Document:

Document

DATED THE 1 DAY OF JULY 2022 

Between

GO DADDY SINGAPORE PTE. LTD.

And

ROGER CHEN

________________________________

EMPLOYMENT AGREEMENT

________________________________

CONTENTS

									
	CLAUSE
	HEADING
	PAGE

	1.	INTERPRETATION
	1

	2.	APPOINTMENT AND DURATION
	3

	3.	DUTIES
	3

	4.	SALARY AND BENEFITS
	4

	5.	ANNUAL LEAVE AND SICKNESS
	6

	6.	TERMINATION
	6

	7.	CONFIDENTIALITY AND NON-DISCLOSURE AND IP OWNERSHIP
	7

	8.	NON-COMPETITION / NON-SOLICITATION RESTRICTIONS
	9

	9.	DATA PRIVACY
	9

	10.	NOTICES
	10

	11.	MISCELLANEOUS
	10

THIS SERVICE AGREEMENT is made on 1 July 2022

BETWEEN:

(1)GO DADDY SINGAPORE PTE. LTD. (Company Registration Number: 200919878H), a company incorporated in Singapore and with its registered address at 80 Robinson Road, #02-00, Singapore 068898 (the "Company"); and

(2)CHEN, ROGER (FIN number [***]) of [***] (the "Employee").  

(collectively, the "Parties" and each, a "Party").

NOW IT IS HEREBY AGREED as follows:

1.INTERPRETATION

1.1.In this Service Agreement:

"Business Day" means a day (other than a Saturday, Sunday or gazetted public holiday) on which commercial banks are open for business in Singapore;

"Confidential Information" means such information which is proprietary or confidential to any Group Company (which the Company or the Employee is required to keep confidential), including but not limited to, information concerning or relating in anyway whatsoever to its distributorship, franchise or other business arrangements and transactions, customer or client lists, supplier lists, principals, agents, consultancy arrangements, any of the confidential operations, processes or inventions carried on or used by any Group Company, any information concerning the ownership, organisation, business, finances, transactions, sales, marketing information, strategic or business plans or affairs of any Group Company or any of its customers, suppliers, principals or agents, new products and services of any Group Company, dealings of any Group Company, any Group Company's technical information, technology, designs, documentation, manuals, budgets, financial statements or information, accounts, marketing studies, drawings, notes, memoranda and the information contained therein, and any Trade Secrets;

"Customer" means any person to which the Company or any Group Company supplied Restricted Services during the Employment and with which, during the Employment, either the Employee, or any employee under the direct or indirect supervision of the Employee, had material dealings; 

"Effective Date" means the date when the conditions set out at Clause 2.3 of this Agreement have been fully satisfied and the Company have confirmed in writing when the Employee shall commence the Employment;

"Employment" means the employment of the Employee by the Company under the terms of this Agreement;

"Employment Act" means the Employment Act 1968 of Singapore; 

"Group" means the Company and its related corporations (as defined in the Companies Act 1967 of Singapore) and "Group Company" means any one of them;

"Prospective Customer" means any person with which the Company or any Group Company had discussions during the Employment regarding the possible distribution, sale or supply of Restricted Services and with which during such period the Employee, or any employee who was under the direct or indirect supervision of the Employee, had material dealings in the course of his employment;

"Restricted Employee" means any person who was a director or employee of the Company or any Group Company at any time during the Employment who by reason of that position, seniority and expertise or knowledge of Confidential Information or knowledge of or influence over the clients, customers or contacts of the Company or any Group Company is likely to cause damage to the Company of any Group Company if he were to leave the employment of the Company or relevant Group Company and become employed by a competitor of the Company or Group Company and with whom during such period the Employee had material dealings in the course of his employment;

"Restricted Services" means any products or services provided by the Company or any Group Company, any other related services, and any business activities of the Company and/or any other Group Company with which the duties of the Employee were materially concerned or for which he was responsible during the Employment, including but not limited to within Singapore;"

1.2.In this Agreement, unless the context otherwise requires, a reference to:

(a)a statutory provision shall include that provision and any regulations made in pursuance thereof as from time to time modified or re-enacted, whether before or after the date of this Agreement;

(b)"this Agreement" includes all amendments, additions, and variations thereto agreed between the Parties;

(c)"person" shall include an individual, corporation, company, partnership, firm, trustee, trust, executor, administrator or other legal personal representative, unincorporated association, joint venture, syndicate or other business enterprise, any governmental, administrative or regulatory authority or agency (notwithstanding that "person" may be sometimes used herein in conjunction with some of such words), and their respective successors, legal personal representatives and assigns, as the case may be, and pronouns shall have a similarly extended meaning;

(d)"month" is a reference to a period starting on one day in a calendar month and ending on the numerically corresponding day in the next succeeding calendar month;

(e)"written" and "in writing" include any means of visible reproduction; and

(f)"Clauses" and "Schedule" refers to the clauses of, and schedule to, this Agreement. 

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1.3.Unless the context otherwise requires, words importing the singular shall include the plural and vice versa and words importing a specific gender shall include the other genders (male, female or neuter).

1.4.The headings in this Agreement are inserted for convenience only and shall not affect the construction of this Agreement. 

1.5.Anything or obligation to be done under this Agreement which requires or falls to be done on a stipulated day shall be done on the next succeeding Business Day, if the day upon which that thing or obligation is required or falls to be done falls on a day which is not a Business Day.

2.APPOINTMENT AND DURATION

2.1.Subject to the terms of this Agreement, the Company shall employ the Employee and the Employee shall serve as the Chief Operating Officer, reporting to Aman Bhutani (Chief Executive Officer). The Employee will be based in Singapore at the Company’s offices if established or such other place within Singapore as the Company may reasonably require. In addition, the Employee will be required to work at such other places as the Company may from time-to-time specify for the performance of the Employee's duties.  

2.2.The Employment shall commence on the Effective Date and the Employment shall continue thereafter unless and until terminated by the Employee or the Company in accordance with the provisions of Clause 6.   

2.3.The commencement of the Employment is conditional upon (i) the Employee having the legal authorization to work in Singapore; and (ii) the Employee resigning in writing (in a form prescribed by the Group) from his prior employment with Shanghai Universal Information Technology Consulting Co., Ltd with effect from the date immediately prior to the Effective Date.  

2.4.The Employee will work 8am to 6pm Monday through Friday. The Employee will also be required to work such additional days and hours as may be required by the Company. 

3.DUTIES

3.1.In performing his role, the Employee agrees that he shall:

(a)use all proper means in his power to improve, develop, extend, maintain, advise and promote the Company’s businesses and to protect and further the reputation, interests and success of the Company and all Group Companies;

(b)perform to the best of the Employee’s ability and knowledge the duties assigned to the Employee by the Company from time to time;

(c)serve the Company faithfully and diligently to the best of the Employee's ability; 

(d)use all reasonable efforts to promote the commercial and ethical interests of the Company and its Group Companies;

(e)comply with all law, regulations, professional standards and codes of conduct applicable to the Employee's position and the duties assigned to the Employee; and

3

(f)comply with the policies set forth in the Code of Business Conduct and Ethics, this Agreement and the Employment Act.

3.1.Without limiting the Employee's duties to the Company, the Employee must not, in the course of his Employment, undertake any of the following:

(a)accept any personal benefit, gift, gratuity or favor ("Thing of Value") which is offered to, or given to, the Employee (or any of the Employee's associates or family members) or offer any Thing of Value to any governmental official, business partner, or agent other than in accordance with the terms and conditions set out in the Company's Code of Business Conduct and Ethics;  

(b)act in conflict with the best interests of the Company or any of its related corporations; or

(c)continue, expand, accept or commence any other employment or paid or unpaid consulting positions, without the prior written consent of the Company. 

3.2.The Employee acknowledges that the Employee has no authority to bind the Company except to the extent the Employee is authorised by the Company and will not make any unauthorised representations to any third party. 

3.3.The Employee shall abide and be bound by the work rules and employee policies of the Company in force from time to time. 

4.SALARY AND BENEFITS

4.1.The Employee will receive a basic salary during the Employment of SGD$690,000 (Six Hundred Ninety Thousand Singapore Dollars) per annum (the “Basic Salary”).  The Basic Salary will be payable in equal monthly instalments in arrears on or around the last Business Day of each month and will be subject to such deductions and/or withholdings as the Company is entitled or required to make under Singapore law including contributions by the Company to the Central Provident Fund as required under the Central Provident Fund Act 1953 of Singapore (if applicable). The Basic Salary shall be deemed to accrue from day to day.  

