Document:

Environmental Indemnity Agreement

 Exhibit 10.4 
 ENVIRONMENTAL INDEMNITY AGREEMENT 
 THIS ENVIRONMENTAL INDEMNITY AGREEMENT (this
“Agreement”), dated as of June 17, 2008 is made by STERLING MINING COMPANY, an Idaho corporation (“Borrower”) to and for the benefit of those
individuals/entities listed on the attached Exhibit “A,” and their successors and assigns (“Lender”). 
 R E C I T A L
S: 
 A. WHEREAS, Lender has extended to Borrower a loan in the principal amount of
Two MILLION FOUR HUNDRED THOUSAND DOLLARS AND No/100 ($2,400,000.00) (“Loan”). 
 B. WHEREAS, The Loan is evidenced by a Promissory Note of even date herewith (as amended from time to
time, “Note”), executed by Borrower and payable to the order of Lender, and is secured by a Mortgage, Assignment of Leases and Rents, Security Agreement, and Fixture Filing of even date herewith (as amended from time to time,
“Mortgage”), from Borrower in favor of Lender encumbering real property located in Shoshone County, Idaho, as described on Exhibit “B” attached hereto, together with the other collateral as described in the Mortgage (the real
property and other collateral being collectively referred to as “Property”) (capitalized terms used and not specifically defined herein shall bear the same meaning as in the Mortgage). 
 C. WHEREAS, As a condition precedent to making the Loan, Lender has required that Indemnitors (as
defined below) indemnify Lender with respect to environmental conditions and operations at the Property as set forth below. 
 NOW,
THEREFORE, to induce Lender to extend the Loan to Borrower and in consideration of the foregoing premises and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged. Indemnitors hereby covenant
and agree for the benefit of Lender and the other Indemnified Parties (as defined below), as follows: 
 1. Environmental
Matters. 
 (a) Definitions. For purposes of this Agreement the following terms have the following meanings:

 “Environmental Laws” means any and all federal, state and local laws (whether under common law, statute,
rule, regulation or otherwise), requirements under permits or other authorizations issued with respect thereto, and other orders, decrees, judgments, directives or other requirements of any governmental authority relating to or imposing liability or
standards of conduct (including disclosure or notification) concerning protection of human health or the environment or Hazardous Substances or any activity involving Hazardous Substances, all as previously and in the future to be amended.

 “Hazardous Substance” means, but is not limited to any and all substances (whether solid, liquid or gas)
defined, listed, or otherwise classified as pollutants, hazardous wastes, hazardous substances, hazardous materials, extremely hazardous wastes, or words of similar meaning or regulatory effect under any present or future 

  

 1 

 
Environmental Laws or that may have a negative impact on human health or the environment, including but not limited to petroleum and petroleum products,
asbestos and asbestos-containing materials, polychlorinated biphenyls, lead, radon, radioactive materials, flammables and explosives, but excluding substances of kinds and in amounts ordinarily and customarily present used or stored in similar
properties, and otherwise in compliance with all Environmental Laws. 
 “Indemnified Parties” means and
includes Lender, their parent, subsidiaries, and affiliated companies, assignees of any of Lender’s interest in the Loan or the Loan Documents, any servicer or originator of the Loan, and the officers, directors, employees, agents and
contractors of any of the foregoing parties. 
 “Indemnitors” means Borrower, its parent, subsidiaries, and
affiliated companies. 
 “Loan Documents” means the Note, the Mortgage, this Agreement and any other document
given by any Indemnitor to evidence or secure the Loan, as amended from time to time. 
 “Release” means any
release, deposit discharge, emission, leaking, leaching, spilling, seeping, migrating, injecting, pumping, pouring, emptying, escaping, dumping, disposing or other movement of Hazardous Substances. 
 (b) Environmental Representations and Warranties. Indemnitors hereby represent and warrant to Indemnified Parties that, as
of the date hereof: 
 (i) neither the Property nor any operations of Borrower are in violation of any Environmental Laws or
any permit or other authorization issued pursuant thereto; 
 (ii) no Hazardous Substances are, or to Indemnitors’
knowledge and belief, have been handled, generated, stored, processed or otherwise managed on or at the Property except for those substances used by Borrower at the Property in the ordinary course of their businesses and in compliance with all
Environmental Laws; 
 (iii) there are not, to Indemnitors’ knowledge, any past or present Releases of Hazardous
Substances in, on, under or from the Property; 
 (iv) the Property is not subject to any private or governmental lien or
judicial or administrative notice or action relating to Hazardous Substances; 
 (v) there are no existing or closed
underground storage tanks or other underground storage receptacles for Hazardous Substances on the Property; 
 (vi) Borrower
has received no notice of, and to Borrower’s knowledge, there exists no current investigation, action, proceeding or claim by any agency, authority or unit of government or by any third party which could result in any liability, penalty,
sanction or judgment under any Environmental Laws with respect to any condition, use or operation of the Property or any of Borrower’s operations, nor does Borrower know of any basis for such a claim; 
  

