Document:

EX-10.1

 Exhibit 10.1 
  

 
 Deed of separation 

Nexvet Australia Pty Ltd 
 ACN 141
909 131 
 and 
 Nexvet Biopharma
plc 
 Company No. 547923 

and 
 David Gearing 

 Table of contents 
  

							
	 1.
	 	 Definitions and interpretation
	  	 	3	 
			
	 2.
	 	 Termination of employment
	  	 	5	 
			
	 3.
	 	 Benefits
	  	 	5	 
			
	 4.
	 	 Acknowledgements
	  	 	6	 
			
	 5.
	 	 Releases
	  	 	6	 
			
	 6.
	 	 Confidentiality and intellectual property
	  	 	7	 
			
	 7.
	 	 Warranties and indemnities
	  	 	7	 
			
	 8.
	 	 General
	  	 	8	 
		
	 Schedule 1
	  	 	12	 
		
	 Schedule 2
	  	 	13	 
		
	Schedule 3	  	 	14	 

  
  

 
 2 

Deed of separation – David Gearing 

 Deed of separation 
  

			
	 Date
	  	10 March 2017

 Parties 
 Nexvet Australia
Pty Ltd (ACN 141 909 131) of Level 8, 31 Queen Street, Melbourne, 3000 (Nexvet AU). 
 and 

Nexvet Biopharma plc (Company no. 547923) of Unit 5, Sragh Technology Park, Rahan Road, Tullamore, Co. Offaly, Ireland, R35 FR98 (Parent
Company) 
 collectively, Nexvet 

David Gearing of 83 Broadway, Camberwell VIC 3124, Australia (Dr Gearing). 

Recitals 
  

	A.	Dr Gearing has been employed by Nexvet AU from 1 January 2010 until 10 March 2017 (Employment). 

  

	B.	Nexvet has been undertaking a review of its spending, and as part of that review, Dr Gearing indicated that he would be prepared to accept a voluntary redundancy if certain proposed spending cuts were approved. Those
spending cuts were approved by the Parent Board and the Employment is terminated by Nexvet AU due to redundancy effective 10 March 2017 (Termination). 

 

	C.	Dr Gearing’s last working day as an employee of Nexvet AU is 10 March 2017 (Release Date). 

  

	D.	Dr Gearing and Nexvet have agreed, without admission of liability, to settle all matters between them relating to the Employment and the Termination on the terms set out in this deed. 

Operative provisions 
  

	1.	Definitions and interpretation 

  

	1.1	Definitions 

 Capitalised terms that are not otherwise defined in this deed, have the
same definition as in the Employment Agreement. 
 Otherwise, in this deed: 

2013 LTI Plan means the long term incentive plan rules for the Parent Company dated 4 September 2014. 

2015 EI Plan means the 2015 equity incentive plan for the Parent Company adopted by the Parent Board, as amended. 

Award Agreements means: 

  
  

 
 3 

Deed of separation – David Gearing 

	 	(a)	the Restricted Share Unit Agreements between Dr Gearing and the Parent Company dated 1 October 2015 and 5 September 2016 respectively; and 

 

	 	(b)	the Share Option Agreement between Dr Gearing and the Parent Company dated 22 October 2015. 

EI Plans means each of the 2013 LTI Plan and the 2015 EI Plan. 

Employment Agreement means the employment agreement between Nexvet AU and Dr Gearing dated 22 December 2014, as varied by way of a
letter agreement dated 8 December 2015. 
 Equity Grants means equity awards that have been made to Dr Gearing pursuant to the EI
Plans. 
 Good Leaver has the meaning in the Award Agreements and the 2013 LTI Plan. 

Patents means any patents or patent applications including any divisions, renewals, continuations, continuations in part, re-issues, patent disclosures, improvements and extensions of re-issue thereof that have been (or may be) filed by or granted to Nexvet in which Dr Gearing is named as an
inventor. 
 Related Body Corporate means a related body corporate within the meaning of section 50 of the Australian Corporations
Act 2001 (Cth). 
 Releases means the mutual releases set out in clause 5. 

