Document:

Exhibit 10.6

 

ASSET REPRESENTATIONS REVIEW AGREEMENT

BMW VEHICLE OWNER TRUST 20[__]-[__],

as Issuer

and

BMW FINANCIAL SERVICES NA, LLC,

as Servicer

and

[__________],

as Asset Representations Reviewer

_____________________________

Dated as of [__________], 20[__]

_____________________________

  

ASSET REPRESENTATIONS REVIEW AGREEMENT

This ASSET REPRESENTATIONS REVIEW AGREEMENT (this “Agreement”), entered into as of the [________] day of [________] 20[__], by and among BMW VEHICLE OWNER TRUST 20[__]-[__], a Delaware statutory trust (the “Issuer”), BMW FINANCIAL SERVICES NA, LLC, a Delaware limited liability company  (the “Servicer”), and [__________], a [__________] company (the “Asset Representations Reviewer”).

WHEREAS, the Issuer desires to engage the Asset Representations Reviewer to perform reviews of certain Receivables for compliance with certain representations and warranties made with respect thereto.

NOW, THEREFORE, in consideration of the mutual agreements herein contained and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound hereby, agree as follows:

ARTICLE I.

DEFINITIONS

Section 1.01       Definitions.

Any capitalized terms used and not defined in this Agreement shall have the meanings ascribed to such terms in the Indenture or the Sale and Servicing Agreement, as applicable.  Whenever used in this Agreement, the following words and phrases shall have the following meanings:

“Annual Fee” has the meaning stated in Section 4.01(a).

“ARR Indemnified Person” has the meaning stated in Section 5.04.

“Client Records” has the meaning stated in Section 3.13.

“Confidential Information” has the meaning stated in Section 7.01(b).

“Disqualification Event” has the meaning stated in Section 6.01.

“Eligible Representations” shall mean those representations identified within the “Tests” included in Exhibit A.

“Indemnified Person” has the meaning stated in Section 5.07.

“Indenture” means the Indenture, dated as of [__________], 20[__], between the Issuer and the Indenture Trustee, as the same may be amended, supplemented or modified from time to time.

“Indenture Trustee” means [__________].

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“Initial Review Period” has the meaning stated in Section 3.06.

“Owner Trustee” means [__________], not in its individual capacity solely as owner trustee of the Issuer.

“Personally Identifiable Information” has the meaning stated in Section 7.02.

“Privacy Laws” has the meaning stated in Section 7.02(a).

“Review” means the performance by the Asset Representations Reviewer of the Tests for each Review Asset in accordance with the terms of Section 3.05.

“Review Assets” means those Receivables identified by the Servicer as requiring a Review by the Asset Representations Reviewer following receipt of a Review Notice.

“Review Fee” has the meaning stated in Section 4.01(b).

“Review Notice” means a notice delivered to the Asset Representations Reviewer pursuant to Section 13.02 of the Indenture.

      “Review Materials” means the applicable documents, data, and other information listed in Exhibit A.

      “Review Report” means, with respect to a Review, the related report prepared by the Asset Representations Reviewer in accordance with the terms of Section 3.08.

      “Sale and Servicing Agreement” means the Sale and Servicing Agreement, dated as of [________], 20[__], among the Servicer, BMW FS Securities LLC, the Indenture Trustee and the Issuer, as the same may be amended, supplemented or modified from time to time.

      “Sponsor” means BMW Financial Services NA, LLC.

      “Test Fail” has the meaning stated in Section 3.05.

      “Test Pass” has the meaning stated in Section 3.05.

      “Tests” means, with respect to any Receivable, the procedures listed in Exhibit A with respect thereto.

      “Trust Agreement” means the Amended and Restated Trust Agreement, dated as of [________], 20[__], between BMW FS Securities LLC and the Owner Trustee, as the same may be amended, supplemented or modified from time to time.

      “Underwriters” means [________], [________],[________] and [________].

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ARTICLE II.

 ENGAGEMENT; ACCEPTANCE

Section 2.01       Engagement; Acceptance.

The Issuer hereby engages [__________] to act as the Asset Representations Reviewer for the Issuer.  [__________] hereby accepts the engagement and agrees to perform the obligations of the Asset Representations Reviewer on the terms stated in this Agreement.

Section 2.02       Eligibility of Asset Representations Reviewer.

The Asset Representations Reviewer is a Person who (i) is not affiliated with the Issuer, the Servicer, the Depositor, the Indenture Trustee, the Owner Trustee or any of their respective affiliates and (ii) was not engaged, or affiliated with a Person that was, engaged by the Sponsor or the Underwriters to perform pre-closing due diligence work on the Receivables; and (iii) is not disqualified by the Securities and Exchange Commission or other applicable regulatory authority from acting as the Asset Representations Reviewer hereunder.  The Asset Representations Reviewer will promptly notify the Issuer and the Servicer if it no longer satisfies, or it reasonably expects that it will no longer satisfy, the conditions described in the immediately preceding sentence.

Section 2.03       Independence of the Asset Representations Reviewer.

The Asset Representations Reviewer will be an independent contractor and will not be subject to the supervision of the Issuer for the manner in which it accomplishes the performance of its obligations under this Agreement.  Unless expressly authorized by the Issuer, the Asset Representations Reviewer will have no authority to act for or represent the Issuer and will not be considered an agent of the Issuer.  Nothing in this Agreement will make the Asset Representations Reviewer and the Issuer members of any partnership, joint venture or other separate entity or impose any liability as such on any of them.

ARTICLE III.

 DUTIES OF THE ASSET REPRESENTATIONS REVIEWER

Section 3.01       Review Scope.

The Reviews are designed to determine whether certain Receivables were in compliance with certain representations made about them in the Sale and Servicing Agreement.

The Reviews are not designed to determine any of the following:

(a)       reason for delinquency;

(b)       creditworthiness of the Obligor, either at the time of the Review or as of the time of the origination of the related Receivable;

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(c)       overall quality of any Review Asset;

(d)       whether the Servicer has serviced any Receivable in compliance with the terms of the Sale and Servicing Agreement;

(e)       whether noncompliance with the representations or warranties constitutes a breach of the [applicable] Receivables Purchase Agreement;

(f)       whether the Receivables complied with the representations and warranties set forth in the [applicable] Receivables Purchase Agreement, except as expressly described in this Agreement; or

(g)       establish cause, materiality or recourse for any failed Test as described in Section 3.05.

Section 3.02       Review Notices.

Upon receipt of a Review Notice from the Indenture Trustee, the Asset Representations Reviewer will start a Review.  Within ten (10) Business Days of its receipt of a Review Notice, the Servicer will provide a list of the Review Assets to the Asset Representations Reviewer and the Indenture Trustee.

The Asset Representations Reviewer will not be obligated to start a Review until a Review Notice and the related list of Review Assets is received by it.  The Asset Representations Reviewer is not obligated to verify (i) whether the Indenture Trustee properly determined that a Review Notice was required or (ii) the accuracy or completeness of the list of Review Assets provided by the Servicer.

Section 3.03       Review Materials.

            Within sixty (60) days of the delivery of a Review Notice, the Servicer will provide the Asset Representations Reviewer with access to the Review Materials for all of the Review Assets in one or more of the following ways: (i) by providing access to the Servicer’s systems, either remotely or at an office of the Servicer, (ii) by electronic posting to a password-protected website to which the Asset Representations Reviewer has access, (iii) by providing originals or photocopies at an office of the Servicer or (iv) in another manner agreed by the Servicer and the Asset Representations Reviewer.  The Servicer may redact or remove Personally Identifiable Information from the Review Materials to the extent such redaction or removal does not change the meaning or usefulness of the Review Materials.  The Asset Representations Reviewer shall be entitled to rely in good faith, without independent investigation or verification, that the Review Materials are accurate and complete in all material respects, and not misleading in any material respect.

Section 3.04       Missing or Insufficient Review Materials.

The Asset Representations Reviewer will review the Review Materials to determine if any Review Materials are missing or insufficient for the Asset Representations Reviewer to perform any Test.  If the Asset Representations Reviewer determines that there are missing or

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insufficient Review Materials, the Asset Representations Reviewer will notify the Servicer promptly, and in any event no less than [twenty (20)] Business days before completing the end of the Initial Review Period.  The Servicer will have [fifteen (15)] Business Days from receipt of such notification to give the Asset Representations Reviewer access to the missing Review Materials or other documents or information to correct any such insufficiency.  If the missing or insufficient Review Materials or other documents or information have not been provided by the Servicer within such [fifteen (15)] Business Day period, the related review of such Review Assets will be considered completed and the Review Report will report a Test Fail for each Test in respect of which such missing or insufficient Review Materials is necessary to determine whether a Test Pass result is appropriate.

Section 3.05       The Asset Representations Review.

For each Review, the Asset Representations Reviewer will perform, for each related Review Asset, the applicable procedures listed under “Tests” in Exhibit A for each Eligible Representation, using the Review Materials necessary to perform the procedures listed under such Test in Exhibit A.  For each Test and Review Asset, the Asset Representations Reviewer will determine if the Test has been satisfied (a “Test Pass”) or if the Test has not been satisfied (a “Test Fail”).

If a Review Asset was included in a prior Review, the Asset Representations Reviewer will not conduct additional Tests on such Review Asset, and will include the previously reported Test results in the Review Report for the current Review.  If the same Test is required for more than one Eligible Representation, the Asset Representations Reviewer will only perform the Test once for each Review Asset, and will report the results of the Test for each applicable Eligible Representation on the Review Report.

Section 3.06       Review Period.

The Asset Representations Reviewer will complete the Review of all applicable Review Assets within [sixty (60)] days after having received access to the related Review Materials pursuant to Section 3.03 (the “Initial Review Period”).  However, if additional Review Materials are provided to the Asset Representations Reviewer in respect of any Review Assets, as described in Section 3.04, the Initial Review Period will be extended for an additional [thirty (30)] days in respect of any such Review Assets.

Section 3.07       Completion of Review for Certain Review Assets.

Following the delivery of the list of the Review Assets and before the delivery of the Review Report by the Asset Representations Reviewer, the Servicer may notify the Asset Representations Reviewer if a Review Asset is paid in full by the Obligor or purchased from the Issuer in accordance with the terms of the Basic Documents.  On receipt of such notice, the Asset Representations Reviewer will immediately terminate all Tests of the related Review Asset, and the Review of such Review Asset will be considered complete (a “Test Complete”).  In this case, the related Review Report will indicate a Test Complete for such Review Asset and the related reason.

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If a Review is in process and the Notes will be paid in full on the next Payment Date, the Servicer will notify the Asset Representations Reviewer and the Indenture Trustee no less than ten (10) days before that Payment Date.  On receipt of such notice, the Asset Representations Reviewer will terminate the Review immediately and will not be obligated to deliver a Review Report.

Section 3.08       Review Report.

Within [five (5)] days following the applicable Review period described in Section 3.06, the Asset Representations Reviewer will provide the Issuer, the Sellers, the Servicer, the Administrator and the Indenture Trustee with a Review Report indicating for each Review Asset whether there was a Test Pass, Test Fail or Test Complete for each related Test.  For each Test Fail or Test Complete, the Review Report will indicate the related reason, including (for example) whether the Review Asset was a Test Fail as a result of missing or incomplete Review Materials.  The Review Report will contain a summary of the Review results to be included in the Issuer’s Form 10-D report for the Collection Period in which the Review Report is received.  The Asset Representations Reviewer will ensure that the Review Report does not contain any Personally Identifiable Information.  On reasonable request of the Servicer, the Asset Representations Reviewer will provide additional details on the Test results.

Section 3.09       Review and Procedure Limitations.

