Document:

Exhibit 10.8

Exhibit 10.8

GENESIS FLUID SOLUTIONS HOLDINGS, INC.

DIRECTOR AND OFFICER INDEMNIFICATION AGREEMENT

This Director and Officer Indemnification Agreement, dated as of                     
 ___, 2009 (this
“Agreement”), is made by and between Genesis Fluid Solutions Holdings, Inc., a Delaware corporation
(the “Company”), and
                     (the
“Indemnitee”).

RECITALS:

A. Section 141 of the Delaware General Corporation Law provides that the business and affairs
of a corporation shall be managed by or under the direction of its board of directors.

B. By virtue of the managerial prerogatives vested in the directors and officers of a Delaware
corporation, directors and officers act as fiduciaries of the corporation and its stockholders.

C. Thus, it is critically important to the Company and its stockholders that the Company be
able to attract and retain the most capable persons reasonably available to serve as directors and
officers of the Company.

D. In recognition of the need for corporations to be able to induce capable and responsible
persons to accept positions in corporate management, Delaware law authorizes (and in some instances
requires) corporations to indemnify their directors and officers, and further authorizes
corporations to purchase and maintain insurance for the benefit of their directors and officers.

E. The Delaware courts have recognized that indemnification by a corporation serves the dual
policies of (1) allowing corporate officials to resist unjustified lawsuits, secure in the
knowledge that, if vindicated, the corporation will bear the expense of litigation, and (2)
encouraging capable women and men to serve as corporate directors and officers, secure in the
knowledge that the corporation will absorb the costs of defending their honesty and integrity.

F. The number of lawsuits challenging the judgment and actions of directors and officers of
Delaware corporations, the costs of defending those lawsuits and the threat to personal assets have
all materially increased over the past several years, chilling the willingness of capable women and
men to undertake the responsibilities imposed on corporate directors and officers.

G. Recent federal legislation and rules adopted by the Securities and Exchange Commission and
the national securities exchanges have exposed such directors and officers to new and substantially
broadened civil liabilities.

H. Under Delaware law, a director’s or officer’s right to be reimbursed for the costs of
defense of criminal actions, whether such claims are asserted under state or federal law, does not
depend upon the merits of the claims asserted against the director or officer and is separate and
distinct from any right to indemnification the director may be able to establish.

 

 

 

I. Indemnitee is, or will be, a director and/or officer of the Company and his or her
willingness to serve in such capacity is predicated, in substantial part, upon the Company’s
willingness to indemnify him or her in accordance with the principles reflected above, to the
fullest extent permitted by the laws of the State of Delaware, and upon the other undertakings set
forth in this Agreement.

J. Therefore, in recognition of the need to provide Indemnitee with substantial protection
against personal liability, in order to procure Indemnitee’s continued service as a director and/or
officer of the Company and to enhance Indemnitee’s ability to serve the Company in an effective
manner, and in order to provide such protection pursuant to express contract rights (intended to be
enforceable irrespective of, among other things, any amendment to the Company’s certificate of
incorporation or bylaws (collectively, the “Constituent
Documents”), any change in the composition
of the Company’s Board of Directors (the “Board”) or any change-in-control or business combination
transaction relating to the Company), the Company wishes to provide in this Agreement for the
indemnification and advancement of Expenses to Indemnitee on the terms, and subject to the
conditions, set forth in this Agreement.

K. In light of the considerations referred to in the preceding recitals, it is the Company’s
intention and desire that the provisions of this Agreement be construed liberally, subject to their
express terms, to maximize the protections to be provided to Indemnitee hereunder.

AGREEMENT:

NOW, THEREFORE, the parties hereby agree as follows:

1. Certain Definitions. In addition to terms defined elsewhere herein, the following
terms have the following meanings when used in this Agreement with initial capital letters:

“Change in Control” shall have occurred at such time, if any, as Incumbent Directors cease for
any reason to constitute a majority of Directors. For purposes of this Section 1(a), “Incumbent
Directors” means the individuals who, as of the date hereof, are Directors of the Company and any
individual becoming a Director subsequent to the date hereof whose election, nomination for
election by the Company’s stockholders, or appointment, was approved by a vote of at least a
majority of the then Incumbent Directors (either by a specific vote or by approval of the proxy
statement of the Company in which such person is named as a nominee for director, without objection
to such nomination); provided, however, that an individual shall not be an Incumbent Director if
such individual’s election or appointment to the Board occurs as a result of an actual or
threatened election contest (as described in Rule 14a-12(c) of the Securities Exchange Act of 1934,
as amended) with respect to the election or removal of directors or other actual or threatened
solicitation of proxies or consents by or on behalf of a Person other than the Board.

 

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“Claim” means (i) any threatened, asserted, pending or completed claim, demand, action, suit
or proceeding, whether civil, criminal, administrative, arbitrative, investigative or other, and
whether made pursuant to federal, state or other law; and (ii) any inquiry or
investigation, whether made, instituted or conducted by the Company or any other Person,
including, without limitation, any federal, state or other governmental entity, that Indemnitee
reasonably determines might lead to the institution of any such claim, demand, action, suit or
proceeding. For the avoidance of doubt, the Company intends indemnity to be provided hereunder in
respect of acts or failure to act prior to, on or after the date hereof.

“Controlled Affiliate” means any corporation, limited liability company, partnership, joint
venture, trust or other entity or enterprise, whether or not for profit, that is directly or
indirectly controlled by the Company. For purposes of this definition, “control” means the
possession, directly or indirectly, of the power to direct or cause the direction of the management
or policies of an entity or enterprise, whether through the ownership of voting securities, through
other voting rights, by contract or otherwise; provided that direct or indirect beneficial
ownership of capital stock or other interests in an entity or enterprise entitling the holder to
cast 15% or more of the total number of votes generally entitled to be cast in the election of
directors (or persons performing comparable functions) of such entity or enterprise shall be deemed
to constitute control for purposes of this definition.

“Disinterested Director” means a director of the Company who is not and was not a party to the
Claim in respect of which indemnification is sought by Indemnitee.

“Expenses” means attorneys’ and experts’ fees and expenses and all other costs and expenses
paid or payable in connection with investigating, defending, being a witness in or participating in
(including on appeal), or preparing to investigate, defend, be a witness in or participate in
(including on appeal), any Claim.

“Indemnifiable Claim” means any Claim based upon, arising out of or resulting from (i) any
actual, alleged or suspected act or failure to act by Indemnitee in his or her capacity as a
director, officer, employee or agent of the Company or as a director, officer, employee, member,
manager, trustee or agent of any other corporation, limited liability company, partnership, joint
venture, trust or other entity or enterprise, whether or not for profit, as to which Indemnitee is
or was serving at the request of the Company, (ii) any actual, alleged or suspected act or failure
to act by Indemnitee in respect of any business, transaction, communication, filing, disclosure or
other activity of the Company or any other entity or enterprise referred to in clause (i) of this
sentence, or (iii) Indemnitee’s status as a current or former director, officer, employee or agent
of the Company or as a current or former director, officer, employee, member, manager, trustee or
agent of the Company or any other entity or enterprise referred to in clause (i) of this sentence
or any actual, alleged or suspected act or failure to act by Indemnitee in connection with any
obligation or restriction imposed upon Indemnitee by reason of such status. In addition to any
service at the actual request of the Company, for purposes of this Agreement, Indemnitee shall be
deemed to be serving or to have served at the request of the Company as a director, officer,
employee, member, manager, trustee or agent of another entity or enterprise if Indemnitee is or was
serving as a director, officer, employee, member, manager, agent, trustee or other fiduciary of
such entity or enterprise and (i) such entity or enterprise is or at the time of such service was a
Controlled Affiliate, (ii) such entity or enterprise is or at the time of such service was an
employee benefit plan (or related trust) sponsored or maintained by the Company or a Controlled
Affiliate, or (iii) the Company or a Controlled Affiliate (by action of the Board, any committee
thereof or the Company’s Chief Executive Officer (“CEO”) (other than as the
CEO him or herself)) caused or authorized Indemnitee to be nominated, elected, appointed,
designated, employed, engaged or selected to serve in such capacity.

