Document:

Exhibit 10.15

 

INDEMNIFICATION
AGREEMENT

 

This Indemnification
Agreement (“Agreement”) is made as of           
   , 2005 by and between Maidenform Brands, Inc., a Delaware
corporation (the “Company”), and                    
(“Indemnitee”).

 

RECITALS

 

WHEREAS, highly competent
persons have become more reluctant to serve publicly-held corporations as
directors or in other capacities unless they are provided with adequate
protection through insurance and/or adequate indemnification against inordinate
risks of claims and actions against them arising out of their service to and
activities on behalf of the corporation.

 

WHEREAS, the Company has
determined that the increased difficulty in attracting and retaining such
persons is detrimental to the best interests of the Company and that the
Company should act to assure such persons that there will be increased
certainty of such protection in the future.

 

WHEREAS, the Delaware
General Corporation Law (“DGCL”), expressly provides that the indemnification
provisions set forth therein are not exclusive, and thereby contemplates that
contracts may be entered into between the Company and members of the board of
directors, officers and others with respect to indemnification.

 

WHEREAS, it is reasonable,
prudent and necessary for the Company to contractually obligate itself to
indemnify, and to advance expenses on behalf of, such persons to the fullest
extent permitted by applicable law so that they will serve or continue to serve
the Company free from undue concern that they will not be so indemnified.

 

WHEREAS, Indemnitee may not
be willing to serve as a director without the additional protection provided
for under this Agreement, and the Company desires Indemnitee to serve in such
capacity and Indemnitee is willing to serve and continue to serve on the
condition that he be so indemnified;

 

NOW, THEREFORE, the Company
and Indemnitee do hereby agree as follows:

 

1.             SERVICES TO THE COMPANY.  Indemnitee will serve, or continue to serve, at
the will of the Company in accordance with the Company’s Bylaws, as a director
of the Company for so long as Indemnitee is duly elected or appointed or until
Indemnitee tenders his resignation.

 

2.             DEFINITIONS. As used in this
Agreement:

 

(a)           “Action” means any threatened, pending
or completed action, suit, arbitration, alternate dispute resolution mechanism,
investigation, inquiry, administrative hearing or any other actual, threatened
or completed proceeding, whether brought in the right of the Company or
otherwise, and whether of a civil, criminal, administrative or investigative
nature.

 

 

(b)           “Beneficial Owner” shall have the
meaning given to such term in Rule 13d-3 under the Exchange Act; provided,
that Beneficial Owner shall exclude any Person otherwise becoming a Beneficial
Owner by reason of the stockholders of the Company approving a merger of the
Company with another entity.

 

(c)           “Board” means the Board of Directors
of the Company.

 

(d)           A “Change in Control” shall be deemed
to occur upon the earliest to occur after the date of this Agreement of any of
the following events:

 

(i)            Change in Board of Directors. During any period of two consecutive years
(starting after the execution of this Agreement), individuals who at the
beginning of such period constitute the Board, and any new director (other than
a director designated by a person who has entered into an agreement with the
Company to effect a transaction described in Sections 2(d)(ii) or 2(d)(iii))
whose election by the Board or nomination for election by the Company’s
stockholders was approved by a vote of at least 2/3 of the directors then still
in office who either were directors at the beginning of the period or whose
election or nomination for election was previously so approved, cease for any
reason to constitute a majority of the Board;

 

(ii)           Corporate Transactions. The effective date of a merger or
consolidation of the Company with any other entity unless the voting securities
of the Company outstanding immediately prior to such transaction continue to
represent (either by remaining outstanding or by being converted into voting
securities of the surviving entity) more than 51% of the combined voting power
of the voting securities of the surviving entity outstanding immediately after
such transaction that have the power to elect at least a majority of the board
of directors or other governing body of such surviving entity.

 

(iii)          Liquidation. The approval by the stockholders of the Company of a complete
liquidation of the Company or an agreement for the sale or disposition by the
Company of all or substantially all of the Company’s assets.

 

(iv)          Other Events. There occurs any other event of a nature
that would be required to be reported in response to Item 6(e) of Schedule 14A
of Regulation 14A (or a response to any similar item on any similar schedule or
form) promulgated under the Exchange Act, whether or not the Company is then
subject to such reporting requirement.

 

(e)           “Corporate Status” describes a person
who is or was serving as a director, officer, employee or agent of the Company
or, at the request of the Company, as a director, officer, employee or agent of
any other Enterprise. References to “serving at the request of the Company”
shall include, without limitation, any service as a director, officer, employee
or agent of the Company which imposes duties on, or involves services by, such
director, officer, employee or agent with respect to an employee benefit plan,
its participants or beneficiaries.

 

(f)            “Disinterested Director” means a
director of the Company who is not and was not a party to the Proceeding in
respect of which indemnification is sought by Indemnitee.

 

(g)           “Exchange Act” means the Securities
Exchange Act of 1934, as amended.

 

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(h)           “Enterprise” means the Company and any
other corporation, limited liability company, partnership, joint venture,
trust, employee benefit plan or other enterprise.

 

(i)            “Expenses” means all disbursements or
expenses of the types customarily incurred in connection with prosecuting, defending,
preparing to prosecute or defend, investigating, being or preparing to be a
witness in, or otherwise participating in, a Proceeding, including (without
limitation) attorneys’ fees and expenses, retainers, court costs, transcript
costs, fees of experts, witness fees, travel expenses, duplicating costs,
printing and binding costs, telephone charges, postage, and delivery service
fees. Expenses also include disbursements and expenses incurred in connection
with any appeal resulting from any Proceeding, including without limitation,
the premium, security for, and other costs relating to any cost bond,
supersedeas bond, or other appeal bond or its equivalent.

 

(j)            Reference to “fines” shall include any
excise tax assessed with respect to any employee benefit plan.

 

(k)           A person who acted in good faith and in a
manner he reasonably believed to be in the best interests of the participants
and beneficiaries of an employee benefit plan shall be deemed to have acted in
manner “not opposed to the best interests of the Company”.

