Document:

exv10w8

 

Exhibit 10.8

EMPLOYMENT AND NON-COMPETITION AGREEMENT

     This Employment and Non-Competition Agreement (this “Agreement”) is entered into by
and between Tyler Technologies, Inc., a Delaware corporation (the “Company”), and Brian K.
Miller (“Executive”). This Agreement will become effective upon the date it is executed by
Executive as evidenced on the signature page hereto (the “Effective Date”).

     The Company desires to employ Executive under the terms and subject to the conditions set
forth in this Agreement, Executive hereby representing that he is free from any other obligation of
continuing employment with any other employer.

     Executive desires employment as an employee of the Company under the terms and subject to the
conditions set forth in this Agreement.

     The non-competition and confidentiality obligations of Executive as set forth in this
Agreement are a material inducement for the Company to enter into this Agreement, and the Company
would not enter into this Agreement absent such covenants by Executive.

     NOW, THEREFORE, in consideration of the mutual covenants and agreements set forth in this
Agreement, and for other good and valuable consideration, the receipt and sufficiency of which all
parties mutually acknowledge, the parties agree as follows:

     1. Employment. The Company hereby employs Executive, and Executive hereby accepts
such employment, on the terms and subject to the conditions set forth in this Agreement.

     2. Duties of Executive.

     (a) Executive will serve in the capacity of Senior Vice President and Chief Financial
Officer for the Company and, in addition, will serve in such other capacities and perform
such other duties on behalf of the Company as may be assigned to him from time to time by
the Chief Executive Officer or Board of Directors, which duties will be commensurate with
the education, experience, and skills of Executive. In such capacities, Executive shall
have all necessary powers to discharge his responsibilities.

     (b) Executive will devote his full business time and effort to the performance of his
duties and responsibilities as an executive of the Company, excluding vacation time and
reasonable absence due to illness.

     (c) Executive will perform his duties in a professional manner and will use his best
efforts, skills, and abilities to promote, enhance, and preserve the business of the
Company and its affiliates and the goodwill and relationships they have with their
employees, agents, representatives, customers, suppliers, and other persons having business
relations with any of them.

     (d) Executive shall observe and comply with the written rules and regulations of the
Company with respect to its business and shall carry out and perform the directives and
policies of the Company as the Board of Directors may from time to time state them to
Executive in writing.

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     3. Employment Term. The term of this Agreement will commence as of the Effective Date
and continue for a period of five (5) years; provided, however, that at the end of such initial
term, the term shall automatically extend for an additional year unless the Company provides, at
least six (6) months prior to the end of such initial term or subsequent anniversary of the end of
such initial term, written notice that it does not wish to extend the term. Notwithstanding the
foregoing, this Agreement may be earlier terminated in accordance with Section 7 of this
Agreement.

     4. Compensation.

     (a) Base Salary. For services performed by Executive pursuant to this
Agreement, the Company will pay Executive during the term of this Agreement a minimum base
salary at the rate of $235,000 per year (the “Base Salary”), which shall be payable
in accordance with the Company’s standard payroll practices but not less than monthly. The
Base Salary shall not be subject to reduction, but may be increased at the discretion of
the Compensation Committee of the Board of Directors or the Board of Directors as a whole.
Any compensation that may be paid to Executive under any additional compensation or
incentive plan of the Company or which may be otherwise authorized from time to time by the
Board of Directors shall be in addition to the Base Salary to which Executive is entitled
under this Agreement.

     (b) Annual Bonus. For each calendar year during the term of this Agreement,
Executive shall be eligible to receive an annual performance bonus (the “Bonus”),
which shall be established and paid at the discretion of the Compensation Committee of the
Board of Directors or the Board of Directors as a whole. Executive’s Bonus is targeted
each year to equal up to 50% of Executive’s Base Salary. The Bonus will be paid in
accordance with the Company’s standard bonus payment practices.

     (c) Equity Grants. During the term of this Agreement, Executive shall be
eligible and participate, in an appropriate manner relative to other senior executives of
the Company and consistent with competitive pay practices generally, in any equity-based
incentive compensation plan or program of the Company, including, without limitation, any
plan or program providing for the grant of (i) options to purchase common stock of the
Company, (ii) restricted stock of the Company, or (iii) similar equity-based units or
interests.