 

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“Indemnifiable Losses” means any and all Losses relating to, arising out of or resulting from
any Indemnifiable Claim; provided, however, that Indemnifiable Losses shall not include Losses
incurred by Indemnitee in respect of any Indemnifiable Claim (or any matter or issue therein) as to
which Indemnitee shall have been adjudged liable to the Company, unless and only to the extent that
the Delaware Court of Chancery or the court in which such Indemnifiable Claim was brought shall
have determined upon application that, despite the adjudication of liability but in view of all the
circumstances of the case, Indemnitee is fairly and reasonably entitled to indemnification for such
Expenses as the court shall deem proper.

“Independent Counsel” means a nationally recognized law firm, or a member of a nationally
recognized law firm, that is experienced in matters of Delaware corporate law and neither presently
is, nor in the past five years has been, retained to represent: (i) the Company (or any
subsidiary) or Indemnitee in any matter material to either such party (other than with respect to
matters concerning the Indemnitee under this Agreement, or of other indemnitees under similar
indemnification agreements) or (ii) any other named (or, as to a threatened matter, reasonably
likely to be named) party to the Indemnifiable Claim giving rise to a claim for indemnification
hereunder. Notwithstanding the foregoing, the term “Independent Counsel” shall not include any
person who, under the applicable standards of professional conduct then prevailing, would have a
conflict of interest in representing either the Company or Indemnitee in an action to determine
Indemnitee’s rights under this Agreement.

“Losses” means any and all Expenses, damages, losses, liabilities, judgments, fines, penalties
(whether civil, criminal or other) and amounts paid or payable in settlement, including, without
limitation, all interest, assessments and other charges paid or payable in connection with or in
respect of any of the foregoing.

“Person” means any individual, entity or group, within the meaning of Section 13(d)(3) or
14(d)(2) of the Securities Exchange Act of 1934, as amended.

“Standard of Conduct” means the standard for conduct by Indemnitee that is a condition
precedent to indemnification of Indemnitee hereunder against Indemnifiable Losses relating to,
arising out of or resulting from an Indemnifiable Claim. The Standard of Conduct is (i) good faith
and a reasonable belief by Indemnitee that his action was in or not opposed to the best interests
of the Company and, with respect to any criminal action or proceeding, that Indemnitee had no
reasonable cause to believe that his conduct was unlawful, or (ii) any other applicable standard of
conduct that may hereafter be substituted under Section 145(a) or (b) of the Delaware General
Corporation Law or any successor to such provision(s).

2. Indemnification Obligation. Subject only to Section 7 and to the proviso in this
Section, the Company shall indemnify, defend and hold harmless Indemnitee, to the fullest extent
permitted or required by the laws of the State of Delaware in effect on the date hereof or as such
laws may from time to time hereafter be amended to increase the scope of such permitted
indemnification, against any and all Indemnifiable Claims and Indemnifiable Losses; provided,
however, that, except as provided in Section 5, Indemnitee shall not be entitled to

 

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indemnification pursuant to this Agreement in connection with (i) any Claim initiated by
Indemnitee against the Company or any director or officer of the Company unless the Company has
joined in or consented to the initiation of such Claim, or (ii) the purchase and sale by Indemnitee
of securities in violation of Section 16(b) of the Securities Exchange Act of 1934, as amended.
The Company acknowledges that the foregoing obligation may be broader than that now provided by
applicable law and the Company’s Constituent Documents and intends that it be interpreted
consistently with this Section and the recitals to this Agreement.

3. Advancement of Expenses. Indemnitee shall have the right to advancement by the
Company prior to the final disposition of any Indemnifiable Claim of any and all actual and
reasonable Expenses relating to, arising out of or resulting from any Indemnifiable Claim paid or
incurred by Indemnitee. Without limiting the generality or effect of any other provision hereof,
Indemnitee’s right to such advancement is not subject to the satisfaction of any Standard of
Conduct. Without limiting the generality or effect of the foregoing, within five business days
after any request by Indemnitee that is accompanied by supporting documentation for specific
reasonable Expenses to be reimbursed or advanced, the Company shall, in accordance with such
request (but without duplication), (a) pay such Expenses on behalf of Indemnitee, (b) advance to
Indemnitee funds in an amount sufficient to pay such Expenses, or (c) reimburse Indemnitee for such
Expenses; provided that Indemnitee shall repay, without interest, any amounts actually advanced to
Indemnitee that, at the final disposition of the Indemnifiable Claim to which the advance related,
were in excess of amounts paid or payable by Indemnitee in respect of Expenses relating to, arising
out of or resulting from such Indemnifiable Claim. In connection with any such payment,
advancement or reimbursement, at the request of the Company, Indemnitee shall execute and deliver
to the Company an undertaking, which need not be secured and shall be accepted without reference to
Indemnitee’s ability to repay the Expenses, by or on behalf of the Indemnitee, to repay any amounts
paid, advanced or reimbursed by the Company in respect of Expenses relating to, arising out of or
resulting from any Indemnifiable Claim in respect of which it shall have been determined, following
the final disposition of such Indemnifiable Claim and in accordance with Section 7, that Indemnitee
is not entitled to indemnification hereunder.

4. Indemnification for Additional Expenses. Without limiting the generality or effect
of the foregoing, the Company shall indemnify and hold harmless Indemnitee against and, if
requested by Indemnitee, shall reimburse Indemnitee for, or advance to Indemnitee, within five
business days of such request accompanied by supporting documentation for specific Expenses to be
reimbursed or advanced, any and all actual and reasonable Expenses paid or incurred by Indemnitee
in connection with any Claim made, instituted or conducted by Indemnitee for (a) indemnification or
reimbursement or advance payment of Expenses by the Company under any provision of this Agreement,
or under any other agreement or provision of the Constituent Documents now or hereafter in effect
relating to Indemnifiable Claims, and/or (b) recovery under any directors’ and officers’ liability
insurance policies maintained by the Company; provided, however, if it is ultimately determined
that the Indemnitee is not entitled to such indemnification, reimbursement, advance or insurance
recovery, as the case may be, then the Indemnitee shall be obligated to repay any such Expenses to
the Company; provided further, that, regardless in each case of whether Indemnitee ultimately is
determined to be entitled to such indemnification, reimbursement, advance or insurance recovery, as
the case may be, Indemnitee shall return, without interest, any such advance of Expenses (or
portion thereof) which remains unspent at the final disposition of the Claim to which the advance
related.

 

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5. Partial Indemnity. If Indemnitee is entitled under any provision of this Agreement
to indemnification by the Company for some or a portion of any Indemnifiable Loss but not for all
of the total amount thereof, the Company shall nevertheless indemnify Indemnitee for the portion
thereof to which Indemnitee is entitled.

6. Procedure for Notification. To obtain indemnification under this Agreement in
respect of an Indemnifiable Claim or Indemnifiable Loss, Indemnitee shall submit to the Company a
written request therefore, including a brief description (based upon information then available to
Indemnitee) of such Indemnifiable Claim or Indemnifiable Loss. If, at the time of the receipt of
such request, the Company has directors’ and officers’ liability insurance in effect under which
coverage for such Indemnifiable Claim or Indemnifiable Loss is potentially available, the Company
shall give prompt written notice of such Indemnifiable Claim or Indemnifiable Loss to the
applicable insurers in accordance with the procedures set forth in the applicable policies. The
Company shall thereafter take all necessary or desirable action to cause such insurers to pay, on
behalf of the Indemnitee, all Indemnifiable Claims and Indemnifiable Losses in accordance with the
terms of such policies. The Company shall provide to Indemnitee a copy of such notice delivered to
the applicable insurers, substantially concurrently with the delivery thereof by the Company. The
failure by Indemnitee to timely notify the Company of any Indemnifiable Claim or Indemnifiable Loss
shall not relieve the Company from any liability hereunder unless, and only to the extent that, the
Company did not otherwise learn of such Indemnifiable Claim or Indemnifiable Loss and to the extent
that such failure results in forfeiture by the Company of substantial defenses, rights or insurance
coverage.

7.  Determination of Right to Indemnification.

To the extent that Indemnitee shall have been successful on the merits or otherwise in defense
of any Indemnifiable Claim or any portion thereof or in defense of any issue or matter therein,
including, without limitation, dismissal without prejudice, Indemnitee shall be indemnified against
all Indemnifiable Losses relating to, arising out of or resulting from such Indemnifiable Claim in
accordance with Section 2 and no Standard of Conduct Determination (as defined in Section 7(b))
shall be required.

