Document:

EX-10.3

 Exhibit 10.3 
  

			
	General Agreement Of Indemnity	  	 TRAVELERS CASUALTY AND SURETY COMPANY OF
AMERICA

Hartford, Connecticut 06183

 We the undersigned, individually and for and on behalf of all other Indemnitors, enter into this General Agreement of
Indemnity (“Agreement”) in favor of Company. Witnesseth: 
 WHEREAS, in the transaction of business, Bonds have heretofore been and/or may
hereafter be executed by Company. In connection with the execution, delivery and/or assumption of obligations of such Bonds, Company requires complete indemnification. 

NOW, THEREFORE, as an inducement to Company and in consideration of Company’s execution and/or delivery of one or more Bonds, refraining from canceling
one or more Bonds, and/or assumption of obligations by Company of one or more Bonds, and for other good and valuable consideration, the Indemnitors jointly and severally agree with Company as follows: 

1. Definitions: For purposes of this Agreement, the following definitions apply, which definitions shall be equally applicable to both the singular and
plural forms of such terms: 
 Bond—Any and all bonds, undertakings, guarantees, contractual obligations, and writings or statements of
prequalification or commitment, including Modifications thereof, for which Company has an obligation as a result of an asset purchase, acquisition, merger or like transaction, issued for, or which Company has executed or procured for or on behalf
of: (a) any one or more of the Indemnitors (without regard to whether any such Indemnitor signed this Agreement), their respective present or future direct or indirect parent companies, subsidiaries and affiliates and all of their respective
successors and assigns; (b) any present or future joint venture, co-venture, consortium, partnership, trust, association, limited liability company or other legal entity in which one or more of the
persons or entities Identified in sub-paragraph (a) above have an interest; (c) any other person or entity at the request of any of the Indemnitors; or (d) any combination of the above, whether executed or procured before, on, or
after the execution of this Agreement. For the purpose of this definition, “Modifications” shall include but not be limited to renewals, substitutions, riders, endorsements, reinstatements, replacements, increases or decreases in penal
sum, continuations, and extensions. 
 Company—Travelers Casualty and Surety Company of America, St. Paul Fire and Marine Insurance Company, any
of their present or future direct or indirect parent companies, any of the respective present or future direct or indirect affiliates or subsidiaries of such companies and parent companies, and/or any of the aforementioned entities’ successors
or assigns. 
 Contract—Any contract or obligation the performance of which is guaranteed or covered either in whole or in part under a Bond.

 Default—Any of the following shall constitute a Default: (a) a declaration of Contract default by any Obligee; (b) actual breach or
abandonment of any Contract; (c) a breach of any provision of this Agreement; (d) failure to make payment of a properly due and owing bill in connection with any Contract; (e) Company’s good faith establishment of a reserve;
(f) improper diversion of Contract funds or any Indemnitor’s assets to the detriment of Contract obligations; (g) any Indemnitor’s becoming the subject of any proceeding or agreement of bankruptcy, receivership, insolvency, or
creditor assignment, or actually becoming insolvent; (h) any Indemnitor’s dying, becoming legally incompetent, being imprisoned, being convicted of a felony, or disappearing and being unable to be located; (i) any representation
furnished to Company by or on behalf of any Indemnitor proving to have been materially false or misleading when made; and/or (j) any change In control or existence of any Indemnitor. Change in control means the addition or departure of any
person or entity having a thirty percent (30%) or greater ownership interest in any Indemnitor. 
 Indemnitors—Undersigned, all new
Indemnitors added to this Agreement by rider, their present and future direct and indirect subsidiaries, affiliates in which any of undersigned exercise operating control, and parent companies, and all of their successors and assigns, and any joint
venture, co-venture, consortium, partnership, trust, association, limited liability company or other legal entity in which one or more of them are involved, whether in existence now or formed or acquired hereafter, and any entity that obtains Bonds
from Company at the request of any of the aforementioned parties, or any combination of the above. 
 Loss—All loss and expense of any kind or
nature, including attorneys’ and other professional fees, which Company incurs in connection with any Bond or any Default by an Indemnitor under this Agreement, including but not limited to all loss and expense incurred by reason of
Company’s: (a) making any investigation in connection with any Bond; (b) prosecuting or defending any action in connection with any Bond; (c) obtaining the release of any Bond; (d) recovering or attempting to recover
Property in connection with any Bond or this Agreement; (e) enforcing by litigation or otherwise any of the provisions of this Agreement; and (f) all interest accruing thereon at the maximum legal rate. 

