Document:

Exhibit 10.2

 

AMENDMENT
NO. 1

TO

AMENDED AND RESTATED EMPLOYMENT AGREEMENT

 

     The
Amended and Restated Employment Agreement (the “Agreement”) dated as of August 10,
2007, by and between EnerNOC, Inc., a Delaware corporation (the “Company”),
and Timothy G. Healy (the “Executive”) is hereby amended as set forth
below. Capitalized terms not defined herein shall have the meaning specified in
the Agreement.

 

1.                  Section 3(a) of the Agreement
is hereby amended by deleting such subsection in its entirety and substituting
the following in lieu thereof:

 

“(a)     Base
Salary.  During the period that you
are employed by the Company, the Company will pay you a base salary at the
annual rate of $400,000 (the “Base Salary”)”

 

2.                  Except as amended herein, the Agreement
is hereby confirmed in all other respects.

 

IN WITNESS WHEREOF, this
Amendment No. 1 is entered into this 21st day of February,
2008.

 

	
   

  	
  ENERNOC, INC.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ David B. Brewster

  	
   

  
	
   

  	
  Name:

  	
  David B. Brewster

  	
   

  
	
   

  	
  Title:

  	
  President

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  EXECUTIVE

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  /s/ Timothy G. Healy

  	
   

  
	
   

  	
  Timothy G. Healy

  	
   

  

 

 

 

[EnerNOC Letterhead]

 

August 10, 2007

 

Timothy
G. Healy

c/o
EnerNOC, Inc.

75
Federal Street

Suite 300

Boston,
MA 02110

 

This letter is to confirm
our understanding with respect to your continued employment by EnerNOC, Inc.
(the “Company”) and supersedes in its entirety (i) the Letter Agreement
entered into by you and the Company dated as of February 7, 2007 (the “Prior
Employment Agreement”) and (ii) the Stock Repurchase Agreement entered
into by you and the Company dated as of June 17, 2003 and amended as of January 10,
2005, May 16, 2006 and February 7, 2007 (the “Stock Repurchase
Agreement”).

 

In consideration of the
mutual promises and covenants contained in this Agreement, and for other good
and valuable consideration, the receipt and sufficiency of which are hereby
mutually acknowledged, we have agreed, effective July 1, 2007, as follows:

 

1.             Employment.

 

(a)           Subject
to the terms and conditions of this Agreement, the Company will employ you, and
you will be employed by the Company and/or any Company affiliate (collectively
referred to herein as the “Company Group”) designated by the Company, initially
as Chief Executive Officer  reporting to the Board of Directors.  You will have the responsibilities, duty and
authority commensurate with the position of Chief Executive Officer. 
You will also perform such other and/or different services for the
Company as may be assigned to you from time to time by the Board of Directors.

 

(b)           Devotion
to Duties.  While you are employed
hereunder, you will use your best efforts, skills and abilities to perform
faithfully all duties assigned to you pursuant to this Agreement and to devote
your full business time and energies to the business and affairs of the Company
Group.  While you are employed hereunder,
you will not undertake any other employment from any person or entity without
the prior written consent of the Company.

 

2.             Employment
At Will.  Your employment hereunder
will be on an “at-will” basis and may be terminated by the Company or by you
for any reason or for no reason.

 

3.             Compensation.

 

(a)           Base Salary. 
During the period that you are employed by the Company, the Company will
pay you a base salary at the annual rate of $325,000 (the “Base
Salary”).

 

 

 

The Base Salary will be payable in substantially equal
installments in accordance with the Company’s payroll practices as in effect
from time to time.  The Company will
deduct from each such installment all amounts required to be deducted or
withheld under applicable law or under any employee benefit plan in which you
participate. 
You understand and acknowledge that the annualized amount of
the Base Salary is set forth as a matter of convenience and does not constitute
nor will be deemed to constitute an agreement by the Company to employ you for
any specific period of time.

 

(b)           Annual Performance Bonus.  You will be eligible to receive an annual
performance bonus pursuant to a bonus plan to be finalized by the Compensation
Committee of the Board of Directors of the Company.  Under such bonus plan you are targeted to
receive a performance bonus equal to 80% of your Base Salary (the “Target Annual Performance Bonus”)
but which the actual amount paid will be based on whether you achieve
performance goals that are identified by the Company in the bonus plan.

 

(c)           Fringe Benefits. 
You will be entitled to participate in any employee benefit plans which
the Company provides or may establish for the benefit of its executives
generally (for example, group life, disability, medical, dental and other
insurance, retirement, pension, profit-sharing and similar plans)
(collectively, the “Fringe Benefits”), provided that the Fringe Benefits will
not include any stock option or similar plans relating to the grant of equity
securities of the Company.  Your
eligibility to participate in the Fringe Benefits and receive benefits
thereunder will be subject to the plan documents governing such Fringe
Benefits.  Nothing contained herein will
require the Company to establish or maintain any Fringe Benefits.

