Document:

Unassociated Document

 

SILVER HORN MINING LTD.

 

DIRECTOR AND OFFICER INDEMNIFICATION AGREEMENT

 

This Director and Officer Indemnification Agreement, dated as of _______ __, 2013 (this “Agreement”), is made by and between Silver Horn Mining Ltd., 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.           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 to the fullest extent permitted by the laws of the State of Delaware, and upon the other undertakings set forth in this Agreement.

 

F.           Therefore, in recognition of the need to provide Indemnitee with substantial protection against personal liability, in order to procure Indemnitee’s service (or 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.

 

G.           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:

 

  

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(a)           “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.

  

(b)           “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.

 

(c)           “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.

 

(d)           “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.

 

(e)           “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.

 

(f)           “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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(g)           “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 a court of competent jurisdiction 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.

 

(h)           “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.

 

(i)           “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.

 

(j)           “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.

 

(k)           “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.

 

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 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.

 

  

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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.

 

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.

 

(a)           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.

 

  

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(b)           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 a quorum of the Board consisting entirely of Disinterested Directors, or (B) if there is no quorum consisting of Disinterested Directors, or if a quorum consisting of Disinterested Directors so directs, 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.

 

(c)           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, or shall, dispense with any requirement that Indemnitee meet an applicable Standard of Conduct in order to be indemnified if and to the extent required by applicable law.

 

(d)           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 district court 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 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).

 

  

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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 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.

 

(a)           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.

 

(b)           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.

 

  

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(c)           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 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 district 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.

 

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 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.

 

  

8

  

 

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]

 

 

 

 

 

  

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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.

 

 

	  	
SILVER HORN MINING LTD.

	  
	  	  	  
	  	  	  	  
	  	
By: 

	  	  
	  	  	

Name:

	 	  
	  	  	

Title:  

	 	  
	 	 	 	 
	  	  	  	  
	  	
INDEMNITEE

	  
	  	  	  
	  	  	  	  
	  	
By: 

	  	  
	  	  	

Name:

	 	  
	  	  	
Address: 

	  	  
	  	  	  	  
	  	  	  	  

 

 

10Exhibit 4.2 

JGWPT HOLDINGS INC. 

2013 OMNIBUS INCENTIVE PLAN

 

1.                 
Purpose; Establishment. The purpose of this JGWPT Holdings Inc. 2013 Omnibus Incentive
Plan (the “Plan”) is to provide an additional incentive to selected officers, employees, non-employee directors
and consultants of the Company or its Subsidiaries (as hereinafter defined) whose contributions are essential to the growth and
success of the Company’s business, in order to strengthen the commitment of such persons to the Company and its Subsidiaries,
motivate such persons to faithfully and diligently perform their responsibilities and attract and retain competent and dedicated
persons whose efforts will result in the long-term growth and profitability of the Company. To accomplish such purposes, the Plan
provides that the Company may grant Options, Stock Appreciation Rights, Restricted Stock, Restricted Stock Units, Stock Bonuses,
Other Stock-Based Awards, Cash Awards or any combination of the foregoing. The Plan shall
be effective as of November 7, 2013 (the “Effective Date”).

 

2.                 
Definitions. As used in the Plan, the following definitions apply to the terms indicated
below:

 

		(a)	“Administrator” means the Board, or, if and to the extent the Board delegates such responsibility, the Committee
in accordance with Section 4 hereof.

 

		(b)	“Affiliate” means a Person that directly, or indirectly through one or more intermediaries, controls, or
is controlled by, or is under common control with, the Person specified. An entity shall be deemed an Affiliate of the Company
for purposes of this definition only for such periods as the requisite ownership or control relationship is maintained.

 

		(c)	“Agreement” shall mean the writing evidencing an Award or a notice of an Award delivered to a Participant
by the Company.

 

		(d)	“Award” shall mean any Option, Stock Appreciation Right, Restricted Stock, Restricted Stock Unit, Stock
Bonus, Other Stock-Based Award or Cash Award granted pursuant to the terms of the Plan.

 

		(e)	“Beneficial Owner” shall have the meaning set forth in Rule 13d-3 under the Exchange Act.

 

		(f)	“Board” shall mean the Board of Directors of the Company.

 

		(g)	“Cash Award” shall mean an Award granted under Section 13 of the Plan.

 

		(h)	“Cause” shall have meaning set forth in the Participant’s employment agreement or similar arrangement
with the Company or a Subsidiary; provided that if no such agreement or definition exists, “Cause” shall mean, unless
otherwise specified in an Agreement, (i) the Participant’s willful failure to perform his or her duties to the Company and
its Affiliates, which duties are commensurate with those of the position for which the Participant is then employed; (ii) the Participant’s
failure to follow the express instructions of the Board or the Participant’s direct or indirect supervisors; (iii) any material
violation by the Participant of the policies of the Company or an Affiliate thereof set forth in a written code of conduct or similar
document and applicable to the Participant that is not cured within five (5) days after notice thereof to the Participant; (iv)
any act of gross negligence, fraud or willful misconduct by the Participant materially injuring the interest, business or reputation
of the Company or any Affiliate thereof; (v) the Participant’s commission of any felony or any crime involving moral turpitude;
(vi) the Participant’s misappropriation or embezzlement of the property of the Company or any Affiliate thereof; or (vii)
any material breach by the Participant of any written agreement between the Participant and the Company or any Affiliate thereof.

 

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		(i)	“Change in Control” shall mean the occurrence of an event set forth in any one of the following paragraphs:

 

		(i)	Any Person is or becomes the Beneficial Owner, directly or indirectly, of securities of the Company representing 50% or more
of the combined voting power of the Company’s then outstanding voting securities, excluding any Person who becomes such a
Beneficial Owner in connection with a transaction described in clause (I) of paragraph (iii) below;

 

		(ii)	The following individuals cease for any reason to constitute a majority of the number of directors then serving on the Board:
individuals who, on the Effective Date, constitute the Board and any new director (other than a director whose initial assumption
of office is in connection with an actual or threatened election contest, including, but not limited to, a consent solicitation,
relating to the election of directors of the Company) whose appointment or election by the Board or nomination for election by
the Company’s stockholders was approved or recommended by a vote of at least two-thirds (2/3) of the directors then still
in office who either were directors on the Effective Date or whose appointment, election or nomination for election was previously
so approved or recommended;

 

