Document:

EX-10B

		
			Exhibit 10(b)
		

		
			 
		

		
			 
		

		
			ONCOR ELECTRIC DELIVERY COMPANY LLC 
		

		
			Amended and Restated Executive Change in Control Policy
		

		
			Effective August 1, 2014
		

			
	
			
				Section 1.
			Policy Purpose.  The purpose of the Oncor Electric Delivery Company LLC (“Company” or “Oncor”) Executive Change in Control Policy (this “Policy”) is to establish uniform provisions for the payment of transition benefits to eligible executives of the Company and any of its consolidated subsidiaries (each a “Subsidiary”, and together the “Subsidiaries”), in the event of their termination of employment without Cause (as defined herein) or resignation with Good Reason (as defined herein) from the Company or a corporation, limited liability company or other entity resulting from the consummation of a merger, consolidation, statutory share exchange or similar form of corporate transaction involving the Company (the “Surviving Corporation”), within twenty-four (24) months following a Change in Control (as defined herein), which are set forth herein. This Policy amends, restates and supercedes in its entirety that certain Oncor Electric Delivery Company LLC Change in Control Policy effective as of February 15, 2011.

		
			 
		

			
	
			
				Section 2.
			Eligible Executives.  Employees who are eligible for the benefits provided for in this Policy (“Eligible Executives”) are employees of the Company and its Subsidiaries who immediately prior to the effective time of a Change in Control are designated by the Company as members of the Company’s Executive Team.  The Executive Team shall be comprised of the Chief Executive Officer of the Company (“Chief Executive”) and the employees that constitute the senior leadership team and leadership team, as determined in accordance with the Company’s internal organizational structure; provided that the Company may determine the specific members of the Executive Team from time to time, and at any particular time.  However, the Company shall, effective immediately prior to the effective time of a Change in Control, determine and communicate the list of Eligible Executives, and such determination shall be final and binding on all parties.

		
			Notwithstanding any other provision of this Policy, absent a Change in Control, severance benefits for Eligible Executives will be provided under the terms and conditions of the Oncor Executive Severance Plan and not under this Policy.  In this connection, it is the intent of the Company that Eligible Executives not be eligible for duplicate severance benefits under multiple plans.
		

		
			 
		

			
	
			
				Section 3.
			Available Benefits.  In the event that: (i) an Eligible Executive is terminated without Cause by the Company, any Subsidiary, a Surviving Corporation, or any of their respective subsidiaries, or (ii) an Eligible Executive resigns with Good Reason from his or her employment with the Company, any Subsidiary, a Surviving Corporation, or any of their respective subsidiaries, in either the case of (i) or (ii) within twenty-four (24) months following a Change in Control, the Eligible Executive will, subject to his or her timely execution of, and subsequently not revoking, the Agreement and Release provided for in Section 5 hereof, be entitled to receive the following benefits:

			
	
			
				 A.
			Cash Severance Payments.  Eligible Executives will receive the following cash severance benefits:

		
			A one-time lump sum cash severance payment in an amount equal to the greater of: (A) a multiple of the aggregate of (1) the Eligible Executive’s annualized base salary in effect immediately before the termination or resignation, or the Executive’s annualized base salary in effect as of the Change in Control, whichever is greater, plus (2) the Eligible Executive’s target annual incentive award for the year of the termination or resignation, or (B) the amount determined under the Oncor Severance Plan for non-executive employees based on the Eligible Executive’s annualized base salary in effect immediately before the termination or resignation, or the Executive’s annualized base salary in effect as of the Change in Control, whichever is greater.  The multiple will be determined as set forth in the following table, and will be based on the Eligible Executive’s position with the 
		

		 

 

		Company immediately prior to the termination or resignation, or the Eligible Executive’s position immediately prior to the Change in Control, whichever position is more senior:
		

			
					
						 

					
					
						 

				
	
					
						Position

					
					
						Multiple of Base Salary
plus 
Target Annual Incentive

				
	
					
						Chief Executive Officer, Chief Financial Officer 

					
						and General Counsel

					
					
						3x

				
	
					
						All other members of Executive Team

					
					
						2x

				

		
			 
		

		
			The severance payments described above will be paid to the Eligible Executive sixty (60) days after his or her termination or resignation (the “Payment Date”), provided that the Eligible Executive has delivered to the Company, prior to the Payment Date, a signed and unrevoked Agreement and Release.  If the Eligible Executive has not delivered to the Company a signed and unrevoked Agreement and Release prior to the Payment Date, the severance payments described above will not be paid to the Eligible Executive.  The severance payments will be subject to all applicable tax withholdings and, to the extent permitted by Code Section 409A, may also be reduced by the amount of any obligations which the Eligible Executive owes to the Company.  Such obligations may include, but not be limited to, some or all of the following:
		

			
	
			
				 (a)
			

			
	
			
			The entire balance, if any, owed under the Company’s appliance purchase plan, energy conservation program or employee relocation plan; and

			
	
			
				 (b)
			

			
	
			
			Any amounts owed on Company issued or sponsored travel or credit cards or any other expenses or payments for which the Company should be reimbursed.

			
	
			
				 B.
			Pro Rata Target Bonus.  At the same time (and subject to the same conditions) that an Eligible Executive receives a cash severance payment under Section 3(a), the Eligible Executive shall also receive a cash severance payment in an amount equal to a pro rata portion of the Eligible Executive’s target annual incentive award for the year of termination of employment (with such pro rata portion being the portion of the calendar year of termination that has been completed when the Eligible Executive’s employment is terminated).

			
	
			
				 C.
			Health Care Benefits.  Eligible Executives will be eligible for continued health care coverage under the Company’s health care plans for the applicable COBRA period.  The required contribution by the Eligible Executive for such continued coverage will be the applicable employee rate, for the period shown in the following table, unless and until the Eligible Executive becomes eligible for coverage for a particular type of benefit through employment with another employer, at which time the required contribution for continuing such benefit coverage hereunder shall be the applicable COBRA rate for such benefit.  The period of continued health care coverage provided for herein shall run concurrently with the Eligible Executive’s available COBRA coverage period.

			
					
						 

					
					
						 

				
	
					
						Position

					
					
						Period of Continued Health 
Care Coverage

				
	
					
						Chief Executive Officer

					
					
						18 Months

				
	
					
						Member of Executive Team

					
					
						18 Months

				

		
			 
		

		
			If an Eligible Executive is covered under the Company’s health care plans through the end of such eighteen (18) month period and the Eligible Executive is not eligible for coverage for a particular type of benefit through employment with another employer, then such Eligible Executive may, at the end of such eighteen (18) month period, continue participation in the Company’s health care plans at the applicable COBRA rate for such coverage for the period in the following table:
		

		
			 
		

		
			 
		

			
					
						 

					
					
						 

				

		 

 

			
					
						Position

					
					
						Period of Subsidized Premium 
for Health Care Coverage

				
	
					
						Chief Executive Officer

					
					
						18 Months

				
	
					
						Member of Executive Team

					
					
						6 Months

				

		
			 
		

		
			The Company shall reimburse the Eligible Executive, on a monthly basis, in an amount equal to the difference between the applicable employee rate for such health care coverage and the COBRA rate paid by the Eligible Executive for that coverage during such subsequent coverage period.
		

