Document:

Exhibit 10.3
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SEPARATION AND CONSULTING AGREEMENT AND GENERAL RELEASE
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This Separation and Consulting Agreement and General Release (the “Agreement”) is being entered into between Edward Smith (“Smith”) and Marinus Pharmaceuticals, Inc. (the “Company”) in connection with Smith’s separation from the Company effective March 9, 2021 (the “Separation Date”).  
WHEREAS, Smith’s employment with the Company is ending as of the Separation Date; 
WHEREAS, the Company wishes to retain Smith as a consultant for a period of time after the Separation Date to assist with the orderly transition of Smith’s duties;
WHEREAS, the parties wish to clarify and memorialize certain agreements made between them in regard to such employment, termination of employment and consultancy period;
NOW, THEREFORE, in consideration of the foregoing premises and the terms stated herein, it is mutually agreed between the parties as follows:
1.Accrued Salary and Vacation.  On the next regular payroll date following the Separation Date, the Company will pay Smith all accrued salary and all accrued and unused vacation earned through the Separation Date, subject to standard payroll deductions and withholdings.  Smith will receive these payments regardless of whether or not he signs this Agreement.
2.Wages and Benefits as of Separation Date.  By signing this Agreement, Smith acknowledges and agrees that, upon payments of the amounts set forth in Section 1, Smith has been fully paid all outstanding, accrued compensation due and owing to Smith up to and including the Separation Date, including all wages, salary, commissions, bonuses, incentive payments, vacation, paid time off, profit-sharing payments, expense reimbursements, leave or other benefits.  Smith acknowledges and agrees that, except as expressly provided in this Agreement, as of Smith’s Separation Date, Smith is no longer eligible to participate in or accrue benefits under any of the Company’s benefit plans, including, but not limited to, any dental or medical insurance, long term care plans, retirement or 401(k) plans, vacation leave, sick leave, long term disability insurance, life insurance, cash incentive plans, deferred compensation, pensions, profit sharing or personal accident insurance, or, except as specifically set forth herein, any plan of the Company relating to equity awards, such as stock options.  Upon execution of the Agreement Smith hereby relinquishes the titles of Vice President, Chief Financial Officer and Treasurer.
3.Consideration for Signature.  If Smith signs this Agreement on the Separation Date, does not revoke it under Section 12(b) hereof, and at all times abides by its terms, then:
a.The Company will pay to Smith the total gross amount of Three Hundred Seven Thousand Five Hundred Dollars ($307,500.00), the equivalent of nine (9) months of Smith’s base salary as of the Separation Date (“Severance”), less appropriate federal, state and local taxes and other withholdings as determined by the Company, payable in equal installments, in accordance with the Company’s regular payroll practices over a nine (9) month period, with the first installment being paid on the first payroll date after the Effective Date of this Agreement as defined in Section 12(b).  Smith acknowledges and agrees that the Severance is not compensation for Smith’s services rendered through the Separation Date, but rather constitute consideration for the promises contained in this Agreement, and is above and beyond any wages 

or salary or other sums to which Smith is entitled from the Company under the terms of Smith’s employment with the Company or under any other contract or law.
b.All of Smith's unvested stock options, as set forth on Schedule A hereto, will immediately vest as of the Separation Date and will become and remain exercisable pursuant to each stock option’s terms until the earlier of (i) the one year anniversary of the Separation Date, and (ii) the end of the term of such stock option.  Except as specifically set forth in this Section 3(b), all stock options held by Smith shall continue to be governed by the applicable incentive plan and award agreements (the “Option Award Agreements”).
c.If Smith timely elects to participate in a healthcare continuation coverage program such as under Section 4980B of the Internal Revenue Code (“COBRA”) or any similar state medical and dental insurance continuation coverage program for himself and his covered dependents, then the Company will pay, as and when due to the insurance carrier or COBRA administrator (as applicable), that portion of Smith’s premiums for COBRA coverage that it was paying prior to the Separation Date for a period of nine (9) months following the Separation Date (collectively, “COBRA Premium Payments”); provided, however, that the COBRA Premium Payments shall immediately cease prior to the end of such nine-month period in the event, and upon the date, that Smith becomes eligible for and obtains substantially equivalent employer-offered health insurance coverage. Thereafter, Smith will be responsible for the full COBRA premium to continue coverage. Notwithstanding the foregoing and regardless of whether Smith signs this Agreement, Smith understands that he shall have the right to COBRA continuation coverage at his own expense under the normal COBRA health care continuation rules and applicable plan terms.
d.The Company shall retain Smith as a consultant for a three-month period, beginning on the Separation Date and ending on June 8, 2021 (the “Consultancy Period”), unless the Consultancy Period is terminated earlier as set forth below.  The terms of the consultancy during the Consultancy Period are as follows:

i.During the Consultancy Period, and subject to Section 3(d)(ii), Smith shall make himself reasonably available to perform services as reasonably requested by Scott Braunstein, M.D., CEO at the Company (the “Services”).  The Services shall include, but may not be limited to, Services related to assisting in the transition as requested.    
ii.During the Consultancy Period, Smith may accept other full-time employment or engagements and may participate in any other activities; provided, however, that  such other employment, engagements and activities do not unreasonably interfere with Smith’s ability or obligation to provide the Services required hereunder, create a conflict of interest or violate the terms of this Agreement.  In the event that the Company deems any such employment, activities or engagement to unreasonably interfere with Smith’s duties hereunder, the Company will promptly provide written notice to Smith and provide Smith an opportunity to cure.
iii.Subject to the Company’s quality specifications, Smith shall perform the Services at appropriate times and location(s) in the reasonable discretion of Smith, provided that the Company shall on occasion be entitled to reasonably request Smith to perform services at specific times or locations, so long as such specifications do not unreasonably conflict with Smith’s obligations in connection with any new employment.  Smith’s contact person at the Company for purposes of performing the Services shall be Scott Braunstein, M.D. and/or his designee.  
iv.The Company agrees to pay Smith during the Consultancy Period a monthly fee of $34,167 (“Monthly Consultant Fee”), payable in accordance with the Company’s ordinary payroll procedures.  Such payment(s) shall be subject to a Form 1099-MISC.  

v.For the duration of the Consultancy Period, Smith (i) understands that he is an independent contractor and shall have sole control of the manner and means of performing the Services and shall complete such Services in accordance with his own means and methods of work, and according to his own schedule;  (ii) shall be solely responsible for any federal, state or local income taxes or self-employment taxes arising with respect to the amounts payable under this Section 3(d); (iii) has no federal, state or local law workers’ compensation rights with respect to the Services; (iv) shall not be entitled to disability insurance, Social Security or unemployment compensation coverage or any other statutory benefit generally granted to employees of the Company; (v) shall comply at his expense with all applicable provisions of workers’ compensation laws, unemployment compensation laws, federal Social Security law, the Fair Labor Standards Act, OSHA regulations, federal, state and local income tax laws, and all other applicable federal, state and local laws, regulations and codes relating to terms and conditions of employment required to be fulfilled by employers or independent contractors; and (vi) shall not have the authority or ability to legally bind or commit the Company or any of its affiliates.  Nothing contained in this Section 3(d) is intended to give rise to, or gives rise to, a partnership, joint venture, agency, fiduciary, employment, or other relationship between the parties or imposes upon the parties any of the duties or responsibilities of partners, joint venturers or employer-employee, beyond the relationship of independent parties to a commercial contract.
vi.Smith agrees to observe and comply with, and that as a consultant he is subject to, the policies and rules of the Company.  Smith agrees to observe and comply with all such policies that by their operation survive termination of his consultancy hereunder.
vii.Smith may terminate the Consultancy Period at any time upon written notice to the Company, at which time the Company shall have no further obligations to Smith, except as stated in this Section 3(d)(vii).  The Company may terminate the Consultancy Period at any time for “Cause” upon notice to Smith and subject to any cure period specified in this Section 3(d)(vii).  For purposes of this Section 3(d), the term “Cause” shall be defined as Smith failing to provide Services as reasonably requested by the Company, which are agreed may be coordinated with any new full-time employment obtained by Smith, after the expiration of ten (10) days without cure after written notice of such failure.  In the event that Smith terminates the Consultancy Period for any reason or the Company terminates the Consultancy Period for Cause, the Company shall pay Smith a pro-rata portion of the Monthly Consultant Fee for the month in which the Consultancy Period terminates.  The Company may not terminate the Consultancy Period except for Cause. 