 

(l)            References “to the fullest extent
permitted by applicable law” shall include, but not be limited to:

 

(i)            to the fullest extent permitted by the
provision of the DGCL that authorizes or contemplates additional
indemnification by agreement, or the corresponding provision of any amendment
to or replacement of the DGCL; and

 

(ii)           to the fullest extent authorized or permitted
by any amendments to or replacements of the DGCL adopted after the date of this
Agreement that increase the extent to which a corporation may indemnify its
directors.

 

(m)          “Proceeding” means any Action in which
Indemnitee was, is or will be involved (as a party or otherwise) by reason of Indemnitee’s
Corporate Status, or any action taken by him or of any action on his part while
acting in his Corporate Status, in each case whether or not serving in such
capacity at the time any liability or expense is incurred for which
indemnification, reimbursement, or advancement of expenses can be provided
under this Agreement.

 

(n)           “Independent Counsel” means a law
firm, or a member of a law firm, that is experienced in matters of corporation
law and neither is, nor in the past five years has been, retained to represent:
(i) the Company or Indemnitee in any matter material to either such party
(other than with respect to matters concerning the Indemnitee under this
Agreement, or of other indemnitees under similar indemnification agreements),
or (ii) any other party to the Proceeding giving rise to a claim for
indemnification hereunder. “Independent Counsel” shall not include any person
who, under the applicable standards of professional conduct then prevailing,
would have a conflict of interest in representing either the Company or
Indemnitee in an action to determine Indemnitee’s rights under this Agreement.
The Company agrees to pay the reasonable fees and expenses of the Independent
Counsel and to fully indemnify such counsel against any

 

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and all Expenses, claims,
liabilities and damages arising out of or relating to this Agreement or its
engagement pursuant hereto.

 

3.             THIRD-PARTY PROCEEDINGS.  If Indemnitee is, or is threatened to be made,
a party to or a participant in any Proceeding, other than a Proceeding by or in
the right of the Company to procure a judgment in its favor against Indemnitee,
the Company shall indemnify Indemnitee to the fullest extent permitted by
applicable law against all Expenses, judgments, fines and amounts paid in
settlement directly or indirectly incurred by or behalf of Indemnitee in
connection with such Proceeding or any claim, issue or matter therein, if
Indemnitee acted in good faith and in a manner he reasonably believed to be in
or not opposed to the best interests of the Company and, in the case of a
criminal proceeding, had no reasonable cause to believe that his conduct was
unlawful.

 

4.             PROCEEDINGS BY OR IN THE
RIGHT OF THE COMPANY.  If Indemnitee
is, or is threatened to be made, a party to or a participant in any Proceeding
by or in the right of the Company to procure a judgment in its favor, the
Company shall indemnify Indemnitee to the fullest extent permitted by
applicable law against all Expenses directly or indirectly incurred by or on
behalf of Indemnitee in connection with such Proceeding or any claim, issue or
matter therein, if Indemnitee acted in good faith and in a manner he reasonably
believed to be in or not opposed to the best interests of the Company. No
indemnification for Expenses shall be made under this Section 4 in respect of any
claim, issue or matter as to which Indemnitee shall have been finally adjudged
by a court to be liable to the Company unless the Delaware Court of Chancery or
any court in which the Proceeding was brought shall determine upon application
that, despite the adjudication of liability but in view of all the
circumstances of the case, Indemnitee is fairly and reasonably entitled to
indemnification.

 

5.             PARTY WHO IS WHOLLY OR
PARTLY SUCCESSFUL.

 

(a)           Notwithstanding any other provisions of this
Agreement, to the fullest extent permitted by applicable law:

 

(i)            To the extent that Indemnitee is a party to
(or a participant in) and is successful, on the merits or otherwise, in any
Proceeding or in defense of any claim, issue or matter therein, in whole or in
part, the Company shall indemnify Indemnitee against all Expenses directly or
indirectly incurred by or on behalf of Indemnitee in connection therewith.

 

(ii)           If Indemnitee is successful, on the merits or
otherwise, as to one or more but less than all claims, issues or matters in
such Proceeding, the Company shall indemnify Indemnitee against all Expenses directly
or indirectly incurred by or on behalf of Indemnitee in connection with (x)
each successfully resolved claim, issue or matter and (y) each claim, issue, or matter related to
any claim, issue or matter on which the Indemnitee was successful.

 

(b)           For purposes of this Section and without
limitation, the termination of any claim, issue or matter in such a Proceeding
by dismissal, with or without prejudice, shall be deemed to be a successful
result as to such claim, issue or matter.

 

6.             INDEMNIFICATION FOR
EXPENSES OF A WITNESS.  Notwithstanding
any other provision of this Agreement, to the fullest extent permitted by
applicable law, the Company

 

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shall indemnify Indemnitee against all Expenses
directly or indirectly incurred by or on behalf of Indemnitee if, by reason of
his Corporate Status, Indemnitee is a witness in any Action to which Indemnitee
is not a party.

 

7.             ADDITIONAL
INDEMNIFICATION.  Notwithstanding any limitation in
Sections 3, 4, or 5, the Company shall indemnify Indemnitee to the fullest
extent permitted by applicable law if Indemnitee is a party to or threatened to
be made a party to any Proceeding (including a Proceeding by or in the right of
the Company to procure a judgment in its favor) against all Expenses,
judgments, fines and amounts paid in settlement in connection with the
Proceeding; provided, that the Company shall have the right to consent
to any settlement, which consent shall not be unreasonably withheld.

 

8.             EXCLUSIONS.  The Company shall not be obligated under this
Agreement to make any indemnity in connection with any claim made against
Indemnitee:

 

(a)           for an accounting of profits made from the
purchase and sale (or sale and purchase) by Indemnitee of securities of the
Company within the meaning of Section 16(b) of the Exchange Act, or similar
provisions of other federal or state statutory law or common law; or

 

(b)           in connection with any Proceeding (or any
part of any Proceeding) initiated by Indemnitee, unless (i) such
indemnification is expressly required to be made by applicable law; (ii) the
Board authorized the Proceeding (or any part of any Proceeding) prior to its
initiation; or (iii) the Company provides the indemnification, in its sole
discretion, pursuant to the powers vested in the Company to the fullest extent
permitted by applicable law.

