Document:

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                                                                    EXHIBIT 10.3

                            PLASTIPAK PACKAGING, INC.

                  AMENDED AND RESTATED SALARY CONTINUATION PLAN

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                                TABLE OF CONTENTS
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                                                                        Page
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<S>               <C>                                                 <C>
Article I - Definitions

1.1               Administrative Committee                               1
1.2               Adoption Agreement                                     1
1.3               Age                                                    2
1.4               Agreement                                              2
1.5               Beneficiary                                            2
1.6               Board of Directors                                     2
1.7               Compensation                                           2
1.8               Discretion                                             2
1.9               Early Retirement Date                                  2
1.10              Effective Date                                         2
1.11              Eligibility Requirements                               2
1.12              Employee                                               2
1.13              Normal Retirement Date                                 2
1.14              Participant                                            2

Article II - Administration

2.1               Appointment, Removal and Resignation
                  of Administrative Committee Members                    3
2.2               Powers of Administrative Committee                     3
2.3               Payment of Expenses and Benefits                       4

Article III - Benefits

3.1               Payment of Benefits Upon Retirement                    4
3.2               Payment of Benefits Upon Death                         4
3.3               Payment of Benefits Upon Early Retirement              4
3.4               Limitations and Special Rules                          5

Article IV - Covenant Not to Compete

4.1               Covenant Not to Compete                                7

Article V - Claims Procedure

5.1               Claims Procedure                                       8
5.2               Review Procedure                                       9

Article VI - Miscellaneous Provisions

6.1               Amendment or Termination                               9
6.2               Employment Relationship                                9
6.3               Taxes                                                  10
6.4               Alienation of Benefits                                 10
6.5               Construction of Agreement                              10
6.6               Number and Gender                                      10
6.7               Headings                                               10
6.8               Severability                                           10
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                                       -i-

<PAGE>

                            PLASTIPAK PACKAGING INC.
                  AMENDED AND RESTATED SALARY CONTINUATION PLAN

                  THIS AGREEMENT, made this 28th day of June, 1999, effective as
of January 1, 1999, by and between PLASTIPAK PACKAGING INC., a Delaware
corporation (hereinafter referred to as the "Company") and a committee appointed
by the Board of Directors of the Company comprised of William C. Young and
Michael J. Plotzke (hereinafter referred to as the "Administrative Committee").

                                   WITNESSETH:

                  WHEREAS, the Company previously established a Salary
Continuation Plan No. 1 (effective September, 1985); a Salary
Continuation Plan No. 2 (effective July, 1991); and a Salary
Continuation Plan No. 3 (effective September 1, 1995); and

                  WHEREAS, pursuant to the provisions thereof, the Company
reserved the right to amend said Agreements, and the Company desires to further
amend the same in certain respects; and

                  NOW, THEREFORE, in consideration of the premises and of the
mutual covenants herein contained, the Company restates its Salary Continuation
Plan and it is hereby agreed by and between the Company and the Administrative
Committee as follows:

                                    ARTICLE I
                                   DEFINITIONS

                  As used in this Salary Continuation Plan, and any amendments
hereto, the following words and phrases shall have the following meanings
respectively, unless the context otherwise clearly requires:

                  1.1  Administrative Committee.  The committee appointed
by the Board of Directors of the Company pursuant to Section 2.1 of
this Agreement.

                  1.2 Adoption Agreement. The agreement a Participant must
complete and execute in order to become a Participant hereunder following the
Administrative Committee's decision to allow such Employee to participate
hereunder. The Adoption Agreement shall include and specify the Participant's
name, address, date of birth, social security number, date of hire, Beneficiary
designation and the amount of benefit and Eligibility Requirements which must be
attained or satisfied in order for such Participant or his Beneficiary to become
entitled to the benefits stated therein. In addition, the Adoption Agreement
shall be deemed to include any other forms the Administrative Committee shall
require in order for an Employee to become a Participant hereunder.