		(iii)	There is consummated a merger or consolidation of the Company or any direct or indirect Subsidiary with any other corporation
or other entity, other than (I) a merger or consolidation which results in (A) the voting securities of the Company outstanding
immediately prior to such merger or consolidation continuing to represent (either by remaining outstanding or by being converted
into voting securities of the surviving entity or any parent thereof), in combination with the ownership of any trustee or other
fiduciary holding securities under an employee benefit plan of the Company or any Subsidiary, more than 50% of the combined voting
power of the securities of the Company or such surviving entity or any parent thereof outstanding immediately after such merger
or consolidation and (B) the individuals who comprise the Board immediately prior thereto constituting immediately thereafter at
least a majority of the board of directors of the Company, the entity surviving such merger or consolidation or, if the Company
or the entity surviving such merger is then a Subsidiary, the ultimate parent thereof, or (II) a merger or consolidation effected
to implement a recapitalization of the Company (or similar transaction) in which no Person is or becomes the Beneficial Owner,
directly or indirectly, of securities of the Company (not including in the securities Beneficially Owned by such Person any securities
acquired directly from the Company or its Affiliates) representing 50% or more of the combined voting power of the Company’s
then outstanding securities; or

 

		(iv)	The stockholders of the Company approve a plan of complete liquidation or dissolution of the Company or there is consummated
an agreement for the sale or disposition by the Company of all or substantially all of the Company’s assets (it being conclusively
presumed that any sale or disposition is a sale or disposition by the Company of all or substantially all of its assets if the
consummation of the sale or disposition is contingent upon approval by the Company’s stockholders unless the Board expressly
determines in writing that such approval is required solely by reason of any relationship between the Company and any other Person
or an Affiliate of the Company and any other Person), other than a sale or disposition by the Company of all or substantially all
of the Company’s assets to an entity (A) at least 50% of the combined voting power of the voting securities of which are
owned by stockholders of the Company in substantially the same proportions as their ownership of the Company immediately prior
to such sale or disposition and (B) the majority of whose board of directors immediately following such sale or disposition consists
of individuals who comprise the Board immediately prior thereto.

 

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Notwithstanding the foregoing, (1)
a Change in Control shall not be deemed to have occurred by virtue of the consummation of any transaction or series of integrated
transactions immediately following which the holders of Company Stock immediately prior thereto continue to have substantially
the same proportionate ownership in an entity which owns all or substantially all of the assets of the Company immediately following
such transaction or series of transactions and (2) if required to avoid accelerated taxation and/or tax penalties under Section
409A of the Code, a Change in Control shall be deemed to have occurred for purposes of the payment or settlement of such Award
under the Plan only if a “change in the ownership of the corporation,” a “change in effective control of the
corporation” or a “change in the ownership of a substantial portion of the assets of the corporation,” within
the meaning of Section 409A(a)(2)(A)(v) of the Code shall also be deemed to have occurred.

 

		(j)	“Code” shall mean the Internal Revenue Code of 1986, as amended from time to time.

 

		(k)	“Committee” shall mean a committee of the Board, which shall consist of two or more individuals, each of
whom shall qualify as (A) an “outside director” within the meaning of Section 162(m) of the Code, (B) a “nonemployee
director” within the meaning of Rule 16b-3 and (C) an “independent director” within the meaning of the New York
Stock Exchange Listed Company Manual.

 

		(l)	“Company” shall mean JGWPT Holdings Inc., a Delaware corporation, and, where appropriate, each of its Affiliates
and successors.

 

		(m)	“Company Stock” shall mean the Class A common stock of the Company, par value $0.00001 per share.

 

		(n)	“Covered Employee” shall have the meaning ascribed to the term “covered employee” set forth
in Section 162(m) of the Code.

 

		(o)	“Exchange Act” shall mean the Securities Exchange Act of 1934, as amended from time to time.

 

		(p)	“Fair Market Value” shall mean, with respect to a share of Company Stock on a particular date, (i) the closing
price of Company Stock as quoted on the composite tape of the New York Stock Exchange and published in The Wall Street Journal
with respect to such date, or if there is no trading of Company Stock on such date, such price on the next preceding date on which
there was trading in such shares, (ii) if the shares of Company Stock are then traded in an over-the-counter market, the average
of the closing bid and asked prices for the shares of Company Stock in such over-the-counter market for the last preceding date
on which there was a sale of such Company Stock in such market, or (iii) if the shares of Company Stock are not then listed on
a national securities exchange or traded in an over-the-counter market, such value as the Administrator, in its sole discretion,
shall determine in good faith using a reasonable method in accordance with Section 409A of the Code.

 

		(q)	“Good Reason” shall have meaning set forth in the Participant’s employment agreement with the Company;
and if no such agreement or definition exists, “Good Reason” shall not apply to the Participant unless otherwise specified
in an Agreement.

 

		(r)	“Incentive Stock Option” shall mean an Option that qualifies as an “incentive stock option”
within the meaning of Section 422 of the Code, or any successor provision, and which is designated by the Administrator as an Incentive
Stock Option.

 

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		(s)	“Nonqualified Stock Option” shall mean an Option other than an Incentive Stock Option.

 

		(t)	“Option” shall mean an option to purchase shares of Company Stock granted pursuant to Section 7.

 

		(u)	“Other Stock-Based Award” shall mean an Award granted pursuant to Section 12 hereof.

 

		(v)	“Participant” shall mean an officer, employee, non-employee director or consultant of the Company or a Subsidiary
to whom an Award is granted pursuant to the Plan.

 

		(w)	“Performance Goals” shall mean (i) earnings, including one or more of operating income, earnings before
or after taxes, earnings before or after interest, depreciation, amortization, adjusted EBITDA, economic earnings, or extraordinary
or special items or book value per share (which may exclude nonrecurring items); (ii) pre-tax income, after-tax income or adjusted
net income; (iii) earnings per share (basic or diluted); (iv) operating profit; (v) revenue, revenue growth or rate of revenue
growth; (vi) return on assets (gross or net), return on investment, return on capital, or return on equity; (vii) returns on sales
or revenues; (viii) operating expenses; (ix) stock price appreciation; (x) cash flow, free cash flow, cash flow return on
investment (discounted or otherwise), net cash provided by operations, or cash flow in excess of cost of capital; (xi) implementation
or completion of critical projects or processes; (xii) cumulative earnings per share growth; (xiii) operating margin or profit
margin; (xiv) cost targets, reductions and savings, productivity and efficiencies; (xv) strategic business criteria, consisting
of one or more objectives based on meeting specified market penetration, geographic business expansion, customer satisfaction,
employee satisfaction, human resources management, supervision of litigation and/or information technology goals, goals relating
to acquisitions, divestitures, joint ventures and/or similar transactions and/or goals relating to budget comparisons; (xvi) personal
professional objectives, including, without limitation, any of the foregoing performance goals, the implementation of policies
and plans, the negotiation of transactions, the development of long term business goals, formation of joint ventures, research
or development collaborations, and the completion of other corporate transactions; and (xvii) any combination of, or a specified
increase or decrease in, any of the foregoing. Where applicable, the Performance Goals may be expressed in terms of attaining a
specified level of the particular criteria or the attainment of a percentage increase or decrease in the particular criteria, and
may be applied to one or more of the Company, an Affiliate thereof, or a division or strategic business unit of the Company, or
may be applied to the performance of the Company relative to a market index, a group of other companies or a combination thereof,
all as determined by the Administrator. The Performance Goals may be subject to a threshold level of performance below which no
payment will be made (or no vesting will occur), levels of performance at which specified payments will be made (or specified vesting
will occur), and a maximum level of performance above which no additional payment will be made (or at which full vesting will occur).
Each of the Performance Goals shall be determined, where applicable and except as otherwise provided by the Administrator, in accordance
with generally accepted accounting principles (to the extent applicable) and shall be subject to certification by the Administrator;
provided that the Administrator shall have the authority to make equitable adjustments to the Performance Goals in recognition
of unusual or non-recurring events affecting the Company or any Affiliate thereof or the financial statements of the Company or
any Affiliate thereof, in response to changes in applicable laws or regulations, or to account for items of gain, loss or expense
determined to be extraordinary or unusual in nature or infrequent in occurrence or related to the disposal of a segment of a business
or related to a change in accounting principles.