 

	1.2	Interpretation 

 In this deed, unless the context requires otherwise: 

 

	 	(a)	the singular includes the plural and vice versa; 

  

	 	(b)	a gender includes the other genders; 

  

	 	(c)	the headings are used for convenience only and do not affect the interpretation of this deed; 

  

	 	(d)	other grammatical forms of defined words or expressions have corresponding meanings; 

  

	 	(e)	a reference to a document includes the document as modified from time to time and any document replacing it; 

  

	 	(f)	the word “person” includes a natural person and any body or entity whether incorporated or not; 

  

	 	(g)	the word “month” means calendar month and the word “year” means 12 months; 

  

	 	(h)	the words “in writing” include any communication sent by letter, facsimile transmission or email or any other form of communication capable of being read by the recipient; 

 

	 	(i)	a reference to a thing includes a part of that thing; 

  

	 	(j)	a reference to all or any part of a statute, rule, regulation or ordinance (statute) includes that statute as amended, consolidated, re-enacted or replaced from time to
time; 

  

	 	(k)	wherever “include” or any form of that word is used, it must be construed as if it were followed by “(without being limited to)”; 

 

	 	(l)	money amounts are stated in Australian currency unless otherwise specified; and 

  

	 	(m)	a reference to any agency or body, if that agency or body ceases to exist or is reconstituted, renamed or replaced or has its powers or functions removed (defunct body), means the agency or body which performs
most closely the functions of the defunct body. 

  
  

 
 4 

Deed of separation – David Gearing 

	2.	Termination of employment 

 With effect on and from the Release Date, Dr Gearing’s
employment with Nexvet AU shall terminate. 
  

	3.	Benefits 

  

	3.1	Payment of notice and leave entitlements 

 In consideration for the Releases provided for
in this deed, and without admission of liability, Nexvet AU will pay Dr Gearing the amount specified in Schedule 1 to this deed (Payment). Nexvet AU will deduct all appropriate tax from the Payment before the payment of the after-tax amount to Dr Gearing. Nexvet AU shall pay the Payment to Dr Gearing on the Release Date. The Payment in Schedule 1 is listed in USD in accordance with the Employment Agreement. The Payment will be made to
Dr Gearing in AUD which will be determined based on the exchange rate published at www.oanda.com/fx-for-business/historical-rates for USD:AUD on the Release Date
(Exchange Rate). On the Release Date, Dr Gearing will be provided with a written notice stating the exact Gross and Net (AUD) amounts based on the Exchange Rate. 
  

	3.2	Accelerated vesting of Equity Grants 

 Pursuant to the terms of each of the EI Plans and
the Award Agreements, and as determined by the Compensation Committee, Dr Gearing is a Good Leaver and all of the Equity Grants that have not yet vested shall immediately vest upon the Release Date. At any time after the Release Date, Dr Gearing may
convert any Restricted Share Units (RSUs) or exercise any options, provided that he does so before the following expiry dates for the relevant equity grants: 
  

											
	 Type of security
	  	No. of securities	 	  	Date of expiry	  	Exercise /
conversion price
(USD)	 
	 RSU
	  	 	19,250	 	  	1 July 2017	  	$	0.125	 
	 RSU
	  	 	19,250	 	  	1 July 2018	  	$	0.125	 
	 Option
	  	 	46,372	 	  	28 February 2018	  	$	6.35	 
	 RSU
	  	 	19,250	 	  	1 July 2019	  	$	0.125	 
	 Option
	  	 	3,733	 	  	1 July 2019	  	$	0.125	 
	 RSU
	  	 	11,750	 	  	1 July 2020	  	$	0.125	 
	 Option
	  	 	100,000	 	  	10 February 2022	  	$	15.00	 

 If Dr Gearing does not exercise the options or convert the RSUs on or before the relevant expiry date, any
outstanding options or RSUs shall be forfeited as and from the relevant expiry date. 
  

