Document:

rgld_Ex10_3

		
			Exhibit 10.3
		

		
			Executive - Breeze
		

		
			ROYAL GOLD, INC.
		

		
			2015 OMNIBUS LONG-TERM INCENTIVE PLAN
		

		
			STOCK APPRECIATION RIGHTS AGREEMENT - STOCK SETTLED
		

		
			Royal Gold, Inc., a Delaware corporation (the “Company”), hereby grants stock appreciation rights (“SARs”) relating to its common stock, $.01 par value per share (the “Stock”), to the Grantee named below subject to the restrictions and vesting conditions set forth in the attachment (the “Agreement”).  The terms and conditions of the SARs are set forth in this cover sheet, the Agreement, and in the Company’s 2015 Omnibus Long-Term Incentive Plan, as it may be amended from time to time (the “Plan”).
		

			
					
						 

					
					
						 

				
	
					
						Grant Date:

					
					
						[Grant Date]

				
	
					
						 

					
					
						 

				
	
					
						Name of Grantee:

					
					
						[Full Name]

				
	
					
						 

					
					
						 

				
	
					
						Number of Shares of Stock Subject to the SARs:

					
					
						[# of SARs]

				
	
					
						 

					
					
						 

				
	
					
						SAR Grant Price per Share:

					
					
						[$__.__] (At least 100% of Fair Market Value on the Grant Date)

				
	
					
						 

					
					
						 

				
	
					
						Vesting Start Date:

					
					
						[Vesting Start Date]

				

		
			 
		

		
			By agreeing to accept this Agreement online, you agree to all of the terms and conditions described in the attached Agreement and in the Plan, a copy of which is available in your Shareworks document library, or upon request to the Secretary.  You acknowledge that you have carefully reviewed the Plan, and agree that the Plan will control in the event any provision of this Agreement should appear to be inconsistent.
		

			
					
						 

					
					
						 

				
	
					
						Grantee:

					
					
						 

				
	
					
						 

					
					
						(Signature)

				
	
					
						 

					
					
						 

				
	
					
						 

					
					
						 

				
	
					
						Company:

					
					
						 

				
	
					
						 

					
					
						(Signature)

				
	
					
						 

					
					
						 

				
	
					
						Title:

					
					
						 

				

		
			 
		

		
			Attachment
		

		
			This is not a stock certificate or a negotiable instrument.
		

		
			 
		

		
			 
		

		
			

		 

		

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			Executive

		

		

		
			ROYAL GOLD, INC.
		

		
			2015 OMNIBUS LONG-TERM INCENTIVE PLAN
		

		
			STOCK APPRECIATION RIGHTS AGREEMENT
		

			
					
						 

					
					
						 

					
					
						 

				
	
					
						Stock Appreciation Rights

					
					
						    

					
					
						This grant is an award of stock appreciation rights (“SARs”) exercisable for the number of shares set forth on the cover sheet, subject to the vesting conditions described below.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Vesting

					
					
						 

					
					
						The SARs are only exercisable before they expire and then only with respect to the vested portion of the SARs.  Subject to the preceding sentence, you may exercise the SARs, in whole or in part, for a whole number of vested shares not less than 100 shares, unless the number of shares purchased is the total number available for purchase under the SARs, by following the procedures set forth in the Plan and below in this Agreement.

					
						 

					
						Your right to exercise the SARs vests as to one-third (1/3) of the total number of shares of Stock subject to the SARs, as shown on the cover sheet, on the first, second and third anniversaries of the Vesting Start Date ("Anniversary Date"), provided you then continue in Service.  The resulting aggregate number of vested SARs will be rounded to the nearest whole number, and you cannot vest in more than the number of SARs shown on the cover sheet.

					
						 

					
						No additional SARs will vest after your Service has terminated for any reason.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Termination after Long-Term Service

					
					
						 

					
					
						Notwithstanding the foregoing vesting rules, if you incur a termination of Service other than for “Cause” (an “Involuntary Termination”), at any time after you have provided fifteen (15) years of Service to the Company or its Affiliates, you shall be one hundred percent (100%) vested in the SARs as of the date of such termination of Service.

					
						 

					
						As used herein, the term “Cause” shall mean reasons justifying termination with immediate effect pursuant to your "Employment Contract" (that certain Employment Contract between you and RGLD Gold AG dated [Employment Contract Date], as the same may be amended after the date hereof.)

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Involuntary Termination 

					
					
						 

					
					
						Notwithstanding the foregoing vesting rules, if you incur an Involuntary Termination during the term of your Employment Contract, you shall be one hundred percent (100%) vested in the SARs as of the date of such Involuntary Termination. 

