Document:

EX-10.2

 Exhibit 10.2 

December 14, 2017 
 VIA HAND DELIVERY

 Victor Viegas 
  

	 	Re:	Terms of Separation 

 Dear Victor: 

This letter confirms the agreement (“Agreement”) between you and Immersion Corporation (the
“Company”) concerning the terms of your separation and offers you the separation compensation we discussed in exchange for a mutual general release of claims and a mutual covenant not to sue. 

1. Separation Date: November 29, 2017 is your last day of employment with the Company for all purposes except for calculation and
payment of your final pay (the “Separation Date”). November 30, 2017 is your last day of employment solely for purposes of calculation and payment of your final pay. 

2. Resignation From Director and Employment Positions: By your signature below, you acknowledge that, effective as of the Separation
Date, you will have resigned as the Chief Executive Officer of the Company, from any and all other officer and employment positions in the Company and its subsidiary and affiliate companies, and from the Company’s Board of Directors (the
“Board”), and the boards of directors or similar governing bodies of all of the Company’s subsidiary or affiliate companies, and all committees thereof, by executing and delivering to the Company a signed copy of the
resignation letter attached hereto as Exhibit A. 
 3. Acknowledgment of Payment of Final Wages: By your signature below, you
acknowledge that on November 30, 2017, the Company provided you a final paycheck for all wages, salary, bonuses, variable compensation and any similar payments due you from the Company as of November 30, 2017, and that the Company does not
owe you any other amounts, other than as set forth in Section 4 of this Agreement. Please promptly submit the requisite reimbursement documentation with respect to any outstanding business expenses that you have incurred on behalf of the
Company, and the Company will process and reimburse any such outstanding expenses in accordance with its policies. You further acknowledge that you have not earned, and the Company does not owe you, an Annual Incentive payment for 2017, prorated or
otherwise, and that you are not eligible for payment pursuant to Section 7(a)(iii) of your Employment Agreement with the Company dated October 21, 2009 (the “Employment Agreement,” attached hereto as Exhibit
B). 
 4. Separation Compensation: In exchange for your agreement to the general release and waiver of claims and covenant not to
sue set forth below and your other promises herein, the Company agrees to treat your separation as a Termination Without Cause pursuant to Section 7(a) of your Employment Agreement and provide you with the following: 

 Victor Viegas 

Page 2 
  

 a. Lump Sum Severance: The Company will pay you a lump sum payment equivalent to
twelve months’ of your current annual salary within 10 days following the effective date of this Agreement. 
 b. COBRA: The
Company will provide you and your dependents with COBRA benefits pursuant to the terms and conditions of Section 7(a)(ii) of the Employment Agreement. Notwithstanding the immediately foregoing sentence, if you are eligible for, and the Company
determines, in its sole discretion, that it cannot pay, the COBRA premiums without a substantial risk of violating applicable law (including Section 2716 of the Public Health Service Act), the Company instead shall pay to you, on the first day
of each calendar month, a fully taxable cash payment equal to the applicable COBRA premiums for that month, subject to applicable tax withholdings (such amount, the “Special Cash Payment”), for the remainder of the period you
remain eligible for the benefit under the immediately foregoing sentence. You may, but are not obligated to, use such Special Cash Payments toward the cost of COBRA premiums. 

c. Partial Equity Vesting Acceleration: The Company will partially accelerate the vesting of your unvested Company stock and stock
options pursuant to the terms and conditions of Section 7(a)(iv) of the Employment Agreement, as described more fully in Section 7 below. 

d. Extended Stock Option Exercise Deadline: The Company will extend the deadline by which you must exercise your vested stock options,
as described more fully in Section 7(b)(ii) below. 
 By signing below, you acknowledge that you are receiving the separation
compensation outlined in this section in consideration for waiving your rights to claims referred to in this Agreement, that the separation compensation fully satisfies any obligation by the Company to you under the Employment Agreement and you will
no longer have any right to compensation under the Employment Agreement, and that you would not otherwise be entitled to any other separation compensation. 

5. Return of Company Property: You hereby warrant to the Company that you have returned to the Company all property or data of the
Company of any type whatsoever that has been in your possession or control. 
 6. Proprietary Information: You hereby acknowledge that
you are bound by the attached Employee Inventions and Proprietary Rights Assignment Agreement (Exhibit C hereto) and that as a result of your employment with the Company you have had access to the Company’s Proprietary Information (as
defined in the agreement), that you will hold all Proprietary Information in strictest confidence and that you will not make use of such Proprietary Information on behalf of anyone. You further confirm that you have conducted a diligent and
reasonable search and you believe you have delivered to the Company all documents and data of any nature containing or pertaining to such Proprietary Information and that you have not taken with you any such documents or data or any reproduction
thereof. If you subsequently discover that you have Company Proprietary Information in your possession you will permanently destroy such information. 

 Victor Viegas 

Page 3 
  

 7. Equity: You currently beneficially own the following securities of the Company:

 a. Restricted Stock: 70,303 shares of the Company’s Common Stock, issued under the Company’s 2007 Equity Incentive Plan
(the “Restricted Stock Agreement”), all of which have vested in full. 
 b. Stock Options: 

i. Options to purchase an aggregate of 1,844,993 shares of the Company’s Common Stock (the
“Options”) pursuant to your Stock Option Agreements with the Company regarding stock options issued under the Company’s 2007 and 2011 Equity Incentive Plans (collectively referred to as the
“Stock Option Agreements”) as follows: (A) on March 3, 2008 covering 10,000 shares, all of which are vested; (B) on November 13, 2009 covering 600,000 shares, all of which are vested; (C) on
March 14, 2011 covering 43,333 shares, all of which are vested; (D) on March 8, 2013 covering 600,000 shares, of which 480,000 shares are vested; (E) on February 24, 2014 covering 50,000 shares, of which 46,876 shares are
vested; (F) on March 3, 2015 covering 150,000 shares, of which 100,000 shares are vested; (G) on March 1, 2016 covering 75,000 shares, of which 31,250 shares are vested; (H) on March 1, 2016 covering 75,000 shares, none
of which are vested; (I) on June 2, 2017 covering 120,830 shares, none of which are vested; and (J) on June 2, 2017 covering 120,830 shares; none of which are vested. As of the Separation Date, the Options have vested as to
1,311,459 shares (the “Vested Shares”) and remain unvested as to 533,535 shares (the “Unvested Shares”), all of which are unexercised.

ii. If you enter into this Agreement and it becomes effective by its terms, the Company will and hereby does, effective as of the Effective
Date: (i) accelerate the vesting of seventy percent (70%) of the Unvested Shares, such that, as of the Effective Date, the Options will have vested as to 373,475 shares (the “Accelerated Vested Shares”); and
(ii) extend the deadline by which you must exercise the Vested Shares and the Accelerated Vested Shares to and through the earlier of: (A) two (2) years following the Separation Date; (B) the date on which the applicable option grant
expires; (C) the business day immediately preceding the closing date of a Change of Control (as defined in the Employment Agreement); and (D) any other earlier date that may be mandated by the applicable Equity Incentive Plan (the
“Option Exercise Deadline”). Any Options that are Unvested Shares that are not Accelerated Vested Shares shall terminate, cease vesting and shall no longer be exercisable after the Separation Date. After the Option Exercise
Deadline, you will no longer have a right to exercise the Options as to any unexercised vested shares.

 Victor Viegas 

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 iii. You acknowledge and agree that, no later than the date that is three (3) months
and one (1) day following the Separation Date, the Options will cease to qualify as incentive stock options and instead will be treated as non-qualified stock options, and that you, and not the Company,
shall solely bear any tax consequences relating to such reclassification and will be required, as a condition to exercising the Options, to satisfy all applicable tax withholding requirements that become due upon exercise of the Options. Your rights
concerning the Options will continue to be governed by the Stock Option Agreements.
 iv. The Company acknowledges and agrees that the
Vested Shares and Accelerated Vested Shares and the lump sum severance and salary payments made pursuant to this Agreement shall not be subject to any recovery by the Company. Notwithstanding the foregoing, any incentive payments previously made to
you that are subject to recovery based on any fraudulent activity and/or misstated financial statements or otherwise inaccurate financial reporting in accordance with the Executive Incentive Plan recovery policy of the Company shall remain subject
to such recovery policy. 
 c. The Stock Agreement, the Restricted Stock Agreement and the Stock Option Agreements are collectively referred
to as the “Equity Agreements.” The Equity Agreements are hereby amended consistent with this Agreement. 
 8.
Mutual General Release and Waiver of Claims: 
 a. The payments and promises set forth in this Agreement are in full satisfaction of
all accrued salary, vacation pay, bonus and commission pay, profit-sharing, stock, stock options or other ownership interest in the Company, termination benefits or other compensation to which you may be
entitled by virtue of your employment with the Company or your separation from the Company. To the fullest extent permitted by law, you hereby release and waive any other claims you may have against the Company and its owners, agents, officers,
shareholders, employees, directors, attorneys, subscribers, subsidiaries, affiliates, successors and assigns (collectively “Releasees”), whether known or not known, including, without limitation, claims under any employment
laws, including, but not limited to, claims of unlawful discharge, breach of contract, breach of the covenant of good faith and fair dealing, fraud, violation of public policy, defamation, physical injury, emotional distress, claims for additional
compensation or benefits arising out of your employment or your separation of employment, claims under Title VII of the 1964 Civil Rights Act, as amended, the California Fair Employment and Housing Act and any other laws and/or regulations relating
to employment or employment discrimination, including, without limitation, claims based on age or under the Age Discrimination in Employment Act or Older Workers Benefit Protection Act, and/or claims based on disability or under the Americans with
Disabilities Act. 
 b. In exchange for the consideration received herein, to the fullest extent permitted by law, the Company, its parent,
subsidiaries and affiliates, hereby release and waive any claims they may have against you, whether known or not known, including without limitation, claims for breach of any obligations to the Company, including but not limited to claims for breach
of fiduciary duty and/or breach of any contractual or common law duty to the Company; provided that such release shall not apply to (i) any fraud committed by you against the Company or its subsidiaries, (ii) any material misappropriation
of the trade secrets or other intellectual property of the Company or its subsidiaries, or (iii) any material breach of your Employee Inventions and Proprietary Rights Assignment Agreement with the Company. 

 Victor Viegas 

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 c. By signing below, the Company and you expressly waive any benefits of Section 1542 of
the Civil Code of the State of California, which provides as follows: 
 “A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS
WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM OR HER MUST HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR.” 

d. You and the Company do not intend to release any claims: (i) that may not be released as a matter of law, including but not limited to
claims for indemnity under California Labor Code Section 2802; (ii) pursuant to your Indemnity Agreement with the Company dated January 14, 2004 (Exhibit D hereto); or (iii) for enforcement of this Agreement. To the fullest
extent permitted by law, any dispute regarding the scope of this general release shall be determined by an arbitrator under the procedures set forth in the arbitration clause below. 

9. Mutual Covenant Not to Sue: 

a. To the fullest extent permitted by law, at no time subsequent to the execution of this Agreement will you or the Company pursue, or cause or
knowingly permit the prosecution, in any state, federal or foreign court, or before any local, state, federal or foreign administrative agency, or any other tribunal, of any charge, claim or action of any kind, nature and character whatsoever, known
or unknown, which you may now have, have ever had, or may in the future have against Releasees, or which the Company may have against you, which is based in whole or in part on any matter released by this Agreement. 

b. Nothing in this section shall prohibit or impair you or the Company from complying with all applicable laws, nor shall this Agreement be
construed to obligate either party to commit (or aid or abet in the commission of) any unlawful act. 
 10. Protected Rights: You
understand that nothing in the General Release and Waiver of Claims and Covenant Not to Sue sections above, or otherwise in this Agreement, limits your ability to file a charge or complaint with the Equal Employment Opportunity Commission, the
National Labor Relations Board, the Occupational Safety and Health Administration, the Securities and Exchange Commission or any other federal, state or local government agency or commission (“Government Agencies”). You
further understand that this Agreement does not limit your ability to communicate with any Government Agencies or otherwise participate in any investigation or proceeding that may be conducted by any Government Agency, including providing documents
or other information, without notice to the Company. This Agreement does not limit your right to receive an award for information provided to any Government Agencies. 

