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Exhibit 10.3    
  

 
 

AMENDED AND RESTATED REAL ESTATE AGREEMENT    
  

        AMENDED AND RESTATED REAL ESTATE AGREEMENT, dated as of October 1, 2001 between ACCPAC INTERNATIONAL, INC., a Delaware corporation (the "Company"),
and COMPUTER ASSOCIATES INTERNATIONAL, INC., a Delaware corporation ("Computer Associates"). 

 
 

RECITALS    
  

        WHEREAS, the Company was incorporated in Delaware in October 1997 and became a subsidiary of Computer Associates effective January 1998; 

        WHEREAS,
some of the Company's operations have been and continue to be conducted at facilities owned or leased by Computer Associates or its subsidiaries; 

        WHEREAS,
the parties previously entered into a Real Estate Agreement dated as of April 1, 1998 (the "Prior Agreement") to set forth their agreements regarding the continued use by
the Company and Computer Associates of certain facilities of the Company; 

        WHEREAS,
the parties desire to amend and restate the Prior Agreement as provided herein to set forth their agreements regarding the continued use by the Company and Computer Associates
of certain facilities of the Company; 

        NOW,
THEREFORE, the parties hereto agree that the Prior Agreement shall be amended and restated in its entirety as set forth herein, and the parties hereto further agree as follows: 

1.    DEFINITIONS.    The following terms shall have the following meanings when used herein: 

        (A)  "Ancillary
Facilities" means the premises each leased, subleased or assigned from a third party, or owned, by Computer Associates or a subsidiary thereof and located,
respectively, at the addresses set forth on Exhibit B hereto and charged on a "per person" basis. Additional Ancillary Facilities may be added
from time to time if an employee of the Company is located at a facility leased, subleased, assigned or owned by Computer Associates. A facility will cease to become an Ancillary Facility after the
Company has sent prior written notice to Computer Associates that no Company employees are located at a given facility or upon receipt of a notice from Computer Associates as set forth herein. 

        (B)  "Real
Estate Expenses" means the Company's share of any expenses billed in accordance with the leases or other agreements relating to the Demised Premises (as
hereinafter defined). Said expenses include, but are not limited to, rent, additional rent, parking charges, utility charges and other fees and payments due under the underlying agreements. The
Company shall further reimburse CA for any special charges incurred as a result of its occupancy including, but not limited to, overtime expenses. Such charges shall not include offsetting income due
to any sublet or other agreement unless expressly relating to the Demised Premises. Where Computer Associates owns a property, the payments will be based on market rentals and terms as determined at
Computer Associates' sole discretion. 

        (C)  "Facility
Expenses" means those expenses (in addition to Real Estate Expenses which are separately charged) incurred in relation to the Company's use and occupancy of
the space. Said expenses include, but are not limited to, amortization of improvements and personal property associated with the Company's use of the space, telephone charges, utility expenses,
hardware and software maintenance, parking; postal, courier and similar expenses. The amortization of property shall be based on the current book value of the asset amortized at 9% from the
commencement of this agreement until the expiration date of the Lease for each property. The Company will be further 

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responsible for damage and excess wear and tear. The fixed component of said charges are identified on Exhibit A.

        (D)  "Transferred
Personal Property" Any personal property used by any employee of the Company which was not directly purchased by the Company and not previously transferred
to the Company pursuant to Section 2 of the Contribution Agreement between Computer Associates and Company dated January 1, 1998 and not charged separately as a Facility Expense. Such
property shall be transferred to the Company at a cost equal to the replacement value of said property on an "as is where is" basis. The Company will provide Computer Associates with an inventory of
the equipment used within each location denoting which property has been directly purchased by the Company. Said inventory will be supplied to Computer Associates by no later than 30 days after
the date of this agreement. 

2.    LEASES AND PREMISES    

        (A)  Computer
Associates does hereby, or will cause its affiliates to, lease, sublease or license to the Company, and the Company does hereby, or will cause the Company's
affiliates to, lease, sublease or license from Computer Associates or its affiliates, for the term and upon the conditions hereinafter provided, the rentable areas described on  Exhibit A hereto
(the "Demised Premises") and workstations for the number of people forming the
basis for charges described on Exhibit B (the "Ancillary Premises"). The Demised Premises and Ancillary Premises are collectively referred to
herein as the "Premises." The leases, subleases or licenses for the Premises are individually or collectively referred to herein as the "Leases." The
Company has examined the Premises, is aware of the physical condition therein, and accepts the Premises asis. The Company acknowledges Computer Associates is under no duty to improve the Premises or
to otherwise incur expenses in connection with the Company's tenancy of the Premises. 

        (B)  Computer
Associates and the Company agree that an additional facility shall automatically be deemed an Ancillary Premise if an employee of the Company maintains an
office at a facility leased or owned by Computer Associates or its affiliates (subject to the provisions of the Leases and upon Computer Associates' reasonable approval). 

        (C)  The
Company shall inform Computer Associates in writing of information constituting a change to the Ancillary Premises within 30 days of such change. Computer
Associates and the Company agree to negotiate in good faith to make an Ancillary Premise a Demised Premise under this Agreement once the Company has more than ten employees located at such Ancillary
Premise. 

        (D)  If
the Company requests to add a Demised Premises to this agreement, Computer Associates does hereby, or will cause the Computer Associates' affiliates to, lease,
sublease or license to the Company, and the Company does hereby, or will cause the Company's affiliates to, lease, sublease or license from Computer Associates or its affiliates, for a term and upon
the conditions similar in principle to this Agreement. Said Demised Premises will be added to Exhibit A in the form of an amendment to this
Agreement. 

        (E)  Computer
Associates' duty to sublease or license the Premises to the Company under this Section 2 is conditioned upon Computer Associates obtaining the original
landlord's consent, if required. The Company agrees to execute as soon as practicable all documents reasonably requested by the landlord or Computer Associates to effect the sublease or license;
provided, however, such documents do not affect the terms of this Agreement or the respective Leases. 

        Computer
Associates makes no representation with respect to obtaining the landlord's approval. In the event Computer Associates cannot obtain the landlord's consent, Computer Associates
shall be relieved of its duties under this Agreement with respect to such Premise. 

        (F)  Except
as expressly provided in this Agreement, the Company hereby agrees to be bound to the terms, covenants and conditions of the Leases, as amended or supplemented,
as if the Company 

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was the original lessor or licensee under the Leases; provided, however, that any such amendment or supplement does not materially and adversely affect the Company's use of the Premises. Upon written
request from the Company, Computer Associates shall provide copies of any amendments or supplements to the Leases. 

        The
Company further hereby acknowledges its possession under the Leases is subject and subordinate to the Leases, all ground or underlying leases and any mortgage now or hereafter
affecting the Leases or real property of which the Premises are a part. Such subordinations are self-operative and no further act or instrument of subordination shall be required. The
Company shall execute as soon as practicable any certificate that Computer Associates may request to confirm such subordination. 

3.    TERM    

        Subject
to and upon the covenants, agreements and conditions of Computer Associates and the Company set forth herein, or in any Exhibit hereto, and subject to the provisions of the
Leases, the term of this Agreement shall commence as of even date herewith and terminate on the last date that the leases, subleases or licenses for the Premises are effective (the  "Agreement Term"),
unless terminated earlier under Section 4 herein. 

4.    EARLY TERMINATION    

        (A)  Demised
Premises—the Company's lease, sublease or license for any of the Demised Premises shall automatically terminate for such Demised Premise upon the
earliest of (A) the date the Company is able to relocate its operations for a particular city to a new facility provided it has given Computer Associates at least three months advance written
notice or (B) the date upon which the Computer Associates' agreement for such Demised Premises terminates or (C) an event of default as provided hereinafter or (D) six months
prior written notice from either party for any reason whatsoever. 

        (B)  Ancillary
Premises—Computer Associates and the Company further agree that any of the Ancillary Premises shall automatically cease being an Ancillary Premise
upon the earliest of (A) the date upon which the Company ceases to maintain an office at a facility leased or owned by Computer Associates provided it has given Computer Associates at least one
month's advance written notice or (B) the date upon which the Computer Associates' agreement for such Ancillary Premises terminates or (C) an event of default as provided hereinafter or
(D) six months prior written notice from either party for any reason whatsoever. 