			
	
			
				 D.
			Outplacement Assistance.  Eligible Executives will be eligible for payment or reimbursement by the Company of reasonable expenses incurred for outplacement services performed by an independent executive outplacement consulting firm selected by the Company, for up to the period set forth in the following chart, and the cost of outplacement services shall be paid or reimbursed no later than the end of the second year following the year in which the Eligible Executive incurred a termination or resignation of employment with the Company or any of its Subsidiaries.  The maximum outplacement assistance payment or reimbursement shall be $40,000 for the Chief Executive Officer, and $25,000 for other members of the Executive Team.

			
					
						 

					
					
						 

				
	
					
						Position

					
					
						Period of Outplacement Services

				
	
					
						Chief Executive Officer

					
					
						18 Months

				
	
					
						Member of Executive Team

					
					
						1 Year

				

		
			 
		

			
	
			
				 E.
			Final Paycheck and Vacation.  Eligible Executives will receive their final paycheck, as well as pay for vacation, if any, pursuant to the Company’s standard payroll and/or vacation policy.

			
	
			
				 F.
			Other Benefit Plans.  Eligible Executives will receive any vested, accrued benefits to which they have become entitled under any of the Company’s employee benefit plans covering the Eligible Executive in accordance with and subject to the respective provisions of such employee benefit plans as they may be amended from time to time.

			
	
			
				 G.
			Tax Gross-up.  If any payment, distribution or provision of a benefit hereunder (a “Payment”) would be subject to an excise tax pursuant to Sections 280G and 4999 of the Internal Revenue Code of 1986, as amended (“Code”), or any interest or penalties with respect to such excise or other additional tax (such excise tax, together with any such interest or penalties, are hereinafter collectively referred to as the “Excise Tax”), the Company, Surviving Corporation or any Subsidiary, as applicable (for purposes of this Section, all such entities are referred to as the “Gross-up Obligor”) shall pay to the Eligible Executive an additional payment (“Gross-up Payment”) in an amount such that, after payment by the Eligible Executive of all taxes (including any interest or penalties imposed with respect to such taxes), including any income taxes and Excise Taxes imposed on any Gross-up Payment, the Eligible Executive retains an amount of the Gross-up Payment equal to the Excise Tax imposed upon the Payments.  Notwithstanding the foregoing, however, if the aggregate value of the Payments (as determined in accordance with Code Section 280G) is less than 110% of the product (such product to be referred to herein as the “Excise Tax Threshold”) of three times the Eligible Executive’s “base amount” (as such term is defined in Code Section 280G), then the Eligible Executive shall not be entitled to a Gross-up Payment and the Payments shall be reduced by the Company so that their aggregate value is equal to $1.00 less than the Excise Tax Threshold.  If any payment or benefit intended to be provided under this Policy must be reduced in accordance with this Section, the Company shall designate the payments and/or benefits to be so reduced in order to give effect to this Section.  The reduction shall first come from payments or benefits that are not permitted to be valued under Q&A 24(c) of Treasury regulation Section 1.280G‐1 and then by payments or benefits that are permitted to be valued under Q&A 24(c) of Treasury regulation Section 1.280G‐1.  The Gross-up Obligor will coordinate with the Eligible Executive to make an initial determination as to whether a Gross-up Payment is required and the amount of any such Gross-up Payment.  The Eligible Executive shall notify the Gross-up Obligor in writing of any claim by the Internal Revenue Service which, if successful, would require a Gross-up Payment (or a Gross-up Payment in excess of that initially determined).  The Gross-up Obligor shall notify the Eligible Executive in writing at least ten (10) business days 
		

		 

 

			prior to the due date of any response required with respect to such claim if it plans to contest the claim.  If the Gross-up Obligor decides to contest such claim, the Eligible Executive shall cooperate with the Gross-up Obligor in such action; provided, however, the Gross-up Obligor shall bear and pay all costs and expenses (including additional interest and penalties) incurred in connection with such action and shall indemnify and hold the Eligible Executive harmless, on an after-tax basis, for any Excise Tax or income tax, including interest and penalties with respect thereto, imposed as a result of the Gross-up Obligor’s action.  If, as a result of the Gross-up Obligor’s action with respect to any such claim, the Eligible Executive receives a refund of any amount paid by the Gross-up Obligor with respect to such claim, the Eligible Executive shall promptly pay such refund to the Gross-up Obligor.  If the Gross-up Obligor fails to timely notify the Eligible Executive whether it will contest such claim or the Gross-up Obligor determines not to contest such claim, then the Gross-up Obligor shall immediately pay to the Eligible Executive the portion of such claim, if any, which it has not previously paid to the Eligible Executive.

		
			Notwithstanding anything to the contrary in the foregoing provisions of this Section 3(g), the payment of the Gross-up Payment, if any, shall be made no later than two (2) and one-half months (1/2) after the end of the calendar year in which the right to such payment is no longer subject to a “substantial risk of forfeiture” (as such term is described under Code Section 409A); except if the Gross-up Payment is a “deferral of compensation” (as such term is described under Code Section 409A), then the following provisions of this paragraph shall apply.  If the Gross-up Payment is a deferral of compensation, (i) payment of the portion of the Gross-up Payment that is taxes shall not be made later than December 31 of the year next following the year in which the Excise Tax is remitted to the taxing authority; (ii) payment of the portion of the Gross-up Payment that is interest or penalties incurred by the Eligible Executive with respect to such taxes shall not be made later than December 31 of the year next following the year in which the Eligible Executive incurs such interest or penalties, as applicable; and (iii) reimbursement of expenses incurred due to a tax audit or litigation addressing the existence or amount of a tax liability, whether federal, state, local or foreign, shall not be made later than the end of the year following the year in which the taxes that are the subject of the audit or litigation are remitted to the taxing authority, or where as a result of such audit or litigation no taxes are remitted, the end of the year following the year in which the audit is completed or there is a final nonappealable settlement or other resolution of the litigation.  If the Gross-up Payment is a deferral of compensation, the amount of interest and penalties eligible for payment or reimbursement in any year shall not affect the amount of such interest and penalties eligible for payment or reimbursement in any other year, nor shall such right to payment or reimbursement be subject to liquidation or exchange for another benefit.  Notwithstanding the foregoing provisions of this Section 3(g) that are applicable to deferrals of compensation, if (i) the Gross-up Payment is a deferral of compensation, (ii) the Eligible Executive is a “specified employee” under Code Section 409A upon the Eligible Executive’s termination or resignation of employment, and (iii) all or any portion of the Gross-up Payment is considered made upon the Eligible Executive’s termination or resignation of employment, the portion of the Gross-up Payment which is considered made upon the Eligible Executive’s termination or resignation of employment shall not be made until the earlier to occur of the Eligible Executive’s death or the date that is six (6) months and one (1) day following the Eligible Executive’s termination or resignation of employment.
		

