Document:

sail-ex1030_1042.htm

 

Exhibit 10.30

SAILPOINT TECHNOLOGIES HOLDINGS, INC.

2015 STOCK INCENTIVE PLAN

RESTRICTED SHARE UNIT AGREEMENT

This Agreement is made and entered into as of the Date of Grant set forth in the Notice of Grant of Restricted Share Units (“Notice of Grant”) by and between SailPoint Technologies Holdings, Inc., a Delaware corporation (the “Company”), and you;

WHEREAS, the Company, as part of your compensation as an employee and in order to induce you to materially contribute to the success of the Company, agrees to grant you this restricted share unit award;

WHEREAS, the Company adopted the Plan (as defined in the Notice of Grant) under which the Company is authorized to grant restricted share units to certain employees, directors and other service providers of the Company;

WHEREAS, a copy of the Plan has been furnished to you and shall be deemed a part of this Restricted Share Unit Agreement (“Agreement”) as if fully set forth herein and the terms capitalized but not defined herein shall have the meanings set forth in the Plan; and

WHEREAS, you desire to accept the restricted share unit award made pursuant to this Agreement.

NOW, THEREFORE, in consideration of and mutual covenants set forth herein and for other valuable consideration hereinafter set forth, the parties agree as follows:

	
1.
	
The Grant.  Subject to the conditions set forth below, the Company hereby grants you effective as of the Date of Grant set forth in the Notice of Grant, as a matter of separate inducement but not in lieu of any cash or other compensation for your services for the Company, an award (the “Award”) consisting of the aggregate number of Shares set forth in the Notice of Grant in accordance with the terms and conditions set forth herein and in the Plan, plus the additional rights to receive possible dividend equivalents, in accordance with the terms and conditions set forth herein.  

	
2.
	
No Shareholder Rights.  The Restricted Share Units (“RSUs”) granted pursuant to this Agreement do not and shall not entitle you, or with respect to 102 Awards, the Trustee) to any rights of a holder of Shares prior to the date shares of Stock are issued to you (or the Trustee for 102 Awards) in settlement of the Award.  

	
3.
	
Dividend Equivalents.  In the event that the Company declares and pays a dividend in respect of its outstanding Shares on or after the Date of Grant and, on the record date for such dividend, you hold RSUs granted pursuant to this Agreement that have not been settled, the Company shall pay to you an amount in cash equal to the cash dividends you would have received if you were the holder of record as of such record date, of the number of Shares related to the portion of your RSUs that have not been settled as of such record date, such payment (“Dividend Equivalents”) to be made on or promptly following the date that the Company pays such dividend (however, in no event shall the Dividend Equivalents be paid later than 30 days following the date on which the Company pays such dividend to its shareholders generally).  

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4.
	
Restrictions; Forfeiture.  The RSUs are restricted in that they may not be sold, transferred or otherwise alienated or hypothecated until Shares are issued pursuant to Section 6 following the removal or expiration of the restrictions as contemplated in Section 5 of this Agreement and as described in the Notice of Grant.  In the event you cease to be an employee of the Company or its Affiliates for any reason prior to the applicable date(s) and time(s) set forth in the Notice of Grant, the RSUs that are not Vested on the date of such cessation of employment or service shall be immediately forfeited. With respect to the Award, the Company may, in its sole discretion, determine that if you are on leave of absence for any reason you will be considered to still be in the employ of the Company or its Affiliates, provided that rights to the RSUs during a leave of absence will be limited to the extent to which those rights were Vested when the leave of absence began.

	
5.
	
Expiration of Restrictions and Risk of Forfeiture.  The restrictions on the RSUs granted pursuant to this Agreement will expire and the RSUs will become nonforfeitable as set forth in the Notice of Grant, provided that you remain an employee of the Company or its Affiliates until the applicable dates and times set forth therein.  RSUs that have become vested and non-forfeitable as provided in this Agreement are referred to herein as “Vested.”  

	
6.
	
Issuance of Stock.  Shares shall be issued to you in settlement of your RSUs to the extent your Award is Vested within 30 days following the date or event that caused the Award to become Vested.  At the time of settlement, the Company shall cause to be issued Shares registered in your name in payment of the Award.  The Company shall evidence the Stock to be issued in payment of the RSUs in the manner it deems appropriate.  The value of any fractional RSU shall be rounded down at the time Shares are issued to you.  No fractional Shares, nor the cash value of any fractional Shares, will be issuable or payable to you pursuant to this Agreement.  The value of Shares shall not bear any interest owing to the passage of time.  Neither this Section 6 nor any action taken pursuant to or in accordance with this Section 6 shall be construed to create a trust or a funded or secured obligation of any kind.  

	
7.
	
