Document:

exv10w4

 

Exhibit 10.4

PROPRIETARY INFORMATION, INVENTIONS

AND NON-COMPETE AGREEMENT

     THIS
PROPRIETARY INFORMATION, INVENTIONS AND NON-COMPETE AGREEMENT (this
“Agreement”), dated
as of the 1st day of November, 2007, between Dean Foods Company, a Delaware corporation (“the
Company”), having its principal place of business at 2515 McKinney Avenue, Suite 1200, Dallas,
Texas 75201, and Gregg Tanner (“Employee”).

     WHEREAS, the Company has offered Employee employment as Executive Vice President, Supply Chain
of the Company; a position which will result in Employee acquiring substantial knowledge of the
operations and practices of the business of the Company;

     WHEREAS, the Company desires to prevent any competitive business from securing or utilizing
the services of Employee, to the extent and for the period of Employee’s employment and for a
reasonable period thereafter; and

     WHEREAS, as a condition to the employment of Employee, the Company has required that Employee
enter into this Agreement.

     NOW, THEREFORE, it is agreed as follows:

     1. Acknowledgments. Employee acknowledges that (i) the Company is engaged in a
continuous program of research, development, and production respecting its business throughout the
United States and Canada (the foregoing, together with any other businesses in which the Company
engages, from the date hereof to the date of the termination of Employee’s employment with the
Company, is hereinafter referred to as the “Company Business”); (ii) Employee’s services to the
Company will be unique and have significant value to the Company, and Employee may make new
contributions and inventions of value to the Company; (iii) Employee’s work for the Company allows
Employee access to trade secrets of, and confidential information concerning, Company; (iv) the
Company Business is national and international in scope; (v) the Company would not have agreed to
employ Employee but for the agreements and covenants contained in this Agreement; and (vi) the
agreements and covenants contained in this Agreement are necessary and essential to protect the
business, goodwill, and customer relationships that the Company has expended significant resources
to develop.

     2. Ownership of Works. The Company shall own all rights, including all trade secrets
and copyrights, in and to all discoveries, developments, designs, improvements, inventions,
formulas, processes, techniques, know-how and data, whether patentable under patent or registerable
under copyright or similar statutes or reduced to practice and all documentation thereof created by
Employee, during the time Employee is employed by the Company, whether created during or outside
normal business hours or on the Company premises or at some other location and that: (i) directly
relate to or are derived from the Company Business; and (ii) result from or are derived from any
task or work assigned to Employee or work performed by Employee for the Company (collectively,
“Works”). To the extent that any Works do not qualify as works made for hire under U.S. copyright
law, this

1

 

Agreement shall constitute an irrevocable assignment by Employee to the Company of the
ownership of, and rights of copyright in, Works. Employee agrees to give the Company or its
designees all assistance reasonably required to protect such rights.

     3. Inventions. If Employee individually or jointly makes, conceives of, or reduces to
practice any invention, technique, recipe, process, improvement, modification, development,
documentation, data, design, idea, discovery, trademark, trade secret, formula, process, or other
know-how, whether patentable or not, in the course of performing services for the Company, that
directly relates to the Company Business (collectively, “Inventions”), Employee will and hereby
does assign to the Company Employee’s entire right, title and interest in and to such Inventions.
Employee agrees that all Inventions shall be the sole property of the Company and its assigns, and
the Company and its assigns shall be the sole owner of all patents, copyrights, and other rights in
connection therewith. Employee will disclose any such Inventions (to the extent Employee knows such
inventions are “Inventions” as defined herein) to an officer of the Company and will, upon request,
promptly sign a specific assignment of title to the Company and do anything else reasonably
necessary without additional compensation to enable the Company to secure patent, trade secret, or
any other proprietary rights in the United States or foreign countries. Employee agrees to execute
any documents deemed necessary or advisable by the Company to effect the terms of this paragraph.
Employee agrees that after termination of employment with the Company Employee shall not use any
Inventions, except in furtherance of the Company Business and except to the extent such Inventions
are in the public domain through no fault of Employee.