5.    USE    

        The
Company shall use and occupy the Premises solely for general office purposes in accordance with the Leases and applicable zoning regulations. The Premises shall not be used for any
other purpose without authorization granted under the Leases or the prior written consent of Computer Associates, such consent not to be unreasonably withheld, conditioned, or delayed. The Company
shall not use or occupy the Premises for any unlawful purpose, and will comply with the terms and conditions of the Leases, as well as all present and future laws, including without limitation the
Americans With Disabilities Act of 1990 ("ADA") and the regulations promulgated thereunder, ordinances, regulations, and orders of all governments, government agencies and any other public authority
concerning the use, occupancy and condition of the Premises and all machinery, equipment and furnishings therein. 

        The
Company shall not permit its employees to smoke in or about the Premises, and shall notify its employees, visitors, agents and other occupants or invitees to the Premises of same.
The Company shall, at its sole expense, provide the appropriate signage within the Premises to advise of same. 

        The
Company shall not sell alcoholic beverages or liquor of any kind on the Premises. 

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6.    PAYMENTS    

        (A)  Demised
Premises—The Company covenants and agrees to pay on quarterly basis, in advance, to Computer Associates or its affiliate, as the case may be,
(i) Real Estate Expenses in amounts set forth in the Leases and (ii) Facility Expenses for the Demised Premises (collectively, the "Demised Premises
Charges.") The Company's obligation to pay Demised Premises Charges shall begin as of even date herewith (the "Premises Charge
Commencement Date"), and shall continue to remain an obligation of the Company until the termination of such Premises as a Demised Premise as provided herein. 

        (B)  Ancillary
Premises—The quarterly payments for the Ancillary Premises as of the Premises Charge Commencement Date, which the Company hereby agrees to pay, and
Computer Associates agrees to accept, in advance on the first of each quarter during the Agreement Term shall equal $3,000 for each of the Company's employees located at the Ancillary Premises. 

        (C)  Transferred
Personal Property—The Company shall pay in full within thirty (30) days of completion of the inventory as hereinbefore provided in
Section 1 and receipt of a statement and bill of sale from Computer Associates. 

        (D)  Form
of and Address for Payments—The Company shall make all payments by check or by wired funds, payable to Computer Associates, delivered to One Computer
Associates Plaza, Islandia, New York 11749, Attention: Treasurer—Rent Collections, or to Computer Associates' affiliate, as the case may be, delivered to an address provided by such
Computer Associates' affiliate, or to such other party or to such other address as Computer Associates may designate from time to time by written notice to the Company, without demand and without
deduction, set-off or counterclaim. If Computer Associates at any time or times accepts any payment after it shall become due and payable, such acceptance shall not excuse delay upon
subsequent occasions, or constitute, or be construed as, a waiver of any or all of Computer Associates' rights hereunder. 

        (E)  Late
Payments—In the event any portion of any payment is not made prior to the next quarter as described herein and such nonpayment continues for three days,
interest shall accrue on the unpaid portion of payment at the greater of 15% per annum or the maximum rate permitted by governing law. If any portion of the payment continues unpaid for ten days, then
the Company shall pay to Computer Associates an additional amount equal to five percent of the unpaid amounts, but not less than $100, which amount will compensate Computer Associates for its
administrative expenses in collecting the unpaid amounts. Late charges or interest on unpaid amounts shall be independent obligations of the Company under this Agreement and payable upon demand. 

        (F)  Adjustments
to Initial Payments—If the Premises Charge Commencement Date, and the Company's obligation to make payments hereunder, for any of the Premises
begins on a day other than the first day of a calendar quarter, then quarterly charge from such date until the first day of the following quarter shall be prorated at the rate of
one-ninetieth (1/90th) of the quarterly charge for each day of that quarter from and including the Premises Charge Commencement Date, payable in arrears, as specified in this Section. 

7.    DEPOSIT    

        The
Company shall owe Computer Associates no security deposit under this Agreement. However, in the event Computer Associates (or Computer Associates, together with any of its
subsidiaries, affiliates, partners, ventures or related parties) fails to own at least 50% of the outstanding voting ownership interests of the Company, then the Company shall pay to Computer
Associates the amounts of deposit for each of the Demised Premises as set forth on Exhibit A and one quarter of payments due for Ancillary
Premises (collectively, the "Deposit Amounts") for so long as each of the leases, subleases or licenses for the Premises are in effect in order to secure the Company's payment and performance
obligations under the leases, subleases or licenses for the Premises. Computer Associates may use the 

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Deposit Amounts to satisfy the Company's obligations under the leases, subleases or licenses for the Premises, including any unpaid amounts. In the event Computer Associates validly applies or
retains
any of the Deposit Amounts, the Company agrees to forthwith restore such Deposit Amount within ten days. Computer Associates shall return each of the Deposit Amounts to the Company upon the
termination of the lease, sublease or license for the Premises, when it has been determined that the Company owes Computer Associates no amounts in connection with such Premise and the Company has
successfully surrendered such Premise to Computer Associates. 

8.    DEFAULT    

        A
lease, sublease or license for a Premise shall, at the option of Computer Associates, cease and terminate if (i) the Company fails to make timely payments as provided herein,
although no legal or formal demand has been made, and such-failure to pay rent continues for a period of ten business days after the Company has received written notice thereof, or
(ii) the Company violates or fails to perform any of the other conditions, covenants or agreements of the lease, sublease or license for a Premise made by the Company, and any violation or
failure to perform any of those conditions, covenants or agreements continues beyond the periods set forth in each agreement. A default beyond the specified cure periods under a lease, sublease or
license for a Premise may be a cause for default under any or each and every lease, sublease or license for a Premise at Computer Associates' sole discretion. 

9.    INDEMNIFICATION    

        Company
hereby agrees to indemnify and hold Computer Associates harmless from and against any claims resulting from damages or loss caused by Company, its employees and invitees relating
to Company's use of any facilities owned or leased by Computer Associates. In addition, Company shall be responsible for all loss, damage or excessive wear and tear relating to real and personal
property of Computer Associates. 

10.    MISCELLANEOUS    

        (A)  Computer
Associates' failure to enforce or notify the Company-of any of the Company's violations of this Agreement or the Leases, or the rules and
regulations set forth therein, shall not constitute a waiver by Computer Associates of its rights, either then or in the future. Computer Associates' receipt of payments from the Company with
knowledge of any breaches to this Agreement or the Leases shall also not be deemed a waiver and Computer Associates shall not be deemed to waive its rights hereunder or thereunder. 

        (B)  The
parties agree that Exhibit A will be completed on a mutually satisfactory basis as soon as practicable after the execution of this Agreement. 

        (C)  The
Company covenants and agrees to use reasonable efforts to vacate all Company employees from Computer Associates' premises (other than the Demised Premises) no later
than October 31, 2001. In the event that the Company maintains operations at a Computer Associates' facility after October 31, 2001 (other than the Demised Preises), the Company shall
promptly notify Computer Associates and such premises shall become an Ancillary Premises or a Demised Premises as the case may be. 

        (D)  The
Company agrees that it will not, without Computer Associates' prior written consent, solicit or hire any of Computer Associates' employees located at the Premises,
or induce such employee to leave Computer Associates' employment, either directly or indirectly, from the date hereof and until 12 months after the Term. 

        (E)  This
Agreement constitutes the entire agreement between the Company and Computer Associates with respect to the transactions contemplated hereby and supersedes all prior
agreements or understandings among the parties with respect thereto. 

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        (F)  Descriptive
headings are for convenience only and shall not control or affect the meaning or construction of any provision of this Agreement. 

        (G)  All
notices or other communications provided for in this Agreement shall be in writing and shall be sent by confirmed telecopy (with an undertaking to provide a hard
copy) or delivered by hand or sent by overnight courier service prepaid to the address specified below. 

