Document:

bbsi-ex101_275.htm

 

EXHIBIT 10.1

 

AWARD AGREEMENT

Under The

Barrett Business Services, Inc.

2015 Stock Incentive Plan

 

NON-EMPLOYEE DIRECTOR RESTRICTED STOCK UNITS

 

This Non-Employee Director Restricted Stock Units Award Agreement (this "Agreement"), effective as of the date indicated below, evidences the grant of Restricted Units ("RSUs") to Participant under Article 9 of the Barrett Business Services, Inc., 2015 Stock Incentive Plan (the "Plan").

		
	
 
	
 

	
Corporation:
	
BARRETT BUSINESS SERVICES, INC.

 

	
Participant:
	
____________________________________

 

	
Grant Date:
	
__________________

 

	
Number of RSUs:
	
__________________

 

	
Initial Value of Grant: 

 
	
$______, based on the closing price of a Share of Common Stock, $______, on ____________.

 

	
Restriction Period:
	
The Restriction Period commences on the Grant Date and ends on [the one-year anniversary of the Grant Date].

 

	
Vesting Schedule:
	
100% on the last day of the Restriction Period.

	
 
	
 

 

Each RSU represents a hypothetical Share of Common Stock.  As a holder of RSUs, Participant will have only the rights of a general unsecured creditor of Corporation until delivery of Shares is made as specified in this Agreement.

The terms and conditions of this Award of RSUs are set forth on the following pages of this Agreement and are, in each instance, subject to the terms and conditions of the Plan.   

This Agreement may be acknowledged and accepted by Participant by signing, scanning and returning a copy of this page by email.

		
	
 

_____________________________

Participant
	
BARRETT BUSINESS SERVICES, INC.

By___________________________________

Name ________________________________

Its ___________________________________

 

- 1 -

 

AWARD AGREEMENT

Under The

Barrett Business Services, Inc.

2015 Stock Incentive Plan

 

NON-EMPLOYEE DIRECTOR RESTRICTED STOCK UNITS

TERMS AND CONDITIONS

 

1.Defined Terms

When used in this Agreement, the following terms have the meanings set forth below:

(a)"Acquiring Person" means any person or related person or related persons which constitute a "group" for purposes of Section 13(d) and Rule 13d‐5 under the Exchange Act, as such Section and Rule are in effect as of the Grant Date; provided, however, that the term Acquiring Person shall not include (i) Corporation or any of its Subsidiaries, (ii) any employee benefit plan of Corporation or any of its Subsidiaries, (iii) any entity holding voting capital stock of Corporation for or pursuant to the terms of any such employee benefit plan, or (iv) any person or group solely because such person or group has voting power with respect to capital stock of Corporation arising from a revocable proxy or consent given in response to a public proxy or consent solicitation made pursuant to the Exchange Act.

(b)"Change in Control" means:

(i)A change in control of Corporation of a nature that would be required to be reported in response to Item 6(e) of Schedule 14A of Regulation 14A as in effect on the Grant Date pursuant to the Exchange Act; provided that, without limitation, such a change in control shall be deemed to have occurred at such time as any Acquiring Person hereafter becomes the "beneficial owner" (as defined in Rule l3d‐3 under the Exchange Act), directly or indirectly, of 40 percent or more of the combined voting power of Voting Securities; or

(ii)During any period of 12 consecutive calendar months, individuals who at the beginning of such period constitute the Board cease for any reason to constitute at least a majority thereof unless the election, or the nomination for election, by Corporation stockholders of each new director was approved by a vote of at least a majority of the directors then in office who were directors at the beginning of the period; or

(iii)There shall be consummated (1) any consolidation or merger of Corporation in which Corporation is not the continuing or surviving corporation or pursuant to which Voting Securities of the Corporation would be converted into cash, securities, or other property, other than a merger of Corporation in which the holders of its Voting Securities immediately prior to the merger have the same proportionate ownership of Voting Securities of the surviving corporation immediately after the merger, or (2) any sale, lease, exchange, or other transfer (in one transaction or a series of related transactions) of all, or substantially all, of the assets of Corporation; or

(iv)Approval by the stockholders of Corporation of any plan or proposal for the liquidation or dissolution of Corporation.

(c)"Change in Control Date" means the first date following the Grant Date on which a Change in Control has occurred.

- 2 -

 

(d)"Grant Date" means the date the RSUs are granted, which is reflected as the date of this Agreement.

