Document:

EX-10.16

 Exhibit 10.16 

SETTLEMENT AGREEMENT AND RELEASE 

THIS AGREEMENT (the “Agreement”) is made as of November 05, 2019 (“Effective Date”), among: 

GEOFF GOSLING, an individual residing in Alberta (“Gosling”) 

- and - 
 DIRTT ENVIRONMENTAL
SOLUTIONS LTD., a corporation subsisting under the laws of Alberta (“DIRTT”) 
 WHEREAS Gosling is employed by
DIRTT; 
 AND WHEREAS Gosling wishes to resign from his employment effective November 15, 2019 (the “Final Date”);

 AND WHEREAS while Gosling and DIRTT do not agree on the compensation that Gosling is entitled to pursuant to the Employment
Agreement (as defined below) or common law, DIRTT has agreed to provide Gosling significant consideration as described herein; 
 AND
WHEREAS a significant portion of the Consideration (as defined below) being paid to Gosling 1s in connection with him entering into the non-competition,
non-solicitation, no-hire and new invention provisions set out in this Agreement; 

AND WHEREAS the parties wish to resolve all matters arising out of his resignation of the relationship; 

NOW THEREFORE THIS AGREEMENT WITNESSETH THAT in consideration of the mutual agreements, covenants and releases made herein, DIRTT and
Gosling hereby agree as follows: 
  

	1.	 RELEASE 

In consideration of the payments made by DIRTT to Gosling in the manner and the amount described in Section 2 of this Agreement, receipt
of which is hereby acknowledged, Gosling does for himself and his heirs, executors, administrators and assigns (collectively, referred to as the “Executive”), forever release, remise and discharge DIRTT, its respective successors,
assigns, subsidiaries, affiliates, trustees, beneficiaries and all of its officers, directors, executives and agents (together, the “Company”), jointly and severally from any and all actions, causes of actions, contracts (whether
express or implied), claims and demands for damage, loss or injury, suits, debts, sums of money, indemnity, expenses, interest, costs and claims of any and every kind and nature whatsoever, at law, in equity, pursuant to statute, which against the
Company, the Executive ever had, now has, or can hereafter have by reasons of or existing out of any causes whatsoever existing up to and inclusive of the date of this Agreement, including but without limiting the generality of the foregoing: 

 

	 	(a)	 the Executive Employment Agreement between the Executive and the Company, effective October 21, 2013
(the “Employment Agreement”); 

  

	 	(b)	 the Executive’s employment with the Company; 

	 	(c)	 the termination thereof; 

 

	 	(d)	 any and all claims for damages, salary, wages, termination pay, severance pay, vacation or holiday pay,
commissions, bonuses, pension, stock options, shares, grants, units, expenses, relocation expenses, allowances, short and long-term disability, health, life and dental benefits, long-term incentive payments, or any other benefits arising out of the
Executive’s employment with the Company; 

  

	 	(e)	 any and all claims arising under the Company’s Amended and Restated Incentive Stock Option Plan
dated August 2, 2017 (the “Stock Option Plan”); 

  

	 	(f)	 any and all claims arising under the Company’s Performance Share Unit Plan, effective January 1,
2017 (the “PSU Plan”); 

  

	 	(g)	 any and all claims arising under the Restricted Share Unit Award Agreement dated May 10, 2019 as between
the Company and the Executive (the “RSU Agreement”); 

  

	 	(h)	 loss of position, status, future opportunity or reputation; and 

 

	 	(i)	 any and all claims arising out of or by virtue of the Alberta Human Rights Act, the Workers’
Compensation Act (Alberta) and the Occupational Health and Safety Act (Alberta). 

 The Company acknowledges and
agrees that this Release does not operate to release it from fulfilling its obligations to the Executive contained in Section 2 of this Agreement. 
  

	2.	 CONSIDERATION 

Subject to the Executive’s agreement to the terms and conditions in this Agreement, the Company agrees to the following: 

 

	 	(a)	 The Company shall pay the Executive all unpaid salary accrued to the Final Date; 

 

	 	(b)	 The Executive shall submit all expenses to the Company, within 10 days of the Final Date. Provided the expenses
are appropriate, the expenses will be paid within 14 days of submission; 

  

	 	(c)	 The Company shall pay the Executive a lump sum severance payment of $497,500.00 on the Final Date;

  

	 	(d)	 The Company shall provide the Executive 12 consecutive monthly payments in the amount of $26,250.00 per month,
totaling $315,000.00, commencing December 1, 2019 and on the first of each month thereafter (“Salary Continuance”). The Salary Continuance payments will be made via regular payroll deposits. The Salary Continuance is subject to the
Executive’s ongoing compliance with the terms and conditions set out in this Agreement. If, at any time, the Executive is in breach of this Agreement, the Salary Continuance payments will immediately cease; 