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Term

					
					
						 

					
					
						Your SARs will expire in any event at the close of business at Company headquarters on the day of the 10th anniversary of the Grant Date, as shown on the cover sheet.  Your SARs will expire earlier if your Service terminates, as described below.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Regular Termination

					
					
						 

					
					
						If your Service terminates for any reason, other than death, Disability or Cause, then your unvested SARs will expire immediately and your vested SARs will expire at the close of business at Company headquarters on the 90th day after your termination date.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Termination for Cause

					
					
						 

					
					
						If your Service is terminated for Cause, then you shall immediately forfeit all rights to your SARs and the SARs shall immediately expire.

				

		
			
		

		
			

		 

		

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			Executive

		

		

		
			 
		

			
					
						 

					
					
						 

					
					
						 

				
	
					
						Death

					
					
						    

					
					
						If your Service terminates because of your death, then your unvested SARs will expire immediately and your vested SARs will expire at the close of business at Company headquarters on the date twelve (12) months after the date of death.  During that twelve month period, your estate or heirs may exercise the vested portion of your SARs.

					
						 

					
						In addition, if you die during the 90-day period described in connection with a regular termination (i.e., a termination of your Service not on account of your death, Disability or Cause),  and a vested portion of your SARs has not yet been exercised, then your SARs will instead expire on the date twelve (12) months after your termination date.  In such a case, during the period following your death up to the date twelve (12) months after your termination date, your estate or heirs may exercise the vested portion of your SARs.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Disability

					
					
						 

					
					
						If your Service terminates because of your Disability, then your unvested SARs will expire immediately and your vested SARs will expire at the close of business at Company headquarters on the date twelve (12) months after your termination date.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Extension of Expiration Date

					
					
						 

					
					
						Notwithstanding the foregoing, if (i) you are terminated without Cause or pursuant to Clause 9.8 of your Employment Contract, or your employment terminates due to death or Disability, and (ii) you are precluded from selling in the open market any shares of Stock underlying the SARs for any portion of the period of time between the date of termination of your Service and the expiration date of the SARs set forth in the section entitled “Regular Termination,” “Death” or “Disability” above, as applicable, by reason of any lock-up agreement restricting your ability to sell such Stock in the open market or under the Company’s insider trading or similar plan as then in effect (whether because a trading window is not open or you are otherwise restricted from trading), then the expiration date for the SARs shall be extended for a period of time equal to the number of days that you were precluded from selling such Stock during the exercise period, provided, however, that the expiration date shall not be extended pursuant to this section beyond the tenth (10th) anniversary of the Grant Date.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Leaves of Absence

					
					
						 

					
					
						For purposes of this award of SARs, the impact of any leave of absence on your Service shall be determined in accordance with Company policies and procedures and Applicable Laws.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Notice of Exercise

					
					
						 

					
					
						When you wish to exercise this award of SARs, you must notify the Company by filing the proper “Notice of Exercise” form at the address given on the form.  Your notice must specify how many SARs you wish to exercise (in a parcel of at least 100 SARs generally).  Your notice must also specify how the shares of Stock received on the exercise of your SARs should be registered (in your name only or in your and your spouse’s names as joint tenants with right of survivorship).  The notice will be effective when it is received by the Company.

					
						 

					
						If someone else wants to exercise the SARs after your death, that person must prove to the Company’s satisfaction that he or she is entitled to do so.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Payment for SARs

					
					
						 

					
					
						Upon your exercise of the SARs, the Company shall pay you in shares of Stock an amount equal to the positive difference (if any) between the Fair Market Value of a share of Stock on the exercise date and the SAR Grant Price, multiplied by the 

				

		
			 
		

		
			
		

		

		 

		

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			Executive

		

	
					
						

					
						 

					
					
						 

					
					
						 

				
	
					
						 

					
					
						    

					
					
						number of SARs being exercised.  Any fractional shares of Stock shall be paid to you in cash.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Withholding Taxes

					
					
						 

					
					
						You agree, as a condition of this grant, that you will make acceptable arrangements consistent with Company policies and procedures to pay any withholding or other taxes that may be due as a result of this grant or the exercise, vesting, settlement or issuance of shares related to this grant.  You may satisfy such withholding or other tax obligations by remitting cash payments to the Company within the time periods specified by Company policies and procedures or, to the extent permitted under Applicable Law, by causing the Company or its Affiliate to withhold shares of Stock otherwise issuable to you as a result of this grant.  The shares of Stock so withheld shall have an aggregate Fair Market Value equal to such withholding obligations.

					
						 

					
						In the event that the Company determines that any withholding or other tax is required and you have not made satisfactory arrangements to satisfy such obligations within the time periods specified by Company policies and procedures, the Company shall have the right to:  (i) require such payments from you; (ii) withhold such amounts from other payments due to you from the Company or any Affiliate; or (iii) withhold shares of Stock otherwise issuable to you as a result of this grant.  Any shares of Stock so withheld shall have an aggregate Fair Market Value equal to such withholding obligations.    