Payment of Taxes.  The Company, or with respect to 102 Awards, the Trustee, may require you to pay to the Company (or the Company’s Affiliate if you are an employee of an Affiliate of the Company or the Trustee for 102 Awards), an amount the Company deems necessary to satisfy its (or its Affiliate’s or the Trustee’s) current or future obligation to withhold federal, state or local income or other taxes that you incur as a result of the Award.  With respect to any tax withholding and to the extent permissible pursuant to Rule 16b-3 under the Exchange Act, you may (a) direct the Company to withhold from the Shares to be issued to you under this Agreement the number of Shares necessary or appropriate to satisfy the Company’s obligation to withhold taxes, which determination will be based on the Shares’ Fair Market Value at the time such determination is made; (b) deliver to the Company Shares sufficient to satisfy the Company’s tax withholding obligations, based on the Shares’ Fair Market Value at the time such determination is made; or (c) deliver cash to the Company sufficient to satisfy its tax withholding obligations.  If you desire to elect to use the stock withholding option described in subparagraph (a), you must make the election at the time and in the manner the Company prescribes.  The Company, in its discretion, may deny your request to satisfy its tax withholding obligations using a method described under subparagraph (a) or (b).  In the event the Company determines that the aggregate Fair Market Value of the Shares withheld as payment of any tax withholding obligation is insufficient to discharge that tax withholding obligation, then you must pay to the Company, in cash, the amount of that deficiency immediately upon the Company’s request.

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8.
	
Compliance with Securities Law.  Notwithstanding any provision of this Agreement to the contrary, the issuance of Shares will be subject to compliance with all applicable requirements of federal, state, or foreign law with respect to such securities and with the requirements of any stock exchange or market system upon which the Shares may then be listed.  No Shares will be issued hereunder if such issuance would constitute a violation of any applicable federal, state, or foreign securities laws or other law or regulations or the requirements of any stock exchange or market system upon which the Shares may then be listed.  In addition, Shares will not be issued hereunder unless (a) a registration statement under the Securities Act, is at the time of issuance in effect with respect to the shares issued or (b) in the opinion of legal counsel to the Company, the shares issued may be issued in accordance with the terms of an applicable exemption from the registration requirements of the Securities Act.  The inability of the Company to obtain from any regulatory body having jurisdiction the authority, if any, deemed by the Company’s legal counsel to be necessary to the lawful issuance and sale of any shares subject to the Award will relieve the Company of any liability in respect of the failure to issue such shares as to which such requisite authority has not been obtained.  As a condition to any issuance hereunder, the Company may require you to satisfy any qualifications that may be necessary or appropriate to evidence compliance with any applicable law or regulation and to make any representation or warranty with respect to such compliance as may be requested by the Company.  From time to time, the Board and appropriate officers of the Company are authorized to take the actions necessary and appropriate to file required documents with governmental authorities, stock exchanges, and other appropriate Persons to make Shares available for issuance.

	
9.
	
Legends.  The Company may at any time place legends referencing any restrictions imposed on the shares pursuant to Sections 4 and 8 of this Agreement on all certificates representing Shares issued with respect to this Award.

	
10.
	
Right of the Company and Affiliates to Terminate Services.  Nothing in this Agreement confers upon you the right to continue in the employ of or performing services for the Company or any Affiliate, or interfere in any way with the rights of the Company or any Affiliate to terminate your employment or service relationship at any time.

	
11.
	
Furnish Information.  You agree to furnish to the Company all information requested by the Company to enable it to comply with any reporting or other requirements imposed upon the Company by or under any applicable statute or regulation.

	
12.
	
Remedies.  The parties to this Agreement shall be entitled to recover from each other reasonable attorneys’ fees incurred in connection with the successful enforcement of the terms and provisions of this Agreement whether by an action to enforce specific performance or for damages for its breach or otherwise.

	
13.
	
No Liability for Good Faith Determinations.  The Company and the members of the Board shall not be liable for any act, omission or determination taken or made in good faith with respect to this Agreement or the RSUs granted hereunder.

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14.
	
Execution of Receipts and Releases.  Any payment of cash or any issuance or transfer of RSUs or other property to you, or to your legal representative, heir, legatee or distributee, in accordance with the provisions hereof, will, to the extent thereof, be in full satisfaction of all claims of such Persons hereunder. In addition, the Company may require you or your legal representative, heir, legatee or distributee, as a condition precedent to such payment or issuance, to execute a general release of all claims in favor of the Company, any Affiliate and the employees, officers, stockholders or board members of the foregoing in such form as the Company may determine; provided, however, that any review period under such release will not modify the date of settlement with respect to your Award.

	
15.
	
No Guarantee of Interests.  The Board and the Company do not guarantee the Stock of the Company from loss or depreciation.

	
16.
	
Company Records.  Records of the Company or its Affiliates regarding your period of service, termination of service and the reason(s) therefor, and other matters shall be conclusive for all purposes hereunder, unless determined by the Company to be incorrect.

	
17.
	
Notice.  All notices required or permitted under this Agreement must be in writing and personally delivered or sent by mail and shall be deemed to be delivered on the date on which it is actually received by the person to whom it is properly addressed or if earlier the date it is sent via certified United States mail. 

	
18.
	
Waiver of Notice.  Any person entitled to notice hereunder may waive such notice in writing.

	
19.
	
