Document:

exv10w18

Exhibit
10.18

COLLABORATION AGREEMENT

This Collaboration Agreement (the “Agreement”) is effective as of July 11, 2005 between Mind
Streams, LLC, a limited liability company (“Mind Streams”), and Significant Education, LLC, (d/b/a/
Grand Canyon University) a for-profit company (the “University”). Mind Streams and the University
are sometimes referred to individually as a “Party” and jointly as the “Parties”.

Agreement to Collaborate. Mind Streams and the University agree to work together in a cooperative
effort and in good faith to conduct certain projects (each, a “Project”) on a non-exclusive basis,
as may be agreed and the terms documented in an Exhibit to this Agreement (each, a “Project
Description”). Each Project Description to this Agreement (whether or not attached hereto) will
incorporate the terms of this Agreement and the terms thereof will be binding on the Parties. The
first Project of the Parties is described in the Project Description attached as Exhibit 1 (the
“First Project”). Each Party agrees to perform those duties of such Party as set forth in a
Project Description. For each Project, Mind Streams will contribute proprietary relationships,
business and technical developments, and know how, including, without limitation a management
system developed by it and specialized personnel, training, marketing and promotion activities.
The University will contribute specialized personnel for financial aid, enrollment, registration,
advisement, instruction, training and degree conferring coursework.

Consideration. The consideration to be received by each Party for each Project will be negotiated
and adjusted as mutually agreed by the Parties and will be set forth in the Project Description.
The consideration for the First Project is described in Exhibit 1.

Termination and Survival. This Agreement will terminate on December 31, 2010 (the “Termination
Date”), unless otherwise terminated for any reason by either Party, in its sole judgment, upon 45
days prior written notice to the other Party. The Parties may mutually agree, in writing, to
extend the Termination Date. Each Project will terminate upon the earlier of (i) its completion or
(ii) the termination of this Agreement, unless provided otherwise in the Project Description
relating to a Project. Any consideration described in the Project Description owed

 

 

under a Project but unpaid at the Termination Date will be paid within 30 days following the
Termination Date. The Parties agree that the students enrolled under a Project on the Termination
Date are attributed to Mind Streams’ efforts under such Project and any consideration described in
the Project Description related to those students, until their respective graduation or other
termination of enrollment, will be paid pursuant to the Project Description. The foregoing payment
obligations will survive the Termination Date.

Academic Responsibility. The University will have exclusive control over its academic programs.
The University is not delegating, and will not delegate, any of its institutional rights or
obligations. The University will make all academic and faculty employment judgments and decisions
consistent with its published policies and procedures. Non-delegated duties include course content
and the delivery of the instructional program; selection and approval of faculty; admission,
registration, and retention of students, calculation of prior learning; evaluation of student
progress and the awarding and recording of credit.

Authorization. Each of the Parties represents and warrants to the other Party that this Agreement
has been duly authorized by all necessary action and that it constitutes a valid and binding
obligation of each Party to the other Party.

Department of Education. The University has been approved for various programs sponsored by state
and federal governments, including without limitation, the approval by the U.S. Department of
Education to receive Title IV funds under Title IV of the Higher Education Act of 1965, as amended.
Mind Streams has provided the University with an April 20, 2005 memorandum from Dow, Lohnes &
Albertson addressing its activities described in this Agreement under the Higher Education Act and
regulations promulgated by the U.S. Department of Education. Mind Streams represents and warrants
that its compensation of its employees or other persons who perform any student recruitment or
admission activities for the University under this Agreement is and will continue to be in
compliance with Section 487(a)(20) of the Higher Education Act of 1965, as amended (20 U.S.C. §
1094(a)(20)), or any successor provision, and the regulations promulgated thereunder by the U.S.
Department of Education (currently located at 34 C.F.R. § 668.14(b)(22)). Mind Streams agrees to
indemnify and hold

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harmless the University and its successors, assigns, agents, officers, directors and employees,
from and against any and all liabilities, obligations, claims, losses, damages, expenses and costs
(including, but not limited to, reasonable attorneys’ fees and litigation costs) which arise out of
or result from (i) any breach or alleged breach of the representations and warranties made by Mind
Streams in this paragraph, or (ii) any assertion by the U.S. Department of Education that Mind
Streams’ compensation of its employees or other persons who perform any student recruitment or
admission activities for the University under this Agreement does not comply with Section
487(a)(20) of the Higher Education Act of 1965, as amended (20 U.S.C. § 1094(a)(20)), or any
successor provision, or the regulations promulgated thereunder by the U.S. Department of Education.
The foregoing representation and warranties shall survive the Termination of this Agreement.

Records And Accounting. Each Party will maintain complete and accurate books and records for the
Agreement, including records reflecting billing, payments, students, and payroll. The records must
be maintained for at least three years after the termination of the Agreement. If the University
provides Notice to Mind Streams that the University is subject to an audit or other review by a
regulatory agency, or to any claim or litigation, relation to the University’s compliance with the
statutory and regulatory provisions referenced in the paragraph of this Agreement titled
“Department of Education,” then Mind Streams will continue to maintain and retain complete records
relating to this Agreement and the compensation of its employees or other persons who perform any
student recruitment or admission activities for the University under this Agreement until the
University provides Notice to Mind Streams that such audit, review, claim or litigation has been
concluded. After Notice by either Party, the other Party will allow the requesting Party to have
access, during ordinary business hours, to the books and records as may be reasonably required to
verify services provided under the terms of the Agreement. Either Party may periodically, at its
expense, have the books and records of the other Party audited by a certified public accountant.
If the accountant determines that the requesting Party was overcharged or underpaid, the other
Party will refund the overage or underage and reimburse the requesting Party for the cost of the
audit within 20 days after Notice. If either Party disputes the accountant’s determination, and
good faith efforts to resolve the

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dispute are unsuccessful, the dispute will be resolved through binding arbitration as provided in
this Agreement.

Confidential Information. Each Party will have access to confidential and proprietary information
owned by the other Party, including, without limitation, information about the business affairs,
finances, customer and supplier lists, marketing, sales, methods of operation, trade secrets,
designs, inventions, formulas, software programs, processes, techniques, research, technical data,
curriculum or other learning information. Each Party agrees not to disclose to any third-party,
whether directly or indirectly, confidential or proprietary information without the written
permission of the other Party, except as required by either Party’s responsibilities under this
Agreement. After Notice by one Party or the termination of the Agreement, the other Party must
immediately return the confidential or proprietary information and comply with the instructions
regarding the return or disposition of the confidential or proprietary information, including any
copies or reproductions. This paragraph does not apply to information that: (a) is or becomes
available to the general public other than as a result of disclosure by the receiving Party; (b) is
known to a Party prior to the disclosure under this Agreement; (c) becomes available to a Party on
a nonconfidential basis from a source (other than the other Party) which is not known by the
receiving Party to be in breach of any nondisclosure obligations; or (d) is independently developed
by a Party without reference to confidential information. If a receiving Party believes that it is
required by law to disclose confidential information, it shall provide Notice to the disclosing
Party, to the greatest extent possible, prior to making such disclosure so as to allow the
disclosing Party to undertake action to prevent disclosure or otherwise obtain confidential
treatment of such disclosure.