 Victor Viegas 

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 11. Mutual Nondisparagement: You agree that you will not disparage Releasees or their
products, services, agents, representatives, directors, officers, shareholders, attorneys, employees, vendors, affiliates, successors or assigns, or any person acting by, through, under or in concert with any of them, with any written or oral
statement. The Company agrees that its current officers and directors, for so long as they serve as an officer or director of the Company, will not disparage you with any written or oral statement. Nothing in this section shall prohibit you or the
Company from providing truthful information in response to a subpoena or other legal process. Nothing in this section shall prohibit the Company, in response to inquiries regarding the Company from Company investors, prospective investors, analysts,
business partners and other third parties or in other public or privately communicated statements, from responding to such inquiries or making such other statements containing information or observations made in good faith and believed to be
accurate regarding the Company’s business, performance or strategy, and such responses shall not be deemed a violation of the Company’s nondisparagement obligation. 

12. Consulting; Cooperation in Litigation. You agree to provide the Company with consulting services and assist the Company in
litigation and similar matters on an as-requested basis, not to exceed 20 hours in any month, at an hourly rate of $600 per hour. Such consulting compensation shall not be subject to withholding and you shall
be solely responsible for payment of all income and self-employment taxes. 
 13. Arbitration: Except for any claim for injunctive
relief arising out of a breach of a party’s obligations to protect the other’s proprietary information, the parties agree to arbitrate, in Santa Clara County, California, any and all disputes or claims arising out of or related to the
validity, enforceability, interpretation, performance or breach of this Agreement, whether sounding in tort, contract, statutory violation or otherwise, or involving the construction or application or any of the terms, provisions, or conditions of
this Agreement. Any arbitration may be initiated by a written demand to the other party. The arbitrator’s decision shall be final, binding, and conclusive. The parties further agree that this Agreement is intended to be strictly construed to
provide for arbitration as the sole and exclusive means for resolution of all disputes hereunder to the fullest extent permitted by law. The parties expressly waive any entitlement to have such controversies decided by a court or a jury. 

14. No Admission of Liability: This Agreement is not and shall not be construed or contended by you to be an admission or evidence of
any wrongdoing or liability on the part of Releasees, their representatives, heirs, executors, attorneys, agents, partners, officers, shareholders, directors, employees, subsidiaries, affiliates, divisions, successors or assigns. T his Agreement
shall be afforded the maximum protection allowable under California Evidence Code Section 1152 and/or any other state or federal provisions of similar effect. 

 Victor Viegas 

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 15. Complete and Voluntary Agreement: This Agreement, together with Exhibits A-D hereto and the Equity Agreements, constitute the entire agreement between you and Releasees with respect to the subject matter hereof and supersedes all prior negotiations and agreements, whether written or
oral, relating to such subject matter. You acknowledge that neither Releasees nor their agents or attorneys have made any promise, representation or warranty whatsoever, either express or implied, written or oral, which is not contained in this
Agreement for the purpose of inducing you to execute the Agreement, and you acknowledge that you have executed this Agreement in reliance only upon such promises, representations and warranties as are contained herein, and that you are executing
this Agreement voluntarily, free of any duress or coercion. 
 16. Severability: The provisions of this Agreement are severable,
and if any part of it is found to be invalid or unenforceable, the other parts shall remain fully valid and enforceable. Specifically, should a court, arbitrator, or government agency conclude that a particular claim may not be released as a matter
of law, it is the intention of the parties that the general release, the waiver of unknown claims and the covenant not to sue above shall otherwise remain effective to release any and all other claims. 

17. Modification; Counterparts; Facsimile/PDF Signatures: It is expressly agreed that this Agreement may not be altered, amended,
modified, or otherwise changed in any respect except by another written agreement that specifically refers to this Agreement, executed by authorized representatives of each of the parties to this Agreement. This Agreement may be executed in any
number of counterparts, each of which shall constitute an original and all of which together shall constitute one and the same instrument. Execution of a facsimile or PDF copy shall have the same force and effect as execution of an original, and a
copy of a signature will be equally admissible in any legal proceeding as if an original. 
 18. Section 409A. The parties agree that
the payments to which you become entitled under this Agreement, or any agreement or plan referenced herein, in connection with your termination of employment with the Company do not constitute deferred compensation subject to Section 409A of
the Internal Revenue Code of 1986, as amended (the “Code”) To the extent that any provision of this Agreement is ambiguous as to its exemption or compliance with Section 409A, the provision will be read in such a manner
so that all payments hereunder are exempt from Section 409A to the maximum permissible extent, and for any payments where such construction is not tenable, that those payments comply with Section 409A to the maximum permissible extent. To
the extent any payment under this Agreement may be classified as a “short-term deferral” within the meaning of Section 409A, such payment shall be deemed a short-term deferral, even if it may also qualify for an exemption from
Section 409A under another provision of Section 409A. Otherwise, payments pursuant to this Agreement (or referenced in this Agreement) will be treated as a payment made as a result of an involuntary separation from service pursuant to Section 1.409A-1(b)(9)(iii) of the Treasury Regulations and each payment under this Agreement is intended to constitute separate payments for purposes of
Section 1.409A-2(b)(2) of the regulations under Section 409A. 

 Victor Viegas 

Page 8 
  

 19. Review of Separation Agreement: You understand that you may take up to twenty-one (21) days to consider this Agreement (the “Review Period”) and, by signing below, affirm that you were advised to consult with an attorney prior to signing this agreement. You
also understand you may revoke this Agreement within seven (7) days of signing this document and that the separation compensation to be provided to you pursuant to Section 4 will be provided only at the end of that seven (7) day
revocation period. 
 20. Effective Date; Expiration Date: This Agreement is effective on the eighth (8th) day after you sign it and
without revocation by you (the “Effective Date”). This offer of separation benefits will automatically expire if not accepted by you by the end of the Review Period. 

21. Governing Law: This Agreement shall be governed by and construed in accordance with the laws of the State of California. 

 Victor Viegas 

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 If you agree to abide by the terms outlined in this letter, please sign this letter below and
also sign the attached copy and return it to me. I wish you the best in your future endeavors. 
 Sincerely, 

Immersion Corporation 
  

					
	By:     /s/ Carl
Schlachte                                    	  	Date: January 2, 2018
	Carl Schlachte, Chairman of the Board	  	
		
	READ, UNDERSTOOD AND AGREED	  	
		
	          /s/ Victor
Viegas                                        
    	  	Date: January 2, 2018
	 Victor Viegas
	  	

 EXHIBIT A 

RESIGNATION LETTER 
 December 14, 2017

 Immersion Corporation 
 Re: Resignation 

To the Board of Directors: 
 Effective as of the date written
above, I hereby voluntarily resign (i) as a member of the Board of Directors (the “Board”) of Immersion Corporation (the “Company”) and as a member of the boards of directors or similar governing
bodies of all of the Company’s subsidiaries and affiliates, and all committees thereof, and (ii) from any and all officer and employment positions of the Company, including without limitation as the President and Chief Executive Officer of
the Company, and all of the Company’s subsidiaries and affiliates. 
 Sincerely, 

 

	
	        /s/ Victor
Viegas                                
	 Victor Viegas

 EXHIBIT B 

EMPLOYMENT AGREEMENT 

IMMERSION CORPORATION 

EMPLOYMENT AGREEMENT 
 This Employment
Agreement (the “Agreement”) is entered into by and between Immersion Corporation, a Delaware corporation (the “Company”) and Victor Viegas (the “Employee”), effective as of October 21, 2009 (the “Effective
Date”). 
 RECITALS 
  

	1.	The Employee is being employed by the Company as the Company’s Interim President and Chief Executive Officer. 

  

	2.	Certain capitalized terms used in this Agreement are defined in Section 9 below. 

AGREEMENT 
 In consideration of the mutual
covenants herein contained, and in consideration of the continuing employment of the Employee by the Company, the parties agree as follows: 
 1. POSITION
AND RESPONSIBILITIES. The Company shall employ the Employee in the position of Interim President and Chief Executive Officer, reporting solely to the Board of Directors of the Company (the “Board”), and assuming and discharging such
responsibilities as are commensurate with such position. The Employee shall comply with and be bound by the Company’s operating policies, procedures and practices from time to time in effect during his employment. During the Employee’s
employment with the Company, the Employee shall devote his full time, skill and attention to his duties and responsibilities, and shall perform them faithfully, diligently and competently, and the Employee shall use his best efforts to further the
Company’s business. 
 2. TERM OF EMPLOYMENT. This Agreement shall become effective as of the Effective Date. This Agreement and the Employee’s
employment with the Company shall continue until terminated by reason of the Employee’s death or by either party at any time, with or without notice, for any or no reason. The parties agree and acknowledge that this Agreement is an “at
will” agreement and that no implied covenant or standard of practice will cause this Agreement to have any minimum period of employment. 
 3. BASE
COMPENSATION. For all services to be rendered by the Employee to the Company while this Agreement is in effect, the Employee shall receive a minimum annual base salary of $350,000, payable in accordance with the Company’s standard payroll
practices. The Compensation Committee of the Board shall review the Employee’s base salary at least annually. The annual base salary specified in this Section 3, as such base salary may be increased during the term of this Agreement, is
referred to herein as “Base Compensation.” 
 4. ANNUAL INCENTIVE COMPENSATION. For each fiscal year during the term of this Agreement, the
Employee shall be eligible to receive additional cash compensation (“Annual Incentive”) under the Company’s annual variable compensation plan based upon specific financial and/or other targets approved by the Compensation Committee of
the Board. 

 Unless the Compensation Committee of the Board determines otherwise, the Employee’s Annual Incentive target
shall be an amount equal to 100% of his Base Compensation. Any Annual Incentive compensation that becomes payable to the Employee shall be paid in accordance with the Company’s standard practices and policies. 

5. STOCK OPTIONS. Effective upon board approval, the Company will grant Employee an option to purchase 600,000 shares of the Company’s Common Stock
pursuant to the Company’s stock option plan and standard stock option agreement. All options will have an exercise price that will be equal to the fair market value of the Company’s Common Stock at the date of grant. The options will vest
on a monthly basis and become exercisable over a four-year period with 1/48th of the shares vesting on each month of service during which Employee remains employed with or continues to provide
services to the Company. 
 6. OTHER BENEFITS. The Employee shall be entitled to participate in the employee benefit plans and programs that the Company
makes available to its senior executives, subject to the rules and the regulations applicable hereto. The Company reserves the right to cancel or change the benefit plans and programs it offers to its senior executives at any time. The Employee will
be eligible for vacation and sick leave in accordance with the policies in effect for senior executives during the term of this Agreement. The Company shall reimburse the Employee for all reasonable expenses actually incurred or paid by the Employee
in the performance of his services on behalf of the Company, subject to and in accordance with the Company’s expense reimbursement policy as from time to time in effect. Any reimbursement of business expenses the Employee is entitled to receive
pursuant to this Agreement shall (a) be paid no later than the last day of the Employee’s taxable year following the taxable year in which the expense was incurred, (b) not affect any other expenses that are eligible for reimbursement
in any taxable year and (c) not be subject to liquidation or exchange for another benefit. 
 7. TERMINATION OF EMPLOYMENT APART FROM A CHANGE OF
CONTROL. 
 (a) TERMINATION WITHOUT CAUSE OR FOR CONSTRUCTIVE REASON. If the Company terminates the Employee’s employment other than for
“Cause,” or if the Employee terminates his employment for a “Constructive Reason” (as those terms are defined in Section 9), then, provided that the Employee has executed a full general release, in a form satisfactory to
Company, of all claims, known or unknown, that the Employee may have against the Company and such release has become effective on or before the forty-fifth (45th) day following the Employee’s termination of employment, in addition to all earned
but unpaid Base Compensation and any other amounts to which the Employee is entitled: 
 (i) a lump sum severance payment equivalent to twelve
(12) months’ of Base Compensation, payable within ten (10) business days following the effective date of the aforementioned general release of claims; 

(ii) provided to the Employee immediately prior to such termination or, at the election of the Company and provided that the Employee makes a timely election
to obtain continued group health insurance (COBRA) under the Company’s applicable group health plan, the Company will pay the Employee and his dependents’ COBRA premiums for such period of twelve (12) months or, in any event until the
Employee is eligible to receive health insurance benefits under another group health plan, whichever occurs first, 

 (iii) the Company shall pay to the Employee any earned but unpaid Annual Incentive, prorated to the date of the
Employee’s termination of employment, reimburse all reasonable business-related expenses and pay all other benefits required by law or by the terms of the applicable plan or benefit program, and 

(iv) except as otherwise provided under Section 8 below with respect to a termination in connection with a Change of Control, the Employee shall
immediately vest in an additional seventy percent (70%) of his then unvested Company stock and Company stock options. 
 All options, to the extent
unexercised and exercisable by the Employee on the date on which the Employee’s service is terminated pursuant to this Section 7(a), may be exercised by the Employee within six (6) months (or such other longer period of time as
determined by the Board, in its sole discretion) after the date on which the Employee’s service terminated, but in any event no later than the expiration date of such options. 