Information Confidential.  As partial consideration for the granting of the Award hereunder, you hereby agree to keep confidential all information and knowledge, except that which has been disclosed in any public filings required by law, that you have relating to the terms and conditions of this Agreement; provided, however, that such information may be disclosed as required by law and may be given in confidence to your spouse and tax and financial advisors.  In the event any breach of this promise comes to the attention of the Company, it shall take into consideration that breach in determining whether to recommend the grant of any future similar award to you, as a factor weighing against the advisability of granting any such future award to you.  Nothing in this Agreement will prevent you from: (a) making a good faith report of possible violations of applicable law to any governmental agency or entity or (b) making disclosures that are protected under the whistleblower provisions of applicable law. For the avoidance of doubt, nothing herein shall prevent you from making a disclosure that: (i) is made (A) in confidence to a federal, state or local government official, either directly or indirectly, or to an attorney; and (B) solely for the purpose of reporting or investigating a suspected violation of law; or (ii) is made in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal. Further, an individual who files a lawsuit for retaliation by an employer of reporting a suspected violation of law may make disclosures without violating this Section 19 to the attorney of the individual and use such information in the court proceeding.

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20.
	
Successors.  This Agreement shall be binding upon you, your legal representatives, heirs, legatees and distributees, and upon the Company, its successors and assigns.

	
21.
	
Severability.  If any provision of this Agreement is held to be illegal or invalid for any reason, the illegality or invalidity shall not affect the remaining provisions hereof, but such provision shall be fully severable and this Agreement shall be construed and enforced as if the illegal or invalid provision had never been included herein.

	
22.
	
Company Action.  Any action required of the Company shall be by resolution of the Board or by a person or entity authorized to act by resolution of the Board.

	
23.
	
Headings.  The titles and headings of Sections are included for convenience of reference only and are not to be considered in construction of the provisions hereof.

	
24.
	
Governing Law.  All questions arising with respect to the provisions of this Agreement shall be determined by application of the laws of Delaware, without giving any effect to any conflict of law provisions thereof, except to the extent Delaware state law is preempted by federal law.  The obligation of the Company to sell and deliver Shares hereunder is subject to applicable laws and to the approval of any governmental authority required in connection with the authorization, issuance, sale, or delivery of such Shares.

	
25.
	
Amendment.  This Agreement may be amended the Board or by the Committee at any time (a) if the Board or the Committee determines, in its sole discretion, that amendment is necessary or advisable in light of any addition to or change in any federal or state, tax or securities law or other law or regulation, which change occurs after the Date of Grant and by its terms applies to the Award; or (b) other than in the circumstances described in clause (a) or provided in the Plan, with your consent.  

	
26.
	
Consent to Delaware Jurisdiction and Venue.  You hereby consent and agree that the courts located in Delaware shall have exclusive jurisdiction and proper venue with respect to any dispute between you and the Company arising in connection with the Award or this Agreement.  In any dispute with the Company, you will not raise, and you hereby expressly waive, any objection or defense to any such jurisdiction as an inconvenient forum.  

	
27.
	
The Plan.  This Agreement is subject to all the terms, conditions, limitations and restrictions contained in the Plan.

	
28.
	
Nonqualified Deferred Compensation Rules.  This Agreement is not intended to constitute a deferral of compensation within the meaning of Section 409A of the Code and shall be construed and interpreted in accordance with such intent.  Payment under this Agreement shall be made in a manner that will be exempt from or, notwithstanding the preceding sentence, comply with Section 409A of the Code, including regulations or other guidance issued with respect thereto, except as otherwise determined by the Committee.  The applicable provisions of Section 409A of the Code are hereby incorporated by reference and shall control over any contrary provisions herein that conflict therewith.

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29.
	
Section 102 Awards.  

(a)Eligibility for Awards.  Subject to Applicable Law, 102 Awards may only be granted to an “employee” within the meaning of Section 102(a) of the Ordinance (which as of the date hereof means (i) individuals employed by an Israeli company being the Company or any of its Affiliates, and (ii) individuals who are serving and are engaged personally (and not through an entity) as “office holders” by such an Israeli company), but may not be granted to a Controlling Stockholder (“Eligible 102 Grantees”). Eligible 102 Grantees may receive only 102 Awards, which may either be granted to a Trustee or granted under Section 102 of the Ordinance without a Trustee. 

(b)102 Award Grant Date.  

	
 
	
i.
	
Each 102 Award will be deemed granted on the date determined by the Committee, subject to Section 29(b)(ii), provided that (i) the Grantee has accepted all documents required by the Company or pursuant to Applicable Law, and (ii) with respect to 102 Trustee Awards, the Company has provided all applicable documents to the Trustee in accordance with the guidelines published by the ITA, and if this Agreement is not accepted and delivered by the Grantee within 90 days from the date determined by the Committee (subject to Section 29(b)(i)), then such 102 Trustee Award shall be deemed granted on such later date as this Agreement is accepted and delivered and on which the Company has provided all applicable documents to the Trustee in accordance with the guidelines published by the ITA. In the case of any contradiction, this provision and the date of grant determined pursuant hereto shall supersede and be deemed to amend any date of grant indicated in the Notice of Grant of Restricted Share Units or in any corporate resolution or any agreement. 

	
 
	
ii.
	
