Document:

Agreement and Amendment to the Exclusive License Agreement

  

					
	
Confidential Materials omitted and filed separately with the
 Securities and Exchange Commission. Asterisks denote omissions.    
	 		  	
	 		  	  

Exhibit 10.1 
  

	 	 		  	

 SECOND AGREEMENT AND AMENDMENT TO THE EXCLUSIVE 

LICENSE AGREEMENT 
 This Second Agreement and Amendment (this “Second Amendment”) to both the Collaborative Research & License Agreement and first Agreement and Amendment to the Exclusive License Agreement
(together, the “Amended Agreement”) is dated as of the 21st day of September, 2010 (the “Second Amendment Effective Date”), by and between Icagen, Inc., a Delaware corporation with offices at 4222 Emperor Boulevard, Suite 350, Durham, North Carolina
27703 (“Icagen”), and Pfizer Inc, a Delaware corporation with offices at 235 East 42nd Street, New York, New York 10017 (“Pfizer”). 
 Capitalized terms used
but not otherwise defined herein shall have the same meaning ascribed to such terms in the Amended Agreement. 
 WHEREAS, Pfizer and Icagen entered into the Collaborative Research & License Agreement as of the 13th day of August, 2007, and subsequently entered into a first Agreement and Amendment as of the
17th day of September, 2009, pursuant to which Icagen
granted to Pfizer an exclusive license under certain patents and technology to develop and commercialize certain Compounds and Products, and the parties are engaged in the Research Program; and 

WHEREAS, the parties hereto desire to extend the Research Term and to otherwise amend the Amended Agreement as set forth herein.

 NOW, THEREFORE, in consideration of the mutual covenants contained herein, and for other good and valuable consideration, the
parties hereto, intending to be legally bound, hereby agree as follows: 
  

	 1.
	 Extension of Research Term 

  

	 1.1
	 The parties agree to extend the Research Term through the 31st day of December, 2011, and in accordance with Section 2.1 of the Amended Agreement, the Research Term is hereby
extended for fifteen (15) months, such extension term (the “Fourth Commitment Year”) commencing the
1st day of October, 2010, and continuing through the
31st day of December, 2011. 

	 1.2
	 Further to Section 4.2 of the Amended Agreement, during the Fourth Commitment Year the total Research Funding shall be five million and
seventy-five thousand US Dollars ($5,075,000) which shall be payable by Pfizer to Icagen for research and development activities to be performed by FTEs at Icagen during the Fourth Commitment Year. The amount to be paid by Pfizer to Icagen per FTE
per annum during the Fourth Commitment Year will be [**] US dollars ($[**]). Payments for FTEs will be made in advance on a quarterly basis at a level determined by the number of Icagen FTEs in each quarter performing the research and development
activities detailed in the Research Plan and where the minimum number of Icagen FTEs in any given quarter will be [**] FTEs. 

  

	 1.3
	 The parties hereby agree to negotiate in good faith and agree on the Research Plan for the Fourth Commitment Year on or before the 30th day of September, 2010. 

 

	 2.
	 Additional Amendments to the Amended Agreement 

 

	 2.1
	 Further to Section 2.8 (Collaboration Compounds) of the Amended Agreement, as previously amended, the following clause is added and
incorporated as Section 2.8(d): 

 “(d)     In the event that
Pfizer is endeavouring to meet its obligations to use Commercially Reasonable Efforts to achieve the objectives of the Research Program, the Research Plan and/or this Agreement and Pfizer identifies small molecule compounds or new chemical entity
(defined here as “NCE”) Covered by Joint Patent Rights, then any such NCE shall, for all purposes under this Agreement, be deemed to be a Joint Compound, as defined herein.” 

 

	 2.2
	 Section 1.36 of the Amended Agreement, as previously amended, is hereby further amended and restated in its entirety to read as follows:

 “1.36    “Research Compound” means an Icagen
Compound, Pfizer Compound or Joint Compound that was or is screened in the Research Program (or that is deemed to be a Compound pursuant to Section 2.3(c) or 2.8(d)), and that has activity against Research Target(s).” 

 

	 2.3
	 Further to Section 14 (Miscellaneous), the following clause is added to and incorporated into the Amended Agreement as Section 14.11:

 “The parties hereby undertake to promptly provide any and all Joint Technology that is
primarily controlled, produced or stored by one party to the other party at the reasonable request of the receiving party or in any event no later than ninety (90) days before the end of the Research Term.” 

 

	 3.
	 Press Release 

 Further to Section 6.3 of the Amended Agreement, the parties hereby agree to make a press release on the complete execution of this Second Amendment by both parties. The press release shall be
substantially as written in Appendix A of this Second Amendment. 
  

	 4.
	 Miscellaneous 

  

	 4.1
	 The parties hereby confirm and agree that, as amended hereby, the Amended Agreement, including all other terms and conditions, remains in full force
and effect and is a binding obligation of the parties hereto. 

  

	 4.2
	 This Second Amendment may be executed in any number of counterparts, each of which shall be deemed an original but all of which together shall
constitute one and the same instrument. 

 IN WITNESS WHEREOF, the parties have caused this Second Amendment
to be executed by their duly authorized representatives. 
  