 

(d)           Reimbursement of Expenses.  Upon presentation of documentation of such
expenses reasonably satisfactory to the Company, the Company will reimburse you
for all ordinary and reasonable out-of-pocket business expenses, including
parking expenses, that are reasonably incurred by you in furtherance of the
Company’s business in accordance with the Company’s policies with respect
thereto as in effect from time to time; provided, however, all reimbursements
will be made by March 15th of the year after the year in which
the expenses are incurred.

 

4.             Payments Upon Termination.

 

(a)           In the event of the termination of your employment
hereunder for any reason or for no reason, the Company (a) will pay to you
(or to your estate) (i) the portion of your Base Salary that has accrued
prior to such termination and has not yet been paid, and (ii) an amount
equal to the value of your accrued unused vacation days; and (b) will
reimburse you for expenses properly incurred by you on behalf of the Company
prior to such termination and properly documented in accordance with Section 3(d) above.  Such amounts will be paid promptly after
termination.

 

(b)           If
the Company terminates your employment without Cause, or you terminate your
employment with Good Reason, the Company will pay you an amount

 

 

 

equal to your Severance Compensation in twenty (20)
equal monthly installments in arrears commencing one month after the date of
termination and shall also pay you, on the date of your termination, your
Accrued Base Compensation as of the termination date.  The Company’s obligation to make such
payments to you shall cease upon your material breach of any written agreement
between you and the Company or of any written policy of the Company by which
you are bound, if such breach causes or is likely to cause material harm to the
Company.

 

(c)           If
the Company terminates your employment at any time for Cause, or upon your
death or Disability, the Company will pay you your Accrued Base Compensation.

 

(d)           Upon
any termination of your employment with the Company to which Section 4(b) applies,
the Company shall maintain the benefits that you were receiving as of the
termination date and shall take such measures as are permissible under its
medical, life, and disability insurance and any other employee benefit plans or
programs to continue coverage or reimbursement for you (and your family, if
applicable) on the same terms (including any required contribution by you) as
immediately prior to such termination. 
If it is not permissible to continue any such coverage under any such insurance
plans, the Company will pay you on the same schedule as set forth in Section 4(b),
as additional severance compensation, such amount, net of state and federal
income taxes payable by you with respect thereto, as will be sufficient for you
to obtain such insurance coverage on an individual basis assuming that you (and
each member of your family who is to be covered) is a “standard risk” for
insurance purposes.  Your rights under
this Section 4(d) shall continue only for so long as you are entitled
to receive payments of Severance Compensation under Section 4(b).

 

(e)           Definitions. 
As used in this Section 4, the following terms shall have the
following meanings:

 

(i)            “Accrued
Base Compensation”:  all amounts of
compensation for services rendered to the Company that have been earned or
accrued through the date of your termination of employment but that have not
been paid as of such date including (i) Base Salary, (ii) reimbursement
for reasonable and necessary business expenses incurred by you on behalf of the
Company during the period ending on such date, and (iii) vacation pay; provided, however, that Accrued
Compensation shall not include any amounts described in clause (i) that
have been deferred pursuant to any salary reduction or deferred compensation
elections made by you.

 

(ii)           “Cause”: (i) willful failure to perform, or gross
negligence in the performance of, your duties for the Company or any of its
affiliates;  (ii) knowing and
material breach by you of any obligation to the Company or any of its
affiliates with respect to confidential information, non-competition,
non-solicitation or the like; (iii) your breach of fiduciary duty, fraud,
embezzlement or other material

 

 

 

dishonesty with respect to the Company or any of its
affiliates; or (iv) your conviction of, or plea of nolo contendere to, a
felony (other than felonies vehicular in nature) or any other crime involving
moral turpitude; provided, however that with respect to the grounds set forth
in Section 4(e)(ii)(i), Cause shall not be deemed to exist until you have
been given written notice of the facts or circumstances allegedly constituting
such grounds and, where reasonably subject to cure, thirty (30) days to cure.

 

(iii)          “Change
of Control”:  (i) the sale of
all or substantially all of the assets or issued and outstanding capital stock
of the Company, or (ii) merger or consolidation involving the Company in
which stockholders of the Company immediately before such merger or
consolidation do not own immediately after such merger or consolidation capital
stock or other equity interests of the surviving corporation or entity
representing more than fifty percent in voting power of capital stock or other
equity interests of such surviving corporation or entity outstanding
immediately after such merger or consolidation.