<PAGE>

                  1.3 Age. The age of a Participant as of his last birthday.

                  1.4 Agreement. This instrument as it now exists or as it may
from time to time be amended.

                  1.5 Beneficiary. Any individual, trust, entity, estate or
other person who shall be entitled to receive any benefits which are payable
upon or subsequent to the death of a Participant.

                  1.6 Board of Directors. The present or any succeeding Board of
Directors of the Company.

                  1.7 Compensation. A Participant's salary, plus bonuses,
actually paid or accrued by the Company during the calendar year as reflected on
the Participant's W-2 form for federal income tax purposes, excluding amounts
paid or expenses incurred by the Company in connection with any employee welfare
benefit or other fringe benefit, including, without limitation, amounts paid as
a disability benefit or amounts paid from any qualified or non-qualified
retirement program (including this Plan).

                  1.8 Discretion. The sole, absolute and uncontrolled discretion
of the person entitled to exercise such discretion.

                  1.9 Early Retirement Date. The date consented to by the
Company for a Participant who has been covered by this Plan at least ten (10)
years after the Effective Date, and who has attained age fifty-nine (59) but not
age sixty-five (65).

                  1.10 Effective Date. September 1, 1985.

                  1.11 Eligibility Requirements. The Age, years of service with
the Company and other requirements a Participant must attain or satisfy in order
to be eligible to receive a particular benefit under this Plan, as specified in
his Adoption Agreement. Each Adoption Agreement shall separately state the
Eligibility Requirements for each benefit to which the Participant may become
eligible.

                  1.12 Employee. Any individual employed by the Company,
including officers, directors and shareholders, but excluding independent
contractors.

                  1.13 Normal Retirement Date. The date the Participant attains
the later of (a) age sixty-five (65) or (b) the 10th anniversary of the
Participant's commencement of participation under this Plan.

                  1.14 Participant. Any Employee of the Company who is selected
by the Administrative Committee to become a Participant hereunder and who has
completed and executed an Adoption Agreement.

                                       -2-

<PAGE>

                                   ARTICLE II
                                 ADMINISTRATION

                  2.1 Appointment, Removal and Resignation of Administrative
Committee Members. The Company, acting through its Board of Directors, shall be
empowered to appoint and remove the members of the Administrative Committee from
time to time as it deems necessary for the proper administration of the Plan.
Any individual may serve as a member of the Administrative Committee, and the
Administrative Committee may be comprised of as many individuals as the Board of
Directors shall determine. Any individual appointed to the Administrative
Committee shall signify his acceptance to serve thereon by filing a written
acceptance with the Company. A member of the Administrative Committee may resign
by delivering written notice of his resignation to the Company, or may be
removed by the Company by delivery of written notice of removal to take effect
on the date specified therein or upon delivery if no date is specified. The
initial Administrative Committee for this Restated Plan shall be comprised of
William C. Young and Michael J. Plotzke.

                  2.2 Powers of Administrative Committee.

                  A. The Administrative Committee shall have the power to select
those Employees of the Company who will be eligible to participate in this
Agreement, determine the benefits to be paid to such Participant or his
Beneficiary and the Eligibility Requirements which such Participant must attain
or satisfy in order to be eligible for such benefits, and shall have the power
to adopt such rules and regulations with respect to the administration of the
Plan and participation in the Plan as the Administrative Committee may determine
to be necessary and/or appropriate. The Administrative Committee shall, also,
have the power to resolve all issues arising in connection with the
administration, interpretation and application of the provisions of this
Agreement and the Participant's Adoption Agreement. The Administrative Committee
shall have the power to create any such Adoption Agreement for any particular
Participant containing the benefits, Eligibility Requirements and other such
provisions thereto as it shall decide with respect to each Employee it selects
for participation hereunder.

                  B. The Administrative Committee shall have the power to engage
such professional advisors and incur such expenses necessary to the
administration of this Plan as it deems necessary and/or appropriate, except as
limited or restricted by the Board of Directors of the Company.