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Transfer of SARs

					
					
						 

					
					
						During your lifetime, only you (or, in the event of your legal incapacity or incompetency, your guardian or legal representative) may exercise the SARs.  You cannot transfer or assign the SARs.  For instance, you may not sell the SARs or use them as security for a loan.  If you attempt to do any of these things, the SARs will immediately become invalid.  You may, however, dispose of the SARs in your will or the SARs may be transferred upon your death by the laws of descent and distribution.

					
						 

					
						Regardless of any marital property settlement agreement, the Company is not obligated to honor a notice of exercise from your spouse, nor is the Company obligated to recognize your spouse’s interest in your SARs in any other way.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Retention Rights

					
					
						 

					
					
						Neither your SARs nor this Agreement give you the right to be retained by the Company (or any parent, Subsidiaries or Affiliates) in any capacity.  The Company (and any parent, Subsidiaries or Affiliates) reserve the right to terminate your Service at any time and for any reason.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Shareholder Rights

					
					
						 

					
					
						You, or your estate or heirs, have no rights as a shareholder of the Company until the shares of Stock received pursuant to the exercise of your SARs have been issued.  Except as described in the Plan, no adjustments are made for dividends or other rights if the applicable record date occurs before your shares are issued.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Forfeiture of Rights

					
					
						 

					
					
						If you should take actions in competition with the Company, the Company shall have the right to cause a forfeiture of your rights, including, but not limited to, the right to cause: (i) a forfeiture of any outstanding SARs, and (ii) with respect to the period commencing twelve (12) months prior to your termination of Service and ending twelve (12) months following such termination of Service (A) a forfeiture of any gain recognized by you upon the exercise of SARs or (B) a forfeiture of any Stock acquired by you upon the exercise of SARs. Unless otherwise specified in an employment or other agreement between the Company and you, you take actions in competition with the Company if, within one year following your termination of

				

		
			
		

		

		 

		

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						Service, you directly or indirectly, own, manage, operate, join or control, or participate in the ownership, management, operation or control of, or are a proprietor, director, officer, stockholder, member, partner or an employee or agent of, or a consultant to any business, firm, corporation, partnership or other entity that is in the business of creating, financing, acquiring, investing in and managing precious metal royalties, precious metal streams and similar interests.  Under the prior sentence, ownership of less than 1% of the securities of a public company shall not be treated as an action in competition with the Company.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Adjustments

					
					
						 

					
					
						In the event of a stock split, a stock dividend or a similar change in the Stock, the number of shares covered by the SARs and the SAR Grant Price per share shall be adjusted if required pursuant to the Plan.  Your SARs shall be subject to the terms of the agreement of merger, liquidation or reorganization in the event the Company is subject to such corporate activity.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Applicable Law

					
					
						 

					
					
						This Agreement will be interpreted and enforced under the laws of the State of Delaware, other than any conflicts or choice of law rule or principle that might otherwise refer construction or interpretation of this Agreement to the substantive law of another jurisdiction.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						The Plan

					
					
						 

					
					
						The text of the Plan is incorporated in this Agreement by reference.  Certain capitalized terms used in this Agreement are defined in the Plan, and have the meaning set forth in the Plan.

					
						 

					
						This Agreement and the Plan constitute the entire understanding between you and the Company regarding the SARs.  Any prior agreements, commitments or negotiations concerning the SARs are superseded.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Other Agreements

					
					
						 

					
					
						You agree, as a condition of the grant of the SARs, that in connection with the exercise of the SARs, you will execute such document(s) as necessary to become a party to any shareholder agreement or voting trust as the Company may require.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Data Privacy

					
					
						 

					
					
						In order to administer the Plan, the Company may process personal data about you.  Such data includes, but is not limited to the information provided in this Agreement and any changes thereto, other appropriate personal and financial data about you such as home address and business address and other contact information, payroll information and any other information that might be deemed appropriate by the Company to facilitate the administration of the Plan.

					
						 

					
						By accepting this award, you give explicit consent to process any such personal data.  You also give explicit consent to transfer any such personal data outside the country in which you work or are employed, including, with respect to non-U.S. resident Grantees, to the United States, to transferees who shall include the Company and other persons who are designated by the Company to administer the Plan.

				
	
					
						 

					
					
						 

					
					
						 

				
	
					
						Consent to Electronic Delivery

					
					
						 

					
					
						The Company may choose to deliver certain statutory materials relating to the Plan in electronic form.  By accepting the SARs you agree that the Company may deliver the Plan prospectus and the Company’s annual report to you in an electronic format.  If at any time you would prefer to receive paper copies of these documents, as you are entitled to, the Company would be pleased to provide copies.  Please contact the Secretary at (303) 573-1660 to request paper copies of these documents.