The Asset Representations Reviewer will have no obligation (i) to determine  whether a Delinquency Trigger has occurred, (ii) to determine whether the required percentage of Noteholders has voted to direct a Review, (iii) to determine which Receivables are subject to a Review, (iv) to obtain or confirm the validity of the Review Materials, (v) to obtain missing or insufficient Review Materials (except to the extent set forth in Section 3.04), (vi) to take any action or cause any other party to take any action under any of the Basic Documents to enforce any remedies for breaches of any Eligible Representations or (vii) to determine whether any Test Fail constitutes a breach of any representations or warranties contained in any Basic Document.

The Asset Representations Reviewer will only be required to perform the Tests provided in Exhibit A in consideration of the Review Materials made accessible to it in accordance with the terms of this Agreement, and will have no obligation to perform additional testing procedures on any Review Assets other than as specified in this Agreement.  The Asset Representations Reviewer will have no obligation to provide reporting or information in addition to that described in Section 3.08.  However, the Asset Representations Reviewer may review and report on additional information that it determines in good faith to be material to its performance under this Agreement.

The Issuer expressly agrees that the Asset Representations Reviewer is not advising the Issuer or any Noteholder or any investor or future investor concerning the suitability of the Notes or any investment strategy.  The Issuer expressly acknowledges and agrees that the Asset Representations Reviewer is not an expert in accounting, tax, regulatory, or legal matters, and that the Asset Representations Reviewer does not provide legal advice as to any matter.

Section 3.10       Review Systems.

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The Asset Representations Reviewer will maintain and utilize an electronic case management system to manage the Tests and provide systematic control over each step in the Review process and ensure consistency and repeatability among the Tests.

Section 3.11       Representatives.

(a)       Servicer Representative.  The Servicer will provide reasonable access to one or more designated representatives to respond to reasonable requests and inquiries made by the Asset Representations Reviewer in its completion of a Review.

(b)       Asset Representations Reviewer Representative. The Asset Representations Reviewer will provide reasonable access to one or more designated representatives to respond to reasonable requests and inquiries made by the Servicer, the Issuer or the Indenture Trustee during the Asset Representations Reviewer’s completion of a Review.  The Asset Representations Reviewer will not be obligated to respond to questions or requests for clarification from Noteholders or any other Person, and will direct any such Persons to submit written questions or requests to the Indenture Trustee.

Section 3.12       Dispute Resolution.

If a Review Asset that was the subject of Review becomes the subject of a dispute resolution proceeding under Section [____] of the Sale and Servicing Agreement, the Asset Representations Reviewer will participate in the dispute resolution proceeding on request of a party to the proceeding.  The reasonable out-of-pocket expenses of the Asset Representations Reviewer for its participation in any dispute resolution proceeding will be considered expenses of the requesting party for the dispute resolution and will be paid by a party to the dispute resolution as determined by the mediator or arbitrator for the dispute resolution according to Section [____] of the Sale and Servicing Agreement.  If not paid by a party to the dispute resolution, the reasonable expenses of the Asset Representations Reviewer will be reimbursed by the Issuer according to Section 4.03 of this Agreement.

Section 3.13       Records Retention.

The Asset Representations Reviewer will maintain copies of Review Materials, Review Reports and internal work papers and correspondence (collectively the “Client Records”) for a period of [_____] years after the delivery of the related Review Report.  At the expiration of the retention period, the Asset Representations Reviewer shall return all Client Records to the Servicer, in such format as mutually agreed by the Servicer and the Asset Representations Reviewer.  Upon the return of the Client Records, the Asset Representations Reviewer shall have no obligation to retain such Client Records or to respond to inquiries concerning the Review.

ARTICLE IV.

PAYMENTS TO ASSET REPRESENTATIONS REVIEWER

Section 4.01       Asset Representations Reviewer Fees.

(a)       Annual Fee.

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As compensation for its activities hereunder, the Asset Representations Reviewer shall be entitled to receive an annual fee (the “Annual Fee”) with respect to each annual period prior to the termination of the Issuer, in an amount equal to $[_____].  The Annual Fee will be paid in accordance with Section 4.01(c).

(b)       Review Fee.

Following the completion of a Review and the delivery to the Indenture Trustee, the Issuer, the Sellers, the Servicer and the Administrator of the related Review Report, or the termination of a Review according to Section 3.07, and the delivery to the Servicer, the Sellers, the Issuer, the Administrator and the Indenture Trustee of a detailed invoice, the Asset Representations Reviewer will be entitled to a fee of $[_____] for each Review Asset for which a Review was started (the “Review Fee”).  However, no Review Fee will be charged for any Review Asset which was included in a prior Review or for which no Tests were completed prior to the Asset Representations Reviewer being notified of a termination of the Review according to Section 3.07 or due to missing or insufficient Review Materials in accordance with Section 3.04.

(c)       Payment.

All payments required to be made to the Asset Representations Reviewer shall be made to the following wire account or to such other account as may be specified by the Asset Representations Reviewer from time to time:

[__________]

ABA#: [__________]

Account Name:      [__________]

Account No.:  [__________]

Beneficiary:  [__________]

REF:  [__________]

The initial Annual Fee will be paid by the Servicer on the Closing Date. Each other Annual Fee, each Review Fee and the amount of any properly invoiced expenses or claims to be reimbursed or paid by the Issuer pursuant to the terms of this Agreement, will become due and payable by the Issuer (i) in the case of such other Annual Fees, on the Payment Date following each anniversary of the Closing Date until this Agreement is terminated, and (ii) in the case of the Review Fee and such other expenses or claims (including under Section 4.02 or Section 4.03), in accordance with the priority of payments set forth in Section 5.06(b) of the Sale and Servicing Agreement; provided that, if a Review is terminated in accordance with Section 3.07, the Asset Representations Reviewer must submit its invoice for the related Review Fee no later than ten (10) Business Days before the final Payment Date in order to be reimbursed on such final Payment Date.

Section 4.02       Reimbursable Expenses.

If the Servicer provides access to the Review Materials at one of its properties, the Issuer will reimburse the Asset Representations Reviewer for its reasonable travel expenses incurred in

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connection with the Review upon receipt of a detailed written invoice provided to the Issuer and the Servicer; provided that such expenses may not exceed [_______] for any Review.

Section 4.03       Dispute Resolution Expenses.

If the Asset Representations Reviewer participates in a dispute resolution proceeding under Section 3.12 of this Agreement and its reasonable out-of-pocket expenses for participating in the proceeding are not paid by a party to the dispute resolution within ninety (90) days after the end of the proceeding, the Issuer will reimburse the Asset Representations Reviewer for such expenses upon receipt of a detailed written invoice.  Such expenses shall be paid on the Payment Date in the calendar month subsequent to the calendar month in which such invoice is received.

ARTICLE V.

 OTHER MATTERS PERTAINING TO THE ASSET REPRESENTATIONS REVIEWER

Section 5.01       Representations and Warranties of the Asset Representations Reviewer.

The Asset Representations Reviewer hereby makes the following representations, warranties and covenants as of the Closing Date:

(a)       Organization and Good Standing.  The Asset Representations Reviewer is a [__________] duly formed and validly existing in good standing under the laws of the State of [__________], with the power and authority to own its properties and to conduct its business as such properties are currently owned and such business is presently conducted, and has the power, authority and legal right to perform its obligations under this Agreement.

(b)       Due Qualification.  The Asset Representations Reviewer is duly qualified to do business and has obtained all necessary licenses and approvals in all jurisdictions in which the ownership or lease of property or the conduct of its business shall require such qualifications.

(c)       Due Authorization.  The execution, delivery and performance by the Asset Representations Reviewer of this Agreement have been duly authorized by the Asset Representations Reviewer by all necessary corporate action on the part of the Asset Representations Reviewer and this Agreement will remain, from the time of its execution, an official record of the Asset Representations Reviewer.

(d)       Binding Obligation.  This Agreement constitutes a legal, valid and binding obligation of the Asset Representations Reviewer enforceable in accordance with its terms subject to bankruptcy, insolvency and other similar laws affecting creditors’ rights generally and subject to equitable principles.

(e)       No Violation. The execution and delivery of this Agreement by the Asset Representations Reviewer, and the performance by the Asset Representations Reviewer of the obligations contemplated by this Agreement and the fulfillment by the Asset Representations Reviewer of the terms hereof applicable to the Asset Representations Reviewer, will not conflict with, violate, result in any breach of any of the material terms and provisions of, or constitute

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(with or without notice or lapse of time or both) a default under, any Federal or state statute, rule or regulation that is applicable to the Asset Representations Reviewer or any indenture, contract, agreement, mortgage, deed of trust or other instrument to which the Asset Representations Reviewer is a party or by which it is bound.

(f)       No Proceedings.  There are no proceedings or investigations pending or, to the best knowledge of the Asset Representations Reviewer, threatened against the Asset Representations Reviewer before any court, regulatory body, administrative agency or other tribunal or governmental instrumentality seeking to prevent the issuance of the Notes or the Certificates or the consummation of any of the transactions contemplated by this Agreement, seeking any determination or ruling that, in the reasonable judgment of the Asset Representations Reviewer, would materially and adversely affect the performance by the Asset Representations Reviewer of its obligations under this Agreement, or seeking any determination or ruling that would materially and adversely affect the validity or enforceability of this Agreement.

(g)       Compliance with Applicable Law.  The Asset Representations Reviewer will act in accordance with all requirements applicable to an asset representations reviewer under applicable law (as amended from time to time) and other state or federal securities law applicable to asset representations reviewers in effect during the term of this Agreement.

Section 5.02       Limitation of Liability.

To the fullest extent permitted by applicable law, the Asset Representations Reviewer shall not be under any liability to the Issuer, the Servicer, or the Indenture Trustee, or any other Person for any action taken or not taken, in each case in good faith and in its capacity as Asset Representations Reviewer pursuant to this Agreement, or for errors in judgment, whether arising from express or implied duties under this Agreement; provided, however, that this provision shall not protect the Asset Representations Reviewer against any liability which would otherwise by imposed by reason of willful misconduct, bad faith, or negligence in the performance of its duties or by reason of reckless disregard of its obligations and duties hereunder.  In no event will the Asset Representations Reviewer be liable for special, indirect or consequential loss or damage (including loss of profit) even if the Asset Representations Reviewer has been advised of the likelihood of the loss or damage and regardless of the form of action.

 The Asset Representations Reviewer and any director, officer, employee, or agent may rely in good faith on any document of any kind prima facie properly executed and submitted by any Person respecting any matters arising hereunder.  The Asset Representations Reviewer shall not be under any obligation to appear in, prosecute or defend any legal action which is not incidental to its duties under this Agreement which in its reasonable opinion may involve it in any expense or liability in respect of which it shall not have received sufficient security or indemnity.

Section 5.03       Inspections of Asset Representations Reviewer

The Asset Representations Reviewer agrees that, with reasonable prior notice not more than once during any year, it will permit authorized representatives of the Issuer, the Servicer or the Administrator, during the Asset Representations Reviewer’s normal business hours, to

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examine and review the books of accounts, records, reports and other documents and materials of the Asset Representations Reviewer relating to (a) the performance of the Asset Representations Reviewer’s obligations under this Agreement, (b) payments of fees and expenses of the Asset Representations Reviewer for its performance under this Agreement and (c) any claim made by the Asset Representations Reviewer under this Agreement. In addition, the Asset Representations Reviewer will permit the Issuer’s, the Servicer’s or the Administrator’s representatives to make copies and extracts of any of those documents and to discuss them with the Asset Representations Reviewer’s officers and employees.  Each of the Issuer, the Servicer and the Administrator, will, and will cause its authorized representatives to, hold in confidence such information except if disclosure may be required by law or if the Issuer, the Servicer or the Administrator reasonably determines that it is required to make the disclosure under this Agreement or the other Basic Documents.  The Asset Representations Reviewer will maintain all relevant books, records, reports and other documents and materials for a period of at least two years after the termination of its obligations under this Agreement.