                  C. The Administrative Committee shall have the power to
delegate any of its powers to any one or more of its members, and the appointed
individual or individuals shall have all of the powers granted to the
Administrative Committee, except as restricted by the Administrative Committee
in delegating such powers. Except where there has been an allocation or
delegation of

                                       -3-

<PAGE>

administrative authority pursuant to the preceding sentence, the Administrative
Committee shall act by a majority of its number, but may authorize one or more
of its members to sign all papers on its behalf.

                  2.3 Payment of Expenses and Benefits. All expenses of
administration of this Plan shall be paid by the Company out of its general
assets. All benefits payable pursuant to this Plan shall be paid from the
general assets of the Company.

                                   ARTICLE III
                                    BENEFITS

                  3.1 Payment of Benefits Upon Retirement. As soon as practical
(within approximately 120 days) following the date a Participant satisfies his
Eligibility Requirements, becomes entitled to his retirement benefits pursuant
to his Adoption Agreement and files a claim for benefits, the Company shall
commence payment of the Participant's retirement benefit. The amount of each
Participant's retirement benefit shall be as specified in his Adoption Agreement
and, unless otherwise specified in such Adoption Agreement, shall be payable in
equal monthly installments for the period specified in such Participant's
Adoption Agreement. Unless specified to the contrary in his Adoption Agreement,
the Participant shall be entitled to file a written claim for his retirement
benefit and commence receiving his retirement benefit on satisfaction of the
Eligibility Requirements therefor, as specified in his Adoption Agreement, even
though such Participant continues to be employed by the Company following such
date.

                  3.2 Payment of Benefits Upon Death.

                  As soon as practical (within approximately 120 days) following
the death of a Participant while in the employ of the Company, the Company shall
commence payment of a Participant's death benefit to the Beneficiary designated
by such Participant or as provided in the Participant's Adoption Agreement. The
Beneficiary shall furnish the Company with a certified copy of the Participant's
death certificate, or such other documentation as may be reasonably requested by
the Company. Unless specified to the contrary in such Participant's Adoption
Agreement, such benefit shall be paid in equal monthly installments for the
period specified.

                  Notwithstanding any other provision of this Plan, no benefits
shall be payable hereunder to a Participant's beneficiary if the Participant's
death occurs as a result of a suicide, while sane or insane, within two (2)
years after (i) the date of said Participant's execution of the Adoption
Agreement and/or (ii) the date of any subsequent change in the benefits for said
Participant.

                  3.3 Payment of Benefits Upon Early Retirement. As soon as
practical (within approximately 120 days) following the date a

                                       -4-

<PAGE>

Participant satisfies his Eligibility Requirements, becomes entitled to his
early retirement benefits pursuant to his Adoption Agreement and files a claim
for benefits, the Company shall commence payment of the Participant's early
retirement benefit. The amount of each Participant's early retirement benefit
shall be as specified in his Adoption Agreement and, unless otherwise specified
in such Adoption Agreement, shall be payable in equal monthly installments for
the period specified in such Participant's Adoption Agreement. Unless specified
to the contrary in his Adoption Agreement, the Participant shall be entitled to
file a written claim for his early retirement benefit and commence receiving his
early retirement benefit on satisfaction of the Eligibility Requirements
therefor, as specified in his Adoption Agreement.

                  3.4 Limitations and Special Rules.

                  A. A Participant shall be entitled to benefits only upon the
complete satisfaction or attainment of all of the Eligibility Requirements with
respect to the particular benefit for which a claim is being made. In no event
shall any benefit or portion thereof be deemed to be earned or vested ratably
over the period of a Participant's employment with the Company. A Participant
whose employment is terminated, at any time, for any reason, prior to the
satisfaction of his Eligibility Requirements with respect to such benefit shall
not be entitled to any part of such benefit.

                  B. Upon a Participant or Beneficiary becoming entitled to a
particular benefit, the Administrative Committee shall, in its Discretion, have
the right to purchase an annuity policy for the benefit of any Participant or
his Beneficiary, which policy shall provide for monthly installments at least
equal to the monthly installments and for the period such benefit is payable as
provided in such Participant's Adoption Agreement.

