Document:

EX-10.6

 EXHIBIT 10.6 

EPIRUS BIOPHARMACEUTICALS, INC. 

2011 EQUITY INCENTIVE PLAN 

STOCK OPTION AGREEMENT 

Unless otherwise defined herein, the terms defined in the 2011 Equity Incentive Plan (the “Plan”) shall have the same defined
meanings in this Stock Option Agreement (the “Option Agreement”). 
  

	I.	NOTICE OF STOCK OPTION GRANT 

  

			
	 Name:
	  	«Name»
		
	 Address:
	  	«Address»
 «City_State_Zip»

 The undersigned Participant has been granted an Option to purchase Common Stock of the Company, subject to the
terms and conditions of the Plan and this Option Agreement, as follows: 
  

							
	 Date of Grant:
	 	 «Grant_Date»
	  	
			
	 Vesting Commencement Date:
	 	 «Vest_Date»
	  	
			
	 Exercise Price per Share:
	 	 $ «Price_Per_Share»
	  	
			
	 Total Number of Shares Granted:
	 	 «Shares»
	  	
			
	 Total Exercise Price:
	 	 $ «Total_Price»
	  	
				
	 Type of Option:
	 	 «ISO»
	  	Incentive Stock Option	  	
				
		 	 «NSO»
	  	Nonstatutory Stock Option	  	
			
	 Term/Expiration Date:
	 	 «Expire_Date»
	  	

 Vesting Schedule: 

This Option shall be exercisable, in whole or in part, according to the following vesting schedule: 

Twenty-five percent (25%) of the Shares subject to the Option shall vest on the twelve (12) month anniversary of the Vesting
Commencement Date, and one thirty-sixth (1/36th) of the remaining Shares subject to the Option shall vest each month thereafter on the same day of the month as the Vesting Commencement Date
(and if there is no corresponding day, on the last day of the month), subject to Participant continuing to be a Service Provider through each such date. 

Termination Period: 
 This
Option shall be exercisable for three (3) months after Participant ceases to be a Service Provider, unless such termination is due to Participant’s death or Disability, in which case this Option shall be exercisable for twelve
(12) months after Participant ceases to be a Service Provider. Notwithstanding the foregoing sentence, in no event may this Option be exercised after the Term/Expiration Date as provided above and this Option may be subject to earlier
termination as provided in Section 13 of the Plan. 

	II.	AGREEMENT 

 1. Grant of Option. The Administrator of the Company hereby
grants to the Participant named in the Notice of Stock Option Grant in Part I of this Agreement (“Participant”), an option (the “Option”) to purchase the number of Shares set forth in the Notice of Stock Option Grant, at the
exercise price per Share set forth in the Notice of Stock Option Grant (the “Exercise Price”), and subject to the terms and conditions of the Plan, which is incorporated herein by reference. Subject to Section 18 of the Plan, in the
event of a conflict between the terms and conditions of the Plan and this Option Agreement, the terms and conditions of the Plan shall prevail. 

If designated in the Notice of Stock Option Grant as an Incentive Stock Option (“ISO”), this Option is intended to qualify as an
Incentive Stock Option as defined in Section 422 of the Code. Nevertheless, to the extent that it exceeds the $100,000 rule of Code Section 422(d), this Option shall be treated as a Nonstatutory Stock Option (“NSO”). Further, if
for any reason this Option (or portion thereof) shall not qualify as an ISO, then, to the extent of such nonqualification, such Option (or portion thereof) shall be regarded as a NSO granted under the Plan. In no event shall the Administrator, the
Company or any Parent or Subsidiary or any of their respective employees or directors have any liability to Participant (or any other person) due to the failure of the Option to qualify for any reason as an ISO. 

2. Exercise of Option. 

(a) Right to Exercise. 

(i) This Option shall be exercisable during its term in accordance with the Vesting Schedule set out in the Notice of Stock Option Grant and
with the applicable provisions of the Plan and this Option Agreement. 
 (ii) As a condition to exercising this Option, the Participant
shall become a party to that certain Right of First Refusal and Co-Sale Agreement and that certain Voting Agreement, each dated as of January 25, 2011, by and among the Company and the parties named therein, by executing and delivering an
additional counterpart signature page to such agreements. 
 (b) Method of Exercise. This Option shall be exercisable by delivery of
an exercise notice in the form attached as Exhibit A (the “Exercise Notice”) or in a manner and pursuant to such procedures as the Administrator may determine, which shall state the election to exercise the Option, the number
of Shares with respect to which the Option is being exercised (the “Exercised Shares”), and such other representations and agreements as may be required by the Company. The Exercise Notice shall be accompanied by payment of the aggregate
Exercise Price as to all Exercised Shares, together with any applicable tax withholding. This Option shall be deemed to be exercised upon receipt by the Company of such fully executed Exercise Notice accompanied by the aggregate Exercise Price,
together with any applicable tax withholding. 
 No Shares shall be issued pursuant to the exercise of an Option unless such issuance and
such exercise comply with Applicable Laws. Assuming such compliance, for income tax purposes the Shares shall be considered transferred to Participant on the date on which the Option is exercised with respect to such Shares. 

3. Participant’s Representations. In the event the Shares have not been registered under the Securities Act of 1933, as amended
(the “Securities Act”), at the time this Option is exercised, Participant shall, if required by the Company, concurrently with the exercise of all or any portion of this Option, deliver to the Company his or her Investment Representation
Statement in the form attached hereto as Exhibit B. 
 4. Lock-Up Period. Participant hereby agrees that Participant
shall not offer, pledge, sell, contract to sell, sell any option or contract to purchase, purchase any option or contract to sell, grant any option, right or warrant to purchase, lend, or otherwise transfer or dispose of, directly or indirectly, any
Common Stock (or other securities) of the Company or enter into any swap, hedging or other arrangement that transfers to another, in 

  
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whole or in part, any of the economic consequences of ownership of any Common Stock (or other securities) of the Company held by Participant (other than those included in the registration) for a
period specified by the representative of the underwriters of Common Stock (or other securities) of the Company not to exceed one hundred and eighty (180) days following the effective date of any registration statement of the Company filed
under the Securities Act (or such other period as may be requested by the Company or the underwriters to accommodate regulatory restrictions on (i) the publication or other distribution of research reports and (ii) analyst recommendations
and opinions, including, but not limited to, the restrictions contained in NASD Rule 2711(f)(4) or NYSE Rule 472(f)(4), or any successor provisions or amendments thereto). 