Unless otherwise permitted by the Ordinance, any grants of 102 Trustee Awards that are made on or after the date of the adoption of this Plan or an amendment to this Plan, as the case may be, that may become effective only at the expiration of thirty (30) days after the filing of this Plan or any amendment thereof (as the case may be) with the ITA in accordance with the Ordinance shall be conditional upon the expiration of such 30-day period, such condition shall be read and is incorporated by reference into any corporate resolutions approving such grants and into this Agreement and any agreement evidencing such grants (whether or not explicitly referring to such condition), and the date of grant shall be at the expiration of such 30-day period, whether or not the date of grant indicated therein corresponds with this Section. In the case of any contradiction, this provision and the date of grant determined pursuant hereto shall supersede and be deemed to amend any date of grant indicated in the Notice of Grant of Restricted Share Units or in any corporate resolution or any agreement. 

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(c)102 Trustee Awards.  To the extent and with respect to 102 Trustee Awards, the Grantee acknowledges, undertakes and confirms that: (i) the Grantee fully understands that Section 102 Ordinance and the rules and regulations enacted thereunder apply to the RSUs, and (ii) the Grantee understands the provisions of Section 102 of the Ordinance, the tax track chosen thereunder and the implications thereof. If applicable, the terms of such RSUs shall also be subject to the terms of the Trust Agreement made between the Company and the Trustee for the benefit of the Grantee, and the Grantee shall sign all documents requested by the Company or the Trustee, in accordance with and under the trust agreement. A copy of the trust agreement is available for the Grantee’s review, during normal working hours, at the Company’s offices. 

(d)Grantee Undertaking. Without derogating from the generality of the foregoing, to the extent and with respect to any RSUs that are 102 Capital Gain Track Awards, and as required by Section 102 of the Ordinance and the Rules, the Grantee acknowledges, undertakes and confirms in writing the following (which shall be apply and relate to all Awards granted to the Grantee, whether under this Plan or other plans maintained by the Company, and whether prior to or after the date hereof, if any): 

	
 
	
i.
	
The Grantee shall comply with all terms and conditions set forth in Section 102 of the Ordinance with regard to the “Capital Gain Track” and the applicable rules and regulations promulgated thereunder, as amended from time to time; 

	
 
	
ii.
	
The Grantee is familiar with, and understands the provisions of, Section 102 of the Ordinance in general, and the tax arrangement under the “Capital Gain Track” in particular, and its tax consequences; the Grantee agrees that the Shares will be held by a trustee appointed pursuant to Section 102 of the Ordinance for at least the duration of the Holding Period, as defined in Section 102 under the “Capital Gain Track”. The Grantee understands that any release of such Shares from trust, or any sale of the Share prior to the termination of the Holding Period, will result in taxation at marginal tax rates, in addition to deductions of appropriate social security, health tax contributions or other compulsory payments; and 

	
 
	
iii.
	
The Grantee agrees to the trust agreement signed between the Company, his employing company and the trustee appointed pursuant to Section 102 of the Ordinance and shall accept all documents requested by the Company or the Trustee, in accordance with and under the trust agreement.  

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7sail-ex1037_730.htm

Exhibit 10.37

 

SAILPOINT TECHNOLOGIES HOLDINGS, INC.

SEVERANCE PAY PLAN

AND

SUMMARY PLAN DESCRIPTION

 

 

 

 

 

 

 

 

 

 

Effective November 6, 2018

 

 

 

SAILPOINT TECHNOLOGIES HOLDINGS, INC.

SEVERANCE PAY PLAN

AND

SUMMARY PLAN DESCRIPTION

 

This plan document describes the severance benefits provided under the Sailpoint Technologies Holdings, Inc. Severance Pay Plan.  This plan document also serves as a summary plan description.

Article I
DEFINITIONS

1.1“Annual Base Salary” means the annual base salary of a Participant in effect immediately prior the Participant’s Termination of Employment (or, to the extent applicable, the annual base salary in effect prior to any change in annual base salary that would constitute Good Reason).

1.2“Board” means the Board of Directors of the Company.

1.3“Cause” means “cause” as defined in the Participant’s Employment Agreement, or in the absence of such an agreement or such a definition, “Cause” will mean a vote of the Board for the CEO and the Committee for all other Participants that the Participant should be dismissed as a result of (a) the Participant’s conviction of a felony; (b) the Participant’s engaging in any other act of fraud, intentional misrepresentation, moral turpitude, misappropriation or embezzlement, illegality or unlawful harassment which, as determined by the Board in good faith and in light of all available facts, would: (1) materially adversely affect the business or the reputation of the Company with its current or prospective customers, suppliers, lenders and/or other third parties with whom the Company does or might do business; or (2) expose the Company to a risk of material civil or criminal legal damages, liabilities or penalties; (c) the Participant’s repeated willful failure to follow the reasonable directives of the Board in connection with the business affairs of the Company; or (d) any material breach by the Participant of any material agreement with the Company or any of its subsidiaries or material violation of the Company’s policies; or (e) the Participant’s willful and deliberate non-performance of duty in connection with the business affairs of the Company, provided, however, in the event of termination based on (c), (d) or (e), the Participant will have a period of thirty (30) days after written notice to the Participant from the Company to cure the circumstance, if curable.

1.4“CEO” means the Chief Executive Officer of the Company.

1.5“CEO Base Amount” means, unless a Participation Agreement provides otherwise, an amount equal to the CEO’s Annual Base Salary.  

