted Stock,  subject to the terms and conditions set forth in this Award, and subject further to the terms of the Plan. 
		

		
			This Award is granted pursuant to the Plan, which is incorporated herein by reference for all purposes. The Grantee acknowledges receipt of a copy of the Plan and agrees to be bound by all of the terms and conditions hereof and thereof, and all applicable laws and regulations. Capitalized terms used herein and not otherwise defined shall have the meaning ascribed thereto in the Plan. 
		

		
			NOW, THEREFORE, in consideration of the mutual promises set forth below, and for other good and valuable consideration the receipt and sufficiency of which are hereby acknowledged, and to evidence the grant of and to set forth the terms and conditions governing the grant and vesting of the Award Shares (as defined below) and the parties’ other agreements related thereto, Grantee and the Company agree as follows:
		

		
			AGREEMENTS
		

			
	
			
				 SECTION 1. 
			GRANT

		
			The Company hereby grants to Grantee as of the Grant Date, and Grantee hereby accepts from the Company, pursuant to the Plan, _________________________ (__________)  Shares of Restricted Stock (each such Share an “Award Share” and together the “Award Shares”), subject to the terms and conditions set forth in this Award. The Shares of Restricted Stock granted pursuant to this Award shall be issued in the form of book entry shares in the name of the Grantee as soon as reasonably practicable after the Grant Date and shall be subject to the execution and return of this Agreement by the Grantee to the Company. Any Award Shares in respect of which, as of any given time, the risk of forfeiture provided for hereunder shall have lapsed are referred to in this Award as, and as of such time constitute, “Vested Shares.” Award Shares that have not yet vested 

		 

		

			DMEAST #41247219 v3

		

in accordance with this Award as of any given time are referred to in this Award as, and as of such time constitute, “Nonvested Shares.” 
		

			
	
			
				 SECTION 2. 
			DEFINED TERMS

		
			The following capitalized terms have the meanings set forth below:
		

		
			 “Applicable Percentage” means that fraction, expressed as a percentage, determined by dividing (i) the total number of calendar days in fiscal year 2021 of the Company that the Grantee serves on the Board of Directors of the Company (beginning with the first day of such fiscal year) by (ii) the aggregate number of days comprising fiscal year 2021 of the Company, such percentage rounded to two decimal places as appropriate. Any share numbers determined on the basis of the Applicable Percentage will be rounded up or down to a whole share number, as appropriate. Any subsequent change in the last day of the 2021 fiscal year of the Company will be ignored for these purposes. 
		

		
			  “Disability” means a physical or mental disease, injury, or infirmity that prevents Grantee (despite the provision of reasonable accommodations as required by law) from performing the substantial duties as a Director for a period of one hundred eighty (180) consecutive days as certified by a physician designated by or acceptable to the Company.
		

		
			  “Transfer” means (i) to sell, assign, transfer, convey, pledge, hypothecate, or otherwise encumber or dispose of, either voluntarily or by operation of law (whether by virtue of execution, attachment, or similar process) or (ii) a sale, assignment, transfer, conveyance, pledge, hypothecation, or other encumbrance or disposition, either voluntarily or by operation of law (whether by virtue of execution, attachment, or similar process).
		

			
	
			
				 SECTION 3. 
			VESTING AND FORFEITURE OF AWARD SHARES

			
	
			
				 3.1
			Lapse of Risk of Forfeiture. As of the Grant Date, all of the Award Shares shall be subject to the risk of forfeiture as described in Section 3.3 hereof and constitute Nonvested Shares. Except as otherwise provided in Section 3.2 with respect to accelerated vesting and in Section 3.3 with respect to forfeiture of Nonvested Shares, the risk of forfeiture in respect of the Applicable Percentage of the original number of Award Shares (or such number of Award Shares as shall take into account any adjustment made pursuant to Section 4) shall lapse (and such Award Shares will vest and become Vested Shares) on July 1, 2021 (the “Vesting Date”). For the avoidance of doubt, the Award Shares shall vest pursuant to the foregoing sentence on a one time basis rather than on a daily basis.

		
			 
		

			
	
			
				 3.2
			Accelerated Vesting. The Applicable Percentage of the Award Shares as of such date shall vest immediately, and such Applicable Percentage of the Award Shares will become Vested Shares, on the date of the first to occur of death of Grantee and a Change in Control.

		
			 
		

			
	
			
				 3.3
			Forfeiture of Rights to Nonvested Shares. If Grantee ceases to serve on the Board of Directors for any reason (including without limitation upon a Change in Control or failure to be reelected to the Board), all rights in respect of all Award Shares in excess of the Applicable 

		 

		

			DMEAST #41247219 v32

		

	Percentage of Award Shares as of that date shall immediately be forfeited and returned to the Company, without compensation to Grantee, and this Award shall terminate and be of no further force and effect with respect to such excess Award Shares. The Applicable Percentage of Award Shares as of that date (i.e. the Award Shares other than the Award Shares in excess of the Applicable Percentage of Award Shares as of that date) shall remain issued for the account of Grantee, subject to the terms hereof (including those terms providing for such Award Shares to become Vested Shares upon the earlier to occur of the Vesting Date and a Change in Control).  