4.General Release.  Except for any rights granted under this Agreement, by signing this Agreement, Smith, for himself, and, to the extent permitted by law, for Smith’s heirs, assigns, executors and administrators, hereby releases, remises and forever discharges the Company, its parents, subsidiaries, affiliates, divisions, predecessors, successors, assigns, and each of their respective members, managers, directors, officers, partners, attorneys, shareholders, administrators, employees, agents, representatives, employment benefit plans, plan administrators, fiduciaries, trustees, insurers and re-insurers, and investors, and all of their predecessors, successors and assigns, and each of their respective members, managers, directors, officers, partners, attorneys, shareholders, administrators, employees, agents, representatives, employment benefit plans, plan administrators, fiduciaries, trustees, insurers and re-insurers, investors (collectively, the “Releasees”) of and from all claims, causes of action, covenants, contracts, agreements, promises, damages, disputes, demands, and all other manner of actions whatsoever, in law or in equity, that Smith ever had, may have had, now has, or that Smith’s heirs, assigns, executors or administrators hereinafter can, shall or may have, whether known or unknown, asserted or unasserted, suspected or unsuspected, as a result of or related to Smith’s employment with the Company, including vacation pay, profit sharing plans, retirement plans or any other benefit plans of any type or nature other than as preserved hereby, the termination of Smith’s employment, or under any contract relating to Smith’s employment, including the Amended and Restated Employment Agreement entered into between the Company and 

Smith, dated August 3, 2016 (the “Employment Agreement”), or any act or omission which has occurred at any time up to and including the date of the execution of this Agreement (collectively, the “Released Claims”).
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a.Released Claims.  The Released Claims include, but are not limited to, claims for monetary damages; claims related to Smith’s employment with the Company or the termination thereof; claims to severance or similar benefits as of the date of this Agreement, but not to include any claims for Smith’s future eligibility under the Change in Control Severance Plan (the “Severance Plan”); claims to expenses, attorneys’ fees or other indemnities; claims based on any actions or failures to act that occurred on or before the date of this Agreement; and claims for other personal remedies or damages sought in any legal proceeding or charge filed with any court or federal, state or local agency either by Smith or by any person claiming to act on Smith’s behalf or in Smith’s interest.  Smith understands that the Released Claims may have arisen under different local, state and federal statutes, regulations, or common law doctrines.  Smith hereby specifically, but without limitation, agrees to release all Releasees from any and all claims under each of the following:

i.Antidiscrimination laws, such as Title VII of the Civil Rights Act of 1964, as amended, and Executive Order 11246 (which prohibit discrimination based on race, color, national origin, religion, or sex); Section 1981 of the Civil Rights Act of 1866 (which prohibits discrimination based on race or color); the Americans with Disabilities Act and Sections 503 and 504 of the Rehabilitation Act of 1973 (which prohibit discrimination based upon disability); the Age Discrimination in Employment Act, as amended; 29 U.S.C. Section 621 et seq. (which prohibits discrimination on the basis of age); the Equal Pay Act (which prohibits paying men and women unequal pay for equal work); the Pennsylvania Human Relations Act; or any other local, state or federal statute, regulation, common law or decision concerning discrimination, harassment, or retaliation on these or any other grounds or otherwise governing the employment relationship.
ii.Other employment laws, such as the federal Worker Adjustment and Retraining Notification Act of 1988; the Executive Retirement Income Security Act of 1974 (which, among other things, protects employee benefits); the Fair Labor Standards Act of 1938 (which regulates wage and hour matters); the Family and Medical Leave Act of 1993 (which requires employers to provide leaves of absence under certain circumstances); the Pennsylvania Whistleblower Law; the Pennsylvania Public Employee Relations Act; the Pennsylvania Wage Payment and Collections Law as well as any amendments to such laws; the U.S. Patriot Act, the Sarbanes Oxley Act; the Dodd Frank Act; and any other federal, state, or local statute, regulation, common law or decision relating to employment, reemployment rights, leaves of absence or any other aspect of employment.
iii.Other laws of general application, such as federal, state, or local laws enforcing express or implied employment agreements or other contracts or covenants, or addressing breaches of such agreements, contracts or covenants; federal, state or local laws providing relief for alleged wrongful discharge or termination, physical or personal injury, emotional distress, fraud, intentional or negligent misrepresentation, defamation, invasion of privacy, violation of public policy or similar claims; common law claims under any tort, contract or other theory now or hereafter recognized, and any other federal, state, or local statute, regulation, common law doctrine, or decision regulating or regarding employment.

b.Participation in Agency Proceedings.  Nothing in this Agreement shall prevent Smith from filing a charge (including a challenge to the validity of this Agreement) with the Equal Employment Opportunity Commission (the “EEOC”), the National Labor Relations Board (the “NLRB”), or other similar federal, state or local agency, or from participating in any investigation or proceeding conducted by the EEOC, the NLRB, or similar federal, state or local agencies.  However, by entering into 