 

(iv)          “Disability”:
a physical or mental infirmity that impairs your ability to substantially
perform your duties with the Company for six consecutive months.

 

(v)           “Good
Reason”: (i) a substantial reduction in your then current base salary,
without your consent; or (ii) material and continuing diminution of your
title or your responsibilities, duties and authority in the operation and
management of the Company as compared to such title or responsibilities, duties
and authority on the date of this Agreement, without your consent.

 

(vi)          “Severance
Compensation”: 100% of your Base Salary and Target Annual Performance Bonus
on the effective date of termination.

 

(vii)         “Stock Award”:
shall mean any grant of equity under the Company’s Amended and Restated 2003
Stock Option and Incentive Plan, 2007 Employee, Director and Consultant Stock
Plan or any subsequent stock plan of the Company.

 

5.             Change
of Control.  In the event of a Change
of Control in which the Company is valued at equal to or greater than $75
million, then, notwithstanding any contrary or inconsistent provision of any
Stock Award granted to you by the Company, an additional number of shares or
options equal to one hundred percent (100%) of the total shares or options in
the Stock Award shall, on the date of the Change of Control, become fully
vested and immediately exercisable.

 

6.             Parachute
Payment.  If any payment or benefit
you would receive under this Agreement, when combined with any other payment or
benefit you receive pursuant to a Change of Control (“Payment”) would (i) constitute
a “parachute payment” within the meaning of Section 280G of the Internal
Revenue Code of 1986, as amended (the “Code”), and (ii) but for this
sentence, be subject to the excise tax imposed by Section 4999 of the Code
(the “Excise Tax”), then such Payment shall be either (x) the full amount
of such Payment or (y) such lesser amount (with cash payments being
reduced before stock option compensation) as would result in no portion of the
Payment being subject to the Excise Tax, whichever of the foregoing amounts,
taking into account the applicable federal, state and local employment taxes,
income taxes, and

 

 

 

the
Excise Tax results in your receipt, on an after-tax basis, of the greater
amount of the Payment notwithstanding that all or some portion of the Payment
may be subject to the Excise Tax.

 

7.             Mutual
Release.  Upon any termination of
your employment with the Company to which Section 4(b) applies, you
and the Company shall execute a mutual release. 
Your execution of such mutual release shall be a condition precedent to
the effectiveness of Section 4(b) and 4(c).

 

8.             409A Compliance.

 

(a)           Notwithstanding any other provision
with respect to the timing of payments under this Agreement, if, at the time of
your termination, you are deemed to be a “specified employee” of the Company
within the meaning of Section 409A of the Code, then limited only to the
extent necessary to comply with the requirements of Section 409A of the
Code, any payments to which you may become entitled under this Agreement which
are subject to Section 409A of the Code (and not otherwise exempt from its
application) will be withheld until the first (1st) business day of the seventh
(7th) month following your termination of employment, at which time you shall
be paid an aggregate amount equal to the accumulated, but unpaid, payments
otherwise due to you under the terms of this Agreement.

 

(b)           The Company does not guarantee the
tax treatment or tax consequences associated with any payment or benefit set
forth in this Agreement, including but not limited to consequences related to Section 409A
of the Code.  You and the Company agree
to both negotiate in good faith and jointly execute an amendment to modify this
Agreement to the extent necessary to comply with the requirements of Code Section 409A;
provided that no such amendment shall increase the total financial
obligation of the Company under this Agreement. 
In the event that the Company determines in good faith that it is
required to withhold taxes from any payment or benefit already provided to you,
you agree to pay to the Company on demand the amount determined by the Company.

 

9.             Records.  Upon termination of your employment hereunder
for any reason or for no reason and at any other time requested by the Company,
you will deliver to the Company Group any property of the Company Group which
may be in your possession, including products, materials, memoranda, notes,
records, reports or other documents or photocopies of the same.

 

10.           Insurance. 
The Company, in its sole discretion, may apply for and purchase key
person life insurance on your life in an amount determined by the Company with
the Company Group as beneficiary and one or more other policies of insurance
insuring your life.  You will submit to
any medical or other examinations and to execute and deliver any applications
or other instruments in writing that are reasonably necessary to effectuate
such insurance.

 

11.           Representations.  You hereby represent and warrant to the
Company that you understand this Agreement, that you enter into this Agreement
voluntarily and that your employment under this Agreement will not conflict
with any legal duty owned by you to any other party, or with any agreement to
which you are a party or by which you are bound,

 

 

 

including,
without limitation, any non-competition or non-solicitation provision contained
in any such agreement.  You will
indemnify and hold harmless the Company Group and its officers, directors,
security holders, partners, members, employees, agents and representatives
against loss, damage, liability or expense arising from any claim based upon
circumstances alleged to be inconsistent with such representation and warranty.