Obligee—Any person or entity in whose favor a Bond has been issued, and that person’s or entity’s successors and assigns. 

Property—Indemnitors’ rights, title and interest, whether now held or hereafter acquired in: (a) any Contract or contract, including but
not limited to subcontracts let; (b) any and all sums due or which may hereafter become due under any Contract or contract, and all damage claims and proceeds related thereto; (c) all rights arising under any surety bonds or insurance
policies; and (d) any and all accounts receivable, letters of credit, documents of title, bills of lading, warehouse receipts, machinery, plants, equipment, tools, materials, supplies, inventory, vehicles, hardware, software, machine tools,
fixtures, office equipment, books, records, designs, licenses, patents, intellectual property, as-builts, construction drawings and documents, and all electronically stored information. 

2. Payment of Premium: Indemnitors shall pay to Company all premiums for each Bond executed and all renewals and extensions thereof. 

3. Indemnification and Hold Harmless: Indemnitors shall exonerate, indemnify and save Company harmless from and against all Loss. An itemized, sworn
statement by an employee of Company, or other evidence of payment, shall be prima facie evidence of the propriety, amount and existence of Indemnitors’ liability. Amounts due to Company shall be payable upon demand. 

4. Claim Settlement: Company shall have the right, in its sole discretion, to determine for itself and Indemnitors whether any claim, demand or suit
brought against Company or any Indemnitor in connection with or relating to any Bond shall be paid, compromised, settled, tried, defended or appealed, and its determination shall be final, binding and conclusive upon the Indemnitors. Company shall
be entitled to immediate reimbursement for any and all Loss incurred under the belief it was necessary or expedient to make such payments. 

  

			
	S-5007 (8-2004)	  	Page 1

 5. Collateral Security: Indemnitors agree to deposit with Company, upon demand, an amount as determined by
Company sufficient to discharge any Loss or anticipated Loss. Indemnitors further agree to pay to Company, upon demand, an amount equal to the value of any assets or Contract funds improperly diverted by any Indemnitor. Sums paid to Company pursuant
to this paragraph may be used by Company to pay such claim or applied against any Loss or unpaid premium on any Bond. Indemnitors agree that Company would suffer irreparable damage and would not have an adequate remedy at law if Indemnitors fail to
comply with the provisions of this paragraph. This paragraph is not intended to constitute a security interest for the Company in accordance with the Uniform Commercial Code. 

6. Remedies: In the event of a Default, Indemnitors assign, convey and transfer to Company all of their rights, title and interests in Property, and
Company shall have a right in its sole discretion to: (a) take possession of the work under any Contract and to complete said Contract, or cause, or consent to, the completion thereof; (b) immediately take possession of Indemnitors’
Property, and utilize the Property for the completion of the work under the Contracts without payment for such use; (c) assert or prosecute any right or claim in the name of any Indemnitor and to settle any such right or claim as Company sees
fit; (d) execute in the name of any Indemnitor, any instruments deemed necessary or desirable by Company to: (i) provide Company with title to assets, (ii) take immediate possession of Contract funds whether earned or unearned,
(iii) collect such sums as may be due Indemnitors and to endorse in the name of Indemnitors, and (iv) collect on any negotiable instruments; (e) require any Obligee to withhold payment of Contract funds unless and until Company
consents to its release; and/or (f) be subrogated to all the rights, remedies, properties, funds, securities and receivables relating to Indemnitors’ Contracts or contracts and have the right to offset losses on any Contract or Bond
against proceeds, funds, or property due from another Contract, bond or contract. Further, in the event of Default and upon demand Indemnitors shall direct that all payments, monies, and properties that are due or may become due on any Contract or
contract be made payable to, and/or sent directly to, Company, and shall issue whatever writing or notices as deemed necessary by Company to effectuate the default and/or termination of any Contract. 

7. Joint and Several Liability: The obligations of Indemnitors hereunder are joint and several. Company is authorized to settle with any one or more of
the Indemnitors individually, and without reference to the others, and any such settlements shall not bar or prejudice actions by Company against or affect the liability of the other Indemnitors hereunder. 