(b) TERMINATION AS A RESULT OF DEATH; DISABILITY. In the event of the Employee’s death or termination of employment by reason of the Employee’s
“Disability,” (as such terms are defined in Section 9), during the term of this Agreement, then: 
 (i) the Company shall pay the Employee or
to the representative of the Employee’s estate all amounts of unpaid Base Compensation and any earned but unpaid Annual Incentive, reimburse all reasonable business-related expenses and pay all other benefits required by law or by the terms of
the applicable plan or benefit program; 
 (ii) the Employee’s then unvested Company stock and Company stock options shall immediately vest with respect
to the number of shares that would have vested had the Employee’s employment continued for an additional twenty-four (24) months; and 
 (iii) in
the event of the Employee’s termination of employment by reason of Disability, the Company shall pay to the Employee in a lump sum on the first day of the seventh month following such termination of employment an amount equal to his Base
Compensation for a period of six (6) months, less any disability payments made by the Company or its insurance carriers. 
 All Company stock options,
to the extent unexercised and exercisable by the Executive on the date on which the Executive’s employment is terminated pursuant to this Section 7(b), may be exercised by the Executive within twelve (12) months (or such other longer
period of time as determined by the Board, in its sole discretion) after the date on which the Executive’s employment terminated, but in any event no later than the option expiration date. 

(c) VOLUNTARY TERMINATION; TERMINATION FOR CAUSE. In the event the Employee’s employment with the Company terminates either (i) voluntarily by the
Employee without a “Constructive Reason,” or (ii) involuntarily by the Company for “Cause,” then the Company shall have no further obligations hereunder except to pay to the Employee all amounts of unpaid Base Compensation
and any earned but unpaid Annual Incentive, reimburse all reasonable business-related expenses and pay all other benefits required by law or by the terms of the applicable plan or benefit program. 

 (d) COMPLIANCE WITH SECTION 409A. Notwithstanding anything set forth herein to the contrary, no amount payable
pursuant to this Agreement which constitutes a “deferral of compensation” within the meaning of the Treasury Regulations issued pursuant to Section 409A of the Internal Revenue Code (the “Section 409A Regulations”)
shall be paid unless and until the Employee has incurred a “separation from service” within the meaning of the Section 409A Regulations. Furthermore, to the extent that the Employee is a “specified employee” within the
meaning of the Section 409A Regulations as of the date of the Employee’s separation from service, no amount that constitutes a deferral of compensation which is payable on account of the Employee’s separation from service shall be
paid to the Employee before the date (the “Delayed Payment Date”) which is first day of the seventh month after the date of the Employee’s separation from service or, if earlier, the date of the Employee’s death following such
separation from service. All such amounts that would, but for this Section, become payable prior to the Delayed Payment Date will be accumulated and paid on the Delayed Payment Date. 

The Company intends that income provided to the Employee pursuant to this Agreement will not be subject to taxation under Section 409A of the Internal
Revenue Code. The provisions of this Agreement shall be interpreted and construed in favor of satisfying any applicable requirements of Section 409A. However, the Company does not guarantee any particular tax effect for income provided to the
Employee pursuant to this Agreement. In any event, except for the Company’s responsibility to withhold applicable income and employment taxes from compensation paid or provided to the Employee, the Company shall not be responsible for the
payment of any applicable taxes on compensation paid or provided to the Employee pursuant to this Agreement. 
 8. TERMINATION IN CONNECTION WITH CHANGE OF
CONTROL. 
 (a) If the Company terminates the Employee’s employment other than for “Cause,” or if the Employee terminates his employment for a
“Constructive Reason” (as those terms are defined in Section 9) within three months of, or within 1 year following, Change of Control, then, provided that the Employee has executed a full general release, in a form satisfactory to
Company, of all claims, known or unknown, that the Employee may have against the Company and such release has become effective on or before the forty-fifth (45th) day following the Employee’s termination of employment, in addition to all earned
but unpaid Base Compensation: 
 (i) a lump sum severance payment equivalent to twelve (12) months’ Base Compensation, payable within ten
(10) business days following the effective date of the aforementioned general release of claims; such severance payment will be subject to applicable withholding; 

(ii) payment of the premiums necessary to continue Employee’s and dependents group health insurance coverage under COBRA until the earlier of (i) twelve
(12) months following Employee’s termination date, or (ii) the date on which Employee first becomes eligible to obtain other group health insurance coverage; thereafter, Employee may elect to purchase continued group health insurance
coverage at his own expense in accordance with COBRA; and 

 (iii) immediate vesting in seventy percent (70%) of his then unvested Company equity awards. 

All Company stock options, to the extent unexercised and exercisable by the Executive on the date on which the Executive’s employment is terminated
pursuant to this Section 8, may be exercised by the Executive within six (6) months (or such other longer period of time as determined by the Board, in its sole discretion) after the date on which the Executive’s employment
terminated, but in any event no later than the option expiration date. 
 9. DEFINITIONS. For purposes of this Agreement, the following terms shall have the
following meanings: 
 (a) CAUSE. “Cause” means: (i) the Employee’s willful and repeated failure to comply with the lawful written
directions of the Board, after receiving written notice of such failure; (ii) the Employee’s gross negligence or willful misconduct in the performance of his duties; or (iii) the conviction of or entry of a plea of nolo contendere or
guilty to a (x) felony or (y) a crime causing demonstrable harm to the Company. 
 (b) CHANGE OF CONTROL “Change of Control” means: 

(i) Any “person” (as such term is used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as amended) becomes the “beneficial
owner” (as defined in Rule 13d-3 under said Act), directly or indirectly, of securities of the Company representing fifty percent (50%) or more of the total voting power represented by the Company’s
then outstanding voting securities; or 
 (ii) A change in the composition of the Board occurring within a three-year period, as a result of which fewer than
a majority of the directors are “Incumbent Directors.” “Incumbent Directors” shall mean directors who either (A) are directors of the Company as of October 22, 2009, or (B) are elected, or nominated for election,
to the Board with the affirmative votes of at least a majority of the Incumbent Directors at the time of such election or nomination (but shall not include an individual whose election or nomination is in connection with an actual or threatened
proxy contest relating to the election of directors of the Company); or 
 (iii) The consummation of a merger or consolidation of the Company with any other
corporation, other than a merger or consolidation which would result in the voting securities of the Company outstanding immediately prior thereto continuing to represent (either by remaining outstanding or by being converted into voting securities
of the surviving entity (or parent thereof)) at least sixty percent (60%) of the total voting power represented by the voting securities of the Company or such surviving entity (or parent) outstanding immediately after such merger or consolidation;
provided, however, that any person who acquired securities of the Company prior to the occurrence of a merger or consolidation in contemplation of such transaction, and who after such transaction possesses direct or indirect beneficial ownership of
at least ten percent (10%) of the securities of the Company or the surviving entity (or parent) immediately following such transaction, shall not be included in the group of shareholders of the Company immediately prior to such transaction; or 

 (iv) The consummation of the sale, lease or other disposition by the Company of all or substantially all of the
Company’s assets. 
 (c) CONSTRUCTIVE REASON. “Constructive Reason” means the occurrence of any one or more of the following without the
Employee’s prior written consent: 
 (i) A material adverse change in the Employee’s position that causes it to be of materially less stature or of
materially less responsibility; provided, however, that if after a Change of Control the Employee is still the most senior executive of the Company and the Company continues to operate as an independent subsidiary or independent controlled
affiliate, then no Constructive Reason shall have occurred; 
 (ii) A change in the position to whom the Employee reports; provided, however, that if after a
Change of Control the Employee reports to the Company’s Chief Executive Officer and the Company continues to operate as an independent subsidiary or independent controlled affiliate, then no Constructive Reason shall have occurred; 

(iii) An involuntary reduction of more than fifteen percent (15%) of the Employee’s Base Compensation other than a reduction in salary applicable to all
senior executives of the Company; or 
 (iv) Relocating the Employee to a facility or location more than thirty (30) miles from his then current
location. 
 This provision applies only if the Employee elects to terminate his employment within thirty (30) days after providing notice to the
Company of the occurrence of a Constructive Reason and the Company’s failure to cure. 
 (d) DISABILITY. “Disability” means that the Employee
has been unable to substantially perform his duties under this Agreement as a result of his incapacity due to physical or mental illness, and such inability, at least 90 days after its commencement, is determined to be total and permanent by a
physician selected by the Company or its insurers and acceptable to the Employee or the Employee’s legal representative (such agreement as to acceptability not to be unreasonably withheld). 

10. SUCCESSORS. 
 (a) COMPANY’S SUCCESSORS. Any successor,
whether direct or indirect and whether by purchase, lease, merger, consolidation, liquidation or otherwise, to all or substantially all of the Company’s business and/or assets shall assume the obligations under this Agreement and shall perform
the obligations under this Agreement in the same manner and to the same extent as the Company would be required to perform such obligations in the absence of a succession. Other than for purposes of Section 9(c) (the definition of
“Constructive Reason”), the term “Company” shall include any such successor to the Company’s business and/or assets. 

 (b) EMPLOYEE’S SUCCESSORS. The terms of this Agreement and all rights of the Employee hereunder shall inure
to the benefit of, and be enforceable by, the Employee’s personal or legal representatives, executors, administrators, successors, heirs, devisees and legatees. 

11. NOTICE. 
 (a) MANNER. Any notice hereby required or permitted
to be given shall be sufficiently given if in writing and upon mailing by registered or certified mail, postage prepaid, to either party at the address of such party or such other address as shall have been designated by written notice by such party
to the other party. 
 (b) EFFECTIVENESS. Any notice or other communication required or permitted to be given under this Agreement will be deemed given on
the day when delivered in person, or the third business day after the day on which such notice was mailed in accordance with Section 11(a). 
 12.
GOVERNING LAW. This Agreement shall be governed by and construed in accordance with the internal substantive laws, but not the choice of law rules, of the state of California. 

13. SEVERABILITY. The invalidity or unenforceability of any provision of this Agreement, or any terms hereof, shall not affect the validity or enforceability
of any other provision or term of this Agreement. 
 14. INTEGRATION. Except as otherwise expressly provided herein, this Agreement, together with the
Confidential Information, Invention Assignment and Arbitration Agreement between the Employee and the Company (the “Confidential Information Agreement”), represent the entire agreement and understanding between the parties as to the
subject matter herein and supersedes all prior or contemporaneous agreements, whether written or oral. No waiver, alteration or modification of any of the provisions of this Agreement shall be binding unless in writing and signed by duly authorized
representatives of the parties hereto. 
 15. EMPLOYMENT TAXES. The payments made pursuant to this Agreement will be subject to applicable income and
employment taxes. 
 16. COUNTERPARTS. This Agreement may be executed by either of the parties hereto in one or more counterparts, none of which need contain
the signature of more than one party hereto, and each of which shall be deemed to be an original, and all of which together shall constitute a single agreement. 