Section 5.04       Indemnification of Asset Representations Reviewer.

The Issuer will indemnify the Asset Representations Reviewer and its officers, directors, employees and agents (each, an “ARR Indemnified Person”), for all costs, expenses, losses, damages and liabilities resulting from the performance of its obligations under this Agreement (including the costs and expenses of defending itself against any loss, damage or liability), but excluding any cost, expense, loss, damage or liability resulting from (i) the Asset Representations Reviewer’s willful misconduct, bad faith or negligence or reckless disregard of its obligations and duties hereunder or (ii) the Asset Representations Reviewer’s breach of any of its representations,  warranties, covenants or agreements in this Agreement.

Section 5.05       Proceedings

Promptly on receipt by an ARR Indemnified Person of notice of a Proceeding against it, the ARR Indemnified Person, will, if a claim is to be made under Section 5.04, notify the Issuer and the Servicer of the Proceeding.  The Issuer or the Servicer may participate in and assume the defense and settlement of a Proceeding at its expense.  If the Issuer or the Servicer notifies the ARR Indemnified Person of its intention to assume the defense of the Proceeding with counsel reasonably satisfactory to the ARR Indemnified Person, and so long as the Issuer or the Servicer assumes the defense of the Proceeding in a manner reasonably satisfactory to the ARR Indemnified Person, the Issuer and the Servicer will not be liable for legal expenses of counsel to the ARR Indemnified Person unless there is a conflict between the interests of the Issuer or the Servicer, as applicable, and an ARR Indemnified Person.  If there is a conflict, the Issuer or the Servicer will pay for the reasonable fees and expenses of separate counsel to the ARR Indemnified Person.  No settlement of a Proceeding may be made without the approval of the Issuer and the Servicer and the ARR Indemnified Person, which approval will not be unreasonably withheld.

Section 5.06       Delegation of Obligations

The Asset Representations Reviewer may not delegate or subcontract its obligations under this Agreement to any Person without the consent of the Issuer and the Servicer.

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Section 5.07       Indemnification by Asset Representations Reviewer.

      To the fullest extent permitted by law, the Asset Representations Reviewer shall indemnify and hold harmless the Issuer, the Depositor, the Servicer, the Owner Trustee and the Indenture Trustee, and their respective officers, directors, trustees, successors, assigns, legal representatives, agents, and servants (each an “Indemnified Person”), from and against any and all liabilities, obligations, losses, damages, penalties, taxes, claims, actions, investigations, proceedings, costs, expenses or disbursements (including reasonable legal fees and expenses) of any kind and nature whatsoever which may be imposed on, incurred by, or asserted at any time against an Indemnified Person (whether or not also indemnified against by any other person) which arose out of the negligence, willful misconduct or bad faith of the Asset Representations Reviewer in the performance of its obligations and duties under this Agreement; provided, however, that the Asset Representations Reviewer shall not be liable for or required to indemnify an Indemnified Person from and against expenses arising or resulting from (i) the Indemnified Person’s own willful misconduct, bad faith or negligence, or (ii) the inaccuracy of any representation or warranty made by the Indemnified Person.

      In case any such action, investigation or proceeding will be brought involving an Indemnified Person, the Asset Representations Reviewer will assume the defense thereof, including the employment of counsel and the payment of all expenses.  The Issuer, the Depositor, the Servicer and the Indenture Trustee each will have the right to employ separate counsel in any such action, investigation or proceeding and to participate in the defense thereof and the reasonable attorney’s fees will be paid by the Asset Representations Reviewer.  In the event of any claim, action, or proceeding for which indemnity will be sought pursuant to this Section 5.07, the Issuer’s, the Depositor’s, the Servicer’s and the Indenture Trustee’s choice of legal counsel shall be subject to the approval of the Asset Representations Reviewer, which approval shall not be unreasonably withheld.

      The indemnification obligations set forth in Section 5.04 and this Section 5.07 will survive the termination of this Agreement and the resignation or removal of the Asset Representations Reviewer.  The obligations pursuant to this Section 5.07 shall not constitute a claim against the Issuer or the Trust Estate (as defined in the Indenture) and shall not be liable for any amount in excess of the fees received by it in accordance with the terms of this Agreement.

ARTICLE VI.

 REMOVAL, RESIGNATION

Section 6.01       Removal of Asset Representations Reviewer.

If any one of the following events (“Disqualification Events”) shall occur and be continuing:

(a)       the Asset Representations Reviewer no longer meets the eligibility requirements in Section 2.02;

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(b)       any failure by the Asset Representations Reviewer duly to observe or perform in any material respect any other covenant or agreement of the Asset Representations Reviewer set forth in this Agreement; or

(c)       an Insolvency Event occurs with respect to the Asset Representations Reviewer;

then, the Issuer may, but shall not be required to, remove the Asset Representations Reviewer and promptly appoint a successor Asset Representations Reviewer by written instrument, in duplicate, one copy of which instrument shall be delivered to the Asset Representations Reviewer so removed and one copy to the successor Asset Representations Reviewer. Any removal of the Asset Representations Reviewer shall not take effect until a successor Asset Representations Reviewer is assigned in accordance with Section 6.02.

Section 6.02       Appointment of Successor.

If a successor Asset Representations Reviewer has not been appointed by the Issuer within thirty (30) days after the giving of written notice of resignation by the Asset Representations Reviewer pursuant to Section 6.04 or the delivery of the written instrument with respect to the removal of the Asset Representations Reviewer pursuant to Section 6.04, the Asset Representations Reviewer or the Indenture Trustee may apply to any court of competent jurisdiction to appoint a successor Asset Representations Reviewer meeting the requirements of Section 2.02 to act until such time, if any, as a successor Asset Representations Reviewer has been appointed as above provided.

Section 6.03       Merger or Consolidation of, or Assumption of the Obligations of, Asset the Representations Reviewer.

Any Person (a) into which the Asset Representations Reviewer is merged or consolidated, (b) resulting from any merger or consolidation to which the Asset Representations Reviewer is a party or (c) succeeding to the business of the Asset Representations Reviewer, if that Person meets the eligibility requirements in Section 2.02, will be the successor to the Asset Representations Reviewer under this Agreement.  Such Person shall execute and deliver to the Issuer, the Servicer and the Indenture Trustee an agreement to assume the Asset Representations Reviewer’s obligations under this Agreement (unless the assumption happens by operation of law).

Section 6.04       Asset Representations Reviewer Not to Resign.

The Asset Representations Reviewer shall not resign from the obligations and duties hereby imposed on it except upon determination that (i) the performance of its duties hereunder is no longer permissible under applicable law and (ii) there is no reasonable action which the Asset Representations Reviewer could take to make the performance of its duties hereunder permissible under applicable law. Any such determination permitting the resignation of the Asset Representations Reviewer shall be evidenced as to clause (i) above by an Opinion of Counsel and as to clause (ii) by an officer’s certificate of the Asset Representations Reviewer, each to such effect delivered to the Issuer, the Servicer, and the Indenture Trustee.  The Asset Representations Reviewer shall promptly notify the Issuer, the Servicer and the Indenture

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Trustee upon having made any such determination permitting its resignation hereunder, and shall provide, with such notice, appropriate evidence thereof (as described in the immediately preceding sentence). No such resignation shall become effective until a successor Asset Representations Reviewer shall have assumed the responsibilities and obligations of the Asset Representations Reviewer in accordance with Section 6.02 hereof.

Section 6.05       Cooperation of Asset Representations Reviewer.

In the event of any resignation or removal of the Asset Representations Reviewer pursuant to the terms of this Agreement, the Asset Representations Reviewer shall cooperate with the Issuer and the Servicer and take all reasonable steps requested to assist the Issuer and the Servicer in making an orderly transfer of the duties of the Asset Representations Reviewer.

ARTICLE VII.

 TREATMENT OF CONFIDENTIAL INFORMATION

Section 7.01       Confidential Information.

(a)       Treatment.  The Asset Representations Reviewer agrees to hold and treat Confidential Information given to it under this Agreement in confidence and under the terms and conditions of this Section 7, and will implement and maintain safeguards to further assure the confidentiality of the Confidential Information.  The Confidential Information will not, without the prior consent of the Issuer and the Servicer, be disclosed or used by the Asset Representations Reviewer, or its officers, directors, employees, agents, representatives or affiliates, including legal counsel (collectively, the “Information Recipients”) other than for the purposes of performing Reviews of Review Assets or performing its obligations under this Agreement.  The Asset Representations Reviewer agrees that it will not, and will cause its Affiliates to not (i) purchase or sell securities issued by the Issuer or its Affiliates or special purpose entities on the basis of Confidential Information or (ii) use the Confidential Information for the preparation of research reports, newsletters or other publications or similar communications.

(b)       Definition.  “Confidential Information” means oral, written and electronic materials (irrespective of its source or form of communication) furnished before, on or after the date of this Agreement to the Asset Representations Reviewer for the purposes contemplated by this Agreement, including:

(i)       lists of Review Assets and any related Review Materials;

(ii)       origination and servicing guidelines, policies and procedures, and form contracts; and

(iii)       notes, analyses, compilations, studies or other documents or records prepared by the Servicer, which contain information supplied by or on behalf of the Servicer or its representatives.

However, Confidential Information will not include information that (A) is or becomes generally available to the public other than as a result of disclosure by the Information

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Recipients, (B) was available to, or becomes available to, the Information Recipients on a non-confidential basis from a Person or entity other than the Issuer or the Servicer before its disclosure to the Information Recipients who, to the knowledge of the Information Recipient is not bound by a confidentiality agreement with the Issuer or the Servicer and is not prohibited from transmitting the information to the Information Recipients, (C) is independently developed by the Information Recipients without the use of the Confidential Information, as shown by the Information Recipients’ files and records or other evidence in the Information Recipients’ possession or (D) the Issuer or the Servicer provides permission to the applicable Information Recipients to release.

(c)       Protection.  The Asset Representations Reviewer will take reasonable measures to protect the secrecy of and avoid disclosure and unauthorized use of Confidential Information, including those measures that it takes to protect its own confidential information and not less than a reasonable standard of care.  The Asset Representations Reviewer acknowledges that Personally Identifiable Information is also subject to the additional requirements in Section 7.02.

(d)       Disclosure.  If the Asset Representations Reviewer is required by applicable law, regulation, rule or order issued by an administrative, governmental, regulatory or judicial authority to disclose part of the Confidential Information, it may disclose the Confidential Information.  However, before a required disclosure, the Asset Representations Reviewer, if permitted by law, regulation, rule or order, will use its reasonable efforts to provide the Issuer and the Servicer with notice of the requirement and will cooperate, at the Servicer’s expense, in the Issuer’s and the Servicer’s pursuit of a proper protective order or other relief for the disclosure of the Confidential Information.  If the Issuer or the Servicer is unable to obtain a protective order or other proper remedy by the date that the information is required to be disclosed, the Asset Representations Reviewer will disclose only that part of the Confidential Information that it is advised by its legal counsel it is legally required to disclose.

(e)       Responsibility for Information Recipients.  The Asset Representations Reviewer will be responsible for a breach of this Article VII by its Information Recipients.

(f)       Violation.  The Asset Representations Reviewer agrees that a violation of this Agreement may cause irreparable injury to the Issuer and the Servicer and the Issuer and the Servicer may seek injunctive relief in addition to legal remedies.  If an action is initiated by the Issuer or the Servicer to enforce this Article VII, the prevailing party will be entitled to reimbursement of costs and expenses, including reasonable attorney’s fees, incurred by it for the enforcement.

