Document:

Commercial Credit Agreement

 Exhibit 10.10 

 

					
	

	  	Obligor Number:	  	COMMERCIAL CREDIT AGREEMENT
	  	 Borrower Name:
	  	
	  	 WAGEWORKS, INC.
	  	

 THIS COMMERCIAL CREDIT AGREEMENT (this “Agreement”) is entered into as of August 31,
2010 (the “Closing Date”) between WAGEWORKS, INC., a Delaware corporation (“Borrower”) and UNION BANK, N.A. (“Bank”) with respect to each and every loan or other extension of credit simultaneously or
hereafter made or to be made available by Bank to Borrower under this Agreement that is not secured by real property and that is not subject to any consumer disclosure law or regulation (whether one or more, collectively referred to herein as the
“Loan”). 
 1. THE LOAN. Borrower hereby promises to pay to Bank, or its order, on the dates indicated below, the outstanding
amount of the Loan (including all outstanding principal, all other outstanding obligations, liabilities and indebtedness, all accrued interest, and all other costs, expenses, fees and charges due and payable under this Agreement). The Loan includes
the following credit facilities: 
 1.1 Revolving Loan. Subject to the terms and conditions of this Agreement, Bank will
make advances to Borrower at Borrower’s request in an aggregate principal amount at any one time outstanding not to exceed Fifteen Million Dollars ($15,000,000) (the “Revolving Loan”). The proceeds of such advances shall be
used only for acquisitions permitted hereunder. In no event shall Borrower use any proceeds of the Revolving Loan for personal, family, household or agricultural purposes. Borrower may borrow, repay and reborrow all or any part of the Revolving
Loan, subject to the terms of this Agreement. Interest on the Revolving Loan shall be payable monthly on the first (1st) day of each month, commencing September 1, 2010. All advances must be requested not later than August 31, 2012
(the “Maturity Date”), on which date all unpaid principal of and accrued but unpaid interest on the Revolving Loan shall be due and payable. Bank shall enter each amount borrowed and repaid in Bank’s records and such entries
shall be deemed correct absent manifest error. The omission of Bank to make any such entry shall not discharge Borrower from Borrower’s obligation to repay in full with interest all amounts borrowed under the Revolving Loan. 

1.2 [Reserved]. 
 1.3 Interest Rates. 
 (a) All principal outstanding under the Revolving Loan
which is not bearing interest at a fixed interest rate as described below shall bear interest at a rate per annum of one-half of one percent (0.50%) in excess of the Reference Rate, which rate shall vary as and when the Reference Rate changes.
Interest on the Revolving Loan shall be calculated on the basis of a 360-day year, for actual days elapsed. 
 (b) At
Borrower’s option, advances hereunder, in increments of at least Five Hundred Thousand Dollars ($500,000), unless the remaining amount available to be drawn under the Revolving Loan is less than Five Hundred Thousand Dollars ($500,000), in
which case, Borrower may request an advance of less than Five Hundred Thousand Dollars ($500,000) (but not less than the amount available to be drawn), shall bear interest at a per annum rate which is three percent (3.00%) per annum in excess
of the LIBOR Rate for the interest period selected by Borrower, 

 Commercial Credit Agreement 

 
  
 
and in each case acceptable to Bank. There shall be no more than four (4) such advances outstanding at any one time. 
 (c) To exercise this option, Borrower may from time to time elect to have the Revolving Loan bear interest based on the LIBOR Rate, for an interest period of one, two, three or six months (if offered by
Bank) by telephoning an authorized lending officer of Bank located at the banking office identified below prior to 10:00 a.m., Pacific time, on any Business Day and advising that lending officer of such election, the requested interest period and
starting date thereof. The starting date for an advance based on the LIBOR Rate shall follow the date of such selection by no more than two (2) Business Days. Borrower’s selection may not be changed, altered or otherwise modified until the
expiration of the interest period selected. The exercise of interest rate options by Borrower shall be as recorded in Bank’s records, which records shall be prima facie evidence (absent manifest error) of the amount borrowed under
such selected interest rate; provided, however, that the failure of Bank to make any such notation in its records shall not discharge Borrower from its obligation to repay in full with interest all amounts borrowed. In no event shall any interest
period extend beyond the termination date of the Revolving Loan. If, on the date of the selection, LIBOR Rate advances or the interest period selected is unavailable for any reason, the selection shall be void. Bank reserves the right to fund the
principal of any advance from any source of funds, notwithstanding Borrower’s selection. 
 In determining an interest
period, a month means a period that starts on one Business Day in a month and ends on and includes the day preceding the numerically corresponding day in the next month. For any month in which there is no such numerically corresponding day, then as
to that month, such day shall be deemed to be the last calendar day of such month. Any interest period which would otherwise end on a non-Business Day shall end on the next succeeding Business Day, unless that is the first day of a month, in which
event the interest period shall end on the next preceding Business Day. 
 1.4 Minimum Advances. Borrower agrees that each
advance under the Loan shall be in a principal amount of not less than Five Hundred Thousand Dollars ($500,000), unless the remaining amount available to be drawn under the Revolving Loan is less than Five Hundred Thousand Dollars ($500,000), in
which case, Borrower may request an advance of less than Five Hundred Thousand Dollars ($500,000) (but not less than the amount available to be drawn). Bank may charge a fee for any advance in a lesser principal amount, unless such advance is
otherwise permitted pursuant to the previous sentence. 
 1.5 Prepayment. 

(a) Amounts outstanding under this Agreement bearing interest at a rate based on the Reference Rate may be prepaid in whole or in part at
any time, without penalty or premium. Amounts outstanding under this Agreement bearing interest based on the LIBOR Rate may be prepaid in whole or in part, provided that Bank has received not less than five (5) Business Days’ prior written
notice and Bank receives the prepayment fee described in this Section 1.5 due as a result of such prepayment, if any. The prepayment fee, if any, shall also be paid, if Bank, for any other reason, including acceleration or foreclosure, receives
all or any portion of principal bearing interest at the LIBOR Rate prior to its scheduled payment date. The prepayment fee shall be an 

  
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 Commercial Credit Agreement 

 
  
 
amount equal to the present value of the product of: (i) the difference (but not less than zero) between (a) the interest rate applicable to the principal amount which is being prepaid
and (b) the return which Bank could obtain if it used the amount of such prepayment of principal to purchase at bid price regularly quoted securities issued by the United States having a maturity date most closely coinciding with the due date
of the amount being prepaid and such securities were held by Bank until such due date (“Yield Rate”); (ii) a fraction, the numerator of which is the number of days in the period between the date of prepayment and the original
due date with respect to the original interest period with respect to such prepaid Loan and the denominator of which is 360; and (iii) the amount of the principal so prepaid. Present value for this purpose is determined by discounting the above
product to present value using the Yield Rate as the annual discount factor. 
 (b) All prepayments shall include payment of
accrued interest on the principal amount so prepaid and shall be applied to payment of interest before application to principal. A determination by Bank as to the prepayment fee amount, if any, shall be conclusive. Any prepayment may result in Bank
incurring additional costs, expenses or liabilities. Bank would not make loans or otherwise extend credit to Borrower without Borrower’s express agreement to pay Bank the prepayment fee described above. 

1.6 Fees. (a) Borrower shall pay to Bank, on the Closing Date, a commitment fee of Seventy Five Thousand Dollars ($75,000).
(b) Borrower also shall pay to Bank a fee in an amount equal to one quarter of one percent (0.25%) per annum on the unused portion of the Revolving Loan. Such fee shall be paid in arrears on the last day of each calendar quarter for the
preceding calendar quarter and on the Maturity Date. 
 1.7 Certain Definitions. Any accounting term used but not defined
herein shall be construed in accordance with GAAP, and all calculations shall be made in accordance with GAAP. All terms used herein that are defined in the UCC, shall have the respective meanings assigned to such terms in the California Uniform
Commercial Code, as amended and in effect from time to time (the “UCC”). In addition, as used herein, the following terms shall have the meanings set forth after each, and any other term defined in this Agreement shall have the
meaning set forth at the place defined: 
 “Accounts” means all accounts, whether or not defined in the UCC, now
owned or hereafter acquired, including without limitation, (a) all accounts receivable, other receivables, book debts and other forms of obligations whether arising out of goods sold or services rendered or from any other transaction (including
any such obligations that may be characterized as an account or contract under the UCC), (b) all purchase orders or receipts for goods or services, (c) all rights to any goods represented by any of the foregoing (including unpaid
sellers’ rights or rescission, replevin, reclamation and stoppage in transit and rights to returned or repossessed goods), (d) all monies due or to become due under all purchase orders and contracts for the sale of goods or the performance
of services or both or in connection with any other transaction (whether or not yet earned by performance) now or hereafter in existence, including the right to receive the proceeds of said purchase orders and contracts, and (e) all collateral
security and guaranties of any kind, now or hereafter in existence, with respect to any of the foregoing. 

  
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 Commercial Credit Agreement 

 
  
 “Business Day” shall mean a day on which Bank is open for business for the funding of corporate loans, and, with respect to the rate of interest based on the LIBOR Rate, on which dealings
in U.S. Dollar deposits outside of the United States in the London interbank market may be carried on by Bank. 

“Closing Date Guarantor” means MHM RESOURCES, LLC, a Delaware limited liability company, and a wholly-owned Subsidiary of
Borrower. 
 “Consolidated Net Income (Loss)” means, for any period, the net income (or loss) of a Person and
its consolidated Subsidiaries for such period, after deduction of all expenses, taxes, and other proper charges, determined in accordance with GAAP, but excluding, in any event: 

(i) any gains or losses on the sale or other disposition of assets (other than sales of inventory in the ordinary course of business),
including Investments, and any taxes on the excluded gains and any tax deductions or credits on account on any excluded losses; 

(ii) net earnings of any Person in which such Person has an ownership interest, unless such net earnings shall have actually been received
by such Person in the form of cash distributions; and 
 (iii) without duplication with (i) or (ii) above, any noncash
gains or losses resulting from mark to market adjustments to warrants issued by such Person. 
 “Copyrights”
means all copyright rights, copyright applications, copyright registrations and like protections in each work or authorship and derivative work thereof, now or hereafter existing, created, acquired or held, including without limitation those set
forth on Schedule 1 attached hereto. 
 “Client Trust Accounts” means deposit accounts maintained to
hold Borrower’s and its Subsidiaries’ client deposits including prefunds and any other amounts provided by such clients relating to Borrower’s and its Subsidiaries’ administration of such clients’ benefits. 

“Distributions” means (a) distributions or loans made to Affiliates of Borrower, (b) payment of distributions,
dividends, salaries, or bonuses to any direct or indirect shareholder, partner, member or other owner of any Stock in or of Borrower or any Affiliate of Borrower, and (c) the redemption, retirement or repurchase from Borrower, or any Affiliate
of Borrower, of any Stock. 
 “EBITDA” means, for any period of measurement, Borrower’s Consolidated Net
Income (Loss) plus interest, taxes, depreciation and amortization expense (including the impairment of goodwill or other intangible assets), and other noncash items (including, without limitation non-cash expenses for stock-based compensation), all
as determined in accordance with GAAP: for such period. 
 “Equipment” means all equipment now owned or
hereafter acquired, wherever located, including without limitation, all machinery, computers, machine tools, motors, equipment, furniture, furnishings, fixtures, vehicles (including motor vehicles and trailers), tools, parts, dies, jugs, goods
(other than consumer goods, farm products or inventory), and all attachments, accessories, accessions, replacements, substitutions, additions, and improvements to any of the foregoing. 

  
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 “GAAP” means generally accepted accounting principles and practices in the United States set forth in the opinions and pronouncements of the Accounting Principles Board of the American
Institute of Certified Public Accountants and statements and pronouncements of the Financial Accounting Standards Board or in such other statements by such other Person as may be approved by a significant segment of the accounting profession, which
are applicable to the circumstances as of the date of determination. 
 “Indebtedness” of any Person shall mean
and include the aggregate amount of (i) all obligations of such Person for borrowed money (including recourse and other obligations to repurchase accounts or chattel paper under factoring, receivables purchase, or similar financing
arrangements) or for the deferred purchase price of property or services excluding any earn-out obligations in connection with any acquisitions permitted pursuant to Section 9.18; (ii) all obligations in respect of surety bonds and letters
of credit; (iii) all obligations of such Person evidenced by notes, bonds, debentures or other similar instruments, (iv) all capital lease obligations; (v) all obligations or liabilities of others secured by a Lien on any asset of
such Person, whether or not such obligation or liability is assumed; (vi) all guaranties of such Person of any obligations of another Person described in clauses (i) through (v) of this definition; and (vii) net exposure under
any interest rate swap, currency swap, forward, cap, floor or other similar contract that is not entered to in connection with a bona fide hedging operation that provides offsetting benefits to such Person, which agreements shall be marked to market
on a current basis. 
 “Intellectual Property” means, with respect to any Person, all of such Person’s
right, title, and interest in and to the following: 
 (i) Copyrights, Trademarks and Patents; 

(ii) Any and all trade secrets, and any and all intellectual property rights in computer software and computer software products now or
hereafter existing, created, acquired or held; 
 (iii) Any and all design rights which may be available to such Person now or
hereafter existing, created, acquired or held; 
 (iv) Any and all claims for damages by way of past, present and future
infringement of any of the rights included above, with the right, but not the obligation, to sue for and collect such damages for said use or infringement of the intellectual property rights identified above; 

(v) All licenses or other rights to use any of the Copyrights, Patents or Trademarks, and all license fees and royalties arising from such
use to the extent permitted by such license or rights; 
 (vi) All amendments, renewals and extensions of any of the Copyrights,
Trademarks or Patents; and 
 (vii) All proceeds and products of the foregoing, including without limitation all payments under
insurance or any indemnity or warranty payable in respect of any of the foregoing. 
 “Inventory” means all
inventory now owned or hereafter acquired, wherever located, including without limitation all goods, merchandise and other personal property held for sale or lease or which 

  
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 Commercial Credit Agreement 

 
  
 
is furnished under any contract of service or is held as raw materials, works or goods in process, materials and supplies of every nature used or consumed or to be used or consumed in the
ordinary course of its business, whether now owned or hereafter acquired and the proceeds of products thereof. 
 “LIBOR
Rate” means a per annum rate of interest (rounded upwards, if necessary, to the nearest 1/100 of 1%) at which Dollar deposits, in immediately available funds and in lawful money of the United States, would be offered to Bank in the London
interbank market, for a term coinciding with the interest period selected by Borrower (which shall be a period of one, two, three or six months) and for an amount equal to the amount of principal covered by Borrower’s interest rate selection,
plus Bank’s costs, including the cost, if any, of reserve requirements. 
 “Lien” means any voluntary or
involuntary security interest, mortgage, pledge, claim, charge, encumbrance, lien, title retention arrangement, or third party interest covering all or any part of a Person’s real or personal property. 

“Loan Documents” means, collectively, this Agreement, the Security Documents and each other promissory note, contract,
agreement, instrument and other document required hereby or at any time hereafter required by or delivered to Bank in connection herewith or any other credit facility made available by Bank, all as amended, modified, supplemented, extended or
restated from time to time. 
 “Material Adverse Effect” means a material adverse effect on (i) the
business, assets, operations, liabilities, or financial condition of Borrower and its Subsidiaries, taken as a whole, or (ii) the prospect of payment or performance by Borrowers or any Guarantor of its or their respective obligations under any
of the Loan Documents, or (iii) the validity or enforceability of the Loan Documents, or (iv) the rights and remedies of Bank under any of the Loan Documents, or (v) any Borrower’s interest in, or the value, perfection or
priority of Bank’s security interest in the Collateral. 
 “Material Subsidiary” means, 

(i) as of the last day of any fiscal quarter of Borrower, any Subsidiary that meets any of the following conditions at such time:
(A) such Subsidiary’s consolidated total revenues for the period of the immediately preceding four fiscal quarters is equal to or greater than 5% of the consolidated total revenues of the Borrower and its Subsidiaries for such period,
determined in accordance with GAAP, in each case as reflected in the most recent annual or quarterly (as applicable) financial statements required to be delivered pursuant to this Agreement; (B) such Subsidiary’s total assets, as of the
last day of the immediately preceding fiscal quarter, are equal to or greater than 5% of the consolidated total assets of Borrower and its Subsidiaries as of such date, determined in accordance with GAAP, in each case as reflected in the most recent
annual or quarterly (as applicable) financial statements of Borrower required to be delivered pursuant to this Agreement; or (C) such Subsidiary is a Person formed or organized under the laws of the United States of America, any state thereof,
or the District of Columbia (each a “Domestic Subsidiary”); and 

  
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 (ii) as of any other Material Subsidiary Assessment Date, (A) any Subsidiary that has, on a pro forma basis, based upon the then most recently delivered financial statements delivered pursuant to
this Agreement, and after giving effect to the applicable acquisition, divestiture or creation, as though occurring on the first day of the four fiscal quarter period ending on the effective date of such delivered financial statements,
(1) total revenues for the period of the immediately preceding four fiscal quarters is equal to or greater than 5% of the consolidated total revenues of Borrower and its Subsidiaries for such period, determined in accordance with GAAP, or
(2) total assets equal to or greater than 5% of the consolidated total assets of Borrower and its Subsidiaries as of such date, determined in accordance with GAAP, and (B) any Subsidiary that is a Domestic Subsidiary; 

provided, however, that the Closing Date Guarantor shall be deemed a “Material Subsidiary”; provided further that
if at any time the Subsidiaries qualifying as Material Subsidiaries pursuant to clause (i) or (ii) above which, in the aggregate and together with the total assets and total revenues of Borrower, do not represent at least 95% of the
consolidated total assets and consolidated total revenues of Borrower and its Subsidiaries (the “95% Threshold”), Borrower shall promptly designate additional Subsidiaries as Material Subsidiaries until the 95% Threshold is
satisfied collectively by all Material Subsidiaries. Once a Subsidiary qualifies, or is designated by Borrower, a Material Subsidiary, it shall continue to constitute a Material Subsidiary throughout the term of this Agreement. 

“Material Subsidiary Assessment Date” means each of (a) the date on which Borrower delivers or is obligated to
deliver to Bank financial statements pursuant to Section 9.3, (b) the date on which Borrower, directly or through one or more Subsidiaries, consummates any acquisition of all or substantially all of the assets or capital stock of another
Person, or acquires or creates any new or additional Subsidiary, and (c) the date on which Borrower, directly or through one or more Subsidiaries, sells, transfers, divests or otherwise disposes of any Subsidiary or all or substantially of the
assets of any Subsidiary. 
 “Obligor” means each of Borrower, Guarantor, and each other Person providing
financial support or collateral for the Loan. 
 “Patents” means all patents patent applications and like
protections including without limitation improvements divisions, continuations, renewals, reissues, extensions and continuations in part of the same, including without limitation the patents and patent applications set forth in
Schedule 2 attached hereto. 
 “Permitted Investments” are: 

(a) Investments existing on the Effective Date; 
 (b) cash equivalents; 

  
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 Commercial Credit Agreement 

 
  
 (c) Investments consisting of the endorsement of negotiable instruments for deposit or collection or similar transactions in the ordinary course of business; 

(d) Investments by Borrower or a Guarantor in (i) Guarantors or Borrower, as the case may be, and (ii) domestic Subsidiaries of
Borrower for current operating expenses, not to exceed $250,000 in any fiscal year during the term hereof, incurred in the ordinary course of the businesses currently engaged in by Borrower or reasonably related thereto; 

(e) Investments consisting of (i) travel advances and employee relocation loans and other employee loans and advances in the
ordinary course of business, and (ii) loans to employees, officers or directors relating to the purchase of equity securities of Borrower pursuant to employee stock purchase plans or agreements approved by Borrower’s board of directors,
not to exceed $100,000 in the aggregate in any year during the term hereof; 
 (f) Investments (including debt obligations)
received in connection with the bankruptcy or reorganization of customers or suppliers and in settlement of delinquent obligations of, and other disputes with, customers or suppliers arising in the ordinary course of business; 

(g) Investments consisting of notes receivable of, or prepaid royalties and other credit extensions, to customers and suppliers who are
not Affiliates, in the ordinary course of business; provided that this paragraph (g) shall not apply to Investments of Borrower in any Subsidiary; 
 (h) Investments consisting of deposit accounts, provided that if required pursuant to Section 
 9.10, such deposit accounts shall be subject to a prior perfected security interest in favor of Bank; 
 (i) Investments accepted in connection with Transfers permitted by Section 9.19; 
 (j) Investments permitted pursuant to Section 9.18, including the creation of Subsidiaries in connection with any such Permitted Investment (provided that any Material Subsidiaries are co-Borrowers
or Guarantors hereunder); and 
 (k) Other Investments in an amount not to exceed $100,000 in any fiscal year. 

“Person” means any individual, sole proprietorship, partnership, limited liability company, joint venture, company,
trust, unincorporated organization, association, corporation, institution, public benefit corporation, firm, joint stock company, estate, entity or government agency. 
 “Reference Rate” means the per annum rate announced by Bank from time to time at its corporate headquarters as its “reference rate”. The Reference Rate is an index rate
determined by Bank from time to time 

  
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 Commercial Credit Agreement 

 
  
 
as a means of pricing certain extensions of credit and is neither directly tied to any external rate of interest or index nor necessarily the lowest rate of interest charged by Bank at any given
time. 
 “Restricted Agreement” means any license or other agreement (other than over-the-counter software that
is commercially available to the public) to which Borrower is a party or under which Borrower is bound (including licenses and agreements under which Borrower is the licensee), the failure, breach or termination of which could reasonably be expected
to have a Material Adverse Effect. 
 “Schedule” means a Schedule of Exceptions attached hereto, if any, and
approved by Bank. 
 “Security Agreement(s)” means, individually or collectively, (a) the Security
Agreement of even date herewith executed by Borrower in favor of Bank, (b) each security agreement executed from time to time by a Guarantor in favor of Bank, all as amended, modified, supplemented or restated from time to time. 

“Security Documents” means collectively, the Intellectual Property Security Agreement, all financing statements, deeds
or mortgages, and other documents hereafter delivered to Bank purporting to grant a Lien on any assets or properties to secure the obligations and liabilities under any Loan Document, all as amended, modified, supplemented, extended or restated from
time to time. 
 “Solvent” means, as to any Person at any time, that: (a) the fair value of the property
of such Person is greater than the amount of such Person’s liabilities (including disputed, contingent and unliquidated liabilities) as such value is established and liabilities evaluated for purposes of Section 101(32) of the Bankruptcy
Code (or any successor provision) and, in the alternative, for purposes of the California Uniform Fraudulent Transfer Act; (b) the present fair saleable value of the property of such Person is not less than the amount that will be required to
pay the probable liability of such Person on its debts as they become absolute and matured; (c) such Person is generally able to pay its debts and other liabilities (including disputed, contingent and unliquidated liabilities) as they mature in
the normal course of business; (d) such Person does not intend to, and does not believe that it will, incur debts or liabilities beyond such Person’s ability to pay as such debts and liabilities mature; and (e) such Person is not
engaged in business or a transaction for which such Person’s property would constitute unreasonably small capital. 

“Stock” means any shares, securities, stock, options, warrants, general or limited partnership interests, membership
units or interests, or other equivalents (regardless of how designated) of or in a corporation, partnership, limited liability company, partnership, joint venture or equivalent entity whether voting or nonvoting, including common stock, preferred
stock or any other “equity security” (as such term is defined in Rule 3a11-1 of the General Rules and Regulations promulgated by the Securities and Exchange Commission under the Securities Exchange Act of 1934, as amended). 

“Subordinated Debt” is indebtedness incurred by Borrower subordinated to all of Borrower’s now or hereafter
indebtedness to Bank (pursuant to a subordination, intercreditor, or other similar agreement in form and substance satisfactory to Bank entered into between Bank and the other creditor), on terms acceptable to Bank. 

“Subsidiary” means, with respect to any Person, any Person of which more than 50% of the voting Stock or other equity
interests (in the case of Persons other than corporations) is owned or controlled directly or indirectly by such Person or one or more Subsidiaries of such Person. 

  
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 Commercial Credit Agreement 

 
  
 “Threshold Amount” means Five Hundred Thousand Dollars ($500,000). 
 “Trademarks” means all trademark and servicemark rights whether registered or not, applications to register and registrations of the same and like protections, and the entire goodwill of
the business of Borrower connected with and symbolized by such trademarks, including without limitation those set forth on Schedule 3 attached hereto. 
 2. STATEMENTS. Bank shall send to Borrower, at Borrower’s address set forth below, a statement of amounts owed for each monthly period in which the Loan is outstanding. If Borrower has any
dispute concerning the monthly statement, Borrower shall notify Bank in writing at the address shown on the statement within fifteen (15) days after the statement mailing date, after which date, unless so disputed, the statement shall be deemed
correct. 
 3. CONDITIONS PRECEDENT. Bank shall not be obligated to disburse all or any portion of the Loans unless at or
prior to the time of each such disbursement, the following conditions precedent have been satisfied and fulfilled to Bank’s satisfaction: 
 3.1 Approval of Bank Counsel. All legal matters incidental to the extension of credit by Bank shall be satisfactory to Bank’s counsel. 

3.2 Documentation. Bank shall have received, in form and substance satisfactory to Bank, each of the following (together with any
and all schedules and exhibits), duly executed: 
 (a) This Agreement and each other instrument, agreement and document required
hereby; 
 (b) a Guaranty duly executed by the Closing Date Guarantor; 

(c) Security Agreements duly executed by Borrower and the Closing Date Guarantor; 

(d) Intellectual Property Security Agreements duly executed by Borrower and the Closing Date Guarantor; 

(e) certificates evidencing the Stock owned by Borrower in its Subsidiaries, together with assignments separate from certificate or other
appropriate instruments of transfer, executed in blank; 
 (f) deposit and securities account control agreements for each
deposit or investment account (other than Client Trust Accounts) maintained by Borrower or Guarantor outside of Bank; 
 (g)
Authorizations to Obtain Credit, authorizing the execution, delivery and performance of this Agreement and the other Loan Documents and certifying the resolutions approving the Loan Documents. Such resolutions shall also designate the persons who
are authorized to act on Borrower’s behalf in connection with this Agreement to do the things required of Borrower pursuant to this Agreement; and 

  
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 Commercial Credit Agreement 

 
  
 (h) such other documents, instruments and agreements as Bank may reasonably require. 
 3.3 Compliance. The representations and warranties contained herein and in each of the other Loan Documents shall be true and correct on and as of the date of the signing of this Agreement and true
and correct in all material respects on the date of each extension of credit by Bank pursuant hereto, with the same effect as though such representations and warranties had been made on and as of each such date, and on each such date, provided that
those representations and warranties expressly referring to a specific date shall be true and correct in all material respects as of such specific date. Borrower shall have performed and complied with all terms and conditions required by this
Agreement to be performed or complied with, and no Event of Default as defined herein, and no condition, event or act which with the giving of notice or the passage of time or both would constitute such an Event of Default, shall have occurred and
be continuing or shall exist. 
 3.4 Audit and Examination. Prior to the initial advance under the Revolving Loan, Bank
shall have completed and received results satisfactory to Bank, in its sole and absolute discretion, of its audit and examination of the Collateral and Borrower’s books and records. 

3.5 Financial Statements. Prior to the initial advance under the Revolving Loan, Bank shall have received company-prepared
consolidated and consolidating financial statements as of, and for the year-to-date period ending, June 30, 2010, including company prepared consolidated and consolidating balance sheets, income statements, and statements of cash flows,
together with accounts receivable and accounts payable agings, and such other updated financial information as Bank may reasonably request. 
 3.6 Payment of Fees. Borrower shall have paid to Bank the fees and expenses then due as specified in the Loan Documents. 
 3.7. Financial Condition. There shall have been no material adverse change, as determined by Bank, in the financial condition or business of Borrower or any other Obligor, nor any material decline,
as determined by Bank, in the market value of any Collateral required hereunder or a substantial or material portion of the assets of Borrower or any other Obligor. 
 3.8 Insurance. Prior to the initial advance under the Revolving Loan, Borrower shall have delivered to Bank evidence of insurance coverage on all Borrower’s and its Subsidiaries’
property, in form, substance, amounts, covering risks and issued by companies satisfactory to Bank, and where required by Bank, with loss payable endorsements in favor of Bank. 

3.9 Lien Searches. Prior to the initial advance under the Revolving Loan, Bank shall have received the results of a recent lien
search in the State of Delaware and each of the other jurisdictions where assets of Borrower or any other Obligor are located, and such search shall reveal no Liens on any of such assets except for Permitted Liens. 

3.10 Financing Statement. Borrower hereby authorizes Bank to file a UCC National Form Financing Statement, identifying Bank as the
secured party, and Borrower as the debtor. 
 3.6 No Material Adverse Effect. Bank shall have determined in its sole
discretion that no event or circumstance has occurred or exists that could reasonably be expected to have a Material Adverse Effect. 

  
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 Commercial Credit Agreement 

 
  
 4. GUARANTIES. The payment and performance of all indebtedness and other obligations of Borrower to Bank are and shall be guaranteed, jointly and severally, by each current and future Material
Subsidiary of Borrower (collectively or individually, as the context may require, the “Guarantor”) pursuant to the terms and conditions of one or more Continuing Guaranties (collectively or individually, as the context may require, each a
“Guaranty” and collectively, the “Guaranties”) duly executed by Guarantor in favor of and with Bank in form and amount acceptable to Bank, which Guaranties shall be secured by unconditional, continuing pledges and security
interests in and to all of the assets and properties of each such Subsidiary, as evidenced by and subject to the terms of guaranties, deeds, debentures, and security agreements in form and substance satisfactory to Bank. On each Material Subsidiary
Assessment Date, Borrower shall determine whether there exists any new or additional Material Subsidiaries (whether as a result of a Person becoming a Material Subsidiary or being designated as a Material Subsidiary for purposes of satisfying the
95% Threshold Test), and if any new Material Subsidiary exists, Borrower and such new Subsidiary shall: (a) promptly notify Bank of the creation, acquisition or designation of such new Material Subsidiary, (b) take all such action as may
be reasonably required by Bank to cause such Subsidiary to guarantee the Obligations of Borrower and grant such pledges and security interests as Bank may require, and (c) grant and pledge to Bank a first-priority security interest in the stock
or other equity interests of, and any indebtedness owing from, such Subsidiary. Notwithstanding anything to the contrary herein, Borrower shall at all times cause such of its Subsidiaries necessary to meet the 95% Threshold to be Guarantors and to
execute and deliver the documents, instruments and agreements noted above. Bank agrees to terminate the Guaranties upon written request of the Borrower after the Maturity Date, or such earlier date on which this Agreement is terminated, provided in
either event that Bank shall only be obligated to terminate the Guaranties if the payment and performance of all indebtedness and any other obligations of Borrower to Bank have been satisfied. 