                  C. In the event of the death of a Participant following the
date he satisfies the Eligibility Requirements specified in his Adoption
Agreement with respect to his retirement benefit, whether or not his retirement
benefit has commenced, such Participant's Beneficiary shall receive the entire
or remaining amount of the Participant's retirement benefit in lieu of receiving
any death benefit hereunder.

                  D. Notwithstanding anything to the contrary in this Plan, or
in any Adoption Agreement, the Company shall only be obligated to pay one (1)
benefit hereunder with respect to any Participant and his Beneficiary, and in no
event shall any Participant or Beneficiary be entitled to more than one (1)
benefit hereunder.

                  E. In the event of the death of a designated Beneficiary
before he receives all of the benefits payable to him pursuant to this Plan, the
remaining benefits shall be paid to the

                                       -5-

<PAGE>

legal representative of such Beneficiary's estate, unless an alternate
Beneficiary was designated by the Participant.

                  F. Notwithstanding anything to the contrary contained herein,
in the event the insurance company utilized by the Company to fund the death
benefit hereunder rates the Participant as a smoker, the Company shall only be
obligated to provide the Participant with benefits equal to the amount that can
be purchased utilizing the premiums for a standard rating for the Participant
(instead of the Participant's actual rating). If the Participant desires to
obtain the benefits normally provided by the Company, the Participant may pay to
the insurance company the difference between the premium due for the
Participant's actual rating and the premium due for a standard rating.

                  G. In the event a benefit is payable to a minor or individual
declared incompetent or to an individual incapable of handling the disposition
of his property, the Administrative Committee may, in its Discretion, pay such
benefit to the guardian, legal representative or person having the care or
custody of such minor, incompetent or individual. The Administrative Committee
may require such proof of incompetency, minority or guardianship as it may deem
appropriate prior to the distribution of any benefit. Any such distribution
shall completely discharge the Administrative Committee and the Company, its
officers, directors and shareholders, from all liability with respect to such
benefit.

                  H. Each Participant may change the Beneficiary designated in
his Adoption Agreement by filing a written notice of change of Beneficiary
designation with the Administrative Committee on such form as the Administrative
Committee may prescribe. A Participant's Beneficiary designation shall be deemed
automatically revoked in the event of the death of the named Beneficiary or, if
the Beneficiary is the Participant's spouse, in the event of dissolution of the
marriage. In the event any such Participant's Compensation constitutes community
property, any Beneficiary designation made by the Participant other than a
designation of such Participant's spouse shall not be effective if any such
Beneficiary is to receive more than fifty (50%) percent of the aggregate
benefits payable hereunder, unless such spouse shall approve such designation in
writing. In the event that no Beneficiary designation shall be in effect at the
time when any benefits payable under this Plan shall become due, the Beneficiary
shall be the spouse of the Participant; or, if no spouse is then living, the
Participant's children and the issue of any deceased child, by right of
representation; or, if none, to the legal representatives of the Participant's
estate.

                  I. The commencement of, or continuation of, any benefit under
this Plan to any Participant or Beneficiary shall be subject to such Participant
satisfying, and continuing to satisfy, the provisions of Section 4.1 hereof.

                                       -6-

<PAGE>

                                   ARTICLE IV
                             COVENANT NOT TO COMPETE

                  4.1 Covenant Not to Compete. The Company's obligation to pay
any benefits hereunder shall cease if a Participant, at any time during his
employment with the Company or during the period benefits are paid or payable
hereunder, engages in and/or conducts, within the continental United States
and/or any foreign country in which the Company has substantial business
interests, directly or indirectly, individually or in participation with, or in
the employ of, others (excluding the Company and its successors), as a partner,
employee, shareholder, owner, sole proprietor, trustee, beneficiary, officer,
director, joint venturer, sales representative, advisor, consultant or in any
similar capacity and/or relationship, the following activities:

                  A. The ownership, management, operation, lease, control of or
participation in any business, venture, activity or endeavor which competes with
the Business (as hereinbelow defined) of the Company or which is engaged in the
same line of Business as the Company.

                  B. Suffers or permits any such business, venture, activity or
endeavor described or referred to in Subparagraph A above to so compete with the
Business of the Company or engage in the same Business as the Company.