 

	 	(e)	 If a bonus is paid by the Company to senior executives at the Company for 2019, the Executive will
receive a pro-rata share of the 2019 bonus payment the Executive would have otherwise been entitled to, but for the termination, based on the number of months of the year the Executive was employed by the
Company in 2019, up to the Final Date. The calculation of the bonus will be determined in the regular course, and will be paid within 10 days of its determination; 

  
 - 2 - 

	 	(f)	 The Executive will continue to be eligible to participate in the Company’s health and dental benefits
plan, subject to the terms of the applicable plans for 24 months from the Final Date. Alternatively, at the Company’s sole discretion, the Company may withdraw the Executive from the health and dental benefits plans and provide a monthly
payment made via regular payroll deposits of an amount equal to the Executive’s monthly replacement cost for such health and dental benefits until the end of the 24 month period; 

 

	 	(g)	 The Company will provide the Executivea lump sum payment in the amount of $110,167.50, which is calculated
based on the averages of the bonus provided for the fiscal 2017 year (paid 2018) and the fiscal 2018 year (paid 2019), payable within 10 days of the Final Date; 

 

	 	(h)	 The Executive will receive cash payout of his Restricted Share Units (“RSU”) in accordance
with the RSU Agreement, with the payment value to be determined by multiplying 25,000 units by the volume weighted average price of a share of the Company common stock (“Share”) for the 5 trading days of the Shares on the Toronto
Stock Exchange prior to the Final Date (the “Share Price”), payable within 10 days of the Final Date; 

  

	 	(i)	 The Executive will receive accelerated vesting and payout of his Performance Share Units
(“PSU”) for 2018 and 2019, payable within 10 days of the Final Date, and in accordance with the PSU Plan. For 2018 and 2019 respectively, 9,773.5 units and 11,162.22 units (in the aggregate, the “Vested PSU
Units”) wou ld be paid out to the Executive, in the amount calculated by multiplying the Vested PSU Units by the Share Price; 

  

	 	(j)	 The Executive may retain his cellphone, two offsite computers and iPads (the “DIRTT Devices”).
The Executive shall remove any confidential or proprietary information of the Company from the DIRTT Devices. The Executive shall work with the Company IT to ensure that all Company confidential or proprietary information is properly removed;

  

	 	(k)	 The Executive will retain his cell phone number. The Company will provide authorization for the Executive to
port the number to his own private plan; 

  

	 	(l)	 The Executive’s options will be treated in accordance with Section 4.4(b) of the Stock Option Plan;
and 

  

	 	(m)	 All shares that the Executive owns under the Employee Share Purchase Plan effective April 16, 2014 (the
“ESS Plan”) shall be dealt with by the parties in accordance with the ESS Plan (together, the “Consideration”). 

 

	3.	 NO ADMISSION 

The Executive acknowledges that the Consideration paid pursuant to Section 2 above does not constitute any admission of liability by the
Company. 

  
 - 3 - 

	4.	 THE EXECUTIVE’S COVENANTS 

 

	 	(a)	 The Executive shall cooperate with the Company in connection with the internal and external messaging regarding
his departure; 

  

	 	(b)	 The Executive shall provide written resignation from all offices of the Company, effective the Final Date; and

  

	 	(c)	 The Executive will cooperate in any litigation matters involving the Company, as required, including acting, as
needed, in an advisory role, or preparing for or acting as a witness at any application, hearing or trial involving the Company. 

  

	5.	 INDEMNITY FOR TAXES, ETC. 

The Executive agrees that, for the Consideration set out in this Agreement, the Executive will save harmless and indemnify the Company from and
against all claims, charges, taxes or interest, penalties and demands which may be made by the Minister of National Revenue requiring the Company to pay income tax under the Income Tax Act (Canada), in respect of income tax payable by the
Executive in excess of the income tax withheld pursuant to this Agreement; and in respect of any and all claims, charges, taxes, or penalties and demands which may be made on behalf of or related to the Employment Insurance Commission or the Canada
Pension Commission under the applicable statutes and regulations, with respect to any amount which may, in the future, be found to be payable by the Company in respect of the payments to the Executive pursuant to this Agreement. The Executive
acknowledges and agrees that he is solely responsible for any Employment Insurance overpayments. 
  