 

12.           General.

 

(a)           Other Agreements.  The
purpose of this Agreement is to set out the above terms and conditions of your
continued employment with the Company. 
It is intended to and supersedes in its entirety your Prior Employment
Agreement and Stock Repurchase Agreement, which are hereby deemed terminated
and of no further force and effect. 
However, this Agreement is not intended to and does not supersede any
other agreements you may have with the Company, including, but not limited to
your  Non-Disclosure Agreement.  No statement, representation, warranty,
covenant or agreement of any kind not expressly set forth in this Agreement,
however, will affect, or be used to interpret, change or restrict, the express
terms and provisions of this Agreement.

 

(b)           Modifications and Amendments.  The terms and provisions of this Agreement
may be modified or amended only by written agreement executed by the parties
hereto.

 

(c)           Waivers and Consents.  The terms and provisions of this Agreement
may be waived, or consent for the departure therefrom granted, only by written
document executed by the party entitled to the benefits of such terms or
provisions.  No such waiver or consent
will be deemed to be or will constitute a waiver or consent with respect to any
other terms or provisions of this Agreement, whether or not similar.  Each such waiver or consent will be effective
only in the specific instance and for the purpose for which it was given, and
will not constitute a continuing waiver or consent.

 

(d)           Assignment. 
The Company may assign its rights and obligations hereunder to any
person or entity that succeeds to all or substantially all of the Company’s
business or that aspect of the Company’s business in which you are principally
involved or to any Company affiliate. 
You may not assign your rights and obligations under this Agreement
without the prior written consent of the Company and any such attempted
assignment by you without the prior written consent of the Company will be
void.

 

(e)           Benefit.  All
statements, representations, warranties, covenants and agreements in this
Agreement will be binding on the parties hereto and will inure to the benefit
of the respective successors and permitted assigns of each party hereto.  Nothing in this Agreement will be construed
to create any rights or obligations except between the Company and you, except
for your obligations to the Company Group as set further herein, and no person
or entity (except for a Company affiliate as set forth herein) will be regarded
as a third-party beneficiary of this Agreement.

 

 

 

(f)            Governing Law. 
This Agreement and the rights and obligations of the parties hereunder
will be construed in accordance with and governed by the law of Massachusetts,
without giving effect to the conflict of law principles thereof.

 

(g)           Jurisdiction, Venue and Service of Process.  Any legal action or proceeding with respect
to this Agreement will be
brought in the courts of Massachusetts. 
By execution and delivery of this Agreement, each of the parties hereto
accepts for itself and in respect of its property, generally and
unconditionally, the exclusive jurisdiction of the aforesaid courts.

 

(h)           WAIVER OF JURY TRIAL.  ANY ACTION, DEMAND, CLAIM OR COUNTERCLAIM
ARISING UNDER OR RELATING TO THIS AGREEMENT WILL BE RESOLVED BY A JUDGE ALONE
AND EACH OF YOU AND THE COMPANY WAIVE ANY RIGHT TO A JURY TRIAL THEREOF.

 

(i)            Headings and Captions.  The headings and captions of the various
subdivisions of this Agreement are for convenience of reference only and will
in no way modify or affect the meaning or construction of any of the terms or
provisions hereof.

 

(j)            Counterparts. 
This Agreement may be executed in two or more counterparts, and by
different parties hereto on separate counterparts, each of which will be deemed
an original, but all of which together will constitute one and the same
instrument.

 

(k)           Opportunity to Review.  You hereby acknowledge that you have had
adequate opportunity to review these terms and conditions and to reflect upon
and consider the terms and conditions of this Agreement, and that you have had
the opportunity to consult with counsel of your own choosing regarding such
terms.  You further acknowledge that you
fully understand the terms of this Agreement and have voluntarily executed this
Agreement.

 

REMAINDER OF PAGE INTENTIONALLY
LEFT BLANK

 

 

 

If the foregoing accurately sets
forth our agreement, please so indicate by signing and returning to us the
enclosed copy of this letter.

 

	
   

  	
   

  	
  Very truly yours,

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  EnerNOC, Inc.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
   /s/ David B.
  Brewster

  	
   

  
	
   

  	
  Name: David B. Brewster

  
	
   

  	
  Title: President and Chief Operating Officer

  
	
   

  	
   

  
	
   

  	
   

  
	
  Accepted and Approved

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   /s/ Timothy
  G. Healy

  	
   

  	
  August 10, 2007

  	
   

  
	
  Timothy G. Healy

  	
  DateExhibit 10.3

 

AMENDMENT
NO. 1

TO

AMENDED AND RESTATED EMPLOYMENT AGREEMENT

 

     The
Amended and Restated Employment Agreement (the “Agreement”) dated as of August 10,
2007, by and between EnerNOC, Inc., a Delaware corporation (the “Company”),
and David B. Brewster (the “Executive”) is hereby amended as set forth
below. Capitalized terms not defined herein shall have the meaning specified in
the Agreement.