     4. Non-Disclosure. Employee recognizes that the Company competes in a highly
competitive field and that the Company possesses and will continue to possess information of
commercial value that relates to the Company Business, including but not limited to trade secrets,
technical and scientific information, financial business information, processes, recipes, formulas,
data, know-how, improvements, inventions, product concepts, discoveries, developments, designs,
inventions, techniques, marketing plans, strategies, forecasts, new products, blueprints,
specifications, programs, ideas, customer lists, vendor lists, pricing and other structures,
marketing and business strategies, budgets, projections, licenses, costs, financial data, and
plans, proposals and information about the Company’s employees and/or consultants (collectively,
“Proprietary Information”). Notwithstanding the foregoing, Proprietary Information shall not
include information that is publicly available when received, or thereafter becomes publicly
available through no fault of Employee or is otherwise disclosed by the Company to another party
without obligation of confidentiality. Employee agrees that the Proprietary Information constitutes
a unique and valuable asset which is essential to the Company’s business success, and that any
release of Proprietary Information would be harmful to the Company and/or its customers. To
protect the Company’s Proprietary Information, Employee agrees that at all times, including during
and after the term of Employee’s employment, Employee will not disclose to any person, firm,
company, or corporation or use for Employee’s own benefit or for the benefit of any third party
(except in furtherance of Company Business or affairs of the Company) any and all Proprietary
Information that Employee may have acquired in the course of or as an incident to Employee’s
employment with the Company. Employee further agrees to take all reasonable precautions to protect
against the intentional, negligent, or inadvertent disclosure by Employee of the Company’s
Proprietary

2

 

Information to any other person or business entity, except in furtherance of the Company
Business.

     5. Non-Competition. Employee understands and agrees that during Employee’s employment
with the Company, Employee will be provided access to specialized information related to Company
Business and trade secrets, as well as the Company’s customers and their confidential information.
Employee further agrees that if this information were used in competition against the Company, the
Company would experience serious harm and the competitor would have a unique advantage against the
Company. Employee hereby covenants and agrees that (A) at no time during Employee’s employment with
the Company and (B) at no time until the two years from the date of Employee’s termination (the
“Non-Compete Period”), will Employee (i) develop, own, manage, operate, or otherwise engage in,
participate in, represent in any way or be connected with, as officer, director, partner, owner,
employee, agent, independent contractor, consultant, proprietor, stockholder or otherwise, any
Competing Business in any geographic territory (within or outside the United States) in which the
Company does business; or (ii) act in any way, directly or indirectly, on behalf of any Competing
Business, with the purpose or effect of soliciting, diverting or taking away any business,
customer, client, supplier, or good will of the Company.

The foregoing provisions shall not restrict Employee from (i) owning up to a 2% interest in a
publicly traded company which is or engages in a Competing Business or (ii) acting as an officer,
employee, agent, independent contractor or consultant to any company or business which engages in
multiple lines of business, one or more of which may be a Competing Business, if Employee has no
direct or indirect involvement, oversight or responsibility with respect to the unit, division,
group or other area of operations which cause such company or business to be a Competing Business.

A “Competing Business” shall mean a company or business which is engaged, or intends to engage in,
the manufacture, distribution, sale or marketing of any products which compete directly with the
Company’s products or the Company Business.

Employee acknowledges that this covenant has a unique, substantial, and immeasurable value to the
Company.

Notwithstanding the foregoing, the restrictions of this Section 5 shall terminate immediately if
your employment with the Company is involuntarily terminated by the Company without “Cause.”
“Cause” shall mean: (a) conviction of Employee of any crime deemed by the Company to make continued
employment untenable; (b) any act of gross negligence or willful misconduct in the conduct of your
employment; (c) any act of dishonesty on the part of Employee whether relating to the Company or
any of its subsidiaries, its affiliates, employees, agents or otherwise; (d) failure by Employee to
comply with the Dean Foods Code of Ethics, or any conduct of Employee which brings the Company or
any of its affiliates into disrepute, in each case as determined by the Board of Directors.

