Document:

NONSTATUTORY STOCK OPTION AGREEMENT, JOHN H. CURTIS

EXHIBIT 10.24

NETWORK ENGINES, INC.

Nonstatutory Stock Option Agreement

Granted Under 1999 Stock Incentive Plan

 1. Grant of Option. 

      This agreement evidences the grant by Network Engines, Inc., a Delaware corporation (the “Company”), on March 21, 2001 (the “Grant Date”) to John Curtis, an employee of the Company (the
“Participant”), of an option to purchase, in whole or in part, on the terms provided herein and in the Company's 1999 Stock Incentive Plan (the “Plan”), a total of 403,902 shares (the “Shares”) of common stock, $.01 par
value per share, of the Company (“Common Stock”) at $1.1875 per Share. Unless earlier terminated, this option shall expire on March 21, 2011 (the “Final Exercise Date”). 

      It is intended that the option evidenced by this agreement shall not be an incentive stock option as defined in Section 422 of the Internal Revenue Code of 1986, as amended, and any regulations promulgated
thereunder (the “Code”). Except as otherwise indicated by the context, the term “Participant”, as used in this option, shall be deemed to include any person who acquires the right to exercise this option validly under its terms.

 2. Vesting Schedule. 

      Subject to the provisions of Section 3(f) hereof, this option will become exercisable ("vest") as to 25% of the original number of Shares on the first anniversary of the Grant Date and as to an additional 6.25% of
the original number of Shares at the end of each successive full three-month period following the first anniversary of the Grant Date until the fourth anniversary of the Grant Date. This option shall expire upon, and will not be exercisable after,
the Final Exercise Date. 

      The right of exercise shall be cumulative so that to the extent the option is not exercised in any period to the maximum extent permissible it shall continue to be exercisable, in whole or in part, with respect to
all shares for which it is vested until the earlier of the Final Exercise Date or the termination of this option under Section 3 hereof or the Plan. 

 3. Exercise of Option. 

      (a)     Form of Exercise. Each election to exercise this option shall be in writing, signed by the Participant, and received by the Company at its principal office, accompanied by this
agreement, and payment in full as follows: 

               (i) in cash or by check, payable to the order of the Company; 

      (ii)     delivery of an irrevocable and unconditional undertaking by a creditworthy broker to deliver promptly to the Company sufficient funds to pay the exercise price, or delivery by the
Participant to the Company of a copy of irrevocable and unconditional instructions to a creditworthy broker to deliver promptly to the Company cash or a check sufficient to pay the exercise price; 

      (iii)     (A) by delivery of shares of Common Stock owned by the Participant valued at their fair market value as determined by the Board in good faith, which Common Stock was owned by the
Participant at least six months prior to such delivery, or (B) by payment of such other lawful consideration as the Board may determine; or 

      (iv)     any combination of the above permitted forms of payment. 

 The Participant may purchase less than the number of shares covered hereby, provided that no partial exercise of this option may be for any fractional share. 

      (b)    Continuous Relationship with the Company Required. Except as otherwise provided in this Section 3, this option may not be exercised unless the Participant, at the time he or she
exercises this option, is, and has been at all times since the date of grant of this option, an employee, officer or director of, or consultant or advisor to, the Company or any parent or subsidiary of the Company as defined in Section 424(e) or (f)
of the Code (an "Eligible Participant"). 

      (c)    Termination of Relationship with the Company. If the Participant ceases to be an Eligible Participant for any reason, then, except as provided in paragraphs (d), (e) and (f) below, the
right to exercise this option shall terminate three months after such cessation or such other period of time as may be determined by the Board (but in no event after the Final Exercise Date), provided that, except as provided in paragraph (f) below,
this option shall be exercisable only to the extent that the Participant was entitled to exercise this option on the date of such cessation. Notwithstanding the foregoing, if the Participant, prior to the Final Exercise Date, violates the
non-competition, non-disclosure, nonsolicitation or confidentiality provisions of any employment contract, confidentiality, nondisclosure or nonsolicitation agreement or other agreement between the Participant and the Company, the right to exercise
this option shall terminate immediately upon written notice to the Participant from the Company describing such violation. 

      (d)     Exercise Period Upon Death or Disability. If the Participant dies or becomes disabled (within the meaning of Section 22(e)(3) of the Code) prior to the Final Exercise Date while he
or she is an Eligible Participant and the Company has not terminated such relationship for "cause" as specified in paragraph (e) below, this option shall be exercisable, within the period of one year following the date of death or disability of the
Participant by the Participant, provided that this option shall be exercisable only to the extent that this option was exercisable by the Participant on the date of his or her death or disability, and further provided that this option shall not be
exercisable after the Final Exercise Date. 

