Document:

Hobbs Employment Agreement

 Exhibit 10.10 
  
 PUMATECH, INC. 
  
 EMPLOYMENT AGREEMENT 
  
 This EMPLOYMENT AGREEMENT, dated as June 14, 2002 is between PUMATECH, INC. a Delaware corporation (the “Company”)
and WOODSON M. HOBBS (“Executive”). In consideration of the mutual covenants contained herein, the parties agree as follows: 
  
 1.    Definitions.    Unless otherwise defined in the body of the Agreement, capitalized terms shall have the meanings set out on Attachment I
hereto. 
  
 2.    Employment; Term of Employment.    The Company
hereby employs the Executive, and the Executive hereby accepts such employment with the Company, upon all the terms and conditions set forth below. Unless earlier terminated as hereinafter provided, the term of the Executive’s employment under
this Agreement shall continue from the date hereof until terminated by either party. THE COMPANY AND THE EXECUTIVE ACKNOWLEDGE THAT THE EXECUTIVE’S EMPLOYMENT IS AT WILL AND CAN BE TERMINATED BY EITHER PARTY AT ANY TIME, WITH OR WITHOUT CAUSE.
If the Executive’s employment terminates for any reason, with or without cause, the Executive shall not be entitled to any payments, benefits, damages, awards or compensation other than as specifically provided in this Agreement. 

 
 3.    Duties. 
  
 (a)  Position.    The Company shall employ the Executive in the position of President and Chief Executive Officer and
may assign other reasonable duties from time to time. The Executive will also be appointed to the Company’s Board of Directors, subject to subsequent ratification by the Company’s shareholders. The Board of Directors shall have the right
to review the responsibilities and compensation of the Executive from time to time as the Board may deem necessary or appropriate. 
  
 (b)  Obligations.    The Executive shall devote his full efforts and time to the Company. The foregoing, however, shall not preclude the Executive, outside normal
business hours, from engaging in appropriate civic, charitable or religious activities or from devoting a reasonable amount of time to private investments or from serving on the boards of directors of other entities, as long as such activities and
service do not interfere or conflict with his responsibilities to the Company. 
  
 4.    Compensation. 
  
 (a)  Base
Compensation.    The Company shall pay the Executive as compensation for his services a base compensation at the annualized rate of three hundred thousand dollars ($300,000). Such compensation shall be reviewed annually by
the Board of Directors. Compensation shall be paid periodically in accordance with normal Company payroll practices. 
  
 (b)  Equity.    As of the date of this Agreement, the Company will grant to the Executive a ten year restricted stock purchase option to purchase 1,500,000 shares of the Company’s
Common Stock at an exercise price equal to the closing price of Company Common Stock on the NASDAQ market on June 14, 2002, pursuant to the terms and conditions set out in the Restricted Stock Option, Exercise Notice and Restricted Stock Purchase
Agreement, and supporting agreements previously provided to Executive, which documents are incorporated by reference herein (the “Equity Documents”). Executive hereby grants power of attorney to the General Counsel of the Company to
effect any SEC filings (including, without limitation, Form 3 and any additional filings required under Section 16(b) of 

 the Securities Act of 1934) on Executive’s behalf in connection with the purchase of stock pursuant to the Equity
Documents. In addition to the terms set out in the Equity Documents, the Company agrees that upon a Change of Control (as defined on Attachment I hereto) vesting will automatically accelerate in full on all shares of Common Stock held by
Executive as of the date of such Change of Control, including shares purchased in addition to those subject to the Equity Documents. 
  
 (c)  Employee Benefits.    The Executive shall be eligible to participate in the employee benefits plans and executive compensation programs maintained by the
Company applicable to similarly situated executives of the Company, including medical, dental, life and long term disability insurance, flexible spending account and 401(k) plan. Such eligibility shall be subject in each case to the generally
applicable terms and conditions of the plan or program in question and to the determination of any committee administering such plan or program. The Company further agrees to cover Executive under its Directors’ and Officer’s Liability
Insurance Policy, attached hereto as Attachment II. 
  
 (d)  Executive Bonus
Plan.    Executive will be eligible to earn an annual bonus pursuant to the bonus plan adopted by the Board of Directors and attached to this Agreement as Attachment V. 
  
 (e)  Signing Bonus.    At the close of the first pay period following the date of
execution of this Agreement, Company shall pay Executive a one-time signing bonus of two hundred thousand dollars ($200,000), subject to normal Company payroll practices. 
  
 5.    Special Limitations with Respect to Company Stock.    Executive has read the Company’s Insider Trading
Policy attached hereto as Attachment III, and hereby acknowledges and agrees that he will be subject to such Insider Trading Policy and to all other federal and state securities laws with respect to his stock ownership in the Company as
may be applicable from time to time. In addition to these restrictions and to such other restrictions as may apply to Executive pursuant to the Equity Documents described in Section 3(b) hereof, Executive agrees that during his employment and for a
period of six months after termination of employment he will not, during any single three-month period, dispose of more than fifteen percent (15%) of his total stock holdings in the Company; provided, however, that the first disposition made by
Executive may be up to, but no more than, twenty percent (20%) of the total stock holdings. For purposes of this Section 5, “total stock holdings of the Company” shall mean (i) the total number of fully vested shares beneficially owned by
Executive plus (ii) the total number of fully vested and exercisable shares subject to options held by Executive. 
  
 6.    Severance Benefits.    If the Company or the Executive terminates the Executive’s employment at any time, then the Executive shall be entitled to receive severance benefits as
follows: 
  
 (a)  Voluntary Resignation; Termination for
Cause.    Except as otherwise provided in Section 4 hereof, no severance benefits shall be payable upon Executive’s termination of employment by reason of voluntary resignation (and not by Involuntary Termination) or for
Cause. 
  
 (b)  Involuntary Termination.    Upon termination of
employment as a result of Involuntary Termination, Executive will be entitled to receive the following benefits: 
  
 (i)  severance pay, based upon Executive’s base compensation as of the date 

 employment ceases, in an amount equal to base compensation for the duration of the Severance Period. Any amount payable
shall be paid at the regular base compensation rate during the Severance Period, according to normal Company payroll practices and commencing with the month immediately after the month in which Executive’s employment so ceases; and

  
 (ii)  coverage under the Company’s health, life, dental and other insurance
programs for the Severance Period. 
  
 (c)  Disability;
Death.    If Executive’s employment is terminated as a result of death or Disability, then such termination shall be treated as if it were an Involuntary Termination, and the severance and other benefits shall be
provided, in accordance with subsection 6(b) above. 
  
 7.    Non-Assignability.    Neither this Agreement nor any right or interest hereunder shall be assignable by the Executive, his beneficiaries, or legal representatives without the
Company’s prior written consent; provided, however, that nothing in this subparagraph shall preclude (i) the Executive from designating a beneficiary to receive any benefit payable hereunder upon his death, or (ii) the executors,
administrators, or other legal representatives of the Executive or his estate from assigning any rights hereunder to the person or persons entitled thereunto. 
  