 

9.             ADVANCES OF EXPENSES.  Notwithstanding any provision of this
Agreement, to the fullest extent permitted by applicable law, the Company shall
advance the Expenses incurred by or on behalf of Indemnitee in connection with
any Proceeding within 20 days after the receipt by the Company of a statement
or statements requesting such advances from time to time, whether prior to or
after final disposition of any Proceeding. Advances shall be unsecured and
interest free, and made without regard to Indemnitee’s ability to repay the
expenses or ultimate entitlement to indemnification under the other provisions
of this Agreement. Advances shall include all reasonable Expenses incurred
pursuing an Action to enforce this right of advancement, including Expenses
incurred preparing and forwarding statements to the Company to support the
advances claimed. The Indemnitee shall qualify for advances solely upon the
execution and delivery to the Company of an undertaking to repay the advance to
the extent that it is ultimately determined that Indemnitee is not entitled to
be indemnified by the Company. This Section 9 shall not apply to any claim made
by Indemnitee for which indemnity is excluded pursuant to Section 8.

 

10.           PROCEDURE FOR
NOTIFICATION AND DEFENSE OF CLAIM.

 

(a)           Within 30 days after service of process of
Indemnitee relating to notice of the commencement of any Proceeding, Indemnitee
shall submit to the Company a written request, including such documentation and
information as is reasonably available to Indemnitee and is reasonably
necessary to determine whether and to what extent Indemnitee is entitled to
indemnification. The failure to notify the Company within such period will not
relieve the

 

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Company from any liability that
it may have to Indemnitee (i) under this Agreement except to the extent the
failure adversely affects the Company’s rights, legal position, ability to
defend or ability to obtain insurance coverage with respect to such Proceeding
or (ii) otherwise than under this Agreement. The Secretary of the Company shall
advise the Board in writing promptly upon receipt of such a request for
indemnification.

 

(b)           If the Company shall be obligated to pay the
Expenses in connection with any Proceeding against the Indemnitee, the Company
shall be entitled to assume and control the defense of such Proceeding (with
counsel consented to by the Indemnitee, which consent shall not be unreasonably
withheld), upon the delivery to the Indemnitee of written notice of its
election so to do. After delivery of such notice, consent to such counsel by the
Indemnitee and the retention of such counsel by the Company, the Company will
not be liable to the Indemnitee under this Agreement for any fees of separate counsel
subsequently incurred by the Indemnitee with respect to the same Proceeding, provided
that the reasonable fees and expenses of Indemnitee’s counsel shall be at the
expense of the Company if:

 

(i)            the employment of separate counsel by the
Indemnitee has been previously authorized by the Company;

 

(ii)           the Indemnitee or counsel selected by the Company
shall have concluded that there may be a conflict of interest between the
Company and the Indemnitee or among Indemnitees jointly represented in the
conduct of any such defense; or

 

(iii)          the Company shall not, in fact, have employed
counsel, to which Indemnitee has consented as aforesaid, to assume the defense
of such Proceeding.

 

(c)           The Company may participate in the Proceeding
at its own expense. The Company will not, without prior written consent of the
Indemnitee, effect any settlement of a claim in any threatened or pending
Proceeding unless such settlement solely involves the payment of money and
includes an unconditional release of the Indemnitee from all liability on any
claims that are or were threatened to be made against the Indemnitee in the
Proceeding.

 

11.           PROCEDURE UPON
APPLICATION FOR INDEMNIFICATION.

 

(a)           Upon written request by Indemnitee for
indemnification pursuant to the first sentence of Section 10(a), a
determination, if required by applicable law, with respect to Indemnitee’s entitlement
thereto shall be made in the specific case:

 

(i)            if a Change in Control has occurred, by
Independent Counsel in a written opinion to the Board, a copy of which shall be
delivered to Indemnitee; or

 

(ii)           if a Change in Control has not occurred,

 

(A)          by a majority vote of the Disinterested
Directors, even though less than a quorum of the Board,

 

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(B)           by a committee of Disinterested Directors
designated by a majority vote of the Disinterested Directors, even though less
than a quorum of the Board,

 

(C)           if there are no such Disinterested Directors
or, if such Disinterested Directors so direct, by Independent Counsel in a
written opinion to the Board, a copy of which shall be delivered to Indemnitee,
or

 

(D)          if so directed by the Board, by the
stockholders of the Company.

 

If it is so determined that
Indemnitee is entitled to indemnification, payment to Indemnitee shall be made
within10 days after such determination.

 

Indemnitee shall cooperate
with the person, persons or entity making such determination with respect to
Indemnitee’s entitlement to indemnification, including providing to such
person, persons or entity upon reasonable advance request any documentation or information
that is not privileged or otherwise protected from disclosure and reasonably
available to Indemnitee and reasonably necessary to such determination. Any Expenses
incurred by Indemnitee in so cooperating with the person, persons or entity
making such determination shall be borne by the Company (irrespective of the
determination as to Indemnitee’s entitlement to indemnification) and the
Company hereby indemnifies and agrees to hold Indemnitee harmless therefrom.

 

(b)           If the determination of entitlement to
indemnification is to be made by Independent Counsel, the Independent Counsel
shall be selected as follows.

 

(i)            If a Change in Control shall not have
occurred, the Independent Counsel shall be selected by the Board, and the
Company shall give written notice to Indemnitee advising him of the identity of
the Independent Counsel so selected.

 

(ii)           If a Change in Control shall have occurred,
the Independent Counsel shall be selected by Indemnitee (unless he shall
request that such selection be made by the Board, in which event the preceding
sentence shall apply), and Indemnitee shall give written notice to the Company
advising it of the identity of the Independent Counsel so selected.