17. ARBITRATION. Any dispute or controversy arising out of, or relating to, this Agreement or the Employee’s employment or termination thereof shall be
settled by binding arbitration in accordance with the provisions of Section 9 of the Confidential Information Agreement, which are incorporated by reference herein. 

 IN WITNESS WHEREOF, each of the parties has executed this Agreement, in the case of the Company by a duly
authorized officer, as of the Effective Date. 
  

							
	Dated: October 21, 2009	 		 	 /s/ Victor Viegas

		 		 	Victor Viegas
			
		 		 	Immersion Corporation
				
	Dated: October 21, 2009	 		 	By:	 	 /s/ Jack L. Saltich

		 		 		 	Its: Chairman

 EXHIBIT C 

EMPLOYEE INVENTION ASSIGNMENT AND CONFIDENTIALITY AGREEMENT 

IMMERSION CORPORATION 

EMPLOYEE INVENTIONS AND PROPRIETARY RIGHTS 

ASSIGNMENT AGREEMENT 
 This
Agreement is intended to formalize in writing certain understandings and procedures which have been in effect since the time I was initially employed by Immersion Corporation (the “Company”). In return for my new or continued employment by
the Company, I acknowledge and agree that: 
  

	1.	No Conflict. I will perform for the Company such duties as may be designated by the Company from time to time. During my period of employment by the Company, I will devote my best efforts to the interests of the
Company and will not engage in other employment or in any activities determined by the Company to be detrimental to the best interests of the Company without the prior written consent of the Company. 

 

	2.	Period of Employment. As used herein, the period of my employment includes any time in which I may be retained by the Company as a consultant. 

 

	3.	Prior Work. All previous work done by me for the Company relating in any way to the conception, design, development or support of products for the Company is the property of the Company. 

 

	4.	Proprietary Information. My employment creates a relationship of confidence and trust between the Company and me with respect to any information: 

 

	 	(a)	Applicable to the business of the Company; or 

  

	 	(b)	Applicable to the business of any client or customer of the Company, which may be made known to me by the company or by any client or customer of the Company, or learned by me in such context during the period of my
employment. 

 All of such information has commercial value in the business in which Company is engaged and is hereinafter
called “Proprietary Information.” By way of illustration, but not limitation, Proprietary Information includes trade secrets, processes, structures, software, formulas, data and know-how,
improvements, inventions, techniques, marketing plans, strategies, forecasts, and customer lists. 
  

	5.	Nondisclosure of Proprietary Information. All Proprietary Information is the sole property of the Company, its assigns, and its customers and the Company, its assigns and its customers shall be the sole owner of
all patents, copyrights, maskworks, trade secrets and other rights in connection therewith. I hereby assign to the Company any rights I may have or acquire in such Proprietary Information. At all times, both during my employment by the Company and
after its termination, I will keep in confidence and trust all Proprietary Information, and I will not use or disclose any Proprietary Information or anything directly relating to it without the written consent of the Company, except as may be
necessary in the ordinary course of performing my duties as an employee of the Company. Notwithstanding the foregoing, it is understood that, at all such times, I am free to use information which is generally known in the trade or industry not as a
result of a breach of this Agreement and my own skill, knowledge, know-how and experience to whatever extent and in whatever way I wish. 

  
 1 

	6.	Return of Materials. Upon termination of my employment or at the request of the Company before termination, I will deliver to the Company all written and tangible material in my possession incorporating the
Proprietary Information or otherwise relating to the Company’s business. 

  

	7.	Inventions. As used in this Agreement, the term “Inventions” means any new or useful art, discovery, improvement or invention whether or not patentable, and all related
know-how, designs, maskworks, trademarks, formulae, processes, manufacturing techniques, trade secrets, ideas, artwork, software or other copyrightable or patentable works, including all rights to obtain,
register, perfect and enforce these proprietary interests. 

  

	8.	Ownership of Inventions. I hereby agree promptly to disclose and describe to the Company, and I hereby assign and agree to assign to the Company or its designee, my entire right, title, and interest in and to all
Inventions which I may solely or jointly conceive, develop or reduce to practice during the period of my employment with the Company (a) which relate at the time of conception or reduction to practice of the invention to the Company’s
business or actual or demonstrably anticipated research or development, or (b) which were developed on any amount of the Company’s time or with the use of any of the Company’s equipment, supplies, facilities or trade secret
information, or (c) which resulted from any work I performed for the Company. I have identified on Exhibit A (“Inventions”) attached hereto all Inventions relating in any way to the Company’s business or demonstrably
anticipated research and development which were made by me prior to my employment with the Company, and I represent that such list is complete. I represent that I have no rights in any such Inventions other than those Inventions specified in
Exhibit A (“Inventions”). If there is no such list on Exhibit A (“Inventions”), I represent that I have made no such Inventions at the time of signing this Agreement. 

 

	9.	Future Inventions. I recognize that Inventions or Proprietary Information relating to my activities while working for the Company and conceived or made by me, alone or with others, within one year after
termination of my employment may have been conceived in significant part while employed by the Company. Accordingly, I agree that such Inventions and Proprietary Information shall be presumed to have been-conceived during my employment with the
company and are to be assigned to the Company unless and until I have established the contrary. 

  

	10.	Cooperation in Perfecting Rights to Inventions. 

  

	 	(a)	I agree to perform, during and after my employment, all acts deemed necessary or desirable by the Company to permit and assist it, at its expense, in obtaining and enforcing the full benefits, enjoyment, rights and
title throughout the world in the Inventions hereby assigned to the Company. Such acts may include, but are not limited to, execution of documents and assistance or cooperation in the registration and enforcement of applicable patents, copyrights,
maskworks or other legal proceedings. 

  
 2 

	 	(b)	In the event that the Company is unable for any reason to secure my signature to any document required to apply for or execute any patent, copyright, mask work or other applications with respect to any Inventions
(including improvements, renewals, extensions, continuations, divisions or continuations in part thereof), I hereby irrevocably designate and appoint the Company and its duly authorized officers and agents as my agents and attorneys-in-fact to act for and on my behalf and instead of me, to execute and file any such application and to do all other lawfully permitted acts to further the
prosecution and issuance of patents, copyrights, maskworks or other rights thereon with the same legal force and effect as if executed by me. 

  

	11.	No Violation of Rights of Third Parties. My performance of all the terms of this Agreement and as an employee of the Company does not and will not breach any agreement to keep in confidence proprietary
information, knowledge or data acquired by me prior to my employment with the Company, and I will not disclose to the Company, or induce the Company to use, any confidential or proprietary information or material belonging to any previous employer
or others. I am not a party to any other agreement which will interfere with my full compliance with this Agreement. I agree not to enter into any agreement, whether written or oral, in conflict with the provisions of this Agreement.

  

	12.	Survival. This Agreement (a) shall survive my employment by the Company, (b) does not in any way restrict my right or the right of the Company to terminate my employment at any time, for any reason or
for no reason, (c) inures to the benefit of successors and assigns of the Company, and (d) is binding upon my heirs and legal representatives. 

  

	13.	Nonassignable Inventions. This Agreement does not apply to an Invention which qualifies fully as a nonassignable Invention under the provisions of Section 2870 of the California Labor Code. I have reviewed
the notification in Exhibit B (“Limited Exclusion Notification”) and agree that my signature acknowledges receipt of the notification. However, I agree to disclose promptly in writing to the company all Inventions made or conceived
by me during the term of my employment and for one (1) year thereafter, whether or not I believe such Inventions are subject to this Agreement, to permit a determination by the Company as to whether or not the Inventions should be the property
of the Company. Any such information will be received in confidence by the Company. 

  

	14.	No Solicitation. During the term of my employment with the Company and for a period of two (2) years thereafter, I will not solicit, encourage, or cause others to solicit or encourage any employees of the
Company to terminate their employment with the Company. 

  
 3 

	15.	Noninterference. As a condition for the foregoing employment, I will preserve the confidentiality of all trade secrets and other confidential information of Immersion, and I will not now, or in the future
disrupt, damage, impair, or interfere with the business of Immersion whether by way of interfering with or raiding its employees, disrupting its relationships with customers, agents, representatives or vendors or otherwise. 

 

	16.	Injunctive Relief. A breach of any of the promises or agreements contained herein will result in irreparable and continuing damage to the Company for which there will be no adequate remedy at law, and the Company
shall be entitled to injunctive relief and/or a decree for specific performance, and such other relief as may be proper (including monetary damages if appropriate). 

 

	17.	Miscellaneous. 

  

	 	(a)	The waiver by Company of a breach of any provision of this Agreement by me shall not operate or be construed as a waiver of any other or subsequent breach be me. 

 

	 	(b)	If any provision of this Agreement is held to be invalid, void or unenforceable, the remaining provisions shall nevertheless continue in full force and effect without being impaired or invalidated in any way.

  

	 	(c)	This Agreement shall be construed in accordance with, and governed by, the laws of the State of California, without reference to such state’s statutes or case law regarding conflicts of laws. 

 

	 	(d)	This Agreement represents my entire understanding with the Company with respect to the subject matter of this Agreement and supersedes all previous understandings, written or oral. This Agreement may be amended or
modified only with the written consent of both me and the Company. No oral waiver, amendment or modification shall be effective under any circumstances whatsoever. 

 

	 	(e)	I certify and acknowledge that I have carefully read all of the provisions of this Agreement and that I understand and will fully and faithfully comply with such provisions. 

 

									
	COMPANY:	 		 	EMPLOYEE:
			
	Immersion Corporation	 		 	
				
	 By:
  
	 	 

  
	 		 	 

  

	Title:	 	VP Finance	 		 	Printed Name:	 	VICTOR VIEGAS
	Dated:	 	8/1/99	 		 	Dated:	 	8/1/99

  
 4 

 Exhibit A 

INVENTIONS 
 NONE 

  
 5 

 Exhibit B 

LIMITED EXCLUSION NOTIFICATION 

THIS IS TO NOTIFY you in accordance with Section 2872 of the California Labor Code that the foregoing Agreement between you and the
Company does not require you to assign or offer to assign to the Company any invention that you developed entirely on your own time without using the Company’s equipment, supplies, facilities or trade secret information except for those
inventions that either: 
  

	(1)	Relate at the time of conception or reduction to practice of the invention to the Company’s business, or actual or demonstrably anticipated research or development of the Company. 

 

	(2)	Result from any work performed by you for the Company. 

 To the extent a provision in the
foregoing Agreement purports to require you to assign an invention otherwise excluded from the preceding paragraph, the provision is against the public policy of this state and is unenforceable. 

This limited exclusion does not apply to any patent or invention covered by a contract between the Company and the United Stated or any of its
agencies requiring full title to such patent or invention to be in the United States. 
 I ACKNOWLEDGE RECEIPT of a copy of this
notification. 
  

			
	 By:
  
	 	 

  

	
	 VICTOR VIEGAS

	(Printed Name of Employee)
	Date:	 	8/1/99

  

			
	Witnessed by:
	 

  

	(Printed Name of Representative)
	Dated: 8/1/99

  
 6 

 EXHIBIT D 

INDEMNITY AGREEMENT 
 This
Indemnity Agreement, dated as of January 14, 2004, is made by and between Immersion Corporation, a Delaware corporation (the “Company”), and Vic Viegas (the “Indemnitee”). 

RECITALS 
 A. The Company
is aware that competent and experienced persons are increasingly reluctant to serve as directors, officers or agents of corporations unless they are protected by comprehensive liability insurance or indemnification, due to increased exposure to
litigation costs and risks resulting from their service to such corporations, and due to the fact that the exposure frequently bears no reasonable relationship to the compensation of such directors, officers and other agents. 

