Document:

Exhibit 10.5

 

Avista Healthcare Public Acquisition Corp. has requested that portions of this document be accorded confidential treatment pursuant to Rule 406 of the Securities Act of 1933, as amended.

 

SETTLEMENT AND LICENSE AGREEMENT

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

This Settlement and License Agreement (“Agreement”) is effective as of the date it is last signed (“Effective Date”), including the releases attached to it as Exhibit B and Exhibit C, by each of the following (each a “Party” and collectively, the “Parties”):

 

a.                                      RESORBA Medical GmbH (“Resorba”), a corporation organized and existing under the laws of Germany, with a principal place of business in Nuremberg, Germany.

 

b.                                      Advanced Medical Solutions Group plc (“AMS”), a public limited company incorporated and domiciled in England and Wales;

 

c.                                       Organogenesis Inc. (“Organogenesis”), a corporation organized under the laws of the state of Delaware and having a principal place of business in Canton, Massachusetts, United States of America.

 

RECITALS

 

(i)                                     Resorba is the plaintiff in a patent infringement action against Organogenesis in the United States District Court for the District of Massachusetts, Civil Action No. 1:16-cv-12173-GAO (the “Litigation”) alleging infringement of United States Patent No. 7,604,816 (the “‘816 Patent”);

 

(ii)                                  AMS is the sole owner of Resorba;

 

(iii)                               Subject to the releases being given by the parties, Resorba and Organogenesis desire to settle the Litigation and enter into a license of the ‘816 Patent Family on the terms and conditions set forth below.

 

Thus, in consideration of the mutual covenants, representations and warranties set forth in this Agreement and other good and valuable consideration (including, without limitation, the Lump Sum and Royalty payments pursuant to Section 8), the sufficiency of which is hereby acknowledged, the Parties agree as follows:

 

Section 1.                                          Definitions

 

1.1                               “‘816 Patent” has the meaning given in the Recitals.

 

1.2                               “‘816 Patent Family” means (a) the ‘816 Patent and (b) any United States patent, pending patent application, or future patent or patent application, including any divisional, continuation, or continuation-in-part application, reissued patent, reexamined patent, or extended patent that (i) directly or indirectly claims priority to any patent application from which the ‘816

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

 

Patent claims priority directly or indirectly, (ii) directly or indirectly claims priority to the patent application from which the ‘816 Patent issued, or (iii) at any time claimed priority to the ‘816 Patent or any of the foregoing patents or patent applications.

 

1.3                               “Affiliate” means, with respect to any Person, any other Person that directly or indirectly through one or more intermediaries, controls, is controlled by, or is under common control with, such Person. For purposes of this definition, “control” means the possession, direct or indirect, of the power to direct or cause the direction of the management and policies of a Person, whether through ownership of voting securities or general partnership or managing member interests, by contract, or otherwise. Without limiting the generality of the foregoing, a Person shall be deemed to control any other Person in which it owns, directly or indirectly, at least fifty (50) percent of the ownership interest.

 

1.4                               “Agreement” has the meaning given in the preamble.

 

1.5                               “AMS” has the meaning given in the Recitals.

 

1.6                               “Confidential Information” has the meaning given in Section 12.14.

 

1.7                               “Consideration Period” has the meaning given in Section 10.1.

 

1.8                               “Effective Date” has the meaning given in the preamble.

 

1.9                               “Foreign Counterpart” means any patent, pending patent application, or future patent or patent application, including any PCT application, divisional, continuation, or continuation-in-part application, any reissued patent, reexamined patent, or extended patent pending in or issued from any patent granting authority other than the United States Patent and Trademark Office that (i) directly or indirectly claims priority to any patent application from which the ‘816 Patent claims priority directly or indirectly, (ii) directly or indirectly claims priority to the patent application from which the ‘816 Patent issued, or (iii) at any time claimed priority to the ‘816 Patent or any of the foregoing patents or patent applications.

 

1.10                        “Licensed Product” means any product or part of a product marketed, manufactured, used, sold, offered for sale, or imported by Organogenesis or its Affiliates, the marketing, manufacturing, using, selling, offering for sale, or importing of which would infringe, induce infringement, or contribute to infringement of one or more Valid Claims of the ‘816 Patent Family in the absence of this Agreement, including, without limitation, Organogenesis’ PuraPlyTM Antimicrobial product in the form it exists as of the Effective Date.

 

1.11                        “Litigation” has the meaning given in the recitals.

 

1.12                        “Minimum Royalty Payment” has the meaning given in Section 8.3.

 

1.13                        “Negotiation Period” has the meaning given in Section 10.1.

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

2

 

1.14                        “Net Sales” means the aggregate sum of the total gross amounts invoiced and properly recognized as revenue under generally accepted accounting principles in the United States of America by Organogenesis and/or any of its Affiliates in an arm’s length transaction for each Licensed Product sold in the Territory less, to the extent identified on the invoice (or any corresponding credit note):

 

(a)                                 rebates, refunds, retroactive price reductions, and cash, quantity and trade discounts (including Medicare, Medicaid and similar types of rebates and chargebacks);

 

(b)                                 credits allowed for rejected, returned, or damaged goods;

 

(c)                                  insurance, packing, transportation and delivery costs; and

 

(d)                                 sales, excise, and value added taxes and any tariffs, levies and duties imposed on the transaction.

 

Net Sales shall not include any gift, grant, sale, assignment, transfer, conveyance or disposition:

 

(a)                                 between Organogenesis and the Organogenesis Affiliates;

 

(b)                                 to physicians, hospitals, or clinics for clinical trials or as free of charge samples;

 

(c)                                  to academic or non-profit investigators free of charge for research purposes; or

 

(d)                                 in connection with compassionate use or low-income patient assistance programs.

 

Notwithstanding the foregoing, in the event a Licensed Product is sold in combination with other products, Net Sales of such Licensed Product shall be calculated by multiplying the Net Sales of the combined products by the fraction A/(A+B), where A is the gross invoice price of the Licensed Product if sold separately and B is the gross invoice price of the other product(s) included in the combined product if sold separately. In the event no such separate sales are made, Net Sales of the combined product shall be calculated reasonably and in good faith by Organogenesis, based upon the respective costs of goods sold of the components of such combined product.

 

Net Sales shall be determined from books and records maintained in accordance with generally acceptable accounting principles in the United States of America, as consistently applied by Organogenesis and its Affiliates with respect to sales of the Licensed Products.

 

1.15                        “Organogenesis” has the meaning given in the preamble.

 

1.16                        “Organogenesis Affiliates” means the Affiliates of Organogenesis, which, as of the Effective Date, are Prime Merger Sub, LLC and Organogenesis GmbH.

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

3

 

1.17                        “Organogenesis Covenantees” has the meaning given in Section 4.3.

 

1.18                        “Parties” and “Party” have the meanings given in the preamble.

 

1.19                        “Patent Challenge” has the meaning given in Section 2.2(b).

 

1.20                        “Person” means any individual, corporation, association, partnership, limited liability company, joint venture, joint stock or other company, business trust, trust, organization, university, college, governmental authority, or other entity of any kind.

 

1.21                        “Releases” means the Release signed and delivered by Resorba in the form attached as Exhibit B and the Release signed and delivered by Organogenesis in the form attached as Exhibit C.

 

1.22                        “Resorba” has the meaning given in the preamble.

 

1.23                        “Stipulation of Dismissal” means the Stipulation of Dismissal in the form attached hereto as Exhibit A.

 

1.24                        “Term” means the term of this Agreement, as defined in Section 11.1.

 

1.25                        “Territory” means the United States of America and its possessions and territories.

 

1.26                        “Third Party” means with respect to any Party, any Person other than such Party, an Affiliate of such Party, or the other Party.

 

1.27                        “Valid Claim” means a claim of the ‘816 Patent Family that has not expired or been revoked or declared unenforceable, unpatentable, or invalid by an unappealable or unappealed decision of a court or other appropriate body of competent jurisdiction.

 

Section 2.                                          Representations and Warranties

 

2.1                               Resorba and AMS each represents and warrants, on its own behalf and on behalf of all of its Affiliates, that, as at the Effective Date:

 

(a)                                 neither Resorba, AMS nor any of their Affiliates has received notice from a Third Party (i) alleging the unpatentability, invalidity, misuse, unregistrability, unenforceability or noninfringement of, or error in, any of the patents in the ‘816 Patent Family or (ii) challenging Resorba’s ownership of, or right to practice or license, any patent in the ‘816 Patent Family, or alleging any adverse right, title, or interest with respect thereto;

 

(b)                                 all patents in the ‘816 Patent Family will be diligently prosecuted if necessary in the patent offices in the Territory in accordance with applicable law, and will be maintained properly and correctly and all applicable fees will be timely paid;

 

(c)                                  to the knowledge of Resorba and AMS, each patent in the ‘816 Patent family is valid and enforceable;

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

4

 

(d)                                 Resorba is the sole and exclusive legal and beneficial owner of the entire right, title and interest in the ‘816 Patent Family;

 

(e)                                  neither Resorba, AMS nor any of their Affiliates owns, licenses, or controls any patent other than the Foreign Counterparts with any claim that, as far as Resorba, AMS or any of their Affiliates is aware, covers PuraPlyTM Antimicrobial that is not in the ‘816 Patent Family;

 

(f)                                   Resorba has not assigned or otherwise encumbered (i) its right, title or interest in the ‘816 Patent Family or (ii) any right granted to Organogenesis hereunder;

 

(g)                                  each of Resorba and AMS has the full right and power to grant the license, release, and other covenants set forth in this Agreement and to enter into this Agreement; and, to the knowledge of Resorba and AMS, there are no outstanding agreements, assignments, laws, orders, or encumbrances by which it is or will be bound that are inconsistent with the provisions of this Agreement; and

 

(h)                                 each of Resorba and AMS is financially solvent, is able to pays its debts and obligations as they become due and has the financial resources and capability to perform in a timely manner all of its obligations under this Agreement.