 

In either event, Indemnitee or the Company, as the
case may be, may, within 10 days after such written notice of selection shall
have been given, deliver to the Company or to Indemnitee, as the case may be, a
written objection to such selection; provided, that such objection may
be asserted only on the ground that the Independent Counsel so selected does not
meet the requirements of “Independent Counsel” as defined in Section 2 of this
Agreement, and the objection shall set forth with particularity the factual
basis of such assertion. Absent a proper and timely objection, the person so
selected shall act as Independent Counsel. If such written objection is so made
and substantiated, the Independent Counsel so selected may not serve as
Independent Counsel unless and until such objection is withdrawn or a court has
determined that such objection is without merit. If, within 20 days after
submission by Indemnitee of a written request for indemnification pursuant to
Section 10(a) hereof, no Independent Counsel shall have been selected and not
objected to, either the Company or Indemnitee may petition a court of competent
jurisdiction for

 

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resolution of any objection
which shall have been made by the Company or Indemnitee to the other’s
selection of Independent Counsel and/or for the appointment as Independent
Counsel of a person selected by the Court or by such other person as the Court
shall designate, and the person with respect to whom all objections are so
resolved or the person so appointed shall act as Independent Counsel under
Section 11(a) hereof. Upon the due commencement of any judicial proceeding or
arbitration pursuant to Section 13(a) of this Agreement, Independent Counsel
shall be discharged and relieved of any further responsibility in such capacity
(subject to the applicable standards of professional conduct then prevailing).

 

12.           PRESUMPTIONS AND EFFECT
OF CERTAIN PROCEEDINGS.

 

(a)           In making a determination with respect to
entitlement to indemnification hereunder, the person or persons or entity
making such determination shall presume that Indemnitee is entitled to
indemnification under this Agreement if Indemnitee has submitted a request for
indemnification in accordance with Section 10(a) of this Agreement, and the
Company shall have the burden of proof to overcome that presumption in
connection with the making by any person, persons or entity of any
determination contrary to that presumption.

 

(b)           Neither the failure of the Company (including
by its directors or independent legal counsel) to have made a determination
prior to the commencement of any action pursuant to this Agreement that
indemnification is proper in the circumstances because Indemnitee has met the
applicable standard of conduct, nor an actual determination by the Company
(including by its directors or independent legal counsel) that Indemnitee has
not met such applicable standard of conduct, shall be a defense to the action
or create a presumption that Indemnitee has not met the applicable standard of
conduct.

 

(c)           If the person, persons or entity empowered or
selected to determine whether Indemnitee is entitled to indemnification shall
not have made a determination within 60 days after receipt by the Company of
the request therefor, the requisite determination of entitlement to
indemnification shall be deemed to have been made and Indemnitee shall be
entitled to such indemnification, absent a prohibition of such indemnification
under applicable law; provided, that

 

(i)            such 60-day period may be extended for a
reasonable time, not to exceed an additional 30 days, if the person, persons or
entity making the determination with respect to entitlement to indemnification
in good faith requires such additional time for the obtaining or evaluating of
documentation and/or information relating thereto; and

 

(ii)           the provisions of this Section 12(c) shall
not apply (1) if the determination of entitlement to indemnification is to be
made by the stockholders pursuant to Section 11(a) of this Agreement and if (A)
within 15 days after receipt by the Company of the request for such
determination the Board has resolved to submit such determination to the
stockholders for their consideration at an annual meeting thereof to be held
within 75 days after such receipt and such determination is made thereat, or
(B) a special meeting of stockholders is called within 15 days after such
receipt for the purpose of making such determination, such meeting is held for
such purpose within 60 days after having been so called and such

 

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determination is made
thereat, or (2) if the determination of entitlement to indemnification is made
by Independent Counsel pursuant to Section 11(a) of this Agreement.

 

(d)           The termination of a Proceeding or of any
claim, issue or matter therein, by judgment, order, settlement or conviction,
or upon a plea of nolo contendere or
its equivalent, shall not of itself adversely affect the right of Indemnitee to
indemnification or create a presumption that Indemnitee did not act in good
faith and in a manner which he reasonably believed to be in or not opposed to
the best interests of the Company or, with respect to any criminal Proceeding,
that Indemnitee had reasonable cause to believe that his conduct was unlawful.

 

(e)           Indemnitee shall be deemed to have acted in
good faith if Indemnitee’s action is based on the records or books of account
of the Enterprise, including financial statements, or on information supplied
to Indemnitee by the officers of the Enterprise in the course of their duties,
or on the advice of legal counsel for the Enterprise or on information or
records given or reports made to the Enterprise by an independent certified
public accountant or by an appraiser or other expert selected with the
reasonable care by the Enterprise. The provisions of this Section 12(e) shall
not be deemed to be exclusive or to limit in any way the other circumstances in
which the Indemnitee may be deemed to have met the applicable standard of
conduct set forth in this Agreement.

 

(f)            The knowledge and/or actions, or failure to
act, of any director, officer, agent or employee of any Enterprise shall not be
imputed to Indemnitee for purposes of determining the right to indemnification
under this Agreement.

 

13.           REMEDIES OF INDEMNITEE.

 

(a)           If

 

(i)            a determination is made pursuant to Section
11 of this Agreement that Indemnitee is not entitled to indemnification under
this Agreement,

 

(ii)           advancement of Expenses is not timely made
pursuant to Section 9 of this Agreement,

 

(iii)          no determination of entitlement to
indemnification shall have been made pursuant to Section 11(a) of this
Agreement within 45 days after receipt by the Company of the request for
indemnification,

 

(iv)          payment of indemnification is not made
pursuant to Section 5 or 6 or the last sentence of Section 11(a) of this
Agreement within 10 days after receipt by the Company of a written request
therefor, or

 

(v)           payment of indemnification pursuant to
Section 3, 4 or 7 of this Agreement is not made within 10 days after a
determination has been made that Indemnitee is entitled to indemnification,

 

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Indemnitee shall be entitled
to an adjudication by a court of his entitlement to such indemnification or
advancement of Expenses.  Alternatively,
Indemnitee, at his option, may seek an award in arbitration to be conducted by
a single arbitrator pursuant to the Commercial Arbitration Rules of the
American Arbitration Association. The Company shall not oppose Indemnitee’s
right to seek any such adjudication or award in arbitration.