Participant agrees to execute and deliver such other agreements as may be reasonably requested by the Company or the underwriter which are
consistent with the foregoing or which are necessary to give further effect thereto. In addition, if requested by the Company or the representative of the underwriters of Common Stock (or other securities) of the Company, Participant shall provide,
within ten (10) days of such request, such information as may be required by the Company or such representative in connection with the completion of any public offering of the Company’s securities pursuant to a registration statement filed
under the Securities Act. The obligations described in this Section 4 shall not apply to a registration relating solely to employee benefit plans on Form S-1 or Form S-8 or similar forms that may be promulgated in the future, or a registration
relating solely to a Commission Rule 145 transaction on Form S-4 or similar forms that may be promulgated in the future. The Company may impose stop-transfer instructions with respect to the shares of Common Stock (or other securities) subject to
the foregoing restriction until the end of said one hundred and eighty (180) day (or other) period. Participant agrees that any transferee of the Option or shares acquired pursuant to the Option shall be bound by this Section 4. 

5. Method of Payment. Payment of the aggregate Exercise Price shall be by any of the following, or a combination thereof, at the
election of the Participant: 
 (a) cash; 

(b) check; 
 (c) consideration
received by the Company under a formal cashless exercise program adopted by the Company in connection with the Plan; or 
 (d) surrender of
other Shares which (i) shall be valued at its Fair Market Value on the date of exercise, and (ii) must be owned free and clear of any liens, claims, encumbrances or security interests, if accepting such Shares, in the sole discretion of
the Administrator, shall not result in any adverse accounting consequences to the Company. 
 6. Restrictions on Exercise. This
Option may not be exercised until such time as the Plan has been approved by the stockholders of the Company, or if the issuance of such Shares upon such exercise or the method of payment of consideration for such shares would constitute a violation
of any Applicable Law. 
 7. Non-Transferability of Option. 

(a) This Option may not be transferred in any manner otherwise than by will or by the laws of descent or distribution and may be exercised
during the lifetime of Participant only by Participant. The terms of the Plan and this Option Agreement shall be binding upon the executors, administrators, heirs, successors and assigns of Participant. 

(b) Further, until the Company becomes subject to the reporting requirements of Section 13 or 15(d) of the Exchange Act, or after the
Administrator determines that it is, will, or may no longer be relying upon the exemption from registration of Options under the Exchange Act as set forth in Rule 12h-1(f) promulgated under the Exchange Act (the “Reliance End Date”),
Participant shall not transfer this Option or, prior to exercise, the 

  
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Shares subject to this Option, in any manner other than (i) to persons who are “family members” (as defined in Rule 701(c)(3) of the Securities Act) through gifts or domestic
relations orders, or (ii) to an executor or guardian of Participant upon the death or disability of Participant. Until the Reliance End Date, the Options and, prior to exercise, the Shares subject to this Option, may not be pledged,
hypothecated or otherwise transferred or disposed of, including by entering into any short position, any “put equivalent position” or any “call equivalent position” (as defined in Rule 16a-1(h) and Rule 16a-1(b) of the Exchange
Act, respectively), other than as permitted in clauses (i) and (ii) of this paragraph. 
 8. Term of Option. This Option
may be exercised only within the term set out in the Notice of Stock Option Grant, and may be exercised during such term only in accordance with the Plan and the terms of this Option Agreement. 

9. Tax Obligations. 
 (a)
Tax Withholding. Participant agrees to make appropriate arrangements with the Company (or the Parent or Subsidiary employing or retaining Participant) for the satisfaction of all Federal, state, local and foreign income and employment tax
withholding requirements applicable to the Option exercise. Participant acknowledges and agrees that the Company may refuse to honor the exercise and refuse to deliver the Shares if such withholding amounts are not delivered at the time of exercise.

 (b) Notice of Disqualifying Disposition of ISO Shares. If the Option granted to Participant herein is an ISO, and if Participant
sells or otherwise disposes of any of the Shares acquired pursuant to the ISO on or before the later of (i) the date two (2) years after the Date of Grant, or (ii) the date one (1) year after the date of exercise, Participant
shall immediately notify the Company in writing of such disposition. Participant agrees that Participant may be subject to income tax withholding by the Company on the compensation income recognized by Participant. 

(c) Code Section 409A. Under Code Section 409A, an Option that vests after December 31, 2004 (or that vested on or prior
to such date but which was materially modified after October 3, 2004) that was granted with a per Share exercise price that is determined by the Internal Revenue Service (the “IRS”) to be less than the Fair Market Value of a Share on
the date of grant (a “discount option”) may be considered “deferred compensation.” An Option that is a “discount option” may result in (i) income recognition by Participant prior to the exercise of the Option,
(ii) an additional twenty percent (20%) federal income tax, and (iii) potential penalty and interest charges. The “discount option” may also result in additional state income, penalty and interest tax to the Participant.
Participant acknowledges that the Company cannot and has not guaranteed that the IRS will agree that the per Share exercise price of this Option equals or exceeds the Fair Market Value of a Share on the date of grant in a later examination.
Participant agrees that if the IRS determines that the Option was granted with a per Share exercise price that was less than the Fair Market Value of a Share on the date of grant, Participant shall be solely responsible for Participant’s costs
related to such a determination. 
 10. Entire Agreement; Governing Law. The Plan is incorporated herein by reference. The Plan and
this Option Agreement constitute the entire agreement of the parties with respect to the subject matter hereof and supersede in their entirety all prior undertakings and agreements of the Company and Participant with respect to the subject matter
hereof, and may not be modified adversely to the Participant’s interest except by means of a writing signed by the Company and Participant. This Option Agreement is governed by the internal substantive laws but not the choice of law rules of
Delaware. 
 11. No Guarantee of Continued Service. PARTICIPANT ACKNOWLEDGES AND AGREES THAT THE VESTING OF SHARES PURSUANT TO THE
VESTING SCHEDULE HEREOF IS EARNED ONLY BY CONTINUING AS A SERVICE PROVIDER AT THE WILL OF THE COMPANY (OR THE PARENT OR SUBSIDIARY EMPLOYING OR RETAINING PARTICIPANT) AND NOT THROUGH THE ACT OF BEING HIRED, BEING GRANTED THIS OPTION OR ACQUIRING
SHARES HEREUNDER. PARTICIPANT FURTHER ACKNOWLEDGES AND AGREES THAT THIS AGREEMENT, THE 

