Document:

EX-10.1

 Exhibit 10.1 

THIRD COAST BANCSHARES, INC. 

2013 STOCK OPTION PLAN 

SECTION 1. Purpose of the Plan. The purpose of the Third Coast Bancshares, Inc. 2013 Stock Option Plan
(“Plan”) is to encourage ownership of common stock, $1.00 par value (“Common Stock”), of Third Coast Bancshares, Inc., a Texas corporation and registered Company holding company (the “Company”), by key employees,
directors, advisory directors and other service providers of the Company and its Affiliates (as defined below) and to provide increased incentive for such key employees and directors to render services and to exert maximum effort for the success of
the Company. In addition, the Company expects that the Plan will further strengthen the identification of the key employees, directors, advisory directors and other service providers with the stockholders. Certain options to be granted under this
Plan are intended to qualify as incentive stock options (“ISOs”) pursuant to Section 422 of the Internal Revenue Code of 1986, as amended (“Code”), while other options granted under this Plan will be nonqualified options
which are not intended to qualify as ISOs (“Nonqualified Options”), either or both as provided in the agreements evidencing the options as provided in Section 6 hereof. As used in this Plan, the term “Affiliates” means any
entity with whom the Company would be considered a single employer under Code Section 414(b) or 414(c); provided, however, that in applying Code Section 1563(a)(1), (2) and (3) for purposes of determining a controlled group of
corporations under Code Section 414(b), the language “at least 50 percent” is used instead of “at least 80 percent” each place it appears in Code Section 1563(a)(1), (2) and (3), and in applying Treasury Regulation Section 1.414(c)-2 for purposes of determining trades or businesses that are under common control for purposes of Code Section 414(c), the language “at least 50 percent” is used instead of
“at least 80 percent” each place it appears in Section 1.414(c)-2. 
 SECTION 2.
Administration of the Plan. 
 (a) Composition of Committee. The Plan shall be administered by the
Compensation Committee (the “Committee”) designated by the Board of Directors of the Company (the “Board”), which shall also designate the Chairman of the Committee. If the Company is governed by Section 16 of the Securities
Exchange Act of 1934, as amended (“Exchange Act”), the Committee shall consist solely of two or more “Non-Employee Directors” within the meaning of Rule
16b-3 promulgated by the Securities and Exchange Commission (the “Commission”) under the Exchange Act. 

(b) Committee Action. The Committee shall hold its meetings at such times and places as it may determine. A majority of
its members shall constitute a quorum, and all determinations of the Committee shall be made by not less than a majority of its members. Any decision or determination reduced to writing and signed by a majority of the members shall be fully as
effective as if it had been made by a majority vote of its members at a meeting duly called and held. The Committee may designate the Secretary of the Company or other Company employees to assist the Committee in the administration of the Plan, and
may grant authority to such persons to execute award agreements or other documents on behalf of the Committee and the Company. Any duly constituted committee of the Board satisfying the qualifications of this Section 2 may be appointed as the
Committee. 

 (c) Committee Expenses. All expenses and liabilities incurred by the
Committee in the administration of the Plan shall be borne by the Company. The Committee may employ attorneys, consultants, accountants or other persons. 

SECTION 3. Stock Reserved for the Plan. Subject to adjustment as provided in Section 6 hereof, the
maximum aggregate number of shares of Common Stock that may be issued under the Plan is 500,000, any or all of which may be issued through ISOs. The shares subject to the Plan shall consist of authorized but unissued shares of Common Stock or
previously issued shares of Common Stock reacquired and held by the Company and such number of shares shall be and is hereby reserved for sale for such purpose. Shares of Common Stock shall be deemed to have been issued under the Plan only to
the extent actually issued and delivered pursuant to the exercise of an option. To the extent that an option lapses or is canceled or the rights of its Optionee terminate or the option is cashed-out,
any Common Stock subject to such option shall again be available for grant under an option. Any shares of Common Stock which may remain unsold and which are not subject to outstanding options at the termination of the Plan shall cease to be
reserved for the purpose of the Plan, but until termination of the Plan or the termination of the last of the options granted under the Plan, whichever last occurs, the Company shall at all times reserve a sufficient number of shares to meet the
requirements of the Plan. 
 SECTION 4. Eligibility. A recipient of an option under the Plan shall be referred
to as an “Optionee.” Nonqualified Options may be granted to all key employees, directors, advisory directors and other service providers of the Company or its Affiliates, including Affiliates that become such after adoption of the
Plan. ISOs may be granted only to key employees of the Company, a “parent corporation” of the Company (within the meaning of Code Section 424(e)) or a “subsidiary corporation” of the Company (within the meaning of
Code Section 424(f)), including an entity that becomes a parent corporation or a subsidiary corporation after adoption of the Plan. An Optionee must be a key employee, director, advisory director, other employee as approved by the
Compensation Committee or other service provider at the time the option is granted. A key employee, director, advisory director, other employee as approved by the Compensation Committee or other service provider who has been granted an option
hereunder may be granted an additional option or options, if the Committee shall so determine. 
 SECTION 5. Grant of Options.

 (a) Committee Discretion. Except where the Committee has explicitly given the authority to some other
individual, the Committee shall have sole and absolute discretionary authority (i) to select the key employees, directors, advisory directors, other employee as approved by the Compensation Committee and other service providers who are to
receive options under the Plan, (ii) to determine the number of shares of Common Stock to be covered by such options and the terms thereof, and (iii) to determine the type of option granted: ISO, Nonqualified Option or a combination of
ISOs and Nonqualified Options. If the Company is governed by Section 16 of the Exchange Act, the Committee shall specifically pre-approve each grant to each Optionee subject to Section 16(b)
in accordance with Rule 16b-3 as amended, unless such grant is or will be otherwise exempt from Section 16(b). The Committee shall thereupon grant options in accordance with such determinations as
evidenced by a written option agreement. Subject to the express 

  
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 provisions of the Plan, the Committee shall have discretionary authority to prescribe, amend
and rescind rules and regulations relating to the Plan, to interpret the Plan, to prescribe and amend the terms of the option agreements (which need not be identical) and to make all other determinations deemed necessary or advisable for the
administration of the Plan. The Board may exercise the same discretionary authority as the Committee. 
 (b)
Stockholder Approval. All ISOs granted under this Plan are subject to, and may not be exercised before, the approval of this Plan by the stockholders prior to the first anniversary date of the Board meeting held to approve the Plan, by
the affirmative vote of the holders of a majority of the shares of the Company present, or represented by proxy, and entitled to vote at a meeting at which a quorum is present, or by written consent in accordance with the laws of the United States
and the State of Texas, as may be applicable; provided that if such approval by the stockholders of the Company is not forthcoming, all ISOs previously granted under this Plan shall be void. 