     6. Non-Solicitation. Employee hereby covenants and agrees that at no time during
Employee’s employment with the Company and during the Non-Compete Period, will

3

 

Employee (i) recruit, hire, assist or solicit, directly or indirectly, any of the Company’s
employees to leave the employ of the Company or (ii) solicit any customer or prospective customer
of the Company for the purpose of (1) inducing or otherwise intending to cause such customer or
prospective customer to alter or end its business relationship with the Company or (2) interfering
with the Company’s business relationship with such customer or prospective customer. For the
purposes of this Agreement, “customer” shall mean any company that was a customer of the Company at
any time during the term of Employee’s employment with the Company, and “prospective customer”
shall mean any company that, to Employee’s knowledge, was actively solicited by the Company at any
time during the term of Employee’s employment with the Company.

     7. Remedies. Employee acknowledges, understands, and agrees that the restrictions
contained in Paragraphs 2, 3, 4, 5, and 6 of this Agreement are reasonable, fair, and equitable in
scope, terms, geographic area and duration, are necessary to protect the legitimate business
interests and good will of the Company, and are a material inducement to the Company to employ
Employee and to enter into this Agreement, and that any breach or threatened breach of such
restrictions would cause the Company substantial and irreparable harm for which there is no
adequate remedy at law. Therefore, Employee agrees that in the event of any such breach, any
unvested stock options, restricted stock awards or other equity grants shall be immediately
canceled and all of Employee’s rights thereunder shall be immediately terminated. In addition, if
the Company deems such action warranted by the particular circumstances, the Company shall be
entitled to equitable relief including, but not limited to, temporary, preliminary, and permanent
injunctive relief, including the issuance of a temporary restraining order, in order to secure the
specific performance of this Agreement without the necessity of posting bond or security, which
Employee expressly waives. Employee agrees that the rights of the Company to obtain injunctive
relief shall not be considered a waiver of the Company’s rights to seek any other remedies it may
have at law or in equity.

     The restrictions set forth herein shall be construed as a series of separate and severable
covenants. Employee agrees that if in any proceeding, the tribunal refuses to enforce fully any
covenants contained herein because such covenants cover too extensive a geographic area or too long
a period of time or for any other reason whatsoever, any such covenant shall be considered
divisible both as to duration and geographic area so that each month of a specified period shall be
deemed a separate period of time and each county in each particular state (or such other geographic
subdivision as the tribunal determines is reasonable) a separate geographic area, resulting in an
intended requirement that the longest lesser period of time or the largest lesser geographic area
found by such tribunal to be a reasonable restriction shall remain an effective restrictive
covenant specifically enforceable against Employee. Further, the covenants contained in Paragraphs
2, 3, 4, 5, and 6 shall be construed as agreements independent of any other provision of this
Agreement, and the existence of any claim or cause of action of Employee against the Company or any
of its employees, agents, shareholders, directors, or officers, whether predicated on this
Agreement or otherwise, shall not constitute a defense to enforcement by the Company of any of
these covenants.

     8. Return of Records. Upon termination of employment, Employee agrees to return to the
Company all documents (whether electronic or written), notes, drawings, data,

4

 

records, materials and other property of whatever nature received from or created for the
Company, and any and all copies thereof including, but not limited to, those documents, records,
and materials containing or relating to Proprietary Information. Employee agrees that all such
documents that are currently in Employee’s possession or control or which may come into Employee’s
possession or control in the future shall be the property of the Company.

     9. Miscellaneous.

               (a) Severability. Nothing in this Agreement shall be construed so as to require the
commission of any act contrary to law and wherever there is any conflict between any provision of
this Agreement and any law, statute, ordinance, order or regulation, the latter shall prevail, but
in the event of any conflict, any provision of this Agreement shall be curtailed and limited only
to the extent necessary to bring it within applicable legal requirements. If any provision of this
Agreement should be held invalid or unenforceable, the remaining provisions shall be unaffected by
the holding.

               (b) Complete Agreement. This Agreement contains the entire agreement and understanding
between the parties relating to the subject matter hereof, and supersedes any prior understandings,
agreements, or representations by or between the parties, written or oral, relating to the subject
matter hereof. It may not be modified, except in a written document executed by both parties to
this Agreement.