 

(b)           If a determination shall have been made
pursuant to Section 11(a) of this Agreement that Indemnitee is not entitled to
indemnification, any judicial proceeding or arbitration commenced pursuant to
this Section 13 shall be conducted in all respects as a de novo trial, or arbitration, on the
merits and Indemnitee shall not be prejudiced by reason of that adverse
determination. In any judicial proceeding or arbitration commenced pursuant to
this Section 13, the Company shall have the burden of proving Indemnitee is not
entitled to indemnification or advancement of Expenses, as the case may be.

 

(c)           If a determination shall have been made
pursuant to Section 11(a) of this Agreement that Indemnitee is entitled to
indemnification, the Company shall be bound by such determination in any
judicial proceeding or arbitration commenced pursuant to this Section 13,
absent a prohibition of such indemnification under applicable law.

 

(d)           The Company shall be precluded from asserting
in any judicial proceeding or arbitration commenced pursuant to this Section 13
that the procedures and presumptions of this Agreement are not valid, binding
and enforceable and shall stipulate in any such court or before any such
arbitrator that the Company is bound by all the provisions of this Agreement.
The Company shall indemnify Indemnitee against any and all Expenses and, if
requested by Indemnitee, shall (within 10 days after receipt by the Company of
a written request therefor) advance, to the extent not prohibited by Section
402 of the Sarbanes-Oxley Act of 2002 or other applicable law, such expenses to
Indemnitee, which are incurred by Indemnitee in connection with any Action
brought by Indemnitee for indemnification or advance of Expenses from the
Company under this Agreement or under any directors’ and officers’ liability
insurance policies maintained by the Company, regardless of whether Indemnitee
ultimately is determined to be entitled to such indemnification, advancement of
Expenses or insurance recovery.

 

14.           NON-EXCLUSIVITY;
SURVIVAL OF RIGHTS; SUBROGATION.

 

(a)           The rights provided by this Agreement shall
not be deemed exclusive of any other rights to which Indemnitee may at any time
be entitled under applicable law, the Company’s Certificate of Incorporation,
the Company’s Bylaws, any agreement, a vote of stockholders or a resolution of
directors, or otherwise. No amendment, alteration or repeal of this Agreement
or of any provision hereof shall limit or restrict any right of Indemnitee
under this Agreement in respect of any action taken or omitted by such
Indemnitee prior to such amendment, alteration or repeal. To the extent that a
change in Delaware law, whether by statute or judicial decision, permits
greater indemnification or advancement of Expenses than would be afforded
currently under the Company’s Bylaws and this Agreement, it is the intent of
the parties hereto that Indemnitee shall enjoy by this Agreement the greater
benefits so afforded by such change. No right or remedy herein conferred is
intended to be exclusive of any other right or remedy, and every other right
and remedy shall be cumulative and in addition to every other right and remedy
given hereunder or now or hereafter existing at law or in equity or otherwise.

 

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The assertion or employment
of any right or remedy hereunder, or otherwise, shall not prevent the
concurrent assertion or employment of any other right or remedy.

 

(b)           To the extent that the Company maintains an
insurance policy or policies providing liability insurance for directors,
officers, employees, or agents of the Company or of any other corporation,
partnership, joint venture, trust, employee benefit plan or other enterprise
which such person serves at the request of the Company, Indemnitee shall be an
insured under such policy or policies in accordance with its or their terms to
the maximum extent of the coverage available for any such director, officer,
employee or agent under such policy or policies. The Company agrees to promptly
notify Indemnitee of any material change in any such policy. The Company may,
but will not be required to, create a trust fund, grant a security interest or
use other means, including, without limitation, a letter of credit, to ensure
the payment of such amounts as may be necessary to satisfy the obligations to
indemnify and advance Expenses pursuant to this Agreement. If, at the time of
the receipt of a notice of a claim pursuant to the terms hereof, the Company
has director and officer liability insurance in effect, the Company shall give
prompt notice of the commencement of such proceeding to the insurers in
accordance with the procedures set forth in the respective policies. The
Company and Indemnitee shall mutually cooperate and take all reasonable actions
to cause such insurers to pay on behalf of the insureds, all amounts payable as
a result of such proceeding in accordance with the terms of all applicable
policies.

 

(c)           The Company shall be subrogated to the extent
of any payment under this Agreement to all of the rights of recovery of
Indemnitee, who shall execute all papers required and take all action necessary
to secure such rights, including execution of such documents as are necessary
to enable the Company to bring suit to enforce such rights.

 

(d)           The Company shall not be liable under this
Agreement to make any payment of amounts otherwise indemnifiable (or for which
advancement is provided hereunder) hereunder if and to the extent that
Indemnitee has otherwise actually received such payment under any insurance
policy, the Certificate of Incorporation, the Bylaws, contract, agreement or
otherwise.

 

(e)           The Company’s obligation to indemnify or
advance Expenses hereunder to Indemnitee who is or was serving at the request
of the Company as a director, officer, employee or agent of any Enterprise
shall be reduced by any amount Indemnitee has actually received as
indemnification or advancement of expenses from such other Enterprise.

 

15.           DURATION OF AGREEMENT,
SUCCESSORS AND ASSIGNS.  This Agreement
shall continue until and terminate upon the later of: (a) ten years after
Indemnitee has ceased to occupy any positions or have any relationships
described in Section 1 of this Agreement; and (b) the final termination of all
Actions pending or threatened during such period to which Indemnitee may be
subject by reason of Indemnitee’s Corporate Status or by reason of anything
done or not done by Indemnitee in any such capacity. This Agreement shall be
binding upon the Company and its successors and assigns and shall inure to the
benefit of and be enforceable by Indemnitee and his personal and legal
representatives, heirs, executors, administrators, distributees, legatees and
other successors.