(c) Limitation on Incentive Stock Options. Except as otherwise provided under the Code or applicable regulations,
to the extent that the aggregate fair market value (determined in accordance with Section 6(b) of this Plan at the time the option is granted) of the Common Stock with respect to which ISOs (determined without regard to this paragraph) are
exercisable for the first time by any Optionee during any calendar year under all plans of the Company and its Affiliates exceeds $100,000, such options shall be treated as Nonqualified Options. 

SECTION 6. Terms and Conditions. Each option granted under the Plan shall be evidenced by an agreement, in
a form approved by the Committee, which shall be subject to the following express terms and conditions and to such other terms and conditions as the Committee may deem appropriate. 

(a) Option Period. The Committee shall promptly notify the Optionee of the option grant and a written agreement
shall promptly be executed and delivered by and on behalf of the Company and the Optionee, provided that the option grant shall expire if a written agreement is not signed by said Optionee (or his agent or attorney) and returned to the Company
within 60 days from date of receipt by the Optionee of such agreement. The Committee may, in its discretion, waive or extend the 60-day requirement for a signed agreement. The date of grant shall
be the date the option is actually granted by the Committee, even though the written agreement may be executed and delivered by the Company and the Optionee after that date. Each option agreement shall specify the period for which the option
thereunder is granted (which in no event shall exceed ten years from the date of grant) and shall provide that the option shall expire at the end of such period. However, in the case of an ISO granted to an individual who, at the time of
grant, owns stock possessing more than 10 percent of the total combined voting power of all classes of stock of the Company or its Affiliate (“Ten Percent Stockholder”), such period shall not exceed five years from the date of grant.

 (b) Option Price. The purchase price of each share of Common Stock subject to each option granted pursuant
to the Plan shall be determined by the Committee at the time the option is granted and shall never be less than 100% of the fair market value of a share of Common Stock on the date the option is granted. In the case of an ISO granted to a Ten
Percent Stockholder, the option price shall not be less than 110% of the fair market value of a share of Common Stock on the date the option is granted. 

  
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 For all purposes under this Plan, the fair market value of a share of Common
Stock on a particular date shall be equal to the closing sales price of the Common Stock on the exchange on which the Common Stock is traded on that date, or if no prices are reported on that date, on the last preceding date on which such prices of
the Common Stock are so reported. In the event the Common Stock is not publicly traded at the time a determination of its value is required to be made hereunder, the determination of its fair market value shall be made by the Committee in
such manner as it deems appropriate, consistent with Treasury regulations and other formal Internal Revenue Service guidance under Code Section 409A so that options granted under this Plan shall not constitute deferred compensation subject to
Code Section 409A. 
 (c) Exercise Period. The Committee may provide in the option agreement that an
option may be exercised immediately or over the period of the grant and in whole or in increments. However, no portion of any ISO may be exercisable by an Optionee prior to the approval of the Plan by the stockholders of the Company. 

(d) Procedure for Exercise. Options shall be exercised by the delivery of written notice to the Secretary of the
Company setting forth the number of shares with respect to which the option is being exercised. Such notice shall be accompanied by (i) cash, cashier’s check, Company draft, or postal or express money order payable to the order of
the Company, (ii) subject to the approval of the Committee, certificates representing “mature shares” of Common Stock theretofore owned by the Optionee duly endorsed for transfer to the Company, (iii) delivery of a properly
executed exercise notice together with unconditional and irrevocable instructions to a broker, in a form acceptable to the Committee, to promptly sell a sufficient portion of the shares and requiring prompt delivery to the Company of the amount of
sale proceeds needed to pay the option purchase price and all applicable withholding taxes resulting from the exercise of the option (a so-called “cashless exercise”), or (iv) any combination of
the preceding, equal in value to the full amount of the exercise price. For purposes of this Plan, “mature shares” means shares of Common Stock that an Optionee has held free of any transferability restrictions or risk of forfeiture
for at least six (6) months. Notice may also be delivered by fax or telecopy provided that the purchase price of such shares is delivered to the Company via wire transfer on the same day the fax is received by the Company. The
notice shall specify the address to which the certificates for such shares are to be mailed. An option to purchase shares of Common Stock in accordance with this Plan shall be deemed to have been exercised immediately prior to the close of
business on the date (i) written notice of such exercise and (ii) payment in full of the exercise price for the number of shares for which options are being exercised, are both received by the Company and the Optionee shall be treated for
all purposes as the record holder of such shares of Common Stock as of such date. As promptly as practicable after receipt of such written notification and payment, the Company shall deliver to the Optionee certificates for the number of
shares with respect to which such option has been so exercised, issued in the Optionee’s name or such other name as Optionee directs; provided, however, that such delivery shall be deemed effected for all purposes when a stock transfer agent of
the Company shall have deposited such certificates in the United States mail, addressed to the Optionee at the address specified pursuant to this Section 6(d). 

  
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 (e) Termination of Employment or Service. If an Optionee to
whom an option is granted ceases to be employed by the Company or an Affiliate or ceases to serve as a director or advisory director or as a service provider for any reason other than death or disability, any option or portion thereof which is not
exercisable on the date of such termination of employment or cessation of service shall immediately expire, and any option or portion thereof which is exercisable on the date of such termination of employment or cessation of service may be exercised
during a 90-day period after such date (after which period the option shall expire), but in no event may the option be exercised (i) pursuant to the “cashless exercise” described in
Section 6(d)(iii) above, or (ii) after its expiration under the terms of the option agreement, unless the Committee authorizes otherwise; provided, however, that if an Optionee’s employment or service is terminated because of the
Optionee’s theft or embezzlement from the Company or an Affiliate, disclosure of trade secrets of the Company or an Affiliate or the commission of a willful, felonious act while in the employment or service of the Company or an Affiliate (such
reasons shall hereinafter be collectively referred to as “for cause”), then any option or unexercised portion thereof granted to said Optionee shall immediately expire upon such termination of employment or cessation of service. 