 

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		(x)	“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, except that such term shall not include (i) the Company or any Subsidiary thereof, (ii) JLL Partners,
Inc. or any Affiliate thereof, (iii) DLJ Merchant Banking Partners IV, L.P. or any Affiliate thereof, (iv) a trustee or other fiduciary
holding securities under an employee benefit plan of the Company or any Subsidiary thereof, (v) an underwriter temporarily holding
securities pursuant to an offering of such securities, or (vi) a corporation owned, directly or indirectly, by the shareholders
of the Company in substantially the same proportions as their ownership of stock of the Company.

 

		(y)	“Qualifying Termination” shall mean a termination of employment by the Company other than for Cause or by
the Participant with Good Reason.

 

		(z)	“Restricted Stock” shall mean a share of Company Stock which is granted pursuant to the terms of Section
9 hereof and which is subject to restrictions as set forth in Section 9(d).

 

		(aa)	“Restricted Stock Unit” shall mean the right, granted pursuant to Section 10, to receive the Fair Market
Value of a share of Company Stock or, in the case of an Award denominated in cash, to receive the amount of cash per unit that
is determined by the Administrator in connection with the Award.

 

		(bb)	“Retirement” shall mean termination of a Participant’s employment, other than for Cause, on or after
the date on which the Participant has both (a) achieved ten years of employment or service and (b) attained age 65.

 

		(cc)	“Rule 16b-3” shall mean the Rule 16b-3 promulgated under the Exchange Act, as amended from time to time.

 

		(dd)	“Securities Act” shall mean the Securities Act of 1933, as amended from time to time.

 

		(ee)	“Stock Appreciation Right” shall mean the right to receive, upon exercise of the right, the applicable amounts
as described in Section 8.

 

		(ff)	“Stock Bonus” shall mean a bonus payable in fully vested shares of Company Stock granted pursuant to Section
11.

 

		(gg)	“Subsidiary” shall mean, with respect to any person, as of any date of determination, any other person as
to which such first person owns or otherwise controls, directly or indirectly, more than 50% of the voting shares or other similar
interests or a sole general partner interest or managing member or similar interest of such other person. For purposes of this
definition “person” has the meaning given in Section 3(a)(9) of the Exchange Act, as
modified and used in Sections 13(d) and 14(d) thereof.

 

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		3.	Stock Subject to the Plan; Certain Limitations; Adjustments.

 

		(a)	Shares Available for Awards. The maximum number of shares of Company Stock reserved for issuance under the Plan shall
be 2,907,862 shares (subject to adjustment as provided
by Section 3(c)), all of which may be granted in respect of Options (including Incentive Stock Options) or Stock Appreciation Rights.
Such shares may be authorized but unissued shares of Company Stock or authorized and issued shares of Company Stock held in the
Company’s treasury.

 

		(b)	Individual Awards. Notwithstanding anything in this Plan to the contrary, and subject to adjustment as provided by Section
3(c), from and after such time as the Plan is subject to Section 162(m) of the Code:

 

		(i)	No individual (including an individual who is likely to be a Covered Employee) will be granted Options or Stock Appreciation
Rights for more than 25% of the shares of Company Stock reserved for issuance under the Plan as of the Effective Date (subject
to adjustment as provided by Section 3(c)) during any calendar year.

 

		(ii)	No individual who is likely to be a Covered Employee with respect to a calendar year will be granted (A) Restricted Stock,
Restricted Stock Units, a Stock Bonus or Other Stock-Based Awards for more than 25% of the shares of Company Stock reserved for
issuance under the Plan as of the Effective Date (subject to adjustment as provided by Section 3(c)) during such calendar year
or (B) a Cash Award in cash in excess of $5,000,000 during such calendar year.

 

		(c)	Adjustment for Change in Capitalization. In the event that any special or extraordinary dividend or other extraordinary
distribution is declared (whether in the form of cash, Company Stock, or other property), or there occurs any recapitalization,
stock split, reverse stock split, reorganization, merger, consolidation, spin-off, combination, repurchase, share exchange or other
similar corporate transaction or event, the Administrator shall adjust, as it deems necessary or appropriate, (1) the number and
kind of shares of stock which may thereafter be issued in connection with Awards, (2) the number and kind of shares of stock or
other property, including cash, issued or issuable in respect of outstanding Awards, (3) the exercise price, grant price or purchase
price relating to any Award, and (4) the limitations set forth in Sections 3(a) and (b); provided that, with respect to Incentive
Stock Options, such adjustment shall be made in accordance with Section 424 of the Code; and provided further that no such adjustment
shall cause any Award hereunder which is or becomes subject to Section 409A of the Code to fail to comply with the requirements
of such section.