      (e)     Discharge for Cause. If the Participant, prior to the Final Exercise Date, is discharged by the Company for Cause (as defined below), the right to exercise this option shall
terminate immediately upon the effective date of such discharge. “Cause” shall mean (i) a good faith finding by the Company that (i) the Participant has substantially failed to perform his assigned duties for the Company, or (ii) the
Participant has engaged in dishonesty, gross negligence or misconduct involving the Company, or (ii) the conviction of the Participant of, or the entry of a pleading of guilty or nolo contendere by the Participant to, any crime involving moral
turpitude or any felony. The Participant shall be considered to have been discharged for Cause if the Company determines, within 30 days after the Participant's resignation, that discharge for Cause was warranted. 

      (f)     Discharge For Good Reason or Without Cause. If the Participant, prior to the Final Exercise Date, terminates his employment with the Company for Good Reason (as defined below), or
the Company terminates the Participant’s employment without Cause, (i) the right to exercise this option shall terminate three months after such termination (but in no event after the Final Exercise Date) and (ii) this option shall be
exercisable to the extent the Participant would have been entitled to exercise this option on the date which is one year after such termination if the Partcipant were still an Eligible Participant on such date. “Good Reason” for
termination shall mean (i) a material adverse change in the Participant’s compensation (but not title, duties, responsibilities or authority) without the prior consent of the Participant, or (ii) a material breach by the Company of the terms of
any employment agreement between the Participant and the Company, which breach is not remedied by the Company within 10 days following written notice from the Participant to the Company notifying it of such breach. Notwithstanding the foregoing, if
the Participant, prior to the Final Exercise Date, violates the non-competition, non-disclosure, nonsolicitation or confidentiality provisions of any employment contract, confidentiality, nondisclosure or nonsolicitation agreement or other agreement
between the Participant and the Company, the right to exercise this option shall terminate immediately upon written notice to the Participant from the Company describing such violation. 

 4. Agreement in Connection with Public Offering. 

      The Participant agrees, in connection with any underwritten public offering of the Company’s securities pursuant to a registration statement under the Securities Act, (i) not to sell, make short sale of, loan,
grant any options for the purchase of, or otherwise dispose of any shares of Common Stock held by the Participant (other than those shares included in the offering) without the prior written consent of the Company or the underwriters managing such
underwritten public offering of the Company’s securities for a period of 180 days from the effective date of such registration statement, and (ii) to execute any agreement reflecting clause (i) above as may be requested by the Company or the
managing underwriters at the time of such offering. 

 5. Withholding. 

      No Shares will be issued pursuant to the exercise of this option unless and until the Participant pays to the Company, or makes provision satisfactory to the Company for payment 

of, any federal, state or local withholding taxes required by law to be withheld in respect of this option. 

 7. Nontransferability of Option. 

      This option may not be sold, assigned, transferred, pledged or otherwise encumbered by the Participant, either voluntarily or by operation of law, except by will or the laws of descent and distribution, and, during
the lifetime of the Participant, this option shall be exercisable only by the Participant. 

 8. Provisions of the Plan. 

      This option is subject to the provisions of the Plan, a copy of which is furnished to the Participant with this option. 

     IN WITNESS WHEREOF, the Company has caused this option to be executed under its corporate seal by its duly authorized officer. This option shall take effect as a sealed instrument. 

	 	NETWORK ENGINES, INC.
	 	 	 	 
	Dated:    March 21, 2001	By:	 /s/   Douglas G. Bryant

	 	  	 	 
 
	 	 	Name:	 Douglas Bryant
	 	 	Title:	Chief Financial Officer

  

PARTICIPANT'S ACCEPTANCE 

      The undersigned hereby accepts the foregoing option and agrees to the terms and conditions thereof. The undersigned hereby acknowledges receipt of a copy of the Company's 1999 Stock Incentive Plan. 

  

	 	PARTICIPANT:	 
	 	 	 
	 	 	 
	 	/s/   John Curtis	 
	 	 
 
	 	John Curtis	 
	 	 	 
	 	 	 
	 	Address:	9 Parmenter Road
	 	 	Framingham, Ma. 01701SECURED PROMISSORY NOTE, RENE E. THIBAULT

 

EXHIBIT 10.25 

 SECURED PROMISSORY NOTE 

	 	 
	$300,000	 April 9, 2001

      FOR VALUE RECEIVED, Rene E. Thibault (the “Maker”), promises to pay to Network Engines, Inc., a Delaware corporation (the “Company”), or order, at its principal executive offices, the
principal sum of Three Hundred Thousand Dollars and No Cents ($300,000.00), together with interest on the unpaid principal balance of this Note from time to time outstanding at the rate of 4.63% per annum, compounded annually, until paid in full.
Principal and accrued interest on this Note shall be paid in full on April 9, 2002. Interest on this Note shall be computed on the basis of a year of 365 days for the actual number of days elapsed. 