 2 

 (vii) there has been no claim by any party that any use, operation or condition of the
Property or any of Borrower’s operations has caused any nuisance or any other liability or adverse condition on any other property nor does Borrower know of any basis for such a claim: and 
 (viii) there are no agreements, consent orders, decrees, judgments, license or permit conditions or other orders or directives of any
federal, state or local court, governmental agency or authority or agreements, whether settlement agreements or otherwise, with any third parties relating to the ownership, use, operation, sale, transfer or conveyance of the Property that require
any change in the present condition of the Property or any work, repairs, construction, containment, clean up, investigations, studies, removal or other remedial action or capital expenditures with respect to the Property. 
 (ix) the Property is subject to regulation by federal and state authorities as part of an ongoing mining and milling operation (the
“Operations”). The Operations are conducted pursuant to federal and state Environmental Laws. Borrower holds all necessary and required permits as required by applicable Environmental Laws. 
 (c) Environmental Covenants. Borrower covenants and agrees that Borrower: (i) shall keep or cause the Property to be
kept free from Hazardous Substances (except those substances used by Borrower at the Property in the ordinary course of its businesses and in compliance with all Environmental Laws); (ii) shall not install or use any underground storage tanks,
shall not itself engage in the use, generation, handling, storage, production, processing or management of Hazardous Substances, except in the ordinary course of their businesses and in compliance with all Environmental Laws; (iii) shall not
itself cause or allow and shall expressly prohibit the Release of Hazardous Substances at, on, under, or from the Property; shall itself comply and shall expressly require any other persons who may come upon the Property to comply with all
Environmental Laws; (iv) shall keep the Property free and clear of all liens and other encumbrances imposed pursuant to any Environmental Law, whether due to any act or omission of Borrower or any other person or entity (“Environmental
Liens”); (v) shall comply and cause all occupants of the Property to comply with the reasonable recommendations of any qualified environmental engineer or other expert that apply or pertain to the environmental condition of the Property;
and, (vi) without limiting the generality of the foregoing, during the term of this Agreement, shall not use any construction materials which contain asbestos nor install in the Improvements on the Property or permit to be installed in the
Improvements on the Property, any materials which contain asbestos. 
 (d) Notice and Access. Indemnitors shall
promptly notify Indemnified Parties in writing if Indemnitors knows, suspects or believes there is or are (i) any Hazardous Substances, other than those used by Borrower at the Property in the ordinary course of their businesses and in
compliance with all Environmental Laws, present on the Property; (ii) any Release of Hazardous Substances in, on, under, from or migrating towards the Property; (iii) any non-compliance with Environmental Laws related in any way to the
Property; (iv) any actual or potential Environmental Liens; (v) any 

  

 3 

 
investigation or action or claim, whether threatened or pending, by any governmental agency or third party pertaining to the Release of Hazardous Substances
in, on, under, from, or migrating towards the Property; and (vi) any installation of wells, piping, or other equipment at the Property to investigate, remediate or otherwise address any Release of Hazardous Substances at, on, in or in the
vicinity of the Property. Indemnitors shall promptly, at Indemnitors’ sole cost and expense, take all reasonable actions with respect to any Hazardous Substances or other environmental condition at, on or under the Property or other affected
property, including all investigative, monitoring, removal, containment and remedial actions in accordance with all applicable Environmental Laws, including the payment, at no expense to Indemnified Parties, of all clean-up, administrative and
enforcement costs of applicable governmental agencies which may be asserted against the Property in all instances as necessary to (A) comply with all applicable Environmental Laws; (B) protect human health or the environment;
(C) allow continued use, occupation, or operation of the Property; and (D) maintain fair market value of the Property (collectively, “Completion of the Clean-up”). In the event Indemnitors fail to do so, Indemnified Parties may,
but shall not be obligated or have any duty to, cause the Completion of the Clean-up of the Property. Indemnitors hereby grant to Indemnified Parties and their agents and employees access to the Property as provided in Section l(f) below, and a
license to remove any items reasonably deemed by Indemnified Parties to be Hazardous Substances and to take all reasonable steps Indemnified Parties shall deem necessary to cause the Completion of the Clean-up of the Property. 
 (e) Indemnification. Indemnitors covenant and agree, at Indemnitors’ sole cost and expense, to indemnify, defend (at
trial and appellate levels, and with attorneys, consultants and experts acceptable to Indemnified Parties), and hold Indemnified Parties harmless from and against any and all liens, damages (including, without limitation, consequential damages),
losses, liabilities, obligations, settlement payments, penalties, claims, judgments, suits, proceedings, costs, disbursements or expenses of any kind or of any nature whatsoever (including reasonable attorneys’, consultants’ and
experts’ fees and disbursements actually incurred in investigating, defending, settling or prosecuting any claim, litigation or proceeding) which may at any time be imposed upon, incurred by or asserted against Indemnified Parties or the
Property, and arising directly or indirectly from or out of: 
 (i) the past, present or future presence, Release or threat
of Release of any Hazardous Substances on, in, under or affecting all or any portion of the Property or any surrounding areas, regardless of whether or not caused by or within the control of any Indemnitor; 
 (ii) the past, present or future violation of any Environmental Laws, relating to or affecting the Property or Borrower’s
operations, whether or not caused by or within the control of Indemnitor; 
 (iii) the failure by Indemnitors to comply fully
with the terms and conditions of this Section 1; 
  

 4 

 (iv) any misrepresentation or inaccuracy in or the breach of any representation or
warranty contained in this Section 1; or 
 (v) the enforcement of this Section 1, including any liabilities that
arise as a result of the actions taken or caused to be taken by Indemnified Parties under this Section 1, the cost of assessment, containment and/or removal of any and all Hazardous Substances from all or any portion of the Property or any
surrounding areas, the cost of any actions taken in response to the presence. Release or threat of Release of any Hazardous Substances on, in, under or affecting any portion of the Property or any surrounding areas to prevent or minimize such
Release or threat of Release so that it does not migrate or otherwise cause or threaten danger to present or future public health, safety, welfare or the environment, and costs incurred to comply with the Environmental Laws in connection with all or
any portion of the Property or any surrounding areas. Indemnified Parties’ rights under this Section 1 shall survive payment in full of Borrower’s obligations under the Loan Documents and shall be in addition to all other rights of
Indemnified Parties under the Mortgage, the Note and the other Loan Documents. The foregoing notwithstanding, Indemnitors’ obligations under this Section 1 with regard to any Post Transfer Indemnification Responsibilities (as hereinafter
defined) shall be limited to such obligations directly or indirectly arising out of or resulting from any Hazardous Substances that were present or released in, on, or around any part of the Property, or in the soil, groundwater or soil vapor on or
under the Property at any time before or while Borrower held title to or was in possession or control of the Property (“Indemnitors’ Continuing Responsibility”); provided, however, that any Post Transfer Indemnification
Responsibilities incurred or suffered by Indemnified Parties shall be presumed, unless shown by a preponderance of the evidence to the contrary, to be Indemnitors’ Continuing Responsibility, “Post Transfer Indemnification
Responsibilities” shall mean any obligations hereunder to indemnify, defend, and hold Indemnified Parties harmless arising after Indemnified Parties cease to hold a security interest in the Property or acquire title to the Property as a result
of foreclosure, deed in lieu of foreclosure, or other transfer of the Property. 
 (f) Site Visits, Observation and
Testing. Indemnified Parties and their agents and representatives shall have the right at any reasonable time to enter and visit the Property for the purposes of observing the Property, taking and removing soil or groundwater samples, and
conducting tests on any part of the Property. Indemnified Parties have no duty, however, to visit or observe the Property or to conduct tests, and no site visit observation or testing by any Indemnified Party shall impose any liability on any
Indemnified Party. In no event shall any site visit, observation or testing by any Indemnified Party be a representation that Hazardous Substances are or are not present in, on or under the Property, or that there has been or shall be compliance
with any law, regulation or ordinance pertaining to Hazardous Substances or any other applicable governmental law. Neither Indemnitors nor any other parties are entitled to rely on any site visit, observation or testing by any Indemnified Party.
Indemnified Parties owe no duty of care to protect Indemnitors or any other party against any Hazardous Substances or any other adverse condition affecting the Property. Indemnified Parties shall disclose to Indemnitors or any other party any report
or findings made as a result of, or in connection with, any site visit, observation or testing by Indemnified Parties in the event 

