Document:

INDEMNITY
AGREEMENT

This
Indemnity Agreement, effective as of October 13, 2015, is made by and between Praetorian Property, Inc., a Delaware corporation
with executive offices located at 7702 E Doubletree Ranch Rd. Ste 300 Scottsdale AZ 88258 (the “Company”), and Munjit
Johal, the Company’s chief financial officer residing at 42 Rockwood, Irvine, California 92614 (the “Indemnitee”).

RECITALS

A.
The Company is aware that competent and experienced persons are increasingly reluctant to serve as directors or officers of corporations
unless they are protected by comprehensive liability insurance or indemnification, due to increased exposure to litigation costs
and risks resulting from their service to such corporations, and due to the fact that the exposure frequently bears no reasonable
relationship to the compensation of such directors and officers;

B.
The statutes and judicial decisions regarding the duties of directors and officers are often difficult to apply, ambiguous, or
conflicting, and therefore fail to provide such directors and officers with adequate, reliable knowledge of legal risks to which
they are exposed or information regarding the proper course of action to take;

C.
Plaintiffs often seek damages in such large amounts and the costs of litigation may be so substantial (whether or not the case
is meritorious), that the defense and/or settlement of such litigation is often beyond the personal resources of officers and
directors;

D.
The Company believes that it is unfair for its directors and officers and the directors and officers of its subsidiaries to assume
the risk of large judgments and other expense that may be incurred in cases in which the director or officer received no personal
profit and in cases where the director or officer was not culpable;

E.
The Company recognizes that the issues in controversy in litigation against a director or officer of a corporation such as the
Company or a subsidiary of the Company are often related to the knowledge, motives and intent of such director or officer, that
he or she is usually the only witness with knowledge of the essential facts and exculpating circumstances regarding such matters
and that the long period of time which usually elapses before the trial or other disposition of which litigation often extends
beyond the time that the director or officer can reasonably recall such matters; and may extend beyond the normal time for retirement
or in the event of his or her death, his or her spouse, heirs, executors or administrators, may be faced with limited ability
and undue hardship in maintaining an adequate defense, which may discourage such a director or officer from serving in that position;

F.
Based upon their experience as business managers, the Board of Directors of the Company (the “Board”) has concluded
that, to retain and attract talented and experienced individuals to serve as officers and directors of the Company and its subsidiaries
and to encourage such individuals to take the business risks necessary for the success of the Company and its subsidiaries, it
is necessary for the Company to contractually indemnify its officers and directors and the officers and directors of its subsidiaries,
and to assume for itself maximum liability for expenses and damages in connection with claims against such officers and directors
in connection with their service to the Company and its subsidiaries, and has further concluded that the failure to provide such
contractual indemnification could result in great harm to the Company and its subsidiaries and the Company’s stockholders;

G.
The corporate law of Delaware, under which the Company is organized, empowers the Company to indemnify by agreement its officers,
directors, employees and agents, and persons who serve, at the request of the Company, as directors, officers, employees or agents
of other corporations or enterprises, and expressly provides that the indemnification provided by such legislation is not exclusive;

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H.
The Company, after reasonable investigation prior to the date hereof, has determined that the liability insurance coverage available
to the Company and its subsidiaries as of the date hereof is inadequate and/or unreasonably expensive. The Company believes, therefore,
that the interest of the Company’s stockholders would best be served by a combination of such insurance as the Company may
obtain, or request a subsidiary to obtain, pursuant to the Company’s obligations hereunder, and the indemnification by the
Company of the directors and officers of the Company and its subsidiaries;

I.
The Company desires and has requested the Indemnitee to serve or continue to serve as a director or officer of the Company and/or
the subsidiaries of the Company free from undue concern for claims for damages arising out of or related to such services to the
Company and/or a subsidiary of the Company; and

J.
The Indemnitee is willing to serve, or to continue to serve, the Company and/or the subsidiaries of the Company, provided that
he or she is furnished the indemnity provided for herein.

AGREEMENT

NOW,
THEREFORE, the parties hereto, intending to be legally bound, hereby agree as follows:

1. Definitions.

(a) Agent.
For the purposes of this Agreement, “agent” of the Company means any person who is or was a director, officer, employee
or other agent of the Company or a subsidiary of the Company; or is or was serving at the request of, for the convenience of or
to represent the interest of the Company or a subsidiary of the Company as a director, officer, employee or agent of another foreign
or domestic corporation, partnership, joint venture, trust or other enterprise; or was a director, officer, employee or agent
of a foreign or domestic corporation which was a predecessor corporation of the Company or a subsidiary of the Company, or was
a director, officer, employee or agent of another enterprise at the request of, for the convenience of or to represent the interests
of such predecessor corporation.