4.2.The annual Basic Salary has been calculated as the Singapore dollar equivalent to USD$ 500,000.  The Basic Salary will be reviewed on an annual basis and may be adjusted by the Company (in its absolute discretion) to reflect any material change to the relevant USD to SGD FX rate.  The Company shall have complete discretion in calculating such adjustment (if any) and no change to the Basic Salary will become effective unless and until it is communicated by the Company in writing to the Employee. Notwithstanding any provisions in this Agreement to the contrary, there is no contractual right to an increase in the Employee’s salary.

4.3.The Employee may be eligible to earn an annual Management By Objective ("MBO") cash bonus, based upon the Company’s MBO scheme (as established by the Company in its sole discretion and in place from time to time), with a target of 80% of the Employee's annual base salary. To be eligible to receive an MBO payment, the Employee must not have, at the relevant payment date of the MBO payment, received or submitted any notice of termination 

4

of employment. The Company may withdraw, suspend or amend any bonus plan from time to time in its absolute discretion.

4.4.The Employee shall be entitled to receive such insured benefits of employment as generally provided to similarly situated GoDaddy employees based in Singapore, subject to the rules of any such benefit schemes from time to time in force and any applicable statutory limits. Notwithstanding any other provision in this Agreement, all benefits are provided by the Company at its discretion and may be withdrawn, modified, reduced or amended by the Company from time to time. 

4.5.Subject to Clause 2.3 and conditional on the Employee remaining in the Company’s employment for a period of not less than twelve (12) months after the Effective Date (the “Relevant Period”), the Company shall provide the Employee a payment to support the Employee’s relocation from China to Singapore, calculated as the Singapore dollar equivalent of SGD$210,000 (Two Hundred Ten Thousand Singapore Dollars) gross, after any deductions and/or withholdings as the Company is entitled or required to make under Singapore law (“Relocation Payment”). The Relocation Payment has been calculated as the Singapore dollar equivalent to USD$ 150,000. The release of the Relocation Payment shall be subject to the Employee’s production of appropriate evidence (in the Company’s sole discretion) of Employee’s move date and will be payable on the next available payroll thereafter. If the Employee's employment terminates prior to the expiration of the Relevant Period by reason either of his voluntary resignation or termination for cause pursuant to Clause 6.4, the Employee shall promptly repay all such Relocation Payment he has received upon demand from the Company.

4.6.The Company shall be entitled to withhold payment of salary due to the Employee for tax clearance purposes prior to the termination of the Employment. Where the Employee is a foreign employee about to cease work with the Company, or where the Employee is a foreign employee intending to leave Singapore for a period exceeding three (3) months, the Company is required to give written notice (the "Notice") thereof to the Inland Revenue Authority of Singapore (the "IRAS") not later than one (1) month before the Employee ceases to be employed or one (1) month before the Employee’s expected date of departure from Singapore (as the case may be) and to withhold any monies payable to the Employee or for the Employee’s benefit until full settlement of any outstanding taxes the Employee, as a foreign employee, owes to the IRAS. The Company will only release the payment of any monies due to the Employee or for the Employee’s benefit after tax clearance from the IRAS is given or after the expiry of thirty (30) days after the receipt by the IRAS of the Notice, whichever is earlier provided that there are any remaining monies due to the Employee after the Company has settled the Employee’s outstanding taxes owed to the IRAS. 

4.7.The Employee shall be responsible for the payment of all taxes and other amounts due in connection with any payment made under or in connection with the Employment, including without limitation, the Relocation Payment, and shall be responsible for the preparation of the Employee’s personal tax returns.  The Employee undertakes to indemnify and keep the Company and the Group indemnified in respect of such tax or other amounts (including penalties and interest) which may be assessed on the Company or the Group by reason of any non-payment by the Employee of any tax owed in connection with the Employment, together with any costs and expenses incurred by the Company or the Group in connection with any such assessment.

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5.ANNUAL LEAVE AND SICKNESS

5.1.The Employee shall be entitled to twenty (20) working days' annual vacation leave with full salary. Such vacation leave shall be in addition to the public holidays and sick leave to which the Employee may be entitled (in the latter case, as provided in Clause 5.2). Such vacation leave shall be taken at such reasonable time or times as may be approved by the Company. 

5.2.Subject to the receipt by the Company of proper medical certificates, the Employee shall be entitled to fourteen (14) working days' paid sick leave per calendar year and up to an additional sixty (60) working days' paid sick leave (less the number of non-hospitalisation sick leave taken) per calendar year if hospitalisation is necessary. 

6.TERMINATION

6.1.Either Party may terminate the Employment by giving the other not less than six (6) months’ prior written notice. The Employee expressly confirms that he shall be responsible for all repatriation costs, including travel and testing costs, in the event that the Employment  terminates for any reason.

6.2.Notwithstanding Clause 6.1 above, the Company or the Employee may terminate the Employment at any time and with immediate effect by making the other Party a payment in lieu of notice (or the unexpired period of notice) equivalent to the relevant Basic Salary for such period.  For the avoidance of doubt, the payment in lieu shall not include any element in relation to contractual benefits, bonus or other incentives.

6.3.At any time after notice has been served by the Company or the Employee, or if the Employee purports to terminate Employment in breach of contract, the Company may require the Employee to carry out such duties as the Company determines or to perform none or only some or only alternative specified duties and exclude him from the premises of the Company (“Garden Leave”). For the avoidance of doubt the Employee shall remain an employee of the Company during any such Garden Leave period and will continue to be bound by the terms and conditions of his Employment (including any implied duties of good faith and fidelity).

6.4.The Employment may be terminated by the Company immediately without notice or compensation at any time (but without prejudice to the rights and remedies of the Company) in any of the following cases:

(a)if the Employee fails to carry out or fulfill his obligations under this Agreement;

(b)if the Employee is guilty of dishonesty or serious or persistent misconduct inconsistent with the fulfillment of the conditions of the Employment;

(c)if the Employee neglects or refuses, without reasonable cause, to attend to the business of the Company or any other Group Company;

(d)if the Employee willfully, flagrantly or persistently fails to observe and perform any of the duties and responsibilities imposed by this Agreement or which are imposed by law; 

6

(e)if the Employee continuously absents himself from work for more than two (2) days without consent from the Company or without reasonable excuse or without informing or attempting to inform the Company of such excuse; or

(f)if there are any other circumstances which exist entitling the Company to terminate the Employment without notice at common law.

6.5.Notwithstanding anything contained in this Agreement, where the Employee is not a Singapore citizen or Singapore permanent resident, the Employee’s Employment shall terminate automatically without any payment or compensation by the Company if the Employee’s work pass and/or other requisite approval granted to the Employee in respect of the Employee's Employment is revoked by the relevant authorities in Singapore or if the Employee is no longer lawfully entitled to live or work in Singapore.

6.6.The Employee shall not, at any time after termination of the Employment for any reason, represent himself as being in any way connected with the Company or any other Group Company.

6.7.Upon the termination of the Employee's Employment for any reason whatsoever, the Employee shall immediately and in any event, before the Employee's last day of Employment, deliver to the Company all property belonging to or containing or referring to any Confidential Information of the Company, the Group, or any client or customer of the Company and/or the Group, including without limiting the generality of the foregoing, all office keys and/or access cards, equipment or hardware, all records, documents, accounts, plans, formulae, designs, specifications, price lists, customer lists, manuals, formats, correspondence, notes, memoranda, electronic forms and computer software together with all copies made or compiled or acquired by the Employee during his Employment and which remain in his possession or under his control.

7.CONFIDENTIALITY, NON-DISCLOSURE AND IP OWNERSHIP

7.1The Employee shall not, except as authorized by the Company or required by applicable law, reveal to any person, firm or partnership, company, corporation, association, organization or trust (in each case whether or not having a separate legal personality) any Confidential Information which may come to his knowledge during the Employment and shall keep with complete secrecy the Confidential Information entrusted to and/or received by him and shall not use or attempt to use any such information in any manner which may injure or cause loss either directly or indirectly to any Group Company or its business or may be likely so to do. This restriction shall continue to apply after the termination of this Agreement without limit in point of time but shall cease to apply to information or knowledge which may come into the public domain.