									
	 ICAGEN, INC.
	 		 	 PFIZER INC

					
	 By:
	 	     /s/ Kay Wagoner
	 		 	 By:
	 	     /s/ Polly Murphy

			
	 Name: Kay Wagoner
	 		 	 Name: Polly Murphy

		 		 		 	 Title: Vice-President

	 Title: CEO
	 		 		 	

  
 Appendix A: Press
Release 
 ICAGEN ANNOUNCES SECOND RENEWAL OF PFIZER 

COLLABORATION 
 RESEARCH TRIANGLE PARK, NC, September ___, 2010 – Icagen, Inc. (NASDAQ: ICGN) today announced an additional extension through December 2011 to an existing worldwide collaboration and licensing
agreement with Pfizer aimed at discovering, developing and commercializing compounds that modify three specific sodium ion channels as new potential treatments for pain and related disorders. 

For the past three years, Icagen and Pfizer have partnered to identify compounds that target three specific sodium ion channels in a
global research and development collaboration overseen by a joint research committee. These sodium channels are important in the generation of electrical signals in nerve fibers that mediate the initiation, transmission and sensation of pain. By
selectively targeting these ion channels, the companies seek to develop effective treatments for serious pain disorders. 

During the extension period, Pfizer will continue to fund all aspects of the collaboration including research efforts at both companies
and all clinical development costs. Pfizer also will continue to have exclusive worldwide rights to commercialize products resulting from the collaboration. Under the terms of the extended agreement, Pfizer will provide approximately $5 million in
committed funding to Icagen through December 2011. Additionally, Icagen remains eligible to receive approximately $359 million in research, development, regulatory and commercialization milestones for each product. Icagen is also eligible to receive
tiered royalties, against which the commercialization milestones are creditable, based upon product sales. 
 “We are very
pleased to announce this extension of our collaboration with Pfizer,” noted P. Kay Wagoner, Ph.D., President and CEO of Icagen. “The collaboration has made substantial progress, as highlighted by the recent initiation of clinical studies
with compounds directed against Nav1.7. In addition, we continue to make progress in identifying additional compounds targeting the sodium channels that form the basis for the collaboration. Pfizer has brought tremendous resources to bear upon this
program, and we are delighted to work with such an extraordinary group of scientists as we pursue this very exciting avenue of research.” 
 Gillian Burgess, Ph.D., Chief Scientific Officer of Pfizer’s Pain Research Unit stated, “Icagen continues to be a key partner in this important area of pain research. Working together, the
Pfizer and Icagen research team continues to make advances as we jointly seek to develop a new class of pain therapeutics.” 

###Form of Voting and Support Agreement

  
 Exhibit 10.1

 VOTING AND SUPPORT AGREEMENT 

THIS AGREEMENT made as of the 8th day of November, 2010 (the “Agreement”). 

 

			
	BETWEEN:	  	(the “Shareholder”)
		
	AND:	  	QUEST SOFTWARE, INC., a corporation governed by the laws of Delaware (“Parent”)
		
	AND:	  	BOLTS ACQUISITION CORPORATION (“Acquisition Sub”)

 WHEREAS the Shareholder is the direct or indirect beneficial owner of, or has control or direction over, that number of issued and outstanding common shares (the “Common
Shares”) and/or issued and outstanding Series A Preferred Shares (the “Preferred Shares”) of BakBone Software Incorporated (the “Company”) as set forth on Schedule A attached to this
Agreement; 
 AND WHEREAS Parent, Acquisition Sub and the Company propose to enter into the Arrangement Agreement (as hereinafter
defined) providing for the arrangement involving Parent, Acquisition Sub, the Company and the securityholders of the Company pursuant to Section 192 of the Canada Business Corporations Act on and subject to the terms of the Arrangement
Agreement, the result of which shall be the acquisition of the Company by Parent or Acquisition Sub (which, together with the other transactions contemplated by the Arrangement Agreement, is collectively referred to in this Agreement as
the “Arrangement”); 
 AND WHEREAS this Agreement sets out the terms and conditions of the agreement of the
Shareholder to: (i) support the Arrangement, (ii) vote or cause to be voted all of the Subject Shares (as hereinafter defined) in favour of the Arrangement Resolution (as hereinafter defined); and (iii) comply with the
restrictions, obligations and covenants set forth in this Agreement; 
 AND WHEREAS the Shareholder acknowledges that: (i) Parent
and Acquisition Sub would not enter into the Arrangement Agreement but for the execution and delivery of this Agreement by the Shareholder; and (ii) it is a condition of Parent’s and Acquisition Sub’s obligations under the Arrangement
Agreement to consummate the Arrangement that this Agreement shall not have been terminated; 
 THIS AGREEMENT WITNESSES THAT, in
consideration of Parent and Acquisition Sub entering into the Arrangement Agreement and of the premises and the respective covenants and agreements herein contained, and for other good and valuable consideration, the receipt and sufficiency of which
are hereby acknowledged by each of the parties hereto, the parties hereto hereby covenant and agree as follows: 

  
 ARTICLE 1

 INTERPRETATION 
  

	1.1	Definitions 

 In this
Agreement: 
  

	(a)	“Acquisition Proposal” has the meaning assigned to such term in the Arrangement Agreement; 

 

	(b)	“Affiliate” of a specified Person means a Person who, directly or indirectly through one or more intermediaries, controls, is controlled by or is under
common control with such specified Person. The term “control” (including the terms “controlling,” “controlled by” and “under common control with”) means the possession, direct or indirect, of the power to
direct or cause the direction of the management and policies of a Person, whether through the ownership of voting securities, by contract, or otherwise; 