 

2.2                               Organogenesis represents and warrants, on its own behalf and on behalf of all Organogenesis Affiliates, that:

 

(a)                                 as of the Effective Date, other than Resorba’s allegations of infringement to date, neither it nor the Organogenesis Affiliates are aware of any Third Party that at the Effective Date infringes, induces infringement, or contributes to infringement of, the ‘816 Patent Family on the basis of their making, having made, using, offering for sale, selling, or importing of any product or part of a product which would infringe, induce infringement, or contribute to infringement of the ‘816 Patent Family;

 

(b)                                 absent a patent infringement claim directed to the Licensed Products filed against Organogenesis or any Organogenesis Affiliate by Resorba or any Resorba Affiliate, at no time prior to January 1, 2020, will it or any Organogenesis Affiliate (whether directly or indirectly through a Third Party) contest the validity or enforceability of any patent in the ‘816 Patent Family, nor institute any reexamination, opposition, or post-grant proceedings (“Patent Challenge”) against the ‘816 Patent Family or any Foreign Counterparts;

 

(c)                                  other than Resorba’s allegations to date that the PuraPlyTM Antimicrobial product infringes the ‘816 Patent Family, as of the Effective Date, to the knowledge of Organogenesis, neither it nor any Organogenesis Affiliate has at any time prior to the Effective Date marketed, manufactured (or had manufactured), used, sold, offered for sale or imported any product or part of a product which would infringe, induce infringement, or contribute to infringement of one or more of the patents comprised in the ‘816 Patent Family; and

 

(d)                                 Organogenesis has the full right and power to make the covenants set forth herein and to enter into this Agreement and that there are no outstanding agreements, assignments,

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

5

 

orders, or encumbrances by which it is or will be bound that are inconsistent with the provisions of this Agreement.

 

2.3                               The Parties give no warranties or representations, express or implied, except as expressly set forth in this Agreement. In entering this Agreement, the Parties acknowledge and represent that they have not relied upon any statement or representation, written or oral, by the other Party except those expressly set forth in this Agreement. Nothing in this Agreement shall be construed as: (a) a warranty or representation that anything made, used, sold, or otherwise disposed of under any license granted in this Agreement, is or will be free from infringement of patents, copyrights, and other rights of Third Parties; (b) an obligation to bring actions or suits against third parties for infringement; (c) granting by implication, estoppel, or otherwise any licenses or rights under patents or other rights of Resorba or other persons other than the licenses and rights set forth in this Agreement; (d) a warranty or representation by AMS or Resorba that Organogenesis has all of the governmental approvals necessary to sell the Licensed Products or (e) an obligation to furnish any technology or technological information other than as set forth in this Agreement.

 

Section 3.                                          Dismissal of Litigation

 

3.1                               Contemporaneously with the execution of this Agreement by the Parties, Resorba and Organogenesis shall execute the Stipulation of Dismissal, which Resorba’s counsel shall file with the Court within one business day of the execution of this Agreement.

 

Section 4.                                          Mutual Releases and Covenant Not to Sue

 

4.1                               Contemporaneously with the execution of this Agreement, Resorba shall execute and deliver the Release attached as Exhibit B.

 

4.2                               Contemporaneously with the execution of this Agreement, Organogenesis shall execute and deliver the Release attached as Exhibit C.

 

4.3                               Each of AMS and Resorba, for itself, its Affiliates and its and their successors and assigns, irrevocably covenants not to sue Organogenesis, any Organogenesis Affiliates or any Organogenesis supplier or manufacturer of any Licensed Product or a Third Party who purchased or used any Licensed Products (“Organogenesis Covenantees”) for infringement of any patent, including any in the ‘816 Patent Family, that AMS, Resorba, or its respective Affiliates, successors and assigns owns or controls as of the Effective Date, on the basis of their making, having made, using, offering for sale, selling, or importing of any Licensed Product at any time before the Effective Date of this Agreement.

 

Section 5.                                          License

 

5.1                               Subject to the terms and conditions of this Agreement, and within the Territory, Resorba grants to Organogenesis and to Organogenesis’s Affiliates an exclusive royalty-bearing license under the ‘816 Patent Family within the Territory to make, have made, use, offer for sale,

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

6

 

sell, and import Licensed Products in any field of use, with no right to grant sublicenses. The license granted in this Section 5.1 shall be effective as of March 27, 2015.

 

5.2                               Upon written notice to Resorba, Organogenesis may assign this Agreement or any part thereof (including, without limitation, the license granted in Section 5.1) (a) to any of its Affiliates, successors, or permitted assigns or (b) to a Third Party in connection with the sale or transfer to such Third Party of substantially all of Organogenesis’s business or assets or the sale or transfer of a portion of Organogenesis’s business or assets to such Third Party that relates to any Licensed Product. Upon written notice to Organogenesis, Resorba may assign this entire Agreement (but not just parts thereof) (i) to any of its Affiliates, successors, or permitted assigns or (ii) to a Third Party in connection with the sale or transfer to such Third Party of substantially all of Resorba’s business or assets, provided that no such assignment shall adversely affect the license granted in Section 5.1 to Organogenesis and the Organogenesis Affiliates. During the Term, Resorba may not assign, sell or transfer all or any of the patents in the ‘816 Patent Family on a standalone basis. The obligations arising from this Agreement are binding on any Party’s Affiliates and permitted assignees.

 

5.3                               On or after January 1, 2020 and during the Term, if Organogenesis or any of its Affiliates commences a proceeding involving a Patent Challenge of any patent in the ‘816 Patent Family, Organogenesis shall establish an escrow account and pay into that account amounts that would otherwise be due on or after January 1, 2020 under Section 8 of this Agreement. Any Patent Challenge commenced by Organogenesis or any of its Affiliates shall not remove Organogenesis’ obligations to pay the amounts that would otherwise be due on or before December 31, 2019 under Section 8 of this Agreement. If a Patent Challenge is successful in invalidating or rendering unenforceable all claims pertaining to the Licensed Products, the money in escrow shall be distributed to Organogenesis. If, on the other hand, a Patent Challenge is unsuccessful in invalidating or rendering unenforceable all claims pertaining to the Licensed Products, Organogenesis shall pay to Resorba the money in escrow, Resorba’s reasonable attorneys’ fees and costs in defending against such Patent Challenge, as well as liquidated damages in the amount of fifty percent (50%) of the amount in escrow. This Section 5.3 is subject to Section 2.2(b).

 

5.4                               As soon as practical taking into account regulatory considerations and existing inventories of packaging materials and lead times to change such packaging materials but in no event later than six (6) months after the Effective Date of this Agreement, in respect of all Licensed Products manufactured at any time after the Effective Date, Organogenesis shall comply with the patent marking provisions of 35 U.S.C. § 287(a) by marking all Licensed Products with the word “patent” or the abbreviation “pat.” and either the relevant patent in the ‘816 Patent Family or a web address that is freely accessible to the public and that lists the relevant patent in the ‘816 Patent Family. Organogenesis shall also ensure that any Organogenesis Affiliates mark any Licensed Products and comply with the patent marking laws of each country in the Territory for Licensed Products sold in those countries.

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

7

 

Section 6.                                          Indemnity

 

6.1                               Organogenesis agrees to indemnify, hold harmless, and defend Resorba against (a) any and all Third Party claims for death, illness, personal injury, property damage, and improper business practices arising out of the manufacture, use, offer for sale, sale, marking, import, export, or other disposition of the Licensed Products and (b) any and all Third Party claims related to, arising out of, or resulting from Organogenesis’ breach of any representation, warranty, covenant or obligation under this Agreement, in each case including all fees and expenses of any attorneys, experts or other professional advisers.

 

6.2                               Resorba agrees to indemnify, hold harmless, and defend Organogenesis against any and all Third Party claims related to, arising out of, or resulting from Resorba’s or AMS’s breach of any representation, warranty, covenant or obligation under this Agreement, including all fees and expenses of any attorneys, experts or other professional advisers.

 

6.3                               The indemnified party shall promptly notify the indemnifying party in writing of any action in which it is seeking indemnity hereunder and shall cooperate with the indemnifying party at the indemnifying party’s sole cost and expense. The indemnifying party shall immediately take control of the defense and investigation of any such action and shall employ counsel reasonably acceptable to the indemnified party to handle and defend the same, at the indemnifying party’s sole cost and expense. The indemnifying party shall not settle any such action in a manner that adversely affects the rights of any indemnified party without the indemnified party’s prior written consent, which shall not be unreasonably withheld or delayed. The indemnified party’s failure to perform any obligations under this Section 6.3 shall not relieve the indemnifying party of its obligations under this Section 6.3 except to the extent that the indemnifying party can demonstrate that it has been materially prejudiced as a result of the failure. The indemnified party may participate in and observe the proceedings at its own cost and expense with counsel of its own choosing.

