Document:

Exhibit

	
		
	 
	 

Exhibit 10.3
CONSULTING AGREEMENT
THIS CONSULTING AGREEMENT (together with the attached Business Terms Exhibit, the “Agreement”), is made effective as of August 3, 2019 (the “Effective Date”) by and between SESEN BIO, INC., a Delaware corporation with an office at 245 First Street, Suite1800, Cambridge, MA 02142 (“SESEN”), and Dennis Kim, with an address at 1 McVickers Lane, Mendham, NJ 07945 (“Consultant”). SESEN desires to have the benefit of Consultant’s knowledge and experience, and Consultant desires to provide services to SESEN, all as provided in this Agreement.
		
	1.
	Services. SESEN retains Consultant, and Consultant agrees to provide, consulting and advisory services by to SESEN as SESEN may from time to time reasonably request and as specified in the attached Business Terms Exhibit (the “Consulting Services”). Any changes to the Consulting Services (and any related compensation adjustments) must be agreed to in writing between Consultant and SESEN prior to implementation of the changes. 

		
	2.
	Compensation. As full consideration for Consulting Services provided under this Agreement, SESEN agrees to pay Consultant and reimburse expenses as described in the Business Terms Exhibit. 

		
	3.
	Performance. Consultant agrees to provide the Consulting Services to SESEN, or to its designee, in accordance with all applicable laws and regulations and the highest professional standards. Consultant represents and warrants that Consultant has not been, and is not under consideration to be (a) debarred from providing services pursuant to Section 306 of the United States Federal Food Drug and Cosmetic Act, 21 U.S.C. § 335a; (b) excluded, debarred or suspended from, or otherwise ineligible to participate in, any federal or state health care program or federal procurement or non-procurement programs (as that term is defined in 42 U.S.C. § 1320a-7b(f)); (c) disqualified by any government or regulatory agencies from performing specific services, and is not subject to a pending disqualification proceeding; or (d) convicted of a criminal offense related to the provision of health care items or services, or under investigation or subject to any such action that is pending.

		
	4.
	Compliance with Obligations to Third Parties. Consultant represents and warrants to SESEN that the terms of this Agreement and Consultant’s performance of Consulting Services do not and will not conflict with any of Consultant’s obligations to any third parties. Consultant agrees not to use any trade secrets or other confidential information of any other person, firm, corporation, institution or other third party in connection with any of the Consulting Services. If Consultant is an employee of another company or institution, Consultant represents and warrants that Consultant is permitted to enter into this Agreement pursuant to such company’s or institution’s policies concerning professional consulting and additional workload. Consultant agrees not to make any use of any funds, space, personnel, facilities, equipment or other resources of a third party in performing the Consulting Services, nor take any other action that would result in a third party asserting ownership of, or other rights in, any Work Product (defined in Section 5), unless agreed upon in writing in advance by SESEN.

		
	5.
	Work Product. Consultant will promptly and fully disclose in confidence to SESEN all inventions, discoveries, improvements, ideas, concepts, designs, processes, formulations, products, computer programs, works of authorship, databases, mask works, trade secrets, know-how, information, data, documentation, reports, research, creations and other products arising from or made in the performance of (solely or jointly with others) the Consulting Services (whether or not patentable or subject to copyright or trade secret protection) (collectively, the “Work Product”). Consultant 

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assigns and agrees to assign to SESEN all rights in the United States and throughout the world to Work Product. Consultant will keep and maintain adequate and current written records of all Work Product, and such records will be available to and remain the sole property of SESEN at all times. For purposes of the copyright laws of the United States, Work Product will constitute “works made for hire,” except to the extent such Work Product cannot by law be “works made for hire”. Consultant represents and warrants that Consultant has and will have the right to transfer and assign to SESEN ownership of all Work Product. Consultant will execute all documents, and take any and all actions needed, all without further consideration, in order to confirm SESEN’s rights as outlined above. In the event that Consultant should fail or refuse to execute such documents within a reasonable time, Consultant appoints SESEN as attorney to execute and deliver any such documents on Consultant’s behalf.
		
