Document:

exv10w9

 

Exhibit 10.9

OMEROS CORPORATION

2008 EQUITY INCENTIVE PLAN

NOTICE OF GRANT OF STOCK OPTION

     Unless otherwise defined herein, the terms defined in the Omeros Corporation 2008 Equity
Incentive Plan (the “Plan”) will have the same defined meanings in this Notice of Grant of Stock
Option (the “Notice of Grant”) and Terms and Conditions of Stock Option Grant, attached hereto as
Exhibit A (together, the “Agreement”).

	 	 	 	 	 
	Participant:
	 	 	 	 
	 

	 	 

	 	 
	Address:
	 	 	 	 
	 

	 	 

	 	 
	 
	 	 	 	 
	 

	 	 

	 	 

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

	 	 	 	 	 
	Grant Number

	 	 

	 	 
	 
	 	 	 	 
	Date of Grant

	 	 

	 	 
	 
	 	 	 	 
	Vesting Commencement Date

	 	 

	 	 
	 
	 	 	 	 
	Number of Shares Granted

	 	 

	 	 
	 
	 	 	 	 
	Exercise Price per Share

	 	$
 

	 	 
	 
	 	 	 	 
	Total Exercise Price

	 	$
 

	 	 
	 
	 	 	 	 
	Type of Option

	 	                     Incentive Stock Option	 	 
	 
	 	 	 	 
	 

	 	                     Nonstatutory Stock Option	 	 
	 
	 	 	 	 
	Term/Expiration Date
	 	 	 	 
	 

	 	 	 	 
	 
	 	 	 	 
	Vesting Schedule:
	 	 	 	 

     Subject to accelerated vesting as set forth below or in the Plan, this Option will be
exercisable, in whole or in part, in accordance with the following schedule:

                                                                 

 

 

     Termination Period:

     This Option will be exercisable for                      after Participant ceases to be a Service
Provider, unless such termination is due to Participant’s death or Disability, in which case this
Option will be exercisable for                      after Participant ceases to be a Service Provider.
Notwithstanding the foregoing, in no event may this Option be exercised after the Term/Expiration
Date as provided above and may be subject to earlier termination as provided in Section 13 of the
Plan.

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

	 	 	 
	PARTICIPANT

	 	OMEROS CORPORATION
	 
	 	 
	 

	 	 
	Signature

	 	By
	 
	 	 
	 

	 	 
	Print Name

	 	Title
	 
	 	 
	Address:
	 	 
	 
	 	 
	 
	 	 
	 
	 	 
	 
	 	 

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EXHIBIT A

TERMS AND CONDITIONS OF STOCK OPTION GRANT

     1. Grant. The Company hereby grants to the Participant named in the Notice of Grant
(the “Participant”) an option (the “Option”) to purchase the number of Shares, as set forth in the
Notice of Grant, at the exercise price per Share set forth in the Notice of Grant (the “Exercise
Price”), subject to all of the terms and conditions in this Agreement and the Plan, which is
incorporated herein by reference. Subject to Section 18(c) of the Plan, in the event of a conflict
between the terms and conditions of the Plan and the terms and conditions of this Agreement, the
terms and conditions of the Plan will prevail.

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

     2. Vesting Schedule. Except as provided in Section 3, the Option awarded by this
Agreement will vest in accordance with the vesting provisions set forth in the Notice of Grant.
Shares scheduled to vest on a certain date or upon the occurrence of a certain condition will not
vest in Participant in accordance with any of the provisions of this Agreement, unless Participant
will have been continuously a Service Provider from the Date of Grant until the date such vesting
occurs.

     3. Administrator Discretion. The Administrator, in its discretion, may accelerate the
vesting of the balance, or some lesser portion of the balance, of the unvested Option at any time,
subject to the terms of the Plan. If so accelerated, such Option will be considered as having
vested as of the date specified by the Administrator.

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

          This Option is exercisable by delivery of an exercise notice, in the form attached as
Exhibit B (the “Exercise Notice”) or in a manner and pursuant to such procedures as the
Administrator may determine, which will state the election to exercise the Option, the number of
Shares in respect of which the Option is being exercised (the “Exercised Shares”), and such other
representations and agreements as may be required by the Company pursuant to the provisions of the
Plan. The Exercise Notice will be completed by Participant and delivered to the Company. The
Exercise Notice will be accompanied by payment of the aggregate Exercise Price as to all Exercised
Shares together with any applicable tax withholding. This Option will be deemed to be exercised
upon receipt by the Company of such fully executed Exercise Notice accompanied by such aggregate
Exercise Price.

     5. Method of Payment. Payment of the aggregate Exercise Price will be by any of the
following, or a combination thereof, at the election of Participant:

          (a) cash;

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          (b) check; or

          (c) consideration received by the Company under a formal cashless exercise program adopted by
the Company in connection with the Plan.

     6. Tax Obligations.

          (a) Withholding of Taxes. Notwithstanding any contrary provision of this Agreement,
no certificate representing the Shares will be issued to Participant, unless and until satisfactory
arrangements (as determined by the Administrator) will have been made by Participant with respect
to the payment of income, employment and other taxes which the Company determines must be withheld
with respect to such Shares. To the extent determined appropriate by the Company in its
discretion, it will have the right (but not the obligation) to satisfy any tax withholding
obligations by reducing the number of Shares otherwise deliverable to Participant. If Participant
fails to make satisfactory arrangements for the payment of any required tax withholding obligations
hereunder at the time of the Option exercise, Participant acknowledges and agrees that the Company
may refuse to honor the exercise and refuse to deliver Shares if such withholding amounts are not
delivered at the time of exercise.