      Notwithstanding the foregoing, payment of this Note shall be required in full, together with interest on the unpaid principal balance hereof at the rate of 4.63% per annum, upon the date which is 30 days after the
date of the Maker's termination of employment with the Company, unless such termination is involuntary and without Cause. For purposes of this Note, "Cause" shall mean willful misconduct by the Maker or willful failure by the Maker to perform his
responsibilities to the Company (including, without limitation, breach by the Maker of any provision of any employment, consulting, advisory, nondisclosure, nonsolicitation, non-competition or other similar agreement between the Maker and the
Company), as determined by the Company, which determination shall be conclusive. 

      Payment of this Note is secured by a security interest in shares of Common Stock of the Company owned or hereafter acquired by the Maker, pursuant to a pledge agreement of even date herewith between the Maker and
the Company (the “Pledge Agreement”). 

      The Company shall have (i) full recourse against the Pledged Collateral under the Pledge Agreement in connection with the repayment of the principal of the Note and accrued interest thereon, (ii) recourse up to the
Recourse Amount (as hereinafter defined) against any other personal assets of the Maker and (iii) recourse up to the Recourse Amount against any compensation or other amounts due the Maker resulting from his/her employment by the Company, and a
right to immediate set off against such compensation or other amounts to the full extent permitted by law. The Recourse Amount as of any time shall mean the sum of (i) 100% of the principal amount hereof and (ii) the full amount of accrued interest
under this Note. 

      The Maker may prepay, in whole or in part, without premium or penalty, any of the principal balance hereof or accrued interest thereon. 

      This Note shall become immediately due and payable without notice or demand upon the occurrence at any time of any of the following events of default (individually, “an Event of Default” and collectively,
“Events of Default”): 

     1.  default in the payment when due of any principal or interest under this Note; 

     2.  the occurrence of any Event of Default under the Pledge Agreement; 

      3.  the institution by or against the Maker of any proceedings under the United States

          Bankruptcy Code or any other federal or state bankruptcy, reorganization,

          receivership, insolvency or other similar law affecting the rights of creditors

          generally or the making by the Maker of a composition or an assignment or trust 

    mortgage for the benefit of creditors; or 

      4.  the Maker violates the non-competition or confidentiality provisions of any

          employment contract, confidentiality and nondisclosure agreement or other

          agreement between the Maker and the Company. 

      Upon the occurrence of an Event of Default, the holder shall have then, or at any time thereafter, all of the rights and remedies afforded a secured creditor by the Uniform Commercial Code as from time to time in
effect in the Commonwealth of Massachusetts or afforded by other applicable law. 

      Maker agrees to pay on demand all costs of collection, including, but not limited to, reasonable attorney's fees, incurred by the holder in connection with any action taken to enforce the terms of this Note. 

      No delay or omission on the part of the holder in exercising any right under this Note or the Pledge Agreement shall operate as a waiver of such right or of any other right of such holder, nor shall any delay,
omission or waiver on any one occasion be deemed a bar to or waiver of the same or any other right on any future occasion. The Maker regardless of the time, order or place of signing waives presentment, demand, protest and notices of every kind. 

      If any amounts under this Note become due and payable on a Saturday or Sunday or a day on which banks in the Commonwealth of Massachusetts are authorized by law to remain closed, such amounts shall be paid on the
next succeeding day that such banks shall be open for business. 

      Payments of principal and interest shall be made to the holder hereof, or its designee, in such coin or currency of the United States of America as at the time of payment shall be legal tender for the payment of
public and private debts, at the offices of Network Engines, Inc., 25 Dan Road, Canton, Massachusetts 02021. 

      All rights and obligations hereunder shall be governed by the laws of the Commonwealth of Massachusetts and this Note is executed as an instrument under seal. The Maker hereby submits to the jurisdiction of the
United States District Court for the District of Massachusetts and of any Massachusetts state court, with respect to any action, suit or proceeding brought against it arising out of or relating to this Note and the transactions contemplated hereby.
The Maker hereby irrevocably waives, to the fullest extent permitted by applicable law, any objection which it may now or hereafter have to the laying of the venue of any such action, suit or proceeding brought in such a court and any claim that any
such action, suit or proceeding brought in such a court has been brought in an inconvenient forum. 

	 	 	
 /s/ Rene E. Thibault____ 

	 
	 	 	Signature 	 
	 	 	 	 
	 	 	Rene E. Thibault_    ___ 	 
	 	 	Print Name

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00025-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00025-of-00352.parquet"}]]