Document:

Registration Rights Agreement

 Exhibit 10.2 

 Registration Rights Agreement 
 Dated as of November 13, 2007 
 By and among 
 The Providence Service Corporation 
 and 
 The Purchasers Named Herein 
  

 REGISTRATION RIGHTS AGREEMENT 
 This Registration Rights Agreement (the “Agreement”) is made and entered into
this 13th day of November, 2007, among The Providence Service Corporation, a Delaware corporation (the “Company”), and the purchasers
named on Exhibit A of the Purchase Agreement (as defined below) (collectively, the “Purchasers”). 
 This Agreement
is made pursuant to the Note Purchase Agreement, dated November 6, 2007, among the Company and the Purchasers, (the “Purchase Agreement”), which provides for the sale by the Company to the Purchasers of $70,000,000 aggregate
principal amount of the Company’s 6.5% Convertible Senior Subordinated Notes due 2014 (the “Notes”). The Notes together with the shares of Common Stock (as defined below) into which the Notes are convertible are referred to
herein as the “Securities.” In order to induce the Purchasers to enter into the Purchase Agreement, the Company has agreed to provide the registration rights set forth in this Agreement. The execution of this Agreement is a
condition to the closing under the Purchase Agreement. 
 In consideration of the foregoing, the parties hereto agree as follows: 

 

	 	1.	Definitions. 

 As used in this Agreement, the
following capitalized defined terms shall have the following meanings: 
 “1933 Act” shall mean the Securities Act of 1933,
as amended. 
 “1934 Act” shall mean the Securities Exchange Act of l934, as amended. 
 “1939 Act” shall mean the Trust Indenture Act of 1939, as amended. 
 “Additional Interest” shall have the meaning set forth in Section 2.4.
 “Affiliate” shall have the meaning given to it in the Indenture. 
 “Acquisition Agreement” shall mean the Agreement and Plan of Merger, dated as of the date hereof, by and among Target, Sellers, the
Company, PRSC Acquisition Corporation and [stockholder representative]. 
 “Automatic Shelf Registration Statement” shall
have the meaning set forth in Rule 405 of the 1933 Act. 
 “Beneficially Own” or “Beneficial
Ownership” shall have the meaning set forth in Rule 13d-3 of the rules and regulations promulgated under the Exchange Act, except that for purposes of this Agreement the words “within sixty days” in Rule 13d-3(d)(1)(i) shall not
apply, to the effect that a Person shall be deemed to be the beneficial owner of a security if that Person has the right to acquire beneficial ownership of such security at any time. 

 “Business Day” shall mean any calendar day on which the New York Stock Exchange, the
NASDAQ Stock Market and the Securities and Exchange Commission are open for trading or business, as the case may be. 
 “Closing
Date” shall have the meaning given to it in the Purchase Agreement. 
 “Common Stock” shall mean any shares of
common stock, $0.001 par value, of the Company and any other shares of common stock as may constitute “Common Stock” for purposes of the Indenture. 
 “Company” shall have the meaning set forth in the preamble and shall also include the Company’s successors. 
 “Depositary” shall mean The Depository Trust Company and its successors or assigns, or any other depositary appointed by the Company, provided, however, that such appointed depositary must have
an address in the Borough of Manhattan, in the City of New York, unless no such depositary is available. 
 “Effectiveness
Period” shall have the meaning set forth in Section 2.1(c). 
 “Holder” shall mean any Purchaser, for so long as it
owns any Registrable Securities, and each of its successors, assigns and direct and indirect transferees who become registered owners of Registrable Securities under the Indenture. 
 “Indenture” shall mean the Indenture, dated as of the date hereof, between the Company and The Bank of New York Trust Company, N.A., as
Trustee, as the same may be amended, supplemented, waived or otherwise modified from time to time in accordance with the terms thereof. 
 “Majority Holders” shall mean Holders holding over 50% of the aggregate principal amount of the outstanding Notes constituting Registrable Securities outstanding; provided, that, for the purpose of this definition, a
holder of shares of Common Stock into which the Notes were converted shall be deemed to hold an aggregate principal amount of the Notes (in addition to the principal amount of Notes held by such holder) equal to the product of (A) the quotient
of (x) the number of such shares of Common Stock held by such holder and (y) the conversion rate (as expressed in the number of shares of Common Stock issuable per $1,000 principal amount of the Notes) in effect at the time of the
conversion of the Notes into such shares of Common Stock as determined in accordance with the Indenture and (B) $1,000, provided further, that whenever the consent or approval of the Majority Holders or of a specified percentage of the
Holders of Registrable Securities is required hereunder, Notes, or Common Stock into which the Notes were converted, held by the Company or any Affiliate of the Company shall be disregarded in determining whether such consent or approval was given
by the Majority Holders or such specified percentage of the Holders of Registrable Securities. 
  

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 “Permitted Transfer” shall have the meaning given such term in Section 7 of the
Purchase Agreement. 
 “Registrable Securities” shall mean (i) the Notes, (ii) the Conversion Shares issued or
issuable upon conversion of the Notes and (iii) any capital stock of the Company issued or issuable, with respect to the Conversion Shares or the Notes as a result of any stock split, stock dividend, recapitalization, exchange or similar event
or otherwise, without regard to any limitations on conversion and/or redemption of the Notes; provided, however, that such Securities shall cease to be Registrable Securities at the earliest when (i) a Shelf Registration Statement with
respect to such Securities shall have become effective under the 1933 Act and such Securities shall have been sold or transferred pursuant to such Shelf Registration Statement, (ii) such Securities have been transferred in compliance with Rule
144 under the 1933 Act (or any successor provision thereto), or are transferable pursuant to paragraph (k) of such Rule 144 (or any successor provision thereto) or (iii) such Securities shall have ceased to be outstanding. 
 “Registration Default” shall have the meaning set forth in Section 2.4. 
 “Registration or Offering Expenses” shall mean any and all expenses incident to performance of or compliance by the Company with this
Agreement, including without limitation: (i) all SEC registration and filing fees, (ii) all expenses of the Company in preparing or assisting in preparing, word processing, printing and distributing any Shelf Registration Statement and any
Prospectus, and any other documents relating to the performance of and compliance with this Agreement, (iii) all fees and expenses incurred in connection with the listing, if any, of any of the Registrable Securities on any securities exchange
or exchanges, (iv) all rating agency fees, if any (v) the fees and disbursements of counsel for the Company and of the independent public accountants of the Company, including the expenses of any “comfort letters” in connection
with an Underwritten Offering, (vi) the reasonable fees and expenses of the Trustee, and any escrow agent or custodian, and (vii) the reasonable fees and expenses of a single counsel to the Holders in connection with the Shelf Registration
Statement (not to exceed in the aggregate $10,000) and in connection with an Underwritten Offering (not to exceed in the aggregate $50,000 for each Underwritten Offering), which counsel shall be selected by the Majority Holders and designated in
writing to the Company, but excluding any underwriting discounts and commissions and transfer taxes, if any, relating to the sale or disposition of Registrable Securities by a Holder and, except as provided under clause (vii) above, excluding
all expenses and fees for all counsel and other professionals representing the Holders. 
 “Rule 144A” means Rule 144A under
the 1933 Act. 
 “SEC” shall mean the Securities and Exchange Commission or any successor agency or government body
performing the functions currently performed by the United States Securities and Exchange Commission. 
 “Securities” shall
have the meaning set forth in the preamble. 
  

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 “Shelf Effectiveness Deadline” shall have the meaning set forth in Section 2.1(a).

 “Shelf Filing Deadline” shall have the meaning set forth in Section 2.1(a). 
 “Shelf Registration” shall mean a registration effected pursuant to Section 2.1. 
 “Shelf Registration Statement” shall mean a “shelf” registration statement of the Company pursuant to the provisions of
Section 2.1 of this Agreement which covers all of the Registrable Securities on an appropriate form under Rule 415 under the 1933 Act, or any similar rule that may be adopted by the SEC, and all amendments and supplements to such registration
statement, including post-effective amendments, in each case including the Prospectus contained therein, all exhibits thereto and all materials incorporated by reference therein; provided, however, that a registration statement shall not be
deemed a Shelf Registration Statement until such time as it includes a Prospectus relating to the Securities. 
 “Suspension
Period” shall have the meaning set forth in Section 2.5. 
 “Target” shall have the meaning set forth in the
Purchase Agreement. 
 “Trustee” shall mean the trustee with respect to the Securities under the Indenture. 
 “Underwriter” shall mean an underwriter, as defined in the 1933 Act, of the Securities in connection with an offering thereof under a
Shelf Registration Statement. 
 “Underwritten Offering” shall have the meaning set forth in Section 5(a). 

“Well-Known Seasoned Issuer” shall have the meaning set forth in Rule 405 of the 1933 Act. 
  

	 	2.	Registration Under the 1933 Act. 

 2.1 Shelf Registration. 
 (a) The Company
(i) shall, at its cost, no later than 45 calendar days following the Closing Date (the “Shelf Filing Deadline”), file with the SEC a Shelf Registration Statement relating to the offer and sale of the Registrable Securities by
the Holders that have provided the Questionnaire and the other information pursuant to Section 2.1(d) and (ii) shall use commercially reasonable efforts to cause such Shelf Registration Statement to be declared effective under the 1933 Act as
soon as practicable and in any event by the later of (x) 90 calendar days following the Closing Date, (y) 45 calendar days following either the consummation of the acquisition pursuant to the Acquisition Agreement or the termination of the
Acquisition Agreement, or (z) if on the last date in (x) above, the Company would be required to include or incorporate by reference on a Form S-3 financial statements for the year ended December 31, 2007 and the Company has not yet
filed its Form 10-K, the 5th calendar day after the earlier of the day on which such Form 10-K is filed or is required to be filed with the SEC
(collectively, the “Shelf Effectiveness  

  

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Deadline”). The Shelf Registration Statement shall contain (except if otherwise directed by the Majority Holders) the “Selling
Stockholders” and “Plan of Distribution” sections in substantially the form attached hereto as Exhibit A, subject to any changes the Company reasonably deems necessary or appropriate to satisfy any comments with
respect to the Shelf Registration Statement (oral or written) from the SEC. If the Company is a Well-Known Seasoned Issuer at the time of filing the Shelf Registration Statement with the SEC, such Shelf Registration Statement shall be designated by
the Company as an Automatic Shelf Registration Statement. The Company shall file with the SEC in accordance with Rule 424 under the 1933 Act the final prospectus to be used in connection with sales pursuant to such Shelf Registration Statement with
the time periods preceded by such Rule. 
 (b) In the event that Form S-3 is not available for the registration of the resale
of Registrable Securities hereunder, the Company shall (i) register the resale of the Registrable Securities on another appropriate form reasonably acceptable to the Majority Holders and (ii) undertake to register the Registrable
Securities on Form S-3 as soon as such form is available, provided that the Company shall maintain the effectiveness of the Shelf Registration Statement then in effect until such time as a Shelf Registration Statement on Form S-3 covering the
Registrable Securities has been declared effective by the SEC. 
 (c) The Company shall, at its cost, use commercially
reasonable efforts, subject to Section 2.5, to keep the Shelf Registration Statement continuously effective in order to permit the Prospectus forming part thereof to be usable by Holders until the earlier of (i) such time as all of the
Securities cease to be Registrable Securities and (ii) the date that is two years after the last day of original issuance of the Securities (the “Effectiveness Period”). 
 (d) Notwithstanding any other provision hereof, no Holder of Registrable Securities may include any of its Registrable Securities in the
Shelf Registration Statement pursuant to this Agreement unless the Holder furnishes to the Company a fully completed notice and questionnaire in the form attached hereto as Exhibit B (the “Questionnaire”) and such other
information in writing as the Company may reasonably request in writing for use in connection with the Shelf Registration Statement or Prospectus included therein and in any application to be filed with or under state securities laws. At least 30
days prior to the filing of the Shelf Registration Statement, the Company will provide notice to the Holders of its intention to file the Shelf Registration Statement; provided, however, that if the Company elects to register the Registrable
Securities pursuant to a Prospectus to a Shelf Registration Statement that has already been declared effective, the Company will provide notice to the Holders of its intention to file the initial Prospectus at least 20 days prior to such filing. In
order to be named as a selling securityholder in the Shelf Registration Statement or Prospectus at the time of effectiveness of the Shelf Registration Statement or such Prospectus, as applicable, each Holder must no later than 20 days following
notice by the Company of such filing, furnish in writing the completed Questionnaire and such other information that the Company may reasonably request in writing, if any, to the Company and the Company will include the information from the
completed Questionnaire and such other information, if any, in the Shelf Registration Statement and the Prospectus, as necessary and in a manner, so that upon effectiveness of the Shelf Registration Statement the Holder will be permitted to deliver
the 

  

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Prospectus to purchasers of the Holder’s Registrable Securities. From and after the date that the Shelf Registration Statement becomes effective, upon
receipt of a completed Questionnaire and such other information that the Company may reasonably request in writing, if any, the Company will use commercially reasonable efforts to file within 10 Business Days any amendments or supplements to the
Shelf Registration Statement necessary for such Holder to be named as a selling securityholder in the Prospectus contained therein to permit such Holder to deliver the Prospectus to purchasers of the Holder’s Securities (subject to the
Company’s right to suspend the Shelf Registration Statement as described in Section 2.5 below); provided, however, that the Company shall not be required to filed more than one post-effective amendment to the Shelf
Registration Statement in any calendar quarter for all such Holders. Holders that do not deliver a completed written Questionnaire and such other information, as provided for in this Section 2.1(d), will not be named as selling securityholders in
the Prospectus. Each Holder named as a selling securityholder in the Prospectus agrees to promptly furnish to the Company in writing all information required to be disclosed in order to make information previously furnished to the Company by the
Holder not materially misleading and any other information regarding such Holder and the distribution of such Holder’s Registrable Securities as the Company may from time to time reasonably request in writing. 
 (e) Each Holder agrees that if such Holder wishes to sell Registrable Securities pursuant to a Shelf Registration Statement and related
Prospectus it will do so only in accordance with Section 2.1(d) and subject to Section 2.5. Each Holder agrees not to sell any Registrable Securities pursuant to the Shelf Registration Statement without delivering, or causing to be delivered, a
Prospectus (excluding those materials incorporated by reference therein) to the purchaser thereof, unless exempted from such prospectus delivery requirements. 
 The Company agrees to supplement or amend the Shelf Registration Statement if required by the 1933 Act or the rules and regulations thereunder or by the instructions applicable to the registration form used by the
Company, or to the extent the Company does not reasonably object, as reasonably requested by the Purchasers with respect to information relating to such Purchasers or by the Trustee on behalf of the Holders covered by such Shelf Registration
Statement with respect to information relating to such Holders, and to furnish to the Holders of Registrable Securities copies of any such supplement or amendment promptly after it is used or filed with the SEC. 
 2.2 Expenses. The Company shall pay all Registration and Offering Expenses in connection with the registration pursuant to Section
2.1. Each Holder shall pay all underwriting and placement discounts and commissions, agency and placement fees, brokers commissions and transfer taxes, if any, relating to the sale or disposition of such Holder’s Registrable Securities.