	6.	 EMPLOYMENT STANDARDS CODE 

The Executive acknowledges receipt of all wages, overtime pay, vacation pay, general holiday pay, and pay in lieu of notice of termination of
employment that the Executive is entitled to by virtue of the Employment Standards Code (Alberta), and the Executive further confirms that there are no entitlements, overtime pay or wages due and owing to the Executive by the Company. 

 

	7.	 BENEFITS RELEASE 

The Executive acknowledges and agrees that the Consideration paid, and to be paid pursuant to Section 2 above includes full compensation
and consideration for loss of employment benefits. Other than as provided by Section 2(f) of this Agreement, all of the Executive’s benefits ceased effective the Final Date. The Executive acknowledges that he has no further claim against
the Company for benefits. The Executive fully accepts sole responsibility to replace those benefits that he wishes to continue and to exercise conversion privileges applicable with respect to benefits. In the event that the Executive becomes
disabled following the expiry of employment benefit coverage, the Executive agrees not to sue the Company for insurance or other benefits, or for loss of benefits. The Executive hereby releases the Company from any further obligations or liabilities
arising from the Executive’s employment benefits. 
  

	8.	 NON-DISCLOSURE 

The Executive agrees that he will not divulge or disclose directly or indirectly the contents of this Agreement or the terms of settlement
relating to the resignation of the Executive’s employment with the Company to any person, including but without limiting the generality of the foregoing, to employees or former employees of the Company, except his legal and financial advisors,
and his spouse, on the condition that they maintain the confidentiality thereof, or as required by law. 

  
 - 4 - 

	9.	 CONFIDENTIALITY 

The Executive recognizes and acknowledges that during his employment with the Company he had access to certain confidential and proprietary
information, the disclosure of which could be harmful to the interests of the Company. The Executive acknowledges that he has taken and will in future take appropriate precautions to safeguard the confidential information of the Company. 

The Executive recognizes and agrees that all written and electronic drawings, manuals, letters, notebooks, reports, records and similar
collections of confidential and proprietary information of the Company (hereinafter collectively called “Documents”), are the property of the Company and the Executive expressly acknowledges and it is a condition of the
payment of the Consideration, that the Executive has delivered all such Documents and other Company property (excepting only the DIRTT Devices) to the Company. The Executive will provide a statutory declaration, if requested by the Company,
confirming that he has returned all Documents, confidential and proprietary information and Company property to the Company. 
 For greater
certainty, the obligations in this section are in addition to the fiduciary obligations that the Executive owes to the Company. 
  

	10.	 NON-COMPETITION 

The Executive covenants and agrees that for a period of 24 months following the Final Date, the Executive shall not, anywhere in North America
(the “Territory”), directly or indirectly, in any manner whatsoever in the Territory including, either individually, through an affiliate or subsidiary or in partnership, jointly or in conjunction with any other person, or as
employee, principal, agent, consultant, contractor, director, shareholder, interest holder, partner, limited partner, lender or in any other manner: 
  

	 	(a)	 be engaged in, participate in, operate, be retained by, consult for, or be employed by any undertaking,
endeavour, activity or business; 

  

	 	(b)	 have any financial or other interest, including an interest by way of royalty or other compensation
arrangements, in or in respect of an undertaking, endeavour, activity or business; or 

  

	 	(c)	 advise, manage, lend money to or guarantee the debts or obligations of, or permit the use of the
Executive’s name or any part thereof in, an undertaking which carries on a business, 

 which is the same as, or
substantially similar to, or that competes, or could be expected to compete, with the Business, or any material part thereof. For greater certainty, Falkbuilt Ltd., or any affiliate or subsidiary of Falkbuilt Ltd., is competitive with the Business.

 For the purposes of this Agreement, “Business” means: (i) manufacturing and or sale of custom prefabricated interior
wall partitions including the following which can integrate with the walls solutions: plug’n’play pre-fabricated modular network data cable distribution, plug’n’play prefabricated
electrical power cable distribution, custom prefabricated modular case goods, prefabricated low profile flooring, wall mounted writing surfaces and writeable wall surfaces; and (ii) the sale of 3D computer aided design configuration software to
third parties for design, ordering and manufacturing. 

  
 - 5 - 

 Notwithstanding the foregoing, nothing herein shall prevent the Executive from owning not
more than 5% of the issued securities of an entity, the securities of which are listed on a recognized stock exchange or traded in the over-the-counter market in Canada, which is the same as, or substantially
similar to, or that competes, or could be expected to compete, with the Business, or any material part thereof, in the Territory. 
 For
greater certainty, the obligations in this section are in addition to the fiduciary obligations that the Executive owes to the Company. 
  