5. REPRESENTATIONS AND WARRANTIES. Borrower represents and warrants (and each request for a disbursement of the proceeds of the
Loan shall be deemed a representation and warranty made on the date of such request) that: 
 5.1 Legal Status. Borrower
is a corporation duly organized and existing under the laws of the state of Delaware, each of Borrower’s Subsidiaries is a corporation or organization duly organized and existing under the laws of its jurisdiction of organization, and Borrower
and each of its Subsidiaries is duly qualified and licensed to conduct business (and is in good standing as a foreign corporation, if applicable) in each state or other jurisdiction in which such qualification or licensing is required under
applicable law, except where the failure to do so could reasonably be expected to have a Material Adverse Effect. Borrower’s principal place of business and chief executive office is located at 1100 Park Place, 4th Floor, San Mateo, California
94403. 
 5.2 Authorization and Validity; Collateral. Borrower has full power and authority to execute and deliver this
Agreement, and each other promissory note, contract, instrument and other document required hereby or at any time hereafter delivered to Bank in connection herewith, and Borrower has taken all necessary actions to authorize the entry into,
performance and delivery of this Agreement and each of the other Loan Documents. The Loan Documents, upon their execution and delivery in accordance with the provisions hereof, will constitute legal, valid and binding agreements and obligations of
Borrower or the party which executes the same, enforceable in accordance with their respective terms. Borrower has rights in and the power to transfer the Collateral, and its title to the Collateral is free and clear of Liens, adverse claims, and
restrictions on transfer or pledge except for Permitted Liens. Borrower is in possession of and has control over all of its assets and 

  
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 Commercial Credit Agreement 

 
  
 
properties, and, without limiting the generality of the foregoing, none of the Borrower’s Affiliates is in possession or control of any such assets or property, or collects, services or
administers any Borrower’s contract rights, accounts receivables or any proceeds thereof. Borrower is the sole owner of Borrower’s Intellectual Property, except for non-exclusive licenses granted by Borrower to its customers in the
ordinary course of business. To the best of Borrower’s knowledge, each of the Copyrights, Trademarks and Patents is valid and enforceable, and no part of Borrower’s material Intellectual Property has been judged invalid or unenforceable,
in whole or in part, and no claim has been made to Borrower that any part of its Intellectual Property violates the rights of any third party except to the extent such claim could not reasonably be expected to cause a Material Adverse Effect.

 5.3 No Conflict or Violation. The execution, delivery and performance by Borrower of each of the Loan Documents do not
and will not violate or contravene any provision of Borrower’s articles or certificate of incorporation (as currently in effect and as amended or restated from time to time), bylaws or other governing documents. The execution, delivery and
performance by each Borrower of each of the Loan Documents do not and will not violate any provision of any law or regulation or result in any breach of or default under any contract, obligation, indenture or other instrument to which Borrower is a
party or by which Borrower or its property may be bound or affected, where such violation, breach or default could reasonably be expected to have a Material Adverse Effect. 
 5.4 Financial Statements; No Material Adverse Effect. Borrower is not aware of any fact, occurrence or circumstance which Borrower has not disclosed to Bank in writing which has, or could
reasonably be expected to have, a material adverse effect on Borrower’s ability to repay the Loan or perform its obligations under this Agreement. The annual financial statements of Borrower dated December 31, 2009, and all interim
financial statements (including Borrower’s income statement, balance sheet and statement of cash flows) delivered to Bank since said date, true copies of which have been delivered by Borrower to Bank prior to the Closing Date, (i) present
fairly the financial condition of Borrower and its consolidated Subsidiaries, (ii) disclose all liabilities of Borrower and its Subsidiaries that are required to be reflected or reserved against under GAAP, whether liquidated or unliquidated,
fixed or contingent, and (iii) have been prepared in accordance with GAAP consistently applied (subject in the case of interim unaudited financial statements, to normal year-end adjustments and the absence of footnotes). Since the dates of such
financial statements there has been no material adverse change in the financial condition of Borrower, nor has Borrower mortgaged, pledged, granted a security interest in or otherwise encumbered any of its assets or properties except for Permitted
Liens. No representation, warranty or other statement in any certificate or written statement given to Bank by or on behalf of Borrower, as of the date such representation, warranty, or other statement was made or deemed made, contains any untrue
statement of a material fact or omits to state a material fact necessary to make the statements contained in the certificates or statements, in the light of the circumstances under which they were made, not misleading (it being recognized by Bank
that the projections and forecasts provided by Borrower in good faith and based upon reasonable assumptions are not viewed as facts and that actual results during the period or periods covered by such projections and forecasts may differ from the
projected or forecasted results). 
 5.5 Regulatory Compliance. 

(a) Borrower is not an “investment company” or a company “controlled” by an “investment company” under the

  
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 Commercial Credit Agreement 

 
  
 
Investment Company Act. Borrower is not engaged in the business of extending credit for the purpose of, and no part of the Loan will be used directly or indirectly for, purchasing or carrying
margin stock within the meaning of Federal Reserve Board Regulation U. Borrower has complied in all material respects with the Federal Fair Labor Standards Act. Borrower has not violated any laws, ordinances or rules, the violation of which could
reasonably be expected to have a Material Adverse Effect. Borrower and each of its Subsidiaries have obtained all consents, approvals and authorizations of, made all declarations or filings with, and given all notices to, all government authorities
that are necessary to continue their respective businesses as currently conducted. 
 (b) Borrower and its Subsidiaries are in
compliance with (1) the Trading with the Enemy Act, as amended, and each of the foreign assets control regulations of the United States Treasury Department (31 CFR, Subtitle B, Chapter V, as amended) and any other enabling legislation or
executive order relating thereto, and (2) the Uniting And Strengthening America By Providing Appropriate Tools Required To Intercept And Obstruct Terrorism (USA Patriot Act of 2001) and the USA PATRIOT Improvement and Reauthorization Act of
2005 (Pub. L. 109-177) (the “Patriot Act”). No part of the proceeds of the Loan or any other extension of credit from Bank from time to time, will be used, directly or indirectly, for any payments to any governmental official or employee,
political party, official of a political party, candidate for political office, or anyone else acting in an official capacity, in order to obtain, retain or direct business or obtain any improper advantage, in violation of the United Stets Foreign
Corrupt Practices Act of 1977, as amended. 
 (c) Neither Borrower nor or any of its Subsidiaries (1) is a person whose
property or interest in property is blocked or subject to blocking pursuant to Section 1 of Executive Order 13224 of September 23, 2001 Blocking Property and Prohibiting Transactions With Persons Who Commit, Threaten to Commit, or Support
Terrorism (66 Fed. Reg. 49079 (2001), (2) engages in any dealings or transactions prohibited by Section 2 of such executive order, or is otherwise associated with any such person in any manner violative of Section 2, or (3) is a
person on the list of Specially Designated Nationals and Blocked Persons or subject to the limitations or prohibitions under any other U.S. Department of Treasury’s Office of Foreign Assets Control regulation or executive order. 

5.6 Litigation. Except as disclosed in writing to and approved by Bank, there are no pending, or to the best of Borrower’s
knowledge, threatened (in writing), actions, claims, investigations, suits or proceedings by or before any governmental authority, arbitrator, court or administrative agency which could reasonably be expected to result in damages or costs to
Borrower or any of its Subsidiaries in excess of $500,000 or that could reasonably be expected to have a Material Adverse Effect. 
 5.7 Taxes. Borrower no knowledge of any pending assessments or adjustments of its income tax payable with respect to any year. Borrower has timely filed or has obtained extensions for filing all
required federal, and all material foreign, state and local, tax returns and reports, and Borrower has timely paid all federal and all material foreign, state and local taxes, assessments, deposits and contributions owed by Borrower, except as
disclosed on the Schedule. Borrower may defer payment of any contested taxes, provided that Borrower (i) in 

  
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 Commercial Credit Agreement 

 
  
 
good faith contest their obligations to pay the taxes by appropriate proceedings promptly and diligently instituted and conducted, (ii) notify Bank in writing of the commencement of, and any
material development in, the proceedings, (iii) post bonds or takes any other steps required to prevent the governmental authority levying such contested taxes from obtaining a Lien upon any of the Collateral that is not otherwise a Permitted
Lien. 
 5.8 No Subordination. There is no agreement, indenture, contract or instrument to which Borrower is a party or
by which Borrower may be bound that requires the subordination in right of payment of any of Borrower’s obligations subject to this Agreement or any other Loan Document to any other obligation of Borrower. 

5.9 Permits and Franchises. Borrower possesses all permits, consents, approvals, franchises and licenses required and rights to
all trademarks, trade names, patents, and fictitious names, if any, necessary to enable it to conduct the business in which it is now engaged in compliance with applicable law, except where the failure to do so could not reasonably be expected to
have a Material Adverse Effect. 
 5.10 Other Obligations. Borrower is not in default on any obligation for borrowed
money, any purchase money obligation or any other material lease, commitment, contract, instrument or obligation, in the aggregate, in excess of the Threshold Amount. 
 5.11 ERISA. Borrower is in compliance in all material respects with all applicable provisions of the Employee Retirement Income Security Act of 1974, as amended or recodified from time to time
(“ERISA”); Borrower has not violated any provision of any defined employee pension benefit plan (as defined in ERISA) maintained or contributed to by such Borrower (each, a “Plan”) which could reasonably be expected to have a
Material Adverse Effect; no Reportable Event (as defined in ERISA) has occurred and is continuing with respect to any Plan initiated by Borrower; Borrower has met its minimum funding requirements under ERISA with respect to each Plan; and each Plan
will be able to fulfill its benefit obligations as they come due in accordance with the Plan documents and under generally accepted accounting principles. 
 5.12 Environmental Matters. Borrower is in compliance in all material respects with all applicable federal or state environmental, hazardous waste, health and safety statutes, and any rules or
regulations adopted pursuant thereto, which govern or affect any of Borrower’s operations and/or properties, including without limitation, the Comprehensive Environmental Response, Compensation and Liability Act of 1980, the Superfund
Amendments and Reauthorization Act of 1986, the Federal Resource Conservation and Recovery Act of 1976, and the Federal Toxic Substances Control Act, as any of the same may be amended, modified or supplemented from time to time. None of the
operations of Borrower is the subject of any federal or state investigation evaluating whether any remedial action involving a material expenditure is needed to respond to a release of any toxic or hazardous waste or substance into the environment.
Borrower has no material contingent liability in connection with any release of any toxic or hazardous waste or substance into the environment. 
 5.13 Investments. Borrower does not own any stock, partnership interest or other equity securities except for Permitted Investments. As of the Closing Date, Borrower has no Subsidiaries other than
MHM Resources, LLC, a Delaware limited liability company. 

  
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 Commercial Credit Agreement 

 
  
 5.14 Restricted Agreements. Except as disclosed on the Schedule or as timely disclosed in writing to Bank pursuant to Section 9.12 Borrower is not a party to, or is bound by, any Restricted
Agreement. 
 5.15 Solvency. Borrower and each Guarantor, taken as a whole, are Solvent. 

6. SECURITY INTEREST. To secure the payment and performance of all Borrower’s nonconsumer indebtedness and other obligations
to Bank, regardless of the manner in which or the time at which such indebtedness and other obligations arose or shall arise, and whether direct or indirect, alone or with others, absolute or contingent, including without limitation Borrower’s
obligations under or in connection with the facilities described in Section 1 above, and under any security agreement previously, simultaneously or hereafter executed by Borrower, Borrower hereby grants Bank a security interest in all of
Borrower’s right, title and interest in and to all present and hereafter acquired personal property, wherever located, including but not limited to the assets described below (collectively, the “Collateral”): 

All cash, cash equivalents, Accounts, bank and deposit accounts (including any control account, disbursement account and any other bank
accounts), chattel paper, instruments, books and records, personal property aspects of leasehold estates in real property, contract rights, general intangibles (including all intellectual property, stock, claims, contract rights, and choses in
action), goods, Equipment, Inventory, documents, certificates of title, returned or repossessed goods, fixtures, farm products, livestock, crops, timber, minerals (including oil and gas) and mineral rights, commercial tort claims, insurance claims,
rights and policies, letter of credit rights, investment property, Intellectual Property, supporting obligations, and the proceeds (including insurance proceeds), products, parts, accessories, attachments, accessions, replacements, substitutions,
additions, and improvements of or to each of the foregoing. 
 Notwithstanding anything in this Agreement, the Collateral does
not include (i) more than 65% of the issued and outstanding voting capital stock of any Subsidiary that is organized in a jurisdiction other than the United States or any state or territory thereof, to the extent that granting of a lien therein
by Borrower to Bank would result in a material adverse tax consequence for the Borrower. or (ii) the Client Trust Accounts. 
 Borrower agrees to execute such documents, instruments and agreements, and to provide such detail concerning the Collateral, as Bank may require to perfect, maintain the first priority of, and protect
such security interest. 
 In connection with the granting of such security interest, Borrower hereby represents, warrants and
covenants to Bank as follows: (a) the Collateral is now and at all times hereafter will be of good and merchantable quality, free from defects; (b) the Collateral shall be kept in good operating condition and repair, so that its value and
operating efficiency shall at all times be maintained and preserved; (c) correct and accurate records itemizing and describing the kind, type, quality and quantity of the Collateral and its cost shall be maintained, all of which records shall
be available for inspection by Bank; (d) the Collateral is owned by the party granting a security interest and is and shall remain free from all Liens (except for Liens in favor of, or as approved in writing by, Bank); and (e) following
the occurrence and during the continuance of an Event of Default (as defined below), Bank may take all actions permitted by law to take possession of and liquidate the 

  
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 Commercial Credit Agreement 

 
  
 Collateral, including notifying any third parties of Bank’s interests and requirements. Borrower hereby appoints Bank as the true and lawful attorney of Borrower and authorizes Bank to perform any
and all acts, at Borrower’s expense, which Bank in good faith deems necessary for the protection and preservation of the Collateral or Bank’s security interest therein. Bank additionally has a general Lien arising by operation of law on
any property in its possession owned by the party granting a security interest above. Except as set forth in this Agreement, Bank does not waive any other Lien it may have through operation of law, nor its right of setoff against any such property.
Notwithstanding anything in this Agreement or any rights arising between Borrower and Bank in any other agreement or by operation of law or statute, Bank hereby waives any lien or right of setoff with respect to any Client Trust Accounts, except for
any lien or right of setoff securing Bank’s standard fees with respect to the maintenance of such Client Trust Accounts. 

Upon the written request of Borrower, at Borrower’s sole cost and expense, and so long as no Event of Default as defined herein, and
no condition, event or act which with the giving of notice or the passage of time or both would constitute such an Event of Default, shall have occurred and be continuing or shall exist, Bank agrees to release its Lien solely with respect to any
equipment over which a Lien is permitted to exist pursuant to the terms of Section 9.16(i), provided that in no event shall such release of Lien with respect to such specified equipment be construed to limit or otherwise impair Bank’s Lien
on any and all other Collateral. 
 7. SUBORDINATION. All indebtedness and other obligations of Borrower to its
stockholders, other equity security holders and Affiliates shall be and remain subordinated in right of payment at all times to the indebtedness and other obligations of Borrower to Bank, and any and all Liens in property of Borrower held by any
such stockholder, equity holder or Affiliate shall be subordinated to the Liens of Bank, in each case, as evidenced by and subject to the terms of subordination agreements in form and substance satisfactory to Bank. 

8. CERTIFICATION. If Borrower is a corporation, the individual signing below certifies that the officers listed at the end of this
Agreement as authorized signers, have been duly authorized by Borrower to enter into the transactions contemplated by this Agreement, to sign all related documents, instruments and agreements, to authorize others to request advances from Bank, to
authorize individuals to utilize Bank’s commercial lending on-line products and service (the ‘Service”), if Borrower qualifies, and to take all actions necessary to give effect thereto. Notwithstanding the designation of authorized
individuals to act for Borrower, Borrower authorizes Bank to advance funds upon any request which Bank in good faith believes to be authorized or when the proceeds are deposited to Borrower’s deposit account. Borrower may begin to use the
Service once Bank has received all documents, instruments and agreements required by Bank. Borrower shall give written notice to Bank to cancel the Service. Bank may terminate any waiver of fees for the Service in Bank’s sole discretion, after
written notice to Borrower, following sixty (60) consecutive calendar days of nonusage of the Service by Borrower. Borrower is solely responsible in all respects for any hardware, software and internet service-provider that may be required for
use of the Service. Bank’s terms and conditions for the Service, and the schedules of fees for the Service, all as published by Bank from time to time, shall govern Borrower’s use of the Service. 

9. COVENANTS. Borrower agrees, unless Bank otherwise consents in writing, so long as the Revolving Loan or any commitment to make
any advance under the Revolving Loan is outstanding and until full and final payment of all indebtedness and other obligations of Borrower owing to Bank, that Borrower will: 

  
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 Commercial Credit Agreement 

 
  
 9.1 Financial Covenants. Maintain or achieve in accordance with GAAP: 

(a) Quick Ratio. A quick ratio of (i) cash plus marketable securities plus trade accounts receivable (excluding those owing
from affiliates) minus bad debt reserve to (ii) all current liabilities (including all indebtedness and obligations owing to Bank in respect of the Revolving Loan) of not less than: (1) 0.55:1.00 at all times through June 30, 2011,
and (2) 0.60:1.00 at all times thereafter. 
 (b) Minimum EBITDA. EBITDA measured as of the last day of each fiscal
month, for the three month period ending on such date of not less than (i) Two Million Five Hundred Thousand Dollars ($2,500,000) for each fiscal month of Borrower ending August and September, 2010; (ii) Two Million Two Hundred Fifty
Thousand Dollars ($2,250,0000) for each fiscal month of Borrower ending October and November, 2010; (iii) Three Million Two Hundred Fifty Thousand Dollars ($3,250,000) for the fiscal month of Borrower ending December, 2010; (iv) Four
Million Dollars ($4,000,000) for each fiscal month of Borrower ending January through August, 2011; (v) Two Million Five Hundred Thousand Dollars ($2,500,000) for each fiscal month of Borrower ending September, 2011 through November, 2011; and
(vi) Four Million Dollars ($4,000,000) for each fiscal month of Borrower ending December, 2011 and thereafter. 

(c) Minimum Cash Flow Coverage Ratio. A ratio measured as of the last day of each calendar month of (i) EBITDA for the
twelve (12) month period ending on the last day of such calendar month plus (to the extent deducted in the calculation of EBITDA) operating lease payments made during such period, minus Distributions made during such period, minus payments made
during such period in respect of contingent acquisition-related obligations and liabilities such as earn-out and similar payments contingent, at the time of closing of the relevant acquisition, on future performance or revenues, to (ii) Debt
Service on such date of calculation, of not less than (x) 1.50: 1.00, calculated as of the close of each fiscal quarter occurring prior to January 1, 2011, and (y) 2.00: 1.00, calculated as of the close of each fiscal quarter
occurring on or after January 1, 2011. As used herein, “Debt Service” shall mean, for any date of calculation, the sum of (a) an amount equal to one-third of the committed amount of the Revolving Loan on such date, plus
(b) Borrower’s interest obligations for the twelve (12) month period immediately following the date of calculation, plus (c) operating lease payment obligations arising during the twelve (12) month period immediately
following the date of calculation, (d) the principal portion of Borrower’s term obligations (including all capital lease obligations, but not including the Revolving Loan) coming due within the twelve (12) month period following the
date of calculation. 
 9.2 Notice Of Certain Events. Promptly (but in no event more than five (5) days after the
occurrence of each such event or matter) give written notice to Bank in reasonable detail of: 
 (a) the occurrence of any Event
of Default, or any condition, event or act which with the giving of notice or the passage of time or both would constitute an Event of Default; 
 (b) any change in the name or the organizational structure of Borrower or any Guarantor; 
 (c) the occurrence and nature of any Reportable Event or Prohibited Transaction, each as defined in ERISA, or any funding deficiency with respect to any Plan; 

(d) any termination or cancellation of any insurance policy which Borrower is required to maintain, or any uninsured or partially
uninsured loss through liability or property damage, or through fire, theft or any 

  
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 Commercial Credit Agreement 

 
  
 
other cause affecting Borrower’s property; 
 (e) the commencement of
any litigation or arbitration proceeding affecting Borrower, any Guarantor or any of their respective Subsidiaries where the amount in controversy is $250,000 or more; and 
 (f) any material dispute arising between Borrower, any Guarantor or any of their respective Subsidiaries and any government regulatory body or law enforcement body. 

9.3 Financial Reporting. Furnish to Bank all of the following, in form and detail satisfactory to Bank: 

(a) Within thirty (30) days after the close of each fiscal month, its unaudited balance sheet as of the close of such fiscal month,
its unaudited income and expense statement with supporting schedules, and its unaudited statement of retained earnings for such fiscal month, all prepared in consolidated form and all prepared in accordance with GAAP (except for the absence of
footnotes and subject to year-end adjustments). 
 (b) Within ninety (90) days after the close of each fiscal year, a copy
of its statement of financial condition, including at least its balance sheet as of the close of such fiscal year and its income and expense statement and its retained earnings statement for such fiscal year, all prepared in consolidated form and
examined and prepared on an audited basis by independent certified public accountants selected by Borrower and reasonably satisfactory to Bank in accordance with GAAP, along with any management letter provided by such accountants. 

(c) Promptly upon Bank’s request, but in any event at least once for every tax year, copies of such financial statements and reports
as Borrower may file with any state or federal agency, including all state and federal income tax returns and all supporting schedules. 
 (d) Concurrently with the furnishing of the financial statement(s) required above, a certification of compliance, executed by Borrower’s chief financial officer, in form acceptable to Bank
certifying, among other things, that: (i) said financial statements are true copies and fairly present the financial condition of Borrower as of such date and the results of operations for the periods presented; (ii) the representations
and warranties contained herein and in the other Loan Documents remain true and correct in all material respects as of such date (except for those representations and warranties, if any, expressly referring to a specific date which shall remain
true, accurate and complete in all material respects as of such date); (iii) Borrower, and each of its Subsidiaries, have timely filed all required tax returns and reports, and Borrower and such Subsidiaries have timely paid all foreign,
federal, state and local taxes, assessments, deposits and contributions owed, except as otherwise permitted pursuant to the terms of this Agreement; (iv) no Liens have been levied or claims made against Borrower or any of its Subsidiaries
relating to unpaid employee payroll or benefits of which Borrower have not previously provided written notification to Bank; (v) Borrower is in compliance with all covenants set forth herein; and (vi) there exists no Event of Default nor
any condition, act or event which with the giving of notice or the passage of time or both would constitute an Event of Default. 
 (e) Prompt written notice to Bank of any Event of Default or breach under any of the terms or provisions of this Agreement or any other loan document, any litigation which is reasonably expected to have a

  
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 Commercial Credit Agreement 

 
  
 
material adverse effect on Borrower’s financial condition, and any other matter which has resulted in, or is likely to result in, a material adverse change in Borrower’s financial
condition or operations. 
 (f) Prior written notice to Bank of any change in Borrower’s Chief Executive Officer,
Borrower’s name or state of organization, and the location of any material portion of Borrower’s assets. 
 (g) Within
fifteen (15) days after Borrower knows or has reason to know that any Reportable Event (as defined in ERISA) or Prohibited Transaction (as defined in ERISA) has occurred with respect to any defined benefit pension plan of Borrower, a statement
of an authorized officer of Borrower describing such event or condition and the action, if any, which Borrower proposes to take with respect thereto. 
 (h) Such other information and financial statements concerning Borrower, any Guarantor or any of their respective Subsidiaries as Bank may reasonably request from time to time. 

9.4 Punctual Payments; Bank Expenses. Punctually pay all principal, interest, fees or other liabilities due under any of the Loan
Documents at the times and place and in the manner specified therein, and immediately upon demand by Bank, the amount by which the outstanding principal balance of any credit subject hereto at any time exceeds any limitation on borrowings applicable
thereto. Pay or reimburse Bank for all costs, expenses and fees incurred by Bank (a) in perfecting and protecting Bank’s security interest in the Collateral, (b) in preparing and documenting this Agreement and the other Loan
Documents, and all amendments and modifications hereto and thereto (including but not limited to all filing and recording fees, costs of appraisals, insurance and attorneys’ fees, including the reasonable estimate of the allocated costs and
expenses of in-house legal counsel and staff), and (c) in all aspects of collection or enforcement of the Loan, including all reasonable attorneys’ fees (including the reasonable estimate of the allocated costs and expenses of in-house
legal counsel and staff), including attorneys’ fees and expenses incurred in bankruptcy, on appeal or in any alternative dispute resolution proceeding. All of such costs, expenses and fees shall include a reasonable estimate of the allocated
costs and expenses of Bank’s in-house legal counsel and staff. Any payments made to Bank by Borrower or any Guarantor pursuant to any of the Loan Documents shall be free and clear of any deductions or withholdings for or on account of any
taxes, levies, imposts, duties or other charges of whatever nature imposed by any government, political subdivision, bank or taxing authority. Borrower shall immediately pay to Bank such amounts as may be necessary in order that every payment made
by Borrower or any Guarantor hereunder or under any other Loan Document, after Borrower makes any required deductions or withholding for or on account of any taxes, levies, imposts, duties or other charges of whatever nature imposed by any
government, political subdivision, bank or taxing authority, shall not be less than the payment otherwise required hereunder or under such other Loan Document. Without limiting Bank’s rights under any of the other provisions of the Loan
Documents, in the event any taxes (other than income taxes) are assessed against Bank in connection with payments to Bank by Borrower or any Guarantor under any of the Loan Documents, then Borrower shall pay when due, and indemnify and hold Bank
harmless from, such taxes, without reducing the net amount of such payments to be made to or with Bank below that amount which Bank would have received had such taxes not been assessed. If Bank requests, Borrower shall furnish to Bank a receipt
evidencing payment of such tax or the tax return or other report filed with respect to such tax. 
 9.5 Existence. Except
as otherwise permitted in this Agreement, maintain and preserve Borrower’s, and each of its 

  
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 Commercial Credit Agreement 

 
  
 Subsidiaries’, existence, present form of business and all licenses, permits, governmental approvals, rights, privileges and franchises necessary or desirable in the normal course of its business,
and keep all of Borrower’s and its Subsidiaries’ properties in good working order and condition. 
 9.6
Insurance. Keep all of its insurable property, whether real, personal or mixed, insured by companies approved by Bank, against fire and such other risks, and in such amounts as is customarily obtained by companies conducting similar business
with respect to like properties. Borrower will furnish to Bank statements of its insurance coverage, will promptly upon Bank’s request furnish other or additional insurance deemed necessary by Bank to the extent that such insurance may be
available, and hereby assigns to Bank, as security for Borrower’s obligations to Bank, the proceeds of any such insurance. Prior to any Loan disbursement, Bank will be named loss payee under all policies insuring the Collateral. Borrower will
maintain adequate worker’s compensation insurance and adequate insurance against liability for damage to persons or property. All policies shall require at least ten (10) days’ written notice to Bank before alteration or cancellation.

 9.7 Books And Records. Maintain adequate books, accounts and records and prepare all financial statements required
hereunder in compliance with the regulations of any governmental regulatory body having jurisdiction over Borrower or Borrower’s business and permit employees or agents of Bank at any reasonable time to inspect Borrower’s assets and
properties, and at Borrower’s expense to examine or audit Borrower’s books, accounts and records and make copies and memoranda thereof. Subject to the limitations set forth in Section 9.13, at reasonable times and upon reasonable
advance notice, Bank or its employees or agents may conduct on-site appraisals of Borrower’s Accounts, Inventory and other Collateral, at Borrower’s expense; provided, however, that if an Event of Default has occurred and is continuing,
Bank may conduct such appraisals at any time in its own discretion, all at Borrower’s expense. 
 9.8 Laws. Comply
with, or cause to be complied with, all laws, statutes, rules, regulations, orders and directions of any governmental authority having jurisdiction over Borrower or Borrower’s business, and all material agreements to which Borrower is a party,
except, in each case, to the extent that non-compliance could not reasonably be expected to result in a Material Adverse Effect. 
 9.9 Taxes and Other Liabilities. Pay and discharge when due any and all indebtedness, obligations, assessments and taxes, both real or personal, including without limitation federal and state
income taxes and state and local property taxes and assessments (exceeding, individually or in the aggregate, One Hundred Thousand Dollars ($100,000); provided that such threshold shall not be interpreted as Bank’s acknowledgement or agreement
that Borrower need not timely pay and discharge all such indebtedness, obligations, assessments and taxes), except (a) such as Borrower may in good faith contest or as to which a bona fide dispute may arise, and (b) for which Borrower have
made provision, to Bank’s satisfaction, for eventual payment thereof in the event Borrowers are obligated to make such payment. Borrower agrees to pay, and to indemnify and hold Bank harmless from, any present or future claim or liability for
any registration, stamp, documentary, court or similar 

  
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 Commercial Credit Agreement 

 
  
 
tax, fee or charge, or any penalties or interest with respect thereto, which may be assessed, levied or collected by any country or other jurisdiction in which Borrower or any Guarantor now or in
the future maintains any property or assets, or any governmental agency of any of the foregoing, or in connection with the execution, issuance, delivery, filing, registration or enforcement of the Loan Documents. If Bank requests, Borrower shall
furnish to Bank a receipt evidencing payment of such taxes or other amounts, or the tax returns or other reports filed with respect to such taxes or other amounts. 
 9.10 Bank Accounts. 
 (a) Maintain all Borrower’s primary operating,
deposit and securities accounts with Bank and Bank’s Affiliates and use Bank for Borrower’s primary cash management requirements. 
 (b) Provide Bank ten (10) days’ prior written notice (or prompt notice following the closing of any acquisition of any Material Subsidiary that is permitted pursuant to Section 9.18) before
Borrower or any Material Subsidiary establishes any deposit account, securities account, investment account, commodities account or similar account at or with any bank or financial institution other than Bank or Bank’s Affiliates. For each such
account that Borrower or Material Subsidiary at any time maintains, Borrower shall cause the applicable bank or financial institution (other than Bank) at or with which any such account is maintained to execute and deliver a control agreement with
respect to such account to perfect Bank’s Lien in such account and all funds and other property deposited therein or credited thereto and to provide Bank with “control” (within the meaning of the UCC) over such account, which account
control agreement shall be in form and substance satisfactory to Bank in its sole discretion and may not be terminated without the prior written consent of the Bank. The provisions of this Section 9.10 shall not apply to (i) deposit
accounts exclusively used for payroll, payroll taxes and other employee wage and benefit payments to or for the benefit of Borrower’s employees and identified to Bank by Borrower as such and (ii) Client Trust Accounts. Notwithstanding
anything in this Agreement, in connection with the acquisition of any Material Subsidiary that is permitted pursuant to Section 9.18, Borrower shall have sixty (60) days from the date of closing of such acquisition to provide Bank with
“control” (within the meaning of the UCC) over any deposit accounts, securities accounts or investment accounts maintained by such Material Subsidiary. 
 9.11 Intellectual Property. (a) Protect, defend and maintain the validity and enforceability of Borrower’s Intellectual Property except where Borrower, in the exercise of its reasonable
business judgment, deems it in its best interest not to do so; (b) promptly advise Bank in writing of infringements of its Intellectual Property that could reasonably be expected to have a Material Adverse Effect; and (c) not allow any
Intellectual Property material to Borrower’s business to be abandoned, forfeited or dedicated to the public without Bank’s written consent. 
 9.12 Restricted Agreements. Prior to entering into or becoming bound by any Restricted Agreement, Borrower shall: (i) provide written notice to Bank of the material terms of such license or
agreement with a description of its likely impact on Borrower’s business and financial condition; and (ii) will obtain the consent of, or waiver by, any Person whose consent or waiver is necessary for Borrower’s interest in such
Restricted 

  
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 Commercial Credit Agreement 

 
  
 
Agreement and the rights and benefits thereunder to be deemed Collateral and for Bank to have a first-priority security interest in such Restricted Agreement and the rights and benefits
thereunder, and to have the power to exercise rights thereunder and to assign such Restricted Agreement and rights in connection with an enforcement of remedies under the Loan Documents, that might otherwise be restricted by the terms of the
applicable license or agreement, whether now existing or entered into in the future. 
 9.13 Audits. Permit Bank to audit
the Collateral at Borrower’s expense once per year, or more frequently if an Event of Default occurs. 
 9.14 Landlord
Waiver. Use commercially reasonable efforts to cause to be delivered to Bank, within thirty (30) days of the Closing Date, a landlord waiver with respect to Borrower’s headquarters; provided that in the event that Borrowers are unable
to so cause such landlord waivers to be delivered to Bank pursuant to the terms of this Section 9.14; Borrower shall certify to bank that such commercially reasonable efforts were made, in a writing signed by Borrower’s chief executive
officer, chief financial officer or general counsel. 
 9.15 Investments. Not purchase the debt or equity of another
person or entity, except for (a) savings accounts and certificates of deposit, and money market funds administered by Bank or any of its affiliates, (b) direct U.S. Government obligations and commercial paper issued by corporations with
the highest ratings (except as otherwise permitted by this Agreement) of Moody’s or S&P, provided that all of such permitted investments shall mature within one (1) year of purchase and (c) Permitted Investments. 

