Document:

QuickLinks
 -- Click here to rapidly navigate through this document

 
 

Exhibit 10.27    
    

        February 2,
2006 

Dear
Mr. Case, 

        I
am pleased to extend you an offer of employment with Crocs, Inc. Your initial title would be Senior Vice President—Finance and we expect that in April you
would become the Chief Financial Officer. The terms and benefits of this position are as follows: 

	•
	Salary
of $22,916.66 per month.

	•
	Quarterly
bonus plan with a maximum potential of 60% of base salary for the period.

	•
	Standard
Crocs employee benefits, including 401K plan (to be implemented in the 1st quarter of 2006), health insurance and long term disability insurance.

	•
	A
stock option grant of 120,000 stock options (subject to approval by the Crocs Inc. Board of Directors Compensation Committee). Stock option grants are subject to
The Crocs, Inc. 2005 Equity Incentive Plan and the Crocs, Inc. Stock Option Agreement. The vesting schedule for your grant would cover a four year period. The options would vest 25% at
the end of the first full year of employment and 1/36th each month thereafter.

	•
	Your
start date would be February 6, 2006.

	•
	Crocs, Inc.
would reimburse your reasonable out of pocket moving expenses from San Diego, California to Boulder, Colorado.

	•
	You
would be hired as an AT WILL employee and either you or Crocs would be entitled to terminate your employment at any time. This offer letter is intended to describe your
employment with Crocs, Inc. and should not be considered an employment agreement. 

        Thank
you for your interest in Crocs. Please indicate your acceptance of this offer by signing this letter in the space provided and faxing a copy to the attention of Erik Rebich at
(303) 339-7140. 

	Sincerely,	 	Agreed and Accepted:
	

/s/  RON SNYDER      
 Ron Snyder

Crocs, Inc. CEO	
 	

/s/  PETER CASE      
 Peter Case

QuickLinks

Exhibit 10.27Exhibit 10.2

 

 

 

 

 

REGISTRATION RIGHTS AGREEMENT

 

by and between

 

MORGANS HOTEL GROUP CO.

 

and

 

NORTHSTAR PARTNERSHIP, L.P.

 

 

 

Dated as of February     , 2006

 

 

 

 

 

TABLE OF CONTENTS

 

	
  1.

  	
  Certain
  Definitions

  	
  1

  
	
   

  	
   

  	
   

  
	
  2.

  	
  Demand
  Registrations

  	
  4

  
	
   

  	
  (a)                        Right to Request Registration

  	
  4

  
	
   

  	
  (b)                       Number of Demand Registrations

  	
  4

  
	
   

  	
  (c)                        Participation Rights of Holders

  	
  4

  
	
   

  	
  (d)                       Priority on Demand Registrations

  	
  4

  
	
   

  	
  (e)                        Restrictions on Demand Registrations

  	
  5

  
	
   

  	
  (f)                          Selection of Underwriters

  	
  6

  
	
   

  	
  (g)                       Other Registration Rights

  	
  6

  
	
   

  	
  (h)                       Effective Period of Demand Registrations

  	
  6

  
	
   

  	
   

  	
   

  
	
  3.

  	
  Piggyback
  Registrations

  	
  6

  
	
   

  	
  (a)                        Right to Piggyback

  	
  6

  
	
   

  	
  (b)                       Priority on Piggyback Registrations

  	
  7

  
	
   

  	
  (c)                        Selection of Underwriters

  	
  8

  
	
   

  	
  (d)                       Other Registration Rights

  	
  8

  
	
   

  	
   

  	
   

  
	
  4.

  	
  S-3
  Registrations

  	
  8

  
	
   

  	
  (a)                        Right to Request Registration

  	
  8

  
	
   

  	
  (b)                       Priority on Shelf Takedowns

  	
  8

  
	
   

  	
  (c)                        Selection of Underwriters

  	
  9

  
	
   

  	
  (d)                       Other Registration Rights

  	
  9

  
	
   

  	
   

  	
   

  
	
  5.

  	
  Holdback
  Agreements

  	
  9

  
	
   

  	
   

  	
   

  
	
  6.

  	
  Registration
  Procedures

  	
  10

  
	
   

  	
   

  	
   

  
	
  7.

  	
  Registration
  Expenses

  	
  14

  
	
   

  	
   

  	
   

  
	
  8.

  	
  Indemnification

  	
  15

  
	
   

  	
   

  	
   

  
	
  9.

  	
  Participation
  in Underwritten Registrations

  	
  17

  
	
   

  	
   

  	
   

  
	
  10.

  	
  Rule 144

  	
  17

  
	
   

  	
   

  	
   

  
	
  11.

  	
  Miscellaneous

  	
  18

  
	
   

  	
  (a)                        Notices

  	
  18

  
	
   

  	
  (b)                       No Waivers

  	
  18

  
	
   

  	
  (c)                        Expenses

  	
  19

  
	
   

  	
  (d)                       Successors and Assigns

  	
  19

  
	
   

  	
  (e)                        Governing Law

  	
  19

  
	
   

  	
  (f)                          Jurisdiction

  	
  19

  
	
   

  	
  (g)                       Waiver of Jury Trial

  	
  19

  
	
   

  	
  (h)                       Counterparts; Effectiveness

  	
  19

  
	
   

  	
  (i)                           Entire Agreement

  	
  19

  

 

ii

 

	
   

  	
  (j)                           Captions

  	
  20

  
	
   

  	
  (k)                        Severability

  	
  20

  
	
   

  	
  (l)                           Amendments

  	
  20

  
	
   

  	
  (m)                     Equitable Relief

  	
  20

  

 

iii

 

THIS REGISTRATION RIGHTS AGREEMENT (this “Agreement”),
is made and entered into as of February    , 2006, by and
between Morgans Hotel Group Co., a Delaware corporation (the “Company”),
and NorthStar Partnership, L.P., a Delaware limited partnership (the “Initial
Securityholder”).

 

In consideration of the mutual covenants and
agreements herein contained and other good and valid consideration, the receipt
and sufficiency of which are hereby acknowledged, the parties to this Agreement
hereby agree as follows:

 

1.                                    Certain Definitions.

 

In addition to the terms defined elsewhere in this
Agreement, the following terms shall have the following meanings:

 

“Affiliate” of any Person means any other
Person which directly, or indirectly through one or more intermediaries,
controls, or is controlled by, or is under common control with, such Person.
The term “control” (including the terms “controlling,” “controlled by” and
“under common control with”) as 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.

 

“Agreement” means this Registration Rights
Agreement, including all amendments, modifications and supplements and any
exhibits or schedules to any of the foregoing, and shall refer to this
Registration Rights Agreement as the same may be in effect at the time such
reference becomes operative.

 

“Blackout Period” has the meaning set forth in Section 6(f) hereof.