To the extent that the provisions of Section 7(a) are inapplicable to an Indemnifiable Claim
that shall have been finally disposed of, any determination of whether Indemnitee has satisfied the
applicable Standard of Conduct (a “Standard of Conduct
Determination”) shall be made as follows:
(i) if a Change in Control shall not have occurred, or if a Change in Control shall have occurred
but Indemnitee shall have requested that the Standard of Conduct Determination be made pursuant to
this clause (i), (A) by a majority vote of the Disinterested Directors, even if less than a quorum
of the Board, (B) if such Disinterested Directors so direct, by a majority vote of a committee of
Disinterested Directors designated by a majority vote of all Disinterested Directors, or (C) if
there are no such Disinterested Directors, or if a majority of the Disinterested Directors so
direct, by Independent Counsel in a written opinion addressed to the Board, a copy of which shall
be delivered to Indemnitee; and (ii) if a Change in Control shall have occurred and Indemnitee
shall not have requested that the Standard of Conduct Determination be made pursuant to clause (i)
above, by Independent Counsel in a written opinion addressed to the Board, a copy of which shall be
delivered to Indemnitee.

 

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If (i) Indemnitee shall be entitled to indemnification hereunder against any Indemnifiable
Losses pursuant to Section 7(a), (ii) no determination of whether Indemnitee has satisfied any
applicable standard of conduct under Delaware law is a legally required condition precedent to
indemnification of Indemnitee hereunder against any Indemnifiable Losses, or (iii) Indemnitee has
been determined or deemed pursuant to Section 7(b) to have satisfied the applicable Standard of
Conduct, then the Company shall pay to Indemnitee, within five business days after the later of (x)
the Notification Date in respect of the Indemnifiable Claim or portion thereof to which such
Indemnifiable Losses are related, out of which such Indemnifiable Losses arose or from which such
Indemnifiable Losses resulted, and (y) the earliest date on which the applicable criterion
specified in clause (i), (ii) or (iii) above shall have been satisfied, an amount equal to the
amount of such Indemnifiable Losses. Nothing herein is intended to mean or imply that the Company
is intending to use Section 145(f) of the Delaware General Corporation Law to dispense with a
requirement that Indemnitee meet the applicable Standard of Conduct where it is otherwise required
by such statute.

If a Standard of Conduct Determination is required to be, but has not been, made by
Independent Counsel pursuant to Section 7(b)(i), the Independent Counsel shall be selected by the
Board or a committee of the Board, and the Company shall give written notice to Indemnitee advising
him or her of the identity of the Independent Counsel so selected. If a Standard of Conduct
Determination is required to be, or to have been, made by Independent Counsel pursuant to Section
7(b)(ii), the Independent Counsel shall be selected by Indemnitee, and Indemnitee shall give
written notice to the Company advising it of the identity of the Independent Counsel so selected.
In either case, Indemnitee or the Company, as applicable, may, within five business days after
receiving written notice of selection from the other, deliver to the other a written objection to
such selection; provided, however, that such objection may be asserted only on the ground that the
Independent Counsel so selected does not satisfy the criteria set forth in the definition of
“Independent Counsel” in Section 1(h), and the objection shall set forth with particularity the
factual basis of such assertion. Absent a proper and timely objection, the Person so selected
shall act as Independent Counsel. If such written objection is properly and timely made and
substantiated, (i) the Independent Counsel so selected may not serve as Independent Counsel unless
and until such objection is withdrawn or a court has determined that such objection is without
merit and (ii) the non-objecting party may, at its option, select an alternative Independent
Counsel and give written notice to the other party advising such other party of the identity of the
alternative Independent Counsel so selected, in which case the provisions of the two immediately
preceding sentences and clause (i) of this sentence shall apply to such subsequent selection and
notice. If applicable, the provisions of clause (ii) of the immediately preceding sentence shall
apply to successive alternative selections. If no Independent Counsel that is permitted under the
foregoing provisions of this Section 7(d) to make the Standard of Conduct Determination shall have
been selected within 30 calendar days after the Company gives its initial notice pursuant to the
first sentence of this Section 7(d) or Indemnitee gives its initial notice pursuant to the second
sentence of this Section 7(d), as the case may be, either the Company or Indemnitee may petition
the Court of Chancery of the State of Delaware for resolution of any objection which shall have
been made by the Company or Indemnitee to the other’s selection of Independent Counsel and/or for
the appointment as Independent Counsel of a person or firm selected by the Court or by such other
person as the Court shall designate, and the person or firm with respect to whom all objections are
so resolved or the person or firm so appointed will act as Independent Counsel. In all events, the
Company shall pay all of the actual and reasonable fees and expenses of the Independent Counsel
incurred in connection with the Independent Counsel’s determination pursuant to Section 7(b).

 

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8. Cooperation. Indemnitee shall cooperate with reasonable requests of the Company in
connection with any Indemnifiable Claim and any individual or firm making such Standard of Conduct
Determination, including providing to such Person documentation or information which is not
privileged or otherwise protected from disclosure and which is reasonably available to Indemnitee
and reasonably necessary to defend the Indemnifiable Claim or make any Standard of Conduct
Determination without incurring any unreimbursed cost in connection therewith. The Company shall
indemnify and hold harmless Indemnitee against and, if requested by Indemnitee, shall reimburse
Indemnitee for, or advance to Indemnitee, within five business days of such request accompanied by
supporting documentation for specific costs and expenses to be reimbursed or advanced, any and all
costs and expenses (including attorneys’ and experts’ fees and expenses) actually and reasonably
incurred by Indemnitee in so cooperating with the Person defending the Indemnifiable Claim or
making such Standard of Conduct Determination.

9. Presumption of Entitlement. Notwithstanding any other provision hereof, in making
any Standard of Conduct Determination, the Person making such determination shall presume that
Indemnitee has satisfied the applicable Standard of Conduct.

10. No Other Presumption. For purposes of this Agreement, the termination of any
Claim by judgment, order, settlement (whether with or without court approval) or conviction, or
upon a plea of nolo contendere or its equivalent, will not create a presumption that Indemnitee did
not meet any applicable Standard of Conduct or that indemnification hereunder is otherwise not
permitted.

11. Non-Exclusivity. The rights of Indemnitee hereunder will be in addition to any
other rights Indemnitee may have under the Constituent Documents, or the substantive laws of the
Company’s jurisdiction of incorporation, any other contract or otherwise (collectively, “Other
Indemnity Provisions”); provided, however, that (a) to the extent that Indemnitee otherwise would
have any greater right to indemnification under any Other Indemnity Provision, Indemnitee will
without further action be deemed to have such greater right hereunder, and (b) to the extent that
any change is made to any Other Indemnity Provision which permits any greater right to
indemnification than that provided under this Agreement as of the date hereof, Indemnitee will be
deemed to have such greater right hereunder. The Company may not, without the consent of
Indemnitee, adopt any amendment to any of the Constituent Documents the effect of which would be to
deny, diminish or encumber Indemnitee’s right to indemnification under this Agreement.

12. Liability Insurance and Funding. For the duration of Indemnitee’s service as a
director and/or officer of the Company and for a reasonable period of time thereafter, which such
period shall be determined by the Company in its sole discretion, the Company shall use
commercially reasonable efforts (taking into account the scope and amount of coverage available
relative to the cost thereof) to cause to be maintained in effect policies of directors’ and
officers’ liability insurance providing coverage for directors and/or officers of the Company, and,
if applicable, that is substantially comparable in scope and amount to that provided by the

 

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Company’s current policies of directors’ and officers’ liability insurance. Upon reasonable
request, the Company shall provide Indemnitee or his or her counsel with a copy of all directors’
and officers’ liability insurance applications, binders, policies, declarations, endorsements and
other related materials. In all policies of directors’ and officers’ liability insurance obtained
by the Company, Indemnitee shall be named as an insured in such a manner as to provide Indemnitee
the same rights and benefits, subject to the same limitations, as are accorded to the Company’s
directors and officers most favorably insured by such policy. Notwithstanding the foregoing, (i)
the Company may, but shall not be required to, create a trust fund, grant a security interest or
use other means, including, without limitation, a letter of credit, to ensure the payment of such
amounts as may be necessary to satisfy its obligations to indemnify and advance expenses pursuant
to this Agreement and (ii) in renewing or seeking to renew any insurance hereunder, the Company
will not be required to expend more than 2.0 times the premium amount of the immediately preceding
policy period (equitably adjusted if necessary to reflect differences in policy periods).