(b) Expenses. For
purposes of this Agreement, “expenses” includes all direct and indirect costs of any type or nature whatsoever (including,
without limitation, all attorneys’ fees and related disbursements, and other out-of-pocket costs) actually and reasonably
incurred by the Indemnitee in connection with either the investigation, defense or appeal of a proceeding or establishing or enforcing
a right to indemnification under this Agreement; provided, however, that expenses shall not include any judgments, fines, ERISA
excise taxes or penalties or amounts paid in settlement of a proceeding.

(c) Proceeding. For
the purposes of this Agreement, “proceeding” means any threatened, pending, or completed action, suit or other proceeding,
whether civil, criminal, administrative, investigative or any other type whatsoever.

(d) Subsidiary. For
purposes of this Agreement, “subsidiary” means any corporation of which more than 50% of the outstanding voting securities
is owned directly or indirectly by the Company, by the Company and one or more other subsidiaries, or by one or more other subsidiaries.

2. Agreement
to Serve. The Indemnitee agrees to serve and/or continue to serve as an agent of the Company, at its will (or under separate
agreement, if such agreement exists), in the capacity the Indemnitee currently serves as an agent of the Company, so long as he
or she is duly appointed or elected and qualified in accordance with the applicable provisions of the Bylaws of the Company or
any subsidiary of the Company or until such time as he or she tenders his resignation in writing or he or she is removed from
such position, provided, however, that nothing contained in this Agreement is intended to create any right to continued employment
by the Indemnitee.

3. Maintenance
of Liability Insurance.

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(a)
The Company hereby covenants and agrees that, so long as the Indemnitee shall continue to serve as an agent of the Company and
thereafter so long as the Indemnitee shall be subject to any possible proceeding by reason of the fact that the Indemnitee was
an agent of the Company, the Company, subject to Section 3(b), shall use reasonable efforts to obtain and maintain in full
force and effect directors’ and officers’ liability insurance (“D&O Insurance”) in reasonable amounts
from established and reputable insurers.

(b)
Notwithstanding the foregoing, the Company shall have no obligation to obtain or maintain D&O Insurance if the Company determines
in good faith that such insurance is not reasonably available, the premium costs for such insurance are disproportionate to the
amount of coverage provided, the coverage is reduced by exclusions so as to provide an insufficient benefit, or the Indemnitee
is covered by similar insurance maintained by a subsidiary of the Company.

4. Mandatory
Indemnification. The Company shall indemnify the Indemnitee from:

(a) Third
Party Actions. If the Indemnitee is a person who was or is a party or is threatened to be made a party to any proceeding (other
than an action by or in the right of the Company) by reason of the fact that he or she is or was an agent of the Company, or by
reason of anything done or not done by him or her in any such capacity, against any and all expenses and liabilities of any type
whatsoever (including, but not limited to, judgments, fines, ERISA excise taxes or penalties, and amounts paid in settlement)
actually and reasonably incurred by him or her in connection with the investigation, defense, settlement or appeal of such proceeding
if he or she acted in good faith and in a manner he or she reasonably believed to be in or not opposed to the best interests of
the Company, and, with respect to any criminal action or proceeding, had no reasonable cause to believe his or her conduct was
unlawful; and

(b) Derivative
Actions. If the Indemnitee is a person who was or is a party or is threatened to be made a party to any proceeding by
or in the right of the Company to procure a judgment in its favor by reason of the fact that he or she is or was an agent of the
Company, or by reason of anything done or not done by him or her in any such capacity, against any amounts paid in settlement
of any such proceeding and all expenses actually and reasonably incurred by him or her in connection with the investigation, defense,
settlement, or appeal of such proceeding if he or she acted in good faith and in a manner he or she reasonably believed to be
in or not opposed to the best interests of the Company; except that no indemnification under this subsection shall be made in
respect of any claim, issue or matter as to which such person shall have been finally adjudged to be liable to the Company after
the time for an appeal has expired by a court of competent jurisdiction due to willful misconduct of a culpable nature in the
performance of his or her duty to the Company unless and only to the extent that the court in which such proceeding was brought
shall determine upon application that, despite the adjudication of liability but in view of all the circumstances of the case,
such person is fairly and reasonably entitled to indemnity for such amounts which the court shall deem proper; and