Liability Insurance. Each Party will maintain in force at all times during the term of this
Agreement, with an insurance company acceptable to the other Party, worker’s compensation (the
amount required by statute), employer’s liability, comprehensive general liability and auto
liability, each in the amount of $3,000,000, and such additional insurance as may be necessary to
cover the Party’s obligations under the Agreement.

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Indemnification by Mind Streams. Mind Streams shall, to the fullest extent permitted by law,
defend, indemnify, and hold harmless the University and its members, shareholders, directors,
officers, employees, and agents for any and all liability, claims, litigation, judgments, causes of
action, losses, expenses, damages, and liabilities arising out of, or incurred in connection with
or arising directly or indirectly out of the obligations undertaken in connection with this
Agreement (“Claims”), except claims arising through the sole active negligence or willful
misconduct of the University. Claims include, without limitation, the following: (a) any willful
or negligent act, or failure to act by Mind Streams, its officers, directors, agents, employees or
representatives; (b) any inaccurate representation made by Mind Streams; (c) any default in
performance of any of the covenants or obligations that Mind Streams is to perform under the
Agreement, and (d) any investigations or actions taken by HLC or Department of Education against
the University as a result of the actions of Mind Streams in connection with this Agreement.

Indemnification by the University. The University shall, to the fullest extent permitted by law,
defend, indemnify, and hold harmless Mind Streams and its members, shareholders, directors,
officers, employees, and agents for any and all liability, claims, litigation, judgments, causes of
action, losses, expenses, damages, and liabilities arising out of the Claims, except claims arising
through the sole active negligence or willful misconduct of Mind Streams. Claims may arise from,
but are not limited to, the following: (a) any willful or negligent act, or failure to act by the
University, its officers, directors, agents, employees or representatives; (b) any inaccurate
representation made by the University; and (c) any default in performance of any of the covenants
or obligations that the University is to perform under the Agreement.

“Indemnify” means to hold harmless from and defend from loss or liability with respect to any
and all Claims (including costs and attorney’s fees at both trial and appellate levels), arising
out of, or incurred in connection with, an identified circumstance, incident, condition,
relationship, time period, or other matter. These indemnity obligations shall apply for the
entire time that any third party can make a Claim against one of the Parties for liabilities under
this Agreement and shall survive the termination of this Agreement.

Compliance With Laws. During the performance of the obligations under the Agreement, neither Party
will unlawfully discriminate against any person. Both Parties will conduct their

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activities under the Agreement in strict compliance with Laws. For the purpose of this Agreement,
“Laws” means all applicable laws, ordinances, regulations, and other requirements of any country,
federal, state, county, or municipal agency. Both Parties will obtain all required permits,
licenses, and bonds for the performance of their obligations under the Agreement. Both Parties
will certify and provide proof that they are in compliance with Laws and have obtained required
permits.

Binding Agreement. Upon execution by the signatories provided below, this Agreement shall be
binding on the Parties, and their respective successors, assignees, agents, affiliates,
representatives and attorneys.

Binding Arbitration.

     Claims. Any controversy or claim between the Parties relating to or arising out of this
Agreement must be submitted to final and binding arbitration, including all controversies or claims
based on contract, tort, equity, and statute; provided, however, that if the controversy requires
provisional remedies, such as injunctive relief or attachment, any Party may elect to have the
matter determined by a court of competent jurisdiction; provided, however, thereafter the substance
of the claim will be subject to binding arbitration.

     Waiver of Jury Trial. The Parties understand that they are waiving their rights to a jury
trial.

     Procedures. (a) The arbitration will be conducted before the American Arbitration Association
at the location of the Party initiating the arbitration. Except as provided in this Section, the
arbitration will be governed by the Commercial Arbitration Rules. The demand for arbitration
setting forth the facts and issues must be in writing and submitted to the American Arbitration
Association within one year from the date the actions giving rise to the claims occur. The
American Arbitration Association shall select a single arbitrator. The responding Party may serve
a reply or cross demand within 20 days. The arbitrator will conduct a pre-arbitration hearing
within 30 days after the arbitrator is appointed and the arbitration will be completed within 120
days after the filing of the arbitration demand. The arbitrator will establish additional
deadlines reasonably required to facilitate the arbitration. (b) The arbitrator will provide for
discovery, including a Party may serve a document request for any document that would be

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discoverable in a civil lawsuit no less than 30 calendar days before the arbitration hearing;
responses to such request must be delivered with the requested documents and any objections within
20 days; and each Party may take no more than two depositions unless additional depositions are
allowed by the arbitrator.

     Powers of Arbitrator. The arbitrator will have the powers to: (a) issue subpoenas for the
attendance of witnesses for the production of books, records, documents, and other evidence; (b)
order depositions to be used as evidence; (c) resolve discover disputes as if the arbitration were
a civil action; (d) conduct a hearing on the arbitrable issues; and (e) rule on the question of
whether specified issues are subject to arbitration and issue an award after the arbitration
hearing is concluded.

     Costs and Expenses. The Parties will bear equally the arbitrator’s expenses and fees,
including meeting room charges, administrative fees, travel expenses, and out-of-pocket expenses.
Unless otherwise ordered by the arbitrator, each Party will pay its own attorney fees, costs,
witness fees, and other expenses. The arbitrator may award the prevailing Party any expenses and
fees of arbitration, including reasonable attorney fees and costs, in such proportion as the
arbitrator decides.

     Final Award. Within ten days after completion of the arbitration hearing, the arbitrator will
issue a tentative written decision, specifying the reasoning for the decision and any calculations
necessary to explain the award. The Parties will have five days in which to submit comments to the
tentative decision. The final award will be issued within ten days after the arbitrator’s receipt
of comments. The final award may be entered as a judgment in any court having jurisdiction.

Attorneys’ Fees. In the event either Party requests arbitration or files a lawsuit for the
interpretation, specific performance, or damages for the breach of the Agreement, the prevailing
Party is entitled to a judgment or award against the other in an amount equal to actual and
reasonable attorney’s fees and costs incurred, together with all other appropriate legal or
equitable relief.