13. Subrogation. In the event of payment under this Agreement, the Company shall be
subrogated to the extent of such payment to all of the related rights of recovery of Indemnitee
against other Persons (other than Indemnitee’s successors), including any entity or enterprise
referred to in clause (i) of the definition of “Indemnifiable Claim” in Section 1(f). Indemnitee
shall execute all papers reasonably required to evidence such rights (all of Indemnitee’s
reasonable Expenses, including attorneys’ fees and charges, related thereto to be reimbursed by or,
at the option of Indemnitee, advanced by the Company).

14. No Duplication of Payments. The Company shall not be liable under this Agreement
to make any payment to Indemnitee in respect of any Indemnifiable Losses to the extent Indemnitee
has otherwise already actually received payment (net of Expenses incurred in connection therewith)
under any insurance policy, the Constituent Documents and Other Indemnity Provisions or otherwise
(including from any entity or enterprise referred to in clause (i) of the definition of
“Indemnifiable Claim” in Section 1(f)) in respect of such Indemnifiable Losses otherwise
indemnifiable hereunder.

15. Defense of Claims. Subject to the provisions of applicable policies of directors’
and officers’ liability insurance, if any, the Company shall be entitled to participate in the
defense of any Indemnifiable Claim or to assume or lead the defense thereof with counsel reasonably
satisfactory to the Indemnitee; provided that if Indemnitee determines, after consultation with
counsel selected by Indemnitee, that (a) the use of counsel chosen by the Company to represent
Indemnitee would present such counsel with an actual or potential conflict, (b) the named parties
in any such Indemnifiable Claim (including any impleaded parties) include both the Company and
Indemnitee and Indemnitee shall conclude that there may be one or more legal defenses available to
him or her that are different from or in addition to those available to the Company, (c) any such
representation by such counsel would be precluded under the applicable standards of professional
conduct then prevailing, or (d) Indemnitee has interests in the claim or underlying subject matter
that are different from or in addition to those of other Persons against whom the Claim has been
made or might reasonably be expected to be made, then Indemnitee shall be entitled to retain
separate counsel (but not more than one law firm plus, if applicable, local counsel in respect of
any particular Indemnifiable Claim for all indemnitees in Indemnitee’s circumstances) at the
Company’s expense. The Company shall not

 

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be liable to Indemnitee under this Agreement for any amounts paid in settlement of any
threatened or pending Indemnifiable Claim effected without the Company’s prior written consent.
The Company shall not, without the prior written consent of the Indemnitee, effect any settlement
of any threatened or pending Indemnifiable Claim which the Indemnitee is or could have been a party
unless such settlement solely involves the payment of money and includes a complete and
unconditional release of the Indemnitee from all liability on any claims that are the subject
matter of such Indemnifiable Claim. Neither the Company nor Indemnitee shall unreasonably withhold
its consent to any proposed settlement; provided that Indemnitee may withhold consent to any
settlement that does not provide a complete and unconditional release of Indemnitee.

16. Mutual Acknowledgment. Both the Company and the Indemnitee acknowledge that in
certain instances, Federal law or applicable public policy may prohibit the Company from
indemnifying its directors and officers under this Agreement or otherwise. Indemnitee understands
and acknowledges that the Company may be required in the future to undertake to the Securities and
Exchange Commission to submit the question of indemnification to a court in certain circumstances
for a determination of the Company’s right under public policy to indemnify Indemnitee and, in that
event, the Indemnitee’s rights and the Company’s obligations hereunder shall be subject to that
determination.

17. Successors and Binding Agreement.

This Agreement shall be binding upon and inure to the benefit of the Company and any successor
to the Company, including, without limitation, any Person acquiring directly or indirectly all or
substantially all of the business or assets of the Company whether by purchase, merger,
consolidation, reorganization or otherwise (and such successor will thereafter be deemed the
“Company” for purposes of this Agreement), but shall not otherwise be assignable or delegatable by
the Company.

This Agreement shall inure to the benefit of and be enforceable by the Indemnitee’s personal
or legal representatives, executors, administrators, heirs, distributees, legatees and other
successors.

This Agreement is personal in nature and neither of the parties hereto shall, without the
consent of the other, assign or delegate this Agreement or any rights or obligations hereunder
except as expressly provided in Sections 17(a) and 17(b). Without limiting the generality or
effect of the foregoing, Indemnitee’s right to receive payments hereunder shall not be assignable,
whether by pledge, creation of a security interest or otherwise, other than by a transfer by the
Indemnitee’s will or by the laws of descent and distribution, and, in the event of any attempted
assignment or transfer contrary to this Section 17(c), the Company shall have no liability to pay
any amount so attempted to be assigned or transferred.

18. Notices. For all purposes of this Agreement, all communications, including
without limitation notices, consents, requests or approvals, required or permitted to be given
hereunder must be in writing and shall be deemed to have been duly given when hand delivered or
dispatched by electronic facsimile transmission (with receipt thereof orally confirmed), or one
business day after having been sent for next-day delivery by a nationally recognized overnight

 

10

 

courier service, addressed to the Company (to the attention of the Secretary of the Company)
and to Indemnitee at the applicable address shown on the signature page hereto, or to such other
address as any party may have furnished to the other in writing and in accordance herewith, except
that notices of changes of address will be effective only upon receipt.

19. Governing Law. The validity, interpretation, construction and performance of this
Agreement shall be governed by and construed in accordance with the substantive laws of the State
of Delaware, without giving effect to the principles of conflict of laws of such State. The
Company and Indemnitee each hereby irrevocably consent to the jurisdiction of the Chancery Court of
the State of Delaware for all purposes in connection with any action or proceeding which arises out
of or relates to this Agreement, waive all procedural objections to suit in that jurisdiction,
including, without limitation, objections as to venue or inconvenience, agree that service in any
such action may be made by notice given in accordance with Section 18 and also agree that any
action instituted under this Agreement shall be brought only in the Chancery Court of the State of
Delaware.

20. Validity. If any provision of this Agreement or the application of any provision
hereof to any Person or circumstance is held invalid, unenforceable or otherwise illegal, the
remainder of this Agreement and the application of such provision to any other Person or
circumstance shall not be affected, and the provision so held to be invalid, unenforceable or
otherwise illegal shall be reformed to the extent, and only to the extent, necessary to make it
enforceable, valid or legal. In the event that any court or other adjudicative body shall decline
to reform any provision of this Agreement held to be invalid, unenforceable or otherwise illegal as
contemplated by the immediately preceding sentence, the parties thereto shall take all such action
as may be necessary or appropriate to replace the provision so held to be invalid, unenforceable or
otherwise illegal with one or more alternative provisions that effectuate the purpose and intent of
the original provisions of this Agreement as fully as possible without being invalid, unenforceable
or otherwise illegal.

21. Miscellaneous. No provision of this Agreement may be waived, modified or
discharged unless such waiver, modification or discharge is agreed to in writing signed by
Indemnitee and the Company. No waiver by either party hereto at any time of any breach by the
other party hereto or compliance with any condition or provision of this Agreement to be performed
by such other party shall be deemed a waiver of similar or dissimilar provisions or conditions at
the same or at any prior or subsequent time. No agreements or representations, oral or otherwise,
expressed or implied with respect to the subject matter hereof have been made by either party that
are not set forth expressly in this Agreement.

22. Certain Interpretive Matters. Unless the context of this Agreement otherwise
requires, (1) “it” or “its” or words of any gender include each other gender, (2) words using the
singular or plural number also include the plural or singular number, respectively, (3) the terms
“hereof,” “herein,” “hereby” and derivative or similar words refer to this entire Agreement, (4)
the terms “Article,” “Section,” “Annex” or “Exhibit” refer to the specified Article, Section, Annex
or Exhibit of or to this Agreement, (5) the terms “include,” “includes” and “including” will be
deemed to be followed by the words “without limitation” (whether or not so expressed), and (6) the
word “or” is disjunctive but not exclusive. Whenever this Agreement refers to a number of days,
such number will refer to calendar days unless business days are specified and

 

11

 

whenever action must be taken (including the giving of notice or the delivery of documents)
under this Agreement during a certain period of time or by a particular date that ends or occurs on
a non-business day, then such period or date will be extended until the immediately following
business day. As used herein, “business day” means any day other than Saturday, Sunday or a United
States federal holiday.