     5. Executive Benefits. During the term of this Agreement, the Company shall provide
Executive with all benefits made available from time to time by the Company to its senior
executives and to its employees generally, including, without limitation, participation in medical
and dental benefit plans and programs, disability and death insurance, 401-K plans, paid vacation,
and other fringe benefits. In addition, the Company will pay all national and state CPA
association and other applicable professional organization fees, continuing professional education,
and other fees and expenses required for Executive to remain in good standing to practice as a
Certified Public Accountant in the State of Texas.

     6. Reimbursement of Expenses. The Company shall reimburse Executive for all expenses
actually and reasonably incurred by Executive in the business interests of the Company. Such
reimbursement shall be made to Executive upon appropriate documentation of such expenditures in
accordance with the Company’s policies.

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     7. Early Termination.

     (a) It is the desire and expectation of each party that the employer-employee
relationship will continue for the full term as set forth in Section 3 of this
Agreement. The Company shall, however, be entitled to terminate Executive’s employment at
any time with or without Cause (as defined below), subject to the restrictions contained in
this Section 7.

     (b) If Executive’s employment is terminated by the Company without Cause prior to the
expiration of this Agreement, the Company shall pay Executive a lump sum amount equal to
(i) during the first two years of this Agreement, Executive’s Base Salary for a period of
three years; (ii) during the third year of this Agreement, Executive’s Base Salary still
due for the remainder of the term of this Agreement; and (iii) following the third year of
this Agreement, Executive’s Base Salary for a period of two years. Executive shall also be
entitled to receive the benefits set forth in Section 5 for a period equal to two
years. A Change of Control (as defined below) of the Company shall be deemed to be a
termination without Cause, unless otherwise agreed by Executive in writing.

     (c) If Executive dies, is unable to perform his duties and responsibilities as a
result of a disability that continues for one hundred and eighty (180) consecutive days or
more, voluntarily resigns from the Company, or is terminated by the Company for Cause, the
Company shall pay Executive (or his estate, executor, or legal representative, as the case
may be) any accrued and unpaid Base Salary and finally determined and unpaid Bonus to the
date employment ceases, and the Company’s obligations to pay additional salary, cash
compensation, or benefits shall terminate as of such date. In addition, if the Company
terminates Executive due to disability, the Company will continue to pay the benefits
outlined in Section 5 to Executive and Executive’s dependents for a period equal to
two years.

     (d) For purposes of this Agreement, “Cause” means a determination by the Board
of Directors of the Company that Executive has: (i) failed or been unable for any reason to
devote substantially all of his time during normal business hours to the business of the
Company and its affiliates (except for vacations and absence due to illness); (ii) been
convicted of any felony; (iii) committed any act or engaged in any conduct that is
fraudulent or constitutes malfeasance or a breach of fiduciary duties of Executive; (iv)
persistently failed to abide by the corporate policies and procedures as set forth in the
Company’s employee handbook; (v) persistently failed to execute the reasonable and lawful
instructions of the Board of Directors relating to the operation of the Company’s business;
or (vi) committed any material or continuing breach of any of the terms of, or has
materially or continually failed to perform any covenant contained in, this Agreement to be
performed by Executive. With respect to (i), (iv), (v), and (vi) above, Executive may not
be terminated for Cause unless Executive fails to cure such breach or failure of
performance within thirty (30) days after Executive’s receipt of written notice of the
breach or failure.

     (e) For purposes of this Agreement, “Change of Control” means approval by the
shareholders of the Company of a merger or consolidation of the Company into an
unaffiliated entity, the dissolution or liquidation of the Company, the sale of all or
substantially all of the assets of the Company, the acquisition by any person, entity, or
group of more than 50% of the voting stock of the Company, or a change in a majority of the
Company’s Board of Directors that was not approved by the then existing Board of Directors.

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     8. Confidential Information.

