Document:

ex_318453.htm

Exhibit 10.1

 

 

December 21, 2021

 

Via email

Eric Salzman

 

Dear Eric:

 

This letter agreement, effective as of January 1, 2022, amends and restates the employment offer letter entered into between you and Safeguard Scientifics, Inc. (“Safeguard” or the “Company”), dated October 1, 2020 (the “October 2020 Prior Agreement”), in order to reflect negotiated and mutually acceptable provisions pertaining to your continued employment with Safeguard.

 

Safeguard is pleased to confirm your continued full-time employment in the position of Chief Executive Officer at Safeguard on the terms and subject to the conditions set forth in this letter agreement. You will continue in your role as the Chief Executive Officer, reporting to Safeguard’s Board of Directors (“Board”), for a twelve-month term ending on December 31, 2022 (the “Term”). You will be required to dedicate substantially all of your professional time and efforts to your position with Safeguard. At the end of the Term, your employment may be extended upon mutual agreement.

 

This letter agreement constitutes the entire agreement between you and Safeguard and supersedes the October 2020 Prior Agreement, the prior employment offer letter dated March 30, 2020 by and between Safeguard and you (the “March 2020 Prior Agreement”) and the prior consulting agreement dated November 21, 2019 by and between Safeguard and you as managing member of SarniHaan Capital Partners LLC (the “Prior Consulting Agreement”), other than with respect to the confidentiality and indemnification provisions set forth in the October 2020 Prior Agreement, the March 2020 Prior Agreement, the Prior Consulting Agreement and the terms of the related confidentiality agreement dated October 2, 2019.

 

Salary. The annual base salary rate associated with this position is $500,000 (i.e., $41,666.67 per month) (the “Base Salary”) and will be paid on a semi-monthly basis.

 

Equity Grants. On or about January 15, 2022 (the “Grant Date”), you will receive a restricted stock grant of 60,000 shares of Safeguard’s common stock, which will vest on a monthly basis prior to the last business day of the month over the twelve-month Term in equal monthly installments beginning in January, 2022, subject to your continued employment or service to Safeguard (the “RS Grant”). In addition, on the Grant Date, you will also receive a performance-based restricted stock unit grant representing a right to receive an additional 80,000 shares of Safeguard’s common stock which will vest and become payable based on criteria outlined in the applicable award agreement, subject to your continued employment or service to Safeguard during the Term (the “Performance RSU Grant,” and, together with the RS Grant, the “Equity Grants”). In the event of a Change of Control (as defined in the 2014 Equity Compensation Plan (the “Plan”)) during the Term, all remaining unvested Equity Grants shall accelerate and become fully vested.

 

The Equity Grants will include dividend or dividend equivalent rights (as applicable) which will accrue and/or become payable to you when the underlying shares are vested or no longer subject to forfeiture, as applicable. Should any dividend be declared and paid with respect to the shares of the Company common stock during the period between (A) the Grant Date of the Equity Grant and (B) the date on which the Equity Grant is vested or no longer subject to forfeiture, as applicable, the Company shall credit to a dividend equivalent book account the value of such dividend that would have been paid if the Equity Grant at the time of the declaration of the dividend were outstanding shares of Company common stock not otherwise subject to vesting or forfeiture and pay to you such dividends if and when such Equity Grant is vested or no longer subject to forfeiture, as applicable.

 

The specific terms and conditions of the Equity Grants will be set forth further in the applicable award agreement evidencing the Equity Grants and will be subject to the terms of the Plan.

 

 

 

 

Expense Reimbursement. You will be entitled to reimbursement for all reasonable and necessary travel and business expenses in a timely manner according to the Company policy.

 

Benefits. You will continue to be eligible to participate in Safeguard’s health, dental, vision, disability, 401(k), and other benefit plans including fringe benefits generally available to Safeguard executive employees from time to time. And, you will continue to be entitled to accrue vacation at the annual rate of three weeks of vacation per calendar year.

 

Severance Benefits. In the event Safeguard terminates your employment without “Cause” (as defined below) or you resign for Good Reason (as defined below), Safeguard will provide you the following benefits that will be the only severance benefits or other payments in respect of your employment with Safeguard to which you will be entitled. Without limiting the generality of the foregoing, these benefits are in respect of all salary and other rights that you may have against Safeguard or its affiliates.

 

If you are terminated without Cause or resign for Good Reason:

 

	 	
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			You will be paid an amount equivalent to the remainder of your Base Salary that would have been paid to you during the Term, less applicable tax deductions and withholdings. This severance amount will be paid in a lump sum within 10 days of the termination date.

			

	 	
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			The Company will pay the cost of COBRA continuation coverage with respect to medical insurance, less such co-payment amount payable by you under the terms of the Company’s medical insurance program as in effect on the date of your termination, for the balance of the Term.

			

	 	
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			All remaining unvested shares of your Equity Grants shall accelerate and become fully vested as of the termination date.

			

 

All severance-related compensation and benefits described above will be contingent on your execution of a release, in form acceptable to Safeguard in its sole discretion, which is not subsequently rescinded, of all claims against Safeguard pursuant to Safeguard’s standard employee form. You will have 21 days following your termination of employment in which to consider the release although you may execute it sooner.

 

In this letter agreement, the term “Cause” means (a) your willful failure to abide by the reasonable work-related instructions and requests of the Board of Directors during your employment and/or your failure to adhere to any written Safeguard policy in effect from time to time if you have been given a reasonable opportunity to comply with such policy or cure your failure to comply (which reasonable opportunity must be granted during the 10-day period preceding termination of this letter agreement); (b) your appropriation (or attempted appropriation) of a material business opportunity of Safeguard, including attempting to secure or securing any personal profit in connection with any transaction entered into on behalf of Safeguard; (c) your misappropriation (or attempted misappropriation) of any of Safeguard’s funds or property; or (d) your conviction of, indictment for (or its procedural equivalent), or your entering of a guilty plea or plea of no contest with respect to, a felony, the equivalent thereof, or any other crime with respect to which imprisonment is a possible punishment.