 2.3 Effectiveness. After a Shelf Registration Statement is effective, if the offering of Registrable Securities
pursuant to a Shelf Registration Statement is interfered with by any stop order, injunction or other order or requirement of the SEC or any other governmental agency or court, such Shelf Registration Statement will be deemed not to have been
effective during the period of such interference, until the offering of Registrable Securities pursuant to such Shelf Registration Statement may legally resume. 
  

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 2.4 Interest. In the event that (a) a Shelf Registration Statement has not
been filed by the Shelf Filing Deadline, (b) a Shelf Registration Statement has not become effective by the Shelf Effectiveness Deadline, (c) after the Shelf Registration Statement has become effective, subject to Section 2.5, the Shelf
Registration Statement fails to be effective or usable by the Holders without being succeeded within seven business days by a post-effective amendment or a report filed with the SEC pursuant to the 1934 Act that cures the failure to be effective or
usable or (d) the Shelf Registration Statement is unusable by the Holders for any reason, and the number of days for which the Shelf Registration Statement shall not be usable exceeds any Suspension Period permitted by Section 2.5 hereunder
(each such event being a “Registration Default”), additional interest (“Additional Interest”), will accrue on the Notes that are Registrable Securities at a rate per annum of 0.50% of the principal amount of the
Notes that are Registrable Securities, payable periodically on May 15 and November 15 each year; provided, however, that, in no event shall Additional Interest accrue at a rate per annum exceeding 0.50% of the principal
amount of the Notes that are Registrable Securities; provided further that no Additional Interest shall accrue under clauses (c) and (d) above with respect to any Holder that (x) does not deliver to the Company a completed
Questionnaire and such other information that the Company may reasonably request, if any, as provided for in Section 2.1(d), and (y) is not named as a selling securityholder in the Shelf Registration Statement. Notwithstanding the foregoing, in
no event will Additional Interest be payable in connection with a Registration Default relating to a failure to register the Common Stock into which the Notes are convertible; for the avoidance of doubt, if none of the Securities are registered then
Additional Interest only will be payable in connection with the Registration Default relating to the failure to register the Notes. Upon the cure of all Registration Defaults then continuing, the accrual of Additional Interest will automatically
cease and the interest rate borne by the Notes will revert to the original interest rate at such time. Additional Interest shall be computed based on the actual number of days elapsed in each six-month period between payment dates in which the Shelf
Registration Statement is not effective or is unusable. Holders who have converted Notes into Common Stock will not be entitled to receive any Additional Interest with respect to such Common Stock or the principal amount of the Notes converted.

 The Trustee shall be entitled, but shall not be obligated, on behalf of the Holders of Registrable Securities, to seek any available
remedy for the enforcement of this Agreement, including for the payment of any Additional Interest. Notwithstanding the foregoing, the parties agree that the sole monetary damages payable for a violation of the terms of this Agreement with respect
to which Additional Interest are expressly provided shall be such Additional Interest. Nothing shall preclude a Holder of Registrable Securities from pursuing or obtaining specific performance or equitable relief with regard to this Agreement. Each
obligation to pay Additional Interest shall be deemed to accrue from and including the day following the Registration Default to but excluding the day on which the Registration Default is cured. 
 A Registration Default under clause (a) above shall be cured on the date that the Shelf Registration Statement is filed with the SEC. A Registration
Default under clause (b) above shall be cured on the date that the Shelf Registration Statement becomes effective. A Registration Default under clauses (c) or (d) above shall be cured on the date an amended Shelf Registration
Statement 

  

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becomes effective or the Company otherwise declares the Shelf Registration Statement and the Prospectus useable, as applicable. 
 The parties agree that the Additional Interest provided for in this Section 2.4 constitutes a reasonable estimate of the damages that may be incurred by
Holders of Registrable Securities and does not constitute a penalty. 
 2.5 Suspension. Notwithstanding any other
provision hereof, the Company may suspend the use of any Prospectus, without incurring or accruing any obligation to pay Additional Interest pursuant to Section 2.4, for a period not to exceed 30 days in any 90-day period or an aggregate of 90 days
in any 360-day period (each, a “Suspension Period”), if the Company shall have determined in good faith that because of valid business reasons (not including avoidance of the Company’s obligations hereunder), including without
limitation plans for a registered public offering, an acquisition or other proposed or pending corporate developments and similar events or because of filings with the SEC, it is in the best interests of the Company to suspend such use, and prior to
suspending such use the Company provides the Holders with written notice of such suspension (provided that in each notice the Company will not disclose the content of such material, non-public information to the Holders), which notice need not
specify the nature of the event giving rise to such suspension (and, upon receipt of such notice, each Holder agrees not to sell any Registrable Securities pursuant to the Shelf Registration Statement until such Holder is advised in writing that the
Prospectus may be used, which notice the Company agrees to provide promptly following the lapse of the event or circumstances giving rise to such suspension). Each Holder shall keep confidential any communications received by it from the Company
regarding the suspension of the use of the Prospectus (including, without limitation, the fact of the suspension), except as required by applicable law. 
 2.6 Underwriter. Neither the Company nor any Subsidiary (as defined in the Purchase Agreement) nor affiliate thereof shall identify any Holder as an underwriter in any public disclosure or filing with the SEC
or The NASDAQ Global Select Market; provided, however, that the foregoing shall not prohibit the Company from including the disclosure found in the “Plan of Distribution” section attached hereto as Exhibit A in the Shelf Registration
Statement. 
  

	 	3.	Registration Procedures. 

 In connection with the
obligations of the Company with respect to the Shelf Registration, the Company shall: 
 (a) at a reasonable time prior to
filing the Shelf Registration Statement, any Prospectus forming a part thereof, any amendment to the Shelf Registration Statement or amendment or supplement to such Prospectus (other than amendments and supplements that do nothing more than name
Holders and provide information with respect thereto), (i) furnish to the Purchasers or any Underwriter or designee thereof and one special counsel to the Purchasers or any Underwriter or designee thereof copies of all such documents proposed
to be filed, (ii) use commercially reasonable efforts to address in each such document when so filed with the SEC such 

  

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comments as the Purchasers or any Underwriter or designee thereof and such special counsel to the Purchasers or any Underwriter or designee thereof
reasonably shall propose within three (3) Business Days of the delivery of such copies to the Purchasers or any Underwriter or designee thereof and counsel to the Purchaser or any Underwriter or designee thereof and (iii) not file any
Shelf Registration Statement or amendment or supplement thereto in a form to which counsel to a majority of the Holders (as designated in writing to the Company) reasonably objects. In addition, if any Holder that has provided the Questionnaire and
the other information required by Section 2.1(d) shall so request in writing, a reasonable time prior to filing any such documents, the Company shall furnish to such Holder copies of all such documents proposed to be filed and use commercially
reasonable efforts to reflect in each such document when so filed with the SEC such comments as such Holder reasonably shall propose within three (3) Business Days of the delivery of such copies to such Holder; 
 (b) ensure that each Shelf Registration Statement (including any amendments or supplements thereto and prospectuses contained therein)
shall not contain any untrue statement of a material fact or omit to state a material fact required to be stated therein, or necessary to make the statements therein (in the case of prospectuses, in the light of the circumstances in which they were
made) not misleading. 
 (c) prepare and file with the SEC such amendments and post-effective amendments to the Shelf
Registration Statement as may be necessary under applicable law to keep the Shelf Registration Statement effective for the Effectiveness Period, subject to Section 2.5; and cause each Prospectus to be supplemented by any required prospectus
supplement, and as so supplemented to be filed in compliance with Rule 424 (or any similar provision then in force) under the 1933 Act and use commercially reasonable efforts to comply during the Effectiveness Period with the provisions of the
1933 Act, the 1934 Act and the rules and regulations thereunder required to enable the disposition of all Registrable Securities covered by the Shelf Registration Statement in accordance with the intended method or methods of distribution (as
provided to the Company in the Questionnaires) by the selling Holders thereof; 
 (d) (i) notify each Holder of
Registrable Securities of the filing of a Shelf Registration Statement or any post-effective amendment to a Shelf Registration Statement and of when any such Shelf Registration Statement or any post-effective amendment to a Shelf Registration
Statement has become effective; (ii) during the Effectiveness Period, furnish to each Holder of Registrable Securities that has provided the Questionnaires and the information required by Section 2.1(d) and to each Underwriter, if any, without
charge, as many copies of each Prospectus, including each preliminary Prospectus, and any amendment or supplement thereto and such other documents as such Holder or Underwriter may reasonably request in writing, including financial statements and
schedules and, if such Holder or Underwriter so requests, all exhibits thereto in connection with the sale or other disposition of the Registrable Securities; and (iii) subject to Section 2.5 and to any notice by the Company in accordance with
Section 3(f) of the existence of any fact of the kind described in Sections 3(f)(i), (ii), (iii), (iv) and (v), hereby consent to the use of the Prospectus or any amendment or supplement thereto by each of the selling Holders and 

  

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Underwriters of Registrable Securities that has provided the Questionnaire and the other information required by Section 2.1(d) in connection with the
offering and sale of the Registrable Securities covered by such Prospectus or any amendment or supplement thereto in the manner set forth therein; 
 (e) use commercially reasonable efforts to register or qualify or cooperate with the Holders and Underwriters in connection with the registration or qualification (or exemption from such registration or qualification)
of the Registrable Securities under all applicable state securities or “blue sky” laws of such jurisdictions as any Holder of Registrable Securities covered by a Shelf Registration Statement and each Underwriter shall reasonably request in
writing, and do any and all other acts and things which may be reasonably necessary or advisable to enable each such Holder and Underwriter to consummate the disposition in each such jurisdiction of such Registrable Securities owned by such Holder;
provided, however, that the Company shall not be required to (i) qualify as a foreign corporation or as a dealer in securities in any jurisdiction where it would not otherwise be required to qualify but for this Section 3(e), or
(ii) take any action which would subject it to general service of process or taxation in any such jurisdiction where it is not then so subject; 
 (f) notify as promptly as reasonably practicable each Holder of Registrable Securities under a Shelf Registration that has provided the Questionnaire and the other information required by Section 2.1(d) and, if
requested by such Holder, confirm such advice in writing promptly (i) of any request, following the effectiveness of the Shelf Registration Statement under the 1933 Act, by the SEC or any state securities authority for post-effective amendments
and supplements to a Shelf Registration Statement and Prospectus or for additional information after the Shelf Registration Statement has become effective, (ii) of the issuance by the SEC or any state securities authority of any stop order
suspending the effectiveness of a Shelf Registration Statement or the initiation of any proceedings for that purpose, (iii) of the occurrence (but not the nature of or details concerning) of any event or the discovery of any facts during the
period a Shelf Registration Statement is effective which makes any statement made in such Shelf Registration Statement or the related Prospectus untrue in any material respect or which requires the making of any changes in such Shelf Registration
Statement or Prospectus in order to make the statements therein not misleading, (provided, however, that no notice by the Company shall be required pursuant to this clause (iii) in the event that the Company either promptly files
a Prospectus supplement to update the Prospectus or a Form 8-K or other appropriate 1934 Act report that is incorporated by reference into the Shelf Registration Statement, which, in either case, contains the requisite information that results
in such Shelf Registration Statement no longer containing any untrue statement of material fact or omitting to state a material fact necessary to make the statements therein not misleading), (iv) of the receipt by the Company of any
notification with respect to the suspension of the qualification of the Registrable Securities for sale in any jurisdiction or the initiation or threatening of any proceeding for such purpose and (v) of any determination by the Company that a
post-effective amendment to such Shelf Registration Statement would be required by applicable law; 
 (g) provided a Holder
then holds at least $25 million aggregate principal amount of Registrable Securities, as promptly as reasonably practicable furnish to such Holder and any Underwriter or designee thereof on behalf of the Holders and one counsel to the Holder
selected 

  

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by the Majority Holders (i) copies of any comment letters received from the SEC with respect to a Shelf Registration Statement or any documents
incorporated therein and (ii) any other request by the SEC or any state securities authority for amendments or supplements to a Shelf Registration Statement and Prospectus or for additional information with respect to the Shelf Registration
Statement and Prospectus; 
 (h) use commercially reasonable efforts to prevent the issuance of any stop order or other
suspension of effectiveness of a Shelf Registration Statement, or the suspension of the qualification of any of the Registrable Securities for sale in any jurisdiction and, if such an order or suspension is issued use commercially reasonable efforts
to obtain the withdrawal of any such order or suspension at the earliest practicable moment or, if any such order or suspension is made effective during any Suspension Period, at the earliest practicable moment after the Suspension Period;

 (i) upon the occurrence of any event or the discovery of any facts, each as contemplated by Sections 3(f)(i), (ii), (iii),
(iv) and (v), as promptly as practicable after the occurrence of such an event, use commercially reasonable efforts to prepare a supplement or post-effective amendment to the Shelf Registration Statement or the related Prospectus or any
document incorporated therein by reference or file any other required document so that, as thereafter delivered to the purchasers of the Registrable Securities, such Prospectus will not contain at the time of such delivery any untrue statement of a
material fact or omit to state a material fact necessary to make the statements therein, in light of the circumstances under which they were made, not misleading. At such time as such public disclosure is otherwise made or the Company determines
that such disclosure is not necessary, in each case to correct any misstatement of a material fact or to include any omitted material fact, the Company agrees promptly to notify each Holder that has provided the Questionnaire and the other
information required by Section 2.1(d) of such determination and to furnish each Holder such number of copies of the Prospectus as amended or supplemented, as such Holder may reasonably request; 
 (j) use commercially reasonable efforts to cause the Indenture to be qualified under the 1939 Act in connection with the registration of
the Registrable Securities, (ii) cooperate with the Trustee and the Holders to effect such changes to the Indenture as may be required for the Indenture to be so qualified in accordance with the terms of the 1939 Act, and (iii) execute,
and use commercially reasonable efforts to cause the Trustee to execute, all documents as may be required to effect such changes, and all other forms and documents required to be filed with the SEC to enable the Indenture to be so qualified in a
timely manner; 
 (k) use commercially reasonable efforts to cause all Registrable Securities to be listed on any securities
exchange or inter-dealer quotation system on which similar securities issued by the Company are then listed; 
  