  
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TRANSACTIONS CONTEMPLATED HEREUNDER AND THE VESTING SCHEDULE SET FORTH HEREIN DO NOT CONSTITUTE AN EXPRESS OR IMPLIED PROMISE OF CONTINUED ENGAGEMENT AS A SERVICE PROVIDER FOR THE VESTING PERIOD,
FOR ANY PERIOD, OR AT ALL, AND SHALL NOT INTERFERE IN ANY WAY WITH PARTICIPANT’S RIGHT OR THE RIGHT OF THE COMPANY (OR THE PARENT OR SUBSIDIARY EMPLOYING OR RETAINING PARTICIPANT) TO TERMINATE PARTICIPANT’S RELATIONSHIP AS A SERVICE
PROVIDER AT ANY TIME, WITH OR WITHOUT CAUSE. 
 Participant acknowledges receipt of a copy of the Plan and represents that he or she is
familiar with the terms and provisions thereof, and hereby accepts this Option subject to all of the terms and provisions thereof. Participant has reviewed the Plan and this Option in their entirety, has had an opportunity to obtain the advice of
counsel prior to executing this Option and fully understands all provisions of the Option. Participant hereby agrees to accept as binding, conclusive and final all decisions or interpretations of the Administrator upon any questions arising under
the Plan or this Option. Participant further agrees to notify the Company upon any change in the residence address indicated below. 
  

			
	PARTICIPANT	  	EPIRUS BIOPHARMACEUTICALS, INC.
		
	  
 Signature
	  	  
 By

		
	         «Name»

Print Name
	  	  
 Print Name

		
	         «Address»
	  	  

Title

		
	         «City_State_Zip»

Residence Address
	  	

  
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 EXHIBIT A 

2011 EQUITY INCENTIVE PLAN 

EXERCISE NOTICE 
 Epirus
Biopharmaceuticals, Inc. 
 699 Boylston Street, 11th Floor 

Boston, MA 02116 
 Attention: President 

1. Exercise of Option. Effective as of today,
                    ,         , the undersigned (“Participant”) hereby elects to exercise
Participant’s option (the “Option”) to purchase             shares of the Common Stock (the “Shares”) of Epirus Biopharmaceuticals, Inc. (the “Company”)
under and pursuant to the 2011 Equity Incentive Plan (the “Plan”) and the Stock Option Agreement dated                     ,
            (the “Option Agreement”). 
 2. Delivery of
Payment. Participant herewith delivers to the Company the full purchase price of the Shares, as set forth in the Option Agreement, and any and all withholding taxes due in connection with the exercise of the Option. 

3. Representations of Participant. Participant acknowledges that Participant has received, read and understood the Plan and the Option
Agreement and agrees to abide by and be bound by their terms and conditions. 
 4. Rights as Stockholder. Until the issuance of the
Shares (as evidenced by the appropriate entry on the books of the Company or of a duly authorized transfer agent of the Company), no right to vote or receive dividends or any other rights as a stockholder shall exist with respect to the Common Stock
subject to an Award, notwithstanding the exercise of the Option. The Shares shall be issued to Participant as soon as practicable after the Option is exercised in accordance with the Option Agreement. No adjustment shall be made for a dividend or
other right for which the record date is prior to the date of issuance except as provided in Section 13 of the Plan. 
 5.
Company’s Right of First Refusal. Before any Shares held by Participant or any transferee (either being sometimes referred to herein as the “Holder”) may be sold or otherwise transferred (including transfer by gift or operation
of law), the Company or its assignee(s) shall have a right of first refusal to purchase the Shares on the terms and conditions set forth in this Section 5 (the “Right of First Refusal”). 

(a) Notice of Proposed Transfer. The Holder of the Shares shall deliver to the Company a written notice (the “Notice”)
stating: (i) the Holder’s bona fide intention to sell or otherwise transfer such Shares; (ii) the name of each proposed purchaser or other transferee (“Proposed Transferee”); (iii) the number of Shares to be transferred
to each Proposed Transferee; and (iv) the bona fide cash price or other consideration for which the Holder proposes to transfer the Shares (the “Offered Price”), and the Holder shall offer the Shares at the Offered Price to the
Company or its assignee(s). 
 (b) Exercise of Right of First Refusal. At any time within thirty (30) days after receipt of the
Notice, the Company and/or its assignee(s) may, by giving written notice to the Holder, elect to purchase all, but not less than all, of the Shares proposed to be transferred to any one or more of the Proposed Transferees, at the purchase price
determined in accordance with subsection (c) below. 
 (c) Purchase Price. The purchase price (“Purchase Price”) for
the Shares purchased by the Company or its assignee(s) under this Section 5 shall be the Offered Price. If the Offered Price includes consideration other than cash, the cash equivalent value of the non-cash consideration shall be determined by
the Board of Directors of the Company in good faith. 

 (d) Payment. Payment of the Purchase Price shall be made, at the option of the Company or
its assignee(s), in cash (by check), by cancellation of all or a portion of any outstanding indebtedness of the Holder to the Company (or, in the case of repurchase by an assignee, to the assignee), or by any combination thereof within
thirty (30) days after receipt of the Notice or in the manner and at the times set forth in the Notice. 
 (e) Holder’s Right
to Transfer. If all of the Shares proposed in the Notice to be transferred to a given Proposed Transferee are not purchased by the Company and/or its assignee(s) as provided in this Section 5, then the Holder may sell or otherwise transfer
such Shares to that Proposed Transferee at the Offered Price or at a higher price, provided that such sale or other transfer is consummated within one hundred and twenty (120) days after the date of the Notice, that any such sale or
other transfer is effected in accordance with any applicable securities laws and that the Proposed Transferee agrees in writing that the provisions of this Section 5 shall continue to apply to the Shares in the hands of such Proposed
Transferee. If the Shares described in the Notice are not transferred to the Proposed Transferee within such period, a new Notice shall be given to the Company, and the Company and/or its assignees shall again be offered the Right of First Refusal
before any Shares held by the Holder may be sold or otherwise transferred. 
 (f) Exception for Certain Family Transfers. Anything to
the contrary contained in this Section 5 notwithstanding, the transfer of any or all of the Shares during the Participant’s lifetime or on the Participant’s death by will or intestacy to the Participant’s immediate family or a
trust for the benefit of the Participant’s immediate family shall be exempt from the provisions of this Section 5. “Immediate Family” as used herein shall mean spouse, lineal descendant or antecedent, father, mother, brother or
sister. In such case, the transferee or other recipient shall receive and hold the Shares so transferred subject to the provisions of this Section 5, and there shall be no further transfer of such Shares except in accordance with the terms of
this Section 5. 
 (g) Termination of Right of First Refusal. The Right of First Refusal shall terminate as to any Shares upon
the earlier of (i) the first sale of Common Stock of the Company to the general public, or (ii) a Change in Control in which the successor corporation has equity securities that are publicly traded. 