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

          (c) Code Section 409A. Under Code Section 409A, an option that vests after December
31, 2004 that was granted with a per Share exercise price that is determined by the Internal
Revenue Service (the “IRS”) to be less than the Fair Market Value of a Share on the date of grant
(a “Discount Option”) may be considered “deferred compensation.” A Discount Option may result in
(i) income recognition by Participant prior to the exercise of the option, (ii) an additional
twenty percent (20%) federal income tax, and (iii) potential penalty and interest charges. The
Discount Option may also result in additional state income, penalty and interest charges to the
Participant. Participant acknowledges that the Company cannot and has not guaranteed that the IRS
will agree that the per Share exercise price of this Option equals or exceeds the Fair Market Value
of a Share on the Date of Grant in a later examination. Participant agrees that if the IRS
determines that the Option was granted with a per Share exercise price that was less than the Fair
Market Value of a Share on the date of grant, Participant will be solely responsible for
Participant’s costs related to such a determination.

     7. Rights as Shareholder. Neither Participant nor any person claiming under or
through Participant will have any of the rights or privileges of a Shareholder of the Company in
respect of any Shares deliverable hereunder unless and until certificates representing such Shares
will have been issued, recorded on the records of the Company or its transfer agents or registrars,
and delivered to Participant. After such issuance, recordation and delivery, Participant will have
all the

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rights of a Shareholder of the Company with respect to voting such Shares and receipt of
dividends and distributions on such Shares.

     8. No Guarantee of Continued Service. PARTICIPANT ACKNOWLEDGES AND AGREES THAT THE
VESTING OF SHARES PURSUANT TO THE VESTING SCHEDULE HEREOF IS EARNED ONLY BY CONTINUING AS A SERVICE
PROVIDER AT THE WILL OF THE COMPANY (OR THE PARENT OR SUBSIDIARY EMPLOYING OR RETAINING
PARTICIPANT) AND NOT THROUGH THE ACT OF BEING HIRED, BEING GRANTED THE OPTION OR ACQUIRING SHARES
HEREUNDER. PARTICIPANT FURTHER ACKNOWLEDGES AND AGREES THAT THIS AGREEMENT, THE TRANSACTIONS
CONTEMPLATED HEREUNDER AND THE VESTING SCHEDULE SET FORTH HEREIN DO NOT CONSTITUTE AN EXPRESS OR
IMPLIED PROMISE OF CONTINUED ENGAGEMENT AS A SERVICE PROVIDER FOR THE VESTING PERIOD, FOR ANY
PERIOD, OR AT ALL, AND WILL NOT INTERFERE IN ANY WAY WITH PARTICIPANT’S RIGHT OR THE RIGHT OF THE
COMPANY (OR THE PARENT OR SUBSIDIARY EMPLOYING OR RETAINING PARTICIPANT) TO TERMINATE PARTICIPANT’S
RELATIONSHIP AS A SERVICE PROVIDER AT ANY TIME, WITH OR WITHOUT CAUSE.

     9. Address for Notices. Any notice to be given to the Company under the terms of this
Agreement will be addressed to the Company at Omeros Corporation, 1420 Fifth Avenue, Suite 2600,
Seattle, Washington 98101, or at such other address as the Company may hereafter designate in
writing.

     10. Grant is Not Transferable. This Option may not be transferred in any manner
otherwise than by will or by the laws of descent or distribution and may be exercised during the
lifetime of Participant only by Participant.

     11. Binding Agreement. Subject to the limitation on the transferability of this grant
contained herein, this Agreement will be binding upon and inure to the benefit of the heirs,
legatees, legal representatives, successors and assigns of the parties hereto.

     12. Additional Conditions to Issuance of Stock. If at any time the Company will
determine, in its discretion, that the listing, registration or qualification of the Shares upon
any securities exchange or under any state or federal law, or the consent or approval of any
governmental regulatory authority is necessary or desirable as a condition to the issuance of
Shares to Participant (or his or her estate), such issuance will not occur unless and until such
listing, registration, qualification, consent or approval will have been effected or obtained free
of any conditions not acceptable to the Company. The Company will make all reasonable efforts to
meet the requirements of any such state or federal law or securities exchange and to obtain any
such consent or approval of any such governmental authority. Assuming such compliance, for income
tax purposes the Exercised Shares will be considered transferred to Participant on the date the
Option is exercised with respect to such Exercised Shares.

     13. Plan Governs. This Agreement is subject to all terms and provisions of the Plan.
In the event of a conflict between one or more provisions of this Agreement and one or more
provisions

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of the Plan, the provisions of the Plan will govern. Capitalized terms used and not defined
in this Agreement will have the meaning set forth in the Plan.

     14. Administrator Authority. The Administrator will have the power to interpret the
Plan and this Agreement and to adopt such rules for the administration, interpretation and
application of the Plan as are consistent therewith and to interpret or revoke any such rules
(including, but not limited to, the determination of whether or not any Shares subject to the
Option have vested). All actions taken and all interpretations and determinations made by the
Administrator in good faith will be final and binding upon Participant, the Company and all other
interested persons. No member of the Administrator will be personally liable for any action,
determination or interpretation made in good faith with respect to the Plan or this Agreement.

