Document:

Exhibit

Exhibit 10.1
SEPARATION AGREEMENT AND RELEASE
RECITALS
This Separation Agreement and Release (the “Agreement”) is between Robert Barton  (“Employee”) and CafePress Inc. (the “Company”) (collectively referred to as the “Parties” or individually referred to as a “Party”):
WHEREAS, Employee is employed by the Company;
WHEREAS, the Company and Employee entered into an Employee Proprietary Information and Inventions Agreement (the “PIIA”);  
WHEREAS, the Company is terminating Employee’s employment with the Company, effective at the close of business on 3/9/2018 (the “Termination Date”), and has advised Employee that (s)he is no longer to report to work as of the date (s)he receives this Agreement. Nonetheless, Company wishes to provide the Employee with separation pay if Employee executes this Agreement; and
WHEREAS, the Parties wish to resolve any and all disputes, claims, complaints, grievances, charges, actions, petitions and demands that the Employee may have against the Company including, but not limited to, any and all claims arising out of or in any way related to Employee’s employment with or separation from the Company.
NOW, THEREFORE, in consideration of the promises made herein, the Parties hereby agree as follows:
COVENANTS
1.Consideration.  In consideration of Employee’s execution of this Agreement and fulfillment of all of its terms and conditions, and provided that Employee does not revoke the Agreement under Paragraph 6 below, the Company agrees as follows:

		
	a.
	Separation Pay.  The Company agrees to pay Employee a lump sum amount of Fifty-One Thousand Nine-Hundred Twenty-Three Dollars and Zero Cents ($51,923.00 U.S.) less applicable withholding (“Separation Pay”).  This payment will be made to Employee within ten (10) business days after this Agreement is fully-executed.

		
	b.
	Retention Award. The Company agrees to pay Employee a lump sum amount of One-Hundred-Twelve-Thousand Five-Hundred Dollars and Zero Cents ($112,500.00 U.S.), less applicable withholdings, which represents your retention award payment, for calendar year 2019 (“Retention Award”). This payment will be made to Employee within ten (10) business days after this Agreement is fully-executed; provided, Employee does not revoke his/her execution.

		
	c.
	Restricted Stock Units. 9,500 of restricted stock units, in PRSS, previously awarded to you, pursuant to the Company’s Stock Incentive Plan (2012), to which the Company shall cause the restriction to lapse, and furthermore shall be less any shares withheld at your direction in lieu of an election to pay cash to satisfy the tax withholding obligation, which option (1) the withholding of shares or (2) the payment of cash, you hereby agree to elect upon the execution of this Agreement.

		
	d.
	COBRA Pay.  The Company agrees to pay Employee a lump sum of One-Thousand One-Hundred Twenty-Six Dollars and Zero Cents ($1,126.00 U.S.), less applicable withholdings as required by federal or state law, in lieu of the Company making monthly COBRA payments to Employee (“COBRA Assistance”). 

		
	e.
	General.  Employee acknowledges that without this Agreement, Employee is otherwise not entitled to the Separation Pay, and that the Separation Pay is offered by the Company solely as consideration for this Agreement.

2.Benefits.  Employee’s health insurance benefits will cease on 3/31/2018, subject to Employee’s right to continue his/her health insurance under COBRA.  Employee’s participation in all benefits and incidents of employment including, but not limited to, the accrual of bonuses, vacation and PTO, shall cease as of the Termination Date.  

3.Trade Secrets and Confidential Information/Company Property.  Employee reaffirms and agrees to observe and abide by the terms of the PIIA, specifically including the provisions therein regarding nondisclosure of the Company’s trade secrets and 

confidential and proprietary information.  Employee’s signature below constitutes Employee’s certification under penalty of perjury that Employee has returned all documents and other items provided to Employee by the Company, developed or obtained by Employee in connection with Employee’s employment with the Company, or otherwise belonging to the Company. 

4.Payment of Salary and Receipt of All Benefits.  Employee acknowledges and represents that, other than the consideration set forth in this Agreement, the Company has paid or provided all salary, wages, bonuses, accrued vacation/paid time off, leave, housing allowances, relocation costs, interest, severance, outplacement costs, fees, reimbursable expenses, commissions, stock, stock options, vesting, and any and all other benefits and compensation due to Employee.  

5.Release of Claims. 
a.In consideration of the Separation Pay, Employee on his/her own behalf and on behalf of his/her respective heirs, family members, executors, agents, and assigns (“Releasors”), hereby fully and irrevocably releases, discharges, and covenants not to sue, institute, prosecute or pursue the Company and/or its current and former officers, directors, employees, agents, investors, attorneys, shareholders, founders, administrators, affiliates, divisions, subsidiaries, predecessor and successor corporations and assigns (the “Releasees”) with regard to any dispute, duty, claim, complaint, grievance, charge, obligation, action, petition, cause of action, or demand, whether known or unknown, suspected or unsuspected, that Employee may possess against any of the Releasees arising from or relating to any acts or omissions by the Releasees up to and including the Effective Date of this Agreement (individually and collectively “Claims”) and including, without limitation:
		
	1)
	any and all Claims relating to, or arising from, Employee’s employment with the Company and the termination of that employment;