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Expenses. Except as expressly provided in this Agreement or any Project Description, each Party
shall pay, or cause to be paid, all expenses in the performance of its obligations hereunder,
including attorneys’ fees.

Relationship. The Parties agree that the terms of the Agreement do not constitute the formation of
a partnership, joint venture, or other relationship and that no form of agency exists between the
Parties. Neither Party will hold itself, or its agents or employees out to be an agent of the
other Party, and neither Party will have authority to bind or obligate the other Party in any
manner whatsoever.

Name Seal and Logo. Neither Party may use the name, seal, or logo of the other Party without its
prior written consent. Each Party shall identify in writing to the other Party the person
designated who is responsible for making decisions regarding requests to use the Party’s name, seal
or logo and to whom such requests should be made. Each Party will make available its “brand” for
the purposes related to the affiliation consistent with the terms of the Agreement.

Notices. When the Agreement requires that a Party give Notice to the other Party, including
specifically notices of default, termination, or a demand for arbitration, the Notice must comply
with the requirements in this Section. Notice will be effective when:

(a) personally delivered to the recipient, Notice is effective upon delivery; (b) mailed certified
mail, return receipt requested, Notice is effective on receipt, if a return receipt confirms
delivery; (c) delivered by overnight delivery (e.g., Federal Express/Airborne/United Parcel
Service/DHL WorldWide Express), charges prepaid or charged to the sender’s account. Notice is
effective on delivery, if delivery is confirmed by the delivery service; and, ((d) sent by
facsimile, Notice is effective on receipt, except that any Notice given by facsimile is deemed
received on the next business day if it is received after 5:00 p.m. or on a non-business day,
provided that a duplicate copy of the Notice is promptly sent by first-class or certified mail or
by overnight delivery or the receiving Party delivers a confirmation of receipt. Notice by
facsimile is permissible only if all the Parties and others to receive notice have provided a
facsimile number in accordance with this Section. Notices must be given to:

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	 	If to Mind Streams, to:
	 	Dennis L. Little
	 

	 	 	 	Mind Streams, LLC
	 

	 	 	 	7227 N. 16th Street, Suite 190
	 

	 	 	 	Phoenix, AZ 85020
	 

	 	 	 	Telephone Number: (602) 906-6000
	 

	 	 	 	Facsimile Number: (602) 906-6098
	 
	 	 	 	 
	 

	 	If to University, to:
	 	Linda Rawles
	 

	 	 	 	Grand Canyon University
	 

	 	 	 	3300 W. Camelback Road
	 

	 	 	 	Phoenix, AZ 85017
	 

	 	 	 	Telephone Number: (602) 589-2300
	 

	 	 	 	Facsimile Number: (602) 589-2457

Either party may change either its address or facsimile number by giving the other party Notice.
All communications for which Notice is not required, including those provisions permitting or
requiring a party to “approve,” “advise,” or “consent” may be given by facsimile or other
electronic communications. In these circumstances only the contact person for each Party need
receive the communication.

Assignment. The Agreement may be assigned by either Party without the express written consent of
the other Party.

Entire Agreement/ Modification. This Agreement constitutes the entire agreement of the Parties and
supersedes any prior understandings or agreements of the Parties with respect to the subject matter
hereof. Except for the addition of Project Descriptions to this Agreement, provided that such
Project Descriptions are executed by both Parties, this Agreement cannot be modified except by
written agreement signed by both Parties.

Counterparts. This Agreement may be executed in any number of counterparts, all of which, when
taken together, shall constitute a fully executed agreement, provided, however, this Agreement
shall be of no force or effect until executed by both Parties.

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Governing Law/Jurisdiction. The laws of the State of Arizona govern this Agreement. All
arbitration or legal action brought by either Party arising out of or relating to this Agreement
shall be filed in Maricopa County, Arizona, and all Parities consent to the jurisdiction and venue
of the courts located therein.

The undersigned have agreed to the forgoing provisions as of the date hereof and have caused this
Agreement to be executed by their duly authorized representatives as of the date at the beginning
of this Agreement.

	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 
	 	 	 	 	 	 
	Mind Streams, LLC, an Arizona

limited liability company,	 	 	 	Significant Education, LLC, a Delaware

limited liability company,	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	By:

	 	/s/ Dennis L. Little
	 	 	 	By:
	 	/s/ Brent Richardson	 	 
	 

	 	 
	 	 	 	 	 	 	 	 
	 

	 	Name: Dennis L. Little
	 	 	 	 	 	Name: Brent Richardson	 	 
	 

	 	Title:   Vice President
	 	 	 	 	 	Title:   Chief Executive Officer	 	 

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Collaboration Agreement

Between Mind Streams, LLC and

Significant Education, LLC

Dated July 1, 2005

Exhibit 1

Project One

Project One, collaboration activity between Mind Streams and the University relating to the
development, promotion and marketing of the University’s online master’s programs in education and
leadership. The terms and conditions of the Collaboration Agreement referenced above are
incorporated herein by this reference.

Mind Streams Obligations:

	 	1.	 	Actively work with the University in identifying appropriate courses, programs and
curriculum relating to online master’s degrees in education and leadership;
	 
	 	2.	 	Actively promote the University generally and its courses and degree conferring programs,
	 
	 	3.	 	Develop and maintain key contracts and relationships with school corporations within the
United States catering to teachers and administrators interested in pursuing additional
education opportunities of a kind offered by the University,
	 
	 	4.	 	Provide teams dedicated to the recruitment and retention of students for the University’s
programs.

University Obligations: The University shall provide the following services to students of the
University’s online masters programs in education:

	 	1.	 	Determine the curriculum to be offered to students,
	 
	 	2.	 	Registration,
	 
	 	3.	 	Enrollment,
	 
	 	4.	 	Academic advisement,
	 
	 	5.	 	Financial aid counseling,
	 
	 	6.	 	Instruction, including selecting, hiring and compensating instructors,
	 
	 	7.	 	Student academic record-keeping, and
	 
	 	8.	 	Graduation and certification, if applicable.

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Joint Obligations:

	 	1.	 	The Parties will work in good faith to carry out their duties under this Project,
including establishing lines of communication and monitoring systems necessary to
effectuate such obligations.

Consideration:

	 	1.	 	During the term of this Project One, the University will pay
to Mind Streams 45% of
Net Revenue, defined below. For the purpose of this Agreement “Net Revenue” means tuition
actually received by the University from students recruited by Mind Streams minus any
discounts, refunds and allowances.
	 