23. Entire Agreement. This Agreement constitutes the entire agreement and supersedes
all prior agreements and understandings, both written and oral, between the parties hereto with
respect to the subject matter of this Agreement. Any prior agreements or understandings between
the parties hereto with respect to indemnification are hereby terminated and of no further force or
effect. This Agreement is not the exclusive means of securing indemnification rights of Indemnitee
and is in addition to any rights Indemnitee may have under any Constituent Documents.

24. Counterparts. This Agreement may be executed in one or more counterparts, each of
which will be deemed to be an original but all of which together shall constitute one and the same
agreement.

[REMAINDER OF PAGE INTENTIONALLY BLANK]

 

12

 

IN WITNESS WHEREOF, Indemnitee has executed and the Company has caused its duly authorized
representative to execute this Agreement as of the date first above written.

	 	 	 	 	 
	 	GENESIS FLUID SOLUTIONS HOLDINGS, INC.

 	 
	 	By:  	 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 

	 	 	 	 	 
	 	INDEMNITEE:

 	 
	 	
 	 
	 	Name:  	 	 
	 	 	 
	 	Address:
 	 
	 	 	 
	 	
 	 
	 	 	 
	 	
 	 
	 	 	 
	 	 	 
	 

Signature Page to Director and Officer Indemnification Agreement

 

13Exhibit 10.9

Exhibit 10.9

GENESIS FLUID SOLUTIONS HOLDINGS, INC.

2009 EQUITY INCENTIVE PLAN

1. Purpose of the Plan.

This 2009 Equity Incentive Plan (the “Plan”) is intended as an incentive, to retain in
the employ of and as directors, officers, consultants, advisors and employees to Genesis Fluid
Solutions Holdings, Inc., a Delaware corporation (the “Company”), and any Subsidiary of the
Company, within the meaning of Section 424(f) of the United States Internal Revenue Code of 1986,
as amended (the “Code”), persons of training, experience and ability, to attract new
directors, officers, consultants, advisors and employees whose services are considered valuable, to
encourage the sense of proprietorship and to stimulate the active interest of such persons in the
development and financial success of the Company and its Subsidiaries.

It is further intended that certain options granted pursuant to the Plan shall constitute
incentive stock options within the meaning of Section 422 of the Code (the “Incentive
Options”) while certain other options granted pursuant to the Plan shall be nonqualified stock
options (the “Nonqualified Options”). Incentive Options and Nonqualified Options are
hereinafter referred to collectively as “Options.”

The Company intends that the Plan meet the requirements of Rule 16b-3 (“Rule 16b-3”)
promulgated under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and
that transactions of the type specified in subparagraphs (c) to (f) inclusive of Rule 16b-3 by
officers and directors of the Company pursuant to the Plan will be exempt from the operation of
Section 16(b) of the Exchange Act. Further, the Plan is intended to satisfy the performance-based
compensation exception to the limitation on the Company’s tax deductions imposed by Section 162(m)
of the Code with respect to those Options for which qualification for such exception is intended.
In all cases, the terms, provisions, conditions and limitations of the Plan shall be construed and
interpreted consistent with the Company’s intent as stated in this Section 1.

2. Administration of the Plan.

The Board of Directors of the Company (the “Board”) shall appoint and maintain as
administrator of the Plan a Committee (the “Committee”) consisting of two or more directors
who are (i) “Independent Directors” (as such term is defined under the rules of the NASDAQ Stock
Market), (ii) “Non-Employee Directors” (as such term is defined in Rule 16b-3) and (iii) “Outside
Directors” (as such term is defined in Section 162(m) of the Code), which shall serve at the
pleasure of the Board. The Committee, subject to Sections 3, 5 and 6 hereof, shall have full power
and authority to designate recipients of Options and restricted stock (“Restricted Stock”)
and to determine the terms and conditions of the respective Option and Restricted Stock agreements
(which need not be identical) and to interpret the provisions and supervise the administration of
the Plan. The Committee shall have the authority, without limitation, to designate which Options
granted under the Plan shall be Incentive Options and which shall be Nonqualified Options. To the
extent any Option does not qualify as an Incentive Option, it shall constitute a separate
Nonqualified Option.

Subject to the provisions of the Plan, the Committee shall interpret the Plan and all Options
and Restricted Stock granted under the Plan, shall make such rules as it deems necessary for the
proper administration of the Plan, shall make all other determinations necessary or advisable for
the administration of the Plan and shall correct any defects or supply any omission or reconcile
any inconsistency in the Plan or in any Options or Restricted Stock granted under the Plan in the
manner and to the extent that the Committee deems desirable to carry into effect the Plan or any
Options or Restricted Stock. The act or determination of a majority of the Committee shall be the
act or determination of the Committee and any decision reduced to writing and signed by all of the
members of the Committee shall be fully effective as if it had been made by a majority of the
Committee at a meeting duly held for such purpose. Subject to the provisions of the Plan, any
action taken or determination made by the Committee pursuant to this and the other Sections of the
Plan shall be conclusive on all parties.

 

 

 

In the event that for any reason the Committee is unable to act or if the Committee at the
time of any grant, award or other acquisition under the Plan does not consist of two or more
Non-Employee Directors, or if there shall be no such Committee, or if the Board otherwise
determines to administer the Plan, then the Plan shall be administered by the Board, and references
herein to the Committee (except in the proviso to this sentence) shall be deemed to be references
to the Board, and any such grant, award or other acquisition may be approved or ratified in any
other manner contemplated by subparagraph (d) of Rule 16b-3; provided, however,
that grants to the Company’s Chief Executive Officer or to any of the Company’s other four most
highly compensated officers that are intended to qualify as performance-based compensation under
Section 162(m) of the Code may only be granted by the Committee.

3. Designation of Optionees and Grantees.

The persons eligible for participation in the Plan as recipients of Options (the
“Optionees”) or Restricted Stock (the “Grantees” and together with Optionees, the
“Participants”) shall include directors, officers and employees of, and consultants and
advisors to, the Company or any Subsidiary; provided that Incentive Options may only be granted to
employees of the Company and any Subsidiary. In selecting Participants, and in determining the
number of shares to be covered by each Option or award of Restricted Stock granted to Participants,
the Committee may consider any factors it deems relevant, including, without limitation, the office
or position held by the Participant or the Participant’s relationship to the Company, the
Participant’s degree of responsibility for and contribution to the growth and success of the
Company or any Subsidiary, the Participant’s length of service, promotions and potential. A
Participant who has been granted an Option or Restricted Stock hereunder may be granted an
additional Option or Options, or Restricted Stock if the Committee shall so determine.

4. Stock Reserved for the Plan.

Subject to adjustment as provided in Section 8 hereof, a total of 4,542,000 shares of the
Company’s common stock, par value $0.001 per share (the “Stock”), shall be subject to the
Plan. The shares of Stock subject to the Plan shall consist of unissued shares, treasury shares or
previously issued shares held by any Subsidiary of the Company, and such number of shares of Stock
shall be and is hereby reserved for such purpose. Any of such shares of Stock that may remain
unissued and that are not subject to outstanding Options at the termination of the Plan shall cease
to be reserved for the purposes of the Plan, but until termination of the Plan the Company shall at
all times reserve a sufficient number of shares of Stock to meet the requirements of the Plan.
Should any Option or award of Restricted Stock expire or be canceled prior to its exercise or
vesting in full or should the number of shares of Stock to be delivered upon the exercise or
vesting in full of an Option or award of Restricted Stock be reduced for any reason, the shares of
Stock theretofore subject to such Option or Restricted Stock may be subject to future Options or
Restricted Stock under the Plan, except where such reissuance is inconsistent with the provisions
of Section 162(m) of the Code where qualification as performance-based compensation under Section
162(m) of the Code is intended.