7.2The Employee shall not during the continuance of this Agreement make otherwise than for the benefit of any Group Company any notes or memoranda relating to any matter within the scope of the business of any Group Company or concerning any Confidential Information or any of its dealings or affairs nor shall the Employee either during the continuance of this Agreement or afterwards use or permit to be used any such notes or memoranda otherwise than for the benefit of such Group Company, it being the intention of the Parties that all such notes or memoranda made by the Employee and Confidential Information shall be the property of such Group Company and upon the termination of the Employment, the Employee shall return the said notes, memoranda and Confidential Information or provide evidence of its destruction to the satisfaction of the relevant Group Company.

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7.3Since the Employee may also obtain in the course of the Employment by reason of services rendered for any Group Company knowledge of Confidential Information, the Employee hereby agrees that he shall at the request and cost of the relevant Group Company enter into a direct agreement or undertaking with that Group Company whereby he shall accept restrictions corresponding to the restrictions herein contained (or such of them as may be appropriate in the circumstances) in relation to such business and such area and for such period as the relevant Group Company may reasonably require for the protection of its legitimate interests.

7.4By signing this Agreement, the Employee agrees to comply with the terms of the Company's Code of Business Conduct and Ethics, which may be amended from time to time. 

7.5Since the Employee may also obtain in the course of the Employment by reason of services rendered for any Group Company knowledge of information, ideas, designs, documents and other materials that derives independent economic value, actual or potential, from not being generally known to the public or to other persons who can obtain economic value from its disclosure or use, and is the subject of efforts that are reasonable under the circumstances to maintain its secrecy (collectively, "Trade Secrets"), the Employee hereby agrees that he shall keep confidential, and not disclose to others, or take or use for his own purposes (except in connection with his rights and obligations under this Agreement) any Trade Secrets of any Group Company. 

7.6The Employee acknowledges that the restrictions contained in this Clause 7 are reasonable and that irreparable damage will be caused to the Company in the event of any violation of any of the provisions of this Clause 7 by him.

7.7The Employee hereby assigns, and agrees to assign in the future, to the Company or its nominee ownership of all rights, title and interest in and to any and all work product created by the Employee, or to which the Employee contributed, during the period of the Employment, including ownership of all copyrights, trademarks (and any goodwill associated therewith), trade secrets, patents, inventions and any other intellectual property (or other proprietary) rights throughout the world contained therein ("Work Product"). The Employee further agrees to execute, at the Company’s request and expense, all documents and other instruments, and do all things necessary or desirable to effectuate such assignment of Work Product. In the event that the Employee does not, for any reason, execute such documents or do such things within seven (7) days of the Company’s request, the Employee hereby irrevocably appoints the Company as his attorney-in-fact for the purpose of executing such documents or doing such things on his behalf, which appointment is coupled with an interest. The Employee further agrees not to challenge the validity of the Company’s or its nominee’s, as the case may be, ownership in the Work Product.  If the Employee has any rights, including without limitation "artist’s rights" or "moral rights," in the Work Product that cannot be assigned, the Employee agrees to waive enforcement worldwide of such rights against the Company or its nominee, as the case may be. In the event that such rights cannot be waived, the Employee hereby grants to the Company or its nominee, as the case may be, an exclusive, worldwide, irrevocable, perpetual license to use, reproduce, distribute, create derivative works of, publicly perform and publicly display the Work Product in any medium or format, whether now known or later developed.

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8.NON-COMPETITION / NON-SOLICITATION RESTRICTIONS

8.1Without prejudice to the Employee’s other express and implied duties, the Employee shall not, for the following periods, directly or indirectly, do or permit any of the following without the prior written consent of the Company: 

(a)during the Employment, carry on or be engaged or interested in any capacity (whether as shareholder, partner, employee, agent, consultant, contractor or otherwise, and whether on a full time or part time or ad hoc basis, and whether for remuneration or not, and whether for the Employee or on behalf of any other person) in any other business, trade or occupation whatsoever;

(b)during the Employment and for twelve (12) months thereafter, be employed or engaged by or otherwise have any material interest in or provide services to any business which provides Restricted Services in North America, Singapore, China, Europe and/or the Asia Pacific region;

(c)during the Employment and for twelve (12) months thereafter, have any business dealings with or solicit business from or canvas any Customer or Prospective Customer in respect of Restricted Services; 

(d)during the Employment and for twelve (12) months thereafter, solicit or induce or endeavor to solicit or induce any person who was a Restricted Employee to cease working for or providing services to the Company or any Group Company in order to become employed in a business which supplies Restricted Services; or

(e)cause or permit any person directly or indirectly under the Employee's control or in which he has any beneficial interest to do any of the foregoing acts or things.

8.2While the covenants in Clause 8.1 are considered by the Company and the Employee to be reasonable in all the circumstances, if one or more should be held invalid as an unreasonable restraint of trade or for any other reason whatsoever but would have been held valid if part of the wording thereof had been deleted or the period thereof reduced or the range of activities or area dealt with thereby reduced in scope, the said covenants shall apply with such modifications as may be necessary to make them valid and effective.

9.DATA PRIVACY.

For the purposes of the Personal Data Protection Act 2012 of Singapore and any applicable data protection legislation, the Employee acknowledges and agrees that the Company may collect, use, disclose, process and hold personal data about him (including sensitve data) for the purposes of the administration and management of his employment and/or the Company’s business and other purposes in accordance with the Company’s employee data privacy policies as amended from time to time.  The Employee expressly agrees that the Company may, in connection with his Employment and/or the business of the Company, (i) collect and hold and process such personal data and (ii) disclose such data to other employees of the Company or any Group Company and its affiliates, other persons and advisers as may be reasonably necessary (such as third party benefit providers or administrators) or as authorized by the Employee and/or other persons as may be required or permitted by law, including where this involves the transfer of data outside of Singapore.  The Company may, from time to time, to the extent permitted by law, monitor the Employee’s use of the internet 

9

and of email communications received, created, stored and sent by him and other activity on equipment provided by the Company to the Employee for the performance of his duties where reasonably necessay to ensure compliance with the Company policies and procedures and/or investigate or detect unauthorized use of the Company’s systems.

10.NOTICES

Any notice required to be given by a Party to the other Party shall be deemed validly served by hand delivery or by prepaid registered letter or by a recognised courier service or by fascimile transmission sent to its address or by email. 

11.MISCELLANEOUS

11.1    This Agreement, and the documents referred to in it, constitute the entire agreement and understanding between the Parties relating to the subject matter of this Agreement and supersede all previous correspondence, discussions, agreements, representations and undertakings exchanged or made between the Parties (and for the avoidance of doubt, as of the Effective Date, replaces and supercedes the Employee’s prior employment agreement with Shanghai Universal Information Technology Consulting Co., Ltd. dated 30 June 2022.  Neither of the Parties has entered into this Agreement in reliance upon any representation, warranty or undertaking of the other Party which is not set out or referred to in this Agreement as forming part of the contract of Employment of the Employee. The Parties agree that no variations or modifications shall be made to this Agreement unless agreed to by the Parties in writing. Nothing in this Clause 11.1 shall however operate to limit or exclude liability for fraud. Notwithstanding the foregoing, this Agreement is not intended to supersede the benefits the Employee may be entitled to under the Change in Control and Severance Agreement dated 3 January 2022 between the Employee and GoDaddy Inc, and as may be amended or extended from time to time.

11.2    The illegality, invalidity or unenforceability of any provision of this Agreement under the law of any jurisdiction shall not affect its legality, validity or enforceability under the law of any other jurisdiction nor the legality, validity or enforceability of any other provision.

11.3    No failure on the part of either Party to exercise, and no delay on its part in exercising, any right or remedy under this Agreement will operate as a waiver thereof, nor will any single or partial exercise of any right or remedy preclude any other or further exercise thereof or the exercise of any other right or remedy. The rights provided in this Agreement are cumulative and not exclusive of any rights or remedies provided by law.

11.4    The Employee may not assign nor transfer to any third party the benefit and/or burden of this Agreement without the prior written consent of the Company.

11.5    Save in relation to Group Companies, a person who is not party to this Agreement has no rights under the Contracts (Rights of Third Parties) Act 2001 of Singapore, to enforce any term of this Agreement, but this does not affect any right or remedy of a third party which exists or is available apart from the said Act.

11.6    No rule of construction shall apply to the disadvantage of a Party because that Party was responsible for the preparation of, or seeks to rely on, this Agreement or any part of it. 

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11.7    In addition, and without prejudice to any other provisions of this Agreement, the Employee warrants that by entering into this Agreement and performing the duties under this Agreement:

(a)the Employee will not be in breach of any agreement with, or obligations owed to, any third party;

(b)the Employee has no employment relationship with any other person, firm, company or entity; and

(c)the Employee is free to enter into this Agreement.