(c) Actions
Where Indemnitee is Deceased. If the Indemnitee is a person who was or is a party or is threatened to be made a party
to any proceeding by reason of the fact that he or she is or was an agent of the Company, or by reason of anything done or not
done by him or her in any such capacity, against any and all expenses and liabilities of any type whatsoever (including, but not
limited to, judgments, fines, ERISA excise taxes or penalties, and amounts paid in settlement) actually and reasonably incurred
by him or her in connection with the investigation, defense, settlement or appeal of such proceeding if he or she acted in good
faith and in a manner he or she reasonably believed to be in or not opposed to the best interests of the Company, and prior to,
during the pendency or after completion of such proceeding the Indemnitee is deceased, except that in a proceeding by or in the
right of the Company no indemnification shall be due under the provisions of this subsection in respect of any claim, issue or
matter as to which such person shall have been finally adjudged to be liable to the Company after the time for an appeal has expired,
by a court of competent jurisdiction due to willful misconduct of a culpable nature in the performance of his or her duty to the
Company, unless and only to the extent that the court in which such proceeding was brought shall determine upon application that,
despite the

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adjudication
of liability but in view of all the circumstances of the case, such person is fairly and reasonably entitled to indemnity for
such amounts which the court shall deem proper; and

(d) Exception
for Amounts Covered by Insurance. Notwithstanding the foregoing, the Company shall not be obligated to indemnify the
Indemnitee for expenses or liabilities of any type whatsoever (including, but not limited to, judgments, fees, ERISA excise taxes
or penalties, and amounts paid in settlement) which have been paid directly to Indemnitee under D&O Insurance.

5. Partial
Indemnification. If the Indemnitee is entitled under any provision of this Agreement to indemnification by the Company
for some or a portion of any expenses or liabilities of any type whatsoever (including, but not limited to, judgments, fines,
ERISA excise taxes or penalties, and amounts paid in settlement) incurred by him or her in the investigation, defense, settlement
or appeal of a proceeding but not entitled, however, to indemnification for all of the total amount thereof, the Company shall
nevertheless indemnify the Indemnitee for such total amount except as to the portion thereof to which the Indemnitee is not entitled.

6. Mandatory
Advancement of Expenses. Subject to Section 10 below, the Company shall advance all expenses incurred by the Indemnitee
in connection with the investigation, defense, settlement or appeal of any proceeding to which the Indemnitee is a party or is
threatened to be made a party by reason of the fact that the Indemnitee is or was an agent of the Company or by reason of anything
done or not done by him or her in any such capacity. Indemnitee hereby undertakes to repay such amounts advanced only if, and
to the extent that, it shall ultimately be determined that the Indemnitee is not entitled to be indemnified by the Company as
authorized hereby. The advances to be made hereunder shall be paid by the Company to the Indemnitee within ten (10) days
following delivery of a written request therefor by the Indemnitee to the Company.

7. Notice
and Other Indemnification Procedures.

(a)
Promptly after receipt by the Indemnitee of notice of the commencement of or the threat of commencement of any proceeding, the
Indemnitee shall, if the Indemnitee believes that indemnification with respect thereto may be sought from the Company under this
Agreement, notify the Company of the commencement or threat of commencement thereof.

(b)
If, at the time of the receipt of a notice of the commencement of a proceeding pursuant to Section 7(a) hereof, the Company
has D&O Insurance in effect, the Company shall give prompt notice of the commencement of such proceeding to the insurers in
accordance with the procedures set forth in the respective policies. The Company shall thereafter take all necessary or desirable
action to cause such insurers to pay, on behalf of the Indemnitee, all amounts payable as a result of such proceeding in accordance
with the terms of such policies.

(c)
In the event the Company shall be obligated to advance the expenses for any proceeding against the Indemnitee, the Company, if
appropriate, shall be entitled to assume the defense of such proceeding, with counsel approved by the Indemnitee, upon the delivery
to the Indemnitee of written notice of its election so to do. After delivery of such notice, approval of such counsel by the Indemnitee
and the retention of such counsel by the Company, the Company will not be liable to the Indemnitee under this Agreement for any
fees of counsel subsequently incurred by the Indemnitee with respect to the same proceeding, provided that (i) the Indemnitee
shall have the right to employ his or her counsel in any such proceeding at the Indemnitee’s expense; and (ii) if (A) the
employment of counsel by the Indemnitee has been previously authorized by the Company, (B) the Indemnitee shall have reasonably
concluded that there may be a conflict of interest between the Company and the Indemnitee in the conduct of any such defense or
(C) the Company shall not, in fact, have employed counsel to assume the defense of such proceeding, the fees and expenses
of the Indemnitee’s counsel shall be at the expense of the Company.