                  C. Solicits, influences, requests and/or advises, directly or
indirectly, any customer and/or supplier or prospective customer and/or supplier
of the Company to change, withdraw, curtail or cancel their business or any part
thereof with the Company.

                  D. Solicits, influences, requests and/or advises, directly or
indirectly, any Employee and/or prospective employee to terminate his employment
with, or choose not to become employed by, the Company.

                  E. Employs, or offers employment to, any Employee or former
Employee of the Company, except in connection with the Business of the Company.

                  F. Discloses to any individual, firm, corporation or other
entity the name of any customer, supplier or Employee, or prospective customer,
supplier or employee, of the Company, except in connection with the Business of
the Company.

                  G. Discloses to any individual, firm, corporation or other
entity any confidential, financial or proprietary information, including, but
not limited to, any trade secret, business method or process, customer list or
customer contract, regarding the Business of the Company, except as may be
required by his employment with the Company.

                                       -7-

<PAGE>

                  For purposes of this Agreement, the "Business" of the Company
shall be defined as the past, present and future business or businesses of the
Company, even if such future business is unrelated to the current business of
the Company. The current business being, generally, described as: The design,
manufacture and marketing of blow-molded, polyethylene terephthalate ("PET") and
high density polyethylene ("HDPE") containers and recycled PET and HDPE
containers.

Specifically, Plastipak segments its plastic containers into the following six
product categories:

         1.   Carbonated Beverages;
         2.   Consumer Cleaning Products;
         3.   Food Products;
         4.   Dairy, Juice, Bottled Water and Non-Carbonated Beverages;
         5.   Industrial, Automotive and Agricultural Products; and
         6.   Health, Personal Care and Distilled Spirits.

                                    ARTICLE V
                                CLAIMS PROCEDURE

         5.1 Claims Procedure. If a Participant or Beneficiary is denied all or
a portion of an expected benefit under this Plan for any reason, he may file a
written claim with the Administrative Committee. The Administrative Committee
shall notify the Participant or Beneficiary within ten (10) days of receipt of
such written claim of the allowance or denial of the claim, unless the
Participant or Beneficiary receives written notice from the Administrative
Committee prior to end of the ten (10) day period stating that special
circumstances require an extension of time for decision, in which case the
period may be extended for not more than thirty (30) additional days. The notice
of the Administrative Committee's decision shall be in writing, sent by mail to
the Participant's or Beneficiary's last known address, and, if a denial of the
claim, shall contain the following information:

                  A. The specific reasons for the denial.

                  B. Specific reference to the pertinent provisions of this
Agreement or the Adoption Agreement on which the denial is based.

                  C. If applicable, a description of any additional information
or material necessary to perfect the claim, an explanation of why such
information or material is necessary and an explanation of the claim review
procedure.

                                       -8-

<PAGE>

                  5.2 Review Procedure.

                  A. A Participant or Beneficiary is entitled to request a
review of any denial of his claim by the Administrative Committee. A request for
a review must be received by the Administrative Committee in writing within
sixty (60) days of mailing of notice of the denial. Absent a request for review
within the sixty (60) day period, the claim shall be deemed to be conclusively
denied. The Participant or Beneficiary shall be entitled to review all pertinent
documents, and to submit issues or comments orally or in writing.

                  B. If the request for review by a Participant or Beneficiary
concerns the interpretation and application of the provisions of this Agreement
or the Adoption Agreement and the Company's obligations thereunder, then the
review shall be conducted by a committee consisting of three (3) individuals
designated or appointed by the Administrative Committee, which individuals may
be members of the Administrative Committee. The committee shall afford the
Participant or Beneficiary a hearing and the opportunity to review all the
pertinent documents and submit issues and comments orally or in writing and
shall render a review decision in writing, all within sixty (60) days after
receipt of a written request for review; provided, however, in special
circumstances (such as the necessity of holding a hearing) the committee may
extend the time for decision by not more than sixty (60) additional days upon
written notice to the Participant or Beneficiary. The Participant or Beneficiary
shall receive written notice of the committee's review decision, together with
specific reasons for the decision and reference to the pertinent provisions of
this Agreement or his Adoption Agreement, as soon as such decision is rendered.
In no event shall any failure by the Administrative Committee to render a
decision within the time periods set forth hereinabove be deemed to constitute a
decision in favor of or against the Participant or Beneficiary.