11.8    In the event of any breach by the Employee of Clauses 7 or 8 and any of the warranties in Clause 11.7, the Employee acknowledges and agrees that damages will not be an adequate compensation for such breach and hereby consents and agrees to the application, in the event of such breach, by the Company for equitable remedies (including without limitation, injunctive relief) for such breach.

11.9    The Parties shall pay their own legal and other costs and expenses in connection with the preparation, execution and completion of this Agreement and other related documentation.

11.10    This Agreement shall be governed by, and construed in accordance with, the laws of  Singapore. The Parties agree to submit to the non-exclusive jurisdiction of the courts of Singapore.

11.11    This Agreement may be signed in any number of counterparts, all of which taken together shall constitute one and the same instrument. Any Party may enter into this Agreement by signing any such counterpart and each counterpart shall be as valid and effectual as if executed as an original.

[The rest of this page is intentionally left blank.]

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IN WITNESS WHEREOF the Parties have hereunto set their hands.

THE COMPANY

									
	SIGNED by Nick Daddario

for and on behalf of
GO DADDY SINGAPORE PTE. LTD.

/s/ Nick Daddario               
	)
)
)
)
)
	

THE EMPLOYEE

									
	SIGNED by Roger Chen

/s/ Roger Chen                            

	)
)
)
	

12nlight-formofprsuagreeme

  - 1 -  NLIGHT, INC.  2018 EQUITY INCENTIVE PLAN  RESTRICTED STOCK UNIT AGREEMENT  (PERFORMANCE-BASED)  Unless otherwise defined herein, the terms defined in the nLIGHT, Inc. 2018 Equity Incentive  Plan (the “Plan”) will have the same defined meanings in this Restricted Stock Unit Agreement  (performance-based) (“PRSU Agreement”), which includes the Notice of Restricted Stock Unit Grant  (the “Notice of Grant”), Terms and Conditions of Restricted Stock Unit Grant attached hereto as  Exhibit A, and all appendices and exhibits attached thereto (all together, the “Award Agreement”).  NOTICE OF RESTRICTED STOCK UNIT GRANT  Participant Name:  Address:  The undersigned Participant has been granted the right to receive an Award of Restricted Stock  Units, subject to the terms and conditions of the Plan and this Award Agreement, as follows:  Grant Number     Date of Grant     Performance Period  July 1, 2022 to June 30, 2025   Target Number of   Restricted Stock Units     Maximum Number of   Restricted Stock Units 200% of Target Number of Restricted Stock Units  Earliest Vesting Date  August 14, 2025   Performance Matrix  The number of Restricted Stock Units in which  Participant may vest in accordance with the Vesting  Schedule below will depend upon achievement of  performance metrics set forth in and in accordance with  the Performance Matrix, attached hereto as Exhibit B, as  determined by the Administrator. Any Restricted Stock  Units that are earned based on achievement of the  performance metrics set forth in the attached  Performance Matrix shall be referred to herein as  “Earned Units” and be eligible for vesting in accordance  Exhibit 10.1 

 

  - 2 -  with the “Vesting Schedule” below.  If, the Administrator determines that the performance  goal was not achieved at maximum levels, the Restricted  Stock Units that do not become Earned Units will  immediately terminate as of the date of such  determination.  Vesting Schedule  Subject to any acceleration provisions contained in the  Plan, in the Performance Matrix attached hereto, or as  otherwise provided in any employment, change in  control, separation or similar agreement by and between  the Company and Participant, or a Company policy  applicable to Participant, any Earned Unit will vest in  accordance with the following schedule: 100% of the  Earned Units will vest on the Vesting Date.  In the event Participant ceases to be a Service Provider  for any or no reason before the Vesting Date, the  Restricted Stock Units and Participant’s right to acquire  any Restricted Stock Units hereunder will terminate as  set forth in Section 5 of the Terms and Conditions of  Restricted Stock Unit Grant.  Vesting Date  The later of (i) the date following the Performance  Measurement Date on which the Administrator  determines achievement against the applicable  performance metric(s) set forth on Exhibit B or (ii) the  Earliest Vesting Date, but in no event will the  Administrator determine achievement later than 60 days  after the end of the Performance Period.   

 

  - 3 -  By Participant’s signature and the signature of the representative of the Company below, Participant  and the Company agree that this Award of Restricted Stock Units is granted under and governed by  the terms and conditions of the Plan and this Award Agreement, including the Terms and Conditions  of Restricted Stock Unit Grant, attached hereto as Exhibit A and the Performance Matrix, attached  hereto as Exhibit B, all of which are made a part of this document.  Participant acknowledges receipt  of a copy of the Plan.  Participant has reviewed the Plan and this Award Agreement in their entirety,  has had an opportunity to obtain the advice of counsel prior to executing this Award Agreement, and  fully understands all provisions of the Plan and this Award Agreement.  Participant hereby agrees to  accept as binding, conclusive, and final all decisions or interpretations of the Administrator upon any  questions relating to the Plan and the Award Agreement.  Participant further agrees to notify the  Company upon any change in the residence address indicated below.    PARTICIPANT:  NLIGHT, INC.           Signature  Signature         Print Name  Print Name            Title  Address:        

 

  - 1 -  EXHIBIT A  TERMS AND CONDITIONS OF RESTRICTED STOCK UNIT GRANT  1. Grant of Restricted Stock Units.  The Company hereby grants to the individual (the  “Participant”) named in the Notice of Grant of Restricted Stock Units of this Award Agreement (the  “Notice of Grant”) under the Plan an Award of Restricted Stock Units, subject to all of the terms and  conditions in this Award Agreement and the Plan, which is incorporated herein by reference.  Subject  to Section 19(c) of the Plan, in the event of a conflict between the terms and conditions of the Plan  and this Award Agreement, the terms and conditions of the Plan shall prevail.  2. Company’s Obligation to Pay.  Each Restricted Stock Unit represents the right to  receive a Share on the date it vests.  Unless and until the Restricted Stock Units will have vested in  the manner set forth in Section 3 or 4, Participant will have no right to payment of any such Restricted  Stock Units.  Prior to actual payment of any vested Restricted Stock Units, such Restricted Stock Unit  will represent an unsecured obligation of the Company, payable (if at all) only from the general assets  of the Company.  3. Vesting Schedule.  Except as provided in Section 4, and subject to Section 5, the  Restricted Stock Units awarded by this Award Agreement will vest in accordance with the vesting  schedule set forth in the Notice of Grant, subject to Participant continuing to be a Service Provider  through each applicable vesting date.  4. Payment after Vesting.  (a) General Rule.  Subject to Section 8, any Restricted Stock Units that vest will be  paid to Participant (or in the event of Participant’s death, to his or her properly designated beneficiary  or estate) in whole Shares.  Subject to the provisions of Section 4(b), such vested Restricted Stock  Units shall be paid in whole Shares as soon as practicable after vesting, but in each such case within  sixty (60) days following the vesting date.  In no event will Participant be permitted, directly or  indirectly, to specify the taxable year of payment of any Restricted Stock Units payable under this  Award Agreement.  (b) Acceleration.  (i) Discretionary Acceleration.  The Administrator, in its discretion, may  accelerate the vesting of the balance, or some lesser portion of the balance, of the unvested Restricted  Stock Units at any time, subject to the terms of the Plan.  If so accelerated, such Restricted Stock Units  will be considered as having vested as of the date specified by the Administrator.  If Participant is a  U.S. taxpayer, the payment of Shares vesting pursuant to this Section 4(b) shall in all cases be paid at  a time or in a manner that is exempt from, or complies with, Section 409A.  The prior sentence may  be superseded in a future agreement or amendment to this Award Agreement only by direct and  specific reference to such sentence.   (ii) Notwithstanding anything in the Plan or this Award Agreement or any  other agreement (whether entered into before, on or after the Date of Grant), if the vesting of the  balance, or some lesser portion of the balance, of the Restricted Stock Units is accelerated in  

 