     15. Electronic Delivery. The Company may, in its sole discretion, decide to deliver
any documents related to Options awarded under the Plan or future Options that may be awarded under
the Plan by electronic means or request Participant’s consent to participate in the Plan by
electronic means. Participant hereby consents to receive such documents by electronic delivery and
agrees to participate in the Plan through any on-line or electronic system established and
maintained by the Company or another third party designated by the Company.

     16. Captions. Captions provided herein are for convenience only and are not to serve
as a basis for interpretation or construction of this Agreement.

     17. Agreement Severable. In the event that any provision in this Agreement will be
held invalid or unenforceable, such provision will be severable from, and such invalidity or
unenforceability will not be construed to have any effect on, the remaining provisions of this
Agreement.

     18. Modifications to the Agreement. This Agreement constitutes the entire
understanding of the parties on the subjects covered. Participant expressly warrants that he or
she is not accepting this Agreement in reliance on any promises, representations, or inducements
other than those contained herein. Modifications to this Agreement or the Plan can be made only in
an express written contract executed by a duly authorized officer of the Company. Notwithstanding
anything to the contrary in the Plan or this Agreement, the Company reserves the right to revise
this Agreement as it deems necessary or advisable, in its sole discretion and without the consent
of Participant, to comply with Code Section 409A or to otherwise avoid imposition of any additional
tax or income recognition under Code Section 409A in connection to this Option.

     19. Amendment, Suspension or Termination of the Plan. By accepting this Award,
Participant expressly warrants that he or she has received an Option under the Plan, and has
received, read and understood a description of the Plan. Participant understands that the Plan is
discretionary in nature and may be amended, suspended or terminated by the Company at any time.

     20. Governing Law. This Agreement will be governed by the laws of the State of
Washington, without giving effect to the conflict of law principles thereof. For purposes of
litigating any dispute that arises under this Option or this Agreement, the parties hereby submit
to and consent to the jurisdiction of the State of Washington, and agree that such litigation will
be conducted in the

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courts of King County, Washington, or the federal courts for the United States for the Western
District of Washington, and no other courts, where this Option is made and/or to be performed.

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EXHIBIT B

OMEROS CORPORATION

2008 EQUITY INCENTIVE PLAN

EXERCISE NOTICE

Omeros Corporation

1420 Fifth Avenue, Suite 2600

Seattle, Washington 98101

Attention:                     

     1. Exercise of Option. Effective as of today,                                         ,  
            , the
undersigned (“Purchaser”) hereby elects to purchase                                          shares (the “Shares”) of the
Common Stock of Omeros Corporation (the “Company”) under and pursuant to the 2008 Equity Incentive
Plan (the “Plan”) and the Stock Option Agreement dated                      (the “Agreement”). The purchase
price for the Shares will be $                                        , as required by the Agreement.

     2. Delivery of Payment. Purchaser herewith delivers to the Company the full purchase
price of the Shares and any required tax withholding to be paid in connection with the exercise of
the Option.

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

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

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

     6. Entire Agreement; Governing Law. The Plan and Agreement are incorporated herein by
reference. This Exercise Notice, the Plan and the Agreement constitute the entire agreement of the
parties with respect to the subject matter hereof and supersede in their entirety all prior

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undertakings and agreements of the Company and Purchaser with respect to the subject matter
hereof, and may not be modified adversely to the Purchaser’s interest except by means of a writing
signed by the Company and Purchaser. This agreement is governed by the internal substantive laws,
but not the choice of law rules, of the State of Washington.

	 	 	 
	Submitted by:

	 	Accepted by:
	 
	 	 
	PURCHASER

	 	OMEROS CORPORATION
	 
	 	 
	 

	 	 
	Signature

	 	By
	 
	 	 
	 

	 	 
	Print Name

	 	Its
	 
	 	 
	Address:
	 	 
	 
	 	 
	 
	 	 
	 
	 	 
	 
	 	 
	 
	 	 
	 

	 	 
	 

	 	Date Received

 - 9 -exv10w39

 

Exhibit 10.39

LANDLORD CONSENT TO SUBLEASE

     This LANDLORD’S CONSENT TO SUBLEASE (the “Consent”) is entered into as of the 29th
day of January, 2008, between CHRISTENSEN O’CONNER JOHNSON KINDNESS PLLC, a Washington professional
limited liability company (“Tenant”), OMEROS CORPORATION, a Washington corporation (“Subtenant”)
and CITY CENTRE ASSOCIATES, a Delaware general partnership (“Landlord”).

RECITALS

     A. Landlord and Tenant are parties to that certain Office Lease Agreement dated May 25, 1999
(as amended from time to time, the “Master Lease”) pursuant to which Tenant leased from Landlord
certain premises in the building located at 1420 Fifth Avenue, Seattle, Washington as described in
the Master Lease (the “Premises”).

     B. Tenant desires to sublease all or a portion of the Premises (the “Sublease Premises”) to
Subtenant pursuant to the terms of that certain Sublease between Tenant and Subtenant dated January
14, 2008 (the “Sublease”).