               (c) Other Agreements. Employee represents and warrants that Employee is not a party to
or bound by the provisions of any other agreement which would prevent or impair Employee’s ability
to render services to the Company and that Employee’s entering into this Agreement. The parties
hereto each represent and warrant to the other party that the performance of any obligations
hereunder by such party will not violate the provisions of, or cause such party to be in default
under, any other agreement or contract to which such party is a party or by which such party is
bound.

               (d) Paragraph Headings. The paragraph headings used in this Agreement are included
solely for convenience and shall not affect, or be used in connection with, the interpretation of
this Agreement.

               (e) Governing Law. This Agreement shall be governed by and this Agreement and any
disputes or controversies related hereto shall be construed in accordance with the laws of the
State of Texas, excluding any choice of law provisions that would apply the laws of any other
jurisdiction.

               (f) Waiver. No delay on the part of either party in exercising any right, power, or
privilege hereunder shall operate as a waiver thereof, nor shall any waiver on the part of either
party of any right, power, or privilege hereunder, preclude any other or further exercise thereof
or the exercise of any other right, power, or privilege hereunder.

5

 

               (g) Assignment. This Agreement and Employee’s rights and obligations hereunder may not
be assigned by Employee. The Company may, without Employee’s consent, assign its rights, together
with its obligations, under this Agreement.

               (h) Period of Employment. As used herein, the period of employment includes any time
in which Employee is retained by the Company as an employee, director, or consultant.

               (i) Counterparts. This Agreement may be entered into in two or more counterparts, each
of which shall be deemed an original, and together shall be deemed to be one and the same
instrument.

     IN WITNESS WHEREOF, the parties have executed and delivered this Proprietary Information,
Inventions and Non-Compete Agreement as of the date first set forth above.

	 	 	 	 	 
	EMPLOYEE	 	DEAN FOODS COMPANY
	 
	 	 	 	 
	/s/ Gregg Tanner
	 	By:	 	/s/ Paul Moskowitz
	 
	 	 	 	 
	GREGG TANNER
	 	 	 	PAUL MOSKOWITZ

Executive Vice President
Human Resources

6exv10w4

 

Exhibit 10.4

RESTRICTED STOCK AWARD AGREEMENT

(NON-EMPLOYEE DIRECTOR AWARD)

To:                                          Date of Grant:                                          Number of Shares:                                         

     Odyssey Healthcare, Inc., a Delaware corporation (the “Company”), is pleased to grant you an
award (the “Plan Award”) consisting of an aggregate of                                 shares (the “Restricted Shares”)
of the Company’s authorized Common Stock, subject to the terms and conditions set forth in this
Restricted Stock Award Agreement (this “Award Agreement”) and the Odyssey Healthcare, Inc. 2001
Equity-Based Compensation Plan (the “Plan”). The Plan Award is governed by the terms of this Award
Agreement and, where appropriate, the Plan. Any terms not defined herein shall have the meaning
set forth in the Plan.

     This Award Agreement sets forth the terms of the agreement between you and the Company with
respect to the Restricted Shares. By accepting this Award Agreement, you agree to be bound by all
of the terms hereof.

     1. Definitions. As used in this Award Agreement, the following terms have the
meanings set forth below:

          (a) “Board” means the Company’s Board of Directors.

          (b) “Business Day” means any day other than a Saturday, a Sunday or a day on which banking
institutions in the State of Texas are authorized or obligated by law or executive order to close.

          (c) “Change in Control” means, notwithstanding the terms of the Plan or any provision herein
to the contrary, the occurrence of any of the following events:

          (i) The agreement to acquire or the completion of a tender offer for beneficial
ownership (within the meaning of Rule 13d-3 promulgated under the Exchange Act by any
individual, entity or group (within the meaning of section 13(d)(3) or 14(d)(2) of the
Exchange Act)) (a “Person”), of 50% or more of either (x) the then outstanding shares of
Stock (the “Outstanding Stock”) or (y) the combined voting power of the then outstanding
voting securities of the Company entitled to vote generally in the election of directors
(the “Outstanding Company Voting Securities”); provided, however, that for purposes of this
subsection (i), the following acquisitions shall not constitute a Change in Control: (A) any
acquisition directly from the Company, (B) any acquisition by the Company, (C) any
acquisition by any employee benefit plan (or related trust) sponsored or maintained by the
Company or any corporation controlled by the Company or (D) any acquisition by any
corporation pursuant to a transaction which complies with clauses (A), (B) and (C) of
paragraph (iii) below; or