 

6.4                               NEITHER PARTY SHALL BE LIABLE TO THE OTHER, ITS CUSTOMERS, THE USERS OF ANY LICENSED PRODUCTS AND RELATED SERVICES, OR ANY THIRD PARTIES FOR ANY DIRECT, CONSEQUENTIAL, INCIDENTAL, INDIRECT, PUNITIVE OR SPECIAL DAMAGES WHATSOEVER, INCLUDING, WITHOUT LIMITATION, ANY DAMAGE OR INJURY TO BUSINESS EARNINGS, PROFITS OR GOODWILL SUFFERED BY ANY PERSON ARISING FROM ANY USE OF THE LICENSED PRODUCTS AND RELATED SERVICES, REGARDLESS OF WHETHER SUCH LIABILITY IS BASED ON BREACH OF CONTRACT, TORT, STRICT LIABILITY, BREACH OF WARRANTIES, INFRINGEMENT OF INTELLECTUAL PROPERTY, FAILURE OF ESSENTIAL PURPOSE OR OTHERWISE, EVEN IF ADVISED OF THE POSSIBILITY OF SUCH DAMAGES.

 

Section 7.                                          Maintenance and Enforcement

 

7.1                               Resorba shall be responsible for the maintenance of the ‘816 Patent Family and payment of all fees associated with such maintenance. Resorba will not abandon, or fail to maintain, any patent in the ‘816 Patent Family without prior written agreement of Organogenesis.

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

8

 

7.2                               If any Party becomes aware of potential infringement of any patent within the ‘816 Patent Family licensed to Organogenesis, then that Party will notify the other Party as soon as possible. At the option and sole discretion of Organogenesis, Organogenesis may initiate a patent infringement action and may name Resorba as an additional plaintiff. If Resorba is so named, it agrees to join such action. All monies received by Organogenesis as a result of the action (including but not limited to any award of damages, sub-license fees and royalties), less attorneys’ and experts’ fees and expenses for which Organogenesis or Resorba are responsible and which shall be reimbursed to both Parties, shall be apportioned equally between the Parties.

 

7.3                               Resorba shall provide any assistance reasonably requested in connection with any patent infringement action to enforce any licensed patent in the ‘816 Patent Family that is initiated by Organogenesis. In the event that Organogenesis names Resorba as a plaintiff, Resorba shall have the option to be jointly represented by counsel for Organogenesis. In the event that Resorba chooses such joint representation and such counsel at any time notifies Organogenesis and Resorba that a conflict has arisen so that counsel cannot continue to represent both parties, or in the event that Resorba in its discretion but for valid reason chooses, Resorba may retain separate counsel, provided that Resorba shall be responsible for the entire cost of any separate counsel unless such separate counsel is required due to a conflict, in which case the cost of such separate counsel shall be borne equally between Organogenesis and Resorba. Resorba’s counsel costs shall be reimbursable as provided for in Section 7.2.

 

7.4                               Where Organogenesis initiates infringement action pursuant to Section 7.2, Organogenesis shall have the sole right to enter into any settlement in any patent infringement action to enforce any licensed patent in the ‘816 Patent Family, except that it shall not have the authority to grant any license or sublicense without the prior written consent of Resorba, such consent not to be unreasonably withheld or delayed. Organogenesis shall disclose details of any such settlement to Resorba for the purposes of verifying any payments due pursuant to Section 7.2.

 

7.5                               In the event that Organogenesis determines, in its sole discretion and for any reason, that it cannot or will not initiate a patent infringement action against the relevant Third Party, Resorba shall be entitled to initiate such a patent infringement action in the same manner and subject to the same terms and conditions as set out in this Section 7 (including with respect to sharing of recoveries and payment of expenses). Resorba may name Organogenesis as an additional plaintiff in such action, and if Organogenesis is so named, it agrees to join such action.

 

Section 8.                                          Lump-Sum and Royalty Payments

 

8.1                               Lump-Sum Payments. Organogenesis shall make the following lump-sum payments to Resorba:

 

(a)                                 An up-front payment of two hundred and fifty thousand United States dollars (USD $250,000) on or before fifteen days after the Effective Date.

 

(b)                                 A maintenance payment of two hundred thousand United States dollars (USD $200,000) on or before July 1, 2018.

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

9

 

(c)                                  A maintenance payment of one hundred and fifty thousand United States dollars (USD $150,000) on or before April 1, 2019.

 

The Parties acknowledge and agree that if this Agreement is terminated prior to April 1, 2019, all unpaid amounts under this Section 8.1 shall be deemed to have been accrued immediately prior to such termination.

 

8.2                               Royalties. In addition to the lump-sum payments in Section 8.1, for each calendar quarter starting with January 1, 2017 and ending at the end of the Term, if any Net Sales are made during the Term, Organogenesis shall pay Resorba a royalty equal to [***].

 

8.3                               Minimum Royalties. Regardless of the actual amount of Net Sales during the applicable period, the royalty payments relating to such period shall not be less than the following amounts (“Minimum Royalty Payment”):

 

(a)                                 For the calendar year from January 1 to December 31, 2017, two-and-one-half million United States dollars (USD $2,500,000);

 

(b)                                 For the calendar year from January 1 to December 31, 2018, one million United States dollars (USD $1,000,000); and

 

(c)                                  For the calendar year from January 1 to December 31, 2019, one million United States dollars (USD $1,000,000).

 

If the Term ends during any of the above periods, the Minimum Royalty Payment shall be pro-rated over the time period during which this Agreement was in effect.

 

8.4                               Timing of Payments. The royalty payments, for all royalties owed for Net Sales during the first three calendar quarters of 2017, shall be made no later than: (a) November 1, 2017 for an amount equal to fifty percent (50%) of the total royalty payment and (b) March 1, 2018 for the remaining fifty percent (50%) of the total royalty payment. For the fourth quarter of 2017 and thereafter, Organogenesis shall pay all royalties owed for Net Sales no later than sixty (60) days from the end of the calendar quarter in which the Net Sales were made. For any calendar year in which the total royalty on Net Sales pursuant to Section 8.2 is less than the applicable Minimum Royalty Payment set forth in Section 8.3, Organogenesis shall pay the difference between such total royalty and such Minimum Royalty Payment no later than sixty (60) days from the end of the preceding calendar year. Any sums accrued prior to the expiration or earlier termination of this Agreement and due to be paid to Resorba in respect of which the due date for payment pursuant to this Section 8.4 has not arisen prior to any termination or expiry of this Agreement shall be paid by Organogenesis no later than sixty (60) days from the effective date of such termination or expiry.

 

8.5                               Method of Payment. All payments shall be made by wire transfer to the following account:

 

[***]

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

10

 

8.6                               Resorba shall be solely responsible for any taxes due or payable on any sums paid to it under this Agreement.

 

Section 9.                                          Reports and Records

 

9.1                               Within thirty (30) days of each calendar quarter end date, Organogenesis shall submit a report for each calendar quarter during which any Licensed Product is marketed, manufactured, used, sold, offered for sale in or imported into the Territory, except in respect of the quarter ending September 30, 2017 which initial report shall cover the period starting January 1, 2017 through September 30, 2017 and shall be submitted within thirty (30) days of the Effective Date. Each report shall indicate the identity of any Organogenesis Affiliate that sold Licensed Products in the Territory during the quarter covered by the report and shall include a calculation of the Net Sales and the royalty due in respect of that quarter.

 

9.2                               Organogenesis shall maintain, and it shall procure that any relevant Organogenesis Affiliate maintains, records in sufficient detail to enable verification of the correctness of the amount of each royalty payment. Such records shall be maintained for a minimum of five (5) years following the calendar year to which the records relate. Resorba shall have a right to have an independent auditor inspect the records at Organogenesis’ premises upon reasonable notice during the Term and this maintenance period for the sole purpose of verifying the amount of Net Sales no more than once every calendar year during the Term and once within a year of the end of the Term. Such inspection shall occur at times mutually agreed by the Parties. Resorba is responsible for payment of any such reasonable auditor’s fee, except that Organogenesis shall be responsible for all such fees and reimburse Resorba in full in the event such an inspection discloses a discrepancy in Resorba’s favor equal to the lesser of (a) five percent (5%) or more in respect of the calculation and payment of the royalty payments due under this Agreement and (b) $50,000. The results of such inspection shall be maintained as Confidential Information.

 

Section 10.                                   Territories Outside the United States

 

10.1                        Right of First Refusal. If a Third Party makes a bona fide, written offer to Resorba or any of its Affiliates to license any Foreign Counterpart and Resorba or such Affiliate intends to accept such offer, Resorba shall promptly notify Organogenesis in writing of such offer (including providing to Organogenesis a copy of such offer from the Third Party). Organogenesis shall have thirty (30) days (the “Consideration Period”) after receipt of such written notice from Resorba to notify Resorba in writing that it intends to match such offer, after which Organogenesis and Resorba shall negotiate on an exclusive basis (except that Resorba may continue to discuss the offer with and prepare license documentation for the Third Party who made the offer) and in good faith for up to seventy (70) days (the “Negotiation Period”) after the date of the notice from Organogenesis to Resorba to enter into a license agreement containing the terms of such offer. Resorba or such Affiliate may accept the Third Party’s offer only after Resorba has complied fully with the terms of this Section 10.1 and either (a) Organogenesis has declined to notify Resorba within the Consideration Period that it intends to match such offer or (b) the Negotiation Period has ended without Organogenesis and Resorba agreeing on a license, at which point Resorba shall

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

11

 

have a period of sixty (60) days from the termination of the Consideration Period or the Negotiation Period, as the case may be, to accept the Third Party’s offer.