1.6“Change in Control” has the meaning set forth in the Sailpoint Technologies Holdings, Inc. 2017 Long Term Incentive Plan.

1.7“COBRA” means the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended.

 

 

1.8“COBRA Continuation Benefit” means continued participation in the Company’s group health plan pursuant to COBRA at active employee rates and pursuant to the coverage election in effect for the Participant immediately prior to the Participant’s Termination of Employment.

1.9“Code” means the Internal Revenue Code of 1986, as amended.

1.10“Committee” means the Compensation Committee of the Board.

1.11“Company” means Sailpoint Technologies Holdings, Inc.

1.12“Disability” means a disability resulting in the payment of long term disability benefits under the Company’s long term disability plan.

1.13“Effective Date” means November 6, 2018.

1.14“Employment Agreement” means the employment agreement, if any, between the Participant and the Company.

1.15“ERISA” means the Employee Retirement Income Security Act of 1974, as amended.

1.16“Executive” means a member of the Senior Leadership Team designated by the Plan Administrator as a Participant.

1.17“Executive Base Amount” means, unless a Participation Agreement provides otherwise, an amount equal to the Executive’s Annual Base Salary.

1.18“Good Reason” means “good reason” as defined in the Participant’s Employment Agreement, or in the absence of such an agreement or such a definition, “Good Reason” means that the Participant resigns from employment with the Company after complying with the Good Reason Process because, without the Participant’s prior written consent, the Company: (a) reduces the Participant’s base salary in any material respect, except for across-the-board salary reductions not to exceed 10% based on the Company’s financial performance similarly affecting all or substantially all senior management employees of the Company; (b) fails to pay any material incentive compensation to which the Participant is actually entitled under a written agreement with the Company; (c) makes a material reduction in the Participant’s job responsibilities so as to constitute a de facto demotion (other than a mere change in title or reporting relationship effected in connection with the integration of the operations of the Company into the operations of an acquirer in connection with a Change in Control); or (d) relocates the Participant’s principal place of work to a location more than 25 miles from the location at the Effective Date, without the Participant’s prior written approval.

1.19“Good Reason Process” means that (a) the Participant reasonably determines in good faith that a Good Reason condition has occurred; (b) the Participant notifies the Company in writing of the first occurrence of the Good Reason condition within 90 days of the first occurrence of such condition; (c) the Participant cooperates in good faith with the Company’s efforts, for a period not less than 30 days following such notice to remedy the condition; (d) notwithstanding 

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such efforts, the Good Reason condition continues to exist; and (e) the Participant terminates the Participant’s employment within 60 days after the end of the cure period contemplated by clause (c) above. If the Company cures the Good Reason condition during such cure period, Good Reason shall be deemed not to have occurred.

1.20“Participation Agreement” means the notice delivered to a Participant informing the Participants of the terms and conditions of the Participant’s participation in the Plan.

1.21“Participant” means an Employee who receives a Participation Agreement and is selected for participation in the Plan pursuant to Article II.

1.22“Plan” means the Sailpoint Technologies Holdings, Inc. Severance Pay Plan.

1.23“Plan Administrator” means the Company or the individual or individuals designated by the Company to administer the Plan.  As of the date of adoption of the Plan, the Committee has been designated as the Plan Administrator.

1.24“Protection Period” means the period beginning three months prior to a Change in Control and ending on the one year anniversary following a Change in Control.

1.25“Senior Leadership Team” means those key employees identified by the Committee as eligible to participate in the Plan from time to time. 

1.26“Termination of Employment” means a separation from service within the meaning of Treasury Regulation § 1.409A-1(h).

Article II
ELIGIBILITY AND PARTICIPATION

2.1Participation.  The CEO and any Executive who receive a Participation Agreement will be eligible to participate in the Plan effective as of the date of such Participation Agreement.  The terms and conditions of the severance benefit potentially payable to a Participant will be subject to the Participation Agreement delivered to the Participant and to the Plan.  In the event of an explicit discrepancy between a Participation Agreement and the Plan, the Participation Agreement will control.

Article III
SEVERANCE BENEFITS

3.1Severance Benefits.

(a)Payment of Severance Benefit.  A Participation Agreement will specify the amount and timing of a severance benefit to the extent such terms vary from those of the Plan.

(b)Termination Prior To or Following the Protection Period.

(i)CEO Benefit.  Subject to Section 3.3 and unless otherwise provided pursuant to a Participation Agreement, in the event the CEO incurs a Termination of Employment 

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with the Company prior to or following the Protection Period that is (A) by the Company without Cause or (B) a Termination of Employment by the CEO with Good Reason, the CEO will be entitled to receive, (x) in a single lump sum payment on the 60th day following the CEO’s Termination of Employment, an amount equal to the CEO Base Amount, and (y) to the extent the CEO properly elects COBRA, the COBRA Continuation Benefit for a period of 12 months following the CEO’s Termination of Employment.

(ii)Executive Severance Benefit.  Subject to Section 3.3 and unless otherwise provided pursuant to a Participation Agreement, in the event the Executive incurs a Termination of Employment with the Company prior to or following the Protection Period that is by the Company without Cause, the Executive will be entitled to receive, (A) in a single lump sum payment on the 60th day following the Executive’s Termination of Employment, an amount equal to 50% of the Executive Base Amount, and (B) to the extent a Participant properly elects COBRA, the COBRA Continuation Benefit for a period of six months following the Participant’s Termination of Employment.