          (ii) A majority of the members of the Board is replaced during any 12-month period by
directors whose appointment or election is not endorsed by a majority of the members
constituting the Board prior to the date of the appointment or election; or

 

 

          (iii) Consummation of a reorganization, merger or consolidation or sale or other
disposition of all or substantially all of the assets of the Company or an acquisition of
assets of another corporation (a “Business Combination”), in each case, unless, following
such Business Combination, (A) the Outstanding Stock and Outstanding Company Voting
Securities immediately prior to such Business Combination represent or are converted into or
exchanged for securities which represent or are convertible into more than 50% of,
respectively, the then outstanding shares of common stock and the combined voting power of
the then outstanding voting securities entitled to vote generally in the election of
directors, as the case may be, of the corporation resulting from such Business Combination
(including, without limitation, a corporation which as a result of such transaction owns the
Company, or all or substantially all of the Company’s assets either directly or through one
or more subsidiaries), (B) no Person (excluding any employee benefit plan (or related trust)
of the Company or the corporation resulting from such Business Combination) beneficially
owns, directly or indirectly, 20% or more of, respectively, the then outstanding shares of
common stock of the corporation resulting from such Business Combination or the combined
voting power of the then outstanding voting securities of such corporation except to the
extent that such ownership of the Company existed prior to the Business Combination and (C)
at least a majority of the members of the board of directors of the corporation resulting
from such Business Combination were members of the Board at the time of the execution of the
initial agreement, or of the action of the Board, providing for such Business Combination;
or

          (iv) Approval by the stockholders of the Company of a complete liquidation or
dissolution of the Company.

          (d) “Committee” shall mean the committee or sub-committee established by the Board to
administer part or all of the Plan.

          (e) “Common Stock” means the common stock, par value $.001 per share, of the Company as
authorized from time to time.

          (f) “Date of Grant” means the Date of Grant first above written.

          (g) “Exchange Act” means the Securities Exchange Act of 1934, as amended from time to time,
including rules thereunder and successor provisions and rules thereto.

          (h) “Person” means any person or entity of any nature whatsoever, specifically including an
individual, a firm, a company, a corporation, a partnership, a limited liability company, a trust
or other entity; a Person, together with that Person’s Affiliates and Associates (as those terms
are defined in Rule 12b-2 under the Exchange Act), and any Persons acting as a partnership, limited
partnership, joint venture, association, syndicate or other group (whether or not formally
organized), or otherwise acting jointly or in concert or in a coordinated or consciously parallel
manner (whether or not pursuant to any express agreement), for the purpose of acquiring, holding,
voting or disposing of securities of the Company with such Person, shall be deemed a single
“Person.”

2

 

          (i) “Plan Award” has the meaning set forth in the first paragraph of the Award Agreement.

          (j) “Subsidiary” means, with respect to any Person, any corporation or other entity of which a
majority of the voting power of the voting equity securities or equity interest is owned, directly
or indirectly, by that Person.

     2. Escrow of Restricted Shares. The Company shall issue in your name a certificate or
certificates representing the Restricted Shares and retain that certificate or those certificates
until the restrictions on such Restricted Shares expire as described in Sections 5, 6, or 7 of this
Award Agreement or the Restricted Shares are forfeited as contemplated in Sections 4 and 7 of this
Award Agreement. You shall execute one or more stock powers in blank for those certificates and
deliver those stock powers to the Company. You hereby agree that the Company shall hold the
certificate or certificates representing the Restricted Shares and the related stock powers
pursuant to the terms of this Award Agreement until such time as such certificate or certificates
are either delivered to you or canceled pursuant to this Agreement.

     3. Ownership of Restricted Shares. From and after the time that a certificate or
certificates representing the Restricted Shares has been issued in your name, you will be entitled
to all the rights of absolute ownership of the Restricted Shares, including the right to vote those
shares and to receive dividends thereon if, as, and when declared by the Board, subject, however,
to the terms, conditions and restrictions set forth in this Agreement.