		
			 
		

			
	
			
				 SECTION 4. 
			ADJUSTMENT OF NUMBER OF SHARES

		
			In the event of any change in the number of outstanding shares of Common Stock resulting from a subdivision or consolidation of shares, whether through reorganization, recapitalization, share split, reverse share split, share distribution, or combination of shares or the payment of a share dividend, the number of then-unissued Award Shares, whether Vested Shares or Nonvested Shares, shall be adjusted pursuant to the Plan so as to be treated in such transaction in a manner that is substantially identical to the manner in which the then-outstanding shares of Common Stock are treated. Any shares of Common Stock or other securities received by Grantee with respect to any Nonvested Shares in any such transaction shall be subject to the same restrictions and conditions as the Nonvested Shares with respect to which such Common Stock or other securities were received and, in the case of shares of Common Stock, such shares shall constitute Nonvested Shares for purposes of this Award.
		

			
	
			
				 SECTION 5. 
			RESTRICTIONS ON TRANSFER

		
			Grantee may not Transfer any right, whether fixed or contingent, to receive Nonvested Shares, and any purported Transfer of Nonvested Shares or any right to receive Nonvested Shares shall be ineffective. From and after the date of issuance thereof, Grantee shall have the full and unencumbered ownership of and right to Transfer and otherwise deal with all Vested Shares as Grantee deems fit, subject only to such restrictions as may be imposed by federal and state securities laws.
		

			
	
			
				 SECTION 6. 
			RIGHTS AS STOCKHOLDER

		
			Grantee shall be entitled to all of the rights of a stockholder with respect to Award Shares (except in respect of Award Shares that have been forfeited), including the right to vote such shares and to receive dividends and other distributions payable with respect to such Award Shares after the Grant Date, provided, however, that any dividends (subject to Section 4) that may accrue and be payable in respect of Nonvested Shares shall not be paid or delivered to Grantee at the time of payment, but will instead be held by the Company in escrow for the account of the Grantee and paid and delivered to Grantee only when and if and insofar as the corresponding Nonvested Shares become Vested Shares in accordance with the terms hereof. Any such dividends accruing and placed in such escrow in respect of Nonvested Shares later forfeited by Grantee will revert to the Company.
		

		
			

		 

		

			DMEAST #41247219 v33

		

		

			
	
			
				 SECTION 7. 
			EXECUTION BY GRANTEE 

		
			 The Shares of Restricted Stock granted to the Grantee pursuant to the Award shall be subject to the Grantee’s execution and return of this Agreement to the Company or its designee (including by electronic means or by electronic means confirming acceptance of the terms hereof) no later than June 30, 2020 (the “Grantee Return Date”); provided that if the Grantee dies before the Grantee Return Date, this requirement shall be deemed to be satisfied if the executor or administrator of the Grantee’s estate executes and returns this Agreement to the Company or its designee no later than ninety (90) days following the Grantee’s death (the “Executor Return Date”). If this Agreement is not so executed and returned on or prior to the Grantee Return Date or the Executor Return Date, as applicable, the Shares of Restricted Stock evidenced by this Agreement shall be forfeited unless otherwise determined by the Committee, and neither the Grantee nor the Grantee’s heirs, executors, administrators and successors shall have any rights with respect thereto. If this Agreement is so executed and returned on or prior to the Grantee Return Date or the Executor Return Date, as applicable, all dividends and other distributions paid or made with respect to the Shares of Restricted Stock granted hereunder prior to such Grantee Return Date or Executor Return Date shall be treated in the manner provided in Section 6 hereof. 
		

			
	
			
				 SECTION 8. 
			WITHHOLDING AND TAXES

			
	
			
				 8.1
			In General. The Company shall have the right to require Grantee to remit to the Company, or to withhold from other amounts payable to Grantee (as compensation, fees, or otherwise), an amount sufficient to satisfy any and all federal, state, and local withholding tax requirements when such amounts become due, if applicable.

		
			 
		

			
	
			
				 8.2
			Notice to Grantee. The Company shall endeavor to give written notice to Grantee no later than ten (10) days before the date by which the Company must collect or withhold any taxes relating to this Award of the date any such taxes must be received by the Company and an estimate of the amount of such taxes.

		
			 
		

			
	
			
				 8.3
			Surrender of Award Shares to Pay Taxes. Grantee may elect, by written notice to the Company at least five (5) days before the date on which such taxes must be received by the Company, to surrender a whole number of Vested Shares having a Fair Market Value that equals the amount of the taxes that the Company is required to withhold or the Grantee desires to have withheld (in either case as determined by the Company with reference to applicable statutory rates and without regard to circumstances particular to the Grantee). To the extent that the whole number of Vested Shares so surrendered would result in excess withholding the Company shall, in lieu of issuing any fractional shares, apply such excess to the amount withheld (so long as so doing would not cause the amount withheld to exceed the maximum statutory rate) or remit to Grantee in cash the difference between the value of the Award Shares surrendered and the withheld amount as soon as administratively feasible after Grantee surrenders the Award Shares. The Board of Directors, in the exercise of its sole discretion, or the Chief Financial Officer, shall determine the date as of which such valuation occurs.