B. The statutes and judicial decisions regarding the duties of directors and officers are often difficult to apply, ambiguous, or conflicting,
and therefore fail to provide such directors, officers and agents with adequate, reliable knowledge of legal risks to which they are exposed or information regarding the proper course of action to take. 

C. Plaintiffs often seek damages in such large amounts and the costs of litigation may be so enormous (whether or not the case is meritorious),
that the defense and/or settlement of such litigation is often beyond the personal resources of directors, officers and other agents. 
 D.
The Company believes that it is unfair for its directors, officers and agents and the directors, officers and agents of its subsidiaries to assume the risk of huge judgments and other expenses which may occur in cases in which the director, officer
or agent received no personal profit and in cases where the director, officer or agent was not culpable. 
 E. The Company recognizes that
the issues in controversy in litigation against a director, officer or agent of a corporation such as the Company or its subsidiaries are often related to the knowledge, motives and intent of such director, officer or agent, that he is usually the
only witness with knowledge of the essential facts and exculpating circumstances regarding such matters, and that the long period of time which usually elapses before the trial or other disposition of such litigation often extends beyond the time
that the director, officer or agent can reasonably recall such matters; and may extend beyond the normal time for retirement for such director, officer or agent with the result that he, after retirement or in the event of his death, his spouse,
heirs, executors or administrators, may be faced with limited ability and undue hardship in maintaining an adequate defense, which may discourage such a director, officer or agent from serving in that position. 

F. Based upon their experience as business managers, the Board of Directors of the Company (the “Board”) has concluded that, to
retain and attract talented and experienced individuals to serve as directors, officers and agents of the Company and its subsidiaries and to encourage such individuals to take the business risks necessary for the success of the Company and its
subsidiaries, it is necessary for the Company to contractually indemnify its directors, officers and agents and the directors, officers and agents of its subsidiaries, and to assume for itself maximum liability for expenses and damages in connection
with claims against such directors, officers and agents in connection with their service to the Company and its subsidiaries, and has further concluded that the failure to provide such contractual indemnification could result in great harm to the
Company and its subsidiaries and the Company’s stockholders. 

  
 1 

 G. Section 145 of the General Corporation Law of Delaware, under which the Company is
organized (“Section 145”), empowers the Company to indemnify its directors, officers, employees and agents by agreement and to indemnify persons who serve, at the request of the Company, as the directors, officers, employees or agents
of other corporations or enterprises, and expressly provides that the indemnification provided by Section 145 is not exclusive. 
 H.
The Company desires and has requested the Indemnitee to serve or continue to serve as a director, officer or agent of the Company and/or one or more subsidiaries of the Company free from undue concern for claims for damages arising out of or related
to such services to the Company and/or one or more subsidiaries of the Company. 
 I. Indemnitee is willing to serve, or to continue to
serve, the Company and/or one or more subsidiaries of the Company, provided that he is furnished the indemnity provided for herein. 

AGREEMENT 
 NOW,
THEREFORE, the parties hereto, intending to be legally bound, hereby agree as follows: 
 1. Definitions. 

(a) Agent. For the purposes of this Agreement, “agent” of the Company means any person who is or was a director, officer,
employee or other agent of the Company or a subsidiary of the Company; or is or was serving at the request of, for the convenience of, or to represent the interests of the Company or a subsidiary of the Company as a director, officer, employee or
agent of another foreign or domestic corporation, partnership, joint venture, trust or other enterprise; or was a director, officer, employee or agent of a foreign or domestic corporation which was a predecessor corporation of the Company or a
subsidiary of the Company, or was a director, officer, employee or agent of another enterprise at the request of, for the convenience of, or to represent the interests of such predecessor corporation. 

(b) Expenses. For purposes of this Agreement, “expenses” include all out of pocket expenses or costs of any type or nature
whatsoever (including, without limitation, all attorneys’ fees and related disbursements), actually and reasonably incurred by the Indemnitee in connection with either the investigation, defense or appeal of a proceeding or establishing or
enforcing a right to indemnification under this Agreement or Section 145 or otherwise; provided, however, that “expenses” shall not include any judgments, fines, ERISA excise taxes or penalties, or amounts paid in settlement of a
proceeding. 

  
 2 

 (c) Proceeding. For the purposes of this Agreement, “proceeding” means any
threatened, pending, or completed action, suit or other proceeding, whether civil, criminal, administrative, or investigative. 
 (d)
Subsidiary. For purposes of this Agreement, “subsidiary” means any corporation of which more than 50% of the outstanding voting securities is owned directly or indirectly by the Company, by the Company and one or more other
subsidiaries, or by one or more other subsidiaries. 
 2. Agreement to Serve. The Indemnitee agrees to serve and/or continue to serve
as agent of the Company, at its will (or under separate agreement, if such agreement exists), in the capacity Indemnitee currently serves as an agent of the Company, so long as he is duly appointed or elected and qualified in accordance with the
applicable provisions of the Bylaws of the Company or any subsidiary of the Company or until such time as he tenders his resignation in writing; provided, however, that nothing contained in this Agreement is intended to create any right to continued
employment by Indemnitee. 
 3. Liability Insurance. 

(a) Maintenance of D&O Insurance. The Company hereby covenants and agrees that, so long as the Indemnitee shall continue to serve as
an agent of the Company and thereafter so long as the Indemnitee shall be subject to any possible proceeding by reason of the fact that the Indemnitee was an agent of the Company, the Company, subject to Section 3(c), shall promptly obtain and
maintain in full force and effect directors’ and officers’ liability insurance (“D&O Insurance”) in reasonable amounts from established and reputable insurers. 

(b) Rights and Benefits. In all policies of D&O Insurance, the Indemnitee shall be named as an insured in such a manner as to
provide the Indemnitee the same rights and benefits as are accorded to the most favorably insured of the Company’s directors, if the Indemnitee is a director; or of the Company’s officers, if the Indemnitee is not a director of the Company
but is an officer; or of the Company’s key employees, if the Indemnitee is not a director or officer but is a key employee. 
 (c)
Limitation on Required Maintenance of D&O Insurance. Notwithstanding the foregoing, the Company shall have no obligation to obtain or maintain D&O Insurance if the Company determines in good faith that such insurance is not reasonably
available, the premium costs for such insurance are disproportionate to the amount of coverage provided, the coverage provided by such insurance is limited by exclusions so as to provide an insufficient benefit, or the Indemnitee is covered by
similar insurance maintained by a subsidiary of the Company. 
 4. Mandatory Indemnification. Subject to Section 9 below, the
Company shall indemnify the Indemnitee as follows: 
 (a) Successful Defense. To the extent the Indemnitee has been successful on the
merits or otherwise in defense of any proceeding (including, without limitation, an action by or in the right of the Company) to which the Indemnitee was a party by reason of the fact that he is or was an Agent of the Company at any time, against
all expenses of any type whatsoever actually and reasonably incurred by him in connection with the investigation, defense or appeal of such proceeding. 

  
 3 

 (b) Third Party Actions. If the Indemnitee is a person who was or is a party or is
threatened to be made a party to any proceeding (other than an action by or in the right of the Company) by reason of the fact that he is or was an agent of the Company, or by reason of anything done or not done by him in any such capacity, the
Company shall indemnify the Indemnitee against any and all expenses and liabilities of any type whatsoever (including, but not limited to, judgments, fines, ERISA excise taxes and penalties, and amounts paid in settlement) imposed by a court or
governmental entity or otherwise actually and reasonably incurred by him in connection with the investigation, defense, settlement or appeal of such proceeding, provided the Indemnitee acted in good faith and in a manner he reasonably believed to be
in or not opposed to the best interests of the Company and its stockholders, and, with respect to any criminal action or proceeding, had no reasonable cause to believe his conduct was unlawful. 

(c) Derivative Actions. If the Indemnitee is a person who was or is a party or is threatened to be made a party to any proceeding by or
in the right of the Company by reason of the fact that he is or was an agent of the Company, or by reason of anything done or not done by him in any such capacity, the Company shall indemnify the Indemnitee against all expenses actually and
reasonably incurred by him in connection with the investigation, defense, settlement, or appeal of such proceeding, provided the Indemnitee acted in good faith and in a manner he reasonably believed to be in or not opposed to the best interests of
the Company and its stockholders; except that no indemnification under this subsection 4(c) shall be made in respect to any claim, issue or matter as to which such person shall have been finally adjudged to be liable to the Company by a court of
competent jurisdiction unless and only to the extent that the court in which such proceeding was brought shall determine upon application that, despite the adjudication of liability but in view of all the circumstances of the case, such person is
fairly and reasonably entitled to indemnity for such amounts which the court shall deem proper. 
 (d) Actions where Indemnitee is
Deceased. If the Indemnitee is a person who was or is a party or is threatened to be made a party to any proceeding by reason of the fact that he is or was an agent of the Company, or by reason of anything done or not done by him in any such
capacity, and if prior to, during the pendency of after completion of such proceeding Indemnitee becomes deceased, the Company shall indemnify the Indemnitee’s heirs, executors and administrators against any and all expenses and liabilities of
any type whatsoever (including, but not limited to, judgments, fines, ERISA excise taxes and penalties, and amounts paid in settlement) actually and reasonably incurred to the extent Indemnitee would have been entitled to indemnification pursuant to
Sections 4(a), 4(b), or 4(c) above were Indemnitee still alive. 
 (e) Notwithstanding the foregoing, the Company shall not be obligated to
indemnify the Indemnitee for expenses or liabilities of any type whatsoever (including, but not limited to, judgments, fines, ERISA excise taxes and penalties, and amounts paid in settlement) for which payment is actually made to Indemnitee under a
valid and collectible insurance policy of D&O Insurance, or under another valid and enforceable indemnity clause, by-law or agreement. 

  
 4 

 5. Partial Indemnification. If the Indemnitee is entitled under any provision of this
Agreement to indemnification by the Company for some or a portion of any expenses or liabilities of any type whatsoever (including, but not limited to, judgments, fines, ERISA, excise taxes and penalties, and amounts paid in settlement) incurred by
him in the investigation, defense, settlement or appeal of a proceeding, but not entitled, however, to indemnification for all of the total amount hereof, the Company shall nevertheless indemnify the Indemnitee for such total amount except as to the
portion hereof to which the Indemnitee is not entitled. 
 6. Mandatory Advancement of Expenses. Subject to Section 8(a) below,
the Company shall advance all expenses incurred by the Indemnitee in connection with the investigation, defense, settlement or appeal of any proceeding to which the Indemnitee is a party or is threatened to be made a party by reason of the fact that
the Indemnitee is or was an agent of the Company. Indemnitee hereby undertakes to repay such amounts advanced only if, and to the extent that, it shall be determined ultimately that the Indemnitee is not entitled to be indemnified by the Company as
authorized hereby. The advances to be made hereunder shall be paid by the Company to the Indemnitee within twenty (20) days following delivery of a written request therefor by the Indemnitee to the Company. 

7. Notice and Other Indemnification Procedures. 

(a) Promptly after receipt by the Indemnitee of notice of the commencement of or the threat of commencement of any proceeding, the Indemnitee
shall, if the Indemnitee believes that indemnification with respect thereto may be sought from the Company under this Agreement, notify the Company of the commencement or threat of commencement thereof. 

(b) If, at the time of the receipt of a notice of the commencement of a proceeding pursuant to Section 7(a) hereof, the Company has
D&O Insurance in effect, the Company shall give prompt notice of the commencement of such proceeding to the insurers in accordance with the procedures set forth in the respective policies. The Company shall thereafter take all necessary or
desirable action to cause such insurers to pay, on behalf of the Indemnitee, all amounts payable as a result of such proceeding in accordance with the terms of such policies. 