				

		
			
		

		
			

		 

		

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						Stock Ownership Requirements

					
					
						    

					
					
						You are required to continue to hold an aggregate of fifty percent (50%) of the shares of Stock acquired by you pursuant to the SARs together with all other shares of Stock acquired by you pursuant to any other stock appreciation rights grant made under the Plan  (such 50% to be determined after reducing the shares of Stock covered by this grant and all other stock appreciation rights grants made to you under the Plan by the number shares of Stock equal in value to the amount required to be withheld to pay taxes in connection with the exercise of the SARs and such other stock appreciation rights grants) for so long as the number of shares of Stock owned by you is less than the number of shares of Stock which satisfies your stock ownership requirements under the Company’s Stock Ownership Guidelines in effect from time to time.

				

		
			 
		

		
			By agreeing to accept this Agreement online, you acknowledge that you have received, read and understand the Plan and this Agreement, and agree to abide by and be bound by their terms and conditions.
		

		 

		

			6eca-ex101_953.htm

Exhibit 10.1

 

 

March 18, 2019

 

 

 

 

Sherri Brillon

XXXXXXXXXXXX

XXXXXXXXXXXX

 

Dear Sherri:

 

This letter will confirm your retirement with Encana Services Company Ltd. ("Encana" or the "Company"), and the resulting arrangements being offered to you upon your departure.

 

Your employment with Encana will end effective May 31, 2019 (the “Termination Date") and you will become a retiree of Encana effective June 1, 2019 (your "Retirement Date").

 

Settlement Offer:

 

Encana is prepared to offer you the following severance terms and conditions in full and final settlement of all claims you may have regarding the termination of your employment (the "Offer"):

 

	
 
	
•
	
Encana offers you a lump sum severance payment of $2,905,402 (the "Settlement Amount"), less applicable statutory withholdings and deductions.
	
 

 

The Settlement Amount is comprised of i) 24 months of base salary totaling C$1,170,000,

(ii) bonus compensation of C$1,604,362, and (iii) the value of pension contributions during the 24 month notice period totaling C$131,040.

 

 

You will also be eligible for retirement treatment under the Company's Long-Term Incentive Plans,

 

	
 
	
•
	
Encana Stock Options/TSARS ("Options"): Your Options will continue to vest and remain exercisable until the earlier of: (i) seven (7) years from the Termination Date; or (ii) the applicable Option grant expiry date.
	
 

 

	
 
	
•
	
Performance Share Units ("PSUs"): PSUs previously granted to you that become Eligible PSUs will vest and become payable to you on the applicable PSU Vesting Date, subject to the terms of the PSU Plan and your respective PSU Grant Agreement(s).
	
 

 

	
 
	
•
	
Restricted Share Units ("RSUs"): RSUs previously granted to you will vest and become payable to you on the applicable RSU Vesting Date, subject to the terms of the RSU Plan and your respective RSU Grant Agreement(s).
	
 

 

Effective your Retirement Date, you will become an Encana retiree and be eligible for certain post­ retirement benefits. Details regarding your benefits and other administrative items will be provided to you at a later date. Treatment of your benefits will be consistent with Company practices.

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This Offer is conditional upon your acceptance and return of executed copies of this letter and attached General Release to Encana by the deadline below. We encourage you to consider the Offer carefully and to consult with your financial and/or legal advisors before making a decision. Please note the Offer is made to you by Encana on a voluntary and without prejudice basis, and therefore does not constitute an admission of liability of any nature by the Company.

 

Please indicate your acceptance of the Offer by signing this letter and attached General Release where indicated and returning original signed copies of both to myHR. Please retain one original signed copy for your records.

 

This Offer will remain open for your acceptance until March 22, 2019.

 

Thank you for your service to Encana. We wish you the best in your future endeavours.

 

Yours truly,

 

Encana Corporation

 

Doug Suttles

President & Chief Executive Officer

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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ACKNOWLEDGEMENT

 

I, Sherri A. Brillon, hereby acknowledge that I have read and understand the Offer made to me by Encana as contained in this letter, the enclosed Summary Document, General Release and Encompass Retirement Benefits Overview. By signing below, I confirm that I voluntarily  accept all the terms and conditions of the Offer (as set out in the foregoing documents) in full and final settlement of any and all claims or potential claims I have or may have against the Employer (as defined in the enclosed General Release).

 

 

Dated this 22 day of March, 2019.

 

/s/ Sherri Brillon_____________

Sherri A. Brillon

 

Signed and delivered in the presence of:

 

 

/s/ Mike Williams_____________22 March, 2019                 

Witness (Signature)                     Date

 

 

M. Williams___________________

Witness (Print Name)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Summary Document

 

As has been communicated to you, your employment with Encana will terminate effective as of the Termination Date. The following is a list of benefit and other issues that you will need to consider.