     NOW THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
hereby mutually acknowledged, the parties agree as follows:

     1. Consent. Subject to all of the terms and conditions of this Consent, Landlord
hereby consents to the subleasing of the Sublease Premises on the terms set forth in the Sublease
provided that such consent shall not be construed as a wavier of any of the terms of the Master
Lease nor as an agreement to amend or modify the Master Lease in any manner. Notwithstanding any
conflicting or ambiguous provisions in the Sublease, Subtenant’s occupancy shall be subject to all
terms and conditions of the Master Lease (including any terms requiring Landlord’s consent to any
action by Tenant or Subtenant) and Subtenant agrees to perform all of the covenants of Tenant
contained in the Master Lease insofar as the same relate to the Sublease Premises, provided that
Subtenant shall not be obligated to pay rent, operating expenses or other charges in excess of the
amounts specified in the Sublease. Subtenant shall not violate any of the terms and conditions of
the Master Lease applicable to the use and occupancy of the Sublease Premises. This Consent shall
not be deemed to be the Landlord’s consent to any alterations or physical changes to the Premises
to accommodate the Sublease and any such changes shall be governed by the relevant provisions of
the Master Lease.

     2. Payments. Landlord has not waived any rights it may have to increase rent or to
collect any excess rent or other consideration under the terms of the Master Lease as a result of
the Sublease and Tenant shall pay any such sums to Landlord as and when required under the Master
Lease. If Tenant is in default under the Master Lease, all sums due from Subtenant under the
Sublease are hereby assigned to Landlord and Landlord, at its option, may require Subtenant to pay
rent and all other sums due under the Sublease directly to Landlord and shall apply the sums
actually received from Subtenant to amounts due from Tenant under the Master Lease, provided that
receipt and application of any such payments shall not release Tenant from any of its obligations
under the Master Lease nor constitute acceptance by Landlord of Subtenant as a direct tenant.
Tenant consents to the foregoing payment and agrees that such payment shall satisfy Subtenant’s
obligations under the Sublease.

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     3. Termination of Master Lease. If the Master Lease terminates prior to the
expiration of the Sublease term, at Landlord’s option, Subtenant shall: (a) attorn to Landlord and
enter into such reasonable documents as Landlord shall request in connection therewith; or (b) quit
and surrender the Sublease Premises, repairing all damage caused by Subtenant including by the
installation or removal of Subtenant’s property. Tenant agrees that in the event of such
attornment Tenant shall, upon the written demand of Landlord, immediately pay or transfer to
Landlord any security deposit, rent or other sums then held by Tenant from Subtenant. In the event
of attornment under clause (a), Subtenant shall thereupon be bound to Landlord and Landlord shall
be deemed to be the sublandlord for all purposes under the terms of the Sublease during the
remaining term thereof except that Landlord shall not be:

          (i) Bound by any payment of sublease rent in advance or other sums which Subtenant may have
paid to Tenant other than rent paid for the current month;

          (ii) Bound to return or apply any security deposit paid to Tenant and not actually received by
Landlord;

          (iii) Bound by any modification or amendment made to the Sublease without Landlord’s written
consent;

          (iv) Responsible for any act, default or neglect of the Tenant and Subtenant shall be
obligated to pay all rents and other charges under the Sublease without offset or abatement by
virtue of any such act, default or neglect of the Tenant, including without limitation any deferred
maintenance or other failure to repair, replace or maintain any improvements on the Premises;

          (v) Responsible for any obligation of the Tenant to improve the Sublease Premises or any other
part of the Premises and the covenant of Subtenant to pay rent and otherwise to perform under the
Sublease shall be entirely independent of any obligation of the Tenant to construct any
improvements;

          (vi) Bound by any option or right of first refusal;

          (vii) Obligated to provide any services that Tenant has agreed to provide such as copying
equipment, reception or other services except for those services required in its role as Landlord
under the Master Lease; or

          (viii) Obligated to rebuild or restore or replace the Sublease Premises or any other
improvements following damage or destruction except to the extent it is obligated to do so under
the Master Lease.

     4. Services. Tenant shall be liable for all bills rendered by Landlord for charges
incurred by Subtenant for services rendered and materials supplied to the Sublease Premises or at
the request of Subtenant and in no event shall Landlord be required to obtain Tenant’s consent
prior to supplying any services or materials to Subtenant.

     5. Indemnities. Tenant acknowledges that its indemnity and defense obligations under
the Master Lease include all any and all claims arising from or related to the following: (a)
Subtenant’s use of the Sublease Premises or any activity done, permitted or suffered by Subtenant
in, on or about the Sublease Premises or the building; and (b) any act or omission by Subtenant or
its employees, contractors or agents in connection with or related to the Sublease or the Sublease
Premises.

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     6. No Release. This Consent is issued on the understanding that nothing contained in
this Consent or the Sublease shall modify, expand or enlarge Landlord’s obligations under the
Master Lease nor release Tenant from any obligations thereunder.

     7. No Assignment. This Consent is not assignable. This Consent shall apply only to
this Sublease and shall not be deemed to be a consent to any other assignment or sublease nor shall
this Consent constitute a waiver of any restriction in the Master Lease concerning further
subletting or assignment and any consent to any further subletting or assignment by Subtenant shall
be in Landlord’s sole and absolute discretion. Nothing in this Consent or the Sublease shall be
deemed to create a landlord and tenant relationship between Landlord and Subtenant or obligate
Landlord to perform any obligations under the Master Lease for the benefit of Subtenant. Tenant
and Subtenant agree that the liability of Landlord and any recourse by Tenant or Subtenant against
Landlord shall be subject to the limitations on liability set forth in the Master Lease. Subtenant
and Tenant shall not amend, modify or terminate the Sublease without Landlord’s prior written
consent.