	6.
	Confidentiality. “Confidential Information” means (a) any scientific, technical, business or financial information in whatever form (written, oral or visual) that is furnished or made available to Consultant by or on behalf of SESEN, (b) all information contained in or comprised of SESEN Materials (defined in Section 8); and (c) all Work Product. Confidential Information is, and will remain, the sole property of SESEN. During the Term (as defined in Section 9) and for a period of seven (7) years thereafter, Consultant agrees to (i) hold in confidence all Confidential Information, and not disclose Confidential Information without the prior written consent of SESEN; (ii) use Confidential Information solely in connection with the Consulting Services; (iii) treat Confidential Information with no less than a reasonable degree of care; (iv) reproduce Confidential Information solely to the extent necessary to provide the Consulting Services, with all such reproductions being considered Confidential Information; and (v) notify SESEN of any unauthorized disclosure of Confidential Information promptly upon becoming aware of such disclosure.  Consultant’s obligations of non-disclosure and non-use under this Agreement will not apply to any portion of Confidential Information that Consultant can demonstrate, by competent proof:

		
	(a)
	is generally known to the public at the time of disclosure or becomes generally known through no wrongful act on the part of Consultant;

		
	(b)
	is in Consultant’s possession at the time of disclosure other than as a result of Consultant’s breach of any legal obligation;

		
	(c)
	becomes known to Consultant on a non-confidential basis through disclosure by sources other than SESEN having the legal right to disclose such Confidential Information; or

		
	(d)
	is independently developed by Consultant without reference to or reliance upon Confidential Information.

If Consultant is required by a governmental authority or by order of a court of competent jurisdiction to disclose any Confidential Information, Consultant will give SESEN prompt written notice thereof and Consultant will take all reasonable and lawful actions to avoid or minimize the degree of such disclosure. Consultant will cooperate reasonably with SESEN in any efforts to seek a protective order.
		
	7.
	SESEN Materials. All documents, data, records, materials, compounds, apparatus, equipment and other physical property furnished or made available by or on behalf of SESEN to Consultant in connection with this Agreement (“SESEN Materials”) are and will remain the sole property of SESEN. Consultant will use SESEN Materials only as necessary to perform the Consulting Services and will not transfer or make available to any third party the SESEN Materials without the express 

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prior written consent of SESEN. Consultant will return to SESEN any and all SESEN Materials upon request.
		
	8.
	Publication; Publicity. Consultant may not publish or refer to Work Product, in whole or in part, without the prior express written consent of SESEN. Consultant will not use the name, logo, trade name, service mark, or trademark, or any simulation, abbreviation, or adaptation of same, or the name of SESEN or any of its affiliates for publicity, promotion, or other uses without SESEN’s prior written consent.

		
	9.
	Expiration/Termination. The term of this Agreement will commence on the Effective Date and expire at the end of the period specified in the “Term” Section of the Business Terms Exhibit, unless sooner terminated pursuant to the provisions of this Section 9 or extended by mutual written agreement of the parties (the “Term”). SESEN may terminate this Agreement upon five (5) days’ prior notice to Consultant. Any expiration or termination of this Agreement shall be without prejudice to any obligation of either party that has accrued prior to the effective date of expiration or termination. Upon expiration or termination of this Agreement, neither Consultant nor SESEN will have any further obligations under this Agreement, except that (a) Consultant will terminate all Consulting Services in progress in an orderly manner as soon as practicable and in accordance with a schedule agreed to by SESEN, unless SESEN specifies in the notice of termination that Consulting Services in progress should be completed; (b) Consultant will deliver to SESEN all Work Product made through expiration or termination; (c) SESEN will pay Consultant any monies due and owing Consultant, up to the time of termination or expiration, for Consulting Services properly performed and all authorized expenses actually incurred; (d) Consultant will immediately return to SESEN all SESEN Materials and other Confidential Information and copies thereof provided to Consultant under this Agreement; (e) the terms, conditions and obligations under Sections 3, 5, 6, 7, 8, 9 and 10 will survive expiration or termination of this Agreement; and (f) SESEN will retain its obligations under the Separation Agreement, including, but not limited to any obligation to make a payment to Consultant under Section 4 of the Separation Agreement.  For the sake of clarity, in the event that Consultant does not sign or revokes his signature to that Separation and General Release Agreement between Consultant and SESEN dated the same date hereof (“Separation Agreement”), this Agreement shall be deemed null and void.