If
to the Company: 

ACCPAC
International, Inc.

6700 Koll Center Parkway

Pleasanton, CA 94566

Attention: General Counsel

Telecopy: (925) 931-7044 

If
to Computer Associates: 

Computer
Associates International, Inc.

One Computer Associates Plaza

Islandia, NY 11749

Attention: Legal Notices—ACCPAC Agreement

Telecopy: (631) 342-4866 

with
a copy to: 

Island
Asset Management, LLC.

One Computer Associates Plaza

Islandia, NY 11749

Attention: Legal Notices—ACCPAC Agreement

Telecopy: (631) 342-6872 

or
to such other address as the party to whom notice is to be given may have furnished to the other party in writing in accordance herewith. 

        (H)  This
Agreement may be executed in any number of counterparts, and each such counterpart hereof shall be deemed to be an original instrument, but all such counterparts
together shall constitute but one agreement. 

        (I)  This
Agreement shall not be altered or otherwise amended except pursuant to an instrument in writing signed by the Company and Computer Associates. 

        (J)  THIS
AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT EFFECT TO ITS CONFLICTS OF LAW PROVISIONS. 

        IN
WITNESS WHEREOF, each of the parties has caused this Agreement to be duly executed and delivered as of the date first above written. 

	COMPUTER ASSOCIATES

INTERNATIONAL, INC.	 	ACCPAC INTERNATIONAL, INC.
	

 	
 	

 
	By: /s/ STEVEN M. WOGHIN
Name: Steven M. Woghin
Title: Senior Vice President and General Counsel
Date: 10/18/01
	 	By: /s/ DONNAT LETTMAN
Name: Donnat Lettman
Title: CFO
Date: 10/16/01

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Exhibit A
  
    DEMISED PREMISES

	Location
 
	 	Computer Associates

Or Computer

Associates' Affiliate

Under Lease,

Sublease or License

for Demised Premise
 
	 	The Company's

Proportionate

Share

Percentage
 
	 	Fixed Facilities

Expenses
 
	 	Deposit

Amounts
 

	1. Those premises leased

by CA Canada from

            and located at:

5935 Airport Road

Mississauga, Ontario

Canada L4V 1WF

("Toronto Facility").	 	[provide notice

information for

affiliates]	 	 	 	 	 	 
	

2. Those premises owned

by Computer Associates

and located at:

Ditton Park, Riding Court Road

Datchet, Slough

Berkshire SL3 9LL

UK

("UK Facility").	
 	

 	
 	

 	
 	

 	
 	

 

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Exhibit B
  
    ANCILLARY FACILITIES

        The
Ancillary Facilities shall mean the buildings located at the following addresses: 

        NONE 

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QuickLinks

Exhibit 10.3

AMENDED AND RESTATED REAL ESTATE AGREEMENT

RECITALS

Exhibit A DEMISED PREMISES

Exhibit B ANCILLARY FACILITIESQuickLinks
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Exhibit 10.4    
  

 
 

INDEMNIFICATION AGREEMENT

        This
Indemnification Agreement ("Agreement") is made as of                        , 2002 by and between ACCPAC International, Inc.,
 a Delaware corporation (the "Company"), and
                        ("Indemnitee"). 

 
 

RECITALS    
  

        WHEREAS, highly competent persons have become more reluctant to serve publicly-held corporations as directors or in other capacities unless they are
provided with adequate protection through insurance or adequate indemnification against inordinate risks of claims and actions against them arising out of their service to and activities on behalf of
the corporation. 

        WHEREAS,
the Board of Directors of the Company (the "Board") has determined that, in order to attract and retain qualified individuals, the Company will attempt to maintain on an ongoing
basis, at its sole expense, liability insurance to protect persons serving the Company and its subsidiaries from certain liabilities. Although the furnishing of such insurance has been a customary and
widespread practice among United States-based corporations and other business enterprises, the Company believes that, given current market conditions and trends, such insurance may be available to it
in the future only at higher premiums and with more exclusions. At the same time, directors, officers, and other persons in service to corporations or business enterprises are being increasingly
subjected to expensive and time-consuming litigation relating to, among other things, matters that traditionally would have been brought only against the Company or business enterprise
itself. The By-laws of the Company require indemnification of the officers and directors of the Company. Indemnitee may also be entitled to indemnification pursuant to the Delaware General
Corporation Law ("DGCL"). The By-laws and the DGCL expressly provide that the indemnification provisions set forth therein are not exclusive, and thereby contemplate that
contracts may be entered into between the Company and members of the board of directors, officers and other persons with respect to indemnification. 

        WHEREAS,
the uncertainties relating to such insurance and to indemnification have increased the difficulty of attracting and retaining such persons. 

        WHEREAS,
the Board has determined that the increased difficulty in attracting and retaining such persons is detrimental to the best interests of the Company's stockholders and that the
Company should act to assure such persons that there will be increased certainty of such protection in the future. 

        WHEREAS,
it is reasonable, prudent and necessary for the Company contractually to obligate itself to indemnify, and to advance expenses on behalf of, such persons to the fullest extent
permitted by applicable law so that they will serve or continue to serve the Company free from undue concern that they will not be so indemnified. 

        WHEREAS,
this Agreement is a supplement to and in furtherance of the By-laws of the Company and any resolutions adopted pursuant thereto, and shall not be deemed a substitute
therefor, nor to diminish or abrogate any rights of Indemnitee thereunder. 

        WHEREAS,
Indemnitee does not regard the protection available under the Company's By-laws and insurance as adequate in the present circumstances, and may not be willing to
serve as an officer or director without adequate protection, and the Company desires Indemnitee to serve in such capacity. Indemnitee is willing to serve, continue to serve and to take on additional
service for or on behalf of the Company on the condition that he be so indemnified. 

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        NOW,
THEREFORE, in consideration of the premises and the covenants contained herein, the Company and Indemnitee do hereby covenant and agree as follows: 

        1.    Services to the Company.    Indemnitee will serve or continue to serve, at the will of the Company, as an
officer, director or key employee of the Company for so long as Indemnitee is duly elected or appointed or until Indemnitee tenders his or her resignation. 

        2.    Definitions.    As used in this Agreement: 

        (1)  A
"Change in Control" shall be deemed to occur upon the earliest to occur after the date of this Agreement of any of the following events: 

        (1)  Acquisition
of Stock by Third Party. Any Person (as defined below) is or becomes the Beneficial Owner (as defined below), directly or indirectly, of securities of the
Company representing fifteen percent (15%) or more of the combined voting power of the Company's then outstanding Voting Securities, except that any change in the relative beneficial ownership of the
Company's securities by any person resulting solely from a reduction in the aggregate number of outstanding shares of Voting Securities shall be disregarded; 

        (2)  Change
in Board of Directors. During any period of two (2) consecutive years (not including any period prior to the execution of this Agreement), individuals who
at the beginning of such period constitute the Board, and any new director whose election by the Board or nomination for election by the Company's stockholders was approved by a vote of at least
two-thirds of the directors then still in office who either were directors at the beginning of the period or whose election or nomination for election was previously so approved, cease for
any reason to constitute a least a majority of the members of the Board; 

        (3)  Corporate
Transactions. The effective date of a merger or consolidation of the Company with any other entity, other than a merger or consolidation which would result in
the Voting Securities of the Company outstanding immediately prior to such merger or consolidation continuing to represent (either by remaining outstanding or by being converted into voting securities
of the surviving entity) more than 51% of the total voting power of the voting securities of the surviving entity outstanding immediately after such merger or consolidation and with the power to elect
at least a majority of the board of directors or other governing body of such surviving entity; 

        (4)  Liquidation.
The approval by the stockholders of the Company of a complete liquidation of the Company or an agreement or series of agreements for the sale or disposition
by the Company of all or substantially all of the Company's assets; or 

        (5)  Other
Events. There occurs any other event of a nature that would be required to be reported in response to Item 6(e) of Schedule 14A of
Regulation 14A (or a response to any similar item on any similar schedule or form) promulgated under the Exchange Act (as defined below), whether or not the Company is then subject to such
reporting requirement. 