9.16 Liens. Not create, assume or suffer to exist any Lien on Borrower’s or any Subsidiary’s real or personal property,
whether now owned or hereafter acquired, or upon the income or profits thereof, except the following: 
 (a) Liens in favor of
Bank; 
 (b) Liens for taxes not yet due or Liens for taxes being contested in good faith and by proper proceedings diligently
pursued, provided that (i) adequate reserves shall have been provided therefor on the applicable financial statement, (ii) the Lien shall not be senior to Bank’s security interests in the Collateral and (iii) a stay of
enforcement of any such Lien shall be in effect; 
 (c) reservations, exceptions, encroachments, easements, rights of way,
covenants, conditions, restrictions, leases or other similar title exceptions affecting real property which do not in the aggregate materially detract from the value of the real property or materially interfere with their use in the ordinary course
of the business of Borrower or its Subsidiaries; 
 (d) any Lien on any property or asset of Borrower or any Subsidiary existing
on the date of this Agreement and specifically disclosed on the Schedule, provided that (i) such Lien shall not apply to any other property or asset of Borrower or such Subsidiary and (ii) such Lien shall secure only those obligations
which it 

  
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 Commercial Credit Agreement 

 
  
 
secures on the date hereof, and any extensions, renewals and replacements thereof which do not increase the outstanding principal amount thereof; 

(e) Liens against security deposits under leases; 
 (f) interests in deposits under worker’s compensation, unemployment insurance, social security and other similar laws applicable to Borrower; 

(g) Liens relating to statutory obligations of Borrower with respect to surety and appeal bonds, performance bonds and other obligations
of a like nature incurred in the ordinary course of business; 
 (h) other Liens securing indebtedness which does not exceed in
the aggregate the Threshold Amount at any one time; 
 (i) Liens on equipment securing indebtedness permitted under clause
(c) of Section 9.17 granted in connection with the acquisition of such equipment by Borrower after the date hereof (including, without limitation, pursuant to capital leases); provided, however, that each such Lien shall attach only to the
equipment acquired with the indebtedness secured thereby, and the proceeds and products thereof. 
 (j) Liens which constitute
rights of setoff of a customary nature or liens with respect to deposit or investment accounts provided that such liens only secure customary fees associated with such accounts; 

(k) leases or subleases of property granted in the ordinary course of business, and leases, subleases, non-exclusive licenses or
sublicenses of property granted in the ordinary course of business; and 
 (l) Liens arising from judgments, decrees or
attachments in circumstances not constituting an Event of Default. 
 9.17 Borrowings. Not sell or discount any account
receivable or evidence of indebtedness, except to Bank; nor borrow any money or become contingently liable for money borrowed or otherwise incur or allow to exist any Indebtedness, or permit any Subsidiary to do so, except the following: 

(a) the obligations and liabilities of Borrower and the Guarantors to Bank under this Agreement and the other Loan Documents; 

(b) other indebtedness of Borrower existing on the date of this Agreement and reflected in the most recent financial statement of
Borrower delivered to Bank and any extensions, refinancings, modifications, amendments and restatements of any items of such indebtedness, provided that the principal amount thereof is not increased and the terms thereof are not modified to impose
more burdensome terms upon Borrower or its Subsidiary, as the case may be; 
 (c) provided that no Event of Default exists at
the time such indebtedness is incurred or assumed or would result therefrom, indebtedness in an aggregate outstanding amount not to exceed, at any time, the 

  
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 Commercial Credit Agreement 

 
  
 
Threshold Amount, incurred to finance the acquisition of equipment, including capital leases, or indebtedness assumed in connection with the acquisition of any such equipment or secured by a Lien
on any such equipment prior to the acquisition thereof, and any extension, renewal or replacement of any such indebtedness that does not increase the outstanding principal amount thereof; 

(d) unsecured Indebtedness to trade creditors incurred in the ordinary course of business and Indebtedness incurred as a result of
endorsing negotiable instruments received in the ordinary course of business; 
 (e) Subordinated Debt; 

(f) Indebtedness owed by Borrower or a Guarantor to any Subsidiary (not in excess of $200,000 in the aggregate outstanding at any time)
or to Borrower or a Guarantor, as the case may be; 
 (g) Indebtedness owed by any Subsidiary to Borrower or a Guarantor in
connection with current operating expenses incurred in the ordinary course of the businesses currently engaged in by Borrower or reasonably related thereto and not for extraordinary items or speculative purposes; and 

(h) other Indebtedness not otherwise permitted by Section 7.4 not exceeding $250,000 in the aggregate outstanding at any time.

 9.18 Acquisitions; Fundamental Changes. Without the prior written consent of Bank, neither liquidate, dissolve, enter
into any consolidation, merger, partnership or other combination (or permit any Subsidiary to do so); nor convey, sell or lease all or substantially all of its assets or business; nor purchase or lease all or substantially all of the assets or
business of another person or entity (or permit any Subsidiary to do so); provided, however, that (i) Borrower may acquire, merge or consolidate with another Person so long as (a) such person or entity is in the same line of business as
Borrower, (b) Borrower or a wholly-owned Subsidiary of Borrower, is the surviving and successor entity of such acquisition, merger or consolidation, (c) the aggregate value of the total cash consideration (including the maximum amount
contractually payable in earn-out obligations) paid and assets transferred in connection with such acquisition, merger or consolidation does not exceed Twenty Million Dollars ($20,000,000) for any single acquisition or series of related
acquisitions, and does not exceed, in the aggregate for all acquisitions, mergers and consolidations during any period of twelve (12) consecutive months, an amount equal to Forty Million Dollars ($40,000,000), (d) the assets acquired, or
owned by the Person acquired, will not be subject to any Lien following the effective date of such acquisition, merger or consolidation, other than any required Lien in favor of Bank and (e) no Event of Default shall have occurred and be
continuing on the effective date thereof or shall result from the consummation of such acquisition, merger or consolidation, (ii) Subsidiaries may merge with Borrower or a Guarantor and (iii) Subsidiaries may liquidate or dissolve, so long
as any remaining assets are transferred to a Borrower or a Guarantor. 
 9.19 Transfers. Not convey, sell, lease,
transfer or otherwise dispose (each, a “Transfer”) all or any portion of any Borrower’s or any Subsidiary’s business or assets except for Transfers: (a) of inventory in the ordinary course of business; (b) of licenses
for the use of the Intellectual Property of Borrower in the ordinary 

  
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 Commercial Credit Agreement 

 
  
 
course of business that are either non-exclusive or that may be exclusive in one or more respects as to a particular field of use, geographic area or limited period of time that do not result in
a legal transfer of title to or all substantial rights in the licensed property under applicable law; (c) of worn out, unneeded or obsolete equipment to non-Affiliated third parties with a value not to exceed the Threshold Amount in any
calendar year; (d) Transfers otherwise permitted pursuant to the covenants in Section 9, including Liens permitted by Section 9.16 and Investments permitted by Section 9.15. 

9.20 Business Activities. Not engage in any business activities or operations substantially different from or unrelated to
Borrower’s present business activities and operations. 
 9.21 Dividends. Not declare or pay any dividends, other
than dividends payable solely in its own common stock, or authorize or make any other distribution with respect to any of its stock now or hereafter outstanding. 
 9.22 Redemptions Of Stock. Not redeem or retire any share of its capital stock for value, except, (i) Borrower may convert any of its convertible securities into other securities pursuant to
the terms of such convertible securities or otherwise in exchange thereof, (ii) Borrower may pay dividends solely in common stock; and (iii) Borrower may repurchase the stock of former employees, directors or consultants pursuant to stock
repurchase agreements (not to exceed Fifty Thousand Dollars ($50,000) in any fiscal year); 
 9.23 Affiliate
Transactions. Not transfer any property to any affiliate, except for value received in the normal course of business and for an amount, including any management fee or fee for services, as would be conducted and charged with an unrelated or
unaffiliated entity, except for (i) transactions that are otherwise permitted between Borrower and its Subsidiaries pursuant to the other provisions of Section 9 of this Agreement. Borrower will not pay any management fee or fee for
services to any affiliate without Bank’s prior written consent. For purposes of this Agreement, “affiliates” of Borrower are (a) those entities in which Borrower has either a controlling interest or a 25% or more ownership
interest and (b) any persons or entities owning 5% or more of the equity interests of Borrower. 
 9.24 Capital
Expenditures. Not, in any period of twelve (12) consecutive months, expend or incur obligations of more than Twelve Million Dollars ($12,000,000) (excluding the aggregate amount of all consideration paid in connection with acquisitions
pursuant to Section 9.18 during such period) for the acquisition of fixed or capital assets, including the current portion of capital indebtedness. Such fixed or capital assets must be utilized in Borrower’s present business activities and
operations. 
 9.25 Lease Obligations. Except in connection with acquisitions permitted pursuant to Section 9.18
hereof, and except in connection with any replacement real property lease where Borrower’s aggregate annual obligations thereunder are equal to or less than Borrower’s aggregate annual obligations under Borrower’s real property lease
in effect immediately prior to such replacement, not, in any single fiscal year of Borrower, enter into any operating lease of real or personal property which would cause Borrower’s aggregate annual obligations under all such real and personal
property leases to exceed Five Hundred Thousand Dollars 

  
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 Commercial Credit Agreement 

 
  
 
($500,000). Each such operating lease shall be of real or personal property utilized by Borrower in its present business activities and operations. 

9.26 Compliance. Not become an “investment company” or a company controlled by an “investment company”, under
the Investment Company Act of 1940 or undertake as one of its or their important activities extending credit to purchase or carry margin stock (as defined in Regulation U of the Board of Governors of the Federal Reserve System), or use the proceeds
of any credit extension for that purpose; fail to meet the minimum funding requirements of ERISA, permit a reportable event or prohibited transaction, as defined in ERISA, to occur; fail to comply with the Federal Fair Labor Standards Act or violate
any other law or regulation, if the violation could reasonably be expected to have a Material Adverse Effect, or permit any of Subsidiaries to do so; withdraw or permit any Subsidiary to withdraw from participation in, permit partial or complete
termination of, or permit the occurrence of any other event with respect to, any present pension, profit sharing and deferred compensation plan which could reasonably be expected to result in any liability of Borrower, including any liability to the
Pension Benefit Guaranty Corporation or its successors or any other governmental agency. 
 9.27 Not have a change in
Borrower’s Chief Executive Officer where the Company’s Board of Directors does not replace such officer with a replacement reasonably acceptable to Bank within ninety (90) days of such change. 

9.28 Further Assurances. Promptly, upon demand by Bank, take such further action and execute all such additional documents,
instruments and agreements in connection with this Agreement as Bank in its reasonable discretion deems necessary, and promptly furnish Bank with such other information concerning its affairs as Bank may request from time to time. 

10. DEFAULT AND ACCELERATION. The term “Event of Default” shall mean the following: 

(a) the use of the proceeds of the Loan in any manner not permitted hereunder; 

(b) the failure of Borrower or any Guarantor to make any payment required under this Agreement or any other Loan Document when due;

 (c) any financial statement or certificate furnished to Bank in connection with this Agreement, or any representation or
warranty made by or for Borrower, any Guarantor or any other party under this Agreement or any other Loan Document, shall prove to be incorrect, false or misleading in any material respect when furnished, made or deemed made. 

(d) (i) the default by any Obligor in the performance of or compliance with the obligations, covenants, undertakings and agreements
set forth in Section 9 hereof (excluding Sections 9.5, 9.7, 9.8, 9.11 and 9.12), or (ii) the default by any Obligor in the performance of or compliance with any other obligation, covenant, undertaking agreement or other provision contained
herein, in any other Loan Document or in any 

  
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 Commercial Credit Agreement 

 
  
 
other agreement with Bank, and with respect to any such default which by its nature can be cured, such default shall continue for a period of ten (10) calendar days from its occurrence.

 (e) any event or circumstance shall occur that has a Material Adverse Effect; 

(f) (i) Borrower and its Subsidiaries, taken as a whole, shall cease to be Solvent; or (ii) any Obligor shall file a voluntary
petition in bankruptcy, or seeking reorganization, in order to effect a plan or other arrangement with creditors or any other relief under the Bankruptcy Reform Act, Title 11 of the United States Code, as amended or recodified from time to time
(“Bankruptcy Code”), or under any state or federal law granting relief to debtors, whether now or hereafter in effect; or (iii) any involuntary petition or proceeding pursuant to the Bankruptcy Code or any other applicable state or
federal law relating to bankruptcy, reorganization or other relief for debtors is filed or commenced against any Obligor, and the same is not dismissed or stayed within thirty (30) days (provided that no credit extensions will be made prior to
the dismissal of such proceeding), or (iv) any Obligor shall file an answer admitting the jurisdiction of the court and the material allegations of any involuntary petition; or (iv) any Obligor shall be adjudicated a bankrupt, or an order
for relief shall be entered against any Obligor by any court of competent jurisdiction under the Bankruptcy Code or any other applicable state or federal law relating to bankruptcy, insolvency, reorganization, arrangement, debt adjustment or other
debtor relief; 
 (g) the assignment by any Obligor for the benefit of such Obligor’s creditors; 

(h) the appointment, or commencement of any proceedings for the appointment, of a receiver, trustee, custodian or similar official for
all or substantially all of any Obligor’s property; 
 (i) except as otherwise permitted pursuant to Section 9.18, the
commencement of any proceeding for the dissolution or liquidation of any Obligor; 
 (j) except as otherwise permitted pursuant
to Section 9.18, the termination or dissolution of any Obligor such as a business entity or trust, or the death of any individual Obligor; 
 (k) the revocation (or purported revocation) of any Guaranty by a Guarantor; 

(l) the failure of any Obligor to comply with any order, judgment, injunction, decree, writ or demand of any court or other public
authority; 
 (m) (i) the filing of a notice of judgment lien against any Obligor which lien is not released within ten
(10) days of filing; or (ii) the recording of any abstract of judgment against any Obligor in any county in which such Obligor has an interest in real property which recording is not released within ten (10) days of filing; or
(iii) the filing, recording or service of a notice of levy, notice to withhold and/or of a writ of attachment or execution, or other like process (including any legal process for taxes), against any Obligor, or the assets of any Obligor, which
levy or writ is not released or vacated within ten (10) days; or (iv) the issuance of a judicial lien against any property of any Obligor, or (v) the entry of a judgment against any Obligor; provided that the entry of a judgment or
judgments for the payment of money shall not be an Event of Default hereunder unless such 

  
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 Commercial Credit Agreement 

 
  
 
judgment or judgments are in an amount, individually or in the aggregate, in excess of the Threshold Amount and remain unsatisfied and unstayed for a period of ten (10) days or more after
the entry thereof. 
 (n) the default in the payment or performance of any Indebtedness (after giving effect to all cure
periods), individually or in the aggregate, in excess of the Threshold Amount, or any defined event of default, under the terms of any contract, agreement, instrument or document (other than any of the Loan Documents) pursuant to which any Obligor
has incurred any Indebtedness in excess of the Threshold Amount to any Person, including Bank, which defined event of default gives the holder of such Indebtedness the right to accelerate the maturity of such Indebtedness and such event of default
is not cured or waived. 
 (o) the sale or transfer of all or substantially all of the assets of an Obligor; or any change of
ownership of any Obligor; or any change in ownership of Borrower of greater than twenty percent (20%) as compared to ownership on the Closing Date (excluding (i) any increased ownership of any existing stockholders as of the Closing Date
and (ii) any changes in ownership resulting from an initial public offering of Borrower’s common stock). 
 Upon the
occurrence of any Event of Default, Bank, in its discretion, may cease making loans or other extensions of credit hereunder and may declare all indebtedness and other obligations in respect to other extensions of credit owing under this Agreement
immediately due and payable; however, upon the occurrence of any Event of Default described in subsections (f), (g), (h), (i) and (j) above, all principal, other extensions of credit, interest, fees, expenses and charges owing under this
Agreement shall automatically become immediately due and payable. Upon the occurrence and during the continuance of an Event of Default, Bank may, at its option, compute the interest rate applicable to Borrower’s obligations hereunder at a per
annum rate equal to two percent (2%) in excess of the applicable interest rate specified in Section 1 above, calculated from the date of the occurrence of such Event of Default until all amounts due and payable hereunder are paid in full,
or until such Event of Default is cured or waived. 
 Upon the occurrence and during the continuance of any Event of Default
Bank shall have all rights, powers and remedies available under each of the Loan Documents, or accorded by law, including without limitation the right to resort to any or all security for the obligations and any credit subject hereto and to exercise
any or all of the rights of a beneficiary or secured party pursuant to applicable law. 
 11. DISPUTES. To the extent
permitted by law, in connection with any claim, cause of action, proceeding or other dispute concerning the loan documents (each, a “Claim”), Borrower and Bank expressly, intentionally and deliberately waive any right each may otherwise
have to trial by jury. In the event that the waiver of jury trial set forth in the previous sentence is not enforceable under the law applicable to this Agreement, Borrower and Bank agree that any Claim, including any question of law or fact
relating thereto, shall, at the written request of Borrower or Bank, be determined by judicial reference pursuant to the law applicable to this Agreement. Borrower and Bank shall select a single neutral referee, who shall be a retired state or
federal judge. In the event that Borrower and Bank cannot agree upon a referee, the court shall appoint the referee. The referee shall report a statement of decision to the court. Nothing in this section shall limit the right of Borrower or Bank at
any time to exercise self-help remedies, foreclose against collateral or obtain provisional remedies. Borrower and Bank shall bear the fees and expenses of the referee equally, unless the 

  
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 Commercial Credit Agreement 

 
  
 
referee orders otherwise. The referee shall also determine all issues relating to the applicability, interpretation and enforceability of this section. Borrower and Bank acknowledge that if a
referee is selected to determine the Claims, then the Claims will not be decided by a jury. 
 12. MISCELLANEOUS
PROVISIONS. 
 12.1 Bank’s Rights. The rights, powers and remedies given to Bank hereunder shall be cumulative
and not alternative and shall be in addition to all rights, powers and remedies given to Bank by law or equity against Borrower or any other person or entity, including but not limited to Bank’s rights of setoff and banker’s lien.

 12.2 Credit information. Bank is authorized to release information concerning Borrower’s credit record and
financial condition to credit bureaus, credit reporting agencies, credit reporters, and guarantors hereunder, or pursuant to an order from a governmental agency or court, or among departments of Bank, and its affiliates. Bank is authorized to obtain
credit reports, copies of tax returns and other information regarding Borrower and to take such other steps as Bank deems appropriate to verify the information provided in connection herewith. 

12.3 Waiver. Bank may act, fail to act or delay any action to enforce its rights hereunder, and no such action, inaction or delay
shall constitute or be interpreted as a waiver of its rights under this Agreement. 
 12.4 Assignment. The benefits of
this Agreement shall inure to the successors and assigns of Bank and the permitted successors and assigns of Borrower, but any attempted assignment by Borrower without Bank’s prior written consent shall be null and void. 

12.5 Applicable Law. This Agreement and all other agreements and instruments required by Bank in connection herewith shall be
governed by and construed in accordance with the laws of the State of California. Borrower and any successors or assigns consent to the jurisdiction of any competent court thereof and consent to service of process by any authorized means.

 12.6 USA Patriot Act Notice. Bank is subject to the USA Patriot Act and hereby notifies Borrower that pursuant to the
requirements of that Act, Bank is required to obtain, verify and record information that identifies Borrower, which information includes the name and address of Borrower and other information that will allow Bank to identify Borrower in accordance
with that Act 
 12.7 Additional Agreements. To the full extent permitted by law, Borrower waives demand and notice of
every kind; and the right to assert the defense of any statute of limitations. If this Agreement is signed by more than one party, the liability of each shall be joint and several. Bank may delay the credit of any item of payment based upon
Bank’s schedule of funds availability, and interest under the Loan shall accrue until the funds are deemed collected. 

12.8 Notices. Unless otherwise provided for in this Agreement, any notices or other communications provided for or allowed
hereunder shall be effective only when given by one of the following methods and addressed to the respective party at its address given with the signatures at the end of this Agreement and shall be considered to have been validly given:
(a) upon delivery; (b) on the third business day after mailing, if mailed, first class postage prepaid, with the United States Postal Service; (c) on the next business day, if sent by

  
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 Commercial Credit Agreement 

 
  
 
overnight courier service of recognized standing; (d) upon electronic confirmation of receipt, if faxed or (e) upon telephoned confirmation of receipt, if e-mailed. 

12.9 Modification. No amendment, alteration or change in any provision of this Agreement shall be effective unless same is in
writing signed by the parties hereto. 
 12.10 Counterparts. Borrower and Bank may execute one or more counterparts to
this Agreement, each of which shall be an original, and all of such counterparts when taken together shall constitute one and the same agreement. 
 12.11 Confidentiality. In handling any confidential information, Bank and all employees and agents of Bank shall exercise the same degree of care that Bank exercises with respect to its own
proprietary information of the same types to maintain the confidentiality of any non-public information thereby received or received pursuant to this Agreement except that disclosure of such information may be made (i) to the subsidiaries or
Affiliates of Bank or Borrower in connection with their present or prospective business relations with Borrower, (ii) to prospective transferees or purchasers of any interest in the credit extensions, provided that they have entered into a
comparable confidentiality agreement in favor of Borrower and have delivered a copy to Borrower, (iii) as required by law, regulations, rule or order, subpoena, judicial order or similar order, (iv) as may be required in connection with
the examination, audit or similar investigation of Bank and (v) as Bank may determine in connection with the enforcement of any remedies hereunder. Confidential information hereunder shall not include information that either: (a) is in the
public domain or in the knowledge or possession of Bank when disclosed to Bank, or becomes part of the public domain after disclosure to Bank through no fault of Bank; or (b) is disclosed to Bank by a third party, provided Bank does not have
actual knowledge that such third party is prohibited from disclosing such information. 
 13. DISBURSEMENT. Bank is
authorized to disburse the proceeds of the Loan as follows: 
 Deposit the proceeds of the above referenced Loan into
Borrower’s account no. 3120004386 or such other accounts as Borrower may have with Bank from time to time, and in such amounts as may be requested verbally or in writing. Repayment of these disbursements shall remain the obligation of Borrower.

 Alternatively, wire transfer the proceeds of the above referenced obligation from time to time and in such amounts as may be
requested verbally or in writing. 
 14. AUTOMATIC CHARGE. Borrower agrees that each payment of any amounts owing
pursuant to this Agreement shall be made by automatic deduction from Borrower’s checking, savings or any other account with Bank, excluding all Client Trust Accounts. Bank may also make deductions from any of Borrower’s other deposit
accounts to recover any amounts owing pursuant to this Agreement, excluding all Client Trust Accounts. 
 15. AUTHORIZED
SIGNERS. Any one of the following persons is/are authorized to sign any of the Loan Documents: 
  

					
	Name	  	Title	 	Specimen Signature
	Richard T. Green	  	CFO	 	/s/ Rich Green
	Kim Jackson	  	Secretary	 	/s/ Kim Jackson

  
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 Commercial Credit Agreement 

 
  
 THIS AGREEMENT is duly executed by Borrower and Bank as of August 31, 2010. 

“Borrower” 
  

			
	WAGEWORKS, INC.
		
	By:	 	/s/ Richard T. Green
	Title:	 	CFO

			
	Printed Name:	 	Richard T. Green

 Address where notices to Borrower are to
be sent: 
 1100 Park Place, 4th Floor 

San Mateo, CA 94403 
 Fax Number:
(    )         -         
 Telephone Number: (    )         -         

Email Address:
                                 

“Bank” 
  

			
	UNION BANK, N.A.
		
	By:	 	/s/ James B. Goudy
	Title:	 	V.P.

			
	Printed Name:	 	James B. Goudy

 Address where notices to Bank are to be
sent: 
 Union Bank, N.A. 
 601 East
Potrero Grande Drive 
 Monterey Park, California 91754 
 Attn: Commercial Loan Operations 
 Facsimile No.: (323) 720-2252 

with a copy to: 

  
 -32-

 Commercial Credit Agreement 

 
  
 Union Bank, N.A. 
 Northern California Commercial Banking Group 

99 Almaden Boulevard, Suite 200 
 San Jose,
California 95113 
 Attention: J. William Bloore and James B. Goudy 
 Facsimile: (408) 280-7163 
 For advances and paydowns, call Commercial Loan Operations at
(800) 999-4406. 
 CONTINUING GUARANTY 
 1. Obligations Guarantied. For consideration, the adequacy and sufficiency of which is acknowledged, the undersigned (“Guarantor”) unconditionally guaranties and promises (a) to pay
to UNION BANK, N.A. (“Bank”) on demand, in lawful United States money, all Obligations to Bank of WAGEWORKS, INC., a Delaware corporation (“Borrower”) and (b) to perform all undertakings of Borrower in connection with the
Obligations. “Obligations” is used in its most comprehensive sense and includes any and all debts, liabilities, rental obligations, and other obligations and liabilities of every kind of Borrower to Bank, whether made, incurred or created
previously, concurrently or in the future, whether voluntary or involuntary and however arising, whether incurred directly or acquired by Bank by assignment or succession, whether due or not due, absolute or contingent, liquidated or unliquidated,
legal or equitable, whether Borrower is liable individually or jointly or with others, whether incurred before, during or after any bankruptcy, reorganization, insolvency, receivership or similar proceeding (“Insolvency Proceeding”), and
whether recovery thereof is or becomes barred by a statute of limitations or is or becomes otherwise unenforceable, together with all expenses of, for and incidental to collection, including reasonable attorneys’ fees. 

2. [Reserved]. 
 3. Continuing Nature/Revocation/Reinstatement. This Guaranty is in addition to any other guaranties of the Obligations, is continuing and covers all Obligations, including those arising under
successive transactions which continue or increase the Obligations from time to time, renew all or part of the Obligations after they have been satisfied, or create new Obligations. Revocation by one or more signers of this Guaranty or any other
guarantors of the Obligations shall not (a) affect the obligations under this Guaranty of a non-revoking Guarantor, (b) apply to Obligations outstanding when Bank receives written notice of revocation, or to any extensions, renewals,
readvances, modifications, amendments or replacements of such Obligations, or (c) apply to Obligations, arising after Bank receives such notice of revocation, which are created pursuant to a commitment existing at the time of the revocation,
whether or not there exists an unsatisfied condition to such commitment or Bank has another defense to its performance. All of Bank’s rights pursuant to this Guaranty continue with respect to amounts previously paid to Bank on account of any
Obligations which are thereafter restored or returned by Bank, whether in an Insolvency Proceeding of Borrower or for any other reason, all as though such amounts had not been paid to Bank; and Guarantor’s liability under this Guaranty (and all
its terms and provisions) shall be reinstated and revived, notwithstanding any surrender or cancellation of this Guaranty. Bank, at its sole discretion, may determine whether any amount paid to it must be restored or returned; provided, however,
that if Bank elects to contest any claim for return or restoration, Guarantor agrees to indemnify and hold Bank harmless from and against all costs and expenses, including reasonable attorneys’ fees, expended or incurred by Bank in connection
with such contest. If any Insolvency Proceeding is 

  
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 Commercial Credit Agreement 

 
  
 
commenced by or against Borrower or Guarantor, at Bank’s election, Guarantor’s obligations under this Guaranty shall immediately and without notice or demand become due and payable,
whether or not then otherwise due and payable. 
 4. Authorization. Guarantor authorizes Bank, without notice and without
affecting Guarantor’s liability under this Guaranty, from time to time, whether before or after any revocation of this Guaranty, to (a) renew, compromise, extend, accelerate, release, subordinate, waive, amend and restate, or otherwise
amend or change, the interest rate, time or place for payment or any other terms of all or any part of the Obligations; (b) accept delinquent or partial payments on the Obligations; (c) take or not take security or other credit support for
this Guaranty or for all or any part of the Obligations, and exchange, enforce, waive, release, subordinate, fail to enforce or perfect, sell, or otherwise dispose of any such security or credit support; (d) apply proceeds of any such security
or credit support and direct the order or manner of its sale or enforcement as Bank, at its sole discretion, may determine; and (e) release or substitute Borrower or any guarantor or other person or entity liable on the Obligations. 