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 (l) make generally available to its security holders, as soon as reasonably practicable,
earning statements covering at least 12 months (which need not be audited) satisfying the provisions of Section 11(a) of the 1933 Act and Rule 158 thereunder; and 
 (m) make a commercially reasonable effort to provide such information as is required for any filings required to be made with the National
Association of Securities Dealers, Inc., if any. 
 (n) furnish to each Holder whose Registrable Securities are included in
any Shelf Registration Statement, without charge, to the extent requested by a Holder, (i) promptly after the same is prepared and filed with the SEC, at least one copy of such Shelf Registration Statement and any amendment(s) thereto,
including financial statements and schedules, all documents incorporated therein by reference, if requested by a Holder, all exhibits and each preliminary prospectus, (ii) upon the effectiveness of any Shelf Registration Statement, ten
(10) copies of the prospectus included in such Shelf Registration Statement and all amendments and supplements thereto (or such other number of copies as such Holder may reasonably request) and (iii) such other documents, including copies
of any preliminary or final prospectus, as such Holder may reasonably request from time to time in order to facilitate the disposition of the Registrable Securities owned by such Holder. 
 (o) Within two (2) Business Days after a Shelf Registration Statement which covers Registrable Securities is ordered effective by the
SEC, the Company shall deliver to the transfer agent for such Registrable Securities (with copies to the Holders whose Registrable Securities are included in such Shelf Registration Statement) confirmation that such Shelf Registration Statement has
been declared effective by the SEC. 
 (p) The Company shall cooperate with the Holders who hold Registrable Securities being
offered and, to the extent applicable, facilitate the timely preparation and delivery of certificates (not bearing any restrictive legend) representing the Registrable Securities to be offered pursuant to a Shelf Registration Statement and enable
such certificates to be in such denominations or amounts, as the case may be, as the Holders may reasonably request and registered in such names as the Holders may request. 
 Without limiting the provisions of Section 2.1(d), the Company may (as a condition to such Holder’s participation in the Shelf Registration) require
each Holder of Registrable Securities to furnish to the Company such information regarding the Holder and the proposed distribution by such Holder of such Registrable Securities as the Company may from time to time reasonably request in writing.
Each Holder agrees promptly to furnish to the Company in writing all information required to be disclosed in order to make the information previously furnished to the Company by such Holder not misleading, any other information regarding such Holder
and the distribution of such Registrable Securities as may be required to be disclosed in the Prospectus or Shelf Registration Statement under applicable law or pursuant to SEC comments and any information otherwise reasonably required by the
Company to comply with applicable law or regulations. 
  

 -12- 

 Each Holder agrees that, upon receipt of any notice from the Company of the happening of any event or the
discovery of any facts, each of the kind described in Section 3(f)(i), (ii), (iii), (iv) and (v), such Holder will forthwith discontinue disposition of Registrable Securities pursuant to the Prospectus included in the Shelf Registration
Statement until such Holder’s receipt of the copies of the supplemented or amended Prospectus contemplated by Section 3(i) or written notice from the Company that the Shelf Registration Statement is again effective and no amendment or
supplement is needed, and, if so directed by the Company, such Holder will deliver to the Company (at its expense) all copies in such Holder’s possession, other than permanent file copies then in such Holder’s possession, of the Prospectus
covering such Registrable Securities at the time of receipt of such notice. 
  

	 	4.	Reports Under the 1934 Act. 

 With a view to making
available to the Holders the benefits of Rule 144 promulgated under the 1933 Act or any other similar rule or regulation of the SEC that may at any time permit the Holders to sell securities of the Company to the public without registration
(“Rule 144”), the Company agrees to: 
 (a) make and keep public information available, as those terms are
understood and defined in Rule 144; 
 (b) file with the SEC in a timely manner all reports and other documents required of
the Company under the 1933 Act and the 1934 Act so long as the Company remains subject to such requirements and the filing of such reports and other documents is required for the applicable provisions of Rule 144; and 
 (c) furnish to each Holder so long as such Holder owns Registrable Securities, promptly upon request, (i) a written statement by the
Company, if true, that it has complied with the reporting requirements of Rule 144, the 1933 Act and the 1934 Act, (ii) a copy of the most recent annual or quarterly report of the Company and such other reports and documents so filed by the
Company, and (iii) such other information as may be reasonably requested to permit the Holders to sell such securities pursuant to Rule 144 without registration. 
  

	 	5.	Indemnification; Contribution. 

 (a)
Indemnification by the Company. The Company agrees to indemnify and hold harmless each Purchaser, each Holder who provided the Questionnaire and the other information to the Company in accordance with Section 2.1(d), and each of their
respective directors, officers and employees and agents and each Person, if any, who controls such Purchaser or Holder within the meaning of Section 15 of the 1933 Act or Section 20 of the 1934 Act (each of the foregoing is referred to
herein as an “indemnified party”) (i) against any loss, claim, damage, liability or expense, as incurred, to which such indemnified party may become subject, insofar as such loss, claim, damage, liability or expense (or actions in
respect thereof as contemplated below) arises out of or is based upon (x) any untrue statement or alleged untrue statement of a material fact 

  

 -13- 

 
contained in the Shelf Registration Statement (or any amendment or supplement thereto), including all documents incorporated therein by reference, or the
omission or alleged omission therefrom of a material fact, in each case, necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading, (y) any untrue statement or alleged untrue
statement of a material fact contained in any preliminary prospectus or the Prospectus (or any amendment or supplement thereto), including all documents incorporated therein by reference, or the omission or alleged omission therefrom of a material
fact, in each case, necessary in order to make the statements therein, in the light of the circumstances under which they were made, not misleading or (z) any violation or alleged violation by the Company of the 1933 Act, the 1934 Act, and any
other federal or state securities law, or any rule or regulation thereunder relating to the offer or sale of the Registrable Securities pursuant to a Shelf Registration Statement (the matters in the foregoing clauses (x) through (z) being
collectively, “Violations”); (ii) against any and all loss, liability, claim, damage and expense whatsoever, as incurred, to the extent of the aggregate amount paid in settlement of any litigation, or any investigation or proceeding
by any governmental agency or body, commenced or threatened, or of any claim whatsoever based upon any Violation; provided, that (subject to Section 5(d) below) any such settlement is effected with the written consent of the Company; and
(iii) against any and all reasonable out-of-pocket expense whatsoever, as incurred (including the reasonable fees and disbursements of counsel), reasonably incurred in investigating, preparing or defending against any litigation, or any
investigation or proceeding by any governmental agency or body, commenced or threatened, or any claim whatsoever based upon any Violation, to the extent that any such expense is not paid under subparagraph (i) or (ii) above; and to
reimburse each indemnified party for any and all expenses (including the fees and disbursements of counsel chosen by the indemnified parties) as such expenses are reasonably incurred by such indemnified party in connection with investigating,
defending, settling, compromising or paying any such loss, claim, damage, liability, expense or action; provided, however, that the foregoing indemnity agreement shall not apply to any loss, claim, damage, liability or expense to the extent,
but only to the extent, (A) arising out of or based upon any untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with written information furnished to the Company by any
indemnified party expressly for use in the Shelf Registration Statement (or any amendment or supplement thereto), any preliminary prospectus or the Prospectus (or any amendment or supplement thereto) or (B) as is finally judicially determined
to have resulted from the gross negligence, willful misconduct or bad faith of an indemnified party. The indemnity agreement set forth in this Section 5(a) shall be in addition to any liabilities that the Company may otherwise have. 
 (b) Indemnification by the Holders. Each Holder who has provided the Questionnaire and the other information to the Company in
accordance with Section 2.1(d), severally, but not jointly, agrees to indemnify and hold harmless the Company, each Purchaser and the other selling Holders who have provided the Questionnaire and the other information to the Company in accordance
with Section 2.1(d), and each of their respective directors, officers, employees and agents and each Person, if any, who controls the Company, any Purchaser or any other selling Holder within the meaning of Section 15 of the 1933 Act or
Section 20 of the 1934 Act, against any and all loss, liability, claim, damage and expense described in the indemnity contained in 

  

 -14- 

 
Section 5(a), as incurred, but only with respect to untrue statements or omissions, or alleged untrue statements or omissions, made in the Shelf Registration
Statement (or any amendment thereto), any preliminary prospectus or the Prospectus included therein (or any amendment or supplement thereto) in reliance upon and in conformity with written information with respect to such Holder furnished to the
Company by or on behalf of such Holder expressly for use in the Shelf Registration Statement (or any amendment thereto), such preliminary prospectus or the Prospectus (or any amendment or supplement thereto). 
 (c) Notifications and Other Indemnification Procedures. Promptly after receipt by an indemnified party under this Section 5 of
notice of the commencement of any action, such indemnified party will, if a claim in respect thereof is to be made against an indemnifying party under this Section 5, notify the indemnifying party in writing of the commencement thereof, but the
failure to so notify the indemnifying party (1) will not relieve it from liability under paragraph (a), (b) or (c) above unless and to the extent it did not otherwise learn of such action and such failure results in the
forfeiture by the indemnifying party of substantial rights and defenses and (2) will not, in any event, relieve the indemnifying party from any obligations to any indemnified party other than the indemnification obligation provided in
paragraph (a), (b) or (c) above. In case any such action is brought against any indemnified party and such indemnified party seeks or intends to seek indemnity from an indemnifying party, the indemnifying party will be entitled to
participate in, and, to the extent that it shall elect, jointly with all other indemnifying parties similarly notified, by written notice delivered to the indemnified party promptly after receiving the aforesaid notice from such indemnified party,
to assume the defense thereof with counsel reasonably satisfactory to such indemnified party; provided, however, if the defendants in any such action include both the indemnified party and the indemnifying party and the indemnified party
shall have reasonably concluded that a conflict may arise between the positions of the indemnifying party and the indemnified party in conducting the defense of any such action or that there may be legal defenses available to it and/or other
indemnified parties that are different from or additional to those available to the indemnifying party, the indemnified party or parties shall have the right to select separate counsel to assume such legal defenses and to otherwise participate in
the defense of such action on behalf of such indemnified party or parties. Upon receipt of notice from the indemnifying party to such indemnified party of such indemnifying party’s election so to assume the defense of such action and approval
by the indemnified party of counsel, the indemnifying party will not be liable to such indemnified party under this Section 5 for any legal or other expenses subsequently incurred by such indemnified party in connection with the defense thereof
unless (i) the indemnified party shall have employed separate counsel in accordance with the proviso to the preceding sentence (it being understood, however, that the indemnifying party shall not be liable for the expenses of more than one
separate counsel (other than local counsel), reasonably approved by the indemnifying party, representing the indemnified parties who are parties to such action) or (ii) the indemnifying party shall not have employed counsel satisfactory to the
indemnified party to represent the indemnified party within a reasonable time after notice of commencement of the action, in each of which cases the fees and expenses of counsel shall be at the expense of the indemnifying party. 
  

 -15- 

 (d) Settlements. The indemnifying party under this Section 5 shall not be liable
for any settlement of any proceeding effected without its written consent, which shall not be withheld unreasonably, but if settled with such consent or if there is a final judgment for the plaintiff, the indemnifying party agrees to indemnify the
indemnified party against any loss, claim, damage, liability or expense by reason of such settlement or judgment. Notwithstanding the foregoing sentence, if at any time an indemnified party shall have requested an indemnifying party to reimburse the
indemnified party for fees and expenses of counsel as contemplated by Section 5(c) hereof, the indemnifying party agrees that it shall be liable for any settlement of any proceeding effected without its written consent if (i) such settlement is
entered into more than 30 days after receipt by such indemnifying party of the aforesaid request, (ii) such indemnifying party shall have received notice of the terms of such settlement at least 45 days prior to such settlement being entered
into and (iii) such indemnifying party shall not have reimbursed the indemnified party in accordance with such request prior to the date of such settlement. No indemnifying party shall, without the prior written consent of the indemnified
party, effect any settlement, compromise or consent to the entry of judgment in any pending or threatened action, suit or proceeding in respect of which any indemnified party is or could have been a party and indemnity was or could have been sought
hereunder by such indemnified party, unless such settlement, compromise or consent (x) includes an unconditional release of such indemnified party from all liability on claims that are the subject matter of such action, suit or proceeding and
(y) does not include a statement as to or an admission of fault, culpability or a failure to act by or on behalf of any indemnified party. 
 (e) If the indemnification provided for in this Section 5 is for any reason unavailable to or insufficient to hold harmless an indemnified party in respect of any losses, liabilities, claims, damages or expenses
referred to therein, then each indemnifying party shall contribute to the aggregate amount of such losses, liabilities, claims, damages and expenses incurred by such indemnified party, as incurred, in such proportion as is appropriate to reflect the
relative fault of the Company on the one hand and the Holders on the other hand in connection with the statements or omissions which resulted in such losses, liabilities, claims, damages or expenses, as well as any other relevant equitable
considerations. 
 The relative fault of the indemnifying parties on the one hand and the indemnified parties and the Purchasers on the other
hand shall be determined by reference to, among other things, whether any such untrue or alleged untrue statement of a material fact or omission or alleged omission to state a material fact relates to information supplied by the Company, or by the
Holders and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission. 
 The Company and the Holders agree that it would not be just and equitable if contribution pursuant to this Section 5 were determined by pro rata allocation or by any other method of allocation which does not take account of the equitable
considerations referred to above in this Section 5. The aggregate amount of losses, liabilities, claims, damages and expenses incurred by an indemnified party and referred to above in this Section 5 shall be deemed to include any reasonable
out-of-pocket legal or other expenses reasonably incurred by such indemnified party in investigating, 

  

 -16- 

 
preparing or defending against any litigation, or any investigation or proceeding by any governmental agency or body, commenced or threatened, or any claim
whatsoever based upon any such untrue or alleged untrue statement or omission or alleged omission. 
 Notwithstanding the provisions of this
Section 5, no Holder shall be required to indemnify or contribute any amount in excess of the amount by which the total price at which the Securities sold by such Holder exceeds the amount of any damages which such Holder has otherwise been required
to pay by reason of such untrue or alleged untrue statement or omission or alleged omission. 
 No Person guilty of fraudulent
misrepresentation (within the meaning of Section 11(f) of the 1933 Act) shall be entitled to contribution from any Person who was not guilty of such fraudulent misrepresentation. 
 For purposes of this Section 5, each director, officer, employee and agent of Holder, or each Person, if any, who controls any Holder within the meaning
of Section 15 of the 1933 Act or Section 20 of the 1934 Act shall have the same rights to contribution as such Holder, and each director, officer, employee or agent of the Company, and each Person, if any, who controls the Company within
the meaning of Section 15 of the 1933 Act or Section 20 of the 1934 Act shall have the same rights to contribution as the Company. 
  