	 	2.	 	Within 30 calendar days following the start of each new enrollment period
during the term of this Project One, the University shall provide Mind Streams with a
report containing information regarding the number of eligible students enrolled, the date
a student dropped any course(s) and the tuition received. The parties will reconcile and
agree on the information in the report within 15 calendar days after the report is issued
and payment will be remitted to Mind Streams 15 calendard days after the reconciliation.
The University will provide Mind Streams with a similar report for the applicable
enrollment period at the end of each month thereafter until all tuition has been accounted
for and payment made to Mind Streams.
	 
	 	3.	 	The form of such report shall be established jointly by the University and Mind
Streams.

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Termination:

This Project One will terminate on July 31, 2007, unless terminated earlier by mutual agreement of
the Parties. In the event of early termination, the provisions of the Termination and Survival
paragraph in the Collaboration Agreement are applicable to any consideration owned to either Party
by the other.

	 	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 
	 	 	 	 	 	 
	Mind Streams, LLC, an Arizona

limited liability company,	 	 	 	Significant Education, LLC, a Delaware

limited liability company,	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	By:

	 	/s/ Dennis L. Little
	 	 	 	By:
	 	/s/ Brent Richardson	 	 
	 

	 	 
	 	 	 	 	 	 	 	 
	 

	 	Name: Dennis L. Little
	 	 	 	 	 	Name: Brent Richardson	 	 
	 

	 	Title:   Vice President
	 	 	 	 	 	Title:   Chief Executive Officer	 	 

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Collaboration Agreement

Between Mind Streams, LLC and

Significant Education, Inc

Dated July 1, 2005

Exhibit 2

Project Two

Project Two, collaboration activity between Mind Streams and the University relating to the
promotion and marketing of the University’s online programs. The terms and conditions of the
Collaboration Agreement referenced above are incorporated herein by this reference.

Mind Streams Obligations:

	 	5.	 	Actively promote the University generally and its courses and degree conferring programs,
	 
	 	6.	 	Develop and maintain key contracts and relationships with school corporations within the
United States catering to teachers and administrators interested in pursuing additional
education opportunities of a kind offered by the University,
	 
	 	7.	 	Provide teams dedicated to the recruitment and retention of students for the University’s
programs.
	 
	 	8.	 	Mind Streams represents and warrants that its compensation of its employees or other
persons who perform any student recruitment or admission activities for SigEd and/or GCU
under this Agreement is and will continue to be in compliance with Section 487(a)(20) of the
Higher Education Act of 1965, as amended (20 U.S.C. § 1094(a)(20)), or any successor
provision, and the regulations promulgated thereunder by the U.S. Department of Education
(currently located at 34 C.F.R. § 668.14(b)(22)). Mind Streams agrees to indemnify and hold
harmless SigEd and GCU and their successors, assigns, agents, officers, directors and
employees, from and against any and all liabilities, obligations, claims, losses, damages,
expenses and costs (including, but not limited to, reasonable attorneys’ fees and litigation
costs) which arise out of or result from (i) any breach or alleged breach of the
representations and warranties made by Mind Streams in this paragraph, or (ii) any assertion
by the U.S. Department of Education that Mind Streams’ compensation of its employees or
other persons who perform any student recruitment or admission

Page 1 of 3

 

Collaboration Agreement

Between Mind Streams, LLC and

Significant Education, Inc

Dated July 1, 2005

Exhibit 2

Project Two

	 	 	 	activities for SigEd and/or GCU under this Agreement does not comply with Section 487(a)(20)
of the Higher Education Act of 1965, as amended (20 U.S.C. § 1094(a)(20)), or any successor
provision, or the regulations promulgated thereunder by the U.S. Department of Education.

University Obligations: The University shall provide the following services to students of the
University’s online masters programs in education:

	 	9.	 	Determine the curriculum to be offered to students,
	 
	 	10.	 	Registration,
	 
	 	11.	 	Enrollment,
	 
	 	12.	 	Academic advisement,
	 
	 	13.	 	Financial aid counseling,
	 
	 	14.	 	Instruction, including selecting, hiring and compensating instructors,
	 
	 	15.	 	Student academic record-keeping, and
	 
	 	16.	 	Graduation and certification, if applicable.

Joint Obligations:

	 	2.	 	The Parties will work in good faith to carry out their duties under this Project,
including establishing lines of communication and monitoring systems necessary to
effectuate such obligations.

Consideration:

	 	1.	 	During the term of this Project One, the University will pay
to Mind Streams 45% of
Net Revenue, defined below. For the purpose of this Agreement “Net Revenue” means tuition
actually received by the University from students recruited by Mind Streams minus any
discounts, refunds and allowances.

Page 2 of 3

 

Collaboration Agreement

Between Mind Streams, LLC and

Significant Education, Inc

Dated July 1, 2005

Exhibit 2

Project Two

	 	2.	 	Within 30 days following the end of each month during the term of this Project One,
the University shall provide Mind Streams with a report containing information regarding
the number of eligible students enrolled in the programs, the dates of enrollment and the
tuition received for the month. The form of such report shall be established jointly by
the University and Mind Streams. Payment to Mind Streams is due at time of receipt of the
report.

	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	 

	 	 	 	 
	 	 	 	 	 	 
	Mind Streams, LLC, an Arizona 

limited liability company,	 	 	 	Significant Education, LLC, a Delaware

corporation	 	 
	 
	 	 	 	 	 	 	 	 	 	 
	By:

	 	/s/ Dennis L. Little
	 	 	 	By:
	 	/s/ Chris Richardson	 	 
	 

	 	 
	 	 	 	 	 	 	 	 
	 

	 	Name: Dennis L. Little
	 	 	 	 	 	Name: Chris Richardson	 	 
	 

	 	Title:   Chief Financial Officer
	 	 	 	 	 	Title:   Managing Director	 	 

Page 3 of 3exv10w19

Exhibit 10.19

EXECUTIVE EMPLOYMENT AGREEMENT

(Chief Financial Officer)

     This Executive Employment Agreement (the “Agreement”) is entered into on June 25,
2008, by and between Grand Canyon Education, Inc., a Delaware corporation (the “Company”),
and Daniel E. Bachus (“Executive”).

     The parties agree as follows:

     1. Employment. The Company hereby employs Executive, and Executive hereby accepts
such employment, upon the terms and conditions set forth herein.

     2. Duties.

          2.1 Position. Executive is employed as Chief Financial Officer and shall have the
duties and responsibilities assigned by the Company’s Chief Executive Officer (“CEO”) both
upon initial hire and as may be reasonably assigned from time to time. Executive shall perform
faithfully and diligently all duties assigned to Executive. The Company reserves the right to
modify Executive’s position and duties at any time in its sole and absolute discretion, except that
any material diminution in Executive’s duties shall be subject to Section 7.3(ii) below.