Section 7.02       Safeguarding Personally Identifiable Information.

(a)       Definition.  “Personally Identifiable Information” means information in any format about an identifiable individual, including, name, address, phone number, e-mail address, account number(s), identification number(s), any other actual or assigned attribute associated with or identifiable to an individual and any information that when used separately or in combination with other information could identify an individual, as further described in § 501(b) of the Gramm-Leach-Bliley Act and the Interagency Guidelines Establishing Standards for Safeguarding Customer Information (12 C.F.R. Section 208, Appendix D-2) (collectively, the

15

“Privacy Laws”), that is provided or made available to the Asset Representations Reviewer pursuant to this Agreement.  “Issuer PII” means Personally Identifiable Information furnished by the Issuer, the Servicer or their Affiliates to the Asset Representations Reviewer and Personally Identifiable Information developed or otherwise collected or acquired by the Asset Representations Reviewer in performing its obligations under this Agreement.

(b)       Use of Issuer PII.  The Asset Representations Reviewer will not disclose Issuer PII to its personnel or allow its personnel access to Issuer PII except (A) for the Asset Representations Reviewer personnel who require Issuer PII to perform a Review, (B) with the prior consent of the Issuer and the Servicer or (C) as required by applicable law.  When permitted, the disclosure of or access to Issuer PII will be limited to the specific information necessary for the individual to complete the assigned task.  The Asset Representations Reviewer will inform personnel with access to Issuer PII of the confidentiality requirements in this Agreement and train its personnel with access to Issuer PII on the proper use and protection of Issuer PII.  The Asset Representations Reviewer will not sell, disclose, provide or exchange Issuer PII with or to any third party without the prior consent of the Issuer and the Servicer.

(c)       Safeguards.  The Issuer does not grant the Asset Representations Reviewer any rights to Issuer PII except as provided in this Agreement.  The Asset Representations Reviewer will use Issuer PII only to perform its obligations under this Agreement or as specifically directed in writing by the Issuer and will only reproduce Issuer PII to the extent necessary for these purposes.  The Asset Representations Reviewer must comply with all laws applicable to Personally Identifiable Information, Issuer PII and the Asset Representations Reviewer’s business, including any legally required codes of conduct, including those relating to privacy, security and data protection.  The Asset Representations Reviewer will protect and secure the Issuer PII.  The Asset Representations Reviewer will implement privacy or data protection policies and procedures that comply with applicable law and this Agreement.  The Asset Representations Reviewer will implement and maintain reasonable and appropriate practices, procedures and systems, including administrative, technical and physical safeguards designed to (i) protect the security, confidentiality and integrity of Issuer PII, (ii) ensure against anticipated threats or hazards to the security or integrity of Issuer PII, (iii) protect against unauthorized access to or use of Issuer PII and (iv) otherwise comply with its obligations under this Agreement.  These safeguards include a written data security plan, employee training, information access controls, restricted disclosures, systems protections (e.g., intrusion protection, data storage protection and data transmission protection) and physical security measures.

(d)       Information. The Asset Representations Reviewer agrees to provide the Issuer with information regarding its privacy and information security systems, policies and procedures as the Issuer may reasonably request relating to compliance with this Agreement and applicable Privacy Laws. The Asset Representations Reviewer shall provide training in the Privacy Laws and the Asset Representations Reviewer’s information security policies to all personnel whose duties pursuant to this Agreement could bring them in contact with Personally Identifiable Information.

(e)       Breach.  The Asset Representations Reviewer will notify the Issuer and the Servicer promptly in the event of an actual or reasonably suspected security breach, unauthorized access, misappropriation or other compromise of the security, confidentiality or integrity of

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Issuer PII and, where applicable, immediately take action to prevent any further breach.  In the event of any actual or apparent theft, unauthorized use or disclosure of any Personally Identifiable Information, the Asset Representations Reviewer will commence all reasonable efforts to investigate and correct the causes and remediate the results thereof, and as soon as practicable following discovery of any such event, provide the Issuer notice thereof, and such further information and assistance as may be reasonably requested.

(f)       Return or Disposal of Issuer PII.  Except where return or disposal is prohibited by applicable law, promptly on the earlier of the completion of a Review or the request of the Issuer, all Issuer PII in any medium in the Asset Representations Reviewer’s possession or under its control will be (i) destroyed in a manner that prevents its recovery or restoration or (ii) if so directed by the Issuer, returned to the Issuer without the Asset Representations Reviewer retaining any actual or recoverable copies, in both cases, without charge to the Issuer.  Where the Asset Representations Reviewer retains Issuer PII, the Asset Representations Reviewer will limit the Asset Representations Reviewer’s further use or disclosure of Issuer PII to that required by applicable law.

(g)             Compliance; Modification.  The Asset Representations Reviewer will cooperate with and provide information to the Issuer regarding the Asset Representations Reviewer’s compliance with this Section 7.02.  The Asset Representations Reviewer, the Issuer and the Servicer agree to modify this Section 7.02 as necessary for either party to comply with applicable law.

(h)             Audit of Asset Representations Reviewer.  The Asset Representations Reviewer will permit the Issuer, the Servicer and their respective authorized representatives to audit the Asset Representations Reviewer’s compliance with this Section 7.02 during the Asset Representations Reviewer’s normal business hours on reasonable advance notice to the Asset Representations Reviewer, and not more than once during any year unless circumstances necessitate additional audits.  The Issuer and the Servicer agree to make reasonable efforts to schedule any audit described in this Section 7.02 with the inspections described in Section 5.03.  The Asset Representations Reviewer will also permit the Issuer during normal business hours on reasonable advance written notice to audit any service providers used by the Asset Representations Reviewer to fulfill the Asset Representations Reviewer’s obligations under this Agreement.

(i)             Affiliates and Third Parties.  If the Asset Representations Reviewer processes the Issuer PII of the Issuer’s Affiliates or a third party when performing a Review, and if such Affiliate or third party is identified to the Asset Representations Reviewer, such Affiliate or third party is an intended third-party beneficiary of this Section 7.02, and this Agreement is intended to benefit the Affiliate or third party.  The Affiliate or third party may enforce the Issuer PII related terms of this Section 7.02 against the Asset Representations Reviewer as if each were a signatory to this Agreement.

ARTICLE VIII.

 OTHER MATTERS PERTAINING TO THE ISSUER

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Section 8.01       Termination of the Issuer.

This Agreement will terminate, except for obligations under Article VII and Sections 5.04 and 5.07, on the earlier of (i) the payment in full of all outstanding Notes and the satisfaction and discharge of the Indenture and (ii) the date the Issuer is terminated in accordance with the terms of the Trust Agreement.

ARTICLE IX.

MISCELLANEOUS PROVISIONS

Section 9.01       Amendment.

(a)      This Agreement may be amended by the Asset Representations Reviewer, the Issuer and the Servicer, without the consent of any of the Noteholders, (i) to comply with any change in any applicable federal or state law, to cure any ambiguity, to correct or supplement any provisions in this Agreement or for the purpose of adding any provisions to or changing in any manner or eliminating any of the provisions in this Agreement; provided, however, that such action shall not, as evidenced by an Opinion of Counsel delivered to the Issuer and the Servicer, adversely affect in any material respect the interests of any Noteholder whose consent has not been obtained, or (ii) to correct any manifest error in the terms of this Agreement as compared to the terms expressly set forth in the Prospectus.

(b)      This Agreement may also be amended from time to time by the Asset Representations Reviewer, the Issuer and the Servicer, with the consent of the Noteholders of Notes evidencing at least a majority of the Outstanding Amount of the Notes, for the purpose of adding any provisions to or changing in any manner or eliminating any of the provisions of this Agreement or of modifying in any manner the rights of the Noteholders.

(c)       It shall not be necessary for any consent of Noteholders pursuant to this Section 9.01 to approve the particular form of any proposed amendment or consent, but it shall be sufficient if such consent shall approve the substance thereof.

(d)      Prior to the execution of any amendment to this Agreement, the Owner Trustee shall be entitled to receive and rely upon an Opinion of Counsel stating that the execution of such amendment is authorized or permitted by this Agreement.  The Owner Trustee may, but shall not be obligated to, execute and deliver such amendment which affects its rights, powers, duties or immunities hereunder.

Section 9.02       Notices.

All notices hereunder shall be given by United States certified or registered mail, by facsimile or by other telecommunication device capable of creating written record of such notice and its receipt.  Notices hereunder shall be effective when received and shall be addressed to the respective parties hereto at the addresses set forth below, or at such other address as shall be designated by any party hereto in a written notice to each other party pursuant to this section.

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If to the Asset Representations Reviewer, to:

[__________________________________]

If to the Issuer, to:

[__________________________________]

If to the Servicer, to:

[__________________________________]

Section 9.03       Severability Clause.

This Agreement constitutes the entire agreement among the Asset Representations Reviewer, the Issuer and the Servicer. All prior representations, statements, negotiations and undertakings with regard to the subject matter hereof are superseded hereby.

If any term or provision of this Agreement or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, the remaining terms and provisions of this Agreement, or the application of such terms or provisions to persons or circumstances other than those as to which it is held invalid or unenforceable, shall not be affected thereby, and each term and provision of this Agreement shall be valid and enforced to the fullest extent permitted by law.

Section 9.04       Counterparts.

This Agreement may be executed simultaneously in any number of counterparts.  Each counterpart shall be deemed to be an original, and all such counterparts shall constitute one and the same instrument.

Section 9.05       Governing Law.

THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS (OTHER THAN SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW), AND THE OBLIGATIONS, RIGHTS AND REMEDIES OF THE PARTIES HEREUNDER SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.

Section 9.06       Relationship of the Parties.

The Asset Representations Reviewer is an independent contractor and, except for the services which it agrees to perform hereunder, the Asset Representations Reviewer does not hold itself out as an agent of any other party hereto.  Nothing herein contained shall create or imply an agency relationship among the Asset Representations Reviewer and any other party hereto, nor shall this Agreement be deemed to constitute a joint venture or partnership between the parties.

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Section 9.07       Captions.

The captions used herein are for the convenience of reference only and not part of this Agreement, and shall in no way be deemed to define, limit, describe or modify the meanings of any provision of this Agreement.

Section 9.08       Waivers.

No term or provision of this Agreement may be waived or modified unless such waiver or modification is in writing, and signed by the party against whom such waiver or modification is sought to be enforced.

Section 9.09       Assignment.

This Agreement may not be assigned by the Asset Representations Reviewer except as permitted under Section 6.03 hereof.

Section 9.10       Benefit of the Agreement; Third-Party Beneficiaries.

This Agreement is for the benefit of and will be binding on the parties to this Agreement and their permitted successors and assigns.  The Owner Trustee and the Indenture Trustee, for the benefit of the Noteholders, will be third-party beneficiaries of this Agreement entitled to enforce this Agreement against the Asset Representations Reviewer and the Servicer.  No other Person will have any right or obligation under this Agreement, except as provided in Section 7.02(i).

Section 9.11       Exhibits.

The exhibits to this Agreement are hereby incorporated and made a part hereof and are an integral part of this Agreement.

Section 9.12       No Petition

Each of the parties hereto covenants and agrees that prior to the date that is one year and one day after the date upon which all obligations and payments under the Securitized Financing have been paid in full, they will not (and, to the fullest extent permitted by applicable law, the Indenture Trustee shall not have the power to) institute against, or join any Person in instituting against the Issuer, the Depositor, the Indenture Trustee or any Affiliate or beneficiary of the same, any bankruptcy, reorganization, arrangement, insolvency or liquidation proceeding or other proceedings under any United States federal or state bankruptcy or similar law; provided, however, that nothing herein shall be deemed to prohibit the Asset Representations Reviewer from filing a claim in, or otherwise participating in, any such action or proceeding.