		
			 
		

		
			8.4Section 83(b) Election.  Grantee acknowledges that the tax consequences associated with this Award are complex and that the Company has urged Grantee to review with Grantee’s 

		 

		

			DMEAST #41247219 v34

		

own tax advisors the federal, state, and local tax consequences of this Award. Grantee is relying solely on such advisors and not on any statements or representations of the Company or any of its agents. Grantee understands that Grantee (and not the Company) shall be responsible for Grantee’s own tax liability that may arise as a result of the Award. Grantee understands further that Section 83 of the Internal Revenue Code of 1986, as amended (the “Code”), taxes as ordinary income the fair market value of the Award Shares as of the date such Award Shares become Vested Shares. Grantee also understands that Grantee may elect to be taxed at Grant Date rather than at the date the Award Shares vest by filing an election under Section 83(b) of the Code with the Internal Revenue Service and by providing a copy of the election to the Company (an “83(b) Election”). GRANTEE ACKNOWLEDGES THAT HE OR SHE HAS BEEN INFORMED OF THE AVAILABILITY OF MAKING AN 83(b) ELECTION IN ACCORDANCE WITH SECTION 83(b) OF THE CODE; THAT SUCH 83(b) ELECTION MUST BE FILED WITH THE INTERNAL REVENUE SERVICE (AND A COPY OF THE 83(b) ELECTION GIVEN TO THE COMPANY) WITHIN 30 DAYS OF THE GRANT OF AWARD SHARES TO GRANTEE; AND THAT GRANTEE IS SOLELY RESPONSIBLE FOR MAKING SUCH 83(b) ELECTION.
		

			
	
			
				 SECTION 9. 
			MISCELLANEOUS

			
	
			
				 9.1
			Notices. Any notice or communication required or permitted by this Award will be deemed to be received by the party to whom the notice or communication is addressed if delivered in person or by commercial courier service or sent by first class mail, postage prepaid: if to the Company, addressed to the attention of the Company’s Chief Financial Officer at the Company’s principal office in the State of Maryland and, if to Grantee, addressed to Grantee to the address set forth below Grantee’s signature to this Award or at the address reflected in the Company’s records; or in either case to such other address as either party notifies the other in accordance with this Section.

		
			 
		

			
	
			
				 9.2
			Entire Agreement. This Award contains the entire agreement between the parties, and supersedes any prior agreements or understandings between them, relating to the subject of this Award.

		
			 
		

			
	
			
				 9.3
			Governing Law. The validity, construction and effect of this Award, and any rules and regulations relating thereto, shall be determined in accordance with federal law and the laws of the State of Delaware (without regard to any provision that would result in the application of the laws of any other state or jurisdiction).

		
			 
		

			
	
			
				 9.4
			Severability. If any provision of this Award is or becomes or is deemed to be invalid, illegal, or unenforceable in any jurisdiction, such provision shall be construed or deemed amended to conform to applicable laws, or, if it cannot be so construed or deemed amended without, in the determination of the Board of Directors, materially altering the intent of this Award, such provision shall be stricken as to such jurisdiction and the remainder of this Award shall remain in full force and effect.

		
			 
		

			
	
			
				 9.5
			Amendment of Award. This Award may not be amended except in writing and executed by both parties hereto, and no course of conduct by either party or between the parties will be deemed to amend the terms and conditions of this Award, unless such amendment is 

		 

		

			DMEAST #41247219 v35

		

	reduced to writing and executed by both parties. This Award is made under the Plan and shall be construed consistently with the Plan. In the event of any clear conflict between the provisions of the Plan and this Option, the provisions of the Plan (including any such provisions that defer to an applicable award, such as this one) shall control. 

		
			 
		

			
	
			
				 9.6
			Waiver. The waiver of any breach of any provision of this Award by either of the parties shall not constitute or operate as a waiver of any other breach of any provision of this Award, and any failure to enforce any provision of this Award in any particular instance shall not operate as a waiver of any existing or future rights, duties, or obligations arising out of this Award.

		
			 
		

			
	
			
				 9.7
			No Fractional Shares. No fractional shares of Common Stock shall be issued or delivered pursuant to this Award, and the Board of Directors shall determine whether cash, other securities, or other property shall be paid or transferred in lieu of any fractional shares or whether such fractional shares or any rights thereto shall be canceled, terminated, or otherwise eliminated.

		
			 
		

			
	
			
				 9.8
			Headings. The headings and subheadings in this Award are for convenience of reference only and shall not be given any effect in the interpretation of this Award.

		
			 
		

			
	
			
				 9.9
			Counterparts. This Award may be executed in two or more counterparts, each of which shall be deemed an original but all of which taken together shall constitute one and the same instrument. A counterpart signature page delivered by fax or other electronic means shall be effective to the same extent as an original thereof.

		
			 
		

		
			IN WITNESS WHEREOF, the parties have caused this Restricted Stock Award to be executed as of the Grant Date.
		