          2.2 Best Efforts/Full-time. Executive will expend Executive’s best efforts on behalf
of the Company, and will abide by all policies and decisions made by the Company, as well as all
applicable federal, state and local laws, regulations or ordinances. Executive will act in the
best interest of the Company at all times. Executive shall devote Executive’s full business time
and efforts to the performance of Executive’s assigned duties for the Company, unless Executive
notifies the CEO in advance of Executive’s intent to engage in other paid work and receives the
CEO’s express written consent to do so. Notwithstanding the foregoing, Executive will be permitted
to serve as an outside director on the board of directors for corporate, civic, nonprofit or
charitable entities, so long as Executive obtains the consent of the Company and provided such
entities are not competitive with the Company and subject to the provisions of section 9 below.

          2.3 Work Location. Executive’s principal place of work shall be located in Phoenix,
Arizona, or such other location as the Company may direct from time to time.

     3. Term.

          3.1 Initial Term. The employment relationship pursuant to this Agreement shall be for
an initial term commencing on July 1, 2008 (the “Effective Date”) and continuing for a
period of four (4) years following such date (“Initial Term”), unless sooner terminated in
accordance with section 7 below.

          3.2 Renewal. On expiration of the Initial Term specified in subsection 3.1 above, this
Agreement will automatically renew for subsequent one (1) year terms (each a “Renewal
Term”) unless either party provides thirty (30) days’ advance written notice to the other that
the Company or Executive does not wish to renew the Agreement for subsequent Renewal Term. In the
event either party gives notice of nonrenewal pursuant to this subsection 3.2, this Agreement will
expire at the end of the then current term. The Initial Term and each subsequent Renewal Term are
referred to collectively as the “Term”.

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     4. Compensation.

          4.1 Base Salary. As compensation for Executive’s performance of Executive’s duties
hereunder, the Company shall pay to Executive an initial Base Salary at the rate of Two-Hundred
Seventy-Five Thousand Dollars ($275,000.00) per year payable in accordance with the normal payroll
practices of the Company, less required deductions for state and federal withholding tax, social
security and all other employment taxes and payroll deductions. In the event Executive’s
employment under this Agreement is terminated by either party, for any reason, Executive will earn
the Base Salary prorated to the date of termination, except as otherwise set forth herein.
Executive’s Base Salary shall be reviewed annually by the Compensation Committee of the Company’s
Board of Directors (the “Compensation Committee”).

          4.2 Incentive Compensation. For the fiscal year of the Company ending December 31,
2008, and provided Executive remains employed with the Company as of such date, Executive will be
eligible to receive a bonus equal to Sixty-Eight Thousand Seven-Hundred Fifty Dollars ($68,750.00).
Thereafter, Executive will be eligible to earn incentive compensation in the form of an annual
bonus for each fiscal year of the Company with a target amount of fifty percent (50%) of
Executive’s Base Salary. The Compensation Committee will determine the actual amount of the bonus
earned for any year, which will be based upon both the Company’s achievement of overall performance
metrics for the year and Executive’s achievement of individual performance metrics as agreed upon
by the Compensation Committee and the Executive. The Compensation Committee may, in its sole
discretion, increase the Executive’s annual bonus above fifty percent (50%) of Base Salary if it
determines that the performance of both the Executive and the Company significantly exceed the
predetermined metrics. Bonus amounts, if any, are to be awarded annually and payment shall be made
within two and one-half months following the end of the applicable Company fiscal year.

          4.3 Stock Options. Upon approval by Compensation Committee, Executive will be granted
immediately prior to the Company’s intended initial public offering (the “IPO”) an option
(the “Option”) to purchase shares of the Company’s Common Stock under the Company’s 2008
Equity Incentive Plan (the “Plan”) at an exercise price per share equal to the IPO offering
price per share. The number of shares subject to such Option shall be equal to 0.90% of the sum of
(a) the number of shares of Common Stock of the Company issued and outstanding as of the date of
grant of the Option, plus (b) the number of shares of Common Stock to be issued in connection with
the IPO as set forth in the agreement between the Company and the underwriters of the IPO (but
without giving effect to any “Green Shoe” or “overallotment” option that may become exercisable by
the underwriters), plus (c) the number of shares of Common Stock to be issued upon conversion of
the Company’s outstanding shares of preferred stock in connection with the IPO. Subject to
Executive’s continued employment, the Option will vest and become exercisable in five equal annual
installments (each, an “Annual Installment”) over a five (5) year period beginning on the
grant date. The Option will be subject to the terms and conditions of the Plan and a form of stock
option agreement specified by the Compensation Committee, which Executive will be required to sign
as a condition of retaining the Option. Executive may be eligible for future grants at the sole
discretion of the Compensation Committee.

          4.4 Directed Shares. Subject to its establishment, Executive shall be entitled to
participate in the Company’s IPO directed share program in accordance with its terms and on
substantially the same basis as other executive officers of the Company.

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     5. Customary Fringe Benefits. Executive will be eligible for all customary and usual
fringe benefits generally available to senior management of the Company, subject to the terms and
conditions of the Company’s benefit plan documents. The Company reserves the right to change or
eliminate fringe benefits on a prospective basis, at any time, effective upon notice to Executive.

     6. Business Expenses. Executive will be reimbursed for all reasonable, out-of-pocket
business expenses incurred in the performance of Executive’s duties on behalf of the Company. To
obtain reimbursement, expenses must be submitted promptly with appropriate supporting documentation
and will be reimbursed in accordance with the Company’s policies. Any reimbursement Executive is
entitled to receive shall (a) be paid no later than the last day of Executive’s tax year following
the tax year in which the expense was incurred, (b) not be affected by any other expenses that are
eligible for reimbursement in any tax year, and (c) not be subject to liquidation or exchange for
another benefit.