        (2)    Certain Definitions.    For purposes of this Agreement, the following terms shall have the following meanings: 

        (1)  "Agent"
shall mean any person who is or was a director, officer, or employee of the Company or a subsidiary of the Company or other person authorized by the Company to
act for the Company, to
include such person serving in such capacity as a director, officer, employee, fiduciary or other official of another corporation, partnership, limited liability company, joint venture, trust or other
enterprise at the request of, for the convenience of, or to represent the interests of the Company or a subsidiary of the Company; 

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        (2)  "Beneficial
Owner" shall have the meaning given to such term in Rule 13d-3 under the Exchange Act. 

        (3)  "Corporate
Status" describes the status of a person who is or was a director, officer, trustee, general partner, managing member, fiduciary, employee or agent of the
Company or of any other Enterprise (as defined below) which such person is or was serving at the request of the Company. 

        (4)  "Disinterested
Director" means a director of the Company who is not and was not a party to the Proceeding in respect of which indemnification is sought by Indemnitee. 

        (5)  "Enterprise"
shall mean the Company and any other corporation, limited liability company, partnership, joint venture, trust, employee benefit plan or other enterprise of
which Indemnitee is or was serving at the request of the Company as a director, officer, trustee, general partner, managing member, fiduciary, employee or agent. 

        (6)  "Exchange
Act" shall mean the Securities Exchange Act of 1934, as amended. 

        (7)  "Expenses"
shall include attorneys' fees and costs, retainers, court costs, transcript costs, fees of experts, witness fees, travel expenses, duplicating costs, printing
and binding costs, telephone charges, postage, delivery service fees, and all other disbursements or expenses in connection with prosecuting, defending, preparing to prosecute or defend,
investigating, being or preparing to be a witness in, or otherwise participating in, a Proceeding. Expenses also shall include Expenses incurred in connection with any appeal resulting from any
Proceeding, including without limitation the premium, security for, and other costs relating to any cost bond, supersedeas bond, or other appeal bond or its equivalent. Expenses, however, shall not
include amounts paid in settlement by Indemnitee or the amount of judgments or fines against Indemnitee. 

        (8)  "Independent
Counsel" means a law firm, or a member of a law firm, that is experienced in matters of corporation law and neither presently is, nor in the past five years
has been, retained to represent: (i) the Company or Indemnitee in any matter material to either such party (other than with respect to matters concerning the Indemnitee under this Agreement, or
of other indemnitees under similar indemnification agreements), or (ii) any other party to the Proceeding giving rise to a claim for
indemnification hereunder. Notwithstanding the foregoing, the term "Independent Counsel" shall not include any person who, under the applicable standards of professional conduct then prevailing, would
have a conflict of interest in representing either the Company or Indemnitee in an action to determine Indemnitee's rights under this Agreement. 

        (9)  References
to "other enterprise" shall include employee benefit plans; references to "fines" shall include any excise tax assessed with respect to any employee benefit
plan; references to "serving at the request of the Company" shall include any service as a director, officer, employee or agent of the Company which imposes duties on, or involves services by, such
director, officer, employee or agent with respect to an employee benefit plan, its participants or beneficiaries; and a person who acted in good faith and in a manner he reasonably believed to be in
the best interests of the participants and beneficiaries of an employee benefit plan shall be deemed to have acted in a manner "not opposed to the best interests of the Company" as referred to in this
Agreement. 

        (10) "Person"
shall have the meaning as set forth in Sections 13(d) and 14(d) of the Exchange Act; provided, however, that Person shall exclude (i) the
Company, (ii) any trustee or other fiduciary holding securities under an employee benefit plan of the Company, and (iii) any corporation owned, directly or indirectly, by the
stockholders of the Company in substantially the same proportions as their ownership of stock of the Company. 

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        (11) A
"Potential Change in Control" shall be deemed to have occurred if (i) the Company enters into an agreement or arrangement, the consummation of which would
result in the occurrence of a Change in Control; (ii) any Person (including the Company) publicly announces an intention to take or consider taking actions which if consummated would constitute
a Change in Control; (iii) any Person, who is or becomes the Beneficial Owner, directly or indirectly, of securities of the Company representing 5% or more of the combined voting power of the
Company's then outstanding Voting Securities increases his beneficial ownership of such securities by 5% or more over the percentage so owned by such person on the date hereof; or (iv) the
Board adopts a resolution to the effect that, for purposes of this Agreement, a Potential Change of Control has occurred. 

        (12) The
term "Proceeding" shall include any threatened, pending or completed action, suit, arbitration, alternate dispute resolution mechanism, investigation, inquiry,
administrative hearing or any other actual, threatened or completed proceeding, whether brought in the right of the Company or otherwise and whether of a civil (including intentional or unintentional
tort claims), criminal, administrative or investigative nature, in which Indemnitee was, is or will be involved as a party or otherwise by reason of the fact that Indemnitee is or was a director or
officer of the Company, by reason of any action taken by him or of any inaction on his part while acting as director or officer of the Company, or by reason of the fact that he is or was serving at
the request of the Company as a director, officer, trustee, general partner, managing member, fiduciary, employee or agent of any other Enterprise, in each case whether or not serving in such capacity
at the time any liability or expense is incurred for which indemnification, reimbursement, or advancement of expenses can be provided under this Agreement. 

        (13) "Voting
Securities" means any securities of the Company which vote generally in the election of directors. 

        3.    Indemnity in Third-Party Proceedings.    The Company shall indemnify and hold harmless Indemnitee in accordance
with the provisions of this Section 3 if Indemnitee was, is, or is threatened to be made, a party to or a participant (as a witness or otherwise) in any Proceeding, other than a Proceeding by
or in the right of the Company to procure a judgment in its favor. Pursuant to this Section 3, Indemnitee shall be indemnified against all Expenses, judgments, liabilities, fines, penalties and
amounts paid in settlement (including all interest, assessments and other charges paid or payable in connection with or in respect of such Expenses, judgments, fines, penalties and amounts paid in
settlement) actually and reasonably incurred by Indemnitee or on his behalf in connection with such Proceeding or any claim, issue or matter therein, if 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, in the case of a criminal Proceeding had no reasonable cause to believe that his conduct was unlawful. 

        4.    Indemnity in Proceedings by or in the Right of the Company.    The Company shall indemnify and hold harmless
Indemnitee in accordance with the provisions of this Section 4 if Indemnitee was, is, or is threatened to be made, a party to or a participant (as a witness or otherwise) in any Proceeding by
or in the right of the Company to procure a judgment in its favor. Pursuant to this Section 4, Indemnitee shall be indemnified against all Expenses actually and reasonably incurred by him or on
his behalf in connection with such Proceeding or any claim, issue or matter therein, if 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. No indemnification for Expenses shall be made under this Section 4 in respect of any claim, issue or matter as to which Indemnitee shall have been finally adjudged by
a court to be liable to the Company, unless and only to the extent that any court in which the Proceeding was brought or the Delaware Court (as defined below) shall determine upon application that,
despite the adjudication of liability but in view of all the circumstances of the case, Indemnitee is fairly and reasonably entitled to indemnification. 

4

 

        5.    Indemnification for Expenses of a Party Who is Wholly or Partly Successful.    Notwithstanding any other
provisions of this Agreement, to the extent that Indemnitee is a party to (or a participant in) and is successful, on the merits or otherwise, in any Proceeding or in defense of any claim, issue or
matter therein, in whole or in part, the Company shall indemnify and hold harmless Indemnitee against all Expenses actually and reasonably incurred by him in connection therewith. If Indemnitee is not
wholly successful in such Proceeding but is successful, on the merits or otherwise, as to one or more but less than all claims, issues or matters in such Proceeding, the Company shall indemnify and
hold harmless Indemnitee against all Expenses actually and reasonably incurred by him or on his behalf in connection with each successfully resolved claim, issue or matter. If the Indemnitee is not
wholly successful in such Proceeding, the Company also shall indemnify and hold harmless Indemnitee against all Expenses reasonably incurred in connection with a claim, issue or matter related to any
claim, issue, or matter on which the Indemnitee was successful. For purposes of this Section and without limitation, the
termination of any claim, issue or matter in such a Proceeding by dismissal, with or without prejudice, shall be deemed to be a successful result as to such claim, issue or matter. 