                                   ARTICLE VI
                            MISCELLANEOUS PROVISIONS

                  6.1 Amendment or Termination. The Company shall have the
right, at any time, to amend or terminate this Plan, including any Adoption
Agreement; provided, however, any Participant who has completely satisfied his
Eligibility Requirements with respect to any benefit prior to such amendment or
termination shall not have his benefits reduced or curtailed by any such
amendment or termination.

                  6.2 Employment Relationship. Neither the establishment of this
Plan nor any provision of this Agreement or the Adoption Agreement, or
modification thereof, shall be construed as granting any Employee the right to
be retained in the employ of the Company, and all Employees shall remain subject
to control and discharge to the same extent as heretofore. Nothing in this
Agreement, or any Adoption Agreement, shall be construed as an implied or
written

                                       -9-

<PAGE>

agreement that any Employee will not be terminated except for cause, and all
Employees shall remain subject to termination at the will of the Company, unless
specifically stated to the contrary in a written employment agreement between
the Company and the Employee.

                  6.3 Taxes. The Company shall be authorized to deduct from any
payments to be made hereunder all applicable federal, state or local taxes
required by law to be withheld from such payments, and such Participant's or
Beneficiary's benefits shall be so reduced thereby.

                  6.4 Alienation of Benefits. No benefit which may be payable
pursuant to this Plan to any Participant or Beneficiary shall be subject in any
manner to anticipation, alienation, sale, transfer, assignment, pledge,
encumbrance or charge; and any attempt to anticipate, alienate, sell, transfer,
assign, pledge, encumber or charge the same shall be void. No such benefit shall
in any manner be liable for, or subject to, the debts, contracts, liabilities,
engagements or torts of any Participant or Beneficiary; nor shall it be subject
to attachment or legal process for or against any Participant or Beneficiary,
and the same shall not be recognized by the Administrative Committee or the
Company, except to such extent as may be required by law.

                  6.5 Construction of Agreement. This Agreement and each
Adoption Agreement shall be construed according to the laws of the State of
Michigan, and all provisions hereof and thereof shall be administered according
to the laws of such State.

                  6.6 Number and Gender. Wherever any words are used in this
Agreement or any Adoption Agreement in the singular form they shall be construed
as though they were also used in the plural form in all cases where they would
so apply and wherever any words are used herein in the masculine gender shall be
construed as though they were also used in the feminine or neuter gender in all
cases where they would so apply.

                  6.7 Headings. Headings of Articles and Sections of this
Agreement and any Adoption Agreement are inserted for convenience of reference
only and they shall constitute no part of this Agreement or the Adoption
Agreement, and shall not be considered in the construction hereof or thereof.

                  6.8 Severability. If any provision, sentence or clause of this
Agreement or any Adoption Agreement shall be, for any reason, invalid or
unenforceable, the remaining provisions shall nevertheless be valid, enforceable
and carried into effect.

                                      -10-

<PAGE>

                  IN WITNESS WHEREOF, the Company has caused this Agreement to
be executed by an authorized individual and the members of the Administrative
Committee have executed this Agreement on the day and year first above written.

                                          COMPANY:

                                          PLASTIPAK PACKAGING, INC.
                                          a Delaware corporation

                                          By: /s/ William C. Young
                                              ------------------------
                                                  William C. Young
                                                  Its:  President

                                          ADMINISTRATIVE COMMITTEE:

                                          By: /s/ William C. Young
                                              ------------------------
                                          William C. Young

                                          /s/ Michael J. Plotzke
                                          ---------------------------
                                          Michael J. Plotzke

STATE OF MICHIGAN           )
                            ) SS.
COUNTY OF WAYNE             )

                  On this 28th day of June, 1999, before me personally appeared
William C. Young, who being by me duly sworn did say that he is the President of
Plastipak Packaging, Inc., a Delaware corporation, and that he executed this
Agreement on behalf of said Corporation by authority of its Board of Directors
and acknowledged said Restated Agreement to be the free act and deed of said
Corporation.