2)    any and all claims relating to, or arising from, Employee’s right to purchase, or actual purchase of shares of stock of the Company including, without limitation, any claims for fraud, misrepresentation, breach of fiduciary duty, breach of duty under applicable state corporate law, and securities fraud under any state or federal law;
3)     any and all claims for wrongful discharge of employment; constructive discharge; termination in violation of public policy; discrimination; harassment; retaliation; breach of contract, both express and implied; breach of a covenant of good faith and fair dealing, both express and implied; promissory estoppel; negligent or intentional infliction of emotional distress; negligent or intentional misrepresentation; negligent or intentional interference with contract or prospective economic advantage; unfair business practices; defamation; libel; slander; negligence; personal injury; assault; battery; invasion of privacy; false imprisonment; and conversion;
4)    any and all claims for violation of any federal, state or municipal statute, including, but not limited to, Title VII of the Civil Rights Act of 1964; the Civil Rights Act of 1991; the Age Discrimination in Employment Act of 1967; the Americans with Disabilities Act of 1990; the Fair Credit Reporting Act; the Employee Retirement Income Security Act of 1974; the Family and Medical Leave Act; the Worker Adjustment and Retraining Notification Act; the Older Workers Benefit Protection Act; the Sarbanes-Oxley Act of 2002; section 49.60.010 et seq.; The Fair Labor Standards Act, 29 U.S.C. §§201 et seq., (as amended); and all amendments to each of the above-referenced statutes; and any other laws of the state of California; and any other federal, state or local laws or regulations relating to employment terms and conditions of employment;
5)    any and all claims for violation of the federal, or any state, constitution; 
6)   any and all claims arising out of any other laws and regulations relating to employment or employment discrimination;
7)    any claim for any loss, cost, damage, or expense arising out of any dispute over the non-withholding or other tax treatment of any of the proceeds received by Employee as a result of this Agreement; and
8)    any and all claims for attorneys’ fees and costs.
Employee agrees that the release set forth in this section shall be and remain in effect in all respects as a complete general release as to the matters released.  This release does not extend to any obligations incurred under this Agreement.  This release does not release claims that cannot be released as a matter of law including, but not limited to, Employee’s right to file a charge with or participate in a charge by the Equal Employment Opportunity Commission, or any other local, state, or federal administrative body or government agency that is authorized to enforce or administer laws related to employment, against the Company (with 

the understanding that any such filing or participation does not give Employee the right to recover any monetary damages against the Company; Employee’s release of claims herein bars Employee from recovering such monetary relief from the Company).
6.      Acknowledgement of Waiver of Claims Under ADEA   Employee acknowledges that Employee is waiving and releasing any rights Employee may have under the Age Discrimination in Employment Act of 1967 (“ADEA”), as amended by the Older Workers’ Benefit Protection Act (“OWBPA”), including, but not limited to, all claims of age discrimination in employment and all claims of retaliation in violation of the OWBPA and any state statute or local ordinance barring age discrimination, and that this waiver and release is knowing and voluntary.  Employee agrees that this waiver and release does not apply to any rights or claims that may arise under the ADEA after the Effective Date of this Agreement.  Employee acknowledges that the consideration given for this waiver and release is in addition to anything of value to which Employee was already entitled. 
Employee further acknowledges that Employee has been advised by this writing that: 
a.   Employee should consult with an attorney prior to executing this Agreement; 
b.   Employee has forty-five (45) days within which to consider and accept the terms of this Agreement.  To accept the terms of this Agreement, Employee shall date and sign this Agreement and return it to CafePress Inc. 11909 Shelbyville Road, Louisville, KY 40243 Attn: Talent; 
c.   Employee has seven (7) days following Employee’s execution of this Agreement to revoke this Agreement (“Revocation Period”).  If Employee decides to revoke this Agreement after signing, CafePress Inc. 11909 Shelbyville Road, Louisville, KY 40243 Attn: Talent must receive a written statement of revocation by the last day of the Revocation Period; 
d.    if Employee does not revoke during the seven-day Revocation Period, this Agreement will take effect on the eighth (8th) day after the date you sign the Agreement (“Effective Date”); and 
e.  nothing in this Agreement prevents or precludes Employee from challenging or seeking a determination in good faith of the validity of this waiver under the ADEA, nor does it impose any condition precedent, penalties, or costs for doing so, unless specifically authorized by federal law.  In the event Employee signs this Agreement and returns it to the Company in less than the 45-day period identified above, Employee hereby acknowledges that Employee has freely and voluntarily chosen to waive the time period allotted for considering this Agreement.

7.Unknown Claims.  Employee acknowledges that Employee has been advised to consult with legal counsel and that Employee is familiar with the principle that a general release does not extend to claims that the releaser does not know or suspect to exist in Employee’s favor at the time of executing the release, which, if known by Employee, must have materially affected Employee’s settlement with the release.  Employee, being aware of said principle, expressly understands and agrees to waive any rights Employee may have to that effect under Section 1542 of the Civil Code of the State of California or analogous federal or state statutes, as well as under common law principles of similar effect.  Section 1542 of the California Civil Code provides: 

A general release does not extend to claims which the creditor does not know or suspect to exist in his or her favor at the time of executing the release, which if known by him or her must have materially affected his or her settlement with the debtor.