 

In this letter agreement, the term “Good Reason” shall mean the occurrence of one or more of the following, without your consent: (i) material diminution of your authority, duties or responsibilities; (ii) a diminution in your Base Salary; or (iii) any action or inaction that constitutes a material breach by Safeguard of a material provision of this letter agreement; provided, that you must provide written notice of termination for Good Reason to Safeguard within 30 days after the event constituting Good Reason first occurs, Safeguard shall have a period of 30 days in which it may correct the act or failure to act that constitutes the grounds for Good Reason and if Safeguard does not correct the act or failure to act, you must terminate your employment for Good Reason within 30 days after the end of the cure period, in order for the termination to be considered a Good Reason termination.

 

Terms of Employment, Agreements. Subject to the terms of this letter agreement, you will be an employee-at-will and subject to the arrangements described in Safeguard’s employee handbook as modified from time to time. In addition, this offer is subject to your continued compliance with the various covenants designed to protect Safeguard’s confidential information and employee and customer relationships. These provisions are contained in the Confidentiality & Intellectual Property Assignment Agreement you previously executed.

 

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Indemnification and D&O Insurance. Safeguard will indemnify you and hold you harmless in connection with your duties to the fullest extent provided by Safeguard’s bylaws and applicable law and will cover you under directors’ and officers’ liability insurance in accordance with its terms both during and, while potential liability exists, after the Term in the same amount and to the same extent as the Company covers its other officers and directors.

 

Miscellaneous. This letter agreement and the other agreements referred to herein contain the entire agreement between the parties hereto and supersede any and all prior agreements and understandings concerning your employment by Safeguard. This letter agreement shall not be altered or otherwise amended, except pursuant to an instrument in writing signed by each of the parties hereto. In the event that any provision of this letter agreement is determined to be partially or wholly invalid, illegal or unenforceable in any jurisdiction, then such provision shall, as to such jurisdiction, be modified or restricted to the extent necessary to make such provision valid, binding and enforceable, or if such provision cannot be modified or restricted, then such provision shall, as to such jurisdiction, be deemed to be excised from this letter agreement. This letter agreement will bind the heirs, personal representatives, successors and assigns of both you and Safeguard, and inure to the benefit of both you and Safeguard, and to your heirs, successors and assigns, except that the duties and responsibilities of you are of a personal nature and shall not be assignable or delegable in whole or in part by you. This letter agreement may be executed in any number of counterparts, and each such counterpart shall be deemed to be an original instrument, but all such counterparts together shall constitute but one agreement. This letter agreement shall be governed by and construed and enforced in accordance with the laws of the Commonwealth of Pennsylvania applicable to contracts made and performed wholly therein without regard to rules governing conflicts of law.

 

Compliance with Section 409A of the Code.

 

Compliance. This letter agreement will be interpreted to avoid any penalty sanctions under Section 409A of the Code. If any payment or benefit cannot be provided or made at the time specified herein without incurring sanctions under Section 409A, then such benefit or payment will be provided in full at the earliest time thereafter when such sanctions will not be imposed. For purposes of Section 409A of the Code, all payments to be made upon a termination of employment under this letter agreement may only be made upon a “separation from service” within the meaning of such term under Section 409A of the Code, each payment made under this letter agreement will be treated as a separate payment and the right to a series of installment payments under this letter agreement is to be treated as a right to a series of separate payments. In no event will you, directly or indirectly, designate the calendar year of any payments to be made to you under this letter agreement. All reimbursements and in-kind benefits provided under this letter agreement will be made or provided in accordance with the requirements of Section 409A, including, where applicable, the requirement that (i) any reimbursement is for expenses incurred during your lifetime (or during a shorter period of time specified in this letter agreement), (ii) the amount of expenses eligible for reimbursement, or in-kind benefits provided, during a calendar year may not affect the expenses eligible for reimbursement, or in-kind benefits to be provided, in any other calendar year, (iii) the reimbursement of an eligible expense will be made on or before the last day of the calendar year following the year in which the expense is incurred, and (iv) the right to reimbursement or in-kind benefits is not subject to liquidation or exchange for another benefit.

 

Payment Delay. Notwithstanding any provision in this letter agreement to the contrary, if at the time of your separation from service with Safeguard, Safeguard has securities which are publicly traded on an established securities market and you are a “specified employee” (as defined in Section 409A of the Code) and it is necessary to postpone the commencement of any severance payments otherwise payable pursuant to this letter agreement as a result of such termination of employment to prevent any accelerated or additional tax under Section 409A of the Code, then Safeguard will postpone the commencement of the payment of any such payments or benefits hereunder (without any reduction in such payments or benefits ultimately paid or provided to you) that are not otherwise paid within the short-term deferral exception under Section 409A of the Code and are in excess of the lesser of two times your then-annual compensation or (ii) the limit on compensation then set forth in Section 401(a)(17) of the code, until the first payroll date that occurs after the date that is six months following the your “separation from service” with Safeguard (as defined under Section 409A of the Code). If any payments are postponed due to such requirements, such postponed amounts will be paid in a lump sum to you on the first payroll date that occurs after the date that is six months following your “separation from service” with Safeguard. If you die during the postponement period prior to the payment of the postponed amount, the amounts withheld on account of Section 409A of the Code will be paid to the personal representative of your estate within 60 days after the date of your death.

 

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We trust you will continue to enjoy the challenges and opportunities of working in a dynamic environment, and look forward to a mutually rewarding association.  If these terms are agreeable, please signify your acceptance below. If there are any other questions, please do not hesitate to contact me.