Section 9.13       Limitation of Liability of Owner Trustee

The parties hereto are put on notice and hereby acknowledge and agree that (a) this Agreement is executed and delivered by [________], not individually or personally but solely as Owner Trustee of the Issuer, in the exercise of the powers and authority conferred and vested in

20

it, (b) each of the representations, undertakings and agreements herein made on the part of the Issuer is made and intended not as personal representations, undertakings and agreements by [______] but is made and intended for the purpose of binding only the Issuer, (c) nothing herein contained shall be construed as creating any liability on [_________], individually or personally, to perform any covenant either expressed or implied contained herein of the Issuer, all such liability, if any, being expressly waived by the parties hereto and by any Person claiming by, through or under the parties hereto, (d) [________] has made no investigation as to the accuracy or completeness of any representations and warranties made by the Issuer in this Agreement and (e) under no circumstances shall [_________] be personally liable for the payment of any indebtedness or expenses of the Issuer or be liable for the breach or failure of any obligation, representation, warranty or covenant made or undertaken by the Issuer under this Agreement or any other related documents.

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IN WITNESS WHEREOF, the Issuer, the Servicer and the Asset Representations Reviewer have caused their names to be signed hereto by their respective officers thereunto duly authorized as of the date first above written.

BMW VEHICLE OWNER TRUST 20[__]-[__],

 as Issuer

By:                                                                                                  

Name:

Title:

BMW FINANCIAL SERVICES NA, LLC,

as Servicer

By:                                                                                                  

Name:

Title:

By:                                                                                                  

Name:

Title:

[__________],

as Asset Representations Reviewer

By:                                                                                                  

Name:

Title:

22

EXHIBIT A

TESTS

23Exhibit 10.18

 

EMPLOYMENT SECURITY
AGREEMENT

 

This
Employment Security Agreement (the “Agreement”) is made by and between Internap Corporation (“Company”)
and Kevin M. Dotts (“Employee”) this 15th day of February, 2016 (the “Effective Date”).

 

WHEREAS, in order to achieve its
long-term objectives, Company recognizes that it is essential to attract and retain qualified key employees; and

 

WHEREAS, in consideration of the
valuable service for, and critical contribution to the success of Company, Company desires to provide Employee with certain benefits
in the event Employee’s employment is terminated, either in connection with or unrelated to a Change of Control of Company,
on the terms and subject to the conditions set forth in this Agreement. Capitalized terms that are used in this Agreement but not
defined in connection with their use are defined in Article V.

 

NOW, THEREFORE, in consideration
of the promises and of the mutual covenants herein contained and other good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged, it is agreed as follows:

 

ARTICLE I

TERMINATION BENEFITS

 

		1.1	General Termination Benefits. If Employee incurs
a Qualifying Termination other than during a Protection Period, Employee will receive the following termination benefits:

 

		(a)	Severance Pay. Subject to Section 1.4 and Article
2, Employee will receive severance pay in an amount equal to twelve (12) months of Base Compensation to be paid monthly in equal
installments payable over a twelve (12) month period, in accordance with the Company’s normal payroll schedule, beginning
with the first such date that is at least sixty (60) days after the date of Employee’s Qualifying Termination (the “Initial
Payment Date”), provided that the general release required pursuant to Article 2 has been executed and delivered to Company
and has become irrevocable by such date.

 

		(b)	Accrued Obligations. Employee will be entitled
to (i) payment of any earned and unpaid Base Compensation as of Termination of Employment, (ii) payment of any earned but unpaid
other amounts due as of the Termination of Employment, including, but, not limited to, any unpaid, earned bonus for any prior
fiscal year, and (iii) payment of any earned but unused paid time off as of the Termination of Employment, only to the extent
such paid time off is to be paid out under the vacation plan or policy sponsored by Company that is applicable to Employee (the
“Accrued Obligations”). Accrued Obligations described in clause (i) above will be paid as part of Employee’s
final ordinary payroll payment from Company for active employment or contemporaneously with such payment, but in no event later
than the period required by local law, and Accrued Obligations described in clauses (ii) and (iii) above will be paid in accordance
with the terms of the plan, policy, agreement or arrangement under which they arose (including with respect to time of payment
or distribution).

 

 

Exhibit A- Schedule
A

 

     

     

    

 

		(c)	Equity Compensation Adjustments. Any equity-based
compensation awards granted to Employee by Company that vested prior to such Termination of Employment will be governed by the
terms of such awards and the controlling equity plan or agreement. Any equity-based compensation awards granted to Employee by
Company that are unvested on Termination of Employment will, subject to Section 1.2(c), expire, unless otherwise provided in such
awards or equity plan or agreement. Following Employee’s Termination of Employment, Company will not grant Employee any
equity-based compensation awards.

 

		(d)	401(k) Plan. The terms of the 401(k) Plan will govern
the Employee’s account balance, if any, under such 401(k) Plan.

 

Company’s
obligations pursuant to this Section 1.1 shall survive Employee’s death.

 

		1.2	Termination Benefits in Connection with a Change of
Control. If Employee incurs a Qualifying Termination during a Protection Period, Employee will receive the following termination
benefits:

 

		(a)	Severance Pay. Subject to Section 1.4 and Article
2, Employee will receive severance pay in an amount equal to the sum of (i) twelve (12) months of Base Compensation, and (ii)
Bonus, (“Severance Pay”) such Severance Pay to be paid in a single lump-sum on the first Company payroll date that
is at least sixty (60) days after the later of (1) the date of Employee’s Qualifying Termination, or (2) the date of the
Change of Control, but only if the general release required pursuant to Article 2 has been executed and delivered to Company and
has become irrevocable in accordance with its terms by such date. The Severance Pay payable pursuant to this Section 1.2(a) will
be reduced by the aggregate dollar amount to be paid under Section 1.1(a) above (whether such amount has already been paid or
is to be paid in the future), and all amounts payable under Section 1.1(a) shall continue to be paid in the manner provided in,
and at the times required by, Section 1.1(a) above with no changes. For purposes of this Section 1.2, “Bonus”
shall mean the “maximum” bonus for Employee for the year in which the Termination of Employment occurs under the applicable
bonus plan as established by Company’s Board of Directors.

 

		(b)	Accrued Obligations. Employee will be entitled to
payment of any Accrued Obligations in accordance with the provisions of Section 1.1(b).

 

		(c)	Equity Compensation Adjustments. Any equity-based
compensation awards granted to Employee by Company that vested prior to such Termination of Employment will be governed by the
terms of such awards and the controlling equity plan or agreement. Any equity-based compensation awards granted to Employee by
Company that are unvested on Termination of Employment will vest immediately upon Termination of Employment, unless otherwise
provided in such awards or equity plan or agreement. Any such unvested equity-based compensation awards that are performance-based
shall be deemed to vest at target unless otherwise provided in such awards or equity plan or agreement. Following Termination
of Employment, Company will not grant Employee any equity-based compensation awards.

 

		(d)	401(k) Plan. The terms of the 401(k) Plan will govern
Employee’s account balance, if any, under such 401(k) Plan.

 

     

     

    

 

		(e)	Conditional Cap on Severance Pay. If the Employee
is a “disqualified individual” (as defined in Section 280G of the Internal Revenue Code of 1986, as amended (the “Code”)),
and if the payments to Employee pursuant to this Agreement (when considered with all other payments made to Employee which are
“parachute payments” as defined in Section 280G of the Code the amount of all such payments, collectively, the “Parachute
Payment”) result in Employee becoming liable for the payment of any excise taxes pursuant to Section 4999 of the Code
(“280G Excise Tax”), Employee will receive either (i) the severance benefits payable pursuant to this Section
1.2 or (ii) the severance benefits payable pursuant to this Section 1.2 as reduced to avoid imposition of the 280G Excise Tax
(the “Conditional Capped Amount”), whichever would result in the greatest after-tax (taking into account all
federal, state and local income taxes and the Section 4999 of the Code excise tax) payment.

 

Not
more than fourteen (14) days following Termination of Employment, Company will notify Employee in writing (i) whether the severance
benefits payable pursuant to this Section 1.2 when added to any other Parachute Payments payable to Employee exceed an amount equal
to 299% (the “299% Amount”) of Employee’s “base amount” as defined in Section 280G(b)(3) of
the Code, (ii) the amount that is equal to the 299% Amount, (iii) whether the severance benefit described in Section 1.2(e)(i)
or the Conditional Capped Amount pursuant to section 1.2(e)(ii) is greater on an after-tax basis and (iv) if the Conditional Capped
Amount is the greater amount, the amount that the severance benefits payable pursuant to this Section 1.2 must be reduced to equal
such amount.  Such reduction order may be elected by the Employee at the time to the extent
legally permitted and not a violation of Code Section 280G or 409A and, if it is or not elected within ten (10) days of the notification,
it shall be done in the following order: (a) all cash severance in the reverse order to be received, (b) all equity valued without
regard to Treas. Reg. §1.280G Q&A 24(c) in reverse order of vesting and (c) all equity valued pursuant to Treas. Reg.
§1.280G Q&A 24(c) in reverse order of vesting.

 

The calculations and determinations
described in this section will be made by Company’s public accounting firm in accordance with Section 280G of the Code or
any successor provision thereto. The costs of obtaining such determination will be borne by Company.

 

Company’s obligations
pursuant to this Section 1.2 shall survive Employee’s death.

 

		1.3	Termination Benefits in Connection With a Termination
Other Than a Qualifying Termination. If Employee’s employment with Company terminates for any reason that is not described
in Section 1.1 or 1.2, including due to death or Disability, Employee will receive the following termination benefits:

 

		(a)	Severance Pay.  Employee will not receive any
severance pay.

 

		(b)	Accrued Obligations.  Employee or Employee’s
estate, as applicable, will be entitled to payment of any Accrued Obligations in accordance with the provisions of Section 1.1(b).

 

		(c)	Continued Welfare Benefits. Employee and/or Employee’s
dependents, as applicable, will be entitled to continue their respective health and welfare coverage, if any, pursuant to COBRA,
at Employee’s and/or Employee’s dependents, if any, cost.

 

     

     

    

 

		(d)	Equity Compensation Adjustments.  Any equity-based
compensation awards granted to Employee by Company that vested prior to such Termination of Employment will be governed by the
terms of such awards and the controlling equity plan or agreement. Any equity-based compensation awards granted to Employee by
Company that are unvested on Termination of Employment will expire, unless otherwise provided in such awards or such equity plan
or agreement. Following Termination of Employment, Company will not grant Employee any equity-based compensation awards.

 

		(e)	401(k) Plan. The terms of the 401(k) Plan will govern
Employee’s account balance, if any, under such 401(k) Plan.

 

		(f)	Limitation on Benefits. In the event that Employee’s
termination is later determined by a court of competent jurisdiction, at any time, to be a Qualifying Termination, or that Company
did not have cause to support the termination, Employee acknowledges and agrees that the sole compensation to which Employee shall
be entitled as a result of such Qualifying Termination shall be governed by, and limited to, the terms of Section 1.1 or Section
1.2 above, whichever is applicable, and legal fees under Section 4.3(b), if applicable.

 

		1.4	Code Section 409A.

 

		(a)	It is the intention of Company and Employee that the provisions
of this Agreement either (i) provide compensation that is not deferred compensation, or (ii) provide compensation that is deferred
compensation exempt from Section 409A of the Code, or (iii) provide deferred compensation that complies with Section 409A of the
Code and the rules, regulations and other authorities promulgated thereunder (including the transition rules thereof) (collectively,
“409A”), and all provisions of this Agreement will be construed and interpreted in a manner consistent with
this intent.