8.Non-Limitation. Nothing in this Release (including but not limited to the release of claims, promise not to sue, and confidentiality provisions) (a) limits or affects Employee’s right to challenge the validity of this Release under the ADEA or the OWBPA or (b) prevents Employee from filing a charge or complaint with or from participating in an investigation or proceeding conducted by the EEOC, the National Labor Relations Board, the Securities and Exchange Commission, or any other federal, state or local agency charged with the enforcement of any laws, including providing documents or other information,  or (c) prevents Employee from exercising his/her rights under Section 7 of the NLRA to engage in protected, concerted activity with other employees, although by signing this Release Employee is waiving his/her right to recover any individual relief (including  backpay, frontpay, reinstatement or other legal or equitable relief) in any charge, complaint, or lawsuit or other proceeding brought by his/her or on his/her behalf by any third party, except for any right he/she may have to receive a payment from a government agency (and not the Company) for information provided to the government agency.
  
9.No Pending or Future Lawsuits.  Employee represents that Employee has no lawsuits, claims, or actions pending in Employee’s name, or on behalf of any other person or entity, against the Company or any of the other Releasees.  Employee also represents that Employee does not intend to bring any claims on Employee’s own behalf or on behalf of any other person or entity 

against the Company or any of the other Releasees.

10.Application for Employment.  Employee understands and agrees that, as a condition of this Agreement, Employee shall not be entitled to any employment with the Company, and Employee hereby waives any right, or alleged right, of employment or re-employment with the Company.  

11.Confidentiality.  Employee agrees to maintain in complete confidence the existence of this Agreement, the contents and terms of this Agreement, and the consideration for this Agreement (hereinafter collectively referred to as the “Separation Information”).  Except as required by law, Employee may disclose the Separation Information only to Employee’s immediate family members, the Court in any proceedings to enforce the terms of this Agreement, Employee’s counsel, Employee’s accountant and any professional tax advisor to the extent that they need to know the Separation Information in order to provide advice on tax treatment or to prepare tax returns, and must prevent disclosure of any Separation Information to all other third parties.  Employee agrees that Employee will not publicize, directly or indirectly, any Separation Information.
Employee acknowledges and agrees that the confidentiality of the Separation Information is of the essence and that the consideration and other benefits provided under this Agreement are contingent upon Employee’s compliance with her obligations under this paragraph 11.  Any individual breach or disclosure shall not excuse Employee from Employee’s obligations hereunder, nor permit Employee to make additional disclosures.  Employee warrants that Employee has not to date disclosed, orally or in writing, directly or indirectly, any of the Separation Information to any unauthorized party.

12.No Cooperation.  Employee agrees not to act in any manner that might damage the business of the Company.  Employee further agrees that Employee will not knowingly encourage or counsel any attorneys or their clients in the presentation or prosecution of any disputes, differences, grievances, claims, charges, or complaints by any third party against any of the Releasees, unless under a subpoena or other court order to do so.  Employee agrees both to immediately notify the Company upon receipt of any such subpoena or court order, and to furnish, within three (3) business days of its receipt, a copy of such subpoena or other court order.  If approached by anyone for counsel in the presentation or prosecution of any disputes, differences, grievances, claims, charges, or complaints against any of the Releasees, Employee shall state no more than that Employee cannot provide counsel.

13.Non-Disparagement.  Employee agrees to refrain from any disparagement, defamation, libel or slander of any of the Releasees, or any tortious interference with the contracts, relationships and prospective economic advantage of any of the Releasees.  Employee agrees that Employee shall direct all inquiries by potential future employers to the Company’s Human Resources Department.  

14.Non-Solicitation.  Employee agrees that for a period of twelve (12) months immediately following the Effective Date of this Agreement, Employee shall not directly or indirectly solicit any of the Company’s employees to leave their employment at the Company.

15.Breach.  Employee acknowledges and agrees that any material breach of this Agreement or of any provision of the PIIA shall entitle the Company immediately to recover and/or cease providing the consideration provided to Employee under this Agreement, except as provided by law.  All other provisions of this Agreement shall remain in full force and effect.  Except as provided by law or as provided for under paragraph 6 herein, Employee shall also be responsible to the Company for all costs, attorneys’ fees, and any and all damages incurred by the Company in: (a) enforcing Employee’s obligations under this Agreement or the PIIA, including the bringing of any action to recover the consideration; and (b) defending against a claim or suit brought or pursued by Employee in violation of the terms of this Agreement.

16.No Admission of Liability.  Employee understands and acknowledges that this Agreement constitutes a compromise and settlement of any and all actual or potential disputed claims.  No action taken by the Company hereto, either previously or in connection with this Agreement, shall be deemed or construed to be: (a) an admission of the truth or falsity of any claims; or (b) an acknowledgment or admission by the Company of any fault or liability whatsoever to Employee or to any third party.

17.Costs.  The Parties shall each bear their own costs, expert fees, attorneys’ fees and other fees incurred in connection with this Agreement.

18.Arbitration.  THIS AGREEMENT TO ARBITRATE IS EXPRESSLY GOVERNED BY THE FEDERAL ARBITRATION ACT. THE PARTIES AGREE THAT ANY AND ALL DISPUTES ARISING OUT OF THE TERMS OF THIS AGREEMENT, THEIR INTERPRETATION, AND ANY OF THE MATTERS HEREIN RELEASED, SHALL BE SUBJECT TO ARBITRATION IN SAN FRANCISCO, CALIFORNIA BEFORE THE American Arbitration Association (AAA), PURSUANT TO ITS EMPLOYMENT ARBITRATION RULES & PROCEDURES (“AAA RULES”).  THE ARBITRATOR MAY GRANT 