     (a) Executive acknowledges that the Company and its affiliates are continuously
developing or receiving Confidential Information (as defined below), and that during
Executive’s employment, Executive will receive Confidential Information from the Company
and its affiliates and will receive special training relating to the Company’s and its
affiliates’ business methodologies. Executive further acknowledges and agrees that
Executive’s employment by the Company creates a relationship of confidence and trust
between Executive and the Company and its affiliates that extends to all Confidential
Information that becomes known to Executive. Accordingly, Executive will not disclose or
use any Confidential Information, except in connection with the good faith performance of
his duties as an officer and employee, and will take reasonable precautions against the
unauthorized disclosure or use of Confidential Information. Upon the Company’s request,
Executive will execute and comply with a third party’s agreement to protect its
confidential and proprietary information. In addition, Executive will not solicit or
induce the unauthorized disclosure or use of a third party’s confidential or proprietary
information for the benefit of the Company or its affiliates.

     (b) For purposes of this Agreement, “Confidential Information” means all
written, machine-reproducible, oral and visual data, information, and material, including,
without limitation, business, financial, and technical information, computer programs,
documents, and records (including those that Executive develops in the scope of his
employment) that (i) the Company and its affiliates, or any of their respective customers
or suppliers, treats as confidential or proprietary through markings or otherwise, (ii)
relates to the Company and its affiliates, or any of their respective customers or
suppliers or any of their respective business activities, products, or services (including
software programs and techniques) and is competitively sensitive or not generally known in
the relevant trade or industry, or (iii) derives independent economic value from not being
known to, and is not generally ascertainable by proper means by, other persons who can
obtain economic value from its disclosure or use. Confidential Information shall not
include information or material that: (A) was in the public domain prior to the date of
this Agreement or subsequently came into the public domain through no fault of Executive;
(B) was lawfully received by Executive from a third party free of any obligation of
confidentiality; (C) is approved by the Company for unrestricted public disclosure; or (D)
is required to be disclosed in a judicial or administrative proceeding or by a governmental
or regulatory authority, domestic or foreign.

     9. Non Compete; No Solicitation.

     (a) Executive understands that, during the course of his employment by the Company,
Executive will have access to and receive the benefit of Confidential Information (as
defined in Section 8) and special training, as well as come into contact with the
Company’s and its affiliates’ customers and potential customers, which Confidential
Information, training, knowledge, and contacts would provide invaluable benefits to
competitors and potential competitors of the Company and its affiliates. To protect the
Company’s interest in this information and in these contacts and relationships, and in
consideration for the Company entering into this Agreement, Executive agrees and covenants
that for a period beginning on the Effective Date of this Agreement and continuing until
(i) if Executive voluntarily resigns or is terminated for Cause, the then remaining term of
this Agreement, or (ii)

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if Executive is terminated without Cause pursuant to Section 7(b), the greater
of two years or the then remaining term of this Agreement, Executive will not (without the
prior written consent of the Company), directly or indirectly, (A) engage in any business
that provides the same or competitive products or services as those provided by the Company
and its affiliates in the State of Texas or in any other state in which the Company or its
affiliates is conducting or conducts such business during the term of this Agreement or at
the time of termination of Executive’s employment hereunder, or (B) solicit or encourage or
assist other persons or entities to solicit or encourage any customers of the Company or
any of its affiliates to terminate or materially alter their relationship with the Company
or its affiliates or to become a customer of any other person or entity competing with the
Company or its affiliates, or (C) recruit, solicit or hire, or encourage or assist other
persons or entities to recruit, solicit or hire, any employees of the Company or its
affiliates. The foregoing non-compete provisions shall in no way be construed to prohibit
Executive from engaging in practice as a CPA in the State of Texas.

     (b) Executive understands and agrees that the foregoing covenant is reasonable as to
time, area, and scope and is necessary to protect the legitimate business interests of the
Company and its affiliates. It is further agreed that such covenant will be regarded as
divisible and will be operative as to time, area, and scope to the extent it may be so
operative, and if any part of such covenant is declared invalid, unenforceable, or void as
to time, area, or scope, the validity and enforceability of the remainder will not be
affected.

