Document:

EX-10.1

 EXHIBIT 10.1 
  

			
	

	 	

 October 22, 2018 
 Matteo
Anversa 
 23599 Stanford Road 
 Shaker Heights, OH 44122 

Dear Matteo: 
 On behalf of Gentherm
Incorporated (“Gentherm” or the “Company”), I am very excited to present to you an offer of employment for the position of Executive Vice-President and Chief Financial Officer. In this position you would be part of
Gentherm’s Executive Committee and report directly to Phil Eyler. Your compensation package would be as set forth in the attached term sheet, the terms of which are incorporated into this letter, collectively comprising the Offer Letter
Agreement between you and the Company. 
 I believe that you would find this role to be exciting, challenging and rewarding. The entire
leadership team is thrilled at the prospect of you joining our Company. 
 As with all positions at Gentherm, the following conditions
apply: (1) you would be permitted to begin employment with the Company only after you provide required documentation verifying your identity and employment eligibility in the United States, (2) your employment is contingent upon
successfully passing a pre-employment drug test and background check, (3) your employment would be “at-will” and terminable at any time for any reason,
and (4) your employment is contingent upon your signing, on or prior to your first day of employment, the attached Confidential Information and Inventions Assignment Agreement. Other than as set forth above, there are no other conditions to
this offer. This offer supersedes and preempts any prior understandings, agreements or representations by or between you and Gentherm, written or oral, regarding the subject matter hereof. 

Please contact me should you have any questions; otherwise, your signature below will confirm your acceptance the terms of this offer. Please
return a signed copy to me via email (Barbara.runyon@gentherm.com). 
 I am looking forward with great anticipation to working with you!

  

					
	Sincerely,	 		 	
			
	/s/ Barbara Runyon	 		 	/s/ Phillip M. Eyler
	Barbara Runyon	 		 	Phillip M. Eyler
	Senior Vice President and CHRO	 		 	President and CEO

 cc: Phillip Eyler 
 AGREED TO
AND ACCEPTED BY: 
  

					
			
	/s/ Matteo Anversa	 		 	10/22/2018
	Matteo Anversa	 		 	Date

  

 Compensation Term Sheet 

Matteo Anversa 
 Attachment to Offer
Letter Dated October 22, 2018 
  

			
	POSITION
		
	Position	  	Executive Vice President and Chief Financial Officer
		
	 Primary Work Location
	  	 Gentherm Headquarters, Northville MI

	
	DIRECT COMPENSATION
		
	Salary	  	Annual salary of $500,000 per year (paid semi-monthly)
		
	Bonus Program	  	The position has a 60% target bonus under the Gentherm Performance Bonus Plan (prorated in the first year of your employment to reflect a partial year, if applicable) (the “Bonus”). Under such bonus plan, your Bonus will
be based on a combination of (i) achievement of individual goals agreed to by you and the CEO no later than March of each year of your employment; and (ii) the Company’s achievement of its financial goals, in all cases subject to
approval by the Compensation Committee of the Gentherm Board of Directors, which approval shall not be unreasonably withheld. Any Bonus for a year will be payable no later than March 15 of the following year.
		
	Make Whole Cash Bonus	  	You will be entitled to receive a signing and make whole bonus totaling $550,000 in cash. This amount will be paid with your first paycheck. This bonus must be repaid promptly following any (i) voluntary termination by you of
your employment prior to the first anniversary of your start date or (ii) termination by Gentherm of your employment for Cause (as defined herein) prior to the first anniversary of your start date. Notwithstanding the foregoing, your
resignation for Good Reason (as defined herein) shall not trigger any repayment obligation.
		
	Make Whole Equity Grant	  	On the first date of your employment, equity having a grant date value of $400,000 would be awarded (the “Make Whole Equity Grant”). This amount, divided by Gentherm’s
10-trading day average stock price ending on such date, will determine the number of restricted stock units (RSUs) that you would receive. [60% of these RSUs would vest based on the company’s
achievement of financial measures over the following three years and 40% would vest equally over the following three years, without performance conditions.] The performance-based RSUs may vest anywhere from
0-200% of target, which at 200% is equivalent to a total grant date value of the entire award of $640,000.
		
	Equity Compensation	  	In addition to the Make Whole Equity Grant described above, subject to approval by the Compensation Committee of the Board of Directors in its discretion, you will be entitled to receive equity compensation commensurate with your
position, and commensurate with that awarded to other executive officers of the company (with variations based on relative positions as determined by the Compensation Committee) at periodic intervals. Typically, additional equity grants are
awarded by the

  

  
 Term Sheet Page 1 of
5 

			
		  	Compensation Committee each year. Equity grants to executive officers were made in June 2018 and it is expected, although not guaranteed, that new equity grants to executive officers will be made at approximately the same time
in 2019. The recurring equity grant for this position in 2018 was an award with a grant date value of $500,000. For the avoidance of doubt, in any year in which all or substantially all of the other executive officers of the Company receive equity
compensation grants, you will also receive an equity compensation grant
		
	Separation/Change in Control	  	The terms set forth further below under “Separation/Change in Control” describe your rights and benefits in the event of certain separation or change in control events.
		