		
			 
		

			
	
			
				Section 4.
			Restrictive Covenants.  For a period of one (1) year after a termination of employment contemplated in this Plan, Eligible Executives shall not solicit, recruit, induce, encourage or in any way cause any employee, consultant or contractor then engaged by the Company or its affiliates to terminate his/her employment or contractual relationship with the Company or its affiliates.  Eligible Executives shall maintain in strictest confidence and not use in any way or publish, disclose or authorize anyone else to use, publish or disclose any proprietary, confidential or other non-public information or document relating to the business affairs of the Company or its affiliates.  Eligible Executives shall not disparage the Company or its affiliates.

		
			 
		

			
	
			
				Section 5.
			Agreement and Release.  Notwithstanding any other provisions of this Policy, any Eligible Executive’s eligibility for any of the benefits described herein will be subject to, and conditioned upon, the Eligible Executive executing, and not subsequently revoking, an Agreement and Release in the form attached hereto as Exhibit A.

		
			 
		

		 

 

			
	
			
				Section 6.
			Definition of Cause.  For purposes of this Policy, a termination for “Cause” shall mean any one or more of the following: (a) as such term may be defined in any employment agreement or change-in control agreement in effect at the time of termination of employment between the Eligible Executive and the Company, or, (b) if there is no such employment or change-in-control agreement, “Cause” means, with respect to a Eligible Executive: (i) if, in carrying out his or her duties to the Company, Eligible Executive engages in conduct that constitutes (A) a breach of his or her fiduciary duty to the Company, its Subsidiaries or their shareholders, (B) gross neglect or (C) gross misconduct resulting in material economic harm to the Company or its Subsidiaries, taken as a whole, or (ii) upon the indictment of the Eligible Executive, or the plea of guilty or nolo contendere by Eligible Executive to, a felony or a misdemeanor involving moral turpitude.

		
			 
		

			
	
			
				Section 7.
			Definition of Good Reason.  For purposes of this Policy, the term “Good Reason” shall mean any one or more of the following events or actions which are taken without the express, voluntary consent of the Eligible Executive: (a) a reduction in the Eligible Executive’s base salary, other than a broad-based reduction of base salaries of all similarly situated executives of the Surviving Corporation or subsidiary, as applicable, unless such broad-based reduction only applies to former executives of Oncor; (b) a material reduction in the aggregate level or value of benefits for which the Eligible Executive is eligible, immediately prior to the Change in Control, other than a broad-based reduction applicable on a comparable basis to all similarly situated executives; or (c) the Eligible Executive is required to permanently relocate outside of a fifty (50) mile radius of the Eligible Executive’s principal residence in order to perform his or her duties hereunder.

		
			 
		

			
	
			
				Section 8.
			Definition of Change in Control.  For purposes of this Policy, the term “Change in Control” shall mean, in one or a series of related transactions, (i) the sale of all or substantially all of the consolidated assets or capital stock of Energy Future Holdings Corp.  (“EFH”), Oncor Electric Delivery Company Holdings LLC (“Oncor Holdings”) or Oncor to a person (or group of persons acting in concert) who is not an Affiliate of any member of the Sponsor Group (defined below);  (ii) a merger, recapitalization or other sale by EFH Corp., any member of the Sponsor Group or their Affiliates, to a person (or group of persons acting in concert) of the common stock of EFH, no par value (“EFH Common Stock”) that results in more than 50% of the EFH Common Stock (or any resulting company after a merger) being held by a person (or group of persons acting in concert) that does not include any member of the Sponsor Group or any of their respective Affiliates; or (iii) a merger, recapitalization or other sale of EFH Common Stock by EFH, any member of the Sponsor Group or their Affiliates, after which the Sponsor Group owns less than 20% of the EFH Common Stock, and has the ability to appoint less than a majority of the directors to the board of directors of EFH (or of any resulting company after a merger); and with respect to any of the events described in clauses (i) and (ii) above, such event results in any person (or group of persons acting in concert) gaining control of more seats on the board of directors of EFH than the Sponsor Group; provided however, that notwithstanding the foregoing, (x) clause (i) above shall be deemed not to include any reference to EFH, and clauses (ii) and (iii) shall not apply, in each case, for purposes of interpreting the termination or applicability of any puts, calls or release from transfer restrictions upon Transfers of Oncor Units or equity units of Oncor Holdings, (y) clause (i) above shall be deemed not to include any reference to Oncor Holdings for purposes of interpreting the termination or applicability of any puts, calls or release from transfer restrictions upon Transfers of Oncor Units and (z) clause (i) above shall be deemed not to include any reference to Oncor for the purposes of interpreting the termination or applicability of any puts, calls or release from transfer restrictions upon Transfer of equity units of Oncor Holdings.  For purpose of this policy, “Sponsor Group” means investment funds affiliated with Kohlberg Kravis Roberts & Co.  L.P., TPG Capital, L.P.  and Goldman Sachs & Co., “Transfers” means to, directly or indirectly, transfer, sell, assign, pledge, hypothecate or otherwise dispose of Oncor Units, and “Oncor Units” means equity interests in Oncor or any Affiliate of Oncor (the material assets of which consist only of its direct or indirect interest in Oncor, or the assets of Oncor) used for the purposes of effecting a public offering of the vehicle holding the assets of Oncor.  Notwithstanding the foregoing, should a Change in Control occur under clauses (i) through (iii) above with respect to the assets or capital stock of EFH, a Change in Control will not be deemed to have occurred unless such Change in Control would result in the material amendment or interference with the Separateness Undertakings under Section 10(i)(vi) of the Second Amended and Restated Limited Liability Company Agreement of Oncor Electric Delivery Company LLC and any amendments thereto (the “LLC Agreement”), or would adversely change or modify the definition of an Independent Director under Schedule A to the LLC Agreement.

		 

 

			
	
			
				Section 9.
			Legal Fees.  The Company shall pay or reimburse all reasonable legal fees and expenses incurred by an Eligible Employee in disputing in good faith the Eligible Employee benefits under the Plan, up to a maximum of $250,000 in the aggregate.  Such payments or reimbursements shall be made within thirty (30) business days after delivery of the Eligible Employee’s written request for such payment or reimbursement, accompanied by such evidence as the Company may reasonably require.

		
			In order to comply with Code Section 409A, in no event shall any payments made by the Company under this Section 9 be made later than the end of the calendar year next following the calendar year in which such fees and expenses were incurred; provided, however, that the Eligible Employee shall have submitted the written request for payment or reimbursement at least thirty (30) days before the end of the calendar year next following the calendar year in which such fees and expenses were incurred.  The amount of such legal fees and expenses that the Company is obligated to pay or reimburse in any calendar year shall not affect the amount of legal fees and expenses that the Company is obligated to pay or reimburse in any other calendar year, and the Eligible Employee’s right to have the Company pay or reimburse such legal fees and expenses may not be liquidated or exchanged for any other benefit.
		