  

	(c)	“Arrangement Agreement” means the arrangement agreement dated the date hereof among Parent, Acquisition Sub and the Company, as it may be amended from
time to time in accordance with its terms; 

  

	(d)	“Arrangement Resolution” means the resolution to be considered and if thought fit, passed, by the Securityholders at the Meeting to approve the Plan of
Arrangement to be substantially in the form and content of Annex B to the Arrangement Agreement; 

  

	(e)	“Business Day” means any day on which commercial banks are generally open for business in San Diego, California, and Calgary, Alberta, other than a
Saturday or a Sunday; 

  

	(f)	“Company Options” means options to purchase Common Shares from the Company, whether granted by the Company pursuant to the 2000 Stock Option Plan, the
2002 Stock Option Plan or the BakBone Software Incorporated 2003 Equity Incentive Plan or otherwise; 

  

	(g)	“Company Shareholders” means holders of Company Shares, in their capacities as such; 

 

	(h)	“Company Shares” means, collectively, Common Shares and Preferred Shares; 

 

	(i)	“Company Warrants” means warrants to purchase Common Shares from the Company; 

 

	(j)	“Effective Date” has the meaning assigned to such term in the Arrangement Agreement; 

 

	(k)	“Entity” means any corporation (including any non-profit corporation), general partnership, limited partnership, limited liability partnership, joint
venture, estate, trust, company (including any company limited by shares, limited liability company or joint stock company), firm, society or other enterprise, association, organization or entity (including any Governmental Authority);

  
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	(l)	“Final Order” means the final order of the Court approving the Arrangement under the Canada Business Corporations Act as such order may be
affirmed, amended or modified by the Court at any time prior to the Effective Date, or, if appealed, then, unless such appeal is withdrawn, abandoned or denied, as affirmed or as amended on appeal; 

 

	(m)	“Information Circular” means the notice of the Meeting and accompanying management proxy circular, including all schedules and exhibits thereto, and
documents incorporated therein, to be sent to the Securityholders in connection with the Meeting, as the same may be amended, supplemented or otherwise modified subject to the Arrangement Agreement; 

 

	(n)	“Interim Order” means the interim order of the Court in respect of the Arrangement, as contemplated by Section 2.3 of the Arrangement Agreement,
providing for, among other things, the calling and holding of the Meeting, as such order may be amended, modified, supplemented or varied by the Court; 

  

	(o)	“Investment” has the meaning assigned to such term in Section 2.1(i); 

 

	(p)	“Legal Requirement” means all applicable laws (statutory, common or otherwise), statutes, by-laws, rules, regulations, treaties, ordinances,
conventions, orders, codes, policies, notices and directions (having the force of law) and judicial, arbitral, administrative, ministerial or departmental judgments, awards, injunctions, decrees, rulings or other requirements of any Governmental
Authority, court or other authority having jurisdiction over the applicable party; 

  

	(q)	“Meeting” means the special meeting of the Securityholders, including any adjournment, adjournments, postponement or postponements thereof, to be
called in accordance with the Interim Order to consider the Arrangement Resolution; 

  

	(r)	“Non-Arm’s Length Person” has the meaning assigned to such term in Section 2.1(i); 

 

	(s)	“Per Share Common Purchase Price” has the meaning assigned to such term in the Arrangement Agreement. 

 

	(t)	“Per Share Preferred Purchase Price” has the meaning assigned to such term in the Arrangement Agreement. 

 

	(u)	“Person” means an individual or Entity; 

  

	(v)	“Plan of Arrangement” means the plan of arrangement substantially in the form and content of Annex C to the Arrangement Agreement as amended,
varied or supplemented from time to time in accordance with the Plan of Arrangement or Section 9.1 of the Arrangement Agreement or made at the direction of the Court in the Final Order; 

 

	(w)	“Securityholders” at any time means, collectively, the Company Shareholders, holders of Company Options and holders of Company Warrants at such time;

  
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	(x)	“Subject Shares” means all the Common Shares, Preferred Shares and Company Options which the Shareholder beneficially owns, directly or indirectly, or
over which the Shareholder has control or direction, as set forth on Schedule A attached to this Agreement, together with any additional Common Shares, Preferred Shares, Company Options and any other voting securities of the Company which the
Shareholder becomes the beneficial owner, directly or indirectly, or over which the Shareholder obtains control or direction, whether by acquisition after the date of the Agreement or otherwise including, without limitation, any Common Shares issued
upon exercise of Company Options, if any; 

  

	(y)	“Subsidiary” of the Company, Parent or any other Person means an Person with respect to which such Person directly or indirectly owns, beneficially or
of record, (A) an amount of voting securities or other interests in such Person that is sufficient to enable such Person to elect at least a majority of the members of such Person’s board of directors or comparable governing body, or
(B) at least 50% of the outstanding equity interests issued by such Person; and 

  

	(z)	“Superior Proposal” has the meaning assigned to such term in the Arrangement Agreement. 