	3.3	Pro-rata bonus 

 Pursuant to clause 7.8 of the
Employment Agreement, the Compensation Committee has determined that Dr Gearing be awarded a pro-rata bonus amount of US$46,107 (Bonus). Nexvet AU will deduct all appropriate tax from the Bonus before
the payment of the after-tax amount to Dr Gearing. Nexvet AU shall pay the Bonus to Dr Gearing on the Release Date. 
  

	3.4	Pro-rata Annual Equity Award Benefit 

  

	 	(a)	 Pursuant to clause 9.1(c) of the Employment Agreement, by way of the Annual Equity Award Benefit for fiscal year
2017, the Parent Company, through the Compensation Committee, has determined to offer Dr Gearing an amount equal to US$110,190 worth 

  
  

 
 5 

Deed of separation – David Gearing 

	 	
of ordinary shares in the Parent Company, with the total amount of shares to be allocated to Dr Gearing being determined based on the Parent Company’s share price on the close of trade on
Nasdaq on the day immediately preceding the Release Date (Share Offer). On the Release Date, Dr Gearing will be provided with a written notice stating the exact number of shares that are in the Share Offer. 

 

	 	(b)	Dr Gearing can accept the Share Offer within 30 days after the Release Date by completing the notice of acceptance attached to the Share Offer (Notice). 

 

	 	(c)	As soon as practicable after receipt of the signed Notice and payment of the nominal value per share, the Parent Company will issue the ordinary shares to Dr Gearing. 

 

	 	(d)	Failure to provide the Notice and make the payment within 30 days after the Release Date will result in Dr Gearing forfeiting the Share Offer. 

 

	3.5	Statement and SEC filing 

  

	 	(a)	Nexvet AU agrees that on the Release Date it will release the statement as set out in Schedule 2 to internal and external parties as Nexvet AU considers appropriate. 

 

	 	(b)	Dr Gearing acknowledges that the Parent Company has obligations pursuant to the US Securities laws to file a Form 8-K statement with the US Securities Exchange Commission, the
form of which is set out in Schedule 3. 

  

	4.	Acknowledgements 

  

	 	(a)	Dr Gearing acknowledges that the payments and equity entitlements set out in clauses 3.1 to 3.4 represent all payments in respect of his remuneration as an employee, and all statutory, contractual and other entitlements
in respect of notice, severance pay, annual leave, leave loading and long service leave entitlements which Nexvet AU is obliged to pay Dr Gearing up to and including the Release Date, and that he is not entitled to any further payment from Nexvet AU
in respect of the Employment and the Termination. 

  

	 	(b)	Dr Gearing further acknowledges that pursuant to Rule 144 of the United States Securities Act of 1933 (Rule 144): 

  

	 	(i)	Dr Gearing is deemed to be an affiliate of the Parent Company for the three month period following the Release Date (Rule 144 Period); 

 

	 	(ii)	Dr Gearing may only sell equity securities in the Parent Company during the Rule 144 Period by complying with Rule 144, including the current public information, volume limitations, manner of sale requirements and Form
144 filing obligations. 

  

	 	(c)	Dr Gearing further acknowledges that all reportable pre-termination transactions in securities have been reported and he has not engaged in any
non-exempt purchase or sale during the six months preceding the Release Date. 

  

	5.	Releases 

  

	 	(a)	In consideration for the payments and equity entitlements set out in clause 3, Dr Gearing unconditionally and irrevocably releases and discharges each of Nexvet AU, the Parent Company and any Related Body Corporate, and
each of its, and their, officers, employees or agents from all claims and liabilities of any nature (including any costs, whether or not the subject of a court order) which Dr Gearing may, at any time, have, or incur against, any of Nexvet AU, the
Parent Company or any of their Related Bodies Corporate, and any of Nexvet AU’s, the Parent Company’s, or their Related Bodies Corporate, officers, employees or agents, in connection with, or arising out of, the Employment or the
Termination of the employment of Dr Gearing, apart from any claim for workers compensation under applicable statute. 