 

10.2                        Exclusive Negotiation Period. If Organogenesis wishes to license a Foreign Counterpart other than in the circumstances of Section 10.1, upon written notice by Organogenesis to Resorba, Resorba and Organogenesis will negotiate on an exclusive basis and in good faith with each other for such license for a period of ninety (90) days.

 

Section 11.                                   Term and Termination

 

11.1                        Term. The Term of this Agreement shall begin as of the Effective Date and shall continue until the last patent in the ‘816 Patent Family expires or until earlier terminated in accordance with Section 11.2, Section 11.3 or Section 11.4.

 

11.2                        Termination for Default. Any Party may terminate this Agreement in the event that another Party commits a material breach of its representations, warranties or obligations under this Agreement and fails to cure such breach within: (a) thirty (30) days after receiving written notice thereof if such breach is a breach of a payment obligation or (b) sixty (60) days after receiving written notice thereof if such breach is not a breach of a payment obligation.

 

11.3                        Termination for Bankruptcy/Insolvency. Either Party may terminate this Agreement by written notice to the other Party if the other Party: (a) becomes insolvent; (b) files a petition, or has a petition filed against it, under any laws relating to insolvency, and the related insolvency proceedings are not dismissed within 60 (sixty) days after the filing of such petition; (c) enters into any voluntary arrangement for the benefit of its creditors; (d) appoints, or has appointed on its behalf, a receiver, liquidator or trustee of any of its property or assets; or (e) ceases to carry on business in the ordinary course. All rights and licenses granted under or pursuant to this Agreement by Resorba are intended to be, and shall otherwise be deemed to be, for purposes of Section 365(n) of the United States Bankruptcy Code or any analogous provisions in any other country or jurisdiction, licenses of rights to “intellectual property” as defined under Section 101(35A) of the United States Bankruptcy Code. Organogenesis shall retain and may fully exercise all of its rights and elections under this Agreement, including under Section 365(n) of the United States Bankruptcy Code, or any analogous provisions in any other country or jurisdiction. All of the rights granted to Organogenesis under this Agreement shall be deemed to exist immediately before the occurrence of any bankruptcy case in which Resorba is the debtor.

 

11.4                        Early Termination by Organogenesis. Organogenesis may terminate this Agreement without cause at any time upon written notice to Resorba, which termination will be effective on the date specified on such notice, only in the event that (a) the ‘816 Patent is invalidated (such that no claim pertaining to the Licensed Products survives) or (b) Organogenesis stops all activities that would infringe, induce infringement of, or contribute to the infringement of any patent in the ‘816 Patent Family, including the marketing, manufacturing, using, selling, offering for sale or importing the Licensed Products.

 

11.5                        Effect of Termination. Upon termination (for any reason and by either Party) or expiration of this Agreement (a) the license granted under Section 5 shall revert back to Resorba

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

12

 

and (b) for the avoidance of doubt, the Releases shall not apply to any activities occurring after such termination or expiration.

 

11.6                        Survival of Obligations. The Parties’ respective rights and obligations under Section 2, 4.3, Section 6, Section 8.1, 8.3, 8.4, 8.5, 8.6, Section 9, Section 11 and Section 12, any applicable definitions, and any other rights or obligations that by their nature extend beyond the Term of this Agreement, shall continue after the Term of this Agreement. Notwithstanding anything to the contrary contained in this Agreement, in the event that Organogenesis properly terminates this Agreement under Section 11.2, Section 11.3 or Section 11.4(a), in addition to whatever other remedies it may have, Organogenesis shall not be obligated to make payments to Resorba that would be due after the date of termination. Organogenesis shall remain obligated to make the payments owed to Resorba that accrued prior to the date of termination under Sections 11.2, 11.3 or 11.4(a).

 

Section 12.                                   General

 

12.1                        No Admission. No Party makes any admission as to liability in the Litigation, or, except as set forth in Section 2, as to Third Party infringement or the validity, scope, or enforceability of the ‘816 Patent.

 

12.2                        Binding Effect. This Agreement will be binding upon and inure solely to the benefit of the Parties and their respective successors and any assigns.

 

12.3                        Governing Law. The Parties agree that this Agreement will be governed by and construed in accordance with the laws of the State of Delaware without regard to conflict of laws principles.

 

12.4                        Dispute Resolution; Jurisdiction; Service; Enforcement. Any dispute arising out of or related to this Agreement shall be addressed diligently and in good faith by the Parties and with the involvement of high-level executives of both Parties. In the event such dispute cannot be resolved within 60 (sixty) days from the date on which either Party notified the other Party in writing of such dispute (or such longer time as agreed upon by the parties), the Parties agree to attempt to resolve the dispute through mediation. Litigation may be pursued by either Party only after any such efforts to mediate have failed. Provided litigation is instituted, each Party (a) hereby irrevocably submits itself to and consents to the exclusive jurisdiction of the United States District Court for the District of Delaware for the purposes of any action, claim, suit or proceeding in connection with any controversy, claim or dispute arising out of or relating to this Agreement, and (b) hereby waives, and agrees not to assert by way of motion, as a defense or otherwise, in any such action, claim, suit or proceeding, any claim that it is not personally subject to the jurisdiction of such court(s), that the action, claim, suit or proceeding is brought in an inconvenient forum, or that the venue of the action, claim, suit or proceeding is improper.

 

12.5                        Fees and Costs. The Parties agree to pay their own attorneys’ fees and costs related to the Litigation and this Agreement.

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

13

 

12.6                        Notice. Any notice to be given under this Agreement shall be in writing; shall be deemed to have been duly given if sent by any delivery method, including electronic delivery, that provides proof of receipt; and shall be deemed effective upon receipt. Any notice to be given under this Agreement shall be sent to the following:

 

	
If to Resorba or to AMS:
    	
If to   Organogenesis:
    
	
 
    	
 
    
	
RESORBA   Medical GmbH
    	
Organogenesis   Inc.
    
	
Am   Flachmoor 16
    	
150   Dan Road, Suite 3
    
	
90475   Nuremberg
    	
Canton,   Massachusetts 02021
    
	
Germany
    	
Attention:   General Counsel
    
	
Attention:   CEO
    	
 
    
	
 
    	
 
    
	
with   a copies to:
    	
with   a copy to:
    
	
 
    	
 
    
	
Advanced   Medical Solutions Group plc
    	
Foley   Hoag LLP
    
	
Premier   Park, 33 Road One
    	
Seaport   World Trade Center West
    
	
Winsford   Industrial Estate
    	
155   Seaport Boulevard
    
	
Cheshire   CW7 3RT
    	
Boston,   Massachusetts 02210
    
	
United   Kingdom
    	
Attention:   William R. Kolb
    
	
Attention:   Company Lawyer
    	
 
    
	
 
    	
 
    
	
and
    	
 
    
	
 
    	
 
    
	
Foley   Lardner LLP
    	
 
    
	
321   North Clark, Suite 2800
    	
 
    
	
Chicago, Illinois   60654
    	
 
    
	
Attention:   Jeanne M. Gills
    	
 
    

 

12.7                        Entire Agreement. This Agreement expresses the Parties’ entire understanding regarding the subject matter of this Agreement and supersedes in their entirety any and all written or oral agreements previously existing between AMS and Resorba on the one hand and Organogenesis on the other with respect to the subject matter of this Agreement. This Agreement is final and may not be amended, modified, or changed, and no waiver of any provision of this Agreement shall be effective, except by an instrument in writing signed by the Party against whom the amendment, modification, change, or waiver is sought to be enforced.

 

12.8                        Waiver. A Party’s rights hereunder shall not be prejudiced by any relaxation, forbearance, delay, or indulgence by any Party in enforcing its rights hereunder or the granting of time by such Party, and no waiver by any Party shall operate as a waiver of any subsequent or continuing breach.

 

12.9                        Severability. If any provision of this Agreement is determined by a court of competent jurisdiction to be invalid or unenforceable, such determination shall not affect the

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

14

 

validity or enforceability of any other provision of this Agreement. Upon such determination that any such provision, or any portion thereof, is invalid or unenforceable, the Parties shall negotiate in good faith to modify this Agreement so as to effect the original intent of the Parties as closely as possible in an acceptable manner to the end that the transactions contemplated hereby are consummated to the fullest extent possible.

 

12.10                 Force Majeure. No Party shall be liable or deemed to be in default for any delay or failure in performance under this Agreement resulting directly or indirectly from an act of nature, terrorist attacks, fires, or other causes beyond the reasonable control of such Party.

 

12.11                 No Agency. This Agreement does not create any partnership, joint venture, or agency agreement or arrangement between the Parties or with any other Person, does not give rise to any fiduciary obligation between the Parties, and does not create any obligations between the Parties other than those defined herein.