		
			TESSCO TECHNOLOGIES INCORPORATED
		

		
			 
		

		
			 
		

		
			By:
		

		
			
		

		
			President and Chief Executive Officer
		

		
			 
		

		
			 
		

		
			GRANTEE:
		

		
			 
		

		
			
		

		
			
		

		
			 
		

		
			 
		

		
			Address:
		

		
			
		

		
			
		

		 

		

			DMEAST #41247219 v36Ex_1034

		
			Exhibit 10.3.4
		

		
			 
		

		
			TESSCO TECHNOLOGIES INCORPORATED
		

		
			STOCK OPTION
		

		
			 
		

		
			THIS STOCK OPTION (this “Option”) is granted by TESSCO Technologies Incorporated, a Delaware corporation (the “Company”), to _______________(the “Optionee”) effective as of ______________, 20___ (the “Grant Date”). 
		

		
			RECITALS
		

		
			 
		

			
	
			
				 A.
			The Optionee is a Key Employee of the Company. In order to provide the Optionee additional incentive to further the Company’s growth, development, and financial success, the Compensation Committee of the Board of Directors of the Company (the “Committee”), pursuant to authority delegated by the Board of Directors of the Company (the “Board”), desires to grant to the Optionee, pursuant to the TESSCO Technologies Incorporated 2019 Stock and Incentive Plan (as from time to time hereafter amended, the “Plan”), an option to purchase _________ (______) shares of the Company’s Common Stock, par value $.01 per share (the “Common Stock”), at an exercise price of $______ per share (the “Exercise Price”), which price the Compensation Committee has determined to be the Fair Market Value of the Common Stock as of the Grant Date.

			
	
			
				 B.
			This Option is granted pursuant to the Plan, which is incorporated herein by reference for all purposes.  The Optionee acknowledges receipt of a copy of the Plan and agrees to be bound by all of the terms and conditions hereof and thereof, and all applicable laws and regulations.  Capitalized terms used herein and not otherwise defined shall have the meaning ascribed thereto in the Plan.

			
	
			
				 C.
			This Option is not intended to, and shall not, constitute or be treated as an “incentive stock option” within the meaning of Section 422 of the Internal Revenue Code.

		
			NOW, THEREFORE, to evidence the grant of the option and to set forth the terms and conditions governing the exercise thereof and the parties’ other agreements relative thereto, the parties, intending to be legally bound, agree as follows:
		

		
			 
		

			
	
			
				 SECTION 1.
			GRANT, TERM, AND VESTING OF OPTION

			
	
			
				 1.1.
			In General. The Company hereby grants to the Optionee the right, and the Optionee shall be entitled, to purchase from the Company at any time and from time to time after the date hereof but not later than 5:00 p.m. Baltimore, Maryland time on ________ __, 20__ (the “Expiration Date”), up to ___________ (_______) shares of the Company’s Common Stock (the “Option Shares”) at the Exercise Price, all on the terms and subject to the conditions hereinafter set forth.

		
			 
		

			
	
			
				 1.2.
			Vesting. Except as otherwise set forth (and subject to all of the other conditions and limitations contained) in this Section 1, this Option shall become exercisable (i.e., vest) with respect to a stated percentage or number of Option Shares on each of the dates set forth below (each a “Vesting Date”), subject further to Optionee’s Continuous Service through each such Vesting Date:

		
			 
		

		
			

		 

		

			DMEAST #39311155 v2

		

		

			
	
			
				 (a)
			On the first yearly anniversary of the Grant Date, twenty-five percent (25%) of the Option Shares,  or __________ Option Shares; and

			
	
			
				 (b)
			On the day of the month corresponding to the Grant Date (i.e., on the 10th day (or if there is no day, the next day)) and for each of the Thirty Six (36) successive calendar months following the first anniversary of the Grant Date, an additional 2.08333% of the number of Option Shares (with the number of Option Shares rounded up or down as the Company shall determine), until the fourth anniversary of the Grant Date, when this Option will be fully vested for all _______________ (________) Option Shares.

		
			Except as may otherwise be expressly provided herein, there shall be no proportionate or partial vesting during periods prior to each Vesting Date, and all vesting shall occur only on the appropriate Vesting Date. Without limiting any other terms hereof or of the Plan otherwise providing for termination of this Option in whole or in part, any unvested portion of this Option shall terminate and be null and void upon termination of the Optionee’s Continuous Service.   
		

			
	
			
				 1.3.
			Termination for Cause. If the Optionee’s Continuous Service is terminated by the Company for Cause, all rights of Optionee under this Option shall terminate immediately, effective as of such termination. 

		
			 
		

			
	
			
				 1.4.
			 Termination Without Cause or for Good Reason; Voluntary Termination.   If the Optionee’s Continuous Service is terminated (x) by the Company other than for Cause and other than on account of Disability or (y) by the Optionee for Good Reason, or (z) on account of the resignation or voluntary termination of employment by the Optionee in the absence of Cause, then, subject to Section 1.8 hereof, the Optionee shall be entitled to exercise this Option to the same extent that it would have been exercisable on the effective date of termination of the Optionee’s Continuous Service (and without regard to any subsequent events) for a period of ninety (90) days thereafter (but in no event later than the Expiration Date), whereupon all rights of Optionee under this Option shall terminate immediately, unless the Board or the Committee in its sole and absolute discretion determines that this Option should be exercisable to some greater extent or remain exercisable for some longer period (ending in no event later than the Expiration Date). 