8. Decline Execution: Company has the right, for any reason, to decline to execute: (a) any Bond, including final Bonds where Company provided a
bid Bond; (b) any Bond rider or consent authorizing any change to any Bond; and/or (c) any other consent of surety, without incurring any liability or waiving any right. 

9. Trust Fund: All payments due or received for or on account of any Contract. Whether or not in the possession of any Indemnitor, shall be held in
trust as trust funds by Indemnitors for the benefit and payment of all obligations for which Company as beneficiary may be liable under any Bond. Company may open a trust account or accounts with a bank for the deposit of the trust funds. Upon
demand, Indemnitors shall deposit therein all trust funds received. Withdrawals from such trust accounts shall require the express consent of Company. 
 10.
Books, Records and Credit: Indemnitors shall furnish upon demand, and Company shall have the right of free access to, at reasonable times, the records of Indemnitors including, but not limited to, books, papers, records, documents, contracts,
reports, financial information, accounts and electronically stored information, for the purpose of examining and copying them. Indemnitors expressly authorize Company to access their credit records, including, but not limited to, account numbers
and/or account balances from financial institutions. To the extent required by law, Indemnitors, upon request, shall be informed whether or not a consumer report has been requested by Company, and if so, of the name and address of the consumer
reporting agency furnishing the report. 
 11. Attorney in Fact: Indemnitors irrevocably constitute, appoint and designate Company as their attorney
in fact with the right, but not the obligation, to exercise all rights of Indemnitors assigned or granted to Company and to execute and deliver any other assignments, documents, instruments or agreements deemed necessary by Company to exercise its
rights under this Agreement in the name of any Indemnitor. 
 12. Security Interest: If an Indemnitor grants a security interest to the lenders under
that certain Amended and Restated Loan Agreement dated as of September 28, 2005 among the undersigned, LaSalle Bank National Association, as administrative agent, and the lenders party thereto, and as may be amended from time to time, or under
that certain Master Shelf Agreement dated as of the July 31, 2003, among the undersigned, Prudential Investment Management, Inc., The Prudential Insurance Company of America, and any other person who may become a “Noteholder”
thereunder, and as may be amended from time to time, Indemnitors shall immediately grant to Company a second lien security interest in the following properties, assets and rights of Indemnitors, wherever located, whether now owned or hereafter
acquired or arising, and all proceeds and products thereof: all goods (including inventory, equipment and any accessions thereto), instruments (including promissory notes), documents, accounts, chattel paper, deposit accounts, letter-of-credit rights, securities and all other investment property, supporting obligations, any Contract or contract rights or rights to the payment of money, insurance claims and proceeds, and all general
intangibles (the “Collateral”). 
 13. Termination: This is a continuing Agreement, which remains in full force and effect until terminated.
The sole method available to Indemnitors to terminate their participation in this Agreement is by giving written notice to Company of Indemnitors’ intent to terminate. Such notice shall be sent to St. Paul Travelers Bond, Attention:
Construction Services—Bond, One Tower Square, 5PB, Hartford, Connecticut 06183. The termination shall take effect thirty (30) days after Company receives such notice (“Termination Date”). The notice shall not relieve Indemnitor
from its obligations for any Bond executed prior to the Termination Date or with respect to any Bond executed after the Termination Date: (a) upon the award of a Contract to any Indemnitor on a bid or proposal in respect of which Company has
executed or procured a bid Bond prior to the Termination Date; or (b) which Company has become committed to execute or procure prior to the Termination Date; or (c) in connection with any maintenance, guarantee, claim, lien, litigation, or
other matter involving or relating to any Bond executed prior to the Termination Date or thereafter executed or procured as provided in sub-paragraphs (a) or (b) above. 

14. Jurisdiction: In any legal proceeding brought by or against Company that in any way relates to this Agreement, each Indemnitor, for itself and its
property, irrevocably and unconditionally submits to the exclusive jurisdiction, at the sole and exclusive option of Company, of the courts in any state in which any Indemnitor resides, has property, or in which any Contract is performed.
Indemnitors hereby irrevocably and unconditionally submit to the jurisdiction of said courts and waive and agree not to assert any claim that they are not subject to the jurisdiction of any such court, that such proceeding is brought in an
inconvenient forum or that the venue of such proceeding is improper. 
 15. Other Sureties: If Company procures the execution of Bonds by other
sureties, executes Bonds with co-sureties or obtains reinsurance, the provisions of this Agreement inure to the benefit of such other surety, co-surety or reinsurer, but only as to such Bonds. 