5. Waivers. To the maximum extent permitted by law, Guarantor waives (a) all rights to require Bank to proceed against
Borrower, or any other guarantor, or proceed against, enforce or exhaust any security for the Obligations or to marshal assets or to pursue any other remedy in Bank’s power whatsoever; (b) all defenses arising by reason of any disability
or other defense of Borrower, the cessation for any reason of the liability of Borrower, any defense that any other indemnity, guaranty or security was to be obtained, any claim that Bank has made Guarantor’s obligations more burdensome or more
burdensome than Borrower’s obligations, and the use of any proceeds of the Obligations other than as intended or understood by Bank or Guarantor; (c) all presentments, demands for performance, notices of nonperformance, protests, notices
of dishonor, notices of acceptance of this Guaranty and of the existence or creation of new or additional Obligations, and all other notices or demands to which Guarantor might otherwise be entitled; (d) all conditions precedent to the
effectiveness of this Guaranty; (e) all rights to file a claim in connection with the Obligations in an Insolvency Proceeding filed by or against Borrower; (f) all rights to require Bank to enforce any of its remedies; and (g) any
setoff, defense or counterclaim against Bank, (h) the benefit of any act or omission by Bank which directly or indirectly results in or aids the discharge of Borrower from any of the Obligations by operation of law or otherwise; (i) the
benefit of California Civil Code Section 2815 permitting the revocation of this Guaranty as to future transactions and the benefit of California Civil Code Sections 2809, 2810, 2819, 2839, 2845, 2848, 2849, 2850, 2899 and 1432 with respect to
certain suretyship defenses, provided, that with respect to Sections 2847, 2848 and 2849 of the California Civil Code, such waivers shall only be effective until all obligations of Bank to extend credit to Borrower have terminated and until all of
the Obligations have been indefeasibly paid in full; and (j) until the Obligations are fully and indefeasibly satisfied and paid, in cash, with such payment not subject to return: (i) all rights of subrogation, contribution,
indemnification or reimbursement, (ii) all rights of recourse to any assets or property of Borrower, or to any collateral or credit support for the Obligations, (iii) all rights to participate in or benefit from any security or credit
support Bank may have or acquire, and (iv) all rights, remedies and defenses Guarantor may have or acquire against Borrower. Guarantor understands that if Bank forecloses by trustee’s sale on a deed of trust securing any of the
Obligations, Guarantor would then have a defense preventing Bank from thereafter enforcing Guarantor’s liability for the unpaid balance of the secured Obligations. This defense arises because the trustee’s sale would eliminate
Guarantor’s right of subrogation, and therefore Guarantor would be unable to obtain reimbursement from Borrower. Guarantor specifically waives this defense and all rights and defenses that Guarantor may have

  
 -34-

 Commercial Credit Agreement 

 
  
 
because the Obligations are secured by real property. This means, among other things: (a) Bank may collect from Guarantor without first foreclosing on any real or personal property
collateral pledged by Borrower; and (b) if Bank forecloses on any real property collateral pledged by Borrower: (i) the amount of the Obligations may be reduced only by the price for which the collateral is sold at the foreclosure sale,
even if the collateral is worth more than the sale price; and (ii) Bank may collect from Guarantor even if Bank, by foreclosing on the real property collateral, has destroyed any right Guarantor may have to collect from Borrower. This is an
unconditional and irrevocable waiver of any rights and defenses Guarantor may have because the Obligations are secured by real property. These rights and defenses include, but are not limited to, any rights or defenses based upon Section 580a,
580b, 580d or 726 of the California Code of Civil Procedure or similar laws in other states. 
 6. Guarantor to Keep
Informed. Guarantor warrants having established with Borrower adequate means of obtaining, on an ongoing basis, such information as Guarantor may require concerning all matters bearing on the risk of nonpayment or nonperformance of the
Obligations. Guarantor assumes sole, continuing responsibility for obtaining such information from sources other than from Bank. Bank has no duty to provide any information to Guarantor. 

7. Subordination. All obligations of Borrower to Guarantor which presently or in the future may exist (“Guarantor’s
Claims”) are hereby subordinated to the Obligations, provided, that so long as no Event of Default exists under the Loan Agreement, or would result after giving effect thereto, Borrower may make regularly schedule payments of principal and
interest with respect to such obligations. At Bank’s request, Guarantor’s Claims will be enforced and performance thereon received by Guarantor only as a trustee for Bank, and Guarantor will promptly pay over to Bank all proceeds recovered
for application to the Obligations without reducing or affecting Guarantor’s liability under other provisions of this Guaranty. Any lien or charge on the property securing the obligations, and on the revenue and income to be realized therefrom,
which Guarantor may have or obtain shall be, and such lien or charge hereby is, subordinated to the lien or charge of the Obligations on such property. Guarantor agrees that it shall file any and all claims against Borrower in any Insolvency
Proceeding in which the filing of claims is required by law on any indebtedness of Borrower to Guarantor, and will assign to Bank all rights of Guarantor. If Guarantor does not file such claim, Bank, as attorney-in-fact for Guarantor, is authorized
to do so in the name of Guarantor or, in Bank’s sole discretion, to assign the claim and to file a proof of claim in the name of Bank or Bank’s nominee. In all such cases, whether in bankruptcy or otherwise, the person or persons
authorized to pay such claim shall pay to Bank the full amount of any such claim, and, to the full extent necessary for that purpose, Guarantor assigns to Bank all of Guarantor’s rights to any such payments or distributions to which Guarantor
would otherwise be entitled. All monies or other property of Guarantor at any time in Bank’s possession may be held by Bank as security for any and all obligations of Guarantor to Bank no matter how or when arising, whether absolute or
contingent, whether due or to become due, and whether under this Guaranty or otherwise. Guarantor also agrees that Bank books and records showing the account between Bank and Borrower or any other guarantor shall be admissible in any action or
proceeding and shall be binding upon 

  
 -35-

 Commercial Credit Agreement 

 
  
 
Guarantor for the purpose of establishing the terms set forth therein and shall constitute prima facie proof thereof. 
 8. Security. To secure Guarantor’s obligations under this Guaranty, other than for payment of Obligations which are subject to the disclosure requirements of the United States Truth in Lending
Act, Guarantor grants Bank a security interest in all moneys, general and special deposits, instruments and other property of Guarantor at any time maintained with or held by Bank, and all proceeds of the foregoing. Notwithstanding anything in this
Guaranty or any rights arising between Guarantor and Bank in any other agreement or by operation of law or statute, Bank hereby waives any lien or right of setoff with respect to any Client Trust Accounts (as defined in the Loan Agreement), except
for any lien or right of setoff securing Bank’s standard fees with respect to the maintenance of such Client Trust Accounts. 
 9. Authorization. Where Borrower is a corporation, partnership or other entity, Bank need not inquire into or verify the powers of Borrower or authority of those acting or purporting to act on
behalf of Borrower, and this Guaranty shall be enforceable with respect to any Obligations Bank grants or creates in reliance on the purported exercise of such powers or authority. 

10. Assignments. Without notice to Guarantor, Bank may assign the Obligations and this Guaranty, in whole or in part, and may
disclose to any prospective or actual purchaser of all or part of the Obligations any and all information Bank has or acquires concerning Guarantor, this Guaranty and any security for this Guaranty. 

11. Counsel Fees and Costs. The prevailing party shall be entitled to attorneys’ fees (including a reasonable allocation for
Bank’s internal counsel) and all other costs and expenses which it may incur in connection with the enforcement or preservation of its rights under, or defense of, this Guaranty or in connection with any other dispute or proceeding relating to
this Guaranty, whether or not incurred in any Insolvency Proceeding, arbitration, litigation or other proceeding. 
 12.
Married Guarantors. By executing this Guaranty, a Guarantor who is married agrees that recourse may be had against his or her separate and community property for all his or her obligations under this Guaranty. 

13. Multiple Guarantors/Borrowers. When there is more than one Borrower named herein or when this Guaranty is executed by more
than one Guarantor, then the words “Borrower” and “Guarantor”, respectively, shall mean all and any one or more of them, and their respective successors and assigns, including debtors-in-possession and bankruptcy trustees; words
used herein in the singular shall be considered to have been used in the plural where the context and construction so requires in order to refer to more than one Borrower or Guarantor, as the case may be. 

  
 -36-

 Commercial Credit Agreement 

 
  
 14. Integration/Severability/Amendments. This Guaranty together with the Commercial Credit Agreement dated as of the date hereof by and between Borrower and Bank, and the other Loan Documents (as
defined therein) is intended by Guarantor and Bank as the complete, final expression of their agreement concerning its subject matter. It supersedes all prior understandings or agreements with respect thereto and may be changed only by a writing
signed by Guarantor and Bank. No course of dealing, or parole or extrinsic evidence shall be used to modify or supplement the express terms of this Guaranty. If any provision of this Guaranty is found to be illegal, invalid or unenforceable, such
provision shall be enforced to the maximum extent permitted, but if fully unenforceable, such provision shall be severable, and this Guaranty shall be construed as if such provision had never been a part of this Guaranty, and the remaining
provisions shall continue in full force and effect. 
 15. Joint and Several. If more than one Guarantor signs this
Guaranty, the obligations of each under this Guaranty are joint and several, and independent of the Obligations and of the obligations of any other person or entity. A separate action or actions may be brought and prosecuted against any one or more
guarantors, whether action is brought against Borrower or other guarantors of the Obligations, and whether Borrower or others are joined in any such action. 
 16. Notice. Any notice, including notice of revocation, given by any party under this Guaranty shall be effective only upon its receipt by the other party and only if (a) given in writing and
(b) personally delivered or sent by United States mail, postage prepaid, and addressed to Bank or Guarantor at their respective addresses for notices indicated below. Guarantor and Bank may change the place to which notices, requests, and other
communications are to be sent to them by giving written notice of such change to the other. 
 17. Governing Law. This
Guaranty shall be governed by and construed according to the laws of the State of California, and, except as provided in any addendum hereto, Guarantor submits to the non-exclusive jurisdiction of the state or federal courts in said state.

 18. Disputes. To the extent permitted by law, in connection with any claim, cause of action, proceeding or other
dispute concerning this Guaranty (each, a “Claim”), Bank and Guarantor expressly, intentionally and deliberately waive any right each may otherwise have to trial by jury. In the event that the waiver of jury trial set forth in the previous
sentence is not enforceable under the law applicable to this Guaranty, Bank and Guarantor agree that any Claim, including any question of law or fact relating thereto, shall, at the written request of either Bank or Guarantor, be determined by
judicial reference pursuant to the state law applicable to this Guaranty. Bank and Guarantor shall select a single neutral referee, who shall be a retired state or federal judge. In the event that Bank and Guarantor cannot agree upon a referee, the
court shall appoint the referee. The referee shall report a statement of decision to the court. Nothing in this paragraph shall limit the right of Bank or Guarantor at any time to exercise self-help remedies, foreclose against collateral or obtain
provisional remedies. Bank and Guarantor shall bear the fees and expenses of the referee equally, unless the referee orders otherwise. The referee shall also determine all issues relating to the applicability, interpretation and enforcement of this
paragraph. Bank and Guarantor acknowledge that if a referee is selected to determine the Claims, then the Claims will not be decided by a jury. 
 19. Guarantor Provisions. (a) Guarantor shall make all payments due Bank under this Guaranty free and clear of any present or future taxes, levies, assessments, imposts, fees, charges,
restrictions, and conditions whatsoever (“Tax”) now or hereafter imposed by any applicable treaty, law 

  
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 Commercial Credit Agreement 

 
  
 or regulation. However, if Guarantor is legally required to deduct any Tax from payments otherwise due under this Guaranty, then Guarantor shall: (i) on demand pay Bank in United States Dollars such
additional amount as may be necessary so that Bank will receive the payment to which Bank would otherwise be entitled if no Tax had been imposed or deducted and (ii) forward to Bank within 90 days of a Tax payment, documentation acceptable to
Bank evidencing such Tax payment. (b) If Borrower agreed to pay the Obligations in currency other than that which at the time of payment is the official currency of the place where such payment is due, Guarantor, shall, at Bank’s
discretion, either, (i) pay Bank such amount in the currency and place as agreed to by Borrower or (ii) pay Bank in the United States, at the place designated by Bank, the equivalent amount denominated in United States Dollars (based on
Bank’s rate for sales of the currency in which Borrower agreed to pay such Obligations prevailing at the time Guarantor makes the payment). To the extent payment of any sum of any currency required to be paid hereunder is restricted by
applicable law, Guarantor hereby indemnifies and holds Bank harmless from any loss or cost of whatever kind caused by such restriction, and undertakes on a continuing best efforts basis to take all appropriate lawful actions, with a view to lifting
such restriction, in order to obtain and pay to Bank the full amount of the currency otherwise required hereunder. The foregoing obligation and indemnity constitutes a separate and independent obligation of Guarantor and shall continue in full force
and effect notwithstanding any judgment or order enforcing Guarantor’s other obligations hereunder. (c) If any judgment or order by any court, governmental agency, arbitration panel, or the like makes an award to Bank under this Guaranty
in other than United States Dollars, Guarantor shall also, in addition to the award, pay Bank in United States Dollars, the amount by which (i) the original United States Dollar amount due Bank exceeds (ii) the award in United States
Dollars after conversion from the other currency (at rates then generally used by Bank in calculating such conversions). (d) Guarantor hereby appoints Borrower as Guarantor’s agent for service of process in the state designated in
Section 17, above. Any service upon such agent will be valid as if Guarantor had been legally served in the jurisdiction of Guarantor’s principal place of business (or Guarantor’s residence if Guarantor is an individual). Nothing
herein shall affect Bank’s right to serve Guarantor with legal process in any other manner permitted by applicable law. (e) If Guarantor has or acquires any immunity from jurisdiction of any court, or if Guarantor’s property has or
acquires immunity from any legal process, Guarantor hereby irrevocably waives such immunity with respect of its obligations under this Guaranty and, without limiting the generality of the foregoing, Guarantor agrees that such waiver shall be
effective and irrevocable to the fullest extent permitted under applicable law. (f) Guarantor represents and warrants to Bank that all authorizations and approvals (including any exchange control or approval), or other action by, and any notice
to or filing with, any governmental authority or regulatory body required for Guarantor’s due execution, delivery and performance of this Guaranty have been duly obtained or made and will continue in full force and effect until the full
discharge of Guarantor’s liabilities under this Guaranty. (g) Guarantor represents and warrants to Bank that the following information is true, complete and correct: 
 Guarantor’s type of entity: LIMITED LIABILITY COMPANY 
 Guarantor’s
jurisdiction of organization: DELAWARE 
 Guarantor’s chief place of business/address: 

1100 Park Place, 4th Floor, San Mateo, CA 94403 
 Name and address of Guarantor’s agent for service of process: 
 WageWorks,
Inc., 
 1100 Park Place, 4th Floor 
 San Mateo, CA 94403 
 [Remainder of Page Left Blank] 

  
 -38-

 Commercial Credit Agreement 

 
  
 Executed as of August 31, 2010. Guarantor acknowledges having received a copy of this Guaranty and having made each waiver contained in this Guaranty with full knowledge of its consequences.

 MHM RESOURCES LLC 
  

			
	By:	 	/s/ Rich T. Green
	Title:	 	Managing Member
	Printed Name:	 	Richard T. Green

 Address where notices to
Guarantor are to be sent: 
 1100 Park Place, 4th Floor 
 San Mateo, CA 94403 
 Fax Number: 

Telephone Number: 

Email Address: 

  
 -39-

 Commercial Credit Agreement 

 
  
 CERTIFICATE OF 
 THE CHIEF FINANCIAL OFFICER OF 

WAGEWORKS, INC. 
 I, Richard T. Green, the duly appointed, acting and incumbent Chief Financial Officer of WAGEWORKS, INC., a Delaware corporation (“Company”), on behalf of the Company, hereby represent, warrant,
and certify as set forth herein in connection with the loans and other financial accommodations being made to Company by UNION BANK, N.A. (“Bank”), under or in connection with that certain Commercial Credit Agreement dated as of
August 31, 2010 (as amended, restated, supplemented or otherwise modified from time to time, the “Loan Agreement”) by and between the Company and Bank and the other Loan Documents (as defined in the Loan Agreement). All capitalized
terms used in this Certificate and not otherwise defined herein shall have the respective meanings given to them in the Loan Agreement. 
 I have reviewed the terms and conditions of the Loan Agreement and the definitions and provisions contained in the Loan Agreement, and, in my opinion, have made, or have caused to be made under my
supervision, such examination or investigation as is necessary to enable me to express an informed opinion, and to provide a certification, as to the matters referred to herein. 

As of the Closing Date: 
 1. the financial statements previously delivered to Bank are true and correct and fairly present in all material respects the financial condition of Company as of the dates thereof and for the periods
presented therein; 
 2. since December 31, 2009, there has been no Material Adverse Effect; 

3. after giving effect to (a) the Revolving Loan, and (b) the payment and accrual of all transaction costs in connection with
the foregoing, the Company will be Solvent and the Company is in full compliance with each of the financial covenants and ratios set forth in Loan Agreement; 
 4. each of the representations and warranties of Company contained in any of the Loan Documents are true and correct in all material respects on and as of the Closing Date as though made on and as of such
date, and no event has occurred and is continuing, or would result from any requested Loan as of the Closing Date, that constitutes or would constitute a Default or an Event of Default; 

5. except as otherwise indicated on a schedule to the Loan Agreement, or as otherwise consented to by Bank, the Company has delivered to
Bank true and correct copies of all documents required to be delivered to Bank pursuant to the Loan Agreement, all such documents are complete and correct on and as of the Closing Date, and each and every other contingency to the closing of the
transactions contemplated by the Loan Documents has been performed; 
 6. there is no litigation, action, suit, investigation,
or other arbitral, administrative, or judicial proceeding pending or, to the best of the knowledge of the undersigned, threatened which could reasonably be expected to (x) result in a Material Adverse Effect or (y) restrain or enjoin,
impose materially burdensome conditions on, or otherwise materially and adversely affect the ability of Borrower or any Guarantor to fulfill its obligations under the Loan Documents to which it is a party; or (z) materially and adversely affect
the rights and remedies of Bank under the Loan Documents; 
 7. the Company and the Guarantor have received all approvals,
consents, and waivers, and have made or given all necessary filings and notices as shall be required to consummate the transactions contemplated by the Loan Agreement and the other Loan Documents without the occurrence of any default under, conflict
with, or violation of (x) any applicable law or (y) any agreement, document, or instrument to which the Company or any Subsidiary is a party or by which any of them or their respective properties is bound, except for such approvals,
consents, waivers, filings, and notices the receipt, making, or giving of which would not reasonably be likely to (1) have a Material Adverse Effect, or (2) restrain or enjoin, impose materially burdensome conditions on, or otherwise
materially and adversely affect the ability of Borrower or any Guarantor to fulfill its obligations under the Loan Documents; and 
 8. no Liens have arisen or been granted with respect to the Company’s assets or properties other than Permitted Liens. 
 [Remainder of Page Left Blank] 

  
 -40-

 Commercial Credit Agreement 

 
  
 IN WITNESS WHEREOF, this Certificate has been executed as of August 31, 2010. 

WageWorks, Inc. 

/s/ Richard T.
Green                                        
     
 By: Richard T. Green, Chief Financial Officer, 

  
 -41-

 Commercial Credit Agreement 

 
  
 THIS SECURITY AGREEMENT (this “Agreement”) is executed at San Jose, California as of August 31, 2010 by WAGEWORKS, INC., a Delaware corporation (“Borrower”)
and MHM RESOURCES, LLC, a Delaware limited liability company (“Guarantor” or, together with Borrower, each herein called a “Debtor” and collectively, the “Debtors”). 

As security for the payment and performance of all of each Debtor’s obligations to UNION BANK, N.A., (herein called
“Bank”), regardless of the manner in which or the time at which such obligations arose or shall arise, whether direct or indirect, alone or with others, or absolute or contingent, each Debtor hereby grants a continuing security
interest in, and collaterally assigns and transfers to Bank, the following personal property, whether or not delivered to or in the possession or control of Bank or its agents, wherever located and whether now or hereafter owned or in existence, and
all proceeds thereof (hereinafter called the “Collateral”): 
 All of each Debtor’s right title and
interest in and to the following property: all cash, cash equivalents, accounts, bank and deposit accounts (including any control account, disbursement account and any other bank accounts), chattel paper, instruments, books and records, personal
property aspects of leasehold estates in real property, contract rights, general intangibles (including all intellectual property, stock, claims, contract rights, and choses in action), goods, equipment, inventory, documents, certificates of title,
deposit accounts, returned or repossessed goods, fixtures, farm products, livestock, crops, timber, minerals (including oil and gas) and mineral rights, commercial tort claims, insurance claims, rights and policies, letter of credit rights,
investment property, patents, trademarks, copyrights and other intellectual property and intellectual property rights, supporting obligations, and the proceeds (including insurance proceeds), products, parts, accessories, attachments, accessions,
replacements, substitutions, additions, and improvements of or to each of the foregoing. 
 Notwithstanding anything in this
Agreement, the Collateral does not include (i) more than 65% of the issued and outstanding voting capital stock of any Subsidiary that is organized in a jurisdiction other than the United States or any state or territory thereof, to the extent
that granting of a lien therein by Borrower to Bank would result in a material adverse tax consequence for the Borrower. or (ii) the Client Trust Accounts 
 Entities executing this Security Agreement as a Debtor agree not to change their state of organization, principal place of business or name, as identified below, without providing Bank with written notice
as required pursuant to the terms of the Loan Agreement: 
  

			
	 LEGAL NAME OF DEBTOR
	  	 STATE OF ORGANIZATION/PRINCIPAL

PLACE OF
BUSINESS                                  

	 WAGEWORKS, INC.
	  	 Delaware/
 1100 Park Place,
4th Floor
 San Mateo, CA 94403

		
	 MHM RESOURCES, LLC
	  	 Delaware/
 1100 Park Place,
4th Floor
 San Mateo, CA 94403

 This Agreement and the security interests security interest herein are made in conjunction with that certain Commercial Credit Agreement, dated as of the date hereof, by and between Borrower and Bank, as
the same may be amended, renewed, extended, supplemented, restated, replaced or otherwise modified or in effect from time to time (the “Loan Agreement”). Capitalized terms not otherwise defined herein have the meanings given to such terms
in the Loan Agreement. 

  
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 Commercial Credit Agreement 

 
  
 AGREEMENT 
 1. The term “credit” or “indebtedness” is
used throughout this Agreement in its broadest and most comprehensive sense. Credit may be granted at the request of any one Debtor without further authorization by or notice to any other Debtor. Collateral shall be security for all nonconsumer
indebtedness of each Debtor to Bank in accordance with the terms and conditions herein. 
 2. Each Debtor will: (a) pay
when due all indebtedness to Bank; (b) execute such other documents and do such other acts and things as Bank may from time to time require to establish and maintain a valid perfected security interest in Collateral, including payment of all
costs and fees in connection with any of the foregoing when deemed necessary by Bank; (c) furnish Bank such information concerning Debtors and Collateral as Bank may from time to time request, including but not limited to current financial
statements; (d) keep Collateral separate and identifiable where such Collateral is currently located and permit Bank and its representatives to inspect Collateral and/or records pertaining thereto from time to time during normal business hours;
(e) not sell, assign or create or permit to exist any lien on or security interest in Collateral in favor of anyone other than Bank except as expressly permitted under the Loan Agreement, and at Debtor’s expense upon Bank’s request
remove any unauthorized lien or security interest and defend any claim affecting the Collateral; (f) pay all charges against Collateral prior to delinquency including but not limited to taxes, assessments, encumbrances, insurance and diverse
claims, and upon Debtor’s failure to do so Bank may pay any such charge as it deems necessary and add the amount paid to the indebtedness of Debtor hereunder; (g) protect, defend and maintain the Collateral and the perfected security
interest of Bank and initiate, commence and maintain any action or proceeding to protect the Collateral; (h) reimburse Bank for any expenses, including but not limited to reasonable attorneys’ fees and expenses (including the allocated
costs of Bank’s in-house counsel and legal staff) incurred by Bank in seeking to protect, collect or enforce any rights in Collateral; (i) when required, provide insurance in form and amounts and with companies acceptable to Bank and when
required, assign the policies or the rights thereunder to Bank; (j) maintain Collateral in good condition and not use Collateral for any unlawful purpose; (k) perform all of the obligations of the Debtor under the Collateral and save Bank
harmless from the consequence of any failure to do so; (i) at its own expense, upon request of Bank, notify any parties obligated to Debtor on any Collateral to make payment to Bank and Debtor hereby irrevocably grants Bank power of attorney to
make said notifications and collections; (m) cooperate with Bank in perfecting all security interests granted herein and in obtaining such agreements from third parties as Bank deems necessary, proper or convenient in connection with the
preservation, perfection or enforcement of any of its rights hereunder or under the other Loan Documents; and (n) permit Bank to exercise its rights and powers hereunder and under the other Loan Documents. Each Debtor hereby appoints Bank as
its true and lawful attorney in fact, and authorizes Bank, to perform any of the following powers, which are coupled with an interest, are irrevocable until termination of this Agreement and may be exercised from time to time by Bank’s officers
and employees, or any of them, whether or not any Debtor is in default: (a) to perform any obligation of Debtors hereunder in a Debtor’s name or otherwise following any Debtor’s failure to do so; (b) to exercise all rights,
powers and remedies which a Debtor would have, but for this Agreement, with respect to all Collateral subject hereto; (c) to do all acts and things and execute all documents in the name of Debtor or otherwise, deemed by Bank as necessary,
proper and convenient in connection with the preservation, protection, perfection of Collateral or its value or Bank’s security interest therein or, after default, enforcement of its rights hereunder, including transferring any Collateral into
its own name and receiving the income thereon as additional security hereunder. Bank does not assume any of the obligations arising under the Collateral. Debtor agrees in general to indemnify Bank against, and hold Bank

  
 -43-

 Commercial Credit Agreement 

 
  
 
harmless from, any and all losses, claims, demands, liabilities and expenses of every kind caused by property subject hereto, unless such losses, claims, demands, liabilities and expenses arise
from the gross negligence or willful misconduct of Bank. 
 3. Each Debtor jointly and severally represents and warrants that:
(a) Borrower is a corporation, duly incorporated and validly existing under the laws of the State of Delaware; Guarantor is a limited liability company, duly formed and organized and validly existing under the laws of the State of Delaware;
each Debtor’s legal name is exactly as set forth on the first page of this Agreement, each Debtor’s chief executive office is located at the address noted above, and all of each Debtor’s organizational documents or agreements
previously delivered to Bank are complete and accurate in every respect; (b) each Debtor it is and will be the lawful owner of, and has possession or control of all Collateral free of all claims, liens, encumbrances and setoffs whatsoever,
other than the security interest granted pursuant hereto and Permitted Liens; (c) each Debtor has, and at all times hereafter will have and maintain, the capacity and exclusive right to grant a security interest in the Collateral to Bank;
(d) the execution, delivery and performance hereof are within its powers and have been duly authorized; (e) except for Permitted Liens, no financing statement covering any of the Collateral, and naming any secured party other than Bank, is
on file in any public office; (f) all information furnished by Debtor to Bank heretofore or hereafter, whether oral or written, is and will be correct and true as of the date given; and (g) the execution, delivery and performance hereof
are within each Debtor’s powers and have been duly authorized. 
 4. The term default shall mean the occurrence of any
Event of Default under the Loan Agreement. 
 5. Whenever a default exists, Bank may, at its option, without notice or demand,
do any one or more or all of the following: (a) without notice accelerate the maturity of any part or all of the indebtedness and terminate any agreement for the granting of further credit to any Debtor; (b) sell, lease or otherwise
dispose of Collateral at public or private sale; (c) transfer any Collateral into its own name or that of its nominee; (d) retain Collateral in satisfaction of obligations secured hereby, with notice of such retention sent to a Debtor as
required by law; (e) notify any parties obligated on any Collateral consisting of accounts, instruments, chattel paper, choses in action or the like to make payment to Bank and enforce collection of any Collateral; (f) file any action or
proceeding which Bank may deem necessary or appropriate to protect and preserve the right, title and interest of the Bank in the Collateral; (g) require Debtors to assemble and deliver any Collateral to Bank at a reasonably convenient place
designated by Bank; (h) apply all sums received or collected from or on account of Collateral, including the proceeds of any sale thereof, to the payment of the costs and expenses incurred in preserving and enforcing rights of Bank, including
reasonable attorneys’ fees (including the allocated costs of Bank’s in-house counsel and legal staff), and indebtedness secured hereby in such order and manner as Bank in its sole discretion determines; Bank shall account to Debtor for any
surplus remaining thereafter, and shall pay such surplus to the party entitled thereto, including any second secured party who has made a proper demand upon Bank and has furnished proof to Bank as requested in the manner provided by law; in like
manner, each Debtor agrees to pay to Bank without demand any deficiency after any Collateral has been disposed of and proceeds applied as aforesaid; (i) place a “hold” on any account maintained with Bank; (i) exercise its
banker’s lien or right of setoff in the same manner as though the credit were unsecured; and (k) liquidate any time deposits pledged to Bank hereunder and apply the proceeds thereof to payment of the indebtedness, whether or not said time
deposits have matured and 

  
 -44-

 Commercial Credit Agreement 

 
  
 notwithstanding the fact that such liquidation may give rise to penalties for early withdrawal of funds. In addition, Bank shall have all the rights and remedies of a secured party under the Uniform
Commercial Code of the State of California and in any jurisdiction where enforcement is sought, whether in said state or elsewhere. All rights, powers and remedies of Bank hereunder shall be cumulative and not alternative. No delay on the part of
Bank in the exercise of any right or remedy shall constitute a waiver thereof and no exercise by Bank of any right or remedy shall preclude the exercise of any other right or remedy or further exercise of the same remedy. 

6. Each Debtor waives: (a) all right to require Bank to proceed against any other person including any other Debtor hereunder or to
apply any Collateral Bank may hold at any time or to pursue any other remedy; Collateral, endorsers or guarantors may be released, substituted or added without affecting the liability of Debtor hereunder; (b) the defense of the Statute of
Limitations in any action upon any obligations of any Debtor secured hereby; (c) any right of subrogation and any right to participate in Collateral until all obligations secured hereby have been paid in full; and (d) to the fullest extent
permitted by law, any right to oppose the appointment of a receiver or similar official to operate any Debtors business. 
 7.
The right of Bank to have recourse against Collateral shall not be affected in any way by the fact that the credit is secured by a mortgage, deed of trust or other lien upon real property. The security interests granted herein, and the rights and
remedies of Bank with respect to the security interests granted hereby, are in addition to those set forth in the Loan Agreement and the other Loan Documents, and those which are now or hereafter available to Bank as a matter of law or equity. Each
right, power and remedy of Bank provided for herein or in the other Loan Documents, or now or hereafter existing at law or in equity shall be cumulative and concurrent and shall be in addition to every right, power or remedy provided for herein and
the exercise by Bank of any one or more of the rights, powers or remedies provided for in this Agreement, the Loan Agreement or any of the other Loan Documents, or now or hereafter existing at law or in equity, shall not preclude the simultaneous or
later exercise by any person, including Bank, of any or all other rights, powers or remedies. 
 8. The security interest
granted herein is irrevocable and shall remain in full force and effect until there is payment in full in cash of the indebtedness or the security interest is released in writing by Bank. The obligations of Debtors to indemnify Bank shall survive
until all applicable statute of limitations periods with respect to actions that may be brought against Bank have run. 
 9.
Each Debtor shall be obligated to request the release, reassignment or return of Collateral after the payment in full of all existing obligations. Bank shall be under no duty or obligation to release, reassign or return any Collateral except upon
the express written request of Debtors and then only where all of Debtor’s obligations hereunder and under the other Loan Documents have been indefeasibly satisfied and paid in full, in cash. 