6. Tax Consultation. Participant understands that Participant may suffer adverse tax consequences as a result of Participant’s
purchase or disposition of the Shares. Participant represents that Participant has consulted with any tax consultants Participant deems advisable in connection with the purchase or disposition of the Shares and that Participant is not relying on the
Company for any tax advice. 
 7. Restrictive Legends and Stop-Transfer Orders. 

(a) Legends. Participant understands and agrees that the Company shall cause the legends set forth below or legends substantially
equivalent thereto, to be placed upon any certificate(s) evidencing ownership of the Shares together with any other legends that may be required by the Company or by state or federal securities laws: 

THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 (THE “ACT”) AND MAY NOT BE OFFERED, SOLD
OR OTHERWISE TRANSFERRED, PLEDGED OR HYPOTHECATED UNLESS AND UNTIL REGISTERED UNDER THE ACT OR, IN THE OPINION OF COUNSEL SATISFACTORY TO THE ISSUER OF THESE SECURITIES, SUCH OFFER, SALE OR TRANSFER, PLEDGE OR HYPOTHECATION IS IN COMPLIANCE
THEREWITH. 
 THE SHARES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO CERTAIN RESTRICTIONS ON TRANSFER AND A RIGHT OF FIRST REFUSAL HELD BY
THE ISSUER OR ITS ASSIGNEE(S) AS SET FORTH IN THE EXERCISE NOTICE BETWEEN THE ISSUER AND THE ORIGINAL HOLDER OF THESE SHARES, A COPY OF WHICH MAY BE OBTAINED AT THE PRINCIPAL OFFICE OF THE ISSUER. SUCH TRANSFER RESTRICTIONS AND RIGHT OF FIRST
REFUSAL ARE BINDING ON TRANSFEREES OF THESE SHARES. 
  

  
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 THE SHARES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO RESTRICTIONS ON TRANSFER FOR A PERIOD
OF TIME FOLLOWING THE EFFECTIVE DATE OF THE UNDERWRITTEN PUBLIC OFFERING OF THE COMPANY’S SECURITIES SET FORTH IN AN AGREEMENT BETWEEN THE ISSUER AND THE ORIGINAL HOLDER OF THESE SHARES AND MAY NOT BE SOLD OR OTHERWISE DISPOSED OF BY THE HOLDER
PRIOR TO THE EXPIRATION OF SUCH PERIOD WITHOUT THE CONSENT OF THE COMPANY OR THE MANAGING UNDERWRITER. 
 (b) Stop-Transfer Notices.
Participant agrees that, in order to ensure compliance with the restrictions referred to herein, the Company may issue appropriate “stop transfer” instructions to its transfer agent, if any, and that, if the Company transfers its own
securities, it may make appropriate notations to the same effect in its own records. 
 (c) Refusal to Transfer. The Company
shall not be required (i) to transfer on its books any Shares that have been sold or otherwise transferred in violation of any of the provisions of this Exercise Notice or (ii) to treat as owner of such Shares or to accord the right to
vote or pay dividends to any purchaser or other transferee to whom such Shares shall have been so transferred. 
 8. Successors and
Assigns. The Company may assign any of its rights under this Exercise Notice to single or multiple assignees, and this Exercise Notice shall inure to the benefit of the successors and assigns of the Company. Subject to the restrictions on
transfer herein set forth, this Exercise Notice shall be binding upon Participant and his or her heirs, executors, administrators, successors and assigns. 

9. Interpretation. Any dispute regarding the interpretation of this Exercise Notice shall be submitted by Participant or by the Company
forthwith to the Administrator, which shall review such dispute at its next regular meeting. The resolution of such a dispute by the Administrator shall be final and binding on all parties. 

10. Governing Law; Severability. This Exercise Notice is governed by the internal substantive laws, but not the choice of law rules, of
Delaware. In the event that any provision hereof becomes or is declared by a court of competent jurisdiction to be illegal, unenforceable or void, this Exercise Notice shall continue in full force and effect. 

11. Entire Agreement. The Plan and Option Agreement are incorporated herein by reference. This Exercise Notice, the Plan, the Option
Agreement and the Investment Representation Statement constitute the entire agreement of the parties with respect to the subject matter hereof and supersede in their entirety all prior undertakings and agreements of the Company and Participant with
respect to the subject matter hereof, and may not be modified adversely to the Participant’s interest except by means of a writing signed by the Company and Participant. 
  

			
		
	Submitted by:	  	Accepted by:
		
	PARTICIPANT	  	Epirus Biopharmaceuticals, Inc.
		
	  
 Signature
	  	  
 By

		
	 «Name»

Print Name
	  	  
 Print Name

		
		  	  
 Title

	 Address:
	  	
		
	 «Address»
	  	  
 Date Received

		
	 «City_State_Zip»
	  	

  

  
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 EXHIBIT B 

INVESTMENT REPRESENTATION STATEMENT 
  

					
	 PARTICIPANT
	 	:	  	«Name»
			
	 COMPANY
	 	:	  	EPIRUS BIOPHARMACEUTICALS, INC.
			