  

			
	S-5007 (8-2004)	  	Page 2

 16. Nature of Rights: If any provision or portion of this Agreement is or becomes unenforceable, this
Agreement shall not be void, but shall be construed and enforced with the same effect as though such provision or portion were omitted. This Agreement is in addition to and not in lieu of any other agreement of indemnity, whether now existing or
entered into hereafter. Company shall be entitled to specific performance of the terms of this Agreement in addition to any other remedy at law or equity. Time is of the essence in this Agreement. Whenever the context may require, any pronoun used
in this Agreement shall include the corresponding masculine, feminine and neuter forms. The rights and remedies afforded to Company by the terms of this Agreement can only be modified by a written rider to this Agreement signed by an authorized
representative of Company. If any Indemnitor fails to execute or improperly executes this Agreement or is otherwise found not to be bound under this Agreement, such failure or finding shall not affect the obligations of the other Indemnitors. The
failure to sign or the improper execution of a Bond shall not affect Company’s rights under this Agreement, and Indemnitors waive any claim they may have, now or at any time in the future, arising out of the failure to sign or properly execute
a Bond. Termination and/or limitation of any Indemnitors’ obligations under this Agreement shall in no way affect the obligations of any of the other Indemnitors whose obligations have not been terminated and/or limited. Indemnitors acknowledge
this Agreement can be amended via rider to add another person, entity or entities as Indemnitor(s) to this Agreement and Indemnitors waive any and all notice in connection with the addition of additional Indemnitors and further acknowledge the
rights and obligations provided herein shall apply to all Indemnitors whenever made a party to the Agreement. 
 17. Jury Waiver: Indemnitors hereby
waive and covenant that they will not assert any right to trial by jury in respect to any legal proceeding arising out of this Agreement. 
 18.
Resolution: Indemnitors have a substantial, material and beneficial interest: (a) in the obtaining of Bonds by any of the Indemnitors; and (b) in the transaction(s) for which any Indemnitor has applied or will apply to Company for
Bonds pursuant to this Agreement. Indemnitors have the full power and authority to execute, deliver and perform this Agreement and to carry out the obligations stated herein. Indemnitors further acknowledge and agree that: (x) the execution,
delivery and performance of this Agreement by such Indemnitors; (y) the compliance with the terms and provisions hereof; and (z) the carrying out of the obligations contemplated herein, do not, and will not, conflict with and will not
result in a breach or violation of any terms, conditions or provisions of the charter documents or bylaws of such Indemnitors, or any law, governmental rule or regulation, or any applicable order, writ, injunction, judgment or decree of any court or
governmental authority against Indemnitors, or any other agreement binding upon Indemnitors, or constitute a default thereunder. 
 19. Date of
Agreement: The date of this Agreement shall be the earliest date any Indemnitor executes this Agreement. 
 WE HAVE READ THIS INDEMNITY AGREEMENT
CAREFULLY. THERE ARE NO SEPARATE AGREEMENTS OR UNDERSTANDINGS WHICH IN ANY WAY LESSEN OUR OBLIGATIONS AS ABOVE SET FORTH. IN TESTIMONY HEREOF, WE THE INDEMNITORS HAVE SET OUR HANDS AND FIXED OUR SEALS AS SET FORTH BELOW. 

IMPORTANT: 1. PRINT OR TYPE NAMES UNDER EACH SIGNATURE. 
 2. ALL
PERSONAL INDEMNITORS MUST PROVIDE A RESIDENTIAL ADDRESS AND SOCIAL SECURITY NUMBER AND EACH SIGNATURE MUST BE NOTARIZED. 
 3. ALL ENTITY INDEMNITORS MUST
PROVIDE AN ADDRESS AND FEDERAL TAX IDENTIFICATION NUMBER, IF APPLICABLE, AND EACH SIGNATURE MUST BE NOTARIZED. 
 If Indemnitor an
Individual, sign below: 
  

					
	 	 	 	 	 
	Indemnitor – Individual         (signature)	 	Month/Day/Year	 	Address
			
	 	 		 	 
	Indemnitor – Individual         (print or type)	 		 	SS#

  

					
	ACKNOWLEDGEMENT	  		  	
			
	STATE OF                                   
                            	  	County of                                  
                           	  	

 On this          day of
            ,         , before me personally appeared
                     of the address shown above, known or proven to me to be the person described in and who executed the foregoing instrument, and
he/she acknowledged to me that he/she executed the same. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my OFFICIAL SEAL the day and year first above written. 
  