 

1.Pension

As a DC pension plan participant, you will receive a package from XXXXXXX XXXXXXXXX outlining the alternatives available to you as a result of the termination of your participation in Encana’s pension plan. Please note that as Alberta Finance (the “Regulator”) views the Transaction as a partial plan termination, approval must be obtained from the Regulator before any funds may be transferred from the pension plan. The approval process may take several months. Please contact XXXXXX XXXXXX with Encana’s HR team at (XXX) XXX-XXXX if you have any questions. 

 

If you have funds in the DC plan and choose to leave your funds on deposit with XXXXXXX XXXXXXXXX, please be advised that any investment fund discounts will continue to apply, however there is an annual administration fee of $150.00 which will be deducted from your account balance on a pro‐rated monthly basis.

 

2.Investment Plan

You are requested to close your Encana group accounts within 90 days of the Termination Date. XXXXXXX XXXXXXXXX will mail you a package explaining your withdrawal/transfer alternatives. Please contact XXXXXXX XXXXXXXXX at X-XXX-XXX-XXXX to discuss the withdrawal/transfer of your funds from the Encana Share Account and Portfolio Accounts. 

 

If you do not contact XXXXXXX XXXXXXXXX, your accounts will automatically close after 90 days and the funds will be disbursed as follows:

 

	
 
	
•
	
Encana Share Account and Portfolio Account (non-RRSP): a share certificate will be issued to you for any non-registered shares if the value of the shares exceeds $1,000.00. If the value of the shares is less than $1,000.00, they will be cashed and the proceeds transferred to a personal non-registered account within XXXXXXX XXXXXXXXX. Any other non-registered holdings will be cashed and the proceeds will also be transferred to this account unless the balance is less than $1,000.00 in which case the cash value will be forwarded by cheque to your home address. 

 

	
 
	
•
	
Portfolio Account (RRSP): if your account balance exceeds $1,000.00, all investments, including registered shares will be sold and the proceeds transferred to a personal RSP account with XXXXXXX XXXXXXXXX. Otherwise, your investments will be sold and the cash value, less applicable statutory withholdings and deductions, will be forwarded by cheque to your home address. 

 

Summary Document, pg 2

 

3.Medical and Dental Plans

 

Your coverage through the Encana benefit plan ends on the last day of the month of the Termination Date. You may incur eligible expenses until your coverage ends and those claims must be submitted to XXXXXXXX within 90 days of that date.  Please contact the XXXXXXXX XXXXXXXX XXXXXXXX XXXXXX at X-XXX-XXX-XXXX should you have any questions.

 

You may be eligible to purchase individual extended health care coverage and/or individual dental care coverage through XXXXXXXX. If you are interested in purchasing such coverage, we urge you to apply immediately by contacting XXXXXXXX at X-XXX-XXX-XXXX.

 

4.Health Care Spending Account (HCSA) 

 

Your coverage through the Encana benefit plan ends on the last day of the month of the Termination Date. You may incur eligible expenses until your coverage ends and those claims must be submitted to XXXXXXXX within 90 days of that date. Any unclaimed deposits remaining in your HCSA 90 days after your coverage ends are not payable to you and will be forfeited.

 

5.Life Insurance

 

Your coverage through the Encana benefit plan ends on the Termination Date. You may apply within 31 days of the Termination Date to convert up to a maximum of $200,000 of each of your existing employee life (core and optional combined), and spouse optional life insurance coverage to a personal life insurance policy without the need to provide evidence of insurability. Please contact XXXXXXXX at X-XXX-XXX-XXXX if you wish to exercise this conversion option, or if you have any conversion questions. 

 

6.Accidental Death & Dismemberment Insurance

 

Your coverage through the Encana benefit plan ends on the last day of the month of the Termination Date. 

 

7.Short-Term and Long-Term Disability

 

Your coverage through the Encana benefit plan ends at 11:59 pm on the Termination Date.

 

8.Vacation Pay

 

You will be paid for any accrued and unused vacation up to the Termination Date. If you have used more vacation than you are entitled to or have paid for, your final pay will be adjusted accordingly.

 

 

Summary Document, pg 3

 

9.Encana Share Holdings Account

 

Should you continue to hold any Encana or Cenovus shares, including previously vested original PSUs, in the Share Purchase and Holdings section of your XXXXXX XXXXXXXXXX XXXXXXX, you are required to close your Account within sixty (60) trading days of the Termination Date. 

 

Please contact XXXXXX to discuss the withdrawal/transfer of your shares from the Share Purchase and Holdings section of your Account. If you do not contact XXXXXX within sixty (60) trading days of the Termination Date, your Account will automatically be closed and a share certificate issued to you for your non-registered Encana or Cenovus shares if the value of the shares exceeds $1,000.00 (applies separately to each Encana and Cenovus share account). If the value of these shares is less than $1,000.00, they will be cashed and a cheque forwarded to you directly by XXXXXX. 