INJUNCTIONS AND OTHER RELIEF IN SUCH DISPUTES.  THE ARBITRATOR SHALL ADMINISTER AND CONDUCT ANY ARBITRATION IN ACCORDANCE WITH CALIFORNIA LAW, AND THE ARBITRATOR SHALL APPLY SUBSTANTIVE AND PROCEDURAL CALIFORNIA LAW TO ANY DISPUTE OR CLAIM, WITHOUT REFERENCE TO ANY CONFLICT-OF-LAW PROVISIONS OF ANY JURISDICTION.  TO THE EXTENT THAT THE AAA RULES CONFLICT WITH CALIFORNIA LAW, CALIFORNIA LAW SHALL TAKE PRECEDENCE.  THE DECISION OF THE ARBITRATOR SHALL BE FINAL, CONCLUSIVE, AND BINDING ON THE PARTIES TO THE ARBITRATION.  THE PARTIES AGREE THAT THE PREVAILING PARTY IN ANY ARBITRATION SHALL BE ENTITLED TO INJUNCTIVE RELIEF IN ANY COURT OF COMPETENT JURISDICTION TO ENFORCE THE ARBITRATION AWARD.  THE PARTIES TO THE ARBITRATION SHALL EACH PAY AN EQUAL SHARE OF THE COSTS AND EXPENSES OF SUCH ARBITRATION, AND EACH PARTY SHALL SEPARATELY PAY FOR ITS RESPECTIVE COUNSEL FEES AND EXPENSES; PROVIDED, HOWEVER, THAT THE ARBITRATOR SHALL AWARD ATTORNEYS’ FEES AND COSTS TO THE PREVAILING PARTY.  THE PARTIES HEREBY AGREE TO WAIVE THEIR RIGHT TO HAVE ANY DISPUTE BETWEEN THEM RESOLVED IN A COURT OF LAW BY A JUDGE OR JURY.  NOTWITHSTANDING THE FOREGOING, THIS SECTION WILL NOT PREVENT EITHER PARTY FROM SEEKING INJUNCTIVE RELIEF (OR ANY OTHER PROVISIONAL REMEDY) FROM ANY COURT HAVING JURISDICTION OVER THE PARTIES AND THE SUBJECT MATTER OF THEIR DISPUTE RELATING TO THIS AGREEMENT AND THE AGREEMENTS INCORPORATED HEREIN BY REFERENCE.  SHOULD ANY PART OF THE ARBITRATION AGREEMENT CONTAINED IN THIS SECTION CONFLICT WITH ANY OTHER ARBITRATION AGREEMENT BETWEEN THE PARTIES, THE PARTIES AGREE THAT THIS ARBITRATION AGREEMENT SHALL GOVERN.

19.Cooperation with Company.  Employee agrees to cooperate, at the reasonable request of the Company, in the defense and/or prosecution of any charges, claims, investigations (internal or external), administrative proceedings and/or lawsuits relating to matters occurring during Employee’s period of employment.  The Company agrees to pay Employee a reasonable fee commensurate with the required services for the time expended in the defense and prosecution of such matters.  

20.Tax Consequences.  The Company makes no representations or warranties with respect to the tax consequences of the payments provided to Employee or made on Employee’s behalf under the terms of this Agreement.  Employee agrees and understands that Employee is responsible for payment, if any, of local, state and/or federal taxes on the payments made hereunder by the Company and any penalties or assessments thereon.  Employee further agrees to indemnify and hold the Company harmless from any claims, demands, deficiencies, penalties, interest, assessments, executions, judgments, or recoveries by any government agency against the Company for any amounts claimed due on account of: (a) Employee’s failure to pay or the Company’s failure to withhold, or Employee’s delayed payment of, federal or state taxes; or (b) damages sustained by the Company by reason of any such claims, including attorneys’ fees and costs.

21.Authority.  The Company represents and warrants that the undersigned has the authority to act on behalf of the Company and to bind the Company and all who may claim through it to the terms and conditions of this Agreement.  Employee represents and warrants that Employee has the capacity to act on Employee’s own behalf and on behalf of all who might claim through Employee to bind them to the terms and conditions of this Agreement.  Each Party warrants and represents that there are no liens or claims of lien or assignments in law or equity or otherwise of or against any of the claims or causes of action released herein.

22.No Representations.  Employee represents that Employee has had an opportunity to consult with an attorney, and has carefully read and understands the scope and effect of the provisions of this Agreement.  Employee has not relied upon any representations or statements made by the Company that are not specifically set forth in this Agreement.

23.Severability.  In the event that any provision, or any portion thereof, becomes or is declared by a court of competent jurisdiction to be illegal, unenforceable or void, this Agreement shall continue in full force and effect without said provision or portion of said provision.

24.Attorneys’ Fees.  Except as provided in paragraph 6 hereof, in the event that either Party brings an action to enforce or effect its rights under this Agreement, the prevailing Party shall be entitled to recover its costs and expenses, including the costs of mediation, arbitration, litigation, court fees, plus reasonable attorneys’ fees, incurred in connection with such an action.

25.Entire Agreement.  This Agreement represents the entire agreement and understanding between the Company and Employee concerning the subject matter of this Agreement and Employee’s employment with and separation from the Company and the events leading thereto and associated therewith, and supersedes and replaces any and all prior agreements and understandings concerning the subject matter of this Agreement and Employee’s relationship with the Company, with the exception of the PIIA and the Stock Agreements.