	Company Vehicle	  	You will be entitled to full time use of a Company-owned vehicle. The personal use of such vehicle will be a taxable benefit to you.
		
	Technology	  	The Company will provide you with a mobile phone, laptop computer, iPad and appropriate other technology accessories.
		
	Relocation	  	Relocation benefits will be provided to assist with your move to Northville. The relocation policy and repayment agreement have been provided to you.
		
	Start Date	  	As soon as possible after December 1, 2018.
	
	EMPLOYEE BENEFITS
		
	Term Life Insurance/ADD – Company paid	  	150% of annual salary provided by Gentherm in accordance with the group benefit plan offered to other similarly-situated Gentherm employees.
		
	Short Term/Long Term Disability – Company paid	  	Provided by Gentherm in accordance with the group benefit plan offered to other similarly-situated Gentherm employees
		
	Vacation	  	Four weeks per year
		
	Sick Leave	  	One week per year
		
	Paid Holidays	  	In accordance with Gentherm’s Northville location holiday schedule (15 total holidays in 2018)
		
	Medical / Dental / Vision / Flexible Spending Account	  	All in accordance with the group benefit plan offered to similarly situated Gentherm employees. Details will be provided to you on your first day of employment, unless you require information sooner.
		
	401(k) Retirement Savings Plan	  	Automatic enrollment at 6% unless opted out. Voluntary participation for amounts above 6%. Current Company discretionary match at dollar for dollar for first 4%.

  

  
 Term Sheet Page 2 of
5 

 All amounts and benefits payable by the Company to you in conjunction with your employment by the Company
shall be subject to any applicable federal, state, local or other tax withholding requirements. 
 SEPARATION / CHANGE IN CONTROL 

(a)    If your employment is terminated by the Company or successor (or if the Company revokes this Offer Letter
Agreement after you sign and return it) without “Cause” (as defined below) or by you for “Good Reason” (as defined below), subject to the notice and release requirements described below, the Company will pay (i) your base
salary for a period of 12 months, paid in a lump sum no later than 30 days after your termination date; (ii) one full year’s Bonus at target level, paid in a lump no later than 30 days after your termination date; and
(iii) a pro rated Bonus (i.e., the product of (A) the number of weeks you were employed by the Company in the year in which your employment terminates and (B) your target Bonus amount divided by 52); in addition, you will be entitled
to (x) immediate vesting of (I) all unvested equity awards that were scheduled to vest during the first 12 months following your termination and (II) all unvested portions of the Make Whole Equity Grant, regardless of when such
unvested portions of the Make Whole Equity Grant were scheduled to vest; (y) outplacement services for one year up to a maximum cost of $50,000; and (z) an amount equal to 12 months of premiums for COBRA continuation coverage of your
health insurance should you elect such coverage, including the portion that was paid by the Company (the employer portion) and the portion paid by you (the employee portion) during your employment. 

(b)    “Cause” means only your: (i) material or persistent breach of any agreement between you and
the Company; (ii) engaging in any act that constitutes serious misconduct, theft, fraud, material misrepresentation, serious dereliction of fiduciary obligations or duty of loyalty to the Company; (iii) conviction of a felony, or a plea of
guilty or nolo contendere to a felony charge or commission of any criminal act involving moral turpitude which in the reasonable opinion of the Board brings you, the Board, or the Company into disrepute; (iv) willful misconduct in the
performance of your material duties under this letter agreement; (v) willful, unauthorized disclosure of material confidential information belonging to the Company, or entrusted to the Company by a client, customer, or other third party;
(vi) repeatedly being under the influence of drugs or alcohol (other than prescription medicine or other medically related drugs to the extent that they are taken in accordance with their directions) during the performance of your duties under
this letter agreement, or, while under the influence of such drugs or alcohol, engaging in grossly inappropriate conduct during the performance of your duties under this letter agreement; (vii) repeated failure to comply with the lawful
directions of the Board that are not inconsistent with the terms of this letter agreement; (viii) any material failure to comply with the Company’s material written policies or rules that are not inconsistent with this letter agreement;
(ix) material omission, misrepresentation, or falsification of any material information during your interview, background check, or employment negotiations that the Company relied upon in hiring you which first becomes known to the Company
after the date of this letter agreement; or (x) your personal engagement in conduct that a judicial or arbitral tribunal finds violated applicable state or federal laws governing the workplace that could reasonably be expected to bring the
Company into disrepute. In order for the Company to terminate your employment for Cause under any of clauses (i), (iv), (vi), (vii) or (viii) in the preceding sentence, the Company must provide you with written notice of its intention to
terminate employment for Cause and describing the acts or omissions upon which such termination for Cause is based, and you will be provided a 30-day period from the date of such notice within which to cure or
correct such acts or omissions if they are reasonably susceptible of cure or correction. 
  