     4. Restrictions; Forfeiture. The Restricted Shares are restricted in that they may
not be sold, transferred or otherwise alienated or hypothecated until such restrictions are removed
or expire as described in Section 5, 6, or 7 of this Agreement. The Restricted Shares are also
restricted in the sense that they may be forfeited to the Company. You hereby agree that if the
Restricted Shares are forfeited, as provided in Section 7, the Company shall have the right to
deliver the certificate(s) representing the Restricted Shares to the Company’s transfer agent for
cancellation or, at the Company’s election, for transfer to the Company to be held by the Company
in treasury or any designee of the Company.

     5. Expiration of Restrictions and Risk of Forfeiture. The restrictions on all of the
Restricted Shares granted pursuant to this Award Agreement will expire and become transferable and
nonforfeitable on the first anniversary of the Date of Grant, provided, however, that such
restrictions will expire on such date only if you have been a non-employee director continuously
from the Date of Grant through the first anniversary of the Date of Grant.

     6. Adjustment Provisions.

          (a) Recapitalization, Etc. In the event there is any change in the outstanding Common
Stock of the Company by reason of any reorganization, recapitalization, stock split, stock
dividend, combination of shares or otherwise, there shall be substituted for or added to each share
of Common Stock theretofore appropriated or thereafter subject, or which may become subject, to
this Plan Award, the number and kind of shares of stock or other securities into which each
outstanding share of Common Stock shall be so changed or for which each such share shall be
exchanged, or to which each such share shall be entitled, as the case may be.

3

 

Adjustment under the preceding provisions of this section will be made by the Committee, whose
determination as to what adjustments will be made and the extent thereof will be final, binding,
and conclusive. No fractional interest will be issued under the Plan on account of any such
adjustment.

          (b) Change in Control of the Company. In the event of any proposed Change in Control,
the Board shall take such action as it deems appropriate to effectuate the purposes of this Plan
Award and to protect you, which action may include, but without limitation, any one or more of the
following: (i) acceleration or change of the date of the lapse of restrictions applicable to this
Plan Award; (ii) arrangement with you for the payment of appropriate consideration to you for the
cancellation and surrender of the Plan Award; and (iii) in any case where equity securities other
than Common Stock of the Company are proposed to be delivered in exchange for or with respect to
Common Stock of the Company, arrangements providing that the Plan Award shall become a Plan Award
with respect to such other equity securities.

     7. Termination of Director Status. Subject to Section 5, if you cease to be a
non-employee director of the Company or any of its Subsidiaries for any reason, including but not
limited to your death or disability, then that portion, if any, of this Plan Award for which
restrictions have not lapsed as of the date of termination shall become null and void; provided,
however, that the portion, if any, of this Plan Award for which restrictions have expired as of the
date of such termination shall survive such termination.

     8. Leave of Absence. With respect to the Plan Award, the Company may, in its sole
discretion, determine that if you are on leave of absence for any reason you will be considered to
still be a non-employee director of the Company, provided that rights to the Restricted Shares
during a leave of absence will be limited to the extent to which those rights were earned or vested
when the leave of absence began.

     9. Delivery of Certificates of Stock. Promptly following the expiration of the
restrictions on the Restricted Shares as contemplated in Sections 5, 6, and 7 of this Award
Agreement, the Company shall cause to be issued and delivered to you or your designee a certificate
representing the number of Restricted Shares as to which restrictions have lapsed, free of any
restrictive legend relating to the lapsed restrictions. The value of such Restricted Shares shall
not bear any interest owing to the passage of time.

     10. Conditions to Delivery of Stock and Registration. Nothing herein shall require
the Company to issue any shares with respect to the Plan Award if (a) that issuance would, in the
opinion of counsel for the Company, constitute a violation of the Securities Act of 1933 or any
similar or superseding statute or statutes, any other applicable statute or regulation, or the
rules of any applicable securities exchange or securities association, as then in effect or (b) the
withholding obligation as provided in Section 15 has not been satisfied.