26.No Waiver.  The failure of the Company to insist upon the performance of any of the terms and conditions in this Agreement, 

or the failure to prosecute any breach of any of the terms and conditions of this Agreement, shall not be construed thereafter as a waiver of any such terms or conditions.  This entire Agreement shall remain in full force and effect as if no such forbearance or failure of performance had occurred.

27.No Oral Modification.  This Agreement may only be amended in a writing signed by Employee and the Chief Executive Officer of the Company.

28.Governing Law.  This Agreement shall be construed, interpreted, governed and enforced in accordance with the laws of the Commonwealth of Kentucky, without regard to choice-of-law provisions.  Employee hereby consents to personal and exclusive jurisdiction and venue in the Commonwealth of Kentucky.

29.Counterparts.  This Agreement may be executed in counterparts and by facsimile, and each counterpart and facsimile shall have the same force and effect as an original and shall constitute an effective, binding agreement on the part of each of the undersigned.

30.Voluntary Execution of Agreement.  Employee understands and agrees that Employee executed this Agreement voluntarily, without any duress or undue influence on the part or behalf of the Company or any third party, with the full intent of releasing all of her claims against the Company and any of the other Releasees.  Employee acknowledges that Employee:
		
	a.
	has read this Agreement;

		
	b.
	has been represented in the preparation, negotiation, and execution of this Agreement by legal counsel of Employee’s own choice or that Employee has voluntarily declined to seek such counsel;

		
	c.
	understands the terms and consequences of this Agreement and of the releases it contains; and

		
	d.
	is fully aware of the legal and binding effect of this Agreement.

IN WITNESS WHEREOF, the Parties have executed this Agreement on the respective dates set forth below.
            
	
				
	Date: March 9, 2018
	CafePress Inc.

	 
	 
	 

	 
	By:
	 
	/s/ Fred Durham III

	 
	 
	 
	Fred Durham III
Chief Executive Officer

	
				
	Date: March 9, 2018
	 

	 
	 
	 

	 
	By:
	 
	 

	 
	 
	 
	Signature of Robert BartonEX-10.1

 Exhibit 10.1 

INTEREST TRANSFER AGREEMENT 

This INTEREST TRANSFER AGREEMENT (this “Agreement”) is executed and delivered as of March 9, 2018, among Oncor Electric
Delivery Company LLC (“Oncor”), Oncor Management Investment LLC (“OMI”), Sempra Energy, a California corporation (“Sempra”), and Oncor Electric Delivery Holdings Company LLC, a Delaware limited
liability company (“Purchaser”). 
 RECITALS 

WHEREAS, as of the date hereof, OMI owns 1,396,008 units (the “Interests”) representing limited liability company interests
in Oncor; 
 WHEREAS, the Interests represent all of OMI’s limited liability company interests in Oncor; 

WHEREAS, the Class B Members, OMI and Oncor are party to the Amended and Restated Limited Liability Company Agreement of OMI, dated as of
November 5, 2008 (as amended, the “OMI LLC Agreement”); 
 WHEREAS, on August 21, 2017, Energy Future Holdings Corp.
(“EFH”), the indirect owner of approximately 80% of the limited liability interests in Oncor, Energy Future Intermediate Holdings Company LLC, Sempra Texas Merger Sub I, Inc. (formerly Power Play Merger Sub I, Inc.) (“Merger
Sub”) and Sempra entered into an Agreement and Plan of Merger, dated as of such date (as amended from time to time, the “Merger Agreement”), which agreement provides for, among other things, the merger of Merger Sub with
and into reorganized EFH at the closing contemplated by the Merger Agreement (the “Merger Closing”); 
 WHEREAS, upon
consummation of the Merger Closing, Sempra will be the indirect holder of all of the equity interests of Purchaser; and 
 WHEREAS,
capitalized terms used herein without definition have the respective meanings assigned to them in the Merger Agreement. 
 NOW, THEREFORE,
in consideration of the premises, representations, warranties, covenants and agreements contained herein and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, and intending to be legally bound,
the parties hereto agree as follows: 
 AGREEMENT 

1.    Transfer of Interests. Upon the terms and subject to the conditions set forth herein, at the Closing, in
consideration for the Purchase Price, OMI shall transfer and deliver to the Purchaser, and the Purchaser shall accept, acquire and receive from OMI, all of OMI’s right, title and interest in and to the Interests. 

2.    Purchase Price. The aggregate purchase price (the “Purchase Price”) to be paid by Purchaser
to OMI for the Interests is $25,959,261, which Purchase Price shall be paid to OMI 

 
at the Closing by wire transfer of immediately available funds in accordance with instructions previously delivered by OMI. Immediately following the payment of the Purchase Price, Oncor and OMI
shall cause the Purchase Price (net of any liabilities of OMI, as determined by Oncor, in its capacity as managing member) to be distributed to the Class B Members of OMI as of immediately prior to the Closing (each, a “Class B
Member”) in accordance with Article VI of the OMI LLC Agreement. Sempra shall contribute or cause to be contributed to Purchaser the Purchase Price. 

3.    Closing. The closing of the transactions contemplated in this Agreement (the “Closing”)
shall take place at the offices of Jones Day, 2727 N. Harwood Street, Dallas, Texas 75201, on the date of, and immediately following, the Merger Closing. The date on which the Closing occurs is referred to in this Agreement as the “Closing
Date.” 
 4.    Representations and Warranties. 