(e)"Voting Securities" means issued and outstanding securities ordinarily having the right to vote in elections for director.

Capitalized terms not otherwise defined in this Agreement have the meanings given them in the Plan.

2.Terms of RSUs

The RSUs are subject to all the provisions of the Plan and to the following terms and conditions:

2.1Restriction Periods.  The RSUs are subject to the Restriction Periods shown on the first page of this Agreement.

2.2Vesting.  Subject to the accelerated Vesting provisions of Section 2.4, the designated percentages of RSUs will Vest in accordance with the schedule shown on the first page of this Agreement.

2.3Continuation as Director.  Except as otherwise provided in this Agreement, in the event that Participant ceases to be a member of the Board during any Restriction Period for any reason, all unvested RSUs will be forfeited immediately.  

2.4Acceleration of Vesting.  Notwithstanding Section 2.3 or the schedule referred to in Section 2.2, the RSUs will become fully Vested upon the occurrence of either:

(a)Participant's death or withdrawal from the Board by reason of Disability; or

(b)A Change in Control Date.

2.5Settlement.

(a)Generally. Unless previously forfeited pursuant to Section 2.3 or otherwise provided by this Agreement, each designated percentage of RSUs will be settled on the last day of the applicable Restriction Period or, if not a business day, on the first business day thereafter (the "Settlement Date"), by the delivery to Participant of an unrestricted certificate for a number of Shares of Common Stock equal to the number of RSUs that became Vested on that Settlement Date.  Shares issued upon settlement of RSUs may be subject to additional transfer restrictions as provided in this Agreement.  

(b)On Change in Control Date.   RSUs that Vest on a Change in Control Date will be settled in cash in lieu of Shares, with the settlement value of each RSU calculated as the Fair Market Value of a Share on the Change in Control Date.

2.6Other Documents.  Participant will be required to furnish to Corporation before settlement such other documents or representations as Corporation may require to assure compliance with applicable laws and regulations. 

- 3 -

 

2.7RSUs Not Transferable.  Neither the RSUs, nor this Agreement, nor any interest or right in the RSUs or this Agreement, may be sold, pledged, assigned, or transferred in any manner other than by will or the laws of descent and distribution, unless and until the RSUs have been settled as provided in this Agreement.  Neither the RSUs nor any interest or right in the RSUs will be liable for the debts, obligations, contracts or engagements of Participant or his or her successors in interest or will be subject to disposition by transfer, alienation, anticipation, pledge, encumbrance, assignment or any other means whether such disposition be voluntary or involuntary or by operation of law by judgment, levy, attachment, garnishment or any other legal or equitable proceedings (including bankruptcy), and any attempted disposition will be null and void and of no effect, except to the extent that such disposition is permitted by the preceding sentence.  Shares issued upon settlement of RSUs may be subject to additional transfer restrictions as provided in this Agreement.

2.8Rights as Stockholder.  Prior to the issuance of a certificate for Shares of Common Stock in settlement of the RSUs, Participant will have no rights as a stockholder of Corporation with respect to this Agreement or the RSUs.  

3.Tax Reimbursement

In the event any withholding or similar tax liability is imposed on Corporation in connection with or with respect to any Vesting of the RSUs, Participant agrees to pay to Corporation an amount sufficient to provide for such tax liability.  

4.Conditions Precedent

Corporation will not be required to issue any Shares upon Vesting of the RSUs, or any portion thereof, until Corporation has taken any action required to comply with all applicable laws, rules and regulations. Such action may include, without limitation, (a) registering or qualifying such Shares under any state or federal law or under the rules of any securities exchange or association, (b) satisfying any law or rule relating to the transfer of unregistered securities or demonstrating the availability of an exemption from any such law, (c) placing a restrictive legend or stop-transfer instructions on the Shares issued upon settlement of the Award, or (d) obtaining the consent or approval of any governmental or regulatory body.

5.Successorship

Subject to restrictions on transferability set forth in the Plan, this Agreement will be binding upon and benefit the parties, their successors and assigns.

6.Notices

Any notices under this Agreement must be in writing and will be effective when actually delivered personally or, if mailed, when deposited as registered or certified mail directed to the address of Corporation's records or to such other address as a party may certify by notice to the other party.