		
			 
		

			
	
			
				 1.5.
			Disability. If the Optionee’s Continuous Service is terminated as a result of Disability, as determined by a medical doctor satisfactory to the Committee, this Option shall not terminate or be forfeited and the Optionee shall remain entitled to exercise this Option, but only to the same extent that it would have been exercisable on the date of termination of the Optionee’s Continuous Service (and without regard to subsequent events), for a period of twelve (12) months thereafter (but in any event subject to Section 1.8 hereof, and in no event later than the Expiration Date), whereupon all rights of Optionee under this Option shall terminate immediately, unless the Board or the Committee in its sole and absolute discretion determines that this Option should be exercisable to some greater extent or remain exercisable for some longer period (ending in no event later than the Expiration Date).

		
			 
		

			
	
			
				 1.6.
			Death. In the event of the termination of Optionee’s Continuous Service by reason of death of Optionee, the Optionee’s personal representative or other successor in interest shall be entitled to exercise this Option, but only to the same extent that it would have been exercisable on the date of the Optionee’s death (but without regard to subsequent events), for a period of twelve (12) months thereafter (but in any event subject to Section 1.8 hereof, and in no event later than the Expiration Date), whereupon all rights of Optionee under this Option shall 

		 

		

			DMEAST #39311155 v22

		

	terminate immediately, unless the Board or the Committee in its sole and absolute discretion determines that this Option should be exercisable to some greater extent or remain exercisable for some longer period (ending in no event later than the Expiration Date). 

		
			 
		

			
	
			
				 1.7.
			Expiration. This Option, including any then unexercised portion of this Option, and all rights of Optionee hereunder, shall in any event automatically and without notice terminate on the Expiration Date, if not sooner.  

		
			 
		

			
	
			
				 1.8.
			Change in Control.  

		
			 
		

			
	
			
				 (a)
			Accelerated Vesting. Notwithstanding Section 1.2, if there is a Change in Control of the Company and the Optionee’s Continuous Service is terminated in during the period beginning ninety (90) days prior to and ending one (1) year after the date of the Change in Control, either (i) by the Company or a successor, in either case other than for Cause and other than on account of death or Disability, or (ii) by the Optionee for Good Reason, then this Option shall (if not already so exercisable, and provided that this Option shall not have expired or terminated for any reason, including at the Expiration Date) become exercisable with respect to 100% of the total number of Option Shares. 

		
			 
		

			
	
			
				 (b)
			Company Right to Accelerate Vesting and Terminate Option.   If at any time before the Expiration Date, and assuming this Option remains in effect, the Company becomes aware of the impending occurrence of any Change in Control, then the Company shall have the right and option (but not any obligation) to give the Optionee written notice thereof (a “Change in Control Notice”) setting forth (if known) the date on or about which the Change in Control is anticipated to occur.  If a Change in Control Notice is given by the Company to the Optionee no later than twenty (20) days before the occurrence of the Change in Control (or the record date or other date for establishing the holders of Common Stock entitled to the initial liquidating dividend or other distribution in respect of any complete or partial liquidation, dissolution, or divisive reorganization of the Company approved by the stockholders), the Company shall have the right and option (but not any obligation) (i) to cause the vesting of this Option to be accelerated (whereupon this Option will become exercisable with respect to 100% of the total number of Option Shares), such acceleration to be effective upon, or immediately prior to and conditioned upon, the occurrence of the Change in Control described in the Change in Control Notice, and on any other conditions, qualifications or limitations stated or provided for therein (including the right to withdraw the Change in Control Notice for any or no reason), and (ii) as provided in the Change in Control Notice, and as a condition to acceleration as contemplated by (i) above, to terminate this Option, insofar as still remaining unexercised, effective upon, or immediately prior to and conditioned upon, the occurrence of the Change in Control and without any additional notice.  As a condition to any such termination of this Option, however, the Company shall afford the Optionee a reasonable period of time (no less than fifteen (15) days) after the date on which the Change in Control Notice is given to exercise this Option in whole or in part; and in the event that, or insofar as, the Optionee does not exercise this Option prior to the expiration of such period, then, unless the Board or the Committee (or any successor to either) in its sole and absolute discretion determines otherwise, this Option will terminate and expire effective upon, or immediately prior to and conditioned upon, the occurrence of the Change in Control.  Notwithstanding the foregoing, if and in the event that the Continuous Service of the Optionee has for any reason terminated or expired as of the date of the giving of the Change in Control Notice or at any time prior to the Change in Control referred to therein, and this Option (and the right to exercise this Option) has not then otherwise expired by its terms, then the 

		 

		

			DMEAST #39311155 v23

		

	Company shall have the right and option to deliver a Change in Control Notice as provided above without any corresponding acceleration of the vesting of this Option, and this Option shall then be exercisable only to the extent otherwise exercisable as of the date of termination of Continuous Service and without acceleration, until the expiration of the reasonable period otherwise provided for hereunder. Any acceleration of the vesting of this Option (and the right of Optionee to exercise this Option with respect to any Option Shares vested other than on account of the passage of time) as described in or contemplated by a Change in Control Notice shall be, and any exercise by the Optionee may be, in each case whether delivered pursuant to this subsection (b) of subsection (c) below, conditioned upon the actual occurrence or consummation of the Change in Control and satisfaction of any other conditions, qualifications or limitations included or provided for in the Change in Control Notice or notice of exercise.  