this Agreement, Smith understands and agrees that Smith is waiving any and all rights to recover any monetary relief or other personal relief against the Releasees as a result of any such EEOC, NLRB, or similar federal, state or local agency proceeding, including any subsequent legal action.  
c.Claims Not Released.  The Released Claims do not include claims by Smith for: (1) unemployment insurance; (2) worker’s compensation benefits; (3) state disability compensation; (4) previously vested benefits under any Company-sponsored benefits plan; (5) all rights under the Option Award Agreements and that certain Marinus Pharmaceuticals, Inc. 2014 Equity Incentive Plan, as Amended (the “Plan”); (6) events that occur after the date Smith signs this Agreement; and (7) any other rights that cannot by law be released by private agreement.  Furthermore, Smith is not releasing any right of indemnification he may have for any liabilities arising from his actions within the course and scope of his employment with the Company or within the course and scope of his role as an officer of the Company.  
d.No Existing Claims or Assignment of Claims.  Smith represents and warrants that Smith has not previously filed or joined in any claims that are released in this Agreement and that Smith has not given or sold any portion of any claims released herein to anyone else, and that Smith will indemnify and hold harmless the Company and the Releasees from all liabilities, claims, demands, costs, expenses and/or attorneys’ fees incurred as a result of any such prior assignment or transfer. 
e.Acknowledgement of Legal Effect of Release.  BY SIGNING THIS AGREEMENT, SMITH UNDERSTANDS THAT HE IS WAIVING ALL RIGHTS HE MAY HAVE HAD TO PURSUE OR BRING A LAWSUIT OR MAKE ANY LEGAL CLAIM AGAINST THE COMPANY OR ANY RELEASEES, INCLUDING, BUT NOT LIMITED TO, CLAIMS THAT IN ANY WAY ARISE FROM OR RELATE TO HIS EMPLOYMENT OR THE TERMINATION OF THAT EMPLOYMENT, FOR ALL OF TIME UP TO AND INCLUDING THE DATE OF THE EXECUTION OF THIS AGREEMENT.  SMITH FURTHER UNDERSTANDS THAT BY SIGNING THIS AGREEMENT, HE IS PROMISING NOT TO PURSUE OR BRING ANY SUCH LAWSUIT OR LEGAL CLAIM SEEKING MONETARY OR OTHER RELIEF.
f.Restrictions.  Notwithstanding anything to the contrary herein, Smith understands that nothing in this Agreement or any other agreement that Smith may have with the Company restricts or prohibits Smith from initiating communications directly with, responding to any inquiries from, providing testimony before, providing confidential information to, reporting possible violations of law or regulation to, or from filing a claim or assisting with an investigation directly with a self-regulatory authority or a government agency or entity (collectively, “Government Agencies”), or from making other disclosures that are protected under the whistleblower provisions of state or federal law or regulation, and Smith does not need the Company’s prior authorization to engage in such conduct.  Notwithstanding, in making any such disclosures or communications, Smith must take all reasonable precautions to prevent any unauthorized use or disclosure of any information that may constitute Company Confidential Information to any parties other than the Government Agencies.  This Agreement does not limit Smith’s right to receive an award for information provided to any Government Agencies.

5.Proprietary and/or Confidential Information.  Smith agrees that any sensitive, proprietary, or confidential information or data relating to the Company or any of its affiliates or other Releasees (as defined in Section 4 above), including, without limitation, trade secrets, processes, practices, pricing information, billing histories, customer requirements, customer lists, customer contacts, employee lists, salary information, personnel matters, financial data, operating results, plans, contractual relationships, projections for new business opportunities, new or developing business for the Company, technological innovations in any stage of development, the Company’s financial data, long range or short range plans, any confidential or proprietary information of others licensed to the Company, and all other data and information of a competition-sensitive nature, including but not limited to all other data and 

information of a competitive-sensitive nature that Smith obtained while serving as a director, officer or employee of the Company or any of its affiliates or Releasees, together with any information received from any former affiliates of the Company or its affiliates or other Releasees (collectively, “Confidential Information”), and all notes, records, software, drawings, handbooks, manuals, policies, contracts, memoranda, sales files, or any other documents generated or compiled by any employee of the Company or Releasees reflecting such Confidential Information, that Smith acquired while an employee of the Company will not be disclosed or used for Smith's own purposes or in a manner detrimental to the Company’s interests.  Notwithstanding the foregoing, pursuant to 18 USC § 1833(b), an individual may not be held liable under any criminal or civil federal or state trade secret law for disclosure of a trade secret: (i) made in confidence to a government official, either directly or indirectly, or to an attorney, solely for the purpose of reporting or investigating a suspected violation of law, or (ii) in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal.  Additionally, an individual suing an employer for retaliation based on the reporting of a suspected violation of law may disclose a trade secret to his or her attorney and use the trade secret information in the court proceeding, so long as any document containing the trade secret is filed under seal and the individual does not disclose the trade secret except pursuant to court order.  
6.Return of Information and Property.  Smith agrees to return to the Company on the Separation Date all property and equipment belonging to the Company and the Releasees, including without limitation all computers, hard drives, phones, and access cards, the originals and all copies (regardless of medium) of all information, files, materials, documents or other property relating to the business of the Company, the Releasees, or their affiliates.  If Smith fails to timely return any such property, the Company shall be entitled to deduct from the Severance an amount equal to the value of non-returned property, and reserves all other rights and remedies.
7.Non-disparagement.  Smith agrees not to make to any person or entity any false, disparaging, or derogatory comments about the Company, its business affairs, its employees, clients, contractors, agents, or any of the other Releasees in any manner likely to be harmful to them or their business, business reputation or personal reputation.  The Company agrees to instruct its executive team not to make to any person or entity any false, disparaging, or derogatory comments about Smith that is likely to be harmful to Smith’s personal or business reputation.  Nothing in this Section 7 shall prevent the Company or Smith from responding truthfully to a valid subpoena, court order and/or similar process from a judicial, law enforcement, administrative or regulatory body of competent jurisdiction. 
8.General Provisions.  This Agreement, including Schedule A, contains the entire understanding and agreement between the parties relating to the subject matter of this Agreement, and supersedes any and all prior agreements or understandings between the parties pertaining to the subject matter hereof, except for Section 5 of the Employment Agreement, which is incorporated herein by reference, and the Option Award Agreements granted under and including the Plan.  For the avoidance of doubt, this Agreement does not supersede or otherwise affect the enforceability of the Severance Plan, which remains in full force and effect, and the Company agrees that, under the circumstances of his separation from the Company, in the event of a Change in Control (as defined in the Severance Plan), Smith remains eligible to receive additional severance benefits under the Severance Plan according to its terms.  This Agreement may not be altered or amended except by an instrument in writing signed by both parties.  Smith has not relied upon any representation or statement outside this Agreement with regard to the subject matter, basis or effect of this Agreement.  This Agreement will be governed by, and construed in accordance with, the laws of the Commonwealth of Pennsylvania, excluding the choice of law rules thereof. This Agreement will be binding upon and inure to the benefit of the parties and their respective representatives, successors and permitted assigns.  No waiver of a party’s rights will be effective unless such waiver is in writing signed by the waiving party.  This Agreement and the rights and obligations of the parties hereunder may not be assigned by Smith without the prior written consent of the Company, but may be assigned by 

the Company or its successors and assigns without Smith’s permission or consent.  If any one or more of the provisions of this Agreement, or any part thereof, will be held to be invalid, illegal or unenforceable, the validity, legality and enforceability of the remainder of this Agreement will not in any way be affected or impaired thereby.  This Agreement may be signed in one or more counterparts, each of which will be deemed an original, and all of which together will constitute one instrument.
9.No Admission.  The parties agree that nothing contained in this Agreement will constitute or be treated as an admission of liability or wrongdoing by either of them.  
10.Cooperation. Smith agrees that Smith will cooperate fully with, and make himself reasonably available to, the Company with respect to transitioning Smith’s duties and responsibilities and any matter in which Smith was in any way involved during Smith’s employment with the Company by making himself reasonably available in conjunction with any new employment that Smith may obtain.  Smith shall render such cooperation in a reasonable manner on reasonable notice from the Company.
11.Continuing Obligations and Injunctive Relief.  Smith acknowledges and agrees that Section 5 of the Employment Agreement remains in full force and effect and Smith’s obligations under Section 5 of the Employment Agreement survive Smith’s termination of employment with the Company.  Smith further acknowledges that Smith’s compliance with Sections 5 and 7 of this Agreement and Section 5 of the Employment Agreement is necessary to protect the goodwill and other proprietary interests of the Company and Smith was one of the principal executives of the Company and conversant with its affairs, its trade secrets and other proprietary information.  Smith acknowledges that a breach of Sections 5 or 7 of this Agreement or Section 5 of the Employment Agreement will result in irreparable and continuing damage to the Company for which there will be no adequate remedy at law; and Smith agrees that in the event of any such breach, the Company and its successors and assigns shall be entitled to injunctive relief and to such other and further relief as may be proper.   
12.Waiver of Age Discrimination Claims and Claims under ADEA; Acknowledgment/Time Periods.  With respect to the General Release in Section 4 of this Agreement, Smith agrees and understands that by signing this Agreement, Smith is specifically releasing all claims Smith may have against Releasees, including without limitation all claims for age discrimination under the Age Discrimination in Employment Act as amended, 29 U.S.C. Section 621 et seq.  Smith acknowledges that he has carefully read and understands this Agreement in its entirety, and executes it voluntarily and without coercion.