 8.    Confidentiality.    The Executive shall be subject to all terms set out in the standard form of Employee Agreement Regarding Confidentiality and
Inventions, attached hereto as Attachment IV. 
  
 9.    Successors.    Any successor to the Company (whether direct or indirect and whether by purchase, lease, merger, consolidation, liquidation or otherwise) to all or substantially all
of the Company’s business and/or assets shall assume the obligations under this Agreement and agree expressly to perform the obligations under this Agreement in the same manner and to the same extent as the Company would be required to perform
such obligations in the absence of a succession. For all purposes under this Agreement, the term “Company” shall include any successor to the Company’s business and/or assets which executes and delivers the assumption agreement
described in this Section 9 or which becomes bound by the terms of this Agreement by operation of law. 
  
 10.    Binding Effect.    This Agreement shall inure to the benefit of and be binding upon the parties and their respective heirs, successors, legal representatives and assigns.

  
 11.    Notices.    Any notice required or permitted to be given
under this Agreement shall be sufficient if in writing and either delivered in person or sent by first class certified or registered mail, postage prepaid, if to the Company at the Company’s principal place of business, and if to the Employee,
at his home address most recently filed with the Company, or to such other address as either party shall have designated in writing to the other party hereto. 
  
 12.    Law Governing.    This Agreement shall be governed by and construed in accordance with the laws of the State of California.  

 
 13.    Severability.    If any provision of this Agreement shall be determined
to be invalid, illegal or unenforceable in whole or in part, neither the validity of the remaining part of such provision nor the validity of any other provision of this Agreement shall in any way be affected thereby. 
  
 14.    Waiver.    Failure to insist upon strict compliance with any of the terms, covenants
or conditions hereof shall not be deemed a waiver of such term, covenant or condition. 

 15.    Entire Agreement; Modifications.    This Agreement (including all
exhibits hereto) constitutes the entire agreement of the parties with respect to the subject matter hereof and supersedes all prior agreements, oral and written between the parties hereto with respect to the subject matter hereof. This Agreement may
be modified or amended only by an instrument in writing signed by both parties. 
  
 16.    Arbitration.    Any dispute or controversy arising under or in connection with this Agreement shall be settled exclusively in arbitration conducted in Santa Clara County,
California, in accordance with the rules of the American Arbitration Association then in effect. Judgment may be entered on the arbitrator’s award in any court having jurisdiction. Punitive damages shall not be awarded. In any arbitration
proceeding, the party determined to be the prevailing party shall be entitled to receive, in addition to any other award, its attorneys’ fees and expenses of the proceeding. 
  
 17.    Representation by Counsel.    The parties are executing this Agreement after negotiation and mutual agreement as to
the terms set out herein. Executive represents that he has consulted (or voluntarily declined to consult) with legal counsel and financial advisors of his choosing and that he fully understands the terms and consequences of this Agreement.

  
 18.    Employment and Income Taxes.    All payments made pursuant
to this Agreement will be subject to withholding of employment taxes ; however, in the event that the Company determines that any benefits or payments received or to be received by Executive pursuant to this Agreement would (i) constitute an
“excess parachute payment” within the meaning of Section 280G of the Internal Revenue Code of 1986, as amended (the “Code”), or any similar or successor provision to 280G and (ii) be subject to the excise tax imposed by Section
4999 of the Code or any similar or successor provision to Section 4999 (the “Excise Tax”), then the Company agrees to increase the amount such severance payments to Executive by the amount of such Excise Tax required to be withheld at the
time of such payment. 
  
 IN WITNESS WHEREOF the Company and the Executive have duly executed and delivered this
Agreement as of the day and year first above written. 
  
 
	 PUMATECH, INC.
 	 	  	 	 EXECUTIVE
 
	 
	 By
 	 	 /s/    MICHAEL M.
CLAIR        
 
	 	  	 	  	 	 /s/    WOODSON M.
HOBBS        
 

	  	 	 Chairman
 	 	  	 	  	 	  

 
  
 Attachments: 
  
 
	 I
 	  	 Definitions
 
	 II
 	  	 D&O Policy
 
	 III
 	  	 Insider Trading Policy
 
	 IV
 	  	 Confidentiality and Inventions Agreement
 
	 V
 	  	 Executive Bonus Plan
 

 

 ATTACHMENT I TO EMPLOYMENT AGREEMENT 
  
 DEFINITIONS 
  
 “Cause” means (i) any act of
personal dishonesty taken by Executive in connection with his responsibilities as an employee and intended to result in substantial personal enrichment; (ii) Executive’s being convicted of a felony; or (iii) a willful act by Executive which
constitutes gross misconduct and which is injurious to the Company. 
  
 “Change of Control” means
the occurrence of any of the following events: 
  
 (a)  Any “person” (as such
term is used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as amended), excluding existing beneficial owners as of the date of this Letter, is or becomes the “beneficial owner” (as defined in Section 13d-3 of said
Act), directly or indirectly, of securities of the Company representing 50% or more of the total voting power represented by the Company’s then outstanding voting securities, excluding conversion of any convertible securities issued as of the
date of this Agreement; 
  
 (b)  The composition of the Board of Directors changes during
any period of 36 months such that individuals who at the beginning of the period were members of the Board of Directors (the “Continuing Directors”) cease for any reason to constitute at least a majority thereof; unless at least 66-2/3% of
the Continuing Directors has either (i) approved the election of the new Directors, (ii) if the election of the new Directors is voted on by stockholders, recommended that the stockholders vote for approval, or (iii) otherwise determined that such
change in composition does not constitute a Change of Control, even if the Continuing Directors do not constitute a quorum of the whole Board (it being understood that this requirement shall not be capable of satisfaction unless there is at least
one Continuing Director); 
  
 (c)  The stockholders of the Company approve a merger or
consolidation of the Company with any other corporation, other than a merger or consolidation which would result in the voting securities of the Company outstanding immediately prior thereto continuing to represent (either by remaining outstanding
or by being converted into voting securities of the surviving entity) at least 50% of the total voting power represented by the voting securities of the Company or such surviving entity outstanding immediately after such merger or consolidation, or
the stockholders of the Company approve a plan of complete liquidation of the Company or an agreement for the sale or disposition by the Company of all or substantially all of the Company’s assets; 
  
 (d)  Any other provision of this subsection notwithstanding, the term Change of Control shall not include either
of the following events undertaken at the election of the Company: 
  
 (i)  Any
transaction, the sole purpose of which is to change the state of the Company’s incorporation; or 
  
 (ii)  A transaction, the result of which is to sell all or substantially all of the assets of the Company to another corporation (the “surviving corporation”) provided that the surviving corporation is owned
directly or indirectly by the stockholders of the Company immediately following such transaction in substantially the same proportions as their ownership of the Company’s common stock immediately preceding such transaction. 

