Document:

EX-10.17

 Exhibit 10.17 

 
 

 
 Rosh Dias 
 July 28, 2020

 Re: Employment Terms 
 Dear Rosh, 

Spruce Biosciences, Inc., a Delaware corporation (the “Company”), is pleased to offer you full-time employment in the regular
exempt position of Chief Medical Officer effective as of September 28, 2020, or earlier if you are able to be released from Indivior, in which you will be responsible for such duties as are normally associated with such position or as otherwise
determined by your supervisor. You will report to the Chief Executive Officer. Your position will be headquartered in our offices located in Daly City, California, or such other location as the Company may designate, except for such travel as may be
necessary to fulfill your responsibilities. In the course of your employment with the Company, you will be subject to and required to comply with all company policies, and applicable laws and regulations. 

You will be paid a base salary at the annual rate of $390,000 subject to required tax withholding and other authorized deductions. Your base
salary will be payable in accordance with the Company’s standard payroll policies and subject to adjustment pursuant to the Company’s policies as in effect from time to time. 

In addition to your base salary, you may be eligible to earn an annual cash performance bonus, at the discretion of the Board of Directors,
based on the attainment of corporate performance metrics and/or individual performance objectives, in each case established and evaluated by the Company in its sole discretion exercised in good faith. Your target annual bonus shall be 40% of your
base salary, but the actual amount of your annual bonus may be more or less (and may equal zero), depending on the attainment of applicable performance criteria and Company achievements. Such annual bonus shall be paid within three months following
the year to which the annual bonus relates and will be contingent upon your continued employment through the applicable payment date (provided that if your employment is terminated by the Company without Cause (as defined in the Stock Option
Agreement (as defined below) or as the result of your death or disability, then in any such case you will receive any earned but unpaid annual bonus relating to the immediately preceding calendar year at the same time as if no such termination had
occurred). You hereby acknowledge and agree that nothing contained herein confers upon you any right to an annual bonus in any year, and that whether the Company pays you an annual bonus and the amount of any such annual bonus will be determined by
the Company in its sole discretion exercised in good faith. 
 In connection with entering into this offer letter, promptly following the
commencement of your employment with the Company (and in any event, within 10 days thereafter), the Board of Directors of the Company (the “Board”) will grant you an option to purchase 1,243,000 shares of the Company’s common
stock (the “First Stock Option”) at a per share exercise price equal to the fair market value of one share of the Company’s common stock on the date of grant. Subject to your continued employment with the Company through the
applicable vesting date, 25% of the shares underlying the First Stock Option will vest on the first anniversary of the date you commence employment with the Company and 1/48th of the total number of shares initially underlying the First Stock Option
will vest monthly thereafter. 

  
 2001 Junipero Serra
Boulevard | Suite 640 | Daly City, CA 94014 

 

 
  
 In addition, in connection with
entering into this offer letter, promptly following the commencement of your employment with the Company (and in any event, within 10 days thereafter), the Board will grant you an additional option to purchase 124,300 shares of the Company’s
common stock (the “Second Stock Option”) at a per share exercise price equal to the fair market value of one share of the Company’s common stock on the date of grant. Subject to your continued employment with the Company
through the applicable vesting date, 25% of the shares underlying the Second Stock Option will vest on the first anniversary of the date you commence employment with the Company and 1/48th of the total number of shares initially underlying the
Second Stock Option will vest monthly thereafter, provided that no shares subject to the Second Stock Option will vest unless and until the Company has achieved a mutually agreeable performance goal, to be set forth in the Stock Option Agreement (as
defined below) for the Second Stock Option, during your employment with the Company. 
 The First Stock Option and the Second Stock Option
will otherwise each be subject to the terms and conditions of the Company’s 2016 Equity Incentive Plan and a stock option agreement to be entered into between you and the Company in the Company’s standard form, modified to reflect the
provisions herein. (the “Stock Option Agreement”). A copy of the Stock Option Agreement will be separately provided to you. 