a.Consideration Period; Deadline.  Smith acknowledges that he has been given a period of at least twenty-one (21) days to consider and execute this Agreement before signing it, and that no material changes have been made to this Agreement during the course of discussions leading up to the execution of this Agreement following January 29, 2021, the date this Agreement was first presented to Smith.  If Smith fails to sign this Agreement and deliver it to the Company on the Separation Date this Agreement shall be deemed null and void.  Smith further acknowledges that he is hereby being advised in writing to consult with a competent, independent attorney of his choice, at his own expense, regarding the legal effect of this Agreement before signing it.  
b.Revocation Deadline.  Smith understands and acknowledges that Smith has seven (7) days following Smith’s execution of this Agreement to revoke his release of ADEA claims in writing, and that should Smith exercise that right, the Company has the option in its sole discretion of voiding the Agreement in its entirety, in which case the Company shall be relieved of all obligations to provide any benefits set forth in Section 3, and to the extent that Smith already received benefits pursuant to those Sections he must immediately return them, except as otherwise stated in Section 3(d)(vii).  This Agreement 

shall be automatically effective and enforceable on the day following the expiration of the seven (7) day revocation period described in this Section 12(b) without Smith’s revocation.  For revocation to be effective, written notice must be delivered by email to the attention of Rose McKinley, Vice President Human Resources rmckinley@marinuspharma.com, no later than 11:59 p.m. ET on the seventh (7th) calendar day after Smith signs the Agreement.  
13.Internal Revenue Code Section 409A.  The parties intend to comply with the requirements of Section 409A of the Internal Revenue Code of 1986, as amended (“Section 409A”).  All payments under this Agreement are intended to either be exempt from or comply with the requirements of Section 409A.  All payments made under this Agreement shall be strictly paid in accordance with the terms of this Agreement.  The parties expressly understand that the provisions of this Agreement shall be construed and interpreted to avoid the imputation of any additional tax, penalty or interest under Section 409A and to preserve (to the nearest extent reasonably possible) the intended benefits payable to Smith hereunder.  The Severance paid under this Agreement shall be treated as a separate payment of compensation for purposes of Section 409A.  Any reimbursements or in-kind benefits provided under this Agreement that are subject to Section 409A shall be made or provided in accordance with the requirements of Section 409A, including, where applicable, the requirement that (i) any reimbursement is for expenses incurred during the period of time specified in the Agreement, (ii) the amount of expenses eligible for reimbursement, or in-kind benefits provided, during a calendar year may not affect the expenses eligible for reimbursement, or in-kind benefits to be provided, in any other calendar year, (iii) the reimbursement of an eligible expense will be made no later than the last day of the calendar year following the year in which the expense is incurred, and (iv) the right to reimbursement or in-kind benefits is not subject to liquidation or exchange for another benefit.  Smith’s right to any deferred compensation, as defined under Section 409A, shall not be subject to borrowing, anticipation, alienation, sale, transfer, assignment, pledge, encumbrance, attachment, or garnishment by creditors, to the extent necessary to avoid additional tax, penalties and/or interest under Section 409A.  Nothing herein, including the foregoing sentence, shall change the Company’s rights and/or remedies under the Agreement and/or applicable law.  In the exercise of any of its remedies, the Company will consider in good faith the impact of Section 409A on Smith and shall meaningfully consult with Smith before taking any action that might have an adverse impact on Smith under Section 409A.  In no event shall the Company be liable for any penalties, costs, damages, levies or taxes imposed on Smith pursuant to Section 409A.

[Execution Page to Follow]

FOR EXECUTION ON, BUT NOT BEFORE, MARCH 9, 2021
IN WITNESS WHEREOF, the undersigned, intending to be bound hereby, have agreed to the terms and conditions of this Agreement as of the date first set forth below.
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EDWARD SMITH
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 /s/ Edward Smith
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Date:​ ​March 9, 2021​ ​​ ​
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MARINUS PHARMACEUTICALS, INC.
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By:​ ​/s/ Scott Braunsetin​ ​
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Name:​ ​Scott Braunstein​ ​
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Title:​ ​Chief Executive Officer​ ​
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Date:​ ​March 9, 2021​ ​​ ​
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Schedule A
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Schedule of Outstanding Stock Options that shall become Vested Effective as of the Separation Date
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	Grant Date
	Exercise Price
	Number of Shares Subject to Option Award
(Exercisable)
	Number of Shares Subject to Option Award
(Unexercisable)
	Number of Shares Subject to Option Award that shall become Vested Effective as of the Separation Date*

	11/25/2013
	$4.16
	35,927
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	12/22/2014
	$34.80
	15,500
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	7/20/2015
	$57.20
	17,500
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	8/3/2016
	$6.00
	14,350
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	1/7/2017
	$4.84
	14,700
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	12/6/2017
	$24.76
	50,000
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	2/26/2019
	$15.84
	37,500
	12,500
	12,500

	8/21/2019
	$4.48
	7,917
	7,083
	7,083

	1/8/2020
	$8.28
	74,375
	116,875
	116,875

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*The accelerated vesting of stock options set forth in this column is subject to Smith’s satisfaction of the terms and conditions set forth in Section 4 of the Agreement to which this Schedule A is attached.Exhibit 10.4
EMPLOYMENT AGREEMENT
EMPLOYMENT AGREEMENT is effective on April 12, 2021 between Marinus Pharmaceuticals, Inc. (the “Company”), a Delaware corporation, and Steven Pfanstiel, MBA, CMA (the “Employee”).
Recital:
The parties desire to enter into this Agreement so as to provide for the employment of the Employee by the Company and for certain other matters in connection with such employment, all as set forth more fully in this Agreement.
NOW, THEREFORE, in consideration of the premises and covenants set forth herein, and intending to be legally bound hereby, the parties to this Agreement hereby agree as follows:
1.Duties.  The Company agrees that the Employee shall be employed by the Company to serve as the Chief Financial Officer, of the Company.  The Employee shall report to the Chief Executive Officer of the Company (the “CEO”).  The Employee agrees to be so employed by the Company and to devote his/her best efforts to advance the interests of the Company and to perform the duties customarily incident to the position of Chief Financial Officer and such other duties assigned to the Employee by the CEO, provided such other duties are commensurate with the Employee’s employment level at the Company.  
2.Term.  The Employee’s employment under this Agreement shall continue in effect until terminated pursuant to Section 4 of this Agreement.
3.Compensation.​
(a)Salary.  During the term of the Employee’s employment under this Agreement, the Employee shall be paid an annual salary at the rate of not less than $380,000 (the “Base Salary”).  The Base Salary may be increased from time to time by the Board of Directors (the “Board”).  The Board shall review the Base Salary at least annually at the end of each fiscal year of the Company.  The Base Salary shall be paid in accordance with the Company’s regular payroll practices.
(b)Annual Bonus.  At the end of each fiscal year of the Company that ends during the term of this Agreement, the Board shall consider the award of a performance bonus to the Employee for such fiscal year in an amount of up to 40% of the Employee’s Base Salary (the “Target Bonus”) based upon the achievement of performance objectives established annually by the Board or its Compensation Committee.  Whether the performance objectives for any year have been achieved by the Employee shall be determined by the Board or its Compensation Committee.  Notwithstanding the foregoing, all bonuses shall be paid within two and one-half months after the close of each year.
(c)Equity Incentive Awards.  On the date hereof, the Employee will be granted an inducement stock option award [under the Company’s 2014 Equity Incentive Plan], 