			
	 	  	 
	Notary Public	  	(signature)
		
	 	  	 
	Notary Public	  	(print or type)
	
	Notary Public residing at:
	
	Commission expires:

  

					
	 	 	 	 	 
	Indemnitor – Individual         (signature)	 	Month/Day/Year	 	Address

  

			
	S-5007 (8-2004)	  	Page 3

					
	Indemnitor – Individual (print or type)	 		  	SS#
			
	ACKNOWLEDGEMENT	 		  	

 STATE OF
                                        
                    County of
                                        

 On this         day of            
,         , before me personally appeared                      of the address shown above, known or proven to
me to be the person described in and who executed the foregoing instrument, and he/she acknowledged to me that he/she executed the same. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my OFFICIAL SEAL the day and year first above
written. 
  

							
		 		 		  	
		 		 	Notary Public	  	(signature)
				
		 		 		  	
		 		 	Notary Public	  	(print or type)
				
		 		 	Notary Public residing at:	  	
				
		 		 	Commission expires:	  	

 If Indemnitor a Corporation, Limited Liability Company, Partnership, or Trust, sign below: 

Instructions: All signatures must be notarized. If the entity is: 1) a corporation, the secretary and an authorized officer should sign on behalf of the
corporation; 2) a limited liability company, the manager(s) or member(s) should sign on behalf of the LLC; 3) a partnership, the partner(s) should sign on behalf of the partnership; or 4) a trust, all trustees should sign. Two signatures are
required for all entities except where otherwise instructed by Company. 
 Each of the undersigned hereby affirms to Company as follows: I am a duly
authorized official of the business entity Indemnitor on whose behalf I am executing this Agreement. In such capacity I am familiar with all of the documents which set forth and establish the rights which govern the affairs, power and authority of
such business entity including, to the extent applicable, the certificate or articles of incorporation, bylaws, corporate resolutions, and/or partnership, operating or limited liability agreements of such business entity. Having reviewed all such
applicable documents and instruments and such other facts as deemed appropriate, I hereby affirm that such entity has the power and authority to enter into this Agreement and that the individuals executing this Agreement on behalf of such entity are
duly authorized to do so. 
  

											
	 Layne Christensen Company
	  		  	48-0920712	  	 	February 28, 2006	  
	Indemnitor – Corporation, Limited Liability Company,	  		  	(Federal Tax ID)	  	 	Month/Day/Year	  
	Partnership or Trust (circle one)	  		  		  			
			
	 By /s/ Jerry W. Fanska
	  		  	By /s/ Steven F. Crooke	  
		  	(Signature of Authorized Officer)	  		  		  	 	(Signature of Authorized Officer)	  
			
	Jerry W. Fanska, Senior Vice President-Finance and Treasurer	  		  	Steven F. Crooke, Secretary	  
	  

(Print or Type Name and Title)
	  		  		  	 	(Print or Type Name and Title)	  
			
	
1900 Shawnee Mission Parkway, Mission Woods, KS 66205
	  		  	Delaware	  
		  	(Address)	  		  		  	 	(State of Incorporation/Formation)	  

 ACKNOWLEDGEMENT 

STATE OF Kansas            
                                        County of
Johnson             
 On this 28th
day of February, 2006, before me personally appeared Jerry W. Fanska, of the address shown above, known or proven to me to be the Senior Vice President – Finance and Treasurer of the entity executing the foregoing
instrument (“Entity”), and Steven F. Crooke, known or proven to me to be the Secretary of the Entity, and they acknowledged said instrument to be the free and voluntary act and deed of Entity for the uses and
purposes therein mentioned and on oath stated that the seal affixed is the seal of Entity and that it was affixed and that they executed said instrument by authority of Entity. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my OFFICIAL
SEAL the day and year first above written. 
  