     (c) Executive understands and acknowledges that the determination of damages in the
event of a breach of any provision of this Section 9 would be difficult. Executive
agrees that the Company or its affiliates, in addition to all other remedies it or any of
them may have at law or in equity and notwithstanding Section 16, will have the
right to injunctive relief if there is a breach without the necessity of proving the
inadequacy or unavailability of damages as an effective remedy.

     10. Notices. Any notice, consent, demand, or request, or other communication to be
given under this Agreement must be in writing and shall be deemed given or made when delivered in
person or within three (3) days upon being sent certified mail, postage prepaid with return receipt
requested, to the following addresses:

	 	 	 
	If to the Company:

	 	Tyler Technologies, Inc.
	 

	 	5949 Sherry Lane, Suite 1400
	 

	 	Dallas, Texas 75225
	 
	 	 
	If to Executive:

	 	Home address of Executive,
	 

	 	as shown on current records of the Company

     11. Entire Agreement. This Agreement constitutes the entire agreement among the
parties hereto pertaining to the specific subject matter hereof and supersedes all prior
agreements, whether written or oral, between the parties with respect to the terms and conditions
of employment of Executive by the Company.

     12. Modification. Any change or modification of this Agreement shall not be valid or
binding upon the parties, nor will any waiver of any term or condition in the future be binding,
unless the change or modification or waiver is in writing and signed by both the Company and
Executive.

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     13. Third Party Beneficiaries. If Executive dies prior to the expiration of the term
of this Agreement, any monies that may be due him under this Agreement as of the date of his death
will be paid to his estate. None of the provisions of this Agreement shall be for the benefit of
or enforceable by any creditors of Executive.

     14. Waiver of Breach. The waiver by the Company of a breach of any provision of this
Agreement by Executive will not operate or be construed as a waiver of any subsequent breach by
Executive.

     15. Governing Law. This Agreement is governed by, and will be construed in accordance
with, the substantive laws of the State of Texas, without giving effect to any conflicts-of-law,
rule, or principle that might require the application of the laws of another jurisdiction.

     16. Arbitration. Any controversy, dispute, or claim arising under this Agreement will
be finally settled by arbitration conducted in accordance with the American Arbitration Association
Rules then in effect; provided, however, that the parties will be obligated to negotiate in good
faith for a period of thirty (30) days to resolve such controversy, dispute, or claim prior to
submitting the same to arbitration. Any such arbitration proceeding will take place in the City
of Dallas, Texas, and the arbitrator will apply the laws of the State of Texas. Any decision
rendered by the arbitrator will be final and binding and judgment thereon may be entered in any
court having jurisdiction or application thereon may be made to such court for an order of
enforcement as the case may require. The parties intend that this agreement to arbitrate be
irrevocable. If arbitration is invoked in accordance with the provisions of this Agreement, the
prevailing party will be entitled to receive from the other all costs, fees, and expenses
pertaining to or attributable to such arbitration, including reasonable attorneys’ fees.

     17. Counterparts. This Agreement may be executed in one or more counterparts, each of
which will constitute one document.

IN WITNESS WHEREOF, the parties have caused this Agreement to be executed and effective as of the
date set forth below.

TYLER TECHNOLOGIES, INC.,

a Delaware corporation

	 	 	 	 	 
	By:

	 	/s/ John S. Marr, Jr.	 	 
	Name:

	 	 

John S. Marr, Jr.
	 	 
	Title:

	 	President and Chief Executive Officer	 	 
	 
	 	 	 	 
	EXECUTIVE:	 	 
	 
	 	 	 	 
	By:

	 	/s/ Brian K. Miller	 	 
	Name:

	 	 

Brian K. Miller
	 	 
	Date:

	 	February 26, 2007	 	 

7exv10wxby

 

Exhibit 10(b)

LAMAR ADVERTISING COMPANY

2000 EMPLOYEE STOCK PURCHASE PLAN

1. Purpose.

     This 2000 Employee Stock Purchase Plan (the “Plan”) is adopted by Lamar Advertising Company
(the “Company”) to provide Eligible Employees who wish to become shareholders of the Company an
opportunity to purchase shares of Class A Common Stock, par value $.001 per share, of the Company
(“Common Stock”). The Plan is intended to qualify as an “employee stock purchase plan” under
Section 423 of the Internal Revenue Code of 1986, as amended (the “Code”), and the provisions of
the Plan shall be construed so as to extend and limit participation in a manner consistent with the
requirements of Section 423; provided that, if and to the extent authorized by the Board, the fact
that the Plan does not comply in all respects with the requirements of Section 423 shall not affect
the operation of the Plan or the rights of Employees hereunder.