 

 

 

 

 

 

 

 

 

 

GENERAL RELEASE

 

	
 
	
1.
	
ACCEPTANCE AND RELEASE

 

I, Sherri A Brillon, of Calgary in the Province of Alberta, hereby acknowledge that I have read and understand the terms of the severance offer, as set forth in the attached letter dated March 18, 2019 (the "Settlement Letter"), which has been made to me with respect to the termination of my employment with (the "Employer") . I acknowledge and agree that for purposes of this General Release, the "Employer" shall include Encana Corporation, its subsidiaries, affiliates, related companies, and all partnerships in which Encana Corporation is a majority partner or managing partner (collectively "Encana"), and all predecessor and successor corporations, partnerships and other entities to any Encana entity, and all corporations, partnerships and other entities to which any Encana entity may transfer or assign by any means howsoever any of its rights, property or undertaking (which may include the assignment of the rights hereunder, such assignment being consented to), and each of the respective directors, officers, shareholders, employees, servants and agents of the foregoing, both present and former, and any other person, partnership, corporation or other entity charged or chargeable with responsibility or liability, (including all predecessors, successors, administrators, heirs, executors, trustees and assigns thereof) as set forth in the Settlement Letter. I voluntarily accept all of the terms of such severance offer and this General Release in full and complete satisfaction of any and all of my claims or potential claims against the Employer.

 

In consideration of the payment to me of $2,905,402, less applicable statutory withholdings and other deductions, (the "Settlement Amount"), and such other good and valuable consideration as I may receive pursuant to the terms of the Settlement Letter, I do for myself, my heirs, executors, administrators and assigns (hereinafter referred to as "I", "me" or "my") hereby release and forever discharge the Employer, both jointly and severally, of and from any and all manner of actions , causes of action, suits, debts, claims, accounts, covenants, costs, contracts (whether express or implied), damages and/or demands of any and every kind and nature whatsoever, whether in law or in equity, whatsoever which I have ever had, now have or may hereafter have, for or by reason of any cause, matter or thing whatsoever arising up to the Termination Date (as defined in the Settlement Letter) or the date hereof, whichever is later, (other than in connection with any non­ compliance by the Employer with the terms of my Settlement Letter), whether known or unknown, and in particular, but without in any way restricting the generality of the foregoing, for or by reason of or arising out of or relating to:

 

	
 
	
(a)
	
my employment with the Employer;

 

	
 
	
(b)
	
the termination of my employment with the Employer;

 

	
 
	
(c)
	
the loss of my office or employment with the Employer;

 

	
 
	
(d)
	
the loss or discontinuance of any participation in and/or coverage under any benefit plans, pension plans, medical or dental plans, insurance plans (including, without limitation, life insurance), short-term and/or long-term disability plans, savings or investment plans, and any and all other benefits, plans or programs directly or indirectly contributed to or sponsored by the Employer;

 

	
 
	
(e)
	
the loss, early expiry or termination of any: (i) Stock Options, Tandem Stock Appreciation Rights, Stock Appreciation Rights, Performance Share Units, and/or Restricted Share Units (as applicable) granted to me by the Employer under any 
	
 

 

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corresponding long-term incentive plan or grant agreement; and/or (ii) any other compensation arrangements and/or programs including, without limitation, any claim or entitlement to damages, wages, termination pay, severance pay, overtime, vacation pay, allowances, expenses, relocation-related costs or expenses (or reimbursement thereof), bonus pay, high performance results awards, retention payment or any other incentive or performance-based compensation of any nature whatsoever which has or may have been made available to me or for which I may have been eligible in connection with my employment with the Employer, whether under any verbal, implied or written contract or pursuant to any statute; and
	
 

	
 
	
(f)
	
any claims I may have under applicable legislation including, but not limited to, applicable employment standards, labour standards and/or human rights legislation.
	
 

 

	
 
	
2.
	
BENEFITS AND INSURANCE CLAIMS

 

I acknowledge and agree that the Settlement Amount includes full compensation for the loss of any and all employment benefits and insurance coverage directly or indirectly contributed to, sponsored by or provided by the Employer, and I hereby waive any and all rights to the coverage, benefit or extent of coverage or extent of benefit under or from any such program which existed including, without limitation, any rights whatsoever to coverage under or benefits from any insurance or short-term or long-term disability plan. I acknowledge that I have been fully informed of my eligibility to convert certain life insurance coverage I may have which is provided by or sponsored by the Employer to a personal policy (up to a maximum of $200,000) within 31 days of the Termination Date.

 

	
 
	
3.
	
FURTHER CLAIMS

 

I further agree to not make any claim or take any proceeding against another person or corporation which might claim contribution or indemnity from the Employer or any other entity or person discharged through this General Release and agree to immediately discontinue any proceeding or legal process should any party thereto make any such claim for contribution or indemnity.