7.Arbitration

Any dispute or claim that arises out of or that relates to this Agreement or to the interpretation, breach, or enforcement of this Agreement, must be resolved by mandatory arbitration administered by and in accordance with the then effective arbitration rules of Arbitration Service of 

- 4 -

 

Portland, Inc.  The place of arbitration will be Multnomah County, Oregon.  The award rendered by the arbitrator will be final and binding, and judgment may be entered on the award in any court having jurisdiction.

8.Attorney Fees

In the event of any suit or action or arbitration proceeding to enforce or interpret any provision of this Agreement (or which is based on this Agreement), the prevailing party will be entitled to recover, in addition to other costs, reasonable attorney fees in connection with such suit, action, or arbitration, and in any appeal.  The determination of who is the prevailing party and the amount of reasonable attorney fees to be paid to the prevailing party will be decided by the arbitrator or arbitrators (with respect to attorney fees incurred prior to and during the arbitration proceedings) and by the court or courts, including any appellate courts, in which the matter is tried, heard, or decided, including the court which hears any exceptions made to an arbitration award submitted to it for confirmation as a judgment (with respect to attorney fees incurred in such confirmation proceedings).

9.Clawback/Recovery

Compensation paid to the Participant under this Award is subject to recoupment in accordance with any clawback policy of Corporation in effect from time to time, including any such policy adopted after the date of this Agreement, as well as any similar requirement of applicable law, including without limitation the Dodd-Frank Wall Street Reform and Consumer Protection Act and the Sarbanes-Oxley Act of 2002, and rules adopted by a governmental agency or applicable securities exchange under any such law.  Participant agrees to promptly repay or return any such compensation as directed by Corporation under any such clawback policy or requirement, including the value received from a disposition of Shares acquired pursuant to this Award.

10.Code Section 409A

This Agreement and the Award are intended to be exempt from the requirements of Code Section 409A by reason of all payments being "short-term deferrals" within the meaning of Treas. Reg. § 1.409A-1(b)(4).  All provisions of this Agreement shall be interpreted in a manner consistent with preserving this exemption.  In no event will Corporation be liable for any tax, interest, or penalties that may be imposed on Participant by Code Section 409A or any damages for failing to comply with Code Section 409A.

 

- 5 -bbsi-ex102_276.htm

 

EXHIBIT 10.2

TRANSITION AND SEPARATION AGREEMENT

The parties to this Transition and Separation Agreement (this "Agreement") are Gregory R. Vaughn ("Employee") and Barrett Business Services, Inc. (the "Company").  This Agreement is effective as of June 30, 2019 (the "Effective Date").

RECITALS

	
A.
	
Employee wishes to transition out of his current employment with the Company as Chief Operating Officer by continuing employment in a new and limited role, which is to commence on the Effective Date and shall terminate on December 31, 2020 (the "Termination Date").

	
B.
	
The Company and Employee wish to provide for the smooth transition of Employee's duties and responsibilities and for the transfer of Employee’s institutional knowledge to the Company.

AGREEMENT

	

	
The Company and Employee agree as follows:

1.SERVICES

1.1Employee shall report to the President/Chief Executive Officer of the Company and shall provide the services to the Company as more fully described on the attached Exhibit A  (all such services, the "Services").

1.2Employee shall perform the Services for approximately 20 hours per month, or as otherwise agreed by the parties to this Agreement.

2.TERM AND TERMINATION

2.1The term of this Agreement commences on the Effective Date and shall terminate on the Termination Date (the "Term"), subject to earlier termination as provided herein.  

2.2This Agreement may be terminated at any time by Employee or by the mutual written agreement of both parties. 

2.3The Company may unilaterally terminate this Agreement immediately for "cause" by providing written notice to Employee.  For the purposes of this Agreement, "cause" includes any breach of Employee's obligations under this Agreement, any commission of a felony or of a crime involving theft, fraud or dishonesty committed by Employee in the course of performing services for the Company, any intentional act of dishonesty or fraud by Employee in the course of performing services for the Company, or the employment of Employee by, or the provision by employee of any services to, any competitor of the Company.

-1-

 

2.4Upon any termination of this Agreement, Employee’s employment with the Company shall terminate and Employee shall promptly deliver to the Company all documents and materials created or used in connection with the Services.

3.COMPENSATION AND EQUITY AWARDS

3.1In exchange for performing the Services, Employee shall be entitled to a salary of $2,000 per month, prorated for any partial months.  Employee shall have no right to be paid any bonus for his services performed during the 2019 calendar year (whether accrued or not) or any subsequent year during the Term.