     7. Brokers. Tenant and Subtenant each agree to indemnify, defend and hold harmless
Landlord, its agents, officers and partners, from and against any claims relating to brokerage fees
or commissions arising from or relating to the Sublease.

     8. Conflict. Subtenant and Tenant acknowledge that the foregoing conditions are
reasonable and agree that they, and their respective successors and assigns, shall be bound by the
terms of this Consent. If and to the extent the terms of this Consent are inconsistent with the
terms of the Sublease, the terms of this Consent shall control.

     9. Miscellaneous. This Consent may be executed in any number of counterparts and each
such counterpart shall be deemed to be an original, but all of which, when taken together, shall
constitute one agreement. In any suit, action or appeal therefrom, to enforce or interpret this
Consent or any term of provision hereof, the prevailing party shall be entitled to recover its
costs incurred therein, including reasonable attorney’s fees. This Consent shall be governed by
the laws of the State of Washington and any action with respect to this Consent shall be brought in
King County, Washington.

     [signatures on following page]

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IN WITNESS WHEREOF, Landlord, Tenant and Subtenant have executed this Consent as of the date
set forth above.

	 	 	 	 	 
	 	LANDLORD:

CITY CENTRE ASSOCIATES, a

Delaware general partnership

 	 
	 	By:  	BCC EQUITY L.L.C.,
 	 
	 	 	a Washington limited liability company, 	 
	 	 	Its Managing Joint Venturer 	 
	 	 	 
	 	By:  	              BENTALL CAPITAL (U.S.), INC.,
 	 
	 	 	a California corporation 	 
	 	 	Its Authorized Agent 	 
	 	 	 
	 	By:  	                                        /s/ Gary J. Carpenter
 	 
	 	 	Gary J. Carpenter 	 
	 	 	Executive Vice President 	 
	 	 	 
	 	By:  	                                        /s/ Betsy Sutherland
 	 
	 	 	Betsy Sutherland 	 
	 	 	Vice President and

Regional Manager 	 
	 
	 	TENANT:

CHRISTENSEN O’CONNER JOHNSON KINDNESS PLLC, a Washington professional limited liability company

 	 
	 	By:  	/s/ Gary Tomlinson
 	 
	 	 	Name:  	Gary Tomlinson 	 
	 	 	Title:  	Executive Director 	 
	 
	 	SUBTENANT:

OMEROS CORPORATION, a Washington corporation

 	 
	 	By:  	/s/ Gregory A. Demopulos
 	 
	 	 	Name:  	Gregory A. Demopulos, M.D. 	 
	 	 	Title:  	Chairman & CEO 	 

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	1.	 	PARTIES.
	 
	 	 	This Sublease, dated January 14, 2008 is made between Christensen O’Connor
Johnson Kindness PLLC (“Sublessor”), and Omeros Corporation (“Sublessee”).
	 
	2.	 	MASTER LEASE.
	 
	 	 	Sublessor is the lessee under a written lease dated May 25, 1995 wherein City
Centre Associates, Delaware general partnership (“Lessor”) leased to Sublessor the real
property located in the City of Seattle, County of King, State of
WA, described as 1420 Fifth Avenue, Suite 2800, Seattle, WA 98101.
	 
	 	 	(“Master Premises”). Said lease has been amended by the following Amendments First,
Second, Third, Fourth, Fifth, Sixth, Seventh; said lease and Amendments are herein
collectively referred to as the “Master Lease” and are attached hereto as Exhibit “A.”
	 
	3.	 	PREMISES.
	 
	 	 	Sublessor hereby subleases to Sublessee on the terms and conditions set forth in this
Sublease the following portion of the Master Premises (“Premises”): Floor 26, 3,817
rentable square feet, known as Suite 2650.
	 
	4.	 	WARRANTY BY SUBLESSOR.
	 
	 	 	Sublessor warrants and represents to Sublessee that the Master Lease has not been amended or
modified except as expressly set forth herein, that Sublessor is not now, and as of the
commencement of the Term hereof will not be, in default or breach of any of the provisions
of the Master Lease, and that Sublessor has no knowledge of any claim by Lessor that
Sublessor is in default or breach of any of the provisions of the Master Lease.
	 
	5.	 	TERM.
	 
	 	 	The Initial Term of this Sublease shall commence on January 14,2008 (“Commencement
Date”), or when Lessor consents to this Sublease (if such consent is required under the
Master Lease), whichever shall last occur, and end on August 31, 2011 (‘Termination
Date”), unless otherwise sooner terminated or extended in accordance with the provisions of
this Sublease. In the event the Term commences on a date other than the Commencement Date,
Sublessor and Sublessee shall execute a memorandum setting forth the actual date of
commencement of the Term. Possession of the Premises (“Possession”) shall be delivered to
Sublessee on the commencement of the Term. If for any reason Sublessor does not deliver
Possession to Sublessee on the commencement of the Term, Sublessor shall not be subjected to
any liability for such failure, the Termination Date shall not be extended by the delay, and
the validity of this Sublease shall not be impaired, but rent shall abate until delivery of
Possession. Notwithstanding the foregoing, if Sublessor has not delivered Possession to
Sublessee within thirty (30) days after the Commencement Date, then at any time thereafter
and before delivery of Possession, Sublessee may give written notice to Sublessor of
Sublessee’s intention to cancel this Sublease. Said notice shall set forth an effective
date for