2. Certain Definitions.

     As used in this Plan:

     (a) “Board” means the Board of Directors of the Company, and “Committee” means the Executive
Committee of the Board or such other committee as the Board may appoint from time to time to
administer the Plan.

     (b) “Coordinator” means the officer of the Company or other person charged with day-to-day
supervision of the Plan as appointed from time to time by the Board or the Committee.

     (c) “Designated Beneficiary” means a person designated by an Employee in the manner prescribed
by the Committee or the Coordinator to receive certain benefits provided in this Plan in the event
of the death of the Employee.

     (d) “Eligible Employee” with respect to any Offering hereunder means any Employee who, as of
the Offering Commencement Date for such Offering:

          
(i) has been a Full-time Employee of the Company or any of its Subsidiaries for not less than
twelve months; and

          
(ii) would not, immediately after any right to acquire Shares in such Offering is granted, own
stock or rights to purchase stock possessing five percent (5%) or more of the total combined voting
power or value of all classes of stock of the Company or of any subsidiary corporation, determined
in accordance with Section 423.

     (e) “Employee” means an employee (as that term is used in Section 423) of the Company or any
of its Subsidiaries.

 

 

     (f) “Fair Market Value” of a Share shall mean the fair market value of a share of Common
Stock, as determined by the Committee.

     (g) “Full-time Employee” is an Employee whose customary employment is for more than (i) 20
hours per week and (ii) five months, in the calendar year during which the respective Offering
Commencement Date occurs.

     (h) “Offering” is an offering of Shares pursuant to Section 5 of the Plan.

     (i) “Offering Commencement Date” means the date on which an Offering under the Plan commences,
and “Offering Termination Date” means the date on which an Offering under the Plan terminates.

     (j) “Purchase Date” means each date on which the rights granted under the Plan may be
exercised for the purchase of Shares.

     (k) “Section 423” and subdivisions thereof refer to Section 423 of the Code or any successor
provision(s).

     (l) “Shares” means shares of Common Stock.

     (m) “Subsidiary” means a subsidiary corporation, as defined in Section 424 of the Code, of the
Company the Employees of which are designated by the Board of Directors or the Committee as
eligible to participate in the Plan.

3. Administration of the Plan.

     The Committee shall administer, interpret and apply all provisions of the Plan as it deems
necessary or appropriate, subject, however, at all times to the final jurisdiction of the Board of
Directors. The Board may in any instance perform any of the functions of the Committee hereunder.
The Committee may delegate administrative responsibilities to the Coordinator, who shall, for
matters involving the Plan, be an ex officio member of the Committee. Determinations made by the
Committee and approved by the Board of Directors with respect to any provision of the Plan or
matter arising in connection therewith shall be final, conclusive and binding upon the Company and
upon all participants, their heirs or legal representatives.

4. Shares Subject to the Plan.

     The maximum aggregate number of Shares that may be purchased upon exercise of rights granted
under the Plan shall be 500,000 plus an annual increase to be added on the first day of each fiscal
year of the Company beginning with the 2001 fiscal year equal to the least of (i) 500,000 Shares,
(ii) one-tenth of one percent of the total number of Shares outstanding on the last day of the
preceding fiscal year, and (iii) a lesser amount determined by the Board. Appropriate adjustments
in such amount, the number of Shares covered by outstanding rights granted hereunder, the
securities that may be purchased hereunder, the Exercise Price, and the maximum number of Shares or
other securities that an employee may purchase (pursuant to Section 8 below) shall be made to give
effect to any mergers, consolidations, reorganizations, recapitalizations, stock splits, stock
dividends or other relevant changes in the capitalization of

 

 

the Company occurring after the effective date of the Plan; provided that any fractional Share
otherwise issuable hereunder as a result of such an adjustment shall be adjusted downward to the
nearest full Share. Any agreement of merger or consolidation involving the Company will include
appropriate provisions for protection of the then existing rights of participating employees under
the Plan. Either authorized and unissued Shares or treasury Shares may be purchased under the
Plan. The Committee may impose restrictions on transfer on Shares purchased under the Plan. If
for any reason any right under the Plan terminates in whole or in part, Shares subject to such
terminated right may again be subjected to a right under the Plan.