The Company expects that you will relocate to the San Francisco Bay area as soon as practicable. Subject to your relocation to the San
Francisco Bay Area no later than June 30, 2021, you will receive a lump sum relocation assistance advance payment of $25,000 (the “Relocation Assistance”), which shall be used by you solely for relocation expenses incurred by
you (including travel costs and temporary living expenses). The Company will pay the Relocation Assistance as soon as practicable and in no event later than 30 days following the date you notify the Company of your planned relocation date. In
addition, to the extent that you are required to repay any portion of a sign-on bonus and/or relocation assistance payments previously received by you from your current employer as a result of your acceptance
and commencement of employment with the Company, then subject to your notifying the Company within 30 days and your documentation of such required repayment, the Company will pay you, as soon as practicable and in no event later than 30 days
following such notice and the Company’s receipt of such documentation, an advance payment of up to $80,000 of such amount (the “Repayment Assistance”). The Relocation Assistance and any Repayment Assistance advance payments
will be made subject to required tax withholdings and other authorized deductions. You will earn the Relocation Assistance and any Repayment Assistance amounts paid if you remain continuously employed by the Company through the second anniversary of
the date you commence employment with the Company (or if your employment is terminated due to your death or disability, or by the Company without Cause (as defined in the Stock Option Agreement), in any case, prior to such second anniversary). If
you voluntarily terminate your employment with the Company (other than for death or disability) or the Company terminates your employment for Cause (as defined in the Stock Option Agreement), in either case, before such second anniversary or you do
not relocate prior to the date above, you agree to immediately repay the Company the full gross amount of the Relocation Assistance and any Repayment Assistance payments, as applicable . Except as specifically provided in the immediately preceding
sentence, you will not be required to repay the Relocation Assistance or the Repayment Assistance. 

  
 2001 Junipero Serra
Boulevard | Suite 640 | Daly City, CA 94014 

 

 
  
 You will be entitled to participate
in the Company’s Severance and Change of Control Policy (the “Severance Policy”), a copy of which will be separately provided to you. In addition, if you experience an Involuntary Termination that is not a Change of Control
Termination (each as defined in the Severance Policy), you will be entitled to the following severance benefits: 
 (i) continuation of your
then-current base salary, payable monthly according to the Company’s normal payroll, for a period of six (6) months after the date of the Involuntary Termination; 

(ii) if (A) you are enrolled in a group health plan (i.e., medical, dental, or vision plan) sponsored by the Company or an affiliate
immediately prior to the Involuntary Termination, (B) you are eligible to continue coverage under such group health plan under COBRA at the time of the Involuntary Termination, and (C) you timely elect COBRA coverage, then the Company will
pay the applicable COBRA premiums on behalf of you and your eligible dependents, if any, covered under the Company’s group health plan (or waive the cost of coverage under any self-funded group health plan, if applicable) until the earlier of
(x) the duration of the period in which you and your eligible dependents, if any, are enrolled in such COBRA coverage (and not otherwise covered by another employer’s group health plan that does not impose an applicable pre-existing condition exclusion) and (y) a period of six (6) months from the date of the Involuntary Termination. In addition, in lieu of such COBRA premium payments, the Company may in its sole
discretion pay you, on the first day of each month during the period that it is required to pay the COBRA premium payments for you and your eligible dependents, if any, a fully taxable cash payment equal to the applicable COBRA premiums for that
month, subject to applicable withholdings; and 
 (iii) a lump sum, cash payment equal to your target annual cash performance bonus for the
year in which the Involuntary Termination occurs, pro-rated for the amount of time up to the date of separation, and paid to you within thirty (30) days of the date of separation. 

Your receipt of these Severance Benefits associated with Involuntary Termination in the preceeding paragraph is subject to you signing and not
revoking the Company’s then-standard separation agreement and release of claims (which may include an agreement not to disparage the Company, non-solicit provisions, an agreement to assist in any
litigation matters, and other standard terms and conditions) (the “Release”), which must become effective and irrevocable no later than the 60th day following the Involuntary Termination (the “Release Deadline”). If
the Release does not become effective and irrevocable by the Release Deadline, you will forfeit any right to the aforementioned Severance Benefits. Your receipt of the aforementioned Severance Benefits will also be subject to you continuing to
comply with the terms of the Proprietary Information and Inventions Assignment Agreement referred to below. 
 You will be eligible to
participate in all of the employee benefits and benefit plans that the Company generally makes available to its regular full-time employees, including group health plans, life and disability insurances, and a 401k Plan. In addition, during your
employment, you will be eligible for other standard benefits, such as paid time off and holidays to the extent applicable generally to other similarly situated employees of the Company. The Company reserves the right to terminate, modify or add to
its benefits and benefit plans at any time. 