5. Terms and Conditions of Options.

Options granted under the Plan shall be subject to the following conditions and shall contain
such additional terms and conditions, not inconsistent with the terms of the Plan, as the Committee
shall deem desirable:

(a) Option Price. The purchase price of each share of Stock purchasable under an
Incentive Option shall be determined by the Committee at the time of grant, but shall not be less
than 100% of the Fair Market Value (as defined below) of such share of Stock on the date the Option
is granted; provided, however, that with respect to an Optionee who, at the time
such Incentive Option is granted, owns (within the meaning of Section 424(d) of the Code) more than
10% of the total combined voting power of all classes of stock of the Company or of any Subsidiary,
the purchase price per share of Stock shall be at least 110% of the Fair Market Value per share of
Stock on the date of grant. The purchase price of each share of Stock purchasable under a
Nonqualified Option shall not be less than 100% of the Fair Market Value of such share of Stock on
the date the Option is granted. The exercise price for each Option shall be subject to adjustment
as provided in Section 8 below. “Fair Market Value” means the closing price on the final
trading day immediately prior to the grant date of the Stock on the principal securities exchange
on which shares of Stock are listed (if the shares of Stock are so listed), or on the NASDAQ Stock
Market or OTC Bulletin Board (if the shares of Stock are regularly quoted on the NASDAQ Stock
Market or
OTC Bulletin Board, as the case may be), or, if not so listed, the mean between the closing
bid and asked prices of publicly traded shares of Stock in the over the counter market, or, if such
bid and asked prices shall not be available, as reported by any nationally recognized quotation
service selected by the Company, or as determined by the Committee in a manner consistent with the
provisions of the Code. Anything in this Section 5(a) to the contrary notwithstanding, in no event
shall the purchase price of a share of Stock be less than the minimum price permitted under the
rules and policies of any national securities exchange on which the shares of Stock are listed.

 

-2-

 

(b) Option Term. The term of each Option shall be fixed by the Committee, but no
Option shall be exercisable more than ten years after the date such Option is granted and in the
case of an Incentive Option granted to an Optionee who, at the time such Incentive Option is
granted, owns (within the meaning of Section 424(d) of the Code) more than 10% of the total
combined voting power of all classes of stock of the Company or of any Subsidiary, no such
Incentive Option shall be exercisable more than five years after the date such Incentive Option is
granted.

(c) Exercisability. Subject to Section 5(j) hereof, Options shall be exercisable at
such time or times and subject to such terms and conditions as shall be determined by the Committee
at the time of grant; provided, however, that in the absence of any Option vesting
periods designated by the Committee at the time of grant, Options shall vest and become exercisable
as to one-third of the total number of shares subject to the Option on each of the first, second
and third anniversaries of the date of grant; and provided further that no Options shall be
exercisable until such time as any vesting limitation required by Section 16 of the Exchange Act,
and related rules, shall be satisfied if such limitation shall be required for continued validity
of the exemption provided under Rule 16b-3(d)(3).

Upon the occurrence of a “Change in Control” (as hereinafter defined), the Committee may
accelerate the vesting and exercisability of outstanding Options, in whole or in part, as
determined by the Committee in its sole discretion. In its sole discretion, the Committee may also
determine that, upon the occurrence of a Change in Control, each outstanding Option shall terminate
within a specified number of days after notice to the Optionee thereunder, and each such Optionee
shall receive, with respect to each share of Company Stock subject to such Option, an amount equal
to the excess of the Fair Market Value of such shares immediately prior to such Change in Control
over the exercise price per share of such Option; such amount shall be payable in cash, in one or
more kinds of property (including the property, if any, payable in the transaction) or a
combination thereof, as the Committee shall determine in its sole discretion.

For purposes of the Plan, unless otherwise defined in an employment agreement between the
Company and the relevant Optionee, a Change in Control shall be deemed to have occurred if:

(i) a tender offer (or series of related offers) shall be made and consummated
for the ownership of 50% or more of the outstanding voting securities of the
Company, unless as a result of such tender offer more than 50% of the outstanding
voting securities of the surviving or resulting corporation shall be owned in the
aggregate by the stockholders of the Company (as of the time immediately prior to
the commencement of such offer), any employee benefit plan of the Company or its
Subsidiaries, and their affiliates;

(ii) the Company shall be merged or consolidated with another corporation,
unless as a result of such merger or consolidation more than 50% of the outstanding
voting securities of the surviving or resulting corporation shall be owned in the
aggregate by the stockholders of the Company (as of the time immediately prior to
such transaction), any employee benefit plan of the Company or its Subsidiaries, and
their affiliates;

(iii) the Company shall sell substantially all of its assets to another
corporation that is not wholly owned by the Company, unless as a result of such sale
more than 50% of such assets shall be owned in the aggregate by the stockholders of
the Company (as of the time immediately prior to such transaction), any employee
benefit plan of the Company or its Subsidiaries and their affiliates; or

(iv) a Person (as defined below) shall acquire 50% or more of the outstanding
voting securities of the Company (whether directly, indirectly, beneficially or of
record), unless as a result of such acquisition more than 50% of the outstanding
voting securities of the surviving or resulting corporation shall be owned in the
aggregate by the stockholders of the Company (as of the time immediately prior to
the first acquisition of such securities by such Person), any employee benefit plan
of the Company or its Subsidiaries, and their affiliates.

 

-3-

 

Notwithstanding the foregoing, if Change of Control is defined in an employment agreement between
the Company and the relevant Optionee, then, with respect to such Optionee, Change of Control shall
have the meaning ascribed to it in such employment agreement.

For purposes of this Section 5(c), ownership of voting securities shall take into account and
shall include ownership as determined by applying the provisions of Rule 13d-3(d)(I)(i) (as in
effect on the date hereof) under the Exchange Act. In addition, for such purposes, “Person” shall
have the meaning given in Section 3(a)(9) of the Exchange Act, as modified and used in Sections
13(d) and 14(d) thereof; provided, however, that a Person shall not include (A) the
Company or any of its Subsidiaries; (B) a trustee or other fiduciary holding securities under an
employee benefit plan of the Company or any of its Subsidiaries; (C) an underwriter temporarily
holding securities pursuant to an offering of such securities; or (D) a corporation owned, directly
or indirectly, by the stockholders of the Company in substantially the same proportion as their
ownership of stock of the Company.

(d) Method of Exercise. Options to the extent then exercisable may be exercised in
whole or in part at any time during the option period, by giving written notice to the Company
specifying the number of shares of Stock to be purchased, accompanied by payment in full of the
purchase price, in cash, or by check or such other instrument as may be acceptable to the
Committee. As determined by the Committee, in its sole discretion, at or after grant, payment in
full or in part may be made at the election of the Optionee (i) in the form of Stock owned by the
Optionee (based on the Fair Market Value of the Stock which is not the subject of any pledge or
security interest, (ii) in the form of shares of Stock withheld by the Company from the shares of
Stock otherwise to be received with such withheld shares of Stock having a Fair Market Value equal
to the exercise price of the Option, or (iii) by a combination of the foregoing, such Fair Market
Value determined by applying the principles set forth in Section 5(a), provided that the combined
value of all cash and cash equivalents and the Fair Market Value of any shares surrendered to the
Company is at least equal to such exercise price and except with respect to (ii) above, such method
of payment will not cause a disqualifying disposition of all or a portion of the Stock received
upon exercise of an Incentive Option. An Optionee shall have the right to dividends and other
rights of a stockholder with respect to shares of Stock purchased upon exercise of an Option at
such time as the Optionee (i) has given written notice of exercise and has paid in full for such
shares, and (ii) has satisfied such conditions that may be imposed by the Company with respect to
the withholding of taxes.

(e) Non-transferability of Options. Options are not transferable and may be exercised
solely by the Optionee during his lifetime or after his death by the person or persons entitled
thereto under his will or the laws of descent and distribution. The Committee, in its sole
discretion, may permit a transfer of a Nonqualified Option to (i) a trust for the benefit of the
Optionee, (ii) a member of the Optionee’s immediate family (or a trust for his or her benefit) or
(iii) pursuant to a domestic relations order. Any attempt to transfer, assign, pledge or otherwise
dispose of, or to subject to execution, attachment or similar process, any Option contrary to the
provisions hereof shall be void and ineffective and shall give no right to the purported
transferee.

(f) Termination by Death. Unless otherwise determined by the Committee, if any
Optionee’s employment with or service to the Company or any Subsidiary terminates by reason of
death, the Option may thereafter be exercised, to the extent then exercisable (or on such
accelerated basis as the Committee shall determine at or after grant), by the legal representative
of the estate or by the legatee of the Optionee under the will of the Optionee, for a period of one
(1) year after the date of such death (or, if later, such time as the Option may be exercised
pursuant to Section 14(d) hereof) or until the expiration of the stated term of such Option as
provided under the Plan, whichever period is shorter.