	 	6.	Underwritten Offerings 

 (a) With
the prior consent of the Company, which consent shall not be unreasonably withheld, Holders of at least $25 million in aggregate principal amount of the Notes may sell Registrable Securities (in whole or in part) in a registration in which such
securities are sold to an underwriter for reoffering to the public pursuant to the Shelf Registration Statement (an “Underwritten Offering”). Upon receipt of such a request, the Company shall provide all Holders written notice of
the request, which notice shall inform such Holders that they have the opportunity to participate in the Underwritten Offering. In any such Underwritten Offering, the Underwriters will be selected by, and the underwriting arrangements with respect
thereto (including the size of the offering) will be approved by the Majority Holders of the Registrable Securities to be included in such offering; provided, however, that such Underwriters and underwriting arrangements must be
reasonably satisfactory to the Company. No Holder may participate in any Underwritten Offering contemplated hereby unless (a) such Holder agrees to sell such Holder’s Registrable Securities to be included in the Underwritten Offering in
accordance with any approved underwriting arrangements, (b) such Holder completes and executes all reasonable questionnaires, powers of attorney, indemnities, underwriting agreements, lock-up letters and other documents required under the terms
of such approved underwriting arrangements, and (c) if such Holder has not already done so, such Holder returns a completed and signed Notice and Questionnaire to the Company in accordance with Section 2.1(c) hereof within a reasonable
amount of time before such Underwritten Offering. Notwithstanding the foregoing, upon receipt of a request from the Underwriters or a representative of holders of a majority of the Registrable Securities to be included in an Underwritten Offering to
prepare and file an amendment or supplement to the Shelf Registration Statement and Prospectus in 

  

 -17- 

 
connection with an Underwritten Offering, the Company may delay the filing of any such amendment or supplement for up to 30 days if the Board of Directors of
the Company shall have determined in good faith that the Company has a bona fide business reason for such delay. 
 (b) To the
extent the Shelf Registration Statement is effective and available for use at the time of any proposed sale or offer of any Securities by any Purchaser participating in such Underwritten Offering, each such Purchaser agrees that the sale and offer
of such Securities made by it shall be made pursuant to such effective Shelf Registration Statement such that the transferee of such Securities will receive unrestricted Securities. 
 (c) In furtherance of the Company’s undertakings, and subject to the limitations, in Section 5(a), the Company agrees to use
commercially reasonable efforts to enter into such customary agreements (on terms reasonably acceptable to the Company) and take all other customary and appropriate actions in order to expedite or facilitate the disposition of the Registrable
Securities being offered and sold in an Underwritten Offering in which the Company provides cooperation, including, but not limited to: 
 (i) obtaining opinions of counsel to the Company and updates thereof addressed to each selling Purchaser and the Underwriters covering matters as are customarily requested in opinions covering secondary resale
offerings of companies of comparable size, maturities and lines of business as the Company; 
 (ii) obtaining
“comfort” letters and updates thereof from the Company’s independent certified public accountants (and, if necessary, any other independent certified public accountants of any subsidiary of the Company or of any business acquired by
the Company for which financial statements are, or are required to be, included in the Shelf Registration Statement) addressed to the Underwriters, and use commercially reasonable efforts to have such letter addressed to the selling Purchasers (to
the extent consistent with AU 722, Interim Financial Information, of the Public Company Accounting Oversight Board (United States), such letters covering matters as are customarily requested in comfort letters covering secondary resale offerings of
companies of comparable size, maturities and lines of business as the Company; 
 (iii) making reasonably available for
inspection by each Purchaser and the Underwriters participating in any Underwritten Offering, and any attorney, accountant or other agent retained by any such Purchaser or Underwriter all relevant financial and other records and pertinent corporate
documents of the Company as are customarily made available in secondary resale offerings of companies of comparable size, maturities and lines of business as the Company; 
 (iv) causing the Company’s officers, directors, employees, accountants and auditors to supply all relevant information, and causing
appropriate persons to be reasonably available for discussions concerning such documents, as reasonably requested by any such Purchaser, Underwriter, attorney, accountant or agent in connection with any such Underwritten Offering as is customary for
similar due diligence examinations; 
  

 -18- 

 (v) delivering such documents and certificates to the Purchasers and the Underwriters as
may be reasonably requested by such Purchasers or Underwriters and as are customarily delivered in secondary resale offerings of companies of comparable size, maturities and lines of business as the Company; 
 (vi) making appropriate members of senior management reasonably available to participate in conference calls with potential investors and
make presentations to ratings agencies as is reasonably necessary and customary in secondary resale offerings of companies of comparable size, maturities and lines of business as the Company; and 
 (vii) if an underwriting or purchase, sale or agency agreement is entered into, causing the same to set forth indemnification provisions
and procedures substantially equivalent to the indemnification provisions and procedures set forth in Section 5 with respect to the Underwriters and all other parties to be indemnified pursuant to said Section or, at the request of any
Underwriters, in the form customarily provided to such Underwriters in similar types of transactions. 
 In connection with any Underwritten
Offering in which the Company provides assistance to the Purchasers or the Underwriters thereto, the Company may require each Purchaser or Underwriter, and their attorneys, accountants or agents retained by them, to maintain in confidence and not to
disclose to any other person any information or records provided as part of such assistance and reasonably designated by the Company as being confidential, until such time as (A) such information becomes a matter of public record (whether by
virtue of its inclusion in such registration statement or otherwise), or (B) such person shall be required so to disclose such information pursuant to a subpoena or order of any court or other governmental agency or body having jurisdiction
over the matter (subject to the requirements of such order, and only after such person shall have given the Company prompt prior written notice of such requirement), or (C) such information is required to be set forth in the Shelf Registration
Statement or the prospectus included therein or in an amendment to such Shelf Registration Statement or an amendment or supplement to such prospectus in order that such Shelf Registration Statement, prospectus, amendment or supplement, complies with
applicable requirements of the federal securities laws and the rules and regulations of the Commission and does not contain an untrue statement of a material fact or omit to state therein a material fact required to be stated therein or necessary to
make the statements therein not misleading in light of the circumstances then existing or (D) such information becomes available to any such person from a source other than the Company and such source is not bound by a confidentiality agreement
or other confidentiality obligations or duties, as the case may be. 
  

	 	7.	Miscellaneous. 

 7.1 No
Inconsistent Agreements. The Company has not entered into and the Company will not after the date of this Agreement enter into any agreement with respect to its securities which conflicts with the rights granted to the Holders of Registrable
Securities in this Agreement. The rights granted to the Holders hereunder do not for the term of this Agreement 

  

 -19- 

 
conflict with the rights granted to the holders of the Company’s other issued and outstanding securities under any such agreements. 
 7.2 Amendments and Waivers. The provisions of this Agreement may not be amended, qualified, modified or supplemented, and waivers
or consents to departures from the provisions hereof may not be given, unless the Company has obtained the written consent of the Majority Holders; provided, however, that no amendment, qualification, supplement, waiver or consent with
respect to Sections 2.4 and 5 hereof shall be effective as against any Holder of Registered Securities unless consented to in writing by such Holder; and provided, further, that the provisions of this Section 7.2 may not be amended,
qualified, modified or supplemented, and waivers or consents to departures from the provisions hereof may not be given, unless the Company has obtained the written consent of each Holder, except that any provision of this Section 6.2 which
provides that an amendment to this Agreement may be made upon the written consent of the Majority Holders may itself be amended, qualified, modified or supplemented, and waivers or consents to departures from any such provision may be given if the
Company obtains the written consent of the Majority Holders; and provided further, that any amendment to this Agreement that disproportionately adversely affects any Holder shall require the prior written consent of such Holder. Notwithstanding the
foregoing (except the foregoing provisos), (i) a waiver or consent to departure from the provisions hereof with respect to a matter that relates exclusively to the rights of Holders whose Registrable Securities are being sold pursuant to a
Shelf Registration Statement and that does not directly or indirectly affect the rights of other Holders may be given by the Majority Holders, determined on the basis of the Registrable Securities being sold rather than registered under such Shelf
Registration Statement and (ii) this Agreement may be amended by a written agreement between the Company and the Purchasers, without the consent of the Holders of the Registrable Securities, in order to cure any ambiguity or to correct or
supplement any provision contained herein, provided that no such amendment shall adversely affect the interest of the Holders of Registrable Securities. Each Holder of Registrable Securities outstanding at the time of any amendment, modification,
waiver or consent pursuant to this Section 7.2, shall be bound by such amendment, modification, waiver or consent, whether or not any notice or writing indicating such amendment, modification, waiver or consent is delivered to such Holder.

 7.3 Notices. All notices, consents and other communications provided for or permitted hereunder shall be made in
writing by hand delivery, registered first-class mail, facsimile, or any courier guaranteeing overnight delivery (a) if to a Holder, in the manner set forth in Section 12.03(b) of the Indenture; and (b) if to the Company, initially at
the Company’s address set forth in the Purchase Agreement, and thereafter at such other address of which notice is given in accordance with the provisions of this Section 7.3 
 All such notices and communications shall be deemed to have been duly given when delivered in person or by private courier with receipt, if telefaxed
when verbal or email confirmation from the recipient is received, or three (3) days after being deposited in the United States mail, first-class, registered or certified, return receipt requested, with postage paid. 
  

 -20- 

 Copies of all such notices, demands, or other communications to any Holder shall be deemed to have been
duly given, if such notice has been duly given to the Trustee under the Indenture, at the address specified in such Indenture. 
 7.4 Successor and Assigns. This Agreement shall inure to the benefit of and be binding upon the successors, assigns and transferees of each of the parties, including, without limitation and without the need for an express assignment,
subsequent Holders; provided, however, that, nothing herein shall be deemed to permit any assignment, transfer or other disposition of Registrable Securities in violation of the terms of the Purchase Agreement or the Indenture.
If any transferee of any Holder shall acquire Registrable Securities, in any manner, whether by operation of law or otherwise, such Registrable Securities shall be held subject to all of the terms of this Agreement, and by taking and holding such
Registrable Securities such person shall be conclusively deemed to have agreed to be bound by and to perform all of the terms and provisions of this Agreement, including the restrictions on resale set forth in this Agreement and, if applicable, the
Purchase Agreement, and such person shall be entitled to receive the benefits hereof. 
 7.5 Third Party Beneficiaries.
Each Holder of Registrable Securities shall be a third party beneficiary to the agreements made hereunder between the Company, on the one hand, and the Purchasers, on the other hand, and shall have the right to enforce such agreements directly to
the extent it deems such enforcement necessary or advisable to protect its rights hereunder. 
 7.6 Specific
Enforcement. Without limiting the remedies available to the Purchasers and the Holders, the Company acknowledges that any failure by the Company to comply with its obligations under Section 2.1 may result in material irreparable injury to the
Purchasers or the Holders for which there is no adequate remedy at law, that it may not be possible to measure damages for such injuries precisely and that, in the event of any such failure, any Purchaser or any Holder may seek such relief as may be
required to specifically enforce the Company’s obligations under Sections 2.1; provided, however, that without limiting the ability of the any Holder to specifically enforce such obligations, with respect to the terms of this Agreement for
which Additional Interest pursuant to Section 2.4 is expressly provided as a remedy for a violation of such terms, such Additional Interest shall be the sole remedy for such violation. 
 7.7 Counterparts. This Agreement may be executed in any number of counterparts and by the parties hereto in separate counterparts,
each of which when so executed shall be deemed to be an original and all of which taken together shall constitute one and the same agreement. 
 7.8 Headings. The headings in this Agreement are for convenience of reference only and shall not limit or otherwise affect the meaning hereof. 
 7.9 GOVERNING LAW. All questions concerning the construction, validity, enforcement and interpretation of this Agreement shall be
governed by the internal laws of the State of New York, without giving effect to any choice of law or conflict of law provision or rule (whether of the State of New York or any other jurisdictions) that would cause the application of the laws of

  

 -21- 

 
any jurisdictions other than the State of New York. Each party hereby irrevocably submits to the exclusive jurisdiction of the state and federal courts
sitting in The City of New York, Borough of Manhattan, for the adjudication of any dispute hereunder or in connection herewith or with any transaction contemplated hereby or discussed herein, and hereby irrevocably waives, and agrees not to assert
in any suit, action or proceeding, any claim that it is not personally subject to the jurisdiction of any such court, that such suit, action or proceeding is brought in an inconvenient forum or that the venue of such suit, action or proceeding is
improper. Each party hereby irrevocably waives personal service of process and consents to process being served in any such suit, action or proceeding by mailing a copy thereof to such party at the address for such notices to it under this Agreement
and agrees that such service shall constitute good and sufficient service of process and notice thereof. Nothing contained herein shall be deemed to limit in any way any right to serve process in any manner permitted by law. EACH PARTY HEREBY
IRREVOCABLY WAIVES ANY RIGHT IT MAY HAVE, AND AGREES NOT TO REQUEST, A JURY TRIAL FOR THE ADJUDICATION OF ANY DISPUTE HEREUNDER OR IN CONNECTION HEREWITH OR ARISING OUT OF THIS AGREEMENT OR ANY TRANSACTION CONTEMPLATED HEREBY. 
 7.10 Severability. In the event that any one or more of the provisions contained herein, or the application thereof in any
circumstance, is held invalid, illegal or unenforceable, the validity, legality and enforceability of any such provision in every other respect and of the remaining provisions contained herein shall not be affected or impaired thereby. 

7.11 Entire Agreement. This Agreement is intended by the parties as a final expression of their agreement and intended to be a
complete and exclusive statement of the agreement and understanding of the parties hereto in respect of the subject matter contained herein. There are no restrictions, promises, warranties or undertakings, other than those set forth or referred to
herein with respect to the registration rights granted by the Company with respect to the Registrable Securities. This Agreement supersedes all prior agreements and understandings between the parties with respect to such subject matter. 