(f) Disability or Death of Optionee. In the event of the determination of disability or death of an Optionee
under the Plan while the Optionee is employed by the Company or an Affiliate or while the Optionee serves as a director or advisory director or as a service provider, any option or portion thereof which is not exercisable on the date of such
determination of disability or death shall immediately expire, and any option or portion thereof which is exercisable on the date of such determination of disability or death may be exercised at any time and from time to time, within a 90-day period after the date of such determination of disability or death, by the Optionee, the guardian of his estate, the executor or administrator of his estate or by the person or persons to whom his rights
under the option shall pass by will or the laws of descent and distribution (after which period the option will expire), but in no event may the option be exercised after its expiration under the terms of the option agreement. An Optionee
shall be deemed to be disabled if, in the opinion of a physician selected by the Committee, he or she is incapable of performing services for the Company or an Affiliate of the kind he or she was performing at the time the disability occurred by
reason of any medically determinable physical or mental impairment which can be expected to result in death or to be of long, continued and indefinite duration. The date of determination of disability for purposes hereof shall be the date of
such determination by such physician. 
 (g) Assignability. An option granted pursuant to this Plan shall not
be assignable or otherwise transferable by the Optionee otherwise than by Optionee’s will or by the laws of descent and distribution unless notification is given to the Committee in writing. During the lifetime of an Optionee, an option
shall be exercisable only by such Optionee or his authorized legal representative. Any heir or legatee of the Optionee shall take rights granted herein and in the option agreement subject to the terms and conditions 

  
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 hereof and thereof. No such transfer of any option to heirs or legatees of the
Optionee shall be effective to bind the Company unless the Company shall have been furnished with written notice thereof and a copy of such evidence as the Committee may deem necessary to establish the validity of the transfer and the acceptance by
the transferee or transferees of the terms and conditions hereof. 
 (h) Incentive Stock Options. Each option
agreement may contain such terms and provisions as the Committee may determine to be necessary or desirable in order to qualify under the Code an option designated as an ISO. 

(i) No Rights as Stockholder. No Optionee shall have any rights as a stockholder with respect to shares covered
by an option until the option is exercised by the written notice and accompanied by payment as provided in Section 6(d) above. 

(j) Extraordinary Corporate Transactions. The existence of outstanding options shall not affect in any way the
right or power of the Company or its stockholders to make or authorize any or all adjustments, recapitalizations, reorganizations, exchanges or other changes in the Company’s capital structure or its business, or any merger or consolidation of
the Company, or any issuance of Common Stock or other securities or subscription rights thereto, or any issuance of bonds, debentures, preferred or prior preference stock ahead of or affecting the Common Stock or the rights thereof, or the
dissolution or liquidation of the Company, or any sale or transfer of all or any part of its assets or business, or any other corporate act or proceeding, whether of a similar character or otherwise. If (i) the Company shall not be the
surviving entity in any merger or consolidation (or survives only as a subsidiary of another entity), (ii) the Company sells all or substantially all of its assets to any other person or entity (other than a wholly-owned subsidiary), (iii) any
person or entity (including a “group” as contemplated by Section 13(d)(3) of the Exchange Act) acquires or gains ownership or control of (including, without limitation, power to vote) more than 50% of the outstanding shares of Common
Stock, (iv) the Company is to be dissolved and liquidated, or (v) as a result of or in connection with a contested election of directors, the persons who were directors of the Company before such election shall cease to constitute a
majority of the Board (each such event in clauses (i) through (v) above is referred to herein as a “Corporate Change”), then subject to the limitations described below, all options held by an Optionee shall immediately vest and become
exercisable, and thereafter upon any exercise of an option theretofore granted the Optionee shall be entitled to purchase under such option, in lieu of the number of shares of Common Stock as to which option shall then be exercisable, the number and
class of shares of stock and securities to which the Optionee would have been entitled pursuant to the terms of the Corporate Change if, immediately prior to such Corporate Change, the Optionee had been the holder of record of the number of shares
of Common Stock as to which such option is then exercisable. Notwithstanding the foregoing, in the event of a Corporate Change, the Committee, in its discretion, shall act to effect one or more of the following alternatives with respect to
outstanding options, which may vary among individual Optionees and which may vary among options held by any individual Optionee: (1) determine a reasonable period of time on or before a specified date (before or after such Corporate Change)
after which specified date all unexercised options and all rights of Optionees thereunder shall terminate, (2) require the 

  
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 mandatory surrender to the Company by selected Optionees of some or all of the outstanding
options held by such Optionees (irrespective of whether such options are then exercisable under the provisions of the Plan) as of a date, before or after such Corporate Change, specified by the Committee, in which event the Committee shall thereupon
cancel such options and the Company shall pay to each Optionee an amount of cash per share equal to the excess, if any, of the fair market value of the shares subject to such option over the exercise price(s) under such options for such shares, or
(3) provide that thereafter upon any exercise of an option theretofore granted, the Optionee shall be entitled to purchase under such option, in lieu of the number of shares of Common Stock then covered by such option, the number and class of
shares of stock or other securities or property (including, without limitation, cash) to which the Optionee would have been entitled pursuant to the terms of an agreement of merger, consolidation or sale of assets and dissolution if, immediately
prior to such merger, consolidation or sale of assets and dissolution, the Optionee had been the holder of record of the number of shares of Common Stock then covered by such option. Written notice of the date of such Corporate Change and such
action by the Committee shall be given to Optionee at least 20 days and not more than 90 days prior to the date of the Corporate Change; provided that, in the case of (iii) or (v) above, if the Company does not have knowledge of the proposed
Corporate change at least 20 days prior to the effective date of the Corporate Change, it shall provide notice of such change as soon as practical. The provisions contained in this section shall not terminate any rights of the Optionee to further
payments pursuant to any other agreement with the Company following a Corporate Change. 
 (k) Changes in Company’s
Capital Structure. If the outstanding shares of Common Stock or other securities of the Company, or both, for which the option is then exercisable shall at any time be changed or exchanged by declaration of a stock dividend, stock split,
combination of shares, recapitalization, or reorganization, the number and kind of shares of Common Stock or other securities which are subject to the Plan or subject to any options theretofore granted, and the option prices, shall be appropriately
and equitably adjusted so as to maintain the proportionate number of shares or other securities without changing the aggregate option price. 

(l) No Adjustment. Except as hereinbefore expressly provided, (i) the issuance by the Company of shares of stock or
any class of securities convertible into shares of stock of any class, for cash, property, labor or services, upon direct sale, upon the exercise of rights or warrants to subscribe therefor, or upon conversion of shares or obligations of the Company
convertible into such shares or other securities, (ii) the payment of a dividend in property other than Common Stock or (iii) the occurrence of any similar transaction, and in any case whether or not for fair value, shall not affect, and
no adjustment by reason thereof shall be made with respect to, the number of shares of Common Stock subject to options theretofore granted or the purchase price per share, unless the Committee shall determine, in its sole discretion, than an
adjustment is necessary to provide equitable treatment to Optionee. 

  
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 (m) Acceleration of Options. Notwithstanding anything to the contrary
contained in this Plan, the Committee may, in its sole discretion, accelerate the time at which any option may be exercised, including, but not limited to, upon the occurrence of the events specified in this Section 6. 