	11.	 NON-SOLICITATION 

The Executive covenants and agrees that for a period of 24 months after the Final Date, the Executive shall not directly or indirectly, in any
manner whatsoever including, either individually, through an affiliate or subsidiary or in partnership, jointly or in conjunction with any other person, or as employee, principal, agent, consultant, contractor, director, shareholder, interest
holder, partner, limited partner, lender or in any other manner: 
  

	 	(a)	 contact, solicit or interfere with any person reasonably known to be a prospective, current or former client or
customer of the Company (“Customer”) for the purpose of selling to such Customer any products or services which are the same as or substantially similar to, or competitive with, the products or services sold by the Company at such
date or to persuade or attempt to persuade any Customer to change its relationship or potential relationship with the Company or to restrict, limit, discontinue or cease considering purchasing any products or services provided by any member of the
Company or to reduce the amount of business or potential business which any such Customer has customarily done with any member of the Company; 

  

	 	(b)	 contact, solicit or interfere with any person reasonably known to be a prospective, current or former supplier,
distributor, distribution partner, or joint venture partner of the Company (a “Supplier”) for the purpose of persuading or attempting to persuade any Supplier to change its relationship with any member of the Company or to restrict,
limit or discontinue or to reduce the amount of business which any such Supplier has customarily done with any member of the Company (or its predecessors); 

  

	 	(c)	 solicit or attempt to solicit, or assist or encourage any person to solicit any employee of the Company or any
consultant or contractor who regularly provides services to the Company, or assist or encourage any such employee, consultant or contractor to accept employment or engagement elsewhere; or 

 

	 	(d)	 in any manner, directly or indirectly, knowingly do or cause or permit to be done any acts that would
reasonably be expected to impair the relationship between the Company and its suppliers, customers, employees, regulatory authorities or any other person. 

For greater certainty, the obligations in this section are in addition to the fiduciary obligations that the Executive owes to the Company.

  
 - 6 - 

	12.	 NO HIRE 

The Executive covenants and agrees that for a period of 24 months after the Final Date, the Executive shall not directly or indirectly, in any
manner whatsoever including, either individually, through an affiliate or subsidiary or in partnership, jointly or in conjunction with any other person, or as employee, principal, agent, consultant, contractor, director, shareholder, interest
holder, partner, limited partner, lender or in any other manner, contract with, employ or hire any Company employee, consultant, contractor or distribution partner who currently provides services to the Company or has provided services to the
Company at any time in the 24 month period prior to the Final Date. 
 For greater certainty, the obligations in this section are in addition
to the fiduciary obligations that the Executive owes to the Company. 
  

	13.	 NEW INVENTIONS 

In addition, and not in substitution, to the Executive’s obligations under Section 15 of the Employment Agreement, which obligations
shall survive following the Final Date, the Executive agrees that following the Final Date he shall not, without the express written permission of the Company: 
  

	 	(a)	 personally, or assist a third party to, create, conceive of, or develop, any new Materials (as defined in the
Employment Agreement at Section 15(a)) or any new inventions, technology or other intellectual property in any form derived, directly or indirectly, from the Materials; and 

 

	 	(b)	 personally, or assist a third party to, use, modify, improve, innovate or further develop the Materials or the
Company’s intellectual property in any manner. 

 Subject to the express exclusion set out below, the Executive
further agrees that for a period of 24 months after the Final Date (the “Post Departure IP Period”) any intellectual property of whatever nature and kind created, conceived or developed by the Executive in any form during the Post
Departure IP Period and all rights, moral rights, title, interest, ownership or claims arising at any time therefrom, including following the Post Departure IP Period (collectively “New Inventions”), are irrevocably and perpetually
assigned throughout the World exclusively to the Company. New Inventions includes, but is not limited to: (i) all technology, inventions, discoveries, creations, trade secrets, designs, data, documentation, publications, research, findings,
reports, methods, models, diagrams, practices, techniques, programs, concepts, ideas, plans, strategies, know-how, analyses, works, devices, algorithms, formulae, processes, procedures, specifications,
technical information, interfaces, interactive elements, functionality, treatments, outlines, drawings, engineering, systems, industrial property, databases, developments, enhancements, modifications, derivative works and improvements (all in all
forms and of whatever nature or kind, whether or not patentable or otherwise protectable in law); (ii) all patents, patent applications, patentable subject matter, and patent disclosures and utility models, together with all divisions, re-issuances, continuations, continuations-in-part, revisions, renewals, improvements, substitutions, reversions, extensions and re-examinations thereof or thereto of any of the foregoing; (iii) registered
trademarks, applied for trademarks, common law trademarks, service marks, famous names, trade names. Internet domain names, brand names, symbols, logos and slogans and all applications and registrations thereof; (iv) copyrightable works and
copyrights and all applications and registrations thereof; (v) industrial designs, integrated circuits, topographies, circuits and other similar technologies and all applications and registrations thereof; (vi) software and software tools
(including source code, data and related documentation). 