-1-

 

	 	 	such cancellation which shall be at least ten (10) days after delivery of said notice to
Sublessor. If Sublessor delivers Possession to Sublessee on or before such effective date,
this Sublease shall remain in full force and effect. If Sublessor fails to deliver
Possession to Sublessee on or before such effective date, this Sublease shall be cancelled,
in which case all consideration previously paid by Sublessee to Sublessor on account of this
Sublease shall be returned to Sublessee, this Sublease shall thereafter be of no further
force or effect, and Sublessor shall have no further liability to Sublessee on account of
such delay or cancellation. If Sublessor permits Sublessee to take possession prior to the
commencement of the Term, such early Possession shall not advance the Termination Date and
shall be subject to the provisions of this Sublease, including without limitation the
payment of the rent. Sublessee shall have options to renew and extend the term of this
Sublease as set forth in the “Extension Terms” section of the Rider to this Sublease
attached hereto as Exhibit B.

	6.	 	RENT.

	 	6.1	 	Minimum Rent. Sublessee shall pay to Sublessor as minimum rent, without
deduction, setoff, notice, or demand, at 1420 Fifth Ave., Suite 2800, Seattle, WA
98101 or at such other place as Sublessor shall designate from time to time by
notice to Sublessee, the Base Rent amount set forth in the “Base Rent Schedule” section
of the Rider to this Sublease attached hereto as Exhibit B, in advance on the first day
of each month of the Term. Sublessee shall pay to Sublessor upon execution of this
Sublease the sum of Eleven Thousand One Hundred and Ninety-Nine Dollars and
Seventy-One Cents ($11,199.71) as Base Rent plus Additional Rent for
Month 1. If the Term begins or ends on a day other than the first or last day
of the month, the rent for the partial months (including the first month) shall be
prorated on a per diem basis. Additional provisions:
	 
	 	6.2	 	Operating Costs. If the Master Lease requires Sublessor to pay to Lessor all
or a portion of the expenses of operating the building and/or project of which the
Premises are a part (“Operating Costs”), including but not limited to taxes, utilities,
or insurance, then Sublessee shall pay to Sublessor as additional rent “Additional
Rent”) One Hundred percent (100%) of the amounts payable by Sublessor for
Operating Costs incurred during the Term. The Additional Rent currently payable at the
time of execution of this Sublease, based on prior Operating Costs pass-throughs, is
set forth in the “Base Rent Schedule” section of the Rider to this Sublease attached
hereto as Exhibit B. Such provides for the payment by Sublessor of Operating Costs on
the basis of an estimate thereof, then as and when adjustments between estimated and
actual Operating Costs are made under the Master Lease, the obligations of the
Sublessor and the Sublessee hereunder shall be adjusted in a like manner; and if any
such adjustment shall occur after the expiration or earlier termination of the Term,
then the obligations of the Sublessor and the Sublessee under this Subsection 6.2 shall
survive such expiration or termination. Sublessor shall, upon request by Sublessee,
furnish Sublessee with copies of all statements submitted by Lessor of actual or
estimated Operating Costs during the Term.

-2-

 

	7.	 	SECURITY DEPOSIT.
	 
	 	 	Sublessee shall deposit with Sublessor upon execution of this Sublease the sum of Zero (0)
Dollars as security for Sublessee’s faithful performance of Sublessee’s obligations
hereunder (“Security Deposit”). If Sublessee fails to pay rent or other charges when due
under this Sublease, or fails to perform any of its other obligations, hereunder, Sublessor
may use or apply all or any portion of the Security Deposit for the payment of any rent or
other amount then due hereunder and unpaid, for the payment of any other sum for which
Sublessor may become obligated by reason of Sublessee’s default or breach, or for any loss
or damage sustained by Sublessor as a result of Sublessee’s default or breach. If Sublessor
so uses any portion of the Security Deposit, Sublessee shall, within ten (10) days after
written demand by Sublessor, restore the Security Deposit to the full amount originally
deposited, and Sublessee’s failure to do so shall constitute a default under this Sublease.
Sublessor shall not be required to keep the Security Deposit separate from its general
accounts, and shall have no obligation or liability for payment of interest on the Security
Deposit. In the event Sublessor assigns its interest in this Sublease, Sublessor shall
deliver to its assignee so much of the Security Deposit as is then held by Sublessor.
Within ten (10) days after the Term has expired, or Sublessee has vacated the Premises, or
any final adjustment pursuant to Subsection 6.2 hereof has been made, whichever shall last
occur, and provided Sublessee is not then in default of any of its obligations hereunder,
the Security Deposit, or so much thereof as had not therefore been applied by Sublessor,
shall be returned to Sublessee or to the last assignee, if any, of Sublessee’s interest
hereunder.
	 
	8.	 	USE OF PREMISES.
	 
	 	 	The Premises shall be used and occupied only for general office use, and for no
other use or purposes.
	 