(n) Restrictions During First Three Years of Plan. Notwithstanding the other terms of the Plan, during the three-year
period following adoption of the Plan, (a) options granted under the Plan shall vest over at least a three-year term in approximately equal amounts each year, (b) the vesting of options may not be accelerated without approval of the
Company’s primary regulator and (c) options may be exercised only by the payment of cash consideration. 
 SECTION 7.
Amendments or Termination. The Board may amend, alter or discontinue the Plan, but no amendment or alteration shall be made which would impair the rights of any Optionee, without his consent, under any option
theretofore granted, or which, without the approval of the stockholders, would: (i) except as is provided in Section 6(k) of the Plan, increase the total number of shares reserved for the purposes of the Plan, (ii) change the class of
persons eligible to participate in the Plan as provided in Section 4 of the Plan, (iii) extend the applicable maximum option period provided for in Section 6(a) of the Plan, (iv) extend the expiration date of this Plan set forth in
Section 14 of the Plan, (v) except as provided in Section 6(k) of the Plan, decrease to any extent the option price of any option granted under the Plan or (vi) withdraw the administration of the Plan from the Committee. Further,
no amendment shall be made without approval of the stockholders if such approval is required to comply with Rule 16b-3, any rule promulgated by the exchange on which Common Stock is tradeable, or any
applicable provision of the Code or any successor provisions. 
 SECTION 8. Compliance With Other Laws and
Regulations. The Plan, the grant and exercise of options thereunder, and the obligation of the Company to sell and deliver shares under such options, shall be subject to all applicable federal and state laws, rules and
regulations and to such approvals by any governmental or regulatory agency as may be required. The Company shall not be required to issue or deliver any certificates for shares of Common Stock prior to the completion of any registration or
qualification of such shares under any federal or state law or issuance of any ruling or regulation of any government body which the Company shall, in its sole discretion, determine to be necessary or advisable. Any adjustments provided for in
Sections 6(j), 6(k) and 6(l) shall be subject to any shareholder action required by Texas or federal law. 
 SECTION 9.
Purchase for Investment. Unless the options and shares of Common Stock covered by this Plan have been registered under the Securities Act of 1933, as amended, or the Company has determined that such registration is
unnecessary, each person exercising an option under this Plan may be required by the Company to give a representation in writing that he or she is acquiring such shares for his own account for investment and not with a view to, or for sale in
connection with, the distribution of any part thereof. 
 SECTION 10. Taxes. 

(a) The Company may make such provisions as it may deem appropriate for the withholding of any taxes which it determines is
required in connection with any options granted under this Plan. 

  
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 (b) Notwithstanding the terms of Section 10(a), any Optionee may pay
all or any portion of the taxes required to be withheld by the Company or paid by him or her in connection with the exercise of a Nonqualified Option by electing to have the Company withhold shares of Common Stock, or by delivering previously owned
shares of Common Stock, having a fair market value, determined in accordance with Section 6(b), equal to the amount required to be withheld or paid; provided, however, that, if the Optionee is subject to Section 16 of the Exchange Act,
such tax withholding or delivery right must be specifically pre-approved by the Committee as a feature of the option or otherwise approved in accordance with Rule 16b-3.
An Optionee must make the foregoing election on or before the date that the amount of tax to be withheld is determined. All such elections are irrevocable and subject to disapproval by the Committee. 

SECTION 11. Replacement of Options. The Committee from time to time may permit an Optionee under the Plan
to surrender for cancellation any unexercised outstanding option and receive from the Company in exchange an option for such number of shares of Common Stock as may be designated by the Committee. The Committee may, with the consent of the person
entitled to exercise any outstanding option, amend such option. 
 SECTION 12. No Right to Company Employment or
Service. Optionees shall be considered to be in the employment of the Company or its Affiliates or in service on the Board or as a service provider so long as they remain employees, directors, advisory directors or other
service providers of the Company or its Affiliates. Any questions as to whether and when there has been a termination of such employment or service and the cause of such termination shall be determined by the Committee, and its determination shall
be final. Nothing contained herein or as a result of any option granted pursuant to this Plan shall be construed as conferring upon the Optionee the right to continue in the employ or service of the Company or its Affiliates, nor shall anything
contained herein be construed or interpreted to limit the “employment at will” relationship between the Optionee and the Company or its Affiliates. The option agreements may contain such provisions as the Committee may approve with
reference to the effect of approved leaves of absence. 
 SECTION 13. Liability of Company. The Company and any
Affiliate which is in existence or hereafter comes into existence shall not be liable to an Optionee or other persons as to: 

(a) Non-Issuance of Shares. The
non-issuance or sale of shares as to which the Company has been unable to obtain from any regulatory body having jurisdiction the authority deemed by the Company’s counsel to be necessary to the lawful
issuance and sale of any shares hereunder; and 
 (b) Tax Consequences. Any tax consequence expected, but not
realized, by any Optionee or other person due to the exercise of any option granted hereunder. 
 SECTION 14. Effectiveness and
Expiration of Plan. The Plan shall be effective on the date the Board adopts the Plan. If the stockholders of the Company fail to approve the Plan within twelve months of the date the Board adopts the Plan, the Plan shall
terminate and all options previously granted under the Plan shall become void and of no effect. The Plan shall expire ten years after the date the Board adopts the Plan and thereafter no option shall be granted pursuant to the Plan. 

  
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 SECTION 15. Exercise or Forfeit. Pursuant to a directive of the
Federal Deposit Insurance Corporation (“FDIC”), all options shall be subject to the conditions provided in this paragraph. If the Company’s capital falls below the minimum requirements contained in 12 C.F.R. Part 325, or falls below a
higher requirement as determined by the FDIC in connection with a cease and desist order, consent order, formal written agreement or Prompt Corrective Action directive, the FDIC may direct the Company to require the Optionee to exercise or forfeit
his or her rights pursuant to the option. The Company will notify the Optionee within 45 days from the date the FDIC notifies the Company in writing that the Optionee must exercise or forfeit his or her rights pursuant to the option. The Company
will cancel the option if it is not exercised within 21 days of the Company’s notification. The Company has agreed to comply with any FDIC request that the Company invoke its right to require the Optionee to exercise or forfeit its rights
pursuant to the option under the circumstances stated herein. 
 SECTION 16. Non-Exclusivity of the Plan.
Neither the adoption by the Board nor the submission of the Plan to the stockholders of the Company for approval shall be construed as creating any limitations on the power of the Board to adopt such other incentive arrangements as it may deem
desirable, including without limitation, the granting of restricted stock or stock options otherwise than under the Plan, and such arrangements may be either generally applicable or applicable only in specific cases. 

SECTION 17. Governing Law. This Plan and any agreements hereunder shall be interpreted and construed in accordance
with the laws of the State of Texas and applicable federal law. 

  
 10EX-10.2

 Exhibit 10.2 

THIRD COAST BANCSHARES, INC. 

2017 DIRECTOR STOCK OPTION PLAN 

(As Amended and Restated Effective January 1, 2021) 

1.    PURPOSE; BACKGROUND. 

The purpose of this Plan is to secure for Third Coast Bancshares, Inc., a Texas corporation (the “Company”), and its
shareholders the benefits of the incentive inherent in increased common stock ownership by members of the Company’s Board of Directors (the “Board”). The Plan was originally adopted by the Board on December 21,
2017, and titled the “Third Coast Bancshares, Inc. 2017 Non-Employee Director Stock Option Plan.” 