(g) Termination by Reason of Disability. Unless otherwise determined by the
Committee, if any Optionee’s employment with or service to the Company or any Subsidiary terminates
by reason of Disability (as defined below), then any Option held by such Optionee may thereafter be
exercised, to the extent it was exercisable
at the time of termination due to Disability (or on such accelerated basis as the Committee
shall determine at or after grant), but may not be exercised after ninety (90) days after the date
of such termination of employment or service (or, if later, such time as the Option may be
exercised pursuant to Section 14(d) hereof) or the expiration of the stated term of such Option,
whichever period is shorter; provided, however, that, if the Optionee dies within
such ninety (90) day period, any unexercised Option held by such Optionee shall thereafter be
exercisable to the extent to which it was exercisable at the time of death for a period of one (1)
year after the date of such death (or, if later, such time as the Option may be exercised pursuant
to Section 14(d) hereof) or for the stated term of such Option, whichever period is shorter.
“Disability” shall mean an Optionee’s total and permanent disability; provided, that if Disability
is defined in an employment agreement between the Company and the relevant Optionee, then, with
respect to such Optionee, Disability shall have the meaning ascribed to it in such employment
agreement

 

-4-

 

(h) Termination by Reason of Retirement. Unless otherwise determined by the
Committee, if any Optionee’s employment with or service to the Company or any Subsidiary terminates
by reason of Normal or Early Retirement (as such terms are defined below), any Option held by such
Optionee may thereafter be exercised to the extent it was exercisable at the time of such
Retirement (or on such accelerated basis as the Committee shall determine at or after grant), but
may not be exercised after ninety (90) days after the date of such termination of employment or
service (or, if later, such time as the Option may be exercised pursuant to Section 14(d) hereof)
or the expiration of the stated term of such Option, whichever date is earlier; provided,
however, that, if the Optionee dies within such ninety (90) day period, any unexercised
Option held by such Optionee shall thereafter be exercisable, to the extent to which it was
exercisable at the time of death, for a period of one (1) year after the date of such death (or, if
later, such time as the Option may be exercised pursuant to Section 14(d) hereof) or for the stated
term of such Option, whichever period is shorter.

For purposes of this paragraph (h), “Normal Retirement” shall mean retirement from
active employment with the Company or any Subsidiary on or after the normal retirement date
specified in the applicable Company or Subsidiary pension plan or if no such pension plan, age 65,
and “Early Retirement” shall mean retirement from active employment with the Company or any
Subsidiary pursuant to the early retirement provisions of the applicable Company or Subsidiary
pension plan or if no such pension plan, age 55.

(i) Other Terminations. Unless otherwise determined by the Committee upon grant, if
any Optionee’s employment with or service to the Company or any Subsidiary is terminated by such
Optionee for any reason other than death, Disability, Normal or Early Retirement or Good Reason (as
defined below), the Option shall thereupon terminate, except that the portion of any Option that
was exercisable on the date of such termination of employment or service may be exercised for the
lesser of ninety (90) days after the date of termination (or, if later, such time as the Option may
be exercised pursuant to Section 14(d) hereof) or the balance of such Option’s term, which ever
period is shorter. The transfer of an Optionee from the employ of or service to the Company to the
employ of or service to a Subsidiary, or vice versa, or from one Subsidiary to another, shall not
be deemed to constitute a termination of employment or service for purposes of the Plan.

(i) In the event that the Optionee’s employment or service with the Company or any
Subsidiary is terminated by the Company or such Subsidiary for “cause” any
unexercised portion of any Option shall immediately terminate in its entirety. For
purposes hereof, unless otherwise defined in an employment agreement between the
Company and the relevant Optionee, “Cause” shall exist upon a good-faith
determination by the Board, following a hearing before the Board at which an
Optionee was represented by counsel and given an opportunity to be heard, that such
Optionee has been accused of fraud, dishonesty or act detrimental to the interests
of the Company or any Subsidiary of Company or that such Optionee has been accused
of or convicted of an act of willful and material embezzlement or fraud against the
Company or of a felony under any state or federal statute; provided,
however, that it is specifically understood that “Cause” shall not include
any act of commission or omission in the good-faith exercise of such Optionee’s
business judgment as a director, officer or employee of the Company, as the case may
be, or upon the advice of counsel to the Company. Notwithstanding the foregoing, if
Cause is defined in an employment agreement between the Company and the relevant
Optionee, then, with respect to such Optionee, Cause shall have the meaning ascribed
to it in such employment agreement.

 

-5-

 

(ii) In the event that an Optionee is removed as a director, officer or
employee by the Company at any time other than for “Cause” or resigns as a director,
officer or employee for “Good Reason” the Option granted to such Optionee may be
exercised by the Optionee, to the extent the Option was exercisable on the date such
Optionee ceases to be a director, officer or employee. Such Option may be exercised
at any time within one (1) year after the date the Optionee ceases to be a director,
officer or employee (or, if later, such time as the Option may be exercised pursuant
to Section 14(d) hereof), or the date on which the Option otherwise expires by its
terms; which ever period is shorter, at which time the Option shall terminate;
provided, however, if the Optionee dies before the Options terminate
and are no longer exercisable, the terms and provisions of Section 5(f) shall
control. For purposes of this Section 5(i), and unless otherwise defined in an
employment agreement between the Company and the relevant Optionee, Good Reason
shall exist upon the occurrence of the following:

	(A)	 	the assignment to Optionee of any duties
inconsistent with the position in the Company that Optionee held
immediately prior to the assignment;

	(B)	 	a Change of Control resulting in a significant
adverse alteration in the status or conditions of Optionee’s
participation with the Company or other nature of Optionee’s
responsibilities from those in effect prior to such Change of Control,
including any significant alteration in Optionee’s responsibilities
immediately prior to such Change in Control; and

	(C)	 	the failure by the Company to continue to
provide Optionee with benefits substantially similar to those enjoyed
by Optionee prior to such failure.

Notwithstanding the foregoing, if Good Reason is defined in an employment agreement
between the Company and the relevant Optionee, then, with respect to such Optionee,
Good Reason shall have the meaning ascribed to it in such employment agreement.

(j) Limit on Value of Incentive Option. The aggregate Fair Market Value, determined
as of the date the Incentive Option is granted, of Stock for which Incentive Options are
exercisable for the first time by any Optionee during any calendar year under the Plan (and/or any
other stock option plans of the Company or any Subsidiary) shall not exceed $100,000.

6. Terms and Conditions of Restricted Stock.

Restricted Stock may be granted under this Plan aside from, or in association with, any other
award and shall be subject to the following conditions and shall contain such additional terms and
conditions (including provisions relating to the acceleration of vesting of Restricted Stock upon a
Change of Control), not inconsistent with the terms of the Plan, as the Committee shall deem
desirable:

(a) Grantee rights. A Grantee shall have no rights to an award of Restricted Stock
unless and until Grantee accepts the award within the period prescribed by the Committee and, if
the Committee shall deem desirable, makes payment to the Company in cash, or by check or such other
instrument as may be acceptable to the Committee. After acceptance and issuance of a certificate
or certificates, as provided for below, the Grantee shall have the rights of a stockholder with
respect to Restricted Stock subject to the non-transferability and forfeiture restrictions
described in Section 6(d) below.

(b) Issuance of Certificates. The Company shall issue in the Grantee’s name a
certificate or certificates for the shares of Common Stock associated with the award promptly after
the Grantee accepts such award.

(c) Delivery of Certificates. Unless otherwise provided, any certificate or
certificates issued evidencing shares of Restricted Stock shall not be delivered to the Grantee
until such shares are free of any restrictions specified by the Committee at the time of grant.

(d) Forfeitability, Non-transferability of Restricted Stock. Shares of Restricted
Stock are forfeitable until the terms of the Restricted Stock grant have been satisfied. Shares of
Restricted Stock are not transferable until the date on which the Committee has specified such
restrictions have lapsed. Unless otherwise provided by the Committee at or after grant,
distributions in the form of dividends or otherwise of additional shares or property in respect of
shares of Restricted Stock shall be subject to the same restrictions as such shares of Restricted
Stock.

 

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(e) Change of Control. Upon the occurrence of a Change in Control as defined in
Section 5(c), the Committee may accelerate the vesting of outstanding Restricted Stock, in whole or
in part, as determined by the Committee, in its sole discretion.