  
 - 7 - 

 The Executive agrees to fully cooperate with the Company in order to protect New Inventions
and intellectual property rights arising therefrom, including executing all documents and doing all other acts necessary in order to enable the Company to protect its rights in New Inventions and the intellectual property rights relating to New
Inventions or arising therefrom. 
 For the purpose of this Agreement and for greater clarity with respect to the scope of the within clause,
New Inventions shall not include any intellectual property of whatever nature and kind created, conceived or developed by the Executive that is unrelated to the Business. The Company has no rights, title, interest, ownership or claims arising from
or in any way related to any intellectual property of whatever nature and kind created, conceived or developed by the Executive that is unrelated to the Business. 

For greater certainty, the obligations in this section are in addition to the fiduciary obligations that the Executive owes to the Company.

  

	14.	 NON-DISPARAGING 

The Executive understands and agrees that he will not, at any time, denigrate, through adverse or disparaging communication, written or oral,
whether true or not, the operations or business of the Company or its current or former employees, officers or directors. 
  

	15.	 REASONABLENESS 

The Executive agrees that all restrictions in Sections 8 to 14 of this Agreement are necessary and fundamental to the protection of the Company
and are reasonable and valid. 
  

	16.	 INJUNCTIVE RELIEF 

The Executive acknowledges that a breach or threatened breach by the Executive of any of his obligations in Sections 8 to 14 will result in the
Company suffering irreparable harm, which cannot be calculated or fully or adequately compensated by recovery of damages alone. Accordingly, the Executive agrees that, in addition to any other relief to which the Company may become entitled, the
Company shall be entitled to interim and permanent injunctive relief, specific performance and other equitable remedies. 
  

	17.	 PAYMENTS CEASE 

In addition to all other remedies the Company may have, if the Executive breaches any of Sections 4 or 8 to 14 of this Agreement or Sections 14
to 16 of the Employment Agreement in any material respect, all payments and benefits to the Executive under Section 2 of this Agreement immediately cease and all incentive and security based compensation is forfeited. 

 

	18.	 FURTHER CLAIMS 

The Executive agrees not to make claim or take proceedings against any other person or corporation that might claim contribution or indemnity
under the provisions of any statute or otherwise against the Company. 

  
 - 8 - 

	19.	 COMPLETE AGREEMENT 

It is understood by the Company and the Executive that this Agreement and Sections 14 to 17 of the Employment Agreement contain the entire
agreement between the parties hereto and that the terms of this Agreement are contractual and not a mere recital. 
  

	20.	 UNDERSTANDING 

The Executive hereby declares that the Executive has had independent legal advice from Robert Rakochey of Field Law LLP with respect to the
matters addressed in this Agreement and the terms of settlement which have been agreed to by the Executive and the Company and the Executive fully understands them. The Executive hereby voluntarily accepts the said terms for the purpose of making
full and final compromise, adjustment and settlement of all claims as aforesaid. 
  

	21.	 SEVERABILITY 

In the event that any provision hereof becomes or is declared by a court of competent jurisdiction to be illegal, unenforceable or void, this
Agreement shall continue in full force and effect without said provision. 
  

	22.	 GOVERNING LAW 

The Agreement shall be governed by the laws of the Province of Alberta. 

 

	23.	 PAYMENT & CURRENCY 

All payments described in this Agreement are in Canadian dollars and will be less withholdings. 

 

	24.	 EXECUTION 

This Agreement may be executed in counterparts, all of which taken together will be deemed to constitute one and the same agreement, and a
facsimile signature or a digitally scanned signature shall be deemed an original signature for purposes of execution. 
 [The remainder of
this page is intentionally left blank.] 

  
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 DATED at Calgary, Alberta as of the Effective Date. 

	
	DIRTT ENVIRONMENTAL SOLUTIONS LTD.
	