 

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		(d)	Reuse of Shares. If any shares of Company Stock subject to an Award are forfeited, cancelled, exchanged or surrendered
or if an Award otherwise terminates or expires without a distribution of shares to the Participant, the shares of Company Stock
with respect to such Award shall, to the extent of any such forfeiture, cancellation, exchange, surrender, termination or expiration,
again be available for Awards under the Plan. Notwithstanding the foregoing, shares of Company Stock that are exchanged by a Participant
or withheld by the Company as full or partial payment in connection with any Option or Stock Appreciation Right under the Plan,
as well as any shares of Company Stock exchanged by a Participant or withheld by the Company or any Subsidiary to satisfy the tax
withholding obligations related to any Option or Stock Appreciation Right under the Plan, shall not be available for subsequent
Awards under the Plan, and notwithstanding that a Stock Appreciation Right is settled by the delivery of a net number of shares
of Company Stock, the full number of shares of Company Stock underlying such Stock Appreciation Right shall not be available for
subsequent Awards under the Plan. Upon the exercise of any Award granted in tandem with any other Awards, such related Awards shall
be cancelled to the extent of the number of shares of Company Stock as to which the Award is exercised and, notwithstanding the
foregoing, such number of shares shall no longer be available for Awards under the Plan. In addition, (i) to the extent an Award
is denominated in shares of Company Stock, but paid or settled in cash, the number of shares of Company Stock with respect to which
such payment or settlement is made shall again be available for grants of Awards pursuant to the Plan and (ii) shares of Company
Stock underlying Awards that can only be settled in cash shall not be counted against the aggregate number of shares of Company
Stock available for Awards under the Plan.

 

4.                 
Administration of the Plan. The Plan shall be administered by the Administrator.
The Administrator shall have the authority in its sole discretion, subject to and not inconsistent with the express provisions
of the Plan, to administer the Plan and to exercise all the powers and authorities either specifically granted to it under the
Plan or necessary or advisable in the administration of the Plan, including, without limitation, the authority (i) to grant Awards;
(ii) to determine the individuals to whom and the time or times at which Awards shall be granted; (iii) to determine the type and
number of Awards to be granted, the number of shares of Company Stock or cash or other property to which an Award may relate and
the terms, conditions, restrictions and performance criteria relating to any Award; (iv) to determine whether, to what extent,
and under what circumstances an Award may be settled, cancelled, forfeited, exchanged, or surrendered; (v) to determine whether
an Award may be settled in cash and/or shares of Company Stock; (vi) to construe and interpret the Plan and any Award; (vii) to
prescribe, amend and rescind rules and regulations relating to the Plan; (viii) to determine the terms and provisions of Agreements;
and (ix) to make all other determinations deemed necessary or advisable for the administration of the Plan. The Administrator may,
in its sole and absolute discretion, without amendment to the Plan, (a) accelerate the date on which any Option or Stock Appreciation
Right becomes exercisable, (b) waive or amend the operation of Plan provisions respecting exercise after termination of employment
or service (provided that the term of an Option or Stock Appreciation Right may not be extended beyond ten years from the date
of grant or the original term of the Option or Stock Appreciation Right, if less), (c) accelerate the vesting date, or waive any
condition imposed hereunder, with respect to any share of Restricted Stock, Restricted Stock Unit, Stock Bonus or Other Stock-Based
Award, and (d) otherwise adjust any of the terms applicable to any such Award in a manner consistent with the terms of the Plan
and applicable law. 

 

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5.                 
Eligibility. The individuals who shall be eligible to receive Awards under the Plan
shall be such employees of the Company and its Subsidiaries (including officers of the Company and its Subsidiaries, whether or
not they are directors of the Company), consultants to the Company and non-employee directors of the Company as the Administrator
shall select from time to time. The grant of an Award hereunder in any year to any individual shall not entitle such individual
to a grant of an Award in any future year.

 

6.                 
Awards Under the Plan; Agreement. The Administrator may grant Awards in such amounts
and with such terms and conditions as the Administrator shall determine, subject to the provisions of the Plan. Each Award granted
under the Plan (except an unconditional Stock Bonus) shall be evidenced by an Agreement which shall contain such provisions as
the Administrator may in its sole discretion deem necessary or desirable and which are not in conflict with the terms of the Plan.
By accepting an Award, a Participant shall be deemed to agree that the Award shall be subject to all of the terms and provisions
of the Plan and the applicable Agreement.

 

		7.	Options.

 

		(a)	Identification of Options. Each Option shall be clearly identified in the applicable Agreement as either an Incentive
Stock Option or a Nonqualified Stock Option. All Options shall be non-transferable, except by will or the laws of descent and distribution
or except as otherwise determined by the Administrator for estate planning purposes with respect to a Nonqualified Stock Option.

 

		(b)	Exercise Price. Each Agreement with respect to an Option shall set forth the amount per share (the “option exercise
price”) payable by the Participant to the Company upon exercise of the Option. The option exercise price shall be equal to
or greater than the Fair Market Value of a share of Company Stock on the date of grant. Other than with respect to an adjustment
described in Section 3(c), in no event shall the exercise price of an Option be reduced following the grant of an Option, nor shall
an Option be cancelled in exchange for a replacement Option with a lower exercise price or in exchange for another type of Award
or cash payment without stockholder approval.

 

		(c)	Term and Exercise of Options. 

 

		(i)	Each Option shall become exercisable at the time or times determined by the Administrator and set forth in the applicable Agreement.
At the time of grant of an Option, the Administrator may impose such restrictions or conditions to the exercisability of the Option
as it, in its absolute discretion, deems appropriate, including, but not limited to, achievement of performance criteria. Subject
to Section 7(d) hereof, the Administrator shall determine and set forth in the applicable Agreement the expiration date of each
Option, which shall be no later than the tenth anniversary of the date of grant of the Option.

 

		(ii)	An Option shall be exercised by delivering the form of notice of exercise provided by the Company or in such other form as
approved by the Company. Payment for shares of Company Stock purchased upon the exercise of an Option shall be made on the effective
date of such exercise by one or a combination of the following means: (A) in cash or by personal check, certified check, bank cashier’s
check or wire transfer; (B) in shares of Company Stock owned by the Participant and valued at their Fair Market Value on the effective
date of such exercise; (C) broker assisted cashless exercise or net exercise; or (D) by any such other method as the Administrator
may from time to time authorize in its sole discretion. Except as authorized by the Administrator, any payment in shares of Company
Stock shall be effected by the delivery of such shares to the Secretary of the Company (or his designee), duly endorsed in blank
or accompanied by stock powers duly executed in blank, together with any other documents and evidences as the Secretary of the
Company shall require.

 

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		(iii)	Shares of Company Stock purchased upon the exercise of an Option shall, as determined by the Administrator, be evidenced by
a book entry record or certificate issued in the name of or for the account of the Participant or other individual entitled to
receive such shares, and delivered to the Participant or such other individual as soon as practicable following the effective date
on which the Option is exercised.