(c)Termination Within the Protection Period.

(i)CEO Benefit.  Subject to Section 3.3 and unless otherwise provided pursuant to a Participation Agreement, in the event the CEO incurs a Termination of Employment with the Company within the Protection Period that is (A) by the Company without Cause or (B) a Termination of Employment by the CEO with Good Reason, the CEO will be entitled to receive, (x) in a single lump sum payment on the 60th day following the CEO’s Termination of Employment, an amount equal to 150% of the CEO Base Amount, (y) to the extent the CEO properly elects COBRA, the COBRA Continuation Benefit for a period of 18 months following the CEO’s Termination of Employment, and (z) accelerated vesting of all outstanding equity compensation awards held by the CEO immediately prior to such Termination of Employment (with performance-based equity awards vesting at the greater of actual performance as of such Termination of Employment or the target performance goal established with respect to such awards). 

(ii)Executive Severance Benefit.  Subject to Section 3.3 and unless otherwise provided pursuant to a Participation Agreement, in the event the Executive incurs a Termination of Employment with the Company within the Protection Period that is by the Company without Cause, the Executive will be entitled to receive, (A) in a single lump sum payment on the 60th day following the Executive’s Termination of Employment, an amount equal to the Executive Base Amount, (B) to the extent a Participant properly elects COBRA, the COBRA Continuation Benefit for a period of 12 months following the Participant’s Termination of Employment, and (C) accelerated vesting of all outstanding equity compensation awards held by the Participant immediately prior to such Termination of Employment (with performance-based equity awards vesting at the greater of actual performance as of such Termination of Employment or the target performance goal established with respect to such awards).

3.2Severance Benefits Discretionary.  Severance benefits available under the Plan are wholly discretionary.  Prior to the receipt of a Participation Agreement, a Participant will have no legally binding right to any benefits under the Plan.

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3.3Release and Other Agreements.  Notwithstanding any other provision in the Plan to the contrary, as consideration for receiving severance benefits under the Plan, each Participant who is otherwise entitled to receive such benefits must execute a release, and such other documents and agreements as reasonably required by the Plan Administrator, in the form and pursuant to the procedures reasonably established by the Plan Administrator.  If a Participant fails to properly execute such release and other documents or agreements within 55 days of the Participant’s Termination of Employment (which release will be delivered to the Participant no later than seven days following such Termination of Employment), the Participant shall not be entitled to severance benefits under the Plan.

3.4Voluntary Termination.  An Employee who voluntarily terminates employment with the Company (other than a voluntary termination for Good Reason under circumstances that would entitle the Participant to severance benefits pursuant to Section 3.3) shall receive no severance benefits under the Plan.

3.5Termination for Cause, Death or Disability.  In the event the employment of a Participant is terminated by the Company for Cause or due to the death or Disability of the Participant no severance benefits will be payable pursuant to the Plan.

3.6Sections 280G and 4999 of the Code.  Notwithstanding any other provision in this Plan the contrary, in the event that a Participant becomes entitled to any payments or benefits under this Plan and any portion of those payments or benefits, when added to any other amount theretofore or thereafter payable to the Participant, whether or not under any other plan, arrangement or agreement with the Company (the “Aggregate Benefits”), would be subject to the tax (the “Excise Tax”) imposed by Section 4999 of the Code, then the payments and/or benefits under this Plan shall be reduced (first by reducing the cash payments under this Plan, then by reducing any fringe or other benefits required to be provided under this Plan, then by reducing the payments under any other plan, arrangement or agreement and finally by reducing the number of shares of any equity award subject to accelerated vesting under this Plan or any other plan, arrangement or agreement) to an amount that is one dollar ($1.00) less than the amount of the Aggregate Benefits which could be made to the Participant before any portion of the Aggregate Benefits was subject to the Excise Tax.  Determinations pursuant to this Section 3.6 will be made by the Company in its discretion.

Article IV
GENERAL PROVISIONS

4.1Funding and Cost of Plan.  The severance benefits provided herein shall be unfunded and shall be provided from the Company’s general assets.  The cost of providing severance benefits under the Plan shall be borne by the Company.

4.2Named Fiduciary.  The Plan Administrator shall be the named fiduciary for purposes of ERISA. 

4.3Administration.  The Plan Administrator shall be responsible for the management and control of the operation and the administration of the Plan, including without limitation, interpretation of the Plan, decisions pertaining to eligibility to participate in the Plan, computation 

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of severance benefits, granting or denial of severance benefit claims, and review of claims denials.  The Plan Administrator has absolute discretion in the exercise of its powers and responsibilities.  To the extent the Company delegates its responsibilities and powers as Plan Administrator, the Company shall, without limiting any rights that the delegate may have under the Company’s charter or bylaws, applicable law or otherwise, indemnify and hold harmless each such delegate (and any other individual acting on such delegate’s behalf) against any and all expenses and liabilities arising out of such person’s administrative functions or fiduciary responsibilities, excepting only expenses and liabilities arising out of the delegate’s own gross negligence or willful misconduct; expenses against which such delegate shall be indemnified hereunder include without limitation the amounts of any settlement, judgment, attorneys’ fees, costs of court, and any other related charges reasonably incurred in connection with a claim, proceeding, settlement, or other action under the Plan.