 

 

 

 

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8. Determination
of Right to Indemnification.

(a)
To the extent the Indemnitee has been successful on the merits or otherwise in defense of any proceeding referred to in Section 4(a),
4(b) or 4(c) of this Agreement or in the defense of any claim, issue or matter described therein, the Company shall indemnify
the Indemnitee against expenses actually and reasonably incurred by him or her in connection therewith.

(b)
In the event that Section 8(a) is inapplicable, the Company shall also indemnify the Indemnitee unless, and only to the extent
that, the Company shall prove by clear and convincing evidence to a forum listed in Section 8(c) below that the Indemnitee
has not met the applicable standard of conduct required to entitle the Indemnitee to such indemnification.

(c)
The Indemnitee shall be entitled to select the forum in which the validity of the Company’s claim under Section 8(b)
hereof that the Indemnitee is not entitled to indemnification will be heard from among the following:

(1)
A quorum of the Board consisting of directors who are not parties to the proceeding for which indemnification is being sought;

(2)
The stockholders of the Company;

(3)
Legal counsel selected by the Indemnitee and reasonably approved by the Board, which counsel shall make such determination in
a written opinion;

(4)
A panel of three arbitrators, one of whom is selected by the Company, another of whom is selected by the Indemnitee and the last
of whom is selected by the first two arbitrators so selected.

(d)
As soon as practicable, and in no event later than 30 days after written notice of the Indemnitee’s choice of forum pursuant
to Section 8(c) above, the Company shall, at its own expense, submit to the selected forum in such manner as the Indemnitee
or the Indemnitee’s counsel may reasonably request, its claim that the Indemnitee is not entitled to indemnification; and
the Company shall act in the utmost good faith to assure the Indemnitee a complete opportunity to defend against such claim.

(e)
Notwithstanding a determination by any forum listed in Section 8(c) hereof that the Indemnitee is not entitled to indemnification
with respect to a specific proceeding, the Indemnitee shall have the right to apply to the the court in which that proceeding
is or was pending or any other court of competent jurisdiction, for the purpose of enforcing the Indemnitee’s right to indemnification
pursuant to the Agreement.

(f)
The Company shall indemnify the Indemnitee against all expenses incurred by the Indemnitee in connection with any hearing or proceeding
under this Section 8 involving the Indemnitee and against all expenses incurred by the Indemnitee in connection with any
other proceeding between the Company and the Indemnitee involving the interpretation or enforcement of the rights of the Indemnitee
under this Agreement unless a court of competent jurisdiction finds that each of the material claims and/or defenses of the Indemnitee
in any such proceeding was frivolous or not made in good faith.

9. Limitation
of Actions and Release of Claims. No proceeding shall be brought and no cause of action shall be asserted by or on behalf
of the Company or any subsidiary against the Indemnitee, his or her spouse, heirs, estate, executors or administrators after the
expiration of one year from the act or omission of the Indemnitee upon which such proceeding is based; however, in a case where
the Indemnitee fraudulently conceals the facts underlying such cause of action, no proceeding shall be brought and no cause of
action shall be asserted after the expiration of one year from the earlier of (i) the date the Company or any subsidiary
of the Company discovers such facts, or (ii) the date the Company or any subsidiary of the Company could have discovered
such facts by the exercise of reasonable diligence. Any claim or cause of action of the Company

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or
any subsidiary of the Company, including claims predicated upon the negligent act or omission of the Indemnitee, shall be extinguished
and deemed released unless asserted by filing of a legal action within such period. This Section 9 shall not apply to any
cause of action which has accrued on the date hereof and of which the Indemnitee is aware on the date hereof, but as to which
the Company has no actual knowledge apart from the Indemnitee’s knowledge.

10. Exceptions. Any
other provision herein to the contrary notwithstanding, the Company shall not be obligated pursuant to the terms of this Agreement:

(a) Claims
Initiated by Indemnitee. To indemnify or advance expenses to the Indemnitee with respect to proceedings or claims initiated
or brought voluntarily by the Indemnitee and not by way of defense, except with respect to proceedings brought to establish or
enforce a right to indemnification under this Agreement or any other statute or law, but such indemnification or advancement of
expenses may be provided by the Company in specific cases if the Board of Directors finds it to be appropriate; or

(b) Lack
of Good Faith. To indemnify the Indemnitee for any expenses incurred by the Indemnitee with respect to any proceeding
instituted by the Indemnitee to enforce or interpret this Agreement, if a court of competent jurisdiction determines that each
of the material assertions made by the Indemnitee in such proceeding was not made in good faith or was frivolous; or