     7. Termination of Executive’s Employment.

          7.1 Termination for Cause by Company. Although the Company anticipates a mutually
rewarding employment relationship with Executive, the Company may terminate Executive’s employment
immediately at any time for Cause. For purposes of this Agreement, “Cause” is defined as:
(a) acts or omissions constituting gross negligence, recklessness or willful misconduct on the part
of Executive with respect to Executive’s obligations or otherwise relating to the business of the
Company; (b) Executive’s material breach of this Agreement, including, without limitation, any
breach of Section 8, Section 9, or Section 11; (c) Executive’s breach of the Company’s Employee
Nondisclosure and Assignment Agreement; (d) Executive’s conviction or entry of a plea of nolo
contendere for fraud, misappropriation or embezzlement, or any felony or crime of moral turpitude;
(e) Executive’s inability to perform the essential functions of Executive’s position, with or
without reasonable accommodation, due to a mental or physical disability; (f) Executive’s willful
neglect of duties as determined in the sole and exclusive discretion of the Board of Directors,
provided that Executive has received written notice of the action or omission giving rise to such
determination and has failed to remedy such situation to the satisfaction of the Board of Directors
within thirty (30) days following receipt of such written notice, unless Executive’s action or
omission is not subject to cure, in which case no such notice shall be required, or (g) Executive’s
death. In the event Executive’s employment is terminated in accordance with this subsection 7.1,
Executive shall be entitled to receive only Executive’s Base Salary then in effect, prorated to the
date of termination, and all fringe benefits through the date of termination. All other Company
obligations to Executive pursuant to this Agreement will be automatically terminated and completely
extinguished. Executive will not be entitled to receive the Severance Package described in
subsection 7.2 below. Any termination pursuant to this subsection 7.1 shall be evidenced by a
resolution or written consent of the Board of Directors of the Company, and the Company shall
provide Executive with a copy of such resolution or written consent, certified by the Secretary of
the Company, upon Executive’s written request.

          7.2 Termination Without Cause by Company/Severance. The Company may terminate
Executive’s employment under this Agreement without Cause at any time upon written notice to
Executive. In the event of such termination, Executive will receive Executive’s Base Salary then
in effect, prorated to the date of termination of employment. In addition, Executive will receive
a “Severance Package” that shall include (a) a severance payment equivalent to twelve
(12) months of Executive’s Base Salary then in effect on the date of termination, payable in
accordance with the Company’s regular payroll cycle commencing with

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the first payroll date occurring on or after the 60th day following the date of Executive’s
termination of employment, (b) payment by the Company of the premiums required to continue
Executive’s group health care coverage for a period of twelve (12) months following Executive’s
termination, under the applicable provisions of the Consolidated Omnibus Budget Reconciliation Act
(“COBRA”), provided that Executive timely elects to continue and remains eligible for these
benefits under COBRA, and does not become eligible for health coverage through another employer
during this period, and (c) acceleration of the vesting of the Annual Installment under the Option
that would otherwise have vested on the next vesting date following the termination of Executive’s
employment. Executive will only receive the Severance Package if Executive: (i) complies with all
surviving provisions of this Agreement as specified in subsection 14.8 below; and (ii) executes a
full general release, releasing all claims, known or unknown, that Executive may have against the
Company arising out of or any way related to Executive’s employment or termination of employment
with the Company, and such release has become effective in accordance with its terms prior to the
60th day following the termination date. All other Company obligations to Executive will be
automatically terminated and completely extinguished.

          7.3 Voluntary Resignation by Executive for Good Reason/Severance. Executive may
voluntarily resign Executive’s position with the Company for Good Reason at any time on thirty
(30) days’ advance written notice to the Company. In the event of Executive’s resignation for Good
Reason, Executive will be entitled to receive Executive’s Base Salary then in effect, prorated to
the date of termination of employment, and the Severance Package described in subsection 7.2 above,
provided Executive complies with all of the conditions described in subsection 7.2 above. All
other Company obligations to Executive pursuant to this Agreement will be automatically terminated
and completely extinguished. Executive will be deemed to have resigned for Good Reason if
Executive voluntarily terminates his employment with the Company within ninety (90) days following
the first occurrence of a condition constituting Good Reason. “Good Reason” means the
occurrence of any of the following conditions without Executive’s written consent, which
condition(s) remain(s) in effect thirty (30) days after Executive provides written notice to the
Company of such condition(s): (i) a material reduction in Executive’s Base Salary as then in effect
prior to such reduction, other than as part of a salary reduction program among similar management
employees, (ii) a material diminution in Executive’s authority, duties or responsibilities as an
employee of the Company as they existed prior to such change, or (iii) a relocation of Executive’s
principal place of work which increases Executive’s one-way commute distance by more than fifty
(50) miles. Executive will be deemed to have given consent to any condition(s) described in this
subsection if Executive does not provide written notice to the Company of his intent to exercise
his rights pursuant to this subsection within thirty (30) days following the first occurrence of
such condition(s).

          7.4 Voluntary Resignation by Executive Without Good Reason. Executive may voluntarily
resign Executive’s position with the Company without Good Reason at any time on thirty (30) days’
advance written notice to the Company. In the event of Executive’s resignation without Good
Reason, Executive will be entitled to receive only Executive’s Base Salary, prorated to the date of
termination of employment, and all fringe benefits through the date of termination. All other
Company obligations to Executive pursuant to this Agreement will be automatically terminated and
completely extinguished. In addition, Executive will not be entitled to receive the Severance
Package described in subsection 7.2 above.

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          7.5 Termination After a Change in Control.

               (a) Severance Payment; Option Vesting Acceleration. If, upon or within twelve
(12) months after a Change in Control (as that term is defined below), Executive’s employment is
terminated by the Company other than for Cause (as defined in subsection 7.1 above) or Executive
resigns for Good Reason (as defined in subsection 7.3 above), then (i) Executive shall be entitled
to receive (A) Executive’s Base Salary, prorated to the date of termination of employment, and (B)
the Severance Package described in subsection 7.2 above, provided Executive complies with all of
the conditions described in subsection 7.2 above, and (ii) to the extent not yet vested, the Option
and any other stock options granted to Executive by the Company shall vest in full as of the date
of such termination of employment, provided Executive complies with the conditions described in
subsection 7.2 above.

               (b) Parachute Payments. If, due to the benefits provided under subsection 7.5(a) and
any other payments or benefits, Executive would be subject to any excise tax pursuant to
Section 4999 of the Internal Revenue Code of 1986, as amended (the “Code”) due to
characterization of any such amounts as excess parachute payments pursuant to Section 280G of the
Code, the amounts payable under subsection 7.5(a) will be reduced (to the least extent possible) in
order to avoid any “excess parachute payment” under Section 280G(b)(1) of the Code.