 

1.                  Section 3(a) of the Agreement
is hereby amended by deleting such subsection in its entirety and substituting
the following in lieu thereof:

 

“(a)     Base
Salary.  During the period that you
are employed by the Company, the Company will pay you a base salary at the
annual rate of $325,000 (the “Base Salary”)”

 

2.                  Except as amended herein, the Agreement
is hereby confirmed in all other respects.

 

IN WITNESS WHEREOF, this
Amendment No. 1 is entered into this 21st day of February,
2008.

 

	
   

  	
  ENERNOC, INC.

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Timothy G. Healy

  	
   

  
	
   

  	
  Name:

  	
  Timothy G. Healy

  	
   

  
	
   

  	
  Title:

  	
  Chief Executive Officer

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  EXECUTIVE

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  /s/ David B. Brewster

  	
   

  
	
   

  	
  David B. Brewster

  	
   

  
					

 

 

 

[EnerNOC Letterhead]

 

August 10, 2007

 

David
B. Brewster

c/o
EnerNOC, Inc.

75
Federal Street

Suite 300

Boston,
MA  02110

 

This letter is to confirm
our understanding with respect to your continued employment by EnerNOC, Inc.
(the “Company”) and supersedes in its entirety (i) the Letter Agreement
entered into by you and the Company dated as of February 7, 2007 (the “Prior
Employment Agreement”) and (ii) the Stock Repurchase Agreement entered
into by you and the Company dated as of June 17, 2003 and amended as of January 10,
2005, May 16, 2006 and February 7, 2007 (the “Stock Repurchase
Agreement”).

 

In consideration of the
mutual promises and covenants contained in this Agreement, and for other good
and valuable consideration, the receipt and sufficiency of which are hereby
mutually acknowledged, we have agreed, effective July 1, 2007, as follows:

 

1.             Employment.

 

(a)           Subject
to the terms and conditions of this Agreement, the Company will employ you, and
you will be employed by the Company and/or any Company affiliate (collectively
referred to herein as the “Company Group”) designated by the Company, initially
as President  reporting to the
Board of Directors.  You will have
the responsibilities, duty and authority commensurate with the positions of President and Chief Operating Officer.  You will also perform such other and/or
different services for the Company as may be assigned to you from time to time
by the Board of Directors.

 

(b)           Devotion
to Duties.  While you are employed
hereunder, you will use your best efforts, skills and abilities to perform
faithfully all duties assigned to you pursuant to this Agreement and to devote
your full business time and energies to the business and affairs of the Company
Group.  While you are employed hereunder,
you will not undertake any other employment from any person or entity without
the prior written consent of the Company.

 

2.             Employment
At Will.  Your employment hereunder
will be on an “at-will” basis and may be terminated by the Company or by you
for any reason or for no reason.

 

3.             Compensation.

 

(a)           Base Salary. 
During the period that you are employed by the Company, the Company will
pay you a base salary at the annual rate of $300,000 (the “Base
Salary”).

 

 

 

The Base Salary will be payable in substantially equal
installments in accordance with the Company’s payroll practices as in effect
from time to time.  The Company will
deduct from each such installment all amounts required to be deducted or
withheld under applicable law or under any employee benefit plan in which you
participate. 
You understand and acknowledge that the annualized amount of
the Base Salary is set forth as a matter of convenience and does not constitute
nor will be deemed to constitute an agreement by the Company to employ you for
any specific period of time.

 

(b)           Annual Performance Bonus.  You will be eligible to receive an annual
performance bonus pursuant to a bonus plan to be finalized by the Compensation
Committee of the Board of Directors of the Company.  Under such bonus plan you are targeted to
receive a performance bonus equal to 70% of your Base Salary (the “Target Annual Performance Bonus”)
but which the actual amount paid will be based on whether you achieve
performance goals that are identified by the Company in the bonus plan.

 

(c)           Fringe Benefits. 
You will be entitled to participate in any employee benefit plans which
the Company provides or may establish for the benefit of its executives
generally (for example, group life, disability, medical, dental and other
insurance, retirement, pension, profit-sharing and similar plans)
(collectively, the “Fringe Benefits”), provided that the Fringe Benefits will
not include any stock option or similar plans relating to the grant of equity
securities of the Company.  Your
eligibility to participate in the Fringe Benefits and receive benefits
thereunder will be subject to the plan documents governing such Fringe
Benefits.  Nothing contained herein will
require the Company to establish or maintain any Fringe Benefits.