exercisable for the purchase of 220,000 shares of the Company’s Common Stock, subject to the execution of a stock option agreement in the form approved by the Company.  The exercise price of the stock option will be equal to the last reported sale price on the Nasdaq Global Market on the grant date.  The stock option will vest 25% on the first anniversary and monthly thereafter in 36 substantially equal installments, provided that, no portion of the stock option that is not exercisable at the time of the Employee’s termination of employment shall thereafter become exercisable.  The Employee shall be eligible to participate in equity incentive programs established by the Company from time to time to provide stock options and other equity-based incentives to key employees of the Company in accordance with the terms of those programs. 
(d)Vacation and Fringe Benefits.  The Employee shall be entitled to 20 days’ paid vacation accrued monthly (1.66 days/month), plus Company holidays and two discretionary holidays and two personal days, as per Company policy.  The Employee shall be entitled to participate in all insurance and other fringe benefit programs of the Company to the extent and on the same terms and conditions as are accorded to other officers and key employees of the Company.
(e)Reimbursement of Expenses.  The Employee shall be reimbursed for all normal items of travel, entertainment and miscellaneous business expenses reasonably incurred by the Employee on behalf of the Company, provided that such expenses are documented and submitted in accordance with the reimbursement policies of the Company as in effect from time to time.
4.Termination.
(a)Death.  This Agreement shall automatically terminate effective as of the date of the Employee’s death, in which event the Company shall not have any further obligation or liability under this Agreement except that the Company shall pay to the Employee’s estate:  (i)any portion of the Employee’s Base Salary for the period up to the Employee’s date of death that has been earned but remains unpaid; and (ii)any benefits that have accrued to the Employee under the terms of the employee benefit plans of the Company, which benefits shall be paid in accordance with the terms of those plans.
(b)Total Disability.  The Company may terminate the employment of the Employee immediately upon written notice to the Employee in the event of the Disability (as that term is hereinafter defined) of the Employee, in which event, the Company shall not have any further obligation or liability under this Agreement except that the Company shall pay to the Employee: (i)any portion of the Employee’s Base Salary for the period up to the date of termination that has been earned but remains unpaid; and (ii)any benefits that have accrued to the Employee under the terms of the employee benefit plans of the Company, which benefits shall be paid in accordance with the terms of those plans.  For purposes of this Agreement, the term “Disability” shall mean an illness, incapacity or a mental or physical condition that renders the Employee unable or incompetent to carry out the job responsibilities that the Employee held or the tasks that the Employee was assigned at the time the disability commenced, as determined by the Board and supported by the opinion of a physician.  The Employee shall fully cooperate with the physician retained to furnish such opinion, including submitting to such examinations and tests as may be requested by the physician.

(c)Termination by the Company for Cause.  The Company may terminate the Employee’s employment hereunder upon written notice to the Employee for any of the following reasons: (i) the Employee’s misuse of alcoholic beverages, controlled substances or other narcotics, which misuse has had or is reasonably likely to have a material adverse effect on the business or financial affairs of the Company or the reputation of the Company; (ii) failure by the Employee to cooperate with the Company in any investigation or formal proceeding; (iii) the commission by the Employee of, or a plea by the Employee of guilty or nolo contendere with respect to, or conviction of the Employee for, a felony (or any lesser included offense or crime in exchange for withdrawal of a felony indictment or charged crime that might result in a penalty of incarceration), a crime involving moral turpitude, or any other offense that results in or could result in any prison sentence; (iv) adjudication as an incompetent; (v) a breach by the Employee of any material term of this Agreement, including the Employee’s failure to faithfully, diligently and adequately perform the Employee’s duties under this Agreement, that is not corrected within ten days after written notice from the Company, which notice shall set forth the nature of the breach; (vi) violation in any material respect of any of the Company’s rules, regulations or policies; (vii) gross insubordination by the Employee in the performance of the Employee’s duties under this Agreement; (viii) engaging in any conduct, action or behavior that, in the reasonable opinion of the Company, has had a material adverse effect on the reputation of the Company or the Employee; (ix) any continued or repeated absence from the Company, unless the absence is approved or excused by the CEO or the result of the Employee’s illness, disability or incapacity (in which event the provisions of Section 4(b) hereof shall control); or (x) misappropriation of any funds or property of the Company, theft, embezzlement or fraud.  For the avoidance of doubt, “Cause” shall not mean a failure to achieve scientific goals, financial goals or forecasted timelines.  In the event that the Company shall discharge the Employee pursuant to this Section 4(c), the Company shall not have any further obligation or liability under this Agreement, except that the Company shall pay to the Employee: (i) any portion of the Employee’s Base Salary for the period up to the date of termination that has been earned but remains unpaid; and (ii) any benefits that have accrued to the Employee under the terms of the employee benefit plans of the Company, which benefits shall be paid in accordance with the terms of those plans.
(d)Other Termination by the Company.  The Company may terminate the employment of the Employee for any reason other than one specified in Section 4(b) or 4(c) hereof immediately upon written notice to the Employee, in which event the Employee shall be entitled to receive: (i) any portion of the Employee’s Base Salary for the period up to the date of termination that has been earned but remains unpaid; (ii) any benefits that have accrued to the Employee under the terms of any employee benefit plans of the Company, which benefits shall be paid in accordance with the terms of those plans; and (iii) subject to the satisfaction of the provisions of Section 4(g) and the compliance by the Employee with all terms and provisions of this Agreement that survive the termination of the Employee’s employment by the Company, (A) the Employee’s Base Salary for a period of nine months, less applicable taxes and withholdings, payable in accordance with the Company’s regular payroll practices, with an accelerated payment of any balance upon the occurrence of a Change in Control; provided, however, that if such termination of employment shall occur within three months before or within twelve months after the occurrence of a Change in Control (such period being referred to herein as the “Change of Control Period”), the severance payable to the Employee shall be increased to an amount equal to the Employee’s Base Salary for a period of eighteen months and 