	 SECURITY
	 	:	  	COMMON STOCK
			
	 AMOUNT
	 	:	  	«Shares»
			
	 DATE
	 	:	  	

 In connection with the purchase of the above-listed Securities, the undersigned Participant represents to the
Company the following: 
 (a) Participant is aware of the Company’s business affairs and financial condition and has acquired sufficient
information about the Company to reach an informed and knowledgeable decision to acquire the Securities. Participant is acquiring these Securities for investment for Participant’s own account only and not with a view to, or for resale in
connection with, any “distribution” thereof within the meaning of the Securities Act of 1933, as amended (the “Securities Act”). 

(b) Participant acknowledges and understands that the Securities constitute “restricted securities” under the Securities Act and
have not been registered under the Securities Act in reliance upon a specific exemption therefrom, which exemption depends upon, among other things, the bona fide nature of Participant’s investment intent as expressed herein. In this
connection, Participant understands that, in the view of the Securities and Exchange Commission, the statutory basis for such exemption may be unavailable if Participant’s representation was predicated solely upon a present intention to hold
these Securities for the minimum capital gains period specified under tax statutes, for a deferred sale, for or until an increase or decrease in the market price of the Securities, or for a period of one (1) year or any other fixed period in
the future. Participant further understands that the Securities must be held indefinitely unless they are subsequently registered under the Securities Act or an exemption from such registration is available. Participant further acknowledges and
understands that the Company is under no obligation to register the Securities. Participant understands that the certificate evidencing the Securities shall be imprinted with any legend required under applicable state securities laws. 

(c) Participant is familiar with the provisions of Rule 701 and Rule 144, each promulgated under the Securities Act, which, in
substance, permit limited public resale of “restricted securities” acquired, directly or indirectly from the issuer thereof, in a non-public offering subject to the satisfaction of certain conditions. Rule 701 provides that if the
issuer qualifies under Rule 701 at the time of the grant of the Option to Participant, the exercise shall be exempt from registration under the Securities Act. In the event the Company becomes subject to the reporting requirements of
Section 13 or 15(d) of the Securities Exchange Act of 1934, ninety (90) days thereafter (or such longer period as any market stand-off agreement may require) the Securities exempt under Rule 701 may be resold, subject to the
satisfaction of the applicable conditions specified by Rule 144, including in the case of affiliates (1) the availability of certain public information about the Company, (2) the amount of Securities being sold during any three
(3) month period not exceeding specified limitations, (3) the resale being made in an unsolicited “broker’s transaction”, transactions directly with a “market maker” or “riskless principal transactions”
(as those terms are defined under the Securities Exchange Act of 1934) and (4) the timely filing of a Form 144, if applicable. 

In the event that the Company does not qualify under Rule 701 at the time of grant of the Option, then the Securities may be resold in
certain limited circumstances subject to the provisions of Rule 144, which may require (i) the availability of current public information about the Company; (ii) the resale to occur more than a specified period after the purchase and
full payment (within the meaning of Rule 144) for the Securities; and (iii) in the case of the sale of Securities by an affiliate, the satisfaction of the conditions set forth in sections (2), (3) and (4) of the paragraph
immediately above. 

 (d) Participant further understands that in the event all of the applicable requirements of
Rule 701 or 144 are not satisfied, registration under the Securities Act, compliance with Regulation A, or some other registration exemption shall be required; and that, notwithstanding the fact that Rules 144 and 701 are not exclusive,
the Staff of the Securities and Exchange Commission has expressed its opinion that persons proposing to sell private placement securities other than in a registered offering and otherwise than pursuant to Rules 144 or 701 shall have a
substantial burden of proof in establishing that an exemption from registration is available for such offers or sales, and that such persons and their respective brokers who participate in such transactions do so at their own risk. Participant
understands that no assurances can be given that any such other registration exemption shall be available in such event. 
  

	
	PARTICIPANT
	
	  
 Signature

	
	 «Name»

Print Name

	
	  
 Date

  
 -2-EX-10.2

 Exhibit 10.2 

SHARE APPRECIATION RIGHT AGREEMENT 

This Share Appreciation Right Agreement (“Agreement”) is made as of <<DATE>> between ARGO GROUP INTERNATIONAL HOLDINGS,
LTD. (the “Company”), and <<NAME>> (the “SAR Holder” or “Participant”). 
 R E C I T A L S

 A. The Company’s [2007 // 2014] Long-Term Incentive Plan (the “Plan”) provides for the granting of cash awards
denominated in share appreciation rights (“SARs”). 
 B. Pursuant to the Plan, the administration of the Plan has been delegated to
the Compensation Committee of the Board of Directors of the Company (the “Committee”). 
 C. Pursuant to the Plan, the Committee
has determined that it is in the best interests of the Company and its stockholders to grant a SAR to the SAR Holder covering <<# GRANTED>>Shares as defined herein, contingent upon satisfaction of performance criteria, if any, set forth
in Exhibit A hereto, as an inducement to remain in the employ of the Company and as an incentive for increased effort during such service, and has approved the execution of this Agreement between the Company and the SAR Holder. 

A G R E E M E N T 
 NOW,
THEREFORE, the parties hereto agree as follows: 
 1. (a) The Company grants to the SAR Holder an SAR denominated solely for purposes of
calculation in Common Shares of the Company’s stock (referenced as “Shares”) as follows: <<# GRANTED>>Shares (the “target grant” or “grant at target”) on the terms and conditions hereinafter set forth
at a Grant Price of <<$PRICE>>per Share exercisable from time to time in accordance with the provisions of this Agreement during a period expiring on the seventh anniversary of the date of this Agreement (the “Expiration
Date”)contingent upon achievement of performance goals and thresholds (the “Performance Matrix”), if any, set forth in Exhibit A hereto. The amount of the target grant may be adjusted upwards or downwards based on the criteria set
forth in Exhibit A to determine the final amount of the award prior to issuance (the “adjusted grant”). 
 (b) Upon exercise of the
SAR, the SAR Holder will be entitled to an amount of cash equal to the product of (x) and (y) where (x) equals the excess of the fair market value of a Share on the date of exercise over the Grant Price and (y) equals the number
of Shares specified in the notice of exercise. 
 2. (a) Subject the criteria, if any, set forth in Exhibit A hereto, this SAR shall become
vested and exercisable by the SAR Holder pursuant to the schedule set forth in subparagraph (b) below. In the event that the Performance Matrix criteria require adjustment of the target amount to zero, then this SAR shall be null and void as of
such date and shall be of no further force and effect. 