(c) In the event the Company shall be obligated to pay the expenses of any proceeding against the Indemnitee, the Company, except as otherwise
provided below, shall be entitled to assume the defense of such proceeding, with counsel approved by the Indemnitee, upon the delivery to the Indemnitee of written notice of its election so to do. After delivery of such notice, approval of such
counsel by the Indemnitee and the retention of such counsel by the Company, the Company will not be liable to the Indemnitee under this Agreement for any fees of counsel subsequently incurred by the Indemnitee with respect to the same proceeding,
except as otherwise provided below. The Company shall not settle any proceeding in any manner which would impose any penalty or limitation on the Indemnitee without the Indemnitee’s written consent. The Indemnitee shall have the right to employ
his counsel in any proceeding but the fees and expenses of the counsel incurred after notice from the Company of its assumption of the defense of the proceeding shall be at the Indemnitee’s expense, unless (i) the employment of counsel by
the Indemnitee has been authorized by the Company, (ii) the Indemnitee shall have reasonably concluded that there may be a conflict of interest between the Company and the 

Indemnitee in the conduct of the defense of a proceeding, or (iii) the Company shall not, in fact, have employed counsel to assume the defense of such
proceeding, in each of which cases the fees and expenses of Indemnitee’s counsel, including any fees and expenses incurred in connection with an investigation to determine whether a conflict of interest exists, shall be at the expense of the
Company. The Company shall not be entitled to assume the defense of any proceeding brought by or on behalf of the Company or as to which the Indemnitee has reasonably made the conclusion, based on written advice of counsel, that there may be a
conflict of interest between the Company and the Indemnitee. 

  
 5 

 8. Exceptions. Any other provision herein to the contrary notwithstanding, the Company
shall not be obligated pursuant to the terms of this Agreement: 
 (a) Claims Initiated by Indemnitee. To indemnify or advance
expenses to the Indemnitee with respect to proceedings or claims initiated or brought voluntarily by the Indemnitee and not by way of defense, unless (i) such indemnification is expressly required to be made by law, (ii) the proceeding was
authorized by the Board, (iii) such indemnification is provided by the Company, in its sole discretion, pursuant to the powers vested in the Company under the General Corporation Law of Delaware or (iv) the proceeding is brought to
establish or enforce a right to indemnification under this Agreement or any other statute or law or otherwise as required under Section 145. 

(b) Lack of Good Faith. To indemnify the Indemnitee for any expenses incurred by the Indemnitee with respect to any proceeding
instituted by the Indemnitee to enforce or interpret this Agreement, if a court of competent jurisdiction determines that each of the material assertions made by the Indemnitee in such proceeding was not made in good faith or was frivolous; or 

(c) Unauthorized Settlements. To indemnify the Indemnitee under this Agreement for any amounts paid in settlement of a proceeding unless
the Company consents to such settlement, which consent shall not be unreasonably withheld or delayed. 
 9.
Non-exclusivity. The provisions for indemnification and advancement of expenses set forth in this Agreement shall not be deemed exclusive of any other rights which the Indemnitee may have under any
provision of law, the Company’s Certificate of Incorporation or Bylaws, the vote of the Company’s stockholders or disinterested directors, other agreements, or otherwise, both as to action in his official capacity and to action in another
capacity while occupying his position as an agent of the Company, and the Indemnitee’s rights hereunder shall continue after the Indemnitee has ceased acting as an agent of the Company and shall inure to the benefit of the heirs, executors and
administrators of the Indemnitee. 

  
 6 

 10. Enforcement. Any right to indemnification or advances granted by this Agreement to
Indemnitee shall be enforceable by or on behalf of Indemnitee in any court of competent jurisdiction if (i) the claim for indemnification or advances is denied, in whole or in part by the Company, or (ii) no disposition of such claim is
made within ninety (90) days of request therefor by the Company. Indemnitee, in such enforcement action, if successful in whole or in part, shall be entitled to be paid also the expense of prosecuting his claim. It shall be a defense to any
action for which a claim for indemnification is made under this Agreement (other than all action brought to enforce a claim for expenses pursuant to Section 6 hereof, provided that the required undertaking has been tendered to the Company) that
Indemnitee is not entitled to indemnification because of the limitations set forth in Sections 4 and 8 hereof. Neither the failure of the Company (including its Board of Directors or its stockholders) to have made a determination prior to the
commencement of such enforcement action that indemnification of Indemnitee is proper in the circumstances, nor an actual determination by the Company (including its Board of Directors or its stockholders) that such indemnification is improper, shall
be a defense to the action or create a presumption that Indemnitee is not entitled to indemnification under this Agreement or otherwise. 

11. Subrogation. In the event the Company is obligated to make a payment under this Agreement, the Company shall be subrogated to the
extent of such payment to all of the rights of recovery under any valid and collectible insurance policy of D&O Insurance or another indemnity agreement covering the Indemnitee, who shall execute all documents required and shall do all acts that
may be necessary to secure such rights and to enable the Company effectively to bring suit to enforce such rights. 
 12. Survival of
Rights. 
 (a) All agreements and obligations of the Company contained herein shall continue during the period Indemnitee is an agent of
the Company and shall continue thereafter so long as Indemnitee shall be subject to any possible claim or threatened, pending or completed action, suit or proceeding, whether civil, criminal, arbitrational, administrative or investigative, by reason
of the fact that Indemnitee was serving in the capacity referred to herein. 
 (b) The Company shall require any successor to the Company
(whether direct or indirect, by purchase, merger, consolidation or otherwise) to all or substantially all of the business or assets of the Company, expressly to assume and agree to perform this Agreement in the same manner and to the same extent
that the Company would be required to perform if no such succession had taken place. 
 13. Interpretation of Agreement. It is
understood that the parties hereto intend this Agreement to be interpreted and enforced so as to provide indemnification to the Indemnitee to the fullest extent permitted by law including those circumstances in which indemnification would otherwise
be discretionary. 
 14. Severability. If any provision or provisions of this Agreement shall be held to be invalid, illegal or
unenforceable for any reason whatsoever, (i) the validity, legality and enforceability of the remaining provisions of the Agreement (including without limitation, all portions of any paragraphs of this Agreement containing any such provision
held to be invalid, illegal or unenforceable, that are not themselves invalid, illegal or unenforceable) shall not in any way be affected or impaired thereby, and (ii) to the fullest extent possible, the provisions of this Agreement (including,
without limitation, all portions of any paragraph of this Agreement containing any such provision held to be invalid, illegal or unenforceable, that are not themselves invalid, illegal or unenforceable) shall be construed so as to give effect to the
intent manifested by the provision held invalid, illegal or unenforceable and to give effect to Section 13 hereof. 

  
 7 

 15. Savings Clause. If this Agreement or any portion of it is invalidated on any ground by
any court of competent jurisdiction, then the Company shall nevertheless indemnify Indemnitee as to expenses, judgments, fines, penalties or ERISA excise taxes with respect to any proceeding to the full extent permitted by any applicable portion of
this Agreement that shall not have been invalidated or by any other applicable law. 
 16. Modification and Waiver. No supplement,
modification or amendment of this Agreement shall be binding unless executed in writing by both of the parties hereto. No waiver of any of the provisions of this Agreement shall be deemed or shall constitute a waiver of any other provisions hereof
(whether or not similar) nor shall such waiver constitute a continuing waiver. 
 17. Notice. All notices, requests, demands and other
communications under this Agreement shall be in writing and shall be deemed duly given (i) if delivered by hand and receipted for by the party addressee or (ii) if mailed by certified or registered mail with postage prepaid, on the third
business day after the mailing date. Addresses for notice to either party are as shown on the signature page of this Agreement, or as subsequently modified by written notice. 

18. Governing Law. This Agreement shall be governed exclusively by and construed according to the laws of the State of Delaware as
applied to contracts between Delaware residents entered into and to be performed entirely within Delaware. 
 19. Consent to
Jurisdiction. The Company and the Indemnitee each hereby consent to the jurisdiction of the courts of the State of Delaware with respect to any action or proceeding which arises out of or relates to this Agreement. 

[Remainder of Page Intentionally Left Blank] 

  
 8 

 The parties hereto have entered into this Indemnity Agreement effective as of the date first
above written. 
  

			
		 	THE COMPANY:
		
		 	IMMERSION CORPORATION
		
		 	 

  

		 	By: Jon Rubinstein
		
		 	Its: Chairman of the
		 	      Compensation Committee
		
	Address:	 	801 Fox Lane
		 	San Jose, CA 95131
		
		 	INDEMNITEE:
		
		 	 

  

		 	Vic Viegas
		
	Address:	 	99 James Avenue
		 	Atherton, CA 94027Exhibit

Employment Agreement
THIS AGREEMENT (the “Agreement”) is made and entered into effective the 1st day of January 2018 (the “Effective Date”), by and between NORTHRIM BANCORP, INC. and its wholly owned subsidiary, NORTHRIM BANK, a state-chartered commercial bank, with its principal office in Anchorage, Alaska (collectively, the “Employer”), and Joseph M. Schierhorn (the “Executive”).
In consideration of the mutual promises made in this Agreement, the parties agree as follows:
		
	1.
	Employment.

Employer employs Executive and Executive accepts employment with Employer as Chairman, President, Chief Executive Officer and Chief Operating Officer of Northrim BanCorp, Inc. and Chairman, President and Chief Executive Officer of Northrim Bank.
		
	2.
	Term.

The term of this Agreement (the “Term”) shall commence on the Effective Date and, unless terminated earlier pursuant to Section 5, shall continue through December 31, 2018; provided, however, that on January 1, 2019 and each succeeding January 1, the Term shall automatically be extended for one (1) additional year unless, not later than ninety (90) days prior to any such January 1, either party shall have given written notice to the other that it does not wish to extend the Term. In the event the Term is not extended, Executive shall have no rights to any of the severance payments or benefits continuation described in Section 5 except as specifically provided for in Section 5.a. 
		
	3.
	Duties.

The Executive will serve as Chairman, President, Chief Executive Officer and Chief Operating Officer of Northrim BanCorp, Inc. and Chairman, President and Chief Executive Officer of Northrim Bank. Executive shall render such executive, management and administrative services and perform such tasks in connection with the affairs and overall operation of the Employer as is customary for the Executive’s position, subject to the direction of Employer’s President and Board of Directors. Executive shall devote necessary time, attention and effort to Employer’s business in order to properly discharge the Executive’s responsibilities under this Agreement.
		
	4.
	Compensation, Benefits, Reimbursement and Profit Sharing.

a.Base Salary.
In consideration for all services rendered by Executive during the term of this Agreement, Employer shall pay Executive an annual base salary (before all customary and proper payroll deductions) of $389,000 as adjusted from time to time (“Base Salary”). The Board of Directors of the Employer shall review Executive’s salary each year, in a manner consistent with that used for all management employees of the Employer, and in its sole discretion may adjust such salary commensurate with the Executive’s performance under this Agreement.
b.Profit Sharing Plan. 
Under the Northrim BanCorp, Inc. Profit Sharing Plan (the “Plan”), Executive shall be eligible to receive an annual profit share based on performance as defined by the Board of Directors. Executive will be classified in the Executive tier under the Plan’s Responsibility Factors. If Employer is required to prepare an accounting restatement due to “material noncompliance of the Employer,” the Employer will recover from the Executive any incentive compensation during the three (3) years prior to the date of the restatement, in excess of what would have been paid under the restatement. Executive’s signature on this Agreement authorizes Employer to offset or deduct from any compensation Employer may owe Executive, any excess payments (in whole or in part) that Executive may owe Employer due to such restatement(s). 

c.Stock Incentive Plan. 
Executive shall be eligible for awards under the Employer’s Stock Incentive Plan. The type, timing and size of awards will be at the discretion of the Board of Directors.
d.Supplemental Executive Retirement Plan (“SERP”), Supplemental Executive Retirement Deferred Compensation Plan and Deferred Compensation Plan. 
Executive shall also be entitled to receive an annual contribution equal to twenty percent (20%) of annual Base Salary in accordance with the Employer’s SERP, as may be adjusted at the discretion of the Board of Directors from time to time. Annually, Employer will also make payment to Executive’s account as outlined in the Employer’s Supplemental Executive Retirement Deferred Compensation Plan. The Executive may also participate in the Employer’s Deferred Compensation Plan.
e.Other Benefits. 
Throughout the term of this Agreement, Executive shall be entitled to participate in health insurance, disability and other employee benefit plans and programs of Employer, as in effect from time to time, on a basis at least as favorable as that accorded to any other officer of Employer and to the extent consistent with applicable law and the terms of the applicable employee benefit plans and programs.
f.Expenses. 
Employer shall reimburse Executive for the Executive’s reasonable expenses (including, without limitation: travel, entertainment, and similar expenses) incurred in performing and promoting the business of the Employer. Executive shall present from time to time, itemized accounts and receipts of any such expenses as required by Employer, subject to any limits of company policy and the rules and regulations of the Internal Revenue Service, including the Internal Revenue Code of 1986, as amended (referred to throughout this Agreement as “IRC” or the “Code”).
5.    Termination of Agreement.
		
	g.
	Termination Due to a Change of Control. 