     From time to time, the Board and appropriate officers of the Company shall and are authorized
to take whatever actions are necessary to file required documents with governmental authorities,
stock exchanges, and other appropriate Persons to make shares of Common Stock available for
issuance.

4

 

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

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

     13. Information Confidential. As partial consideration for the granting of the Plan
Award hereunder, you hereby agree with the Company that you will keep confidential all information
and knowledge, except that which has been disclosed in any public filings required by law, that you
have relating to the terms and conditions of this Award Agreement; provided, however, that such
information may be disclosed as required by law and may be given in confidence to your spouse, tax
and financial advisors, or to a financial institution to the extent that such information is
necessary to secure a loan. In the event any breach of this promise comes to the attention of the
Company, it shall take into consideration that breach in determining whether to recommend the grant
of any future similar award to you, as a factor militating against the advisability of granting any
such future award to you.

     14. Consideration. No restriction on the Restricted Shares shall lapse unless and
until you have performed services for the Company or any of its Subsidiaries that the Company
believes is equal to or greater in value than the par value of the Common Stock subject to this
Plan Award.

     15. Continuation of Director Status. Nothing contained in this Award Agreement shall
confer upon you the right to continue as a non-employee director of the Company or any Subsidiary.

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

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

     18. Company Records. Records of the Company or its Subsidiaries regarding your
service and other matters shall be conclusive for all purposes hereunder, unless determined by the
Company to be incorrect.

     19. Company Action. Any action required of the Company shall be by resolution of its
Board or by a Person authorized to act by resolution of the Board.

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

5

 

     21. Arbitration. You and the Company agree, upon written request of either you or the
Company, to the resolution by binding arbitration of all claims, demands, causes of action,
disputes, controversies or other matters in question (“Claims”), whether or not arising out of this
Award Agreement or your service (or its termination), whether arising in contract, tort or
otherwise and whether provided by statute, equity or common law, that the Company may have against
you or that you may have against the Company or its parents, subsidiaries or affiliates, and each
of the foregoing entities’ respective officers, directors, employees or agents in their capacity as
such or otherwise, if such Claim is not resolved by the mutual written agreement between you and
the Company, or otherwise, within 30 days after notice of the dispute is first given. Claims
covered by this Section 22 include without limitation claims by you for breach of this Award
Agreement, wrongful termination, discrimination (based on age, race, sex, disability, national
origin, sexual orientation, or any other factor), harassment and retaliation. Any arbitration
shall be conducted in accordance with the Federal Arbitration Act (“FAA”) and, to the extent an
issue is not addressed by the FAA, with the then-current National Rules for the Resolution of
Employment Disputes of the American Arbitration Association (“AAA”) or such other rules of the AAA
as are applicable to the claims asserted. If a party refuses to honor its obligations under this
Section 22, the other party may compel arbitration in either federal or state court. The
arbitrators shall apply the substantive law of Delaware (excluding choice-of-law principles that
might call for the application of some other jurisdiction’s law) or federal law, or both as
applicable to the claims asserted. The arbitrators shall have exclusive authority to resolve any
dispute relating to the interpretation, applicability or enforceability or formation of this Award
Agreement (including this Section 22), including any claim that all or part of the Award Agreement
is void or voidable and any claim that an issue is not subject to arbitration. The results of
arbitration will be binding and conclusive on the parties hereto. Any arbitrators’ award or finding
or any judgment or verdict thereon will be final and unappealable. All parties agree that venue for
arbitration will be in Dallas, Texas, and that any arbitration commenced in any other venue will be
transferred to Dallas, Texas, upon the written request of any party to this Award Agreement. In the
event that an arbitration is actually conducted pursuant to this Section 22, the party in whose
favor the arbitrator renders the award shall be entitled to have and recover from the other party
all costs and expenses incurred, including reasonable attorneys’ fees, reasonable costs and other
reasonable expenses pertaining to the arbitration and the enforcement thereof and such attorneys
fees, costs and other expenses shall become a part of any award, judgment or verdict. Any and all
of the arbitrators’ orders, decisions and awards may be enforceable in, and judgment upon any award
rendered by the arbitrators may be confirmed and entered by any federal or state court having
jurisdiction. All arbitrations will have three individuals acting as arbitrators: one arbitrator
will be selected by you, one arbitrator will be selected by the Company, and the two arbitrators so
selected will select a third arbitrator; provided that (a) you or the Company shall use reasonably
diligent efforts to select its respective arbitrator within 60 days after a matter is submitted to
arbitration and (b) the parties (including arbitrators) shall not be limited to selecting
arbitrators from only the AAA’s lists of arbitrators. Any arbitrator selected by a party will not
be affiliated, associated or related to the party selecting that arbitrator in any matter
whatsoever. The arbitration hearing shall be conducted within 60 days after the selection of the
arbitrators. All privileges under state and federal law, including attorney-client, work product
and party communication privileges, shall be preserved and protected. The decision of the majority
of the arbitrators will be binding on all parties. Arbitrations will be conducted in a manner so
that the final decision of the arbitrators will be