 (b) The SAR Holder may not exercise this SAR prior to the first anniversary of the date of the
Agreement. Thereafter, this SAR may be exercised with respect to the indicated percentage of Shares covered by the SAR on and after the respective anniversary dates (each, an “Anniversary Date”) of this Agreement as follows: 

 

									
	 	  	 	 	 	Cumulative	 
	Anniversary	  	Percentage	 	 	Percentage	 
	 Date
	  	Exercisable	 	 	Exercisable	 
	 First
	  	 	25	% 	 	 	25	% 
	 Second
	  	 	25	% 	 	 	50	% 
	 Third
	  	 	25	% 	 	 	75	% 
	 Fourth
	  	 	25	% 	 	 	100	% 

 At any time after the fourth anniversary date of this Agreement but no later than the Expiration Date, the
SAR Holder may exercise all or any part (subject to the provisions of the following sentence) of this SAR which the SAR Holder theretofore failed to exercise. The foregoing limitations shall similarly apply to the transferees of the
SAR Holder by will or by the laws of descent or distribution, so that said transferees shall be entitled (provided they act within twelve (12) months after the death of the SAR Holder but in no event later than the Expiration Date) to exercise
all or any portion of this SAR, but with respect to which this SAR was not previously exercised. This SAR may be exercised during the lifetime of the SAR Holder only by the SAR Holder, or within twelve (12) months after his death by his
transferees by will or the laws of descent or distribution, and not otherwise, regardless of any community property interest therein of the spouse of the SAR Holder, or such spouse’s successors in interest. If the spouse of the SAR Holder shall
have acquired a community property interest in this SAR, the SAR Holder, or the SAR Holder’s permitted successors in interest, may exercise the SAR on behalf of the spouse of the SAR Holder or such spouse’s successors in interest, subject
to the restrictions stated above. 
 (c) Notwithstanding the vesting schedule set forth in Section 2(b), all [rights // shares] subject
to this SAR shall become immediately vested and exercisable [simultaneous with and contingent upon the occurrence of a Change in Control // if within twelve (12) months after the occurrence of a Change in Control, Participant’s employment
is involuntarily terminated by the Company or any of its Subsidiaries for any reason other than Cause (as hereinafter defined) or Participant’s death or disability, or Participant’s voluntarily termination of his or her employment with the
Company and all Subsidiaries for Good Reason within sixty (60) days after the occurrence of the event giving rise to such Good Reason]. For purposes of this Agreement, “Change in Control” shall have the meaning given to that term from
time to time in the Plan. 
 3. Each exercise of this SAR shall be by means of a written notice of exercise delivered to the Company,
specifying the number of Shares to which the exercise relates. The SAR Holder agrees to pay to the Company the minimum statutory withholding requirement arising in connection with the exercise of the SAR; and the Company shall have the right,
without the SAR Holder’s prior approval or direction, to satisfy such withholding tax by withholding all or any part of the cash that would otherwise be transferred and delivered to the SAR Holder. The Participant, with the consent of the
Company, may satisfy such withholding tax in cash or certified or cashier’s check payable to the order of the Company. 

 4. The fair market value of a Common Share of the Company’s stock shall be determined for
purposes of this Agreement by reference to the closing price of such share on the principal stock exchange on which the Common Shares are then listed or, if such shares are not then listed on an exchange, by reference to the closing price (if a
National Market Issue) or the mean between the bid and asked price (if other over-the-counter issue) of a share as supplied by the National Association of Securities Dealers through NASDAQ (or its successor in function), in each case as reported by
The Wall Street Journal, for the date on which the stock appreciation right is granted or exercised or if such day is not a business day, for the business day immediately preceding such date (or, if for any reason no such price is available,
in such other manner as the Committee may deem appropriate to reflect the then fair market value thereof). 
 5. (a) If the SAR Holder ceases
for any reason whatsoever to be an employee of the Company or a subsidiary corporation (as defined in Section 424(f) of the United States Internal Revenue Code of 1986, as amended (the “Code”)), for reasons other than a termination by
the Company for Cause (defined below) or termination due to death or permanent disability (as defined in Section 22(e)(3) of the Code),this SAR shall become void and of no further force or effect as of the 30-day anniversary of the cessation of
such employment; provided, however, that if such cessation of employment shall be due to the SAR Holder’s voluntary resignation with the consent of the Committee of the Board of Directors of the Company or such subsidiary corporation, expressed
in the form of a written resolution, then, the SAR Holder may at any time within a period of three (3) months after the date he so ceases to be an employee of the Company or any such subsidiary corporation, and not thereafter, exercise the SAR
granted hereby to the extent such SAR was exercisable by him on the date of such cessation of such employment. The employment of the SAR Holder shall be deemed to continue during any leave of absence which has been authorized by the Company,
provided that no exercise of this SAR may take place during any such authorized leave of absence excepting only during the first three (3) months thereof. Notwithstanding the foregoing provisions of this Section 5(a), if the SAR
Holder’s employment with the Company is terminated by the Company for Cause, this SAR shall become void and of no further force or effect as of the date of such termination of employment. 

(b) Notwithstanding the vesting schedule set forth in Section 2(b), if the SAR Holder’s employment with the Company or a subsidiary
corporation (as defined in Section 424(f) of the Code) is terminated as a result of the death or permanent disability (as defined in Section 22(e)(3) of the Code) of the SAR Holder, all rights subject to this SAR shall become immediately
vested and exercisable and may be exercised within twelve (12) months after the date of such death or permanent disability. During the period after death, the SAR may, to the extent that it remained unexercised, be exercised by the person or
persons to whom the SAR Holder’s rights under the SAR granted hereby shall pass by any reason of the death of the SAR Holder, whether by will or by the applicable laws of descent and distribution; provided, however, that in no event may the SAR
granted hereby be exercised to any extent by anyone after the Expiration Date specified in Section 1 above. 
 (c) For purposes of this
SAR, the term “Cause” shall be as defined in any existing employment, consulting or any other agreement between the SAR Holder and the Company or a subsidiary or an affiliate provided the SAR Holder is in fact terminated for cause pursuant
to such agreement, or, in the absence of such an employment, consulting or other agreement, shall be defined as (i) the determination by the Company, that the SAR Holder has ceased to perform his duties to the Company, or a subsidiary or an
affiliate (other than as a result of his incapacity due to physical or mental illness or injury), which failure amounts to an intentional and extended neglect of his duties to such party, (ii) the determination by the Company, that the SAR
Holder has engaged or is about to engage in conduct materially injurious to the Company or a subsidiary or an affiliate, monetarily or 

 
otherwise, (iii) the SAR Holder having been convicted of, or pleaded guilty or no contest to, a felony, (iv) conduct by SAR Holder that involves theft, fraud or dishonesty,
(v) repeated instances of drug or alcohol abuse or unauthorized absences during scheduled work hours, or (vi) the failure of the SAR Holder to follow the lawful instructions of the Board or his direct superiors. 