(c) Unauthorized
Settlements. To indemnify the Indemnitee under this Agreement for any amounts paid in settlement of a proceeding unless
the Company consents to such settlement; or

(d) Claims
by the Company for Willful Misconduct. To indemnify or advance expenses to the Indemnitee under this Agreement for any
expenses incurred by the Indemnitee with respect to any proceeding or claim brought by the Company against the Indemnitee for
willful misconduct, unless a court of competent jurisdiction determines that each of such claims was not made in good faith or
was frivolous; or

(e) Section 16(b).
To indemnify Indemnitee for expenses and the payment of profits arising from the purchase and sale by Indemnitee of securities
in violation of Section 16(b) of the Securities Exchange Act of 1934, as amended, or any similar successor statute; or

(f) Willful
Misconduct. To indemnify the Indemnitee on account of the Indemnitee’s conduct which is finally adjudged to have
been knowingly fraudulent or deliberately dishonest, or to constitute willful misconduct; or

(g) Unlawful
Indemnification. To indemnify the Indemnitee if a final decision by a court having jurisdiction in the matter shall determine
that such indemnification is not lawful; or

(h) Forfeiture
of Certain Bonuses and Profits. To indemnify Indemnitee for the payment of amounts required to be reimbursed to the Company
pursuant to Section 304 of the Sarbanes-Oxley Act of 2002, as amended, or any similar successor statute.

11. Nonexclusivity. The
provisions for indemnification and advancement of expenses set forth in this Agreement shall not be deemed exclusive of any other
rights which the Indemnitee may have under any provision of law, the Company’s Certificate of Incorporation or Bylaws, the
vote of the Company’s stockholders or disinterested directors, other agreements, or otherwise, both as to actions in his
or her official capacity and to actions in another capacity while occupying his or her position as an agent of the Company, and
the Indemnitee’s rights hereunder shall continue after the Indemnitee has ceased acting as an agent of the Company and shall
inure to the benefit of the heirs, executors and administrators of the Indemnitee.

12. Interpretation
of Agreement. It is understood that the parties hereto intend this Agreement to be interpreted and enforced so as to
provide indemnification to the Indemnitee to the fullest extent now or hereafter permitted by law.

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13. Severability. If
any provision or provisions of this Agreement shall be held to be invalid, illegal or unenforceable for any reason whatsoever,
(i) the validity, legality and enforceability of the remaining provisions of the Agreement (including, without limitation,
all portions of any paragraphs of this Agreement containing any such provision held to be invalid, illegal or unenforceable, that
are not themselves invalid, illegal or unenforceable) shall not in any way be affected or impaired thereby, and (ii) to the
fullest extent possible, the provisions of this Agreement (including, without limitation, all portions of any paragraphs of this
Agreement containing any such provision held to be invalid, illegal or unenforceable, that are not themselves invalid, illegal
or unenforceable) shall be construed so as to give effect to the intent manifested by the provision held invalid, illegal or unenforceable
and to give effect to Section 12 hereof.

14. Modification
and Waiver. No supplement, modification or amendment of this Agreement shall be binding unless executed in writing by
both of the parties hereto. No waiver of any of the provisions of this Agreement shall be deemed or shall constitute a waiver
of any other provision hereof (whether or not similar) nor shall such waiver constitute a continuing waiver.

15. Successors
and Assigns. The terms of this Agreement shall bind, and shall inure to the benefit of, the successors, heirs, executors,
and administrators and assigns of the parties hereto.

16. Notice. All
notices, requests, demands and other communications under this Agreement shall be in writing and shall be deemed duly given (i) if
delivered by hand and receipted for by the party addressee or (ii) if mailed by certified or registered mail with postage
prepaid, on the third business day after the mailing date. Addresses for notice to either party are as shown on the first page
of this Agreement, or as subsequently modified by written notice.

17. Governing
Law. This Agreement shall be governed exclusively by and construed according to the laws of the State of Delaware, as
applied to contracts between Delaware residents entered into and to be performed entirely within Delaware.

18. Consent
to Jurisdiction. The Company and the Indemnitee each hereby irrevocably consent to the jurisdiction of the courts of
the State of Nevada for all purposes in connection with any action or proceeding which arises out of or relates to this Agreement.

 

The
parties hereto have entered into this Indemnity Agreement effective as of the date first above written.

 

	 	 	 
	PRAETORIAN
    PROPERTY, INC.
	 	 