 

11

 

16.           SEVERABILITY.  If any provision or provisions of this
Agreement or any application of any provision hereof shall be held to be
invalid, illegal or unenforceable for any reason whatsoever: (a) the validity,
legality and enforceability of the remaining provisions of this Agreement
(including without limitation, each portion of any Section of this Agreement
containing any such provision held to be invalid, illegal or unenforceable,
that is not itself invalid, illegal or unenforceable) shall not in any way be
affected or impaired thereby and shall remain enforceable to the fullest extent
permitted by law; (b) such provision or provisions shall be deemed reformed to
the extent necessary to conform to applicable law and to give the maximum
effect to the intent of the parties hereto; and (c) to the fullest extent
possible, the provisions of this Agreement (including, without limitation, each
portion of any Section of this Agreement containing any such provision held to
be invalid, illegal or unenforceable, that is not itself invalid, illegal or
unenforceable) shall be construed so as to give effect to the intent manifested
thereby.

 

17.           ENFORCEMENT.

 

(a)           The Company expressly confirms and agrees
that it has entered into this Agreement and assumed the obligations imposed on
it hereby to induce Indemnitee to serve as a director of the Company, and the
Company acknowledges that Indemnitee is relying upon this Agreement in serving
as a director of the Company.

 

(b)           This Agreement constitutes the entire
agreement between the parties hereto with respect to the subject matter hereof
and supersedes all prior agreements and understandings, oral, written and
implied, between the parties hereto with respect to the subject matter hereof; provided,
that this Agreement is a supplement to and in furtherance of the Certificate of
Incorporation of the Company, the Bylaws of the Company and applicable law, and
shall not be deemed a substitute therefor, nor to diminish or abrogate any
rights of Indemnitee thereunder.

 

18.           MODIFICATION AND WAIVER.  No supplement, modification or amendment of
this Agreement shall be binding unless executed in writing by the parties
thereto. No waiver of any of the provisions of this Agreement shall be deemed
or shall constitute a waiver of any other provisions of this Agreement nor
shall any waiver constitute a continuing waiver.

 

19.           NOTICE BY INDEMNITEE.  Indemnitee agrees promptly to notify the
Company in writing upon being served with any summons, citation, subpoena,
complaint, indictment, information or other document relating to any Proceeding
or matter which may be subject to indemnification or advancement of Expenses
covered hereunder. The failure of Indemnitee to so notify the Company shall not
relieve the Company of any obligation which it may have to the Indemnitee under
this Agreement or otherwise.

 

20.           NOTICES.  Any notices or other
communications required or permitted under, or otherwise in connection with
this Agreement, shall be in writing and shall be deemed to have been duly given
when delivered in person or upon confirmation of receipt when transmitted by
facsimile transmission (but only if followed by transmittal by national
overnight courier
or hand for delivery on the next business day) or on receipt after dispatch by
registered or certified mail, postage prepaid, addressed, or on the next
business day if transmitted by national overnight

 

12

 

courier, in each case as follows: (i) if to the
Company, directed to the Chief Executive Officer and General Counsel at its
principal place of business; and (ii) if to the Indemnitee, to such address as
set forth below their name on the signature page to this Agreement; or such
other persons or addresses as shall be furnished in writing by the Indemnitee
to the Company.

 

21.           CONTRIBUTION.  To the fullest extent permissible by
applicable law, if the indemnification provided for in this Agreement is
unavailable to Indemnitee for any reason whatsoever, the Company, in lieu of
indemnifying Indemnitee, shall contribute to the amount incurred by Indemnitee,
whether for judgments, fines, penalties, excise taxes, amounts paid or to be
paid in settlement and/or for Expenses, in connection with any claim relating
to an indemnifiable event under this Agreement, in such proportion as is deemed
fair and reasonable in light of all of the circumstances of such Proceeding in
order to reflect (i) the relative benefits received by the Company and
Indemnitee as a result of the event(s) and/or transaction(s) giving cause to
such Proceeding; and/or (ii) the relative fault of the Company (and its
directors, officers, employees and agents) and Indemnitee in connection with
such event(s) and/or transaction(s).

 

22.           APPLICABLE LAW AND
CONSENT TO JURISDICTION.  This Agreement
and the legal relations among the parties shall be governed by, and construed
and enforced in accordance with, the laws of the State of Delaware, without
regard to its conflict of laws rules. Except with respect to any arbitration
commenced by Indemnitee pursuant to Section 13 of this Agreement, the Company
and Indemnitee hereby irrevocably and unconditionally (i) agree that any action
or proceeding arising out of or in connection with this Agreement shall be
brought only in the Chancery Court of the State of Delaware (the “Delaware
Court”), and not in any other state or federal court in the United States of
America or any court in any other country, (ii) consent to submit to the
exclusive jurisdiction of the Delaware Court for purposes of any action or
proceeding arising out of or in connection with this Agreement, (iii) appoint,
to the extent such party is not otherwise subject to service of process in the
State of Delaware, irrevocably Corporation Service Company, 2711 Centreville
Road, Suite 400, Wilmington, Delaware 19808 as its agent in the State of
Delaware as such party’s agent for acceptance of legal process in connection
with any such action or proceeding against such party with the same legal force
and validity as if served upon such party personally within the State of
Delaware, (iv) waive any objection to the laying of venue of any such action or
proceeding in the Delaware Court, and (v) waive, and agree not to plead or to
make, any claim that any such action or proceeding brought in the Delaware
Court has been brought in an improper or inconvenient forum.

 

23.           IDENTICAL COUNTERPARTS.  This Agreement may be executed in one or more
counterparts, each of which shall for all purposes be deemed to be an original
but all of which together shall constitute one and the same Agreement. Only one
such counterpart signed by the party against whom enforceability is sought
needs to be produced to evidence the existence of this Agreement.

 

24.           MISCELLANEOUS.  Use of the masculine pronoun shall be deemed
to include usage of the feminine pronoun where appropriate. The headings of the
paragraphs of this Agreement are inserted for convenience only and shall not be
deemed to constitute part of this Agreement or to affect the construction
thereof.

 

13

 

IN WITNESS WHEREOF, the parties
have caused this Agreement to be signed as of the day and year first above
written.

 

 

	
  Maidenform Brands, Inc.