 

	1.2	Definitions in Arrangement Agreement 

 All terms used in this Agreement that are not defined in Section 1.1 or elsewhere herein and that are defined in the Arrangement Agreement shall have the respective meanings assigned to them in the
Arrangement Agreement. 
 ARTICLE 2 
 COVENANTS OF THE SHAREHOLDER 
  

	2.1	Negative Covenants 

 On
the terms and subject to the conditions of this Agreement, the Shareholder hereby covenants and agrees in favour of Parent and Acquisition Sub that, from the date hereof until the termination of this Agreement in accordance with Article 4, and
except as otherwise provided in this Agreement, the Shareholder will: 
  

	(a)	not, directly or indirectly, through any officer, director, employee, representative or agent of the Shareholder, (i) solicit, initiate, knowingly facilitate or
knowingly encourage (including by way of furnishing information or entering into any form of agreement, arrangement or understanding) the initiation of any inquiries or proposals regarding an Acquisition Proposal, (ii) participate in any
discussions or negotiations, furnishing information relating to the Company or any of its Subsidiaries or offer or provide access to the properties, assets, books or records of the Company or any of its Subsidiaries or otherwise cooperate in any way
with, any proposal or offer or any other efforts or attempts that constitute or may lead to, an Acquisition Proposal, or (iii) approve, accept or enter into any contract, understanding or arrangement in respect of an Acquisition Proposal;

  
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	(b)	immediately terminate any existing discussions, solicitations or negotiations with any Person (other than Parent and Acquisition Sub) with respect to any proposal that
constitutes, or may reasonably be expected to constitute, an Acquisition Proposal whether or not initiated by the Shareholder; 

  

	(c)	as soon as practicable and, in any event, within 24 hours following receipt thereof, notify the Company, at first orally and then in writing, of any future Acquisition
Proposal or any inquiry or proposal that could lead to an Acquisition Proposal received after the date hereof, of which any of its officers, directors, employees, representatives or agents are or become aware, or any amendments or material
correspondence with respect to the foregoing and a description of the material terms and conditions thereof (including the identity of the Person making such proposal, inquiry or request) together with a copy of all documentation relating to any
such proposed Acquisition Proposal; 

  

	(d)	not release or permit the release of any Person from or waive any confidentiality, non-solicitation or standstill agreement to which the Shareholder and any such Person
are parties; 

  

	(e)	not option, sell, transfer, gift, assign, redeem, exercise any right (other than pursuant to Section 2.2(c)) in respect of, pledge, encumber, grant a security
interest in, hypothecate or otherwise convey any of the Subject Shares, or any right or interest therein (legal or equitable), whether by actual disposition, derivative transaction or otherwise, to any Person or group or enter into any agreement,
commitment or understanding to do any of the foregoing; 

  

	(f)	except in accordance with Section 2.2, not grant or agree to grant any proxy, power of attorney or other right to vote, dispose, or exercise control or direction
over, the Subject Shares, or enter into any voting trust, vote pooling or other agreement with respect to the right to vote, call meetings of Securityholders or give consents or approval of any kind as to the Subject Shares;

  

	(g)	not vote or cause to be voted, not tender or deposit or cause to be tendered or deposited, and not exercise or cause to be exercised any rights in respect of any the
Subject Shares in connection with any Acquisition Proposal; 

  

	(h)	not do indirectly that which the Shareholder may not do directly in respect of the restrictions on the Shareholder’s rights with respect to the Subject Shares
pursuant to this Agreement, including, but not limited to, the sale of any direct or indirect holding company or trust of the Shareholder or the granting of a proxy on the Subject Shares of any direct or indirect holding company or trust of the
Shareholder which would have, indirectly, the effect prohibited by this Agreement; 

  

	(i)	 from and after the date hereof, and for a period of 24 months following the Effective Date, neither the Shareholder, or any Person with whom the
Shareholder does not deal at arm’s length within the meaning of the Income Tax Act (Canada) (the “Non-Arm’s Length Person”), nor any corporation in which the Shareholder or the Non-Arm’s Length Person is a
“specified shareholder” within the meaning of the Income Tax Act (Canada), 

  
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shall own, purchase or acquire, directly or indirectly, any shares, partnership interests, loans, indebtedness, or any other form of securities (including options to acquire any of the foregoing)
(collectively referred herein as “Investment”) in Parent, Acquisition Sub or any of their Affiliates; and 

  

	(j)	publicly announce the Shareholder’s intention to do any of the foregoing. 

 

	2.2	Support of the Arrangement 

On the terms and subject to the conditions of this Agreement, the Shareholder hereby covenants and agrees in favour of Parent and
Acquisition Sub that, from the date hereof until the termination of this Agreement in accordance with Article 4, the Shareholder will: 
  

	(a)	take all action necessary to vote or cause to be voted (and not withdraw) the Subject Shares in favour of the Arrangement Resolution at the Meeting including in
connection with any separate vote of any sub group of Securityholders that may be required to be taken including, without limitation, duly instructing any intermediaries who hold the Subject Shares to so vote the Subject Shares and, in furtherance
of the foregoing, the Shareholder will deliver no later than five Business Days prior to the date of the Meeting a duly executed proxy or a duly executed voting instruction form to the intermediary through which the Shareholder holds the
Shareholder’s beneficial interest in the Subject Shares (provided that if the Shareholder is a non objecting beneficial owner, such voting instructions shall be delivered directly to the Company), in each case with a copy to Parent and
Acquisition Sub concurrently, and directing the proxyholder or instructing the intermediary, as the case may be, that the Subject Shares be voted at the Meeting in favour of the Arrangement Resolution and any such proxy or voting instructions shall
not be revoked without the written consent of Parent and Acquisition Sub; 