6. This SAR and the rights and privileges granted hereby shall not be transferred, assigned, pledged or hypothecated in any way, whether by
operation of the law or otherwise, except by will or the laws of descent and distribution. Upon any attempt so to transfer, assign, pledge, hypothecate or otherwise dispose of this SAR or any right or privileges granted hereby contrary to the
provisions hereof, this SAR and all rights and privileges contained herein shall immediately become null and void and of no further force or effect. 

7. If the outstanding common shares of the Company are increased, decreased, changed into, or exchanged for a different number or kind of
shares or securities of the Company through reorganization, recapitalization, reclassification, stock dividend, stock split or reverse stock split, or other similar transaction, an appropriate and proportionate adjustment (to be conclusively
determined by the Board of Directors of the Company) shall be made in the number and kind of securities associated with this SAR, without change in the total price applicable to the unexercised portion of this SAR but with a corresponding adjustment
in the price for each share or other unit of any security covered by this SAR. 
 Upon the dissolution or liquidation of the Company, or upon
a reorganization, merger or consolidation of the Company with one or more corporations as a result of which the Company is not the surviving corporation, or upon the sale of substantially all the assets or more than 80% of the then outstanding stock
of the Company to another corporation, this SAR shall terminate (except to the extent previously exercised, including, without limitation, giving effect to the acceleration provisions of Section 2 (c) hereof) unless express written
provision be made in connection with such transaction for (i) the assumption of this SAR or the substitution therefore of a new SAR covering the stock of a successor employer corporation, or a parent or subsidiary thereof, with appropriate
adjustments as to number and kind of rights and prices, such adjustments to be conclusively determined by the Board of Directors of the Company; (ii) the continuance of the Plan by such successor corporation in which event this SAR shall remain
in full effect under the terms so provided; or (iii) the payment in cash or stock in lieu of and in complete satisfaction of this SAR. 

Adjustments under this Section 7 shall be made by the Board of Directors, whose determination as to what adjustments shall be made, and
the extent thereof shall be final, binding and conclusive. No fractional shares of stock shall be used in calculating the Shares for purposes of this SAR under the Plan on any such adjustment. 

8. Confidential Information. 
 (a)
The Company shall disclose to the Participant, or place the Participant in a position to have access to or develop, trade secrets or confidential information of the Company or its Affiliates (as defined below); and/or shall entrust the Participant
with business opportunities of the Company or its Affiliates; and/or shall place the Participant in a position to develop business good will on behalf of the Company or its Affiliates. 

 (b) The Participant acknowledges that during his employment with the Company he occupies a
position of trust and confidence and agrees that he shall treat as confidential and shall not, without prior written authorization from the Company, directly or indirectly, disclose or make known to any person or use for his own benefit or gain, the
methods, process or manner of accomplishing the business undertaken by the Company or its Affiliates, or any non-public information, plans, formulas, products, trade secrets, marketing or merchandising strategies, or confidential material or
information and instructions, technical or otherwise, issued or published for the sole use of the Company, or information which is disclosed to the Participant or in any acquired by him during his employment with the Company, or any information
concerning the present or future business, processes, or methods of operation of the Company or its Affiliates, or concerning improvement, inventions or know how relating to the same or any part thereof, it being the intent of the Company, with
which intent the Participant hereby agrees, to restrict him from disseminating or using for his own benefit any information belonging directly or indirectly to the Company which is unpublished and not readily available to the general public
(collectively, “Confidential Information”). 
 (c) The confidentiality obligations set forth in (a) and (b) of this
Section 8 shall apply during the Participant’s employment by the Company and indefinitely thereafter. 
 (d) All information,
ideas, concepts, improvements, discoveries, and inventions, whether patentable or not, that are conceived, made, developed or acquired by the Participant, individually or in conjunction with others, during the Participant’s employment with the
Company (whether during business hours or otherwise and whether on the premises of the Company or an Affiliate or otherwise) that relate to the business, products or services of the Company or any Affiliate shall be disclosed to the Board and are
and shall be the sole and exclusive property of the Company or such Affiliate. Moreover, all documents, drawings, memoranda, notes, records, files, correspondence, manuals, models, specifications, computer programs, e-mail, voice mail, electronic
data bases, maps and all other writings and materials of any type embodying any such information, ideas, concepts, improvements, discoveries and inventions are and shall be the sole and exclusive property of the Company. Upon termination of the
Participant’s employment for any reason, the Participant promptly shall deliver the same, and all copies thereof, to the Company. 
 (e)
If, during the Participant’s employment by the Company, the Participant creates any work of authorship fixed in any tangible medium of expression that is the subject matter of copyright (such as video tapes, written presentations, or
acquisitions, computer programs, e-mail, voice mail, electronic data bases, drawings, maps, architectural renditions, models, manuals, brochures or the like) relating to the Company’s business, products or services, whether such work is created
solely by the Participant or jointly with others (whether during business hours or otherwise and whether on the Company’s premises or otherwise), the Company shall be deemed the author of such work if the work is prepared by the Participant in
the scope of the Participant’s employment. 
 9. Non-Solicitation 

(a) For the purposes of this Section, the following words have the following meanings: 

i. “Affiliate” means, with respect to any individual or a corporation, partnership, trust, incorporated or unincorporated
association, joint venture, limited liability company, joint stock company, government (or an agency or political subdivision thereof) or other entity of any kind (each a “person”), any other person that directly or indirectly controls or
is controlled by or under common control with such person. For the purposes of this definition, 