 “Change of Control Period” means the period beginning with the date that a Change of Control has
occurred (as determined by the Board of Directors of the Company) and ending twelve months later. 
  
 “Disability” means a physical or mental disability to an extent that renders it impracticable for Executive to continue performing his duties hereunder. Executive shall be deemed to be so disabled if (i) a physician
selected by the Company (and the Company will use its best efforts to coordinate such determination by the physician with the Company’s long term disability insurance carrier) advises the Company that Executive’s physical or mental
condition will render him unable to perform his duties for a period exceeding three consecutive months, or (ii) due to a physical or mental condition, Executive has not substantially performed his duties hereunder for a period of three consecutive
months. 
  
 “Involuntary Termination” means (i) without his consent, Executive’s assignment to
any duties or the significant reduction of Executive’s duties, either of which is inconsistent with his position or title with the Company and responsibilities in effect immediately prior to such assignment, or the removal of Executive from
such position and responsibility, or a reduction in his title; (ii) a greater than 10% reduction by the Company in Executive’s base compensation as in effect immediately prior to such reduction; provided, however, that such reduction shall not
apply if substantially all executive officers of the Company agree to a similar reduction in base compensation; or (iii) any purported termination of Executive by the Company (other than a voluntary termination initiated by the Executive) which is
not effected for Disability or for Cause. 
  
 “Severance Period” means the three month period
following an Involuntary Termination or termination for death or Disability; provided, however, if such termination occurs during the Change of Control Period, the Severance Period shall be extended to six months. 
  

 ATTACHMENT II TO EMPLOYMENT AGREEMENT 
  
 DIRECTORS AND OFFICERS LIABILITY INSURANCE POLICY 

 ATTACHMENT III TO EMPLOYMENT AGREEMENT 
  
 PUMATECH, INC 
  
 INSIDER TRADING POLICY 

 
 and Guidelines with Respect to 
 Certain Transactions in Company Securities 
  
 This Policy provides guidelines to employees,
officers and directors of Pumatech, Inc. (the “Company”) with respect to transactions in the Company’s securities. 
  
 Applicability of Policy 
  
 This Policy applies to all transactions in the Company’s
securities, including common stock, options for common stock and any other securities the Company may issue from time to time, such as preferred stock, warrants and convertible debentures, as well as to derivative securities relating to the
Company’s stock, whether or not issued by the Company, such as exchange-traded options. It applies to all officers of the Company, all members of the Company’s Board of Directors, and all employees of, and consultants and contractors to,
the Company and its subsidiaries who receive or have access to Material Nonpublic Information (as defined below) regarding the Company. This group of people, members of their immediate families, and members of their households are sometimes referred
to in this Policy as “Insiders.” This Policy also applies to any person who receives Material Nonpublic Information from any Insider. 
  
 Any person who possesses Material Nonpublic Information regarding the Company is an Insider for so long as the information is not publicly known. Any employee can be an Insider from time to time, and
would at those times be subject to this Policy. 
  
 Statement of Policy 
  
 General Policy 
  
 It is the policy of the Company to oppose the unauthorized disclosure of any nonpublic information acquired in the work-place and the misuse of Material Nonpublic Information in securities trading. 
  
 Specific Policies 
  
 1.    Trading on Material Nonpublic Information.    No director, officer or employee of, or consultant or contractor to, the Company, and no member of the immediate family or household
of any such person, shall engage in any transaction involving a purchase or sale of the Company’s securities, including any offer to purchase or offer to sell, during any period commencing with the date that he or she possesses Material
Nonpublic Information concerning the Company, and ending at the close of business on the second Trading Day following the date of public disclosure of that information, or at such time as such nonpublic information is no longer material. As used
herein, the term “Trading Day” shall mean a day on which national stock exchanges and the National Association of Securities Dealers, Inc. Automated Quotation System (NASDAQ) are open for trading. 
  

 2.    Tipping.     No Insider shall disclose (“tip”) Material
Nonpublic Information to any other person (including family members) where such information may be used by such person to his or her profit by trading in the securities of companies to which such information relates, nor shall such Insider or
related person make recommendations or express opinions on the basis of Material Nonpublic Information as to trading in the Company’s securities. 
  
 3.    Confidentiality of Nonpublic Information.     Nonpublic information relating to the Company is the property of the Company and the unauthorized
disclosure of such information is forbidden. 
  
 Potential Criminal and Civil Liability 
 and/or Disciplinary Action 
  
 1.    Liability for Insider Trading.    Insiders may be subject to penalties of up to $1,000,000 and up to ten years in jail for engaging in transactions in the Company’s securities
at a time when they have knowledge of nonpublic information regarding the Company. 
  
 2.    Liability for Tipping.    Insiders may also be liable for improper transactions by any person (commonly referred to as a “tippee”) to whom they have disclosed nonpublic
information regarding the Company or to whom they have made recommendations or expressed opinions on the basis of such information as to trading in the Company’s securities. The Securities and Exchange Commission (the “SEC”) has
imposed large penalties even when the disclosing person did not profit from the trading. The SEC, the stock exchanges and the National Association of Securities Dealers, Inc. use sophisticated electronic surveillance techniques to uncover insider
trading. 
  
 3.    Possible Disciplinary Actions.     Employees of the
Company who violate this Policy shall also be subject to disciplinary action by the Company, which may include ineligibility for future participation in the Company’s equity incentive plans or termination of employment. 
  
 Recommended Guidelines 
  
 1.    Recommended Trading Window.     The period beginning approximately two (2) weeks before the end of each quarter and ending two Trading Days following the date of public
disclosure of the financial results for that quarter, is a particularly sensitive period of time for transactions in the Company’s stock from the perspective of compliance with applicable securities laws. This sensitivity is due to the fact
that officers, directors and certain other employees will, during that period, often possess Material Nonpublic Information about the expected financial results for the quarter. 
  
 Accordingly, to ensure compliance with this Policy and applicable federal and state securities laws, the Company strongly recommends that all directors, officers and
employees having access to the Company’s internal financial statements or other Material Nonpublic Information refrain from conducting transactions involving the purchase or sale of the Company’s securities other than during the period
(the “trading window”) commencing at the close of business on the second Trading Day following the date of public disclosure of the financial results for a particular fiscal quarter or year and continuing until two (20 weeks prior to the
end of the next fiscal quarter. The safest period for trading in the Company’s securities, assuming the absence of Material Nonpublic Information, is probably only the first ten days of the trading window. 

 From time to time, the Company may also recommend that directors, officers, selected employees and others suspend trading
because of developments known to the Company and not yet disclosed to the public. In such event, such persons are advised not to engage in any transaction involving the purchase or sale of the Company’s securities during such period and should
not disclose to others the fact of such suspension of trading. 
  