3.2All restricted stock units ("RSUs") that have been awarded to Employee prior to the Effective Date and that are not vested as of the Effective Date will be accelerated by the Company and considered fully vested as of the Effective Date.

3.3As of the Effective Date, Employee shall have no right to receive any new or additional equity awards (including without limitation RSUs or Performance Share Awards), and, notwithstanding the second sentence of Section 5 of this Agreement, any Performance Share Awards that are unvested as of the Effective Date will be forfeited in their entirety as of that date.

3.4As of the Effective Date, Employee shall no longer be entitled to participate in the Company’s Nonqualified Deferred Compensation Plan ("NQDC Plan"), and any related matching RSUs scheduled to be granted after the Effective Date will not be granted.

4.BENEFITS

4.1Employee shall be entitled to health benefits during the Term to the extent Employee is otherwise eligible under the Company’s applicable health plan.  Consistent with any Company plan that provides health benefits to its employees, Company will deduct the Employee-responsible portion of any health benefit premium through payroll deductions.

4.2To the extent Employee can be excluded under the terms of the relevant plan or agreement, Employee will not be entitled to vacation benefits, profit sharing arrangements, severance arrangements, or participation in a 401K plan during the Term.

4.3Employee will not be entitled to any rights or benefits under any life insurance policy in the Company’s name, and the Change in Control Agreement and the Death Benefit Agreement by and between the Company and Employee will each be terminated, as of the Effective Date.

 

 

 

 

-2-

 

5.SEPARATION FROM SERVICE

The parties to this Agreement acknowledge that Employee’s transition to the limited role of performing the Services for the Company on the Effective Date will be a “Separation from Service” as that term is defined under Section 2.30 of the NQDC Plan.  Notwithstanding the foregoing, Employee will continue to be treated as an employee of the Company with respect to any stock options outstanding under the Company’s stock incentive plans until this Agreement is terminated.

6.CONFIDENTIALITY

Employee acknowledges and reaffirms Employee's continuing obligations under any confidentiality agreement and code of conduct that Employee entered into in connection with Employee's employment with the Company, and Employee will continue to strictly comply with the terms of any confidentiality agreement throughout the Term. 

7.MISCELLANEOUS

7.1Entire Agreement.  Except as otherwise provided herein (including without limitation Section 6), this Agreement constitutes the entire agreement of the parties concerning the subject matter of this Agreement, and expressly supersedes any employment agreement between Employee and the Company.

7.2Consideration.  The parties acknowledge that the only consideration for this Agreement is the consideration expressly described herein, that each party fully understands the meaning and intent of this Agreement, and that this Agreement has been executed voluntarily.

7.3Attorneys’ Fees.  If any litigation, suit, or proceeding is instituted to enforce, interpret, or rescind this ‎Agreement, or otherwise in connection with the subject matter of this Agreement, ‎the prevailing party shall be entitled to recover, in addition to any other relief ‎awarded, its attorneys’ fees and costs at trial, any appeal, collection of the award, ‎or the enforcement of any order.‎

7.4Governing Law.  This Agreement shall be governed by and construed in accordance with the internal laws of the State of Washington without giving effect to any choice or conflict of law provision or rule (whether of the State of Washington or any other jurisdiction).

 

 

 

 

 

-3-

 

 

IN WITNESS WHEREOF, the parties executed this Agreement as of June 3, 2019.

	
EMPLOYEE
	
 
	
COMPANY

	
 
	
 
	
 Barrett Business Services, Inc.

 

	
 /s/ Gregory Vaughn                                      
	
 
	
By:
	
/s/ Gary Kramer                                     

	
 Gregory R. Vaughn
	
 
	
Name:
	
Gary Kramer

	
 
	
 
	
Title: 
	
Chief Financial Officer

-4-

 

EXHIBIT A

 

DESCRIPTION OF SERVICES

 

 

Employee shall provide the following services for the Company:

 

Serve in the capacity of Subject Matter Expert (SME) as appropriate in support of the Pelican initiative and existing operations.

 

Be available to the CEO to provide any one-off research, modeling, forecasting, etc. in support of initiatives that might not be appropriate for other employees to be involved in.

 

Employee shall provide such other additional advisory services as the parties to this Agreement may agree from time to time.

 

 

-5-

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00298-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00298-of-00352.parquet"}]]