 

(d)           Reimbursement of Expenses.  Upon presentation of documentation of such
expenses reasonably satisfactory to the Company, the Company will reimburse you
for all ordinary and reasonable out-of-pocket business expenses, including
parking expenses, that are reasonably incurred by you in furtherance of the
Company’s business in accordance with the Company’s policies with respect
thereto as in effect from time to time; provided, however, all reimbursements
will be made by March 15th of the year after the year in which
the expenses are incurred.

 

4.             Payments Upon Termination.

 

(a)           In the event of the termination of your employment
hereunder for any reason or for no reason, the Company (a) will pay to you
(or to your estate) (i) the portion of your Base Salary that has accrued
prior to such termination and has not yet been paid, and (ii) an amount
equal to the value of your accrued unused vacation days; and (b) will
reimburse you for expenses properly incurred by you on behalf of the Company
prior to such termination and properly documented in accordance with Section 3(d) above.  Such amounts will be paid promptly after
termination.

 

(b)           If
the Company terminates your employment without Cause, or you terminate your
employment with Good Reason, the Company will pay you an amount

 

 

 

equal to your Severance Compensation in twenty (20)
equal monthly installments in arrears commencing one month after the date of
termination and shall also pay you, on the date of your termination, your
Accrued Base Compensation as of the termination date.  The Company’s obligation to make such
payments to you shall cease upon your material breach of any written agreement
between you and the Company or of any written policy of the Company by which
you are bound, if such breach causes or is likely to cause material harm to the
Company.

 

(c)           If
the Company terminates your employment at any time for Cause, or upon your
death or Disability, the Company will pay you your Accrued Base Compensation.

 

(d)           Upon
any termination of your employment with the Company to which Section 4(b) applies,
the Company shall maintain the benefits that you were receiving as of the
termination date and shall take such measures as are permissible under its
medical, life, and disability insurance and any other employee benefit plans or
programs to continue coverage or reimbursement for you (and your family, if
applicable) on the same terms (including any required contribution by you) as
immediately prior to such termination. 
If it is not permissible to continue any such coverage under any such
insurance plans, the Company will pay you on the same schedule as set forth in Section 4(b),
as additional severance compensation, such amount, net of state and federal
income taxes payable by you with respect thereto, as will be sufficient for you
to obtain such insurance coverage on an individual basis assuming that you (and
each member of your family who is to be covered) is a “standard risk” for
insurance purposes.  Your rights under
this Section 4(d) shall continue only for so long as you are entitled
to receive payments of Severance Compensation under Section 4(b).

 

(e)           Definitions.  As used in this Section 4, the following
terms shall have the following meanings:

 

(i)            “Accrued
Base Compensation”:  all amounts of
compensation for services rendered to the Company that have been earned or
accrued through the date of your termination of employment but that have not
been paid as of such date including (i) Base Salary, (ii) reimbursement
for reasonable and necessary business expenses incurred by you on behalf of the
Company during the period ending on such date, and (iii) vacation pay; provided, however, that Accrued
Compensation shall not include any amounts described in clause (i) that
have been deferred pursuant to any salary reduction or deferred compensation
elections made by you.

 

(ii)           “Cause”: (i) willful failure to perform, or gross
negligence in the performance of, your duties for the Company or any of its
affiliates;  (ii) knowing and
material breach by you of any obligation to the Company or any of its
affiliates with respect to confidential information, non-competition,
non-solicitation or the like; (iii) your breach of fiduciary duty, fraud,
embezzlement or other material

 

 

 

dishonesty with respect to the Company or any of its
affiliates; or (iv) your conviction of, or plea of nolo contendere to, a
felony (other than felonies vehicular in nature) or any other crime involving
moral turpitude; provided, however that with respect to the grounds set forth
in Section 4(e)(ii)(i), Cause shall not be deemed to exist until you have
been given written notice of the facts or circumstances allegedly constituting
such grounds and, where reasonably subject to cure, thirty (30) days
to cure.

 

(iii)          “Change
of Control”:  (i) the sale of
all or substantially all of the assets or issued and outstanding capital stock
of the Company, or (ii) merger or consolidation involving the Company in
which stockholders of the Company immediately before such merger or
consolidation do not own immediately after such merger or consolidation capital
stock or other equity interests of the surviving corporation or entity
representing more than fifty percent in voting power of capital stock or other
equity interests of such surviving corporation or entity outstanding
immediately after such merger or consolidation.