 

		(d)	Provisions Relating to Incentive Stock Options. Incentive Stock Options may only be granted to employees of the Company
and its Subsidiaries, in accordance with the provisions of Section 422 of the Code. To the extent that the aggregate Fair Market
Value of shares of Company Stock with respect to which Incentive Stock Options are exercisable for the first time by a Participant
during any calendar year under the Plan and any other stock option plan of the Company or a Subsidiary shall exceed $100,000, such
Options shall be treated as Nonqualified Stock Options. For purposes of this Section 7(d), Fair Market Value shall be determined
as of the date on which each such Incentive Stock Option is granted. No Incentive Stock Option may be granted to an individual
if, at the time of the proposed grant, such individual owns (or is deemed to own under the Code) stock possessing more than 10%
of the total combined voting power of all classes of stock of the Company unless (A) the exercise price of such Incentive Stock
Option is at least 110% of the Fair Market Value of a share of Company Stock at the time such Incentive Stock Option is granted
and (B) such Incentive Stock Option is not exercisable after the expiration of five years from the date such Incentive Stock Option
is granted. For purposes of the grant of Incentive Stock Options, a “Subsidiary” shall mean a “subsidiary corporation”
as defined in Section 424(f) of the Code.

 

		(e)	Effect of Termination of Employment (or Provision of Services). Except as may otherwise be provided in the applicable
Agreement, and subject to the Administrator’s authority under Section 4 hereof:

 

		(i)	In the event that the employment of a Participant with the Company and its Subsidiaries (or the Participant’s service
to the Company and its Subsidiaries) shall terminate for any reason other than (A) Cause, (B) death, (C) disability or (D) Retirement,
each Option granted to such Participant that is outstanding and exercisable as of the date of such termination shall remain exercisable
for the 90-day period immediately following such termination, but in no event following the expiration of its term, and any Option
that is not exercisable as of the date of such termination shall be terminated at the time of such termination.

 

		(ii)	In the event that the employment of a Participant with the Company and its Subsidiaries (or the Participant’s service
to the Company and its Subsidiaries) shall terminate on account of the Participant’s death, disability or Retirement, each
Option granted to such Participant that is outstanding and exercisable as of the date of such termination shall remain exercisable
for the one-year period immediately following such termination, but in no event following the expiration of its term, and any Option
that is not exercisable as of the date of such termination shall be terminated at the time of such termination.

 

		(iii)	In the event that the employment of a Participant with the Company and its Subsidiaries (or the Participant’s service
to the Company and its Subsidiaries) shall be terminated for Cause, each outstanding Option granted to such Participant (whether
exercisable or not exercisable) shall terminate at the commencement of business on the date of such termination.

 

		(f)	Leave of Absence. In the case of any Participant on an approved leave of absence, the Administrator may make such provision
respecting the continuance of the Option while in the employ or service of the Company as it may deem equitable, except that in
no event may an Option be exercised after the expiration of its term.

 

    	9

    	 

    

		8.	Stock Appreciation Rights.

 

		(a)	Grant; Term. A Stock Appreciation Right may be granted in connection with an Option, either at the time of grant or,
with respect to a Nonqualified Stock Option, at any time thereafter during the term of the Option, or may be granted unrelated
to an Option. At the time of grant of a Stock Appreciation Right, the Administrator may impose such restrictions or conditions
to the exercisability of the Stock Appreciation Right as it, in its absolute discretion, deems appropriate, including, but not
limited to, achievement of performance criteria. The term of a Stock Appreciation Right granted without relationship to an Option
shall not exceed ten years from the date of grant. In addition, the exercise price of a Stock Appreciation Right shall be equal
to or greater than the Fair Market Value of a share of Company Stock on the date of grant.

 

		(b)	Tandem Awards. A Stock Appreciation Right related to an Option shall require the holder, upon exercise, to surrender
such Option with respect to the number of shares as to which such Stock Appreciation Right is exercised, in order to receive payment
of any amount computed pursuant to Section 8(d). Such Option will, to the extent surrendered, then cease to be exercisable.

 

		(c)	Transferability. Subject to Section 8(h) and to such rules and restrictions as the Administrator may impose, a Stock
Appreciation Right granted in connection with an Option will be exercisable at such time or times, and only to the extent that
a related Option is exercisable. All Stock Appreciation Rights shall be non-transferable (except to the extent that such related
Option may be transferable), except by will or the laws of descent and distribution or except as otherwise determined by the Administrator
for estate planning purposes.

 

		(d)	Exercise. Upon the exercise of a Stock Appreciation Right whether related or unrelated to an Option, the holder will
be entitled to receive payment of an amount determined by multiplying:

 

		(i)	the excess of the Fair Market Value of a share of Company Stock on the date of exercise of such Stock Appreciation Right over
the exercise price of the Stock Appreciation Right, by

 

		(ii)	the number of shares as to which such Stock Appreciation Right is exercised.

 

		(e)	Limitations. Notwithstanding subsection (d) above, the Administrator may place a limitation on the amount payable upon
exercise of a Stock Appreciation Right. Any such limitation must be determined as of the date of grant and noted in the applicable
Agreement.

 

		(f)	Form of Settlement. Payment of the amount determined under subsection (d) above may be made solely in whole shares of
Company Stock valued at their Fair Market Value on the date of exercise of the Stock Appreciation Right or alternatively, in the
sole discretion of the Administrator, solely in cash or a combination of cash and shares, in each case as set forth in the applicable
Award Agreement. If the Administrator decides that payment will be made in shares of Company Stock, and the amount payable results
in a fractional share, payment for the fractional share will be made in cash.

 

		(g)	No Repricing. Other than with respect to an adjustment described in Section 3(c), in no event shall the exercise price
with respect to a Stock Appreciation Right be reduced following the grant of a Stock Appreciation Right, nor shall a Stock Appreciation
Right be cancelled in exchange for a replacement Stock Appreciation Right with a lower exercise price or in exchange for another
type of Award or cash payment without stockholder approval.

 

    	10

    	 

    

		(h)	Effect of Termination of Employment (or Provision of Services). Except as may otherwise be provided in the applicable
Agreement, and subject to the Administrator’s authority under Section 4 hereof:

 

		(i)	In the event that the employment of a Participant with the Company and its Subsidiaries (or the Participant’s service
to the Company and its Subsidiaries) shall terminate for any reason other than (A) Cause, (B) death, (C) disability or (D) Retirement,
each Stock Appreciation Right granted to such Participant that is outstanding and exercisable as of the date of such termination
shall remain exercisable for the 90-day period immediately following such termination, but in no event following the expiration
of its term, and any Stock Appreciation Right that is not exercisable as of the date of such termination shall be terminated at
the time of such termination.

 

		(ii)	In the event that the employment of a Participant with the Company and its Subsidiaries (or the Participant’s service
to the Company and its Subsidiaries) shall terminate on account of the Participant’s death, disability or Retirement, each
Stock Appreciation Right granted to such Participant that is outstanding and exercisable as of the date of such termination shall
remain exercisable for the one-year period immediately following such termination, but in no event following the expiration of
its term, and any Stock Appreciation Right that is not exercisable as of the date of such termination shall be terminated at the
time of such termination.