(a)    OMI hereby represents and warrants to Sempra that: 

(i)    OMI has full power and authority to execute, deliver and perform its obligations under this Agreement; 

(ii)    this Agreement has been duly executed and delivered by OMI and is legal, valid, binding and enforceable upon and
against OMI; 
 (iii)    OMI owns good, valid and marketable title to the Interests, which Interests consist of
1,396,008 limited liability company units in Oncor. Upon delivery of the Interests to Purchaser at the Closing in accordance with this Agreement, legal and beneficial interest in the Interests held by OMI will pass to Purchaser, free and clear of
encumbrances, other than any transfer restrictions and other encumbrances created by this Agreement or otherwise imposed by any applicable laws or the organizational documents of Oncor; 

(iv)    subject to the dissolution of OMI pursuant to Section 5(c), the execution, delivery and performance by OMI
of this Agreement does not, and the consummation of the transactions contemplated to be consummated by OMI hereby will not, constitute or result in (A) the creation of, or imposition on OMI of any obligation to create or enforce, any lien upon
the Interests, (B) a violation or breach of, or a default under any contract to which OMI is a party or any of OMI’s assets are bound or (C) a violation of any Law applicable to OMI, except, in the case of clauses (B) and (C)
above, for any breach, violation, default or other matter that would not reasonably be expected to prevent, restrict or impair or otherwise adversely affect the ability of OMI to perform its obligations under and consummate the transactions
contemplated by this Agreement; and 
 (v)    no person is entitled to any brokerage, finder’s or other fee or
commission in connection with the transactions contemplated herein based upon arrangements made by or on behalf of OMI. 

 (b)    Oncor hereby represents and warrants to Purchaser that: 

(i)    Oncor has full power and authority to execute, deliver and perform its obligations under this Agreement; 

(ii)    this Agreement has been duly executed and delivered by Oncor and is legal, valid, binding and enforceable upon and
against Oncor; 
 (iii)    the execution, delivery and performance by Oncor of this Agreement does not, and the
consummation of the transactions contemplated to be consummated by Oncor hereby will not, constitute or result in (A) the creation of, or imposition on Oncor of any obligation to create or enforce, any lien upon the Interests, (B) a
violation or breach of, or a default under any contract to which Oncor is a party or any of Oncor’s assets are bound or (C) a violation of any Law applicable to Oncor, except, in the case of clauses (B) and (C) above, for any breach,
violation, default or other matter that would not reasonably be expected to prevent, restrict or impair or otherwise adversely affect the ability of Oncor to perform its obligations under and consummate the transactions contemplated by this
Agreement; and 
 (iv)    no person is entitled to any brokerage, finder’s or other fee or commission in connection
with the transactions contemplated herein based upon arrangements made by or on behalf of Oncor. 
 (c)    Each of
Purchaser and Sempra hereby represents and warrants to OMI that: 
 (i)    it has full power and authority to execute,
deliver and perform its obligations under this Agreement; and 
 (ii)    this Agreement has been duly executed and
delivered by Purchaser and Sempra and is legal, valid, binding and enforceable upon and against each of Purchaser and Sempra; 

(iii)    each of Purchaser and Sempra acknowledges that immediately following the Closing, the Purchase Price will be
distributed to the Class B Members; 
 (iv)    the execution, delivery and performance by each of Purchaser and
Sempra of this Agreement does not, and the consummation of the transactions contemplated to be consummated by Purchaser and Sempra hereby will not, constitute or result in (A) the creation of, or imposition on Purchaser or Sempra of any
obligation to create or enforce, any lien upon the Interests, (B) a violation or breach of, or a default under any contract to which OMI is a party or any of Purchaser’s or Sempra’s assets are bound or (C) a violation of any Law
applicable to Purchaser or Sempra, except, in the case of clauses (B) and (C) above, for any breach, violation, default or other matter that would not reasonably be expected to prevent, restrict or impair or otherwise adversely affect the
ability of Purchaser or Sempra to perform its obligations under and consummate the transactions contemplated by this Agreement; and 

 (v)    no person is entitled to any brokerage, finder’s or other fee or
commission in connection with the transactions contemplated herein based upon arrangements made by or on behalf of Purchaser or Sempra. 