        6.    Indemnification For Expenses of a Witness.    Notwithstanding any other provision of this Agreement, to the
extent that Indemnitee is, by reason of his Corporate Status, a witness in any Proceeding to which Indemnitee is not a party, he shall be indemnified and held harmless against all Expenses actually
and reasonably incurred by him or on his behalf in connection therewith. 

        7.    Additional Indemnification.    

        (1)  Notwithstanding
any limitation in Sections 3, 4, or 5, the Company shall indemnify and hold harmless Indemnitee if Indemnitee is a party to or threatened to be
made a party to any Proceeding (including a Proceeding by or in the right of the Company to procure a judgment in its favor) against all Expenses, judgments, fines, penalties and amounts paid in
settlement (including all interest, assessments and other charges paid or payable in connection with or in respect of such Expenses, judgments, fines, penalties and amounts paid in settlement)
actually and reasonably incurred by Indemnitee in connection with the Proceeding. No indemnity shall be made under this Section 7(1) on account of Indemnitee's conduct which constitutes a
breach of Indemnitee's duty of loyalty to the Company or its stockholders or is an act or omission not in good faith or which involves intentional misconduct or a knowing violation of the law. 

        (2)  Notwithstanding
any limitation in Sections 3, 4, 5 or 7(1), the Company shall indemnify and hold harmless Indemnitee if Indemnitee is a party to or threatened to
be made a party to any Proceeding (including a Proceeding by or in the right of the Company to procure a judgment in its favor) against all Expenses, judgments, fines, penalties and amounts paid in
settlement (including all interest, assessments and other charges paid or payable in connection with or in respect of such Expenses, judgments, fines, penalties and amounts paid in settlement)
actually and reasonably incurred by Indemnitee in connection with the Proceeding. 

        8.    Contribution in the Event of Joint Liability.    

        (1)  Whether
or not any of the indemnification and hold harmless rights provided in Sections 3, 4, 5, and 7 hereof are available in respect of any Proceeding in which
the Company is jointly liable with Indemnitee (or would be if joined in such Proceeding), the Company shall pay, in the first instance, the entire amount of any judgment or settlement of such
Proceeding without requiring Indemnitee to contribute to such payment, and the Company hereby waives and relinquishes any right of contribution it may have against Indemnitee. The Company shall not
enter into any settlement of any Proceeding in which the Company is jointly liable with Indemnitee (or would be if joined in such Proceeding) unless such settlement provides for a full and final
release of all claims asserted against Indemnitee. 

5

 

        (2)  Without
diminishing or impairing the obligations of the Company set forth in the preceding subparagraph, if, for any reason, Indemnitee shall elect or be required to pay
all or any portion of any judgment or settlement in any Proceeding in which the Company is jointly liable with Indemnitee (or would be if joined in such Proceeding), the Company shall contribute to
the amount of expenses (including attorneys' fees), judgments, fines and amounts paid in settlement actually incurred and paid or payable by Indemnitee in proportion to the relative benefits received
by the Company and all officers, directors or employees of the Company other than Indemnitee who are jointly liable with Indemnitee (or would be if joined in such Proceeding), on the one hand, and
Indemnitee, on the other hand, from the transaction from which such Proceeding arose; provided, however, that the proportion determined on the basis of relative benefit may, to the extent necessary to
conform to law, be further adjusted by reference to the relative fault of the Company and all officers, directors or employees of the Company other than Indemnitee who are jointly liable with
Indemnitee (or would be if joined in such Proceeding), on the one hand, and Indemnitee, on the other hand, in connection with the events that resulted in such expenses, judgments, fines or amounts
paid in settlement, as well as any other equitable considerations. The relative fault of the Company and all officers, directors or employees of the Company other than Indemnitee who are jointly
liable with Indemnitee (or would be if joined in such Proceeding), on the one hand, and Indemnitee, on the other hand, shall be determined by reference to, among other things, the degree to which
their actions were motivated by intent to gain personal profit or advantage, the degree to which their liability is primary or secondary, and the degree to which their conduct is active or passive. 

        (3)  The
Company hereby agrees to fully indemnify and hold harmless Indemnitee from any claims for contribution which may be brought by officers, directors or employees of
the Company other than Indemnitee who may be jointly liable with Indemnitee. 

        9.    Exclusions.    Notwithstanding any provision in this Agreement, the Company shall not be obligated under this
Agreement to make any indemnity in connection with any claim made against Indemnitee: 

        (1)  for
which payment has actually been received by or on behalf of Indemnitee under any insurance policy or other indemnity provision, except with respect to any excess
beyond the amount actually received under any insurance policy or other indemnity provision; or 

        (2)  for
an accounting of profits made from the purchase and sale (or sale and purchase) by Indemnitee of securities of the Company within the meaning of Section 16(b)
of the Exchange Act or similar provisions of state statutory law or common law; or 

        (3)  except
as otherwise provided in Sections 14(4)-(6) hereof, prior to a Change in Control, in connection with any Proceeding (or any part of any Proceeding)
initiated by Indemnitee, including any Proceeding (or any part of any Proceeding) initiated by Indemnitee against the Company or its directors, officers, employees or other indemnitees, unless
(i) the Board of Directors of the Company
authorized the Proceeding (or any part of any Proceeding) prior to its initiation or (ii) the Company provides the indemnification, in its sole discretion, pursuant to the powers vested in the
Company under applicable law. 

        10.    Advances of Expenses; Defense of Claim.    

        (1)  Notwithstanding
any provision of this Agreement to the contrary, the Company shall advance the expenses incurred by Indemnitee (or reasonably expected by Indemnitee to
be incurred by Indemnitee within three months) in connection with any Proceeding within ten (10) days after the receipt by the Company of a statement or statements requesting such advances from
time to time, whether prior to or after final disposition of any Proceeding. Advances shall be unsecured and interest free. Advances shall be made without regard to Indemnitee's ability to 

6

 

repay the expenses and without regard to Indemnitee's ultimate entitlement to indemnification under the other provisions of this Agreement. Advances shall include any and all reasonable Expenses
incurred pursuing a Proceeding to enforce this right of advancement, including Expenses incurred preparing and forwarding statements to the Company to support the advances claimed. The Indemnitee
shall qualify for advances solely upon the execution and delivery to the Company of an undertaking providing that the Indemnitee undertakes to repay the advance to the extent that it is ultimately
determined that Indemnitee is not entitled to be indemnified by the Company. This Section 10(1) shall not apply to any claim made by Indemnitee for which indemnity is excluded pursuant to
Section 9. 

        (2)  The
Company will be entitled to participate in the Proceeding at its own expense. 

        (3)  The
Company shall not settle any action, claim or Proceeding (in whole or in part) which would impose any Expense, judgment, fine, penalty or limitation on the
Indemnitee without the Indemnitee's prior written consent. 

        11.    Procedure for Notification and Application for Indemnification.    

        (1)  Indemnitee
agrees to notify promptly the Company in writing upon being served with any summons, citation, subpoena, complaint, indictment, information or other document
relating to any Proceeding or matter which may be subject to indemnification or advancement of Expenses covered hereunder. The failure of Indemnitee to so notify the Company shall not relieve the
Company of any obligation which it may have to the Indemnitee under this Agreement or otherwise. 

        (2)  Indemnitee
shall thereafter deliver to the Company a written application to indemnify and hold harmless Indemnitee in accordance with this Agreement. Such application(s)
may be delivered from
time to time and at such time(s) as Indemnitee deems appropriate in his or her sole discretion. Following such a written application for indemnification by Indemnitee, the Indemnitee's entitlement to
indemnification shall be determined according to Section 12(1) of this Agreement. 