2.    DEFINITIONS. 

As used in the Plan, the definitions contained in this Section 2 shall apply to the capitalized terms indicated
below: 
 (a)    “Affiliate” means any parent corporation or subsidiary corporation of the
Company, whether now or hereafter existing, as those terms are defined in Sections 424(e) and (f), respectively, of the Code. 

(b)    “Award Agreement” means a written agreement between the Company and a Director evidencing
the terms and conditions of an individual Option grant. Each Award Agreement shall be subject to the terms and conditions of the Plan. 

(c)    “Board” means the Board of Directors of the Company. 

(d)    “Change in Control” means the occurrence of any of the following events after the Effective
Date: 
 (i)    Any “person” (as such term is used in Sections 13(d) and 14(d) of the Exchange Act) becomes the
“beneficial owner” (as defined in Rule 13d-3 of the Exchange Act), directly or indirectly, of securities of the Company representing 50% or more of the total voting power represented by the
Company’s then outstanding voting securities, except that the following shall be deemed not to be a Change in Control: (A) any change in the beneficial ownership of the securities of the Company as a result of a transaction or series of
related transactions undertaken primarily for capital-raising purposes and that is approved by the Board; or (B) a transaction the sole purpose of which is to (y) change the state of the Company’s incorporation, or (z) create a
holding company that shall be owned in substantially the same proportions by the persons who held the Company’s securities immediately before such transaction; or 

(ii)    The consummation of the sale or disposition by the Company of all or substantially all of the Company’s
assets; or 
 (iii)    The consummation of a merger or consolidation of the Company with any other corporation, other
than a merger or consolidation that 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 its parent) at least 50% of the total voting power represented by the voting securities of the Company or such surviving entity or its parent outstanding immediately after such merger or consolidation. 

 Notwithstanding the foregoing, a Change in Control shall not be deemed to have occurred unless such event
also constitutes a “change in the ownership of a corporation,” “change in the effective control of a corporation,” or a “change in the ownership of a substantial portion of a corporation’s assets” within the
meaning of Section 409A as applied to the Company. 
 (e)    “Code” means the Internal
Revenue Code of 1986, as amended. 
 (f)    “Common Stock” means the common stock of the
Company, $1.00 par value per share. 
 (g)    “Continuous Service” means that the
Director’s service with the Company or an Affiliate is not interrupted or terminated. A Director’s Continuous Service shall not be deemed to have terminated merely because of a change in the capacity in which the Director renders service
to the Company or an Affiliate as an employee, consultant, or Director, or a change in the entity for which the Director renders such service, provided that there is no interruption or termination of the Director’s service. For example, a
change in status from a non-employee Director of the Company to an employee of an Affiliate will not constitute an interruption of Continuous Service. The Board, in its sole discretion, may determine whether
Continuous Service shall be considered interrupted in the case of any leave of absence approved by the Board, including sick leave, military leave or any other personal leave. Notwithstanding the foregoing, a Director’s Continuous Service shall
be deemed to have terminated upon his or her “separation from service” within the meaning of Section 409A. 

(h)    “Director” means a member of the Board. 

(i)    “Disability” mean a Director’s permanent and total disability as determined under
procedures established by the Company for purposes of the Plan. 
 (j)    “Exchange Act” means
the Securities Exchange Act of 1934, as amended. 
 (k)    “Fair Market Value” means, as of any
specified date: (i) if the Common Stock is listed on a national securities exchange, the closing sales price of the Common Stock, as reported on the stock exchange composite tape on that date (or if no sales occur on such date, on the last
preceding date on which such sales of the Common Stock are so reported); (ii) if the Common Stock is not traded on a national securities exchange but is traded over the counter on such date, the average between the reported high and low bid and
asked prices of Common Stock on the most recent date on which Common Stock was publicly traded on or preceding the specified date; or (iii) if the Common Stock is not publicly traded at the time a determination of its value is required to be
made under the Plan, the amount determined by the Board in its discretion in such manner as it deems appropriate, taking into account all factors the Board deems appropriate, including the factors prescribed under Section 409A. 

(l)    “Listing Date” means the first date upon which any security of the Company is listed (or
approved for listing) upon notice of issuance on any securities exchange or designated (or approved for designation) upon notice of issuance as a national market security on an interdealer quotation system. 

(m)    “Option” means an option granted pursuant to the Plan to acquire shares of Common Stock.
All Options shall be nonstatutory stock options within the meaning of Section 421 of the Code. 

(n)    “Plan” means this Third Coast Bancshares, Inc. 2017 Director Stock Option Plan (as amended
and restated effective as of January 1, 2021). 

  
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(o)    “Section 409A” means Section 409A of the Code and
Department of Treasury regulations and other interpretive guidance issued thereunder, including without limitation any such regulations or other guidance that may be issued or amended after the Effective Date. 

(p)    “Securities Act” means the Securities Act of 1933, as amended. 

3.    ELIGIBILITY. Each Director shall be eligible to receive awards of Options hereunder.

 4.    ADMINISTRATION. The Plan shall be administered by the Board which shall have
the authority to:  
 (a)    Construe and interpret the Plan, prescribe, amend and rescind rules relating to the
Plan’s administration and take any other actions necessary or desirable for the administration of the Plan; 

(b)    Correct any defect or supply any omission or reconcile any inconsistency or ambiguity in the Plan; 

(c)    Determine from time to time (i) which of the Directors eligible under the Plan shall be granted Options;
(ii) when and how each Option shall be granted; (iii) what type Option shall be granted; (iv) the provisions of each Option granted (which need not be identical), including the time or times when a person shall be permitted to
exercise such Option; and (v) the number of shares of Common Stock with respect to which an Option shall be granted to each such Director; 

(d)    Settle all controversies regarding the Plan or any Award Agreement, or any Option granted thereunder; 

(e)    Accelerate the time at which an Option may first be exercised or the time during which any Option or any shares of
Common Stock issued upon exercise of an Option will vest in accordance with the Plan; 
 (f)    Suspend or terminate the
Plan at any time; 
 (g)    Amend the Plan in any respect the Board deems necessary or advisable, as provided in
Section 10; 
 (h)    Approve forms of Award Agreements for use under the Plan and to amend
the terms of any one or more Options or Award Agreements in any respect the Board deems necessary or advisable, as provided in Section 10; 

(i)    Effect, at any time and from time to time, with the consent of any adversely affected Director, (i) the
reduction of the exercise price of any outstanding Option under the Plan, (ii) the cancellation of any outstanding Option under the Plan and the grant in substitution thereof of (A) a new Option under the Plan (or another equity plan of
the Company) covering the same or a different number of shares of Common Stock, (B) cash and/or (C) any other valuable consideration (as determined by the Board in its sole discretion) or (D) any other action that is treated as a
repricing under generally accepted accounting principles; 
 (j)    Exercise such powers and to perform such acts as the
Board deems necessary or expedient to promote the best interests of the Company and that are not in conflict with the provisions of the Plan or any Options. 