5.    Post Closing Obligations; Dissolution. 

(a)    From and after the Closing, no party hereto shall, and each shall cause its respective subsidiaries and affiliates
to not, (i) take any action to amend or change the organizational documents of OMI except for the filing of the Certificate of Cancelation of a Limited Liability Company with respect to OMI or (ii) cause OMI to incur any new liability or
obligation, other than liabilities or obligations reasonably incurred in connection with the dissolution of OMI (all of which shall be paid by Oncor). Notwithstanding anything herein to the contrary, from and after the Closing, in no event will OMI
knowingly incur any claim, liability or obligation in favor of Oncor or Purchaser or any of their respective affiliates, other than liabilities or obligations reasonably incurred in connection with the dissolution of OMI (all of which shall be paid
by Oncor). 
 (b)    Except as contemplated by this Section 5(b) or as otherwise specified in the Second Amended
and Restated Limited Liability Company Agreement of Oncor, dated as of November 5, 2008, following the Closing, OMI shall not be entitled to any payments pursuant to the Tax Sharing Agreement, dated as of November 5, 2008 (the
“TSA”), by and among EFH, Oncor, Purchaser, Texas Transmission Investment LLC and OMI. Notwithstanding the immediately preceding sentence, for federal income tax purposes for the taxable year beginning January 1, 2018, the
parties hereto agree that for purposes of maintaining capital accounts, OMI will be allocated a portion of each item of gain, loss, income, expense and deduction for Oncor for such taxable year equal to the product of (i) 0.2198% (i.e., 0.002198)
and (ii) a fraction, the numerator of which is the number of days in such taxable year through and including the date of the transfer of its interest and the denominator of which is the total number of days in such taxable year; provided,
however, that to the extent Oncor recognizes any gain or loss from a material sale of assets or any similar extraordinary item of income, gain, loss, expense or deduction during such taxable year that arises only after OMI ceases to be a member,
such extraordinary items shall be excluded from the calculation under this sentence; and provided, further, for income tax purposes the corresponding items of gain, loss, income, expense and deduction for such taxable year shall be allocated to OMI,
subject to adjustments for Section 704(c) of the Internal Revenue Code of 1986 consistent with past practice. Pursuant to the TSA, Oncor is required to pay each Member (as such term is defined in the TSA) its Share Percentage (as such term is
defined in the TSA) with respect to any Oncor Separate Tax Liability (as such term is defined in the TSA) for each Applicable Tax Year (as such term is defined in the TSA) together with certain further payments upon adjustment or recalculation of
such amounts. The parties agree that to the extent such payments by Oncor, for the taxable year beginning January 1, 2018 and any taxable year ending prior to 2018, are made at a time when OMI is no longer a Member of Oncor, Oncor shall nonetheless
make a payment to OMI (or, if OMI has been dissolved or otherwise liquidated, pro rata to the Class B Members) of the appropriate portion of amounts that otherwise would be payable with respect to the interest formerly held by OMI if OMI were
still a Member (net of any overpayments that were 

 
previously made to OMI), and such amounts shall reduce the amounts Oncor would otherwise pay to Purchaser. For any payments related to the taxable year beginning on January 1, 2018, the portion
payable to OMI will be calculated based on the allocation of tax items as referenced in this Section 5(b). For payments related to any taxable year ending prior to 2018, the portion payable to OMI shall be the portion that would have been
payable to OMI under the TSA had OMI continued to be a Member. 
 (c)    Oncor, in its capacity as the Managing Member
of OMI, has irrevocably elected to dissolve OMI and will, in accordance with Section 10.3 of the OMI LLC Agreement, (i)(A) liquidate OMI by applying OMI’s assets to satisfy all liabilities, claims and obligations of OMI (as determined by
Oncor) by payment or other discharge thereof or to make reasonable provision for the payment thereof, and (B) distribute the remaining available assets of OMI to the Class B Members in accordance with Article VI of the OMI LLC Agreement
and (ii) take any such other action as may be required to cause the dissolution of OMI, including the filing of a Certificate of Cancelation of a Limited Liability Company with respect to OMI in accordance with the Limited Liability Company Act
of the State of Delaware and pay any fees required to be paid in connection with such filing. 
 6.    Amendment.
This Agreement may not be amended without the approval of the parties hereto and a majority in interest of the Class B Members. 

7.    Entire Agreement; Third Party Beneficiaries. This Agreement constitutes the sole and entire agreement of the
parties to this Agreement with respect to the subject matter contained herein, and supersedes all prior and contemporaneous understandings, agreements, representations and warranties, both written and oral, with respect to such subject matter.
Notwithstanding anything herein to the contrary, each Class B member of OMI is an intended third party beneficiary of this Agreement. 

8.    Headings. The headings in this Agreement are for reference only and will not affect the interpretation of
this Agreement. 
 9.    Governing Law. This Agreement and the rights and duties of the parties hereto hereunder
shall be governed by and construed and interpreted in accordance with the laws of the state of Delaware, without giving effect to its principles or rules of conflict of laws to the extent such principles or rules are not mandatorily applicable by
statute and would require or permit the application of the laws of another jurisdiction. 
 10.    Waiver of Jury
Trial. EACH PARTY ACKNOWLEDGES AND AGREES THAT ANY CONTROVERSY WHICH MAY ARISE UNDER THIS AGREEMENT IS LIKELY TO INVOLVE COMPLICATED AND DIFFICULT ISSUES, AND THEREFORE EACH SUCH PARTY HEREBY IRREVOCABLY AND UNCONDITIONALLY WAIVES ANY RIGHT SUCH
PARTY MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION DIRECTLY OR INDIRECTLY ARISING OUT OF OR RELATING TO THIS AGREEMENT, OR THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT. EACH PARTY CERTIFIES AND ACKNOWLEDGES THAT (W) NO REPRESENTATIVE,
AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER, (X) EACH PARTY UNDERSTANDS AND HAS CONSIDERED THE IMPLICATIONS OF THIS
WAIVER, (Y) EACH PARTY MAKES THIS WAIVER VOLUNTARILY, AND (Z) EACH PARTY HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 10.

 11.    Counterparts. This Agreement may be executed in two or more
counterparts, each of which shall be deemed an original and all of which shall together constitute one and the same instrument. The signature of any party hereto to any counterpart hereof shall be deemed a signature to, and may be appended to, any
other counterpart hereof. In the event that any signature to this Agreement or any ancillary agreement is delivered by facsimile transmission or by e-mail delivery of a “.pdf” format data file, such
signature shall create a valid and binding obligation of the party executing (or on whose behalf such signature is executed) with the same force and effect as if such facsimile or “.pdf” signature page were an original thereof. Once
signed, this Agreement may be delivered by facsimile or “.pdf” format, and any reproduction of this Agreement made by reliable means (e.g., photocopy, facsimile or portable document format) is considered an original. 