 The purpose behind the suggested self-imposed
“trading window” period is to help establish a diligent effort to avoid any improper transaction. An Insider may choose not to follow this suggestion, but he or she should be particularly careful with respect to trading outside the trading
window, since the Insider may, at such time, have access to Material Nonpublic Information regarding, among other things, the Company’s anticipated financial performance for the quarter. 
  

It should be noted, however, that even during the trading window, any person possessing Material Nonpublic Information concerning the Company should not engage in any
transactions in the Company’s securities until such information has been known publicly for at least two Trading Days, whether or not the Company has recommended a suspension of trading to that person. Trading in the Company’s securities
during the trading window should not be considered a “safe harbor,” and all directors, officers and other persons should use good judgment at all times. 
  
 2.    Notification of Trades.    The Company has determined that all officers and directors of the Company should refrain
from trading in the Company’s securities, even during the trading window, without first complying with the Company’s “notification” process. Each officer and director should contact and consult with the Company’s President
prior to commencing any trade in the Company’s securities. The Company may find it necessary, from time to time, to require compliance with the notification process from certain employees, consultants and contractors other than and in addition
to officers and directors. 
  
 3.    Individual Responsibility.    
Every officer, director and employee has the individual responsibility to comply with this Policy against insider trading, regardless of whether the Company has recommended a trading window to that Insider or any other Insiders of the Company. The
guidelines set forth in this Policy are guidelines only, and appropriate judgment should be exercised in connection with any trade in the Company’s securities. 
  
 An Insider may, from time to time, have to forego a proposed transaction in the Company’s securities even if he or she planned to make the transaction before learning
of the Material Nonpublic Information and even though the Insider believes he or she may suffer an economic loss or forego anticipated profit by waiting. 
  

 Applicability of Policy to Inside Information 
 Regarding Other Companies 
  
 This Policy and the guidelines described herein also apply to
Material Nonpublic Information relating to other companies, including the Company’s customers, vendors or suppliers (“business partners”), when that information is obtained in the course of employment with, or other services performed
on behalf of, the Company. Civil and criminal penalties, and termination of employment, may result from trading on inside information regarding the Company’s business partners. All employees should treat Material Nonpublic Information about the
Company’s business partners with the same care required with respect to information related directly to the Company. 
  
 Definition of Material Nonpublic Information 
  
 It is not possible to define all categories
of material information. However, information should be regarded as material if there is a reasonable likelihood that it would be considered important to an investor in making an investment decision regarding the purchase or sale of the
Company’s securities. 
  
 While it may be difficult under this standard to determine whether particular
information is material, there are various categories of information that are particularly sensitive and, as a general rule, should always be considered material. Examples of such information may include: 
  
 Financial results 
  
 Projections of future earnings or losses 
  
 News of
a pending or proposed merger 
  
 News of the disposition of a subsidiary 
  
 Impending bankruptcy or financial liquidity problems 
  
 Gain or loss of a substantial customer or supplier 
  
 Changes in dividend policy 
  
 New product
announcements of a significant nature 
  
 Significant product defects or modifications 

 
 Significant pricing changes 
  
 Stock splits 
  
 New equity or debt offerings 
  
 Acquisitions 
  
 Significant litigation exposure due to actual or threatened litigation 
  
 Major changes in senior management. 
  
 Either positive or negative information may be material. 
  
 Nonpublic information is information that has not been previously disclosed to the general public and is otherwise not available to the general public. 

 Certain Exceptions 
  
 For purposes of this Policy, the Company considers that the exercise of stock options for cash under the Company’s stock option plans or the purchase of shares under the Company’s employee
stock purchase plan (but not the sale of any such shares) is exempt from this Policy, since the other party to the transaction is the Company itself and the price does not vary with the market but is fixed by the terms of the option agreement
or the plan. 
  
 Additional Policies—Directors and Officers 
  

1.    Section 16.    Directors and officers of the Company must also comply with the reporting obligations and
limitations on short-swing transactions set forth in Section 16 of the Securities Exchange Act of 1934, as amended. The practical effect of these provisions is that officers and directors who purchase and sell the Company’s securities within a
six-month period must disgorge all profits to the Company whether or not they had knowledge of any Material Nonpublic Information. Under these provisions, and so long as certain other criteria are met, neither the receipt of an option under the
Company’s option plans, nor the exercise of that option nor the receipt of stock under the Company’s employee stock purchase plan is deemed a purchase under Section 16; however, the sale of any such shares is a sale under Section 16.

  
 The Company has provided, or will provide, separate memoranda and other appropriate materials to its officers and
directors regarding compliance with Section 16 and its related rules. 
  
 2.    Short
Sales.    No officer or director shall engage in a short sale of the Company’s securities. 
  
 Inquiries 
  
 Please direct your questions as to any of the matters discussed in this Policy
to the Company’s General Counsel, who is the Insider Trading Compliance Officer. 
  
 
	 Initials:
 	 	     /i/ WH
 	 	 Date:
 	 	     6-14-2002
 
	 	
	
	 	 	
	

 
  

 ATTACHMENT IV TO EMPLOYMENT AGREEMENT 
  
 PUMATECH, INC. EMPLOYEE AGREEMENT 
 REGARDING CONFIDENTIALITY AND INVENTIONS 
  
 This Agreement is intended to set forth in writing my responsibility to Pumatech, Inc., a Delaware corporation (“the Company”).
I recognize that the Company is engaged in a continuous program of research, development, and production respecting its business and the business of its customers, present and future. As part of my employment with the Company, I have certain
obligations relating to inventions which I develop during that employment. 
  
 In return for my employment, or
continued employment, by the Company, I acknowledge and agree that: 
  
 1.    Effective
Date.    This agreement (“Agreement”) shall be effective on June 14, 2002, the first day of my employment with the Company. 
  
 2.    Confidentiality.    I will maintain in confidence and will not disclose or use, either during or after the term of my employment any proprietary or
confidential information or know-how belonging to the Company (“Proprietary Information”), whether or not in written form, except to the extent required to perform duties on behalf of the Company. Proprietary Information refers to any
information, not generally known in the relevant trade or industry, which was obtained from the Company, or which was learned, discovered, developed, conceived, originated or prepared by me in the scope of my employment. Such Proprietary Information
includes, but is not limited to, software, technical and business information relating to the Company’s inventions or products, research and development, production processes, manufacturing and engineering processes, machines and equipment,
finances, customers, marketing, and production and future business plans and any other information which is identified as confidential by the Company. Upon termination of my employment or at the request of my supervisor before termination, I will
deliver to the Company all written and tangible material in my possession incorporating the Proprietary Information or otherwise relating to the Company’s business. These obligations with respect to Proprietary Information extend to information
belonging to customers and suppliers of the Company who may have disclosed such information to me as the result of my status as an employee of the Company. 
  