  

 5 

 
any Hazardous Substances are found as a result of such site visit observation or testing. Indemnitors understand and agree that Indemnified Parties make no
representation or warranty to Indemnitors or any other party regarding the truth, accuracy or completeness of any such report or findings that may be disclosed. Indemnitors also understand that, depending on the results of any site visit,
observation or testing by any Indemnified Party which are disclosed to Indemnitors, Indemnitors may have a legal obligation to notify one or more environmental agencies of the results and that such reporting requirements are site-specific and are to
be evaluated by Indemnitors without advice or assistance from Indemnified Parties. Any Indemnified Party shall give Borrower reasonable notice before entering the Property. Such Indemnified Party shall make reasonable efforts to avoid interfering
with Borrower’s use of the Property in exercising any rights provided in this Section 1. 
 2. Reinstatement of
Obligations. If at any time all or any part of any payment made by Borrower or received by Indemnified Parties from Borrower under or with respect to this Agreement is or must be rescinded or returned for any reason whatsoever (including the
insolvency, bankruptcy or reorganization of any Indemnitor under any Debtor Relief Law (as defined below)), then the obligations of Indemnitors hereunder shall, to the extent of the payment rescinded or returned, be deemed to have continued in
existence, notwithstanding such previous payment made by Indemnitors, or receipt of payment by an Indemnified Party, and the obligations of Indemnitors hereunder shall continue to be effective or be reinstated, as the case may be, as to such
payment, all as though such previous payment by Indemnitors had never been made. 
 3. Waivers. To the extent permitted
by law, each Indemnitor, for itself and its successors, hereby waives and agrees not to assert or take advantage of: 
 (a) Any right to
require Indemnified Parties to proceed against any other person or to proceed against or exhaust any security held by Indemnified Parties at any time or to pursue any other remedy in Indemnified Parties’ power or under any other agreement
before proceeding against Borrower hereunder; 
 (b) The defense of the statute of limitations in any action hereunder; 
 (c) Any defense that may arise by reason of the incapacity, lack of authority, death or disability of any other person or persons or the failure of
Indemnified Parties to file or enforce a claim against the estate (in administration, bankruptcy or any other proceedings) of any other person or person; 
 (d) Demand, presentment for payment, notice of nonpayment, protest, notice of protest and all other notices of any kind, or the lack of any thereof, including, without limiting the generality of the foregoing, notice
of the existence, creation or incurring of any new or additional indebtedness or obligation or of any action or non-action on the part of the Indemnified Parties, any endorser or creditor of either Indemnitor or any other person whomsoever under
this or any other instrument in connection with any obligation or evidence of indebtedness held by Indemnified Parties; 
  

 6 

 (e) Any principle or provision of law, statutory or otherwise, which is or might be in conflict with the
terms and provisions of this Agreement; and, 
 (f) Any duty on the part of Indemnified Parties to disclose to Indemnitors any facts
Indemnified Parties may now or hereafter know about the Property, regardless of whether Indemnified Parties have reason to believe that any such facts materially increase the risk beyond that which Indemnitors intend to assume or have reason to
believe that such facts are unknown to Indemnitors or have a reasonable opportunity to communicate such facts to Indemnitors, it being understood and agreed that Indemnitors are fully responsible for being and keeping informed of the condition of
the Property and of any and all circumstances bearing on the risk that liability may be incurred hereunder. 
 (g) Any invalidity,
irregularity or unenforceability, in whole or in part, of any one or more of the Loan Documents; 
 (h) Any deficiencies in the collateral
for the Loan or any deficiency in the ability of Indemnified Parties to collect or to obtain performance from any person or entities now or hereafter liable for the payment and performance of any obligation hereby guaranteed; 
 (i) Any assertion or claim that the automatic stay provided by 11 U.S.C. §362 (arising upon the voluntary or involuntary bankruptcy proceeding of
Indemnitors) or any other stay provided under any other debtor relief law (whether statutory, common law, case law or otherwise) of any jurisdiction whatsoever, now or hereafter in effect, which may be or become applicable, shall operate or be
interpreted to stay, interdict, condition, reduce or inhibit the ability of Indemnified Parties to enforce any of its rights, whether now or hereafter required, which Indemnified Parties may have against Indemnitors or the collateral for the Loan;
and 
 (j) Any modifications of the Loan Documents or any obligation of Indemnitors relating to the Loan by operation of law or by action of
any court, whether pursuant to the Bankruptcy Reform Act of 1978, as amended or recodified (“Bankruptcy Code”), or under any other present or future state or federal law regarding bankruptcy, reorganization or other relief to debtors
(collectively, “Debtor Relief Law”), or otherwise. 
 4. General Provisions. 
 (a) Full Recourse. All of the terms and provisions of this Agreement are full recourse obligations of Indemnitors and not restricted by any
limitation on personal liability. 
 (b) Secured Obligations. Indemnitors hereby acknowledge that the obligations of
Indemnitors under this Agreement are secured by the lien of the Mortgage and the security interests and other collateral described in the Mortgage and the other Loan Documents. 
 (c) Survival. This Agreement shall be deemed to be continuing in nature and shall remain in full force and effect and shall survive the
payment of the indebtedness evidenced and secured by the Loan Documents and the exercise of any remedy by Indemnified Parties under the Mortgage or any of the other Loan Documents, including any foreclosure or deed in lieu thereof, even if, as a
part of such remedy, the Loan is paid or satisfied in full. 
  