		
			 
		

			
	
			
				Section 10.
			Successor Bound by Policy.  It is the intent of the Company that this Policy will be assumed by, and be binding upon, a successor employer of an Eligible Executive following a Change in Control.  The Company intends to seek the express assumption of this Policy by any such successor employer.  If a successor employer fails or refuses to expressly assume this Policy prior to the effective date of a Change in Control, the Eligible Executives will, effective immediately prior to the effective time of a Change in Control, be eligible for the benefits provided for in this Policy upon each of their respective termination or resignation of employment, with or without Good Reason.

		
			 
		

			
	
			
				Section 11.
			Amendments.  This Policy may be amended at any time by the Board of Directors of the Company (“Board”) or a duly authorized committee thereof; provided, however, that no such amendment that materially adversely affects the benefits available to Eligible Executives may be made (a) at a time that the Company is in the process of negotiating, with the approval of the Board or a duly authorized committee thereof, with a third party pursuant to a letter of intent, memorandum of understanding, confidentiality agreement or other similar evidence of active negotiation concerning a potential transaction or event which, if consummated, would constitute a Change in Control, or (b) within 24 months following a Change in Control.

		
			 
		

			
	
			
				Section 12.
			Code Section 409A.

			
	
			
				 A.
			Notwithstanding any provision of this Policy to the contrary, the time and form of any payment described in this Policy shall be made in accordance with the applicable Section of the Policy (including expense reimbursements), provided that with respect to termination or resignation of employment for reasons other than death, the payment or benefit at such time can be characterized as a “short-term deferral” for purposes of Code Section 409A or as otherwise exempt from the provisions of Code Section 409A, or if any portion of the payment cannot be so characterized, and the Eligible Executive is a “specified employee” under Code Section 409A, such portion of the payment shall be delayed until the earlier to occur of the Eligible Executive’s death or the date that is six (6) months and one (1) day following the Eligible Executive’s termination or resignation of employment (the “Delay Period”).  Upon the expiration of the Delay Period, all payments delayed pursuant to this Section 10 shall be paid or reimbursed to the Eligible Executive in a lump sum, and any remaining payments shall be payable at the same time and in the same form as such amounts would have been paid in accordance with the applicable Section of the Policy.  For purposes of the Policy, the terms “terminated,” “termination from employment,” “resigns for Good Reason,” “termination or resignation of employment”  and variations thereof, as used in this Policy, are intended to mean a termination of employment that constitutes a “separation from service” under Code Section 409A.

			
	
			
				 B.
			Except as otherwise permitted under Code Section 409A and the guidance and Treasury regulations issued thereunder, the time or schedule of any payment or amount scheduled to be paid pursuant to the Policy may not be accelerated.

		 

 

			
	
			
				 C.
			The Policy and the benefits provided hereunder are intended to comply with Code Section 409A to the extent applicable thereto.  Notwithstanding any other provision of the Policy to the contrary, the Policy shall be interpreted and construed consistent with this intent.  Notwithstanding the foregoing, the Company shall not be required to assume any increased economic burden in connection therewith.  Although the Company intends to administer the Policy so that it will comply with the requirements of Code Section 409A, the Company does not represent or warrant that the Policy will comply with Code Section 409A or any other provision of federal, state, local, or non-United States law.  Neither the Company, its Subsidiaries, nor their respective directors, officers, employees or advisers shall be liable to any Eligible Executive (or any other individual claiming a benefit through an Eligible Executive) for any tax, interest, or penalties the Eligible Executive may owe as a result of participation in the Policy, and the Company and its Subsidiaries shall have no obligation to indemnify or otherwise protect any Eligible Executive from the obligation to pay any taxes pursuant to Code Section 409A.

		
			 
		

			
					
						 

					
					
						 

				
	
					
						 

					
					
						ONCOR ELECTRIC DELIVERY COMPANY LLC

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						By: /s/ Deborah L. Dennis

				
	
					
						 

					
					
						Deborah L. Dennis

				
	
					
						 

					
					
						Senior Vice President, Human Resources & Corporate Affairs

				

		
			 
		

		

		

		 

 

		
		

		
			Exhibit A
		

		
			 
		

		
			AGREEMENT AND RELEASE
(EXECUTIVE CHANGE IN CONTROL POLICY)
		

		
			Pursuant to the terms of the Oncor Electric Delivery Company (the “Company”) Amended and Restated Change in Control Policy (the “Change in Control Policy”), the Company has offered to pay me $__________ as a Cash Severance Payment, and $____________ as a Pro Rata Target Bonus, as well as to provide healthcare benefits, out-placement assistance, and other applicable benefits under the terms of the Severance Plan.  In consideration for the agreements set forth herein, including but not limited to, my severing my employment with the Company, and waiving all claims and releasing the Company, its affiliates and employee benefit plans and their directors, officers, fiduciaries, employees, and agents from liability and damages related to my employment, and severance of employment, I choose to accept this offer.  I acknowledge and agree that my decision to accept this offer has been made by me on a voluntary basis.  No other promise, inducement, threat, agreement or understanding of any kind or description whatsoever has been made with or to me by any person or entity to cause me to sign this Agreement and Release (the “Agreement”).
		

		
			In exchange for the Company’s payment to me and the other promises contained herein, I individually and on behalf of my spouse, heirs, successors and assigns, waive all claims and release the Company, its past, present and future, parents, subsidiaries, affiliates, divisions, successors, predecessors, and related companies, and each of the aforementioned entities’ past, present, and future shareholders, owners, investors, managers, principals, committees, administrators, sponsors, executors, trustees, partners, assigns, representatives, attorneys, directors, officers, fiduciaries, employees and agents; and any employee benefit plans maintained by the Company, its past, present and future parents, subsidiaries, affiliates, divisions, successors and predecessors and the fiduciaries, consultants, agents and service providers of each such plan (collectively, the “Released Parties”) from and against all liability and damages related in any way to my employment with, or severance from, the Company or any of the Released Parties or to any acts or omissions relating to any matter prior to and including the date I sign the Agreement.  This waiver and release includes, but is not limited to, all claims and causes of action for discrimination (based on sex, age or any other protected characteristic) and all claims and causes of action under Title VII of the Civil Rights Act of 1964, as amended; the Civil Rights Act of 1991; the Age Discrimination in Employment Act of 1967, as amended; the Civil Rights Act of 1866; the Texas Commission on Human Rights Act; the Americans with Disabilities Act; the Older Workers Benefit Protection Act of 1990; the Sarbanes-Oxley Act of 2002; the Fair Labor Standards Act; the Employee Retirement Income Security Act of 1974, as amended; the Worker Adjustment and Retraining Notification Act; the Family and Medical Leave Act; the Texas Labor Code; all state and federal statutes and regulations; all oral or written contract rights, including any rights under any Company incentive plan or program; and all rights under common law such as breach of contract, declaratory judgment, tort or personal injury of any sort.  I acknowledge and agree that I have been provided and/or have not been denied any leave requested under the Family and Medical Leave Act.
		