 3.    Inventions. 
  
 3.1    Definition of Inventions.    As used in this Agreement, the term “Inventions” means any new or useful art, discovery, contribution, finding or improvement, whether or
not patentable, and all related know-how. Inventions include, but are not limited to, all designs, discoveries, formulae, processes, manufacturing techniques, semiconductor designs, computer software, inventions, improvements, and ideas.

  

 3.2    Disclosure and Assignment of Inventions. 
  
 (a)  I will promptly disclose and describe to the Company all Inventions which I may solely or jointly conceive,
develop, or reduce to practice during the period of my employment with the Company (i) which relate at the time of conception, development, or reduction to practice of the Invention to the Company’s business or actual or demonstrably
anticipated research or development, (ii) which were developed, in whole or in part, on the Company’s time or with the use of any of the Company’s equipment, supplies, facilities or trade secret information, or (iii) which resulted from
any work I performed for the Company (“the Company Inventions”). I assign all my right, title, and interest worldwide in the Company Inventions and in all intellectual property rights based upon the Company Inventions. However, I do not
assign or agree to assign any Inventions relating in any way to the Company business or demonstrably anticipated research and development which were made by me prior to my employment with the Company. I further do not assign or agree to assign any
Inventions which in no way relate to the Company business or demonstrably anticipated research and development which are made by me during my employment with the Company, which Inventions, if any, are identified on Exhibit A to this
Agreement. At the time of execution of this Agreement, there are no Inventions listed on Exhibit A. Such Inventions will be added, along with the date of addition and signed and dated by the Chief Technical Officer of the Company and me.
Counter signature by the Chief Technical Officer of Puma shall constitute acceptance of said Invention by the Company. Exhibit A will contain no confidential information. I have no rights in any Inventions other than the Inventions relating
in any way to the Company business or demonstrably anticipated research and development which were made by me prior to my employment with the Company or inventions specified in Exhibit A . 
  

(b)  I recognize that Inventions relating to my activities while working for the Company and conceived or made by me, alone or with others,
within one year after termination of my employment may have been conceived in significant part while employed by the Company. Accordingly, I agree that such Inventions shall be presumed to have been conceived during my employment with the Company
and are to be assigned to the Company as a Company Invention unless and until I have established the contrary. I agree to disclose promptly in writing to the Company all Inventions made or conceived by me for one (1) year after my term of
employment, whether or not I believe such Inventions are subject to this Agreement, to permit a determination by the Company as to whether or not the Inventions should be the property of the Company. Any such information will be received in
confidence by the Company. 
  
 3.3    Nonassignable
Inventions.    This Agreement does not apply to an Invention which qualifies fully as a nonassignable Invention under the provisions of Section 2870 of the California Labor Code. 
  
 4.    The Company’s Materials.    Upon termination of my employment with the Company
or at any other time upon the Company’s request, I will promptly deliver to the Company, without retaining any copies, all documents and other materials furnished to me by the Company or prepared by me for the Company. 
  
 5.    Competitive Employment.    During the term of my employment with the Company, I will
not engage in any employment, consulting, or other activity in any business competitive with the Company without the Company’s written consent. 

 6.    Non-solicitation.    During the term of my employment with the
Company and for a period of two (2) years thereafter, I will not solicit or encourage, or cause others to solicit or encourage, any employees of the Company to terminate their employment with the Company. 
  
 7.    Acts to Secure Proprietary Rights. 
  
 7.1    Further Acts.    I agree to perform, during and after my employment, all acts deemed necessary or
desirable by the Company to permit and assist it, at its expense, in perfecting and enforcing the full benefits, enjoyment, rights and title throughout the world in the Company Inventions. Such acts may include, but are not limited to, execution of
documents and assistance or cooperation in the registration and enforcement of applicable patents and copyrights or other legal proceedings. 
  
 7.2    Appointment of Attorney-In-Fact.    In the event that the Company is unable for any reason whatsoever to secure my signature to any lawful and
necessary document required to apply for or execute any patent, copyright or other applications with respect to any the Company Inventions (including improvements, renewals, extensions, continuations, divisions or continuations in part thereof), I
hereby irrevocably appoint the Company and its duly authorized officers and agents as my agents and attorneys-in-fact to execute and file any such application and to do all other lawfully permitted acts to further the prosecution and issuance of
patents, copyrights or other rights thereon with the same legal force and effect as if executed by me. 
  
 8.    No Conflicting Obligations.    My performance of this Agreement and as an employee of the Company does not and will not breach any agreement to keep in confidence proprietary
information, knowledge or data acquired by me prior to my employment with the Company. I will not disclose to the Company, or induce the Company to use, any confidential or proprietary information or material belonging to any previous employer or
other person or entity. I am not a party to any other agreement which will interfere with my full compliance with this Agreement. I will not enter into any agreement, whether written or oral, in conflict with the provisions of this Agreement.

  
 9.    Survival.    Notwithstanding the termination of my
employment, Section 3.2 and Articles 2, 6, and 7 shall survive such termination. This Agreement does not in any way restrict my right or the right of the Company to terminate my employment at any time, for any reason or for no reason. 

 
 10.    Specific Performance.    A breach of any of the promises or agreements
contained herein will result in irreparable and continuing damage to the Company for which there will be no adequate remedy at law, and the Company shall be entitled to injunctive relief and/or a decree for specific performance, and such other
relief as may be proper (including monetary damages if appropriate). 
  
 11.    Waiver.    The waiver by the Company of a breach of any provision of this Agreement by me will not operate or be construed as a waiver of any other or subsequent breach by me.

  
 12.    Severability.    If any part of this Agreement is found
invalid or unenforceable, that part will be amended to achieve as nearly as possible the same economic effect as the original provision and the remainder of this Agreement will remain in full force. 

 13.    Governing Law.    This Agreement will be governed by and construed
in accordance with the laws of the United States and the State of California. In any proceeding under this Agreement, proceeding, the party determined to be the prevailing party shall be entitled to receive, in addition to any other award, its
attorneys’ fees and expenses of the proceeding. 
  
 14.    Choice of
Forum.    The parties hereby submit to the jurisdiction of, and waive any venue objections against, the United States District Court for the Northern District of California, San Jose Branch and the Superior and Municipal
Courts of the State of California, Santa Clara County, in any litigation arising out of the Agreement. 
  
 15.    Entire Agreement.    This Agreement, including all Exhibits to this Agreement, constitutes the entire agreement between the parties relating to this subject matter and supersedes
all prior or simultaneous representations, discussions, negotiations, and agreements, whether written or oral. This Agreement may be amended or modified only with the written consent of both me and the Company. No oral waiver, amendment or
modification will be effective under any circumstances whatsoever. 
  
 16.    Assignment.    This Agreement may be assigned by the Company. I may not assign or delegate my duties under this Agreement without the Company’s prior written approval. This
Agreement shall be binding upon my heirs, successors, and permitted assignees. 
  