  
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 (k)    All determinations, interpretations and constructions of the Plan
made by the Board in good faith shall not be subject to review by any person and shall be final, binding and conclusive on all persons. No Director shall be liable for anything done or omitted to be done by such Director or by any other Director in
connection with the Plan, except for such Director’s own willful misconduct or as expressly provided by statute. Notwithstanding anything in this Section 4 to the contrary, no Director shall participate in the
Board’s decision of any question relating exclusively to an Option granted to that Director. 

5.    SHARES SUBJECT TO THE PLAN.

 (a)    Limitation on Aggregate Number of Shares Issued Pursuant to the Plan. Subject to the provisions of
Section 9(a) relating to capitalization adjustments, the aggregate number of shares of Common Stock that may be issued pursuant to Options shall not exceed 187,000 shares. For clarity, the foregoing limitation does
not limit the number of shares of Common Stock that may be subject to Options that are granted pursuant to the Plan, but only the number of shares of Common Stock actually issued pursuant thereto. 

(b)    Reversion of Shares. If any (i) Option shall for any reason expire or otherwise terminate, in whole or
in part, without having been exercised in full, or (ii) shares of Common Stock issuable upon the exercise of an Option are not delivered to a Director because such shares are withheld for the payment of all or any portion of the aggregate
exercise price therefor (i.e., “net exercised”), then the shares of Common Stock issuable but not issued and delivered under such Option shall remain available for issuance under the Plan and such expiration, termination, cancellation,
settlement, withholding, forfeiture or repurchase shall not reduce (or otherwise offset) the number of shares of Common Stock that may be issued pursuant to the Plan. If the exercise price of any Option is satisfied by tendering shares of Common
Stock held by the Director (either by actual delivery or attestation), then the number of shares so tendered shall be treated as having been withheld from the number of shares issuable upon the exercise of the Option pursuant to clause (ii) of
the preceding sentence and the number of shares deemed to have been so withheld shall remain available for issuance under the Plan and such withholding shall not reduce (or otherwise offset) the number of shares of Common Stock that may be issued
pursuant to the Plan. If any shares of Common Stock delivered to a Director upon the exercise of an Option shall for any reason be repurchased by the Company under a repurchase option provided under the Plan or any Award Agreement, the shares of
Common Stock repurchased by the Company under such repurchase option shall not revert to or otherwise become available for issuance again under the Plan. 

(c)    Source of Shares. The stock issuable under the Plan shall be shares of authorized but unissued Common Stock,
or reacquired Common Stock (including shares repurchased by the Company on the open market or otherwise). 

6.    OPTION PROVISIONS. 

Each Option and Award Agreement shall be in such form and shall contain such terms and conditions as the Board shall deem appropriate. The
provisions of separate Options need not be identical, but each Award Agreement shall comply with or include (through incorporation of provisions hereof by reference in the Award Agreement or otherwise) the substance of each of the following
provisions: 
 (a)    Term. No Option shall be exercisable after the expiration of ten (10) years from the
date it was granted. 
 (b)    Exercise Price. The exercise price of each Option shall be not less than one
hundred percent (100%) of the Fair Market Value on the date the Option is granted. Notwithstanding the 

  
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foregoing, an Option may be granted with an exercise price lower than one hundred percent (100%) of the Fair Market Value if such Option is granted pursuant to an assumption or substitution for
another option in a manner consistent with the provisions of Section 424(a) of the Code. 

(c)    Consideration. The purchase price of Common Stock acquired pursuant to the exercise of an Option shall be
paid to the Company in cash (including by wire transfer of immediately available funds or by check, bank draft or money order payable to the Company) or, to the extent permitted by applicable law and as determined by the Board in its sole
discretion, by any of the alternative methods of payment set forth below, or any combination of the foregoing. The Board shall have the authority to grant Options that do not permit any or all of the following alternative methods of payment (or
otherwise restrict the ability to use certain methods) and to grant Options that require the consent of the Company to utilize a particular method of payment. The alternative methods of payment permitted by this
Section 6(c) are: 
 (i)    by delivery to the Company (either by actual delivery or
attestation) of shares of Common Stock; 
 (ii)    by a “net exercise” arrangement pursuant to which the
Company will reduce the number of shares of Common Stock issuable upon exercise of the Option by the largest whole number of shares with a Fair Market Value that does not exceed the aggregate exercise price; provided, however, that the
Company shall accept a cash or other payment from the Director to the extent of any remaining balance of the aggregate exercise price not satisfied by such reduction in the number of whole shares to be issued; and provided, further,
that shares of Common Stock will no longer be subject to an Option and will not be exercisable thereafter to the extent that (A) shares issuable upon exercise are reduced to pay the exercise price pursuant to the “net exercise,”
and/or (B) shares are delivered to the Director as a result of such exercise; or 
 (iii)    in any other form of
legal consideration that may be acceptable to the Board in its sole discretion and permissible under applicable law. 

(d)    Transferability of Options. The Board may, in its sole discretion, impose such limitations on the
transferability of Options as the Board shall determine. In the absence of such a determination by the Board to the contrary, the following restrictions on the transferability shall apply to each Option: 

(i)    Transfers During Lifetime. During the lifetime of the Director, an Option shall not be transferable and shall
be exercisable by only the Director; provided, however, that the Board may, in its sole discretion, permit transfer of the Option in a manner that is not prohibited by applicable tax and/or securities laws upon the Director’s
request. Notwithstanding the foregoing, an Option may be transferred pursuant to a domestic relations order. 

(ii)    Transfers Upon Death. The Director may, by delivering written notice to the Company (in a form provided by
or otherwise satisfactory to the Company), designate a third party who, in the event of the death of the Director, shall thereafter have the sole right to exercise an Option and receive the Common Stock or other consideration resulting from the
exercise thereof. In the absence of such a designation, the Option shall be transferable upon the Director’s death only by will or by the laws of descent and distribution. 

(e)    Vesting. The total number of shares of Common Stock subject to an Option may vest and therefore become
exercisable in periodic installments that may or may not be equal. The Option may be subject to such other terms and conditions on the time or times when it may or may not be exercised 

  
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(which may be based on performance or other criteria) as the Board may deem appropriate. The vesting provisions of individual Options may vary. 

(f)    Exercisability and Termination. 