10. If more than one Debtor executes this Agreement, the obligations hereunder are joint and several. All words used herein in the
singular shall be deemed to have been used in the plural when the context and construction so require. 

  
 -45-

 Commercial Credit Agreement 

 
  
 11. This Agreement shall inure to the benefit of and bind Bank, its successors and assigns and each of the undersigned, their respective heirs, executors, administrators and successors in interest. Upon
transfer by Bank of any part of the obligations secured hereby, Bank shall be fully discharged from any liability with respect to Collateral transferred therewith. 
 12. Whenever possible, each provision of this Agreement shall be interpreted in such manner as to be effective and valid under applicable law, but, if any provision of this Agreement shall be prohibited
or invalid under applicable law, such provisions shall be ineffective to the extent of such prohibition or invalidity without invalidating the remainder of such or the remaining provisions of this Agreement. 

[Remainder of Page Left Blank] 

  
 -46-

 Commercial Credit Agreement 

 
  
 The grant of a security interest in proceeds does not imply the right of Debtor to sell or dispose of any Collateral without the express consent in writing by Bank. 

Debtors: 

WAGEWORKS, INC. 

By: /s/ Kim Jackson 
 Title: Secretary 
 Printed Name: Kim Jackson 

Address where notices to Debtor are to be sent: 
 1100 Park Place, 4th Floor 
 San Mateo, CA 94403 

Fax Number : (650) 577-5201 
 Telephone Number: (650) 577-5209 
 Email Address: Kim.Jackson@wageworks.com

 MHM RESOURCES, LLC 
 By: /s/ Rich Green 
 Title: Managing Member 

Printed Name: Richard T. Green 
 Address where notices to Debtor are to be sent: 
 1000 Park Place, 4th Floor

 San Mateo, CA 94403 
 Fax Number : 
 Telephone Number: 

Email Address: 

  
 -47-

 Commercial Credit Agreement 

 
  
 INTELLECTUAL PROPERTY SECURITY AGREEMENT 
 THIS INTELLECTUAL PROPERTY
SECURITY AGREEMENT (this “Agreement”) is entered into as of August 31, 2010 by and between UNION BANK, N.A. (“Bank”) and MHM RESOURCES, LLC, a Delaware limited liability company (“Debtor”). 

RECITALS 

A. Bank has agreed to make certain advances of money and to extend certain financial accommodations (the “Loans”) to or for the
benefit of WAGEWORKS, INC., a Delaware corporation (“Borrower”), in the amounts and manner set forth in that certain Commercial Credit Agreement by and between Borrower and Bank dated of even date herewith (as the same may be amended,
modified or supplemented from time to time, the “Loan Agreement”). Grantor expects to derive economic benefit from Bank’s doing so and dealing with Borrower in accordance with the Loan Agreement, and has entered into that certain
Continuing Guaranty of even date herewith (as amended from time to time, the “Guaranty”) and that certain Security Agreement of even date herewith granting Bank a security interest in all of Grantor’s assets to secure the present and
future obligations of Borrower and Grantor to Bank (as amended from time to time, the “Security Agreement” or together with the Guaranty and this Agreement, the “Guaranty Documents”). Bank is willing to make the Loans to
Borrower, but only upon the condition, among others, that Grantor shall grant to Bank a security interest in its copyrights, trademarks and patents to secure the obligations of Grantor under the Guaranty Documents and otherwise (the “Guarantor
Obligations”). All terms used without definition in this Agreement shall have the meaning assigned to them in the Loan Agreement. 
 B. Pursuant to the terms of the Guaranty Documents, Debtor has granted to Bank a security interest in all of Debtor’s right, title and interest, whether presently existing or hereafter acquired, in,
to and under all of the Collateral (as defined in the Security Agreement). 
 NOW, THEREFORE, for good and valuable
consideration, receipt of which is hereby acknowledged, and intending to be legally bound, as collateral security for the prompt and complete payment when due of its obligations under the Guaranty Documents and all other agreements now existing or
hereafter arising between Debtor and Bank, Debtor hereby represents, warrants, covenants and agrees as follows: 
 AGREEMENT

 To secure its obligations under the Guaranty Documents and under any other agreement now existing or hereafter arising
between Debtor and Bank, Debtor grants and pledges to Bank a security interest in all of Debtor’s right, title and interest in, to and under its Intellectual Property (including without limitation those

  
 -48-

 Commercial Credit Agreement 

 
  
 
Copyrights, Patents and Trademarks listed on Schedules 1, 2 and 3 hereto), and including without limitation all proceeds thereof (such as, by way of example but not by way of limitation, license
royalties and proceeds of infringement suits), the right to sue for past, present and future infringements, all rights corresponding thereto throughout the world and all re-issues, divisions continuations, renewals, extensions and
continuations-in-part thereof. 
 This security interest is granted in conjunction with the security interest granted to Bank
under the other Guaranty Documents. The rights and remedies of Bank with respect to the security interest granted hereby are in addition to those set forth in the Loan Agreement and the other Guaranty Documents, and those which are now or hereafter
available to Bank as a matter of law or equity. Each right, power and remedy of Bank provided for herein or in the Loan Agreement or any of the other Guaranty Documents, or now or hereafter existing at law or in equity shall be cumulative and
concurrent and shall be in addition to every right, power or remedy provided for herein and the exercise by Bank of any one or more of the rights, powers or remedies provided for in this Agreement, the Loan Agreement or any of the other Guaranty
Documents, or now or hereafter existing at law or in equity, shall not preclude the simultaneous or later exercise by any person, including Bank, of any or all other rights, powers or remedies. 

Debtor represents and warrants that Schedules 1, 2 and 3 attached hereto set forth any and all intellectual property rights in connection
to which Debtor has registered or filed an application with either the United States Patent and Trademark Office or the United States Copyright Office, as applicable. 
 This Agreement may be executed in two or more counterparts, each of which shall be deemed an original but all of which together shall constitute the same instrument. 

IN WITNESS WHEREOF, the parties have caused this Intellectual Property Security Agreement to be duly executed by its officers thereunto
duly authorized as of the first date written above. 
  

			
	Address of Debtor	  	DEBTOR:
	 1100 Park Place, 4th Floor
 San
Mateo, CA 94403
 Attn: Chief Financial Officer
	  	 MHM RESOURCES, LLC
 By: /s/
Rich T. Green
 Title: Managing Member

Name: Richard T. Green

		
	 Address of Bank
 Union Bank,
N.A.
 601 East Potrero Grande Drive

Monterey Park, CA 91754
 Attn: Commercial Loan
Operations
	  	 BANK:
 UNION BANK,
N.A.
 By: /s/ James B. Goudy
 Name:
James B. Goudy
 Title: VP

 (Signature Page to Intellectual Property Security Agreement — MHM Resources, LLC) 

  
 -49-

 Commercial Credit Agreement 

 
  
 SCHEDULE 1 
 Copyrights 

Description    Registration    Registration Date 

Number 
 None.

 SCHEDULE 2 
 Patents 
 Patent/App. 

Description    No.    File Date 

None. 

SCHEDULE 3 

Trademarks 

Serial/Registration 
 Description    No.    File Date 
 None.

  
 -50-

 Commercial Credit Agreement 

 
  
 INTELLECTUAL PROPERTY SECURITY AGREEMENT 
 THIS INTELLECTUAL PROPERTY
SECURITY AGREEMENT (this “Agreement”) is entered into as of August 31, 2010 by and between UNION BANK, N.A. (“Bank”) and WAGEWORKS, INC., a Delaware corporation (“Debtor”). 

RECITALS 
 A.
Bank has agreed to make certain advances of money and to extend certain financial accommodations to Debtor (the “Loans’) in the amounts and manner set forth in that certain Commercial Credit Agreement dated as of date hereof by and between
Debtor and Bank (as the same may be amended, modified, supplemented or restated from time to time, the “Loan Agreement”; capitalized terms used herein are used as defined in the Loan Agreement). Bank is willing to make the Loans to Debtor,
but only upon the condition, among others, that Debtor shall grant to Bank a security interest in its Copyrights, Trademarks and Patents to secure the obligations of Debtor under the Loan Agreement. 

B. Pursuant to the terms of the Loan Agreement, Debtor has granted to Bank a security interest in all of Debtor’s right, title and
interest, whether presently existing or hereafter acquired, in, to and under all of the Collateral. 
 NOW, THEREFORE, for good
and valuable consideration, receipt of which is hereby acknowledged, and intending to be legally bound, as collateral security for the prompt and complete payment when due of its obligations under the Loan Agreement and all other agreements now
existing or hereafter arising between Debtor and Bank, Debtor hereby represents, warrants, covenants and agrees as follows: 

AGREEMENT 
 To
secure its obligations under the Loan Agreement and under any other agreement now existing or hereafter arising between Debtor and Bank, Debtor grants and pledges to Bank a security interest in all of Debtor’s right, title and interest in, to
and under its Intellectual Property (including without limitation those Copyrights, Patents and Trademarks listed on Schedules 1, 2 and 3 hereto), and including without limitation all proceeds thereof (such as, by way of example but not by way of
limitation, license royalties and proceeds of infringement suits), the right to sue for past, present and future infringements, all rights corresponding thereto throughout the world and all re-issues, divisions continuations, renewals, extensions
and continuations-in-part thereof. 
 This security interest is granted in conjunction with the security interest granted to
Bank under the Loan Agreement and the other Loan Documents. The rights and remedies of Bank with respect to the security interest granted hereby are in addition to those set forth in the Loan Agreement and the other Loan Documents, and those which
are now or hereafter available to Bank as a matter of law or equity. Each right, power and remedy of Bank provided for herein or in the Loan Agreement or any of the Loan Documents, or now or hereafter existing at law or in equity shall be cumulative
and concurrent and shall be in addition to every right, power or remedy provided for herein and the exercise by Bank of any one or more of the rights, powers or remedies provided for in this Intellectual Property Security Agreement, the Loan
Agreement or any of the other Loan 

  
 -51-

 Commercial Credit Agreement 

 
  
 
Documents, or now or hereafter existing at law or in equity, shall not preclude the simultaneous or later exercise by any person, including Bank, of any or all other rights, powers or remedies.

 Debtor represents and warrants that Schedules 1, 2 and 3 attached hereto set forth any and all intellectual property rights
in connection to which Debtor has registered or filed an application with either the United States Patent and Trademark Office or the United States Copyright Office, as applicable. 

This Agreement may be executed in two or more counterparts, each of which shall be deemed an original but all of which together shall
constitute the same instrument. 
 IN WITNESS WHEREOF, the parties have caused this Intellectual Property Security Agreement to
be duly executed by its officers thereunto duly authorized as of the first date written above. 
  

			
	Address of Debtor	  	DEBTOR:
	 1100 Park Place, 4th Floor
 San
Mateo, CA 94403
 Attn: Chief Financial Officer
	  	 WAGEWORKS, INC.
 By: /s/
Rich T. Green
 Name: Richard T. Green

Title: CFO

		
	 Address of Bank
 Union Bank,
N.A.
 601 East Potrero Grande Drive

Monterey Park, CA 91754
 Attn: Commercial Loan
Operations
	  	 BANK:
 UNION BANK,
N.A.
 By: /s/ James B. Goudy
 Name:
James B. Goudy
 Title: VP

 [Signature Page to Intellectual Property Security Agreement — Wage Works, Inc.] 

  
 -52-

 Commercial Credit Agreement 

 
  
 SCHEDULE 1 
  
  

									
	 Copyrights
	  				  			
	Description	  	 Registration
 Number
	 	  	 Registration
 Date
	 
			
	 None.
	  				  			

 SCHEDULE 2 
 Patents 
  

Description 

Single-source multi-conduit apparatuses and methods for adjudicating 

pretax expenses 

Patent/App.No. 

7,529,700 
 File
Date 
 5/5/2009 

  
 -53-

 Commercial Credit Agreement 

 
  
 SCHEDULE 3 
 Trademarks 

Serial/Registration 
  

																	
	Description	  	No	  	File Date	  		  		  		  		  			
	EZPOP	  	2566650	  	5/7/2002	  		  		  		  		  			
	TAKE CARE	  	2872858	  	8/10/2004	  		  		  		  		  			
	WAGEWORKS	  	2549818	  	3/19/2002	  		  		  		  		  			
	WAGEWORKS	  	2695904	  	3/11/2003	  		  		  		  		  			
	WINFLEX	  	2411114	  	12/5/2000	  		  		  		  		  			

  
 -54-

 Commercial Credit Agreement 

 
  
 AUTHORIZATION TO OBTAIN CREDIT, GRANT SECURITY, 
 GUARANTEE OR SUBORDINATE

 RECITALS 
 A. MHM RESOURCES, LLC, a limited liability company, duly organized and existing under the laws of the State of Delaware with its principal place of business at 1100 1100 Park Place, 4th Floor, San Mateo,
CA 94403 (the “Business”) desires to obtain present or future credit from, grant security to, or give guaranties or subordinations to Union Bank, N.A. (“Bank”). 

B. The Business desires that certain person(s) be authorized to act on its behalf from time to time in obtaining, among other things,
such credit from, granting security to, or giving guaranties or subordinations to, Bank. 
 NOW, THEREFORE, IT IS RESOLVED THAT:

 1. Authorization. Any one (1) of the following is authorized and directed, in the name and on behalf of the Business,
from time to time, with or without security, to obtain credit and other financial accommodations from Bank, or to give guaranties or subordinations to Bank, upon such terms as any such person(s) shall approve: 

 

							
	Corporate Title	  	Name	  	Signature	  	
	Managing Member	  	Rich Green	  	/s/ Rich Green	  	
	Managing Member	  	Joe Jackson	  	/s/ Joe Jackson	  	

  
  
 2. Scope Of Authority. Without limiting the generality of the authority granted, each person designated in paragraph 1 above is authorized, from time to time, in the name and on behalf of the
Business, to: 
 2.1 Incur Indebtedness To Bank. The word “indebtedness” as used herein means all debts, obligations
and liabilities, including without limitation obligations and liabilities under guaranties or subordinations, currently existing or now or hereafter made, incurred or created, whether voluntary or involuntary and however arising or evidenced,
whether direct or acquired by assignment or succession, whether due or not due, absolute or contingent, liquidated or unliquidated, determined or undetermined, and whether liability is individual or joint with others, all renewals, extensions and
modifications thereof, and all attorneys’ fees and costs incurred in connection with the negotiation, preparation, workout, collection and enforcement thereof; 
 2.2 Execute, deliver and endorse with respect to Indebtedness to Bank, promissory notes, loan agreements, drafts, guaranties, subordinations, applications and agreements for letters of credit, acceptance
agreements, foreign exchange documentation, applications and agreements pertaining to the payment and collection of documents, indemnities, waivers, purchase agreements and other financial undertakings, leases and other documents and agreements in
connection therewith, and all renewals, extensions or modifications thereof; 
 2.3 Grant security interests in, pledge, assign,
transfer, endorse, mortgage or hypothecate, and execute security or pledge agreements, financing statements and other security interest perfection documentation, mortgages and deeds of trust on, and give trust receipts for, any or all property of
the Business as may be agreed upon by any officer as security for any or all Indebtedness of the Business or any other individual or entity (“Person”), and grant and execute renewals, extensions or modifications thereof; 

2.4 Sell to, or discount or rediscount with, Bank all negotiable instruments, including without limitation promissory notes, commercial
paper, drafts, accounts, acceptances, leases, chattel paper, contracts, documents, instruments or evidences of debt at any time owned, held or drawn by the Business, and draw, endorse or transfer any of such instruments or documents on behalf of the
Business, guarantee payment or repurchase thereof, and execute and deliver to Bank all documents and agreements in connection therewith, and all renewals, extensions or modifications thereof; 

2.5 Direct the disposition of the proceeds of any credit extended by Bank, and deliver to Bank and accept from Bank delivery of any
property of the Business at any time held by Bank; and 
 2.6 Specify in writing to Bank the individuals who are authorized, in
the name of and on behalf of the Business, to request advances under loans or credit lines made available by Bank to the Business, subject to the terms thereof. 

  
 -55-

 Commercial Credit Agreement 

 
  
 3. Writings. Any instruments, documents, agreements or other writings executed under or pursuant to these resolutions (collectively, the “Authorization”) may be in such form and contain such
terms and conditions as may be required by Bank in its sole discretion, and execution thereof by any officer authorized under the Authorization shall be conclusive evidence of such officer’s and the Business’s approval of the terms and
conditions thereof. 
 4. Certification. The Secretary or any Assistant Secretary of the Business is hereby authorized and
directed from time to time to certify to Bank a copy of this Authorization, the names and specimen signatures of the persons designated in paragraph 1 above, and any modification thereof. 

5. Ratification/Amendment. The authority given under this Authorization shall be retroactive and any and all acts so authorized that are
performed prior to the formal adoption are hereby approved and ratified. In the event two or more resolutions of this Business are concurrently in effect, the provisions of each shall be cumulative, unless the latest shall specifically provide
otherwise. The authority given hereby shall remain in full force and effect, and Bank is authorized and requested to rely and act thereon, until Bank shall have received at its San Jose Office a certified copy of a further resolution of the Business
amending, rescinding or revoking the Authorization. 
 6. Requests For Credit. Credit may be requested by the Business from Bank
in writing, by telephone, or by other telecommunication method acceptable to Bank. The Business recognizes and agrees that Bank cannot effectively determine whether a specific request purportedly made by or on behalf of the Business is actually
authorized or authentic. As it is in the Business’s best interest that Bank extend credit in response to these forms of request, the Business assumes all risks regarding the validity, authenticity and due authorization of any request purporting
to be made by or on behalf of the Business. The Business is hereby authorized and directed to repay any credit that is extended by Bank pursuant to any request which Bank in good faith believes to be authorized, or when the proceeds of any credit
are deposited to the account of the Business with Bank, regardless of whether any individual or entity other than the Business may have authority to draw against such account. 
 7. Business As Partner/Joint Venturer, LLC Member or Manager. Nothing in its organizational documents limits or prohibits the Business from acting as a general or limited partner of a partnership, a
member or manager of a limited liability company, or joint venturer of a joint venture. Any person designated in paragraph 1 of the Authorization is authorized, on behalf of the Business, in its role as a general or limited partner, a member or
manager, or a joint venturer, to execute, deliver and endorse all certificates, authorizations and agreements (i) to evidence the Business’s role in and responsibilities to and for such partnership, limited liability company or joint
venture so that Bank may rely thereon, and (ii) to evidence such partnership’s, limited liability company’s or joint venture’s obligations and liabilities to Bank. 

8. No Limitation By This Authorization. Nothing contained in this Authorization shall limit or modify the authority of any person to act
on behalf of the Business as provided by law, any agreement or authorization relating to the Business or otherwise. 
 9.
Indemnification. The Business unconditionally agrees to pay and protect, defend and indemnify Bank and Bank’s employees, officers, directors, shareholders, affiliates, correspondents, agents and representatives against, and hold Bank and each
such other party harmless from, all claims, actions, proceedings, liabilities, damages, losses, expenses (including without limitation attorney’s fees and costs) and other amounts incurred by Bank and each such other party, arising from the
reliance by any such party on this Authorization. 

  
 -56-

 Commercial Credit Agreement 

 
  

CERTIFICATE OF SECRETARY OF THE BUSINESS 
 I hereby certify to Union Bank, N.A., (“Bank”) that the attached Authorization is a true copy of the resolution(s) of MHM RESOURCES, LLC, a limited liability company duly organized and existing
under the laws of the State of Delaware (the “Business”) duly adopted by the of the Business and duly entered in the records of the Business, and that the Authorization is in conformity with applicable law and regulation, the Certificate
of Formation and the Operating Agreement of the Business and is now in full force and effect. 
 I also certify that the above
are the names and genuine specimen signatures of the officers of the Business authorized in paragraph 1 of the Authorization. 

I agree to notify Bank in writing of any change in any aspect of the Authorization or of any individual holding any office set forth in
this certificate immediately upon the occurrence of any such change, and to provide Bank with a copy of the modified resolution(s) and the genuine specimen signature of any such new officer. 

The authority provided for in the Authorization shall remain in full force and effect, and Bank is authorized and requested to rely and
act thereon until Bank shall receive at its San Jose, California Office either a certified copy of a further resolution of this Business’s Board of Directors amending the Authorization, or a certification of a change in the authorized
officer(s). 
 Dated as of: August 31, 2010 

 

					
	 /s/ Kim Jackson
	 		 	
	 Secretary of MHM RESOURCES, LLC
	 		 	

  

					
	 /s/ Joe Jackson
	 		 	
	 * President of MHM RESOURCES, LLC
	 		 	

  

	*	When the Secretary is among those authorized, the President should also sign this Certificate. 

  
 -57-

 Commercial Credit Agreement 

 
  

AUTHORIZATION TO OBTAIN CREDIT, GRANT SECURITY, 

GUARANTEE OR SUBORDINATE 
 RECITALS 
 A. WAGEWORKS, INC., a corporation, duly organized and existing under
the laws of the State of Delaware with its principal place of business at 1100 1100 Park Place, 4th Floor, San Mateo, CA 94403 (the “Business”) desires to obtain present or future credit from, grant security to, or give guaranties or
subordinations to Union Bank, N.A. (“Bank”). 
 B. The Business desires that certain person(s) be authorized to act on
its behalf from time to time in obtaining, among other things, such credit from, granting security to, or giving guaranties or subordinations to, Bank. 
 NOW, THEREFORE, IT IS RESOLVED THAT: 
 1. Authorization. Any one (1) of the
following is authorized and directed, in the name and on behalf of the Business, from time to time, with or without security, to obtain credit and other financial accommodations from Bank, or to give guaranties or subordinations to Bank, upon such
terms as any such person(s) shall approve: 
  

							
	Corporate Title	  	 Name
	  	 Signature
	  	
	CEO & PRESIDENT	  	 JOE JACKSON
	  	 /s/ Joe Jackson
	  	
	CFO	  	 RICH GREEN
	  	 /s/ Rich Green
	  	

 2. Scope Of Authority. Without limiting the generality of the authority granted, each person
designated in paragraph 1 above is authorized, from time to time, in the name and on behalf of the Business, to: 
 2.1 Incur
Indebtedness To Bank. The word “Indebtedness” as used herein means all debts, obligations and liabilities, including without limitation obligations and liabilities under guaranties or subordinations, currently existing or now or hereafter
made, incurred or created, whether voluntary or involuntary and however arising or evidenced, whether direct or acquired by assignment or succession, whether due or not due, absolute or contingent, liquidated or unliquidated, determined or
undetermined, and whether liability is individual or joint with others, all renewals, extensions and modifications thereof, and all attorneys’ fees and costs incurred in connection with the negotiation, preparation, workout, collection and
enforcement thereof; 
 2.2 Execute, deliver and endorse with respect to Indebtedness to Bank, promissory notes, loan
agreements, drafts, guaranties, subordinations, applications and agreements for letters of credit, acceptance agreements, foreign exchange documentation, applications and agreements pertaining to the payment and collection of documents, indemnities,
waivers, purchase agreements and other financial 

  
 -58-

 Commercial Credit Agreement 

 
  
 
undertakings, leases and other documents and agreements in connection therewith, and all renewals, extensions or modifications thereof; 

2.3 Grant security interests in, pledge, assign, transfer, endorse, mortgage or hypothecate, and execute security or pledge agreements,
financing statements and other security interest perfection documentation, mortgages and deeds of trust on, and give trust receipts for, any or all property of the Business as may be agreed upon by any officer as security for any or all Indebtedness
of the Business or any other individual or entity (“Person”), and grant and execute renewals, extensions or modifications thereof; 
 2.4 Sell to, or discount or rediscount with, Bank all negotiable instruments, including without limitation promissory notes, commercial paper, drafts, accounts, acceptances, leases, chattel paper,
contracts, documents, instruments or evidences of debt at any time owned, held or drawn by the Business, and draw, endorse or transfer any of such instruments or documents on behalf of the Business, guarantee payment or repurchase thereof, and
execute and deliver to Bank all documents and agreements in connection therewith, and all renewals, extensions or modifications thereof; 
 2.5 Direct the disposition of the proceeds of any credit extended by Bank, and deliver to Bank and accept from Bank delivery of any property of the Business at any time held by Bank; and 

2.6 Specify in writing to Bank the individuals who are authorized, in the name of and on behalf of the Business, to request advances
under loans or credit lines made available by Bank to the Business, subject to the terms thereof. 
 3. Writings. Any
instruments, documents, agreements or other writings executed under or pursuant to these resolutions (collectively, the “Authorization”) may be in such form and contain such terms and conditions as may be required by Bank in its sole
discretion, and execution thereof by any officer authorized under the Authorization shall be conclusive evidence of such officer’s and the Business’s approval of the terms and conditions thereof. 

4. Certification. The Secretary or any Assistant Secretary of the Business is hereby authorized and directed from time to time to
certify to Bank a copy of this Authorization, the names and specimen signatures of the persons designated in paragraph 1 above, and any modification thereof. 
 5. Ratification/Amendment. The authority given under this Authorization shall be retroactive and any and all acts so authorized that are performed prior to the formal adoption are hereby approved
and ratified. In the event two or more resolutions of this Business are concurrently in effect, the provisions of each shall be cumulative, unless the latest shall specifically provide otherwise. The authority given hereby shall remain in full force
and effect, and Bank is authorized and requested to rely and act thereon, until Bank shall have received at its San Jose Office a certified copy of a further resolution of the Business amending, rescinding or revoking the Authorization. 

  
 -59-

 Commercial Credit Agreement 

 
  
 6. Requests For Credit. Credit may be requested by the Business from Bank in writing, by telephone, or by other telecommunication method acceptable to Bank. The Business recognizes and agrees that
Bank cannot effectively determine whether a specific request purportedly made by or on behalf of the Business is actually authorized or authentic. As it is in the Business’s best interest that Bank extend credit in response to these forms of
request, the Business assumes all risks regarding the validity, authenticity and due authorization of any request purporting to be made by or on behalf of the Business. The Business is hereby authorized and directed to repay any credit that is
extended by Bank pursuant to any request which Bank in good faith believes to be authorized, or when the proceeds of any credit are deposited to the account of the Business with Bank, regardless of whether any individual or entity other than the
Business may have authority to draw against such account. 
 7. Business As Partner/Joint Venturer, LLC Member or
Manager. Nothing in its organizational documents limits or prohibits the Business from acting as a general or limited partner of a partnership, a member or manager of a limited liability company, or joint venturer of a joint venture. Any person
designated in paragraph 1 of the Authorization is authorized, on behalf of the Business, in its role as a general or limited partner, a member or manager, or a joint venturer, to execute, deliver and endorse all certificates, authorizations and
agreements (i) to evidence the Business’s role in and responsibilities to and for such partnership, limited liability company or joint venture so that Bank may rely thereon, and (ii) to evidence such partnership’s, limited
liability company’s or joint venture’s obligations and liabilities to Bank. 
 8. No Limitation By This
Authorization. Nothing contained in this Authorization shall limit or modify the authority of any person to act on behalf of the Business as provided by law, any agreement or authorization relating to the Business or otherwise. 

9. Indemnification. The Business unconditionally agrees to pay and protect, defend and indemnify Bank and Bank’s employees,
officers, directors, shareholders, affiliates, correspondents, agents and representatives against, and hold Bank and each such other party harmless from, all claims, actions, proceedings, liabilities, damages, losses, expenses (including without
limitation attorney’s fees and costs) and other amounts incurred by Bank and each such other party, arising from the reliance by any such party on this Authorization. 

  
 -60-

 Commercial Credit Agreement 

 
  

CERTIFICATE OF SECRETARY OF THE BUSINESS 
 I hereby certify to Union Bank, N.A., (“Bank”) that the attached Authorization is a true copy of the resolution(s) of WAGEWORKS, INC., a corporation duly organized and existing under the laws of
the State of Delaware (the “Business”) duly adopted by the Board of Directors of the Business and duly entered in the records of the Business, and that the Authorization is in conformity with applicable law and regulation, the Certificate
of Incorporation and the By-Laws of the Business and is now in full force and effect. 
 I also certify that the above are the
names and genuine specimen signatures of the officers of the Business authorized in paragraph 1 of the Authorization. 
 I agree
to notify Bank in writing of any change in any aspect of the Authorization or of any individual holding any office set forth in this certificate immediately upon the occurrence of any such change, and to provide Bank with a copy of the modified
resolution(s) and the genuine specimen signature of any such new officer. 
 The authority provided for in the Authorization
shall remain in full force and effect, and Bank is authorized and requested to rely and act thereon until Bank shall receive at its San Jose Office either a certified copy of a further resolution of this Business’s Board of Directors amending
the Authorization, or a certification of a change in the authorized officer(s). 
 Dated as of: August 31, 2010 

 

					
	 /s/ Kim Jackson
	 		 	
	 Secretary of WageWorks, Inc.
	 		 	

  

					
	 /s/ Joe Jackson
	 		 	
	 * President of WageWorks, Inc.
	 		 	

  

	*	When the Secretary is among those authorized, the President should also sign this Certificate. 

  
 -61-Sublease Agreement

 Exhibit 10.11 
 San Mateo 
 Office Lease 

SUBLEASE AGREEMENT 
 BETWEEN 
 ORACLE USA, INC. 