 

		(b)	To the extent Employee is a “specified employee,”
as defined in Section 409A(a)(2)(B)(i) of the Code and as determined in good faith by Company, notwithstanding the timing of payment
provided in any other Section of this Agreement, no payment, distribution or benefit under this Agreement that constitutes a distribution
of deferred compensation (within the meaning of Treasury Regulation Section 1.409A-1(b)) upon separation from service (within
the meaning of Treasury Regulation Section 1.409A-1(h)), after taking into account all available exemptions, that would otherwise
be payable during the six-month period after separation from service will be made during such six-month period, and any such payment,
distribution or benefit will instead be paid on the first business day after such six-month period.

 

		(c)	In the event that Company determines that any provision
of this Agreement does not comply with 409A, Company will be entitled, without Employee’s consent, to amend or modify such
provision to comply with 409A; provided, however, that such amendment or modification will, to the greatest extent
commercially practicable, maintain the economic value to Employee of such provision.

 

		(d)	For purposes of 409A, each installment of severance pay
under Section 1.1(a) will be deemed to be a separate payment as permitted under Treasury Regulation Section 1.409A-2(b)(2)(iii).

 

     

     

    

 

		(e)	Notwithstanding anything to the contrary contained herein,
a Qualifying Termination shall occur only to the extent that the Employee incurs a “separation from service” with
Company within the meaning of Treasury Regulation Section 1.409A-1(h).

 

ARTICLE II

CONDITIONS TO PAYMENT OF TERMINATION BENEFITS

 

As a condition of obtaining
benefits under this Agreement pursuant to Sections 1.1 or 1.2, Employee will be required to (a) within twenty-one (21) days or
forty-five (45) days (depending on the circumstances of the Termination of Employment) following Termination of Employment execute
and deliver to Company a general release of claims against Company in substantially the form attached hereto as Exhibit A, and
(b) comply, subject to Section 3.1 below, with the covenants set forth in Article III below. In the event that Employee does not
execute and deliver a general release as set forth above, or such release is revoked (but only to the extent revocation is permitted
under the terms of such general release) by the date on which benefits under Section 1.1 or 1.2 are to begin, then Employee will
forfeit all entitlement to any payment, benefit or other amount under Sections 1.1 or 1.2.

 

ARTICLE III

RESTRICTIVE COVENANTS

 

		3.1	Restrictive Covenants. Employee acknowledges and
agrees that:

 

		(a)	Employee: (i) will serve Company as a Key Employee; and/or
(ii) will serve Company as a Professional; and/or (iii) will customarily and regularly solicit Customers and/or Prospective Customers
for Company; and/or (iv) will customarily and regularly engage in making sales or obtaining orders or contracts for products or
services to be provided or performed by others in Company; and/or (v) (A) will have a primary duty of managing a department or
subdivision of Company, (B) will customarily and regularly direct the work of two (2) or more other employees, and (C) will have
the authority to hire or fire other employees; and/or

 

		(b)	Employee’s position is a position of trust and responsibility
with access to (i) Confidential Information, (ii) Trade Secrets, (iii) information concerning employees of Company, (iv) information
concerning Customers of Company, and/or (v) information concerning Prospective Customers of Company.

 

		(c)	Employee shall abide by the following both during and after
Employee’s employment with Company for the periods specified below, whether or not Employee receives any benefits under
this Agreement pursuant to Article I:

 

(i)          Trade
Secrets and Confidential Information. Employee shall not: (A) both during and after Employee’s employment with Company,
use, disclose or reverse engineer the Trade Secrets or the Confidential Information for any purpose other than Company’s
Business, except as authorized in writing by Company; (B) during Employee’s employment with Company, use disclose or reverse
engineer (1) any confidential information or trade secrets of any former employer or third party, or (2) any works of authorship
developed in whole or in part by Employee during any former employment or for any other party, unless authorized in writing by
the former employer or third party; or (C) upon Termination of Employment for any reason: (1) retain Trade Secrets or Confidential
Information, including any copies existing in any form (including electronic form) which are in Employee’s possession or
control, or (2) destroy, delete or alter the Trade Secrets or Confidential Information without Company’s prior written consent.
The obligations under this Agreement shall: (I) with regard to the Trade Secrets, remain in effect as long as the information constitutes
a trade secret under applicable law; and (II) with regard to the Confidential Information, remain in effect for so long as such
information constitutes Confidential Information as defined in this Agreement.

 

     

     

    

 

The confidentiality,
property and proprietary rights protections available in this Agreement are in addition to, and not exclusive of, any and all other
rights to which Company is entitled under federal and state law, including, but not limited to, rights provided under copyright
laws, trade secret and confidential information laws, and laws concerning fiduciary duties.

 

(ii)         Non-Solicitation
of Customers. During the Restricted Period, Employee shall not, directly or indirectly, solicit any Customer of Company for
the purpose of selling or providing any products or services competitive with the Business. The restrictions set forth in this
subsection apply only to Customers with whom Employee had Material Contact during the term of Employee’s employment.

 

(iii)        Non-Solicitation
of Prospective Customers. During the Restricted Period, Employee shall not, directly or indirectly, solicit any Prospective
Customer of Company for the purpose of selling or providing any products or services competitive with the Business. The restrictions
set forth in this subsection apply only to Prospective Customers with whom Employee had Material Contact during the term of Employee’s
employment.

 

(iv)        Non-Recruit
of Employees. During the Restricted Period, Employee shall not, directly or indirectly, solicit, recruit or induce any Internap
Employee to (i) terminate his or her employment relationship with Company, or (ii) work for any other person or entity engaged
in the Business. The restrictions set forth in this subsection shall apply only to Internap Employees (a) with whom Employee had
Material Interaction, or (b) that Employee, directly or indirectly, supervised.

 

(v)         Non-Competition.
During the Restricted Period, Employee shall not, on Employee’s own behalf or on behalf of any person or entity, engage in
the Business in the Territory. This restriction is specifically limited to the performance of any of the activities which Employee
performed, or which are substantially similar to those which Employee performed, for or on behalf of Company. Nothing in this Agreement
shall be construed to prohibit Employee from performing activities which Employee did not perform for or on behalf of Company.

 

(vi)        Non-Disparagement.
Employee shall not make any disparaging or defamatory statements, whether written or oral, regarding Company. In addition, Employee
shall not make any statement or take any action which may negatively impact Company’s ability to close those business transactions
that Employee was, directly or indirectly, working on or had knowledge of during the course of Employee’s employment with
Company.

 

     

     

    

 

(vii)       Definitions.
For purposes of this Section 3.1 only, capitalized terms shall be defined as follows:

 

(A)         “Business”
means (1) those activities, products and services that are the same as or similar to the activities conducted and products and
services offered and/or provided by Company within two (2) years prior to termination of Employee’s employment with Company,
and (2) the business of providing information technology (IT) infrastructure services that enable businesses to securely store,
host, access and deliver their online applications and media content through the Internet. Such services include, but are not limited
to: (I) Internet connectivity, (II) colocation services, (III) hosting services, (IV) CDN services and (V) “Cloud”
computing services.

 

(B)         “Confidential
Information” means (1) information of Company, to the extent not considered a Trade Secret under applicable law, that
(I) relates to the business of Company, (II) was disclosed to Employee or of which Employee became aware of as a consequence of
Employee’s relationship with Company, (III) possesses an element of value to, and (IV) is not generally known to Company’s
competitors, and (2) information of any third party provided to Company which Company is obligated to treat as confidential, including,
but not limited to, information provided to Company by its licensors, suppliers or customers. Confidential Information includes,
but is not limited to, (a) methods of operations, (b) price lists, (c) financial information and projections, (d) personnel data,
(e) future business plans, (f) the composition, description, schematic or design of products, future products or equipment of Company
or any third party, (g) advertising or marketing plans, and (h) information regarding independent contractors, employees, clients,
licensors, suppliers, Customers, Prospective Customers or any third party, including, but not limited to, the names of Customers
and Prospective Customers, Customer and Prospective Customer lists compiled by Company, and Customer and Prospective Customer information
compiled by Company. Confidential Information shall not include any information that (x) is or becomes generally available to the
public other than as a result of an unauthorized disclosure by Employee, (y) has been independently developed and disclosed by
others without violating this Agreement or the legal rights of any party, or (z) otherwise enters the public domain other than
through unlawful means by Employee.

 

(C)         “Customer”
means any person or entity to whom Company has sold its products or services.

 

(D)         “Key
Employee” means that, by reason of Company’s investment of time, training, money, trust, exposure to the public
or exposure to Customers, vendors or other business relationships during the course of Employee’s employment with Company,
Employee will gain a high level of notoriety, fame, reputation or public persona as Company’s representative or spokesperson;
will gain a high level of influence or credibility with Customers, vendors or other business relationships; or will be intimately
involved in the planning for or direction of the business of Company or a defined unit of Company’s business. Such term also
means that Employee possesses selective or specialized skills, learning or abilities or customer contacts or customer information
by reason of having worked for Company.

 

     

     

    

 

(E)         “Internap
Employee” means any person who (I) is employed by Company at the time of Employee’s Termination of Employment,
or (II) was employed by Company during the last year of Employee’s employment with Company.

 

(F)         “Material
Contact” means contact between Employee and a Customer or Prospective Customer: (I) with whom or which Employee dealt
on behalf of Company; (II) whose dealings with Company were coordinated or supervised by Employee; (III) about whom Employee obtained
Confidential Information in the ordinary course of business as a result of Employee’s association with Company; or (IV) who
receives products or services authorized by Company, the sale or provision of which results or resulted in compensation, commissions
or earnings for Employee within two (2) years prior to the Termination of Employment.

 

(G)         “Material
Interaction” means any interaction with an Internap Employee which relates or related, directly or indirectly, to the
performance of Employee’s or the Internap Employee’s duties for Company.

 

(H)         “Professional”
means an employee who has as a primary duty the performance of work requiring knowledge of an advanced type in a field of science
or learning customarily acquired by a prolonged course of specialized intellectual instruction or requiring invention, imagination,
originality or talent in a recognized field of artistic or creative endeavor. Such term shall not include employees performing
technician work using knowledge acquired through on-the-job and classroom training, rather than by acquiring the knowledge through
prolonged academic study, such as might be performed, without limitation, by a mechanic, a manual laborer or a ministerial employee.

 

(I)         “Prospective
Customer” means any person or entity to whom Company has solicited to sell its products or services.

 

(J)         “Restricted
Period” means the time period during Employee’s employment with Company, and (1) for twelve (12) months following
Employee’s termination of employment with the Company if such termination is a Qualifying Termination, or (2) if Employee’s
employment is terminated for any reason other than a Qualifying Termination, for nine (9) months following Employee’s termination
of employment with the Company, which will be inclusive of any portion of the Notice Period (as defined in Section 5.3 below),
if any, during which Employee remains employed by the Company.