 

Sincerely,

 

/s/ Robert J. Rosenthal

 

Robert J. Rosenthal

 

 

	Agreed and accepted:	/s/ Eric Salzman	 	12/21/21
	 	Name: Eric Salzman	 	Date

 

4EX-4.1

 Exhibit 4.1 

AKUMIN INC. 
 AMENDED AND
RESTATED BY-LAW NO. 1 
 ARTICLE 1 

INTERPRETATION 
 Section 1.1
    Definitions. 
 As used in this by-law, the following terms have the following meanings: 

“Act” means the Business Corporations Act (Ontario) and the regulations under the Act, all as amended, re-enacted or
replaced from time to time. 
 “Authorized Signatory” has the meaning specified in Section 2.2.

 “Corporation” means Akumin Inc., a corporation amalgamated under the Act. 

“person” means a natural person, partnership, limited partnership, limited liability partnership, corporation, limited
liability company, unlimited liability company, joint stock company, trust, unincorporated association, joint venture or other entity or governmental or regulatory entity, and pronouns have a similarly extended meaning. 

“recorded address” means (i) in the case of a shareholder or other securityholder, the shareholder’s or
securityholder’s latest address as shown in the records of the Corporation, (ii) in the case of joint shareholders or other joint securityholders, the address appearing in the records of the Corporation in respect of the joint holding or,
if there is more than one address in respect of the joint holding, the first address that appears, and (iii) in the case of a director, officer or auditor, the person’s latest address as shown in the records of the Corporation or, if
applicable, the last notice filed with the Director under the Act, whichever is the most recent. 
 “show of hands” means,
in connection with a meeting, a show of hands by persons present at the meeting, the functional equivalent of a show of hands by telephonic or electronic means and any combination of such methods. 

Terms used in this by-law that are defined in the Act have the meanings given to such terms in the Act. 

Section 1.2    Interpretation. 

The division of this by-law into Articles, Sections and other subdivisions and the insertion of headings are for convenient reference only and
do not affect its interpretation. Words importing the singular number include the plural and vice versa. Any reference in this by-law to gender includes all genders. In this by-law the words “including”, “includes” and
“include” means “including (or includes or include) without limitation”. 

 Section 1.3    Subject to Act and Articles. 

This by-law is subject to, and should be read in conjunction with, the Act and the articles. If there is any conflict or inconsistency between
any provision of the Act or the articles and any provision of this by-law, the provision of the Act or the articles will govern. 

Section 1.4    Conflict with Unanimous Shareholder Agreement. 

If there is any conflict or inconsistency between any provision of a unanimous shareholder agreement and any provision of this by-law, the
provision of such unanimous shareholder agreement will govern. 
 ARTICLE 2 

BUSINESS OF THE CORPORATION 

Section 2.1    Financial Year. 

The financial year of the Corporation ends on such date of each year as the directors determine from time to time. 

Section 2.2    Execution of Instruments and Voting Rights. 

Contracts, documents and instruments may be signed on behalf of the Corporation, either manually or by facsimile or by electronic means,
(i) by any one director or officer or (ii) by any other person authorized by the directors from time to time (each Person referred to in (i) and (ii) is an “Authorized Signatory”). Voting rights for securities held by the
Corporation may be exercised on behalf of the Corporation by any one Authorized Signatory. In addition, the directors may, from time to time, authorize any person or persons (i) to sign contracts, documents and instruments generally on behalf
of the Corporation or to sign specific contracts, documents or instruments on behalf of the Corporation and (ii) to exercise voting rights for securities held by the Corporation generally or to exercise voting rights for specific securities
held by the Corporation. Any Authorized Signatory, or other person authorized to sign any contract, document or instrument on behalf of the Corporation, may affix the corporate seal, if any, to any contract, document or instrument when required.

 As used in this Section, the phrase “contracts, documents and instruments” means any and all kinds of contracts, documents and
instruments in written or electronic form, including cheques, drafts, orders, guarantees, notes, acceptances and bills of exchange, deeds, mortgages, hypothecs, charges, conveyances, transfers, assignments, powers of attorney, agreements, proxies,
releases, receipts, discharges and certificates and all other paper writings or electronic writings. 
 Section 2.3    Banking
Arrangements. 
 The banking and borrowing business of the Corporation or any part of it may be transacted with such banks, trust
companies or other firms or corporations as the directors determine from time to time. All such banking and borrowing business or any part of it may be transacted on the Corporation’s behalf under the agreements, instructions and delegations,
and by the one or more officers and other persons, that the directors authorize from time to time. This paragraph does not limit in any way the authority granted under Section 2.2. 

  
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 ARTICLE 3 

DIRECTORS 
 Section 3.1
    Place of Meetings. 
 Meetings of directors may be held at any place in or outside Canada. 

Section 3.2     Calling of Meetings. 

The chair of the board, the president, the chief executive officer or any one or more directors may call a meeting of the directors at any
time. Meetings of directors will be held at the time and place as the person(s) calling the meeting determine. 

Section 3.3    Regular Meetings. 

The directors may establish regular meetings of directors. Any resolution establishing such meetings will specify the dates, times and places
of the regular meetings and will be sent to each director. 
 Section 3.4     Notice of Meeting. 

Subject to this Section, notice of the time and place of each meeting of directors will be given to each director not less than 24 hours before
the time of the meeting. No notice of meeting is required for any regularly scheduled meeting except where the Act requires the notice to specify the purpose of, or the business to be transacted at, the meeting. Provided a quorum of directors is
present, a meeting of directors may be held, without notice, immediately following the annual meeting of shareholders. 
 The accidental
omission to give notice of any meeting of directors to, or the non-receipt of any notice by, any person, or any error in any notice not affecting the substance of the notice, does not invalidate any resolution passed or any action taken at the
meeting. 
 Section 3.5     Waiver of Notice. 

A director may waive notice of a meeting of directors, any irregularity in a notice of meeting of directors or any irregularity in a meeting of
directors. Such waiver may be given in any manner and may be given at any time either before or after the meeting to which the waiver relates. Waiver of any notice of a meeting of directors cures any irregularity in the notice, any default in the
giving of the notice and any default in the timeliness of the notice. 
 Section 3.6    Quorum. 