AND 

WAGEWORKS, INC. 
 1100 PARK PLACE 
 SAN MATEO, CALIFORNIA 

Portion of Fourth (4th) and First (1st) Floors 

 SUBLEASE 
 THIS SUBLEASE (“Sublease”) is entered into as of September 13, 2006, by and between ORACLE USA, INC., a Colorado corporation (“Sublandlord”) and WAGEWORKS, INC., a Delaware
corporation (“Subtenant”), with reference to the following facts: 
 A. Pursuant to that certain Lease dated as of
December 29, 2000 (the “Original Master Lease”), as the same has been amended by that certain First Amendment of Lease dated as of April 29, 2003 (the “First Amendment”) (the Original Master Lease, as amended by the
First Amendment, being referred to herein as the “Master Lease”), Bay Meadows Park Place Investors LLC (“Landlord”), as Landlord, leases to Sublandlord (successor in interest to Siebel Systems, Inc.), as Tenant, certain space
(the “Master Lease Premises”) consisting of 126,060 rentable square feet on the first (1st), second (2nd), third (3rd) and fourth (4th) floors of the Building located at 1100 Park Place in the city of San Mateo, California (the
“Building”). 
 B. Subtenant wishes to sublease from Sublandlord, and Sublandlord wishes to sublease to Subtenant, a
portion of the Master Lease Premises containing approximately 38,249 rentable square feet comprised of (i) approximately 36,008 rentable square feet of space located on the fourth (4th) floor of the Building and more particularly
identified and described on the floor plan attached hereto as Exhibit A-1 (the “Fourth Floor Space”) and (ii) approximately 2,241 rentable square feet of space located on the first (1st) floor of the Building more
particularly identified and described on the floor plan attached hereto as Exhibit A-2 (the “First Floor Space”) (the Fourth Floor Space and the First Floor Space being collectively referred to herein as the “Subleased
Premises”), which such square footage is based upon Sublandlord’s architect’s usable square footage calculations for the Subleased Premises. 
 NOW, THEREFORE, in consideration of the foregoing, and for other good and valuable consideration, the receipt and adequacy of which are hereby acknowledged by the parties, Sublandlord and Subtenant hereby
agree as follows: 
 1. Sublease. Sublandlord hereby subleases to Subtenant and Subtenant hereby subleases from
Sublandlord for the term, at the rental, and upon all of the conditions set forth herein, the Subleased Premises. In addition to the foregoing, Sublandlord hereby grants Subtenant the non-exclusive right, in common with the other tenants of the
Building, to use the lobby, restrooms and related common areas located on the 1st floor of the Building (the “First Floor Common Area”). 
 2. Term. 
 (a) Initial Term. The term of this Sublease
(“Term”) shall commence on the date (the “Commencement Date”) that is the later to occur of (x) September 1, 2006 and (y) the date that Sublandlord delivers possession of the Subleased Premises to Subtenant in the
condition required hereunder and (z) the date upon which Sublandlord procures Landlord’s consent to this Sublease (the “Consent”, and the date upon which Sublandlord procures the Consent being the “Effective Date”) and
end on the date immediately preceding the fifth (5th) anniversary of either (i) the Commencement Date, or (ii) if the Commencement Date 

  
 1 

 
is not the first day of the month, the last day of the month in which the Commencement Date occurs (the “Expiration Date”), unless sooner terminated pursuant to any provision hereof.
Upon the determination of the Commencement Date, Sublandlord and Subtenant will enter into a letter agreement in the form of Exhibit B attached hereto. 
 (b) Delay in Commencement Date. Notwithstanding any of the foregoing, if the Commencement Date does not occur on or before October 1, 2006 for any reason other than due to delays caused by
Subtenant (including, without limitation, delays in the Commencement Date arising from Subtenant’s failure to timely execute and deliver the Consent), Subtenant shall have the right to terminate this Sublease upon delivering written notice to
Sublandlord at any time prior to the Commencement Date, and, in such event, Sublandlord shall promptly refund any monies previously tendered by Subtenant, this Sublease shall immediately terminate and neither party shall have any further rights or
obligations under this Sublease. 
 3. Option to Extend. 

(a) Grant of Option. Sublandlord grants Subtenant one (1) option (the “Option to Extend”) to extend the Term of
this Sublease for one (1) additional period expiring as of December 31, 2014 (the “Option Term”), upon the same terms and conditions contained in this Sublease, except that (i) the Base Rent for the Subleased Premises shall
be ninety-five percent (95%) of the Fair Market Rent (defined below) for the Subleased Premises as of the date of the commencement of the Option Term, determined in the manner set forth below, but in no event less than $1.69 per rentable square
foot per month, (ii) Subtenant shall accept the Subleased Premises in an “as is” condition without any obligation of Sublandlord to make or pay for any repainting, remodeling, repair, improvement or alteration of the Subleased
Premises, except to the extent that an improvement allowance is granted as a component of Fair Market Rent, and (iii) there shall be no further options to extend the Term. 

(b) Exercise of Option. Notice of Subtenant’s exercise (the “Election Notice”) of the Option to Extend must be
given to Sublandlord in writing no later than nine (9) months prior to the Expiration Date. If Subtenant properly exercises the Option to Extend, references in this Sublease to the “Term” shall be deemed to mean the Option Term unless
the context clearly provides otherwise. Notwithstanding anything to the contrary contained herein, the Option to Extend shall automatically terminate without notice and shall be of no further force and effect, whether or not Subtenant has timely
exercised the Option to Extend, if: 
 (i) an event of monetary default on the part of Subtenant exists under this Sublease
(i.e., beyond the giving of applicable notice and the passage of applicable grace and cure periods) at the time of exercise of the Option to Extend or at the time of commencement of the Option Term; or 

(ii) Subtenant has assigned its interest in this Sublease (other than to an Affiliate or pursuant to a Permitted Transfer referenced in
Section 21.C of the Original Master Lease), or has subleased more than fifty percent (50%) of the Subleased 

  
 2 

 
Premises (other than to an Affiliate or pursuant to a Permitted Transfer referenced in Section 21.C of the Original Master Lease). 

(c) Base Rent During Option Term. 
 (i) Negotiation. If Subtenant properly exercises the Option to Extend, the Base Rent payable by Subtenant during the applicable Option Term shall be adjusted to an amount equal to ninety-five
percent (95%) of the Fair Market Rent for the Subleased Premises as of the commencement of the Option Term for a term equal to the Option Term. Promptly following Subtenant’s exercise of the Option to Extend, Sublandlord will deliver to
Subtenant notice of Sublandlord’ s determination of the applicable Fair Market Rent for the Subleased Premises for the Option Term (“Sublandlord’s Fair Market Notice”). For a period of thirty (30) days following delivery of
Sublandlord’s Fair Market Notice, Sublandlord and Subtenant shall work together in good faith to reach agreement upon the Fair Market Rent for the Subleased Premises for the applicable Option Term. If Sublandlord and Subtenant fail to agree
upon the Fair Market Rent within such thirty (30) day period, then, the Fair Market Rent shall be established in accordance with the procedures set forth below: 
 (ii) Arbitrator. 
 (A) The parties shall endeavor to mutually select a
qualified commercial real estate broker, licensed in the State of California, with at least five (5) consecutive years’ experience in determining fair market rental rates in the San Mateo, California, vicinity, provided such commercial
real estate broker shall not have been employed by either party within the past three (3) years. If Sublandlord and Subtenant are unable to so agree upon a single commercial real estate broker within ten (10) days after the expiration of
such thirty (30) day period, then each party shall appoint one (1) commercial real estate broker by written notice to the other, to be given within ten (10) days after the end of said first ten (10) day selection period. Within
ten (10) days after the two (2) commercial real estate brokers are appointed, such two commercial real estate brokers shall appoint a third commercial real estate broker. The Fair Market Rent shall be the rate determined by the third
commercial real estate broker provided, however, if either Sublandlord or Subtenant fails to appoint its broker within the prescribed time period, the single commercial real estate broker appointed by the other party shall determine the Fair Market
Rent amount for the Subleased Premises. 
 (B) In connection with the determination of the Fair Market Rent by the commercial
real estate broker, Sublandlord and Subtenant shall within thirty (30) days of the appointment of the single commercial real estate broker or the third commercial real estate broker, as the case may be, deliver to such commercial real estate
broker Sublandlord’s and Subtenant’s estimate of the Fair Market Rent, with such supporting documentation as Sublandlord and Subtenant shall determine in their sole respective discretion. The commercial real estate broker shall have thirty
(30) days following receipt of such information from Sublandlord and Subtenant to either pick the Fair Market Rent as determined by Sublandlord or the Fair Market Rent that is determined by Subtenant. The decision of the single commercial real
estate broker or the third commercial real estate broker, as applicable, shall be binding and conclusive on the parties hereto and shall be enforceable as a judgment by the prevailing party against the losing party. If any commercial real estate
broker shall fail, 

  
 3 

 
refuse, or become unable to act, a new commercial real estate broker shall be appointed in his or her place following the same method as was originally followed with respect to the commercial
real estate broker to be replaced. Sublandlord and Subtenant shall each pay the fees and expenses of the commercial real estate broker it appoints, but if only one commercial real estate broker is used, or if a third commercial real estate broker is
used, the fees and expenses of such sole or third commercial real estate broker, as the case may be, shall be borne equally by the parties. All other expenses shall be borne by the parties. All hearings and proceedings held and all investigations
and actions taken by the commercial real estate broker shall take place in the Redwood City/San Mateo vicinity. 
 (C) If the
amount of the Fair Market Rent is not known as of the commencement of the Option Term, then Subtenant shall continue to pay the Base Rent in effect immediately prior to the commencement of the Option Term until the amount of the fair market rent is
determined. When such determination is made, Subtenant shall pay to Sublandlord any deficiency within ten (10) business days following written notice by Sublandlord. 
 (iii) “Fair Market Rent” Defined. As used herein, “Fair Market Rent” shall mean the actual “base rent” being paid by renewal tenants or subtenants for similar premises
of comparable size and location in buildings similar in age and quality as the Subleased Premises in the San Mateo/Foster City vicinity (with appropriate adjustment for tenant improvements, economic concessions, brokerage fees, base years, etc.),
taking into account amenities available at the Building in comparison with amenities available at comparison properties, but in no event less than the Base Rent rate payable by Subtenant during the final twelve (12) months of the initial Term
(i.e., $1.688 per rentable square foot per month). 
 4. Rent. 

4.1 Rent Payments. 
 (a) From and after the Commencement Date, Subtenant shall pay to Sublandlord as base rent for the Subleased Premises during the Term (“Base Rent”) the following: 

 

									
	 Months Following
 Commencement Date
	  	Monthly Base Rent Per
Rentable
Square Foot	 	  	Monthly
Base Rent	 
			
	 1 - 12*
	  	$	1.50	  	  	$	57,373.50	  
	 13 - 24
	  	$	1.545	  	  	$	59,094.71	  
	 25 - 36
	  	$	1.591	  	  	$	60,854.16	  
	 37 - 48
	  	$	1.639	  	  	$	62,690.11	  
	 49 - 60
	  	$	1.688	  	  	$	64,564.31	  

  

	*	 If the Commencement Date is a date other than the first (1st) day of a calendar month, then the “first” month following the Commencement
Date shall be the first full month after the month in which the Commencement Date occurs. For example, if the Commencement Date is January 15, 2007, for the purposes of this

  
 4 

	 	 
schedule, the first “month” following the Commencement Date will be February, 2007, and thus “months 1 - 12” in the above-referenced chart would expire as of January 31,
2008. 

 Base Rent shall be paid on the first day of each month commencing as of the expiration of the Rent Abatement
Period (defined in Section 4(b) below), except that Subtenant shall pay the first month’s Base Rent to Sublandlord upon execution of this Sublease and delivery of this Sublease to Sublàndlord; said pre-paid Base Rent will be applied
towards Base Rent first payable following the Rent Abatement Period. If the Term does not begin on the first day of a calendar month, the Base Rent and Additional Rent (hereinafter defined) for any partial month shall be prorated by multiplying the
monthly Base Rent and Additional Rent by a fraction, the numerator of which is the number of days of the partial month included in the Term and the denominator of which is the total number of days in the full calendar month. All Rent (hereinafter
defined) shall be payable in lawful money of the United States, by regular bank check of Subtenant, to Sublandlord at the following address: 
 1001 Sunset Boulevard 
 Rocklin, CA 95765 

Attn: Lease Administration 
 or
to such other persons or at such other places as Sublandlord may designate in writing, or by electronic transfer to the account identified by Sublandlord. 
 (b) Abatement. Notwithstanding anything in Section 4(a) above to the contrary, Subtenant shall be entitled to an abatement of Base Rent and Operating Costs (defined in Section 4.2 below)
for the first (1st) five (5) full calendar months of the Term (the “Abatement Period”). The total amount of Rent abated during the Rent Abatement Period is referred to herein as the “Abated Rent”). 

4.2 Operating Costs. 
 (a) Definitions. For purposes of this Sublease and in addition to the terms defined elsewhere in this Sublease, the following terms shall have the meanings set forth below: 

(i) “Additional Rent” shall mean the sums payable pursuant to Section 4.2(b) below. 

(ii) “Operating Costs” shall mean Operating Expenses (as defined in the Master Lease) charged by Landlord to
Sublandlord pursuant to the Master Lease. 
 (iii) “Rent” shall mean, collectively, Base Rent, Additional
Rent, and all other sums payable by Subtenant to Sublandlord under this Sublease, whether or not expressly designated as “rent”, all of which are deemed and designated as rent pursuant to the terms of this Sublease. 

  
 5 

 (iv) “Subtenant’s Percentage Share” shall mean 30.3%.
Subtenant’s Percentage Share has been obtained by dividing the rentable area of the Subleased Premises by the rentable area of the Master Lease Premises and multiplying such quotient by 100. In the event Subtenant’s Percentage Share is
changed during a calendar year by reason of a change in the rentable area of the Subleased Premises or the Master Lease Premises, Subtenant’s Percentage Share shall thereupon be adjusted to equal the result obtained by dividing the rentable
area of the Subleased Premises by the rentable area of the Master Lease Premises and multiplying such quotient by 100, and Subtenant’s Percentage Share shall be determined on the basis of the number of days during such calendar year at each
such percentage share. 
 (b) Payment of Additional Rent. In addition to the Base Rent payable pursuant to
Section 4.1 above, from and after the expiration of the Rent Abatement Period, for each calendar year of the Term, Subtenant, as Additional Rent, shall pay Subtenant’s Percentage Share of Operating Costs payable by Sublandlord for the then
current calendar year. Sublandlord shall give Subtenant written notice of Sublandlord’s estimate of the amount of Additional Rent per month payable pursuant to this Section 4.2(b) for each calendar year promptly following the
Sublandlord’s receipt of Landlord’s estimate of the Operating Costs payable under the Master Lease. Thereafter, the Additional Rent payable pursuant to this Section 4.2(b) shall be determined and adjusted in accordance with the
provisions of Section 4.2(c) below. 
 (c) Procedure. The determination and adjustment of Additional Rent payable
hereunder shall be made in accordance with the following procedures: 
 (i) Delivery of Estimate, Payment. Upon receipt
of a statement from Landlord specifying the estimated Operating Costs to be charged to Sublandlord under the Master Lease with respect to each calendar year, or as soon after receipt of such statement as practicable, Sublandlord shall give Subtenant
written notice of its estimate of Additional Rent payable under Section 4.2(b) for the ensuing calendar year, which estimate shall be prepared based on the estimate received from Landlord (as Landlord’s estimate may change from time to
time), together with a copy of the statement received from Landlord. On or before the first day of each month during each calendar year, Subtenant shall pay to Sublandlord as Additional Rent one-twelfth (1/12th) of such estimated amount
together with the Base Rent. 
 (ii) Sublandlord’s Failure to Deliver Estimate. In the event Sublandlord’s
notice set forth in Subsection 4.2(c)(i) is not given on or before December of the calendar year preceding the calendar year for which Sublandlord’s notice is applicable, as the case may be, then until the calendar month after such notice is
delivered by Sublandlord, Subtenant shall continue to pay to Sublandlord monthly, during the ensuing calendar year, estimated payments equal to the amounts payable hereunder during the calendar year just ended. Upon receipt of any such post-December
notice Subtenant shall (i) commence as of the immediately following calendar month, and continue for the remainder of the calendar year, to pay to Sublandlord monthly such new estimated payments, (ii) if the monthly installment of the new
estimate of such Additional Rent is greater than the monthly installment of the estimate for the previous calendar year, pay to Sublandlord within thirty (30) days of the receipt of such notice an amount equal to the difference of such monthly
installment multiplied by the number of full and partial calendar months of such year preceding the delivery of such notice and (iii) if 

  
 6 

 
the monthly installment of the new estimate of such Additional Rent is less than the monthly installment of the estimate for the previous calendar year, an amount equal to the difference of such
monthly installment multiplied by the number of full or partial calendar months of such year preceding the delivery of such notice shall be credited against the next payment of Rent coming due by Subtenant under this Sublease. 

(d) Year End Reconciliation. Within thirty (30) days after the receipt by Sublandlord of a final statement of Operating
Costs from Landlord with respect to each calendar year, Sublandlord shall deliver to Subtenant a statement (“Sublandlord’s Statement”) of the adjustment to be made pursuant to Section 4.2 for the calendar year just ended,
together with a copy of any corresponding statement received by Sublandlord from Landlord. If on the basis of such Sublandlord’s Statement Subtenant owes an amount that is less than the estimated payments actually made by Subtenant for the
calendar year just ended, Sublandlord shall credit such excess to the next payment of Rent coming due or, if the term of this Sublease is about to expire, promptly refund such excess to Subtenant. If on the basis of such Sublandlord’s Statement
Subtenant owes an amount that is more than the estimated payments for the calendar year just ended previously made by Subtenant, Subtenant shall pay the deficiency to Sublandlord within thirty (30) days after delivery of the statement from
Sublandlord to Subtenant. 
 (e) Audit Rights. 

(i) Subtenant shall have the right, within three hundred sixty-five (365) days following delivery of Sublandlord’ s Statement,
to review Sublandlord’ s allocation of Operating Expenses (as defined in the Master Lease) to Subtenant’s Percentage Share of Operating Costs payable hereunder. Such review may be performed by an employee of Subtenant and/or a certified
public accountant, provided that any such individual or firm shall not be compensated on a so-called “contingency” basis. Such review shall be performed at Subtenant’s sole cost and expense, provided, however, that if
Sublandlord’s Statement is determined to have overstated Subtenant’s Percentage Share of Operating Costs payable hereunder by two percent (2%) or more, Sublandlord shall reimburse Subtenant for the reasonable cost of such audit, and,
in addition, in the event that any such audit determines that Sublandlord’s Statement has overstated Operating Costs payable hereunder, Sublandlord shall reimburse Subtenant for the amount of any such overpayment actually made by Subtenant.

 (ii) Subtenant may, by written notice to Sublandlord, elect, pursuant to the provisions of Section 7.E of the Original
Master Lease, to examine the books and records of Landlord relevant to a Sublandlord’s Statement. In such event, (A) such examination shall be conducted by a party meeting the qualifications for the review of the books and records of
Landlord as described in the Master Lease, which party shall be designated and compensated by Subtenant, but who shall be acting as Sublandlord’s representative for the purposes of examining any such books and records of Landlord, (B) such
party shall render a written report of such examination and such party’s findings and recommendations with respect thereto, a true copy of which shall be delivered to Sublandlord within ten (10) days after such report is completed. Such
audit shall be commenced and prosecuted with reasonable diligence by Sublandlord on behalf of Subtenant (provided that Subtenant requests such an audit in a timely fashion so that Sublandlord can timely exercise its rights under Section 7.E of
the Original 

  
 7 

 
Master Lease) and any reasonable expense incurred by Sublandlord in connection with such audit (including reasonable attorneys’ fees and costs) shall be reimbursed by Subtenant as additional
Rent hereunder within ten (10) business days following invoice therefor. Any recovery from any such examination of the books and records of Landlord shall be applied first to Subtenant, in the amount of the costs and expenses of such
examination (to the extent such costs and expenses were paid for by, or reimbursed to Sublandlord by, Subtenant) and, second, shall be allocated among Sublandlord and Subtenant in accordance with the proportionate area of the Master Lease Premises
that each occupies. 
 (f) Survival. The expiration or earlier termination of this Sublease shall not affect the
obligations of Sublandlord and Subtenant pursuant to Subsections 3.2(d) and (e), and such obligations shall survive, remain to be performed after, any expiration or earlier termination of this Sublease. 

(g) Adjustment for Subtenants’ Consumption of Excess Electricity. Sublandlord agrees that if Sublandlord determines that any
of its subtenants in the Building (including Subtenant) is consuming electricity in their respective subleased premises at a rate materially in excess of the average rate of electrical consumption of Sublandlord’s other subtenants in the
Building, as reasonably determined by Sublandlord, Sublandlord will use reasonable efforts to enforce the provisions of Section 15.B of the Original Master Lease (as incorporated into this Sublease and the subleases of such other subtenants) to
allow Sublandlord to separately meter the electrical consumption of subtenants consuming excess electricity and to charge said subtenants on a direct basis for their excess electricity usage. In addition to the foregoing, Subtenant shall have the
right, in its sole discretion and at its sole expense, to install a temporary separate meter to ascertain its electrical consumption and if such separate meter shows that Subtenant is consuming materially less electricity than the amount it is being
charged by Sublandlord, Subtenant and Sublandlord agree to meet and in good faith negotiate a mechanism for handling such discrepancy. 
 (h) Janitorial Services. Subject to the approval of Landlord, Subtenant shall be permitted to perform its own janitorial services in the Subleased Premises, in which event, such services will be
performed at Subtenant’s sole cost and expense, and Operating Costs payable by Subtenant shall not include the cost of janitorial services provided by Landlord. 
 (i) Common Areas (First and Second Floor). In addition to Subtenant’s right to use the First Floor Common Area as set forth in Section 1 above, if Subtenant subleases any portion of the
Expansion Space or other space on the second (2nd) floor of the Building, Subtenant shall have the non-exclusive right, in common with the other subtenants of the Second Floor, to use the lobby, restrooms and related common areas located on the
second (2nd) floor of the Building (the “Second Floor Common Area”, and together with the First Floor Common Area, the “Common Area”). Except to the extent that Landlord agrees to be responsible for the maintenance of the
portion of the Common Area, Sublandlord shall be responsible for the maintenance, repair and replacement of the Common Area and shall maintain the same in a first-class condition. In such event, Subtenant shall reimburse Sublandlord for
Subtenant’s Percentage Share of the actual cost of such maintenance; such amounts will be billed by Sublandlord to Subtenant as Additional Rent payable hereunder in a manner similar to 

  
 8 

 
Subtenant’s payment of Operating Costs. In such event, Sublandlord shall also, at its sole cost and expense (without inclusion as an Operating Cost, except as set forth below),
(i) construct the initial build-out of any Common Area which has not been built-out as of the date of this Sublease in a first class condition and in accordance with all applicable Regulations, and (ii) perform such work as may be
necessary to maintain the Common Area in compliance with all Regulations; provided, however, that (x) Sublandlord shall have the right to contest any alleged violation of Regulations or requirement that work be performed in accordance with
Regulations, in good faith, including, without limitation, the right to apply for and obtain a waiver or deferment of compliance, the right to assert any and all defenses allowed by law and the right to appeal any decisions, judgments or rulings to
the fullest extent permitted by law and (y) the cost of compliance with Regulations first enacted or enforced against the Common Area following the construction of the Common Area described in clause (i) above may be passed through to
Subtenant as described in the immediately preceding sentence. 
 5. Security Deposit. 

(a) Generally. Concurrently with Subtenant’s execution of this Sublease, Subtenant shall deposit with Sublandlord the sum of
$347,319.00 (the “Security Deposit”). The Security Deposit shall be held by Sublandlord as security for the faithful performance by Subtenant of all the provisions of this Sublease to be performed or observed by Subtenant. If Subtenant
fails to pay rent or other sums due hereunder, or otherwise defaults with respect to any provisions of this Sublease, and such failure or default is not cured within the applicable notice and cure period, Sublandlord may use, apply or retain all or
any portion of the Security Deposit for the payment of any rent or other sum in default, to repair or maintain the Subleased Premises, to perform any other terms, covenants, or conditions contained in this Sublease, or to compensate Sublandlord for
any loss or damage which Sublandlord may suffer thereby. If Sublandlord so uses or applies all or any portion of the Security Deposit, Subtenant shall within ten (10) days after demand therefor deposit cash with Sublandlord in an amount
sufficient to restore the Security Deposit to the full amount thereof and Subtenant’s failure to do so shall be a material breach of this Sublease. Sublandlord shall not be required to keep the Security Deposit separate from its general
accounts. If Subtenant performs all of Subtenant’s obligations hereunder, the Security Deposit, or so much thereof as has not theretofore been applied by Sublandlord, shall be returned, without interest, to Subtenant (or, at Sublandlord’s
option, to the last assignee, if any, of Subtenant’s interest hereunder) within thirty (30) days following the later to occur of (x) the expiration of the Term, and (y) Subtenant’s vacation of the Subleased Premises. No
trust relationship is created herein between Sublandlord and Subtenant with respect to the Security Deposit. Sublandlord will not be required to keep the Security Deposit separate from its other accounts. 

(b) Reduction. Notwithstanding the provisions of Section 5(a) above to the contrary, if, as of the date of expiration of the
thirtieth (30th) full calendar month of the Term, the Reduction Conditions (defined below) apply, upon written request by Subtenant, Sublandlord shall return to Subtenant a portion of the Security Deposit equal to One Hundred Fifteen Thousand
Seven Hundred Seventy Three Dollars ($115,773.00). As used herein, the “Reduction Conditions” shall mean that (i) Subtenant is not then in default of its obligations to pay Rent under this Sublease (i.e., beyond the giving of
applicable notice and the passage of 

  
 9 

 
applicable grace periods) and (ii) Subtenant has not previously been in default of its obligations to pay Rent (similarly described) under this Sublease. 

(c) Letter of Credit. Subtenant may elect to deliver the Security Deposit in the form of an unconditional, irrevocable,
transferable standby letter of credit (the “Initial Letter of Credit”) in the form attached hereto as Exhibit D in the amount of $347,319.00 and issued by a financial institution acceptable to Sublandlord (such financial or banking
institution must have a credit rating of “AA” or better from both Moody’s and Standard and Poor’s). Sublandlord may draw upon the Initial Letter of Credit or any Replacement Letter of Credit (as that term is defined below) on or
after the occurrence of either: (i) an uncured event of default under this Sublease; or (ii) any failure by Subtenant to deliver to Sublandlord a Replacement Letter of Credit as and when required pursuant to this Section 4; provided
that in the event of (i), Sublandlord may, at Sublandlord’s sole option, draw upon a portion of the face amount of the Initial Letter of Credit or any Replacement Letter of Credit, as applicable, as required to compensate Sublandlord for
damages incurred (with subsequent demands at Sublandlord’s sole election as Sublandlord incurs further damage). 
 (i)
Delivery of Replacement Letter of Credit. Subtenant shall deliver to Sublandlord a new letter of credit (a “Replacement Letter of Credit”) at least thirty (30) days prior to the expiry date of the Initial Letter of Credit or of
any Replacement Letter of Credit held by Sublandlord (hereinafter, the Initial Letter of Credit and any Replacement Letter of Credit may be generically referred to as a “Letter of Credit”). Each Replacement Letter of Credit delivered by
Subtenant to Sublandlord shall: (i) be issued by a banking institution acceptable to Sublandlord in its reasonable judgment (such financial or banking institution must have a credit rating of “AA” or better from both Moody’s and
Standard and Poor’s); (ii) be in the same form as the letter of credit attached to this Sublease as Exhibit D; (iii) bear an expiry date not earlier than one (1) year from the date when such Replacement Letter of Credit is
delivered to Sublandlord; and (iv) be in an amount not less than the amount specified in Section 5(c). Upon the delivery to Sublandlord of a Replacement Letter of Credit as described in this Section 5, Sublandlord shall return to
Subtenant any previously delivered Letter of Credit then held by Sublandlord. 
 (ii) Draw Upon Letter of Credit. All
proceeds of a draw upon of any Letter of Credit performed in accordance with the provisions of this Section 5(c) shall be applied by Sublandlord to damages incurred by Sublandlord as a result of the event giving rise to the draw; any excess
proceeds of any such draws will be held by Sublandlord as a security deposit in accordance with the provisions of Section 5(a) above, and, at the sole election of Sublandlord, applied on one or more occasions to remedy failures on the part of
Subtenant in the payment of Rent, to repair damages to the Subleased Premises caused by Subtenant and to clean the Subleased Premises. 
 (iii) Sublandlord’s Transfer. If Sublandlord conveys or transfers its interest in the Subleased Premises and, as a part of such conveyance or transfer, Sublandlord assigns its interest in this
Sublease: (i) the Initial Letter of Credit or any Replacement Letter of Credit shall be transferred to Sublandlord’s successor; (ii) Sublandlord shall be released and discharged from any further liability to Subtenant with respect to
such Initial Letter of Credit and any Replacement Letter of Credit; and (iii) any Replacement Letter of 

  
 10 

 
Credit thereafter delivered by Subtenant shall state the name of the successor to Sublandlord as the beneficiary of such Replacement Letter of Credit and shall contain such modifications in the
text of the Replacement Letter of Credit as are required to appropriately reflect the transfer of the interest of Sublandlord in the Premises. 
 (iv) In the event that Subtenant elects to deliver the Security Deposit in the form of a Letter of Credit, the reduction in the Security Deposit described in Section 5(b) will be accomplished as
follows: as of the date of the thirtieth (30th) full calendar month of the Term, if the Reduction Conditions apply, Subtenant may send written notice to Sublandlord requesting that the then face amount of the current Letter of Credit be reduced
to $115,773.00. Sublandlord shall cooperate with Subtenant’s efforts to accomplish such reduction, which reduction may be accomplished either by (i) amending the then-current Letter of Credit held by Sublandlord or (ii) Subtenant
delivering a new Replacement Letter of Credit to Sublandlord in the reduced face amount, upon which delivery Sublandlord shall deliver the Letter of Credit then held by Sublandlord to Subtenant. Subtenant may elect either of the foregoing options,
at Subtenant’s sole discretion. 
 6. Expansion Option. 

(a) Generally. Subtenant shall have the one-time option (the “Expansion Option”) to lease the area located on the
second (2nd) floor of the Building and shown cross-hatched on Exhibit A-3 to this Sublease (the “Expansion Space”) if: 
 (i) Sublandlord receives written notice (the “Expansion Notice”) from Subtenant of the exercise of its Expansion Option; and 

(ii) Subtenant is not in default (beyond any applicable notice and cure period) under this Sublease at the time Sublandlord receives the
Expansion Notice; and 
 (iii) no more than fifty percent (50%) Subleased Premises is further sublet at the time Landlord
receives the Expansion Notice (other than to an Affiliate or pursuant to a Permitted Transfer under Section 2l.C of the Original Master Lease); and 
 (iv) this Sublease has not been assigned (other than to an Affiliate or pursuant to a Permitted Transfer under Section 21.C of the Original Master Lease) prior to the time Landlord receives the
Expansion Notice; and 
 (v) the Expansion Space is intended for the exclusive use of Subtenant only; and 

(vi) Subtenant has not vacated or abandoned the Subleased Premises at the time Landlord receives the Expansion Notice. 

