Document:

Exhibit 10.34

INDEMNIFICATION AGREEMENT

 

This Agreement is made as of the 13th day of March
2003, by and between Transkaryotic Therapies, Inc., a Delaware corporation (the
“Corporation”), and Daniel E. Geffken (the “Indemnitee”), an officer of the
Corporation.

 

WHEREAS, it is essential to the Corporation to retain
and attract as directors and officers the most capable persons available, and

WHEREAS, the substantial increase in corporate
litigation subjects directors and officers to expensive litigation risks at the
same time that the availability of directors’ and officers’ liability insurance
has been severely limited, and

 

WHEREAS, it is now and has always been the express
policy of the Corporation to indemnify its directors and officers, and

 

WHEREAS, the Indemnitee does not regard the protection
available under the Corporation’s Certificate of Incorporation, as amended to
date, and insurance as adequate in the present circumstances, and may not be
willing to serve or continue to serve as an officer without adequate
protection, and

 

WHEREAS, the Corporation desires the Indemnitee to
serve, or continue to serve, as an officer of the Corporation.

 

NOW THEREFORE, the Corporation and the Indemnitee do
hereby agree as follows:

 

1.             Agreement
to Serve.  The Indemnitee agrees to
serve or continue to serve as an officer of the Corporation for so long as the
Indemnitee is duly elected or appointed or until such time as the Indemnitee
tenders a resignation in writing.

 

2.             Indemnification
and Advancement.  Indemnitee shall
be, and is entitled to all the benefits of indemnification set forth in Article
VIII of the Certificate of Incorporation of the Corporation, including without
limitation provisions concerning advancement of attorneys fees and related
expenses, in effect at the time this Indemnification Agreement is executed.

 

3.             Selection
of Counsel for Certain Matters. 
With regard to proceedings, inquiries or investigations, if any,
involving government agencies and self-regulatory organizations, including but
not limited to congressional committees, sub-committees or staff, the U.S.
Securities and Exchange Commission, the U.S. Food and Drug Administration, the
U.S. Department of Health and Human Services and the NASD, Indemnitee has
selected Ropes & Gray as his counsel for all such matters and the execution
of this Indemnification Agreement by the Corporation shall constitute
ratification of Indemnitee’s selection of independent counsel for these
purposes and an acknowledgement of the Corporation’s intent to advance payments
for attorneys’ fees and expenses to the Indemnitee to the extent provided  under all relevant authority including
Article VIII of the Certificate of Incorporation and Delaware law.

 

 

IN
WITNESS WHEREOF, the Parties hereto have caused this Agreement to be duly
executed as of the day and year first above written.

 

 

	
   

  	
   

  	
   

  	
  TRANSKARYOTIC
  THERAPIES, INC.

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  By:

  	
      /s/ 

  	
  Michael J. Astrue

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name: 

  	
  Michael
  J. Astrue

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Title:

  	
  President
  and Chief

  
	
   

  	
   

  	
   

  	
   

  	
  Executive
  Officer

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  INDEMNITEE:

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
  /s/ 

  	
  Daniel E. Geffken

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Name:

  	
  Daniel
  E. Geffken

  
	
   

  	
   

  	
   

  	
  Title:

  	
  Senior
  Vice President, Finance and

  
	
   

  	
   

  	
   

  	
   

  	
  Chief
  Financial Officer

  
									

 

2Exhibit

10.35

 

RETENTION AGREEMENT

 

This Retention Agreement is made as of March 13, 2003

by and between Transkaryotic Therapies, Inc., a Delaware company (the

“Company”), and Daniel E. Geffken (the “Executive”).

 

RECITALS

 

WHEREAS, the Company and the Executive are parties to

that certain Employment Agreement, dated as of February 20, 1997 (the “Original

Agreement”);

 

WHEREAS, the Executive has the right pursuant to

Section 6(d) of the Original Agreement to terminate his employment with the

Company at any time upon 60 days prior written notice; and

 

WHEREAS, in order to induce the Executive to remain

with the Company, the Company and the Executive desire to amend certain terms

and provisions of the Original Agreement.