 

“Common Stock” means any shares of common stock
issued by the Company.

 

“Company” has the meaning set forth in the
introductory paragraph.

 

“Delay Period” has the meaning set forth in Section 2(e) hereof.

 

“Demand Registration” has the meaning set forth
in Section 2(a) hereof.

 

“Demand Registration Statement” has the meaning set forth in Section 2(a) hereof.

 

“Exchange Act” means the Securities Exchange
Act of 1934, as amended.

 

 “Form S-3”
means a registration statement on Form S-3 under the Securities Act or
such successor form thereto permitting registration of securities under the
Securities Act.

 

 

“Governmental Entity” means any national,
federal, state, municipal, local, territorial, foreign or other government or
any department, commission, board, bureau, agency, regulatory authority or
instrumentality thereof, or any court, judicial, administrative or arbitral
body or public or private tribunal.

 

“Holder” means a Securityholder to the extent
that such Securityholder is a holder of record of (1) Registrable Common
Stock or (2) OP Units. For purposes of this Agreement, the Company may
deem and treat the registered holder of Registrable Common Stock and OP Units
as the absolute owner thereof, and the Company shall not be affected by any
notice to the contrary. In order to determine the number of shares of
Registrable Common Stock held by a Holder and the number of shares of
Registrable Common Stock outstanding, the OP Units held by a Securityholder
shall be deemed to have been redeemed for or exchanged into shares of Common
Stock.

 

“Initial Securityholder” means NorthStar
Partnership, L.P., a Delaware limited liability company.

 

“Morgans” means Morgans Hotel Group LLC.

 

“Morgans Group LLC” means Morgans Group LLC, a
Delaware limited liability company, or the other entity through which the
Company owns its hotel properties.

 

“Nasdaq” means The Nasdaq Stock Market, Inc.
or any successor reporting system.

 

“NorthStar Group” means the Initial
Securityholder and any Affiliate of the Initial Securityholder, including,
without limitation, NorthStar Capital Investment Corp.

 

“OP Units” means any units of membership
interest in Morgans Group LLC that
are issued to a Securityholder.

 

“Person” means any individual, sole proprietorship,
partnership, limited liability company, joint venture, trust, incorporated
organization, association, corporation, institution, public benefit
corporation, Governmental Entity or any other entity.

 

“Piggyback Registration” has the meaning set forth
in Section 3(a) hereof.

 

 “Prospectus”
means the prospectus or prospectuses included in any Registration Statement, as
amended or supplemented by any prospectus supplement with respect to the terms
of the offering of any portion of the Registrable Common Stock covered by such
Registration Statement and by all other amendments and supplements to the
prospectus, including post-effective amendments and all material incorporated
by reference in such prospectus or prospectuses.

 

“Registrable Common Stock” means (1) any
shares of Common Stock held of record by the Initial Securityholder as of the
date hereof, (2) any shares of Common

 

2

 

Stock held of record by Morgans as of the date hereof
that may be directly or indirectly issued or distributed to the Initial
Securityholder by Morgans, (3) any shares of Common Stock that may be
issued to the Initial Securityholder upon redemption or exchange of OP Units
held of record by the Initial Securityholder as of the date hereof, (4) any
shares of Common Stock that may be issued upon redemption or exchange of OP
Units held of record by Morgans as of the date hereof to the extent such OP
Units may be issued or distributed to the Securityholders by Morgans, (5) any
shares of Common Stock held by a Holder from time to time, and (6) any securities of the
Company issued or issuable with respect to the shares of Common Stock referred
to in clause (1) through (5) above by way of stock dividend or stock
split or in connection with a combination of shares, recapitalization, merger,
consolidation or other reorganization or
otherwise.

 

“Registration Expenses” has the meaning set
forth in Section 7(a) hereof.

 

“Registration Statement” means any registration
statement of the Company which covers any of the Registrable Common Stock
pursuant to the provisions of this Agreement, including the Prospectus,
amendments and supplements to such Registration Statement, including
post-effective amendments, all exhibits and all materials incorporated by
reference in such Registration Statement.

 

“S-3 Registration” has the meaning set forth in
Section 4 hereof.

 

“SEC” means the Securities and Exchange
Commission.

 

“Securities Act” means the Securities Act of
1933, as amended.

 

“Securityholder” means each member of the
NorthStar Group; provided that if (i) any direct or indirect
member, investor or beneficial owner of any equity interest in any
member of the NorthStar Group receives Registrable Common
Stock initially held by the Initial Securityholder, whether by
distribution, redemption, exchange or otherwise (a “recipient”), and (ii) such
recipient can not distribute Registrable Common Stock without being
subject to restrictions on transfer under the Securities Act, then such
recipient shall be included in the definition of “Securityholder” hereunder.

 

“Suspension Notice” has the meaning set forth
in Section 6(f) hereof.

 

“Termination Date” means, as to any Holder, the
date upon which all the Registrable Common Stock owned by such Holder may be
sold in any three-month period without registration under the Securities Act.

 

“underwritten offering” means a registered
offering in which securities of the Company are sold to underwriters for
reoffering to the public.

 

3

 

2.                                    Demand Registrations.

 

(a)                               Right
to Request Registration.  Subject to
the provisions hereof, beginning six months after the date hereof and
continuing until the Termination Date, one or more Holders may at any time
request registration for resale under the Securities Act of all or part of the
Registrable Common Stock separate from an S-3 Registration (a “Demand
Registration”); provided, that (based on then current market prices)
the number of shares of Registrable Common Stock included in the Demand
Registration would yield gross proceeds to the Holders requesting such Demand
Registration of at least $25,000,000 unless the aggregate value (based on then
current market prices) of the Registrable Common Stock held by the Holders
requesting such Demand Registration is less than $25,000,000 but greater than
$15,000,000, in which case the Demand Registration shall be for all of the
Registrable Common Stock of the Holders requesting such Demand Registration
(other than Registrable Common Stock which, as of the date of such demand, are
in the form of OP Units and either held directly by a Securityholder or that a
Securityholder may be entitled to receive from Morgans in a pro rata
distribution of its OP Units, which such Holders shall not be required to
include in such Demand Registration). 
Subject to Section 2(e) below, the Company shall use its
reasonable best efforts (i) to file a Registration Statement (a “Demand
Registration Statement”) registering for resale such number of shares of
Registrable Common Stock as requested to be so registered within 30 days of a
Holder’s request therefor and (ii) to cause such Demand Registration
Statement to be declared effective by the SEC as soon as practicable
thereafter.

 

(b)                              Number
of Demand Registrations.  Subject to
the limitations of Section 2(a), the Holders shall be entitled to request
three (3) Demand Registrations. A Registration Statement shall not count
as a permitted Demand Registration unless and until it has become effective and
the Holders are able to register and sell at least 50% of the Registrable
Common Stock requested to be included in such registration.