  
 11 

 (b) Rent. 
 (i) The Base Rent rate(s) per rentable square foot for the Expansion Space shall be the same as the Base Rent rate(s) per rentable square foot for the initial Subleased Premises on the date the term for
the Expansion Space commences, and shall increase at such times and in such amount as Base Rent for the initial Subleased Premises, it being the intent of Sublandlord and Subtenant that the Base Rent rate(s) per rentable square foot for the
Expansion Space shall always be the same as the Base Rent rate(s) per rentable square foot for the initial Subleased Premises. 

(ii) Subtenant shall pay Operating Costs for the Expansion Space on the same terms and conditions set forth in Section 4 of this
Sublease, provided that Subtenant’s Percentage Share shall be increased appropriately to account for the addition of the Expansion Space. 
 (iii) The Security Deposit will be increased by an amount equal to: 
 (A) if
Subtenant delivers its Exercise Notice prior to the first (1st) anniversary of the Commencement Date, six (6) months’ Base Rent initially payable for the Expansion Space; or 

(B) if Subtenant delivers its Exercise Notice following the first (1st) anniversary of the Commencement Date, (x) six months
Base Rent payable for the Expansion Space multiplied by (y) a fraction, the numerator of which is the number of complete or partial calendar months remaining in the Term as of the date Subtenant delivers its Exercise Notice and the denominator
of which is forty-eight (48) (the “Fraction”). 
 Subtenant will deliver such increased portion of the Security Deposit prior to
Subtenant’s occupancy of the Expansion Space (but Subtenant’s failure to timely deliver such increased portion of the Security Deposit will not postpone the commencement of Subtenant’s obligation to pay Base Rent for the Expansion
Space). Any such additional Security Deposit will be subject to reduction to an amount equal to two (2) months’ Base Rent for the Expansion Space, as, when and if the initial Security Deposit is reduced pursuant to Section 5(b) above.

 (c) Term. The term for the Expansion Space shall commence on the later to occur of (i) a date set forth in
Subtenant’s Expansion Notice, which date cannot be more than thirty (30) days following the date of delivery of Subtenant’s Expansion Notice, (ii) the date that Sublandlord delivers possession of the Expansion Space to Subtenant
for the purpose of Subtenant constructing Subtenant Improvements (defined in Section 16 below) therein, which date cannot be more than thirty (30) days following the date set forth in Subtenant’s Expansion Notice. From and after the
commencement of the term for the Expansion Space, the Expansion Space shall be considered Subleased Premises, subject to all the terms and conditions of this Sublease. 

  
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 (d) Acceptance. 

(i) Generally. The Expansion Space (including improvements and personally, if any) shall be accepted by Subtenant in its
“as-built” condition and configuration existing on the earlier of the date Subtenant takes possession of the Expansion Space or as of the date the term for the Expansion Space commences; provided, that Sublandlord will construct in the
Expansion Space the Second Floor Sublandlord Work (defined in Section 16 below and Exhibit C attached hereto). The construction of the Second Floor Sublandlord Work may take place concurrently with the construction of Subtenant’s
Improvements in the Expansion Space. 
 (ii) Allowance; Abatement. If Subtenant delivers its Exercise Notice prior to
the first (1st) anniversary of the Commencement Date, Subtenant shall be entitled to an improvement allowance equal to Forty Five Dollars ($45.00) per rentable square foot of the Expansion Space, which Allowance shall be distributed in a manner
similar to that described in Section 16(c) below, and Subtenant shall receive an abatement of Base Rent and Operating Costs payable with respect to the Expansion Space for the initial one hundred twenty (120) days following delivery of the
Expansion Space to Subtenant, in the manner described in Section 4(b) above. If Subtenant delivers its Exercise Notice after the first (1st) anniversary of the Commencement Date, then (x) the improvement allowance will be an amount
equal to forty Five Dollars ($45.00) per rentable square foot in the applicable Expansion Space, multiplied by the Fraction, and (y) the length of the abatement period with respect to Base Rent and Operating Costs payable for the Expansion
Space will be one hundred twenty (120) days, multiplied by the Fraction. 
 (iii) No Other Allowances. Except as
expressly set forth herein, no allowances, credits, abatements or other concessions (if any) set forth in this Sublease for the initial Subleased Premises shall apply to the Expansion Space. 

(e) Expansion Amendment. If Subtenant is entitled to and properly exercises the Expansion Option, Sublandlord shall prepare an
amendment (the “Expansion Amendment”) to reflect the commencement date of the term for the Expansion Space and the changes in Base Rent, rentable area of the Subleased Premises, Subtenant’s Percentage Share, the improvement allowance
and Rent abatement described in Section 6(d) above, if applicable and other appropriate terms. A copy of the Expansion Amendment conforming to the terms of this Section 6 shall be (i) sent to Subtenant within a reasonable time after
receipt of the Expansion Notice, and (ii) executed by Subtenant and Sublandlord within fifteen (15) days thereafter. However, if Subtenant has delivered an Expansion Notice, Subtenant will be irrevocably bound to lease the Expansion Space
from Sublandlord on the terms set forth herein regardless of whether Subtenant or Sublandlord timely execute and deliver an Expansion Amendment. 
 (f) Offer Notice. Notwithstanding the foregoing provisions of this Section 6 to the contrary, if at any time prior to Subtenant’s delivery to Sublandlord of an Expansion Notice,
Sublandlord receives an offer from a third party to sublease all or any portion of the Expansion Space which Sublandlord in good faith, believes to be sufficiently attractive to warrant further negotiations, Sublandlord shall give written notice to
Subtenant (“Offer Notice”) 

  
 13 

 
of such event, specifying in such Offer Notice whether all or a portion of the Expansion Space is covered by such offer. In such event, Subtenant shall have five (5) business days following
delivery of such Offer Notice in which to deliver an Expansion Notice to Sublandlord, thereby exercising Expansion Option with respect to the Expansion Space (or, at Subtenant’s option, such portion, of the Expansion Space that is the subject
of the offer). If Subtenant fails to timely deliver an Expansion Notice following Sublandlord’s delivery to Subtenant of an Offer Notice, Sublandlord shall be free to sublease the applicable portion of the Expansion Space to such third party,
upon such terms and conditions as Sublandlord may deem appropriate, and the Expansion Option shall thereafter be null and void and of no further force and effect with respect to such portion of the Expansion Space; if the Offer Notice covers only a
portion of the Expansion Space, then Subtenant will continue to have the Expansion Option with respect to the remainder of the Expansion Space, subject to Sublandlord’ s right to deliver an Offer Notice to Subtenant with respect to such space
in accordance with the provisions of this Section 6(f). 
 7. Use and Occupancy. 

7.1 Use. The Subleased Premises shall be used and occupied only for general office use, and for no other use or purpose.

 7.2 Compliance with Master Lease. Subtenant agrees that it will occupy the Subleased Premises in accordance with the
terms of the Master Lease and each party agrees that it will not do or omit to do or permit any act which may result in a violation of or a default under any of the terms and conditions of the Master Lease, or render Sublandlord or Subtenant liable
for any damage, charge or expense thereunder. Except as otherwise expressly provided herein, Sublandlord will perform its covenants and obligations under the Master Lease which do not require for their performance possession of the Subleased
Premises and which are not otherwise to be performed hereunder by Subtenant on behalf of Sublandlord. Each party further covenants and agrees to indemnify the other party against and hold the other harmless from any claim, demand, action,
proceeding, suit, liability, loss, judgment, expense (including attorneys fees) and damages of any kind or nature whatsoever arising out of, by reason of, or resulting from, such party’s failure to perform or observe any of the terms and
conditions of the Master Lease or this Sublease. Any other provision in this Sublease to the contrary notwithstanding, Subtenant shall pay to Sublandlord as Rent hereunder any and all sums which Sublandlord may be required to pay Landlord arising
out of a request by Subtenant for, or use by Subtenant of, additional or over-standard Building services from Landlord (for example, but not by way of limitation, charges associated with after-hour HVAC usage and overstandard electrical charges) and
Sublandlord agrees to cooperate with Subtenant in requesting such additional services. 
 7.3 Landlord’s
Obligations. Sublandlord hereby grants to Subtenant the right to receive all of the services and benefits with respect to the Premises which are to be provided by Landlord under the Master Lease. Subtenant agrees that Sublandlord shall not be
required to perform any of the covenants, agreements and/or obligations of Landlord under the Master Lease and, insofar as any of the covenants, agreements and obligations of Sublandlord hereunder are required to be performed under the Master Lease
by Landlord thereunder, Subtenant acknowledges and agrees that Sublandlord shall be entitled to look to Landlord for such performance. In addition, Sublandlord shall have no obligation to perform any repairs or

  
 14 

 
any other obligation of Landlord under the Master Lease. Sublandlord shall not be responsible for any failure or interruption, for any reason whatsoever, of the services or facilities that may be
appurtenant to or supplied at the Building by Landlord or otherwise, including, without limitation, heat, air conditioning, ventilation, life-safety, water, electricity, elevator service and cleaning service, if any; and no failure to furnish, or
interruption of, any such services or facilities shall give rise to any (i) abatement, diminution or reduction of Subtenant’s obligations under this Sublease except as otherwise provided herein, or (ii) liability on the part of
Sublandlord. Notwithstanding the foregoing, Sublandlord shall promptly take such action as may be necessary, under the circumstances, to secure such performance upon Subtenants request to Sublandlord to do so and shall thereafter diligently
prosecute such performance on the part of Landlord. Notwithstanding the foregoing provisions of clause (i) above, if an Essential Services Interruption Event (as said term is defined in Section 15.B of the Original Master Lease) occurs
which is due to the act or omission of Sublandlord, and Subtenant is prevented from using, and does not use, an Affected Area (as said term is defined in Section l5.B of the Original Master Lease) as a result of such Essential Services Interruption
event for a period in excess of the Eligibility Period (as said term is defined in Section l5.B of the Original Master Lease), the Rent payable under this Sublease shall be abated after the expiration of the Eligibility Period for such time that
Subtenant continues to be prevented from using, and does not use, the Affected Area in the proportion that the rentable area of the Affected Area bears to the total rentable area of the Subleased Premises. 

8. Master Lease and Sublease Terms. 
 8.1 Subject to Master Lease. This Sublease is and shall be at all times subject and subordinate to the Master Lease. Subtenant acknowledges that Subtenant has reviewed and is familiar with all of
the terms, agreements, covenants and conditions of the Master Lease. Additionally, Subtenant’s rights under this Sublease shall be subject to the terms of the Consent. During the Term and for all periods subsequent thereto with respect to
obligations which have arisen prior to the termination of this Sublease, Subtenant agrees to perform and comply with, for the benefit of Sublandlord and Landlord, the obligations of Sublandlord under the Master Lease which pertain to the Subleased
Premises and/or this Sublease, except for those provisions of the Master Lease which are directly contradicted by this Sublease, in which event the terms of this Sublease document shall control over the Master Lease. Notwithstanding the foregoing,
Subtenant shall have no obligation to maintain any element of the Master Lease Premises that is not part of the Subleased Premises. As between Sublandlord and Subtenant, all such portions of the Master Lease Premises shall be Sublandlord’s sole
responsibility. 
 8.2 Representations. Sublandlord represents and warrants to Subtenant that (a) Sublandlord has
delivered to Subtenant a full and complete copy of the Master Lease and all other agreements between Landlord and Sublandlord relating to the leasing, use and occupancy of the Premises, (b) the Master Lease is, as of the date hereof, in full
force and effect, and (c) no event of default has occurred under the Master Lease and, to Sublandlord’s knowledge, no event has occurred and is continuing which would constitute an event of default but for the requirement of giving notice
and/or the expiration of the period of time to cure. 

  
 15 

 8.3 Incorporation of Terms of Master Lease. The terms, conditions and respective
obligations of Sublandlord and Subtenant to each other under this Sublease shall be the terms and conditions of the Master Lease, except for those provisions of the Master Lease which are directly contradicted by this Sublease, in which event the
terms of this Sublease shall control over the Master Lease. Therefore, for the purposes of this Sublease, wherever in the Master Lease the word “Landlord” is used it shall be deemed to mean Sublandlord and wherever in the Master Lease the
word “Tenant” is used it shall be deemed to mean Subtenant. Any non- liability, release, indemnity or hold harmless provision in the Master Lease for the benefit of Landlord that is incorporated herein by reference, shall be deemed to
inure to the benefit of Sublandlord, Landlord, and any other person intended to be benefited by said provision, for the purpose of incorporation by reference in this Sublease. Any right of Landlord under the Master Lease (a) of access or inspection,
(b) to do work in the Master Lease Premises or in the Building, (c) in respect of rules and regulations, which is incorporated herein by reference, shall be deemed to inure to the benefit of Sublandlord, Landlord, and any other person
intended to be benefited by said provision, for the purpose of incorporation by reference in this Sublease. 
 8.4
Modifications. For the purposes of incorporation herein, the terms of the Master Lease are subject to the following additional modifications:, 
 (a) Approvals. In all provisions of the Master Lease (under the terms thereof and without regard to modifications thereof for purposes of incorporation into this Sublease) requiring the approval or
consent of Landlord, Subtenant shall be required to obtain the approval or consent of both Sublandlord and Landlord. 
 (b)
Deliveries. In all provisions of the Master Lease requiring Tenant to submit, exhibit to, supply or provide Landlord with evidence, certificates, or any other matter or thing, Subtenant shall be required to submit, exhibit to, supply or
provide, as the case may be, the same to both Landlord and Sublandlord. 
 (c) Damage; Condemnation. Sublandlord shall
have no obligation to restore or rebuild any portion of the Subleased Premises after any destruction or taking by eminent domain. 
 (d) Insurance. In all provisions of the Master Lease requiring Tenant to designate Landlord as an additional or named insured on its insurance policy, Subtenant shall be required to so designate
Landlord and Sublandlord on its insurance policy. 
 8.5 Exclusions. Notwithstanding the terms of Section 8.2
above, Subtenant shall have no rights nor obligations under the following parts, Sections and Exhibits of the Master Lease: 

(a) Original Master Lease: Basic Lease Information (other than definition of “Project Description”, “Permitted
Use”, and “Occupancy Density”), Articles 2, 3, 6, Section 7.E, Section 8.B(7), Section 13.B, Articles 19, 25, 32, 33, Sections 38.J., 38.L, 38.U, 39.A, 39.C, 39.E and Exhibit C. 

(b) First Amendment: All. 

  
 16 

 8.6 Additional Modifications. Notwithstanding the terms of Section 8.2 above, the
following provisions of the Master Lease are modified as described below for the purpose of their incorporation into this Sublease: 
 (a) With respect to Section 4.C of the Original Master Lease, references to “Landlord” in the eighth (8th) sentence of said section shall be deemed to be references to Landlord and not
Sublandlord. Similarly, references in the final two (2) sentences of Section 4.C of the Original Master Lease to “Landlord” shall be deemed to be references to Landlord and not Sublandlord; 

(b) With respect to the first (1st) full paragraph of the Original Master Lease following Section 7(A)(4) of the Original
Master Lease, references to “Building and/or Project” or “Building or Project” shall be deemed to be references to the Master Lease Premises; 
 (c) The fifth (5th) sentence of Section l2.A of the Original Master Lease shall be revised to provide that Subtenant shall have the right, without the consent of Sublandlord, to make Alterations that
comply with the provisions of this sentence and which cost, in the aggregate, less than Subtenant’s Proportionate Share of Fifty Thousand Dollars ($50,000.00); 
 (d) With respect to Section 15.B of the Original Master Lease, Tenant shall be entitled to an abatement of rent in the event of an Essential Services Interruption Event (as said term is defined in
said Section 15.B) only to the extent that Sublandlord is entitled to a similar abatement of rent or in the event such Essential Services Interruption Event is caused by Sublandlord or by Sublandlord’s breach of this Sublease or the Master
Lease; 
 (e) All references in Section 21.A(1) of the Original Master Lease to Landlord’s right to terminate the
Master Lease shall be deemed to not apply to Sublandlord or this Sublease and Sublandlord shall have no right to terminate this Sublease as a result of Subtenant’s assignment or subleasing of the Subleased Premises; 

(f) The definition of Bonus Rent in Section 21.B of the Original Master Lease is revised to delete clause (ii) from the first
(1st) sentence of Section 21.B of the Original Master Lease; and 
 (g) With respect to Article 37 of the Original
Master Lease, the reference in the first (1st) sentence to the “Basic Lease Information” shall be deemed a reference to Section 18 below. 
 9. Assignment and Subletting. Subtenant shall not assign this Sublease or further sublet all or any part of the Subleased Premises except subject to and in compliance with all of the terms and
conditions of Article 21 of the Original Master Lease, and Sublandlord (in addition to Master Landlord) shall have the same approval rights with respect to assignment and subleasing as Landlord has under such Article 21. Subtenant shall pay all fees
and costs payable to Master Landlord pursuant to the Master Lease in connection with any proposed assignment, sublease or transfer of the Subleased Premises, together with all of Sublandlord’s reasonable out-of-pocket costs relating to
Subtenant’s request for such consent, regardless of whether such 

  
 17 

 
consent is granted, and the effectiveness of any such consent shall be conditioned upon Master Landlord’s and Sublandlord’s receipt of all such fees and costs. 

10. Default. Except as expressly set forth herein, Subtenant shall perform all obligations in respect of the Subleased Premises
that Sublandlord would be required to perform pursuant to the Master Lease. It shall constitute an event of default hereunder if Subtenant fails to perform any obligation hereunder (including, without limitation, the obligation to pay Rent), or any
obligation under the Master Lease which has been incorporated herein by reference, and, in each instance, Subtenant has not remedied such failure after delivery of any written notice required under this Sublease and passage of any applicable grace
or cure period provided in the Master Lease, less three (3) business days, provided that in no event shall any such period be shortened to less than three (3) days. 
 11. Remedies. In the event of any default hereunder by Subtenant, Sublandlord shall have all remedies provided to the “Landlord” in the Master Lease as if an event of default had occurred
thereunder and all other rights and remedies otherwise available at law and in equity. Without limiting the generality of the foregoing, Sublandlord may continue this Sublease in effect after Subtenant’s breach and abandonment and recover Rent
as it becomes due. Sublandlord may resort to its remedies cumulatively or in the alternative. 
 12. Right to Cure
Defaults. If Subtenant fails to perform any of its obligations under this Sublease after expiration of applicable grace or cure periods, then Sublandlord may, but shall not be obligated to, perform any such obligations for Subtenant’s
account. All costs and expenses incurred by Sublandlord in performing any such act for the account of Subtenant shall be deemed Rent payable by Subtenant to Sublandlord upon demand, together with interest thereon at the lesser of (i) twelve
percent (12%) per annum or (ii) the maximum rate allowable under law (the “Interest Rate”) from the date of demand to Subtenant until repaid. If Sublandlord undertakes to perform any of Subtenant’s obligations for the
account of Subtenant pursuant hereto, the taking of such action shall not constitute a waiver of any of Sublandlord’s remedies. Subtenant hereby expressly waives its rights under any statute to make repairs at the expense of Sublandlord.

 13. Consents and Approvals. Except as otherwise provided herein, Sublandlord shall not unreasonably withhold, or delay
its consent to or approval of a matter requiring Sublandlord’s consent hereunder. In the event Landlord’s consent is required hereunder, Sublandlord hereby agrees to cooperate with Subtenant in obtaining such consent, including, without
limitation, delivering any applicable documentation requested by Sublandlord. 
 14. Sublandlord’s Liability.
Notwithstanding any other term or provision of this Sublease, the liability of Sublandlord to Subtenant for any default in Sublandlord’s obligations under this Sublease shall be limited to actual, direct damages, and under no circumstances
shall Subtenant, its partners, members, shareholders, directors, agents, officers, employees, contractors, sublessees, successors and/or assigns be entitled to recover from Sublandlord (or otherwise be indemnified by Sublandlord) for (a) any
losses, costs, claims, causes of action, damages or other liability incurred in connection with a failure of Landlord, its partners, members, shareholders, directors, agents, officers, employees, contractors, successors and /or assigns to perform or
cause to be performed Landlord’s obligations under the Master 

  
 18 

 
Lease, except to the extent caused by Sublandlord or Sublandlord’s breach of this Sublease or the Master Lease, (b) lost revenues, lost profit or other consequential, special or
punitive damages arising in connection with this Sublease for any reason, or (c) any damages or other liability arising from or incurred in connection with the condition of the Subleased Premises or suitability of the Subleased Premises for
Subtenant’s intended uses, except to the extent caused by the gross negligence or willful misconduct of Sublandlord or Sublandlord’s breach of this Sublease or the Master Lease. Subtenant shall, however, have the right to seek any
injunctive or other equitable remedies as may be available to Subtenant under applicable law. Notwithstanding any other term or provision of this Sublease, no personal liability shall at any time be asserted or enforceable against Sublandlord’
s stockholders, directors, officers, or partners on account of any of Sublandlord’s obligations or actions under this Sublease. As used in this Sublease, the term “Sublandlord” means the holder of the tenant’s interest under the
Master Lease and “Sublandlord” means the holder of sublandlord’s interest under this Sublease. In the event of any assignment or transfer of the Sublandlord’s interest under this Sublease, which assignment or transfer may occur
at any time during the Term in Sublandlord’s sole discretion, Sublandlord shall be and hereby is entirely relieved of all covenants and obligations of Sublandlord hereunder accruing subsequent to the date of the transfer and it shall be deemed
and construed, without further agreement between the parties hereto, that any transferee has assumed and shall carry out all covenants and obligations thereafter to be performed by Sublandlord hereunder, provided that Sublandlord has delivered the
Security Deposit to the transferee and the transferee has expressly assumed Sublandlord’s obligations under this Sublease. Sublandlord shall transfer and deliver any then existing Security Deposit to the transferee of Sublandlord’s
interest under this Sublease, and thereupon Sublandlord shall be discharged from any further liability with respect thereto. 

15. Attorneys’ Fees. If Sublandlord or Subtenant brings an action to enforce the terms hereof or to declare rights hereunder,
the prevailing party who recovers substantially all of the damages, equitable relief or other remedy sought in any such action on trial and appeal shall be entitled to receive from the other party its costs associated therewith, including, without
limitation, reasonable attorney’s fees and costs from the other party. 
 16. Delivery of Possession. 

16.1 Generally. Sublandlord shall deliver, and Subtenant shall accept, possession of the Subleased Premises in their “AS
IS” condition as the Subleased Premises exists on the date hereof. Sublandlord shall have no obligation to furnish, render or supply any work, labor, services, materials, furniture, fixtures, equipment, decorations or other items to make the
Subleased Premises ready or suitable for Subtenant’s occupancy; except that Sublandlord will, at Sublandlord’s expense, construct the improvements in the First Floor Space described in the Work Agreement attached hereto as Exhibit C
(the “First Floor Sublandlord Work”) prior to the Commencement Date; additionally, if Subtenant exercises the Expansion Option, Sublandlord will perform the work described in Exhibit C attached hereto as the “Second Floor
Sublandlord Work” in the Expansion Space. Subtenant acknowledges that Sublandlord will be performing the Sublandlord Work concurrently with Subtenant’s performance of Subtenant’s initial Subtenant Improvements (defined in
Section 16.2 below). The parties agree to cooperate in good faith to coordinate the concurrent performance of the Sublandlord Work and the initial Subtenant Improvements so as to avoid any interference of either party’s work. In addition
to the Sublandlord Work, Sublandlord shall be responsible for constructing a demising wall on the First 

  
 19 

 
Floor Space concurrently with Subtenant’s construction of the initial Subtenant Improvements. Such demising wall shall be constructed in a location mutually acceptable to the parties and
shall allow the front entry of the First Floor Space to be located in the main lobby of the Building and will be delivered taped and finished and ready for painting. In making and executing this Sublease, Subtenant has relied solely on such
investigations, examinations and inspections as Subtenant has chosen to make or has made and has not relied on any representation or warranty concerning the Subleased Premises or the Building, except as expressly set forth in this Sublease.
Subtenant acknowledges that Sublandlord has afforded Subtenant the opportunity for full and complete investigations, examinations and inspections of the Subleased Premises and the common areas of the Building. Subtenant acknowledges that it is not
authorized to make or do any alterations or improvements in or to the Subleased Premises except as permitted by the provisions of this Sublease and the Master Lease; additionally, at Subtenant’s cost, Subtenant will remove all
telecommunications and data cabling installed by or for the benefit of Subtenant. 
 16.2 Subtenant’s Improvements.

 (a) Generally. The parties hereto intend that Subtenant will construct certain improvements within all of the
Subleased Premises, so as to fully build out the Subleased Premises (“Subtenant Improvements”). All Subtenant Improvements shall be carried out in accordance with the Master Lease, in connection therewith, Subtenant will design all
Subtenant Improvements so as to conform with the requirements of Schedule 2 to Exhibit C to the Original Master Lease. Subtenant acknowledges that, with respect to the First Floor Space, the floor is currently unfinished, and, as part of
Subtenant’s initial Subtenant Improvements, Subtenant must complete the floor of the First Floor Space. Sublandlord will have the right to approve the plans and specifications for any proposed Subtenant Improvements, as well as any contractors
whom Subtenant proposes to retain to perform such work, which approval shall not be unreasonably withheld or delayed. Sublandlord shall use diligent efforts to respond to any request by Subtenant to make any Subtenant Improvements (which request
must contain all information necessary for Sublandlord and Landlord to review and respond, as described or required in the Master Lease) within ten (10) business days after receipt of such request for consent from Subtenant. Subtenant expressly
acknowledges that Sublandlord will withhold consent to any build-out plan which does not include the construction of Subtenant Improvements, to a first-class level, in all of the Subleased Premises (i.e., Subtenant will not be permitted to
“warehouse” a portion of the Subleased Premises or otherwise leave any portion of the Subleased Premises unimproved or under-improved), provided that Subtenant shall have the right to use the First Floor Space as a staging area and leave
it unimproved for a period of six (6) months after the Commencement Date. Subtenant will submit all such information for Sublandlord’s review and written approval prior to commencement of any such work. Additionally, Landlord will have the
right to review and approve all plans for Subtenant Improvements in accordance with the provisions of the Master Lease, and while Sublandlord will reasonably assist Subtenant in the procurement of such approval, Subtenant will use diligent efforts
to provide Landlord with all information requested by Landlord in an effort to assist Landlord in evaluating and approving the Subtenant Improvements. Subtenant expressly acknowledges that Landlord or Sublandlord may require Subtenant to remove some
or all of the Subtenant Improvements at the expiration or sooner termination of the Term and Subtenant shall be notified of such obligation in accordance with Section 12.D of the Original Master Lease; notwithstanding the foregoing, if Landlord
does not require the removal of a specific Subtenant 

  
 20 

 
Improvement, Sublandlord will not require the removal of such Subtenant Improvement, unless, in Sublandlord’s good faith determination, such Subtenant Improvement is not typical for a normal
class “A” office build-out (by way of example, but not by way of limitation, such Subtenant Improvement features an oversized data center, cafeteria, fitness center, or specialized improvements which are not amenable to reuse or re-lease
by future occupants). Further, if Sublandlord initially (pursuant to the provisions of Section 12.D of the Original Master Lease) requires the removal of any Subtenant Improvement which Landlord does not require the removal of, and if Subtenant
thereafter exercises the Option to Extend, at the expiration of the Option Term, Subtenant shall not be required to remove such Subtenant Improvement. Sublandlord shall not require the removal of Subtenant Improvements constructed in substantial
compliance with the space plan attached hereto as Exhibit E, which space plan is approved by Sublandlord (Sublandlord reserves the right to approve construction drawings based upon such space plan) but must be approved by Landlord. Promptly
following the completion of any Subtenant Improvements or subsequent alterations or additions by or on behalf of Subtenant, Subtenant will deliver to Sublandlord a reproducible copy of “as built” drawings of such work together with a CAD
file of the “as-built” drawings in the then-current version of AutoCad. All further alterations to the Subleased Premises by Subtenant shall comply with the terms of Section 12 of the Original Master Lease, subject to
Section 8.6(iii) of this Sublease. 
 (b) Code-Required Work. If the performance of any Subtenant Improvements or
other work by Subtenant within the Subleased Premises “triggers” a requirement for code-related upgrades to or improvements of any portion of the Building, Subtenant shall be responsible for the cost of such code-required upgrade or
improvements to the Building. 
 (c) Allowance. 

(i) Provided Subtenant is not in default hereunder, beyond any applicable notice and cure period, Sublandlord agrees to contribute
$1,778,070.00 (the “Allowance”) toward the cost of design and construction of the initial Subtenant Improvements; the Allowance will be allocated among the First Floor Space and the Fourth Floor Space as follows: $165,900.00 (i.e., $60.00
per rentable square foot) will be applied to the design and construction of Subtenant Improvements in the First Floor Space, and $1,612,170.00 (i.e., $45.00 per rentable square foot) will be applied towards the design and construction of Subtenant
Improvements in the Fourth Floor Space. Prior to the commencement of construction of the initial Subtenant Improvements, Subtenant will submit to Sublandlord an estimate of the cost of design and construction of such Subtenant Improvements based
upon the general contractor’s bid for such work (the “Improvements Cost”). As work progresses, Sublandlord will disburse the Allowance to Subtenant in monthly draws based upon the ratio that the Allowance bears to the Improvements
Cost (for example, if the Allowance is eighty percent (80%) of the Improvements Cost, Sublandlord will fund eighty percent (80%) of the monthly draws), as follows: monthly disbursements of the Allowance shall be paid to Subtenant’s
contractor within thirty (30) days after receipt of the following documentation: (x) an application for payment containing true, correct and complete copies of invoices from Subtenant’s contractors or vendors covering all of the Subtenant
Improvements covered by such draw; (y) contractor’s, subcontractor’s and material supplier’s conditional waivers of liens which shall cover all of the Subtenant Improvements and all other statements and forms required for

  
 21 

 
compliance with the mechanics’ lien laws of the state of California; and (z) plans and specifications for the Subtenant Improvements, together with a certificate from an AIA architect
that such plans and specifications comply in all material respects with all laws affecting the Building and Subleased Premises; notwithstanding anything herein to the contrary, Sublandlord shall not be obligated to disburse any portion of the
Allowance during the continuance of an uncured default under this Sublease, and Sublandlord’s obligation to disburse shall only resume when and if such default is cured. 
 (ii) Notwithstanding the allocations of the Allowance as between the Fourth Floor Space and the First Floor Space described in Section 16.2(c)(i) above, if, following the completion of the initial
Subtenant Improvements, the cost of the initial Subtenant Improvements constructed on one floor of the Subleased Premises exceeded the applicable Allowance allocation for such floor (thereby resulting in Subtenant paying such excess cost), but the
cost of the initial Subtenant Improvements on the other floor of the Subleased Premises were less than the allocated Allowance amount for such floor (and, as a result, Subtenant did not expend all of the portion of the Allowance allocated to such
floor), then upon prior written approval of Sublandlord (which shall not be unreasonably withheld, conditioned or delayed), Subtenant may apply the unallocated portion of the Allowance towards the excess cost incurred on the alternate floor; by way
of example, if the initial Subtenant Improvements in the First Floor Space cost $63.00 per rentable square foot, such that Subtenant paid $3.00 per rentable square foot of the First Floor Space (i.e., $8,295.06) directly towards the cost of such
Subtenant Improvements, but the initial Subtenant Improvements in the Fourth Floor Space cost $44.00 per rentable square foot (leaving an excess Allowance allocation with respect to the Fourth Floor Space of $35,826.00), Subtenant shall be permitted
to apply $8,295.00 from such excess portion of the Allowance allocated to the Fourth Floor Space towards the cost of initial Subtenant Improvements constructed in the First Floor Space. Notwithstanding the foregoing, Sublandlord’s right to
approve such reallocation of the Allowance as set forth in the preceding sentence shall be limited to Sublandlord’s satisfaction that Subtenant has fully built out all of the Subleased Premises in the manner described below in this Section
l6.2(c)(iii). Any Allowance not applied towards the cost of construction of the initial Subtenant Improvements may be applied by Subtenant towards the cost of purchase and installation of cabling, wiring, furniture and other costs of moving into the
Subleased Premises; such application will take place by Sublandlord’s reimbursement to Subtenant of such excess within thirty (30) days after written request by Subtenant, accompanied by applicable invoices. However, no such use of any
portion of the Allowance will take place unless and until Subtenant has constructed Subtenant Improvements within the entire Subleased Premises to a first class standard (including, without limitation, the following: the Subleased Premises shall
have been improved with a drop ceiling, all necessary HVAC ductwork and systems will be operational, all improvements will be completed to the extent necessary to comply with Title 24 requirements and the Americans with Disabilities Act, and all
surfaces shall be finished appropriately). Additionally, if any portion of the Allowance is spent on the cost of acquisition of furniture or Eligible Personal Property (defined below), at Sublandlord’s option, such furniture or Eligible
Personal Property will become the property of Sublandlord at the expiration or sooner termination of the Term; however, if Subtenant exercises the Option to Extend, at the expiration of the Option Term, any such furniture or Eligible Personal
Property will become the property of Subtenant and Subtenant will be responsible for the removal of same. Any Allowance not applied to the foregoing costs following the full initial build-out of the Subleased Premises shall be applied as a

  
 22 

 
credit against Base Rent next due and payable under this Sublease. As used herein, “Eligible Personal Property” shall mean major mechanical or electrical equipment (not including
desktop computers), cubicles, major kitchen appliances and telecommunication or data cabling, all of which are itemized and agreed to by the parties to constitute Eligible Personal Property. 