   -2-  connection with Participant’s termination as a Service Provider (provided that such termination is a  “separation from service” within the meaning of Section 409A, as determined by the Company), other  than due to Participant’s death, and if (x) Participant is a U.S. taxpayer and a “specified employee”  within the meaning of Section 409A at the time of such termination as a Service Provider and (y) the  payment of such accelerated Restricted Stock Units will result in the imposition of additional tax under  Section 409A if paid to Participant on or within the six (6) month period following Participant’s  termination as a Service Provider, then the payment of such accelerated Restricted Stock Units will  not be made until the date six (6) months and one (1) day following the date of Participant’s  termination as a Service Provider, unless Participant dies following his or her termination as a Service  Provider, in which case, the Restricted Stock Units will be paid in Shares to Participant’s estate as  soon as practicable following his or her death.   (c) Section 409A.  It is the intent of this Award Agreement that it and all payments  and benefits to U.S. taxpayers hereunder be exempt from, or comply with, the requirements of Section  409A so that none of the Restricted Stock Units provided under this Award Agreement or Shares  issuable thereunder will be subject to the additional tax imposed under Section 409A, and any  ambiguities herein will be interpreted to be so exempt or so comply.  Each payment payable under this  Award Agreement is intended to constitute a separate payment for purposes of Treasury Regulation  Section 1.409A-2(b)(2).  However, in no event will the Company reimburse Participant, or be  otherwise responsible for, any taxes or costs that may be imposed on Participant as a result of Section  409A.  For purposes of this Award Agreement, “Section 409A” means Section 409A of the Code, and  any final Treasury Regulations and Internal Revenue Service guidance thereunder, as each may be  amended from time to time.  5. Forfeiture Upon Termination as a Service Provider.  Unless specifically provided  otherwise in this Award Agreement or any employment, change in control, separation or similar  agreement by and between the Company and Participant, or a Company policy applicable to  Participant, if Participant ceases to be a Service Provider for any or no reason, the then-unvested  Restricted Stock Units awarded by this Award Agreement will thereupon be forfeited at no cost to the  Company and Participant will have no further rights thereunder.  6. Tax Consequences.  Participant has reviewed with his or her own tax advisors the U.S.  federal, state, local and non-U.S. tax consequences of this investment and the transactions  contemplated by this Award Agreement.  With respect to such matters, Participant relies solely on  such advisors and not on any statements or representations of the Company or any of its agents, written  or oral.  Participant understands that Participant (and not the Company) shall be responsible for  Participant’s own tax liability that may arise as a result of this investment or the transactions  contemplated by this Award Agreement.  7. Death of Participant.  Any distribution or delivery to be made to Participant under this  Award Agreement will, if Participant is then deceased, be made to Participant’s designated  beneficiary, or if no beneficiary survives Participant, the administrator or executor of Participant’s  estate.  Any such transferee must furnish the Company with (a) written notice of his or her status as  transferee, and (b) evidence satisfactory to the Company to establish the validity of the transfer and  compliance with any laws or regulations pertaining to said transfer.  

 

   -3-  8. Tax Obligations  (a) Responsibility for Taxes.  Participant acknowledges that, regardless of any  action taken by the Company or, if different, Participant’s employer (the “Employer”) or Parent or  Subsidiary to which Participant is providing services (together, the Company, Employer and/or Parent  or Subsidiary to which the Participant is providing services, the “Service Recipient”), the ultimate  liability for any tax and/or social insurance liability obligations and requirements in connection with  the Restricted Stock Units, including, without limitation, (i) all federal, state, and local taxes (including  the Participant’s Federal Insurance Contributions Act (FICA) obligation) that are required to be  withheld by the Company or the Employer or other payment of tax-related items related to  Participant’s participation in the Plan and legally applicable to Participant, (ii) the Participant’s and,  to the extent required by the Company (or Service Recipient), the Company’s (or Service Recipient’s)  fringe benefit tax liability, if any, associated with the grant, vesting, or settlement of the Restricted  Stock Units or sale of Shares, and (iii) any other Company (or Service Recipient) taxes the  responsibility for which the Participant has, or has agreed to bear, with respect to the Restricted Stock  Units (or settlement thereof or issuance of Shares thereunder) (collectively, the “Tax Obligations”), is  and remains Participant’s responsibility and may exceed the amount actually withheld by the Company  or the Service Recipient.  Participant further acknowledges that the Company and/or the Service  Recipient (A) make no representations or undertakings regarding the treatment of any Tax Obligations  in connection with any aspect of the Restricted Stock Units, including, but not limited to, the grant,  vesting or settlement of the Restricted Stock Units, the subsequent sale of Shares acquired pursuant to  such settlement and the receipt of any dividends or other distributions, and (B) do not commit to and  are under no obligation to structure the terms of the grant or any aspect of the Restricted Stock Units  to reduce or eliminate Participant’s liability for Tax Obligations or achieve any particular tax result.   Further, if Participant is subject to Tax Obligations in more than one jurisdiction between the Date of  Grant and the date of any relevant taxable or tax withholding event, as applicable, Participant  acknowledges that the Company and/or the Service Recipient (or former employer, as applicable) may  be required to withhold or account for Tax Obligations in more than one jurisdiction.  If Participant  fails to make satisfactory arrangements for the payment of any required Tax Obligations hereunder at  the time of the applicable taxable event, Participant acknowledges and agrees that the Company may  refuse to issue or deliver the Shares.  (b) Tax Withholding.  When Shares are issued as payment for vested Restricted  Stock Units, Participant generally will recognize immediate U.S. taxable income if Participant is a  U.S. taxpayer.  If Participant is a non-U.S. taxpayer, Participant will be subject to applicable taxes in  his or her jurisdiction.  Pursuant to such procedures as the Administrator may specify from time to  time, the Company and/or Service Recipient shall withhold the amount required to be withheld for the  payment of Tax Obligations.  The Administrator, in its sole discretion and pursuant to such procedures  as it may specify from time to time, may permit Participant to satisfy such Tax Obligations, in whole  or in part (without limitation), if permissible by applicable local law, by (i) paying cash, (ii) electing  to have the Company withhold otherwise deliverable Shares having a fair market value equal to the  minimum amount that is necessary to meet the withholding requirement for such Tax Obligations (or  such greater amount as Participant may elect if permitted by the Administrator, if such greater amount  would not result in adverse financial accounting consequences), (iii) withholding the amount of such  Tax Obligations from Participant’s wages or other cash compensation paid to Participant by the  Company and/or the Service Recipient, (iv) delivering to the Company already vested and owned  Shares having a fair market value equal to such Tax Obligations, or (v) selling a sufficient number of  

 

   -4-  such Shares otherwise deliverable to Participant through such means as the Company may determine  in its sole discretion (whether through a broker or otherwise) equal to the minimum amount that is  necessary to meet the withholding requirement for such Tax Obligations (or such greater amount as  Participant may elect if permitted by the Administrator, if such greater amount would not result in  adverse financial accounting consequences).  To the extent determined appropriate by the  Administrator in its discretion, it will have the right (but not the obligation) to satisfy any tax  withholding obligations under the method prescribed under Section 8(ii) and, until determined  otherwise by the Administrator, this will be the method by which such tax withholding obligations are  satisfied. Further, if Participant is subject to tax in more than one jurisdiction between the Date of  Grant and a date of any relevant taxable or tax withholding event, as applicable, Participant  acknowledges and agrees that the Company and/or the Service Recipient (and/or former employer, as  applicable) may be required to withhold or account for tax in more than one jurisdiction.  If Participant  fails to make satisfactory arrangements for the payment of such Tax Obligations hereunder at the time  any applicable Restricted Stock Units otherwise are scheduled to vest pursuant to Sections 3 or 4,  Participant will permanently forfeit such Restricted Stock Units and any right to receive Shares  thereunder and such Restricted Stock Units will be returned to the Company at no cost to the Company.   Participant acknowledges and agrees that the Company may refuse to deliver the Shares if such Tax  Obligations are not delivered at the time they are due.  9. Rights as Stockholder.  Neither Participant nor any person claiming under or through  Participant will have any of the rights or privileges of a stockholder of the Company in respect of any  Shares deliverable hereunder unless and until certificates representing such Shares (which may be in  book entry form) will have been issued, recorded on the records of the Company or its transfer agents  or registrars, and delivered to Participant (including through electronic delivery to a brokerage  account).  After such issuance, recordation, and delivery, Participant will have all the rights of a  stockholder of the Company with respect to voting such Shares and receipt of dividends and  distributions on such Shares.  10. No Guarantee of Continued Service.  PARTICIPANT ACKNOWLEDGES AND  AGREES THAT THE VESTING OF THE RESTRICTED STOCK UNITS PURSUANT TO THE  VESTING SCHEDULE HEREOF IS EARNED ONLY BY CONTINUING AS A SERVICE  PROVIDER, WHICH UNLESS PROVIDED OTHERWISE UNDER APPLICABLE LAW IS AT  THE WILL OF THE COMPANY (OR THE SERVICE RECIPIENT) AND NOT THROUGH THE  ACT OF BEING HIRED, BEING GRANTED THIS RESTRICTED STOCK UNIT AWARD OR  ACQUIRING SHARES HEREUNDER.  PARTICIPANT FURTHER ACKNOWLEDGES AND  AGREES THAT THIS AWARD AGREEMENT, THE TRANSACTIONS CONTEMPLATED  HEREUNDER AND THE VESTING SCHEDULE SET FORTH HEREIN DO NOT CONSTITUTE  AN EXPRESS OR IMPLIED PROMISE OF CONTINUED ENGAGEMENT AS A SERVICE  PROVIDER FOR THE VESTING PERIOD, FOR ANY PERIOD, OR AT ALL, AND SHALL NOT  INTERFERE IN ANY WAY WITH PARTICIPANT’S RIGHT OR THE RIGHT OF THE  COMPANY (OR THE SERVICE RECIPIENT) TO TERMINATE PARTICIPANT’S  RELATIONSHIP AS A SERVICE PROVIDER, SUBJECT TO APPLICABLE LAW, WHICH  TERMINATION, UNLESS PROVIDED OTHERWISE UNDER APPLICABLE LAW, MAY BE AT  ANY TIME, WITH OR WITHOUT CAUSE.  11. Grant is Not Transferable.  Except to the limited extent provided in Section 7, this grant  and the rights and privileges conferred hereby will not be transferred, assigned, pledged or  