 

		(iii)	In the event that the employment of a Participant with the Company and its Subsidiaries (or the Participant’s service
to the Company and its Subsidiaries) shall be terminated for Cause, each outstanding Stock Appreciation Right granted to such Participant
(whether exercisable or not exercisable) shall terminate at the commencement of business on the date of such termination.

 

		(i)	Leave of Absence. In the case of any Participant on an approved leave of absence, the Administrator may make such provision
respecting the continuance of the Stock Appreciation Right while in the employ or service of the Company as it may deem equitable,
except that in no event may a Stock Appreciation Right be exercised after the expiration of its term.

 

		9.	Restricted Stock.

 

		(a)	Price. At the time of the grant of shares of Restricted Stock, the Administrator shall determine the price, if any,
to be paid by the Participant for each share of Restricted Stock subject to the Award.

 

		(b)	Vesting Date. At the time of the grant of shares of Restricted Stock, the Administrator shall establish a vesting date
or vesting dates with respect to such shares. The Administrator may divide such shares into classes and assign a different vesting
date for each class. Provided that all conditions to the vesting of a share of Restricted Stock are satisfied, and subject to Section
9(h), upon the occurrence of the vesting date with respect to a share of Restricted Stock, such share shall vest and the restrictions
of Section 9(d) shall lapse.

 

		(c)	Conditions to Vesting. At the time of the grant of shares of Restricted Stock, the Administrator may impose such restrictions
or conditions to the vesting of such shares as it, in its absolute discretion, deems appropriate, including, but not limited to,
achievement of performance criteria. The Administrator may also provide that the vesting or forfeiture of shares of Restricted
Stock may be based upon the achievement of, or failure to achieve, certain levels of performance and may provide for partial vesting
of Restricted Stock in the event that the maximum level of performance is not met if the minimum level of performance has been
equaled or exceeded.

 

		(d)	Restrictions on Transfer Prior to Vesting. Prior to the vesting of a share of Restricted Stock, such Restricted Stock
may not be transferred, assigned or otherwise disposed of, and no transfer of a Participant’s rights with respect to such
Restricted Stock, whether voluntary or involuntary, by operation of law or otherwise, shall be permitted. Immediately upon any
attempt to transfer such rights, such shares, and all of the rights related thereto, shall be forfeited by the Participant.

 

    	11

    	 

    

		(e)	Dividends on Restricted Stock. The Administrator in its discretion may require that any dividends paid on shares of
Restricted Stock be held in escrow until all restrictions on such shares have lapsed.

 

		(f)	Issuance of Certificates. The Administrator may, upon such terms and conditions as it determines, provide that (1) a
certificate or certificates representing the shares of Restricted Stock shall be registered in the Participant’s name and
bear an appropriate legend specifying that such shares are not transferable and are subject to the provisions of the Plan and the
restrictions, terms and conditions set forth in the applicable Agreement, (2) such certificate or certificates shall be held in
escrow by the Company on behalf of the Participant until such shares become vested or are forfeited or (3) the Participant’s
ownership of the Restricted Stock shall be registered by the Company in book entry form.

 

		(g)	Consequences of Vesting. Upon the vesting of a share of Restricted Stock pursuant to the terms hereof, the restrictions
of Section 9(d) shall lapse with respect to such share. Following the date on which a share of Restricted Stock vests, the Company
shall, as determined by the Administrator, make a book entry record of such share or cause to be delivered to the Participant to
whom such share was granted, a certificate evidencing such share, either of which may bear a restrictive legend, if the Administrator
determines such a legend to be appropriate.

 

		(h)	Effect of Termination of Employment (or Provision of Services). Except as may otherwise be provided in the applicable
Agreement, and subject to the Administrator’s authority under Section 4 hereof, upon the termination of a Participant’s
employment with the Company and its Subsidiaries (or the Participant’s service to the Company and its Subsidiaries) for any
reason, any and all shares to which restrictions on transferability apply shall be immediately forfeited by the Participant and
transferred to, and reacquired by, the Company. In the event of a forfeiture of shares pursuant to this section, the Company shall
repay to the Participant (or the Participant’s estate) any amount paid by the Participant for such shares.

 

		10.	Restricted Stock Units.

 

		(a)	Vesting Date. At the time of the grant of Restricted Stock Units, the Administrator shall establish a vesting date or
vesting dates with respect to such units. The Administrator may divide such units into classes and assign a different vesting date
for each class. Provided that all conditions to the vesting of the Restricted Stock Units imposed pursuant to Section 10(c) are
satisfied, and subject to Section 10(d), upon the occurrence of the vesting date with respect to the Restricted Stock Units, such
units shall vest.

 

		(b)	Benefit Upon Vesting. Unless otherwise provided in an Agreement, upon the vesting of Restricted Stock Units, the Participant
shall be paid, within 30 days of the date on which such units vest, an amount, in cash and/or shares of Company Stock, as determined
by the Administrator. In the case of Awards denominated in shares of Company Stock, the amount per Restricted Stock Unit shall
be equal to the sum of (1) the Fair Market Value of a share of Company Stock on the date on which such Restricted Stock Unit vests
and (2) the aggregate amount of cash dividends paid with respect to a share of Company Stock during the period commencing on the
date on which the Restricted Stock Unit was granted and terminating on the date on which such unit vests. In the case of Awards
denominated in cash, the amount per Restricted Stock Unit shall be equal to the cash value of the Restricted Stock Unit on the
date on which such Restricted Stock Unit vests.

 

		(c)	Conditions to Vesting. At the time of the grant of Restricted Stock Units, the Administrator may impose such restrictions
or conditions to the vesting of such units as it, in its absolute discretion, deems appropriate, including, but not limited to,
achievement of performance criteria.

 

		(d)	Effect of Termination of Employment (or Provision of Services). Except as may otherwise be provided in the applicable
Agreement, and subject to the Administrator’s authority under to Section 4 hereof, Restricted Stock Units that have not vested,
together with any dividend equivalents deemed to have been credited with respect to such unvested units, shall be forfeited upon
the Participant’s termination of employment (or upon cessation of such Participant’s services to the Company) for any
reason.

 

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11.             
Stock Bonuses. In the event that the Administrator grants a Stock Bonus, the shares
of Company Stock constituting such Stock Bonus shall, as determined by the Administrator, be evidenced by a book entry record or
a certificate issued in the name of the Participant to whom such grant was made and delivered to such Participant as soon as practicable
after the date on which such Stock Bonus is payable. 