  
 Term Sheet Page 3 of
5 

 (c)    “Good Reason” means the occurrence of any of the
following without your consent: 
  

	 	(i)	 a material breach of your Offer Letter Agreement by the Company; 

 

	 	(ii)	 a material diminution in your then-current compensation or benefits, authority, duties, or
responsibilities, including following a Change in Control, or a change of your primary work location to a location that is more than 50 miles away from Northville, MI; 

 

	 	(iii)	 a requirement that you report to an individual other than the Chief Executive Officer; or

  

	 	(iv)	 any successor’s failure, including following a Change in Control, to explicitly assume the
Company’s duties and obligations under the terms of this letter agreement. 

 Notwithstanding the above, no
“Good Reason” exists unless (I) you notify the Company in writing within 30 days after the existence of any condition listed above, and the Company fails to cure the condition within 30 days after receiving notice, and
(II) you terminate employment by no later than 30 days after the providing the notice. Your waiver of any event constituting Good Reason shall not constitute a waiver of any subsequent event. 

(d)    A “Change in Control” means the earliest to occur of any of the following events, each of which
must also constitute a “change in control event” (within the meaning of Treas. Reg. section 1.409A-3(i)(5)): 
  

	 	(i)	 Any one Person or more than one Person Acting as a Group (each as defined below) acquires, or has
acquired during the 12-month period ending on the date of the most recent acquisition by such Person or Group, beneficial ownership of more than a majority of the total fair market value or total voting power
of the then-outstanding securities of the Company; 

  

	 	(ii)	 Any one Person or more than one Person Acting as a Group (each as defined below) acquires, or has
acquired during the 12-month period ending on the date of the most recent acquisition by such Person or Group, the assets of the Company that have a total gross fair market value (as determined by the Gentherm
Board of Directors) of more than 50% of the total gross fair market value of all of the assets of, as applicable, the Company immediately prior to the initiation of the acquisition; or 

 

	 	(iii)	 A majority of the members of the board of directors of the Company is replaced during any 12-month period by directors whose appointment or election is not endorsed or approved by a majority of the members of the board who were members of the board prior to the initiation of the replacement.

  

  
 Term Sheet Page 4 of
5 

 For purposes of this provision, a “Person” means any individual, entity or group
within the meaning of section 13(d)(3) or 14(d)(2) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), other than (A) the Company, (B) any trustee or other fiduciary holding securities under an employee
benefit plan of the Company, or (C) any corporation owned, directly or indirectly, by the shareholders of the Company in substantially the same proportions as their ownership of stock of the Company. Persons will be considered to be
“Acting as a Group” (or a “Group”) if they are a “group” as defined under Section 13 of the Exchange Act. If a Person owns equity interests in both entities that enter into a merger, consolidation, purchase or
acquisition of stock, or similar transaction, such shareholder is considered to be Acting as a Group with other shareholders only with respect to the ownership in that entity before the transaction giving rise to the change and not with respect to
the ownership interest in the other entity. Persons will not be considered to be Acting as a Group solely because they purchase assets of the same entity at the same time or purchase or own stock of the same entity at the same time, or as a result
of the same public offering. 
 (e)    Your right to receive severance pay under this provision is conditioned
upon (i) your signing and delivering to the Company, and there becoming irrevocable, within 45 days after your employment termination date, a general release of claims, in form and substance reasonably acceptable to the Company, by which you
release the Company from any claim arising from your employment by, or termination of employment with, the Company, in consideration for the payment; and (ii) your continued compliance with the terms of your Confidential Information and
Inventions Assignment Agreement. The release shall preserve your entitlement to your compensation and benefits under this Offer Letter Agreement, your vested savings and retirement benefits, as well as indemnification and defense in accordance with
the Company’s bylaws, personnel policies, insurance policies, and applicable law. The Company will make no payment unless the general release becomes effective on or before the 45th day following your employment termination date. Provided
that you satisfy the foregoing release requirement, any severance payment under this provision that otherwise would be due before then will be paid to you in a lump sum on the first regular Company payroll date following the 45th day after your
employment termination date. 
 (f)    On termination of your employment (for whatever reason) you will be
entitled to receive the pro rata portion of your base salary through the date of your termination, together with such compensation or benefits to which you may be entitled by law or under the terms of the Company’s compensation and benefit
plans in effect including, without limitation, amounts owed to you for unpaid vacation leave accrued during the course of your employment with the Company pursuant to Company policy as from time to time in effect. 