 

12.12                 Consultation with Counsel. Each Party acknowledges that it has had the opportunity to consult with legal counsel of its choice prior to execution of this Agreement, has in fact done so, and has been specifically advised by counsel of the meaning and terms of this Agreement.

 

12.13                 Construction. The Parties each acknowledge that the terms of this Agreement are the result of negotiations between them, and that this Agreement shall not be construed in favor of, or against, any Party by reason of the extent to which a Party or its counsel participated in the drafting of this Agreement.

 

12.14                 Confidentiality. Except as set forth in Section 12.15 below, the Parties agree to keep confidential the terms of this settlement, the negotiations therefor, and any other information provided under the Agreement, such as the reports provided under Section 9, designated by a Party as confidential (“Confidential Information”) except to the extent that any Party, in its sole discretion, deems public disclosure necessary or appropriate in connection with compliance with law or the rules of any United States or foreign stock exchange. Each Party may also disclose Confidential Information to its Affiliates, lawyers, insurers, accountants, auditors, and other professional advisors so long as these Persons agree in writing or pursuant to ethical obligations to keep the Confidential Information confidential. In addition, each Party may disclose Confidential Information to any acquisition targets, potential acquirers of its business or any rights granted under this Agreement, and development, collaboration, and commercialization partners, so long as those Persons undertake in writing to keep the Confidential Information confidential. Each Party may also disclose Confidential Information to the extent that it deems such disclosure necessary or appropriate to enforce this Agreement or rights under this Agreement. If a Party is required by judicial or administrative process to disclose Confidential Information, it shall, to the extent possible prior to such disclosure, promptly notify the other Party and allow the other Party a reasonable period of time to oppose such process or seek a protective order from a court of competent jurisdiction.

 

12.15                 Permitted Disclosures. During the Term, either Party may disclose that Organogenesis is an exclusive licensee of the ‘816 Patent. At any time following the grant to

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

15

 

Organogenesis of a license to any patent in the ‘816 Patent Family, either Party may disclose that Organogenesis is a licensee under such patent. For the purposes of foreign stock exchange rules, within fourteen (14) days of the Effective Date, Resorba (or its Affiliates, as appropriate) shall be entitled to make the announcement regarding this Agreement attached as Exhibit D. Such announcement shall be coordinated by the Parties so as to be a joint announcement made simultaneously.

 

12.16                 Cumulative Remedies. The rights and remedies of the Parties as set forth in this Agreement are not exclusive and are in addition to any other rights and remedies now or hereafter provided by law or at equity.

 

12.17                 Counterparts. This Agreement may be executed in counterparts, regardless of how delivered, each of which shall be deemed an original, and all of which together shall constitute one and the same instrument.

 

12.18                 Authority. Each person signing this Agreement in a representative capacity expressly represents that he or she has the subject Party’s authority to so sign and that the subject Party will be bound by the signatory’s execution of this Agreement. Each Party expressly represents that such Party does not require any Third Party’s consent to enter into this Agreement.

 

12.19                 Obligations of Affiliates. Each Party shall cause its Affiliates to comply with all of the covenants and other obligations set forth in this Agreement that are intended to apply to such Affiliates. Each Party agrees that it shall be liable for any failure of its Affiliates to comply with such covenants and other obligations.

 

Signature page follows

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

16

 

	
RESORBA Medical GmbH
    	
ORGANOGENESIS   INC.
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/   Chris Meredith /s/ Mary Tavener
    	
 
    	
By:
    	
/s/   Timothy M. Cunningham
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
Position:
    	
CEO/CFO
    	
 
    	
Position:
    	
CFO
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
Dated:
    	
October 25,   2017
    	
 
    	
Dated:
    	
October 24,   2017
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
ADVANCED MEDICAL SOLUTIONS   GROUP plc
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
By:
    	
/s/   Chris Meredith
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
Position:
    	
CEO/CFO
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
Dated:
    	
October 25,   2017
    	
 
    	
 
    	
 
    

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

17

 

EXHIBIT A

[Stipulation of Dismissal and Order: on following three pages]

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

18

 

IN THE UNITED STATES DISTRICT COURT

DISTRICT OF MASSACHUSETTS

 

	
 
    	
 
    	
 
    
	
 
    	
)
    	
 
    
	
RESORBA   MEDICAL GmbH,
    	
)
    	
 
    
	
 
    	
)
    	
 
    
	
Plaintiff,
    	
)
    	
Civil   Action No. 1:16-cv-12173-GAO
    
	
 
    	
)
    	
 
    
	
v.
    	
)
    	
 
    
	
 
    	
)
    	
 
    
	
ORGANOGENESIS, INC.,
    	
)
    	
 
    
	
 
    	
)
    	
 
    
	
Defendant.
    	
)
    	
 
    
	
 
    	
)
    	
 
    

 

STIPULATION OF DISMISSAL

 

Pursuant to Rule 41(a)(1)(A)(ii) of the Federal Rules of Civil Procedure, Plaintiff Resorba Medical GmbH and Defendant Organogenesis Inc. hereby agree to the dismissal of this entire action as follows:

 

1.                                     Resorba’s and Organogenesis’ claims are dismissed without prejudice in their entirety.

 

2.                                     Each of the Parties shall bear its own costs, expenses, and attorneys’ fees.

 

3.                                     Each of the Parties expressly waives any right to appeal the dismissal of this action.

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

19

 

	
Dated:   October   , 2017
    	
Respectfully Submitted:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
ATTORNEYS   FOR RESORBA MEDICAL GmbH
    
	
 
    	
 
    
	
 
    	
 
    
	
Dated:   October   , 2017
    	
Respectfully Submitted:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
ATTORNEYS   FOR ORGANOGENESIS INC.
    

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

20

 

[Page Intentionally Omitted]

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

21

 

EXHIBIT B: on following page

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

22

 

Release of Organogenesis Inc. by RESORBA Medical GmbH

 

For good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, Resorba Medical GmbH, its directors, officers, employees, agents, attorneys, insurers, Affiliates, successors, and assigns (“Releasors”) hereby release each of Organogenesis Inc., its directors, officers, employees, agents, attorneys, insurers, Affiliates, successors, and assigns, and any purchasers, suppliers, or manufacturers of PuraPlyTM Antimicrobial (each and all referred to as “Releasees”), from any and all claims, counterclaims, causes of action, actions and demands, liabilities, losses, payments, obligations, costs and expenses (including, without limitation, attorneys’ fees and costs) of any kind or nature whether asserted or unasserted, known or unknown, relating to the ‘816 Patent Family accruing on or before the Effective Date of the Agreement and that were brought or could have been brought by Releasors in Resorba Medical GmbH v. Organogenesis, Inc., a civil action in the United States District Court for the District of Massachusetts, Civil Action No. 1:16-cv-12173-GAO.  Releasors will bring no further claims or actions against Releasees on account of anything that has occurred in respect of or in connection with such claims on or before the date this release is signed.  Releasors acknowledge and assume all risk that the claims hereby released may be or might become greater or more extensive than are now known or expected. The foregoing release shall not apply to each Party’s obligations required to be performed under this Agreement.

 

	
RESORBA Medical   GmbH
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
By:
    	
/s/ Chris Meredith
    	
 
    
	
 
    	
 
    	
 
    
	
Position:
    	
CEO
    	
 
    
	
 
    	
 
    	
 
    
	
Dated:
    	
25th October 2017
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
By:
    	
/s/ Mary Tavener
    	
 
    
	
 
    	
 
    	
 
    
	
Position:
    	
CFO
    	
 
    
	
 
    	
 
    	
 
    
	
Dated:
    	
25th October 2017
    	
 
    

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

23

 

EXHIBIT C: on following page

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

24

 

Release of RESORBA Medical GmbH by Organogenesis Inc.

 

For good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, Organogenesis Inc., its directors, officers, employees, agents, attorneys, insurers, Affiliates, successors, and assigns (“Releasors”) hereby release each of RESORBA Medical GmbH, its directors, officers, employees, agents, attorneys, insurers, Affiliates, successors, and assigns, and the inventors of the ‘816 Patent (each and all referred to as “Releasees”), from any and all claims, counterclaims, causes of action, actions and demands, liabilities, losses, payments, obligations, costs and expenses (including, without limitation, attorneys’ fees and costs) of any kind or nature whether asserted or unasserted, known or unknown, relating to the ‘816 Patent Family accruing on or before the Effective Date of the Agreement and that were brought or could have been brought by Releasors in Resorba Medical GmbH v. Organogenesis, Inc., a civil action in the United States District Court for the District of Massachusetts, Civil Action No. 1:16-cv-12173-GAO.  Releasors will bring no further claims or actions against Releasees on account of anything that has occurred in respect of or in connection with such claims on or before the date this release is signed.  Releasors acknowledge and assume all risk that the claims hereby released may be or might become greater or more extensive than are now known or expected.  The foregoing release shall not apply to each Party’s obligations required to be performed under this Agreement.