 

12.             
Other Stock-Based Awards. Other forms of Awards valued in whole or in part by reference
to, or otherwise based on, Company Stock, including but not limited to dividend equivalents, may be granted either alone or in
addition to other Awards (other than in connection with Options or Stock Appreciation Rights) under the Plan. Subject to the provisions
of the Plan, the Administrator shall have sole and complete authority to determine the individuals to whom and the time or times
at which such Other Stock-Based Awards shall be granted, the number of shares of Company Stock to be granted pursuant to such Other
Stock-Based Awards, or the manner in which such Other Stock-Based Awards shall be settled (e.g., in shares of Company Stock or
cash), or the conditions to the vesting and/or payment or settlement of such Other Stock-Based Awards (which may include, but not
be limited to, achievement of performance criteria) and all other terms and conditions of such Other Stock-Based Awards. 

 

13.             
Cash Awards. The Administrator may grant awards that are payable solely in cash,
as deemed by the Administrator to be consistent with the purposes of the Plan, and such Cash Awards shall be subject to the terms,
conditions, restrictions and limitations determined by the Administrator, in its sole discretion, from time to time. Cash Awards
may be granted with value and payment contingent upon the achievement of performance criteria. 

 

14.             
Special Provisions Regarding Certain Awards. The Administrator may make Awards hereunder
to Covered Employees (or to individuals whom the Administrator believes may become Covered Employees) that are intended to qualify
as performance-based compensation under Section 162(m) of the Code. The exercisability and/or payment of such Awards may be subject
to the achievement of performance criteria based upon one or more Performance Goals and to certification of such achievement in
writing by the Committee. Such performance criteria shall be established in writing by the Committee not later than the time period
prescribed under Section 162(m) and the regulations thereunder. All provisions of such Awards which are intended to qualify as
performance-based compensation under Section 162(m) of the Code shall be construed in a manner to so comply.

 

		15.	Change in Control Provisions. Unless otherwise provided by the Administrator or in the applicable
Award Agreement or otherwise, and subject to Section 3(c), in the event of a Change in Control:

 

		(a)	With respect to each outstanding Award that is assumed or substituted in connection with a Change in Control, in the event
of a Qualifying Termination of a Participant’s employment or service during the 24-month period following such Change in
Control, (i) such Award shall become fully vested and exercisable, (ii) the restrictions, payment conditions, and forfeiture
conditions applicable to any such Award granted shall lapse, and (iii) any performance conditions imposed with respect to such
Award shall be deemed to be achieved at target performance levels.

 

		(b)	With respect to each outstanding Award that is not assumed or substituted in connection with a Change in Control, immediately
upon the occurrence of the Change in Control, (i) such Award shall become fully vested and exercisable, (ii) the restrictions,
payment conditions, and forfeiture conditions applicable to any such Award granted shall lapse, and (iii) any performance conditions
imposed with respect to such Award shall be deemed to be achieved at target performance levels.

 

		(c)	For purposes of this Section 15, an Award shall be considered assumed or substituted for if, following the Change in Control,
the Award is of substantially comparable value and remains subject to the same terms and conditions that were applicable to the
Award immediately prior to the Change in Control except that, if the Award related to shares of Company Stock, the Award instead
confers the right to receive common stock of the acquiring or ultimate parent entity.

 

		(d)	Notwithstanding any other provision of the Plan, in the event of a Change in Control, except as would otherwise result in adverse
tax consequences under Section 409A of the Code, the Administrator may, in its discretion, provide that each Award shall, immediately
upon the occurrence of a Change in Control, be cancelled in exchange for a payment in cash or securities in an amount equal to
(i) the excess of the consideration paid per share of Company Stock in the Change in Control over the exercise or purchase price
(if any) per share of Company Stock subject to the Award multiplied by (ii) the number of shares of Company Stock granted under
the Award.

 

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16.             
Rights as a Stockholder. No individual shall have any rights as a stockholder with
respect to any shares of Company Stock covered by or relating to any Award until the date of record issuance of such shares of
Company Stock in the books of the Company or the issuance of a stock certificate with respect to such shares. Except for adjustments
provided in Section 3(c), no adjustment to any Award shall be made for dividends or other rights for which the record date occurs
prior to the date such stock certificate is issued.

 

17.             
No Employment Rights; No Right to Award. Nothing contained in the Plan or any Agreement
shall confer upon any individual any right with respect to the continuation of employment by or provision of services to the Company
or interfere in any way with the right of the Company, subject to the terms of any separate agreement to the contrary, at any time
to terminate such employment or service or to increase or decrease the compensation of such individual. No individual shall have
any claim or right to receive an Award hereunder. The Administrator’s granting of an Award to a Participant at any time shall
neither require the Administrator to grant any other Award to such Participant or other individual at any time nor preclude the
Administrator from making subsequent grants to such Participant or any other individual.

 

		18.	Securities Matters and Regulations.

 

		(a)	Notwithstanding anything herein to the contrary, the obligation of the Company to sell or deliver Company Stock with respect
to any Award granted under the Plan shall be subject to all applicable laws, rules and regulations, including all applicable federal
and state securities laws, and the obtaining of all such approvals by governmental agencies as may be deemed necessary or appropriate
by the Administrator. The Administrator may require, as a condition of the issuance and delivery of certificates evidencing shares
of Company Stock pursuant to the terms hereof, that the recipient of such shares make such agreements and representations, and
that such certificates bear such legends, as the Administrator, in its sole discretion, deems necessary or advisable.

 

		(b)	Each Award is subject to the requirement that, if at any time the Administrator determines that the listing, registration or
qualification of Company Stock issuable pursuant to the Plan is required by any securities exchange or under any state or federal
law, or the consent or approval of any governmental regulatory body is necessary or desirable as a condition of, or in connection
with, the grant of an Award or the issuance of Company Stock, no such Award shall be granted or payment made or Company Stock issued,
in whole or in part, unless listing, registration, qualification, consent or approval has been effected or obtained free of any
conditions not acceptable to the Administrator.

 

		(c)	In the event that the disposition of Company Stock acquired pursuant to the Plan is not covered by a then current registration
statement under the Securities Act and is not otherwise exempt from such registration, such Company Stock shall be restricted against
transfer to the extent required by the Securities Act or regulations thereunder, and the Administrator may require a Participant
receiving Company Stock pursuant to the Plan, as a condition precedent to receipt of such Company Stock, to represent to the Company
in writing that the Company Stock acquired by such Participant is acquired for investment only and not with a view to distribution.