        12.    Procedure Upon Application for Indemnification.    

        (1)  Upon
written request by Indemnitee for indemnification pursuant to Section 11(2), a determination, if required by applicable law, with respect to Indemnitee's
entitlement thereto shall be made in the specific case by one of the following methods, which shall be at the election of Indemnitee: (i) by a majority vote of the Disinterested Directors, even
though less than a quorum of the Board; or (ii) by Independent Counsel in a written opinion to the Board, a copy of which shall be delivered to Indemnitee. If it is so determined that
Indemnitee is entitled to indemnification, payment to Indemnitee shall be made within ten (10) days after such determination. Indemnitee shall reasonably cooperate with the person, persons or
entity making such determination with respect to Indemnitee's entitlement to indemnification, including providing to such person, persons or entity upon reasonable advance request any documentation or
information which is not privileged or otherwise protected from disclosure and which is reasonably available to Indemnitee and reasonably necessary to such determination. Any costs or expenses
(including attorneys' fees and disbursements) incurred by Indemnitee in so cooperating with the person, persons or entity making such determination shall be borne by the Company (irrespective of the
determination as to Indemnitee's entitlement to indemnification) and the Company hereby indemnifies and agrees to hold Indemnitee harmless therefrom. 

        (2)  In
the event the determination of entitlement to indemnification is to be made by Independent Counsel pursuant to Section 12(1) hereof, the Independent Counsel
shall be selected as provided in this Section 12(2). The Independent Counsel shall be selected by Indemnitee (unless Indemnitee shall request that such selection be made by the Board of
Directors), and 

7

 

Indemnitee shall give written notice to the Company advising it of the identity of the Independent Counsel so selected. If the Independent Counsel is selected by the Board of Directors, the Company
shall give written notice to Indemnitee advising him of the identity of the Independent Counsel so selected. In either event, Indemnitee or the Company, as the case may be, may, within 10 days
after such written notice of selection shall have been received, deliver to the Company or to Indemnitee, as the case may be, a written objection to such selection;  provided, however, that such objection may be asserted only on the ground that the Independent Counsel
so selected does not meet the requirements of "Independent Counsel" as defined in Section 2 of this Agreement, and the objection shall set forth with particularity the factual basis of such
assertion. Absent a proper and timely objection, the person so selected shall act as Independent Counsel. If such written objection is so made and substantiated, the Independent Counsel so selected
may not serve as Independent Counsel unless and until such objection is withdrawn or a court of competent jurisdiction has determined that such objection is without merit. If, within 20 days
after submission by Indemnitee of a written request for indemnification pursuant to Section 11(1) hereof, no Independent Counsel shall have been selected and not objected to, either the Company
or Indemnitee may petition the Delaware Court (as defined below) for resolution of any objection which shall have been made by the Company or Indemnitee to the other's selection of Independent Counsel
and/or for the appointment as Independent Counsel of a person selected by the Delaware Court, and the person with respect to whom all objections are so resolved or the person so
appointed shall act as Independent Counsel under Section 12(1) hereof. Upon the due commencement of any judicial proceeding or arbitration pursuant to Section 14(1) of this Agreement,
Independent Counsel shall be discharged and relieved of any further responsibility in such capacity (subject to the applicable standards of professional conduct then prevailing). 

        (3)  The
Company agrees to pay the reasonable fees and expenses of Independent Counsel and to fully indemnify and hold harmless such Independent Counsel against any and all
Expenses, claims, liabilities and damages arising out of or relating to this Agreement or its engagement pursuant hereto. 

        13.    Presumptions and Effect of Certain Proceedings.    

        (1)  In
making a determination with respect to entitlement to indemnification hereunder, the person or persons or entity making such determination shall presume that
Indemnitee is entitled to indemnification under this Agreement if Indemnitee has submitted a request for indemnification in accordance with Section 11(2) of this Agreement, and the Company
shall have the burden of proof to overcome that presumption in connection with the making by any person, persons or entity of any determination contrary to that presumption. Neither the failure of the
Company (including by its directors or Independent Counsel) to have made a determination prior to the commencement of any action pursuant to this Agreement that indemnification is proper in the
circumstances because Indemnitee has met the applicable standard of conduct, nor an actual determination by the Company (including by its directors or Independent Counsel) that Indemnitee has not met
such applicable standard of conduct, shall be a defense to the action or create a presumption that Indemnitee has not met the applicable standard of conduct. 

        (2)  If
the person, persons or entity empowered or selected under Section 12 of this Agreement to determine whether Indemnitee is entitled to indemnification shall not
have made a determination within thirty (30) days after receipt by the Company of the request therefor, the requisite determination of entitlement to indemnification shall be deemed to have
been made and Indemnitee shall be entitled to such indemnification, absent (i) a misstatement by Indemnitee of a material fact, or an omission of a material fact necessary to make Indemnitee's
statement not materially misleading, in connection with the request for indemnification, or (ii) a final judicial determination that any or all such indemnification is expressly prohibited
under applicable law; provided, however, that such 30-day period may be extended for a reasonable time, not to exceed 

8

 

an additional fifteen (15) days, if the person, persons or entity making the determination with respect to entitlement to indemnification in good faith requires such additional time for the
obtaining or evaluating of documentation and/or information relating thereto. 

        (3)  The
termination of any Proceeding or of any claim, issue or matter therein, by judgment, order, settlement or conviction, or upon a plea of nolo
contendere or its equivalent, shall not (except as otherwise expressly provided in this Agreement) of itself adversely affect the right of Indemnitee to indemnification or
create a presumption that Indemnitee did not act in good faith and in a manner
which he reasonably believed to be in or not opposed to the best interests of the Company or, with respect to any criminal Proceeding, that Indemnitee had reasonable cause to believe that his conduct
was unlawful. 

        (4)  For
purposes of any determination of good faith, Indemnitee shall be deemed to have acted in good faith if Indemnitee's action is based on the records or books of
account of the Enterprise, including financial statements, or on information supplied to Indemnitee by the officers of the Enterprise in the course of their duties, or on the advice of legal counsel
for the Enterprise or on information or records given or reports made to the Enterprise by an independent certified public accountant or by an appraiser or other expert selected by the Enterprise. The
provisions of this Section 13(d) shall not be deemed to be exclusive or to limit in any way the other circumstances in which the Indemnitee may be deemed or found to have met the applicable
standard of conduct set forth in this Agreement. 

        (5)  The
knowledge and/or actions, or failure to act, of any other director, officer, trustee, partner, managing member, fiduciary, agent or employee of the Enterprise shall
not be imputed to Indemnitee for purposes of determining the right to indemnification under this Agreement. 

        14.    Remedies of Indemnitee.    

        (1)  In
the event that (i) a determination is made pursuant to Section 12 of this Agreement that Indemnitee is not entitled to indemnification under this
Agreement, (ii) advancement of Expenses is not timely made pursuant to Section 10 of this Agreement, (iii) no determination of entitlement to indemnification shall have been made
pursuant to Section 12(1) of this Agreement within thirty (30) days after receipt by the Company of the request for indemnification, (iv) payment of indemnification is not made
pursuant to Section 5, 6, 7, 8 or the last sentence of Section 12(1) of this Agreement within ten (10) days after receipt by the Company of a written request therefor, or
(v) payment of indemnification pursuant to Section 3 or 4 of this Agreement is not made within ten (10) days after a determination has been made that Indemnitee is entitled to
indemnification, Indemnitee shall be entitled to an adjudication by the Delaware Court (as defined below) to such indemnification or advancement of Expenses. Alternatively, Indemnitee, at his option,
may seek an award in arbitration to be conducted by a single arbitrator pursuant to the Commercial Arbitration Rules of the American Arbitration Association. Except as set forth herein, the provisions
of Delaware law (without regard to its conflict of laws rules) shall apply to any such arbitration. The Company shall not oppose Indemnitee's right to seek any such adjudication or award in
arbitration. 