(i)    Termination of Continuous Service. If a Director’s Continuous Service terminates (other than due to the
Director’s death or Disability), the Director may exercise his or her Option (to the extent that the Director was entitled to exercise such Option as of the date of such termination of Continuous Service) but only within such period of time
ending on the earlier of (A) the date three (3) months following such termination (or such longer or shorter period specified in the Award Agreement), or (B) the expiration of the term of the Option as set forth in the Award
Agreement. If, after such termination of Continuous Service, the Director does not exercise his or her Option within the time specified in the Award Agreement, the Option shall terminate. 

(ii)    Disability of Director. In the event that a Director’s Continuous Service terminates as a result of
the Director’s Disability, the Director may exercise his or her Option (to the extent that the Director was entitled to exercise such Option as of the date of such termination of Continuous Service), but only within such period of time ending
on the earlier of (A) the date twelve (12) months following such termination of Continuous Service (or such longer or shorter period specified in the Award Agreement) or (B) the expiration of the term of the Option as set forth in the
Award Agreement. If, after such termination of Continuous Service, the Director does not exercise his or her Option within the time specified herein, the Option shall terminate. 

(iii)    Death of Director. In the event that (A) a Director’s Continuous Service terminates as a result
of the Director’s death or (B) the Director dies within the period (if any) specified in the Award Agreement after the termination of the Director’s Continuous Service for a reason other than death, then the Option may be exercised
(to the extent the Director was entitled to exercise such Option as of the date of death) by the Director’s estate, by a person who acquired the right to exercise the Option by bequest or inheritance or, if applicable, by a person designated to
exercise the option upon the Director’s death pursuant to Section 6(d)(ii), but only within the period ending on the earlier of (1) the date twelve (12) months following the date of death (or such longer or
shorter period specified in the Award Agreement, that, for Options granted prior to the Listing Date, shall not be less than six (6) months) or (2) the expiration of the term of such Option as set forth in the Award Agreement. If, after
the Director’s death, the Option is not exercised within the time specified herein, the Option shall terminate. 

(g)    Restrictions on Transfer of Shares. Any shares issued upon exercise of an Option shall be subject to such
special forfeiture conditions, rights of repurchase, rights of first refusal, bring-along rights and other transfer restrictions as the Board may determine. Such restrictions shall be set forth in the applicable Award Agreement and shall apply in
addition to any restrictions that may apply to holders of shares of Common Stock generally. 
 (h)    Restricted
Securities. Prior to a Listing Date, the Common Stock to be issued under this Plan, which may be issued in reliance on the exemption from registration set forth in Rule 701, shall be deemed to be “restricted securities” as defined in
Rule 144, promulgated by the Securities and Exchange Commission under the Securities Act as from time to time in effect and applicable to the Plan and Directors. Resales of such Common Stock by the holder thereof shall be in compliance with the
Securities Act or an exemption therefrom. Such Stock may bear a legend if determined necessary by the Board in substantially the following form: 

“THE SHARES OF STOCK REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE 

  
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SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS. THE SHARES MAY NOT BE OFFERED FOR SALE, SOLD, PLEDGED, TRANSFERRED, OR OTHERWISE DISPOSED OF UNTIL THE HOLDER HEREOF PROVIDES
EVIDENCE SATISFACTORY TO THIRD COAST BANCSHARES, INC. (WHICH, IN THE DISCRETION OF THIRD COAST BANCSHARES, INC. MAY INCLUDE AN OPINION OF COUNSEL SATISFACTORY TO THIRD COAST BANCSHARES, INC.) THAT SUCH OFFER, SALE, PLEDGE, TRANSFER, OR OTHER
DISPOSITION WILL NOT VIOLATE APPLICABLE FEDERAL OR STATE LAWS.” 
 7.    COVENANTS OF
THE COMPANY. 
 (a)    Availability of Shares. While any Options
are outstanding under the Plan, the Company shall keep available and reserve for issuance upon the exercise of such Options such aggregate number of shares of Common Stock that would be issuable upon the exercise in full of all such Options. 

(b)    Securities Law Compliance. The Company shall seek to obtain from each regulatory commission or agency having
jurisdiction over the Plan such authority as may be required to grant Options and to issue and sell shares of Common Stock pursuant to such Options (including upon the exercise of Options); provided, however, that this undertaking
shall not require the Company to register, under the Securities Act or any state securities laws, the Plan, any Option or any Common Stock issued or issuable pursuant to any Options. If, after reasonable efforts, the Company is unable to obtain from
any such regulatory commission or agency the authority that counsel for the Company deems necessary for the lawful grant of such Options and the lawful issuance and sale of shares of Common Stock pursuant to such Options (including upon the exercise
of Options), the Company shall be relieved from any liability for failure to grant such Options or to issue and sell such shares of Common Stock unless and until such authority is obtained. 

8.    MISCELLANEOUS. 

(a)    Use of Proceeds from Options. Proceeds from the issuance and sale of Common Stock pursuant to Options shall
constitute general funds of the Company. 
 (b)    Shareholder Rights. No Director shall be deemed to be the
holder of, or to have any of the rights of a holder with respect to, any shares subject to an Option unless and until such Director has duly exercised such Option pursuant to its terms and the Company has duly and validly issued to the Director the
shares of Common Stock issuable upon such exercise. 
 (c)    No Service Rights. Neither the Plan nor any Options
awarded hereunder confer on any Director the right to continue to serve as a member of the Board or in any other capacity. 

(d)    Investment Assurances. The Company may require a Director, as a condition of being granted any Option or
exercising any Option, to give written assurances satisfactory to the Company that the Director is acquiring the Option and the Common Stock issued or issuable pursuant thereto for the Director’s own account and not with any present intention
of selling or otherwise distributing the Option or any such Common Stock. The foregoing requirement, and any assurances given pursuant to such requirement, shall be inoperative (A) if the issuance of Common Stock upon the grant of an Option or
the exercise of an Option has been registered under a then currently effective registration statement under the Securities Act or (B) as to any particular requirement, to the extent that a determination is made by

  
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counsel to the Company that such requirement need not be met in the circumstances under the securities laws then applicable. The Company may, upon advice of counsel to the Company, place legends
on stock certificates issued under any Option as such counsel may deem necessary or appropriate in order to comply with applicable securities laws, including, but not limited to, legends restricting the transfer of the stock represented thereby.

 (e)    Evidencing Common Stock. The Common Stock or other securities of the Company delivered pursuant the
exercise of an Option may be evidenced in any manner deemed appropriate by the Board in its sole discretion, including, but not limited to, in the form of a certificate issued in the name of Director or by book entry, electronic or otherwise and
shall be subject to such stop transfer orders and other restrictions as the Board may deem advisable under the Plan or the rules, regulations, and other requirements of the Securities and Exchange Commission, any stock exchange upon which such
Common Stock or other securities are then listed, and any applicable federal, state or other laws, and the Board may cause a legend or legends to be inscribed on any such certificates to make appropriate reference to such restrictions. 