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

					
	THE PROVIDENCE SERVICE CORPORATION
		
	By:	 	/s/ Fletcher Jay McCusker
		 	Name:	 	Fletcher Jay McCusker
		 	Title:	 	Chief Executive Officer and Chairman of the Board

  

 -22- 

 Confirmed and accepted as of the date first above written: 
  

					
	ARISTEIA INTERNATIONAL LIMITED
		
	By:	 	/s/ Chong Park
		 	Name:	 	Chong Park
		 	Title:	 	 Portfolio Manager, Direct Investments, Aristeia Capital, L.L.C., its Investment Manager

  

					
	ARISTEIA PARTNERS, L.P.
		
	By:	 	/s/ Chong Park
		 	Name:	 	Chong Park
		 	Title:	 	Portfolio Manager, Direct Investments

  

					
	ARISTEIA SPECIAL INVESTMENTS MASTER, L.P.
		
	By:	 	/s/ Chong Park
		 	Name:	 	Chong Park
		 	Title:	 	 Portfolio Manager, Direct Investments, Aristeia Capital, L.L.C., its Investment Manager

  

									
	GLG MARKET NEUTRAL FUND
		
	By:	 	 GLG Partners LP acting as Investment Manager for GLG Market Neutral Fund

		 	By:	 	/s/ Bob Price
		 		 	Name:	 	Bob Price
		 		 	Title:	 	Head of Operations
		 		 		 	GLG Partners LP

  

 -23- 

					
	CQS CONVERTIBLE AND QUANTITATIVE STRATEGIES MASTER FUND LIMITED
		
	By:	 	/s/ Alanna Lee
		 	Name:	 	Alanna Lee
		 	Title:	 	 Authorised Signatory of CQS (UK) LLP as Investment Advisor

  

									
	STEELHEAD INVESTMENTS LTD.
		
	By:	 	HBK Services LLC, Investment Advisor
		 	By:	 	/s/ J. Baker Gentry, Jr.
		 		 	Name:	 	J. Baker Gentry, Jr.
		 		 	Title:	 	Authorized Signatory

  

									
	HIGHBRIDGE CAPITAL
		
	By:	 	 Highbridge Capital Management, LLC, as trading manager

		 	By:	 	/s/ Noah Greenhill
		 		 	Name:	 	Noah Greenhill
		 		 	Title:	 	Managing Director

  

					
	CC ARBITRAGE LTD.
		
	By:	 	/s/ Allan Weine
		 	Name:	 	Allan Weine
		 	Title:	 	Managing Director

  

									
	FORE CONVERTIBLE MASTER FUND LTD.
		
	By:	 	Fore Research & Management, LP
		 	By:	 	/s/ Daniel Agranoff
		 		 	Name:	 	Daniel Agranoff
		 		 	Title:	 	Chief Financial Officer

  

 -24- 

					
	KINGS ROAD INVESTMENTS LTD.
		
	By:	 	/s/ Erik Caspersen
		 	Name:	 	Erik Caspersen
		 	Title:	 	Authorized Signatory
	
	DEUTSCHE BANK AG, LONDON BRANCH
		
	By:	 	/s/ Jeremy Benkiewicz
		 	Name:	 	Jeremy Benkiewicz
		 	Title:	 	Managing Director
		
	By:	 	/s/ George Pan
		 	Name:	 	George Pan
		 	Title:	 	Managing Director

  

									
	RADCLIFFE SPC, LIMITED FOR AND ON BEHALF OF THE CLASS A SEGREGATED PORTFOLIO
		
	By:	 	RG Capital Management, L.P.
		 	By:	 	RGC Management Company, LLC
		 		 	By:	 	/s/ Gerald F. Stahlecker
		 		 		 	Name:	 	Gerald F. Stahlecker
		 		 		 	Title:	 	Managing Director

  

 -25- 

 EXHIBIT A 
 SELLING SECURITYHOLDERS 
 The shares of common stock that may be offered pursuant to this prospectus
will be offered by the selling securityholders. For additional information regarding the issuance of the shares of common stock and the notes upon conversion of which such shares are issuable, see “Private Placement of Convertible Notes”
above. We are registering the notes and shares of common stock issuable upon conversion of notes in order to permit the selling stockholders to offer the shares of common stock issuable upon conversion of the notes for resale from time to time.
Except for the ownership of the notes issued pursuant to the Purchase Agreement, the selling stockholders have not had any material relationship with us within the past three years. 
 The following table sets forth the selling securityholders and other information regarding the beneficial ownership of the shares of common stock by each
of the selling securityholders. The second column lists the number of shares of common stock beneficially owned by each selling securityholder, based on its ownership of the notes, as of
            , 200_, assuming conversion of all notes held by the selling securityholders on that date, without regard to any limitations on conversions. 
 The third column lists the shares of common stock being offered by this prospectus by each selling securityholder. 
 In accordance with the terms of a registration rights agreement among the Company and the selling securityholders, this prospectus generally covers the
resale of the number of shares of common stock issued or issuable upon conversion of the notes as of the trading day immediately preceding the date the registration statement is initially filed with the SEC. Because the conversion price of
the notes may be adjusted, the number of shares that will actually be issued may be more or less than the number of shares being offered by this prospectus. The fourth column assumes the sale of all of the shares of common stock offered by the
selling securityholders pursuant to this prospectus. 
 Under the terms of the notes, a selling securityholder may not convert the notes to
the extent such conversion would cause such selling securityholder, together with its affiliates, to beneficially own a number of shares of common stock which would exceed 9.99% of our then outstanding shares of common stock following such
conversion, excluding for purposes of such determination shares of common stock issuable upon conversion of the notes which have not been converted. The number of shares in the third column does not reflect this limitation. The selling
securityholders may sell all, some or none of their shares of common stock issuable upon conversion of the notes in this offering. See “Plan of Distribution.” 
  

 A-1 

													
	 Name of Selling
 Securityholder
	  	Principal
Amount at
Maturity of
Notes
Beneficially
Owned Prior to
Offering	  	Number of
Shares Owned
Prior to
Offering	  	Maximum
Number of
Notes to be
Sold Pursuant
to this
Prospectus	  	Maximum
Number of
Shares to be
Sold Pursuant
to this
Prospectus	  	Number of
Notes
Owned
After
Offering	  	Number of
Shares Owned
After Offering
	 Steelhead Investments Ltd. (1)
	  		  		  		  		  		  	0

  

	(1)	HBK Investments L.P. may be deemed to have sole voting and sole dispositive power over the securities pursuant to an Investment Management Agreement between HBK Investments L.P. and
Steelhead Investments Ltd. Additionally, the following individuals may be deemed to have control over HBK Investments L.P.: Kenneth M. Hirsh, Laurence H. Lebowitz, William E. Rose, David C. Haley and Jamiel A. Akhtar. Steelhead Investments Ltd.
is an affiliate of a registered broker-dealer and has represented to the Company that it acquired the securities in the ordinary course of business and, at the time of the purchase of the securities, had no agreements or understandings,
directly or indirectly, with any person to distribute the securities. 

  

 A-2 

 PLAN OF DISTRIBUTION 
 We are registering the shares of common stock issuable upon conversion of convertible notes to permit the resale of these shares of common stock by the holders of the notes from time to time after the date of this
prospectus. We will not receive any of the proceeds from the sale by the selling securityholders of the shares of common stock issuable upon conversion of the notes. We will bear all fees and expenses incident to our obligation to register the
shares of common stock issuable upon conversion of the notes. 
 The selling securityholders may sell all or a portion of the shares of
common stock issuable upon conversion of the notes beneficially owned by them and offered hereby from time to time directly or through one or more underwriters, broker-dealers or agents. If the shares of common stock issuable upon conversion of the
notes are sold through underwriters or broker-dealers, the selling securityholders will be responsible for underwriting discounts or commissions or agent’s commissions. The shares of common stock issuable upon conversion of the notes may be
sold in one or more transactions at fixed prices, at prevailing market prices at the time of the sale, at varying prices determined at the time of sale, or at negotiated prices. These sales may be effected in transactions, which may involve crosses
or block transactions, 
  

	 	•	 	 on any national securities exchange or quotation service on which the securities may be listed or quoted at the time of sale; 

  

	 	•	 	 in the over-the-counter market; 

  

	 	•	 	 in transactions otherwise than on these exchanges or systems or in the over-the-counter market; 

  

	 	•	 	 through the writing of options, whether such options are listed on an options exchange or otherwise; 

  

	 	•	 	 ordinary brokerage transactions and transactions in which the broker-dealer solicits purchasers; 

  

	 	•	 	 block trades in which the broker-dealer will attempt to sell the shares as agent but may position and resell a portion of the block as principal to facilitate the
transaction; 

  

	 	•	 	 purchases by a broker-dealer as principal and resale by the broker-dealer for its account; 

  

	 	•	 	 an exchange distribution in accordance with the rules of the applicable exchange; 

  

	 	•	 	 privately negotiated transactions; 

  

 A-3 

	 	•	 	 short sales; 

  

	 	•	 	 sales pursuant to Rule 144; 

  

	 	•	 	 broker-dealers may agree with the selling securityholders to sell a specified number of such shares at a stipulated price per share; 

 

	 	•	 	 a combination of any such methods of sale; and 

  

	 	•	 	 any other method permitted pursuant to applicable law. 

 If the selling securityholders effect such transactions by selling common stock issuable upon conversion of the notes to or through underwriters, broker-dealers or agents, such underwriters, broker-dealers or agents
may receive commissions in the form of discounts, concessions or commissions from the selling securityholders or commissions from purchasers of the notes or such common stock, as applicable, for whom they may act as agent or to whom they may sell as
principal (which discounts, concessions or commissions as to particular underwriters, broker-dealers or agents may be in excess of those customary in the types of transactions involved). In connection with sales of the shares of common stock
issuable upon conversion of the notes or otherwise, the selling securityholders may enter into hedging transactions with broker-dealers, which may in turn engage in short sales of the shares of common stock issuable upon conversion of the notes in
the course of hedging in positions they assume. The selling securityholders may also sell shares of common stock issuable upon conversion of the notes short and deliver shares of common stock covered by this prospectus to close out short positions
and to return borrowed shares in connection with such short sales. The selling securityholders may also loan or pledge the notes or shares of common stock issuable upon conversion of the notes to broker-dealers that in turn may sell such shares.

 The selling securityholders may pledge or grant a security interest in some or all of the notes or shares of common stock issuable upon
conversion of the notes owned by them and, if they default in the performance of their secured obligations, the pledgees or secured parties may offer and sell the shares of common stock issuable upon conversion of the notes from time to time
pursuant to this prospectus or any amendment to this prospectus under Rule 424(b)(3) or other applicable provision of the Securities Act of 1933, as amended, amending, if necessary, the list of selling securityholders to include the pledgee,
transferee or other successors in interest as selling securityholders under this prospectus. The selling securityholders also may transfer and donate the notes and shares of common stock issuable upon conversion of the notes in other circumstances
in which case the transferees, donees, pledgees or other successors in interest will be the selling beneficial owners for purposes of this prospectus. 
 The selling securityholders and any broker-dealer participating in the distribution of the shares of common stock issuable upon conversion of the notes may be deemed to be “underwriters” within the meaning
of the Securities Act, and any commission paid, or any discounts or concessions 

  

 A-4 

 
allowed to, any such broker-dealer may be deemed to be underwriting commissions or discounts under the Securities Act. 
 Under the securities laws of some states, the shares of common stock issuable upon conversion of the notes may be sold in such states only through
registered or licensed brokers or dealers. In addition, in some states the shares of common stock issuable upon conversion of the notes may not be sold unless such shares have been registered or qualified for sale in such state or an exemption from
registration or qualification is available and is complied with. 
 There can be no assurance that any selling securityholder will sell any
or all of the shares of common stock issuable upon conversion of the notes registered pursuant to the registration statement, of which this prospectus forms a part. 
 The selling securityholders and any other person participating in such distribution will be subject to applicable provisions of the Securities Exchange Act of 1934, as amended, and the rules and regulations
thereunder, including, without limitation, Regulation M of the Exchange Act, which may limit the timing of purchases and sales of any of the shares of common stock issuable upon conversion of the notes by the selling securityholders and any other
participating person. Regulation M may also restrict the ability of any person engaged in the distribution of the shares of common stock issuable upon conversion of the notes to engage in market-making activities with respect to the shares of common
stock issuable upon conversion of the notes. All of the foregoing may affect the marketability of the shares of common stock issuable upon conversion of the notes and the ability of any person or entity to engage in market-making activities with
respect to the shares of common stock issuable upon conversion of the notes. 
 We will pay all expenses of the registration of the shares of
common stock pursuant to the registration rights agreement, estimated to be $[            ] in total, including, without limitation, Securities and Exchange Commission filing fees and
expenses of compliance with state securities or “blue sky” laws; provided, however, that a selling securityholder will pay all underwriting discounts and selling commissions, if any. We will indemnify the selling securityholders against
liabilities, including some liabilities under the Securities Act, in accordance with the registration rights agreements, or the selling securityholders will be entitled to contribution. We may be indemnified by the selling securityholders against
civil liabilities, including liabilities under the Securities Act, that may arise from any written information furnished to us by the selling securityholder specifically for use in this prospectus, in accordance with the related registration rights
agreement, or we may be entitled to contribution. 
 Once sold under the registration statement, of which this prospectus forms a part, the
shares of common stock issuable upon conversion of the notes will be freely tradable in the hands of persons other than our affiliates. 
  