		
	10.
	Miscellaneous.

		
	(a)
	Independent Contractor. The parties understand and agree that Consultant is an independent contractor and not an agent or employee of SESEN. Consultant has no authority to obligate SESEN by contract or otherwise. Consultant will not be eligible for any employee benefits of SESEN and expressly waives any rights to any employee benefits. Consultant will bear sole responsibility for paying and reporting Consultant’s own applicable federal and state income taxes, social security taxes, unemployment insurance, workers’ compensation, and health or disability insurance, retirement benefits, and other welfare or pension benefits, if any, and indemnifies and holds SESEN harmless from and against any liability with respect to such taxes, benefits and other matters.

		
	(b)
	Use of Name. Consultant consents to the use by SESEN of Consultant’s name on its website, in press releases, company brochures, offering documents, presentations, reports or other documents in printed or electronic form, and any documents filed with or submitted to any governmental or regulatory agency or any securities exchange or listing entity; provided, 

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that such materials or presentations accurately describe the nature of Consultant’s relationship with or contribution to SESEN.
		
	(c)
	Entire Agreement. This Agreement contains the entire agreement of the parties with regard to its subject matter, and supersedes all prior or contemporaneous written or oral representations, agreements and understandings between the parties relating to that subject matter. This Agreement may be changed only by a writing signed by Consultant and an authorized representative of SESEN.  For clarity, nothing in this Agreement is intended to supersede or conflict with the terms of (i) the Separation Agreement or (ii) that certain Employee Non-Competition, Non-Solicitation, Confidentiality and Assignment Agreement by and between the Company and Employee dated December 3, 2018 (as modified by the Separation Agreement), both of which Employee acknowledges continue in full force and effect in accordance with their terms.

		
	(d)
	Certain Disclosures and Transparency. Consultant acknowledges that SESEN and its affiliates are required to abide by federal and state disclosure laws and certain transparency policies governing their activities including providing reports to the government and to the public concerning financial or other relationships with healthcare providers. Consultant agrees that SESEN and its affiliates may, in their sole discretion, disclose information about this Agreement and about Consultant’s Consulting Services including those relating to healthcare providers and any compensation paid to healthcare providers pursuant to this Agreement. Consultant agrees to promptly supply information reasonably requested by SESEN for disclosure purposes. To the extent that Consultant is independently obligated to disclose specific information concerning the Consulting Services relating to healthcare providers and compensation paid to healthcare providers pursuant to this Agreement, Consultant will make timely and accurate required disclosures.

		
	(e)
	Assignment and Binding Effect. The Consulting Services to be provided by Consultant are personal in nature. Consultant may not assign or transfer this Agreement or any of Consultant’s rights or obligations hereunder. In no event will Consultant assign or delegate responsibility for actual performance of the Consulting Services to any third party. SESEN may transfer or assign this Agreement, in whole or in part, without the prior written consent of Consultant. Any purported assignment or transfer in violation of this Section is void. This Agreement will be binding upon and inure to the benefit of the parties and their respective legal representatives, heirs, successors and permitted assigns.

		
	(f)
	Notices. All notices required or permitted under this Agreement must be in writing and must be given by directing the notice to the address for the receiving party set forth below or at such other address as the receiving party may specify in writing under this procedure:

If to SESEN:
Sesen Bio, Inc.
245 First Street, Suite 1800
Cambridge, MA 02143
ATTN: CEO

If to Consultant:
Dennis Kim
1 McVickers Lane

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Mendham, NJ 07945 
All notices must be given (i) by personal delivery, with receipt acknowledged, (ii) by prepaid certified or registered mail, return receipt requested, or (iii) by prepaid recognized next business day delivery service. Notices will be effective upon receipt or at a later date stated in the notice.
		