  

	(b)	take all action necessary to vote or cause the Subject Shares to be voted (and not withdrawn) against any Acquisition Proposal at any meeting of Securityholders called
for the purpose of considering same including, without limitation, duly directing proxyholders or instructing any intermediaries who hold the Subject Shares on behalf of the Shareholder to so vote the Subject Shares; 

 

	(c)	 if the Arrangement Agreement is amended, or superseded by any further agreement, arrangement or understanding, such that the acquisition of control of
the Company and its Subsidiaries, or the acquisition of all or substantially all of the assets of the Company, by Parent or Acquisition Sub or any of their Affiliates is provided for by means of an alternative structure (“Alternative
Structure Transaction”), the Shareholder shall, for greater certainty during the term of this Agreement, upon Parent’s written request, use the Shareholder’s commercially reasonable efforts, at no cost to the Shareholder, to
assist Parent, Acquisition Sub and any of their Affiliates to successfully complete such transaction, including without limitation by (i) depositing the Shareholder’s Subject Shares into a take-over bid and not withdrawing them, and/or
(ii) voting or causing to be voted all of the Subject Shares in favour of, and not dissenting from, such Alternative Structure Transaction; provided, however, that the Shareholder’s obligations under this Section 2.2(c) are
conditional upon (A) the consideration per Common Share and/or 

  
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Preferred Share, as the case may be, to be received by the Shareholder under such Alternative Structure Transaction being in the same form as, and being equal to or greater than, the Per Share
Common Purchase Price and/or the Per Share Preferred Purchase Price, as the case may be, to be received by the Shareholder pursuant to the Arrangement, and (B) such Alternative Structure Transaction not having any other adverse effect on the
Shareholder, including with respect to tax consequences. 

  

	2.3	Superior Proposal 

 If a
Superior Proposal is made, the Shareholder hereby agrees, subject to the termination of this Agreement in accordance with Article 4, that it shall continue to comply with its restrictions, obligations and covenants as set forth in this
Agreement. 
  

	2.4	Fiduciary Duties of Shareholder 

 Notwithstanding any provision of this Agreement to the contrary, a Shareholder or a shareholder, officer or director of a Shareholder that is a director or officer of the Company shall not be limited or
restricted in any way whatsoever in the exercise of his or her fiduciary duties as a director or officer of the Company or any of its Subsidiaries, including without limitation, responding in his or her capacity as a director or officer of the
Company or any of its Subsidiaries to a bona fide written Acquisition Proposal and providing information to the Person making such Acquisition Proposal provided that the Company Board has determined in good faith, after receiving the advice
of its outside legal counsel and financial advisor, that such Acquisition Proposal received by the Company constitutes or could reasonably be expected to lead to a Superior Proposal and subject to compliance with the Arrangement Agreement.

 ARTICLE 3 
 REPRESENTATIONS AND WARRANTIES 
  

	3.1	Representations and Warranties of the Shareholder 

 The Shareholder hereby represents and warrants to and covenants with Parent and Acquisition Sub as follows, and acknowledges that Parent and Acquisition Sub are relying upon such representations,
warranties and covenants in entering into this Agreement: 
  

	(a)	where the Shareholder is not an individual, the Shareholder is existing and organized under the Legal Requirements of the jurisdiction pursuant to which it was formed
and organized and has the requisite power and authority to own the assets it currently owns and to conduct its business as it is now being conducted; 

  

	(b)	 the Shareholder has the requisite individual or entity power and authority to enter into this Agreement and to perform and carry out its obligations
hereunder. Where the Shareholder is not an individual, the execution and delivery of this Agreement by the Shareholder, the performance of the Shareholder’s obligations under this Agreement and the completion by the Shareholder of the
transactions contemplated hereby have been duly authorized by the board of directors/trustees of the Shareholder, and no other proceedings to be completed or consent to be obtained by the Shareholder are or will be

  
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necessary for the corporate authorization of this Agreement and the transactions contemplated hereby; 

 

	(c)	this Agreement has been duly executed and delivered by the Shareholder and, assuming the due execution and delivery of this Agreement by Parent and Acquisition Sub,
constitutes a legal, valid and binding obligation of the Shareholder enforceable against the Shareholder in accordance with its terms, except as may be limited by bankruptcy, insolvency and other Legal Requirements affecting the enforcement of
creditors’ rights generally and subject to the qualification that equitable remedies may only be granted in the discretion of a court of competent jurisdiction; 

 

	(d)	the execution and delivery of this Agreement and the completion by the Shareholder of the transactions contemplated hereby: 

 

	 	(i)	will not, where the Shareholder is not an individual, conflict with the articles, by-laws, partnership agreement, declaration of trust or other constating documents of
the Shareholder; 

  

	 	(ii)	will not conflict with, result in the breach of or constitute a default under any agreement, indenture, contract, lease, deed of trust, licence, option, instrument or
other commitment, whether written or oral, to which the Shareholder is a party or by which the Shareholder is or may be bound; and 

  

	 	(iii)	do not and will not constitute a breach of or violation of or default (or an event which with notice or lapse of time or both would become a default) under any Legal
Requirement binding upon the Shareholder; 

  