 

(iv)          “Disability”:
a physical or mental infirmity that impairs your ability to substantially
perform your duties with the Company for six consecutive months.

 

(v)           “Good
Reason”: (i) a substantial reduction in your then current base salary,
without your consent; or (ii) material and continuing diminution of your
title or your responsibilities, duties and authority in the operation and
management of the Company as compared to such title or responsibilities, duties
and authority on the date of this Agreement, without your consent.

 

(vi)          “Severance
Compensation”: 100% of your Base Salary and Target Annual Performance Bonus
on the effective date of termination.

 

(vii)         “Stock Award”:
shall mean any grant of equity under the Company’s Amended and Restated 2003
Stock Option and Incentive Plan, 2007 Employee, Director and Consultant Stock
Plan or any subsequent stock plan of the Company.

 

5.             Change
of Control.  In the event of a Change
of Control in which the Company is valued at equal to or greater than $75
million, then, notwithstanding any contrary or inconsistent provision of any
Stock Award granted to you by the Company, an additional number of shares or
options equal to one hundred percent (100%) of the total shares or options in the
Stock Award shall, on the date of the Change of Control, become fully vested
and immediately exercisable.

 

6.             Parachute
Payment.  If any payment or benefit
you would receive under this Agreement, when combined with any other payment or
benefit you receive pursuant to a Change of Control (“Payment”) would (i) constitute
a “parachute payment” within the meaning of Section 280G of the Internal
Revenue Code of 1986, as amended (the “Code”), and (ii) but for this
sentence, be subject to the excise tax imposed by Section 4999 of the Code
(the “Excise Tax”), then such Payment shall be either (x) the full amount
of such Payment or (y) such lesser amount (with cash payments being
reduced before stock option compensation) as would result in no portion of the
Payment being subject to the Excise Tax, whichever of the foregoing amounts,
taking into account the applicable federal, state and local employment taxes,
income taxes, and

 

 

 

the
Excise Tax results in your receipt, on an after-tax basis, of the greater
amount of the Payment notwithstanding that all or some portion of the Payment
may be subject to the Excise Tax.

 

7.             Mutual
Release.  Upon any termination of
your employment with the Company to which Section 4(b) applies, you
and the Company shall execute a mutual release. 
Your execution of such mutual release shall be a condition precedent to
the effectiveness of Section 4(b) and 4(c).

 

8.             409A Compliance.

 

(a)           Notwithstanding any other provision
with respect to the timing of payments under this Agreement, if, at the time of
your termination, you are deemed to be a “specified employee” of the Company
within the meaning of Section 409A of the Code, then limited only to the
extent necessary to comply with the requirements of Section 409A of the
Code, any payments to which you may become entitled under this Agreement which
are subject to Section 409A of the Code (and not otherwise exempt from its
application) will be withheld until the first (1st) business day of the seventh
(7th) month following your termination of employment, at which time you shall
be paid an aggregate amount equal to the accumulated, but unpaid, payments
otherwise due to you under the terms of this Agreement.

 

(b)           The Company does not guarantee the
tax treatment or tax consequences associated with any payment or benefit set
forth in this Agreement, including but not limited to consequences related to Section 409A
of the Code.  You and the Company agree
to both negotiate in good faith and jointly execute an amendment to modify this
Agreement to the extent necessary to comply with the requirements of Code Section 409A;
provided that no such amendment shall increase the total financial
obligation of the Company under this Agreement. 
In the event that the Company determines in good faith that it is required
to withhold taxes from any payment or benefit already provided to you, you
agree to pay to the Company on demand the amount determined by the Company.

 

9.             Records.  Upon termination of your employment hereunder
for any reason or for no reason and at any other time requested by the Company,
you will deliver to the Company Group any property of the Company Group which
may be in your possession, including products, materials, memoranda, notes,
records, reports or other documents or photocopies of the same.

 

10.           Insurance. 
The Company, in its sole discretion, may apply for and purchase key
person life insurance on your life in an amount determined by the Company with
the Company Group as beneficiary and one or more other policies of insurance
insuring your life.  You will submit to
any medical or other examinations and to execute and deliver any applications
or other instruments in writing that are reasonably necessary to effectuate
such insurance.

 

11.           Representations.  You hereby represent and warrant to the
Company that you understand this Agreement, that you enter into this Agreement
voluntarily and that your employment under this Agreement will not conflict
with any legal duty owned by you to any other party, or with any agreement to
which you are a party or by which you are bound,

 

 

 

including,
without limitation, any non-competition or non-solicitation provision contained
in any such agreement.  You will
indemnify and hold harmless the Company Group and its officers, directors,
security holders, partners, members, employees, agents and representatives
against loss, damage, liability or expense arising from any claim based upon
circumstances alleged to be inconsistent with such representation and warranty.