	(g)
	Governing Law. This Agreement and any disputes relating to or arising out of this Agreement will be governed by, construed, and interpreted in accordance with the internal laws of the state of Delaware, without regard to any choice of law principle that would require the application of the law of another jurisdiction. The parties agree to submit to the exclusive jurisdiction of the state and federal courts located in the state of Delaware and waive any defense of inconvenient forum to the maintenance of any action or proceeding in such courts.

		
	(h)
	Severability; Reformation. Each provision in this Agreement is independent and severable from the others, and no provision will be rendered unenforceable because any other provision is found by a proper authority to be invalid or unenforceable in whole or in part. If any provision of this Agreement is found by such an authority to be invalid or unenforceable in whole or in part, such provision shall be changed and interpreted so as to best accomplish the objectives of such unenforceable or invalid provision and the intent of the parties, within the limits of applicable law.

		
	(i)
	No Strict Construction; Headings. This Agreement has been prepared jointly and will not be strictly construed against either party. The section headings are included solely for convenience of reference and will not control or affect the meaning or interpretation of any of the provisions of this Agreement.

		
	(j)
	Waivers. Any delay in enforcing a party’s rights under this Agreement, or any waiver as to a particular default or other matter, will not constitute a waiver of such party’s rights to the future enforcement of its rights under this Agreement, except with respect to an express written waiver relating to a particular matter for a particular period of time signed by Consultant and an authorized representative of the waiving party, as applicable.

		
	(k)
	Remedies. Consultant agrees that (i) SESEN may be irreparably injured by a breach of this Agreement by Consultant; (ii) money damages would not be an adequate remedy for any such breach; (iii) as a remedy for any such breach SESEN will be entitled to seek equitable relief, including injunctive relief and specific performance, without being required by Consultant to post a bond; and (iv) such remedy will not be the exclusive remedy for any breach of this Agreement.

		
	(l)
	Counterparts. This Agreement may be executed in any number of counterparts, each of which will be deemed an original, but all of which together will constitute one and the same instrument. A facsimile or portable document format (“.pdf”) copy of this Agreement, including the signature pages, will be deemed an original.

[Signature page follows] 

IN WITNESS WHEREOF, the parties have executed this Agreement as of the Effective Date.
	
		
	SESEN BIO, INC.
By: /s/ Thomas Cannell   
Name: Tom Cannell   
Title:      President and CEO   
Date:  August 2, 2019   
	DENNIS KIM
By: /s/ Dennis Kim   
Name: Dennis Kim    
Title:     Consultant   
Date:  August 2, 2019   

BUSINESS TERMS EXHIBIT
Consulting Agreement with Dennis Kim
Dated August 3, 2019
		
	1.
	Consulting Services: 

Consultant will provide the following Consulting Services to SESEN:
Under the direction of the CEO, provides clinical advisory and consulting support to Sesen.
All participation will be telephonic, unless mutually agreed upon
When Sesen hires an internal or other consulting medical resource, Consultant is responsible for transitioning clinical responsibilities. 
Consultant responds to all requests for information, provides background, and shares knowledge
As invited, participates in meetings relating to Drug Safety, Regulatory Filings, or other Clinical-related topics. 
The consultant is expected to provide responses within 48 hours of the request or provides a status update
Consultant will provide Consulting Services on a schedule and at a location or locations indicated above or as otherwise mutually agreed between Consultant and the Company’s Chief Executive Officer. In addition, Consultant will be reasonably available for telephone and/or written consultations.
Consultant will not be required to provide more than sixteen and a half (16.5) hours of Consulting Services each week.
		