  
  

 
 6 

Deed of separation – David Gearing 

	 	(b)	Dr Gearing agrees that this deed fully satisfies the rights and claims (however described and however arising) that Dr Gearing and everyone who claims through Dr Gearing, has or may have against Nexvet AU, the Parent
Company or any of their Related Bodies Corporate, and any of Nexvet AU’s, the Parent Company’s, or their Related Bodies Corporate, officers, employees or agents, directly or indirectly in connection with the Employment or the Termination.

  

	 	(c)	Dr Gearing acknowledges that persons who are not parties to this deed, but who are being released and discharged by Dr Gearing in accordance with paragraph (a), shall be entitled to rely upon this deed as being a
complete bar to any claims, proceedings, actions, suits or demands made or brought by Dr Gearing in contravention of paragraph (a). 

  

	 	(d)	Each of Nexvet AU and the Parent Company unconditionally and irrevocably releases and discharges Dr Gearing from all claims, demands, actions, suits and / or liabilities which Nexvet AU and / or the Parent Company and
any of their Related Bodies Corporate may, at any time, have, or incur, against Dr Gearing in connection with, or arising out of, the Employment or the Termination, excluding any unlawful conduct of Dr Gearing not known to Nexvet AU or the Parent
Company at the time of executing this deed. 

  

	 	(e)	Each of Nexvet AU and the Parent Company agree that this deed fully satisfies the rights and claims (however described and however arising) that Nexvet AU and the Parent Company and everyone who claims through Nexvet AU
and the Parent Company, has or may have against Dr Gearing directly or indirectly in connection with the Employment or the Termination. 

  

	 	(f)	This deed may be pleaded as a full and complete defence by any party to any actions, suits or proceedings commenced, continued or taken by another party or on its behalf in connection with any of the matters referred to
in this deed. 

  

	6.	Confidentiality and intellectual property 

  

	 	(a)	Dr Gearing acknowledges his continuing obligations owed to Nexvet AU under the confidentiality deed entered into between himself and Nexvet AU dated 5 January 2015. 

 

	 	(b)	Each party shall keep the terms of this deed confidential, except that a party may disclose the terms of this deed which the party deems necessary: 

 

	 	(i)	to any professional advisers, bankers, financial advisers and financiers, on receipt of an undertaking from that person to keep the terms confidential; or 

 

	 	(ii)	to comply with any law or requirement of any regulatory body (including any relevant stock exchange); or 

  

	 	(iii)	if compelled by a court; or 

  

	 	(iv)	with the prior written consent of the other parties. 

  

	 	(c)	As the inventor of the Patents, Dr Gearing acknowledges and agrees to provide such assistance as is reasonably necessary to assist Nexvet in the prosecution, maintenance and defence of any of the Patents, including
executing documents, attending hearings or attending meetings with Nexvet’s advisers regarding the Patents. Nexvet agrees to reimburse Dr Gearing for all reasonable costs he may incur in complying with this clause. 

 

	7.	Warranties and indemnities 

  

	 	(a)	Dr Gearing warrants that: 

  

	 	(i)	he has read and understood this deed; 

  
  

 
 7 

Deed of separation – David Gearing 

	 	(ii)	he has taken independent legal advice, or has been given the opportunity to take legal advice, as to the nature, effect and extent of this deed; 

 

	 	(iii)	Nexvet, its officers, employees or agents, have not made any promise, representation or inducement or been party to conduct that is material to the entry into this deed, other than as set out in this deed; and

  

	 	(iv)	he is aware that Nexvet AU, the Parent Company and their officers, employees and agents, are relying upon the warranties in this clause in executing this deed. 