(d) MPOE. The Building’s Main Point of Entry (“MPOE”) is located in the garage of Building. As part of the
Subtenant Improvements, Subtenant shall install a connection between the Subleased Premises to the MPOE through the communications riser room; the location of Subtenant’s connection shall be subject to the prior written approval of Sublandlord,
which shall not be unreasonably withheld, conditioned or delayed and the prior written consent of Landlord. 
 (e) Building
Management Systems. In the design of all Subtenant Improvements, Subtenant will install “Automatic Controls” for all Building management system programming and communications. Sublandlord will provide Subtenant with appropriate
specifications. 
 17. Holding Over. If Subtenant fails to surrender the Subleased Premises at the expiration or earlier
termination of this Sublease, occupancy of the Subleased Premises after the termination or expiration shall be that of a tenancy at sufferance. Subtenant’s occupancy of the Subleased Premises during the holdover shall be subject to all the
terms and provisions of this Sublease and Subtenant shall pay an amount equal to 150% of the sum of the Base Rent and Additional Rent due for the period immediately preceding the holdover. No holdover by Subtenant or payment by Subtenant after the
expiration or early termination of this Sublease shall be construed to extend the Term or prevent Sublandlord from immediate recovery of possession of the Subleased Premises by summary proceedings or otherwise. In addition to the payment of the
amounts provided above, if (x) Subtenant holds over for a period in excess of thirty (30) days beyond the Expiration Date (i.e., of the initial Term) or (y) holds over beyond the date of expiration of the Option Term, and in either
event Sublandlord is unable to deliver possession of the Subleased Premises to a new subtenant or to Landlord, as the case may be, or to perform improvements for a new subtenant, as a result of Subtenant’s holdover, Subtenant shall be liable to
Sublandlord for all damages, including, without limitation, consequential damages, that Sublandlord suffers from the holdover; Subtenant expressly acknowledges that such damages may include all of the holdover rent charged by Landlord under the
Master Lease as a result of Subtenant’s holdover, which Master Lease holdover rent may apply to the entire Master Lease Premises. 
 18. Parking. During the Term Subtenant shall be permitted to use one hundred sixteen (116) of the unreserved parking spaces allocated to Sublandlord in the Master Lease in accordance with and
subject to the terms of Article 32 of the Original Master Lease. 
 19. Notices: Any notice by either party to the other
required, permitted or provided for herein shall be valid only if in writing and shall be deemed to be duly given only if (a) delivered personally, or (b) sent by means of Federal Express, UPS Next Day Air or another reputable express mail
delivery service guaranteeing next day delivery, or (c) sent by United States Certified or registered mail, return receipt requested, addressed: (i) if to Sublandlord, at the following addresses: 

  
 23 

 Oracle USA, Inc. 

c/o Oracle Corporation 
 1001 Sunset Boulevard 
 Rocklin, California 95765 

Attn: Lease Administration 
 with a copy to: 
 Oracle USA, Inc. 

c/o Oracle Corporation 
 500 Oracle Parkway 
 Box 5OP7 

Redwood Shores, California 94065 

Attn: Legal Department 
 and (ii) if to Subtenant, at the following address: 
 Prior to the date Subtenant opens for
business at the Subleased Premises: 
 WageWorks, Inc. 

2 Waters Park Drive, Suite 250 

San Mateo, California 94403 
 Attn: Corporate Counsel 
 After Subtenant opens for business at the Subleased
Premises: 
 WageWorks, Inc. 

1100 Park Place 
 San Mateo, California 94403 
 Attn: Corporate Counsel 

or at such other address for either party as that party may designate by notice to the other. A notice shall be deemed given and effective, if delivered
personally, upon hand delivery thereof (unless such delivery takes place after hours or on a holiday or weekend, in which event the notice shall be deemed given on the next succeeding business day), if sent via overnight courier, on the business day
next succeeding delivery to the courier, and if mailed by United States certified or registered mail, three (3) business days following such mailing in accordance with this Section. 

20. Signage: Subject to procuring the prior written approval of Landlord and Sublandlord (Sublandlord’s approval not to be
unreasonably withheld), Subtenant shall have the right to install (i) signage in the Subleased Premises, at Subtenant’s cost, (ii) Building-standard signage in the Building lobby directory identifying Subtenant, initially, at
Sublandlord’s cost (any revisions to or replacement of such signage following the initial installation to be at Subtenant’s sole cost), (iii) uniform signage in the Master Lease Premises identifying individual suites by number, at
Sublandlord’s cost, (iv) for so long as Subtenant subleases and occupies the entire fourth (4th) floor of the Building, signage on the exterior of the Building, in a location shown on Exhibit F attached hereto and of a design
and size approved by Landlord, identifying 

  
 24 

 
Subtenant, at Subtenant’s cost (the “Exterior Signage”) and (v) in the event and for so long as Subtenant subleases and occupies either the entire Expansion Space or forty-two
percent (42%) or more of an additional floor in the Building, an additional sign on the exterior of the Building in a location preferred by Subtenant and to be agreed to by Landlord, Sublandlord and Subtenant, identifying Subtenant, at
Subtenant’s cost (the “Additional Exterior Signage”). All such signage shall also be subject to the prior approval of the City of San Mateo where applicable. All costs of maintenance of any such signage shall be borne exclusively by
Subtenant. On or before the Expiration Date, Subtenant, at Subtenant’s sole cost and expense, will cause all such signage to be removed and all damage caused by the installation or removal of such signage shall be repaired to Landlord’s
satisfaction by Subtenant at Subtenant’s sole cost and expense. The right to maintain the Exterior Signage or the Additional Exterior Signage is personal to the original Subtenant herein (and any assignee of Subtenant meeting the requirements
of Section 21.A(3) of the Original Master Lease, as incorporated herein by reference). 
 21. Brokers. Subtenant
represents that it has dealt directly with and only with The Staubach Company (“Subtenant’s Broker”), as a broker in connection with this Sublease. Sublandlord represents that it has dealt directly with and only with Colliers
International (“Sublandlord’s Broker”), as a broker in connection with this Sublease. Sublandlord and Subtenant shall indemnify and hold each other harmless from all claims of any brokers other than Subtenant’s Broker and
Sublandlord’s Broker claiming to have represented Sublandlord or Subtenant in connection with this Sublease. Subtenant and Sublandlord agree that Subtenant’s Broker and Sublandlord’s Broker shall be paid commissions by Sublandlord in
connection with this Sublease pursuant to a separate agreement. 
 22. Complete Agreement. There are no representations,
warranties, agreements, arrangements or understandings, oral or written, between the parties or their representatives relating to the subject matter of this Sublease which are not fully expressed in this Sublease. This Sublease cannot be changed or
terminated nor may any of its provisions be waived orally or in any manner other than by a written agreement executed by both parties. 
 23. Interpretation. Irrespective of the place of execution or performance, this Sublease shall be governed by and construed in accordance with the laws of the State of California. If any provision
of this Sublease or the application thereof to any person or circumstance shall, for any reason and to any extent, be invalid or unenforceable, the remainder of this Sublease and the application of that provision to other persons or circumstances
shall not be affected but rather shall be enforced to the extent permitted by law. The table of contents, captions, headings and titles, if any, in this Sublease are solely for convenience of reference and shall not affect its interpretation. This
Sublease shall be construed without regard to any presumption or other rule requiring construction against the party causing this Sublease or any part thereof to be drafted. If any words or phrases in this Sublease shall have been stricken out or
otherwise eliminated, whether or not any other words or phrases have been added, this Sublease shall be construed as if the words or phrases so stricken out or otherwise eliminated were never included in this Sublease and no implication or inference
shall be drawn from the fact that said words or phases were so stricken out or otherwise eliminated. Each covenant, agreement, obligation or other provision of this Sublease shall be deemed and construed as a separate and independent covenant of the
party bound by, undertaking or making same, not dependent on any other provision of this Sublease unless otherwise expressly provided. All 

  
 25 

 
terms and words used in this Sublease, regardless of the number or gender in which they are used, shall be deemed to include any other number and any other gender as the context may require. The
word “person” as used in this Sublease shall mean a natural person or persons, a partnership, a corporation or any other form of business or legal association or entity. 

24. Counterparts. This Sublease may be executed in separate counterparts, each of which shall constitute an original and all of
which together shall constitute one and the same instrument. This Sublease shall be fully executed when each party whose signature is required has signed and delivered to each of the parties at least one counterpart, even though no single
counterpart contains the signatures of all parties hereto. 
 IN WITNESS WHEREOF, the parties hereto hereby execute this
Sublease as of the day and year first above written. 
  

			
	SUBLANDLORD:	 	ORACLE USA, INC.,
		 	a Colorado corporation
		
	By:	 	 /s/ Randall W. Smith

	Print Name:	 	 Randall W. Smith

	Title:	 	 VP, Real Estate and Facilities

		
	SUBTENANT:	 	 WAGEWORKS, INC.,
 a Delaware
corporation

		
	By:	 	/s/ Kathleen R. McElwee
	Print Name:	 	  

Kathleen R. McElwee

	Title:	 	 CFO

  
 26 

 EXHIBIT A - 1 
 BAY MEADOWS – 4TH FLOOR 
 SUBLEASE PREMISES 

 

 

 EXHIBIT A - 2 
 BAY MEADOWS –1ST FLOOR 
 SUBLEASE PREMISES 

 

 

 EXHIBIT A – 3 
 BAY MEADOWS – 2ND FLOOR 
 EXPANSION PREMISES 

 

 

 EXHIBIT B 

Commencement Agreement 
  

					
	Date	  	  
	  	
			
	Subtenant	  	Wageworks, Inc.	  	
	Address	  	  
	  	
		  	  
	  	
		  	  
	  	

  

			
	Re:	  	Commencement Letter with respect to that certain Sublease dated as of the      day of
                    , 2006, by and between ORACLE USA, INC., a Colorado corporation, as Sublandlord, and WAGEWORKS, INC., a Delaware
corporation, as Subtenant, for 38,249 rentable square feet on the first (1st) and fourth (4th) floors of the Building located at 1100 Park Place, San Mateo, California.

Dear
                        : 
 In accordance with the terms and conditions of the above referenced Sublease, Subtenant accepts possession of the Premises and agrees: 

 

	 	1.	The Commencement Date is
                        ; 

  

	 	2.	The Expiration Date is
                        . 

 Please acknowledge your acceptance of possession and agreement to the terms set forth above by signing all 3 counterparts of this Commencement Letter in the space provided and returning 2 fully executed
counterparts to my attention. 
 Sincerely, 
  

	
	  

	Authorized Signatory

 Agreed and Accepted: 

 

					
		 	Subtenant:	 	WAGEWORKS, INC.
			
		 	By:	 	  

		 	Name:	 	  

		 	Title:	 	  

		 	Date:	 	  

  
 1 

 EXHIBIT C 

Sublandlord Work 
 1. Sublandlord Work: Sublandlord will perform the following Sublandlord Work in the areas of the Subleased Premises described below (the “Sublandlord Work”): 

(a) First Floor Sublandlord Work. The following work will be performed by Sublandlord in the First Floor Space (“First Floor
Sublandlord Work”): 
 (i) Restrooms. Install Building-standard restrooms; 

(ii) Electrical Transformer. Install electrical transformer in electrical closet located on first (1st) floor (Subtenant
will be responsible for installing individual electrical panels as part of the Subtenant Improvements); 
 (iii) Sprinkler
Branches. Install sprinkler main branches; 
 (iv) Window Coverings. Install Building standard window coverings;

 (v) Entry. Install double door entry to the First Floor Space. 

(b) Second Floor Sublandlord Work. The following work will be performed in the Expansion Space if Subtenant exercises the
Expansion Option (the “Second Floor Sublandlord Work”). 
 (i) Restrooms. Install Building-standard restrooms;

 (ii) Common Corridor. Install common corridor; 

(iii) Electrical Transformer. Install electrical transformer in electrical closet serving the Expansion Space (Subtenant will be
responsible for installation of individual electrical panels as part of its Subtenant Improvements); 
 (iv) Sprinkler.
Install sprinkler main branches; 
 (v) Window Coverings. Install Building standard window coverings. 

2. Completion and Rent Commencement Date. Notwithstanding the provisions of the Sublease with respect to the Commencement Date, if
Sublandlord shall be delayed in substantially completing the Sublandlord Work as a result of the acts or omissions of Subtenant or Subtenant’s employees, agents or contractors, then each such delay shall constitute “Subtenant Delay”,
and the Commencement Date shall be the date, determined by Sublandlord in good faith, on which the Commencement Date would have occurred absent such Subtenant Delay. 

  
 1 

 EXHIBIT D 

Form of Letter of Credit 
 FORM OF LETTER OF CREDIT 
 ISSUING BANK 
 ADDRESS OF ISSUING BANK 
 DATE:
                         
 IRREVOCABLE STANDBY LETTER OF CREDIT NUMBER:                  

 

							
	BENEFICIARY:	 		  	APPLICANT:	  	
	  
	 		  	  
	  	
	  
	 		  	  
	  	

 AMOUNT: USD
$                     
 EXPIRATION:
                     AT OUR COUNTERS 

WE HEREBY ESTABLISH IN YOUR FAVOR OUR IRREVOCABLE STANDBY LETTER OF CREDIT NUMBER
             WHICH IS AVAILABLE WITH [ISSUING BANK] BY PAYMENT AGAINST PRESENTATION OF THE ORIGINAL OF THIS LETTER OF CREDIT AND YOUR DRAFTS AT SIGHT DRAWN ON [ISSUING BANK] AT THE
ADDRESS ABOVE, ACCOMPANIED BY THE DOCUMENTS DETAILED BELOW: 
 A LETTER SIGNED BY A PURPORTED AUTHORIZED REPRESENTATIVE OF THE BENEFICIARY
STATING THAT BENEFICIARY IS ENTITLED TO DRAW ON THIS LETTER OF CREDIT PURSUANT TO THAT SUBLEASE AGREEMENT BETWEEN                      AND
                    , AS IT MAY BE AMENDED. 
 THIS LETTER OF CREDIT CANNOT BE MODIFIED OR REVOKED WITHOUT YOUR WRITTEN CONSENT OF BENEFICIARY. 

SPECIAL CONDITIONS: 
 THIS LETTER OF CREDIT
SHALL AUTOMATICALLY RENEW WITHOUT AMENDMENT FOR AN ADDITIONAL ONE YEAR PERIOD FROM THE CURRENT OR FOR ANY FUTURE EXPIRATION DATE, UNLESS WE SHALL NOTIFY YOU IN WRITING BY CERTIFIED MAIL, RETURN RECEIPT REQUESTED OR OVERNIGHT COURIER AT LEAST 60 DAYS
PRIOR TO THE THEN CURRENT EXPIRATION DATE THAT THIS LETTER OF CREDIT WILL NOT BE RENEWED. FOLLOWING SUCH NOTIFICATION AND PRIOR TO THE EXPIRATION OF THIS LETTER OF CREDIT, YOU MAY DRAW UPON THIS LETTER OF CREDIT BY PRESENTATION OF THE SIGHT DRAFT(S)
MENTIONED ABOVE, ACCOMPANIED BY A LETTER SIGNED BY A 

  
 1 

 
PURPORTED AUTHORIZED REPRESENTATIVE OF BENEFICIARY STATING THAT BENEFICIARY HAS NOT BEEN PRESENTED WITH A SUBSTITUTE LETTER OF CREDIT IN THE SAME PRINCIPAL AMOUNT, AND ON THE SAME TERMS AS THIS
LETTER OF CREDIT FROM AN ISSUER REASONABLY SATISFACTORY TO YOU. 
 THIS LETTER OF CREDIT IS TRANSFERABLE AND MAY BE TRANSFERRED ONE OR MORE
TIMES BY THE NAMED BENEFICIARY HEREUNDER OR BY ANY TRANSFEREE HEREUNDER TO A SUCCESSOR TRANSFEREE. TRANSFER OF THIS LETTER OF CREDIT IS SUBJECT TO OUR RECEIPT OF BENEFICIARY’S INSTRUCTIONS IN THE FORM ATTACHED AS EXHIBIT A, ACCOMPANIED BY THE
ORIGINAL LETTER OF CREDIT AND AMENDMENT(S), IF ANY. 
 PARTIAL DRAWS ARE ALLOWED UNDER THIS LETTER OF CREDIT. 

THIS LETTER OF CREDIT IS SUBJECT TO THE UNIFORM CUSTOMS AND PRACTICE FOR DOCUMENTARY CREDITS (1993 REVISION), INTERNATIONAL CHAMBER OF COMMERCE
PUBLICATION NO. 590 AND ENGAGES US PURSUANT TO THE TERMS THEREIN. 
 [ISSUING BANK] 

 

			
	AUTHORIZED SIGNATURE	  	AUTHORIZED SIGNATURE

  
 2 

 EXHIBIT E 

Proposed Space Plan 

  
 1 

 EXHIBIT F 
 BAY MEADOWS 
 LOCATION OF EXTERIOR SIGNAGE 

 

 

 EAST ELEVATION 

 

 

 SOUTH ELEVATION (FRANKLIN DRIVE) 

 

 

 WEST ELEVATION 

 

 

 NORTH ELEVATION (LINEAR PARK) 

 CONSENT TO SUBLEASE 

THIS CONSENT TO SUBLEASE (“Consent”) is made as of October 16th, 2006, by and among BAY MEADOWS PARK PLACE INVESTORS, LLC, a
Delaware limited liability company (“Landlord”), ORACLE USA, a Colorado corporation (“Tenant”), and WAGEWORKS, INC., a Delaware corporation (“Subtenant”). 

RECITALS: 
 A. Landlord currently leases to Tenant (as successor-in-interest to Siebel Systems, Inc. (“Siebel”)) certain “Premises” (as more particularly described in the
“Lease”, as hereinafter defined) located within the building commonly known as 1100 Park Place, San Mateo, California 94403, pursuant to that certain lease agreement dated as of December 29, 2000 (the “Original
Lease”), by and between PW Acquisitions VIII, LLC, a Delaware limited liability company (“Original Landlord”) and Siebel, as amended by that certain First Amendment to Lease dated as of April 29, 2003, by and between
Landlord and Siebel (the Original Lease, as so amended, is referred to herein as the “Lease”). Landlord is successor in interest to Original Landlord as “Landlord” under the Lease. 

B. Tenant desires to sublease a portion of the Premises (the “Subleased Premises”) more particularly described in and
pursuant to the provisions of that certain Sublease dated as of                         , 2006 (the
“Sublease”), a copy of which is attached hereto. 
 C. Tenant desires to obtain Landlord’s consent to the
Sublease. 
 NOW, THEREFORE. Landlord hereby consents to the Sublease, subject to and upon the following terms and conditions to
which Tenant and Subtenant hereby agree: 
 1. The Sublease is subject and subordinate to the Lease and to all of its terms,
covenants, conditions and provisions. In the event of any conflict between the terms and provisions of the Lease and the Sublease, the terms and provisions of the Lease shall control. Tenant and Subtenant hereby represent and warrant to Landlord
that the Sublease (together with this Consent) constitutes the entire agreement of Tenant and Subtenant with respect to the subleasing of the Subleased Premises by Subtenant (including, without limitation, as to any payments made by Subtenant to
Tenant in connection with the subletting of the Subleased Premises. 
 2. Subtenant acknowledges that Landlord is hereby giving
notice pursuant to Section 6.4c of Exhibit C to the Original Lease that all work by the Contractor and its Major Agents shall be done with union labor in accordance with all union labor agreements applicable to the trades being employed.

 3. Neither the Sublease nor this Consent shall: 
 (a) release or discharge Tenant from any liability, whether past, present or future, under the Lease; 
 (b) operate as a consent or approval by Landlord to or of any of the terms, covenants, conditions or provisions of the Sublease, and Landlord shall not be bound thereby, except as otherwise expressly
provided herein; 
 (c) be construed to modify, waive or affect any of the terms, covenants, conditions or provisions of the
Lease, or to waive any breach thereof, or any of Landlord’s rights thereunder, or to enlarge or increase Landlord’s obligations thereunder; 
 (d) be construed as a consent by Landlord to any further subletting either by Tenant or by Subtenant or to any assignment by Tenant of the Lease or an assignment by Subtenant of the Sublease, whether or
not the Sublease purports to permit the same and, without limiting the generality of the foregoing, both Tenant and Subtenant agree that Subtenant has no right whatsoever to sell, assign, transfer or hypothecate the Sublease nor to sublet any
portion of the Subleased Premises or permit any of the Subleased Premises to be used or occupied by any 

  

 
other party without the prior written consent of Landlord, which will be granted or withheld in accordance with the provisions of the Lease; or 

(e) be construed to include consent to the assignment or transferring of any lease options or rights that are by the express provisions
of the Lease not assignable or transferable to a subtenant under a sublease requiring the consent of Landlord. 
 4.
Notwithstanding the provisions of Section 2 above, Landlord hereby consents to the following: 
 (a) Subtenant’s right
to extend the term of the Sublease, as set forth in Section 3 of the Sublease; 
 (b) Subtenant’s right to perform its
own janitorial services in the Subleased Premises, as set forth in Section 4.2(b) of the Sublease; provided that any such services comply with any applicable maintenance requirements set forth in the Lease; 

(c) Subtenant’s right to sublease the Expansion Space (as defined in the Sublease), as set forth in Section 6 of the Sublease;

 (d) Subtenant’s right to not remove the initial Subtenant Improvements (as defined in the Sublease) at the end of the
term of the Sublease, as and to the extent described in Section 16.2(a), provided that Landlord’s consent as set forth in this Section 3(d) will not serve to release Tenant from any obligation Tenant may have to remove improvements
from the Subleased Premises if and to the extent that Tenant is required to do so under the Lease; 
 (e) The Floor Plan for the
Subleased Premises and attached to the Sublease as Exhibit E; and 
 (f) The location of Subtenant’s exterior signage as
described in Exhibit F to the Sublease (provided, that Subtenant acknowledges that Landlord may require the removal, relocation or reduction in size of some or all of Subtenant’s exterior signage if (i) required by applicable governmental
authority, (ii) Subtenant is in default under the terms of the Sublease and such default has not been cured within the applicable notice and cure period, (iii) Subtenant is no longer occupying the entire Subleased Premises, or
(iv) the nature or condition of Subtenant’s business is no longer consistent with the first-class nature of the Building. 
 5. The acceptance by Landlord of any payment or performance from Subtenant, regardless of the circumstances or reasons therefor, shall in no manner whatsoever be deemed an attornment by Subtenant to
Landlord or a recognition or non-disturbance of Subtenant or the Sublease by Landlord or to serve to release Tenant from any liability under the terms, covenants, conditions or provisions under the Lease; provided, however, nothing herein shall in
any manner obligate Landlord to accept any such payment or performance. 
 6. Subject to the exercise by Subtenant of the Option
to Extend set forth in Section 3 of the Sublease, the term of the Sublease shall expire and come to an end on its stated expiration date (but in no event later than the stated expiration date of the Lease) or any premature termination date
thereof or concurrently with any premature termination of the Lease (whether by consent or other right, now or hereafter agreed to or by operation of law or in the event of a default by Tenant); provided that in the event of a termination of the
Lease for any reason, including without limitation a voluntary surrender by Tenant, or in the event of any re-entry or repossession of the Premises by Landlord, Landlord may, at its option, take over all of the right, title and interest of Tenant,
as sublessor, under the Sublease, in which case Subtenant shall attorn to Landlord and the Sublease shall not terminate but Landlord shall not (i) be liable for any previous act or omission of Tenant under the Sublease, (ii) be subject to
any defense or offset previously accrued in favor of the Subtenant against Tenant, (iii) be bound by any modification of the Sublease made without Landlord’s written consent or by any previous prepayment by Subtenant of more than one
month’s rent or (iv) be responsible for any security deposit given by Subtenant to Tenant and not received by Landlord. The address of Subtenant for all purposes of receipt of notices under the Sublease or this Consent shall be as follows:

  
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 Prior to the date Subtenant opens for business at the Subleased Premises: 

WageWorks, Inc. 

2 Waters Park Drive, Suite 250 
 San Mateo, CA 94403 
 Attention: Corporate Counsel 

After Subtenant opens for business at the Subleased Premises: 
 WageWorks, Inc. 
 1100 Park Place 

San Mateo, CA 94403 
 Attention: Corporate Counsel 
 7. Tenant and Subtenant covenant and agree that
(i) under no circumstances shall Landlord be liable for any brokerage commission or other charge or expense in connection with the Sublease, and Tenant and Subtenant agree to indemnify, defend and hold Landlord harmless against same and against
any fees, costs, expenses or liabilities (including, but not limited to, attorneys’ fees) incurred by Landlord in connection with same and (ii) if and to the extent that Landlord’s consultants are retained to review plans and
specification of work to be performed by Subtenant, or by Sublandlord for the benefit of Subtenant, or to respond to inquiries from Sublandlord or Subtenant regarding any such work, or carry out site visits to inspect any such work, the reasonable
fees and costs charged by such consultants will be paid by Tenant within thirty (30) days after Landlord’s delivery of an invoice to Tenant for such fees and costs. Professional Fees (excluding reimbursable costs) for the consulting work
performed by the Landlord’s consultants (structural, architectural, mechanical, plumbing, fire protection and electrical) shall not exceed $4,500. This amount may be revised as mutually and reasonably agreed to between the Tenant and the
Landlord based on unforeseen circumstances or performance by the design or construction teams that is not consistent with industry standards. 
 8. Any act or omission of Subtenant or anyone claiming under or through Subtenant that violates any of the provisions of the Lease shall be deemed a violation of the Lease by Tenant. 

9. Landlord consents to the sublease of the Premises only at such time as this Consent has been executed by all of the parties hereto and
an original counterpart has been delivered to Landlord, Tenant hereby agrees to pay an amount equal to Five Hundred Dollars ($500.00) in consideration of Landlord’s attorneys’ fees and costs incurred in connection with the review of the
Sublease and this Consent. This Consent is not assignable, nor shall this Consent be a consent to any amendment or modification of the Sublease, without Landlord’s prior written consent. 

10. In the event any party(ies) hereto shall institute any action or proceeding against the other party(ies) relating to this Consent or
to the Sublease, the unsuccessful party(ies) in such action or proceeding shall reimburse the successful party(ies) for its(their) disbursements incurred in connection therewith and for its(their) reasonable attorneys’ fees and costs as fixed
by the court. In addition to the foregoing award of attorneys’ fees to the successful party(ies), the successful party(ies) in any lawsuit on this Consent or the Sublease shall be entitled to its(their) attorneys’ fees and costs incurred
in any post-judgment proceedings to collect or enforce the judgment. This provision is separate and several and shall survive the merger of this Consent into any judgment on this Consent. 

11. This Consent may be executed in any number of counterparts, each of which shall be deemed an original, but all of which when taken
together shall constitute one and the same instrument. 
 12. Landlord represents to Subtenant that (a) the Lease is, as of
the date hereof, in full force and effect, and (b) there is no current event of default by Tenant under the Lease (i.e., beyond the giving of applicable notice and the passage of applicable grace periods); provided, however, that Landlord
asserts that there is existing non-performance by Tenant of Tenant’s obligations under the Lease respecting the build out and improvement of the 

  
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Premises, and nothing contained herein shall be deemed a waiver by Landlord of, or be deemed to estop Landlord from asserting, rights and remedies under the Lease based on such non-performance by
Tenant 
 IN WITNESS WHEREOF, this Consent has been executed by the parties as of the date first above written. 

 

									
	LANDLORD:	 		 	TENANT:
			
	 BAY MEADOWS PARK PLACE INVESTORS, LLC,
 a Delaware limited liability company
	 		 	 ORACLE USA, INC.,

a Colorado corporation

					
	By:	 	 /s/ Illegible
	 		 	By:	 	 /s/ Randall W. Smith

		 		 	Randall W. Smith
	  
	 		 	 VP, Real Estate and Facilities

	(Print Name and Title)	 		 	(Print Name and Title)
				
	SUBTENANT:	 		 		 	
				
	 WAGEWORKS, INC.
 a
Delaware corporation
	 		 		 	
					
	By:	 	 /s/ Kathleen R. McElwee
	 		 		 	
	 Kathleen R. McElwee CFO
	 		 		 	
	(Print Name and Title)	 		 		 	

  
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