		
			I understand that signing this Agreement is an important legal act.  I understand that I am releasing any claims I may have under the Age Discrimination in Employment Act, which prohibits discrimination on the basis of age.  I acknowledge that the Company has advised me to consult an attorney before signing this Agreement.  I acknowledge that I have at least twenty-one (21) days from the day I receive this offer to consider this Agreement, and that I must sign this Agreement and mail or deliver it to the Company’s Senior Vice President, Human Resources, Oncor Electric Delivery Company LLC, 1616 Woodall Rodgers Freeway, Dallas, Texas 75202, by the end of the twenty-first (21st) day after my receipt of this offer, for my election to participate in this Agreement and receive the benefits available thereunder to be effective.  
		

		
			I understand that this Agreement also precludes me from recovering any relief as a result of any lawsuit, grievance or claim brought on my behalf provided that nothing in this Agreement will affect my entitlement, if any, to workers’ compensation or unemployment compensation.  Nothing in this Agreement restricts me from pursuing a claim for vested, accrued benefits to which I am entitled as a terminated employee under the terms of any Company employee benefit plan in which I participate.
		

		
			Additionally, nothing in this Agreement restricts me in any way from communications with, filing a charge or complaint with, or full cooperation in the investigations of, any governmental agency on matters within their jurisdictions or from cooperating with the Company or Company-sponsored plans in any internal investigation.  
		

		 

 

		However, as stated above, this Agreement does prohibit me from recovering any relief, including monetary relief, as a result of such activities.
		

		
			I represent and warrant that I have previously disclosed and advised the Company of all instances of regulatory violations or potential noncompliance of law by the Company or any of the Released Parties of which I am aware and have provided all information related to these issues in my possession.  
		

		
			I agree that in the course of my duties, I have acquired information of a proprietary and/or confidential nature relating to the business of the Company, including but not limited to, financial data and information, performance and operational information, transaction related information, including contract terms and contract related costs, billing data, customer lists and information, information related to prospective customers and business, marketing and sales plans and related information, business and operational plans, projects, developments, studies, strategies, reports, and analyses, business models, practices, procedures and processes, personnel related information,  non-public pricing and related information, including pricing curves, guidelines, models and methodologies, communications plans, non-public governmental related filings, positions and reports.  I agree to maintain in strictest confidence and not to use in any way, publish, disclose or authorize anyone else to use, publish or disclose any proprietary, confidential or other non-public information or document relating to the business or affairs of the Company, or its affiliates.  I agree not to remove or retain any figures, calculations, letters, documents, lists, papers, or copies thereof, which embody confidential and/or proprietary information of the Company or its affiliates and to immediately return any such information in my possession.  I acknowledge the reasonableness of this paragraph in light of the confidential business information to which I had access in my position with the Company, and the need for the Company to protect its investment in the confidential business information. I also agree that a breach of this paragraph, or my ongoing confidentiality obligations, would cause immediate and irreparable loss, damage and injury to the Company; that damages for such a breach would be exceedingly difficult, if not impossible, to estimate; and that the Company would have no adequate remedy at law.  Accordingly, I acknowledge that injunctive relief would be appropriate relief for such breach, in addition to any other remedies at law or in equity that the Company may have, including recoupment of the benefits I will receive pursuant to this Agreement.
		

		
			I further agree to return all Company property in my possession, custody or control, including but not limited to credit cards, membership cards, access cards or keys, identification badges, computers, software, cell phones, radios, Company issued logo-branded uniforms or clothing, customer and supplier lists and information and other items provided in the Company’s policies.  
		

		
			I agree to cooperate fully and assist the Company or any affiliates of the Company in any litigation, claims, grievances, arbitrations, or disputes about which I have knowledge.
		

		
			I agree that I will not make any false, disparaging or defamatory statement(s) or communication(s) to any third party regarding the Company or any of the Released Parties or the products, services, business or management of the Company or any other Released Party.  The Parties recognize that neither this provision, nor any other provision contained herein, prohibits either party from providing truthful testimony as required by law, subpoena or other compulsory process.
		

		
			I agree that for a period of one year after my termination of employment with the Company, I will not solicit, recruit, induce, encourage or in any way cause any employee, consultant or contractor then engaged by the Company or any affiliate to terminate an employment or contractual relationship with the Company of any affiliate.
		

		
			I understand and agree that any amounts which I owe the Company, or any affiliates of the Company, including but not limited to appliance purchase balances, energy conservation balances, vacation overpayment, travel expense advances, and salary over-payments resulting from prior receipt of workers’ compensation, will be offset and deducted from my final paycheck from the Company and/or the payment under this Agreement, and I agree that, if the amount of my final paycheck and payment under this Agreement is not sufficient to fully repay the amount owed, I will promptly pay the Company the full remaining amount owed.
		

		
			I acknowledge and agree that none of the Released Parties has given me any financial planning, tax or similar advice with regard to the benefits under this agreement.  I acknowledge further that the financial, tax and similar effects of my decisions relating to the benefits will depend on my particular circumstances, that I should obtain advice from my own financial or tax adviser, and that none of the Released Parties are responsible for, or obligated in any way with respect to, the financial, tax or any other consequences of my decision to accept the benefits.
		

		

		

		 

 

		If any term, provision, covenant, or restriction of this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remainder of this Agreement and the other terms, provisions, covenants and restrictions hereof shall remain in full force and effect and shall in no way be affected, impaired or invalidated.
		

		
			I understand that for a period of seven (7) days following the signing of this Agreement, I may revoke my acceptance of the offer by either delivering or mailing a written statement revoking my acceptance to the Company’s Senior Vice President, Human Resources, Oncor Electric Delivery Company LLC, 1616 Woodall Rodgers Freeway, Dallas, TX  75202, and this Agreement will not become effective.  In the event I so revoke my acceptance of the offer, the Company shall have no obligation to provide me any benefits contemplated herein.  If timely revocation is not made, this Agreement shall be effective and enforceable.  
		

		
			I have read this Agreement and I fully understand all of its terms and what they mean.  I enter into and sign this Agreement knowingly and voluntarily, without duress or coercion of any kind whatsoever and with the intent of being bound by the Agreement.
		

		
			 
		

			
					
						

					
						Date

					
					
						

					
						Employee Signature

					
						 

				
	
					
						 

					
					
						

					
						Employee Name (Please Print)

					
						 

				
	
					
						 

					
					
						

					
						Social Security NumberCPT-6.30.2014-Ex10.1

AMENDED AND RESTATED
CAMDEN PROPERTY TRUST
1999 EMPLOYEE SHARE PURCHASE PLAN
(as amended and restated on July 30, 2014)

1.    Purpose

This Plan is effective as of July 30, 2014 and is an amendment and restatement of the Plan as in effect November 3, 1999.  The primary purpose of this Plan is to encourage Share ownership by each Eligible Employee in the belief that such Share ownership will increase his or her interest in the success of Camden Property Trust, a Texas real estate investment trust (the "Company").
2.    Definitions

2.1    The term "Account" shall mean the separate bookkeeping account established and maintained by the Plan Administrator for each Participant for each Purchase Period to record the contributions made on his or her behalf to purchase Shares under this Plan. 