	 /s/ Kevin O’Meara

	Name: Kevin O’Meara
	Title: Chief Executive Officer

  

					
	 /s/ Darcie Gosling
	 	                    	  	 /s/ Geoff Gosling

	Witness (Signature)	 		  	GEOFF GOSLING
			
	 Darcie Gosling
	 		  	
	Witness (Print)	 		  	

  
 - 10 -EX-10.17

 Exhibit 10.17 

RESTRICTED SHARE UNIT AWARD AGREEMENT 
  

			
	TO:	  	GEOFF GOSLING, a resident of Calgary in the Province of Alberta (the “Participant”), in his capacity as an employee of the Corporation
		
	FROM:	  	DIRTT ENVIRONMENTAL SOLUTIONS LTD., a body corporate amalgamated under the laws of the Province of Alberta (the “Corporation”)
		
	DATE:	  	May 30, 2019

  

	1.	 Purpose. The purpose of this Award Agreement is: 

 

	 	(a)	 to provide a financial incentive for the Participant to devote his best efforts to the long-term success of the
Corporation, and to align such incentive with the interests of the shareholders of the Corporation; and 

  

	 	(b)	 to encourage retention of employees of the Corporation by ensuring that the Participant’s total
compensation, including salary, bonus and other compensation is at competitive levels. 

  

	2.	 Definitions. In this Award Agreement, the following terms have the following meanings:

  

	 	(a)	 “Beneficiary” means, subject to applicable law, an individual who has been designated by the
Participant, in such form and manner as the Board (as defined below) or Committee (as defined below), as the case may be, may determine, to receive benefits payable under this Award Agreement upon the death of the Participant, or, where no such
designation is validly in effect at the time of death, or where the designated individual does not survive the Participant, the Participant’s legal representative; 

 

	 	(b)	 “Board” means the board of directors of the Corporation as constituted from time to time;

  

	 	(c)	 “Just Cause” has the meaning set out in section 1(m) of the Employment Agreement;

  

	 	(d)	 “Cessation Date” means the last day of active employment of the Participant with the
Corporation or an affiliate, as the case may be, regardless of the reason for the termination of employment or whether it was lawful, and does not include any period of statutory, contractual or reasonable notice of termination of employment or any
period of salary continuance or deemed employment. A transfer of employment or services between the Corporation and an affiliate or between affiliates of the Corporation shall not be considered an interruption or termination of the employment of the
Participant for any purpose of this Award Agreement; 

  

	 	(e)	 “Committee” means the Human Resources and Compensation Committee of the Board, or such other
persons as are designated by the Board; provided, however, that if no Human Resources and Compensation Committee is in existence at any particular time and the Board has not appointed another committee of the Board to administer this Award
Agreement, all references in this Award Agreement to “Committee” shall at such time be in reference to the Board; 

  

	 	(f)	 “Employment Agreement” means the Executive Employment Agreement between the Participant and
the Corporation, dated October 21, 2013. 

  

	 	(g)	 “Fair Market Value” means (i) the volume weighted average price of Shares on the Toronto
Stock Exchange for the five (5) trading days on which the Shares were trading occurring immediately prior to the applicable date; or (ii) if the Shares are listed on more than one 

  
 1 

	 	
stock exchange, the volume weighted average price of a Share for the five trading days on which the Shares were trading on the stock exchange with the higher average trading volume over the
twenty (20) trading days immediately prior to the applicable date; or (iii) if the Shares are not then traded on any stock exchange, means the fair market value per Share as determined by the Committee of the Board in its discretion;

  

	 	(h)	 “Non-Competition Provision” has the meaning set out in
Section 8(a); 

  

	 	(i)	 “Payout” means with respect to each RSU which becomes vested, a lump sum cash payment equal to
the Fair Market Value of a Share determined at the Vesting Date or such other date specified in this Award Agreement (less any applicable withholding taxes); 

  

	 	(j)	 “RSU” means a restricted share unit credited by means of a bookkeeping entry on the books of
the Corporation in favor of the Participant which represents a future conditional right of the Participant to receive a Payout for each RSU which vests pursuant to the terms of this Award Agreement at the time, in the manner and subject to the terms
set forth in this Award Agreement; 

  

	 	(k)	 “Settlement Date” has the meaning set out in Section 6;  

 

	 	(l)	 “Shares” means common shares in the Corporation and any other shares that may be added thereto
or substituted therefore as a result of amendments to the articles of the Corporation, reorganization or otherwise, including any rights that form a part of the common shares or substituted shares; and 

 

	 	(m)	 “Vesting Date” means January 15, 2020. 

 

	3.	 Construction and Interpretation. 

 

	 	(a)	 In this Award Agreement, all references to the masculine include the feminine; references to the singular shall
include the plural and vice versa, as the context shall require. 

  

	 	(b)	 The headings of all articles, sections and paragraphs in this Award Agreement are inserted for convenience of
reference only and shall not affect the construction or interpretation of this Award Agreement. References to “Section” or “Paragraph” means a section or paragraph contained in this Award Agreement unless expressly stated
otherwise. 