	(e)	the only securities of the Company owned directly or indirectly by or controlled by or under the direction of the Shareholder are the securities set forth on Schedule A
attached to this Agreement and, in the case of Subject Shares beneficially owned, the Shareholder is the sole beneficial owner of such securities. The number and class of such securities that are held through an intermediary are set forth on
Schedule A attached to this Agreement. The Shareholder has the exclusive right to deal with and exercise all voting rights attributable to the Subject Shares as provided in this Agreement. The Shareholder does not own, directly or indirectly, any
securities of any of the Company’s Subsidiaries; 

  

	(f)	no Person has any agreement, warrant or option or any right capable of becoming an agreement, warrant or option for the purchase of any of the Subject Shares or any
right or interest therein (legal or equitable); 

  

	(g)	none of the Subject Shares is subject to any proxy, voting trust, vote pooling or other agreement with respect to the right to vote, call meetings of Securityholders or
give consents or approvals of any kind; 

  

	(h)	 there are no claims, investigations, actions, suits or proceedings existing, pending, inchoate, or (to the knowledge of the Shareholder) threatened
against or affecting the Shareholder, whether at law or in equity or before or by, and there are no judgments, decrees, rules or orders of any Governmental Authority which adversely affect, or could

  
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reasonably be expected to adversely affect, the ability of the Shareholder to consummate the transactions contemplated hereby; 

 

	(i)	the Shareholder (i) has not made any payment or loan to, or borrowed any monies from or is otherwise indebted to, the Company or any of its Subsidiaries; or
(ii) is not a party to any agreement or understanding with the Company or any of its Subsidiaries or any officer, director or employee of the Company or any of its Subsidiaries. As part or in the context of the Arrangement, the Shareholder will
not, directly or indirectly, receive any “collateral benefit” as such term is defined in Multilateral Instrument 61-101 – Protection of Minority Shareholders in Special Transactions of the Canadian Securities
Administrators; 

  

	(j)	no sanction, ruling, consent, order, exemption, permit, declaration, filing, waiver or other approval of any Governmental Authority or other Person is required to be
obtained by the Shareholder in connection with the execution and delivery of this Agreement, the performance by the Shareholder of its obligations hereunder and the consummation by the Shareholder of the transactions contemplated hereby; and

  

	(k)	neither the Shareholder nor any Non-Arm’s Length Persons own, directly or indirectly, an Investment in Parent, Acquisition Sub or any of their Affiliates.

  

	3.2	Representations and Warranties of Parent and Acquisition Sub 

 Parent and Acquisition Sub hereby jointly and severally represent and warrant to and covenant with the Shareholder as follows, and acknowledge that the Shareholder is relying upon such representations,
warranties and covenants in entering into this Agreement: 
  

	(a)	Parent is existing and organized under the Legal Requirements of Delaware and has the requisite power and authority to own the assets it currently owns and to conduct
its business as it is now being conducted. Acquisition Sub is existing and organized under the Legal Requirements of Canada and has the requisite power and authority to own the assets it currently owns and to conduct its business as it is now being
conducted; 

  

	(b)	each of Parent and Acquisition Sub has the requisite power and authority to enter into this Agreement and to perform and carry out its obligations hereunder. The
execution and delivery of this Agreement by Parent and Acquisition Sub, the performance of Parent’s and Acquisition Sub’s obligations under this Agreement and the completion by Parent and Acquisition Sub of the transactions contemplated
hereby have been duly authorized by the board of directors of Parent and Acquisition Sub, respectively, and no other proceedings to be completed or consent to be obtained by Parent and Acquisition Sub are or will be necessary for the corporate
authorization of this Agreement and the transactions contemplated hereby; 

  

	(c)	 this Agreement has been duly executed and delivered by each of Parent and Acquisition Sub and, assuming the due execution and delivery of this
Agreement by the Shareholder, constitutes a legal, valid and binding obligation of Parent and Acquisition Sub, enforceable against Parent and Acquisition Sub in accordance with its terms, except as may be limited by bankruptcy, insolvency and other
Legal Requirements affecting the 

  
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enforcement of creditors’ rights generally and subject to the qualification that equitable remedies may only be granted in the discretion of a court of competent jurisdiction; and

  

	(d)	the execution and delivery of this Agreement and the completion by each of them of the transactions contemplated hereby: 

 

	 	(i)	will not conflict with Parent’s and Acquisition Sub’s articles and by-laws; and 

 

	 	(ii)	do not and will not constitute a breach of or violation of or default (or an event which with notice or lapse of time or both would become a default) under any Legal
Requirement binding upon Parent or Acquisition Sub. 

  

	3.3	Survival 

 The
representations and warranties of the Shareholder and of Parent and Acquisition Sub set out in Sections 3.1 and 3.2, respectively, shall survive and shall continue in full force and effect for the benefit of the Shareholder and of Parent and
Acquisition Sub, respectively, until the termination of this Agreement in accordance with its terms. 
 ARTICLE 4

 TERMINATION 
  

	4.1	Termination by Parent and Acquisition Sub 

 Parent and Acquisition Sub when not in material default in the performance of their respective obligations under this Agreement, may, without prejudice to any of their respective rights hereunder and in
their sole discretion, terminate this Agreement by written notice to the Shareholder if: 
  

	(a)	any of the representations and warranties of the Shareholder under this Agreement (except for the representations and warranties set forth in Sections 3.1(d)(ii),
3.1(d)(iii) and 3.1(j)) shall not be true and correct in all respects; 

  

	(b)	any of the representations and warranties of the Shareholder set forth in Sections 3.1(d)(ii), 3.1(d)(iii) or 3.1(j) shall not be true and correct in all material
respects; or 

  

	(c)	the Shareholder shall not have performed in any material respect any covenant required to be performed by it under this Agreement (unless such non-performance, if
capable of being remedied, is remedied by the Shareholder within ten (10) days from the date of notice of such non-performance from Parent or unless such non-performance is a direct result of any non-performance by Parent or Acquisition Sub of
its obligations under this Agreement). 