 

(c)                               Participation
Rights of Holders.  Whenever the
Company shall be requested by one or more Holders to effect a Demand
Registration pursuant to Section 2(a) hereof, the Company shall
promptly (but not later than 5 days after receiving such request) give written
notice of such requested Demand Registration to each other Holder that has
provided contact information to the Company prior thereto.  Such notice shall inform Holders that they
have 10 days to notify the Company in writing as provided in Section 11
hereof that they wish to participate in such proposed Demand Registration.  The Company shall include in such Demand
Registration the shares of Common Stock of any Holder who irrevocably notifies
the Company that the Holder has elected to include such shares of Common Stock
in such Demand Registration.

 

(d)                              Priority
on Demand Registrations.  The Company
may include Common Stock other than Registrable Common Stock in a Demand
Registration on the terms provided below and in Section 2(h) hereof,
and, if such Demand Registration is an underwritten offering, only with the
consent of the managing underwriters of such

 

4

 

offering.
If the managing underwriters of the requested Demand Registration advise the
Company and the Holders requesting such Demand Registration that in their
opinion the number of shares of Common Stock proposed to be included in the Demand
Registration exceeds the number of shares of Common Stock which can be sold in
such underwritten offering and/or the number of shares of Common Stock proposed
to be included in such registration would adversely affect the price per share
of the Registrable Common Stock proposed to be sold in such underwritten
offering, the Company shall include in such Demand Registration (i) first,
the number of shares of Common Stock that the Holders propose to sell, and (ii) second,
the number of shares of Common Stock proposed to be included therein by any
other Persons (including shares of Common Stock to be sold for the account of
the Company and/or other Holders) allocated among such Persons in such manner
as they may agree.  If the number of
shares of Common Stock which can be sold is less than the number of shares of
Common Stock proposed to be registered pursuant to clause (i) above by all
the Holders proposing to sell, the amount of Common Stock to be so sold shall
be allocated pro rata among the holders of Common Stock desiring to participate
in such Demand Registration on the basis of the number of shares of Common
Stock initially proposed to be registered by such holders or as such holders
may otherwise agree; provided, that, if such Demand Registration is requested
prior to the first anniversary of the date hereof, the amount of Common Stock
to be so sold shall be allocated (1) first, to the shares of Registrable
Common Stock requested to be registered by the Holders requesting such Demand
Registration and (2) second, pro rata among the other holders of Common
Stock desiring to participate in such Demand Registration on the basis of the
number of shares of Common Stock initially proposed to be registered by such
holders or as such holders may otherwise agree.

 

(e)                               Restrictions
on Demand Registrations.  The Company
shall not be obligated to effect any Demand Registration on behalf of a Holder
within six months after the effective date of any Demand Registration,
Piggyback Registration wherein such Holder was permitted to register, and
actually sold, at least 50% of the shares of Registrable Common Stock requested
to be included therein or S-3 Registration. 
The Company may (i) withdraw a Registration Statement previously
filed (but not declared effective) pursuant to a Demand Registration or
postpone for up to ninety (90) days the filing of a Registration Statement for
a Demand Registration if, based on the good faith judgment of the Company, such
postponement or withdrawal would avoid premature disclosure of a matter the
Company has determined would not be in the best interest of the Company to be
disclosed at such time or (ii) postpone the filing of a Demand
Registration in the event the Company shall be required to prepare (A) audited
financial statements as of a date other than its fiscal year end (unless the
Holders requesting such registration agree to pay the expenses of such an
audit) or (B) pro forma financial statements that are required to be
included in the Registration Statement; provided, however, that
in no event shall the Company withdraw a Registration Statement under clause (i) after
such Registration Statement has been declared effective; and provided, further,
however, that in any of the events described in clause (i) or (ii) above,
the Holders requesting such Demand Registration shall be entitled to withdraw
such request and, if such request is withdrawn, such Demand Registration shall
not count as one of the 

 

5

 

permitted Demand Registrations. The Company shall provide written
notice to the Holders requesting a Demand Registration of (x) any postponement
or withdrawal of the filing or effectiveness of a Registration Statement
pursuant to this Section 2(e), (y) the Company’s decision to file or seek
effectiveness of such Registration Statement following such withdrawal or
postponement and (z) the effectiveness of such Registration Statement, which
notice, if it relates to clause (x), shall include the reasons therefor if the
Holders requesting such Demand Registration shall have previously executed a
confidentiality agreement satisfactory to the Company in respect thereof. The Company may defer the filing of a particular
Registration Statement pursuant to this Section 2(e) only once during
any six-month period.  The period during
which filing or effectiveness is so postponed hereunder is referred to as a “Delay
Period”.

 

(f)                                  Selection
of Underwriters.  If any of the
Registrable Common Stock covered by a Demand Registration is to be sold in an
underwritten offering, the Company shall have the right to select one of the
co-managing underwriters and the Holders requesting such Demand Registration
shall have the right to select one of the co-managing underwriters to
administer the offering subject to the consent of the other for the
book-running or lead managing underwriter, in its sole discretion.

 

(g)                               Other
Registration Rights.  The Company
shall not grant to any Person the right to request the Company (i) to
register any shares of Common Stock in a Demand Registration unless such rights
are consistent with the provisions hereof, or (ii) to register any
securities of the Company (other than shares of Common Stock) in a Demand
Registration.

 

(h)                               Effective
Period of Demand Registrations.  Upon
the date of effectiveness of any Demand Registration for an underwritten
offering contemplated to be consummated at the time of effectiveness of the
Demand Registration, the Company shall use its reasonable best efforts to keep
such Demand Registration Statement effective for a period equal to 15 business
days from such date or such shorter period which shall terminate when all of
the Registrable Common Stock covered by such Demand Registration has been sold
pursuant to such Demand Registration. If the Company shall withdraw any Demand
Registration pursuant to Section 2(e) or issue a Suspension Notice
pursuant to Section 6(f) within such 15 business day period and
before all of the Registrable Common Stock covered by such Demand Registration
has been sold pursuant thereto, the Holders requesting such Demand Registration
shall be entitled to a replacement Demand Registration which shall be subject
to all of the provisions of this Agreement.