	2.
	Compensation:

Fees: Subject to the approval by the Company’s Chief Executive Officer as noted below, SESEN will pay Consultant at the rate of $500 per hour, not to exceed a total of $150,000 during the Term (“Consulting Fees”).  
Expenses: SESEN will reimburse Consultant for any pre-approved expenses actually incurred by Consultant in connection with the provision of Consulting Services. Requests for reimbursement will be in a form reasonably acceptable to SESEN, will include supporting documentation and will accompany Consultant’s invoices.
Tracking Time: By 12:00 p.m. on Monday of each week, Consultant shall submit to the Company’s Chief Executive Officer in writing the total number of hours worked the prior week for approval.
Payment of Consulting Fees: The Company shall pay Consultant the total Consulting Fees earned within ten (10) business days of the end of the Term (as defined below).
		
	3.
	Term:

The Term of this Agreement shall be for a term of three months beginning on the Effective Date and ending on November 2, 2019, subject to Section 9 of the Agreement.

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EXHIBIT 10.1

AMENDMENT NO. 3 TO AMENDED AND RESTATED EMPLOYMENT AGREEMENT

THIS AMENDMENT NO. 3 TO AMENDED AND RESTATED EMPLOYMENT AGREEMENT, AS PREVIOUSLY AMENDED (This “Amendment No. 3) is effective as of this 5th day of April 2019 (the “Effective Date”), between Sinclair Broadcast Group, Inc., a Maryland corporation (“SBG”) and Barry M. Faber (“Employee”).  SBG and Employee are sometimes individually referred to in this Amendment No. 3 as a “Party” collectively as the “Parties.”
RECITALS
A.    SBG and Employee are parties to that certain Amended and Restated Employment Agreement dated November 11, 2011 (the “Original Agreement).

B.    SBG and Employee previously entered into an Amendment No. 1 to the Original Agreement, effective as of August 28, 2015 (“Amendment No. 1”).

C.    SBG and Employee previously entered into an Amendment No. 2 to the Original Agreement, effective as of March 28, 2017 (“Amendment No. 2” and the Original Agreement as amended by Amendment No. 1 and by Amendment No. 2, the “Agreement”).

D.    The Parties desire to amend the Agreement pursuant to the terms and conditions of this Amendment No. 3. Capitalized terms used in this Amendment No. 3 but not otherwise defined herein shall have the meanings ascribed to such terms in the Agreement.

NOW, THEREFOR, IN CONSIDERATION OF the mutual covenants herein contained, and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, the Parties agree as follows:

		
	1.
	Section 1.1 of the Agreement is hereby amended as follows:

		
	a.
	by deleting the first sentence thereof and replacing such sentence with the following: “Upon the terms and subject to the other provisions of this Agreement, Employee will be employed by SBG as its President, Distribution and Network Relations.” and

		
	b.
	by adding the following clause (c) at the end of such Section: “(c) be responsible for hiring and managing an appropriate distribution/affiliate sales team, including developing a succession plan (with any hiring of a successor candidate to be subject to, and contingent upon, approval of the SBG CEO).

		
	2.
	Section 3.1 of the Agreement is amended by adding the following proviso at the end of the second sentence thereof: “; provided, Employee’s salary shall by One Million Dollars ($1,000,000) during calendar year 2019, shall be One Million Twenty Thousand Dollars ($1,020,000) during calendar year 

2020, and shall be subject to the discretion of the Compensation Committee of the SBG Board in year 2021 and thereafter.”

		
	3.
	Section 4.1(d) of the Agreement is amended by deleting clause (iv) thereof and replacing such deleted clause with the following: “if Employee is no longer SBG’s President, Distribution and Network Relations or no longer reports to SBG’s CEO and the SBG Board.”