 
“control” when used with respect to any person, means the possession, direct or indirect, of the power to direct or cause the direction of the management and policies of such person,
whether through the ownership of voting securities, by contract or otherwise; and the terms of “affiliated”, “controlling” and “controlled” have meanings correlated to the foregoing. 

ii. “Company Services” means any services (including but not limited to technical and product support, technical advice,
underwriting and customer services) supplied by the Company or its Affiliates in the specialty property and/or casualty insurance business. 

iii. “Confidential Information” has the meaning ascribed thereto in Section 8. 

iv. “Customer” means any person or firm or company or other organization whatsoever to whom or which the Company supplied Company
Services during the Restricted Period and with whom or which, during the Restricted Period: (x) the Participant had material personal dealings pursuant to his employment, or (y) any employee who was under the direct or indirect supervision
of the Participant had material personal dealings pursuant to his or her employment. 
 v. “Prospective Customer” means any person
or firm or company or other organization whatsoever with whom or which the Company or its Affiliates shall have had negotiations or material discussions regarding the possible distribution, sale or supply of Company Services during the Restricted
Period and with whom or which during such period: (x) the Participant shall have had material personal dealings pursuant to his employment, or (y) any employee who was under the direct or indirect supervision of the Participant shall have
had material personal dealings pursuant to his or her employment, or (z) the Participant was directly responsible in a client management capacity on behalf of the Company. 

vi. “Restricted Employee” means any person who on the date of the Participant’s termination of employment by the Company was at
the level of director, manager, underwriter or salesperson with whom the Participant had material contact or dealings in the course of his employment during the Restricted Period; 

vii. “Restricted Period” means the period of twelve months ending on the last day of the Participant’s employment with the
Company or, in the event that no duties were assigned to the Participant, the twelve months immediately preceding the last day on which the Participant carried out any duties for the Company. 

(b) The Participant recognizes that, while performing his duties for the Company, he will have access to and come into contact with trade
secrets and Confidential Information belonging to the Company and its Affiliates and will obtain personal knowledge of and influence over its or their customers and/or employees. The Participant therefore agrees that the restrictions set out in this
Section 9 are reasonable and necessary to protect the legitimate business interests of the Company and its Affiliates both during and after the termination of his employment. 

(c) The Participant hereby undertakes with the Company that he shall not during his employment with the Company and for the period of twelve
months after he ceases to be employed by the Company for any reason, whether the termination is by the Company, by the 

 
Participant, due to Disability, without the prior written consent of the Company, whether by himself, through his employers or employees or agents or otherwise, howsoever and whether on his own
behalf or on behalf of any other person, firm, company or other organization directly or indirectly: 
  

	 	i.	solicit business from or endeavor to entice away or canvass any Customer or Prospective Customer; 

  

	 	ii.	solicit or induce or endeavor to solicit or induce any Restricted Employee to cease working for or providing services to the Company, or hire any Restricted Employee. 

(d) This Section 9 shall be for the benefit of the Company and each of its Affiliates and the Company reserves the right to assign the
benefit of such provisions to any of its Affiliates, in addition such provisions also apply as though there were substituted for references to “the Company” references to each of its Affiliates in relation to which the Participant has in
the course of his duties for the Company or by reason of rendering services to or holding office in such Affiliate: (x) acquired knowledge of its trade secrets or Confidential Information; or (y) had material personal dealings with its
Customers or Prospective Customers; or (z) supervised directly or indirectly employees having material personal dealings with its Customers or Prospective Customers but so that references in this Section 9 to “the Company” shall
for this purpose be deemed to be replaced by references to the relevant Affiliate. The obligations undertaken by the Participant pursuant to this Section 9 shall, with respect to each Affiliate of the Company, constitute a separate and distinct
covenant and the invalidity or unenforceability of any such covenant shall not affect the validity or enforceability of the covenants in favor of any other Affiliate or the Company. 

(e) While the covenants in this Section 9 (on which the Participant has had the opportunity to take independent advice, as the Participant
hereby acknowledges) are considered by the parties to be reasonable in all the circumstances, it is agreed that if any such covenants, by themselves, or taken together, shall be adjudged to go beyond what is reasonable in all the circumstances for
the protection of the legitimate interests of the Company or its Affiliates but would be adjudged reasonable if part or parts of the wording thereof were deleted, the relevant covenants or restrictions shall apply with such deletion(s) as may be
necessary to make it or them valid and effective. 
 10. The SAR award granted hereby is subject to, and the Company and the Participant
agree to be bound by, all of the terms and conditions of the Company’s [2007 // 2014] Long-Term Incentive Plan, as the same shall be amended from time to time in accordance with the terms thereof, but no such amendment shall adversely affect
the Participant’s rights under this grant without the prior written consent of Participant. The terms of the Plan are incorporated into and form part of this Agreement. 

11. Miscellaneous. 
 (a) No
Representations or Warranties. Neither the Company nor the Committee or any of their representatives or agents has made any representations or warranties to the Participant with respect to the income tax or other consequences of the transactions
contemplated by this Agreement, and the Participant is in no manner relying on the Company, the Committee or any of their representatives or agents for an assessment of such tax or other consequences. 

 (b) No Employment Guarantee. Nothing in this Agreement nor in the Plan nor in the making
of the Award shall confer on the Participant any right to or guarantee of continued employment with the Company or any of its subsidiaries or in any way limit the right of the Company or any of its subsidiaries to terminate the employment of the
Participant at any time. 
 (c) Necessary Acts. The Participant and the Company hereby agree to perform any further acts and to
execute and deliver any documents which may be reasonably necessary to carry out the provisions of this Agreement. 
 (d) Binding Effect;
Applicable Law. This Agreement shall bind and inure to the benefit of the Company and its successors and assigns, and the Participant and any heir, legatee, or legal representative of the Participant. This Agreement shall be interpreted under
and governed by and constructed in accordance with the laws of Texas. 
 (e) Administration. The authority to manage and control the
operation and administration of this Agreement shall be vested in the Committee, and the Committee shall have all powers with respect to this Agreement as it has with respect to the Plan. Any interpretation of the Agreement by the Committee and any
decision made by it with respect to the Agreement are final and binding. 
  

					
	ARGO GROUP INTERNATIONAL HOLDINGS, LTD.
		
	By	 	  

		
	Its	 	  

	
	SAR HOLDER
		
	By	 	  

		
	Print Name

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