  

	 	(c)	 In this Award Agreement, “including” and “includes” mean including or includes, as the case
may be, without limitation. The words “hereto”, “herein”, “hereby”, “hereunder”, “hereof” and similar expressions mean or refer to this Award Agreement as a whole and not to any particular article,
section, paragraph or other part of this Award Agreement. 

  

	 	(d)	 Whenever the Board or, where applicable, the Committee or any
sub-delegate of the Committee is to exercise discretion in the administration of the terms and conditions of this Award Agreement, the term “discretion” means the sole and absolute discretion of the
Board, the Committee or sub-delegate of the Committee, as the case may be. 

  
 2 

	4.	 Grant of RSUs and Vesting Conditions. The Corporation hereby grants to the Participant, subject to the
terms and conditions set forth in this Award Agreement, the following number of RSUs: 

  

			
	RSUs
		
	Grant Date	  	May 30, 2019
		
	Number of RSUs Granted	  	25,000
		
	Vesting Date	  	100% of RSUs: January 15, 2020.

 The RSUs granted hereunder are granted as a bonus for the services of the Participant rendered in 2019 and are in addition to,
and not in substitution for or in lieu of, ordinary employment income of the Participant. 
  

	5.	 Dividend-Equivalent RSUs. On any payment date for dividends (other than stock dividends) paid on Shares,
the Participant shall be credited with dividend-equivalents in respect of RSUs credited to the Participant’s account as of the record date for payment of dividends. Such dividend equivalents shall be expressed as additional RSUs (including
fractional RSUs) based on the Fair Market Value as of the date on which the dividends on the Shares are paid, and shall be subject to the same vesting and payout conditions as the underlying RSUs in respect of which they were credited.

  

	6.	 Payout and Settlement. Subject to Section 7, the Participant shall have the right to receive a
Payout in respect of the RSUs on the Vesting Date. Upon the Vesting Date, or as soon as practicable thereafter, the RSUs will be redeemed (such day being the “Settlement Date”). On the Settlement Date, the Corporation shall pay to
the Participant (or, if deceased, his Beneficiary) the amount of the Payout for such RSUs (less applicable withholdings). 

For greater certainty, all amounts in respect of the RSUs shall be paid no later than December 15, 2022. 

 

	7.	 Termination of Relationship as Employee. Unless otherwise determined by the Board or unless otherwise
expressly set forth in this Award Agreement, the following provisions shall apply in the event that the Participant ceases to be an employee of the Corporation: 

 

	 	(a)	 Termination of Employment. In the event the Participant’s employment terminates for any reason
other than a termination with Just Cause, the Participant’s unvested RSUs shall vest immediately prior to the Participant’s Cessation Date 

  

	 	(b)	 Termination with Just Cause. In the event the Participant’s employment is terminated by the
Corporation with Just Cause, all RSUs shall be immediately forfeited and cancelled effective on the Cessation Date. 

  

	8.	 Non-Competition. 

 

	 	(a)	 The Participant acknowledges and agrees that as a condition to receiving the treatment set forth in
Section 7(a), the Participant shall adhere to the non-competition provision as set out in section 12 of the Employment Agreement (the “Non-Competition
Provision”). 

  

	 	(b)	 If the Participant breaches the Non-Competition Provision, the
Participant shall immediately forfeit all unvested RSUs or repay to the Corporation any Payout in respect of RSUs. The Participant acknowledges and agrees that the Corporation may set-off amounts otherwise
payable by the Corporation to the Participant against the amount of any Payout if the Participant breaches the Non-Competition Provision. 

  
 3 

	9.	 No Shareholder Rights. Under no circumstances shall RSUs be considered Shares of the Corporation, nor
shall they entitle the Participant to exercise voting rights or any other rights attaching to the ownership of Shares or other securities of the Corporation, including, without limitation, voting rights, dividend rights or rights on liquidation, nor
shall the Participant be considered the owner of Shares by virtue of the award of RSUs. 

  

	10.	 Effect of Certain Changes. 

In the event: 
  

	 	(a)	 of any change in the Shares through subdivision, split, consolidation, reclassification, amalgamation, merger
or otherwise; or 

  

	 	(b)	 that, as a result of any recapitalization, merger, consolidation or other transaction, the Shares are converted
into or exchangeable for any other securities, 

 or any other similar changes affecting the Shares, then, in any such
case, the Board may make such adjustments to this Award Agreement as may be appropriate in the circumstances to prevent dilution or enlargement of the rights granted to the Participant hereunder. 

 

	11.	 General Conditions of Payout. Upon receipt of a Payout pursuant to this Award Agreement, the entitlement
of the Participant to receive any and all amounts in respect of the vested RSUs to which such Payout relates shall be fully discharged and satisfied and all such vested RSUs shall thereupon be cancelled. No interest shall accrue to, or be credited
to, the Participant on any amount payable under this Award Agreement. 