(g)    Upon the Company’s adoption of a severance/change in control benefit plan applicable to executive
officers of the Company (a “New Plan”), the terms of this Offer Letter Agreement set forth beneath the heading “Separation / Change in Control” (page 4 hereof) shall no longer control and shall be superseded by the
New Plan, provided that the terms of the New Plan are no less favorable to you than the terms hereof, and provided that the New Plan entitles you to receive the same benefits upon separation or change in control as other executive officers of the
Company. 
  

  
 Term Sheet Page 5 of
5 

 ATTACHMENT 

Form of CONFIDENTIAL INFORMATION AND 

INVENTION ASSIGNMENT AGREEMENT 

Agreement made ________/________/________ 
 RECITALS 

As an employee of Gentherm Incorporated, (hereinafter referred to as the “Company”), I have gained or will gain knowledge of the
Company’s trade secrets or other confidential information or proprietary information, as defined below. The Company would suffer irreparable harm if I were to use such confidential information outside of the Company, and/or on behalf of any
competitor of the Company; and the Company is entitled to be protected from any such unauthorized retention or use. Furthermore, because I have extensive knowledge about the Company’s business and I possess special knowledge concerning that
business, the Company is also entitled to be protected from the possibility that I may seek to become associated with a business that competes with the Company’s business. 

DEFINITIONS 
 For the purposes of this
Agreement, the term “trade secret” includes, but is not limited to, technical data, non-technical data, a program, a device, a method, a technique, a drawing, a process, financial data,
financial plans, or a list of actual or potential customers or suppliers lists, graphs, sheets, diskettes for computer storage, and correspondence which (a) derives economic value, actual or potential, from not being generally known outside the
Company and not being readily ascertainable; and (b) is subject to efforts to maintain its secrecy. For purposes of this Agreement the term “other confidential information” includes any information which is not a trade secret,
but which is not generally known to the public, and is received from, or concerns the affairs of, the Company or is received from a third party under obligation of confidentiality. 

The following is a list of trade secrets or other confidential information intended to be covered by this Agreement. 

This list is not inclusive, but intended as an illustration of the types of information protected by this Agreement: 

A.  Marketing Information: Information about the Company’s operations, including, but not limited to, identity, number
and location of customers, sales, sales volume(s), and marketing and advertising research. 
 B.  Management Information:
Any and all information relating to employee compensation programs, procedural systems, hiring practices, technical information, sales techniques quality control, financial information, marketing plans and strategy, operational plans, strategies
and goals, contracts, marketing, evaluation procedures and case studies. 
 C.  Proprietary Information: Any inventions,
source codes, algorithms, schematics, models, discoveries, developments, improvements, methods, processes, know-how, compositions, works, concepts, trade secrets, designs and ideas (whether or not capable of
patent, trademark or copyright protection), trademarks, logos, trade names, proprietary materials, copyrights, copyrightable works, non-copyrightable works, patents, domain names, database rights,
methodologies, websites, web-pages, search engines, designs, applications, data, programs, phone numbers, fax numbers, cell numbers, email addresses and accounts, and any other proprietary information. 

D.  Other Information: Any other information of any kind which gives the Company an opportunity to obtain advantage over
competitors. 
 For the purposes of this Agreement, the “Company” shall mean Gentherm Incorporated and any corporation, division,
partnership, limited liability company or other person and/or business organization working in connection with Gentherm Incorporated, as well as their respective officers, directors, members, employees, and agents. 

AGREEMENT 
 In consideration for my
employment and/or continued employment with the Company, the disclosure to me of the Company’s trade secrets and/or other confidential information, and other valuable consideration, I agree to the following: 

	A.	 Trade Secrets & Other Confidential Information. 

 

	 	1.	 I will not at any time, either during or after my employment with the Company, use or disclose to others any
trade secrets or other confidential information about the Company’s business or any of its proprietary rights to which I had access or was provided during my employment and any such information reasonably considered confidential and not within
my general knowledge or within the scope of my acquired skills from sources other than my employment. I agree to execute any further agreements concerning any trade secrets of the Company as may be required by the Company. 

 

	 	2.	 Upon termination of my employment, I will deliver to the Company all documents or papers (including any medium
for electronic storage of information) relating to the Company’s business or such trade secrets or other confidential information that are in my possession or under my control without making copies or summaries of any such material.