A majority of the number of directors in office or such greater or lesser number as the directors may determine from time to time, constitutes
a quorum at any meeting of the directors. A quorum may not be less than two-fifths of the number of directors or minimum number of directors, as the case may be. Where the Corporation has fewer than three directors, all directors must be present at
any meeting of directors to constitute a quorum. Notwithstanding any vacancy among the directors, a quorum of directors may exercise all the powe1s of the directors. 

  
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 Section 3.7    Meeting by Telephonic, Electronic or Other Communication
Facility. 
 If all the directors of the Corporation present at or participating in a meeting of directors consent, a director may
participate in such meeting by means of a telephonic, electronic or other communication facility. A director participating in a meeting by such means is deemed to be present at the meeting. Any consent is effective whether given before or after the
meeting to which it relates and may be given with respect to all meetings of the directors. 
 Section 3.8    Chair. 

The chair of any meeting of directors is the first mentioned of the following officers that is a director and is present at the meeting: 

(a)    the chair of the board; or 

(b)    the president. 
 If no
such person is present at the meeting, the directors present shall choose one of their number to chair the meeting. 

Section 3.9    Secretary. 

The corporate secretary, if any, will act as secretary at meetings of directors. If a corporate secretary has not been appointed or the
corporate secretary is absent, the chair of the meeting will appoint a person, who need not be a director, to act as secretary of the meeting. 

Section 3.10    Votes to Govern. 

At all meetings of directors, every question shall be decided by a majority of the votes cast. In case of an equality of votes, the chair of
the meeting is not entitled to a second or casting vote. 
 Section 3.11    Remuneration and Expenses. 

The directors may determine from time to time the remuneration, if any, to be paid to a director for his or her services as a director. The
directors are also entitled to be reimbursed for travelling and other out-of-pocket expenses properly incurred by them in attending directors meetings, committee meetings and shareholders meetings and in the performance of other duties of directors
of the Corporation. The directors may also award additional remuneration to any director undertaking special services on the Corporation’s behalf beyond the services ordinarily required of a director by the Corporation. 

A director may be employed by or provide services to the Corporation otherwise than as a director. Such a director may receive remuneration
for such employment or services in addition to any remuneration paid to the director for his or her services as a director. 

  
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 ARTICLE 4 

COMMITTEES 

Section 4.1    Committees of Directors. 

The directors may appoint from their number one or more committees and delegate to such committees any of the powers of the directors except
those powers that, under the Act, a committee of directors has no authority to exercise. 
 Section 4.2    Proceedings. 

Meetings of committees of directors may be held at any place in or outside Canada. At all meetings of committees, every question shall be
decided by a majority of the votes cast on the question. Unless otherwise determined by the directors, each committee of directors may make, amend or repeal rules and procedures to regulate its meetings including: (i) fixing its quorum,
provided that quorum may not be less than a majority of its members; (ii) procedures for calling meetings; (iii) requirements for providing notice of meetings; (iv) selecting a chair for a meeting; and (v) determining whether the
chair will have a deciding vote in the event there is an equality of votes cast on a question. 
 Subject to a committee of directors
establishing rules and procedures to regulate its meetings, Section 3.1 to Section 3.10 inclusive apply to committees of directors, with such changes as are necessary. 

ARTICLE 5 
 OFFICERS

 Section 5.1    Appointment of Officers. 

The directors may appoint such officers of the Corporation as they deem appropriate from time to time. The officers may include any of a chair
of the board, a president, a chief executive officer, one or more vice-presidents, a chief financial officer, a corporate secretary and a treasurer and one or more assistants to any of the appointed officers. No person may be the chair of the board
unless that person is a director. 
 Section 5.2    Powers and Duties. 

Unless the directors determine otherwise, an officer has all powers and authority that are incident to his or her office. An officer will have
such other powers, authority, functions and duties that are prescribed or delegated, from time to time, by the directors. The directors may, from time to time, vary, add to or limit the powers and duties of any officer. 

Section 5.3    Chair of the Board. 

If appointed, the chair of the board will preside at directors meetings and shareholders meetings in accordance with
Section 3.8 and Section 7.9, respectively. The chair of the board will have such other powers and duties as the directors determine. 

  
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 Section 5.4    President. 

If appointed, the president of the Corporation will have general powers and duties of supervision of the business and affairs of the
Corporation. The president will have such other powers and duties as the directors determine. Subject to Section 3.9 and Section 7.9, during the absence or disability of the corporate secretary or
the treasurer, or if no corporate secretary or treasurer has been appointed, the president will also have the powers and duties of the office of corporate secretary and treasurer, as the case may be. 

Section 5.5     Corporate Secretary. 

If appointed, the corporate secretary will have the following powers and duties: (i) the corporate secretary will give or cause to be
given, as and when instructed, notices required to be given to shareholders, directors, officers, auditors and members of committees of directors; (ii) the corporate secretary may attend at and be the secretary of meetings of directors,
shareholders, and committees of directors and will have the minutes of all proceedings at such meetings entered in the books and records kept for that purpose; and (iii) the corporate secretary will be the custodian of any corporate seal of the
Corporation and the books, papers, records, documents, and instruments belonging to the Corporation, except when another officer or agent has been appointed for that purpose. The corporate secretary will have such other powers and duties as the
directors or the president of the Corporation determine. 
 Section 5.6     Treasurer. 

If appointed, the treasurer of the Corporation will have the following powers and duties: (i) the treasurer will ensure that the
Corporation prepares and maintains adequate accounting records in compliance with the Act; (ii) the treasurer will also be responsible for the deposit of money, the safekeeping of securities and the disbursement of the funds of the Corporation;
and (iii) at the request of the directors, the treasurer will render an account of the Corporation’s financial transactions and of the financial position of the Corporation. The treasurer will have such other powers and duties as the
directors or the president of the Corporation determine. 
 Section 5.7     Removal of Officers. 

The directors may remove an officer from office at any time, with or without cause. Such removal is without prejudice to the officer’s
rights under any employment contract with the Corporation. 
 ARTICLE 6 

PROTECTION OF DIRECTORS, OFFICERS, AND OTHERS 

Section 6.1    Limitation of Liability. 