 
	  	 	  	 	 WOODSON HOBBS
 
	 
	 Date:
 	 	         June 14, 2002
 
	 	  	 	 By:
 	 	 /s/    WOODSON
HOBBS        
 

	  	 	  	 	  	 	  	 	 Signature
 
	 
	  	 	  	 	 PUMATECH, INC.:
 
	 
	 Date:
 	 	         June 14, 2002
 
	 	  	 	 By:
 	 	 /s/    MICHAEL M.
CLAIR        
 

	  	 	  	 	  	 	  	 	 Chairman 
 

 

 LIMITED EXCLUSION NOTIFICATION TO CONFIDENTIALITY AGREEMENT 
  
 THIS IS TO NOTIFY you in accordance with Section 2872 of the California Labor Code that the above Agreement between you and the Company does not require you to assign to
the Company, any invention for which no equipment, supplies, facility or trade secret information of the Company was used and which was developed entirely on your own time, and (a) which does not relate (1) to the business of the Company or (2) to
the Company’s actual or demonstrably anticipated research or development, or (b) which does not result from any work performed by you for the Company. This limited exclusion does not apply to any patent or invention covered by a contract
between the Company and the United States or any of its agencies requiring full title to such patent or invention to be in the United States. 
  
 I ACKNOWLEDGE RECEIPT of a copy of this notification. 
  
 
	 /s/    WOODSON HOBBS        
 

	 Signature
 
	 
	 Woodson Hobbs
 

	 Printed Name of Employee
 
	 
	 Dated: June 14, 2002
 

 
  
 Witnessed by: 
  
 
	 
	 /s/    MICHAEL M.
CLAIR        
 

	 Representative
 
	 
	 Dated: June 14, 2002
 

 

 EXHIBIT A TO CONFIDENTIALITY AGREEMENT 
  
 INVENTIONS DURING EMPLOYMENT AT THE COMPANY 
  
 INVENTION:
                                        
                                        
                                        
                                        
                                        
                             
                                      
                                        
                                        
                                        
                                        
                                        
                     
                                      
                                        
                                        
                                        
                                        
                                        
                     
                                      
                                        
                                        
                                        
                                        
                                        
                     
  
 DATE OF INVENTION:
                                        
                                        
                                        
                                        
                                        
        
  
 EMPLOYEE SIGNATURE:
                                        
                                        
                                        
                                        
                                         

  
 DATE:
                                        
                                        
                                        
                                        
                                        
                                        
   
  
 COMPANY SIGNATURE:
                                        
                                        
                                        
                                        
                                        
    
  
 DATE:
                                        
                                        
                                        
                                        
                                        
                                        
   
  
 ATTACH MORE SHEETS IF NECESSARYHobbs Restricted Stock Option Agreement

 Exhibit 10.11 
  
 PUMATECH, INC. 
  
 RESTRICTED STOCK OPTION AGREEMENT 
  
 THIS AGREEMENT, entered into as of June 14, 2002 (the “Date of Grant”), between PUMATECH, INC., a Delaware corporation (the
“Company”), and WOODSON M. HOBBS (the “Optionee”), 
  
 WITNESSETH: 
  
 Whereas the Company’s Board of Directors has determined that it would be in the best interests of the Company and its
stockholders to grant the Restricted Stock Option described in this Agreement (the “Option”) to the Optionee as an opportunity to acquire a proprietary interest in the success of the Company, or to increase such interest: 

 
 Now, therefore, it is agreed as follows: 
  
 1.     Capitalized Terms.    Except as otherwise indicated, all capitalized terms are defined in Section 16 below.

  
 2.    Grant of Option.    On the terms and conditions stated
below, the Company hereby grants to the Optionee the to purchase up to one million five hundred thousand (1,500,000) shares of Common Stock of the Company (the “Shares”) for the sum of $0.59 per Share. This Option is not intended to be an
Incentive Stock Option. 
  
 3.    Right to Exercise; Vesting
Schedule.    This Option shall be exercisable as to all or any part of the Shares as of the Date of Grant. Notwithstanding such exercisability, all Shares purchased pursuant to the Option shall be subject to the vesting
criteria set out on Attachment I hereto (the “Vesting Schedule”). 
  
 4.    No Transfer or Assignment of Option.    Except as otherwise provided in this Agreement, this Option and the rights and privileges conferred hereby shall not be transferred,
assigned, pledged or hypothecated in any way (whether by operation of law or otherwise) and shall not be subject to sale under execution, attachment or similar process. Upon any attempt to transfer, assign, pledge, hypothecate or otherwise dispose
of this option, or of any right or privilege conferred hereby, contrary to the provisions hereof, or upon any attempted sale under any execution, attachment or similar process upon the rights and privileges conferred hereby, this Option and the
rights and privileges conferred hereby shall immediately become null and void. 
  
 5.    Exercise Procedures. 
  
 (a)  Method of
Exercise.    This Option is exercisable by delivery of an exercise notice, in the form provided by the Company (the “Exercise Notice”), which shall state the election to exercise the Option, the number of Shares in
respect of which the Option is being exercised (the “Exercised Shares”), and such other representations and agreements as to the holder’s investment intent with respect to the Exercised Shares as may be required by the Company. The
Exercise Notice shall be signed by the Optionee and, if the Optionee is married, by the Optionee’s spouse, and shall be delivered in person or by certified mail to the Secretary of the Company. The Exercise Notice shall be accompanied by
payment of the aggregate Exercise Price as to all Exercised Shares. This Option shall be deemed to be exercised upon receipt by the Company of such fully executed Exercise Notice accompanied by such aggregate Exercise Price. 
  
 No Shares shall be issued pursuant to the exercise of this Option unless such issuance and exercise complies with all
relevant provisions of law and the requirements of any stock exchange upon which the Shares are then listed. Assuming such compliance, for income 

 tax purposes the Exercised Shares shall be considered transferred to the Optionee on the date the Option is exercised with respect to such
Exercised Shares. 
  
 6.    Payment for Stock.    The Purchase Price
shall be paid in lawful money of the United States of America and may be paid by cash, check, full recourse promissory note or such other consideration as is acceptable to the Company at the time of exercise. To the extent that the Exercised Shares
may otherwise be sold by the Optionee under applicable securities laws and agreements with the Company, all or any part of the Purchase Price and any applicable withholding taxes may be paid by delivering (on a form prescribed by the Company) an
irrevocable direction to sell all or part of the Exercised Shares and to deliver all or part of the sales proceeds to the Company. 
  
 7.    Optionee’s Representations.    In the event the Shares purchasable pursuant to the exercise of this Option have not been registered under the Securities Act of 1933,
as amended, at the time this Option is exercised, Optionee shall, if required by the Company, concurrently with the exercise of all or any portion of this Option, deliver to the Company his Investment Representation Statement in the form attached as
Exhibit C to the Exercise Notice. 
  