		
	4.
	Section 4.2 of the Agreement is amended as follows:

		
	a.
	By adding the following clause 5 at the end of subsection (a): “5.  An amount in cash equal to a good faith calculation by SBG of the value of the Restricted Stock which would have been issued to Employee (as if the Employee had not died) pursuant to Section 9.2 in the year following the year of Employee’s death that was (or would have been) earned for the year of the Employee’s death, plus the bonus contemplated by Section 9.4 if such bonus would, in the reasonable determination of SBG, have been likely to have been earned as a result of distribution agreements negotiated prior to Employee’s death.”

		
	b.
	By adding the following clause 5 at the end of subsection (b): “5.  An amount in cash equal to a good faith calculation by SBG of the value of the Restricted Stock which would have been issued to Employee (in the absence of Employee’s Disability) pursuant to Section 9.2 in the year following the year in which such Disability occurred for the year in which the Disability occurred, plus the bonus contemplated by Section 9.4 if such bonus would, in the reasonable determination of SBG, have been likely to be have been earned as a result of distribution agreements negotiated prior to Employee’s Disability.”

		
	c.
	By adding the following clause 5 at the end of subsection (e): “5.  An amount in cash equal to a good faith calculation by SBG of the value of the Restricted Stock which would have been issued to Employee pursuant to Section 9.2 and which was not issued prior to such termination, plus the bonus contemplated by Section 9.4 if not paid prior to such termination.” 

		
	5.
	Section 5.2(c) of the Agreement shall be amended by deleting clause (ii) thereof, including the proviso to such Section 5.2(c).

		
	6.
	A new Section 9 shall be added to the Agreement immediately after Section 8, as follows:

9.    Special Bonuses 
9.1.    Cash Bonus.  No later than April 12, 2019, Employee shall be paid a cash bonus equal to the amount obtained by multiplying One Hundred Thousand Dollars ($100,000) by the percentage increase (calculated to the tenth of one percent) of net, pro forma distribution revenue growth in 2018 as compared to 2017.
9.2.    Annual Bonuses.
a.    Within five days of the Effective Date of this Amendment No. 3, Employee shall be granted twenty-two thousand, eight hundred fifty-nine (22,859) shares of SBG Restricted Stock.

b.    With respect to each of 2019 and 2020, Employee shall be paid a bonus in the form of SBG Restricted Stock, in each case based on the increase of net pro forma distribution revenue during such year as compared to the immediately preceding year (i.e., 2019 as compared to 2018 and 2020 as compared to 2019).  The value of such Restricted Stock due hereunder shall be determined by multiplying the percentage increase (calculated to the tenth of one percent) of net pro forma distribution revenue growth by a dollar amount, which dollar amount shall be Fifty Thousand Dollars ($50,000) with respect to any increase up to and including five percent (5.0%) and One Hundred Fifty Thousand Dollars ($150,000) with respect to any increase in excess of five percent (5.0%).  In the event SBG determines in good faith, with such determination being subject to the arbitration provisions set forth in Section 9.2(e) below (a “Determination”) that the annual net pro forma distribution revenue decreases as compared to the immediately prior year in any year commencing in 2019 and with respect to which Employee is employed by SBG for the entire year, SBG shall have the right to cause Employee to, and the Employee shall, forfeit Restricted Stock previously granted pursuant to this Section 9.2(b) which is unvested as of the date of such Determination (with vesting being delayed if the date of the Determination has not yet occurred prior to the next annual vesting date or if any such Determination has occurred, but is under dispute).  In the event the Employee has, as of the time of a Determination, no unvested Restricted Stock previously granted pursuant to this Section 9.2(b) or not enough unvested Restricted Stock previously granted pursuant to this Section 9.2(b) to be forfeited to cover the decline, the negative balance remaining shall be deducted (as determined from time to time by SBG in its sole and absolute discretion) from any Restricted Stock to which the Employee may be entitled due to an increase of net pro forma distributions revenue in any subsequent years.  No new Restricted Stock shall be issued to Employee until all prior year negative balances have been accounted for. The value of unvested Restricted Stock forfeited and/or Restricted Stock not issued to Employee as the result of a Determination shall be calculated on a “last in first out” basis so as to place Employee in the same position Employee would have been in if negative change in one year were subtracted from the positive change in another year. 
c.    For illustrative purposes only, in the event the percentage increase of net pro forma distribution revenue in a year is thirteen and four tenths percent (13.4%), a Restricted Stock bonus equal to One Million Five Hundred Ten Thousand Dollars ($1,510,000) would be paid to the Employee.  The value of Restricted Stock to be issued shall be calculated by multiplying Fifty Thousand Dollars ($50,000) times five (5) plus One Hundred Fifty thousand Dollars ($150,000) multiplied by eight and four tenths (8.4) (i.e., the difference between thirteen and four tenths (13.4) and five (5)).  In the next year, if the net pro forma distribution revenue decreases by three and two tenths percent (3.2%), Four Hundred Eighty Thousand Dollars ($480,000) of unvested Restricted Stock would be forfeited by Employee, leaving Employee in the position he would have been in had the percentage increase in year one been ten and two tenths percent (10.2%).  The value of such forfeiture is calculated by multiplying One Hundred Fifty Thousand Dollars ($150,000) times three and two tenths (3.2).  Alternatively, if in the next year if the net pro forma distribution revenue decreases by nine and three tenths percent (9.3%), One Million Three Hundred Five Thousand Dollars ($1,305,000) of unvested Restricted Stock would be forfeited by Employee, leaving Employee in the position he would have been in had the percentage increase in year one been four and one tenth percent (4.1%).  The value of the forfeiture is calculated by multiplying One Hundred Fifty Thousand Dollars ($150,000) times eight and four tenths (8.4%) and by multiplying Fifty Thousand Dollars by nine tenths (0.9%) and adding together both results.