 7 

 (d) No Recourse Against Indemnified Parties. Indemnitors shall not have any right of
recourse against Indemnified Parties by reason of any action Indemnified Parties may take or omit to take under the provisions of this Agreement or under the provisions of any of the Loan Documents other than for Indemnified Parties’ gross
negligence or willful misconduct. 
 (e) Reservation of Rights. Nothing contained in this Agreement shall prevent or in any way
diminish or interfere with any rights or remedies, including the right to contribution, which Indemnified Parties may have against Indemnitors or any other party under the Comprehensive Environmental Response, Compensation and Liability Act of 1980
(codified at Title 42 U.S.C. §§9601 et seq.), as it may be amended from time to time, or any other applicable federal, state or local laws, all such rights being hereby expressly reserved. 
 (f) Rights Cumulative; Payments. Indemnified Parties’ rights under this Agreement shall be in addition to all rights of Indemnified
Parties under the Note, the Mortgage and the other Loan Documents. Further, payments made by Indemnitors under this Agreement shall not reduce in any respect indemnitors’ obligations and liabilities under the Note, the Mortgage and the other
Loan Documents. 
 (g) No Limitation on Liability. Each Indemnitor hereby consents and agrees that Indemnified Parties may at
any time and from time to time without further consent from Indemnitors do any of the following events, and the liability of Indemnitors under this Agreement shall be unconditional and absolute and shall in no way be impaired or limited by any of
the following events, whether occurring with or without notice to Indemnitors or with or without consideration: (i) any extensions of time for performance required by any of the Loan Documents or extension or renewal of the Note; (ii) any
sale, assignment or foreclosure of the Note, the Mortgage or any of the other Loan Documents or any sale or transfer of the Property; (iii) any change in the composition of any Indemnitor; (iv) the accuracy or inaccuracy of the
representations and warranties made by Indemnitors herein or in any of the Loan Documents; (v) the release of any Indemnitor or of any other person or entity from performance or observance of any of the agreements, covenants, terms or
conditions contained in any of the Loan Documents by operation of law, Indemnified Parties’ voluntary act or otherwise; (vi) the release or substitution in whole or in part of any security for the Loan; (vii) Lender’s failure to
record the Mortgage or to file any financing statement (or Lender’s improper recording or filing thereof) or to otherwise perfect, protect, secure or insure any lien or security interest given as security for the Loan; (viii) the
modification of the terms of any one or more of the Loan Documents; or (ix) the taking or failure to take any action of any type whatsoever. No such action which Indemnified Parties shall take or fail to take in connection with the Loan
Documents or any collateral for the Loan, nor any course of dealing with Indemnitors or any other person, shall limit, impair or release Indemnitors’ obligations hereunder, affect this Agreement in any way or afford Indemnitors any recourse
against Indemnified Parties, Nothing contained in this Paragraph shall be construed to require Indemnified Parties to take or refrain from taking any action referred to herein. The foregoing shall not release Indemnified Parties from their gross
negligence or willful misconduct. 
 (h) Entire Agreement; Amendment; Severability. This Agreement contains the entire
agreement between the parties respecting the matters herein set forth and supersedes (except as to the Mortgage) all prior agreements, whether written or oral, between the parties respecting such matters. Any amendments or modifications hereto, in
order to be effective, shall 

  

 8 

 
be in writing and executed by the parties hereto. If any provision or obligation under this Agreement or any of the other Loan Documents shall be determined
by a court of competent jurisdiction to be invalid, illegal or unenforceable, that provision shall be deemed severed from the Loan Documents and the validity, legality and enforceability of the remaining provisions or obligations shall remain in
full force as though the invalid, illegal or unenforceable provision had never been a part of the Loan Documents. 
 (i) Governing Law;
Binding Effect. This Agreement shall be governed by and construed in accordance with the laws of the State in which the Property is located, except to the extent that the applicability of any of such laws may now or hereafter be preempted
by Federal law, in which case such Federal law shall so govern and be controlling. The terms, covenants and conditions of this Agreement shall be binding upon and inure to the benefit of the heirs, successors and assigns of the parties. Indemnified
Parties and any successor may, at any time, sell, transfer, or assign its interest under the Note, the Mortgage, the other Loan Documents, any or all servicing rights with respect thereto, and this Agreement or grant participations. Indemnified
Parties may forward to each purchaser, transferee, assignee, servicer, participant or investor (all of the foregoing entities collectively referred to as an “Investor”) and each prospective Investor, all documents, financial and other
information which Indemnified Parties now have or may hereafter acquire relating to (a) the Loan; (b) the Property and its operation (including, without limitation, copies of all leases, subleases or any other agreements concerning the use
and occupancy of the Property); and/or (c) any party connected with the Loan (including, without limitation, Borrower, any partner or member of Borrower, any constituent partner or member of Borrower). The representations, warranties,
obligations, covenants, and indemnity obligations of Indemnitors under this Agreement shall also benefit and apply with respect to any purchaser, transferee, assignee, participant, servicer or investor. 
 (j) Notice. All notices or other communications required or permitted to be given pursuant hereto shall be given in the manner specified in
the Mortgage directed to the Borrower and Lender at their respective addresses as provided therein. 
 (k) No Waiver: Time of Essence;
Interpretation; Counting of Days. The Failure of any party hereto to enforce any right or remedy hereunder, or to promptly enforce any such right or remedy, shall not constitute a waiver thereof nor give rise to any estoppel against such
party nor excuse any of the parties hereto from their respective obligations hereunder. Any waiver of such right or remedy must be in writing and signed by the party to be bound. Whenever used, the singular number shall include the plural, the
plural the singular, and the words “Indemnified Parties” and “Indemnitors” shall include their respective successors, assigns, heirs, executors and administrators. The word “include(s)” means “include(s), without
limitation,” and the word “including” means “including, but not limited to.” This Agreement is subject to enforcement at law or in equity, including actions for damages or specific performance. Time is of the essence of each
and every term and condition of this Agreement. The term “days” when used herein shall mean calendar days. If any time period ends on a Saturday, Sunday or holiday officially recognized by the state within which the Property is located,
the period shall be deemed to end on the next succeeding business day. The term “business day” as used herein shall mean a weekday, Monday through Friday, except a legal holiday or a day on which banking institutions are authorized or
required to be closed for the conduct of commercial banking business. 
  