 

12.           General.

 

(a)           Other Agreements.  The purpose
of this Agreement is to set out the above terms and conditions of your
continued employment with the Company. 
It is intended to and supersedes in its entirety your Prior Employment
Agreement and Stock Repurchase Agreement, which are hereby deemed terminated
and of no further force and effect. 
However, this Agreement is not intended to and does not supersede any
other agreements you may have with the Company, including, but not limited to
your  Non-Disclosure Agreement.  No statement, representation, warranty,
covenant or agreement of any kind not expressly set forth in this Agreement,
however, will affect, or be used to interpret, change or restrict, the express
terms and provisions of this Agreement.

 

(b)           Modifications and Amendments.  The terms and provisions of this Agreement
may be modified or amended only by written agreement executed by the parties
hereto.

 

(c)           Waivers and Consents.  The terms and provisions of this Agreement
may be waived, or consent for the departure therefrom granted, only by written
document executed by the party entitled to the benefits of such terms or
provisions.  No such waiver or consent
will be deemed to be or will constitute a waiver or consent with respect to any
other terms or provisions of this Agreement, whether or not similar.  Each such waiver or consent will be effective
only in the specific instance and for the purpose for which it was given, and
will not constitute a continuing waiver or consent.

 

(d)           Assignment. 
The Company may assign its rights and obligations hereunder to any
person or entity that succeeds to all or substantially all of the Company’s
business or that aspect of the Company’s business in which you are principally
involved or to any Company affiliate. 
You may not assign your rights and obligations under this Agreement
without the prior written consent of the Company and any such attempted
assignment by you without the prior written consent of the Company will be
void.

 

(e)           Benefit.  All
statements, representations, warranties, covenants and agreements in this
Agreement will be binding on the parties hereto and will inure to the benefit
of the respective successors and permitted assigns of each party hereto.  Nothing in this Agreement will be construed
to create any rights or obligations except between the Company and you, except
for your obligations to the Company Group as set further herein, and no person
or entity (except for a Company affiliate as set forth herein) will be regarded
as a third-party beneficiary of this Agreement.

 

 

 

(f)            Governing Law. 
This Agreement and the rights and obligations of the parties hereunder
will be construed in accordance with and governed by the law of Massachusetts,
without giving effect to the conflict of law principles thereof.

 

(g)           Jurisdiction, Venue and Service of Process.   Any legal action or proceeding with respect
to this Agreement will be
brought in the courts of Massachusetts. 
By execution and delivery of this Agreement, each of the parties hereto
accepts for itself and in respect of its property, generally and
unconditionally, the exclusive jurisdiction of the aforesaid courts.

 

(h)           WAIVER OF JURY TRIAL.  ANY ACTION, DEMAND, CLAIM OR COUNTERCLAIM
ARISING UNDER OR RELATING TO THIS AGREEMENT WILL BE RESOLVED BY A JUDGE ALONE
AND EACH OF YOU AND THE COMPANY WAIVE ANY RIGHT TO A JURY TRIAL THEREOF.

 

(i)            Headings and Captions.  The headings and captions of the various
subdivisions of this Agreement are for convenience of reference only and will
in no way modify or affect the meaning or construction of any of the terms or
provisions hereof.

 

(j)            Counterparts. 
This Agreement may be executed in two or more counterparts, and by
different parties hereto on separate counterparts, each of which will be deemed
an original, but all of which together will constitute one and the same
instrument.

 

(k)           Opportunity to Review.  You hereby acknowledge that you have had
adequate opportunity to review these terms and conditions and to reflect upon
and consider the terms and conditions of this Agreement, and that you have had
the opportunity to consult with counsel of your own choosing regarding such
terms.  You further acknowledge that you
fully understand the terms of this Agreement and have voluntarily executed this
Agreement.

 

REMAINDER OF PAGE INTENTIONALLY
LEFT BLANK

 

 

 

If the foregoing accurately sets
forth our agreement, please so indicate by signing and returning to us the
enclosed copy of this letter.

 

	
   

  	
   

  	
  Very truly yours,

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  EnerNOC, Inc.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   /s/ Timothy
  G. Healy

  	
   

  
	
   

  	
  Name: Timothy G. Healy

  	
   

  
	
   

  	
  Title: Chief Executive Officer

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Accepted and Approved

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   /s/ David B.
  Brewster

  	
   

  	
  August 10, 2007

  	
   

  
	
  David B. Brewster

  	
  Date

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00139-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00139-of-00352.parquet"}]]