 

	
Organogenesis Inc.
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
By:
    	
/s/ Timothy M. Cunningham
    	
 
    
	
 
    	
 
    	
 
    
	
Position:
    	
CFO
    	
 
    
	
 
    	
 
    	
 
    
	
Dated:
    	
10/24/17
    	
 
    

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

25

 

EXHIBIT D: on following four pages

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

26

 

AMS UK VERSION:

 

26th October 2017

 

Advanced Medical Solutions Group plc

(“AMS” or the “Group”)

 

Advanced Medical Solutions Group and Organogenesis Inc. Enter into Patent Out-licensing Agreement

 

-       Organogenesis to Obtain Immediate Access to Patent and License in U.S.

-       AMS to recognise $2.5 million in 2017; annual royalty on net sales until 2026

 

Winsford, UK, 26th October 2017: Advanced Medical Solutions Group plc (AIM: AMS.L), the surgical and advanced wound care specialist company, and Organogenesis Inc., a commercial leader in regenerative medicine focused on advanced wound care and surgical biologics, today announced the two companies have entered into an out-licensing agreement on a U.S. patent (“Patent”) for a collagen-based wound dressing containing Polyhexamethylene Biguanide (“PHMB”) (“Licensed Product”).

 

Under the terms of the agreement, Organogenesis has been granted an exclusive license in the United States to the Patent.  In exchange for this, AMS will receive a minimum payment of $2.5 million, which will be recognised in 2017, and a minimum royalty revenue of $1 million for each of the financial years ending 31 December 2018 and 2019, as part of an ongoing royalty that will be payable to AMS on the net sales of the Licensed Product for the life of the Patent.  The Patent is due to expire in October 2026.

 

Chris Meredith, Chief Executive Officer of Advanced Medical Solutions, said: “We are delighted to sign this agreement with Organogenesis, a commercial leader in regenerative medicine, focused in the areas of bio-active wound healing and soft tissue regeneration. The Group’s ability to out-license our patent technologies is another endorsement of the quality of our innovation and we are confident that our partner will be able to use the AMS patent in order to help patients across the US.”

 

Gary S. Gillheeney, Sr., President and CEO of Organogenesis Inc., said: “We are very pleased to secure an exclusive license to this patent in the United States. This is an important agreement for Organogenesis that underscores our commitment to offering a comprehensive portfolio of products that addresses patient needs across the continuum of care.”

 

PHMB is an antimicrobial which is effective against several bacteria including Methicillin-resistant Staphylococcus aureus (MRSA) and Escherichia coli (E. coli). AMS’s PHMB foam was approved for marketing in Europe in 2016 and subsequently this year in the US.

 

- Ends -

 

For further information, please visit www.admedsol.com or contact:

 

	
Advanced Medical Solutions   Group plc
    	
 
    	
Tel: +44 (0) 1606 545508
    
	
Chris Meredith, Chief   Executive Officer
   Mary Tavener, Chief Finance Officer
    	
 
    	
 
    

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

27

 

	
Organogenesis Inc.
   Angelyn Lowe, Director, Marketing Operations and Communications
    	
 
    	
Tel: +1 (781) 830-2353
    
	
 
    	
 
    	
 
    
	
Consilium Strategic   Communications
    	
 
    	
Tel: +44 (0) 20 3709 5700
    
	
Mary-Jane Elliott /   Matthew Neal / Philippa Gardner / Rosie Phillips
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Investec Bank PLC   (NOMAD & Broker)
    	
 
    	
Tel: +44 (0) 20 7597 5970
    
	
Daniel Adams / Gary   Clarence / Patrick Robb
    	
 
    	
 
    

 

About Advanced Medical Solutions Group plc — see www.admedsol.com

 

AMS is a world-leading independent developer and manufacturer of innovative and technologically advanced products for the global surgical, wound care and wound closure markets, focused on quality outcomes for patients and value for payors. AMS has a wide range of products that include silver alginates, alginates, foams, tissue adhesives, sutures and haemostats, which it markets under its brands; ActivHeal®, LiquiBand® and RESORBA® as well as supplying under white label.

 

AMS’s products, manufactured out of two sites in the UK, one in the Netherlands, two in Germany and one in the Czech Republic, are sold in more than 75 countries via a network of multinational or regional partners and distributors, as well as via AMS’s own direct sales forces in the UK, Germany, the Czech Republic and Russia.  Established in 1991, the Group has approximately 600 employees.  For more information, please see www.admedsol.com.

 

About Organogenesis

 

Originally founded as a spin-off from technology developed at MIT in 1985, Massachusetts-based Organogenesis Inc. offers a portfolio of bioactive and acellular biomaterials products in advanced wound care and surgical biologics, including orthopedics and spine. Organogenesis’s versatile portfolio is designed to treat a variety of patients with repair and regenerative needs. For more information, visit www.organogenesis.com.

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

28

 

ORGANOGENESIS US VERSION:

 

Advanced Medical Solutions Group and Organogenesis Inc. Enter into Patent Out-licensing Agreement

 

-       Organogenesis to Obtain Immediate Access to Patent and License in U.S.

-       AMS to recognize $2.5 million in 2017; annual royalty on net sales until 2026

 

Winsford, UK, October 26, 2017: Advanced Medical Solutions Group plc (AIM: AMS.L), the surgical and advanced wound care specialist company, and Organogenesis Inc., a commercial leader in regenerative medicine focused on advanced wound care and surgical biologics, today announced the two companies have entered into an out-licensing agreement on a U.S. patent (“Patent”) for a collagen-based wound dressing containing Polyhexamethylene Biguanide (“PHMB”) (“Licensed Product”).

 

Under the terms of the agreement, Organogenesis has been granted an exclusive license in the United States to the Patent.  In exchange for this, AMS will receive a minimum payment of $2.5 million, which will be recognized in 2017, and a minimum royalty revenue of $1 million for each of the financial years ending 31 December 2018 and 2019, as part of an ongoing royalty that will be payable to AMS on the net sales of the Licensed Product for the life of the Patent.  The Patent is due to expire in October 2026.

 

Chris Meredith, Chief Executive Officer of Advanced Medical Solutions, said: “We are delighted to sign this agreement with Organogenesis, a commercial leader in regenerative medicine, focused in the areas of bio-active wound healing and soft tissue regeneration. The Group’s ability to out-license our patent technologies is another endorsement of the quality of our innovation and we are confident that our partner will be able to use the AMS patent in order to help patients across the US.”

 

Gary S. Gillheeney, Sr., President and CEO of Organogenesis Inc., said: “We are very pleased to secure an exclusive license to this patent in the United States. This is an important agreement for Organogenesis that underscores our commitment to offering a comprehensive portfolio of products that addresses patient needs across the continuum of care.”

 

PHMB is an antimicrobial which is effective against several bacteria including Methicillin-resistant  Staphylococcus aureus (MRSA) and Escherichia coli (E. coli). AMS’s PHMB foam was approved for marketing in Europe in 2016 and subsequently this year in the US.

 

- Ends -

 

For further information, please visit www.admedsol.com or contact:

 

	
Advanced   Medical Solutions Group plc
    	
 
    	
Tel: +44 (0) 1606 545508
    
	
Chris Meredith, Chief   Executive Officer
   Mary Tavener, Chief Finance Officer
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Organogenesis Inc.
   Angelyn Lowe, Director, Marketing Operations and Communications
    	
 
    	
Tel: +1 (781) 830-2353
    

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

29

 

	
Consilium Strategic   Communications
    	
 
    	
Tel: +44 (0) 20 3709 5700
    
	
Mary-Jane Elliott /   Matthew Neal / Philippa Gardner / Rosie Phillips
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Investec Bank PLC   (NOMAD & Broker)
    	
 
    	
Tel: +44 (0) 20 7597 5970
    
	
Daniel Adams / Gary   Clarence / Patrick Robb
    	
 
    	
 
    

 

About Advanced Medical Solutions Group plc — see www.admedsol.com

 

AMS is a world-leading independent developer and manufacturer of innovative and technologically advanced products for the global surgical, wound care and wound closure markets, focused on quality outcomes for patients and value for payors. AMS has a wide range of products that include silver alginates, alginates, foams, tissue adhesives, sutures and haemostats, which it markets under its brands; ActivHeal®, LiquiBand® and RESORBA® as well as supplying under white label.

 

AMS’s products, manufactured out of two sites in the UK, one in the Netherlands, two in Germany and one in the Czech Republic, are sold in more than 75 countries via a network of multinational or regional partners and distributors, as well as via AMS’s own direct sales forces in the UK, Germany, the Czech Republic and Russia.  Established in 1991, the Group has approximately 600 employees.  For more information, please see www.admedsol.com.

 

About Organogenesis

 

Originally founded as a spin-off from technology developed at MIT in 1985, Massachusetts-based Organogenesis Inc. offers a portfolio of bioactive and acellular biomaterials products in advanced wound care and surgical biologics, including orthopedics and spine. Organogenesis’s versatile portfolio is designed to treat a variety of patients with repair and regenerative needs. For more information, visit www.organogenesis.com.

 

Confidential materials omitted and filed separately with the Securities and Exchange Commission.

Triple asterisks [***] denote omissions.