d.    Such bonuses shall be paid as promptly as practicable following the end of the applicable year, but no later than March 1st of the following year. Employee shall be entitled to the bonuses contemplated by this Section 9.2 in the event that Employee is continuously employed by SBG from the Effective Date through the earliest of either (a) the last day of the year to which such bonus relates, or (b) the termination of this Agreement pursuant to Sections 4.1(a)(1) (the Employee’s death), 4.1(a)(2) (the employee’s Disability), 4.1(a)(5) (a termination of Employee by SBG without Cause) or 4.1(a)(6) (a termination of employment by Employee for Good Reason) of this Agreement.
e.    SBG and Employee agree to discuss in good faith (i) in the event either party believes that adjustments (up or down) to the amount of the bonuses contemplated hereby are appropriate based on the inclusion or absence of material non-rate terms which impact rates, negotiation impasses, the impact of negotiation of carriage agreements for properties other than television stations currently owned by SBG and Tennis Channel (e.g., Marquee RSN (as defined below) or other regional sports networks) or other special circumstances impacting distribution revenue or (ii) any dispute by Employee as to the calculation of net, pro rata distribution revenue with respect to any year.  In the event the parties are not able to reach agreement on the calculation of any bonus to which Employee may be entitled or any forfeiture of any previously granted bonus pursuant to this Section 9.2 after good faith negotiations, the parties agree to submit to binding arbitration, (with the cost of such arbitration to be borne by Sinclair notwithstanding anything to the contrary in contained in Sections 10.1 10.16 or 10.18 of the Agreement) to determine whether or not any such adjustments proposed by either Party will be made.
f.    The Restricted Stock granted hereunder shall be on terms and conditions consistent in all material respects with Employee’s past Restricted Stock grants, including (as recently modified) with respect to non-forfeiture of such Restricted Stock as a result of termination due to retirement; provided, however, if there is (i) a determination by a court of competent jurisdiction, binding arbitration, or an administrative agency (and such determination is no longer subject to an appeal) or (ii) a reasonable determination made in good faith after an analysis of all relevant material by the SBG Chief Executive Officer and such determination has been presented to and ratified by the “independent members” of SBG Board of Directors (as the term “independent members” is defined under the NASDAQ rules and regulations) that Employee engaged in misconduct resulting in a breach of his duty to SBG and its shareholders which was a material cause for the FCC’s decision to designate SBG’s proposed acquisition of Tribune Media for a hearing by an Administrative Law Judge, SBG shall have the right to cause Employee to forfeit any Restricted Stock granted pursuant to Section 9.2(b) which is unvested as of the date of such determination; provided further, however, if SBG causes Employee to forfeit any Restricted Stock pursuant to this Section 9.2(f), this Agreement shall be automatically and immediately amended to reinsert clause (ii) of Section 5.2(c) of this Agreement, including the proviso to such Section 5.2(c), which was previously deleted pursuant to Section 5 of Amendment No. 3 to this Agreement.
g.    For purposes of determining the number of shares of Restricted Stock to be granted pursuant to Section 9.2(b), the shares shall be treated as having a value equal to the average closing price of SBG Common Stock during the five trading days immediately preceding the grant date.
9.3.    Net, Pro Forma Distribution Revenue Calculation.    Gross distribution revenue shall be the sum of all consideration received in exchange for carriage of television station programming streams (e.g., retransmission consent fees received from MVPDs and 