        (2)  In
the event that a determination shall have been made pursuant to Section 12(1) of this Agreement that Indemnitee is not entitled to indemnification, any
judicial proceeding or arbitration commenced pursuant to this Section 14 shall be conducted in all respects as a de novo trial, or arbitration, on the merits and Indemnitee shall not be
prejudiced by reason of that adverse determination. In any judicial proceeding or arbitration commenced pursuant to this Section 14, Indemnitee shall be presumed to be entitled to
indemnification under this Agreement and the Company shall have the burden of proving Indemnitee is not entitled to indemnification or advancement of Expenses, as the case may be, and the Company may
not refer to or introduce into evidence any determination pursuant to Section 12(1) of this Agreement adverse to 

9

 

Indemnitee for any purpose. If Indemnitee commences a judicial proceeding or arbitration pursuant to this Section 14, Indemnitee shall not be required to reimburse the Company for any advances
pursuant to Section 10 until a final determination is made with respect to Indemnitee's entitlement to indemnification (as to which all rights of appeal have been exhausted or lapsed). 

        (3)  If
a determination shall have been made pursuant to Section 12(1) of this Agreement that Indemnitee is entitled to indemnification, the Company shall be bound by
such determination in any judicial proceeding or arbitration commenced pursuant to this Section 14, absent (i) a misstatement by Indemnitee of a material fact, or an omission of a
material fact necessary to make Indemnitee's statement not materially misleading, in connection with the request for indemnification, or (ii) a prohibition of such indemnification under
applicable law. 

        (4)  The
Company shall be precluded from asserting in any judicial proceeding or arbitration commenced pursuant to this Section 14 that the procedures and presumptions
of this Agreement are not valid, binding and enforceable and shall stipulate in any such court or before any such arbitrator that the Company is bound by all the provisions of this Agreement. 

        (5)  The
Company shall indemnify and hold harmless Indemnitee to the fullest extent permitted by law against all Expenses and, if requested by Indemnitee, shall (within ten
(10) days after the Company's receipt of such written request) advance such Expenses to Indemnitee, which are incurred by Indemnitee in connection with any judicial proceeding or arbitration
brought by Indemnitee (i) to enforce his rights under, or to recover damages for breach of, this Agreement or any other indemnification, advancement or contribution agreement or provision of
the Company's Certificate of Incorporation or By-laws now or hereafter in effect; or (ii) for recovery or advances under any insurance policy maintained by any person for the
benefit of Indemnitee, regardless of whether Indemnitee ultimately is determined to be entitled to such indemnification, advance, contribution or insurance recovery, as the case may be. 

        (6)  Interest
shall be paid by the Company to Indemnitee at the legal rate under Delaware law for amounts which the Company indemnifies or is obliged to indemnify for the
period commencing with the date on which Indemnitee requests indemnification (or reimbursement or advancement of any Expenses) and ending with the date on which such payment is made to Indemnitee by
the Company. 

        15.    Establishment of Trust.    In the event of a Potential Change in Control, the Company shall, upon written
request by Indemnitee, create a "Trust" for the benefit of Indemnitee and from time to time upon written request of Indemnitee shall fund such Trust in an amount sufficient to satisfy any and all
Expenses reasonably anticipated at the time of each such request to be incurred in connection with investigating, preparing for, participating in or defending any Proceedings, and any and all
judgments, fines, penalties and amounts paid in settlement (including all interest, assessments and other charges paid or payable in connection with or in respect of such judgments, fines penalties
and amounts paid in settlement) in connection with any and all Proceedings from time to time actually paid or claimed,
reasonably anticipated or proposed to be paid. The trustee of the Trust (the "Trustee") shall be a bank or trust company or other individual or entity chosen by the Indemnitee and reasonably
acceptable to the Company. Nothing in this Section 15 shall relieve the Company of any of its obligations under this Agreement. The amount or amounts to be deposited in the Trust pursuant to
the foregoing funding obligation shall be determined by mutual agreement of the Indemnitee and the Company or, if the Company and the Indemnitee are unable to reach such an agreement, by Independent
Counsel selected in accordance with Section 12(2) of this Agreement. The terms of the Trust shall provide that, except upon the consent of both the Indemnitee and the Company, upon a Change in
Control (i) the Trust shall not be revoked or the principal thereof invaded, without the written consent of the Indemnitee, (ii) the Trustee shall advance, within two business days of a
request by the Indemnitee and upon the execution and delivery to the Company of an undertaking providing 

10

 

that the Indemnitee undertakes to repay the advance to the extent that it is ultimately determined that Indemnitee is not entitled to be indemnified by the Company, any and all Expenses to the
Indemnitee, (iii) the Trust shall continue to be funded by the Company in accordance with the funding obligations set forth above, (iv) the Trustee shall promptly pay to the Indemnitee
all amounts for which the Indemnitee shall be entitled to indemnification pursuant to this Agreement or otherwise, and (v) all unexpended funds in such Trust shall revert to the Company upon
mutual agreement by the Indemnitee and the Company or, if the Indemnitee and the Company are unable to reach such an agreement, by Independent Counsel selected in accordance with Section 12(2)
of this Agreement, that the Indemnitee has been fully indemnified under the terms of this Agreement. The Trust shall be governed by Delaware law (without regard to its conflicts of laws rules) and the
Trustee shall consent to the exclusive jurisdiction of the Delaware Court in accordance with Section 24 of this Agreement. 

        16.    Security.    Notwithstanding anything herein to the contrary, to the extent requested by the Indemnitee and
approved by the Board of Directors of the Company, the Company may at any time and from time to time provide security to the Indemnitee for the Company's obligations hereunder through an irrevocable
bank line of credit, funded trust or other collateral. Any such security, once provided to the Indemnitee, may not be revoked or released without the prior written consent of the Indemnitee. 

        17.    Non-exclusivity; Survival of Rights; Insurance; Subrogation.    

        (1)  The
rights of indemnification and to receive advancement of Expenses as provided by this Agreement shall not be deemed exclusive of any other rights to which Indemnitee
may at any time be entitled under applicable law, the Company's Certificate of Incorporation, the Company's By-laws, any agreement, a vote of stockholders or a resolution of directors, or
otherwise. No amendment, alteration or repeal of this Agreement or of any provision hereof shall limit or restrict any right of Indemnitee under this Agreement in respect of any action taken or
omitted by such Indemnitee in his Corporate Status prior to such amendment, alteration or repeal. To the extent that a change in Delaware law, whether by statute or judicial decision, permits greater
indemnification or advancement of Expenses than would be afforded currently under the Company's By-laws or this Agreement, it is the intent of the parties hereto that Indemnitee shall
enjoy by this Agreement the greater benefits so afforded by such change. No right or remedy herein conferred is intended to be exclusive of any other right or remedy, and every other right and remedy
shall be cumulative and in addition to every other right and remedy given hereunder or now or hereafter existing at law or in equity or otherwise. The assertion or
employment of any right or remedy hereunder, or otherwise, shall not prevent the concurrent assertion or employment of any other right or remedy. 

        (2)  To
the extent that the Company maintains an insurance policy or policies providing liability insurance for directors, officers, trustees, partners, managing members,
fiduciaries, employees, or agents of the Company or of any other Enterprise which such person serves at the request of the Company, Indemnitee shall be covered by such policy or policies in accordance
with its or their terms to the maximum extent of the coverage available for any such director, officer, trustee, partner, managing member, fiduciary, employee or agent under such policy or policies.
If, at the time the Company receives notice from any source of a Proceeding as to which Indemnitee is a party or a participant (as a witness or otherwise), the Company has director and officer
liability insurance in effect, the Company shall give prompt notice 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. 

11

 

        (3)  In
the event of any payment under this Agreement, the Company shall be subrogated to the extent of such payment to all of the rights of recovery of Indemnitee, who shall
execute all papers required and take all action necessary to secure such rights, including execution of such documents as are necessary to enable the Company to bring suit to enforce such rights. 

        (4)  The
Company shall not be liable under this Agreement to make any payment of amounts otherwise indemnifiable (or for which advancement is provided hereunder) hereunder if
and to the extent that Indemnitee has otherwise actually received such payment under any insurance policy, contract, agreement or otherwise. 

        (5)  The
Company's obligation to indemnify or advance Expenses hereunder to Indemnitee who is or was serving at the request of the Company as a director, officer, trustee,
partner, managing member, fiduciary, employee or agent of any other Enterprise shall be reduced by any amount Indemnitee has actually received as indemnification or advancement of expenses from such
Enterprise. 