 

3.                                    Piggyback Registrations.

 

(a)                               Right
to Piggyback.  Beginning six months
after the date hereof, whenever the Company proposes to register any of its
Common Stock under the Securities Act (other than a registration statement on Form S-8
or on Form S-4 or any similar successor forms thereto), whether for its
own account or for the account of one or more

 

6

 

stockholders of the Company and the form of registration statement to
be used may be used for any registration of Registrable Common Stock (a “Piggyback
Registration”), the Company shall give prompt written notice (in any event
no later than 10 days prior to the filing of such registration statement) to
the Holders of its intention to effect such a registration and, subject to Section 3(b),
shall include in such registration statement all Registrable Common Stock with
respect to which the Company has received written requests for inclusion
therein from the Holders within 8 days after the Holders’ receipt of the
Company’s notice. The Company may postpone or withdraw the filing or the
effectiveness of a Piggyback Registration at any time in its sole
discretion.  A Piggyback Registration
shall not be considered a Demand Registration for purposes of Section 2 of
this Agreement or a S-3 Registration for purposes of Section 4 of this
Agreement.

 

(b)                              Priority
on Primary Piggyback Registrations. 
If a Piggyback Registration is initiated as a primary underwritten
offering on behalf of the Company and the managing underwriters advise the
Company and the Holders (if any of the Holders have elected to include
Registrable Common Stock in such Piggyback Registration) that in their opinion the number of shares of Common
Stock proposed to be included in such registration exceeds the number of shares
of Common Stock which can be sold in such offering and/or that the number of
shares of Common Stock proposed to be included in any such registration would
adversely affect the price per share of the Common Stock to be sold in such
offering, the Company shall include in such registration (i) first, the
number of shares of Common Stock that the Company proposes to sell, and (ii) second,
the number of shares of Common Stock requested to be included therein by
holders of Common Stock, including the Holders (if any of the Holders have
elected to include Registrable Common Stock in such Piggyback Registration),
pro rata among all such holders on the basis of the number of shares of Common
Stock requested to be included therein by all such holders or as such holders
may otherwise agree.

 

(c)                               Priority
on Secondary Registrations.  If a
Piggyback Registration is initiated as an underwritten registration on behalf
of a holder of Common Stock other than Registrable Common Stock, and the
managing underwriters advise the Company that in their opinion the number of
shares of Common Stock proposed to be included in such registration exceeds the
number of shares of Common Stock which can be sold in such offering and/or that
the number of shares of Common Stock proposed to be included in any such
registration would adversely affect the price per share of the Common Stock to
be sold in such offering, then the Company shall include in such registration (i) first,
the number of shares of Common Stock requested to be included therein by the
holder(s) requesting such registration, (ii) second, the number of shares
of Common Stock requested to be included therein by other holders of Common
Stock including the Holders (if any of the Holders have elected to include
Registrable Common Stock in such Piggyback Registration), pro rata among such
holders on the basis of the number of shares of Common Stock requested to be
included therein by such holders or as such holders may otherwise agree, and (iii) third,
the number of shares of Common Stock that the Company proposes to sell.

 

7

 

(d)                              Selection
of Underwriters.  If any Piggyback
Registration is a primary underwritten offering, the Company shall have the
right to select the managing underwriter or underwriters to administer any such
offering.

 

(e)                               Other
Registration Rights.  The Company
shall not grant to any Person the right to request the Company (i) to
register any shares of Common Stock in a Piggyback Registration unless such
rights are consistent with the provisions hereof, or (ii) to register any
securities of the Company (other than shares of Common Stock) in a Piggyback
Registration.

 

4.                                    S-3 Registrations.

 

(a)                               Right
to Request Registration.  At any time
that the Company is eligible to use Form S-3 or any successor thereto, any
of the Holders shall be entitled to request that the Company file a
Registration Statement on Form S-3 or any successor thereto for a public
offering of all or any portion of the Registrable Common Stock pursuant to Rule 415
promulgated under the Securities Act or otherwise. Upon such request, the
Company shall use its reasonable best efforts (i) to file a Registration
Statement covering the number of shares of Registrable Common Stock specified
in such request under the Securities Act on Form S-3 or any successor
thereto (an “S-3 Registration”) for public sale in accordance with the
method of disposition specified in such request within 30 days of the Holders’
request therefor and (ii) to cause such S-3 Registration to be declared
effective by the SEC as soon as reasonably practicable thereafter.   A Holder shall be entitled, upon not
less than 24 hours (given on a business day and effect at the same time on the
next business day) prior written notice to the Company in the manner provided
below, to sell such Registrable Common Stock as are then registered pursuant to
such Registration Statement (each, a “Shelf Takedown”).  The Holders shall be entitled to request that
a Shelf Takedown shall be an underwritten offering; provided, that
(based on then current market prices) the number of shares of Registrable
Common Stock included in such Shelf Takedown would yield gross proceeds to the
Holders requesting such Shelf Takedown of at least $25,000,000.  Each Holder shall also give the Company prompt
written notice of the consummation of such Shelf Takedown by such Holder.  A notice of a proposed Shelf Takedown
pursuant to this Section shall be given by e-mail and facsimile
transmission to the Company’s Chief Financial Officer, with a copy to
designated counsel, as provided in Section 11(a) hereof, and shall be
effective when receipt of such notice has been confirmed telephonically.  The Company agrees to waive such 24-hour
notice period if at the time such notice is effective, the Prospectus included
in the Registration Statement related to the Registrable Common Stock proposed
to be sold in the Shelf Takedown does not contain an untrue statement of a
material fact and does not omit any material fact necessary to make the
statements therein not misleading.

 

(b)                              Priority
on Shelf Takedowns.  The Company may
include Common Stock other than Registrable Common Stock in a Shelf Takedown on
the terms provided below, and, if such Shelf Takedown is an underwritten
offering, only with the consent of the managing underwriters of such
offering.  If the managing underwriters
of the requested

 

8

 

Shelf Takedown advise the Company and the Holders participating in such
Shelf Takedown that in their opinion the number of shares of Common Stock
proposed to be included in any Shelf Takedown (1) exceeds the number of
shares of Common Stock which can be sold in such underwritten offering or (2) would
adversely affect the price per share of the Registrable Common Stock proposed
to be sold in such underwritten offering, the Company shall include in such
Shelf Takedown only the number of shares of Common Stock which in the opinion
of such managing underwriters can be sold. If the number of shares of Common
Stock which can be sold is less than the number of shares of Common Stock
proposed to be registered, the amount of Common Stock to be so sold shall be
allocated pro rata among the holders of Common Stock desiring to participate in
such Shelf Takedown on the basis of the number of shares of Common Stock
initially proposed to be registered by such holders or as such holders may
otherwise agree.

 

(c)                               Selection
of Underwriters.  If any of the
Registrable Common Stock covered by an S-3 Registration is to be sold in an
underwritten offering, the Company shall have the right to select one of the
co-managing underwriters and the Holders requesting such S-3 Registration shall
have the right to select one of the co-managing underwriters to administer the
offering subject to the consent of the other for the book-running or lead managing
underwriter, in its sole discretion.