be payable in a single lump sum payment, less applicable taxes and withholdings; (B) payment or reimbursement (upon presentation of proof of payment) of the Employee’s medical insurance premiums at the same level as was in effect on the termination date for a period of nine months, which period shall increase to eighteen  months if such termination of employment shall occur within the Change in Control Period; and (C) if such termination shall occur within the Change in Control Period, an amount equal to the Employee’s Target Bonus for one year plus the Target Bonus for the year in which such employment termination shall occur prorated based on the relative number of days in such year during which the Employee was employed by the Company and/or its successor in the Change in Control, payable in a single lump sum payment, less applicable taxes and withholdings.  Any severance payments and lump sum payments due hereunder shall commence as soon as administratively feasible within 60 days after the date of the Employee’s termination of employment provided the Employee has timely executed and returned the Release referred to in Section 4(g) and, if a revocation period is applicable, the Employee has not revoked the Release; provided, however, that if the 60-day period begins in one calendar year and ends in a second calendar year, the severance payments shall begin to be paid in the second calendar year.  On the date that severance payments commence, the Company will pay the Employee in a single lump sum payment, less applicable taxes and withholding, the severance payments that the Employee would have received on or prior to such date but for the delay imposed by the immediately preceding sentence, with the balance of the severance payments to be paid as originally scheduled.
(e)Termination by the Employee for Good Reason.  The Employee may terminate the Employee’s employment by providing written notice to the Company of a breach constituting Good Reason.  “Good Reason” shall be deemed to exist with respect to any termination of employment by the Employee for any of the following reasons: (i) reassignment of the Employee to a location outside the Greater Philadelphia area; (ii) any material failure by the Company to comply with any material term of this Agreement; (iii) the demotion of the Employee to a lesser position than described in Section 1 hereof or a substantial diminution of the Employee’s authority, duties or responsibilities as in effect on the date of this Agreement or as hereafter increased; or (iv) a material diminution of the Executive’s Base Salary and benefits, in the aggregate, unless such reduction is part of a Company-wide reduction in compensation and/or benefits for all of its senior executives.  If the Employee shall terminate the Employee’s employment hereunder for Good Reason, the Employee shall be entitled to receive the same payments and benefits on the same terms and conditions as would be applicable upon a termination of the Employee’s employment by the Company without Cause, as provided in Section 4(d) and subject to the satisfaction of the other provisions of this Section 4(e).  The Employee may not resign with Good Reason pursuant to this Section 4(e), and shall not be considered to have done so for any purpose of this Agreement, unless (A) the Employee, within 60 days after the initial existence of the act or failure to act by the Company that constitutes “Good Reason” within the meaning of this Agreement, provides the Company with written notice that describes, in particular detail, the act or failure to act that the Employee believes to constitute “Good Reason” and identifies the particular clause of this Section 4(e) that the Employee contends is applicable to such act or failure to act; (B) the Company, within 30 days after its receipt of such notice, fails or refuses to rescind such act or remedy such failure to act so as to eliminate “Good Reason” for the termination by the Employee of the Employee’s employment relationship with the Company, and (C) the Employee actually resigns from the employ of the Company on or before that date that is six calendar months after the initial 

existence of the act or failure to act by the Company that constitutes “Good Reason.”  If the requirements of the preceding sentence are not fully satisfied on a timely basis, then the resignation by the Employee from the employ of the Company shall not be deemed to have been for “Good Reason,” the Employee shall not be entitled to any of the benefits to which the Employee would have been entitled if the Employee had resigned from the employ of the Company for “Good Reason,” and the Company shall not be required to pay any amount or provide any benefit that would otherwise have been due to the Employee under this Section 4(e) had the Employee resigned with “Good Reason.”
(f)Other Termination by the Employee.  The Employee may terminate the Employee’s employment for any reason other than one specified in Section 4(e) upon at least 30 days’ prior written notice to the Company, which notice shall specify the effective date of the termination.  In the event the Employee shall terminate the Employee’s employment pursuant to this Section 4(f), the Company shall not have any further obligation or liability under this Agreement, except that the Company shall pay to the Employee: (i) any portion of the Employee’s Base Salary for the period up to the date of termination that has been earned but remains unpaid; and (ii) any benefits that have accrued to the Employee under the terms of the employee benefit plans of the Company, which benefits shall be paid in accordance with the terms of those plans.
(g)Execution of Release.  The Employee shall not be entitled to any payments or benefits under Sections 4(d) or 4(e) unless the Employee executes and does not revoke a Release and Agreement (the “Release”), as drafted at the time of the Employee’s termination of employment, including, but not limited to:
(i)an unconditional release of all rights to any claims, charges, complaints, grievances, known or unknown to the Employee, against the Company, its affiliates or assigns, through the date of the Employee’s termination from employment other than post-termination payments and benefits pursuant to this Agreement;
(ii)a representation and warranty that the Employee has not filed or assigned any claims, charges, complaints, or grievances against the Company, its affiliates, or assigns;
(iii)an agreement not to use, disclose or make copies of any confidential information of the Company, as well as to return any such confidential information and property to the Company upon execution of the Release;
(iv)a mutual agreement to maintain the confidentiality of the Release or disclose the reasons for any termination of employment;
(v)an agreement not to disparage the Company or its officers, directors, stockholders, products or business; and
(vi)an agreement to indemnify the Company, or its affiliates or assigns, in the event that the Employee breaches any portion of this Agreement or the Release.

Notwithstanding any provision of this Agreement to the contrary, in no event shall the timing of the Employee’s execution of the Release, directly or indirectly, result in the Employee designating the calendar year of payment, and if a payment that is subject to execution of the Release could be made in more than one taxable year, payment shall be made in the later taxable year.
(h)Definition of Change in Control.  As used in this Agreement, the term “Change in Control” means:
(i)any merger or consolidation in which voting securities of the Company possessing more than 50% of the total combined voting power of the Company’s outstanding securities are transferred to a person or persons different from the person holding those securities immediately prior to such transaction and the composition of the Board following such transaction is such that the directors of the Company prior to the transaction constitute less than 50% of the Board membership following the transaction;
(ii)any acquisition, directly or indirectly, by a person or related group of persons (other than the Company or a person that directly or indirectly controls, is controlled by, or is under common control with, the Company) of beneficial ownership of voting securities of the Company possessing more than 50% of the total combined voting power of the Company’s outstanding securities; provided, however, that, no Change in Control shall be deemed to occur by reason of the acquisition of shares of the Company’s capital stock by an investor or group of investors in the Company in a capital-raising transaction; or
(iii)any sale, transfer, exclusive worldwide license or other disposition of all or substantially all of the assets of the Company; or
(iv)within any 24-month period beginning on or after the date hereof, the persons who were directors of the Company immediately before the beginning of such period (the “Incumbent Directors”) shall cease (for any reason other than death) to constitute at least a majority of the Board of Directors of the Company or the board of directors of any successor to the Company, provided that any director who was not a director as of the date hereof shall be deemed to be an Incumbent Director if such director was elected to the Board by, or on the recommendation of or with the approval of, at least two-thirds of the directors who then qualified as Incumbent Directors either actually or by prior operation of this Section 4(h)(iv), unless such election, recommendation or approval was the result of an actual or threatened contested election of directors pursuant to Regulation 14A under the Securities Exchange Act of 1934 or any successor provision.
(i)Base Salary Continuation.  The Base Salary continuation set forth in Sections 4(d) and (e) above shall be intended either (i) to satisfy the safe harbor set forth in the regulations issued under section 409A of the Internal Revenue Code of 1986, as amended (the “Code”) (Treas. Regs. 1.409A-1(n)(2)(ii)) or (ii) be treated as a Short-term Deferral as that term is defined under Code section 409A (Treas. Regs. 1.409A-1(b)(4)).  To the extent such continuation payments exceed the applicable safe harbor amount or do not constitute a Short-term Deferral, the excess amount shall be treated as deferred compensation under Code section 409A and as such shall be payable pursuant to the following schedule: such excess amount shall 