Subject to the Act and other applicable law, no director or officer is liable for: 

(i) the acts, omissions, receipts, failures, neglects or defaults of any other director, officer or employee; (ii) joining in any receipt or other act
for conformity; (iii) any loss, damage or expense happening to the Corporation through the insufficiency or deficiency of title to any property acquired for or on behalf of the Corporation; (iv) the insufficiency or deficiency of any
security in 

  
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or upon which any of the monies of the Corporation shall be invested; (v) any loss or damage arising from the bankruptcy, insolvency or tortious acts of any person with whom any of the
monies, securities or effects of the Corporation shall be deposited; or (vi) any loss occasioned by any error of judgment or oversight on his part, or for any other loss, damage or misfortune whatever which shall happen in the execution of the
duties of his office or in relation to his office. 
 Section 6.2      Indemnity. 

The Corporation will indemnify to the fullest extent permitted by the Act (i) any director or officer of the Corporation, (ii) any
former director or officer of the Corporation, (iii) any individual who acts or acted at the Corporation’s request as a director or officer, or in a similar capacity, of another entity. The Corporation is authorized to execute agreements
in favour of any of the foregoing persons evidencing the terms of the indemnity. Nothing in this by-law limits the right of any person entitled to indemnity to claim indemnity apart from the provisions of this by-law. 

Section 6.3      Insurance. 

The Corporation may purchase and maintain insurance for the benefit of any person referred to in Section 6.2 against
such liabilities and in such amounts as the directors may determine and as are permitted by the Act. 
 ARTICLE 7 

SHAREHOLDERS 

Section 7.1     Calling Annual and Special Meetings. 

The board of directors (by way of a resolution passed at a meeting where there is a quorum of directors or by way of written resolution signed
by all directors) have the power to call annual meetings of shareholders and special meetings of shareholders. The chair of the board or the president may also call meetings of shareholders provided that the business to be transacted at such meeting
has been approved by the board. Annual meetings of shareholders and special meetings of shareholders will be held on the date and at the time and place in or outside Ontario as the person(s) calling the meeting determine. 

Section 7.2     Electronic Meetings. 

Meetings of shareholders may be held by telephonic or electronic means. A shareholder who, through those means, votes at the meeting or
establishes a communications link to the meeting is deemed for the purposes of the Act to be present at the meeting. The directors may establish procedures regarding the holding of meetings of shareholders by such means. 

Section 7.3     Notice of Meetings. 

If the Corporation is not an offering corporation, the time period to provide notice of the time and place of a meeting of shareholders is not
less than ten (10) days and not more than fifty (50) days before the meeting. 

  
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 The accidental omission to give notice of any meeting of shareholders to, or the non-receipt
of any notice by, any person, or any error in any notice not affecting the substance of the notice, does not invalidate any resolution passed or any action taken at the meeting. 

Section 7.4     Waiver of Notice. 

A shareholder, a proxyholder, a director or the auditor and any other person entitled to attend a meeting of shareholders may waive notice of a
meeting of shareholders, any irregularity in a notice of meeting of shareholders or any irregularity in a meeting of shareholders. Such waiver may be waived in any manner and may be given at any time either before or after the meeting to which the
waiver relates. Waiver of any notice of a meeting of shareholders cures any irregularity in the notice, any default in the giving of the notice and any default in the timeliness of the notice. 

Section 7.5     Representatives. 

A representative of a shareholder that is a body corporate or an association will be recognized if (i) a certified copy of the resolution
of the directors or governing body of the body corporate or association, or a certified copy of an extract from the by-laws of the body corporate or association, authorizing the representative to represent the body corporate or association is
deposited with the Corporation, or (ii) the authorization of the representative is established in another manner that is satisfactory to the corporate secretary or the chair of the meeting. 

Section 7.6     Persons Entitled to be Present. 

The only persons entitled to be present at a meeting of shareholders are those persons entitled to vote at the meeting, the directors, the
officers, the auditor of the Corporation and others who, although not entitled to vote, are entitled or required under any provision of the Act or the articles or by-laws to be present at the meeting. Any other person may be admitted with th e
consent of the chair of the meeting or the persons present who are entitled to vote at the meeting. 
 Section 7.7     Quorum.

 A quorum of shareholders is present at a meeting of shareholders if two persons who are, or who represent by proxy, shareholders who,
in the aggregate, hold at least 33 -1/3% of the issued shares entitled to be voted at the meeting. 
 Section 7.8     Proxies.

 A proxy shall comply with the applicable requirements of the Act and other applicable law and will be in such form as the directors
may approve from time to time or such other form as may be acceptable to the chair of the meeting at which the instrument of proxy is to be used. A proxy will be acted on only if it is deposited with the Corporation or its agent prior to the time
specified in the notice calling the meeting at which the proxy is to be used or it is deposited with the corporate secretary or the chair of the meeting or any adjournment of the meeting prior to the time of voting. 

  
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 Section 7.9    Chair, Secretary and Scrutineers. 

The chair of any meeting of shareholders is the first mentioned of the following officers that is present at the meeting: 

 

	 	(a)	 the chair of the board; 

 

	 	(b)	 the president; or 

  

	 	(c)	 a vice-president (in order of corporate seniority). 

If no such person is present at the meeting, the persons present who are entitled to vote shall choose a director who is present, or a
shareholder who is present, to chair the meeting. 
 The corporate secretary, if any, will act as secretary at. meetings of shareholders. If
a corporate secretary has not been appointed or the corporate secretary is absent, the chair of the meeting will appoint a person, who need not be a shareholder, to act as secretary of the meeting. 

If desired, the chair of the meeting may appoint one or more persons, who need not be shareholders, to act as scrutineers at any meeting of
shareholders. 
 Section 7.10    Procedure. 