 9 

 (l) Headings. The headings of the sections and paragraphs of this Agreement are for
convenience of reference only and shall not be construed in interpreting the provisions hereof. 
 (m) Attorneys’ Fees.
Indemnitors agree to pay all of Indemnified Parties’ costs and expenses, including reasonable attorneys’ fees, which may be incurred in enforcing or protecting Indemnified Parties’ rights or interests under this Agreement. From the
time(s) incurred until paid in full to Indemnified Parties, all such sums shall bear interest at the Default Rate. 
 (n) Successive
Actions. A separate right of action hereunder shall arise each time Indemnified Parties acquires knowledge of any matter indemnified by Indemnitors under this Agreement. Separate and successive actions may be brought hereunder to enforce
any of the provisions hereof at any time and from time to time. No action hereunder shall preclude any subsequent action, and Indemnitors hereby waive and covenant not to assert any defense in the nature of splitting of causes of action or merger of
judgments. 
 (o) Joint and Several Liability. If more than one person or entity is signing this Agreement as Indemnitors,
their obligations under this Agreement will be joint and several. As to any Indemnitors that is a partnership, the obligations of such Indemnitor under this Agreement are the joint and several obligation of each general partner thereof. Any married
person signing this Agreement agrees that recourse may be had against community property assets and against his or her separate property for the satisfaction of all obligations contained herein. 
 (p) Reliance. Indemnified Parties would not make the Loan to Borrower without this Agreement. Accordingly, Indemnitors intentionally
and unconditionally enter into the covenants and agreements herein and understands that, in reliance upon and in consideration of such covenants and agreements, the Loan shall be made and, as part and parcel thereof, specific monetary and other
obligations have been, are being and shall be entered into which would not be made or entered into but for such reliance. 
 (q)
Counterparts. This Agreement may be executed in any number of counterparts, all of which shall be taken to be one and the same instrument, for the same effect as if all parties hereto had signed the same signature page. 
 (r) WAIVER OF TRIAL BY JURY. INDEMNITORS AND LENDER (BY ACCEPTANCE OF THIS AGREEMENT), HAVING BEEN REPRESENTED BY COUNSEL, EACH KNOWINGLY AND
VOLUNTARILY WAIVES ANY RIGHT TO A TRIAL BY JURY IN ANY ACTION OR PROCEEDING TO ENFORCE OR DEFEND ANY RIGHTS (a) UNDER THIS AGREEMENT OR ANY RELATED AGREEMENT OR UNDER ANY AMENDMENT, INSTRUMENT, DOCUMENT OR AGREEMENT
DELIVERED OR WHICH MAY IN THE FUTURE BE DELIVERED IN CONNECTION WITH THIS AGREEMENT OR (b) ARISING FROM ANY BANKING RELATIONSHIP EXISTING IN CONNECTION WITH THIS AGREEMENT, AND AGREES THAT ANY SUCH ACTION OR PROCEEDING WILL BE TRIED BEFORE A
COURT AND NOT BEFORE A JURY. INDEMNITORS AGREE THAT THEY WILL NOT ASSERT ANY CLAIM AGAINST LENDER ON ANY THEORY OF LIABILITY FOR SPECIAL, INDIRECT, CONSEQUENTIAL, INCIDENTAL OR PUNITIVE DAMAGES. 
  

 10 

 (s) Waiver of Bankruptcy Stay. Indemnitors covenant and agree that upon the commencement of
a voluntary or involuntary bankruptcy proceeding by or against any Indemnitor, such Indemnitor shall not seek a supplemental stay or otherwise pursuant to 11 U.S.C. §105 or any other provision of the Bankruptcy Code or any other Debtor Relief
Law, to stay, interdict, condition, reduce or inhibit the ability of Indemnified Parties to enforce any rights of Indemnified Parties against such Indemnitor by virtue of this Agreement or otherwise. 
 IN WITNESS WHEREOF, Indemnitors have executed this Agreement as of the date first above written. 
  

									
	BORROWER:	 		 	
			
	 STERLING MINING COMPANY,
 an Idaho corporation
	 		 	
					
	Signature:	 	 /s/ J. Kenney Berscht
	 		 	Signature:	 	 /s/ James N. Meek

	By:	 	J. Kenney Berscht	 		 	By:	 	James N. Meek
	Its:	 	President	 		 	Its :	 	Chief Financial Officer
	EIN #: 601 - 066 822	 		 	
	Business Phone #: (403) 830 - 7566	 		 	
	Email Address: borscht@aol.com	 		 	
	Office Address:	 		 	
	2201 Government Way, Suite E,	 		 	
	Coeur d’Alene, Idaho 83814	 		 	

  