 

(d)                              Other
Registration Rights.  The Company
shall not grant to any Person the right to request the Company (i) to
register any shares of Common Stock in an S-3 Registration unless such rights
are consistent with the provisions hereof, or (ii) to register any
securities of the Company (other than shares of Common Stock) in an S-3
Registration.

 

5.                                    Holdback Agreements.

 

As long as any Holder is the beneficial owner of five
percent or more of the outstanding Common Stock of the Company, such Holder
agrees not to sell, transfer, hedge the beneficial ownership of or otherwise
dispose of any shares of Common Stock (or other securities of the Company) held
by it for a period equal to the lesser of (i) ninety (90) days following
the date of a prospectus or prospectus supplement, as applicable, relating to a
sale of shares of Common Stock (or other securities of the Company) in an
underwritten offering registered under the Securities Act or (ii) such
shorter period as the managing underwriters of such underwritten offering shall
agree to. Such agreement shall be in writing in form satisfactory to the
Company and the managing underwriters. 
The Company may impose stop-transfer instructions with respect to the
shares of Registrable Common Stock (or other securities) subject to the
foregoing restriction until the end of said period. The foregoing restrictions
shall not apply to (i) the exercise of any warrants or stock options to
purchase shares of capital stock of the Company (provided that such limitation
does not affect limitations on any actions specified in the first sentence of
this Section 5 with
respect to the shares issuable upon such exercise), (ii) transfers to
Affiliates where the transferee agrees to be bound by the terms hereof, (iii) the
participation in the filing of a registration statement with the Securities and
Exchange

 

9

 

Commission, including, without limitation, any S-3
Registration hereunder, or (iv) the shares of Registrable Common Stock
included in the underwritten offering giving rise to the application of this Section 5.  Notwithstanding the foregoing, the holdback
arrangement set forth in this Section 5 shall not apply to sale shares of
Common Stock that is registered on Form S-8 or Form S-4.

 

6.                                    Registration Procedures.

 

(a)                               Whenever
a Holder requests that any Registrable Common Stock be registered pursuant to
this Agreement, the Company shall use its reasonable best efforts to effect the
registration and the sale of such Registrable Common Stock in accordance with
the intended methods of disposition thereof, and, pursuant thereto, the Company
shall as soon as reasonably practicable use its reasonable best efforts to:

 

(i)                                   subject to Section 2(a) and
Section 4, prepare and file with the SEC a Registration Statement with
respect to such Registrable Common Stock and cause such Registration Statement
to become effective as soon as reasonably practicable thereafter; and before
filing a Registration Statement or Prospectus or any amendments or supplements
thereto, furnish to the Holders and the underwriter or underwriters, if any,
copies of all such documents proposed to be filed, including documents
incorporated by reference in the Prospectus and, if requested by the Holders,
the exhibits incorporated by reference, and the Holders shall have the
opportunity to object to any information pertaining to the Holders that is
contained therein and the Company will make the corrections reasonably
requested by the Holders with respect to such information prior to filing any
Registration Statement or amendment thereto or any Prospectus or any supplement
thereto;

 

(ii)                                prepare and file with
the SEC such amendments and supplements to such Registration Statement and the
Prospectus used in connection therewith as may be necessary to keep such
Registration Statement effective for a
period of not less than (A) 15 business days, in the case of a Demand
Registration, or (B) the earlier of 2 years or the Termination Date in the
case of an S-3 Registration, and no longer than is necessary to complete the
distribution of the Common Stock covered by such Registration Statement and
comply with the provisions of the Securities Act with respect to the
disposition of all the Common Stock covered by such Registration Statement
during such period in accordance with the intended methods of disposition by
the sellers thereof set forth in such Registration Statement;

 

(iii)                             furnish to each seller of
Registrable Common Stock the Prospectus included in such Registration Statement
(including each preliminary Prospectus) and any supplement thereto and such
other

 

10

 

documents as such seller may reasonably request in order to facilitate
the disposition of the Registrable Common Stock owned by such seller;

 

(iv)                            register or qualify such
Registrable Common Stock under such other securities or blue sky laws of such
jurisdictions as any seller reasonably requests and do any and all other acts
and things which may be reasonably necessary or advisable to enable such seller
to consummate the disposition in such jurisdictions of the Registrable Common
Stock owned by such seller (provided, that the Company will not be required to
(I) qualify generally to do business in any jurisdiction where it would not
otherwise be required to qualify but for this subparagraph (iv), (II) subject
itself to taxation in any such jurisdiction or (III) consent to general service
of process in any such jurisdiction);

 

(v)                               notify each seller of
such Registrable Common Stock, at any time when a Prospectus relating thereto
is required to be delivered under the Securities Act, of the occurrence of any
event as a result of which the Prospectus included in such Registration
Statement contains an untrue statement of a material fact or omits any fact
necessary to make the statements therein not misleading, and, at the request of
any such seller, the Company shall prepare a supplement or amendment to such
Prospectus so that, as thereafter delivered to the purchasers of such
Registrable Common Stock, such Prospectus shall not contain an untrue statement
of a material fact or omit to state any material fact necessary to make the
statements therein not misleading;

 

(vi)                            in the case of an
underwritten offering on behalf of a Holder pursuant to a Demand Registration,
Piggyback Registration or an S-3 Registration, enter into such customary
agreements (including underwriting and lock-up agreements in customary form)
and take all such other customary actions as the Holders or the managing
underwriters of such offering reasonably request in order to expedite or
facilitate the disposition of such Registrable Common Stock (including, without
limitation, making members of senior management of the Company available to
participate in “road-show” and other customary marketing activities (including one-on-one meetings with prospective
purchasers of the Registrable Common Stock)) and cause to be delivered to the
underwriters opinions of counsel to the Company in customary form, covering
such matters as are customarily covered by opinions for an underwritten public
offering as the managing underwriters may request and addressed to the
underwriters;

 

(vii)                         to the extent not prohibited
by applicable law or pre-existing applicable contractual restrictions, (A) make
available, for inspection by the Holders, any underwriter participating in any
disposition

 

11

 

pursuant to such Registration Statement, and any attorney retained by
any such underwriter, all financial and other records, pertinent corporate
documents and properties of the Company, (B) cause the Company’s officers
and employees to supply all information reasonably requested by the Holders or
such underwriter or attorney in connection with such Registration Statement,
and (C) make the Company’s independent accountants available for any such
underwriter’s due diligence;

 

(viii)                      cause all such Registrable Common
Stock to be listed on each securities exchange on which securities of the same
class issued by the Company are then listed or, if no such similar securities
are then listed, on Nasdaq or a national securities exchange selected by the
Company;

 

(ix)                            provide a transfer agent
and registrar for all such Registrable Common Stock not later than the
effective date of such Registration Statement;

 