4.4Plan Year.  The Plan shall be administered on a calendar year basis.  Accordingly, the Plan year shall be the twelve-consecutive-month period commencing January 1 of each year.

4.5Amendment and Termination.  The Plan may be amended or terminated by the Plan Administrator at any time; provided, however, that no amendment may materially reduce the benefits payable to any Participant without the consent of such Participant  

4.6Successors.  Any successor to the Company shall assume the Company’s obligations under the Plan.  The failure of any successor to assume the Plan or any termination or amendment of the Plan that does not comply with the provisions of Section 4.5 shall be deemed to be a Termination of Employment by the Company without Cause for any affected Participant.  

4.7Claims Procedure and Review.  Claims for severance benefits under the Plan shall be made to the Plan Administrator.  If a claim for severance benefits is wholly or partially denied, the Plan Administrator shall, within a reasonable period of time but no later than 90 days after receipt of the claim (or 180 days after receipt of the claim if special circumstances require an extension of time for processing the claim), notify the claimant of the denial.  Such notice shall (a) be in writing,  (b) be written in a manner calculated to be understood by the claimant, (c) contain the specific reason or reasons for denial of the claim, (d) refer specifically to the pertinent Plan provisions upon which the denial is based, (e) describe any additional material or information necessary for the claimant to perfect the claim (and explain why such material or information is necessary), and (f) describe the Plan’s claim review procedures and time limits applicable to such procedures, including a statement of the claimant’s right to bring a civil action under section 502(a) of the ERISA, following an adverse benefit determination on review. Within 60 days of the receipt by the claimant of this notice, the claimant may file a written appeal with the Plan Administrator.  In connection with the appeal, the claimant may review Plan documents and may submit written issues and comments.  The Plan Administrator shall deliver to the claimant a written decision on the appeal promptly, but not later than 60 days after the receipt of the claimant’s appeal (or 120 days after receipt of the claimant’s appeal if there are special circumstances which require an extension of time for processing).  Such decision shall (i) be in writing, (ii) be written in a manner calculated to be understood by the claimant, (iii) include specific reasons for the decision, (iv) refer specifically to the Plan provisions upon which the decision is based, (v) state that the claimant is entitled to receive, on request and free of charge, reasonable access to and copies of all documents, records, and other information relevant to the claimant’s claim for benefits, and (vi) a statement of 

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the Participant’s right to bring an action under section 502(a) of ERISA.  If special circumstances require an extension, up to 180 or 120 days, whichever applies, the Plan Administrator shall send written notice of the extension.  This notice shall indicate the special circumstances requiring the extension and state when the Plan Administrator expects to render the decision.

4.8Not Contract of Employment.  The adoption and maintenance of the Plan shall not be deemed to be a contract of employment between the Company and any person, to be consideration for the employment of any person, or to have any impact whatsoever on the at-will employment relationship between the Company and the Participants.  Nothing in the Plan shall be deemed to give any person the right to be retained in the employ of the Company or to restrict the right of the Company to discharge any person at any time.  Nothing in the Plan shall be deemed to give the Company the right to require any person to remain in the employ of the Company or to restrict any person’s right to terminate employment at any time.

4.9Governing Law.  This Plan shall be interpreted under the laws of the State of Texas except to the extent preempted by federal law.

4.10Gender; Number.  Wherever appropriate herein, the masculine, neuter, and feminine genders shall be deemed to include each other, and the plural shall be deemed to include the singular and vice versa.

4.11Overpayment.  If, due to mistake or any other reason, a person receives severance benefits under this Plan in excess of what the Plan provides, that person shall repay the overpayment to the Company in a lump sum within 30 days of notice of the amount of overpayment.  If that person fails to so repay the overpayment, then without limiting any other remedies available to the Company, the Company may deduct the amount of the overpayment from any other amounts which become payable to that person under the Plan or otherwise.

4.12Headings.  The headings of the Articles and Sections are included solely for convenience.  If the headings and the text of the Plan conflict, the text shall control.  All references to Articles and Sections are to the Plan unless otherwise indicated.

4.13Severability.  If any provision of the Plan is held to be illegal or invalid for any reason, that holding shall not affect the remaining provisions of the Plan.  Instead, the Plan shall be construed and enforced as if such illegal or invalid provision had not been contained herein.

4.14Mitigation.  A Participant will not be required to mitigate the amount of any severance benefit payable hereunder.

4.15Withholding.  The Company may withhold from any amounts payable under the Plan any federal, state or local taxes as the Company is required to withhold pursuant to any law or government regulation or ruling.  To the extent any withholding is required with respect to the COBRA Continuation Benefit such amounts may be withheld from any cash severance benefits payable to the Participant pursuant to the Plan.

4.16Benefits are Not Insured.  The Plan is a severance plan.  The Pension Benefits Guaranty Corporation under Title IV of ERISA does not insure benefits under this Plan.