 

(K)         “Territory”
means within each of the following discrete, severable, geographic areas:

 

     

     

    

 

(1)         the
countries of the countries of Afghanistan, Albania, Algeria, Amsterdam, Andorra, Antigua and Barbuda, Argentina, Armenia, Australia,
Bahamas, Bangladesh, Belgium, Belize, Bolivia, Bosnia, Brazil, Bulgaria, Canada, Canary Islands, Chile, China, Columbia, Costa
Rica, Cote de Ivories’, Croatia, Curacao, Cyprus, Czech Republic, Denmark, Dominican Republic, Ecuador, Egypt, El Salvador,
Estonia, Ethiopia, Fiji, France, Finland, Gaza, Great Britain, Germany, Greece, Guatemala, Guyana, Hong Kong, Honduras, Hungary,
Ireland, India, Indonesia, Iran, Iraq, Israel, Italy, Jamaica, Japan, Jordan, Kenya, Korea, Kosovo, Kuwait, Lagos, Latvia, Lebanon,
Luxemburg, Macao, Macedonia, Malaysia, Malta, Martinique, Mauritius, Mexico, Netherlands, New Zealand, Nicaragua, Nigeria, Norway,
Oman, Pakistan, Philippines, Poland, Portugal, Puerto Rico, Qatar, Romania, Russia, Russian Federation, Saudi Arabia, Senegal,
Serbia, Singapore, Slovakia, South Africa, Spain, South Korea, Sri Lanka, Sumatra, Suriname, Sweden, Switzerland, Taiwan, Thailand,
The Netherlands, Trinidad & Tobago, Tunisia, Turkey, Taiwan, Uganda, United Kingdom, United Arab Emirates and Ukraine; and

 

(2)         the
continental United States; and

 

(3)         the
states of the states of Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida, Georgia,
Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi,
Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma,
Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, West Virginia,
Wisconsin and Wyoming; and

 

(4)         the
counties of Cherokee, Clayton, Cobb, Coweta, Dekalb, Douglas, Fayette, Forsyth, Fulton, Gwinnett, Hall, Henry, Paulding and Rockdale,
Georgia; and

 

(5)         the
city of Atlanta, Georgia; and

 

(6)         a
fifteen (15) air mile radius of Company’s corporate headquarters.

 

(L)         “Trade
Secrets” means information of Company, and its licensors, suppliers, clients and customers, without regard to form, including,
but not limited to, technical or nontechnical data, a formula, a pattern, a compilation, a program, a device, a method, a technique,
a drawing, a process, financial data, financial plans, product plans, a list of actual customers, clients, licensors or suppliers,
or a list of potential customers, clients, licensors or suppliers which is not commonly known by or available to the public and
which information (I) derives economic value, actual or potential, from not being generally known to, and not being readily ascertainable
by proper means by, other persons who can obtain economic value from its disclosure or use, and (II) is the subject of efforts
that are reasonable under the circumstances to maintain its secrecy.

 

     

     

    

 

		3.2	Enforcement. Upon Employee’s employment with
an entity that is not an Affiliate of Company (a “Successor Employer”) during the period that the provisions
of this Article III remain in effect, Employee will provide such Successor Employer with a copy of this Agreement and will notify
Company of such employment within thirty (30) days thereof. Upon the material, uncured, violation of any of the provisions of
this Article III the payment of all severance benefits will cease, as applicable. Such relief will apply regardless of when such
violation is discovered. Without by implication limiting the generality of the foregoing, Company may suspend any payments due
under this Agreement pending the outcome of litigation regarding a breach of any provision of this Agreement or regarding a dispute
arising from the subject matter of this Agreement. “Affiliate” means a corporation that is a member of a controlled
group of corporations (as defined in section 414(b) of the Code) that includes Company, any trade or business (whether or not
incorporated) that is in common control (as defined in section 414(c) of the Code) with Company, or any entity that is a member
of the same affiliated service group (as defined in section 414(m) of the Code) as Company.

 

		3.3	Independent Covenants. Each of the covenants set
forth in this Article III shall be construed as an agreement independent of (a) each of the other covenants set forth in this
Article III, (b) any other agreements, or (c) any other provision in this Agreement, and the existence of any claim or cause of
action by Employee against Company, whether predicated on this Agreement or otherwise, regardless of who was at fault and regardless
of any claims that either Employee or Company may have against the other, shall not constitute a defense to the enforcement by
Company of any of the covenants set forth in this Article III. Company shall not be barred from enforcing any of the covenants
set forth in this Article III by reason of any breach of any other part of this Agreement or any other agreement with Employee.

 

		3.4	Right of Offset. If Employee is at any time indebted
to Company, or otherwise obligated to pay money to Company for any reason, Company, at its election, may offset amounts otherwise
payable to Employee under this Agreement against any such indebtedness or amounts due from Employee to Company, to the extent
permitted by law, except that no offset may be applied to any deferred compensation that is not exempt from Section 409A of the
Code.

 

ARTICLE IV

DISPUTE RESOLUTION

 

		4.1	Venue and Jurisdiction. Employee and Company
agree that any and all claims arising out of or relating to this Agreement shall be (a) brought in the Superior Court of Fulton
County, Georgia, or (b) brought in or removed to the United States District Court for the Northern District of Georgia, Atlanta
Division. Employee consents to the personal jurisdiction of the courts identified above. Employee waives (a) any objection to
jurisdiction or venue, or (b) any defense claiming lack of jurisdiction or venue, in any action brought in such courts.

 

		4.2	Entitlement to Injunctive Relief. If Employee breaches
any of the restrictions set forth in Article III, Employee agrees that: (a) Company would suffer irreparable harm; (b) it would
be difficult to determine damages, and money damages alone would be an inadequate remedy for the injuries suffered by Company;
and (c) if Company seeks injunctive relief to enforce this Agreement, Employee shall waive and shall not (i) assert any defense
that Company has an adequate remedy at law with respect to the breach, (ii) require that Company submit proof of the economic
value of any Trade Secret or Confidential Information, or (iii) require Company to post a bond or any other security. Nothing
contained in this Agreement shall limit Company’s right to any other remedies at law or in equity.

 

     

     

    

 

		4.3	Fees and Expenses.

 

		(a)	Except as provided in Section 4.3(b) below, if Company
or Employee sues in court against the other for a breach of any provision of this Agreement or regarding any dispute arising from
the subject matter of this Agreement, if Company is the prevailing party it will be entitled to recover its attorneys’ fees,
and court costs, regardless of which party initiated the proceedings. If Employee is the prevailing party or if there is no prevailing
party, Company and Employee will each bear their own costs and attorneys’ fees incurred.

 

		(b)	If, subsequent to a Change of Control, (i) Company or Employee
sues in court for benefits under Sections 1.1 or 1.2, or (ii) Company contests the validity, enforceability or Employee’s
interpretation of, or determinations under, this Agreement for benefits under Sections 1.1 or 1.2, Company will pay all legal
fees, expenses and damages which Employee may incur as a result of Employee’s instituting legal action to enforce the rights
hereunder. If Employee is the prevailing party or recovers any damages in such action, Employee will be entitled to receive in
addition thereto pre-judgment and post-judgment interest on the amount of such damages.

 

ARTICLE V

MISCELLANEOUS PROVISIONS

 

		5.1	Employee Acknowledgement. Employee is entering into
this Agreement of Employee’s own free will. Employee acknowledges that Employee has had adequate opportunity to review this
Agreement and consult with counsel of Employee’s own choosing. Employee represents that Employee has read and understands
this Agreement, Employee is fully aware of this Agreement’s legal effect and has not acted in reliance upon any statements
made by Company other than those set forth in writing in the Agreement.

 

		5.2	At-Will Employment. Notwithstanding any provision
in this Agreement to the contrary, Employee hereby acknowledges and agrees that Employee’s employment with Company is for
an unspecified duration and constitutes “at-will” employment, and Employee further acknowledges and agrees that this
employment relationship may be terminated at any time, with or without Cause or for any or no Cause, at the option either of Company
or Employee. Company may change Employee’s job duties, title, responsibilities, reporting level, compensation and benefits,
as well as Company’s personnel policies and procedures, with or without notice at any time in the sole discretion of Company.

 

		5.3	Notice of Termination by Employee. Except as otherwise
expressly provided in this Agreement, Employee agrees to provide Company with written notice of Employee’s intent to terminate
employment with Company not less than two (2) months prior to the proposed effective date of such termination (the “Notice
Period”). Notwithstanding the foregoing, following receipt of such notice, Company may, in its sole and absolute discretion:
(a) allow Employee to remain employed for the duration of the Notice Period; (b) allow Employee to remain employed for a portion
of the Notice Period, and terminate Employee’s employment prior to expiration of the Notice Period; (c) allow Employee to
remain employed for all or a portion of the Notice Period as set forth in subclauses (a) and (b) above, but direct Employee not
to perform any services for Company and/or not to appear at Company’s offices during such period; or (d) immediately terminate
Employee’s employment. During any portion of the Notice Period in which Employee remains employed by Company, Employee will
continue to receive Employee’s Base Compensation and those health and welfare benefits for which Employee remains eligible.
Notwithstanding anything to the contrary set forth in this Agreement, any termination of employment by Company as set forth in
this Section shall not constitute a Qualifying Termination.

 

     

     

    

 

		5.4	Cooperation. Following termination of Employee’s
employment for any reason, Employee shall cooperate with Company (including its employees, officers, directors, attorneys and
representatives) and furnish complete and truthful information, testimony or affidavits in connection with any matters, including,
but not limited to, any litigation, investigation or other dispute, about which Employee has knowledge or information. If Employee
has any contact with any party adverse to Company in any investigation, lawsuit or dispute, Employee agrees to immediately notify
the Company’s SVP and General Counsel first by telephone and as soon as possible thereafter in writing, provided that the
foregoing shall not apply to any contact with a potential “whistleblower” or if Employee is a “whistleblower.”

 

		5.5	Successors and Assigns. The rights and obligations
of Company under this Agreement will inure to the benefit of and will be binding upon the successors and assigns of Company. Company
will require any successor (whether direct or indirect, by purchase, merger, consolidation, sale of assets or otherwise) to all
or substantially all of the business and/or assets of Company, by a written agreement in form and substance reasonably satisfactory
to Employee, to assume expressly and agree to perform this Agreement in the same manner and to the same extent that Company would
be required to perform it if no such succession had taken place. This Agreement is personal to Employee and without the prior
written consent of Company is not assignable by Employee otherwise than by will or the laws of descent and distribution. This
Agreement will inure to the benefit of and be enforceable by Employee’s personal and legal representatives, executors, administrators,
heirs, distributes, devisees and legatees.

 

		5.6	Amendment. Except as provided in Section 1.4, this
Agreement will not be modified, changed or in any way amended except by an instrument in writing signed by Company and Employee.

 

		5.7	Severability. The provisions of this Agreement are
severable. If any provision of this Agreement is determined to be unenforceable, in whole or in part, then such provision shall
be modified so as to be enforceable to the maximum extent permitted by law. If such provision cannot be modified to be enforceable,
the provision shall be severed from this Agreement to the extent unenforceable. The remaining provisions and any partially enforceable
provisions shall remain in full force and effect.

 

		5.8	Integration. The provisions of this Agreement and
any exhibits hereto constitute the entire and complete understanding and agreement between the parties with respect to the subject
matter hereof, and supersede all prior and contemporaneous oral and written agreements, representations and understandings of
the parties, including without limitation Company’s severance policy, any change of control agreement and employment agreement
(including any offer letter) between Employee and Company, which are hereby terminated.

 

		5.9	Choice of Law. THIS AGREEMENT WILL BE GOVERNED BY
AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF GEORGIA WITHOUT REFERENCE TO PRINCIPLES OF CONFLICTS OF LAWS OF GEORGIA
OR ANY OTHER JURISDICTION, AND, WHERE APPLICABLE, THE LAWS OF THE UNITED STATES.

 

     

     

    

 

		5.10	Survival. The provisions of Article II, Article
III, Article IV, this Article V and Article VI will survive the termination of this Agreement. The existence of any claim or cause
of action of Employee against Company, whether predicated on this Agreement or otherwise, will not constitute a defense to the
enforcement by Company of the covenants of Employee contained in this Agreement, including but not limited to those contained
in Article III.

 

		5.11	No Waiver. No waiver by either party at any time
of any breach by the other party of, or compliance with, any condition or provision of this Agreement to be performed by the other
party will be deemed a waiver of similar or dissimilar provisions or conditions at any time.