 

	 	(b)	Dr Gearing understands and agrees that he is responsible for payment of any taxation in respect of the Payment and the Bonus and that the Employer will withhold from the Payment and the Bonus any amounts of tax that it
is required by law to withhold. Dr Gearing agrees to indemnify Nexvet AU in respect of such taxation. 

  

	8.	General 

  

	8.1	Costs 

 The parties agree that each party shall bear its own costs of, and associated
with, this deed. 
  

	8.2	Non-disparagement 

  

	 	(a)	Nexvet agrees not to deliberately or maliciously disparage or injure the reputation of, Dr Gearing. Nexvet shall also procure and ensure that none of their officers, employees or agents, or any of the officers,
employees or agents of any of Nexvet’s Related Bodies Corporate shall deliberately or maliciously disparage or injure the reputation of Dr Gearing. 

  

	 	(b)	Dr Gearing agrees not to deliberately or maliciously disparage or injure the reputation of, Nexvet, its Related Bodies Corporate or any of its, or their, officers, employees or agents. 

 

	8.3	Survival of obligations 

 Dr Gearing acknowledges that he continues to be bound, and will
comply with, the obligations contained in the Employment Agreement and the Confidentiality Deed that survive the termination of employment, including: 
  

	 	(a)	clauses 10, 11 and 13 of the Employment Agreement; and 

  

	 	(b)	clauses 3, 4, 5 and 6 of the Confidentiality Deed. 

  

	8.4	Further assurances 

 A party, at its own expense and within a reasonable time of being
requested by another party to do so, must do all things and execute all documents that are reasonably necessary to give full effect to this deed. 
  

	8.5	Entire understanding 

  

	 	(a)	The parties agree that apart from Dr Gearing’s post-employment obligations in the Employment Agreement and the Confidentiality Deed, this deed supersedes all prior communications and agreements between the parties
as to the terms and conditions of Dr Gearing’s employment, including any prior written or verbal undertakings or statements. 

  

	 	(b)	Each party acknowledges that, except as expressly stated in this deed, that party has not relied on any representation, warranty or undertaking of any kind made by or on behalf of another party in relation to the
subject matter of this deed. 

  

	8.6	Assignment 

 The rights and obligations of each party under this deed are personal. They
cannot be assigned, discharged or otherwise dealt with. 

  
  

 
 8 

Deed of separation – David Gearing 

	8.7	No adverse construction 

 This deed is not to be construed to the disadvantage of a party
because that party was responsible for its preparation. 
  

	8.8	No waiver 

  

	 	(a)	A failure, delay, relaxation or indulgence by a party in exercising any power or right conferred on the party by this deed does not operate as a waiver of the power or right. 

 

	 	(b)	A single or partial exercise of the power or right does not preclude a further exercise of it or the exercise of any other power or right under this deed. 

 

	 	(c)	A waiver of a breach does not operate as a waiver of any other breach. 

  

	8.9	Severability 

 Any provision of this deed which is invalid in any jurisdiction must in
relation to that jurisdiction: 
  

	 	(a)	be read down to the minimum extent necessary to achieve its validity, if applicable; and 

  

	 	(b)	be severed from this deed in other case, 

 without invalidating or affecting the remaining
provisions of this deed or the validity of that provision in any other jurisdiction. 
  

	8.10	Consents and approvals 

 Where anything in this deed depends on the consent or approval
of a party then, unless this deed provides otherwise, that consent or approval may be given conditionally or unconditionally or withheld, in the absolute discretion of that party. 

 

	8.11	No variation 

 This deed cannot be amended or varied except in writing signed by the
parties. 
  

	8.12	Counterparts 

 If this deed consists of a number of signed counterparts, each is an
original and all of the counterparts together constitute the same document. Electronic signatures will be deemed original signatures. 
  

	8.13	Non merger 

 A term or condition of, or act done in connection with, this deed does not
operate as a merger of any of the rights or remedies of the parties under this deed and those rights and remedies continue unchanged. 
  