  

	 	3.	 To the fullest extent permitted by law, any inventions, source codes, algorithms, schematics, models,
discoveries, developments, improvements, methods, processes, know-how, compositions, works, concepts, trade secrets, designs and ideas (whether or not capable of patent, trademark copyright protection),
trademarks, logos, trade names, proprietary materials, copyrights, copyrightable works, non-copyrightable works, patents, domain names, database rights, methodologies, websites,
web-pages, search engines, designs, applications, data, programs, phone numbers, fax numbers, cell numbers, email address and accounts, and any other proprietary information (collectively “Proprietary
Information”) (a) suggested by or resulting from any work I do as an employee (alone or with others) of the Company; (b) resulting from my use of the Company’s time, materials or facilities; or (c) relating to existing or planned
activities of the Company (including all affiliates of the Company) are WORKS-FOR-HIRE and shall be promptly disclosed to the Company and shall be its exclusive
property. I assign to the Company any rights I may have or acquire in such Proprietary Information and agree to sign and deliver at any time any instruments confirming the exclusive ownership by the Company. In the event that any Proprietary
Information is determined not to be WORKS-FOR-HIRE by a court of competent jurisdiction, this Agreement shall operate as an irrevocable assignment by me to the Company
of my entire interest in any such Proprietary Information, including, without limitation, any and all rights that I may have or acquire in the Proprietary Information. 

 

	 	4.	 All inventions, proprietary information, or discoveries that belong to me before being employed by the Company,
and which I want to exempt from this agreement, are listed on an attached schedule. 

  

	 	5.	 I agree that during my employment by the Company I will not engage in any other employment or business, unless
specifically authorized by the VP of Human Resources and/ or the General Counsel. 

  

	 	6.	 I agree that my obligations under this Section will continue indefinitely until such time as the information
ceases to be a trade secret or of any other advantage to the Company. 

  

	B.	 Non-Solicitation and
Non-Compete. 

 While associated with the Company, and for a period of twelve
months after my employment with the 
 Company ends for any reason, I shall not, either directly or indirectly: 

(a) induce or solicit, directly or indirectly, any employee of the Company to terminate his or her employment with the Company, 

(b) engage in or otherwise provide services to any business which is the same or is substantially similar to the business of the Company, or

 (c) take any action that will cause the termination of a business relationship between the Company and any business entity who is or was
a customer or supplier, or a prospective customer or supplier of the Company within twelve months prior to my employment ending, and with whom I had material dealings or about whom I was provided confidential information. 

 

	C.	 At Will Employment, Governing Law, Etc. 

I agree that this agreement (a) shall not be construed as an agreement by the Company to employ me for any specific period;
(b) cannot be modified except in writing, signed by me and the President of the Company entitled “Employment Contract”; (c) shall inure to the benefit of the Company and its successors and assigns; (d) shall be binding upon my
heirs, legal representatives, and assigns; and (e) shall be governed by Michigan Law. I further acknowledge and agree that I am an Employee At Will.  

	D.	 Injunctive Relief. 

I acknowledge that: (a) the breach of any provision of this Agreement will result in immediate and irreparable damage to the Company;
(b) no adequate remedy at law exists with regard to any such breach; (c) public policy will be furthered by the enforcement of this Agreement by an injunction; (d) injunctive relief will not deprive me of an ability to earn a living
because I am qualified for many positions which do not involve the breach of any provision of this Agreement; and (e) the Company will be entitled to enforce this Agreement by injunction or other equitable remedies in the event of such breach,
in addition to any other remedies available to the Company (including, without limitation, monetary damages). Accordingly, in the event of a breach (or threatened or attempted breach) of this Agreement, the Company shall, in addition to any
other rights and remedies, be entitled to immediate appropriate injunctive relief, or a decree of specific performance of this Agreement, without the necessity of showing any irreparable injury or special damages. If it is judicially determined that
I have violated any of my obligations under this Agreement, I shall pay the Company’s actual legal fees and costs associated with any such judicial action, including, but not limited to, the Company’s actual attorneys’ fees. 

 

	E.	 Severability. 

If this Agreement shall be held by a court to be invalid or unenforceable because it is too broad in any respect, the agreement shall be
narrowed by the court to the extent required to be enforceable. 
  

	F.	 Entire Agreement. 

This Agreement constitutes the entire agreement and understanding between me and the Company concerning the matters contained herein and
supersedes any prior understanding, agreement or negotiations regarding such matters. 
  

	G.	 Assignment. 

This Agreement shall be assigned by Company in connection with any sale of the Company’s business. I acknowledge that my obligations under
this Agreement are personal to me and that I cannot assign my obligations in this Agreement to any other person or entity. 
  

	H.	 No Legal Restrictions. 

I confirm that there is no legal restriction on my ability to perform the duties and obligations set forth in this Agreement, nor do I have any
existing obligation to others which might be inconsistent with any provision contain herein. 
 Dated: ________/________/________ 

I have read and fully understand the terms of this Agreement. 
  