  	
  Indemnitee

  
	
   

  	
   

  
	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
   

  
	
   

  	
  Thomas J. Ward

  	
   

  	
   

  
	
   

  	
  Chief Executive Officer

  	
  Name:

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Address:

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
						

 

14Exhibit 10.16

FORM OF

SALES RESTRICTION AGREEMENT

This
SALES RESTRICTION AGREEMENT (this “Agreement”) is made as of
July [___], 2005 between Maidenform Brands, Inc., a Delaware corporation
(the “Company”), and ___________, an [individual resident in] [entity
organized under the laws of] _________ (the “Stockholder”).

RECITALS:

WHEREAS,
the Company and the Stockholder wish to arrange for the orderly sale of shares
of Common Stock of the Company (“Common Stock”) held by the Stockholder
and certain other stockholders of the Company (together with the Stockholder,
the “Covered Stockholders”), each of whom are entering into a similar
agreement with the Company on the date hereof (the “Other Agreements”).

AGREEMENT:

NOW,
THEREFORE, the parties hereto agree as follows:

1.             Sale
Restriction.

(a)           Except
as provided in Sections 1(b) and 2 below, the Stockholder shall not, without
the prior written consent of the Company,

(i)            sell, offer to sell, contract or
agree to sell, grant any option to purchase or otherwise dispose of or agree to
dispose of, directly or indirectly (collectively, “Transfer”), any
Common Stock Equivalents, or

 

(ii)           enter into any swap or other
arrangement that transfers to another, in whole or in part, any of the economic
consequences of ownership of Common Stock Equivalents, whether any such
transaction is to be settled by delivery of Common Stock Equivalents, in cash
or otherwise.

 

In furtherance of the foregoing, the Company
and its transfer agent and registrar are hereby authorized to decline to make
any transfer of shares of Common Stock if such transfer would constitute a
violation or breach of this Agreement.

 

(b)           The restrictions contained in clause
(a) above and Section 2 below shall not apply to:

 

(i)            Transfers to the Company,

 

(ii)           Transfers registered under the
Securities Act of 1933 (the “Securities Act”),

 

 

(iii)          Transfers made pursuant to a
broker-facilitated cashless exercise, pursuant to which the Stockholder sells
enough shares of common stock underlying a stock option in order to generate
the exercise price for all stock options exercised that day,

 

(iv)          Transfers made in order to cover the
tax liability generated from exercising stock options, pursuant to which the
Stockholder sells enough shares of common stock to cover any taxes that are
owed by the Stockholder resulting from such option exercise,

 

(v)           Transfers made pursuant to a sale of
the Company (pursuant to a merger, tender or exchange offer, going-private
transaction or similar transaction),

 

(vi)          pledges of all or substantially all of
a Covered Stockholder’s assets in connection with a bona fide financing
transaction,

 

(vii)         distributions to affiliates, partners,
members or stockholders of (x) a Covered Stockholder that is an entity or (y)
an affiliate of a Covered Stockholder that is an entity,

 

(viii)        bona fide gifts, provided the recipient
thereof agrees in writing  to be bound by
the terms of this Agreement, or

 

(ix)           dispositions to any trust, family
limited partnership or family limited liability company for the direct or
indirect benefit of a Covered Stockholder and/or the immediate family of a
Covered Stockholder, provided that the transferee agrees in writing to be bound
by the terms of this Agreement.

 

2.             Volume Limitations.  Subject to any restrictions under applicable
law, the Covered Persons may Transfer an aggregate number of shares of Common
Stock during any three-month period that does not exceed the amount specified
in Rule 144(e)(1) promulgated under the Securities Act (the “Aggregate
Volume Limitation”), regardless of whether the Covered Persons would
otherwise be subject to such rule.  In
furtherance of the foregoing, subject to any restrictions under applicable law:

(a)           The
Stockholder may Transfer an aggregate number of shares of Common Stock during
any three-month period that does not exceed the quotient of (i) the Percentage
Interest on the first day of such three-month period and (ii) the Aggregate
Volume Limitation for such three-month period (the “Individual Volume
Limitation”).

(b)           If
at any time the Stockholder wishes to Transfer an aggregate number of shares of
Common Stock during any three-month period that exceeds the Individual Volume
Limitation:

(i)            The
Stockholder shall deliver written notice (the “Notice”) to the Company
and each other Covered Stockholder specifying the number of shares of Common
Stock the Stockholder wishes to Transfer during such three-month period.

 

2

(ii)           Within
five Trading Days following receipt of the Notice, each other Covered
Stockholder shall deliver written notice to the Company and each other Covered
Stockholder (including the Stockholder) specifying the number of shares of
Common Stock such Covered Stockholder may wish to Transfer during such
three-month period. If the other Covered Stockholder fails to deliver such
notice, it shall be deemed to deliver a notice with respect to all of its
shares of Common Stock.

(iii)          If
the Covered Stockholders wish to Transfer a number of shares of Common Stock
that in the aggregate do not exceed the Aggregate Volume Limitation during such
three-month period, then the Stockholder may Transfer the number of shares of
Common Stock covered by the Notice during such period.

(iv)          If
the Covered Stockholders wish to Transfer a number of shares of Common Stock
that in the aggregate exceeds the Aggregate Volume Limitation during such
three-month period, then the Stockholder may Transfer up to the number of
shares of Common Stock equal to the lesser of (A) the number of shares of
Common Stock covered by the Notice, and (B) the Individual Volume Limitation.

(c)           The
provisions of this Section 2 shall apply on a rolling basis during successive
three-month periods.

3.             Definitions.

(a)           “Common Stock Equivalents”
means any shares of Common Stock or any securities convertible into, or
exercisable or exchangeable for, Common Stock, or warrants or other rights to
purchase Common Stock.

 

(b)           “Employment Contract” means
the Employment Agreement, dated as of May 11, 2004, between Maidenform, Inc.
and the Stockholder, as amended from time to time.