	8.14	Governing law and jurisdiction 

  

	 	(a)	This deed is governed by and must be construed in accordance with the governing law of the State of Victoria, Australia. 

  

	 	(b)	The parties submit to the exclusive jurisdiction of the courts of the State of Victoria, Australia in respect of all matters arising out of or relating to this deed, its performance or subject matter. 

  
  

 
 9 

Deed of separation – David Gearing 

 Signing page 

Executed as a deed 
  

			
	Executed by Nexvet Australia Pty Ltd ACN 141 909 131 in accordance with section 127(1) of the Corporations Act 2001 (Cth):	  	 )
 )

)

  

					
	 /s/ Christopher N. Brown
	 		 	 /s/ Geraldine Farrell

	Signature of director	 		 	Signature of director or company secretary*
		 		 	*delete whichever does not apply
			
	 Christopher N. Brown
	 		 	 Geraldine Farrell

	Name (please print)	 		 	Name (please print)

 Date: 10 March 2017 

Given under the Common Seal of 
 Nexvet Biopharma plc 

which was affixed hereto and 
 this deed was delivered: 

 

					
	 /s/ Christopher N. Brown
	 		 	 /s/ Geraldine Farrell

	Signature of Director	 		 	Signature of Director/Company Secretary
			
		 		 	 Geraldine Farrell

	 Christopher N. Brown
	 		 	Name of Director/Company Secretary (print)
	Name of Director (print)	 		 	

 Date: 10 March 2017 

  
  

 
 10 

Deed of separation – David Gearing 

			
	Signed, sealed and delivered by David Gearing in the presence of:	  	 )
 )

)

  

					
	 /s/ Geraldine Farrell
	 		 	 /s/ David Gearing

	Signature of witness	 		 	Signature of David Gearing
			
	 Geraldine Farrell
	 		 	
	Name of witness (print)	 		 	

 Date: 10 March 2017 

  
  

 
 11 

Deed of separation – David Gearing 

 Schedule 1 

The Payment consists of the following: 
 The total amounts
payable to Dr David Gearing are listed below in USD in accordance with the Employment Agreement. The Payment will be made to Dr Gearing in AUD which will be determined based on the Exchange Rate. On the Release Date, Dr Gearing will be provided with
a written notice stating the exact Gross and Net (AUD) amounts based on the Exchange Rate. 
  

							
	 Benefit
	  	 Accrual
	  	Gross (USD)	 
	Redundancy pay	  	13 weeks’ base salary, exclusive of superannuation	  	$	74,201	 
	Long service leave	  	Accrual as at 10 March – 6.15 weeks	  	$	35,103	 
	Annual leave	  	Accrual as at 10 March – 1.34 weeks	  	$	7,663	 
	Pay in lieu of notice	  	6 months’ pay inclusive of superannuation	  	$	162,500	 
		  		  	  
	  
	 
		  	TOTAL PAYMENT:	  	$	327,216	 
		  		  	  
	  
	 

  
  

 
 12 

Deed of separation – David Gearing 

 Schedule 2 

[TO BE PRINTED ON NEXVET AUSTRALIA LETTERHEAD] 

10 March 2017 
 DR DAVID GEARING 

Following an internal review of operations our Chief Scientific Officer, Dr David Gearing has accepted a voluntary redundancy from Nexvet AU and will be
departing the company this month. 
 Dr David Gearing is a co-founder of Nexvet with more than 20 years experience
in the biopharmaceutical sector. He is the sole inventor of the company’s PETization platform technology and lead products ranevetmab and frunevetmab. Dr Gearing has been with Nexvet for seven years and has made an incredible contribution to
the growth and continued success of the business. He will remain a significant shareholder in the business and has committed to continue supporting the company in relation to its many Patents and Intellectual Property. 

The Board wants to take the opportunity to sincerely thank David for his contribution and wish him every success for the future. 

  
  

 
 13 

Deed of separation – David Gearing 

 Schedule 3 

Form of 8-K filing with SEC 
  

	Item 5.02.	Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers. 