 

30Exhibit 10.1

 

Execution Version

 

EMPLOYMENT AGREEMENT

 

This Employment Agreement
(“Agreement”), dated as of October 7, 2018 (the “Execution Date”) is made by and among (i)
Rowan Companies, Inc., a Delaware corporation (“RCI”), ENSCO Global Resources Limited, a UK company (“Ensco
UK”) and, solely for the purposes of guaranteeing the payments and obligations under this Agreement, Ensco plc, a public
limited liability company organized under the Laws of England and Wales (together with any successor thereto, “Ensco”
and along with its subsidiaries, the “Company”) and (ii) Dr. Thomas Burke (the “Executive”)
(collectively referred to herein as the “Parties”).

 

RECITALS

 

		A.	WHEREAS, Rowan Companies plc (“Rowan”),
the ultimate parent company of RCI, has entered into that certain Transaction Agreement with Ensco dated October 7, 2018 (the
 “Transaction Agreement”), which contemplates the acquisition of Rowan’s class A ordinary shares by Ensco
or its approved nominee by means of a scheme of arrangement of Rowan or a contractual takeover offer;

 

		B.	WHEREAS, Section 1.5 of the Transaction Agreement
provides that, at Effective Time, as defined in the Transaction Agreement, the Executive shall be President and Chief Executive
Officer of Ensco;

 

		C.	WHEREAS, the Parties desire to enter into an employment
agreement on the terms and conditions set forth herein and to memorialize all of the rights, duties and obligations of the Parties
with respect to the employment of Executive with the Company; and

 

		D.	WHEREAS, Executive has previously entered into that
certain Change in Control Agreement with Rowan, effective as of April 25, 2014 (the “CiC Agreement”).

 

AGREEMENT

 

NOW, THEREFORE,
in consideration of the foregoing and of the respective covenants and agreements set forth below, and for other good and valuable
consideration, the receipt and adequacy of which is acknowledged, the Parties hereto agree as follows:

 

		1.	Employment.

 

(a)          Effectiveness.
This Agreement shall be effective as of the Execution Date. Notwithstanding anything to the contrary contained herein, this Agreement
shall immediately terminate and be rendered void ab initio, with no liability or obligation of the parties, upon the earlier
of (i) expiration or termination of the Transaction Agreement before the Effective Time (as defined in the Transaction Agreement),
or (ii) Executive ceasing to serve as President and Chief Executive Officer of Rowan at any time prior to the Effective Time.

 

(b)          Term.
Subject to Section 1(a), Executive’s term of employment under this Agreement (“Term”) shall be for the
period beginning at the Effective Time (the “Commencement Date”) and ending on the second anniversary of the
Effective Time, subject to earlier termination as provided in Section 3. The Term shall automatically renew for additional,
consecutive twelve (12) month periods unless no later than ninety (90) days prior to the end of the then-applicable Term either
party gives written notice of non-renewal (“Notice of Non-Renewal”) to the other, in
which case Executive’s employment shall terminate at the end of the then-applicable Term, subject to earlier termination
as provided in Section 3.

 

     

     

    

 

(c)          General.
During the period from the Execution Date to the earlier of the Effective Time or the date that this Agreement terminates in accordance
with Section 1(a), RCI shall continue to employ Executive. At the Effective Time, Executive’s employment shall be automatically
transferred to Ensco UK and Executive hereby consents to such transfer. Following the Effective Time, Ensco UK shall employ Executive
for the period and in the position set forth in this Section 1, and subject to the other terms and conditions herein provided.

 

(d)          Position
and Duties. During the Term, Executive shall serve as President and Chief Executive Officer of Ensco and as a member of the
Board of Directors of Ensco (the “Board”), with such responsibilities, duties and authority as reflected in
the Corporate Governance Policy in Annex IV to the Transaction Agreement (as the same may be amended in accordance with its terms),
and such other duties, consistent with the position of President and Chief Executive Officer, as may from time to time be agreed
to by Executive and the Board. Executive will not receive any additional compensation for his service on the Board. Executive shall
devote substantially all of Executive’s working time and efforts to the business and affairs of the Company (which shall
include service to its affiliates) and shall not engage in outside business activities without the consent of the Board, provided
that Executive shall be permitted to (i) manage Executive’s personal, financial and legal affairs and (ii) participate
in trade associations, in each case, subject to compliance with this Agreement and provided that such activities do not materially
interfere with Executive’s duties and responsibilities hereunder. Executive agrees that Executive shall not accept a position
as a member of the board of directors of any other company or organization without first obtaining written consent of the Board.
Executive further agrees to observe and comply in all material respects with the rules and policies of the Company as adopted by
the Company from time to time and applicable to Ensco’s executive officers and directors generally, in each case as amended
from time to time, as set forth in writing, and as delivered or made available to Executive, including but not limited to policies
relating to bribery and insider trading (each, a “Policy”).

 

(e)          Principal
Place of Business; Relocation. Executive acknowledges that Executive’s principal place of employment, immediately following
the Commencement Date, shall be London, England for such period of time until the Board elects that Executive shall relocate to
Houston, Texas, or such other location to which Executive and the Board mutually agree; provided that it is agreed that Executive
shall not be required to work in the UK for longer than three (3) years unless Executive expressly consents to any longer period.
Executive hereby expressly consents to (i) Executive’s relocation from Houston, Texas to London, England in connection with
the commencement of Executive’s employment with the Company, and, (ii) if the Board, in its discretion, determines to relocate
the Executive back to Houston, Texas, any such relocation, in each instance subject to relocation benefits as set forth herein.
Executive hereby expressly waives any “good reason,” “constructive termination” or similar concept that
he may otherwise be entitled to claim under any agreement with Rowan, Ensco, or any of their respective affiliates, by reason of
such required relocations.

 

(f)          Indemnification.
During and after the Term, Executive shall be entitled to the indemnification, expense advancement and related rights set forth
in the Indemnification Agreements previously entered into between the Executive and Rowan or RCI, and, without duplication, to
indemnification, expense advancement and related rights no less favorable than those provided to executive officers and directors
of Ensco, provided that any such indemnification shall be subject to any applicable law restricting such indemnities, from time
to time in force. In addition, the Company will procure and maintain director’s and officer’s liability insurance which
includes Executive as a named or additional insured with coverage no less favorable than provided to other executive officers and
directors of Ensco.

 

    	 	2	 

     

    

 

(g)          Sick
Pay. While employed in the U.K., the Executive shall not be entitled to statutory sick pay under applicable U.K. legislation,
but instead shall be subject to the sick pay policy applicable to U.S.-based employees of the Company.

 

(h)          UK
Working Time Regulations. The parties each agree that the nature of the Executive’s position is such that his working
time cannot be measured and, accordingly, while he is based in the UK, that his employment falls within the scope of regulation
20 of the Working Time Regulations 1998.

 

2.            Compensation
and Related Matters. During the Term, Executive will be entitled to the following:

 

(a)          Base
Salary. During the Term, Executive shall receive a base salary pursuant to this Agreement at an annual rate equal to $950,000
per annum, (the “Base Salary”). Ensco UK shall pay the Base Salary in accordance with the customary payroll
practices of Ensco UK and the Base Salary shall be pro-rated for partial years of employment hereunder. Executive’s Base
Salary amount shall be reviewed at least annually by the Compensation Committee of the Board (the “Compensation Committee”)
during the Term and may be adjusted from time to time by the Compensation Committee or the Board, provided, however, that the Base
Salary may not be reduced without Executive’s express consent. In the event there is a material change to UK income taxes
rules a Base Salary review shall be triggered (although the Compensation Committee shall be under no obligation to increase the
Executive’s Base Salary).

 

(b)          Annual
Bonus. For each fiscal year of Ensco that commences during the Term, Executive shall be eligible to participate in an annual
short-term incentive bonus plan that is similar in all material respects to that applicable to other executive officers of Ensco.
Executive’s annual incentive compensation under such incentive program (“Annual Bonus”) shall be targeted
at 110% of Executive’s Base Salary (the “Target Annual Bonus”), with the expectation that the bonus will
scale upward and downward based on actual performance, as determined by the Board or the Compensation Committee and dependent on
performance goals that are established by the Board or the Compensation Committee annually. The actual amount of any Annual Bonus
that will be paid to the Executive each year, if any, will be calculated based on the level of achievement of the performance goals
established by the Company under the incentive program for the year in question and the terms of the incentive program. Any Annual
Bonus for 2019 shall be pro-rated to reflect the period from the Effective Time through December 31, 2019; provided that such amount
shall not be reduced by any amount paid to Executive by Rowan for any period of 2019 prior to the Effective Time. The payment of
any Annual Bonus pursuant to the incentive program shall be subject to Executive’s continued employment with the Company
through the date of payment, except as otherwise provided in Section 4 below or the CiC Agreement.

 

(c)          Sign-On
Bonus. In consideration of Executive’s (i) waiver of single trigger vesting for certain Awards subject to time-based
vesting only as of the Closing Date (as defined in the Transaction Agreement) pursuant to Section 2(d)(iii) below, (ii)
waiver of certain Change in Control and Good Reason rights pursuant to Section 2(d)(iii) below, (iii) waiver of certain
Change in Control severance payments under the CiC Agreement and (iv) relocation from the United States to the UK and the associated
cost of living and tax burden associated with such move, Ensco will make a one-time lump sum cash payment of $3,750,000 to Executive,
payable within thirty (30) days of the Effective Time (as defined in the Transaction Agreement) (the “Signing Bonus”).
In the event the Executive’s employment with the Company terminates as a result of Executive’s resignation without
Good Reason (in accordance with Section 3(a)(vi) below) or a termination by Ensco UK for Cause (in accordance with Section
3(a)(iii) below), in each case during the three-year period immediately following the Execution Date, Executive will be required
to immediately re-pay the Signing Bonus, on a pro-rata basis, net of any taxes paid thereon.