(f) Termination of Employment. Unless otherwise determined by the Committee at or
after grant, in the event the Grantee ceases to be an employee or otherwise associated with the
Company for any other reason, all shares of Restricted Stock theretofore awarded to him which are
still subject to restrictions shall be forfeited and the Company shall have the right to complete
the blank stock power. The Committee may provide (on or after grant) that restrictions or
forfeiture conditions relating to shares of Restricted Stock will be waived in whole or in part in
the event of termination resulting from specified causes, and the Committee may in other cases
waive in whole or in part restrictions or forfeiture conditions relating to Restricted Stock.

7. Term of Plan.

No Option or award of Restricted Stock shall be granted pursuant to the Plan on or after the
date which is ten years from the effective date of the Plan, but Options and awards of Restricted
Stock theretofore granted may extend beyond that date.

8. Capital Change of the Company.

In the event of any merger, reorganization, consolidation, recapitalization, stock dividend,
or other change in corporate structure affecting the Stock, the Committee shall make an appropriate
and equitable adjustment in the number and kind of shares reserved for issuance under the Plan and
in the number and option price of shares subject to outstanding Options granted under the Plan, to
the end that after such event each Optionee’s proportionate interest shall be maintained (to the
extent possible) as immediately before the occurrence of such event. The Committee shall, to the
extent feasible, make such other adjustments as may be required under the tax laws so that any
Incentive Options previously granted shall not be deemed modified within the meaning of Section
424(h) of the Code. Appropriate adjustments shall also be made in the case of outstanding
Restricted Stock granted under the Plan.

The adjustments described above will be made only to the extent consistent with continued
qualification of the Option under Section 422 of the Code (in the case of an Incentive Option) and
Section 409A of the Code.

9. Purchase for Investment/Conditions.

Unless the Options and shares covered by the Plan have been registered under the Securities
Act of 1933, as amended (the “Securities Act”), or the Company has determined that such
registration is unnecessary, each person exercising or receiving Options or Restricted Stock under
the Plan may be required by the Company to give a representation in writing that he is acquiring
the securities for his own account for investment and not with a view to, or for sale in connection
with, the distribution of any part thereof. The Committee may impose any additional or further
restrictions on awards of Options or Restricted Stock as shall be determined by the Committee at
the time of award.

10. Taxes.

(a) The Company may make such provisions as it may deem appropriate, consistent with
applicable law, in connection with any Options or Restricted Stock granted under the Plan with
respect to the withholding of any taxes (including income or employment taxes) or any other tax
matters.

(b) If any Grantee, in connection with the acquisition of Restricted Stock, makes the election
permitted under Section 83(b) of the Code (that is, an election to include in gross income in the
year of transfer the amounts specified in Section 83(b)), such Grantee shall notify the Company of
the election with the Internal Revenue Service pursuant to regulations issued under the authority
of Code Section 83(b).

 

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(c) If any Grantee shall make any disposition of shares of Stock issued pursuant to the
exercise of an Incentive Option under the circumstances described in Section 421(b) of the Code
(relating to certain disqualifying dispositions), such Grantee shall notify the Company of such
disposition within ten (10) days hereof.

11. Effective Date of Plan.

The Plan shall be effective on
October ___, 2009; provided, however, that if, and only if,
certain options are intended to qualify as Incentive Stock Options, the Plan must subsequently be
approved by majority vote of the Company’s stockholders no later than
October ___, 2010, and
further, that in the event certain Option grants hereunder are intended to qualify as
performance-based compensation within the meaning of Section 162(m) of the Code, the requirements
as to stockholder approval set forth in Section 162(m) of the Code are satisfied.

12. Amendment and Termination.

The Board may amend, suspend, or terminate the Plan, except that no amendment shall be made
that would impair the rights of any Participant under any Option or Restricted Stock theretofore
granted without the Participant’s consent, and except that no amendment shall be made which,
without the approval of the stockholders of the Company would:

(a) materially increase the number of shares that may be issued under the Plan, except as is
provided in Section 8;

(b) materially increase the benefits accruing to the Participants under the Plan;

(c) materially modify the requirements as to eligibility for participation in the Plan;

(d) decrease the exercise price of an Incentive Option to less than 100% of the Fair Market
Value per share of Stock on the date of grant thereof or the exercise price of a Nonqualified
Option to less than 100% of the Fair Market Value per share of Stock on the date of grant thereof;
or

(e) extend the term of any Option beyond that provided for in Section 5(b).

(f) except as otherwise provided in Sections 5(d) and 8 hereof, reduce the exercise price of
outstanding Options or effect repricing through cancellations and re-grants of new Options.

Subject to the forgoing, the Committee may amend the terms of any Option theretofore granted,
prospectively or retrospectively, but no such amendment shall impair the rights of any Optionee
without the Optionee’s consent.

It is the intention of the Board that the Plan comply strictly with the provisions of Section
409A of the Code and Treasury Regulations and other Internal Revenue Service guidance promulgated
thereunder (the “Section 409A Rules”) and the Committee shall exercise its discretion in
granting awards hereunder (and the terms of such awards), accordingly. The Plan and any grant of
an award hereunder may be amended from time to time (without, in the case of an award, the consent of the Participant) as may be necessary or
appropriate to comply with the Section 409A Rules.

13. Government Regulations.

The Plan, and the grant and exercise of Options or Restricted Stock hereunder, and the
obligation of the Company to sell and deliver shares under such Options and Restricted Stock shall
be subject to all applicable laws, rules and regulations, and to such approvals by any governmental
agencies, national securities exchanges and interdealer quotation systems as may be required.

 

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14. General Provisions.

(a) Certificates. All certificates for shares of Stock delivered under the Plan shall
be subject to such stop transfer orders and other restrictions as the Committee may deem advisable
under the rules, regulations and other requirements of the Securities and Exchange Commission, or
other securities commission having jurisdiction, any applicable Federal or state securities law,
any stock exchange or interdealer quotation system upon which the Stock is then listed or traded
and the Committee may cause a legend or legends to be placed on any such certificates to make
appropriate reference to such restrictions.

(b) Employment Matters. Neither the adoption of the Plan nor any grant or award under
the Plan shall confer upon any Participant who is an employee of the Company or any Subsidiary any
right to continued employment or, in the case of a Participant who is a director, continued service
as a director, with the Company or a Subsidiary, as the case may be, nor shall it interfere in any
way with the right of the Company or any Subsidiary to terminate the employment of any of its
employees, the service of any of its directors or the retention of any of its consultants or
advisors at any time.

(c) Limitation of Liability. No member of the Committee, or any officer or employee
of the Company acting on behalf of the Committee, shall be personally liable for any action,
determination or interpretation taken or made in good faith with respect to the Plan, and all
members of the Committee and each and any officer or employee of the Company acting on their behalf
shall, to the extent permitted by law, be fully indemnified and protected by the Company in respect
of any such action, determination or interpretation.

(d) Registration of Stock. Notwithstanding any other provision in the Plan, no Option
may be exercised unless and until the Stock to be issued upon the exercise thereof has been
registered under the Securities Act and applicable state securities laws, or are, in the opinion of
counsel to the Company, exempt from such registration in the United States. The Company shall not
be under any obligation to register under applicable federal or state securities laws any Stock to
be issued upon the exercise of an Option granted hereunder in order to permit the exercise of an
Option and the issuance and sale of the Stock subject to such Option, although the Company may in
its sole discretion register such Stock at such time as the Company shall determine. If the
Company chooses to comply with such an exemption from registration, the Stock issued under the Plan
may, at the direction of the Committee, bear an appropriate restrictive legend restricting the
transfer or pledge of the Stock represented thereby, and the Committee may also give appropriate
stop transfer instructions with respect to such Stock to the Company’s transfer agent.

15. Non-Uniform Determinations.

The Committee’s determinations under the Plan, including, without limitation, (i) the
determination of the Participants to receive awards, (ii) the form, amount and timing of such
awards, (iii) the terms and provisions of such awards and (ii) the agreements evidencing the same,
need not be uniform and may be made by it selectively among Participants who receive, or who are
eligible to receive, awards under the Plan, whether or not such Participants are similarly
situated.

16. Governing Law.

The validity, construction, and effect of the Plan and any rules and regulations relating to
the Plan shall be determined in accordance with the internal laws of the State of Delaware, without
giving effect to principles of conflicts of laws, and applicable federal law.

 

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