12.    Notices. Any notice, request, instruction or other document to be given hereunder by any party to the other
parties shall be in writing and delivered personally or sent by registered or certified mail, postage prepaid, by email or overnight courier: 

(a)    If to OMI or Oncor: 

c/o Oncor Electric Delivery Company LLC 

1616 Woodall Rodgers Freeway 

Dallas, Texas 75202 

Attention:    E. Allen Nye, Jr. 

                    Kevin R. Fease 

                    Michael L. Davitt 

Email: allen.nye@oncor.com 

            kevin.fease@oncor.com 

            michael.davitt@oncor.com 

with copies (which shall not constitute notice) to: 

Jones Day 
 2727 N. Harwood
Street 
 Dallas, Texas 75201 

Attention:    Alain Dermarkar 

Email:          adermarkar@jonesday.com 

and 
 PatVillarealLaw PLLC 

25 Highland Park Village 
 Suite
100869 
 Dallas, Texas 75205 

Attention:    Patricia J. Villareal 

Email:         Pat@patvillareallaw.com 

 (b)    If to Purchaser or Sempra: 

Sempra Energy 
 488 8th Avenue

 San Diego, California 92101 

Attention:    General Counsel 

Email: MWyrsch@sempra.com 
 with
copies (which shall not constitute notice) to: 
 White & Case LLP 

Southeast Financial Center 
 200
South Biscayne Boulevard, Suite 4900 
 Miami, Florida 3131 

Attention:    Thomas E Lauria 

Email:          tlauria@whitecase.com 

and 
 White & Case LLP

 1221 Avenue of the Americas 

New York, NY 10020 

Attention:    Gregory Pryor 

                    Michael A. Deyong 

Email: gpryor@whitecase.com 

            michael.deyong@whitecase.com 

or to such other Persons or addresses as may be designated in writing by the party to receive such notice as provided above. Any notice, request, instruction
or other document given as provided above shall be deemed given to the receiving party: (a) upon actual receipt, if delivered personally; (b) three Business Days after deposit in the mail, if sent by registered or certified mail;
(c) upon receipt if sent by email and received by 5:00 p.m. (Eastern Time), on a Business Day (otherwise the next Business Day) (provided, that if given by email such notice, request, instruction or other document shall be followed up within
one Business Day by dispatch pursuant to one of the other methods described herein); or (d) on the next Business Day after deposit with an overnight courier, if sent by an overnight courier. 

13.    Assignment. This Agreement shall not be assignable by operation of law or otherwise without the written
consent of the non-assigning parties hereto. Any purported assignment in violation of this Agreement is void. 

14.    Severability. The provisions of this Agreement shall be deemed severable and the invalidity or
unenforceability of any provision shall not affect the validity or enforceability of the other provisions hereof. If any provision of this Agreement, or the application thereof to any Person or any circumstance, is invalid or unenforceable,
(i) a suitable and equitable provision shall be substituted therefor in order to carry out, so far as may be valid and 

 
enforceable, the intent and purpose of such invalid or unenforceable provision and (ii) the remainder of this Agreement and the application of such provision to other Persons or
circumstances shall not be affected by such invalidity or unenforceability, nor shall such invalidity or unenforceability affect the validity or enforceability of such provision, or the application thereof, in any other jurisdiction. 

 IN WITNESS WHEREOF, the parties hereto have each caused this Agreement to be duly executed as of
the date first written above. 
  

							
	ONCOR ELECTRIC DELIVERY HOLDINGS COMPANY LLC
		
	By:	 	 /s/ Robert S. Shapard

		 	Name:	 	Robert S. Shapard                               
         
		 	Title:	 	Chief Executive Officer
	
	ONCOR ELECTRIC DELIVERY COMPANY LLC
		
	By:	 	 /s/ Robert S. Shapard

		 	Name:	 	Robert S. Shapard                               
         
		 	Title:	 	Chief Executive Officer
	
	SEMPRA ENERGY
		
	By:	 	  

		 	Name:
		 	Title:
	
	ONCOR MANAGEMENT INVESTMENT LLC
		
	By:	 	 Oncor Electric Delivery Company LLC,

its Managing Member

 
							
			
		 	By:	 	 /s/ Robert S.
Shapard                    

		 		 	Name:	 	Robert S. Shapard                    
		 		 	Title:	 	Chief Executive Officer                    

  
 [Signature Page to
Interest Transfer Agreement] 

 IN WITNESS WHEREOF, the parties hereto have each caused this Agreement to be duly executed as of
the date first written above. 
  

							
	ONCOR ELECTRIC DELIVERY HOLDINGS COMPANY LLC
		
	By:	 	  

		 	Name:	 	
		 	Title:	 	
	
	ONCOR ELECTRIC DELIVERY COMPANY LLC
		
	By:	 	  

		 	Name:	 	
		 	Title:	 	
	
	SEMPRA ENERGY
		
	By:	 	 /s/ Trevor I. Mihalik

		 	Name:	 	Trevor I. Mihalik
		 	Title:	 	Senior Vice President, Controller and Chief Accounting Officer
	
	ONCOR MANAGEMENT INVESTMENT LLC
		
	By:	 	 Oncor Electric Delivery Company LLC,

its Managing Member

 
							
			
		 	By:	 	 /s/ Robert S. Shapard

		 		 	Name:	 	Robert S. Shapard                    
		 		 	Title:	 	Chief Executive Officer

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