(x)                               if requested, cause to
be delivered at the time of delivery of any Registrable Common Stock sold
pursuant to a Registration Statement, letters from the Company’s independent certified
public accountants addressed to each selling Holder (unless such selling Holder
does not provide to such accountants the appropriate representation letter
required by rules governing the accounting profession) and each
underwriter, if any, stating that such accountants are independent public
accountants within the meaning of the Securities Act and the applicable rules and
regulations adopted by the SEC thereunder, and otherwise in customary form and
covering such financial and accounting matters as are customarily covered by
letters of the independent certified public accountants delivered in connection
with primary or secondary underwritten public offerings, as the case may be;

 

(xi)                            make generally available to
its stockholders a consolidated earnings statement (which need not be audited)
for the 12 months beginning after the effective date of a Registration
Statement as soon as reasonably practicable after the end of such period, which
earnings statement shall satisfy the requirements of an earning statement under
Section 11(a) of the Securities Act; and

 

(xii)                         promptly notify the Holders
and the underwriter or underwriters, if
any:

 

(1)                              when the Registration
Statement, any pre-effective amendment, the Prospectus or any Prospectus
supplement or post-effective amendment to the Registration Statement has been
filed and, with respect to the Registration Statement or any post-effective
amendment, when the same has become effective;

 

12

 

(2)                              of the notification to
the Company by the SEC of its initiation of any proceeding with respect to the
issuance by the SEC of any stop order suspending the effectiveness of the
Registration Statement; and

 

(3)                              of the receipt by the
Company of any notification with respect to the suspension of the qualification
of any Registrable Common Stock for sale under the applicable securities or
blue sky laws of any jurisdiction.

 

(b)                              No
Registration Statement (including any amendments thereto) shall contain any
untrue statement of a material fact or omit to state a material fact required
to be stated therein, or necessary to make the statements therein not
misleading, and no Prospectus (including any supplements thereto) shall contain
any untrue statement of a material fact or omit to state a material fact
required to be stated therein, or necessary to make the statements therein, in
light of the circumstances under which they were made, not misleading, in each
case, except for any untrue statement or alleged untrue statement of a material
fact or omission or alleged omission of a material fact made in reliance on and
in conformity with written information furnished to the Company by or on behalf
of the Holders specifically for use therein.

 

(c)                               The
Company shall make available to the Holders such number of copies of a
Prospectus, including a preliminary Prospectus, and all amendments and
supplements thereto and such other documents as the Holders may reasonably
request in order to facilitate the disposition of the Registrable Common Stock
owned by the Holders. The Company will promptly notify the Holders requesting
registration of Registrable Common Stock of the effectiveness of each
Registration Statement or any post-effective amendment. The Company will
promptly respond to any and all comments received from the SEC, with a view
towards causing each Registration Statement or any amendment thereto to be
declared effective by the SEC as soon as reasonably practicable and shall file
an acceleration request as soon as reasonably practicable following the
resolution or clearance of all SEC comments or, if applicable, following
notification by the SEC that any such Registration Statement or any amendment
thereto will not be subject to review.

 

(d)                              At
all times after the Company has filed a registration statement with the SEC
pursuant to the requirements of the Securities Act, the Company shall use its reasonable best efforts to file all reports
required to be filed by it under the Securities Act and the Exchange Act and
the rules and regulations adopted by the SEC thereunder, and use its
reasonable best efforts to take such further action as the Holders may
reasonably request, all to the extent required to enable the Holders to be
eligible to sell Registrable Common Stock pursuant to Rule 144 (or any
similar rule then in effect).

 

(e)                               The
Company may require each seller of Registrable Common Stock as to which any
registration is being effected to furnish to the Company any other information

 

13

 

regarding such seller and the
distribution of such securities as the Company may from time to time reasonably
request in writing.

 

(f)                                  Each
seller of Registrable Common Stock agrees by having its stock treated as
Registrable Common Stock hereunder that, upon notice of the happening of any
event as a result of which the Prospectus included in such Registration
Statement contains an untrue statement of a material fact or omits any material
fact necessary to make the statements therein not misleading (a “Suspension
Notice”), such seller will forthwith discontinue disposition of Registrable
Common Stock for a reasonable length of time not to exceed 60 days until such
seller is advised in writing by the Company that the use of the Prospectus may
be resumed and is furnished with a supplemented or amended Prospectus as
contemplated by Section 6(a)(v) hereof, and, if so directed by the
Company, such seller will deliver to the Company (at the Company’s expense) all
copies, other than permanent file copies then in such seller’s possession, of
the Prospectus covering such Registrable Common Stock current at the time of
receipt of such notice; provided, however, that such postponement of sales of
Registrable Common Stock by any Holder shall not exceed one hundred and fifty
(150) days in the aggregate in any one year. If the Company shall give any
notice to suspend the disposition of Registrable Common Stock pursuant to a
Prospectus, the Company shall extend the period of time during which the
Company is required to maintain the Registration Statement effective pursuant
to this Agreement by the number of days during the period from and including
the date of the giving of such notice to and including the date such seller
either is advised by the Company that the use of the Prospectus may be resumed
or receives the copies of the supplemented or amended Prospectus contemplated
by Section 6(a)(v) (a “Blackout Period”). In any event, the
Company shall not be entitled to deliver more than four (4) Suspension
Notices in any one year.

 

7.                                    Registration Expenses.

 

(a)                               All
expenses incident to the Company’s performance of or compliance with this
Agreement, including, without limitation, all registration and filing fees,
fees and expenses of compliance with securities or blue sky laws, listing
application fees, printing expenses, transfer agent’s and registrar’s fees,
cost of distributing Prospectuses in preliminary and final form as well as any
supplements thereto, and fees and disbursements of counsel for the Company and
all independent certified public accountants and other Persons retained by the
Company (all such expenses being herein called “Registration Expenses”)
(but not including any underwriting discounts or commissions attributable to
the sale of Registrable Common Stock or fees and expenses of more than one
counsel representing the Holders), shall be borne by the Company. In addition,
the Company shall pay its internal expenses (including, without limitation, all
salaries and expenses of its officers
and employees performing legal or accounting duties), the expense of any annual
audit or quarterly review, the expense of any liability insurance and the
expenses and fees for listing the securities to be registered on each
securities exchange on which they are to be listed.

 

14

 

(b)                              In
connection with one underwritten offering initiated by the Holders pursuant to
the Demand Registration or the S-3 Registration, the Company shall reimburse
the Holders covered by such registration or sale for the reasonable fees and
disbursements of one law firm chosen by the Holders of a majority of the number
of shares of Registrable Common Stock included in such registration or sale,
subject to a maximum of $15,000.