 8.    Restrictions on
Exercise.    As a condition to the exercise of this Option, the Company may require Optionee to make any representation and warranty to the Company as may be required by any applicable law or regulation. 

 
 9.    Termination of Relationship.    In the event of termination of
Optionee’s service, Optionee may, to the extent otherwise so entitled at the date of such termination (the “Termination Date”), exercise this Option as described in this Section 9. 
  

(a)  Termination of Service (Except by Death).    If the Optionee’s service as an Employee terminates for any
reason other than death, then this Option shall expire on the earliest of the following occasions: 
  
 (i)  June 14, 2012; 
  
 (ii)  The date one year after the
Termination Date; or 
  
 (iii)  The time that Optionee is notified (orally or in writing)
that he is being discharged for Cause; (as such term is defined in the Employment Agreement between Optionee and the Company of June 14, 2002); provided, however, that in the event Optionee initiates a proceeding under Section 16 of the Employment
Agreement disputing the discharge for Cause, the right to exercise the Option shall (A) be extended from one year from the date judgment is entered in favor of the Optionee or (B) expire one business day after judgment is entered in favor of the
Company. 
  
 The Optionee may exercise all or part of this Option at any time before its expiration
under the preceding sentence, but only to the extent that this Option had become exercisable before the Optionee’s service terminated. The balance of this Option shall lapse when the Optionee’s service as an Employee terminates. In the
event that the Optionee dies after the Termination Date but before the expiration of this Option, all or part of this Option may be exercised (prior to expiration) pursuant to Section 9(b) hereof by the executors or administrators of the
Optionee’s estate or by any person who has acquired this Option directly from the Optionee by bequest or inheritance, but only to the extent that this Option had become exercisable before the Optionee’s service terminated. 

 
 (b)  Death of Optionee.    If the Optionee dies as an Employee, then this
Option shall expire on the earlier of the following dates: 
  
 (i)  June 14, 2012; or

 
 2 

  
 (ii)  The date twelve (12) months after the
Optionee’s death. 
  
 All or part of this Option may be exercised at any time before its
expiration under the preceding sentence by the executors or administrators of the Optionee’s estate or by any person who has acquired this Option directly from the Optionee by bequest or inheritance, but only to the extent that this Option had
become exercisable before the Optionee’s death. The balance of this Option shall lapse when the Optionee dies. 
  
 10.    Non-Transferability of Option.    Except as specifically permitted by the Board, this Option may not be transferred in any manner otherwise than by will or by the laws of descent
or distribution and may be exercised during the lifetime of Optionee only by him. The terms of this Option shall be binding upon the executors, administrators, heirs, successors and assigns of the Optionee. 
  
 11.    Term of Option.    This Option shall expire ten (10) years from the Date of Grant
and may be exercised during such term only in accordance with the terms of this Option. 
  
 12.    Company Registration.    If at any time, or from time to time, the Company proposes to register any of its securities, for its own account or the account of any of its
stockholders other than Optionee (other than a registration relating solely to employee stock option or purchase plans, or a registration relating solely to an SEC Rule 145 transaction, or a registration on any other form, other than Form S-1, S-2
or S-3, or any successor to such form which does not include substantially the same information as would be required to be included in a registration statement covering the sale of the Shares) the Company will promptly give to Optionee written
notice thereof; and include in such registration (and any related qualification under blue sky laws or other compliance with applicable laws), and in any underwriting involved therein, all the Shares specified in a written request. Notwithstanding
any other provision of this section, if the managing underwriter of any such registration determines that marketing factors require a limitation of the number of shares to be underwritten, the underwriter may limit the number or exclude all of
Optionee’s shares to be included in the registration and underwriting. The number of securities includable by Optionee may, in the discretion of the underwriters, be rounded to the nearest one hundred shares. No securities excluded from the
underwriting by reason of the underwriter’s marketing limitation shall be included in such registration. If some but not all of Optionee’s shares are to be excluded from a registration, Optionee’s shares to be included in the
registration shall be allocated on a pro rata basis based on the total number of shares of all securities being included in such registration; provided that in the event that the Company grants registration rights to purchasers of the Company’s
stock, Optionee agrees that his shares will be excluded from any underwriting prior to the exclusion of any other shares. 
  
 13.    Shares and Adjustments. 
  
 (a)  General.    In the event that the outstanding Shares of the Company are hereafter increased or decreased, or changed into or exchanged for a different number or kind of shares or other
securities of the Company or of another corporation, by reason of a reorganization, merger, consolidation, recapitalization, reclassification, stock split, combination of shares or declaration of stock dividends, the total number and/or kind of
Shares granted under this Agreement shall be adjusted proportionately by the Board of Directors. Any such adjustment shall be made without a change in the total Exercise Price applicable to the unexercised portion of this Option and with a
corresponding adjustment in the Exercise Price per share. Any adjustment under this Section 13 shall be subject to the provisions of the Company’s Certificate of Incorporation, as amended, and applicable law. 
  
 (b)  Reorganizations.    In the event that the Company is a party to a merger or
other reorganization, this Option shall be subject to the agreement of merger or reorganization. Such 

 
 3 

 agreement shall provide for (i) the continuation of this Option Agreement by the Company, if the Company is the surviving
corporation; (ii) the assumption of this Option Agreement by the surviving corporation or its parent or subsidiary; (iii) the substitution by the surviving corporation or its parent or subsidiary of its own option agreement for the outstanding
Options hereunder; or (iv) settlement of the full value of the outstanding Options hereunder in cash or cash equivalents followed by cancellation of such Options 
  
 (c)  Reservation of Rights.    Except as provided in this Section 13, the Optionee shall have no rights by reason of
any subdivision or consolidation of shares of stock of any class, the payment of any dividend or any other increase or decrease in the number of shares of stock of any class. Any issue by the Company of shares of stock of any class, or securities
convertible into shares of stock of any class, shall not affect, and no adjustment by reason thereof shall be made with respect to, the number or Exercise Price of the Shares subject to this option. The grant of this Option shall not affect in any
way the right or power of the Company to make adjustments, reclassifications, reorganizations or changes of its capital or business structure, to merge or consolidate or to dissolve, liquidate, sell or transfer all or any part of its business or
assets. 
  
 14.    Tax Consequences.    The Optionee understands that
he may incur federal and California tax consequences relating to the exercise of the Option and subsequent disposition of the Shares. THE OPTIONEE AGREES THAT IT IS HIS SOLE RESPONSIBILITY TO CONSULT A TAX ADVISER BEFORE EXERCISING THIS OPTION OR
DISPOSING OF THE SHARES PURCHASED HEREUNDER. 
  
 15.    Miscellaneous Provisions.

  
 (a)  Withholding Taxes.    In the event that the Company
determines that it is required to withhold foreign, federal, state or local tax as a result of the exercise of this option, the Optionee, as a condition to the exercise of this option, shall make arrangements satisfactory to the Company to enable it
to satisfy all withholding requirements. The Optionee shall also make arrangements satisfactory to the Company to enable it to satisfy any withholding requirements that may arise in connection with the disposition of Shares purchased by exercising
this option. 
  