 

		5.12	Notice. For all purposes of this Agreement, all
communications required or permitted to be given under this Agreement will be in writing and will be deemed to have been duly
given when hand delivered or dispatched by electronic facsimile transmission (with receipt thereof confirmed), or five business
days after having been mailed by United States registered or certified mail, return receipt requested, postage prepaid, or two
business days after having been sent by a nationally recognized overnight courier service, addressed to Company at its principal
executive office, to Company’s SVP and General Counsel, and to Employee at Employee’s principal residence, or to such
other address as any party may have furnished to the other in writing, except that notices of change of address will be effective
only upon receipt.

 

		5.13	Counterparts. This Agreement shall be executed by
Company and Employee in one or more counterparts which, taken together, shall constitute one original.

 

		5.14	Construction. This Agreement is deemed to be drafted
equally by both Employee and Company and will be construed as a whole and according to its fair meaning. Any presumption or principle
that the language of this Agreement is to be construed against any party will not apply. The headings in this Agreement are only
for convenience and are not intended to affect construction or interpretation. Any references to paragraphs, subparagraphs, sections,
subsections or clauses are to those parts of this Agreement, unless the context clearly indicates to the contrary.

 

		5.15	No Mitigation. In no event will Employee be obligated
to seek other employment or take any other action by way of mitigation of the amounts payable to Employee under any of the provisions
of this Agreement and such amounts will not be reduced whether or not Employee obtains other employment.

 

		5.16	Withholding. Company may deduct and withhold from
any amounts payable under this Agreement such Federal, state, local, foreign or other taxes as are required to be withheld pursuant
to any applicable law or regulation.

 

ARTICLE VI

DEFINITIONS

 

		6.1	“Affiliate” means a corporation that
is a member of a controlled group of corporations (as defined in Section 414(b) of the Code) that includes Company, any trade
or business (whether or not incorporated) that is in common control (as defined in Section 414(c) of the Code) with Company, or
any entity that is a member of the same affiliated service group (as defined in Section 414(m) of the Code) as Company.

 

     

     

    

 

		6.2	“Base Compensation” means Employee’s
gross monthly base salary at the time of Termination of Employment before reduction by any pre-tax contributions to the 401(k)
Plan or any other benefit plan maintained by Company or its Affiliates or any other deductions of any nature. Any improper reduction
thereof shall not impact the calculations of the amount of severance herein.

 

		6.3	“Cause” means: (a) Employee’s
conviction for, or plea of guilty or no contest to (i) a felony, or (ii) a crime involving moral turpitude; (b) Employee’s
commission of an act constituting fraud, deceit or material misrepresentation with respect to Company; (c) Employee’s embezzlement
of Company’s or its Affiliates’ assets or funds; (d) Employee’s commission of any negligent or willful act or
omission that causes material detriment (by reason, without limitation, of financial exposure or loss, damage to reputation or
goodwill, or exposure to civil damages or criminal penalties or other prosecutorial action by any governmental authority) to Company
or any Affiliate; (e) Employee’s resignation for any reason other than those defined in Section 6.8 below; or (f) Employee’s
failure or refusal to (i) satisfactorily perform Employee’s duties to Company, (ii) follow the direction of any individual
to whom Employee reports, (iii) abide by the policies, procedures and rules of Company, or (iv) abide by laws applicable to Employee
in Employee’s capacity as an employee, executive or officer of Company, provided, that, for any such failure listed in this
subclause (f), Company shall first give Employee written notice setting forth with specificity the reasons that Company believes
Employee is failing, and thirty (30) days to cure such failure.

 

		6.4	“Change of Control” means any of the
following occurrences which is also a change in the ownership or effective ownership of the Company or of a substantial portion
of its assets within the meaning of Treas. Reg. §1.409A-3(i)(5):

 

		(a)	any “person,” as such term is used in Sections
3(a)(9) and 13(d) of the Securities Exchange Act of 1934 (“Person”), becomes a “beneficial owner,”
as such term is used in Rule 13d-3 promulgated under that Act, of 30% or more of the voting stock of Company;

 

		(b)	the majority of the Board of Directors of Company consists
of individuals other than “incumbent” directors, which term means the members of the Board of Directors on the date
hereof; provided that any person becoming a director subsequent to such date whose election or nomination for election was supported
by two-thirds of the directors who then comprised the incumbent directors will be considered to be an incumbent director;

 

		(c)	Company adopts any plan of liquidation providing for the
distribution of all or substantially all of its assets;

 

		(d)	all or substantially all of the assets or business of Company
is disposed of pursuant to a merger, consolidation or other transaction (unless the stockholders of Company immediately prior
to such merger, consolidation or other transaction beneficially own, directly or indirectly, in substantially the same proportion
as they owned the voting stock of Company, all of the voting stock or other ownership interests of the entity or entities, if
any, that succeed to the business of Company); or

 

		(e)	Company combines with another company and is the surviving
corporation but, immediately after the combination, the stockholders of Company immediately prior to the combination hold, directly
or indirectly, 50% or less of the voting stock of the combined company (there being excluded from the number of shares held by
such stockholders, but not from the voting stock of the combined company, any shares received by affiliates of such, other company
in exchange for stock of such other company).

 

     

     

    

 

For purposes of the Change of
Control definition, “Company” will include any entity that succeeds to all or substantially all, of the business of
Company and “voting stock” will mean securities of any class or classes having general voting power under ordinary
circumstances, in the absence of contingencies, to elect the directors of a corporation.

 

		6.5	“Disability” means, as determined in
Company’s sole discretion, Employee becomes mentally or physically impaired or disabled such that Employee is unable to
perform the essential functions of Employee’s job even with reasonable accommodation for a period of at least one hundred
twenty (120) days in the aggregate during any one hundred fifty (150) consecutive day period.

 

		6.6	“401(k) Plan” means the Internap 401(k)
Savings Plan or any other qualified retirement plan with a cash or deferred arrangement that is maintained or sponsored by Company
or any Affiliate in which Employee is a participant.

 

		6.7	“Protection Period” means the period
beginning on the date that is six (6) months prior to the occurrence of a Change of Control and ending twenty-four (24) months
following the occurrence of a Change of Control.

 

		6.8	“Qualifying Termination”

 

		(a)	In the case of any Termination of Employment other than
during a Protection Period, “Qualifying Termination” shall mean:

 

		(i)	the Termination of Employment by Company for any reason
other than Cause, Disability or death; or

 

		(ii)	the Termination of Employment by Employee for any of the
following reasons:

 

		(A)	a material reduction by Company in Employee’s Base
Compensation or bonus eligibility unless similar reductions apply to senior executives of Company and its subsidiaries generally;

 

		(B)	relocation of Company’s principal executive offices
outside the Atlanta, Georgia metropolitan area (or, if Employee is not based at Company’s principal executive offices, the
relocation of the office at which Employee is based by more than 50 miles); or

 

		(C)	the assignment to Employee by Company of duties materially
inconsistent with, or the material reduction of the powers and functions associated with, Employee’s positions, duties,
responsibilities and status with Company or a material adverse change in Employee’s titles or offices, unless such action
is in lieu of termination by Company of Employee’s employment due to Disability.

 

     

     

    

 

If Employee believes that an
event specified in this Section 6.8(a)(ii) has occurred, Employee must notify Company of that belief within ninety (90) days following
the occurrence of such event. Company will have thirty (30) days following receipt of such notice (such period, the “Designated
Period”) in which to either rectify such event, determine that such an event exists, or determine that such an event
does not exist. If Company does not take any of the foregoing actions within the Designated Period, Employee may terminate employment
with Company during the fourteen (14) day period following the expiration of the Designated Period. If, during the Designated Period,
Company determines that such an event exists Company shall either (A) undertake to cure such event during the Designated Period
and provide Employee with written notice during the Designated Period of Company’s determination that such event has been
cured, or (B) provide written notice to Employee during the Designated Period that it does not wish to cure such event, in which
case, Employee may terminate employment during the fourteen (14) day period following receipt of the notice specified in this clause
(B). If, during the Designated Period, Company determines that (1) such event does not exist or (2) Company has cured such event
pursuant to clause (A) of the preceding sentence, then (x) Employee will not be entitled to rely on or assert such event as a basis
for a Qualifying Termination, and (y) if Employee disagrees with Company’s determination, Employee may file a claim pursuant
to Article IV within thirty (30) days after Employee’s receipt of written notice of Company’s determination.

 

		(b)	In the case of any Termination of Employment during a Protection
Period, “Qualifying Termination” shall mean:

 

		(i)	the Termination of Employment by Company for any reason
other than Cause, Disability or death; or

 

		(ii)	the Termination of Employment by Employee for any of the
following reasons:

 

		(A)	the assignment to Employee by Company of duties inconsistent
with, or the reduction of the powers and functions associated with Employee’s position, duties, responsibilities and status
with Company immediately prior to a Change of Control, or a material adverse change in Employee’s titles or offices as in
effect immediately prior to a Change of Control, or any removal of Employee from or any failure to re-elect Employee to any of
such positions, except, in each of the foregoing cases, in connection with Termination of Employment by Company due to Cause,
Disability or death;

 

		(B)	a reduction by Company in Employee’s Base Compensation
or bonus eligibility as in effect on the date of a Change of Control;

 

		(C)	relocation of Company’s principal executive offices
outside the Atlanta, Georgia metropolitan area (or, if Employee is not based at Company’s principal executive offices, the
relocation of the office at which Employee is based by more than 50 miles);

 

     

     

    

 

		(D)	Company’s requirement that Employee be based anywhere
other than at Company’s principal executive offices in the Atlanta, Georgia metropolitan area (or, if Employee is not based
at Company’s principal executive offices, the relocation of the office at which Employee is based by more than 50 miles),
or if Employee agrees to a relocation outside the area, Company’s failure to reimburse Employee consistent with Company’s
Domestic Relocation Program;

 

		(E)	Company’s failure to continue in effect any Company-sponsored
plan that is in effect on the date of a Change of Control (or replacement plans therefore that in the aggregate provide substantially
similar or more favorable benefits) that is either a 401(k) Plan or provides incentive or bonus compensation or reimbursement
for reasonable expenses incurred by Employee in connection with the performance of duties with Company;

 

		(F)	any material breach by Company of any provision of this
Agreement; or

 

		(G)	any failure by Company to obtain the assumption of this
Agreement by any successor or assign of Company.

 

		(c)	Notwithstanding anything to the contrary contained herein,
any amounts or benefits payable upon a Qualifying Termination that would constitute non-exempt “deferred compensation”
for purposes of Section 409A of the Code and applicable regulations will not be payable or distributable to Employee by reason
of such circumstance unless the circumstances giving rise to such Qualifying Termination meet any description or definition of
“separation from service” in Section 409A of the Code and applicable regulations (without giving effect to any elective
provisions that may be available under such definition). If this provision prevents the payment or distribution of any amount
or benefit, such payment or distribution shall be made on the date, if any, on which an event occurs that constitutes a Section
409A-compliant “separation from service.”

 

		(d)	In the event that Employee is employed by a subsidiary
of Company and not Company, for purposes of the term “Qualifying Termination,” “Company” will include
such subsidiary.

 

		6.9	“Termination of Employment” means the
last date of Employee’s employment with Company and its Affiliates.

 

     

     

    

 

IN WITNESS WHEREOF,
the parties have executed this Agreement as of the 15th day of February, 2016.

 

	INTERNAP CORPORATION	 	EMPLOYEE
	 	 	 	 
	By:	/s/ Tashia L. Rivard	 	 	/s/ Kevin M. Dotts
	Name:	Tashia L. Rivard	 	Name:	Kevin M. Dotts
	 	 	 	 
	Title:	SVP and General Counsel

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