 

	
 
	
4.
	
NO ADMISSION

 

I agree that the severance offer contained in the Settlement Letter, including without limitation, the Settlement Amount, shall not constitute, nor shall be construed to constitute, an admission of any liability of any nature whatsoever on the part of the Employer, and that such liability is expressly denied.

 

	
 
	
5.
	
CONFIDENTIALITY AND NON-DISCLOSURE

 

I agree that I will not divulge or disclose, directly or indirectly, the contents of the Settlement Letter, this General Release or any terms of settlement relating to the termination of my employment with the Employer, to any person including, without limiting the generality of the foregoing, any employees or former employees of the Employer, excepting my immediate family and any necessary communications with my legal and/or financial advisors on the express condition that they maintain the confidentiality thereof, or any disclosure which may be required by law. I further agree that I will not make any negative or unfavourable comment about my employment with the

 

 

 

-3-

 

Employer, whether verbal or in written form (including, without limitation, verbal, in print or any electronic form or social or other media whatsoever) or to any person regarding any matter arising prior to the date of my execution of this General Release. The foregoing does not include any complaint or report I may lawfully make to any regulatory or other authority under any applicable whistleblower or similar reporting regime, or participation in any legal or regulatory process in which I am required to testify or provide evidence.

 

I recognize and acknowledge that during my employment, I had access to certain confidential and/or proprietary information regarding the business and operations of the Employer, the disclosure of which could be harmful to the interests of the Employer and that during such employment I may have had access to personal information regarding current and former employees of Encana and other third parties. I acknowledge and agree that I have taken and will in future take appropriate precautions to safeguard and to not use or disclose such confidential and proprietary information of the Employer and/or any such personal information and that these obligations as well as the provisions of any written policy or practice I have acknowledged during my employment regarding the confidentiality of Employer confidential and/or proprietary information and personal information shall survive the termination of my employment. Should I have any equipment materials, property or documentation in any form (including electronic) which contains confidential and/or proprietary information regarding the Employer or personal information (as described above), I agree to return same to Encana immediately and to securely destroy any and all copies or derivatives thereof.

 

	
 
	
6.
	
INTELLECTUAL PROPERTY

I further acknowledge and agree that the Employer is entitled to the sole benefit and exclusive ownership of any and all inventions, designs, improvements and intellectual property (including, without limitation, works which are or may be protected or protectable by trade secret, copyright, trademark, patent, industrial design and other laws) together with any other property or things of any nature or kind which were created, developed, improved, modified or made by me or with my assistance or involvement in the course of my employment and whether directly related to or incidental to the performance of my employment duties. I agree that I will do all acts and things and will sign such further documentation as is or may be necessary or desirable, or as may be requested by the Employer, to give effect to the provisions contained in this paragraph.

 

	
 
	
7.
	
INDEMNITY FOR TAXES OR DEMANDS

I further agree that in consideration of the Settlement Amount, I will save harmless and, as a separate covenant, will indemnify the Employer from and against all claims, orders or demands which may be made by the Minister of National Revenue or the Canada Revenue Agency to pay income tax under the Income Tax Act (Canada) in respect of income tax payable or owing by me in excess of the income tax previously withheld (including any interest, charges or penalties in respect thereof), and in respect of any and all claims, orders or demands which may be made by or on behalf of Service Canada, the Employment Insurance Commission or the Canada Pension Commission under applicable law with respect to any amount which may, in the future, be found to be owing or payable by the Employer in respect of me or on my behalf including, without limitation, in respect of employment insurance benefits. Where the Employer is required by law, I hereby authorize the Employer to withhold from the Settlement Amount or from any future payment made to me by the Employer any amount required to discharge and remit to such agencies any overpayment of employment insurance benefits I may have received.

 

 

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8.
	
APPLICABLE LEGISLATION

I hereby acknowledge receipt of any and all wages, overtime pay, vacation pay, general holiday pay, termination notice or termination pay and all other rights and/or entitlements in respect of my employment from the Employer and under applicable legislation including, without limitation, labour and/or employment standards legislation. I agree that the execution of this General Release has the effect of precluding consideration of any complaint, claim or cause of action by me against the Employer pursuant to such legislation.

 

For greater certainty and without limiting the generality of the foregoing, I further acknowledge and agree that I have no basis for any complaint against the Employer under applicable human rights legislation, and that the execution of this General Release has the effect of precluding consideration of any complaint, claim or cause of action by me against the Employer pursuant thereto.

 

	
 
	
9.
	
UNDERSTANDING

I acknowledge and agree that this General Release shall be binding upon me and operate for my benefit and for the benefit of the Employer, and that this General Release may be assigned by the Employer without my consent.