 (b)  Rights as a Stockholder.    Neither the
Optionee nor the Optionee’s representative shall have any rights as a stockholder with respect to any Shares subject to this Option until such Shares have been issued in the name of the Optionee or the Optionee’s representative.

  
 (c)  No Employment Rights.    Nothing in this Agreement
shall be construed as giving the Optionee the right to be retained as an Employee. The Company reserves the right to terminate the Optionee’s service at any time, with or without cause. 
  
 (d)  Notice.    Any notice required by the terms of this Agreement shall be given in writing and shall be deemed
effective upon personal delivery or upon deposit with the United States Postal Service, by registered or certified mail with postage and fees prepaid and addressed to the party entitled to such notice at the address shown below such party’s
signature on this Agreement, or at such other address as such party may designate by ten (10) days’ advance written notice to the other party to this Agreement. 
  
 (e)  Entire Agreement.    This Agreement constitutes the entire contract between the parties hereto with regard to the
subject matter hereof. 
  
 (f)  Choice of Law;
Arbitration.    This Agreement shall be governed by, and construed in accordance with, the laws of the State of California, as such laws are applied to contracts entered into and performed in such State. Any dispute or
controversy arising under or in connection with this Agreement shall be settled exclusively in arbitration conducted in Santa Clara County, California, in accordance with the rules of the American Arbitration Association 

 
 4 

 then in effect. Judgment may be entered on the arbitrator’s award in any court having jurisdiction. Punitive damages shall not be awarded.
In any arbitration proceeding, the party determined to be the prevailing party shall be entitled to receive, in addition to any other award, its attorneys’ fees and expenses of the proceeding. 
  
 SECTION 16.    DEFINITIONS. 
  
 (a)  “Agreement” shall mean this Restricted Stock Option Agreement. 
  
 (b)  “Board of Directors” shall mean the Board of Directors of the Company, as constituted from time to time. 

 
 (c)  “Code” shall mean the Internal Revenue Code of 1986, as amended. 

 
 (d)  “Date of Grant” shall mean June 14, 2002. 
  
 (e)  “Employee” shall mean (for purposes of this Option grant only) (i) any individual who is a
common-law employee of the Company or of a Subsidiary, (ii) a member of the Board of Directors and (iii) an independent contractor who performs services for the Company or a Subsidiary. 
  
 (f)  “Exercise Price” shall mean the amount for which one Share may be purchased upon exercise of this option, as specified in
Section 2. 
  
 (g)  “Parent” means a “parent corporation”,
whether now or hereafter existing, as defined in Section 424(e) of the Code. 
  
 (h)  “Purchase Price” shall mean the Exercise Price multiplied by the number of Shares with respect to which this Option is being exercised. 
  
 (i)  “Securities Act” shall mean the Securities Act of 1933, as amended. 
  

(j)  “Share” shall mean one share of Stock, as adjusted in accordance with Section 13 (if applicable). 

 
 (k)  “Stock” shall mean the Common Stock of the Company. 
  
 (l)  “Subsidiary” shall mean any corporation, if the Company and/or one or more other
Subsidiaries own not less than 50% of the total combined voting power of all classes of outstanding stock of such corporation. 

 
 5 

  
 (m)  “Total and Permanent Disability”
shall mean that the Optionee is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment which can be expected to result in death or which has lasted, or can be expected to last, for
a continuous period of not less than six (6) months. 
  
 IN WITNESS WHEREOF, the Company has caused this
Agreement to be executed on its behalf by its officer duly authorized to act on behalf of the Company, and the Optionee has personally executed this Agreement. 
  
 
	 OPTIONEE
 	 	  	 	 PUMATECH, INC.
 
	 
	  	 	 /s/    WOODSON M. HOBBS      
 
	 	  	 	 By
 	 	 /s/    MICHAEL M. CLAIR
 

	  	 	 Woodson M. Hobbs
 	 	  	 	 Title
 	 	 CHAIRMAN
 

	 
	  	 	 Optionee’s Address:
 530 Oak Grove Ave. #102
 Menlo Park, CA 94025
 	 	  	 	 Company’s Address:
 2550 North First Street, Suite 500

San Jose, CA 95131
  
 

 
  
  
  
  

 
 6 

 ATTACHMENT I 
  
 VESTING SCHEDULE 
  
 Provided that Optionee remains an Employee of the Company,
Shares subject to the Option shall vest according to the following schedule: 
  
 (1)  Continued
Employment:    A total of 700,000 Shares shall vest as follows: 175,000 shares shall vest on June 14, 2003. Thereafter, 14,583 Shares shall vest monthly on the 14th day of each month (beginning on July 14, 2003) until all
such Shares are fully vested. 
  
 (2)  Operating Performance:    A total of
400,000 Shares shall vest in full on June 14, 2009; provided, however, that vesting with respect to certain Shares may be accelerated as of the date of the first Board meeting following the close of the fiscal year in any year that the performance
of the Company meets or exceeds Operating Plan criteria (as determined by the Board) for three of the four preceding fiscal quarters AND for the fiscal year in the aggregate, pursuant to the acceleration terms set out below. Operating Plan criteria
shall be stated in terms of Revenue and Net Income, and shall be set out in writing by the Board (subject to discussion with management) at the beginning of each fiscal year. 
  
 
	 FYE July 31
 
	    	 # Shares accelerated for meeting Revenue criteria
 
	    	 # Shares accelerated for meeting Net Income criteria
 

	 2003
 	    	 25,000
 	    	 25,000
 
	 2004
 	    	 50,000
 	    	 25,000
 
	 2005
 	    	 100,000
 	    	 25,000
 
	 2006
 	    	 125,000
 	    	 25,000
 
	  	    	 
	    	 

	 TOTAL
 	    	 300,000
 	    	 100,000
 
	  	    	 
	    	 

 
  
 (3)  Stock Performance:    A
total of 400,000 Shares shall vest in full on June 14, 2009; provided, however, that vesting with respect to certain Shares may be accelerated on the stock performance milestone dates set out below.* 
  
 
	 Performance Milestone/Date
 
	  	 Shares
 

	 The first date on which the average 3-month stock price equals or exceeds $2.70/Share
 	  	 50,000
 
	 The first date on or which the average 3-month stock price equals or exceeds $4.70/Share
 	  	 75,000
 
	 The first date on which the average 3-month stock price equals or exceeds $9.70/Share
 	  	 125,000
 
	 The first date on which the average 3-month stock price equals or exceeds $13.70/Share
 	  	 150,000
 

 
 

	*
	 
	note: all prices to be adjusted for stock splits/reverse splits; “stock price” shall be determined as of the closing bid price on the NASDAQ for each
trading day 
 

 
 7

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