The chair of a meeting of shareholders will conduct the meeting and determine the procedure to be followed at the meeting. The chair’s
decision on all matters or things, including any questions regarding the validity or invalidity of a form of proxy or other instrument appointing a proxy, is conclusive and binding upon the meeting of shareholders. 

Section 7.11    Manner of Voting. 

Subject to the Act and other applicable law, any question at a meeting of shareholders shall be decided by a show of hands, unless a ballot on
the question is required or demanded. Subject to the Act and other applicable law, the chair of the meeting may require a ballot or any person who is present and entitled to vote may demand a ballot on any question at a meeting of shareholders. The
requirement or demand for a ballot may be made either before or after any vote on the question by a show of hands. A ballot will be taken in the manner the chair of the meeting directs. A requirement or demand for a ballot may be withdrawn at any
time prior to the taking of the ballot. The result of such ballot shall be the decision of the shareholders upon the question. 
 In the
case of a vote by a show of hands, each person present who is entitled to vote has one vote. If a ballot is taken, each person present who is entitled to vote is entitled to the number of votes that are attached to the shares which such person is
entitled to vote at the meeting. 
 Section 7.12    Votes to Govern. 

Any question at a meeting of shareholders shall be decided by a majority of the votes cast on the question unless the articles, the by-laws,
the Act or other applicable law requires otherwise. In case of an equality of votes either when the vote is by a show of hands or when the vote is by a ballot, the chair of the meeting is not entitled to a second or casting vote. 

  
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 Section 7.13    Adjournment. 

The chair of any meeting of shareholders may, with the consent of the persons present who are entitled to vote at the meeting, adjourn the
meeting from time to time and place to place, subject to such    conditions as such persons may decide. Any adjourned meeting is duly constituted if held in accordance with the terms of the adjournment and a quorum is present at
the adjourned meeting. Any business may be considered and transacted at any     adjourned meeting which might have been considered and transacted at the original meeting of shareholders. 

ARTICLE 8 
 SECURITIES

 Section 8.1    Form of Security Certificates. 

Subject to the Act, security certificates, if required, will be in the form that the directors approve from time to time or that the
Corporation adopts. 
 Section 8.2    Transfer of Shares. 

No transfer of a security issued by the Corporation will be registered except upon (i) presentation of the security certificate
representing the security with an endorsement which complies with the Act, together with such reasonable assurance that the endorsement is genuine and effective as the directors may require, (ii) payment of all applicable taxes and fees and
(iii) compliance with the articles of the Corporation. If no security certificate has been issued by the Corporation in respect of a security issued by the Corporation, clause (i) above may be satisfied by presentation of a duly executed
security transfer power, together with such reasonable assurance that the security transfer power is genuine and effective as the directors may require. 

Section 8.3     Lien for Indebtedness. 

If the articles provide that the Corporation has a lien on shares registered in the name of a shareholder or the shareholder’s personal
representative for a debt of that shareholder to the Corporation, such lien may be enforce, subject to applicable law, as follows: 
  

	 	(a)	 where such shares are redeemable pursuant to the articles, by redeeming such shares and applying the redemption
price to the debt; 

  

	 	(b)	 by purchasing such shares for cancellation for a price equal to the fair value of such shares, as determined by
the directors, and applying the proceeds to the debt; 

  

	 	(c)	 by selling such shares to any third party whether or not such party is at arm’s length to the Corporation
for the best price which the directors in their sole discretion consider to be obtainable for such shares and applying the proceeds to the debt; 

  
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	 	(d)	 by refusing to permit the registration of a transfer of such shares until the debt is paid; and

  

	 	(e)	 by any other means permitted by law. 

ARTICLE 9 
 PAYMENTS

 Section 9.1     Payments of Dividends and Other Distributions. 

Any dividend or other distribution payable in cash to shareholders will be paid by cheque or by electronic means or by such other method as the
directors may determine. The payment will be made to or to the order of each registered holder of shares in respect of which the payment is to be made. Cheques will be sent to the registered holder’s recorded address, unless the holder
otherwise directs. In the case of joint holders, the payment will be made to the order of all such joint holders and, if applicable, sent to them at their recorded address, unless such joint holders otherwise direct. The sending of the cheque or the
sending of the payment by electronic means or the sending of the payment by a method determined by the directors in an amount equal to the dividend or other distribution to be paid less any tax that the Corporation is required to withhold will
satisfy and discharge the liability for the payment, unless payment is not made upon presentation, if applicable. 

Section 9.2    Non-Receipt of Payment. 

In the event of non-receipt of any payment made as contemplated by Section 9.1 by the person to whom it is sent, the
Corporation may issue re-payment to such person for a like amount. The directors may determine, whether generally or in any particular case, the terms on which any re-payment may be made, including terms as to indemnity, reimbursement of expenses,
and evidence of non-receipt and of title. 
 Section 9.3     Unclaimed Dividends. 

To the extent permitted by law, any dividend or other distribution that remains unclaimed after a period of 2 years from the date on which the
dividend has been declared to be payable is forfeited and will revert to the Corporation. 
 ARTICLE 10 

MISCELLANEOUS 

Section 10.1   Notices. 

Any notice, communication or document required to be given, delivered or sent by the Corporation to any director, officer, shareholder or
auditor is sufficiently given, delivered or sent if delivered personally, or if delivered to the person’s recorded address, or if mailed to the person at the person’s recorded address by prepaid mail, or if otherwise communicated by
electronic means permitted by the Act. The directors may establish procedures to give, deliver or send a notice, communication or document to any director, officer, shareholder or auditor by any means of communication permitted by the Act or other
applicable law. In addition, any notice, communication or document may be delivered by the Corporation in the form of an electronic document. 

  
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 Section 10.2    Notice to Joint Holders. 

If two or more persons are registered as joint holders of any security, any notice may be addressed to all such joint holders but notice
addressed to one of them constitutes sufficient notice to all of them. 
 Section 10.3    Computation of Time. 