 A-5 

 EXHIBIT B 
 SELLING SECURITYHOLDER QUESTIONNAIRE 
 The undersigned beneficial owner (the “Selling
Securityholder”) of the 6.5% Convertible Senior Subordinated Notes due 2014 (the “Notes”) of The Providence Service Corporation (the “Company”) or the shares of the Company’s Common Stock, par value $0.001 per share,
issuable upon conversion of the Notes (the “Common Stock” and, together with the Notes, the “Registrable Securities”) hereby gives notice to the Company of its intention to sell or otherwise dispose of Registrable Securities
beneficially owned by it and listed below in Item 3 (unless otherwise specified under Item 3) pursuant to the Shelf Registration Statement. The undersigned, by signing and returning this Selling Securityholder Questionnaire, understands
that it will be bound by the terms and conditions of this Selling Securityholder Questionnaire and the Registration Rights Agreement, dated as of November 13, 2007, among the Company and the Purchasers thereto. 
 Pursuant to the Registration Rights Agreement, the undersigned has agreed to indemnify and hold harmless the Company’s directors, the Company’s
officers and each person, if any, who controls the Company within the meaning of either Section 15 of the Securities Act or Section 20 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), from and against
certain losses arising in connection with statements concerning the undersigned made in the Shelf Registration Statement or the related prospectus in reliance upon the information provided in this Selling Securityholder Questionnaire. The
undersigned hereby acknowledges its obligations under the Registration Rights Agreement to indemnify and hold harmless certain persons set forth therein. 
 The undersigned hereby provides the following information to the Company and represents and warrants that such information is accurate and complete: 
  

					
	(1)	  	(a)	 	 Full Legal Name of Selling Securityholder:
 ________________________________________________________________________________________________

			
		  	(b)	 	 Full Legal Name of Registered Holder (if not the same as (a) above) through which Registrable Securities listed in (3) below are held:

________________________________________________________________________________________________

			
		  	(c)	 	 Full Legal Name of DTC Participant (if applicable and if not the same as (b) above) through which Registrable Securities listed in (3) below are
held:
 ________________________________________________________________________________________________

		
	(2)	  	Address for Notices to Selling Securityholder:
 ___________________________________________________________________________________________________

 ___________________________________________________________________________________________________

		
		  	Telephone (including area code):________________________________________________________________________
		
		  	Fax (including area code):______________________________________________________________________________
		
		  	Contact Person:______________________________________________________________________________________
		
	(3)	  	Beneficial Ownership of Registrable Securities:
 ___________________________________________________________________________________________________

			
		  	(a)	 	 Type and Principal Amount/Number of Registrable Securities beneficially owned:
 ________________________________________________________________________________________________

					
	 	  	(b)	 	 CUSIP No(s). of such Registrable Securities beneficially owned:
 ______________________________________________________________________________________________

		
	(4)	  	        Beneficial Ownership of Other Securities of the Company Owned by the Selling Securityholder:
		
		  	Except as set forth below in this Item (4), the undersigned is not the beneficial or registered owner of any securities of
the Company other than the Registrable
Securities listed above in Item (3).
			
		  	(a)	 	 Type and Amount of Other Securities beneficially owned by the Selling Securityholder:
 ______________________________________________________________________________________________

			
		  	(b)	 	 CUSIP No(s). of such Other Securities beneficially owned:
 ______________________________________________________________________________________________

		
	(5)	  	Relationship with the Company:
		
		  	Except as set forth below, neither the undersigned nor any of its affiliates, officers, directors or principal equity holders
(5% or more) has held any position or office or
has had any other material relationship with the Company (or its
predecessors or affiliates) during the past three years.
		
		  	State any exceptions here:______________________________________________________________________
		
	(6)	  	Is the Selling Securityholder a registered broker-dealer?
		
		  	Yes     ̈
		
		  	No      ̈
		
		  	If “Yes”, please answer subsection (a) and subsection (b):
		
		  	            (a)    Did the Selling Securityholder acquire the Registrable Securities as compensation
for underwriting/broker-
                     dealer activities to the Company?
		
		  	                        Yes     ̈
		
		  	                        No      ̈

		
		  	            (b)    If you answered “No” to question 6(a), please explain your reason for
acquiring the Registrable Securities:
             ___________________________________________________________________________________________

             ___________________________________________________________________________________________

		
	(7)	  	Is the Selling Securityholder an affiliate of a registered broker-dealer?
		
		  	Yes     ̈
		
		  	No      ̈
		
		  	If “Yes”, please identify the registered broker-dealer(s), describe the nature of the affiliation(s) and answer subsection
(a) and subsection (b):
             ___________________________________________________________________________________________

		
		  	            (a)    Did the Selling Securityholder purchase the Registrable Securities in the ordinary
course of business (if
                     no, please explain)?
		
		  	                        Yes     ̈
		
		  	                        No      ̈
            Explain:
                                        
                                        
    
		
		  	            (b)    Did the Selling Securityholder have an agreement or understanding, directly or
indirectly, with any person
                     to distribute the Registrable Securities at the same time the Registrable Securities were
originally
                     purchased (if yes, please explain)?
		
		  	                        Yes     ̈            Explain:                         
                                        
                   
		
		  	                        No      ̈

		
	(8)	  	Is the Selling Securityholder a non-public entity?
		
		  	Yes     ̈

			
		  	No      ̈
		  	If “Yes”, please answer subsection (a):
		  	             (a)    Identify the natural person or persons that
have voting or investment control over the Registrable Securities that                      the non-public entity owns:
             ______________________________________________________________________________________________

             ______________________________________________________________________________________________

	 (9)
	  	Plan of Distribution:
		  	Except as set forth below, the undersigned Selling Securityholder (including its donees and pledgees) intends to distribute the Registrable Securities listed above in Item (3) pursuant to
the Shelf Registration Statement only as follows (if at all): Such Registrable Securities may be sold from time to time directly by the undersigned Selling Securityholder or, alternatively, in accordance with the Registration Rights Agreement,
through underwriters, broker-dealers or agents. If the Registrable Securities are sold through underwriters or broker-dealers, the Selling Securityholders will be responsible for underwriting discounts or commissions or agent commissions. Such
Registrable Securities may be sold in one or more transactions at fixed prices, at prevailing market prices at the time of sale, at varying prices determined at the time of sale, or at negotiated prices. Such sales may be effected in transactions
(which may involve cross or block transactions) (i) on any national securities exchange or quotation service on which the Registrable Securities may be listed or quoted at the time of sale, (ii) in the over-the-counter market,
(iii) in transactions otherwise than on such exchanges or services or in the over-the-counter market, or (iv) through the writing of options. In connection with sales of the Registrable Securities or otherwise, the undersigned Selling
Securityholder may enter into hedging transactions with broker-dealers, which may in turn engage in short sales of the Registrable Securities in the course of hedging positions they assume. The undersigned Selling Securityholder may also sell
Registrable Securities short and deliver Registrable Securities to close out short positions, or loan or pledge Registrable Securities to broker-dealers that in turn may sell such securities.
		  	State any exceptions here:____________________________________________________________________________

 The undersigned Selling Securityholder acknowledges that it understands its obligations to comply
with the provisions of the Securities Exchange Act of 1934, as amended, and the rules thereunder relating to stock manipulation, particularly Regulation M thereunder (or any successor rules or regulations), in connection with any offering of
Registrable Securities pursuant to the Shelf Registration Agreement. The undersigned agrees that neither it nor any person acting on its behalf will engage in any transaction in violation of such provisions. 
 Pursuant to the Registration Rights Agreement, the Company has agreed under certain circumstances to indemnify the Selling Securityholder against certain
liabilities. 
 In the event the undersigned transfers all or any portion of the Registrable Securities listed in Item (3) above after
the date on which such information is provided to the Company other than pursuant to the Shelf Registration Statement, the undersigned agrees to notify the transferee(s) at the time of the transfer of its rights and obligations under this Selling
Securityholder Questionnaire and the Registration Rights Agreement. 
 In accordance with the undersigned’s obligation under the
Registration Rights Agreement to provide such information as may be required by law or by the staff of the Commission for inclusion in the Shelf Registration Statement, the undersigned agrees to promptly notify the 

 
Company of any inaccuracies or changes in the information provided herein that may occur subsequent to the date hereof at anytime while the Shelf
Registration Statement remains effective. All notices hereunder and pursuant to the Registration Rights Agreement shall be made in writing, by hand-delivery, first-class mail, or air courier guaranteeing overnight delivery to the address set forth
below. 
 By signing below, the undersigned consents to the disclosure of the information contained herein in its answers to Items (1)
through (9) above and the inclusion of such information in the Shelf Registration Statement and the related prospectus. The undersigned understands that such information will be relied upon by the Company in connection with the preparation or
amendment of the Shelf Registration Statement and the related prospectus. 
 Once this Selling Securityholder Questionnaire is executed by
the undersigned and received by the Company, the terms of this Selling Securityholder Questionnaire, and the representations, warranties and agreements contained herein, shall be binding on, shall inure to the benefit of and shall be enforceable by
the respective successors, heirs, personal representatives, and assigns of the Company and the undersigned with respect to the Registrable Securities beneficially owned by the undersigned and listed in Item (3) above. This Selling
Securityholder Questionnaire shall be governed in all respects by the laws of the State of New York. 
 IN WITNESS WHEREOF, the undersigned,
by authority duly given, has caused this Selling Securityholder Questionnaire to be executed and delivered either in person or by its duly authorized agent. 
 Dated:                     
  

			
	 
	Beneficial Owner
		
	By:	 	 
	Name:	 	 
	Title:	 	 

 PLEASE RETURN THE COMPLETED AND EXECUTED 
 SELLING SECURITYHOLDER QUESTIONNAIRE TO THE COMPANY AT: 
 THE PROVIDENCE SERVICE
CORPORATION 
 5524 East Fourth Street 
 Tucson, Arizona 85711 
 Fax: (520) 747-6605 
 Attn: Fred Furman, General Counsel and Executive Vice PresidentEscrow Agreement

 Exhibit 10.3 
 ESCROW AGREEMENT 
 This Escrow Agreement is dated as of November 13, 2007, by and among The
Providence Service Corporation, a Delaware corporation (the “Company”), The Bank of New York Trust Company, N.A., as escrow agent (“Escrow Agent”), and The Bank of New York Trust Company, N.A., as trustee (the
“Trustee”) under the Indenture described below. 
 WITNESSETH 
 WHEREAS, the Company has entered into that certain Agreement and Plan of Merger, dated as of November 6, 2007 (the “Acquisition
Agreement”), by and between the Company, PRSC Acquisition Corporation, Charter LCI Corporation, a Delaware corporation (“LCI”), and the stockholders of LCI (the “Seller”) and CLCI Agent, LLC, as stockholder
representative, pursuant to which LCI will merge with PRSC Acquisition Corporation (the “Acquisition”). 
 WHEREAS, pursuant
to that certain Indenture, dated November 13, 2007 (the “Indenture”), between the Company and the Trustee, the Company is issuing $70,000,000 aggregate principal amount of 6.5% Convertible Senior Subordinated Notes due 2014
(the “Notes”). The Company has agreed, for the benefit of the Trustee and for the benefit of the Holders, to enter into this Escrow Agreement with respect to the Notes. Capitalized terms not defined herein shall have the meaning
assigned to them in the Indenture. 
 WHEREAS, the Company desires to deposit in escrow, to be held by the Escrow Agent subject to the
release conditions set forth herein, certain funds representing that portion of the purchase price of the Notes to be received by the Company. 
 WHEREAS, this Escrow Agreement shall govern the terms upon which the Escrow Agent will receive and hold, and make disbursements from, the escrow and the duties for which the Escrow Agent will be responsible. 
 NOW THEREFORE, in consideration of the foregoing and of the mutual covenants hereinafter set forth, the Company, the Escrow Agent and the Trustee (for
the benefit of the Holders) agree as follows: 
 1. Appointment of Escrow Agent. The Company, on the one hand, and the Trustee, on the
other hand, do hereby appoint and designate the Escrow Agent as escrow agent for the purposes set forth herein, and the Escrow Agent does hereby accept such appointment under the terms and conditions set forth herein. 
 2. Establishment of Escrow Funds. Simultaneously with the execution of this Escrow Agreement, the Company shall deposit, or cause to be deposited,
$70,000,000 (the “Escrow Funds”) with the Escrow Agent. If and to the extent the conditions set forth in Section 5 of this Escrow Agreement have been met with respect to the release of the Escrow Funds, the Escrow Funds shall
be delivered to the Company by the Escrow Agent in accordance with such Section 5. If and to the extent the conditions set forth in Section 6 of this Escrow Agreement have been met with respect to the release of the Escrow Funds, Escrow
Funds in an amount equal to the Mandatory Repurchase Amount shall be delivered to the Trustee (or Paying Agent under the Indenture, as applicable) to fund the Repurchase (as defined in the Indenture) and, if applicable, that portion of the Escrow
Funds representing the Excess Amount shall be delivered to the Company. The 

  

 -1- 

 
Escrow Agent shall hold, subject to the terms and conditions hereof, such cash and shall make such investments and reinvestments of the escrowed cash as may
be permitted pursuant to Section 3 hereof, which, together with the income from such investments, shall become the Escrow Funds. 
 3.
Investment of Escrow Funds. The Escrow Funds shall be received by the Escrow Agent and deposited into an escrow account to be named the PRSC Convertible Note Fund. The Escrow Agent agrees to invest and reinvest funds in the Escrow Account,
but only upon written instructions signed by the Company and only to the extent such instructions direct such funds to be invested in the following (the “Permitted Investments”): 
 (a) obligations issued or guaranteed as to full and timely payment by the United States of America or by any person controlled or
supervised by or acting as an instrumentality of the United States of America which obligations are backed by the full faith and credit of the United States of America pursuant to authority granted by Congress; or 
 (b) money market mutual funds that are registered with the United States Securities and Exchange Commission meeting the requirements of
Rule 2a-7 under the Investment Company Act of 1940, and at least 95% of the assets of which constitute cash equivalents. 
 Promptly after the initial
deposit is made, the Company shall give the Escrow Agent written directions to invest the Escrow Funds without distinction between principal and income, in Permitted Investments and from time to time the Company may direct the reinvestment in other
Permitted Investments. The Escrow Agent will credit all such investments and reinvestments to the escrow account and hereby agrees to treat any such investment or reinvestment as a financial asset within the meaning of Section 8-102(a)(9) of
the New York Uniform Commercial Code. The Escrow Agent is hereby authorized to execute purchases and sales of permitted investments through the facilities of its own trading or capital markets operations or those of any affiliated entity. In the
absence of written investment direction, the Escrow Agent shall hold funds received hereunder uninvested. The Escrow Agent shall have the right to liquidate any investments held in order to provide funds necessary to make required payments under
this Escrow Agreement. The Escrow Agent in its capacity as escrow agent hereunder shall not have any liability for any loss sustained as a result of any investment or non-investment prior to its maturity of for the failure of the parties to give the
Escrow Agent instructions to invest or reinvest the Escrow Funds or any earnings thereon. 
 4. No Right in Escrow Funds or Notes. The
Company expressly acknowledges and agrees that prior to the satisfaction of the release conditions in Section 5, the Company shall have no interest or rights in the Escrow Funds. In the event of the investment of the Escrow Funds, the Company
shall have no interest or rights in such investments or investment securities. 
 5. Release Conditions. Upon receipt by the Trustee
of an Acquisition Certificate (as defined below) substantially in the form attached hereto as Exhibit A, the Company and the Trustee shall execute the joint written instructions, substantially in the form attached hereto as Exhibit B,
instructing the Escrow Agent to release the Escrow Funds to the Company. Upon receipt of the fully executed joint written instructions, the Escrow Agent shall, as soon as reasonably practicable, wire the Escrow Funds to the Company (together with
all interest, income and earnings thereon). If the Escrow Agent is required to wire the Escrow Funds (together with all interest, income and earnings thereon) on a day that is not a Business Day, then the Escrow Agent shall not be obligated to wire
such amounts to the Company until the next succeeding Business Day. An “Acquisition Certificate” means a certificate signed by the Company’s Chief Executive Officer and Chief Financial Officer that certifies that (i) the
Company and Seller have each performed, complied or 