        18.    Duration of Agreement.    This Agreement shall continue until and terminate upon the later of: (a) ten
(10) years after the date that Indemnitee shall have ceased to serve as a director or officer of the Company or as a director, officer, trustee, partner, managing member, fiduciary, employee or
agent of any other corporation, partnership, joint venture, trust, employee benefit plan or other enterprise which Indemnitee served at the request of the Company; or (b) one (1) year
after the final termination of any Proceeding (including any rights of appeal thereto) then pending in respect of which Indemnitee is granted rights of indemnification or advancement of Expenses
hereunder and of any proceeding commenced by Indemnitee pursuant to Section 14 of this Agreement relating thereto (including any rights of appeal of any Section 14 Proceeding). 

        19.    Severability.    If any provision or provisions of this Agreement shall be held to be invalid, illegal or
unenforceable for any reason whatsoever: (a) the validity, legality and enforceability of the remaining provisions of this Agreement (including without limitation, each portion of any Section,
paragraph or sentence of this Agreement containing any such provision held to be invalid, illegal or unenforceable, that is not itself invalid, illegal or unenforceable) shall not in any way be
affected or impaired thereby and shall remain enforceable to the fullest extent permitted by law; (b) such provision or provisions shall be deemed reformed to the extent necessary to conform to
applicable law and to give the maximum effect to the intent of the parties hereto; and (c) to the fullest extent possible, the provisions of this Agreement (including, without limitation, each
portion of any Section, paragraph or sentence of this Agreement containing any such provision held to be invalid, illegal or unenforceable, that is not itself invalid, illegal or unenforceable) shall
be construed so as to give effect to the intent manifested thereby. 

        20.    Enforcement and Binding Effect.    

        (1)  The
Company expressly confirms and agrees that it has entered into this Agreement and assumed the obligations imposed on it hereby in order to induce Indemnitee to serve
as a director or officer of the Company, and the Company acknowledges that Indemnitee is relying upon this Agreement in serving as a director or officer of the Company. 

        (2)  This
Agreement constitutes the entire agreement between the parties hereto with respect to the subject matter hereof and supersedes all prior agreements and
understandings, oral, written and implied, between the parties hereto with respect to the subject matter hereof. 

        (3)  The
indemnification and advancement of expenses provided by, or granted pursuant to this Agreement shall be binding upon and be enforceable by the parties hereto and
their respective successors and assigns (including any direct or indirect successor by purchase, merger, consolidation or otherwise to all or substantially all of the business or assets of the
Company), shall continue as to an Indemnitee who has ceased to be a director, officer, employee or agent of 

12

 

the Company or of any other Enterprise at the Company's request, and shall inure to the benefit of Indemnitee and his or her spouse, assigns, heirs, devisees, executors and administrators and other
legal representatives. 

        (4)  The
Company shall require and cause any successor (whether direct or indirect by purchase, merger, consolidation or otherwise) to all, substantially all or a substantial
part, of the business and/or assets of the Company, by written agreement in form and substance satisfactory to the Indemnitee, 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. 

        (5)  The
Company and Indemnitee agree herein that a monetary remedy for breach of this Agreement, at some later date, may be inadequate, impracticable and difficult of proof,
and further agree that such breach may cause Indemnitee irreparable harm. Accordingly, the parties hereto agree that Indemnitee may enforce this Agreement by seeking injunctive relief and/or specific
performance hereof, without any necessity of showing actual damage or irreparable harm and that by seeking injunctive relief and/or specific performance, Indemnitee shall not be precluded from seeking
or obtaining any other relief to which he or she may be entitled. The Company and Indemnitee further agree that Indemnitee shall be entitled to such specific performance and injunctive relief,
including temporary restraining orders, preliminary injunctions and permanent injunctions, without the necessity of posting bonds or other undertaking in connection therewith. The Company acknowledges
that in the absence of a waiver, a bond or undertaking may be required of Indemnitee by the Court, and the Company hereby waives any such requirement of such a bond or undertaking. 

        21.    Modification and Waiver.    No supplement, modification or amendment of this Agreement shall be binding unless
executed in writing by 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 of this Agreement nor shall any
waiver constitute a continuing waiver. 

        22.    Notices.    All notices, requests, demands and other communications under this Agreement shall be in writing
and shall be deemed to have been duly given (a) if delivered by hand and receipted for by the party to whom said notice or other communication shall have been directed, or (b) mailed by
certified or registered mail with postage prepaid, on the third business day after the date on which it is so mailed: 

	(1)	 	If to Indemnitee, at the address indicated on the signature page of this Agreement, or such other address as Indemnitee shall provide in writing to the Company.
	

(2)	
 	

If to the Company to:

ACCPAC International, Inc.

6700 Koll Center Parkway, Third Floor

Pleasanton, CA 94566

Attn: General Counsel

or
to any other address as may have been furnished to Indemnitee in writing by the Company. 

        23.    Contribution.    To the fullest extent permissible under applicable law, if the indemnification provided for in
this Agreement is unavailable to Indemnitee in whole or in part for any reason whatsoever, the Company, in lieu of indemnifying Indemnitee, shall contribute to the amount incurred by Indemnitee,
whether for judgments, fines, penalties, excise taxes, amounts paid or to be paid in settlement and/or for Expenses, in connection with any claim relating to an indemnifiable event under this
Agreement, in such proportion as is deemed fair and reasonable in light of all of the circumstances 

13

 

of such Proceeding in order to reflect (i) the relative benefits received by the Company and Indemnitee as a result of the event(s) and/or transaction(s) giving cause to such Proceeding; and
(ii) the relative fault of the Company (and its directors, officers, employees and agents) and Indemnitee in connection with such event(s) and/or transaction(s). 

        24.    Applicable Law and Consent to Jurisdiction.    This Agreement and the legal relations among the parties shall
be governed by, and construed and enforced in accordance with, the laws of the State of Delaware, without regard to its conflict of laws rules. Except with respect to any arbitration commenced by
Indemnitee pursuant to Section 14(1) of this Agreement, the Company and Indemnitee hereby irrevocably and unconditionally (i) agree that any action or proceeding arising out of or in
connection with this Agreement shall be brought only in the Chancery Court of the State of Delaware (the "Delaware Court"), and not in any other state or federal court in the United States of America
or any court in any other country, (ii) consent to submit to the exclusive jurisdiction of the Delaware Court for purposes of any action or proceeding arising out of or in connection with this
Agreement, (iii) appoint, to the extent such party is not a resident of the State of Delaware, irrevocably Corporation Service Company as its agent in the State of Delaware as such party's
agent for acceptance of legal process in connection with any such action or proceeding against such party with the same legal force and validity as if served upon such party personally within the
State of Delaware, (iv) waive any objection to the laying of venue of any such action or proceeding in the Delaware Court, and (v) waive, and agree not to plead or to make, any claim
that any such action or proceeding brought in the Delaware Court has been brought in an improper or inconvenient forum. 

        25.    Identical Counterparts.    This Agreement may be executed in one or more counterparts, each of which shall for
all purposes be deemed to be an original but all of which together shall constitute one and the same Agreement. Only one such counterpart signed by the party against whom enforceability is sought
needs to be produced to evidence the existence of this Agreement. 

        26.    Miscellaneous.    Use of the masculine pronoun shall be deemed to include usage of the feminine pronoun where
appropriate. The headings of the paragraphs of this Agreement are inserted for convenience only and shall not be deemed to constitute part of this Agreement or to affect the construction thereof. 

        IN
WITNESS WHEREOF, the parties have caused this Agreement to be signed as of the day and year first above written. 

	ACCPAC International, Inc.	 	INDEMNITEE
	

 	

 	
 	

 	

 
	By:	 	 	By:	 
	 	
 David M. Hood

President and Chief Executive Officer	 	 	
 Name:

Address:

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QuickLinks

Exhibit 10.4

INDEMNIFICATION AGREEMENT

RECITALS

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