  
 - 10 -

  

	4.2	Automatic Termination 

This Agreement shall automatically terminate, without any action on the part of Parent, Acquisition Sub, the Shareholder or any other
Person, on the earliest to occur of the following: (i) the date upon which the Arrangement is completed; (ii) the date upon which the Arrangement Agreement is terminated in accordance with its terms; and (iii) the date upon which
Parent, Acquisition Sub and the Shareholder mutually agree by written instrument to terminate this Agreement. 
  

	4.3	Effect of Termination 

 If
this Agreement is terminated in accordance with this Article 4, the provisions of this Agreement will become void and no party hereto shall have liability to any other party hereto, except in respect of a breach of this Agreement which occurred
prior to such termination and the Shareholder shall be entitled to withdraw any form of proxy or voting instructions in respect of the Arrangement Resolution which the Shareholder may have given. Notwithstanding anything to the contrary contained in
this Agreement, the covenants and obligations of the Shareholder set out in Section 2.1(i) shall survive the termination of this Agreement and shall continue in full force and effect for the benefit of Parent and Acquisition Sub. 

ARTICLE 5 
 GENERAL 
  

	5.1	Further Assurances 

 Each
of the Shareholder, Parent and Acquisition Sub will, from time to time, execute and deliver all such further documents and instruments and do all such acts and things as the other parties hereto may reasonably require and at the requesting
party’s cost to effectively carry out or better evidence or perfect the full intent and meaning of this Agreement. 
  

	5.2	Investigation by Parties 

No investigations made by or on behalf of Parent or Acquisition Sub or any of their authorized agents at any time shall have the effect of
waiving, diminishing the scope of or otherwise affecting any representation, warranty or covenant made by the Shareholder herein or pursuant hereto. 
  

	5.3	Additional Securities 

 In
the event that the Shareholder acquires any additional Common Shares, Preferred Shares, Company Options or any other voting securities of the Company after the date hereof, then the Shareholder shall notify Parent and Acquisition Sub of such event
and Parent and Acquisition Sub may prepare and deliver to the Shareholder an updated Schedule A attached to this Agreement whereupon such updated Schedule A shall be deemed to form part of this Agreement. 

  
 - 11 -

  

	5.4	Assignment 

 This
Agreement may not be assigned by any party hereto without the express prior written consent of the other parties hereto, provided that Parent and/or Acquisition Sub may assign all or any part of their rights and/or obligations under this Agreement
to a direct or indirect wholly owned Subsidiary of Parent or Acquisition Sub, or an Affiliate of Parent or Acquisition Sub, without consent, but, if such assignment takes place, Parent and Acquisition Sub shall continue to be liable jointly and
severally with the assignee for any obligations hereunder. 
  

	5.5	Public Announcements 

Except to the extent required by Legal Requirements, no public announcement or press release concerning the matters referred to in this
Agreement may be made by Parent or Acquisition Sub or by the Shareholder without the prior written consent of the other parties hereto, such consent not to be unreasonably withheld. Except to the extent required by Legal Requirements, no copy of
this Agreement may be provided by Parent and Acquisition Sub or by the Shareholder to any other Person, except their respective directors, officers, employees, advisors or lenders, without the prior written consent of the other parties hereto, such
consent not be unreasonably withheld. The provisions of this Agreement may be summarized in the Information Circular, and in any material change report filed by the Company in connection with the public announcement of the Arrangement. 

 

	5.6	No Third Party Beneficiaries 

 This Agreement shall be binding upon and inure solely to the benefit of each of the parties hereto, and nothing in this Agreement, express or implied, is intended to or shall confer upon any other Person
any right, benefit or remedy of any nature whatsoever under or by reason of this Agreement. 
  

	5.7	Waiver 

 No waiver,
whether by conduct or otherwise, of any of the provisions of this Agreement shall be deemed to constitute a waiver of any other provisions (whether or not similar) nor shall such waiver constitute a continuing waiver unless otherwise expressly
provided in an instrument duly executed by the parties to be bound thereby. 
  

	5.8	Time 

 Time shall be of
the essence of this Agreement. 
  

	5.9	Governing Law and Venue 

This Agreement shall be governed by and construed in accordance with the domestic Legal Requirements of the Province of Alberta and the
federal laws of Canada applicable therein without giving effect to any choice or conflict of law provision or rule (whether of the Province of Alberta or any other jurisdiction) that would cause the application of the Legal Requirements of any
jurisdiction other than the Province of Alberta and the laws of Canada applicable therein. 

  
 - 12 -

 
All disputes arising out of or in connection with this Agreement shall be solely and exclusively resolved by a court of competent jurisdiction in the Province of Alberta. The parties hereby
consent to the jurisdiction of the Courts of Alberta and waive any objections or rights as to forum nonconvenience, lack of personal jurisdiction or similar grounds with respect to any dispute relating to this Agreement. 