fees received directly or indirectly from virtual MVPDs) and for carriage of Tennis Channel and net distribution revenue shall be the excess of such amount over reverse retrans fees paid to the networks with which SBG’s stations are affiliated. Such calculations shall be made in good faith by SBG, consistently with respect to the years being calculated and shall be consistent with past practice. Such calculations shall be done on a pro forma basis to take into account any change in television stations covered by SBG’s retransmission consent agreements and shall only include stations with respect to which SBG is legally permitted to, and does in fact, negotiate retransmission consent.
9.4.    Marquee Sports Network Bonus.    So long as the Employee has not been terminated by SBG for Cause under this Agreement, Employee shall be paid within thirty (30) days of the Termination Date (as defined later in this Section 9.4) a cash bonus equal to Seven Hundred Fifty Thousand Dollars ($750,000) in the event that certain Guaranty Agreement, dated February 12, 2019 between Marquee Sports Network, LLC and SBG has been terminated on or before March 31, 2023 (the “Termination Date”) as a result of the satisfaction of the conditions set forth in Section 3(b) of the Guarantee relating to meeting certain goals with respect to distribution fees and the penetration of the regional sports network (“Marquee RSN”) owned by Marquee Sports Network LLC.  If, in the reasonable opinion of SBG determined in good faith, the satisfaction of the conditions set forth in Section 3(b) of the Guarantee results primarily from distribution agreements negotiated by the Employee while Employee was employed by SBG, Employee shall not be required to be an employee on the Termination Date to receive the bonus contemplated by this Section 9.4.
		
	7.
	The current Section 9 of the Agreement and each subsection thereof shall be re-enumerated as Section 10 and the Sections referenced in Section 10.10 (formerly 9.10) shall be amended to add a reference to Section 10.

		
	8.
	Employee agrees to at all times cooperate both during and after Employee’s employment with SBG in good faith and at SBG’s cost with all reasonable requests of SBG relating in any manner to any litigation, government hearings, or internal investigations of the previously proposed acquisition by SBG of Tribune Media and the termination thereof.

		
	9.
	Except as expressly modified by this Amendment No. 3, the Agreement shall continue in full force and effect as if set forth specifically herein.

		
	10.
	The term “this Agreement” as used in the Agreement, Amendment No. 1, Amendment No. 2, or this Amendment No. 3 shall mean the Original Agreement as amended and modified by the terms of all subsequent amendments and restatements thereof unless the context clearly indicates or dictates a contrary meaning.

		
	11.
	This Amendment No. 3 may be executed in two counterparts, both of which when taken together shall constitute one agreement.

(The Signatures of the Parties appear on the Immediately Following Page.)

IN WITNESS WHEREOF, the parties hereto have executed this Agreement effective as of the date first written above.

SINCLAIR BROADCAST GROUP, INC.

By:    _/s/ Christopher S. Ripley_
Name:    Christopher S Ripley
Title:    Chief Executive Officer/President

EMPLOYEE

/s/ Barry M. Faber
Barry M. Faber

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