 

19.             
Withholding Taxes. Whenever cash is to be paid pursuant to an Award, the Company
shall have the right to deduct therefrom an amount sufficient to satisfy any applicable withholding tax requirements related thereto.
Whenever shares of Company Stock are to be delivered pursuant to an Award, the Company shall have the right to require the Participant
to remit to the Company in cash an amount sufficient to satisfy any applicable withholding tax requirements related thereto. With
the approval of the Administrator, a Participant may satisfy the foregoing requirement by electing to have the Company withhold
from delivery shares of Company Stock having a value equal to the minimum amount of tax required to be withheld. Such shares shall
be valued at their Fair Market Value on the date of which the amount of tax to be withheld is determined. Fractional share amounts
shall be settled in cash. Such a withholding election may be made with respect to all or any portion of the shares to be delivered
pursuant to an Award. 

 

    	14

    	 

    

20.             
Notification of Election Under Section 83(b) of the Code. If any Participant shall,
in connection with the acquisition of shares of Company Stock under the Plan, make the election permitted under Section 83(b) of
the Code, such Participant shall notify the Company of such election within 10 days of filing notice of the election with the Internal
Revenue Service.

 

21.             
Notification Upon Disqualifying Disposition Under Section 421(b) of the Code. Each
Agreement with respect to an Incentive Stock Option shall require the Participant to notify the Company of any disposition of shares
of Company Stock issued pursuant to the exercise of such Option under the circumstances described in Section 421(b) of the Code
(relating to certain disqualifying dispositions) within 10 days of such disposition. 

 

22.             
Amendment or Termination of the Plan. The Board may, at any time, suspend or terminate
the Plan or revise or amend it in any respect whatsoever; provided, however, that stockholder approval shall be required for any
such amendment if and to the extent such approval is required in order to comply with applicable law or stock exchange listing
requirement. Nothing herein shall restrict the Administrator’s ability to exercise its discretionary authority pursuant to
Sections 3 and 4, which discretion may be exercised without amendment to the Plan. No action hereunder may, without the consent
of a Participant, reduce the Participant’s rights under any outstanding Award. 

 

23.             
Transfers Upon Death. Upon the death of a Participant, outstanding Awards granted
to such Participant may be exercised only by the executor or administrator of the Participant’s estate or by individual who
shall have acquired the right to such exercise by will or by the laws of descent and distribution. No transfer of an Award by will
or the laws of descent and distribution shall be effective to bind the Company unless the Administrator shall have been furnished
with (a) written notice thereof and with a copy of the will and/or such evidence as the Administrator may deem necessary to establish
the validity of the transfer and (b) an agreement by the transferee to comply with all the terms and conditions of the Award that
are or would have been applicable to the Participant and to be bound by the acknowledgments made by the Participant in connection
with the grant of the Award.

 

24.             
Expenses and Receipts. The expenses of the Plan shall be paid by the Company. Any
proceeds received by the Company in connection with any Award may be used for general corporate purposes. 

 

25.             
Term of Plan. Unless earlier terminated by the Board pursuant to Section 22, the
right to grant Awards under the Plan shall terminate on the tenth anniversary of the Effective Date. Awards outstanding at Plan
termination shall remain in effect according to their terms and the provisions of the Plan.

 

26.             
Participant Rights. No Participant shall have any claim to be granted any Award
under the Plan, and there is no obligation for uniformity of treatment for Participants.

 

27.             
Unfunded Status of Awards. The Plan is intended to constitute an “unfunded”
plan for incentive and deferred compensation. With respect to any payments not yet made to a Participant pursuant to an Award,
nothing contained in the Plan or any Agreement shall give any such Participant any rights that are greater than those of a general
creditor of the Company. 

 

28.             
No Fractional Shares. No fractional shares of Company Stock shall be issued or delivered
pursuant to the Plan. The Administrator shall determine whether cash, other Awards, or other property shall be issued or paid in
lieu of such fractional shares or whether such fractional shares or any rights thereto shall be forfeited or otherwise eliminated.

 

29.             
Beneficiary. A Participant may file with the Administrator a written designation
of a beneficiary on such form as may be prescribed by the Administrator and may, from time to time, amend or revoke such designation.
If no designated beneficiary survives the Participant, the executor or administrator of the Participant’s estate shall be
deemed to be the Participant’s beneficiary. 

 

    	15

    	 

    

30.             
Paperless Administration. In the event that the Company establishes, for itself
or using the services of a third party, an automated system for the documentation, granting or exercise of Awards, such as a system
using an internet website or interactive voice response, then the paperless documentation, granting or exercise of Awards by a
Participant may be permitted through the use of such an automated system.

 

31.             
Severability. If any provision of the Plan is held to be invalid or unenforceable,
the other provisions of the Plan shall not be affected but shall be applied as if the invalid or unenforceable provision had not
been included in the Plan.

 

32.             
Applicable Law. Except to the extent preempted by any applicable federal law, the
Plan shall be construed and administered in accordance with the laws of the State of Delaware without reference to its principles
of conflicts of law.

 

33.             
Clawback. Notwithstanding any other
provisions in this Plan, any Award which is subject to recovery under any law, government regulation or stock exchange listing
requirement, will be subject to such deductions and clawback as may be required to be made pursuant to such law, government regulation
or stock exchange listing requirement (or any policy adopted by the Company pursuant to any such law, government regulation or
stock exchange listing requirement).

 

34.             
Section 409A Compliance. The Plan as well as payments and benefits under the Plan
are intended to be exempt from, or to the extent subject thereto, to comply with Section 409A of the Code, and, accordingly, to
the maximum extent permitted, the Plan shall be interpreted in accordance therewith. Notwithstanding anything contained herein
to the contrary, to the extent required in order to avoid accelerated taxation and/or tax penalties under Section 409A of the Code,
the Participant shall not be considered to have terminated employment with the Company for purposes of the Plan and no payment
shall be due to the Participant under the Plan or any Award until the Participant would be considered to have incurred a “separation
from service” from the Company within the meaning of Section 409A of the Code. Any payments described in the Plan that are
due within the “short term deferral period” as defined in Section 409A of the Code shall not be treated as deferred
compensation unless applicable law requires otherwise. Notwithstanding anything to the contrary in the Plan, to the extent that
any Awards are payable upon a separation from service and such payment would result in the imposition of any individual tax and
penalty interest charges imposed under Section 409A of the Code, the settlement and payment of such awards shall instead be made
on the first business day after the date that is six (6) months following such separation from service (or death, if earlier).
Each amount to be paid or benefit to be provided under this Plan shall be construed as a separate identified payment for purposes
of Section 409A of the Code. The Company makes no representation that any or all of the payments or benefits described in this
Plan will be exempt from or comply with Section 409A of the Code and makes no undertaking to preclude Section 409A of the Code
from applying to any such payment. The Participant shall be solely responsible for the payment of any taxes and penalties incurred
under Section 409A of the Code.

 

 

    	16

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