               (c) Change in Control. A Change in Control is defined as any one of the following
occurrences:

                    (i) Any “person” (as such term is used in Sections 13(d) and 14(d) of the Securities Exchange
Act of 1934 (the “Exchange Act”)), becomes the “beneficial owner” (as such term is defined
in Rule 13d-3 promulgated under the Exchange Act), directly or indirectly, of securities of the
Company representing more than fifty percent (50%) of the total fair market value or total combined
voting power of the Company’s then-outstanding securities entitled to vote generally in the
election of directors; provided, however, that a Change in Control shall not be deemed to have
occurred if such degree of beneficial ownership results from any of the following: (A) an
acquisition of securities by any person who on the Effective Date is the beneficial owner of more
than fifty percent (50%) of such voting power, (B) any acquisition of securities directly from the
Company, including, without limitation, pursuant to or in connection with a public offering of
securities, (C) any acquisition of securities by the Company, (D) any acquisition of securities by
a trustee or other fiduciary under an employee benefit plan of the Company, or (E) any acquisition
of securities by an entity owned directly or indirectly by the stockholders of the Company in
substantially the same proportions as their ownership of the voting securities of the Company; or

                    (ii) the sale or disposition of all or substantially all of the Company’s assets (other than a
sale or disposition to one or more subsidiaries of the Company), or any transaction having similar
effect is consummated; or

                    (iii) the Company is party to a merger or consolidation that results in the holders of voting
securities of the Company outstanding immediately prior thereto failing to continue to represent
(either by remaining outstanding or by being converted into voting securities of the surviving
entity) more than 50% of the combined voting power of the voting securities of the Company or such
surviving entity outstanding immediately after such merger or consolidation; or

5

 

                    (iv) the dissolution or liquidation of the Company.

          7.6 Termination of Employment Upon Nonrenewal. In the event either party decides not
to renew this Agreement for a subsequent term in accordance with subsection 3.2 above, this Agreement
will expire, Executive’s employment with the Company will terminate and Executive will only be
entitled to Executive’s Base Salary then in effect paid through the last day of the then current
term. All other Company obligations to Executive pursuant to this Agreement will be automatically
terminated and completely extinguished. Executive will not be entitled to receive the Severance
Package described in subsection 7.2 above, but shall be subject to the surviving provisions of this
Agreement as set forth in section 14.8 below.

          7.7 Resignation of Board or Other Positions. Executive agrees that should Executive’s
employment terminate for any reason, Executive will immediately resign all other positions
(including board membership) Executive may hold on behalf of the Company.

          7.8 Application of Section 409A.

               (a) Notwithstanding anything set forth in this Agreement to the contrary, no amount payable
pursuant to this Agreement on account of Executive’s termination of employment with the Company
which constitutes a “deferral of compensation” within the meaning of the Treasury Regulations
issued pursuant to Section 409A of the Code (the “Section 409A Regulations”) shall be paid
unless and until Executive has incurred a “separation from service” within the meaning of the
Section 409A Regulations. Furthermore, if Executive is a “specified employee” within the meaning
of the Section 409A Regulations as of the date of Executive’s separation from service, no amount
that constitutes a deferral of compensation which is payable on account of Executive’s separation
from service shall be paid to Executive before the date (the “Delayed Payment Date”) which
is first day of the seventh month after the date of Executive’s separation from service or, if
earlier, the date of Executive’s death following such separation from service. All such amounts
that would, but for this subsection, become payable prior to the Delayed Payment Date will be
accumulated and paid on the Delayed Payment Date.

               (b) The Company intends that income provided to Executive pursuant to this Agreement will not
be subject to taxation under Section 409A of the Code. The provisions of this Agreement shall be
interpreted and construed in favor of satisfying any applicable requirements of Section 409A of the
Code. However, the Company does not guarantee any particular tax effect for income provided to
Executive pursuant to this Agreement. In any event, except for the Company’s responsibility to
withhold applicable income and employment taxes from compensation paid or provided to Executive,
the Company shall not be responsible for the payment of any applicable taxes incurred by Executive
on compensation paid or provided to Executive pursuant to this Agreement.

     8. No Violation of Rights of Third Parties. Executive represents and warrants to the
Company that Executive is not currently a party, and will not become a party, to any other
agreement that is in conflict with, or will prevent Executive from complying with, with this
Agreement. Executive further represents and warrants to the Company that Executive’s performance
of all of the terms of this Agreement as an employee of the Company does not and will not breach
any agreement to keep in confidence any proprietary information, knowledge, or data acquired by
Executive in confidence or trust prior to Executive’s employment with the Company. Executive
acknowledges and agrees that the representations and warranties in this Section 8 are a material
part of this Agreement.

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     9. Other Covenants. Executive hereby makes the following covenants, each of which
Executive acknowledges and agrees are a material part of this Agreement:

          9.1 During the Term of Executive’s employment with the Company, Executive will not (a) breach
any agreement to keep in confidence any confidential or proprietary information, knowledge or data
acquired by Executive prior to Executive’s employment with Company, or (b) disclose to the Company,
or use or induce the Company to use, any confidential or proprietary information or material
belonging to any previous employer or any other third party. Executive acknowledges that the
Company has specifically instructed Executive not to breach any such agreement or make any such
disclosures to the Company.

          9.2 During the Term of Executive’s employment with the Company, Executive will not engage in
any work or activity, paid or unpaid, that creates an actual conflict of interest with the Company.
Such work shall include, but is not limited to, directly or indirectly competing with the Company
in any way, or acting as an officer, director, employee, consultant, stockholder, volunteer,
lender, or agent of any business enterprise of the same nature as, or which is in direct
competition with, the business in which the Company is now engaged or in which the Company becomes
engaged during the term of Executive’s employment with the Company, as may be determined by the
Company in its sole discretion. If the Company believes such a conflict exists during the term of
this Agreement, the Company may ask Executive to choose to discontinue the other work or activity
or resign employment with the Company.

          9.3 During the Term of Executive’s employment with the Company and after the termination
thereof, neither Executive nor the Company will disparage each other, or the Company’s products,
services, agents or employees.

          9.4 During the Term of Executive’s employment with the Company and after the termination
thereof, at the Company’s expense and upon its reasonable request, Executive will cooperate and
assist the Company in its defense or prosecution of any disputes, differences, grievances, claims,
charges, or complaints between the Company and any third party, which assistance will include
testifying on the Company’s behalf in connection with any such matter or performing any other task
reasonably requested by the Company in connection therewith.

     10. Confidentiality and Proprietary Rights. Executive agrees to read, sign and abide
by the Company’s Employee Nondisclosure and Assignment Agreement, which is provided with this
Agreement and incorporated herein by reference.