2.2    The term "Board" shall mean the Board of Trust Managers of the Company.

2.3    The term "Closing Price" shall mean the closing price for a Share as reported for any applicable date by the New York Stock Exchange.  

2.4    The term "Committee" shall mean the Compensation Committee of the Board.

2.5    The term "Company" shall mean Camden Property Trust, a Texas real estate investment trust.

2.6    The term "Election Form" shall mean the form as is provided by the Company or the Plan Administrator.

2.7    The term "Eligible Employee" shall mean each officer or employee of a Participating Employer who is shown on the payroll records of a Participating Employer as an employee for at least twelve (12) months prior to the commencement of a Purchase Period.

2.8    The term "Participant" shall mean (a) for each Purchase Period an Eligible Employee who has elected to purchase Shares in accordance with Section 4 in such Purchase Period and (b) any person for whom Shares are held pending delivery under Section 6.

2.9    The term "Participating Employer" shall mean the Company, Camden Development, Inc. and any other affiliated entity which is designated as such by the Committee.

2.10    The term "Pay" means all cash compensation paid to an Eligible Employee for services to a Participating Employer, including regular straight time earnings or draw, overtime, commissions and bonuses, but excluding amounts paid as living allowance or reimbursement of expenses and other similar payments paid to him or her by the Participating Employer.

2.11    The term "Pay Day" means the date on which a Participant receives Pay from a Participating Employer.

2.12    The term "Plan" shall mean this Amended and Restated Camden Property Trust 1999 Employee Share Purchase Plan, effective as of July 30, 2014, and as thereafter amended from time to time.

2.13    The term "Plan Administrator" shall mean the Chief Financial Officer of the Company or another person designated by the Committee.

2.14    The term "Purchase Period" shall mean periods of approximately six months duration.  The Purchase Period which is in effect as of July 30, 2014 commenced July 1, 2014 and will end December 15, 2014.  The next Purchase Period will commence on December 16, 2014 and end on June 15, 2015.  Thereafter, a new Purchase Period shall commence on June 16 and December 16 of each year and shall end on the following December 15 and June 15, respectively.  The Committee shall have the power to change the duration and/or the frequency of Purchase Periods with respect to future offerings without shareholder approval if such change is announced prior to the scheduled beginning of the first Purchase Period to be affected; provided, however, that in no event shall any Purchase Period exceed 27 months in duration.

2.15    The term "Purchase Price" for each Purchase Period shall mean 85% of the lesser of: (a) the Closing Price for a Share on the last day of such Purchase Period (or if there is no trading of the Shares on such last day of such Purchase Period, the Closing Price of the Shares as reported on the last day of such Purchase Period on which Shares were traded) or (b) the Closing Price for a Share on the first day of such Purchase Period (or if there is no trading of the Shares on such first day of such Purchase Period, the Closing Price of the Shares as reported on the first day of such Purchase Period on which Shares were traded).

2.16    The term "Rule 16b-3" shall mean Rule 16b-3 promulgated under Section 16(b) of the Securities Exchange Act of 1934, as amended, or any successor to such rule.

2.17    The term "Shares" shall mean the common shares of beneficial interest, par value $.01 per share, of the Company.  The aggregate number of Shares available for grant under this Plan shall not exceed 500,000, subject to adjustment pursuant to Section 14 hereof.

3.    Administration

Except for the exercise of those powers expressly granted to the Committee to determine the Closing Price, who is a Participating Employer and to set the Purchase Period, the Plan Administrator shall be responsible for the administration of this Plan and shall have the power in connection with such administration to interpret the Plan and to take such other action in connection with such administration as the Plan Administrator deems necessary or equitable under the circumstances.  The Plan Administrator also shall have the power to delegate the duty to perform such administrative functions as the Plan Administrator deems appropriate under the circumstances.  Any person to whom the duty to perform an administrative function is delegated shall act on behalf of and shall be responsible to the Plan Administrator for such function.  Any action or inaction by or on behalf of the Plan Administrator under this Plan shall be final and binding on each Eligible Employee, each Participant and on each other person who makes a claim under this Plan based on the rights, if any, of such Eligible Employee or Participant under this Plan.
4.    Participation

4.1    Each person who is an Eligible Employee on the enrollment date shall be a Participant in this Plan for the related Purchase Period, if he or she (i) properly completes and timely files an Election Form with the Plan Administrator to elect to participate in this Plan; and (ii) deposits, either through payroll 

deduction or a lump sum, the full amount of his or her desired purchase amount prior to the final pricing day of a Purchase Period.  An Election Form may require an Eligible Employee to provide such information and to agree to take such action (in addition to the action required under Section 5) as the Plan Administrator deems necessary or appropriate in light of the purpose of this Plan or for the orderly administration of this Plan.

4.2    Notwithstanding anything herein to the contrary, no person shall be deemed to be an Eligible Employee:

(a)if immediately after such participation, Participant would own Shares, and/or hold outstanding options to purchase Shares, possessing 5% or more of the total combined voting power or value of all classes of Shares of the Company (for purposes of this paragraph, the rules of Section 424(d) of the Internal Revenue Code of 1986, as amended, shall apply in determining Share ownership of any Participant); or

(b)if such Participant’s rights to purchase Shares under all employee share purchase plans of the Company would exceed the maximum number of shares such Participant is then eligible to purchase as set forth in Section 4.8; or

(c)if immediately prior to commencement of a Purchase Period, the Eligible Employee has not been an employee of the Company for at least one year; or

(d)if the Participant is no longer an Eligible Employee at the final pricing date and when the shares are purchased.

4.3    A Participant may elect to participate in the Plan for any Purchase Period by delivering a properly completed Election Form at least 15 days prior to the commencement of any Purchase Period.  A Participant may make one or more cash contributions following such election and prior to the end of the Purchase Period.  A Participant may also elect to have contributions made through payroll deductions expressed as a specific dollar amount that Participating Employer is authorized to deduct from his or her Pay each Pay Day during the Purchase Period; provided, however, that the minimum payroll deduction for a Participant for each Pay Day for purchases under this Plan shall be $10.00.

4.4    A Participant shall have the right to amend his or her Election Form at any time to reduce or to stop his or her contributions, and such amendment shall be effective immediately for cash contributions and as soon as practicable after the Plan Administrator actually receives such amended Election Form for payroll deductions. 

4.5    A Participant may withdraw his or her contributions at any time.  A withdrawal shall be deducted from the Participant’s Account as of the date the Plan Administrator receives such amended Election Form, and the actual withdrawal shall be effected by the Plan Administrator as soon as practicable after such date.  A Participant who withdraws his or her contributions in full will not be eligible to participate in the Plan for six (6) months from the date of such withdrawal, i.e. will not be eligible for the next Purchase Period. 