  
 2001 Junipero Serra
Boulevard | Suite 640 | Daly City, CA 94014 

 

 
  
 The Company requires that, as a
full-time employee, you devote your full business time, attention, skill, and efforts to the tasks and duties of your position as assigned by the Company. If you wish to request consent to provide services (for any or no form of compensation) to any
other person or business entity while employed by the Company, please discuss that with your supervisor in advance of accepting another position. 

As an executive officer of the Company, you will be entitled to indemnification as provided under the Company’s bylaws and other
governing documents in effect as of the date hereof to the fullest extent permitted by applicable law. The Company and you intend that such obligation shall remain in full force and effect, such that a future change in the Company’s bylaws
other than a change required by applicable law, shall not affect the Company’s obligations hereunder. The Company shall use commercially reasonable efforts to maintain directors’ and officers’ liability insurance in amounts and on
terms reasonable and customary for similarly situated companies, and you shall be covered by such insurance on the same basis as other executive officers of the Company. 

As a condition of employment, you will be required to (1) sign and comply with a Proprietary Information and Inventions Assignment
Agreement, a copy of which is attached hereto as Exhibit B, which, among other things, prohibits unauthorized use or disclosure of Company proprietary information, (2) sign and return a satisfactory
1-9 Immigration form attached hereto as Exhibit C and provide sufficient documentation establishing your employment eligibility in the United States of America (enclosed is a list of acceptable INS Form
1-9 documentation), and (3) provide satisfactory proof of your identity as required by United States law. This offer, and any employment pursuant to this offer, is also conditioned upon your consent to,
and results satisfactory to the Company of reference and background checks. Until you have been informed in writing by Company that such checks have been completed and the results found satisfactory, you may wish to defer reliance on this offer. By
signing below, you represent that your performance of services to the Company will not violate any duty which you may have to any other person or entity (such as a present or former employer), including obligations concerning providing services
(whether or not competitive) to others, confidentiality of proprietary information and assignment of inventions, ideas, patents or copyrights, and you agree that you will not do anything in the performance of services hereunder that would violate
any such duty. 
 Notwithstanding any of the above, your employment with the Company is “at will”. This means that it is not for
any specified period of time and can be terminated by you or by the Company at any time, with or without advance notice, and for any or no particular reason or cause. This “at-will” nature of your
employment shall remain unchanged during your tenure as an employee and may not be changed, except in an express writing signed by you and the Chief Executive Officer of the Company. 

If you accept this offer, this letter, the Proprietary Information and Invention Assignment Agreement, and the other plans, policies and
agreements referred to herein shall constitute the complete agreement between you and Company with respect to the terms and conditions of your employment. Any prior or contemporaneous representations (whether oral or written) not contained herein or
therein or contrary to those contained herein or therein, that may have been made to you are expressly cancelled and superseded by this offer. This offer letter shall be interpreted and construed in accordance with California law without regard to
any conflicts of laws principles. The at-will nature of your employment may not be changed, except in a subsequent letter or written agreement, signed by you and the Chief Executive Officer of the Company.

  
 2001 Junipero Serra
Boulevard | Suite 640 | Daly City, CA 94014 

 

 
  
 Please sign and date this letter and the Proprietary
Information and Invention Assignment Agreement, and return it to me by July 30, 2020 if you wish to accept employment at the Company under the terms described above, after which time this offer of employment will expire. If you accept our
offer, we would like you to commence your employment with us as soon as practicable. 
 We look forward to your favorable reply and to a
productive and enjoyable work relationship. 
  

	
	Sincerely,
	
	/s/ Richard King
	
	Richard King
	
	Spruce Biosciences, Inc.