 

NOW, THEREFORE, in consideration of the premises and

for other good and valuable consideration, the receipt and sufficiency of which

are hereby acknowledged, the parties agree as follows:

 

1.             Termination of

Employment.  Notwithstanding the

terms and provisions of the Original Agreement, including without limitation,

Section 6(d), the Executive may terminate his employment under the Original

Agreement, as amended by this Agreement (the “Employment Arrangement”), for any

reason upon at least one (1) day prior written notice at any time on or after

April 1, 2003 (the date of termination of the Executive’s employment pursuant

to this Section 1 or Section 6(a)(iii) of the Original Agreement being the

“Termination Date”).

 

2.             Severance

Benefits.  Upon the termination of

the Executive’s employment pursuant to Section 1 hereof, the Company shall

provide, and the Executive shall receive, the following benefits:

 

(a)           The

Company shall pay to the Executive the compensation and benefits otherwise

payable to the Executive under Sections 3 and 5 of the Original Agreement and

all accrued but unused vacation through the Termination Date in a manner

consistent with the Company’s policies on the date hereof.

 

(b)           The

Company shall pay the Executive severance pay equal to $321,900.  Such severance pay (less applicable federal

and state taxes and withholdings) shall be paid in a single lump sum no later

than five (5) business days after the Termination Date.

 

(c)           The

Executive may elect to continue group medical insurance pursuant to the federal

“COBRA” law, 29 U.S.C. §1161 et  seq.  All premium costs for COBRA continuation shall be paid by the

Executive.

 

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(d)           The

Executive shall retain all home office equipment (including cellular telephone)

currently located or primarily used at the Executive’s residence.

 

(e)           The

Company shall continue to provide cellular telephone service to the Executive

for sixty (60) days following the Termination Date at the Company’s cost and

consistent with the manner in which the Company provided cellular telephone

service to the Executive prior to the Termination Date.

 

(f)            The

Executive hereby agrees that the Executive is not entitled to any airplane

tickets under the Company airplane tickets benefit program.

 

(g)           The

Company shall provide the Executive, at the Company’s expense, with executive

outplacement services through Essex Partners for the twelve (12) months from

and after the Termination Date (the “Severance Period”); provided, however,

that if the Executive does not engage Essex Partners, upon the request of the

Executive at any time within 120 days following the Termination Date, the

Company shall pay  the Executive a

single lump sum payment of $15,000.

 

(h)           The

Company shall provide the Executive all Company contributions for which he is

eligible under his 401(k) plan and deferred compensation arrangement for 2003,

through the Termination Date.

 

(i)            Company

shall forward BioWorld to the Executive’s home e-mail address on a daily basis

and shall forward BioCentury to his 

home e-mail address each Monday, in each case from the Termination Date

until the Company has received notice that the Executive has commenced new

employment.

 

3.             Unemployment

Claims.  The Company shall not

contest any unemployment claims made by the Executive.

 

4.             References.  The Company shall direct any and all

requests for references relating to the Executive by third parties to Mr.

Jonathan Leff, a member of the Company’s Board of Directors, or such other

officer or director of the Company as the Executive shall request. No one other

than Mr. Leff or the officer or director requested by the Executive shall

provide a reference on behalf of the Company. All references for the Executive

provided by Mr. Leff or such officer or director requested by the Executive shall

be favorable.

 

5.             Covenant Not to

Compete or Interfere.

 

(a)           Section

10(a) of the Original Agreement be and hereby is amended by deleting the first

sentence of Section 10(a) in its entirety and inserting in lieu thereof the

following sentence:

 

“(a)  Subject

to Section 10(b) below, during the term of this Agreement and the period ending

twenty-four (24) months from and after the termination of the Executive’s

employment hereunder, the Executive shall not engage in any business (whether

as an officer, director, owner, employee, partner, consultant,

 

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advisor or other direct or indirect participant)

engaged in the research, development or sale of products for the treatment of

lysosomal storage disorders (the “Restricted Business”). Without limiting the

foregoing, the Executive and the Company agree for purposes of this Section

10(a) that BioMarin Pharmaceutical Inc., Amgen Inc. or Genzyme Corporation and

any subsidiary of the foregoing named corporations which were such on the

effective date of this Agreement are engaged in the Restricted Business. For

purposes of this Section 10(a), a “subsidiary” means only a corporation which

is more than 50% owned by one of the corporations named in the preceding sentence.”