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4.17Section 409A.  Severance benefits payable pursuant to the Plan are intended to constitute a “short term deferral” for purposes of Section 409A of the Code and the guidance promulgated thereunder.  Any payments to be made under this Agreement upon a termination of a Participant’s employment shall only be made if such termination of employment constitutes a “separation from service” under Section 409A. Notwithstanding any provision in this Plan to the contrary, if any payment or benefit provided for herein would be subject to additional taxes and interest under Section 409A of the Code if the Participant’s receipt of such payment or benefit is not delayed until the earlier of (i) the date of Participant’s death or (ii) the date that is six months after the Participant’s Termination of Employment (such date, the “Section 409A Payment Date”), then such payment or benefit shall not be provided to Participant (or Participant’s estate, if applicable) until the Section 409A Payment Date.  Notwithstanding the foregoing, the Company makes no representations that the payments and benefits provided under this Plan are exempt from, or compliant with, Section 409A of the Code and in no event shall the Company be liable for all or any portion of any taxes, penalties, interest or other expenses that may be incurred by Participant on account of non-compliance with Section 409A of the Code.

4.18ERISA Rights.  

As a participant in the Plan, Participants are entitled to certain rights and protections under ERISA, which provides that all Plan participants shall be entitled to:

(a)Examine without charge, at the Plan Administrator’s office and at other specified locations such as worksites, all Plan documents, and copies of all documents filed by the Plan with the U.S. Department of Labor, such as detailed annual reports. 

(b)Obtain copies of all Plan documents and other Plan information upon written request to the Plan Administrator.  The Plan Administrator may make a reasonable charge for the copies.

(c)To the extent applicable, receive a summary of the Plan’s annual financial report.  The Plan Administrator is required by law to furnish each participant with a copy of this summary annual report.

In addition to creating rights for Plan Participants, ERISA imposes obligations upon the people who are responsible for the operation of employee benefit plans.  The people who operate the Plan, called “fiduciaries” of the Plan, have a duty to do so prudently and in the interest of Participants and beneficiaries.  No one, including the Company, may fire a Participant or otherwise discriminate against a Participant in any way to prevent the Participant from obtaining benefits or exercising his or her rights under ERISA.

If a claim for a severance benefit is denied in whole or in part, a Participant has the right to know why this was done, to obtain copies of documents relating to the decision without charge, and to appeal any denial, all within certain time schedules.

Under ERISA, there are steps a Participant can take to enforce the above rights.  For instance, if a Participant requests materials from the Plan Administrator and does not receive them within 30 days, the Participant may file suit in a federal court.  In such a case, the court may require the Plan Administrator to provide the materials and pay the Participant up to $110 a day until the Participant receives the materials, unless the materials were not sent because of reasons beyond 

8

 

 

the control of the Plan Administrator.  If a Participant’s claim for severance benefits is denied or ignored, in whole or in part, the Participant may file suit in a state or federal court.  If a Participant is discriminated against for asserting his or her rights, the Participant may seek assistance from the U.S. Department of Labor, or file suit in a federal court.  The court will decide who should pay court costs and legal fees.  If the Participant is successful, the court may order the person sued by the Participant to pay the costs and fees.  If the Participant loses, the court may order the Participant to pay the costs and fees (for example, if it finds that the Participant’s claim is frivolous).

If a Participant has any questions about this Plan, the Participant should contact the Plan Administrator.  If a Participant has any questions about this statement or about his or her rights under ERISA, or if a Participant needs assistance in obtaining documents from the Plan Administrator, he or she should contact the nearest office of the Employee Benefits Security Administration, U.S. Department of Labor, listed in the telephone directory or the Division of Technical Assistance and Inquiries, Employee Benefits Security Administration, U.S. Department of Labor, 200 Constitution Avenue N.W., Washington D.C.  20210.  A Participant may also obtain certain publications about his or her rights and responsibilities under ERISA by calling the publications hotline of the Employee Benefits Security Administration.

4.19Additional Information.  

	
Plan Name:
	
Sailpoint Technologies Holdings, Inc. Severance Pay Plan

	
Plan Year:
	
January 1 through December 31

	
Type of Plan:
	
Welfare Plan—Severance Plan

	
Plan No.:
	
506

	
Plan Sponsor:
	
Sailpoint Technologies Holdings, Inc.11305 Four Points Drive, Building 2, Suite 100Austin, Texas 78726EIN:  47-1628077

	
Plan Administrator:
	
Sailpoint Technologies Holdings, Inc.11305 Four Points Drive, Building 2, Suite 100Austin, Texas 78726

	
 
	
Telephone Number:  (512) 346-2000

	
 
	
The Plan is administered by the Company.

	
Funding Medium:
	
Plan severance benefits are paid from general assets of the Company.

	
Agent for Service

of Legal Process:
	
The Plan Administrator.  Process may be served 
at the address specified above.

 

 

9

 

 

 

IN WITNESS WHEREOF, the Company. has executed this Sailpoint Technologies Holdings, Inc. Severance Pay Plan, effective as of November 6, 2018.

SAILPOINT TECHNOLOGIES HOLDINGS, INC.

 

	
By:
	
/s/ Cam McMartin

	
 
	
Cam McMartin

	
 
	
Chief Financial Officer

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