 

   -5-  hypothecated in any way (whether by operation of law or otherwise) and will not be subject to sale  under execution, attachment or similar process.  Upon any attempt to transfer, assign, pledge,  hypothecate or otherwise dispose of this grant, or any right or privilege conferred hereby, or upon any  attempted sale under any execution, attachment or similar process, this grant and the rights and  privileges conferred hereby immediately will become null and void.  12. Nature of Grant.  In accepting the grant, Participant acknowledges, understands, and  agrees that:  (a) the grant of the Restricted Stock Units is voluntary and occasional and does not  create any contractual or other right to receive future grants of Restricted Stock Units, or benefits in  lieu of Restricted Stock Units, even if Restricted Stock Units have been granted in the past;   (b) all decisions with respect to future Restricted Stock Units or other grants, if any,  will be at the sole discretion of the Company;   (c) Participant is voluntarily participating in the Plan;   (d) the Restricted Stock Units and the Shares subject to the Restricted Stock Units  are not intended to replace any pension rights or compensation;  (e) the Restricted Stock Units and the Shares subject to the Restricted Stock Units,  and the income and value of same, are not part of normal or expected compensation for purposes of  calculating any severance, resignation, termination, redundancy, dismissal, end-of-service payments,  bonuses, long-service awards, pension or retirement or welfare benefits or similar payments;   (f) the future value of the underlying Shares is unknown, indeterminable and  cannot be predicted;   (g) for purposes of the Restricted Stock Units, Participant’s status as a Service  Provider will be considered terminated as of the date Participant is no longer actively providing  services to the Company or any Parent or Subsidiary (regardless of the reason for such termination  and whether or not later to be found invalid or in breach of employment laws in the jurisdiction where  Participant is a Service Provider or the terms of Participant’s employment or service agreement, if  any), and unless otherwise expressly provided in this Award Agreement (including by reference in the  Notice of Grant to other arrangements or contracts) or determined by the Administrator, Participant’s  right to vest in the Restricted Stock Units under the Plan, if any, will terminate as of such date and will  not be extended by any notice period (e.g., Participant’s period of service would not include any  contractual notice period or any period of “garden leave” or similar period mandated under  employment laws in the jurisdiction where Participant is a Service Provider or the terms of  Participant’s employment or service agreement, if any, unless Participant is providing bona fide  services during such time); the Administrator shall have the exclusive discretion to determine when  Participant is no longer actively providing services for purposes of the Restricted Stock Units grant  (including whether Participant may still be considered to be providing services while on a leave of  absence and consistent with local law);   (h) unless otherwise provided in the Plan or by the Company in its discretion, the  Restricted Stock Units and the benefits evidenced by this Award Agreement do not create any  

 

   -6-  entitlement to have the Restricted Stock Units or any such benefits transferred to, or assumed by,  another company nor be exchanged, cashed out or substituted for, in connection with any corporate  transaction affecting the Shares; and  (i) the following provisions apply only if Participant is providing services outside  the United States:  (i) the Restricted Stock Units and the Shares subject to the Restricted Stock  Units are not part of normal or expected compensation or salary for any purpose;  (ii) Participant acknowledges and agrees that none of the Company, the  Employer or any Parent or Subsidiary shall be liable for any foreign exchange rate fluctuation between  Participant’s local currency and the United States Dollar that may affect the value of the Restricted  Stock Units or of any amounts due to Participant pursuant to the settlement of the Restricted Stock  Units or the subsequent sale of any Shares acquired upon settlement; and  (iii) no claim or entitlement to compensation or damages shall arise from  forfeiture of the Restricted Stock Units resulting from the termination of Participant’s status as a  Service Provider (for any reason whatsoever whether or not later found to be invalid or in breach of  employment laws in the jurisdiction where Participant is a Service Provider or the terms of  Participant’s employment or service agreement, if any), and in consideration of the grant of the  Restricted Stock Units to which Participant is otherwise not entitled, Participant irrevocably agrees  never to institute any claim against the Company, any Parent or Subsidiary or the Service Recipient,  waives his or her ability, if any, to bring any such claim, and releases the Company, any Parent or  Subsidiary and the Service Recipient from any such claim; if, notwithstanding the foregoing, any such  claim is allowed by a court of competent jurisdiction, then, by participating in the Plan, Participant  shall be deemed irrevocably to have agreed not to pursue such claim and agrees to execute any and all  documents necessary to request dismissal or withdrawal of such claim.  13. No Advice Regarding Grant.  The Company is not providing any tax, legal or financial  advice, nor is the Company making any recommendations regarding Participant’s participation in the  Plan, or Participant’s acquisition or sale of the underlying Shares.  Participant is hereby advised to  consult with his or her own personal tax, legal and financial advisors regarding his or her participation  in the Plan before taking any action related to the Plan.  14. Data Privacy.  Participant hereby explicitly and unambiguously consents to the  collection, use and transfer, in electronic or other form, of Participant’s personal data as described  in this Award Agreement and any other Restricted Stock Unit grant materials by and among, as  applicable, the Employer, or other Service Recipient the Company and any Parent or Subsidiary for  the exclusive purpose of implementing, administering and managing Participant’s participation in  the Plan.  Participant understands that the Company and the Service Recipient may hold certain  personal information about Participant, including, but not limited to, Participant’s name, home  address and telephone number, date of birth, social insurance number or other identification  number, salary, nationality, job title, any Shares or directorships held in the Company, details of all  Restricted Stock Units or any other entitlement to Shares awarded, canceled, exercised, vested,  

 

   -7-  unvested or outstanding in Participant’s favor (“Data”), for the exclusive purpose of implementing,  administering and managing the Plan.    Participant understands that Data will be transferred to a stock plan service provider as may  be selected by the Company in the future, which is assisting the Company with the implementation,  administration, and management of the Plan.  Participant understands that the recipients of the  Data may be located in the United States or elsewhere, and that the recipients’ country of operation  (e.g., the United States) may have different data privacy laws and protections than Participant’s  country.  Participant understands that if he or she resides outside the United States, he or she may  request a list with the names and addresses of any potential recipients of the Data by contacting his  or her local human resources representative.  Participant authorizes the Company, any stock plan  service provider selected by the Company and any other possible recipients which may assist the  Company (presently or in the future) with implementing, administering and managing the Plan to  receive, possess, use, retain and transfer the Data, in electronic or other form, for the sole purpose  of implementing, administering and managing his or her participation in the Plan.  Participant  understands that Data will be held only as long as is necessary to implement, administer and  manage Participant’s participation in the Plan.  Participant understands if he or she resides outside  the United States, he or she may, at any time, view Data, request additional information about the  storage and processing of Data, require any necessary amendments to Data or refuse or withdraw  the consents herein, in any case without cost, by contacting in writing his or her local human  resources representative.  Further, Participant understands that he or she is providing the consents  herein on a purely voluntary basis.  If Participant does not consent, or if Participant later seeks to  revoke his or her consent, his or her status as a Service Provider and career with the Service  Recipient will not be adversely affected; the only adverse consequence of refusing or withdrawing  Participant’s consent is that the Company would not be able to grant Participant Restricted Stock  Units or other equity awards or administer or maintain such awards.  Therefore, Participant  understands that refusing or withdrawing his or her consent may affect Participant’s ability to  participate in the Plan.  For more information on the consequences of Participant’s refusal to  consent or withdrawal of consent, Participant understands that he or she may contact his or her  local human resources representative.  15. Address for Notices.  Any notice to be given to the Company under the terms of this  Award Agreement will be addressed to the Company at nLIGHT, Inc. 4637 NW 18th Avenue, Camas,  WA 98607 or at such other address as the Company may hereafter designate in writing.  16. Electronic Delivery and Acceptance.  The Company may, in its sole discretion, decide  to deliver any documents related to the Restricted Stock Units awarded under the Plan or future  Restricted Stock Units that may be awarded under the Plan by electronic means or request Participant’s  consent to participate in the Plan by electronic means.  Participant hereby consents to receive such  documents by electronic delivery and agrees to participate in the Plan through any on-line or electronic  system established and maintained by the Company or a third party designated by the Company.  17. No Waiver.  Either party’s failure to enforce any provision or provisions of this Award  Agreement shall not in any way be construed as a waiver of any such provision or provisions, nor  prevent that party from thereafter enforcing each and every other provision of this Award Agreement.   The rights granted both parties herein are cumulative and shall not constitute a waiver of either party’s  right to assert all other legal remedies available to it under the circumstances.  