 

I further understand and agree that the Settlement Letter, the attached Summary Document and this General Release incorporate all of the terms and conditions respecting the settlement of my claims arising out of the matters dealt with herein and I acknowledge that there are no written or oral representations , undertakings, agreements, terms or conditions relating to such matters other than those expressly set forth in the Settlement Letter, the Summary Document and this General Release.

 

I acknowledge that I have been given the opportunity to seek independent legal advice and have had sufficient time to seek advice and consider all factors relating to the termination of my employment with the Employer including, without limitation, the terms of the severance offer contained in the Settlement Letter, the Summary Document and this General Release. I acknowledge that I have read and that I fully understand all terms and conditions of the foregoing documents and that I have signed the Settlement Letter and this General Release with full knowledge of their consequences and significance.

 

Dated this 22 day of March, 2019.

 

/s/ Sherri Brillon_____________

Sherri A. Brillon

 

Signed and delivered in the presence of:

 

/s/ Mike Williams_____________22 March 2019                   

Witness (Signature)                     Date

 

 

M. Williams___________________

Witness (Print Name)

 

 

 

Benefits overview

	
Benefit
	
The Encana Retiree Plan

	
Health

	
Eligibility
	
▪    age 55-65 – benefit terminates first of the month following age 65

▪    coverage provided to retiree and eligible dependents including legal or common-law spouse and dependent children

	
Out-of-pocket maximum
	
▪    $8,000 per individual per year; then 100% coverage for duration of plan year

	
Co-insurance levels

Drugs

Emergency medical for travel

Other eligible expenses
	
 

▪    80%

▪    100%

▪    80%

	
Drugs
	
▪    require a prescription

▪    $1,000,000 lifetime maximum

	
Smoking cessation

Drug coverage

Automatic drug reimbursement

Diabetic supplies
	
▪    $350 lifetime maximum (DIN# required)

▪    prescription drugs

▪    pay-direct drug card

▪    unlimited supplies; $5,000 maximum per five years for insulin pump

	
Hospital
	
▪    semi-private or private; unlimited

	
Home nursing
	
▪    $15,000 maximum per three years; provided by licensed practical or registered nurse

	
Emergency medical for travel outside home province/country
	
▪    $2 million maximum per individual per occurrence (30-day trip maximum)

▪    provincial health care must be in place

	
Travel assistance
	
▪    coverage provided through Manulife’s carrier, Allianz Global Assistance

▪    (formerly Mondial)

	
Out-of-country referral
	
▪    there is no coverage for referrals for health services outside Canada

	
Ambulance
	
▪    emergency ground and air; unlimited lifetime maximum

	
Paramedical practitioners

Massage therapist, nutritionist, podiatrist/ chiropodist, osteopath, acupuncturist, naturopath, chiropractor, physiotherapist, psychologist/ registered social worker, speech therapist
	
▪    $750 per individual per year per practitioner

	
Medical equipment
	
▪    reasonable and customary

	
Hearing aids

Orthotics/orthopedic shoes
	
▪    $2,500 every three years

▪    combined maximum – $500 per individual per year

	
Optical exam
	
▪    $50 per year

	
Vision care
	
▪    nil

	
Survivor coverage
	
▪    one year

	
Administrator
	
▪    Manulife Financial

	
Cost sharing
	
▪    100% company paid

 

 

 

 

	
Benefit
	
The Encana Retiree Plan

	
Dental

	
Eligibility
	
▪    age 55-65 – benefit terminates first of the month following age 65

▪    coverage provided to retiree and eligible dependents including legal or common-law spouse and dependent children

	
Basic services

Diagnostic  and  preventative  services, surgical procedures, endodontics, periodontics, prosthetic (denture) repair
	
 

▪    80%; unlimited lifetime maximum

	
Major services

Crowns, inlays/onlays

Bridges, partial and complete dentures
	
 

▪    50%; $2,500 maximum per benefit year

▪    once per five-year period

	
Orthodontic services
	
▪    50% (child only); $2,000 lifetime maximum

	
Fee guide
	
▪    current fee guide for general practitioners and specialists approved by the provincial dental association where the retiree resides, plus 2%

	
Pre-determinations
	
▪    recommended for costs greater than $500

	
Check-up frequency
	
▪    two per benefit year

	
Survivor coverage
	
▪    one year

	
Administrator
	
▪    Manulife Financial

	
Cost sharing
	
▪    100% company paid

	
Life insurance

	
Eligibility
	
▪    coverage pre-and-post 65 years of age

	
Life benefit
	
▪    age 55-64 – 100% salary (maximum = $100,000)

▪    age 65-69 – 50% salary (maximum = $50,000)

▪    age 70 – flat $10,000

	
Insurer
	
▪    Manulife Financial

	
Cost sharing
	
▪    100% company paid

 

 

 

 

 

2 | Retirement – Canada

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