During February and March, we initiated strategic changes to our organisational structure intended to reduce our expenditure on early stage
research projects and general and administrative activities. As a result of these changes, the role of Chief Scientific Officer has been eliminated (made redundant) and Dr. David Gearing, who has served in this role, has left the Company
effective March 10, 2017. 
 In connection with Dr. Gearing’s termination of employment, we entered a Deed of Separation
dated March 10, 2017, which defines the terms of his voluntary redundancy, which is attached as Exhibit 10.1. 
 The Board sincerely
thanks Dr. Gearing for his contribution to the Company and wishes him every success for the future. 
 The current Officers of Nexvet
are; Dr. Mark Heffernan – Chief Executive Officer, Mr. Damian Lismore – Chief Financial Officer, Ms. Geraldine Farrell – General Counsel & Vice President of Operations and Dr. Juergen Horn – Chief
Product Development Officer. 
  

	Item 9.01.	Financial Statements and Exhibits. 

 (d) Exhibits. 

 

			
	 Exhibit

No.
	  	 Description

		
	10.1	  	Deed of Separation between Nexvet Australia Pty Ltd, Nexvet Biopharma plc and Dr. David Gearing, dated March 10, 2017.

  
  

 
 14 

Deed of separation – David GearingExhibit

EXHIBIT 10.1

FIRST AMENDMENT TO AGREEMENT OF PURCHASE AND SALE
AND JOINT ESCROW INSTRUCTIONS

THIS FIRST AMENDMENT TO AGREEMENT OF PURCHASE AND SALE AND JOINT ESCROW INSTRUCTIONS (“First Amendment”) is made and entered into effective as of this 8th day of March, 2017, by and among ARLINGTON MEDICAL PROPERTIES, LLC, an Arizona limited liability company (“Seller”), UNIVERSAL HEALTH REALTY INCOME TRUST, a Maryland real estate investment trust (“Seller Guarantor”), GAHC4 RENO NV MOB, LLC, a Delaware limited liability company (“Buyer”), and FIRST AMERICAN TITLE INSURANCE COMPANY (“Escrow Agent”).

Recitals

WHEREAS, Seller, Seller Guarantor and Buyer entered into that certain Agreement of Purchase and Sale and Joint Escrow Instructions, dated as of February 16, 2017 (the “Purchase Agreement”); and

WHEREAS, Seller, Seller Guarantor and Buyer seek to amend the Purchase Agreement as set forth below.

Agreement

NOW, THEREFORE, in consideration of the mutual covenants contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Seller and Buyer hereby agree as follows:

1.    Recitals.  The recitals set forth above are true and correct and are hereby incorporated in their entirety.  Capitalized terms not otherwise defined herein shall have the meanings ascribed to them in the Purchase Agreement.  

2.    Seller’s Representations and Warranties.  Paragraph 13 of the Purchase Agreement is hereby amended by inserting the following new Sections 13.17 and 13.18, which read in their entirety as follows:

13.17    Hospital Lease Guaranties.  The Ground Lessor’s obligations under the Hospital Leases were originally guaranteed by Dignity Health, a California nonprofit public benefit corporation, formerly known as Catholic Healthcare West (“Dignity”).  To Seller’s knowledge, Dignity has not been released from its guaranty obligations under the Hospital Leases.  Seller has not received any written notice of revocation or termination of the Dignity guaranties of the Hospital Leases.

13.18    Offsite Improvements.  To Seller’s knowledge, the “Off-Site Improvements” as defined in the Ground Lease are the same as the “Common Facilities” and “Building Off-Site Support Improvements” defined in the Declaration of Restrictive Covenants and Easements, made by Saint Mary’s Health Care Corporation as “Declarant,” and recorded November 21, 2003, as Document #2957334 in the Office of the Washoe County Recorder.