 

   -8-  18. Successors and Assigns.  The Company may assign any of its rights under this Award  Agreement to single or multiple assignees, and this Award Agreement shall inure to the benefit of the  successors and assigns of the Company.  Subject to the restrictions on transfer herein set forth, this  Award Agreement shall be binding upon Participant and his or her heirs, executors, administrators,  successors and assigns.  The rights and obligations of Participant under this Award Agreement may  only be assigned with the prior written consent of the Company.  19. Additional Conditions to Issuance of Stock.  If at any time the Company will determine,  in its discretion, that the listing, registration, qualification or rule compliance of the Shares upon any  securities exchange or under any state, federal or non-U.S. law, the tax code and related regulations or  under the rulings or regulations of the United States Securities and Exchange Commission or any other  governmental regulatory body or the clearance, consent or approval of the United States Securities  and Exchange Commission or any other governmental regulatory authority is necessary or desirable  as a condition to the issuance of Shares to Participant (or his or her estate) hereunder, such issuance  will not occur unless and until such listing, registration, qualification, rule compliance, clearance,  consent or approval will have been completed, effected or obtained free of any conditions not  acceptable to the Company.  Subject to the terms of the Award Agreement and the Plan, the Company  shall not be required to issue any certificate or certificates for Shares hereunder prior to the lapse of  such reasonable period of time following the date of vesting of the Restricted Stock Units as the  Administrator may establish from time to time for reasons of administrative convenience.  20. Language.  If Participant has received this Award Agreement or any other document  related to the Plan translated into a language other than English and if the meaning of the translated  version is different than the English version, the English version will control.  21. Interpretation.  The Administrator will have the power to interpret the Plan and this  Award Agreement and to adopt such rules for the administration, interpretation and application of the  Plan as are consistent therewith and to interpret or revoke any such rules (including, but not limited  to, the determination of whether or not any Restricted Stock Units have vested).  All actions taken and  all interpretations and determinations made by the Administrator in good faith will be final and binding  upon Participant, the Company and all other interested persons.  Neither the Administrator nor any  person acting on behalf of the Administrator will be personally liable for any action, determination, or  interpretation made in good faith with respect to the Plan or this Award Agreement.  22. Captions.  Captions provided herein are for convenience only and are not to serve as a  basis for interpretation or construction of this Award Agreement.  23. Amendment, Suspension or Termination of the Plan.  By accepting this Award,  Participant expressly warrants that he or she has received an Award of Restricted Stock Units under  the Plan, and has received, read, and understood a description of the Plan.  Participant understands that  the Plan is discretionary in nature and may be amended, suspended or terminated by the Company at  any time.  24. Modifications to the Award Agreement.  This Award Agreement constitutes the entire  understanding of the parties on the subjects covered.  Participant expressly warrants that he or she is  not accepting this Award Agreement in reliance on any promises, representations, or inducements  other than those contained herein.  Modifications to this Award Agreement or the Plan can be made  

 

   -9-  only in an express written contract executed by a duly authorized officer of the Company.   Notwithstanding anything to the contrary in the Plan or this Award Agreement, the Company reserves  the right to revise this Award Agreement as it deems necessary or advisable, in its sole discretion and  without the consent of Participant, to comply with Section 409A or to otherwise avoid imposition of  any additional tax or income recognition under Section 409A in connection to this Award of Restricted  Stock Units.  25. Governing Law; Venue; Severability.  This Award Agreement and the Restricted Stock  Units are governed by the internal substantive laws, but not the choice of law rules, of Washington.   For purposes of litigating any dispute that arises under these Restricted Stock Units or this Award  Agreement, the parties hereby submit to and consent to the jurisdiction of the State of Washington,  and agree that such litigation will be conducted in the courts of Clark County, Washington, or the  federal courts for the United States for the Western District of Washington and no other courts, where  this Award Agreement is made and/or to be performed.  In the event that any provision hereof becomes  or is declared by a court of competent jurisdiction to be illegal, unenforceable or void, this Award  Agreement shall continue in full force and effect.   26. Entire Agreement.  The Plan is incorporated herein by reference.  The Plan and this  Award Agreement (including the appendices and exhibits referenced herein) constitute the entire  agreement of the parties with respect to the subject matter hereof and supersede in their entirety all  prior undertakings and agreements of the Company and Participant with respect to the subject matter  hereof, and may not be modified adversely to the Participant’s interest except by means of a writing  signed by the Company and Participant.  27. Country Addendum.  Notwithstanding any provisions in this Award Agreement, the  Restricted Stock Unit grant shall be subject to any special terms and conditions set forth in the  appendix (if any) to this Award Agreement for Participant’s country.  Moreover, if Participant  relocates to one of the countries included in the Country Addendum (if any), the special terms and  conditions for such country will apply to Participant, to the extent the Company determines that the  application of such terms and conditions is necessary or advisable for legal or administrative reasons.   The Country Addendum constitutes part of this Award Agreement.   28. Clawback. By accepting this Award, Participant agrees that this Award of Restricted  Stock Units (including any proceeds, gains or other economic benefit received by Participant from a  subsequent sale of Shares acquired through the Award) will be subject to the provision of Section 22  of the Plan with respect to forfeiture or clawback.     

 

   -10-  EXHIBIT B  PERFORMANCE MATRIX  The following terms shall apply to the Award of Restricted Stock Units granted to the  Participant identified in the Notice of Grant to which this Performance Matrix is attached.  Unless  otherwise defined herein, capitalized terms shall have the meanings set forth in the Plan or Award  Agreement, as applicable.  Performance Metrics  and Weighting:  The Restricted Stock Units will become Earned Units (if at all) based on  achievement with respect to Relative Total Shareholder Return or  Relative TSR, as defined below, in accordance with this Exhibit B:  Award Determination  and Payout:  Following the last day of the Performance Period (the “Performance  Measurement Date”), or such earlier Adjusted Performance  Measurement Date as provided under the paragraph titled “Change in  Control” below, the Administrator will certify whether and to what  extent the Relative TSR performance metric has been achieved.  Based on this certification, the Administrator will determine whether and  to what extent the Restricted Stock Units will become Earned Units  based on the Applicable Percentage determined as set forth below.  Any Restricted Stock Units that become Earned Units pursuant to the  determination above will vest as set forth in the “Vesting Schedule”  under the Notice of Grant.  Any Restricted Stock Units that do not become Earned Units based on  achievement against the Relative TSR performance metric, as  determined by the Administrator, will be immediately forfeited as of the  date of such determination, and returned to the Plan share reserve.  Change in Control Notwithstanding the above, in the event that Participant remains a  Service Provider through immediately prior to a Change in Control  occurring before the last day of the Performance Period, the  determination of whether and to what extent the Relative TSR  performance metric has been achieved, will be made as provided under  the paragraph titled “Change in Control” below.  Relative TSR.  The number of Restricted Stock Units that will become Earned Units (if any)  will be determined based on the Company’s “Relative TSR” or “Relative Total Shareholder Return”,  which considers how the Total Shareholder Return (“TSR”) of the Company compares to the TSRs of  the Indexed Companies (as defined below) for the Performance Period.  The “Index” means the Russell 2000 Index (which, as of the date of this Agreement, is  represented by the symbol “^RUT”), or any successor index thereto.  “Indexed Companies” means  companies that are both (i) in the Index as of the beginning of the Performance Period and (ii) listed  