	By:		/s/
    Llorn Kylo
	 	 
	Its:		President, CEO and Director
	 
	INDEMNITEE:
	 

        /s/
        Munjit Johal

MUNJIT
JOHAL

 

    	 	7EX-10.1

 Exhibit 10.1 
  

 
 

 
  
  

			
	Mike Pope	 	October 23, 2015             

 Dear Mike: 
 We are delighted to
have you join the Shutterfly family, and look forward to welcoming you into our growing organization. Accordingly, I am pleased to offer you a regular full-time position with Shutterfly Inc., as Senior Vice President & Chief Financial Officer,
commencing on a mutually agreed upon date (the date you commence employment, the “Hire Date”), reporting to Jeffrey Housenbold. This job is located in Redwood City, California. 

Compensation 
 Your base salary will be $415,000.00
annually, minus applicable deductions and prorated for any partial periods of employment. You will be paid semi-monthly in accordance with the company’s normal payroll procedure. 

2015 Bonus 
 You are eligible to participate in our
corporate bonus program. Your annual discretionary bonus target will be 40% of your annual salary, paid on a quarterly basis, if earned. Your eligibility for this discretionary bonus is determined at the end of each fiscal quarter and is based on
various factors including company performance and your achievement of individual objectives. Bonuses are not earned until paid. To be eligible to receive a payment, you must be employed by Shutterfly at the time any bonuses are paid. Your
eligibility for our quarterly bonus program is dependent upon your start date. Based on your presumed start date, you will be eligible for a pro-rated fourth quarter 2015 Discretionary Bonus for the portion of the quarter during which you were
employed by Shutterfly. Whether a bonus will be awarded in a particular bonus period, and in what amount, is within the sole discretion of Shutterfly. Both your base salary and the components of your bonus are subject to periodic review. Your bonus
participation will be subject to all the terms, conditions and restrictions of the applicable Shutterfly Quarterly Bonus Plan, as amended from time to time. 

Equity 
 RSUs 

Subject to the approval of the Compensation Committee of Shutterfly’s Board of Directors in accordance with the Company’s equity grant
procedures, you will be granted a one-time award in the form of 70,000 Restricted Stock Units (RSUs) in accordance with Shutterfly’s Restricted Stock Unit Inducement Award Agreement (located on the enclosed flash drive). The RSUs will vest in
25% increments annually on each of the first, second, third and fourth anniversaries of the original grant date. Your RSUs will be subject to all the terms, conditions and restrictions and your execution of the Restricted Stock Unit Inducement Award
Agreement. The grant date for the RSUs is anticipated to be no more than ten (10) days following the Hire Date. 
 PBRSUs 

Subject to the approval of the Compensation Committee of Shutterfly’s Board of Directors in accordance with the Company’s equity grant procedures,
you will be granted a one-time award in the form of 70,000 Performance Based Restricted Stock Units (PBRSUs) in accordance with Shutterfly’s Restricted Stock Unit Inducement Award Agreement (located on the enclosed flash drive). The PBRSUs will
vest in 25% increments annually on each of the first, second, third, and fourth anniversaries of the grant date provided the performance objectives applicable to the PBRSUs are achieved. Your PBRSUs will be subject to all the terms, conditions and
restrictions and the execution of the Restricted Stock Unit Inducement Award Agreement. You will receive more details regarding your equity award(s) from E*TRADE FINANCIAL, the equity administrator for Shutterfly. The grant date for the PBRSUs is
anticipated to be no more than ten (10) days following the Hire Date. 
 Holidays 

In 2015, Shutterfly will observe twelve paid holidays. The holiday schedule may change at management’s discretion. 

  
 2800 Bridge Parkway,
Redwood City, CA 94065 (p) 650.610.5200 (f) 650.610.5280 
 www.shutterflyinc.com 

 

 
  
  Page
 2
 
 Mike Pope 
  

 Benefits 

As an employee of Shutterfly, you will also be eligible to receive certain employee benefits, including medical, dental and vision coverage. The medical,
dental and vision coverage will begin on your Hire Date. Additionally, you will be eligible to participate in the Fidelity 401k plan. Shutterfly reserves the right to revise or discontinue any or all of its benefit plans, at any time, in
Shutterfly’s sole discretion. Enclosed is some information on Shutterfly’s benefit plans. Further information about these benefits can be obtained from the Shutterfly Benefits Department. 

Paid Time Off 
 In order to allow you the greatest
possible flexibility with your time, you will accrue twenty (20) days of paid time off per year, subject to Shutterfly’s paid time off policy. 

Severance Benefits 
 Please see Attachment A, which
is incorporated herein by reference, for the complete terms and conditions of your Severance Benefits. 
 Change of Control Benefits 

Please see Attachment B, which is incorporated herein by reference, for the complete terms and conditions of your Change of Control Benefits. 