1

3.    Proof of Payment.  Seller shall provide to Buyer satisfactory evidence on or before Closing that the March 1, 2017, rent payment under the Ground Lease, and the 2016 emergency generator fees under the Utility Services Agreement between Seller and Ground Lessor, were paid in full prior to Closing.

4.    Service Contracts.  This First Amendment shall serve as written notice to Seller pursuant to Section 14.2 of the Purchase Agreement that Buyer does not elect to assume any Service Contracts, other than the Service Contract with Otis Elevator.

5.    Ratifications.  Except as specifically herein amended, all terms, provisions, conditions and exhibits contained in the Purchase Agreement are hereby confirmed, ratified and restated and shall remain unmodified and in full force and effect.  In the event that any provision of this First Amendment shall conflict with the terms, provisions, conditions, and exhibits of the Purchase Agreement, the terms of this First Amendment shall govern and control.

6.    Counterparts; Signatures.  This First Amendment may be executed in any number of counterparts and by each of the undersigned on separate counterparts, and each such counterpart shall be deemed to be an original, but all such counterparts when taken together shall constitute but one and the same First Amendment.  Signatures to this First Amendment transmitted in .pdf (portable document format) via electronic mail or other electronic means shall be treated as originals in all respects for purposes of this First Amendment.  Seller and Buyer further agree that the acknowledgement of this First Amendment by Seller Guarantor and Escrow Agent are not required for this First Amendment to be binding and effective as between Seller and Buyer.

7.    Successors and Assigns.  This First Amendment shall be binding upon and shall inure to the benefit of the parties hereto and their respective successors and assigns.

{Signatures appear on the following pages}

2

IN WITNESS WHEREOF, the parties have executed this First Amendment as of the date indicated in the preamble above.

BUYER:

GAHC4 RENO NV MOB, LLC, 
a Delaware limited liability company 
	
					
	By:
	GAHC4 RENO NV MOB Sole Member, LLC, 

	 
	a Delaware limited liability company

	Its:
	Sole Member

	 
	 
	 
	 
	 

	 
	By:
	Griffin-American Healthcare REIT IV Holdings,

	 
	 
	LP, a Delaware limited partnership

	 
	Its:
	Sole Member

	 
	 
	 

	 
	 
	By:
	Griffin-American Healthcare REIT IV, Inc.,

	 
	 
	 
	a Maryland corporation

	 
	 
	Its:
	General Partner

	 
	 
	 
	 
	 

	 
	 
	 
	By:
	/s/ Danny Prosky

	 
	 
	 
	Name:
	Danny Prosky

	 
	 
	 
	Title:
	President and Chief Operating Officer

[Signature Page to First Amendment – Signatures Continue on Following Pages]

3

SELLER:

ARLINGTON MEDICAL 
PROPERTIES, LLC, an Arizona limited liability company 
	
					
	By:
	Universal Health Realty Income

	 
	Trust, a Maryland real estate 

	 
	investment trust, its member

	 
	 
	 
	 
	 

	 
	 
	 
	 
	 

	 
	By:
	/s/ Cheryl Ramagano

	 
	Name:
	Cheryl Ramagano

	 
	Title:
	VP and Treasurer

SELLER GUARANTOR:

UNIVERSAL HEALTH REALTY INCOME
TRUST, a Maryland real estate investment 
trust
	
		
	By:
	/s/ Cheryl Ramagano

	Name:
	Cheryl Ramagano

	Title:
	VP and Treasurer

[Signature Page to First Amendment – Signatures Continue on Following Page]

4

The undersigned Escrow Agent acknowledges the foregoing First Amendment:

	
				
	DATED: March  8 , 2017
	 
	FIRST AMERICAN TITLE
INSURANCE COMPANY

	 
	 
	 
	 

	 
	 
	By:
	/s/ Sarah Buvala

	 
	 
	Name:
	Sarah Buvala

	 
	 
	Its:
	Escrow Agent

[Signature Page to First Amendment-End of Signatures] 

5

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00268-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00268-of-00352.parquet"}]]