be paid via standard payroll in periodic installments in accordance with the Company’s usual practice for its senior executives.  Solely for purposes of Code section 409A, each installment payment is considered a separate payment.  Notwithstanding any provision in this Agreement to the contrary, in the event that the Employee is a “specified employee” as defined in Section 409A, any continuation payment, continuation benefits or other amounts payable under this Agreement that would be subject to the special rule regarding payments to “specified employees” under Section 409A(a)(2)(B) of the Code shall not be paid before the expiration of a period of six months following the date of the Employee’s termination of employment or before the date of the Employee’s death, if earlier.
(j)Parachute Provisions.  Notwithstanding any provisions of this Agreement to the contrary:
(i)If any of the payments or benefits received or to be received by the Employee in connection with the Employee’s termination of employment in respect of a Change in Control, whether pursuant to the terms of this Agreement or any other plan, arrangement or agreement with the Company (all such payments and benefits, being hereinafter referred to as the “Total Payments”), would be subject to the excise tax (the “Excise Tax”) imposed under Section 4999 of the Code, the Employee shall receive the Total Payments and be responsible for the Excise Tax; provided, however that the Employee shall not receive the Total Payments and the Total Payments shall be reduced to the Safe Harbor Amount (defined below) if (A) the net amount of such Total Payments, as so reduced to the Safe Harbor Amount (and after subtracting the net amount of federal, state and local income taxes on such reduced Total Payments) is greater than or equal to (B) the net amount of such Total Payment without such reduction (but after subtracting the net amount of federal, state and local income taxes on such Total Payments and the amount of Excise Tax to which the Employee would be subject in respect of such unreduced Total Payments).  The “Safe Harbor Amount” is the amount to which the Total Payments would hypothetically have to be reduced so that no portion of the Total Payments would be subject to the Excise Tax.
(ii)For purposes of determining whether any of the Total Payments will be subject to the Excise Tax and the amount of such Excise Tax, (A) all of the Total Payments shall be treated as “parachute payments” (within the meaning of Section 280G(b)(2) of the Code) unless, in the opinion of tax counsel (“Tax Counsel”) selected by the accounting firm that was, immediately prior to the Change in Control, the Company’s independent auditor (the “Auditor”), such payments or benefits (in whole or in part) do not constitute parachute payments, including by reason of Section 280G(b)(4)(A) of the Code, (B) all “excess parachute payments” within the meaning of Section 280G(b)(1) of the Code shall be treated as subject to the Excise Tax unless, in the opinion of Tax Counsel, such excess parachute payments (in whole or in part) represent reasonable compensation for services actually rendered (within the meaning of Section 280G(b)(4)(B) of the Code) in excess of the base amount (within the meaning of Section 280G(b)(3) of the Code) allocable to such reasonable compensation, or are otherwise not subject to the Excise Tax, and (C) the value of any noncash benefits or any deferred payment or benefit shall be determined by the Auditor in accordance with the principles of Sections 280G(d)(3) and (4) of the Code.  If the Auditor is prohibited by applicable law or regulation from performing the duties assigned to it hereunder, then a different auditor, acceptable to both the Company and 

Employee, shall be selected.  The fees and expenses of Tax Counsel and the Auditor shall be paid by the Company.
(iii)In the event it is determined that the Safe Harbor Amount is payable to Employee, then the severance payments provided under this Agreement that are cash shall first be reduced on a pro rata basis, and the non-cash severance payments shall thereafter be reduced on a pro rata basis, to the extent necessary so that no portion of the Total Payments is subject to the Excise Tax.
5.Non-Disclosure and Non-Competition.
(a)Non-Disclosure.  The Employee acknowledges that in the course of performing services for the Company, the Employee will obtain knowledge of the Company’s business plans, products, processes, software, know-how, trade secrets, formulas, methods, models, prototypes, discoveries, inventions, improvements, disclosures, names and positions of employees and/or other proprietary and/or confidential information (collectively the “Confidential Information”).  The Employee agrees to keep the Confidential Information secret and confidential and not to publish, disclose or divulge to any other party, and the Employee agrees not to use any of the Confidential Information for the Employee’s own benefit or to the detriment of the Company without the prior written consent of the Company, whether or not such Confidential Information was discovered or developed by the Employee.  The Employee also agrees not to divulge, publish or use any proprietary and/or confidential information of others that the Company is obligated to maintain in confidence.
(b)Non-Competition.  The Employee agrees that during the Employee’s employment by the Company hereunder and for an additional period of twelve  (12) months after the termination of the Employee’s employment hereunder, the Employee will (i) not engage or assist others in engaging in any business or enterprise (whether as owner, partner, officer, director, employee, consultant, investor or otherwise) that is competitive with the Company’s business, including but not limited to any business or enterprise that develops, manufactures, markets, licenses, sells or provides any product that competes with any product developed, manufactured, marketed, licensed, sold or provided, or planned to be developed, manufactured, marketed, licensed sold or provided, by the Company (“Competitive Business”) while Employee was employed by the Company;  or (ii) solicit, hire, contract for services or otherwise employ, directly or indirectly, any of the employees of the Company.  The foregoing prohibition shall not prevent any employment or engagement of the Employee, after termination of employment with the Company, by any company or business organization not substantially engaged in a Competitive Business as long as the activities of any such employment or engagement, in any capacity, do not involve work on matters related to any product or service being developed, manufactured, marketed, distributed or planned in writing by the Company at the time of termination of Employee’s employment with the Company.  The Employee’s ownership of no more than 5% of the outstanding voting stock of a publicly traded company shall not constitute a violation of this Section 5(b).  The Employee is entering into this covenant not to compete in consideration of the additional agreements of the Company in this Agreement, including but not limited to the rights of the Employee set forth in Sections 4(d) and 4(e).