			
	
			
				 (c)
			Change in Control Agreement.  In the event of, or if in anticipation of, a Change in Control in which the Company is not or will not be the surviving or acquiring company, or will be liquidated or dissolved, or in which the Company is or becomes, or will become, a wholly-owned subsidiary of another company after the effective date of the Change in Control, in any event occurring prior to the Expiration Date and prior to any other termination of this Option (including upon exercise by the Company of the right and option afforded to it subsection (b) above): (1) if there is no Change in Control Agreement (as defined below) or if the Change in Control Agreement does not specifically provide for the change, conversion or exchange of this Option for similar securities of another company, the Company will deliver to Optionee a Change in Control Notice in the manner described in (but not pursuant to) subsection (b) above, thereby providing the Optionee with a reasonable opportunity to exercise this Option as otherwise provided for in (but not pursuant to) subsection (b) above, and Optionee shall thereupon have the right during the applicable period of not less than fifteen (15) days to exercise this Option as to all or any part of the shares covered hereby, including, if the Continuous Service of Optionee then continues (but not otherwise), shares as to which this Option would not otherwise be exercisable by reason of an insufficient lapse of time, and this Option will thereupon terminate and expire as otherwise provided for in (but not pursuant to) subsection (b) above, effective upon, or immediately prior to and conditioned upon, the occurrence of such Change in Control; and (2) if there is a Change in Control Agreement and if the Change in Control Agreement provides for the change, conversion or exchange of the shares under outstanding and unexercised stock options, generally, or under this Option, for securities or other property of another company, and provides for the change, conversion or exchange of this Option, or the assumption or substitution of this Option, for similar securities or other property of another company, then in connection with the Change in Control, in lieu of this Option terminating (and, where applicable, in lieu of being accelerated) to the extent not exercised as otherwise contemplated by clause (1) of this subsection (c), then, and unless the Company shall have exercised its right under subsection (b) above, this Option shall be so changed, converted or exchanged, or assumed or substituted for, in a manner not inconsistent with the provisions of the Change in Control Agreement for the adjustment, change, conversion or exchange of such stock and such options (and if holders of Common Stock were offered a choice of consideration, the type of consideration chosen by the holders of a majority of the outstanding shares).   If such consideration received in the transaction constituting a Change in Control is not solely common stock of the successor company or its parent or subsidiary, the Committee may, with the consent of the successor company, or its parent or subsidiary, provide that the consideration to be received upon the exercise or vesting of the substitute or assumed option will be solely common stock of the successor company or its parent or subsidiary substantially equal in Fair Market Value to the per share consideration received by holders of shares of Common Stock in the transaction constituting a Change in Control. All 

		 

		

			DMEAST #39311155 v24

		

	adjustments and determinations under this subsection (c), including any determination of such substantial equality of value of consideration, shall be made by the Committee in its sole discretion and its determination shall be conclusive and binding.  Notwithstanding the foregoing, on such terms and conditions as may be set forth in an award agreement, in the event of a termination of the Optionee's employment in such successor company (other than for Cause or on account of Disability or the comparable reasons applicable to such award agreement) within one (1) year following such Change in Control (subject, however, to earlier expiration as of the Expiration Date), the option held by the Optionee at the time of the Change in Control shall be accelerated as described in Section 1.8(a) above.

			
	
			
				 1.9.
			Certain Definitions.

		
			 
		

		
			For purposes of this Option:
		

			
	
			
				 (a)
			“Cause” shall have the meaning ascribed thereto in the Plan and shall also include, to the extent not already included, any act or failure to act determined in good faith by the Committee to constitute gross misconduct by the Optionee.

		
			 
		

			
	
			
				 (b)
			“Change in Control Agreement” means a written plan or agreement regarding the terms and implementation of a Change in Control in which the Company is not the surviving or acquiring company, or in which the Company is or becomes a wholly-owned subsidiary of another company after the effective date of the Change in Control (and in any event excluding any liquidation).

		
			 
		

			
	
			
				 (c)
			“Good Reason” means any of the following:

		
			 
		

			
	
			
				 (1)
			Any material adverse change by the Company in the Optionee’s duties or reporting responsibilities or any material reduction by the Company in the Optionee’s authority (other than as a result of Disability of Optionee), provided, however, that a change in authority, duties or responsibilities solely due to the Company becoming a division, subsidiary or otherwise part of a larger organization shall not by itself constitute Good Reason, and provided further that the Optionee specifically objects in writing to the change or reduction within thirty (30) days after the change or reduction first occurs and the Company (or its successor) does not rescind the change or reduction within a further period of thirty (30) days; or

			
	
			
				 (2)
			Any material failure by the Company or its subsidiaries to make a payment due and owing to the Optionee or to provide the Optionee with a benefit due and owing to the Optionee, but only if the failure is not cured in all material respects within fifteen (15) days after the Company receives written notice of such failure; or

			
	
			
				 (3)
			Any reduction of Optionee’s annual base salary,  or any material reduction in the package of benefits provided to Optionee as an employee of the Company (excluding benefits in the nature of cash or equity incentive compensation), except to the extent that the base salary or package of benefits of all other officers of the Company is similarly reduced (except insofar as such reduction would require the Company to violate a binding employment agreement), and provided that the Optionee specifically objects in writing to the reduction within thirty (30) days after the reduction first occurs and the Company (or its successor) does not rescind the reduction within a further period of thirty (30) days.