 

(c)                               The
obligation of the Company to bear the expenses described in Section 7(a) and
to reimburse the Holders for the expenses described in Section 7(b) shall
apply irrespective of whether a registration, once properly demanded, if
applicable, becomes effective, is withdrawn or suspended, is converted to
another form of registration and irrespective of when any of the foregoing
shall occur; provided, however, that Registration Expenses for
any Registration Statement withdrawn solely at the request of the Holders
(unless withdrawn following postponement of filing by the Company in accordance
with Section 2(e) or Section 3(a)) or any supplements or
amendments to a Registration Statement or Prospectus resulting from a
misstatement furnished to the Company by a Holder shall be borne by such
Holder.  In addition to the Company’s
expense reimbursement obligation under Section 7(b), if any Registration
Statement is withdrawn (unless such withdrawal is solely at the request of a
Holder), the Company shall reimburse the Holders for their reasonable legal fees
and related disbursements in connection with such withdrawn Registration
Statement.

 

8.                                    Indemnification.

 

(a)                               The
Company shall indemnify, to the fullest extent permitted by law, the Holders
and each Person who controls a Holder (within the meaning of the Securities
Act) against all losses, claims, damages, liabilities and expenses arising out
of or based upon any untrue or alleged untrue statement of material fact
contained in any Registration Statement, Prospectus, free writing prospectus
(as defined in Rule 405 promulgated under the Securities Act) or any
amendment thereof or supplement thereto or any omission or alleged omission of
a material fact required to be stated therein or necessary to make the
statements therein not misleading, except insofar as the same are made in
reliance and in conformity with information furnished in writing to the Company
by a Holder expressly for use therein or caused by a Holder’s failure to
deliver to the Holder’s immediate purchaser a copy of the Registration Statement,
Prospectus, free writing prospectus (as defined in Rule 405 promulgated
under the Securities Act) or any amendments or supplements thereto (if the same
was required by applicable law to be so delivered) after the Company has
furnished the Holders with a sufficient number of copies of the same prior to
any written confirmation of the sale of Registrable Common Stock.  In connection with an underwritten offering,
the Company shall indemnify such underwriters and each Person who controls such
underwriters (within the meaning of the Securities Act) to the same extent as
provided above with respect to the indemnification of the Holders.

 

15

 

(b)                              In
connection with any Registration Statement in which a Holder is participating,
each Holder shall furnish to the Company in writing such information and
affidavits as the Company reasonably requests for use in connection with any
such Registration Statement or Prospectus or free writing prospectus (as
defined in Rule 405 promulgated under the Securities Act) and, shall
severally indemnify, to the fullest extent permitted by law, the Company, its
officers, directors and each Person who controls the Company (within the
meaning of the Securities Act) against all losses, claims, damages, liabilities
and expenses arising out of or based upon any untrue or alleged untrue statement of material fact contained in the Registration
Statement, Prospectus, free writing prospectus (as defined in Rule 405
promulgated under the Securities Act) or
any amendment thereof or supplement thereto or any omission or alleged omission
of a material fact required to be stated therein or necessary to make the
statements therein not misleading, but only to the extent that the same are
made in reliance and in conformity with information furnished in writing to the
Company by such Holder expressly for use therein or caused by such Holder’s
failure to deliver to such Holder’s immediate purchaser a copy of the
Registration Statement, Prospectus, free writing prospectus (as defined
in Rule 405 promulgated under the Securities Act) or any amendments or supplements thereto (if the same was required by
applicable law to be so delivered) after the Company has furnished such Holder
with a sufficient number of copies of the same prior to any written
confirmation of the sale of Registrable Common Stock; provided, however, that the liability of each Holder
shall be in proportion to and limited to the net amount received by such Holder
from the sale of Registrable Common Stock pursuant to such Registration
Statement.

 

(c)                               Any
Person entitled to indemnification hereunder shall (i) give prompt written
notice to the indemnifying party of any claim with respect to which it seeks
indemnification and (ii) permit such indemnifying party to assume the
defense of such claim with counsel reasonably satisfactory to the indemnified
party. If such defense is assumed, the indemnifying party shall not be subject
to any liability for any settlement made by the indemnified party without its
consent (but such consent will not be unreasonably withheld). An indemnifying
party who is entitled to, and elects to, assume the defense of a claim shall
not be obligated to pay the fees and expenses of more than one counsel for all
parties indemnified by such indemnifying party with respect to such claim,
unless in the reasonable judgment of any indemnified party there may be one or
more legal or equitable defenses available to such indemnified party which are
in addition to or may conflict with those available to another indemnified
party with respect to such claim. Failure to give prompt written notice shall
not release the indemnifying party from its obligations hereunder.

 

(d)                              The
indemnification provided for under this Agreement shall remain in full force
and effect regardless of any investigation made by or on behalf of the
indemnified party or any officer, director or controlling Person of such
indemnified party and shall survive the transfer of securities.

 

16

 

(e)                               If
the indemnification provided for in or pursuant to this Section 8 is due
in accordance with the terms hereof, but is held by a court to be unavailable
or unenforceable in respect of any losses, claims, damages, liabilities or
expenses referred to herein, then each applicable indemnifying party, in lieu
of indemnifying such indemnified party, shall contribute to the amount paid or
payable by such indemnified Person as a result of such losses, claims, damages,
liabilities or expenses in such proportion as is appropriate to reflect the
relative fault of the indemnifying party on the one hand and of the indemnified
party on the other in connection with the statements or omissions which result
in such losses, claims, damages, liabilities or expenses as well as any other
relevant equitable considerations. The relative fault of the indemnifying party
on the one hand and of the indemnified Person on the other shall be determined
by reference to, among other things, whether the untrue or alleged untrue
statement of a material fact or the omission or alleged omission to state a
material fact relates to information supplied by the indemnifying party or by
the indemnified party, and by such party’s
relative intent, knowledge, access to information and opportunity to correct or
prevent such statement or omission. In no event shall the liability of a Holder
be greater in amount than the amount of net proceeds received by such Holder
upon such sale or the amount for which such indemnifying party would have been
obligated to pay by way of indemnification if the indemnification provided for
under Section 8(a) or 8(b) hereof had been available under the
circumstances.

 

9.                                    Participation in Underwritten Registrations.

 

No Person may participate in any registration
hereunder which is underwritten unless such Person (a) agrees to sell such
Person’s securities on the basis provided in any underwriting arrangements
approved by the Person or Persons entitled hereunder to approve such
arrangements and (b) completes and executes all questionnaires, powers of
attorney, indemnities, underwriting agreements and other documents required
under the terms of such underwriting arrangements.