 11The Home Depot, Inc Restated and Amended Employee Stock Purchase Plan

 Exhibit 10.1 
 THE HOME DEPOT, INC. 
 AMENDED AND RESTATED 
 EMPLOYEE STOCK PURCHASE PLAN 
 (As
Amended and Restated Effective July 1, 2008) 
 Section 1 
 PURPOSE 
 The purpose of The Home Depot, Inc. Amended and Restated Employee Stock Purchase Plan
is to provide Employees of the Company and its Designated Subsidiaries with an opportunity to purchase Common Stock of the Company on a payroll or other compensation deduction basis. The Plan is intended, in part, to qualify as an “employee
stock purchase plan” under Code Section 423. The Plan will, with respect to the grant of options and issuance of Common Stock intended to qualify under Code Section 423, be construed so as to extend and limit participation in a manner
within the requirements of that Code section. In addition, this Plan authorizes the grant of options and issuance of Common Stock that do not qualify under Code Section 423 pursuant to rules and procedures adopted by the Committee and designed
to achieve desired tax or other objectives in particular locations outside the United States. 
 Section 2 
 BACKGROUND 
 The Plan as last amended and restated
effective July 1, 2003 merged The Home Depot, Inc. Amended and Restated Employee Stock Purchase Plan and The Home Depot, Inc. Amended and Restated Non-U.S. Employee Stock Purchase Plan. The Plan as amended and restated herein increases the
authorized shares available for issuance under the Plan and makes certain other changes effective with respect to Plan offerings beginning on and after the Effective Date, subject to shareholder approval. 
 Section 3 
 DEFINITIONS 

As used in the Plan, the following terms, when capitalized, have the following meanings: 
 (a)    “Board” means the Company’s Board of Directors. 
 (b)    “Business Day” means a day that the New York Stock Exchange is open if the Shares are then listed on such
exchange. 
 (c)    “Code” means the Internal Revenue Code of 1986, as amended. 
 (d)    “Committee” means the committee described in Section 11. 

 (e)    “Common Stock” means the common stock of the Company, $.05
par value per share, or any stock into which that common stock may be converted. 
 (f)    “Company”
means The Home Depot, Inc., a Delaware corporation, and any successor corporation. 
 (g)    “Compensation” means an Employee’s “benefit compensation” as determined under The Home Depot FutureBuilder. The Committee may change the definition of Compensation on a prospective
basis. 
 (h)    “Contributions” means all amounts credited to the Participant’s Payroll Deduction
Account. 
 (i)    “Corporate Transaction” means (i) any stock dividend, stock split, combination
or exchange of shares, recapitalization or other change in the capital structure of the Company, (ii) any merger, consolidation, spin-off, spin-out, split-off, split-up, reorganization, partial or complete liquidation or other distribution of
assets (other than a normal cash dividend), issuance of rights or warrants to purchase securities or (iii) any other corporate transaction or event having an effect similar to any of the foregoing. 
 (j)    “Designated Subsidiary” means the Company’s: (i) domestic Subsidiaries located in the United States
or any United States territory; and (ii) foreign Subsidiaries located in Mexico and Canada; and (iii) any other Subsidiary that has been designated by the Company’s Executive Vice President—Human Resources as eligible to
participate in the Plan as to its eligible Employees. 
 (k)    “Disability” means, with respect to a
Participant, the Participant’s becoming eligible for permanent and total disability benefits under the Company’s or a Designated Subsidiary’s long-term disability plan. 
 (l)    “Effective Date” means July 1, 2008. 
 (m)    “Employee” means any person who performs services for, and who is classified as an employee on the payroll
records of the Company or a Designated Subsidiary. 
 (n)    “Fair Market Value” means, with respect to
any date, the closing price of the Common Stock on the New York Stock Exchange on that date or, in the event that the Common Stock is not traded on that date, the closing price on the immediately preceding trading date. If the Common Stock is no
longer traded on the New York Stock Exchange, then “Fair Market Value” means, with respect to any date, the fair market value of the Common Stock as determined by the Committee in good faith. 
 (o)    “Offering Date” means the first Business Day of each Purchase Period. 
 (p)    “Participant” means a participant in the Plan as described in Section 5. 
  

 2 

 (q)    “Payroll Deduction Account” means the bookkeeping account
established for a Participant in accordance with Section 6. 
 (r)    “Plan” means The Home Depot,
Inc. Amended and Restated Employee Stock Purchase Plan, as set forth herein, and as amended from time to time. 
 (s)    “Purchase Date” means the last Business Day of each Purchase Period. 
 (t)    “Purchase Period” means a period of six months commencing on January 1 and July 1 of each year, or such other period as determined by the Committee; provided, however, that in no event
will any Purchase Period be longer than 27 months. 
 (u)    “Purchase Price” means an amount equal
to 85% of the Fair Market Value of a Share on the Purchase Date. 
 (v)    “Retirement” means, with
respect to a Participant, the Participant’s termination of employment with the Company or a Designated Subsidiary after completing at least 5 years of continuous employment and attaining age 60. 
 (w)    “Share” means a share of Common Stock, as adjusted in accordance with Section 16. 
 (x)    “Subsidiary” means a domestic or foreign corporation of which not less than 50% of the voting shares are held
by the Company or a Subsidiary, whether or not such corporation now exists or is hereafter organized or acquired by the Company or a Subsidiary. The definition of Subsidiary should be interpreted so as to include any entity that would be treated as
a “subsidiary corporation” under Code Section 424(f). 
 Section 4 
 ELIGIBILITY 
 (a)    Eligible Employees. Any person
who is an Employee as of an Offering Date in a given Purchase Period will be eligible to participate in the Plan for that Purchase Period, subject to the requirements of Section 5 and the limitations imposed by Code Section 423(b).
Notwithstanding the foregoing, the Committee may, on a prospective basis, (i) exclude from participation in the Plan any or all Employees whose customary employment is for not more than 20 hours per week or five months per year, and
(ii) impose an eligibility service requirement of up to two years of employment. The Board may also determine that a designated group of highly compensated employees (within the meaning of Code Section 414(q)) are ineligible to participate
in the Plan. 
 (b)    Five Percent Shareholders. Notwithstanding any other provision of the Plan, no Employee
will be eligible to participate in the Plan if the Employee (or any other person whose stock would be attributed to the Employee pursuant to Code Section 424(d)) owns capital stock 

  