		
			

		 

		

			DMEAST #39311155 v25

		

		

			
	
			
				 SECTION 2.
			EXERCISE OF OPTION

			
	
			
				 2.1.
			In General. In the event the Optionee desires to exercise this Option with respect to all or any vested portion of the Option Shares, the Optionee shall give notice to the Company in substantially the form of Exhibit A (together with any other representations, warranties, and undertakings that may otherwise be required by the Company of the Optionee pursuant to the terms of this Option or the Plan). Such notice shall state the number of Option Shares with respect to which this Option is being exercised and shall be accompanied by payment of the Exercise Price multiplied by the number of Option Shares with respect to which this Option is being exercised (the “Aggregate Exercise Price”).

		
			 
		

			
	
			
				 2.2.
			Payment Options. Unless otherwise permitted by the Board or the Committee, payment of the Aggregate Exercise Price shall be made in cash or by check payable to the order of the Company. Notwithstanding the foregoing, if hereinafter authorized by the Board or the Committee in its sole discretion, payment of the Aggregate Exercise Price may also be made in whole or in part: (i) through the retention by the Company of Option Shares that would otherwise be issued pursuant to the exercise of this Option, (ii) by the delivery of shares of Common Stock already owned by the Optionee with an aggregate Fair Market Value (as defined below) equal to the Aggregate Exercise Price, or (iii) by any other form of payment that is acceptable to the Board or the Committee, as the case may be. If the Aggregate Exercise Price is paid in the manner described in clause (i) above, the number of shares to be issued to the Optionee shall be reduced by the product of (x) the total number of shares to be acquired (determined without regard to clause (i)) times (y) the quotient of (a) the Exercise Price divided by (b) the Fair Market Value, which reduction shall constitute payment of the Exercise Price for the shares acquired pursuant to clause (i).

		
			 
		

			
	
			
				 2.3.
			Withholding Taxes. The Company shall be entitled to require as a condition of delivery of the shares to be acquired upon exercise of this Option that the Optionee remit to the Company an amount sufficient to satisfy all federal, state, and other taxes or withholding requirements that may be imposed upon the Company (“Tax Obligations”). Notwithstanding the foregoing, the Board or the Committee may in its sole discretion authorize payment or other satisfaction of all or any portion of such Tax Obligations to be made in a manner similar to one or more of the methods referenced in Section ‎2.2 with respect to payment of the Aggregate Exercise Price. Whether or not the Company requires the Optionee to remit any such amounts, the Company shall have the right to withhold such amounts from any compensation or other payments otherwise due to the Optionee.

		
			 
		

			
	
			
				 2.4.
			Fractional Shares. The Company shall not be required to issue fractions of shares upon exercise of this Option. If any fractional interest in a share is otherwise deliverable upon the exercise of this Option, the Company shall purchase the fractional interest for an amount in cash equal to the Fair Market Value of the fractional interest.

		
			 
		

			
	
			
				 2.5.
			Limitation on Exercise. Notwithstanding any other provision of this Option, this Option shall not be exercisable in whole or in part, and no shares of Common Stock shall be issuable by the Company in respect of any attempted exercise, at any time when such exercise or issuance is prohibited by the Company’s policies then in effect concerning transactions by officers, directors, or employees in securities of the Company. 

		
			 
		

		
			

		 

		

			DMEAST #39311155 v26

		

		

			
	
			
				 SECTION 3.
			MISCELLANEOUS

			
	
			
				 3.1.
			Entire Agreement. This Option (together with the Plan, to which it is and shall remain subject) constitutes the entire agreement and understanding between the parties hereto, and supersedes any prior agreement or understanding, relating to the subject matter of this Option. 

		
			 
		

			
	
			
				 3.2.
			Conflicts with Plan; Amendments. This Agreement has been granted as an “Option” (and, in particular, a “Non-Qualified Option”) under the Plan and shall be construed consistently with the Plan. In the event of any clear conflict between the provisions of the Plan and this Option, the provisions of the Plan (including any such provisions that defer to an applicable award, such as this Option) shall control. The Committee has the right, in its sole discretion, to amend this Option from time to time in any manner for the purpose of promoting the objectives of the Plan but only if the similar terms of all other Non-Qualified Options under the Plan that are then in effect at the time of such amendment and are also similarly amended with substantially the same effect. Any such amendment of this Option will, upon adoption by the Committee, become and be binding and conclusive on all persons affected by it without requirement for consent or other action by any such person. The Company will give the Optionee or other registered holder of this Option written notice of any such amendment of this Option as promptly as practicable after it is adopted. 