Employment Eligibility Verification 
 For
purposes of federal immigration law, you will be required to provide to the Company documentary evidence of your identity and eligibility for employment in the United States. Such documentation must be provided to us within three (3) business
days of your Hire Date, or our employment relationship with you may be terminated. 
 Employment at Will 

If you choose to accept this offer, your employment with the Company will be voluntarily entered into and will be for no specified period. As a result, you
will be free to resign at any time, for any reason, as you deem appropriate. The Company will have a similar right and may terminate its employment relationship with you at any time, with or without Cause or advance notice. 

Acceptance of Offer 
 To indicate your acceptance
of the terms of this offer, please sign and date in the space provided below and return an executed copy to: Shutterfly 2800 Bridge Parkway, Redwood City, CA 94065, Attention: Tracy Layney, SVP, Human Resources no later than October 26, 2015 after
which this offer will expire. A duplicate original is enclosed for your records. In addition to this letter, your offer of employment is conditioned upon: (1) providing documentation which establishes eligibility for employment in the United States;
(2) completion and signing of the Shutterfly employment application; (3) successful completion of a background and reference check and (4) your signing of the Shutterfly Employee Invention Assignment and Confidentiality Agreement (and
any other similar agreements relating to proprietary rights between you and the Company). 
 This letter agreement, and all of its attachments and
enclosures, constitute the entire agreement between you and the Company regarding the terms and conditions of your employment with the Company and together supersede any prior representations or agreements, whether written or oral. This letter,
along with any attachments and enclosures hereto, may not be modified or amended except by a written agreement signed by the Chief Executive Officer of the Company. If by October 26, 2015 we have not received a copy of this letter executed by you,
then we will assume you have decided not to join the Company. 
 We’re sure you will find our corporate culture, including an environment that rewards
talent, results and teamwork a gratifying place to work. We look forward to your positive response and sharing our future success with you as part of the Shutterfly team. 

  
 2800 Bridge Parkway,
Redwood City, CA 94065 (p) 650.610.5200 (f) 650.610.5280 
 www.shutterflyinc.com 

 

 
  
  Page
 3
 
 Mike Pope 
  

 If you have any questions regarding this offer, please feel free to contact me. 

 

	
	Sincerely,
	
	Jeffery Housenbold
	President and Chief Executive Officer
	Shutterfly, Inc.

 Attachments: 

Severance Benefits (Attachment A) 
 Change of Control Benefits
(Attachment B) 
 Enclosures: 
 Discretionary
Quarterly Bonus Plan 
 Restricted Stock Unit Inducement Award Agreement 

Employee Invention Assignment, Confidentiality and Restrictive Covenant Agreement 

Arbitration Agreement – California 
 Background Check
Authorization 
  

							
	Accepted by candidate:	  		  	Date:	  	
				
	  
	  		  	                            	  	
				
	Anticipated Start Date:                             	  		  		  	

 cc: HR Manager, for distribution to Personnel File 

  
 2800 Bridge Parkway,
Redwood City, CA 94065 (p) 650.610.5200 (f) 650.610.5280 
 www.shutterflyinc.com 

 

 
  

 Attachment A 

Severance Benefits 
 If your employment is
terminated by the Company without Cause (as defined below), other than within twelve (12) months following a Corporate Transaction (as defined in the 2006 Equity Incentive Plan), you will receive: 

1) a severance payment in the amount equal to six (6) months of your final base pay rate and, less applicable withholding taxes and regular deductions,
payable in a lump sum (“Severance”); 
 2) the post-termination exercise period for your Company stock options will be twelve (12) months
following your termination date; and 
 3) if you are covered under the Company’s group health plan as of the termination date and timely elect to
continue your group coverage under COBRA, the Company will reimburse you upon submission of written proof of premium payment for up to six (6) months of the applicable COBRA premiums as COBRA is provided in accordance with the terms of the
applicable plans and the law, beginning on the first of the month following the Company’s receipt of your COBRA election notice and ending on the earlier of (i) the date you become covered under another group or individual health plan, or
(ii) the last day of the six-month period described above. You will be solely responsible for making your premium payments pursuant to COBRA in order to maintain such coverage, and the Company shall not be responsible for making any direct
payments to any health care or insurance provider on your behalf (provided, however, that if this reimbursement would violate applicable health care legislation, you will be provided with a lump sum cash payment equal to six (6) months of COBRA
premiums without proof of premium payment, which amount shall be paid at the same time as the Severance); and 
 4) If your employment is terminated by the
Company without Cause, other than within twelve (12) months following a Corporate Transaction, and that termination occurs (a) prior to the first 25% vesting event with respect to the RSUs, you will also receive accelerated vesting of 25%
of the RSUs; and (b) prior to the first 25% vesting event with respect to the PBRSUs, you will also receive accelerated vesting of 25% of the PBRSUs. 