In computing the date when notice must be given when a specified number of days’ notice of any meeting or other event is required, the
date of giving the notice is excluded and the date of the meeting or other event is included. 
 Section 10.4    Persons
Entitled by Death or Operation of Law. 
 Every person who, by operation of law, transfer, death of a securityholder or any other means
whatsoever, becomes entitled to any security, is bound by every notice in respect of such security which has been given to the securityholder from whom the person derives title to such security. Such notices may have been given before or after the
happening of the event upon which they became entitled to the security. 
 ARTICLE 11 

EFFECTIVE DATE 

Section 11.1    Effective Date. 

This by-law comes into force when made by the directors in accordance with the Act. 

This by-law was made by resolution of the directors on March 29, 2021. 

 

	
	 

  

	Mohammad Saleem, Secretary

 This by-law was confirmed by ordinary resolution of the shareholders on May 13, 2021. 

 

	
	 

  

	Mohammad Saleem, Secretary

  
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 BY-LAW NO. 2 

ADVANCE NOTICE BY-LAW 

Article 1 
 NOMINATION OF
DIRECTORS 
 Section 1.1 Subject only to the Business Corporations Act (Ontario) (the “Act”),
applicable securities laws and the articles of the Corporation, only persons who are nominated in accordance with the procedures set out in this Section 1.1 shall be eligible for election as directors to the board of directors (the
“Board”) of the Corporation. Nominations of persons for election to the Board may only be made at an annual meeting of shareholders, or at a special meeting of shareholders called for any purpose at which the election of directors
is a matter specified in the notice of meeting, as follows: 
  

	 	(a)	 by or at the direction of the Board or an authorized officer of the Corporation, including pursuant to a notice
of meeting; 

  

	 	(b)	 by or at the direction or request of one or more shareholders pursuant to a proposal made in accordance with
the provisions of Act or a requisition of shareholders made in accordance with the provisions of the Act; or 

  

	 	(c)	 by any person entitled to vote at such meeting (a “ Nominating Shareholder”), who:
(A) is, at the close of business on the date of giving notice provided for in Section 1.3 below and on the record date for notice of such meeting, either entered in the securities register of the Corporation as a holder of one or more
shares carrying the right to vote at such meeting or who beneficially owns shares that are entitled to be voted at such meeting; and (B) has given Timely Notice (as defined below) in proper written form as set forth in this Article 1.

 Section 1.2 For the avoidance of doubt, the foregoing Section 1.1 shall be the exclusive means for any
person to bring nominations for election to the Board before any annual or special meeting of shareholders of the Corporation. 

Section 1.3 In addition to any other applicable requirement, for a nomination made by a Nominating Shareholder to be timely notice
(a “Timely Notice”), the Nominating Shareholder’s notice must be received by the Corporate Secretary of the Corporation at the principal executive offices of the Corporation: 

 

	 	(a)	 in the case of an annual meeting of shareholders (including an annual and special meeting), not later than the
close of business on the 60th day; provided, however, if the date (the “Notice Date”) on which the first public announcement made by the Corporation of the date of the annual meeting is less than 50 days prior to the meeting date,
not later than the close of business on the 10th day following the Notice Date; 

  

	 	(b)	 in the case of a special meeting (which is not also an annual meeting) of shareholders called for any purpose
which includes the election of directors to the Board, not later than the close of business on the 15th day following the day on which the first public announcement of the date of the special meeting is made by the Corporation;

 provided that, in either instance, if notice-and-access (as defined in National Instrument
54-101 – Communication with Beneficial Owners of Securities of a Reporting Issuer) is used for delivery of proxy related materials in respect of a meeting described in Section 1.3(a) or
(b) above, and the Notice Date in respect of 

 
the meeting is not less than fifty (50) days prior to the date of the applicable meeting, the notice must be received not later than the close of business on the fortieth (40th) day before
the applicable meeting (but in any event, not prior to the Notice Date); provided, however, that in the event that the meeting is to be held on a date that is less than 50 days after the Notice Date, notice by the Nominating Shareholder shall be
made, in the case of an annual meeting of shareholders, not later than the close of business on the 10 th day following the Notice Date and, in the case of a special meeting of shareholders, not later than the close of business on the 15th day
following the Notice Date. 
 Section 1.4 To be in proper written form, a Nominating Shareholder’s notice to the Corporate
Secretary must comply with this Section and disclose or include, as applicable: 
  

	 	(a)	 as to each person whom the Nominating Shareholder proposes to nominate for election as a director (a
“Proposed Nominee”): 

  

	 	(i)	 their name, age, business and residential address; 

 

	 	(ii)	 the principal occupation, business or employment both presently and for the past five years;

  

	 	(iii)	 whether the Proposed Nominee is a “resident Canadian” within the meaning of the Act;

  

	 	(iv)	 the number of securities of each class of voting securities of the Corporation or any of its subsidiaries
beneficially owned, or controlled or directed, directly or indirectly, by the Proposed Nominee, as of the record date for the meeting of shareholders (if such date shall then have been made publicly available and shall have occurred) and as of the
date of such notice including whether or not any or all of such securities were acquired within the three (3) month period immediately prior to the date of the receipt by the Corporation of the Timely Notice; 

 

	 	(v)	 a description of any relationships, agreements, arrangements, or understandings (including financial,
compensation or indemnity related) between the Proposed Nominee or any affiliates or associates of, or any person or entity acting jointly or in concert with, the Proposed Nominee or the Nominating Shareholder, in connection with the Proposed
Nominee’s nomination and election as director; 

  

	 	(vi)	 any other information that would be required to be disclosed in a dissident proxy circular or other filings
required to be made in connection with the solicitation of proxies for election of directors pursuant to the Act or applicable securities law; 

  

	 	(vii)	 whether the Proposed Nominee is party to any existing or proposed relationship, agreement, arrangement or
understanding with any competitor of the Corporation or any other third party which would give rise to a real or perceived conflict of interest between the interests of the Corporation and those of the Proposed Nominee; and 

 