If (A) Employer (either Northrim BanCorp, Inc. or Northrim Bank) is subjected to a Change of Control (as defined in Section 5.f.(i)), and (B) either Employer or its assigns terminates Executive’s employment without Cause (either during the annual term of this Agreement or by refusing to extend this Agreement when the annual termination occurs every December 31) or Executive terminates their employment for Good Reason within seven hundred and thirty (730) days of such Change of Control, then Employer shall pay Executive: (i) all Base Salary earned and all reimbursable expenses incurred under this Agreement through such termination date; (ii) an amount equal to two (2) times Executive’s highest Base Salary over the prior three (3) years, and (iii) an amount equal to two (2) times Executive’s average Profit Share over the prior three (3) years. The amounts described in Section 5.a.(i), (ii), and (iii) herein shall be paid no later than forty-five (45) days after the day on which employment is terminated. No payment will be made pursuant to Sections 5.a.(ii) and (iii) unless the Executive has signed an agreement, in a form acceptable to Employer, that releases and holds Employer harmless from all known and unknown claims and liabilities arising out of Executive’s employment with Employer or the performance of this Agreement (“Release Agreement”) and the Release Agreement has become irrevocable prior to the payment date.
		
	(I)
	Benefits Continuation. 

In addition, Executive shall be entitled to health and dental insurance benefits for a period of two (2) years following the termination of this Agreement. These benefits will be provided at Employer’s expense, but such period shall count towards the Employer’s continuation of coverage obligation under Section 4980B of the Internal Revenue Code (commonly referred to as “COBRA”); provided, however, that if Employer determines in its sole discretion that its provision of COBRA or health or dental insurance benefits or any premium payments for such benefits cannot be made without potentially violating applicable law (including, without limitation, Section 2716 of the Public Health Service Act) or incurring an excise or penalty tax, under either Section 105(h) of the Code or the Patient Protection and Affordable Care Act of 2010, Employer will in lieu thereof provide to Executive a taxable payment in an amount equal 

to the monthly COBRA premium that Executive would be required to pay to continue their group health coverage in effect on the date of the Executive’s termination of employment (which amount will be based on the premium for the first month of COBRA coverage) for the two (2) years following the termination of employment, which payment will be made regardless of whether Executive elects COBRA continuation coverage and will be paid at the same time any amounts described in Section 5.a are paid to Executive.
		
	(II)
	Age and Service Credit. 

Executive shall also be entitled to receive age credit and credit for period of service towards all SERP plans for the remaining period of time covered by this Agreement. If Executive is hired by Employer, its assigns, any company in control of Employer, or any company controlled by Employer during the period covered by this Agreement, then Executive will be entitled to be treated for all purposes relating to future compensation, and benefits, as if this Agreement had never been terminated and as if Executive had performed the Executive’s responsibilities as an executive throughout the period originally covered by this Agreement.
h.Termination by Employer Without Cause or by Executive for Good Reason. 
If Employer terminates Executive’s employment without Cause, or if Executive terminates their employment for Good Reason, Employer shall pay Executive in a lump sum: (i) all Base Salary earned and all reimbursable expenses incurred under this Agreement through such termination date; and (ii) an amount equal to one (1) times Executive’s highest Base Salary over the prior three (3) years. The amount described in 5.b.(i) herein shall be paid no later than forty-five (45) days after the day on which employment is terminated. The amount described in 5.b.(ii) herein shall be paid on the first day of the month following a period of six (6) months after the termination of employment, provided that the payment may be made sooner if either (i) the amount does not exceed the amount described in Section 1.409A-1(b)(9)(iii)(A) (the “IRC Safe Harbor”) or (ii) at the Executive’s election, the amount described in Section 5.a.(ii), is reduced to fit within the IRC Safe Harbor. No payment will be made pursuant to Section 5.a.(ii) unless the Executive has signed a Release Agreement which has become irrevocable prior to the payment date. 
		
	(I)
	Benefits Continuation. 

In addition, Executive shall be entitled to health and dental insurance benefits for a period of twelve (12) months following the termination of this Agreement. These benefits will be provided at Employer’s expense, but such period shall count towards the Employer’s continuation of coverage obligation under Section 4980B of the Internal Revenue Code (commonly referred to as “COBRA”); provided, however, that if Employer determines in its sole discretion that its provision of COBRA or health or dental insurance benefits or any premium payments for such benefits cannot be made without potentially violating applicable law (including, without limitation, Section 2716 of the Public Health Service Act) or incurring an excise or penalty tax, under either Section 105(h) of the Code or the Patient Protection and Affordable Care Act of 2010, Employer will in lieu thereof provide to Executive a taxable payment in an amount equal to the monthly COBRA premium that Executive would be required to pay to continue their group health coverage in effect on the date of termination of employment (which amount will be based on the premium for the first month of COBRA coverage) for the twelve (12) months following the termination of employment, which payment will be made regardless of whether Executive elects COBRA continuation coverage and will be paid at the same time any amounts described in Section 5.b are paid to Executive.
		
	(II)
	Age and Service Credit. 

Executive shall also be entitled to receive age credit and credit for period of service towards all SERP plans for the remaining period of time covered by this Agreement. If Executive is hired by Employer, its assigns, any company in control of Employer, or any company controlled by Employer during the period covered by this Agreement, then Executive will be entitled to be treated for all purposes relating to future compensation, and benefits, as if this Agreement had never been terminated and as if Executive had performed their responsibilities as an executive throughout the period originally covered by this Agreement.

i.Termination by Employer for Cause or by Executive Without Good Reason. 
If Employer terminates Executive’s employment for Cause or if Executive terminates their employment without Good Reason, Employer shall pay Executive upon the effective date of such termination only such Base Salary earned and expenses reimbursable under this Agreement incurred through such termination date. In such case, Executive shall have no right to receive compensation or other benefits for any period after termination under this Agreement. 
If any disputed termination under Section 5.c. is subsequently determined to have been without Cause, Executive's recovery shall be limited to those payments and benefits set out under Section 5.b.
j.Termination Due to Disability. 
If Employer terminates Executive’s employment on account of any mental or physical Disability that prevents Executive from performing their essential job functions, even with reasonable accommodation, Executive shall be entitled to: (i) all Base Salary earned and reimbursement for expenses incurred under this Agreement through the termination date; (ii) full Base Salary for the year following the termination date (less the amount of any payments received by Executive during such one (1)year period under any Employer‐sponsored disability plan); and (iii) health and dental insurance benefits for a period of one (1) year following the termination date, which benefits will be provided at Employer’s expense, but such period shall count towards the Employer’s continuation of coverage obligation under Section 4980B of Code (commonly referred to as “COBRA”); provided, however, that if Employer determines in its sole discretion that its provision of COBRA or health or dental insurance benefits or any premium payments for such benefits cannot be made without potentially violating applicable law (including, without limitation, Section 2716 of the Public Health Service Act) or incurring an excise or penalty tax, under either Section 105(h) of the Code or the Patient Protection and Affordable Care Act of 2010, Employer will in lieu thereof provide to Executive a taxable payment in an amount equal to the monthly COBRA premium that Executive would be required to pay to continue their group health coverage in effect on the date of their termination of employment (which amount will be based on the premium for the first month of COBRA coverage) for the one (1) year following the termination of employment, which payment will be made regardless of whether Executive elects COBRA continuation coverage and will be paid at the same time any other amounts described in this Section 5.d are paid to Executive. All such compensation shall be paid Executive in one (1) lump sum the first day of the month following a period of six (6) months after Executive’s employment was terminated, provided that Executive has signed a Release Agreement which has become irrevocable prior to the payment date.
k.Termination Upon Death of Executive. 
Executive’s employment under this Agreement shall be terminated upon the death of Executive. In such case, the Employer shall be obligated to pay to the surviving spouse of Executive, or if there is none, to the Executive’s estate: (i) that portion of Executive’s Base Salary that would otherwise have been paid to the Executive for the month in which their death occurred, and (ii) any amounts due the Executive pursuant to the Northrim Bank Savings Incentive Plan (401-K) and the Northrim BanCorp, Inc. Profit Sharing Plan, any supplemental deferred compensation plan, and any other death, insurance, employee benefit plan or stock benefit plan provided to Executive by the Employer, according to the terms of the respective plans.
l.Termination Definitions.
		
	(i)
	“Change of Control.” 

For purposes of this Agreement, the term “Change of Control” shall mean the occurrence of one or more of the following events: (A) one (1) person or entity acquiring or otherwise becoming the owner of twenty-five percent (25%) or more of Employer’s outstanding common stock; (B) replacement of a majority of the incumbent directors of Northrim BanCorp, Inc. or Northrim Bank by directors whose elections have not been supported by a majority of the Board of either company, as appropriate; (C) dissolution or sale of fifty percent (50%) or more in value of the assets, of either Northrim BanCorp, Inc. or 

Northrim Bank; or (D) a change “in the ownership or effective control” or “in the ownership of a substantial portion of the assets” of Employer, within the meaning of Section 280G of the Internal Revenue Code.
		
	(ii)
	“Cause.” 

For purposes of this Agreement, termination for “Cause” shall include termination because Executive: (A) continually fails to substantially perform their duties with the Employer; (B) is adjudged guilty of a felony, any crime involving dishonesty or breach of trust or any crime involving a breach of their fiduciary duties to the Employer; (C) is willfully and continually failing to comply with any law, rule, or regulation (other than traffic violations or similar offenses) or final cease and desist order of a regulatory agency having jurisdiction over Employer; (D) commits a material act of dishonesty or disloyalty related to the business of the Employer; or (E) is unable to substantially perform their duties with the Employer due to drug addiction or chronic alcoholism. Notwithstanding the foregoing, Executive shall not be deemed to have been terminated for Cause unless and until there shall have been delivered to the Executive, a copy of a resolution duly adopted by the affirmative vote of not less than three‐quarters (3/4) of the entire membership of the Employer’s Board of Directors at a meeting of the Board called for such purpose (after reasonable notice to Executive and an opportunity for the Executive, together with their counsel, to be heard before the Board), finding that in the good faith opinion of the Board, the Executive was guilty of conduct that constitutes Cause (as defined above) and specifying the conduct in detail.
		
	(iii)
	“Disability.” 

For purposes of this Agreement, “Disability” shall mean a medically diagnosed physical or mental impairment that may be expected to result in death, or to be of long, continued duration, and that renders Executive incapable of performing their essential job functions under this Agreement, even after the Executive has been accorded reasonable accommodation. Employer’s Board of Directors, acting in good faith, in accordance with applicable law, shall make the final determination of whether Executive is suffering under any Disability (as herein defined) and, for purposes of making such determination, may require Executive to submit themselves to a physical examination by a physician mutually agreed upon by the Executive and Employer’s Board of Directors at Employer’s expense.
		
	(iv)
	“Good Reason.” 