The foregoing benefits set forth in paragraphs (1), (2), (3) and (4) above are referred to herein as the “Severance Benefits.” 

Your receipt of the foregoing Severance Benefits is conditioned on you having first executed, and not revoked, a general release of claims in favor of the
Company (in a form prescribed by the Company) and the return of all Company property. The Severance (and lump sum payment in lieu of COBRA, if applicable) will be paid in the form of a lump sum, in accordance with the Company’s standard payroll
procedures, commencing within sixty (60) days following your “separation from service,” as defined under Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”) (subject to a six-month delay if you are a
“specified employee” as defined under the Treasury Regulations under Section 409A of the Code and such delay is required to avoid the penalty taxes that otherwise may be imposed by Section 409A of the Code). 

To the extent that any provision of this Offer Letter is ambiguous as to its exemption or compliance with Code Section 409A, the provision will be read in
such a manner so that all payments hereunder are exempt from Code Section 409A to the maximum permissible extent, and for any payments where such construction is not tenable, that those payments comply with Code Section 409A to the maximum
permissible extent. To the extent any payment under this Offer Letter may be classified as a “short-term deferral” within the meaning of Code Section 409A, such payment shall be deemed a short-term deferral, even if it may also qualify for
an exemption from Code Section 409A under another provision of Code Section 409A. Payments pursuant to this Offer Letter (or referenced in this Offer Letter) are intended to constitute separate payments for purposes of Section 1.409A-2(b)(2) of the
regulations under Code Section 409A. 

  
 2800 Bridge Parkway,
Redwood City, CA 94065 (p) 650.610.5200 (f) 650.610.5280 
 www.shutterflyinc.com 

 

 
  

 “Cause” means your (i) gross negligence or willful misconduct in the performance of your
duties; (ii) commission of any act of fraud or material dishonesty with respect to the Company; (iii) conviction of, or plea of guilty or “no contest” to, a felony or a crime of moral turpitude or dishonesty; (iv) material
breach of any proprietary information and inventions agreement with the Company, including the Employee Invention Assignment and Confidentiality Agreement, or any other unauthorized use or disclosure of the Company’s confidential information or
trade secrets; or (v) repeated failure to perform the duties reasonably assigned to you. 

  
 2800 Bridge Parkway,
Redwood City, CA 94065 (p) 650.610.5200 (f) 650.610.5280 
 www.shutterflyinc.com 

 

 
  

 Attachment B 

Change in Control Benefits 
 In the event
of your Qualifying Termination (as defined below), within twelve (12) months following a Corporate Transaction (as defined in Shutterfly’s 2006 Equity Incentive Plan), you will receive (A) items (1), (2) and (3) of the
Severance Benefits outlined on Attachment A (on the terms and conditions provided above) and (B) if the Company’s equity awards are assumed in the Corporate Transaction, accelerated vesting of the number of your then-unvested Company stock
option shares and restricted stock units, including earned and unearned unvested performance-based restricted stock units that would have vested during the twelve (12) months following the date of such Qualifying Termination (collectively, the
“Change in Control Benefits”). The Change in Control Benefits would be provided in lieu of any other severance-related benefits for which you may be eligible. Your receipt of the Change in Control Benefits is conditioned on you having
first executed, and not revoked, a general release of claims in favor of the Company (in a form prescribed by the Company) and the return of all Company property. 

“Qualifying Termination” means (a) a termination of your employment by the Company or its successor without Cause (as defined above) or
(b) your resignation within three (3) months following an event constituting Good Reason, provided that you have given written notice to the Company of such event within forty-five (45) days of its occurrence and the Company has
failed to cure such event within thirty (30) days following receipt of such notice. For purposes of this paragraph, “Good Reason” means (i) a material reduction or change in your duties and responsibilities as in effect
immediately prior to the Corporate Transaction; (ii) the relocation of the Company’s corporate office at which you work by more than thirty-five (35) miles from its location immediately prior to such Corporate Transaction, which
materially increases your commuting distance or (iii) a material reduction in your annual compensation, including base salary and bonus. 

  
 2800 Bridge Parkway,
Redwood City, CA 94065 (p) 650.610.5200 (f) 650.610.5280 
 www.shutterflyinc.com

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