 

(b)           Section

6(a)(ii) of the Original Agreement is hereby amended by deleting clause (b)

thereof regarding the Executive’s death and providing that termination for

“Cause” may be effected in accordance with current clause (a), (c) or (e)

thereof only if there is a failure to cure after 30 days’ written notice from

the Company specifying in reasonable detail the nature of the “Cause.”

 

(c)           Section

10(b) of the Original Agreement is hereby amended to provide that, if the

Employment Arrangement is terminated for any reason other than a termination by

the Company for “Cause” in accordance with Section 6(a)(ii) of the Employment

Arrangement, the provisions of Section 10(a) of the Original Agreement, as

amended hereby, shall apply only until the expiration of the Severance Period.

 

6.             Consulting

Services.  The Executive may provide

such consulting services to the Company as the parties shall from time to time

agree.  The Executive shall be

compensated for all such services at the rate of $250 per hour, provided that

in-person meetings shall be compensated at the greater of such hourly rate or

$1000 per day, and for all reasonable out-of-pocket expenses.

 

7.             Indemnification.  In connection with the execution of this

Agreement, the Company and the Executive shall enter into an indemnification

agreement in the form attached hereto as Exhibit A.

 

8.             Notices.  Any notice required or permitted to be given

under this Agreement to the Executive shall be sufficient if in writing and if

hand delivered or consigned for overnight delivery to a national courier

service or sent by certified or registered mail to his residence, or in the

case of the Company, to Transkaryotic Therapies, Inc., 700 Main Street,

Cambridge, MA 02139, Attention: Board of Directors, or to such other offices or

addresses as the Company or the Executive shall designate from time to time by

notice to the other party.  Any notice

given hereunder shall be effective on the earliest of (a) the date on which it

is hand delivered or (b) the next business day after it is consigned to a

national courier service or (c) three (3) days after it is deposited in the

United States mails, postage prepaid.

 

9.             Waiver of Breach.  A waiver by the Company or the Executive of

a breach of any provision of this Agreement by the other party shall not

operate or be construed as a waiver of any subsequent breach by the other

party.

 

3

 

10.           Governing Law.  This Agreement shall be governed by and

construed and enforced in accordance with the internal laws of the Commonwealth

of Massachusetts.

 

11.           Expenses.  The Company shall reimburse the Executive

for the reasonable fees and expenses of his counsel, not to exceed $18,000 in

the aggregate, in connection with the negotiation of this Agreement and all

related agreements.

 

12.           No Other

Modification.  Except as set forth

herein, the terms and provisions of the Original Agreement remain in full force

and effect.

 

13.           Entire Agreement.  This Agreement, together with the Original

Agreement and the Indemnification Agreement, contain the entire agreement of

the parties and supersede any prior understandings or agreements between the

Executive and the Company, excluding only the Executive’s rights under his

deferred compensation arrangement with the Company and under the Company’s

group health and welfare and retirement plans and the Executive’s rights with

respect to any stock options granted him by the Company, each as in existence

on the effective date hereof, all of which shall remain in full force and

effect in accordance with their terms. 

This Agreement may be changed only by an agreement in writing signed by

the party against whom enforcement of any waiver, change, modification,

extension or discharge is sought.

 

[Remainder of Page Intentionally Left Blank]

 

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IN WITNESS WHEREOF, the parties have executed this

Agreement as of the date first above written.

 

TRANSKARYOTIC THERAPIES, INC.

 

 

	

  By:

  	

  /s/ Michael J. Astrue

  	

   

  
	

   

  	

  Michael J. Astrue

  	

   

  
	

   

  	

  President and Chief Executive Officer

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  	

   

  
	

  EXECUTIVE

  	

   

  
	

   

  	

   

  	

   

  
	

   

  	

   

  	

   

  
	

          /s/

  Daniel E. Geffken

  	

   

  
	

  Daniel E. Geffken

  	

   

  
				

 

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