                                          /s/ Leora Dallas Lundgren
                                          -------------------------
                                          Notary Public

STATE OF MICHIGAN           )
                            ) SS.
COUNTY OF WAYNE             )

                  On this 28th day of June, 1999, before me personally appeared
William C. Young and Michael J. Plotzke, to me known to be the persons described
in and who executed the foregoing Restated Agreement and respectively
acknowledged the execution thereof to be their free act and deed.

                                          /s/ Leora Dallas Lundgren
                                          -------------------------
                                          Notary Public

                                      -11-ex4-1

 

EXHIBIT 4.1

JCM PARTNERS, LLC

Restrictions on Transfer of Membership Interests

Adopted by Resolutions of the

Board of Managers

dated November 9, 2001

	A.	 	Unless waived in an individual case by the Company for good cause shown,
no Transfer Application shall be deemed received by the Company or by its
Transfer Agent prior to the close of business on the thirtieth (30th)
calendar day following the Company’s receipt of all parts of a Transfer
Application, fully completed, duly executed by the parties thereto and in
a form satisfactory to the Company. Until that time, no event which is
deemed by the Agreement or the Bylaws to occur upon the Company’s receipt
of such a Transfer Application shall be deemed to have occurred. By way
of illustration, and not of limitation, the proposed Transferee shall not
be considered a Transferee or Assignee, and shall not have the right to
seek admission as a Substituted Member, prior to that date. Moreover, no
Transfer shall be effective as between the proposed Transferor and the
proposed Transferee prior to that date. In connection with any Transfer
Application, the Transferor and Transferee shall promptly provide such
additional information as the Company may request. The Company shall not
recognize or register any Transfer that fails to comply with the foregoing
requirements, nor shall the Company forward any part of the Transfer
Application to the Company’s Transfer Agent for registration of the
Transfer. This Paragraph A shall not be applicable to any Transfer
effected by will or last testament or by the laws of descent and
distribution, and this Paragraph A shall not apply to any Transfer as to
which the proposed Transferor is a tax-exempt entity; provided that the
other provisions of this resolution shall be fully applicable in the case
of such proposed Transfers.
	 
	B.	 	Except as may be authorized by the Board of Managers prior to a Transfer,
by vote of a majority of the Managers then holding office, no Person may
acquire, by any means, Beneficial Ownership (as defined below) of any Unit
if, as a result of such acquisition, such Person would become the
Beneficial Owner (as so defined) of ten (10) percent or more of the
outstanding Units of the Company (the “Ownership Limit”). Notwithstanding
the foregoing, no Person shall be deemed to have exceeded the Ownership
Limit as the result of an acquisition of Units by the Company which, by
reducing the number of Units outstanding, increases the proportionate
number of Units beneficially owned by such Person to 10% or more of the
Units then outstanding; provided, however, that, if a Person shall become
the Beneficial Owner of 10% or more of the Units then outstanding by
reason of Unit purchases by the Company and shall, after such Unit
purchases by the Company, become the Beneficial Owner of any additional
Units, then such Person shall be deemed to have exceeded the Ownership
Limit by the amount of such additional purchase.

 

	 	 	A Person shall be deemed the “Beneficial Owner” of, and shall be deemed
to “Beneficially Own,” any Units:

	 	1.	 	which such Person or any of such Person’s Affiliates or
Associates (as such terms are defined below) Beneficially Owns,
directly or indirectly; or
	 
	 	2.	 	which such Person or any of such Persons’ Affiliates or
Associates has
	 

	 	(A)	 	the right to acquire (whether such right is
exercisable immediately or only after the passage of time)
pursuant to any agreement, arrangement or understanding, or
upon the exercise of conversion rights, exchange rights,
rights, warrants or options, or otherwise; provided, however,
that a Person shall not be deemed the “Beneficial Owner” of,
or to “Beneficially Own,” Units tendered pursuant to a tender
or exchange offer made on behalf of such Person or any of such
Person’s Affiliates or Associates until such tendered Units
are accepted for purchase or exchange; or
	 