  

 -2- 

 
received waivers of each term, condition and covenant contained in the Acquisition Agreement (except for Section 1.5) and related documents, and
(ii) upon receipt of the Escrow Funds, the Company will immediately pay to Seller, by wire transfer of same day funds, such Escrow Funds and such other amounts as required by the Acquisition Agreement necessary for the consummation of the
Acquisition. 
 6. Escrow Conditions Not Met. Upon the earlier to occur of (i) the receipt by the Escrow Agent of written notice
from the Company that the Acquisition will not be consummated or (ii) the condition in Section 5 is not satisfied by the close of business on December 31, 2007 (or such later date as the Company and the Trustee shall notify the Escrow
Agent), the Escrow Agent shall send notice to the Trustee that the condition of the escrow has not been met. Upon receipt of notice that the Company has failed to meet the condition entitling the Company to the Escrow Funds, the Escrow Funds shall
be delivered to the Trustee for the benefit of the Holders. If the Mandatory Repurchase Price (as defined in the Indenture) exceeds the Escrow Funds (together with all interest, income and earnings thereon), the Company shall promptly give the
Escrow Agent written instructions instructing the Escrow Agent to wire the Escrow Funds (together with all interest, income and earnings thereon) to the Trustee (for the benefit of the Holders) and the Escrow Agent shall promptly comply with such
instructions. If the Escrow Funds (together with all interest, income and earnings thereon) exceed the Mandatory Repurchase Price (the “Excess Amount”), the Company shall promptly give the Escrow Agent written instructions
instructing the Escrow Agent to wire the Mandatory Repurchase Price to the Trustee (for the benefit of the Holders) and to wire such Excess Amount to the Company and the Escrow Agent shall promptly comply with such instructions. 
 7. Notices. All notices and communications hereunder shall be in writing and shall be deemed to be duly given if sent by first class mail to the
address as follows: 
 If to the Escrow Agent, to: 
 The Bank of New York Trust Company, N.A. 
 700 S. Flower Street, Suite 500 
 Los Angeles, California 90017 
 Attention:
Corporate Unit 
 Fax:     (213) 630-6298 
 If to the Trustee, to 
 The Bank of New York
Trust Company, N.A. 
 700 S. Flower Street, Suite 500 
 Los Angeles, California 90017 
 Attention: Corporate Unit 
 Fax:     (213) 630-6298 
 If to the Company, to: 
 The Providence Service Corporation 
 5524 East Fourth Street 
 Tucson, Arizona
85711 
 Attention: General Counsel 
 Fax:     (520) 747-6605 
 With a copy to: 
 Blank Rome, LLP 
  

 -3- 

 One Logan Sq., 130 N. 18th St. 
 Philadelphia, Pennsylvania 19103 
 Attention:
Steven Dubow, Esq. 
 Fax:     (215) 832-5755 
 or at such other address as any of the above may have furnished to the other parties in writing by registered mail, return receipt requested and any such notice or communication given in the manner specified in this
Paragraph 7 shall be deemed to have been given to a party on the date received by such party. In the event that the Escrow Agent, in its sole discretion, shall determine that an emergency exists, the Escrow Agent may use or accept such other means
of notice or communication as the Escrow Agent deems advisable. 
 The Escrow Agent agrees to accept and act upon facsimile transmission of written
instructions and/or directions pursuant to this Agreement given by the Company; provided, however, that (i) the Company, subsequent to such facsimile transmission of written instructions and/or directions, shall provide the originally executed
instructions and/or directions to the Escrow Agent in a timely manner and (ii) such originally executed instructions and/or directions shall be signed by an authorized officer of the Company. 
 8. Reliance. The Escrow Agent may act upon any instrument or other writing believed by it in good faith to be genuine and to be signed or
presented by the proper person or persons and shall not be liable in connection with the performance by it of its duties pursuant to the provisions hereof, except for its own willful misconduct or gross negligence. 
 9. Escrow Agent Duties. The duties and responsibilities of the Escrow Agent hereunder shall be determined solely by the express provisions of this
Escrow Agreement, and no other or further duties or responsibilities shall be implied. The Escrow Agent shall not have any liability under, nor duty to inquire into the terms and provisions of any agreement or instructions, other than outlined in
this Escrow Agreement. 
 (a) The duties, responsibilities and obligations of the Escrow Agent shall be limited to those
expressly set forth herein and no duties, responsibilities or obligations shall be inferred or implied. Escrow Agent shall not be subject to, nor require to comply with, any other agreement to which the Company is a party, even though reference
thereto may be made herein, or to comply with any direction or instruction (other than those contained herein or delivered in accordance with this Escrow Agreement) from the Company or any entity acting on its behalf. The Escrow Agent shall not be
required to, and shall not, expend or risk any of its own funds or otherwise incur any financial liability in the performance of any of its duties hereunder. 
 (b) This Agreement is for the exclusive benefit of the parties hereto and their respective successors hereunder, and shall not be deemed
to give, either express or implied, any legal or equitable right, remedy, or claim to any other entity or person whatsoever. 
 (c) If at any time the Escrow Agent is served with any judicial or administrative order, judgment, decree, writ or other form of judicial or administrative process which in any way affects the Escrow Funds (including but not limited to
orders of attachment or garnishment or other forms of levies or injunctions or stays relating to the transfer of Escrow Funds), the Escrow Agent is authorized to comply therewith in any manner as it or its legal counsel of its own choosing deems
appropriate; and if the Escrow Agent complies with any such judicial or administrative order, judgment, decree, writ or other form of judicial or administrative process, the Escrow Agent shall not be liable to any of the parties hereto or to any
other person or entity even though such order, judgment, decree, writ or process may be subsequently modified or vacated or otherwise determined to have been without legal force or effect. 
  

 -4- 

 (d) The Escrow Agent shall not be liable for any action taken or omitted or for any loss
or injury resulting from its actions or its performance or lack of performance of its duties hereunder in the absence of gross negligence or willful misconduct on its part. In no event shall Escrow Agent be liable (i) for acting in accordance
with or relying upon any instruction, notice, demand, certificate or document from the Company or the Trustee or any entity acting on behalf of the Company or the Trustee, (ii) for any consequential, punitive or special damages, (iii) for
the acts or omissions of its nominees, correspondents, designees, subagents or subcustodians, or (iv) for an amount in excess of the value of the Escrow Funds, valued as of the date of deposit. 
 (e) If any fees, expenses or costs incurred by, or any obligations owed to, the Escrow Agent hereunder are not promptly paid when due, the
Escrow Agent may reimburse itself therefor from the Escrow Funds and may sell, convey or otherwise dispose of any Escrow Funds for such purpose. 
 (f) As security for the due and punctual performance of the Company’s obligations to the Escrow Agent hereunder, now or hereafter arising, each of the Company and the Trustee hereby pledge, collaterally assign
and grant to the Escrow Agent a continuing security interest in, and a lien on, the Escrow Funds and all distributions thereon or additions thereto (whether such additions are the result of deposits by the Company or the Trustee or the investment of
Escrow Funds). The security interest of Escrow Agent shall at all times be valid, perfected and enforceable by Escrow Agent against the Company and all third parities in accordance with the terms of this Escrow Agreement. 
 (g) The Escrow Agent shall not incur any liability for not performing any act or fulfilling any duty, obligation or responsibility
hereunder by reason of any occurrence beyond the control of the Escrow Agent (including but not limited to any act or provision of any present or future law or regulation or governmental authority, any act of God or war, or the unavailability of the
Federal Reserve Bank wire or telex or other wire or communication facility). 
 (h) Unless otherwise specifically set forth
herein, the Escrow Agent shall proceed as soon as practicable to collect any checks or other collection items at any time deposited hereunder. All such conditions shall be subject to Escrow Agent’s usual collection practices or terms regarding
items received by Escrow Agent for deposit or collection. Escrow Agent shall not be required, or have any duty to notify anyone of any payment or maturity under the terms of any instrument deposited hereunder, nor to take any legal action to enforce
payment of any check, note or security deposited hereunder or to exercise any right or privilege which may be afforded to a Holder of the Notes. 
 (i) The Escrow Agent may consult with legal counsel at the expense of the Company as to any matter relating to this Escrow Agreement, and the Escrow Agent shall not incur any liability in acting in good faith in
accordance with any advice from such counsel. 
 (j) In the event of any dispute between or conflicting claims by or among the
Company, the Trustee and/or any other person or entity with respect to any Escrow Funds, the Escrow Agent shall be entitled, in its sole discretion, to refuse to comply with any and all claims, demands or instructions with respect to such Escrow
Funds so long as such dispute or conflict shall continue, and the Escrow Agent shall not be or become liable in any way to the Company, any Holder or the Trustee for failure or refusal to comply with such conflicting claims, demands or instructions.
The Escrow Agent shall be entitled to refuse to act until, in its sole discretion, either (i) such conflicting or adverse claims or demands shall have been determined by a final order, judgment or decree of a court of competent jurisdiction,
which order, judgment or decree is not subject to appeal, or settled by agreement between the conflicting parties as evidenced in a writing satisfactory to the Escrow Agent or (ii) the Escrow Agent shall have received security or an indemnity

  

 -5- 

 
satisfactory to it sufficient to hold it harmless from and against any and all Losses which it may incur by reason of so acting. The Escrow Agent may, in
addition, elect, in its sole discretion, to commence an interpleader action or seek other judicial relief or orders as it may deem, in its sole discretion, necessary. The costs and expenses (including reasonable attorneys’ fees and expenses)
incurred in connection with such proceeding shall be paid by, and shall be deemed an obligation of the Company. 
 (k) Each of
the parties hereto hereby irrevocably waives, to the fullest extent permitted by applicable law, any and all right to trial by jury in any legal proceeding arising out of or relating to this Escrow Agreement or the transaction contemplated hereby.

 10. Termination of Escrow. The escrow provided for in this Escrow Agreement shall expire on the earlier of : (i) the date on
which the Escrow Funds are released to the Company in accordance with Section 5 or (ii) the date on which the Escrow Funds are released to the Trustee for the benefit of the Holders in accordance with Section 6. 
 11. Representations and Warranties by the Company. The Company hereby represents and warrants that: 
 (i) The execution, delivery and performance by the Company of this Escrow Agreement are within the Company’s corporate powers, have
been duly authorized by all necessary corporate action, and do not contravene, or constitute a default under, any provision of applicable law or regulation or of the Certificate of Incorporation of the Company, as amended, or of any material
agreement, judgment, injunction, order, decree or other instrument binding upon the Company or result in the creation or imposition of any Lien on any assets of the Company. 
 (ii) This Escrow Agreement has been duly executed and delivered by the Company and assuming the due authorization and valid execution and
delivery of this Agreement by the Escrow Agent and the Trustee and enforceability of this Escrow Agreement against the Escrow Agent and the Trustee in accordance with its terms, constitutes a valid and binding obligation of the Company, enforceable
against the Company in accordance with its terms. 
 (iii) No litigation, investigation or proceeding of or before any
arbitrator or governmental authority is pending or, to the knowledge of the Company, threatened by or against the Company with respect to this Escrow Agreement or any of the transactions contemplated hereby. 
 12. Fees and Expenses. The Escrow Agent shall be entitled to compensation for its services as stated in the fee schedule attached hereto as
Exhibit C, which compensation shall be paid by the Company. The fee agreed upon for the services rendered hereunder is intended as full compensation for the Escrow Agent’s services as contemplated by this Escrow Agreement;
provided, however, that in the event that the conditions for the disbursement of funds under this Escrow Agreement are not fulfilled, or the Escrow Agent renders any material service not contemplated in this Escrow Agreement or there
is any assignment of interest in the subject matter of this Escrow Agreement, or any material modification hereof, then the Escrow Agent shall be reasonably compensated for such extraordinary services and reimbursed for all costs and expenses
related thereto. 
 13. Indemnification of Escrow Agent: The Company hereby indemnifies and holds harmless the Escrow Agent from and
against, any and all loss, liability, cost, damage and expense, including, without limitation, reasonable counsel fees, which the Escrow Agent may suffer or incur by reason of any action, claim or proceeding brought against the Escrow Agent arising
out of or relating in any way to this Escrow 

  