6

 

made and provided to you and the Company no later than 120 days after a matter is submitted to
arbitration. All proceedings conducted pursuant to this agreement to arbitrate, including any
order, decision or award of the arbitrators, shall be kept confidential by all parties. YOU
ACKNOWLEDGE THAT BY SIGNING THIS AWARD AGREEMENT, YOU ARE WAIVING ANY RIGHT THAT YOU MAY HAVE TO A
JURY TRIAL OR A COURT TRIAL, OF ANY SERVICE-RELATED CLAIM ALLEGED BY YOU.

     22. Notices. Whenever any notice is required or permitted hereunder, such notice must
be in writing and personally delivered or sent by mail. Any such notice required or permitted to
be delivered hereunder shall be deemed to be delivered on the date on which it is personally
delivered, or, whether actually received or not, on the third Business Day after it is deposited in
the United States mail, certified or registered, postage prepaid, addressed to the person who is to
receive it at the address which such person has theretofore specified by written notice delivered
in accordance herewith. The Company or you may change, at any time and from time to time, by
written notice to the other, the address which it or he had previously specified for receiving
notices.

     The Company and you agree that any notices shall be given to the Company or to you at the
following addresses:

	 	 	 	 	 
	 

	 	Company:
	 	 717 N. Harwood
	 

	 	 	 	Suite 1500
	 

	 	 	 	Dallas, TX 75201
	 

	 	 	 	Attention: General Counsel
	 
	 	 	 	 
	 

	 	Holder:
	 	At your current address as shown in the Company’s records.

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

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

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

     26. Governing Law. All questions arising with respect to the provisions of this
Agreement shall be determined by application of the laws of the State of Texas except to the extent
Texas law is preempted by federal law. The obligation of the Company to sell and deliver Common
Stock hereunder is subject to applicable laws and to the approval of any governmental authority
required in connection with the authorization, issuance, sale, or delivery of such Common Stock.

     27. Execution of Receipts and Releases. Any payment of cash or any issuance or
transfer of shares of Common Stock or other property to you, or to your legal representative, heir,
legatee or distributee, in accordance with the provisions hereof, shall, to the extent thereof,

7

 

be in full satisfaction of all claims of such Persons hereunder. The Company may require you
or your legal representative, heir, legatee or distributee, as a condition precedent to such
payment or issuance, to execute a release and receipt therefor in such form as it shall determine.

     28. Amendment. This Award Agreement may be amended by the Board; provided, however,
that no amendment may decrease your rights inherent in this Plan Award prior to such amendment
without your express written consent.

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

[Signature Page Follows]

8

 

     IN WITNESS WHEREOF, the Company has caused this Award Agreement to be executed by its duly
authorized officer as of the Date of Grant first above written.

	 	 	 	 	 	 	 
	 

	 	By:	 	 	 	 
	 

	 	Name:
	 	 

	 	 
	 

	 	Title:
	 	 

	 	 
	 

	 	 	 	 

	 	 

ACKNOWLEDGED AND AGREED:

	 	 	 	 	 
	By:
	 	 	 	 
	Name:

	 	 

	 	 
	 

	 	 

	 	 

9

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00132-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00132-of-00352.parquet"}]]