 3 

 
of the Company and/or holds outstanding options to purchase stock possessing five percent (5%) or more of the total combined voting power or value of
all classes of stock of the Company or of any Subsidiary. 
 Section 5 
 PARTICIPATION 
 An Employee may become a Participant in the Plan by completing a payroll
deduction authorization form and any other required enrollment documents provided by the Committee or its designee and submitting them to the Committee or its designee in accordance with the rules established by the Committee. The enrollment
documents will set forth the amount of the Participant’s Compensation, up to twenty percent (20%), or such other limit as is designated by the Committee including any minimum Contribution percentage, to be paid as Contributions pursuant to the
Plan. The Committee may provide for a separate election (or a different percentage) for a specified item or items of pay. In countries where payroll deductions are not feasible, the Committee may permit an Employee to participate in the Plan by an
alternative means, such as by check. 
 Section 6 
 CONTRIBUTIONS 
 (a)    Payroll Deductions. A Participant’s payroll
deductions will begin on the first payroll paid following the Offering Date and will end on the last payroll paid on or before the Purchase Date of the Purchase Period, unless the Participant elects to withdraw from the Plan as provided in
Section 9 or ceases Contributions pursuant to Section 6(c). A Participant’s enrollment documents will remain in effect for successive Purchase Periods unless the Participant elects to withdraw from the Plan as provided in
Section 9, ceases Contributions pursuant to Section 6(c), or timely submits new enrollment documents to change the rate of payroll deductions for a subsequent Purchase Period in accordance with rules established by the Committee.

 (b)    Payroll Deduction Account. The Committee will credit the amount of each Participant’s Contributions
to the Participant’s Payroll Deduction Account. A Participant may not make any additional payments to the Participant’s Payroll Deduction Account, except as expressly provided in the Plan or as authorized by the Committee. 
 (c)    Changes to Payroll Deductions. A Participant may reduce the percentage of authorized payroll deductions once each
Purchase Period by delivery of a new payroll deduction authorization form to the Committee or its designee. The change will become effective as soon as administratively practicable after receipt. A Participant may cease Contributions to the Plan at
any time. Unless the Participant elects to withdraw from the Plan as provided in Section 9, the funds in the Participant’s Payroll Deduction Account will not be refunded to the Participant but instead will be used to purchase Shares for
the Participant on the Purchase Date. 
  

 4 

 (d)    No Interest. No interest or other earnings will accrue on a
Participant’s Contributions to the Plan. 
 (e)    Foreign Currency. Except as otherwise specified by the
Committee, payroll deductions made with respect to Employees paid in currencies other than U.S. dollars will be accumulated in local currency and converted to U.S. dollars as of the Purchase Date. 
 Section 7 
 STOCK PURCHASES

 (a)    Automatic Purchase. On each Purchase Date, each Participant will be deemed, without further action,
to have elected to purchase the number of whole, or if in the Committee’s discretion fractional, Shares that the Participant’s Payroll Deduction Account balance can purchase at the Purchase Price on that Purchase Date. Except as otherwise
specified by the Committee, any amounts that are not sufficient to purchase a whole Share will be retained in the Participant’s Payroll Deduction Account for the subsequent Purchase Period. Any other amounts remaining in the Participant’s
Payroll Deduction Account after the Purchase Date will be returned to the Participant. 
 (b)    Delivery of Shares.
As soon as practicable after each Purchase Date, the Committee will arrange for the delivery of the Shares purchased by Participants on the Purchase Date. The Committee may permit or require that Shares purchased under the Plan be deposited
directly with a provider designated by the Committee. The Committee may require that Shares be retained by the designated provider for a specified period of time and may restrict dispositions during that period, and the Committee may establish other
procedures to permit tracking of disqualifying dispositions of the Shares or to restrict transfer of the Shares. 
 (c)    Notice Restrictions. The Committee may require, as a condition of participation in the Plan, that each Participant agree to notify the Company if the Participant sells or otherwise disposes of any Shares
within two years of the Offering Date or one year of the Purchase Date for the Purchase Period in which the Shares were purchased. 
 (d)    Shareholder Rights. A Participant will have no interest or voting right in a Share until a Share has been purchased on the Participant’s behalf under the Plan. 
 Section 8 
 LIMITATION ON PURCHASES

 Participant purchases are subject to the following limitations: 
 (a)    Purchase Period Limitation. Subject to the calendar year limits provided by Section 8(b), the maximum number of Shares that a Participant will have the right to purchase in any
Purchase Period pursuant to an option or right intended to qualify under Code Section 423 

  

 5 

 
will be determined by dividing (i) $25,000 by (ii) the Fair Market Value of one Share on the Offering Date for such Purchase Period. 
 (b)    Calendar Year Limitation. No right to purchase Shares under the Plan that is intended to qualify under Code
Section 423 will be granted to an Employee if such right, when combined with all other rights and options granted under all of the Code Section 423 employee stock purchase plans of the Company, its Subsidiaries or any parent corporation
(within the meaning of Code Section 424(e)), would permit the Employee to purchase Shares with a Fair Market Value (determined at the time the right or option is granted) in excess of $25,000 for each calendar year in which the right or option
is outstanding at any time, determined in accordance with Code Section 423(b)(8). 
 (c)    Refunds. As of
the first Purchase Date on which this Section limits a Participant’s ability to purchase Shares, the Participant’s payroll deductions will terminate, and the Participant will receive a refund of the balance in the Participant’s
Payroll Deduction Account as soon as practicable after the Purchase Date. 
 Section 9 
 WITHDRAWAL FROM PARTICIPATION 
 A Participant may
withdraw all, but not less than all, of the Contributions credited to the Participant’s Payroll Deduction Account at any time before a Purchase Date by notifying the Committee or its designee of the Participant’s election to withdraw,
pursuant to rules prescribed by the Committee. If a Participant elects to withdraw, all of the Participant’s Contributions credited to the Participant’s Payroll Deduction Account will be returned to the Participant and the Participant may
not make any further Contributions to the Plan for the purchase of Shares during that Purchase Period. A Participant’s voluntary withdrawal during a Purchase Period will not have any effect upon the Participant’s eligibility to participate
in the Plan during a subsequent Purchase Period. 
 Section 10 
 EMPLOYMENT TERMINATION 
 (a)    Termination Other Than
Death, Disability or Retirement. If a Participant’s employment with the Company or a Designated Subsidiary terminates for any reason other than death, Disability or Retirement, the Participant will cease to participate in the Plan and the
Company or its designee will refund the balance in the Participant’s Payroll Deduction Account. 
 (b)    Ineligible Employee. In the event of a Participant’s death, or the Participant ceases to be an eligible Employee for any reason other than employment termination at any time during a Purchase Period,
at the election of the Participant, or the Participant’s legal representative in the event of the Participant’s death, the Participant’s Payroll Deduction Account balance will be (i) distributed to the Participant, or to the
Participant’s estate in the 