	 	(viii)	 a duly completed personal information form in respect of the Proposed Nominee in the form prescribed by the
principal stock exchange on which the securities of the Corporation are then listed for trading; and 

  
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	 	(b)	 as to each Nominating Shareholder giving the notice: (i) their name, business and residential address;

  

	 	(ii)	 the number of securities of each class of voting securities of the Corporation or any of its subsidiaries
beneficially owned, or controlled or directed, directly or indirectly, by the Nominating Shareholder or any other person with whom the Nominating Shareholder is acting jointly or in concert with respect to the Corporation or any of its securities,
as of the record date for the meeting of shareholders (if such date shall then have been made publicly available and shall have occurred) and as of the date of such notice; 

 

	 	(iii)	 their interests in, or rights or obligations associated with, any agreement, arrangement or understanding, the
purpose or effect of which is to alter, directly or indirectly, the person’s economic interest in a security of the Corporation or the person’s economic exposure to the Corporation; 

 

	 	(iv)	 any relationships, agreements or arrangements, including financial, compensation and indemnity related
relationships, agreements or arrangements, between the Nominating Shareholder or any affiliates or associates of, or any person or entity acting jointly or in concert with, the Nominating Shareholder and any Proposed Nominee; 

 

	 	(v)	 full particulars of any proxy, contract, arrangement, agreement or understanding pursuant to which such person,
or any of its affiliates or associates, or any person acting jointly or in concert with such person, has any interests, rights or obligations relating to the voting of any securities of the Corporation or the nomination of directors to the Board;

  

	 	(vi)	 a representation that the Nominating Shareholder is a holder of record of securities of the Corporation, or a
beneficial owner, entitled to vote at such meeting; 

  

	 	(vii)	 a representation as to whether such person intends to deliver a proxy circular and/or form of proxy to any
shareholder of the Corporation in connection with such nomination or otherwise solicit proxies or votes from shareholders of the Corporation in support of such nomination; and 

 

	 	(viii)	 any other information relating to such person that would be required to be included in a dissident proxy
circular or other filings required to be made in connection with solicitations of proxies for election of directors pursuant to the Act or as required by applicable securities law. 

Reference to “Nominating Shareholder” in this Section 1.4 shall be deemed to refer to each shareholder that nominated or seeks to nominate a
person for election as director in the case of a nomination proposal where more than one shareholder is involved in making the nomination proposal. 

  
 - 3 - 

 Section 1.5     If requested by the Corporation,
a Proposed Nominee shall furnish any other information as may reasonably be required by the Corporation to determine the eligibility of such Proposed Nominee to serve as a director of the Corporation or a member of any committee of the Board, with
respect to independence or any other relevant criteria for eligibility, or that could be material to a shareholder’s understanding of the independence or eligibility, or lack thereof, of such Proposed Nominee. 

Section 1.6     Any notice, or other document or information required to be given to the Corporate
Secretary pursuant to this Article 1 may only be given by personal delivery, facsimile transmission or by email (at such email address as may be stipulated from time to time by the Corporate Secretary for purposes of this notice), and shall be
deemed to have been received and made only at the time it is served by personal delivery to the Corporate Secretary at the address of the principal executive offices of the Corporation, email (at the address as aforesaid) or sent by facsimile
transmission (provided that receipt of confirmation of such transmission has been received); provided that if such delivery or electronic communication is made on a day which is a not a business day or later than 5:00 p.m. (Toronto time) on a day
which is a business day, then such delivery or electronic communication shall be deemed to have been made on the next following day that is a business day. 

Section 1.7     Additional Matters 
  

	 	(a)	 The chair of any meeting of shareholders of the Corporation shall have the power to determine whether any
proposed nomination is made in accordance with the provisions of this Article 1, and if any proposed nomination is not in compliance with such provisions, must declare that such defective nomination shall not be considered at any meeting of
shareholders. 

  

	 	(b)	 Despite any other provision of this Article 1, if the Nominating Shareholder (or a qualified representative of
the Nominating Shareholder) does not appear at the meeting of shareholders of the Corporation to present the nomination of the Proposed Nominee, such nomination shall be disregarded, notwithstanding that proxies in respect of such nomination may
have been received by the Corporation. 

  

	 	(c)	 The Board may, in its sole discretion, waive any requirement of this Article 1. 

 

	 	(d)	 For the purposes of this Article 1, “public announcement” means disclosure in a press release
disseminated by the Corporation through a national news service in Canada, or in a document filed by the Corporation for public access under its profile on the System of Electronic Document Analysis and Retrieval at www.sedar.com.

  

	 	(e)	 This Article 1 is subject to, and should be read in conjunction with, the Act and the articles. If there is any
conflict or inconsistency between any provision of the Act or the articles and any provision of this Section, the provision of the Act or the articles will govern. 

Article 2 
 ANNUAL OR
SPECIAL MEETINGS OF SHAREHOLDERS 
 Section 2.1     No business may be transacted at an annual or special
meeting of shareholders other than business that is either: (i) specified in the Corporation’s notice of meeting (or any supplement thereto) given by or at the direction of the Board, (ii) otherwise properly brought before the meeting
by or at the direction of the Board, or (iii) otherwise properly brought before the meeting by any shareholder of the Corporation who complies with the proposal procedures set forth in Section 2.2 below. 

  
 - 4 - 

 Section 2.2     For business to be properly brought before a
meeting by a shareholder of the Corporation, such shareholder must submit a proposal to the Corporation for inclusion in the Corporation’s management proxy circular in accordance with the requirements of the Act; provided that any
proposal that includes nominations for the election of directors shall also comply with the requirements of Article 1. 
 This By-law No. 2 was duly
adopted by the board of directors of the Corporation on March 29, 2018. 
  

	
	 

  

	Secretary

 This By-law No. 2 was duly approved, confirmed and ratified by the shareholders at the Annual and Special Meeting
of the Shareholders of the Corporation held on May 16, 2018. 
  

	
	 

  

	Secretary

  
 - 5 -

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