5. Offerings; Participation.

     (a) From time to time, the Company, by action of the Committee, will grant rights to purchase
Shares to Eligible Employees pursuant to one or more Offerings, each having an Offering
Commencement Date, an Offering Termination Date, and one or more Purchase Dates as designated by
the Committee. No Offering may last longer than twenty-seven (27) months or such longer period as
may then be consistent with Section 423. The Committee may limit the number of Shares issuable in
any Offering, either before or during such Offering.

     (b) Participation in each Offering shall be limited to Eligible Employees who elect to
participate in such Offering in the manner, and within the time limitations, established by the
Committee. No person otherwise eligible to participate in any Offering under the Plan shall be
entitled to participate if he or she has elected not to participate. Any such election not to
participate may be revoked only with the consent of the Committee.

     (c) An Employee who has elected to participate in an Offering may make such changes in the
level of payroll deductions as the Committee may permit from time to time, or may withdraw from
such Offering, by giving written notice to the Company before any Purchase Date. No Employee who
has withdrawn from participating in an Offering may resume participation in the same Offering, but
he or she may participate in any subsequent Offering if otherwise eligible.

     (d) Upon termination of a participating Employee’s employment for any reason, including
retirement but excluding death or disability (as defined in Section 22(e)(3) of the Code) while in
the employ of the Company or a Subsidiary, such Employee will be deemed to have withdrawn from
participation in all pending Offerings to the extent administratively feasible.

     (e) Upon termination of a participating Employee’s employment because of disability or death,
the Employee or his or her Designated Beneficiary, if any, as the case may be, shall have the right
to elect, with respect to each Offering in which the Employee was then participating, by written
notice given to the Coordinator within 30 days after the date of termination of employment (but not
later than the next applicable Purchase Date for each Offering), either (i) to withdraw from such
Offering or (ii) to exercise the Employee’s right to purchase Shares on the next Purchase Date of
such Offering to the extent of the accumulated payroll deductions in the Employee’s account at the
date of termination of employment. If no such election with respect to any Offering is made within
such period, the Employee shall be deemed to have withdrawn from such Offering on the date of
termination of employment. The

 

 

foregoing election is not available to any person, such as a legal representative, as such,
other than the Employee or a Designated Beneficiary.

6. Exercise Price.

     The rights granted under the Plan shall be exercised and Shares shall be purchased at a price
per Share (the “Exercise Price”) determined by the Committee from time to time; provided that the
Exercise Price shall not be less than eighty-five percent (85%) of the Fair Market Value of a Share
on (a) the respective Offering Commencement Date or (b) the respective Purchase Date, whichever is
lower.

7. Exercise of Rights; Method of Payment.

     (a) Participating Employees may pay for Shares purchased upon exercise of rights granted
hereunder solely through regular payroll deductions. No interest shall be paid upon payroll
deductions (whether or not used to purchase Shares) unless specifically provided for by the
Committee. All payroll deductions received or held by the Company under this Plan may be used by
the Company for any corporate purpose, and the Company shall not be obligated to segregate such
amounts.

     (b) Subject to any applicable limitation on purchases under the Plan, and unless the Employee
has previously withdrawn from the respective Offering, rights granted to a participating Employee
under the Plan will be exercised automatically on the Purchase Date of the respective Offering
coinciding with the Offering Termination Date, and the Committee may provide that such rights may
at the election of the Employee be exercised on one or more other Purchase Dates designated by the
Committee within the period of the Offering, for the purchase of the number of Shares that may be
purchased at the applicable Exercise Price with the accumulated payroll deductions as of the
respective Purchase Date. Fractional Shares will be issued under the Plan, unless the Committee
determines otherwise. If fractional Shares are not issued, any amount that would otherwise have
been applied to the purchase of a fractional Share shall be retained and applied to the purchase of
Shares in the following Offering unless the respective Employee elects otherwise. The Company will
deliver to each participating Employee or to an account of the participating Employee designated by
the Committee evidence of ownership of the shares of Common Stock purchased within a reasonable
time after the Purchase Date in such form as the Committee determines will give the participating
Employee full ownership of and rights to transfer the Shares. The Committee may require that the
participating Employee hold such Shares in an account of the participating Employee designated by
the Committee.