									
		 		 	 /s/ Dolores A. DeMeese

		 		 	Notary Public	  		  	(signature)
			
		 		 	 Dolores A. DeMeese

		 		 	Notary Public	  		  	(print or type)
				
		 		 	Notary Public residing at:	  	Shawnee
		 		 		  	Johnson County, Kansas
					
		 		 	Commission expires:	  	July 31, 2007	  	

  

			
	S-5007 (8-2004)	  	Page 4Summary of Fiscal 2014/2015 Annual Incentive Programs

 Exhibit 10.7 

FISCAL 2014/2015 ANNUAL INCENTIVE BONUS PLAN SUMMARY 

The Company’s named executive officers are: Ralph T. Finkenbrink, President and Chief Executive Officer; Kevin D. Bates, Senior Vice
President of Branch Operations; and Katie L. MacGillivary, Vice President of Finance, Chief Financial Officer and Corporate Secretary. Prior to June 1, 2014, the Company’s named executive officers were: Peter L. Vosotas, President and
Chief Executive Officer; and Ralph T. Finkenbrink, Senior Vice President-Finance, Chief Financial Officer and Corporate Secretary. The Company has in place annual incentive bonus programs for its named executive officers. Set forth below is a
summary of the principal terms of such programs for the fiscal year ended March 31, 2014 (“Fiscal 2014”) and the fiscal year ending March 31, 2015 (“Fiscal 2015”): 

Fiscal 2014 
 Cash
Bonuses. In addition to his annual base salary, each of Messrs. Vosotas and Finkenbrink was entitled to receive cash bonuses for Fiscal 2014 based upon the Company’s revenues and operating income exceeding certain target
percentages. The tables below summarize the cash bonuses payable to each of Messrs. Vosotas and Finkenbrink based upon the Company meeting or exceeding the indicated growth targets: 

 

									
	 Revenue Growth Target (% Increase Over Fiscal 2013)*
	  	Cash Bonus Payable
to Mr. Vosotas	 	  	Cash Bonus Payable
to Mr. Finkenbrink	 
			
	 3%
	  	$	20,000	  	  	$	15,000	  
	 5% or above
	  	$	40,000	  	  	$	30,000	  

  

									
	 Operating Income Growth Target (% Increase Over Fiscal 2013)*
	  	Cash Bonus Payable
to Mr. Vosotas	 	  	Cash Bonus Payable
to Mr. Finkenbrink	 
			
	 5%
	  	$	20,000	  	  	$	15,000	  
	 10% or above
	  	$	40,000	  	  	$	30,000	  

 Neither Mr. Vosotas nor Mr. Finkenbrink received any cash bonus for Fiscal 2014. 

Equity Awards. Neither Mr. Vosotas nor Mr. Finkenbrink received any equity awards for Fiscal 2014. 

Fiscal 2015 
 Discretionary
Cash Bonuses. In addition to his or her annual base salary, each of Mr. Finkenbrink, Mr. Bates and Ms. MacGillivary may receive cash bonuses for Fiscal 2015 at the discretion of the Compensation Committee
of the Company’s Board of Directors. In determining such bonuses, the Compensation Committee will consider various factors it deems appropriate, such as (without limitation) profitability, portfolio growth, branch expansion, and competitive
circumstances. The Compensation Committee granted Mr. Finkenbrink a $25,000 cash bonus upon his becoming President and Chief Executive Officer of the Company. 

 Equity Awards. The Company’s current Named Executive
Officers received the following equity awards under the Equity Plan as part of the Fiscal 2015 incentive bonus program: 
  

									
	 Executive Officer
	  	Restricted Stock*	 	  	Non-Qualified Stock Options**	 
			
	 Ralph T. Finkenbrink
	  	 	20,000	  	  	 	40,000	  
	 Kevin D. Bates
	  	 	12,000	  	  	 	25,000	  
	 Katie L. MacGillivary
	  	 	8,000	  	  	 	15,000	  

  

	*	These awards were granted effective June 13, 2014 will vest on March 31, 2017. 

	**	These awards were granted effective June 13, 2014, will vest in five equal installments commencing as of the first anniversary of the date of grant, and expire on June 13, 2024. 

  
 2

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