	
	
	   

	Employee
	
	Accepted and Agreed:
	
	   

	On behalf of Gentherm

 Optional Attachment: Excluded Prior Inventions (if any)EX-10.2

 EXHIBIT 10.2 

GENTHERM INCORPORATED 

2013 EQUITY INCENTIVE PLAN 

RESTRICTED STOCK UNIT AWARD AGREEMENT 

PERFORMANCE-BASED GRANT 

Gentherm Incorporated, a Michigan corporation (the “Corporation”), as permitted by the Gentherm Incorporated 2013
Equity Incentive Plan (the “Plan”), hereby grants to the individual listed below (the “Participant”), a restricted stock unit (“RSU”) award as described herein, subject to the
terms and conditions of the Plan and this Restricted Stock Unit Award Agreement (“Agreement”). 
 Unless otherwise
defined in this Agreement, the terms used in this Agreement have the same meaning as defined in the Plan. 

1.    NOTICE OF RESTRICTED STOCK UNIT
AWARD.
  

			
		
	Participant:	 	 
		
	Grant Date:	 	 
		
	Number of Target  RSUs in Award:	 	 

 2.    GRANT OF RSU
AWARD. The Corporation hereby grants to the Participant, as of the Grant Date, the number of target RSUs described in the table above. 

3.    DETERMINATION DATE; VESTING. 

(a)    Determination Date. Whether and the extent to which RSUs are earned shall be determined by the
Committee within 45 days following the finalization of the calculation of the performance measures as finalized as appropriate by the Chief Financial Officer (or person having similar duties) using financial results audited by an independent
registered public accounting firm (the “Determination Date”), where applicable, provided, however, in no event shall the Determination Date be earlier than the third anniversary of the Grant Date. 

(b)    Vesting. If the Participant remains continuously employed on a full-time basis with the Corporation
or its Subsidiaries from the Grant Date until the end of the applicable Determination Date (the “Normal Vesting Date”), the earned RSUs shall become vested on the Normal Vesting Date. 

4.    QUALIFYING TERMINATION PRIOR TO
NORMAL VESTING DATE. If at any time prior to the Normal Vesting Date, the Participant’s employment is terminated by the Corporation or a Subsidiary or by the
Participant, other than (a) on account of the Participant’s death, (b) on account of the Participant’s “Disability” (as defined below), (c) on account of the Participant’s termination by the Corporation or
applicable Subsidiary without “Cause” (as defined in the Offer Letter between the Corporation and the Participant dated as of October 22, 2018 (the “Offer Letter”)), whether or not in connection with a “Change in
Control” (as defined in the Offer Letter), or (d) on account of the Participant’s resignation for “Good Reason” (as defined in the Offer Letter), any unvested RSUs shall be forfeited. If the Participant’s employment is
terminated on account of any of (a) through (d) above, prior to the Normal Vesting Date, the target performance RSUs shall become vested as of the date of the Participant’s employment termination. The vesting of RSUs under this
Section 4 is conditioned upon the Participant (or, in the case of Participant’s death, an executor or administrator of Participant’s estate) signing and delivering to the Corporation, and there becoming irrevocable, within 30 days
after the date of such employment termination, 
  

 
a general release of claims (in form and substance reasonably acceptable to the Corporation) by which the Participant releases the Corporation and its affiliated entities and individuals from any
claim arising from the Participant’s employment by, and termination of employment with, the Corporation or its Subsidiaries, in consideration for the receipt and vesting of the RSUs. Any RSUs that would have otherwise vested under this
Section 4 shall be forfeited if the general release does not become effective and irrevocable on or before the 30th day following such termination of the Participant’s employment. 

5.    DISABILITY. “Disability” means the
Participant’s inability to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment that can be expected either to result in death or to last for an uninterrupted period of not less than
twelve (12) months. 
 6.    FORFEITURE. Upon termination of the
Participant’s employment with the Corporation and its Subsidiaries for any reason prior to the Normal Vesting Date, any RSUs that do not become vested upon or after such employment termination in accordance with the terms of this Agreement
shall be immediately canceled and forfeited for no consideration at the time of termination of the Participant’s employment. Any RSUs that are outstanding but do not become vested on the Normal Vesting Date in accordance with the terms of this
Agreement shall be cancelled and forfeited for no consideration as of the Normal Vesting Date. 

7.    SETTLEMENT OF RSUS. Subject
to the withholding tax provisions of Section 11 below, within forty five (45) days after the date upon which an RSU becomes vested in accordance with the terms of this Agreement, the Corporation shall issue or transfer to the Participant
one share of common stock, no par value, of the Corporation (“Common Stock”) per each RSU; provided, however, if RSUs vest at the time of a Change in Control in accordance with Section 4 hereof, the Corporation shall
issue or transfer to the Participant such shares of Common Stock immediately prior to consummation of the Change in Control. In all cases in which RSUs vest in accordance with Section 4, the delivery of Common Stock by the Corporation is
conditioned upon the receipt by the Corporation of the general release of claims described in Section 4. 