	 	(B)	 	the right to vote or to have voted pursuant to
any agreement, arrangement or understanding; provided,
however, that a Person shall not be deemed the “Beneficial
Owner” of, or to “Beneficially Own” any Units if the
agreement, arrangement or understanding to vote such Unit (1)
consists solely of a revocable proxy or consent given to such
Person in response to a public proxy or consent solicitation
made pursuant to, and in accordance with, the applicable rules
and regulations promulgated under the Securities Exchange Act
of 1934, as amended (the “Exchange Act”) and (2) is not then
reportable pursuant to Section 13(d) under the Exchange Act
(or any comparable or successor provision); or
	 

	 	3.	 	which are beneficially owned, directly or indirectly, by any
other Person with which such Person or any of such Person’s
Affiliates or Associates has any agreement, arrangement or
understanding for the purpose of acquiring, holding, voting (except
to the extent contemplated by the proviso in clause (B) of the
preceding paragraph B.2.) or disposing of any Units of the Company.
	 
	 	 	 	“Affiliate” shall have the meaning set forth in the Agreement, and
“Associate” shall have the meaning ascribed to such term in Rule
12b-2 of the General Rules and Regulations under the Exchange Act,
as in effect on the date of this resolution.

C.     Any Transfer that would result in a violation of the Ownership Limit shall
be void ab initio as to the Transfer of such number of Units that would cause
the violation of the Ownership Limit, and the proposed Transferee (the
“Disqualified Holder”) shall acquire no rights in such Units. If the foregoing
Transfer Restriction shall be determined by a court having jurisdiction to do
so to be beyond the power of the Board to effectuate or invalid, prohibited or
unenforceable for any other reason, then upon any event that results

2

 

in a violation of the Ownership Limit, the Units in excess of the Ownership
Limit shall be deemed to have been transferred to the Company or its designee,
not as beneficial owner but in trust (the “Trust”) and as trustee for the
exclusive benefit of such Disqualified Holder and the beneficiary or
beneficiaries to whom an interest in such Trust may later be transferred.

	 	1.	 	The Disqualified Holder shall retain the right to receive
allocations and distributions with respect to Units held in the
Trust in accordance with the terms of the Agreement, and for all tax
purposes including the allocation of gain and losses with respect to
the Units, the Disqualified Holder will be treated as the Beneficial
Owner of such Units, except that such Disqualified Holder shall not
be accorded any voting rights with respect to the Units. Instead,
Units held in the Trust shall be voted solely by the trustee of the
Trust. The trustee shall cast such votes for or against any
proposition on which Unit Holders are entitled to vote (or, as to
elections, in favor of each nominee) in the same proportion as all
other Units which are voted on such matters are voted.
	 
	 	2.	 	The Disqualified Holder may designate a beneficiary of an
interest of Units held in Trust (representing a specified number of
Units held by the Trust), if those Units held in Trust plus the
Units Beneficially Owned by such beneficiary would not exceed the
Ownership Limit if transferred to such beneficiary. Upon the
designation of a beneficiary of an interest in the Trust, the
corresponding number of Units in the Trust shall be released to the
beneficiary. Notwithstanding the foregoing, prior to any transfer
of any interest in the Trust, the Disqualified Holder and the
designee must fully complete, duly execute and deliver to the
Secretary of the Company all parts of a Transfer Application, which
shall be subject to all the provisions of this resolution and of the
Agreement and Bylaws to the same extent as if the Disqualified
Holder were a Transferor of Membership Interests and the designee
were a proposed Transferee.
	 
	 	3.	 	Any Trust created pursuant to the above provisions shall
continue in effect until the earlier of the liquidation or
dissolution of the Company in accordance with the terms of the
Agreement or the transfer of all Units out of the Trust in
accordance with Paragraph C(2) above.

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