(f)    Withholding Obligations. To the extent required by applicable Federal, state or local law, a Director must
make arrangements satisfactory to the Company for the payment of any withholding or similar tax obligations that arise in connection with the Plan. The Company or any Affiliate, as appropriate, shall have the authority and the right to deduct or
withhold, or require a Director to remit to the Company, an amount sufficient to satisfy U.S. federal, state, and local taxes (including income tax, social insurance contributions, payment on account and any other taxes that may be due) that the
Company or an Affiliate determines are required to be withheld with respect to any taxable event concerning a Director arising as a result of this Plan or to take such other action as may be necessary in the opinion of the Company or Affiliate, as
appropriate, to satisfy withholding obligations for the payment of taxes. The Board may in its discretion and in satisfaction of the foregoing requirement direct the Company to withhold, or allow a Director to elect to have the Company withhold,
shares of Common Stock otherwise issuable under an Award (or allow the return of shares of Common Stock) having a Fair Market Value equal to the sums required to be withheld; the number of shares of Common Stock so withheld may be determined using
rates of up to, but not exceeding, the maximum federal, state, and/or tax rates applicable in a particular jurisdiction on the date that the amount of tax to be withheld is to be determined. 

(g)    Relationship to other Benefits. No shares of Common Stock issued to a Director pursuant to the Plan shall be
taken into account in determining any benefits pursuant to any pension, retirement, savings, profit sharing, group insurance, termination programs and/or indemnities or severance payments, welfare or other benefit plan of the Company or any
Affiliate except to the extent otherwise expressly provided in writing in such other plan or an agreement thereunder. 

(h)    Unfunded Status of Awards. The Plan is intended to be an “unfunded” plan for incentive
compensation. With respect to any payments not yet made to a Director pursuant to an Award, nothing contained in the Plan or any Award Agreement shall give the Director any rights that are greater than those of a general creditor of the Company or
an Affiliate. 
 9.    ADJUSTMENTS UPON CHANGES IN
COMMON STOCK; CHANGE IN CONTROL. 

(a)    Capitalization Adjustments. If any change is made in the Common Stock without the receipt of consideration
by the Company (through merger, consolidation, reorganization, recapitalization, reincorporation, stock dividend, dividend in property other than cash, stock split, liquidating dividend, combination of shares, exchange of shares, change in corporate
structure or other transaction not involving the receipt of consideration by the Company), (i) the Plan will be appropriately adjusted in the 

  
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class(es) and maximum number of securities subject to the Plan pursuant to Section 4(a) and (ii) the outstanding Options will be appropriately adjusted in the
class(es) and number of securities and the exercise price per share of stock subject to such Options. The Board, the determination of which shall be final, binding and conclusive, shall make such adjustments. If, as a result of any such adjustment,
one or more classes of stock other than Common Stock are issuable pursuant to Options, then each reference in the Plan to “Common Stock” shall also be deemed to refer to such other classes of stock. 

(b)    Dissolution or Liquidation. In the event of a dissolution or liquidation of the Company, all outstanding
Options (whether or not then vested) shall be terminated if not exercised prior to such event. 
 (c)    Change in
Control. In connection with any Change in Control, the surviving corporation or acquiring corporation may assume any Options outstanding under the Plan or substitute similar options (including options to acquire the consideration that would have
been received by the holders of Options had they exercised their Options immediately prior to the consummation of such Change in Control transaction) for those outstanding under the Plan. If such surviving corporation or acquiring corporation does
not assume such Options or substitute similar options for those outstanding under the Plan, then (i) the vesting of Options held by Directors whose Continuous Service has not terminated prior to the effective time of the Change in Control shall
be accelerated in full and any or all of such Options may be exercised in connection with the Change in Control transaction and (ii) all Options not exercised prior to or in connection with the Change in Control transaction shall terminate. In
the event of any conflict or inconsistency between the provisions of this Section 9(c) and the provisions of any Award Agreement, the provisions of such Award Agreement shall control and govern with respect to the Options
granted thereunder and the Common Stock issued or issuable pursuant thereto. 
 10.    AMENDMENT
OF THE PLAN AND OPTIONS. 

(a)    Amendment of Plan. The Board at any time, and from time to time, may amend the Plan subject to the
limitations, if any, of applicable law. Except as provided above, no Director’s rights under any Option granted before any amendment of the Plan may be impaired by any such amendment unless the Company obtains the consent of the affected
Director to such amendment. 
 (b)    Shareholder Approval. Except as provided in
Section 9(a) relating to capitalization adjustments, no amendment shall be effective unless approved by the shareholders of the Company to the extent shareholder approval is necessary to satisfy the requirements of any
applicable law or any Nasdaq or securities exchange listing requirement. 
 (c)    Amendment of Options. The
Board at any time, and from time to time, may amend the terms of any one or more Options (or the Award Agreements relating thereto), including without limitation to amendments to provide terms more favorable to the applicable Director than
previously provided in the Award Agreement, subject to any specified limitations in the Plan that are not subject to Board discretion; provided, however, that no Director’s rights under any Option may be impaired by any such
amendment unless (i) the Company requests the consent of the affected Director to such amendment and (ii) such Director consents thereto in writing. 

11.    TERMINATION OR SUSPENSION OF THE
PLAN. 
 (a)    Plan Term. The Plan shall be of unlimited duration;
provided, however, that the Board may suspend or terminate the Plan at any time. No Options may be granted under the Plan while the Plan is suspended or after it is terminated. 

  
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 (b)    No Impairment of Rights. Suspension or termination of the
Plan shall not impair rights and obligations under any Option granted while the Plan is in effect except with the written consent of the affected Director. 

12.    EFFECTIVE DATE OF PLAN. 

The Plan shall become effective on January 1, 2021. 

13.    COMPLIANCE WITH
SECTION 409A.  
 To the extent that the Board determines that any Option
granted under the Plan is subject to Section 409A, the Award Agreement evidencing such Option shall incorporate the terms and conditions necessary to avoid the consequences described in Section 409A(a)(1) of the Code. To the extent
applicable, the Plan and all Award Agreements shall be interpreted in accordance with Section 409A. Notwithstanding any provision of the Plan to the contrary, in the event that the Board determines that any Option may be subject to
Section 409A, the Board may adopt such amendments to the Plan and the applicable Award Agreement or adopt other policies and procedures (including amendments, policies and procedures with retroactive effect), or take any other actions, that the
Board determines are necessary or appropriate to (a) exempt the Option from Section 409A and/or preserve the intended tax treatment of the benefits provided with respect to the Option or (b) comply with the requirements of
Section 409A. 
 14.    CHOICE OF LAW. 

The law of the State of Texas shall govern all questions concerning the construction, validity and interpretation of the Plan, without regard
to such state’s conflict of laws rules. 

  
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