 

	5.10	Entire Agreement 

 This
Agreement, including the schedules hereto, constitutes the entire agreement and understanding between and among the parties hereto with respect to the subject matter hereof and supersedes any prior agreement, representation or understanding with
respect thereto. 
  

	5.11	Amendments 

 This
Agreement may not be modified, amended, altered or supplemented, except upon the execution and delivery of a written agreement executed by all of the parties hereto. 
  

	5.12	Notices 

 Any notice,
request, consent, agreement or approval which may or is required to be given pursuant to this Agreement shall be in writing and shall be sufficiently given or made if delivered, or sent by telecopier, in the case of: 

 

	(a)	Parent or Acquisition Sub, addressed as follows: 

 Quest Software, Inc. 
 5 Polaris Way 

Aliso Viejo CA 92656 
 United States of America 
  

	 	Attention:	David Cramer 

	 	Facsimile No:	(949) 754-8799 

 with a copy
(which shall not constitute notice) to: 
 Latham & Watkins LLP 

650 Town Center Drive 
 20th Floor 
 Costa Mesa CA 92626-1925 

United States of America 
  

	 	Attention:	Charles K. Ruck 

	 	Facsimile No:	(714) 755-8290 

 and a copy
(which shall not constitute notice) to: 

  
 - 13 -

  
 Stikeman Elliott LLP

 1155 René-Lévesque Blvd. West 
 40th Floor 
 Montreal QC H3B 3V2 

 

	 	Attention:	John W. Leopold 

	 	Facsimile No:	(514) 397-3422 

  

	(b)	the Shareholder, addressed as follows: 

 Attention: 
 Facsimile No: 

with a copy (which shall not constitute notice) to: 
 Cooley LLP 
 3175 Hanover Street 

Palo Alto, CA 94304-1130 
  

	 	Attention:	David A. Lipkin 

	 	Facsimile No:	650-849-7400 

 and 

Burnet, Duckworth & Palmer LLP 
 Suite 1400, 350 7th Ave SW 
 Calgary, AB T2P 3N9 

 

	 	Attention:	Kelsey Clark 

	 	Facsimilie No:	403-260-0391 

 or to such other address as the
relevant Person may from time to time advise by notice in writing given pursuant to this Section. The date of receipt of any such notice, request, consent, agreement or approval shall be deemed to be the date of delivery or sending thereof if sent
or delivered during normal business hours on a Business Day at the place of receipt and, otherwise, on the next following Business Day. 
  

	5.13	Specific Performance and other Equitable Rights 

 The Shareholder recognizes and acknowledges that this Agreement is an integral part of the Arrangement, that Parent and Acquisition Sub would not enter into the Arrangement Agreement unless this Agreement
was executed, and accordingly acknowledges and agrees that a breach by the Shareholder of any covenants or other commitments contained in this Agreement will cause Parent and Acquisition to sustain injury for which it would not have an adequate
remedy at law for money damages. Each of the parties hereto agree that in the event of any breach or threatened breach, the aggrieved or prospective aggrieved party (or parties) shall be entitled to the remedy of specific performance of such
covenants or commitments and 

  
 - 14 -

 
preliminary and permanent injunctive and other equitable relief in addition to any other remedy to which it may be entitled, at law or in equity, and the parties further agree to waive any
requirement for the securing or posting of any bond in connection with the obtaining of any such injunctive or other equitable relief. 
  

	5.14	Expenses 

 Each of the
parties hereto shall pay its respective legal, financial advisory and accounting costs and expenses incurred in connection with the preparation, execution and delivery of this Agreement and all documents and instruments executed or prepared pursuant
hereto and any other costs and expenses whatsoever and howsoever incurred. 
  

	5.15	Counterparts 

 This
Agreement may be executed in one or more counterparts which together shall be deemed to constitute one valid and binding agreement, and delivery of the counterparts may be affected by means of telecopier transmission. 

[Signature Page follows] 

  
 - 15 -

  
 IN WITNESS WHEREOF the parties
have executed this Agreement as of the date first written above. 
  

							
		 		  	QUEST SOFTWARE, INC.
				
		 		  	By:	 	  

		 		  		 	Signature of Authorized Signatory
				
		 		  		 	  

		 		  		 	Name of Authorized Signatory
				
		 		  		 	  

		 		  		 	Title
			
		 		  	BOLTS ACQUISITION CORPORATION
				
		 		  	By:	 	  

		 		  		 	Signature of Authorized Signatory
				
		 		  		 	  

		 		  		 	Name of Authorized Signatory
				
		 		  		 	  

		 		  		 	Title
				
	  
	 		  		 	  

	Witness	 		  		 	Signature of Shareholder
				
		 		  		 	  

		 		  		 	Name of Shareholder
				
		 		  		 	  

		 		  		 	[Name of authorized signatory]

  
 - 16 -

  
 SCHEDULE A

 OWNERSHIP OF COMPANY SHARES 
  

																	
	 Beneficial Owner
	  	Number of
Common
Shares	 	  	Number of
Preferred
Shares	 	  	Number of
Company
Options	 	  	Description and
Number of other
voting securities
of the Company,
if
any	 
		  				  				  				  			

  
 - 17 -

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