	9.	 	ASSIGNMENT AND SUBLETTING.
	 
	 	 	Sublessee shall not assign this Sublease or further sublet all or any part of the Premises
without the prior written consent of Sublessor, and further, shall be subject to the terms
of the Master Lease as well as Lessor’s consent. Not withstanding the foregoing, provided
Sublessee is not in default, Sublessor agrees that it will consent to Sublessee’s further
sublet of any portion of the Premises during this Sublease, subject to Sublessee following
the applicable provisions of the Master Lease and Lessor’s consent under Section 12.1 of the
Master Lease. Subject to Lessor’s consent under Section 12.1 of the Master Lease, Sublessor
hereby consents to Sublessee’s assignment of this Sublease as part of any sale or
acquisition of all or substantially all of Sublessee’s relevant business assets.
	 
	10.	 	OTHER PROVISIONS OF SUBLEASE.
	 
	 	 	All applicable terms and conditions of the Master Lease are incorporated into and made a
part of this Sublease as if Sublessor were the lessor thereunder, Sublessee the Lessee
thereunder, and the Premises the Master Premises.
	 
	 	 	Sublessee assumes and agrees to perform the lessee’s obligations under the Master Lease
during the Term to the extent that such obligations are applicable to the Premises, except
that

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	 	 	the obligation to pay rent to the Lessor under the Master Lease shall be considered
performed by Sublessee to the extent and in the amount rent is paid to Sublessor in
accordance with Section 6 of this Sublease. Sublessee shall not commit or suffer any act or
omission that will violate any of the provisions of the Master Lease. Sublessor shall
exercise due diligence in attempting to cause Lessor to perform its obligations under the
Master Lease for the benefit of Sublessee. If the Master Lease terminates, this Sublease
shall terminate and the parties shall be relieved of any further liability or obligation
under this Sublease, provided however, that if the Master Lease terminates as a result of a
default or breach by Sublessor or Sublessee under this Sublease and/or the Master Lease,
then the defaulting party shall be liable to the nondefaulting party for the direct damage
suffered as a result of such termination. Neither party shall be liable to the other party
for any indirect, consequential or incidental damages under this Sublease. Notwithstanding
the foregoing, if the Master Lease gives Sublessor any right to terminate the Master Lease
in the event of the partial or total damage, destruction, or condemnation of the Master
Premises or the building or project of which the Master Premises are a part, the exercise of
such right by Sublessor shall not constitute a default or breach hereunder.

	11.	 	ATTORNEYS’ FEES.
	 
	 	 	If Sublessor, Sublessee, or Broker shall commence an action against the other arising out of
or in connection with this Sublease, the prevailing party shall be entitled to recover its
costs of suit and reasonable attorney’s fees.

	12.	 	AGENCY DISCLOSURE.
	 
	 	 	Sublessor and Sublessee each warrant that they have dealt with no other real estate broker
in connection with this transaction except: CB RICHARD ELLIS, INC. Sublessee shall pay no
real estate fees in this transaction.

	13.	 	PARKING.
	 
	 	 	Sublessor shall have the ongoing right to lease up to three (3) of Sublessor’s parking
stalls in the building garage per the terms and conditions established in the Master Lease
and subsequent Amendments, currently at 80% of Landlord’s market rates.

	14.	 	NOTICES.
	 
	 	 	All notices and demands which may or are to be required or permitted to be given by either
party on the other hereunder shall be in writing. All notices and demands by the Sublessor
to Sublessee shall be sent by United States Mail, postage prepaid, addressed to the
Sublessee at the Premises, and to the address hereinbelow, or to such other place as
Sublessee may from time to time designate in a notice to the Sublessor. All notices and
demands by the Sublessee to Sublessor shall be sent by United States Mail, postage prepaid,
addressed to the Sublessor at the address set forth herein, and to such other person or
place as the Sublessor may from time to time designate in a notice to the Sublessee.

	 	 	 
	To Sublessor:

	 	Executive Director, Christensen O’Connor Johnson Kindness PLLC

1420 Fifth Avenue #2800, Seattle, WA 98101 (206) 682-8100

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	To Sublessee:

	 	Chief Executive Officer, with a copy to General Counsel
	 

	 	1420 Fifth Avenue, Suite 2600, Seattle, WA 98101 (206).676.5000

	15.	 	CONSENT BY LESSOR.
	 
	 	 	THIS SUBLEASE SHALL BE OF NO FORCE OR EFFECT UNLESS CONSENTED TO BY LESSOR AFTER EXECUTION
HEREOF.
	 
	16.	 	COMPLIANCE.
	 
	 	 	The parties hereto agree to comply with all applicable federal, state and local laws,
regulations, codes, ordinances and administrative orders having jurisdiction over the
parties, property or the subject matter of this Agreement including, but not limited to, the
1964 Civil Rights Act and all Riders thereto, the Foreign Investment In Real Property Tax
Act, the Comprehensive Environmental Response Compensation and Liability Act, and The
Americans With Disabilities Act.
	 
	17.	 	SUBLEASE RIDER.
	 
	 	 	A Rider is attached as Exhibit B and hereby expressly incorporated into this Sublease.