 -6- 

 
Agreement or any transaction to which this Escrow Agreement relates unless such action, claim or proceeding is the result of the gross negligence or willful
misconduct of the Escrow Agent. 
 14. Refrain from Action. In the event that the Escrow Agent shall be uncertain as to its duties or
rights hereunder or shall receive instructions, claims or demands from any party hereto which, in its opinion, conflict with any of the provisions of this Escrow Agreement, it shall be entitled to refrain from taking any action and its sole
obligation shall be to keep safely all property held in escrow until it shall be directed otherwise in writing by all of the other parties hereto or by a final order or judgment of a court of competent jurisdiction. 
 15. Acceptance of Appointment. The Bank of New York Trust Company, N.A. hereby agrees to act as Escrow Agent under this Escrow Agreement. The
Escrow Agent shall have no duty to enforce any provision hereof requiring performance by any other party hereunder. 
 16. Successor
Escrow Agent. Any company into which the Escrow Agent may be merged or converted or with which it may be consolidated or any company resulting from any merger, conversion or consolidation to which it shall be a party or any company to which the
Escrow Agent may sell or transfer all or substantially all of its escrow/custody business, provided such company shall be eligible to serve as the Escrow Agent hereunder, shall be the successor hereunder to the Escrow Agent without the execution or
filing of any paper or any further act. 
 17. Counterparts. This Escrow Agreement may be executed in two or more counterparts, all of
which taken together shall constitute one instrument. 
 18. Resignation. The Escrow Agent may resign upon 30-days advance written
notice to the parties hereto. If a successor escrow agent is not appointed within the 30-day period following such notice, the Escrow Agent may petition any court of competent jurisdiction to name a successor escrow agent. Upon receipt of the
identity of the successor Escrow Agent, Escrow Agent shall either deliver the Escrow Funds then held hereunder to the successor Escrow Agent, less Escrow Agent’s fees, costs and expenses or other obligations owed to Escrow Agent, or hold such
Escrow Funds (or any portion thereof), pending distribution, until all such fees, costs and expenses or other obligations are paid. Upon delivery of the Escrow Funds to successor Escrow Agent, Escrow Agent shall have no further duties,
responsibilities or obligations hereunder. 
 19. Governing Law. 
 (1) THIS AGREEMENT SHALL BE GOVERNED BY AND INTERPRETED UNDER THE LAWS OF THE STATE OF NEW YORK, AND ANY DISPUTE ARISING OUT OF, CONNECTED
WITH, RELATED TO, OR INCIDENTAL TO THE RELATIONSHIP ESTABLISHED BETWEEN THE COMPANY, ESCROW AGENT AND TRUSTEE IN CONNECTION WITH THIS AGREEMENT, AND WHETHER ARISING IN CONTRACT, TORT, EQUITY OR OTHERWISE, SHALL BE RESOLVED IN ACCORDANCE WITH THE
INTERNAL LAWS (AS OPPOSED TO THE CONFLICTS OF LAWS PROVISIONS) AND DECISIONS OF THE STATE OF NEW YORK. 
 (2) THE COMPANY
AGREES THAT TRUSTEE SHALL, IN ITS CAPACITY AS TRUSTEE OR IN THE NAME AND ON BEHALF OF ANY HOLDER OF NOTES, HAVE THE RIGHT, TO THE EXTENT PERMITTED BY APPLICABLE LAW, TO PROCEED AGAINST THE COMPANY OR ITS PROPERTY IN A COURT IN ANY LOCATION
REASONABLY SELECTED IN GOOD FAITH (AND HAVING PERSONAL OR IN REM JURISDICTION OVER THE COMPANY OR ITS PROPERTY, AS THE CASE MAY BE) TO ENABLE TRUSTEE TO REALIZE ON SUCH PROPERTY, OR TO 

  

 -7- 

 
ENFORCE A JUDGMENT OR OTHER COURT ORDER ENTERED IN FAVOR OF TRUSTEE. THE COMPANY AGREES THAT IT WILL NOT ASSERT ANY COUNTERCLAIMS, SETOFFS OR CROSSCLAIMS IN
ANY PROCEEDING BROUGHT BY TRUSTEE TO REALIZE ON SUCH PROPERTY OR TO ENFORCE A JUDGMENT OR OTHER COURT ORDER IN FAVOR OF TRUSTEE, EXCEPT FOR SUCH COUNTERCLAIMS, SETOFFS OR CROSSCLAIMS WHICH, IF NOT ASSERTED IN ANY SUCH PROCEEDING, COULD NOT OTHERWISE
BE BROUGHT OR ASSERTED. THE COMPANY WAIVES ANY OBJECTION THAT IT MAY HAVE TO THE LOCATION OF THE COURT IN WHICH TRUSTEE HAS COMMENCED A PROCEEDING DESCRIBED IN THIS PARAGRAPH INCLUDING, WITHOUT LIMITATION, ANY OBJECTION TO THE LAYING OF VENUE OR
BASED ON THE GROUNDS OF FORUM NON CONVENIENS. 
 (3) THE COMPANY AGREES THAT NONE OF ESCROW AGENT OR THE TRUSTEE SHALL HAVE
ANY LIABILITY TO THE COMPANY (WHETHER SOUNDING IN TORT, CONTRACT OR OTHERWISE) FOR LOSSES SUFFERED BY THE COMPANY IN CONNECTION WITH, ARISING OUT OF, OR IN ANY WAY RELATED TO, THE TRANSACTIONS CONTEMPLATED AND THE RELATIONSHIP ESTABLISHED BY THIS
AGREEMENT, OR ANY ACT, OMISSION OR EVENT OCCURRING IN CONNECTION THEREWITH, UNLESS IT IS DETERMINED BY A FINAL AND NONAPPEALABLE JUDGMENT OF A COURT THAT IS BINDING ON ESCROW AGENT OR TRUSTEE, AS THE CASE MAY BE, THAT SUCH LOSSES WERE THE RESULT OF
ACTS OR OMISSIONS ON THE PART OF ESCROW AGENT OR TRUSTEE, AS THE CASE MAY BE, CONSTITUTING BAD FAITH, GROSS NEGLIGENCE OR WILLFUL MISCONDUCT. 
 20. Amendments. This Escrow Agreement may be amended to modified, and any of the terms, covenants, representations, warranties, or conditions hereof may be waived, only by a written instrument executed by the parties hereto, or in
the case of a waiver, by the party waiving compliance. Any waiver by any party of any condition, or of the breach of any provision, term, covenant, representation, or warranty contained in the Escrow Agreement, in any one or more instances, shall
not be deemed to be nor construed as further or continuing waiver of any such conditions, or of the breach of any other provision, term, covenant, representation, or warranty of this Escrow Agreement. 
 21. Assignability. This Escrow Agreement shall not be assigned by operation of law or otherwise, except as otherwise specifically provided in
writing by the parties hereto; provided that the Company may assign its rights and obligations hereunder to any of its subsidiaries, or affiliates or any successor in interest to the business of the Company. 
 22. Section Headings. The section headings in this Escrow Agreement are for reference purposes only and shall not affect the meaning or
interpretation of this Escrow Agreement. 
 23. Severability. In the event that any part of this Escrow Agreement is declared by any
court or other judicial or administrative body to be null, void, or unenforceable, said provision shall survive to the extent it is not so declared, and all of the other provisions of this Escrow Agreement shall remain in full force and effect.

 24. Entire Agreement. This Escrow Agreement is intended as a complete statement of the entire agreement and understanding between
the Escrow Agent, the Company and the Trustee with respect to the subject matter hereof and thereof and supersedes all prior statements, representations, discussions, agreements, term sheets, draft agreements and undertakings, whether written or
oral, express or implied, of any and every nature with respect thereto. 
  

 -8- 

 25. Incorporation by Reference. In connection with its execution and acting hereunder, the Trustee
is entitled to all rights, privileges, protections, immunities, benefits and indemnities provided to it under the Indenture. 
 [Signature
page follows] 
  

 -9- 

 IN WITNESS WHEREOF, the parties hereto have executed this Escrow Agreement on the date and year first above
written. 
  

			
	THE PROVIDENCE SERVICE CORPORATION
		
	By:	 	/s/ Fletcher Jay McCusker
	Name:	 	Fletcher Jay McCusker
	Title:	 	Chief Executive Officer and Chairman of the Board
	
	THE BANK OF NEW YORK TRUST COMPANY, N.A. as Escrow Agent
		
	By:	 	/s/ Melonee Young
	Name:	 	Melonee Young
	Title:	 	Vice President
	
	THE BANK OF NEW YORK TRUST COMPANY, N.A. as Trustee
		
	By:	 	/s/ Melonee Young
	Name:	 	Melonee Young
	Title:	 	Vice President

  

 -10- 

 EXHIBIT A 
 THE PROVIDENCE SERVICE CORPORATION 
 OFFICERS’ CERTIFICATE

 Pursuant to Section 5 of the Escrow Agreement dated November 13, 2007, by and among The Providence Service Corporation,
a Delaware corporation (the “Company”), The Bank of New York Trust Company, N.A., as escrow agent, and The Bank of New York Trust Company, N.A., as the trustee on behalf of the Holders of the Notes described below (the “Escrow
Agreement”), relating to the offering of up to $70 million aggregate principal amount of the Company’s 6.5% Convertible Senior Subordinated Notes due 2014, each of the undersigned, Fletcher Jay McCusker, Chairman of the Board and Chief
Executive Officer of the Company, and Michael N. Deitch, Chief Financial Officer of the Company, hereby certify that they have been duly elected, qualified and are acting in such capacity and that, as such, they are familiar with the facts herein
certified and are duly authorized to certify the same, and hereby further certify that: 
 1. The Company and Seller have each performed,
complied or received waivers of each term, condition and covenant contained in the Acquisition Agreement (except for Section 1.5) and related documents; and 
 2. Upon receipt of the Escrow Funds, the company will immediately pay to Seller, by wire transfer of same day funds, such Escrow Funds and such other amounts as required by the Acquisition Agreement necessary for the
consummation of the Acquisition. 
 Capitalized terms used, but not defined herein, shall have the meaning ascribed to them in the Escrow Agreement.

 [Signature Page to Follow] 
  

 A-1 

 IN WITNESS WHEREOF, the undersigned have executed this Officers’ Certificate as of this
     day of             , 2007. 
  

			
		
	By:	 	 
		 	 Fletcher Jay McCusker
 Chairman of the Board, Chief
Executive Officer

		
	By:	 	 
		 	 Michael N. Deitch
 Chief Financial
Officer

  

 A-2 

 EXHIBIT B 
 Date:                  
 The Bank of
New York Trust Company, N.A., as Escrow Agent 
 700 S. Flower Street, Suite 500 
 Los Angeles, California 90017 
 Attention: 
 Re: Joint Written Instructions 
 Dear
                 : 
 Reference is made to
(i) the Escrow Agreement (the “Escrow Agreement”), dated as of November 13, 2007, by and among The Providence Service Corporation (the “Company”), The Bank of New York Trust Company, N.A., as Escrow Agent (the
“Escrow Agent”), and The Bank of New York Trust Company, N.A., as Trustee on behalf of the Holders of the Notes (as defined in the Escrow Agreement). 
 In accordance with Section 5 of the Escrow Agreement, each of the undersigned hereby jointly instructs the Escrow Agent to release the Escrow Funds to the Company. 
  

			
	THE PROVIDENCE SERVICE CORPORATION
		
	By:	 	 
	Name:	 	
	Title:	 	
	
	THE BANK OF NEW YORK TRUST COMPANY, N.A. as Trustee
		
	By:	 	 
	Name:	 	
	Title:	 	

  

 B-1 

 EXHIBIT C 
  

			
	

	  	Fee Schedule

 Providence Service Corporation 

Escrow Account 
 Fee Schedule 
 November 2, 2007 

 Upon appointment of The Bank of New York Trust Company, N.A. (“BNY”) as Escrow Agent, the client shall be responsible for the payment of the fees, expenses and charges as set forth in this Fee Schedule.

 GENERAL FEES 
 ACCEPTANCE
FEE - Waived 
 This one time charge is payable at the time of the closing and includes the review and execution of the agreement and all documents
submitted in support thereof and establishment of accounts. 
 ANNUAL ADMINISTRATIVE FEE 
 A fee of $2,000* will cover the duties and responsibilities related to account administration and servicing, which
may include maintenance of accounts on various systems, custody and securities servicing, reporting, etc. 
 INVESTMENT COMPENSATION 
 With respect to investments in money market mutual funds for which BNY provides shareholder services BNY (or its affiliates) may also receive and retain additional fees
from the mutual funds (or their affiliates) for shareholder services as set forth in the Authorization and Direction to BNY to Invest Cash Balances in Money Market Mutual Funds. 
 BNY will charge a $25.00 transaction fee for each purchase, sale, or redemption of securities other than the aforementioned Money Market Mutual Funds. 
 DISBURSEMENT FEE (CHECK OR WIRE) PER TRANSACTION 
 A fee of $25.00 will be assessed for each disbursement. 

COUNSEL FEES 
 If counsel is retained by BNY, a fee covering the
fees and expenses of Counsel for its services, including review of governing documents, communication with members of the closing party (including representatives of the purchaser, investment banker(s), attorney(s) and BNY), attendance at meetings
and the closing, and such other services as BNY may deem necessary. The Counsel fee will be the actual amount of the fees and expenses charged by Counsel and is payable at closing. Should closing not occur, you would still be responsible for payment
of Counsel fees and expenses. 
 MISCELLANEOUS FEES 
 The
fees for performing extraordinary or other services not contemplated at the time of the execution of the transaction or not specifically covered elsewhere in this schedule will be commensurate with the service to be provided and will be charged in
BNY’s sole discretion. These extraordinary services may include, but are not limited to: proxy dissemination/tabulation, customized reporting and/or procedures, electronic account access, etc. Counsel, accountants, special agents and others
will be charged at the actual amount of fees and expenses billed. 

	*	fee will increase to $3,500, should the deposit not be invested in a mutually approved money market fund.

			
	

	  	Fee Schedule

  
 OUT-OF-POCKET EXPENSES 
 Additional out-of-pocket expenses may include, but are not limited to, telephone; facsimile;
courier; copying; postage; supplies; expenses of foreign depositaries; and expenses of BNY’s representative(s) and Counsel for attending special meetings. Fees and expenses of BNY’s representatives and Counsel will be charged at the actual
amount of fees and expenses charged and all other expenses will be charged at cost or in an amount equal to 5% of all expenses billed for the year, in BNY’s discretion, and BNY may charge certain expenses at cost and others on a percentage
basis. 
 Terms and Disclosures 
 TERMS OF PROPOSAL 
 Final acceptance of the appointment as escrow agent under the escrow agreement is subject to approval of authorized
officers of BNY and full review and execution of all documentation related hereto. Please note that if this transaction does not close, you will be responsible for paying any expenses incurred, including Counsel fees. We reserve the right to
terminate this offer if we do not enter into final written documents within three months from the date this document is first transmitted to you. Fees may be subject to adjustment during the life of the engagement. 
 MISCELLANEOUS 
 The terms of this Fee Schedule shall govern the
matters set forth herein and shall not be superseded or modified by the terms of the escrow agreement. This Fee Schedule shall be governed by the laws of the State of New York without reference to laws governing conflicts. BNY and the undersigned
agree to jurisdiction of the federal and state courts located in the City of New York, State of New York 
 CUSTOMER NOTICE REQUIRED BY THE USA PATRIOT
ACT 
 To help the US government fight the funding of terrorism and money laundering activities, US Federal law requires all financial institutions to
obtain, verify, and record information that identifies each person (whether an individual or organization) for which a relationship is established. 
 What
this means to you: When you establish a relationship with BNY, we will ask you to provide certain information (and documents) that will help us to identify you. We will ask for your organization’s name, physical address, tax identification or
other government registration number and other information that will help us to identify you. We may also ask for a Certificate of Incorporation or similar document or other pertinent identifying documentation for your type of organization.

 We thank you for your assistance. 
  

									
	 Accepted By:
	 		 		  	For BNY:	  	
					
	 Signature:
	 	  
	 		  		  	  

					
	 Date:
	 	  
	 		  		  	  

					
	 Name:
	 	  
	 		  		  	  

					
	 Title:
	 	  
	 		  		  	  

  

 2

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