		
			 
		

			
	
			
				 3.3.
			No Rights of Stockholder. The Optionee shall not be deemed a stockholder of the Company for any purpose until the shares issuable upon exercise of this Option have been issued to the Optionee upon exercise of this Option. The existence of this Option shall not affect in any way the right or power of the Company or its stockholders to make or authorize any adjustments, recapitalizations, reorganizations, or other changes in the Company’s capital structure or its business, or any merger or consolidation of the Company, or any issue of bonds, debentures, or shares of capital stock with a preference ahead of, or convertible into, or otherwise affecting the Common Stock or rights thereof, or dissolution or liquidation of the Company, or any sale or transfer of all or any part of its assets or business, or any other corporate act or proceeding, whether of a similar character or otherwise.

		
			 
		

			
	
			
				 3.4.
			No Rights of Continued Employment.  This Option shall not confer upon the Optionee any right of continued employment or Continuous Service with the Company or otherwise, nor shall it entitle the Optionee to any continued level of base salary.

		
			 
		

		
			 
		

			
	
			
				 3.5.
			Transfer Restrictions.  Unless otherwise determined by the Committee, this Option is not transferable, and, during the lifetime of the Optionee, the Option shall be exercisable only by the Optionee, or the Optionee's guardian or legal representative. In addition, this Option shall not be assigned, negotiated, pledged or hypothecated in any way (whether by operation of law or otherwise), and this Option shall not be subject to execution, attachment or similar process. Upon any attempt to transfer, assign, negotiate, pledge or hypothecate this Option, or in the event of any levy upon this Option by reason of any execution, attachment or similar process contrary to the provisions hereof, this Option shall immediately become null and void. The terms of this Option shall be binding upon the executors, administrators, heirs, successors and assigns of the Optionee.  

		
			 
		

			
	
			
				 3.6.
			Notices. Any notice or communication required or permitted hereunder shall be sufficiently given if delivered in person or by commercial courier service or sent by first class mail, postage prepaid:

		
			 
		

		
			

		 

		

			DMEAST #39311155 v27

		

		

			
	
			
				 (a)
			If to the Company, addressed to it at 11126 McCormick Road, Hunt Valley, MD 21031, marked for the attention of the Chief Financial Officer, and

			
	
			
				 (b)
			If to the Optionee, to the address set forth below Optionee’s signature (or if not set forth, as appearing in the records of the Company),

		
			or in either case to such other address as any party shall notify the other in accordance with this section.
		

			
	
			
				 3.7.
			Governing Law. This Option shall be governed by and construed in accordance with the federal laws of the United States and the laws of the State of Delaware (without regard to any provision that would result in the application of the laws of any other state or jurisdiction).

		
			 
		

			
	
			
				 3.8.
			Headings. The descriptive headings in this Option are inserted for convenience of reference only and do not constitute a part of this Agreement.

		
			 
		

			
	
			
				 3.9.
			Incorporation of Recitals and Exhibits. The recitals to this Option and any exhibits and schedules hereto are a material part of and by this reference are hereby incorporated into this Option.

		
			 
		

		
			[Balance of this page intentionally left blank]
		

		
			 
		

		
			

		 

		

			DMEAST #39311155 v28

		

		

		
			IN WITNESS WHEREOF, the parties have caused this Stock Option to be signed under seal as of the date first above written.
		

		
			 
		

		
			ATTEST/WITNESS:TESSCO TECHNOLOGIES INCORPORATED
		

		
			 
		

		
			 
		

		
			 
		

		
			______________________________By: ____________________________(SEAL)
_____________________________
_____________________________
		

		
			 
		

		
			
		

		
			OPTIONEE: 
		

		
			 
		

		
			 
		

		
			____________________________________________________________________

_____________________________________
		

		
			 
		

		
			Address:
		

		
			_______________________________
		

		
			_______________________________
		

		
			 
		

		
			 
		

		
			

		 

		

			DMEAST #39311155 v2

		

		

		
			EXHIBIT A
		

		
			TESSCO TECHNOLOGIES INCORPORATED
		

		
			STOCK OPTION
		

		
			NOTICE OF EXERCISE
		

		
			 
		

		
			______________________________
(Date)
		

		
			TO:

TESSCO Technologies Incorporated
11126 McCormick Road
Hunt Valley, MD 21031
Attn: President
		

		
			 
		

		
			I am the holder of a Stock Option dated as of ___________ __, 20__ to purchase shares of the Common Stock of TESSCO Technologies Incorporated, a Delaware corporation (the “Company”) at a price of $____ per share. I hereby exercise that Stock Option with respect to _________ shares, for an aggregate exercise price of $_______________. Payment of the aggregate exercise price accompanies this Notice of Exercise.
		

		
			I acknowledge that the Company is entitled to require as a condition of delivering the certificate representing these shares that I remit to the Company an amount sufficient to satisfy all federal, state, and other taxes or withholding requirements that may be imposed upon the Company. Whether or not the Company requires me to remit any such amounts, the Company shall have the right to withhold such amounts from any compensation or other payments otherwise due to me.
		

		
			Very truly yours,
		

		
			 
		

		
			________________________________
Optionee
		

		
			 
		

		
			 
		

		
			Address: 
		

		
			________________________________
		

		
			________________________________
		

		
			 
		

		
			 
		

		
			 
		

		 

		

			DMEAST #39311155 v2

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00310-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00310-of-00352.parquet"}]]