 

   -11-  on any established stock exchange or a national market system as of the end of the Performance Period  or the Adjusted Performance Period (as defined below), as applicable.  The following changes may be  made to the Indexed Companies:  (i)    In the event of a merger, acquisition or business combination transaction of an Indexed  Company with or by another Indexed Company, the surviving entity shall remain an Indexed  Company.  (ii)   In the event of a merger of an Indexed Company with an entity that is not an Indexed  Company, or the acquisition or business combination transaction by or with an Indexed Company, or  with an entity that is not an Indexed Company, in each case where the Indexed Company is the  surviving entity and remains publicly traded, the surviving entity shall remain an Indexed Company.  (iii) In the event of a merger or acquisition or business combination transaction of an Indexed  Company by or with an entity that is not an Indexed Company, a “going private” transaction involving  an Indexed Company or the liquidation of an Indexed Company, where the Indexed Company is not  the surviving entity or is otherwise no longer publicly traded, the company shall no longer be an  Indexed Company.  (iv)  In the event of a bankruptcy of an Indexed Company, such company shall remain an  Indexed Company.  (v)  In the event of a stock distribution from an Indexed Company consisting of the shares of  a new publicly-traded company (a “spin-off”), the Indexed Company shall remain an Indexed  Company and the stock distribution shall be treated as a dividend from the Indexed Company based  on the closing price of the shares of the spun-off company on its first day of trading.  The performance  of the shares of the spun-off company shall not thereafter be tracked for purposes of calculating TSR.  Calculation.  Except as provided under the paragraph titled “Change in Control” below, the  number of Restricted Stock Units that will become Earned Units (if any) will be determined based on  the TSR of the Company (the “Company TSR”) during the Performance Period relative to the TSRs  of the Indexed Companies (each, an “Indexed Company TSR”) during the Performance Period,  determined as follows:  1. Step 1: Calculate the beginning price with respect to the Company and each Indexed  Company by determining the average of the closing market prices of such company’s  common stock on the principal exchange on which such stock is traded for the twenty  (20) consecutive trading days ending on the last trading day before the Performance  Period begins (each, a “Beginning Price”).  For the purpose of determining each  Beginning Price, the value of dividends and other distributions (the ex-dividend date  for which occurs during the twenty (20) trading day measurement period) will be  determined by treating them as reinvested in additional shares of stock at the closing  market price on the ex-dividend date.   2. Step 2: Calculate the ending price with respect to the Company and each Indexed  Company by determining the average of the closing market prices of such company’s  common stock on the principal exchange on which such stock is traded for the twenty  (20) consecutive trading days ending on the last trading day of such Performance  

 

   -12-  Period (each, an “Ending Price”).  For the purpose of determining each Ending Price,  the value of dividends and other distributions (the ex-dividend date which occurs  during a Performance Period) will be determined by treating them as reinvested in  additional shares of stock at the closing market price on the ex-dividend date.    3. Step 3: Calculate the Company TSR and each Indexed Company TSR for such  Performance Period by applying the following formula: (Ending Price/Beginning  Price)-1.  The Company TSR and each Indexed Company TSR will each be expressed  as a percent of increase (i.e., a positive percent) or decrease (i.e., a negative percent).  4. Step 4: Rank the Company TSR and the Indexed Company TSRs from highest (highest  positive percentage) to lowest (highest negative percentage) and determine the  percentile ranking of the Company TSR relative to the Indexed Company TSRs.   5. Step 5: Based on the percentile ranking of the Company TSR relative to the Indexed  Company TSRs under Step 4, calculate the number of Restricted Stock Units that will  become Earned Units (if any) by determining the product of (x) the Applicable  Percentage (in the table below) multiplied by (y) the applicable Target Number of  Restricted Stock Units (i.e., 50% of the total Target Number of Restricted Stock Units),  with the number of resulting Earned Units rounded to the nearest whole Restricted  Stock Unit (applying standard rounding principles).    The Applicable Percentage will be determined as follows:     Percentile Rank  Applicable Percentage of Target  Number of Restricted Stock Units  That Become Earned Units  If Company TSR  is Positive  If Company TSR  is Negative  Below 25th percentile None None  25th percentile 50% 50%  50th percentile 100% 100%  75th percentile 200% 100%  If the Company TSR ranks among the Indexed Company TSRs at a percentile that falls  between the percentile thresholds set forth above, the Applicable Percentage will be  determined based on a linear interpolation between the corresponding Applicable  Percentages for such thresholds.   Any Restricted Stock Units that become Earned Units pursuant to the determination  above will vest as set forth in the “Vesting Schedule” under the Notice of Grant.  

 

   -13-  The Administrator’s determination as to the number of Restricted Stock Units that  become Earned Units (if any) will be deemed to be final and binding on Participant and  any other holder of this Award and will be given the maximum deference permitted by  Applicable Laws.  Change in Control.  Notwithstanding the foregoing paragraph, notwithstanding the terms of  any equity award vesting acceleration provision of the Plan, any employment, change in control,  separation or similar agreement by and between the Company and Participant, or a Company policy  applicable to Participant that addresses a “single-trigger” Change in Control without regard to any  cessation of services by Participant, but subject to any vesting acceleration provision of any such plan,  agreement or policy that addresses a “double-trigger” cessation of services by Participant in  connection with a Change in Control, if Participant remains a Service Provider through immediately  prior to a Change in Control occurring before the last day of the Performance Period, the number of  Restricted Stock Units that will become Earned Units (if any) for such Performance Period will be  calculated applying Steps 1 through 5 under the paragraph titled “Calculation” above, except as  follows:  (a) Rather than being determined based on performance over the full Performance Period,  the number of Earned Units (if any) will instead be determined based on performance  over the adjusted performance period beginning on the first day of such Performance  Period and ending on the third trading day prior to the date of the Change in Control  (such period, the “Adjusted Performance Period,” and such ending date, the “Adjusted  Performance Measurement Date”), and any references to the “Performance Period”  under the paragraph titled “Calculation” will refer to the “Adjusted Performance  Period.”  (b) The Ending Price for purposes of calculating the Company TSR will equal the price  payable for a Share in connection with the Change in Control, with the final  determination of the amount so payable determined by the Administrator.  For purposes  of clarity, if the price payable for a Share in connection with the Change in Control is  in the form of securities or other non-cash consideration, the value of such securities or  consideration, as applicable, shall be determined by the Administrator, in its discretion.  (c) The Ending Price for each share of an Indexed Company will be the average of the  closing market prices of such company’s common stock on the principal exchange on  which such stock is traded for the twenty (20) consecutive trading days ending on the  last trading day of the Adjusted Performance Period.    (d) The number of Restricted Stock Units that become Earned Units upon the Change in  Control will equal the number of Restricted Stock Units that become Earned Units after  applying the rules under “Step 5” under the paragraph titled “Calculation” above, as  modified by clauses (a) through (c) in this “Change in Control” paragraph.  Any  Restricted Stock Units that become Earned Units pursuant to this determination will  vest as set forth in the “Vesting Schedule” under the Notice of Grant.  (e) No later than immediately prior to the Change in Control, the Administrator will certify  in writing the Company TSR percentile rank relative to the Indexed Company TSRs  

 

   -14-  and the resulting number of Earned Units (if any).  On the effective date of such  determination, any Restricted Stock Units that do not become Earned Units will  immediately be forfeited at no cost to the Company.  Notwithstanding the terms of any equity award vesting acceleration provision of the Plan, any  employment, change in control, separation or similar agreement by and between the Company and  Participant, or a Company policy applicable to Participant that addresses a “single-trigger” Change in  Control without regard to any cessation of services by Participant, but subject to any vesting  acceleration provision of any such plan, agreement or policy that addresses a “double-trigger”  cessation of services by Participant in connection with a Change in Control, the occurrence of a  Change in Control (or similar event) will not change the service requirements with respect to any  Restricted Stock Units that may become Earned Units hereunder; and vesting of any such Earned Units  will remain subject to Participant’s continued service through the Vesting Date, as set forth in the  Notice above.  Administrator’s Determinations Binding.  All determinations regarding the list of Indexed  Companies, each Beginning Price, each Ending Price, the Company TSR, each Indexed Company  TSR, and the Applicable Percentage will be made by the Administrator in its sole discretion and all  such determinations will be final and binding on all parties.

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