     11. Non-Competition; Nonsolicitation of Company’s Employees. Executive acknowledges
that in the course of his employment with the Company he will serve as a member of the Company’s
senior management and will become familiar with the Company’s trade secrets and with other
confidential and proprietary information and that his services will be of special, unique and
extraordinary value to the Company. Executive further acknowledges that the Company’s business, a
substantial portion of which is conducted online, is national in scope and that the Company, in the
course of such business, recruits students and faculty throughout the United States, works with
vendors throughout the United States, and competes with other companies located throughout the
United States. Therefore, in consideration of the foregoing, Executive agrees that, during the
Term, and during the twelve-month (12) month period following the Term, he shall not directly or
indirectly anywhere within the United States of America (a) own (except ownership of less than 1%
of any class of securities which are listed

7

 

for trading on any securities exchange or which are traded in the over-the-counter market),
manage, control, participate in, consult with, render services for, be employed by, or in any
manner engage in the operation of (i) a for-profit, post-secondary education institution, or (ii)
any other business of the Company in which Executive had significant involvement prior to
Executive’s separation; (b) solicit funds on behalf of, or for the benefit of, any for-profit,
post-secondary education institution (other than the Company) or any other entity that competes
with the Company; (c) solicit individuals who are current or prospective students of the Company to
be students for any other for-profit, post-secondary education institution; (d) induce or attempt
to induce any employee of the Company to leave the employ of the Company, or in any way interfere
with the relationship between the Company and any employee thereof, or (e) induce or attempt to
induce any student, customer, supplier, licensee or other business relation of the Company to cease
doing business with, or modify its business relationship with, the Company, or in any way interfere
with or hinder the relationship between any such student, customer, supplier, licensee or business
relation and the Company.

     12. Injunctive Relief. Executive acknowledges that Executive’s breach of the
covenants contained in sections 9-11 hereof (collectively “Covenants”) would cause
irreparable injury to the Company and agrees that in the event of any such breach, the Company
shall be entitled to seek temporary, preliminary and permanent injunctive relief without the
necessity of proving actual damages or posting any bond or other security in addition to any other
relief to which the Company may be entitled and other remedies Company may exercise under this
Agreement or otherwise.

     13. Insurance; Indemnification.

          13.1 During the Term of Executive’s employment hereunder, Executive will be covered by the
Company’s director and officer insurance policy to the same extent as all other senior executive
officers of the Company

          13.2 Following the execution of this Agreement, the Company will execute and deliver a
director and officer indemnification agreement with Executive in a form approved by the Board of
Directors for the senior executive officers of the Company.

     14. General Provisions.

          14.1 Successors and Assigns. The rights and obligations of the Company under this
Agreement shall inure to the benefit of and shall be binding upon the successors and assigns of the
Company. Executive shall not be entitled to assign any of Executive’s rights or obligations under
this Agreement.

          14.2 Waiver. Either party’s failure to enforce any provision of this Agreement shall
not in any way be construed as a waiver of any such provision, or prevent that party thereafter
from enforcing each and every other provision of this Agreement.

          14.3 Attorneys’ Fees. In the event of a dispute involving the interpretation or
enforcement of this Agreement, a court shall award attorneys’ fees and costs to the prevailing
party.

          14.4 Severability. In the event any provision of this Agreement is found to be
unenforceable by a court of competent jurisdiction, such provision shall be deemed modified to the
extent necessary to allow enforceability of the provision as so limited, it being intended that

8

 

the parties shall receive the benefit contemplated herein to the fullest extent permitted by
law. If a deemed modification is not satisfactory in the judgment of such court, the unenforceable
provision shall be deemed deleted, and the validity and enforceability of the remaining provisions
shall not be affected thereby.

          14.5 Interpretation; Construction. The headings set forth in this Agreement are for
convenience only and shall not be used in interpreting this Agreement. This Agreement has been
drafted by legal counsel representing the Company, but Executive has participated in the
negotiation of its terms. Furthermore, Executive acknowledges that Executive has had an
opportunity to review and revise the Agreement and have it reviewed by legal counsel, if desired,
and, therefore, the normal rule of construction to the effect that any ambiguities are to be
resolved against the drafting party shall not be employed in the interpretation of this Agreement.

          14.6 Governing Law; Forum. This Agreement will be governed by and construed in
accordance with the laws of the United States and the State of Arizona . Each party consents to
the jurisdiction and venue of the state or federal courts in Phoenix, Arizona, if applicable, in
any action, suit, or proceeding arising out of or relating to this Agreement, and agrees that the
state or federal courts in Phoenix, Arizona shall have exclusive jurisdiction over any dispute
arising between the parties related to this Agreement or Executive’s employment with the Company.

          14.7 Notices. Any notice required or permitted by this Agreement shall be in writing
and shall be delivered as follows with notice deemed given as indicated: (a) by personal delivery
when delivered personally; (b) by overnight courier upon written verification of receipt; (c) by
telecopy or facsimile transmission upon acknowledgment of receipt of electronic transmission; or
(d) by certified or registered mail, return receipt requested, upon verification of receipt.
Notice shall be sent to the addresses set forth under the signatures below, or such other address
as either party may specify in writing.

          14.8 Survival. Sections 9 (“Other Covenants”), 10 (“Confidentiality and Proprietary
Rights”), 11 (“Non-Competition; Nonsolicitation”), 12 (“Injunctive Relief”), 13 (“General
Provisions”) and 14 (“Entire Agreement”) of this Agreement shall survive termination of Executive’s
employment with the Company.

     15. Entire Agreement. This Agreement, including the Employee Nondisclosure and
Assignment Agreement incorporated herein by reference and the Company’s 2008 Equity Incentive Plan
and related option documents described in Section 4.3 of this Agreement, constitutes the entire
agreement between the parties relating to this subject matter and supersedes all prior or
simultaneous representations, discussions, negotiations, and agreements, whether written or oral.
This agreement may be amended or modified only with the written consent of Executive and the Board.
No oral waiver, amendment or modification will be effective under any circumstances whatsoever.

9

 

THE PARTIES TO THIS AGREEMENT HAVE READ THE FOREGOING AGREEMENT AND FULLY UNDERSTAND EACH AND EVERY
PROVISION CONTAINED HEREIN. WHEREFORE, THE PARTIES HAVE EXECUTED THIS AGREEMENT ON THE DATES SHOWN
BELOW.

	 	 	 	 	 
	 	DANIEL E. BACHUS

 	 
	Dated: June 25, 2008 	By:  	/s/ Daniel E. Bachus
 	 
	 	
Address: 	 	 
	 	 	 	 	 
	 

	 	 	 	 	 
	 	GRAND CANYON EDUCATION, INC.

 	 
	Dated: June 27, 2008 	By:  	/s/ Christopher C. Richardson
 	 
	 	Name:  	Christopher C. Richardson 	 
	 	Title:  	General Counsel and Director

	 
	 	Address:  	
    3300 West Camelback Road

Phoenix, Arizona 85017 	 
	 

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