8.    RIGHTS AS SHAREHOLDER. Until and if shares of Common
Stock are issued in settlement of vested RSUs, the Participant shall not have any rights of a shareholder (including voting and dividend rights) in respect of the Common Stock underlying the RSUs. 

9.    ADJUSTMENTS. 

(a)    In the event of any stock dividend, stock split, recapitalization, merger, consolidation or reorganization of
or by the Corporation that occurs after the Grant Date and prior to the date of settlement of the RSUs, appropriate adjustments shall be made to the RSUs so that they represent the right to receive upon settlement any and all substituted or
additional securities or other property (other than cash dividends) to which the Participant would have been entitled if the Participant had owned, at the time of such stock dividend, stock split, recapitalization, merger, consolidation, or
reorganization, the Common Stock that may be issued upon vesting of the RSUs. 
 (b)    Notwithstanding the
attainment of financial results, all RSUs are subject to reduction or elimination by the Committee prior to settlement if financial results are achieved in ways that are considered not in the best interests of the Company’s shareholders or not
authorized by the Board or management. 

10.    NON-TRANSFERABILITY
OF AWARD. Neither the RSUs nor any interest in the RSUs may be transferred, assigned, pledged, hypothecated or borrowed against, except for a transfer under the laws of descent or
distribution as a result of the death of the Participant. The terms of the Plan and this Agreement shall be binding upon the Participant’s executors, administrators, heirs, successors and assigns. Any attempt to transfer, assign, pledge,
hypothecate or borrow against the RSUs in violation of this Section 10 in any manner shall be null and void and without legal force or effect. 

  
 2 

 11.    WITHHOLDING
OBLIGATIONS. The Participant shall be responsible for all taxes required by law to be withheld by the Corporation or a Subsidiary in respect of the grant, vesting or settlement of the RSUs, and the Corporation may make any
arrangements it deems appropriate to ensure payment of any such tax by the Participant. In its Discretion and by way of example and without limitation (i) the Corporation may require the Participant to make a cash payment to the Corporation in
an amount equal to any such withholding tax obligation at the time or at any time after such withholding tax obligation is due and payable, (ii) the Corporation may retain and not issue to the Participant that number of shares of Common Stock
otherwise issuable upon settlement of vested RSUs which have a then value equal to the amount of any such withholding tax, or (iii) the Corporation or any Subsidiary may collect any such withholding tax by reducing any compensation or other
amount otherwise then or thereafter owing by the Corporation or any Subsidiary to the Participant. 

12.    THE PLAN;
AMENDMENT. This Award is subject in all respects to the terms, conditions, limitations and definitions contained in the Plan, which is incorporated herein by reference. In the event of any
discrepancy or inconsistency between this Agreement and the Plan, the terms and conditions of the Plan shall control. The Committee shall have the right, in its sole discretion, to modify or amend this Agreement from time to time in accordance
with and as provided in the Plan. This Agreement may also be modified or amended by a writing signed by both the Corporation and the Participant. The Corporation shall give written notice to the Participant of any such modification or amendment of
this Agreement as soon as practicable after the adoption thereof. 
 13.    RIGHTS
OF PARTICIPANT; REGULATORY REQUIREMENTS. Without limiting the generality of any other provision of this Agreement or the Plan, Sections 21 and 22 of the Plan pertaining to the
Participant’s rights and certain regulatory requirements are hereby explicitly incorporated into this Agreement. 

14.    NOTICES. Notices hereunder shall be mailed or
delivered to the Corporation at its principal place of business and shall be mailed or delivered to the Participant at the address on file with the Corporation or, in either case, at such other address as one party may subsequently furnish to the
other party in writing. 
 15.    GOVERNING
LAW. This Agreement shall be legally binding and shall be executed and construed and its provisions enforced and administered in accordance with the laws of the State of Michigan, without regard
to its choice of law or conflict of law provisions that would cause the application of the laws of any jurisdiction other than the State of Michigan. 

16.    TRANSFER OF PERSONAL
DATA. The Participant authorizes, agrees and unambiguously consents to the transmission by the Corporation (and its Subsidiaries) of any personal data information related to this Award for
legitimate business purposes (including, without limitation, the administration of the Plan). This authorization and consent is freely given by the Participant. 

17.    BINDING AGREEMENT;
ASSIGNMENT. This Agreement shall inure to the benefit of, be binding upon, and be enforceable by the Corporation and its successors and assigns. The Participant shall not assign (except in
accordance with Section 10 hereof) any part of this Agreement without the prior express written consent of the Corporation. 