     (c) Any amounts withheld from the Employee’s compensation that are not used for the purchase
of Shares, whether because of such Employee’s withdrawal from participation in an Offering
(voluntarily, upon termination of employment, or otherwise) or for any other reason, except as
provided in Section 7(b), shall be repaid to the Employee or his or her Designated Beneficiary or
legal representative, as applicable, within a reasonable time thereafter.

     (d) The Company’s obligation to offer, sell and deliver Shares under the Plan at any time is
subject to (i) the approval of any governmental authority required in connection with the

 

 

authorized issuance or sale of such Shares, (ii) satisfaction of the listing requirements of any
national securities exchange or securities market on which the Common Stock is then listed, and
(iii) compliance, in the opinion of the Company’s counsel, with all applicable federal and state
securities and other laws.

8. Limitations on Purchase Rights.

     (a) Any provision of the Plan or any other employee stock purchase plan of the Company or any
subsidiary (collectively, “Other Plans”) to the contrary notwithstanding, no Employee shall be
granted the right to purchase Common Stock (or other stock of the Company and any subsidiary) under
the Plan and all Other Plans at a rate that exceeds an aggregate of $25,000 (or such other maximum
as may be prescribed from time to time by Section 423) in Fair Market Value of such stock
(determined at the time the rights are granted) for each calendar year in which any such right is
outstanding.

     (b) An Employee’s participation in any one or a combination of Offerings under the Plan shall
not exceed such additional limits as the Committee may from time to time impose.

9. Tax Withholding.

     Each participating Employee shall pay to the Company or the applicable Subsidiary, or make
provision satisfactory to the Committee for payment of, any taxes required by law to be withheld in
respect of the purchase or disposition of Shares no later than the date of the event creating the
tax liability. In the Committee’s discretion and subject to applicable law, such tax obligations
may be paid in whole or in part by delivery of Shares to the Company, including Shares purchased
under the Plan, valued at Fair Market Value on the date of delivery. The Company or the applicable
Subsidiary may, to the extent permitted by law, deduct any such tax obligations from any payment of
any kind otherwise due to the Employee or withhold Shares purchased hereunder, which shall be
valued at Fair Market Value on the date of withholding.

10. Participants’ Rights as Shareholders and Employees.

     (a) No participating Employee shall have any rights as a shareholder in the Shares covered by
a right granted hereunder until such right has been exercised, full payment has been made for such
Shares, and the Share certificate is actually issued.

     (b) Neither the adoption, maintenance, nor operation of the Plan nor any grant of rights
hereunder shall entitle any Employee to continued employment or other service with the Company or
any Subsidiary or restrict the right of any of such entities to terminate such employment or
service or otherwise change the terms of such employment or service at any time or for any reason

11. Rights Not Transferable.

     Rights under the Plan are not assignable or transferable by a participating Employee other
than by will or the laws of descent and distribution and, during the Employee’s lifetime, are
exercisable only by the Employee. The Company may treat any attempted inter vivos assignment as an
election to withdraw from all pending Offerings.

 

 

12. Amendments to or Termination of the Plan.

     The Board shall have the right to amend, modify or terminate the Plan at any time without
notice, subject to any stockholder approval that the Board determines to be necessary or advisable;
provided that the rights of Employees hereunder with respect to any ongoing or completed Offering
shall not be adversely affected.

13. Governing Law.

     Subject to overriding federal law, the Plan shall be governed by and interpreted consistently
with the laws of Delaware.

14. Effective Date and Term.

     This Plan will become effective on April 1, 2000. No rights shall be granted under the Plan
after April 1, 2010.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00118-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00118-of-00352.parquet"}]]