6.Inventions and Discoveries.
(a)Disclosure.  The Employee shall promptly and fully disclose to the Company, with all necessary detail, all developments, know-how, discoveries, inventions, improvements, concepts, ideas, formulae, processes and methods (whether copyrightable, patentable or otherwise) made, received, conceived, acquired or written by the Employee (whether or not at the request or upon the suggestion of the Company, solely or jointly with others), during the period of the Employee’s employment with the Company that (i) result from, arise out of, or relate to any work, assignment or task performed by the Employee on behalf of the Company, whether undertaken voluntarily or assigned to the Employee within the scope of the Employee’s responsibilities to the Company, or (ii) were developed using the Company’s facilities or other resources or in Company time, or (iii) result from the Employee’s use or knowledge of the Company’s Confidential Information, or (iv) relate to the Company’s business or any of the products or services being developed, manufactured or sold by the Company or that may be used in relation therewith (collectively referred to as “Inventions”).  The Employee hereby acknowledges that all original works of authorship that are made by the Employee (solely or jointly with others) within the above terms and that are protectable by copyright are “works made for hire,” as that term is defined in the United States Copyright Act.  The Employee understands and hereby agrees that the decision whether or not to commercialize or market any Invention developed by the Employee solely or jointly with others is within the Company’s sole discretion and for the Company’s sole benefit and that no royalty shall be due to the Employee as a result of the Company’s efforts to commercialize or market any such Invention.
(b)Assignment and Transfer. The Employee agrees to assign and hereby does irrevocably assign to the Company all of the Employee’s right, title and interest in and to the Inventions, and the Employee further agrees to deliver to the Company any and all drawings, notes, specifications and data relating to the Inventions, and to sign, acknowledge and deliver all such further papers, including applications for and assignments of copyrights and patents, and all renewals thereof, as may be necessary to obtain copyrights and patents for any Inventions in any and all countries and to vest title thereto in the Company and its successors and assigns and to otherwise protect the Company’s interests therein.  The Employee shall not charge the Company for time spent in complying with these obligations.  If the Company is unable because of the Employee’s mental or physical incapacity or for any other reason to secure the Employee’s signature to apply for or to pursue any application for any United States or foreign patents or copyright registrations covering Inventions or original works of authorship assigned to the Company as above, then the Employee hereby irrevocably designates and appoints the Company and its duly authorized officers and agents as the Employee’s agent and attorney in fact, to act for and in the Employee’s behalf and stead to execute and file any such applications and to do all other lawfully permitted acts to further the prosecution and issuance of letters patent or copyright registrations thereon with the same legal force and effect as if executed by the Employee.
(c)Company Documentation.  The Employee shall hold in a fiduciary capacity for the benefit of the Company all documentation, disks, programs, data, records, drawings, manuals, reports, sketches, blueprints, letters, notes, notebooks and all other writings, electronic data, graphics and tangible information and materials of a secret, confidential or proprietary information nature relating to the Company or the Company’s business that are in the possession or under the control of the Employee.  The Employee agrees that in connection with 

any research, development or other services performed for the Company, the Employee will maintain careful, adequate and contemporaneous written records of all Inventions, which records shall be the property of the Company.
7.Injunctive Relief.  The Employee acknowledges that the Employee’s compliance with the agreements in Sections 5 and 6 hereof is necessary to protect the good will and other proprietary interests of the Company and that the Employee is one of the principal executives of the Company and conversant with its affairs, its trade secrets and other proprietary information.  The Employee acknowledges that a breach of any of the Employee’s agreements in Sections 5 and 6 hereof will result in irreparable and continuing damage to the Company for which there will be no adequate remedy at law; and the Employee agrees that in the event of any breach of the aforesaid agreements, the Company and its successors and assigns shall be entitled to injunctive relief and to such other and further relief as may be proper.
8.Full Agreement.  This Agreement amends, restates and supersedes the Prior Agreement and all other consulting and employment arrangements between the Employee and the Company, but shall not supersede any existing confidentiality, nondisclosure, invention assignment or non-compete agreement between the Employee and the Company.  Except as set forth in the preceding sentence, this Agreement constitutes the entire agreement of the parties concerning its subject matter and supersedes all other oral or written understandings, discussions, and agreements, and may be modified only in a writing signed by both parties.  The parties acknowledge that they have read and fully understand the contents of this Agreement and execute it after having an opportunity to consult with legal counsel.
9.Amendments.  Any amendment to this Agreement shall be made in writing and signed by the parties hereto.
10.Enforceability.  If any provision of this Agreement shall be invalid or unenforceable, in whole or in part, then such provision shall be deemed to be modified or restricted to the extent and in the manner necessary to render the same valid and enforceable, or shall be deemed excised from this Agreement, as the case may require, and this Agreement shall be construed and enforced to the maximum extent permitted by law as if such provision had been originally incorporated herein as so modified or restricted or as if such provision had not been originally incorporated herein, as the case may be.
11.Construction.  This Agreement shall be construed and interpreted in accordance with the internal laws of the Commonwealth of Pennsylvania.
12.Assignment.
(a)By the Company.  The rights and obligations of the Company under this Agreement shall inure to the benefit of, and shall be binding upon, the successors and assigns of the Company.  This Agreement may be assigned by the Company without the consent of the Employee.
(b)By the Employee.  This Agreement and the obligations created hereunder may not be assigned by the Employee, but all rights of the Employee hereunder shall inure to the 

benefit of and be enforceable by the Employee’s heirs, devisees, legatees, executors, administrators and personal representatives.
13.Notices.  All notices required or permitted to be given hereunder shall be in writing and shall be deemed to have been given when mailed by certified mail, return receipt requested, or delivered by a national overnight delivery service addressed to the intended recipient as follows:
If to the Company:

Marinus Pharmaceuticals, Inc.
100 Matsonford Road
5 Radnor Corporate Center; Suite 500 
Attention:  Chief Executive Officer
​
If to the Employee, to address stated on the signature page to this Agreement.
​
Any party may from time to time change its address for the purpose of notices to that party by a similar notice specifying a new address, but no such change shall be deemed to have been given until it is actually received by the party sought to be charged with its contents.
14.Waivers.  No claim or right arising out of a breach or default under this Agreement shall be discharged in whole or in part by a waiver of that claim or right unless the waiver is supported by consideration and is in writing and executed by the aggrieved party hereto or such party’s duly authorized agent.  A waiver by any party hereto of a breach or default by the other party hereto of any provision of this Agreement shall not be deemed a waiver of future compliance therewith, and such provisions shall remain in full force and effect.
15.Section 409A.  It is intended that this Agreement be drafted and administered in compliance with section 409A of the Code, including, but not limited to, any future amendments to Code section 409A, and any other Internal Revenue Service or other governmental rulings or interpretations (together, “Section 409A”) issued pursuant to Section 409A so as not to subject the Employee to payment of interest or any additional tax under Code section 409A.  The parties intend for any payments under this Agreement to either satisfy the requirements of Section 409A or to be exempt from the application of Section 409A, and this Agreement shall be construed and interpreted accordingly.  In furtherance thereof, if payment or provision of any amount or benefit hereunder that is subject to Section 409A at the time specified herein would subject such amount or benefit to any additional tax under Section 409A, the payment or provision of such amount or benefit shall be postponed to the earliest commencement date on which the payment or provision of such amount or benefit could be made without incurring such additional tax.  In addition, to the extent that any Internal Revenue Service guidance issued under Section 409A would result in the Employee being subject to the payment of interest or any additional tax under Section 409A, the parties agree, to the extent reasonably possible, to amend this Agreement in order to avoid the imposition of any such interest or additional tax under Section 409A, which amendment shall have the minimum economic effect necessary and be reasonably determined in good faith by the Company and the Employee.

16.Survival of Covenants.  The provisions of Sections 4, 5, 6 and 7 hereof shall survive the termination of this Agreement.  Furthermore, each other provision of this Agreement that, by its terms, is intended to continue beyond the termination of the Employee’s employment shall continue in effect thereafter.
(Signature page follows.)

IN WITNESS WHEREOF, this Agreement has been executed by the parties. 
MARINUS PHARMACEUTICALS, INC.

By:  /s/ Scott Braunstein, MD                                          
Scott Braunstein, MD  
Chief Executive Officer
​
Date: March 7, 2021

  /s/ Steven Pfanstiel​ ​​ ​            ​ ​
By: Steven Pfanstiel, MBA, CMA
Date: March 5, 2021

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