18.    HEADINGS. The titles and headings of the
various sections of this Agreement have been inserted for convenience of reference only and shall not be deemed to be a part of this Agreement. 

  
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19.    COUNTERPARTS. This Agreement may be executed in one
or more counterparts, each of which shall be deemed to be an original, but all of which shall constitute one and the same instrument. 

20.    SEVERABILITY. The invalidity or unenforceability of any
provision of this Agreement in any jurisdiction shall not affect the validity, legality or enforceability of the remainder of this Agreement in such jurisdiction or the validity, legality or enforceability of any provision of this Agreement in any
other jurisdiction, it being intended that all rights and obligations of the parties hereunder shall be enforceable to the fullest extent permitted by law. 

21.    ACQUIRED RIGHTS. The Participant
acknowledges and agrees that: (a) the Corporation may terminate or amend the Plan at any time; (b) the award of the RSUs made under this Agreement is completely independent of any other award or grant and is made in the Discretion of the
Corporation; (c) no past grants or awards (including, without limitation, the RSUs awarded hereunder) give the Participant any right to any grants or awards in the future whatsoever; and (d) none of the benefits granted under this
Agreement are part of the Participant’s ordinary salary or compensation, and shall not be considered as part of such salary or compensation in the event of or for purposes of determining the amount of or entitlement to severance, redundancy or
resignation or benefits under any employee benefit plan. 
 22.    RESTRICTIVE
COVENANTS; COMPENSATION RECOVERY. By signing this Agreement, the Participant acknowledges and agrees that this Award or any Award previously granted to Participant by the Corporation or a
Subsidiary shall be subject to forfeiture as a result of the Participant’s violation of any agreement with the Corporation regarding non-competition,
non-solicitation, confidentiality, inventions and/or other restrictive covenants (the “Restricted Covenant Agreements”). For avoidance of doubt, compensation recovery rights to
shares of Common Stock (including such shares acquired under previously granted equity awards) shall extend to the proceeds realized by the Participant due to the sale or other transfer of such shares. The Participant’s prior execution of
the Restricted Covenant Agreements was a material inducement for the Corporation’s grant of this Award. 

23.    CODE
SECTION 409A.    It is intended that this Award be exempt from or comply with Section 409A of the Code and this Agreement shall be interpreted and
administered in a manner which effectuates such intent; provided, however, that in no event shall the Corporation or any Subsidiary be liable for any additional tax, interest or penalty imposed upon or other damage suffered by the
Participant on account of this Award being subject to but not in compliance with Section 409A of the Code. 
 SIGNATURE
PAGE FOLLOWS 
  

  
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	 GENTHERM
INCORPORATED

 
			
		
	By:	 	 
		
	Name:	 	 
		
	Title:	 	 
		
	Dated:	 	 

 PARTICIPANT ACKNOWLEDGES AND AGREES THAT NOTHING IN THIS RESTRICTED STOCK UNIT AWARD AGREEMENT, NOR IN THE
CORPORATION’S 2013 EQUITY INCENTIVE PLAN, WHICH IS INCORPORATED INTO THIS AGREEMENT BY REFERENCE, CONFERS ON PARTICIPANT ANY RIGHT WITH RESPECT TO CONTINUATION AS AN EMPLOYEE OF THE CORPORATION OR ANY PARENT OR ANY SUBSIDIARY OR AFFILIATE OF
THE CORPORATION, NOR INTERFERES IN ANY WAY WITH PARTICIPANT’S RIGHT OR THE CORPORATION’S RIGHT TO TERMINATE PARTICIPANT’S EMPLOYMENT WITH THE CORPORATION OR ANY PARENT OR ANY SUBSIDIARY OR AFFILIATE OF THE CORPORATION AT ANY TIME,
WITH OR WITHOUT CAUSE AND WITH OR WITHOUT PRIOR NOTICE. 
 BY ACCEPTING THIS AGREEMENT, PARTICIPANT ACKNOWLEDGES RECEIPT OF A COPY OF THE PLAN AND
REPRESENTS THAT THE PARTICIPANT IS FAMILIAR WITH THE TERMS AND PROVISIONS OF THE PLAN. PARTICIPANT ACCEPTS THE RESTRICTED STOCK UNITS SUBJECT TO ALL OF THE TERMS AND PROVISIONS OF THIS AGREEMENT. PARTICIPANT HAS REVIEWED THE PLAN AND THIS
AGREEMENT IN THEIR ENTIRETY. PARTICIPANT AGREES TO ACCEPT AS BINDING, CONCLUSIVE AND FINAL ALL DECISIONS OR INTERPRETATIONS OF THE COMMITTEE UPON ANY QUESTIONS ARISING UNDER THE PLAN OR THIS AGREEMENT.

 

			
		
	By:	 	 
		
	Name:	 	 
		
	Dated:	 	 

  

  
 5

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