4.6    All payroll deductions made for a Participant shall be credited to his or her Account as of the Pay Day as of which the deduction is made.  All cash deposits made by a Participant shall be credited to his or her Account as of the date such amount is received by the Plan Administrator.  All contributions made by a Participant under this Plan, whether in cash or through payroll deductions, shall be held by the Company or by such Participant’s Participating Employer, as agent for the Company.  All such contributions shall be 

held as part of the general assets of the Company and shall not be held in trust or otherwise segregated from the Company’s general assets.  No interest shall be paid or accrued on any such contributions.  Each Participant’s right to the contributions credited to his or her Account shall be that of a general and unsecured creditor of the Company.  Each Participating Employer shall have the right to make such provisions as it deems necessary or appropriate to satisfy any tax laws with respect to purchases of Shares made under this Plan.

4.7    The balance credited to the Account of an Eligible Employee shall automatically be refunded in full (without interest) if his or her status as an employee of all Participating Employers terminates for any reason whatsoever during a Purchase Period.  Such refunds shall be made as soon as practicable after the Plan Administrator has actual notice of any such termination.

4.8    Notwithstanding anything in this Plan to the contrary, no Participant shall be permitted to Shares in an amount which exceeds, in any calendar year, Shares having a fair market value (as determined on the first day of the applicable Purchase Period) in excess of $25,000.00.  The formula by which the maximum number of shares which a Participant may purchase in each Purchase Period, as well as an example of the application of such formula, is attached to this Plan as Exhibit “A” and incorporated herein by reference.

5.    Purchase of Shares

5.1    If a Participant is an Eligible Employee through the end of a Purchase Period, the balance which remains credited to his or her Account at the end of such Purchase Period automatically shall be applied to purchase Shares at the Purchase Price for such Shares for such Purchase Period.  Such Shares shall be purchased on behalf of the Participant by operation of this Plan only in whole Shares and such Shares shall be held for the benefit of such Participant in a brokerage account established for such Participant with a registered brokerage firm (a “Designated Brokerage Account”).  Any balance in the Account of a Participant following the purchase of whole Shares shall be deposited into such Participant’s Designated Brokerage Account. 

5.2    Except as specifically provided herein, all Participants shall have the same rights and privileges under the Plan.  All rules and determinations of the Board in the administration of the Plan shall be uniformly and consistently applied to all persons in similar circumstances.

5.3    On the first day of each Purchase Period, each Eligible Employee participating in such Purchase Period shall be deemed to have been granted an option to purchase, on the last day of such Purchase Period (at the applicable Purchase Price), up to a number of Shares determined by dividing such Eligible Employee’s (i) payroll deductions accumulated prior to the last day of such Purchase Period, (ii) cash deposits accumulated prior to the last day of such Purchase Period or (iii) the combined amounts of (i) and (ii) above, by the applicable Purchase Price; provided that in no event shall an Eligible Employee be permitted to purchase during each Purchase Period a number of Shares which would exceed the limit specified in Section 4.8.  Unless a Participant withdraws from the Plan as provided in Section 4.5 hereof, his or her option for the purchase of shares shall be deemed to have been exercised automatically as of the first day of the Purchase Period, and the maximum number of shares subject to option shall be purchased for such Participant at the applicable Purchase Price with the accumulated payroll deductions and cash in his or her account.  During a Participant’s lifetime, a Participant’s option to purchase shares hereunder is exercisable only by him or her.

5.4    The Plan Administrator may use the Company’s treasury shares to satisfy its obligations under this Plan, in which event the treasury shares shall be deemed to have been acquired for a price equal to the Closing Price for a Share on the last day of such Purchase Period (or if there is no trading of the Shares on 

such last day of such Purchase Period, the Closing Price of the Shares as reported on the last day of the Purchase Period on which Shares were traded).  In the event the Plan Administrator does not use the Company’s treasury shares to satisfy its obligations under this Plan it may use up to ten (10) trading days following the end of a Purchase Period to make open market purchases of the Company’s common stock to acquire Shares to satisfy its obligations under this Plan.  For the purpose of determining the nine-month holding period required under Section 8.2, all Shares purchased shall be deemed to have been purchased on the last day of the relevant Purchase Period.  If the total Shares to be purchased in accordance with Section 5.1 exceeds the number of Shares available under the Plan, (after deducting all of the Shares previously purchased under Section 5.1), the Plan Administrator shall make a pro rata allocation of the Shares in a uniform manner.

6.    Delivery

The Shares purchased by each Participant shall be deposited into such Participant’s Designated Brokerage Account, and no certificates shall be issued for such Shares except to the extent that a Participant specifically so requests.  A Share certificate delivered to a Participant shall be registered in his or her name or, if the Participant so elects and is permissible under applicable law, in the names of the Participant and one such other person as may be designated by the Participant, as joint tenants with rights of survivorship.  However, (a) no Share certificate representing a fractional share of Share shall be delivered to a Participant or to a Participant and any other person, (b) cash which the Plan Administrator deems representative of the value of a Participant’s fractional share shall be distributed (when a Participant requests a distribution of certificates for all of the shares of Share held for him or her) in lieu of such fractional share unless a Participant in light of Rule 16b-3 waives his or her right to such cash payment and (c) the Plan Administrator shall have the right to charge a Participant for registering a Share in the name of the Participant and any other person.  No Participant (or any person who makes a claim for, on behalf of or in place of a participant) shall have any interest in any Share under this Plan until they have been reflected in the book-entry record maintained by the transfer agent or the certificate for such Share has been delivered to such person.
7.    Death of Participant

If a Participant dies before the end of a Purchase Period any balance credited to his or her Account shall be treated in the same manner as accrued Pay.  If a Participant dies after the end of a Purchase Period but before the Shares applicable to such Purchase Period have been delivered to such Participant’s Designated Brokerage Account, the Company shall complete the delivery of the Shares to such Participant’s Designated Brokerage Account.  Any Shares and cash deposited in a Participant’s Designated Brokerage Account shall be distributed by the registered broker who manages such Designated Brokerage Account in the manner agreed to by such registered broker and such Participant prior to his or her demise, or in the absence of such agreement to such Participant’s estate.  Shares held in a Participant’s Designated Brokerage Account following the death of such Participant shall not be subject to the minimum holding period provisions of Section 8.2.
8.    Transferability and Dispositions

8.1    Neither the balance credited to a Participant’s Account nor any rights to receive Shares under this Plan may be assigned, encumbered, alienated, transferred, pledged or otherwise disposed of in any way by a Participant during his or her lifetime or by his or her beneficiary or by any other person during his or her lifetime, and any attempt to do so shall be without effect.