  

	
	Accepted by:
	
	 /s/ Rosh Dias

	[signature]
	
	 Rosh Dias

	[name]
	
	 July 29, 2020

	Date

  
 2001 Junipero Serra
Boulevard | Suite 640 | Daly City, CA 94014EX-10.18

 Exhibit 10.18 

 
 

 
 March 24, 2017 
 Mike
Grey 
 Re: Executive Chairman of the Board of Directors 

Dear Mike Grey: 
 This letter confirms our
understanding regarding the terms of your service as Executive Chairman of the Board of Directors (the “Board”) of Spruce Biosciences, Inc., a Delaware corporation (the “Company”) beginning on April 1st, 2017. 
 Your primary roles and responsibilities as Executive Chairman are set forth in
Exhibit A. This letter sets forth our understanding regarding such services to be performed in such capacity, and nothing in this letter nor the services rendered hereunder are meant, or shall be construed in any way or manner, to create between you
and the Company a relationship of employer and employee. You may be removed as Executive Chairman by the Board, and nothing in this letter is meant, or shall be construed in any way or manner, to create an ongoing right to serve in such capacity. We
agree that you will spend approximately one business days per week performing such services. 
 Subject to the approval of the Board, you
will be granted a stock option to purchase 450,000 shares of the Company’s common stock (the “Option”), which as of the date hereof represents 1.5% of the Company’s outstanding shares on a fully diluted basis. This Option
will be a non-statutory stock option and will have an exercise price per share that will be equal to the fair market value of the Company’s common stock as determined by the Board. The Option will
generally be subject to the terms and conditions applicable to options granted under the Company’s 2016 Equity Incentive Plan (as amended, the “Plan”), as described in the Plan and the applicable stock option agreement, and
will vest in forty-eight equal monthly installments subject to your continuous service to the Company as a director through each such vesting date. However, if during your service to the Company, the Company completes a Change in Control (within the
meaning of the Plan), 100% of any shares subject to this Option that remain unvested shall immediately vest and become exercisable as of immediately prior to the consummation of such merger or Change in Control. 

As a member of the Board pursuant to the Delaware General Corporation Law (“DGCL”) and related case law you will owe
fiduciary duties to the corporation and its stockholders, including the duty of care (directors must act in good faith, with the care of a prudent person, and in the best interest of the corporation), duty of loyalty (directors must refrain from
self-dealing, usurping corporate opportunities and receiving improper personal benefits) and the duty of disclosure (directors must disclose all material information to their fellow directors and, when stockholder action is sought, to the
corporation’s stockholders). Our certificate of incorporation and bylaws provide that as a director you will be entitled to indemnification to the fullest extent permitted by the DGCL, and further to that upon becoming a member of the Board we
will enter into the Company’s standard form of indemnification agreement with you. We would be happy to arrange a conference with our outside counsel, Latham & Watkins LLP, if you have any questions about the indemnification agreement
or your duties in general under Delaware law. 

 

 
 As a member of the Board you will be reimbursed for any reasonable travel and other out-of-pocket expenses incurred in connection with your services on the Board. Please keep copies of all bills, receipts, or other written documentation of such reimbursable
expenses and submit such documentation with your requests for reimbursement. 
 We look forward with enthusiasm to your service as Executive
Chairman. If the foregoing terms are acceptable to you, please sign one copy of this letter and return it to me. 
 Sincerely, 

/s/ Alexis Howerton 
 Alexis Howerton 

President and Chief Executive Officer 
 Spruce Biosciences, Inc.

  

			
	AGREED TO AND ACCEPTED:
		
	Signature:	 	/s/ Mike Grey 
		 	Mike Grey
	Date:	 	March 26, 2017

 

 
  
 Exhibit A 

EXECUTIVE CHAIRMAN RESPONSIBILITIES: 
  

	 	•	 	 Chair, manage the Board Meetings and Executive Sessions of independent directors and plan agenda with the CEO

  

	 	•	 	 Maintain regular communications with other directors and investors/observers 

 

	 	•	 	 Assist in obtaining financing and liquidity for the Company 

 

	 	•	 	 Attract and recruit appropriate talent, including to scientific and industrial advisory boards

  

	 	•	 	 Work closely with CEO to define and develop corporate strategy 

 

	 	•	 	 Mentor Company leadership team 

 

	 	•	 	 Oversee corporate governance

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