For purposes of this Agreement, termination for “Good Reason” shall mean termination by Executive as a result of any material breach of this Agreement by Employer. Good Reason shall include, but not be limited to: (A) a material reduction in Executive’s compensation defined as a reduction equal to or greater than five percent (5%) of Executive’s then annual base salary; (B) a material reduction in Executive’s duties and responsibilities, but not merely a change in title; or (C) relocation of Executive’s primary workplace by more than fifty (50) miles. “Good Reason” will only be deemed to occur if, within ninety (90) days after a material reduction or change described above first occurs, the Executive provides notice to the Employer of the existence of Good Reason and of the Executive’s intended termination of employment due to Good Reason, and the Employer does not remove the Good Reason condition within ninety (90) days after receiving such notice from the Executive. The Executive’s written notice must explain the basis on which the Executive believes Good Reason exists, the cure period, and the date on which the Executive intends to terminate employment, which must be no later than six (6) months after the existence of the Good Reason. The provisions of Section 5.f.(iv) are intended to comply with the Good Reason safe harbor provisions of Code Section 409A and applicable regulations.
		
	(v)
	Termination from Employment. 

A termination from employment under this Agreement shall mean a “Separation from Service” as interpreted in accordance with Code Section 409A and generally meaning the date on which the Executive is no longer performing services for the Employer. The Executive shall not have a Separation from Service while on military leave, sick leave, or other bona fide leave of absence if the period of such leave does not exceed six (6) months, or if longer, so long as the Executive retains a right to reemployment under an applicable statute or contract. A leave of absence constitutes a bona fide leave of absence only if there is a reasonable expectation that the Executive will return to perform services. 

6.    Limit on Severance Payment for Change of Control.
Notwithstanding anything above in Section 5.a., if the severance payment provided for in that Section, together with any other payments which the Executive has the right to receive from the Employer, would constitute a “parachute payment” (as defined in Section 280G(b)(2) of the Code), the severance payment shall be reduced. The reduction shall be in an amount so that the present value of the total amount received by the Executive from the Employer or its affiliates and subsidiaries will be two point nine-nine (2.99) times the Executive’s base amount (as defined in Section 280G(b)(3) of the Code) and so that no portion of the amounts received by the Executive shall be subject to the excise tax imposed by Section 4999 of the Code (excise tax). Insofar as permitted by the Code, Employer shall reduce those elements of the severance pay package specified by the Executive, provided, however, that Employer will not reduce the SERP credits provided for in Section 5.a.(II). The determination as to whether any reduction in the severance payment is necessary shall be made by the Employer in good faith, and the determination shall be conclusive and binding on Executive. If through error or otherwise Executive should receive payments under this Plan, together with other payments the Executive has the right to receive from the Employer, in excess of two point nine-nine (2.99) times their base amount, Executive shall immediately repay the excess to Employer upon notification that an overpayment has been made.
7.    Covenant Not To Compete.
a.    Executive agrees that for the term of this Agreement and for a period of one (1) year after this Agreement is terminated pursuant to Section 5.a. or 5.b., Executive will not directly or indirectly be employed by, own, manage, operate, support, join, or benefit in any way from any business activity within the states where Employer operates that is competitive with Employer’s business or reasonably anticipated business of which Executive has knowledge. For purposes of the foregoing, Executive will be deemed to be connected with such business if the business is carried on by: (i) a partnership in which Executive is a general or limited partner; or (ii) a corporation of which Executive is a shareholder (other than a shareholder owning less than five percent (5%) of the total outstanding shares of the corporation), officer, director, employee or consultant, whether paid or unpaid. In the event of an alleged breach by Executive of this Section 7, the one (1) year non-compete period shall be extended until such breach or violation has been duly cured, and shall restart so that Employer has received the intended benefit of one (1) year of uninterrupted non-competition by Executive.
b.    The parties agree that if a trial judge with jurisdiction over a dispute related to this Agreement should determine that the restrictive covenant set forth above is unreasonably broad, the parties authorize such trial judge to narrow the covenant so as to make it reasonable, given all relevant circumstances, and to enforce such covenant. The provisions of this Section 7 shall survive termination of this Agreement.
8.    Nondisclosure of Confidential Information.
a.    During the term of Executive’s employment and thereafter, Executive agrees to hold Employer’s Confidential Information in strict confidence, and not disclose or use it at any time except as authorized by Employer and for Employer’s benefit. If anyone tries to compel Executive to disclose any Confidential Information, by subpoena or otherwise, Executive agrees immediately to notify Employer so that Employer may take any actions it deems necessary to protect its interests. Executive’s agreement to protect Employer’s Confidential Information applies both during the term of this Agreement and after employment ends, regardless of the reason it ends.
b.    “Confidential Information” includes, without limitation, any information in whatever form that Employer considers to be confidential, proprietary, information and that is not publicly or generally 

available relating to Employer’s: trade secrets (as defined by the Uniform Trade Secrets Act), know-how, concepts, methods, research and development; product, content and technology development plans; marketing plans; databases; inventions; research data and mechanisms, software (including functional specifications, source code and object code), procedures, engineering, purchasing, accounting, marketing, sales, customers, advertisers, joint venture partners, suppliers, financial status, contracts or employees. Confidential Information includes information developed by Executive, alone or with others, or entrusted to Employer by its customers or others.
9.    Non-Solicitation.
During the course of Executive’s employment and for a period of one (1) year from the date of termination of employment for any reason, Executive shall not directly or indirectly solicit or entice any of the following to cease, terminate or reduce any relationship with Employer or to divert any business from Employer: (a) any person who was an employee of Employer during the one (1) year period immediately preceding the termination of Executive’s employment; (b) any customer or client of Employer; or (c) any prospective customer or client of Employer from whom Executive actively solicited business within the last one (1) year of Executive’s employment. In the event of an alleged breach by Executive of this Section 9, the one (1) year non-solicitation period shall be extended until such breach or violation has been duly cured, and shall restart so that Employer has received the intended benefit of one (1) uninterrupted year of non-solicitation by Executive.
10.    Non-Disparagement. 
Executive will not, during the Term or after the termination or expiration of this Agreement or Executive’s employment, make disparaging statements, in any form, about Employer’s officers, directors, agents, employees, products or services which Executive knows, or has reason to believe, are false or misleading. This Section 10 does not, in any way, restrict or impede Executive from exercising protected rights to the extent that such rights cannot be waived by agreement or from complying with any applicable law or regulation or a valid order of a court of competent jurisdiction or an authorized government agency, provided that such compliance does not exceed that required by the law, regulation or order. Executive shall promptly provide written notice of any such order to Employer’s Board of Directors. Nothing in this Section 10 is intended to limit Executive’s legal right to make reports to or cooperate with any law enforcement or other government agency.  
11.    Mutual Agreement to Arbitrate.
a.    Except as provided in Section 11.b., in the event of a dispute or claim between Executive and Employer related to Executive’s employment or termination of employment, all such disputes or claims will be resolved exclusively by confidential arbitration in accordance with the National Rules for the Resolution of Employment Disputes of the American Arbitration Association (“AAA”). This means that the parties agree to waive their rights to have such disputes or claims decided in court by a jury. Instead, such disputes or claims will be resolved by an impartial AAA arbitrator whose decision will be final. 
b.    The only disputes or claims that are not subject to arbitration are any claims by Executive for workers’ compensation or unemployment benefits, and any claim by Executive for benefits under an employee benefit plan that provides its own arbitration procedure. Also, Executive and Employer may seek equitable relief (such as an injunction or declaratory relief) in court in appropriate circumstances. Specifically, Executive recognizes that Employer does not have an adequate remedy at law to protect its business from Executive’s breach of Sections 7, 8, or 9 of this Agreement, and therefore Employer shall be entitled to bring an action for a temporary restraining order and preliminary injunctive relief pre-arbitration, 

in the event of any actual or threatened breach by Executive of Sections 7, 8, or 9. In such court proceeding, Employer shall not be required to post a bond or other security, and Employer may also be awarded actual damages caused by Executive’s breach of Sections 7, 8, or 9 of this Agreement as well as repayment of all or a portion of any severance that Employer previously paid to Executive.  
c.    Except as provided by section 11.b., the arbitration procedure will afford Executive and Employer the full range of legal, equitable, and/or statutory remedies. Employer will pay all costs that are unique to arbitration, except that the party who initiates arbitration will pay the filing fee charged by AAA. Executive and Employer shall be entitled to discovery sufficient to adequately arbitrate their claims, including access to essential documents and witnesses, as determined by the arbitrator and subject to limited judicial review. In order for any judicial review of the arbitrator’s decision to be successfully accomplished, the arbitrator will issue a written decision that will decide all issues submitted and will reveal the essential findings and conclusions on which the award is based. 
12.    Miscellaneous.
a.    This Agreement contains the entire agreement between the parties with respect to Executive’s employment with Employer, and is subject to modification or amendment only upon agreement in writing signed by both parties.
b.    This Agreement shall bind and inure to the benefit of the heirs, legal representatives, successors and assigns of the parties, except that Employer’s rights and obligations may not be assigned.
c.    If any provision of this Agreement is invalid or otherwise unenforceable, in whole or in part, then such provision shall be modified so as to be enforceable to the maximum extent permitted by law. If such provision cannot be modified to be enforceable, the provision shall be severed from the Agreement to the extent it is unenforceable. All other provisions and any partially enforceable provisions shall remain unaffected and shall remain in full force and effect.
d.    In the event of any claim or dispute arising out of this Agreement, the party that substantially prevails shall be entitled to reimbursement of all expenses incurred in connection with such claim or dispute, including, without limitation, attorneys’ fees and other professional fees. This paragraph shall apply to expenses incurred with or without suit, and in any judicial, arbitration or administrative proceedings, including all appeals therefrom.
e.    Any notice required to be given under this Agreement to either party shall be given by personal service (i.e., via hand delivery) or by depositing a copy of such notice in the United States registered or certified mail, postage prepaid, addressed to the following address, or such other address as addressee shall designate in writing:

Employer:     

3111 C Street
Anchorage, AK 99503

Executive:    

Address on file with Northrim BanCorp, Inc. Human Resources Department.

f.    This Agreement shall in all respects, including all matters of construction, validity and performance, be governed by and construed and enforced according to the laws of the State of Alaska.

g.    This Agreement (and all payments and other benefits provided under this Agreement and provided under any other agreement incorporated by reference) is intended to be exempt from the requirements of Code Section 409A, to the maximum extent possible, whether pursuant to the short-term deferral exception described in Treasury Regulation Section 1.409A-1(b)(4), the involuntary separation pay plan exception described in Treasury Regulation Section 1.409A-1(b)(9)(iii), or otherwise.  To the extent Code Section 409A is applicable to such payments and benefits, the parties intend that this Agreement (and such payments and benefits) comply with the deferral, payout and other limitations and restrictions imposed under Code Section 409A.  In the event that any provision of the Agreement would cause a benefit or amount provided hereunder to be subject to tax under the Internal Revenue Code prior to the time such amount is paid, such provision shall, without the necessity of further action by the signatories to this Agreement, be null and void as of the Effective Date.
h.    Notwithstanding any provision to the contrary in this Agreement, no payment of any type or amount of compensation or benefits shall be made or owed by Employer to Executive pursuant to this Agreement or otherwise to the extent that payment of such type or amount is restricted or prohibited by, is not permitted under, or has not received any required approval under, any applicable federal or state statute, regulation, rule, policy, order, opinion, interpretation or similar issuance, whether now in existence or hereafter adopted or imposed, including without limitation any provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act or regulations promulgated thereunder, 12 USC 1828(k) or 12 CFR Part 359. In the event that any payment made to Executive hereunder, under any prior employment agreement or arrangement or otherwise is required under any applicable federal or state statute, regulation, rule, policy, order, opinion, interpretation or similar issuance or under any agreement with or policy or plan of Employer to be paid back to Employer, Executive shall upon written demand from Employer promptly pay such amount back to Employer.

EMPLOYER:    
NORTHRIM BANCORP, INC.

    
By: /s/ Krystal M. Nelson    
Krystal M. Nelson
Its: Chairman of the Compensation Committee of the Board of Directors

NORTHRIM BANK

By: /s/ Krystal M. Nelson    
Krystal M. Nelson
Its: Chairman of the Compensation Committee of the Board of Directors

EXECUTIVE:

/s/Joseph M. Schierhorn
Joseph M. Schierhorn

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