8.2    Unless permitted by the Plan Administrator as hereinafter provided, no sale, transfer or other disposition may be made of any Shares purchased under the Plan during the first nine (9) months following the end of a Purchase Period.  During such nine-month period the Shares must be held in such Participant’s 

Designated Brokerage Account.  If a Participant violates the foregoing restriction, he or she shall remit to the Company an amount of cash equal to the difference between the Purchase Price paid by the Participant for such Shares and the price paid (or deemed to have been paid) by the Plan Administrator to acquire the Shares as provided under Section 5.4.   Alternatively, the Plan Administrator may, at the Participant’s option, sell the Shares and deduct from the proceeds of such sale the remittance due under this Section 8.2.  No participant shall be required to sell Shares upon termination of employment.  Notwithstanding the foregoing, if a Participant who owns Shares subject to the foregoing restriction is determined by the Plan Administrator in its discretion to have a serious financial need for the proceeds of the sale of such Shares, then upon application made by the Participant, the Plan Administrator shall consent to a sale of such Shares to the extent necessary to satisfy the serious financial need, and the Participant will not be required to make the remittance to the Company described in this Section 8.2. 
 
9.    Securities Registration

If the Company shall deem it necessary to register under the Securities Act of 1933, as amended, or any other applicable statute any Shares purchased under this Plan or to qualify any such Shares for an exemption from any such statutes, the Company shall take such action at its own expense.  If Shares are listed on any national securities exchange at the time any Shares are purchased hereunder, the Company shall make prompt application for the listing on such national securities exchange of such Shares, at its own expense.  Purchases of Shares hereunder shall be postponed as necessary pending any such action.
10.    Compliance with Applicable Regulations

10.1    All elections and transactions under this Plan by persons subject to Rule 16b-3 are intended to comply with at least one of the exemptive conditions under Rule 16b-3.  The Plan Administrator shall establish such administrative guidelines to facilitate compliance with at least one such exemptive condition under Rule 16b-3 as the Plan Administrator may deem necessary or appropriate.  If any provision of this Plan or such administrative guidelines or any act or omission with respect to this Plan (including any act or omission by an Eligible Employee) fails to satisfy such exemptive condition under Rule 16b-3 or otherwise is inconsistent with such condition, such provision, guidelines or act or omission shall be deemed null and void.

10.2    It is the intention of the Company to have this Plan qualify as an "Employee Stock Purchase Plan" under Section 423 of the Code.  The provisions of this Plan shall, accordingly, be construed so as to extend and limit participation in a manner consistent with the requirements of that section of the Code.

11.    Amendment or Termination

This Plan may be amended by the Board from time to time to the extent that the Board deems necessary or appropriate.  To the extent necessary to comply with Section 423 of the Code or any other applicable law or regulation, a Plan amendment shall be conditioned on the approval of such amendment by the shareholders of the Company in such a manner and to such a degree as is required under Section 423 of the Code.  The Plan Administrator is specifically authorized to adopt rules and procedures regarding handling of payroll deductions, payment of interest and handling of share certificates which vary according to local requirements.  No amendment shall be retroactive unless the Board in its discretion determines that such amendment is in the best interest of the Company or such amendment is required by applicable law to be retroactive.  The Board also may terminate this Plan and any Purchase Period at any time (together with any related contribution election) or may terminate any Purchase Period (together with any related contribution elections) at any time; 

provided, however, no such termination shall be retroactive unless the Board determines that applicable law requires a retroactive termination.
12.    Notices

All Election Forms and other communications from a Participant to the Plan Administrator under, or in connection with, this Plan shall be deemed to have been filed with the Plan Administrator when actually received in the form specified by the Plan Administrator at the location, or by the person, designated by the Plan Administrator for the receipt of any such Election Form and communications.
13.    Employment

The right to elect to participate in this Plan shall not constitute an offer of employment or membership on the Board, and no election to participate in this Plan shall constitute an employment agreement for an Eligible Employee.  Any such right or election shall have no bearing whatsoever on the employment relationship between an Eligible Employee and any other person.  Finally, no Eligible Employee shall be induced to participate in this Plan, or shall participate in this Plan, with the expectation that such participation will lead to employment or continued employment. 
14.    Changes in Capital Structure

14.1    In the event the outstanding Shares of the Company are hereafter increased or decreased or changed into or exchanged for a different number or kind of Shares or other securities of the Company or of another corporation, in each case by reason of any reorganization, merger, consolidation, recapitalization, reclassification, Share split up, combination of Shares or dividend payable in Shares, appropriate adjustment shall be made by the Board in the number or kind of Shares as to which a right granted under this Plan shall be exercisable, to the end that the right holder’s proportionate interest shall be maintained as before the occurrence of such event.  Any such adjustment made by the Board shall be conclusive.

14.2    If the Company is not the surviving or resulting corporation in any reorganization, merger, consolidation or recapitalization, this Plan, and the Company’s rights, duties and obligations hereunder, shall be assumed by the surviving or resulting corporation and the rights of a Participant to purchase Shares shall continue in full force and effect.

15.    Headings, References and Construction

The headings to sections in this Plan have been included for convenience of reference only.  This Plan shall be interpreted and construed in accordance with the laws of the State of Texas.

EXHIBIT “A”
MAXIMUM SHARE PURCHASE FORMULAE
		
	I.
	Definitions.  The following terms shall, for the purposes of this Exhibit “A”, have the meanings ascribed to each.  All capitalized terms used in this Exhibit “A” but not otherwise defined in this Exhibit “A” shall have the meanings ascribed to each in the Amended and Restated Camden Property Trust 1999 Employee Share Purchase Plan to which this Exhibit “A” is attached.

		
	1.
	“First Purchase Period” shall mean, as to any calendar year, the first Purchase Period in such calendar year.

		
	2.
	“Second Purchase Period” shall mean, as to any calendar year, the second Purchase Period in such calendar year.

		
	3.
	“A” shall mean $25,000.00

		
	4.
	“B” shall mean the Closing Price on the first day of the applicable Purchase Period.

		
	5.
	“X” shall mean the maximum number of whole Shares a Participant is permitted to purchase during a First Purchase Period.

		
	6.
	“Y” shall mean the actual number of whole Shares a Participant actually purchased during an immediately preceding First Purchase Period.

		
	7.
	“Z” shall mean maximum number of whole Shares a Participant is permitted to purchase during a Second Purchase Period

		
	II.
	First Purchase Period Maximum.  The maximum number of Shares which any Participant is permitted to purchase during a First Purchase Period is determined by the following formula:

A/B = X
As an example of the foregoing, if the Closing Price on the first day of a First Purchase Period is $50.00 (B), X would equal 500 ($25,000/$50 = 500).

		
	III.
	Second Purchase Period Maximum.  The maximum number of Shares which any Participant is permitted to purchase during a Second Purchase Period is determined by the following formula:

A/B - Y = Z

As an example of the foregoing, if the Closing Price on the first day of a Second Purchase Period if $50.00 (B) and the Participant actually purchased 100 shares during the preceding First Purchase Period (Y), Z would equal 400 ($25,000/$50 minus 100 = 400)

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00233-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00233-of-00352.parquet"}]]