Sublessor: Christensen O’Connor Johnson Kindness PLLC

	 	 	 	 	 
	By:  	/s/ Gary Tomlinson
 	 	 
	 	Title: Exec. Dir. 	 	 
	 	Sublessee: Omeros Corporation 	 	 
	 	 	 
	By:  	/s/ Gregory A. Demopulos
 	 	 
	 	Title: Chairman & CEO 	 	 
	 	Date: 1/21/08 	 	 

-5-

 

	 	 	 	 	 

	(1)	 	For an acknowledgement in a representative capacity:
	 
	 	 	State of Washington
	 
	 	 	County of King
	 
	 	 	I certify that I know or have satisfactory evidence that Gary Tomlinson is the
person who appeared before me, and said person acknowledged that (he/she) signed this
instrument, on oath and acknowledged it as the Executive Director of Christensen
O’Connor to be the free and voluntary act of such party for the uses and purposes
mentioned in the instrument.

	 	 	 	 	 
	[SEAL] 	 Dated: January 22, 2008 

 	 
	 	Signature:  	 /s/ Lorraine Kelley Petrosky
 	 
	 	 	(Seal or Stamp) 	 
	 	 	Title: Notary Public  	
	 
	 	My appointment expires: March 9, 2010 
	 

	(2)	 	For an acknowledgement in a representative capacity:
	 
	 	 	State of Washington
	 
	 	 	County of King
	 
	 	 	I certify that I know or have satisfactory evidence that Gregory A. Demopulos. M.D.
is the person who appeared before me, and said person acknowledged that (he/she) signed this
instrument, on oath and acknowledged it as the Chairman and CEO of Omeros
Corporation to be the free and voluntary act of such party for the uses and purposes
mentioned in the instrument.

	 	 	 	 	 
	[Stamp] 	 Dated: January 21, 2008 

 	 
	 	Signature:  	 /s/ Stephanie C. Jansen
 	 
	 	 	(Seal or Stamp) 	 
	 	 	Title: Paralegal  	
	 
	 	My appointment expires: August 16, 2011 
	 

 

 

	 	 	 	 	 

Exhibit B

     This Sublease Rider is incorporated into the Sublease dated January 14, 2008, between
Christensen O’Connor Johnson Kindness PLLC as Sublessor and Omeros Corporation as
Sublessee, concerning the property known as 1420 Fifth Avenue, Suite 2650, Seattle, WA
98101. as follows:

	 	1.	 	BASE RENT SCHEDULE. Sublessee shall pay Sublessor Base Rent plus Additional
Rent during the Lease Term according to the following schedule:

	 	 	 	 	 
	Months

	 	Base Fully Serviced Annual Rental

	 
	Initial Term:

	 	 	 	 
	1/1/2008-7/31/2009

8/1/2009-7/31/2011

8/1/2011-8/31/2011

	 	$

$

$	34.00

35.00

36.00	 
	 
	First Extension Term*:
	 	 	 	 
	9/1/2011-8/31/2012

	 	$	36.00	 
	 
	Second Extension Term*

9/1/2012-7/31/2013

8/1/2013-8/31/2013

	 	$

$	36.00

37.00	 
	 
	Third Extension Term*

9/1/2013-7/31/2014

	 	$	37.00	 

 

			
	*	 	Time periods are dependent upon exercise of Extension Term options and will terminate upon
termination of this Sublease.

	 	2.	 	ADDITIONAL RENT. As of January 14, 2008, additional rent is $1.21 per rentable
square foot per year.
	 
	 	3.	 	EXTENSION TERMS. Subject to Sublessor’s prior taking, Sublessee shall have the
secondary right to renew the Sublease for up to three (3), one (1) year Extension Terms
ending August 31, 2012, August 31, 2013 and July 31, 2014, respectively. Each Extension
Term option shall be exercisable by Sublessee delivering to Sublessor prior written
notice at least nine (9) months prior to the end of the Initial Term or any Extension
Term, as applicable, and Sublessor shall then have thirty (30) days from receipt of
such notice to notify Sublessee in writing of the intent to reoccupy the Premise. In
the absence of such notice of intent to reoccupy from Sublessor following

B-1

 

	 	 	 	notice of exercise by Sublessee, the applicable Extension Term shall be effective.
	 
	 	4. 	 	Furnishings. Sublessor will leave and permit Sublessee to use all furnishings
currently in the Sublease Premises, on an “as is” basis, with no additional charge.
Title to such furnishings shall remain with Sublessor. At the end of the term,
furnishings will be left in the same condition as at Commencement Date, subject only to
normal wear and tear.

In the event of any conflict between the terms of this Rider and the Sublease, the terms of
this Rider shall prevail.

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	SUBLESSOR	 	 	 	SUBLESSEE	 	 
	Christensen O’Connor Johnson Kindness PLLC	 	 	 	Omeros Corporation	 	 
	 
	By:	 	/s/ Gary Tomlinson	 	 	 	By:	 	/s/ Gregory A. Demopulos	 	 
	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 
	 	 
	 	 	 	 	 	Gregory A. Demopulos, M.D.	 
	 

	 	Title:
	 	Exec. Dir.
	 	 	 	 	 	Title:
	 	Chairman & CEO
	 	 
	 

	 	Address:
	 	1420 Fifth Avenue, Suite 2800
	 	 	 	 	 	Address:
	 	1420 Fifth Avenue, Suite 2600
Seattle, WA 98101
	 	 
	 

	 	Date:
	 	1/22/08
	 	 	 	 	 	Date:
	 	1/21/08
	 	 

B-2

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