  

	12.	 Withholding Taxes. It is the responsibility of the Participant to complete and file any tax returns
which may be required under Canadian, U.S. or other applicable jurisdiction’s tax laws within the periods specified in those laws as a result of the Participant’s award under this Award Agreement. Neither the Corporation or any of its
affiliates shall be held responsible for any tax consequences to the Participant as a result of the Eligible Participant’s award under this Award Agreement. The Corporation or the affiliate of the Corporation, as applicable, shall have the
right to withhold from the Payout such amount as is necessary to ensure that the Corporation or an affiliate will be able to comply with the applicable provisions of any federal, state, provincial or other law relating to the withholding of tax or
other required deductions. 

  

	13.	 No Right of Continued Employment. Nothing in this Award Agreement shall confer upon the Participant any
right to continue in the employ of the Corporation or any of its affiliates or affect in any way the right of the Corporation or any of its affiliates to terminate his employment at any time; nor shall anything in this Award Agreement be deemed or
construed to constitute an agreement, or any expression of intent, on the part of the Corporation or any of its affiliates to extend the employment of the Participant beyond the time that he would normally retire pursuant to the provisions of any
present or future retirement plan of the Corporation or any of its affiliates, or beyond the time at which he would otherwise retire pursuant to the provisions of any employment agreement with the Corporation or any of its affiliates.

  

	14.	 No Right of Transfer. Except as otherwise provided in this Award Agreement, no assignment, sale,
transfer, pledge, or charge of a RSU, whether voluntary, involuntary, by operation of law or otherwise, vests any interest or right in such RSU whatsoever in any assignee or transferee and, immediately upon any assignment, sale, transfer, pledge or
charge or attempt to assign, sell, transfer, pledge or charge, such RSU shall terminate and be of no further force or effect. 

  
 4 

	15.	 Compliance with Legal Requirements. The Corporation shall not be obliged to settle any RSUs if such
settlement would violate any law or regulation or any rule of any government authority or stock exchange. 

  

	16.	 Other Employee Benefits. The amount of any compensation deemed to be received by the Participant as a
result of the redemption of any vested RSU will not constitute compensation with respect to which any other employee benefits of the Participant are determined, including, without limitation, benefits under any bonus, pension, profit-sharing,
insurance or salary continuation plan, except as otherwise specifically determined by the Board. 

  

	17.	 Currency. All payments and benefits under this Award Agreement shall be determined and be payable in the
lawful currency of Canada. 

  

	18.	 Expenses. All expenses in connection with this Award Agreement shall be borne by the Corporation.

  

	19.	 Governing Law. This Award Agreement shall be governed by, construed and interpreted in accordance with
the laws of the Province of Alberta. 

  

	20.	 Severability. If any provision of this Award Agreement or part hereof is determined to be void or
unenforceable in whole or in part, such determination shall not affect the validity or enforcement of any other provision of this Award Agreement. 

  

	21.	 Entire Agreement. This Award Agreement and the Employment Agreement constitute the whole and entire
agreement between the parties in connection with the subject matter hereof, and cancels and supersedes any prior agreements, undertakings, declarations, commitments or representations, whether written or oral, in respect thereof, and there are no
express or implied terms, conditions, agreements, undertakings, declarations, commitments, representations or warranties or other duties whatsoever between the parties not expressly provided for in this Award Agreement. To the extent there is an
inconsistency between this Award Agreement and the Employment Agreement in connection with the subject matter hereof, this Award Agreement shall govern. 

[Signature Page to the Award Agreement Follows] 

  
 5 

 IN WITNESS WHEREOF the parties hereto have executed and delivered this Award Agreement as of the date first
above written. 
  

			
	DIRTT ENVIRONMENTAL SOLUTIONS LTD.
		
	By:	 	 /s/ Joseph Zirkman

		 	Name: Joseph Zirkman
		 	Title: V.P. – General Counsel

 I agree to the terms and conditions set out herein and confirm and acknowledge that I have not been induced to enter
into this Award Agreement or acquire any RSUs by expectation of employment or continued employment with the Corporation or any of its affiliates. 
  

							
	SIGNED AND DELIVERED	 	)	 		 	
	In the presence of:	 	)	 		 	
		 	)	 		 	
		 	)	 	                                      
  	 	        
	 /s/ Nandini Somayaji
	 	)	 		 	 /s/ Geoff Gosling

	Witness	 	)	 		 	GEOFF GOSLING

  
 6

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