 

10.                            Rule 144.

 

The Company shall use its reasonable best efforts to
file the reports required to be filed by it under the Securities Act and the
Exchange Act and the rules and regulations adopted by the SEC thereunder,
and use its reasonable best efforts to take such further action as a Holder may
reasonably request to make available adequate current public information with
respect to the Company meeting the current public information requirements of Rule 144(c) under
the Securities Act, to the extent required to enable the Holders to sell
Registrable Common Stock without registration under the Securities Act within
the limitation of the exemptions provided by (i) Rule 144 under the
Securities Act, as such Rule may be amended from time to time, or (ii) any
similar rule or regulation hereafter adopted by the SEC. Upon the request
of a Holder, the Company will deliver to such Holder a written statement as to
whether it has complied with such information and requirements.

 

17

 

11.                            Miscellaneous.

 

(a)                               Notices.  Except as otherwise provided herein, all
notices, requests, consents and other communications required or permitted
hereunder shall be in writing and shall be hand delivered or mailed postage
prepaid by registered or certified mail or by facsimile transmission (with
immediate telephone confirmation thereafter),

 

If to the Company:

 

Morgans Hotel Group Co.

475 Tenth Avenue

New York, New York 10018

	
  Attention:

  	
   

  	
  Chief Financial Officer

  
	
  Facsimile:

  	
   

  	
  (212) 277-4201

  

E-mail:  richard.szymanski@morganshotelgroup.com

 

with a copy to
(which shall not constitute notice):

 

Sullivan &
Cromwell LLP

125 Broad Street

New York, NY 10004

	
  Attention:

  	
   

  	
  Robert W. Downes, Esq.

  
	
  Facsimile:

  	
   

  	
  (212) 558-3588

  

E-mail: downesr@sullcrom.com

 

If to the
Initial Securityholder:

 

NorthStar
Partnership, L.P.

527 Madison Avenue

New York, New York 

	
  Attention:

  	
   

  	
  Chief Executive Officer

  
	
  Facsimile:

  	
   

  	
  (212) 319-4557

  

 

or at such other address as such party each may
specify by written notice to the others, and, except as otherwise provided
herein, each such notice, request, consent and other communication shall for
all purposes of the Agreement be treated as being effective or having been
given when delivered personally, upon receipt of facsimile confirmation if
transmitted by facsimile, or, if sent by mail, at the earlier of its receipt or
72 hours after the same has been deposited in a regularly maintained receptacle
for the deposit of United States mail, addressed and postage prepaid as
aforesaid.

 

(b)                              No
Waivers.  No failure or delay by any
party in exercising any right, power or privilege hereunder shall operate as a
waiver thereof nor shall any single or partial exercise thereof preclude any
other or further exercise thereof or the exercise of

 

18

 

any other right, power or privilege. The rights and remedies herein
provided shall be cumulative and not exclusive of any rights or remedies
provided by law.

 

(c)                               Expenses.  Except as otherwise provided for herein or
otherwise agreed to in writing by the parties, all costs and expenses incurred
in connection with the preparation of this Agreement shall be paid by the
Company.

 

(d)                              Successors
and Assigns.  The provisions of this
Agreement shall be binding upon and inure to the benefit of the parties hereto
and their respective successors and assigns, it being understood that Holders
(as defined) are intended third party beneficiaries hereof.

 

(e)                               Governing
Law.  The internal laws of the State
of New York shall govern the enforceability and validity of this Agreement, the
construction of its terms and the interpretation of the rights and duties of
the parties.

 

(f)                                  Jurisdiction.  Any suit, action or proceeding seeking to
enforce any provision of, or based on any matter arising out of or in
connection with, this Agreement or the transactions contemplated hereby must be
brought in any federal or state court located in the County and State of New
York, and each of the parties hereby consents to the jurisdiction of such
courts (and of the appropriate appellate courts therefrom) in any such suit,
action or proceeding and irrevocably waives, to the fullest extent permitted by
law, any objection which it may now or hereafter have to the laying of the
venue of any such suit, action or proceeding in any such court or that any such
suit, action or proceeding which is brought in any such court has been brought
in an inconvenient forum. Process in any such suit, action or proceeding may be
served on any party anywhere in the world, whether within or without the
jurisdiction of any such court. Without limiting the foregoing, each party
agrees that service of process on such party as provided in Section 11(a) shall
be deemed effective service of process on such party.

 

(g)                               Waiver
of Jury Trial.  EACH OF THE PARTIES
HERETO HEREBY IRREVOCABLY WAIVES ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT OF OR RELATED TO
THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY.

 

(h)                               Counterparts;
Effectiveness.  This Agreement may be
executed in any number of counterparts (including by facsimile) and by different
parties hereto in separate counterparts, with the same effect as if all parties
had signed the same document. All such counterparts shall be deemed an
original, shall be construed together and shall constitute one and the same
instrument. This Agreement shall become effective when each party hereto shall
have received counterparts hereof signed by all of the other parties hereto.

 

(i)                                   Entire
Agreement.  This Agreement contains
the entire agreement between the parties hereto with respect to the subject matter
hereof and supersedes and replaces all

 

19

 

other prior agreements, written or oral, among the parties hereto with
respect to the subject matter hereof.

 

(j)                                  Captions.  The headings and other captions in this
Agreement are for convenience and reference only and shall not be used in
interpreting, construing or enforcing any provision of this Agreement.

 

(k)                              Severability.  If any term, provision, covenant or
restriction of this Agreement is held by a court of competent jurisdiction or
other authority to be invalid, void or
unenforceable, the remainder of the terms, provisions, covenants and
restrictions of this Agreement shall remain in full force and effect and shall
in no way be affected, impaired or invalidated so long as the economic or legal
substance of the transactions contemplated hereby is not affected in any manner
materially adverse to any party. Upon such a determination, the parties shall
negotiate in good faith to modify this Agreement so as to effect the original
intent of the parties as closely as possible in an acceptable manner in order
that the transactions contemplated hereby be consummated as originally
contemplated to the fullest extent possible.

 

(l)                                   Amendments.  The provisions of this Agreement, including
the provisions of this sentence, may not be amended, modified or supplemented,
and waivers or consents to departures from the provisions hereof may not be
given without the prior written consent of the Company and the Initial Securityholder.

 

(m)                           Equitable
Relief.  The parties hereto agree
that legal remedies may be inadequate to enforce the provisions of this
Agreement and that equitable relief, including specific performance and
injunctive relief, may be used to enforce the provisions of this Agreement.

 

[Execution Page Follows]

 

20

 

IN WITNESS WHEREOF, this Registration Rights Agreement
has been duly executed by each of the parties hereto as of the date first
written above.

 

	
  NORTHSTAR PARTNERSHIP,
  L.P.

  
	
   

  
	
   

  
	
  By:

  	
   

  	
   

  
	
   

  
	
   

  
	
  MORGANS
  HOTEL GROUP CO.

  
	
   

  
	
   

  
	
  By:

  	
   

  	
   

  
	
   

  	
  Name:

  
	
   

  	
  Title:

  
				

 

21

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00097-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00097-of-00352.parquet"}]]