  

 6 

 
event of the Participant’s death, or (ii) held until the end of the Purchase Period and applied to purchase Shares in accordance with
Section 7. 
 (c)    Termination Due to Disability or Retirement. If a Participant’s employment with the
Company or a Designated Subsidiary terminates during a Purchase Period due to Disability or Retirement no more than three months before the Purchase Date for the Purchase Period, then, at the Participant’s election, the Participant’s
Payroll Deduction Account balance will be (i) distributed to the Participant, or (ii) held until the end of the Purchase Period and applied to purchase Shares in accordance with Section 7. Section 10(c)(ii) shall apply in the
event the Participant fails to make a timely election pursuant to rules established by the Committee. 
 (d)    Leaves of Absence. The Committee may establish rules regarding when leaves of absence will be considered a termination of employment. Notwithstanding the foregoing, where a period of
leave exceeds ninety (90) days, a Participant’s employment relationship with the Company or a Designated Subsidiary will be deemed to have terminated on the 91st day of such leave unless the Participant’s right to reemployment is guaranteed either by statute or contract. 
 Section 11 
 PLAN ADMINISTRATION 
 The Plan will be administered by the Committee, which will be appointed by the Board. The Committee will be the Leadership Development and Compensation Committee of the Board unless the Board appoints another committee to administer the
Plan. The Board from time to time may fill vacancies on the Committee. Subject to the express provisions of the Plan, the Committee will have the discretionary authority to interpret the Plan; to take any actions necessary to implement the Plan; to
prescribe, amend, and rescind rules and regulations relating to the Plan; and to make all other determinations necessary or advisable in administering the Plan. All such determinations will be final and binding upon all persons. The Committee may
request advice or assistance or employ or designate such other persons as are necessary for proper administration of the Plan. 
 Section 12 
 RIGHTS NOT TRANSFERABLE 
 Rights under the Plan are not transferable by a Participant and, during the Participant’s lifetime, may be exercised only by the Participant. 
 Section 13 
 RESERVED SHARES 
 Subject to adjustments as provided in Section 14, the maximum number of Shares available for purchase on or after the Effective Date is: (i) 18,419,929 Shares
(less Shares issued under the Plan with respect to the Purchase Period ending June 30, 2008) with respect to options and 

  

 7 

 
issuances of Shares that are intended to qualify under Code Section 423; and (ii) 20,366,249 (less Shares issued under the Plan with respect to the
Purchase Period ending June 30, 2008) with respect to options and issuances of Shares under Section 18 that are not intended to qualify under Code Section 423. Shares issued under the Plan may be Shares of original issuance, Shares
held in treasury, or Shares that have been reacquired by the Company. 
 Section 14 
 CAPITAL CHANGES 
 In the event of a Corporate
Transaction, other than a Corporate Transaction in which the Company is not the surviving corporation, the number and kind of shares of stock or securities of the Company to be subject to the Plan, the maximum number of shares or securities that may
be delivered under the Plan, and the selling price and other relevant provisions of the Plan will be appropriately adjusted by the Committee, whose determination will be binding on all persons. If the Company is a party to a Corporate Transaction in
which the Company is not the surviving corporation, the Committee may take such actions with respect to the Plan as the Committee deems appropriate. 
 Section 15 
 AMENDMENT 
 The
Board may at any time, or from time to time, amend the Plan in any respect. The stockholders of the Company, however, must approve any amendment that would increase the number of Shares that may be issued under the Plan pursuant to options intended
to qualify under Code Section 423 (other than an increase merely reflecting a change in capitalization of the Company pursuant to Section 14) or a change in the designation of any corporations (other than a Subsidiary) whose employees
become Employees under the Plan. 
 Section 16 
 PLAN TERMINATION 
 The Plan and all rights of Employees under the Plan will terminate: (a) on the Purchase Date
on which Participants become entitled to purchase a number of Shares greater than the number of reserved Shares remaining available for purchase as set forth in Section 13, or (b) at any date at the discretion of the Board. In the event
that the Plan terminates under circumstances described in (a) above, reserved Shares remaining as of the termination date will be made available for purchase by Participants on the Purchase Date on a pro rata basis based on the amount credited
to each Participant’s Payroll Deduction Account. Upon termination of the Plan, each Participant will receive the balance in the Participant’s Payroll Deduction Account. 
 Section 17 
 GOVERNMENT REGULATIONS 
  

 8 

 The Plan, the grant and exercise of the rights to purchase Shares under the Plan, and the Company’s obligation to
sell and deliver Shares upon the exercise of rights to purchase Shares, will be subject to all applicable federal, state and foreign laws, rules and regulations, and to such approvals by any regulatory or government agency as may, in the opinion of
counsel for the Company, be required or desirable. The Committee may withhold from any payment due under the Plan or take any other action it deems appropriate to satisfy any federal, state or local tax withholding requirements. 
 Section 18 
 FOREIGN JURISDICTIONS 

 The Committee may adopt rules or procedures to accommodate the requirements of local laws of foreign jurisdictions, including rules or procedures relating
to the handling of payroll deductions, conversion of local currency, payroll taxes and withholding procedures. The Committee may also adopt rules and procedures applicable to specific Designated Subsidiaries or locations that are not intended to be
within the scope of Code Section 423, which may differ from the other provisions of the Plan, subject to the provisions of Section 13. 
 Section 19 
 GOVERNING LAW 
 The Plan will be governed by the laws of Delaware, without regard to that State’s choice of law rules. 
 *** *** *** *** ***
*** *** *** *** *** 
  

 9

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00143-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00143-of-00352.parquet"}]]