 

(c)           “Percentage Interest” means
(i) the aggregate number of shares of Common Stock then held by the Stockholder
(and transferees of the Stockholder covered by Section 1(b)(iv)-(vii) above),
divided by (ii) the aggregate number of shares of Common Stock then held by all
Covered Stockholders (including transferees of the Covered Stockholders covered
by Section 1(b)(vii)-(ix) above).

 

(d)           “Stock Option Plan” means the
Company’s 2005 Stock Incentive Plan.

 

(e)           “Trading Day” means any day on
which trading occurs on the New York Stock Exchange.

 

4.             Miscellaneous.

(a)           Insider
Trading.  The Stockholder
acknowledges and agrees that all Transfers of Common Stock Equivalents, whether
pursuant to this Agreement or otherwise, shall in all respects comply with the
Company’s Insider Trading Policy and all applicable laws, rules, 

 

3

regulations, policies, by-laws and ordinances of any
governmental authority or self-regulatory organization.

(b)           Termination.  This Agreement shall terminate and be of no
further force and effect:

(i)            91
days after the aggregate number Common Share Equivalents held by all Covered
Stockholders shall be less than 5% of the number of shares of Common Stock
outstanding, as shown by the most recent report or statement published by the
Company,

(ii)           [in
the agreements for Thomas J. Ward and Maurice Reznik] if the Stockholder’s
employment with the Company is terminated (A) by the Company without Cause (as
defined in the Stock Option Plan), (B) by the Stockholder for Good Reason (as
defined in the Employment Agreement), (C) upon expiration of the term of the
Employment Agreement unless such term is extended or a replacement agreement is
entered into, or (D) due to the Stockholder’s death or Disability (as defined
in the Stock Option Plan),

(iii)          [in
the agreements for Thomas J. Ward and Maurice Reznik] upon the termination of
the Other Agreement between the Company and Ares Corporate Opportunities Fund,
L.P., or

(iv)          [in
the agreement for Ares Corporate Opportunities Fund, L.P.] upon the termination
of the Other Agreement between the Company and Thomas J. Ward, or

(v)           upon
the mutual agreement of the Company (at the direction of the Board of
Directors) and the Stockholder.

(c)           Amendment;
Waiver.  Any provision of this
Agreement may be amended only with the written consent of the Company (at the
direction of the Board of Directors) and each of the Covered Stockholders.  The observance of any provision of this
Agreement may be waived (either generally or in a particular instance and
either retroactively or prospectively) only with the written consent of the
party to be charged.  To the extent that
any Covered Stockholder is released from the restrictions of this Agreement or an
Other Agreement, each other Covered Stockholder will be similarly released on a
pro rata or other equitable basis (as determined in good faith by the Board of
Directors).

(d)           Entire
Agreement.  This Agreement
constitutes the full and entire understanding and agreement among the parties
with regard to the subject matter hereof. 
Nothing in this Agreement, express or implied, is intended to confer
upon any third party any rights, remedies, obligations, or liabilities under or
by reason of this Agreement, except as expressly provided herein.

(e)           Governing
Law; Jurisdiction; Waiver of Jury Trial. 
This Agreement shall be governed by and construed under the laws of the
State of New York as applied to agreements among New York residents entered
into and to be performed entirely within New York.  The jurisdiction and venue in any action
brought by any party hereto pursuant to this Agreement shall properly lie in
any federal or state court located in the State and City of New York.  By execution and delivery of this Agreement,
each party hereto irrevocably submits to the jurisdiction of such 

 

4

courts for himself or itself and in respect of his
or its property with respect to such action. 
The parties irrevocably agree that venue would be proper in such court,
and hereby waive any objection that such court is an improper or inconvenient
forum for the resolution of such action. 
EACH OF THE
PARTIES HERETO HEREBY KNOWINGLY, VOLUNTARILY AND INTENTIONALLY WAIVES ANY RIGHTS
IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION BASED HEREON OR
ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT.

(f)            Assignment.  No party may assign, delegate or otherwise
transfer any of its rights or obligations under this Agreement without the
consent of the other party hereto.

(g)           Notices.  All notices and other communications
hereunder shall be in writing and mailed or delivered (personally, by overnight
courier or by telecopier), if to the Company, at its address at 154 Avenue E,
Bayonne, NJ 07002, Attn:  Steven N.
Masket, Esq., General Counsel, Fax: (201) 436-9506, and if to the Stockholder,
at his address set forth on the signature page hereto; or as to each party, at
such other address as shall be designated by such party in a written notice to
the other party.  All such notices and
other communications shall be deemed to have been duly given (x) on the date of
delivery, if delivered personally or by telecopier, receipt confirmed, (y) on
the following business day, if delivered by a recognized overnight courier
service, or (z) three days after mailing, if sent by registered or certified
mail, return receipt requested, postage prepaid, in each case, to the party to
whom it is directed.

(h)           Severability.  If any provision of this Agreement is held to
be invalid or unenforceable in any respect, the validity and enforceability of
the remaining terms and provisions of this Agreement shall not in any way be
affected or impaired thereby and the parties will attempt to agree upon a valid
and enforceable provision that is a reasonable substitute therefor, and upon so
agreeing, shall incorporate such substitute provision in this Agreement.

(i)            Titles
and Subtitles.  The headings of the
sections of this Agreement have been inserted for convenience of reference only
and shall in no way restrict or modify any of the terms or provisions hereof.

(j)            Counterparts.  This Agreement may be executed in any number
of counterparts, each of which shall be an original, but all of which together
shall constitute one instrument. 
Facsimile counterpart signatures shall be acceptable.

[END OF TEXT. 
SIGNATURE PAGES FOLLOW.]

 

5

 

                                IN WITNESS
WHEREOF, the parties hereto have executed this Sales Restriction Agreement as
of the date first above written.

	
   

  	
   

  	
  THE
  COMPANY:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  MAIDENFORM BRANDS, INC.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
   

  	
  Name:

  	
  Steven N. Masket

  
	
   

  	
   

  	
   

  	
  Title:

  	
  General Counsel

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  STOCKHOLDER:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Address for Notices:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  [Insert Address]

  

 

 

6

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