 

    	 	3	 

     

    

 

(d)           Long-Term
Incentives.

 

(i)          Equity
Incentive Awards. During the Term, Executive shall be eligible to participate in and will receive awards under Ensco’s
long-term incentive award plans and programs as in effect from time to time at a level and on terms commensurate with his position
as President and Chief Executive Officer of the Company (the “LTIP Awards”). Subject to the approval of the
Board or Compensation Committee, as applicable, Executive will be granted LTIP Awards by Ensco with a target annual award level
of not less than 500% of Executive’s Base Salary (the “Annual Equity Award”) on terms and conditions no
less favorable than those applicable to executive officers of Ensco generally; provided, that each of the Annual Equity Awards
to Executive for the two years after the Effective Time shall be no less than 500% of Executive’s Base Salary; provided,
further, that such Annual Equity Award targets may be increased or decreased for grants in future years as determined by the Board
or Compensation Committee, as applicable.

 

(ii)         Separate
Award Agreements. The LTIP Awards shall be granted subject to the terms and conditions of the applicable plans and individual
award agreements to be entered into between the Company and Executive, provided that in the event of any conflict between the terms
of such award agreements and this Agreement, this Agreement shall control unless the terms of the applicable award agreement(s)
are more favorable to Executive, in which case the applicable award agreement(s) shall control.

 

(iii)        Legacy
Change in Control Agreement.

 

(1)         Effective
as of the Closing Date (as defined in the Transaction Agreement), the Company shall expressly assume and guarantee the performance
of all obligations (currently and in the future) of Rowan pursuant to the CiC Agreement; provided, that Executive agrees
that the first sentence of Section 4 of the CiC Agreement shall not apply to any Awards (as defined in the CiC Agreement) held
by the Executive on the Closing Date that are subject solely to time-based vesting. For the avoidance of doubt, performance units
granted to the Executive under Rowan’s incentive plans will accelerate in accordance with Section 2.3(b) of the Transaction
Agreement.

 

(2)         If
the Executive’s employment is terminated by the Company without Cause, by the Executive for Good Reason or due to Executive’s
death or Disability, in any case, during the three year period following the Closing Date (the “Protection Period”):
(i) any Awards (as defined in this Agreement) shall become immediately fully vested and where applicable, exercisable, all restrictions
and conditions thereon shall be deemed satisfied in full, and all limitations shall be deemed expired unless otherwise provided
in the applicable award documents and (ii) any vested share options or share appreciation rights held by the Executive shall be
exercisable until the earlier of (A) the second anniversary of such termination or (B) the original maximum term of the share option
or share appreciation right, as applicable.

 

    	 	4	 

     

    

 

(3)         Section
4 of the CiC Agreement shall apply to any Change in Control that occurs after the Closing Date; provided that the parties agree
that the first sentence of Section 4 of the CiC Agreement shall not apply with respect to any Change in Control that occurs after
the expiration of the Protection Period if, and only if, all equity-based awards granted on or after the Closing Date by Ensco
to its senior executives (including the Executive) include Double Trigger Vesting Provisions, in which case such Double Trigger
Vesting Provisions of Executive’s equity-based awards shall apply. For this purpose, “Double Trigger Vesting Provisions”
means provisions that provide for full vesting of the award upon a termination without “cause” or a termination for
 “good reason” within a specified “protection period” following a “change in control” of Ensco
(with “cause,” “good reason,” “change in control” and “protection period” as defined
in the applicable Ensco equity plan or award agreement). If the conditions of the proviso in this Section 2(c)(iii)(3) are
not satisfied, the first sentence of Section 4 of the CiC Agreement shall continue to apply to any Change in Control occurring
after the Closing Date.

 

(4)         For
purposes of this Agreement, (i) the term “Company” in the definition of Change in Control shall be deemed to mean the
Company and its successors and assigns instead of Rowan and (ii) the term “Effective Date” in the definition of “Change
in Control” shall mean the Closing Date.

 

(e)          Benefits.

 

(i)          During
the Term, the Executive shall be eligible to participate in employee benefit plans, programs and arrangements of the Company (including
medical, dental and defined contribution retirement plans).

 

(ii)         During
the Term, the Executive shall be eligible to participate in an expatriate assignment and tax equalization policy (the “Expatriate
Assignment Policy”) that is not less favorable than Ensco’s current expatriation assignment and tax equalization
policy otherwise applicable to its senior executive officers residing in London. In accordance with Ensco’s policy, tax equalization
benefits will be provided on foreign assignment related to income pertaining to housing allowance, relocation benefits and non-cash
benefits (including but not limited to home leave reimbursement, dependent education tuition, relocation allowance, tax preparation
fees, moving expenses, etc.). Housing, relocation and non-cash benefits will not be taxable to the Executive and Ensco will be
responsible for the associated home and host country tax obligations. Executive shall be responsible for both home and host location
personal income and social taxes relating to all other compensation and would be eligible to utilize any foreign tax credits associated
with such tax payments to offset home country tax obligations.

 

(iii)        For
the avoidance of doubt, during the Term, Executive will be entitled to the following allowances consistent with the Expatriate
Assignment Policy: (i) a cost of living allowance of $25,000 per year, payable in monthly installments, (ii) a housing allowance
equal to $160,000 annually, payable in monthly installments, (iii) education reimbursement of up to $45,000 per child per year,
(iv) reimbursement for Executive and each eligible dependent for one home leave roundtrip airline ticket and ground transportation
(airport transfer) per year, and (v) reimbursement for tax preparation services. Executive will not receive any foreign service
premium or an allowance or reimbursement for utilities.

 

(f)          Vacation.
During the Term, Executive shall be entitled to four (4) weeks of paid vacation. In addition, while based in the UK he shall be
entitled to the usual UK public holidays and while based in the US he shall be entitled to the usual US public holidays. Any vacation
shall be taken at the reasonable and mutual convenience of the Company and Executive.

 

(g)          Business
Expenses. During the Term, the Company shall reimburse Executive for all reasonable travel and other business expenses incurred
by Executive in the performance of Executive’s duties to the Company in accordance with the Company’s expense reimbursement
policy, which shall not be less favorable than the expense reimbursement policy applicable to other executive officers of Ensco.

 

    	 	5	 

     

    

 

(h)          Relocation.
In the event the Executive’s principal place of employment is relocated (whether outside of the United States, from a location
outside of the United States back to the United States, or otherwise), the Executive will, in accordance with the Expatriate Assignment
Policy, receive a payment in the amount of $20,000, along with such other relocation benefits provided under the Company’s
relocation policy.

 

(i)          Key
Person Insurance. At any time during the Term, the Company shall have the right to insure the life of Executive for the Company’s
sole benefit. The Company shall have the right to determine the amount of insurance and the type of policy. Executive shall reasonably
cooperate with the Company in obtaining such insurance by submitting to physical examinations, by supplying all information reasonably
required by any insurance carrier, and by executing all necessary documents reasonably required by any insurance carrier, provided
that any information provided to an insurance company or broker shall not be provided to the Company without the prior written
authorization of Executive. Executive shall incur no financial obligation by executing any required document, and shall have no
interest in any such policy.

 

3.            Termination.

 

Executive’s employment
hereunder may be terminated by Ensco UK upon approval of Ensco in accordance with the Governing Policy, or by Executive, as applicable,
without any breach of this Agreement under the following circumstances:

 

(a)          Circumstances.

 

(i)          Death.
Executive’s employment hereunder shall terminate upon Executive’s death.

 

(ii)         Disability.
If Executive has incurred a Disability, as defined in Section 11(c) below, Ensco UK may terminate Executive’s employment

 

(iii)        Termination
for Cause. Ensco UK may terminate Executive’s employment for Cause, as defined in Section 11(a) below.

 

(iv)        Termination
without Cause. Ensco UK may terminate Executive’s employment without Cause. A termination of Executive’s employment
by Ensco UK that is not approved in accordance with the Governing Policy shall be a termination by Ensco UK without Cause.

 

(v)         Resignation
from the Company for Good Reason. Executive may resign and terminate Executive’s employment with the Company for Good
Reason, as defined in Section 11(d) below.

 

(vi)        Resignation
from the Company Without Good Reason. Executive may resign Executive’s employment with the Company for any reason other
than Good Reason or for no reason.

 

    	 	6	 

     

    

 

(b)          Notice
of Termination. Any termination of Executive’s employment by Ensco UK or by Executive under this Section 3 (other
than termination pursuant to paragraph (a)(i)) or by reason of either party giving Notice of Non-Renewal pursuant to Section
1(b) shall be communicated by a written notice to the other party hereto (i) indicating the specific termination provision
in this Agreement relied upon, (ii) setting forth in reasonable detail the facts and circumstances claimed to provide a basis for
termination of Executive’s employment under the provision so indicated, if applicable, and (iii) specifying a Date of Termination
which, if submitted by Executive in a resignation without Good Reason, shall be at least thirty (30) days following the date of
such notice (a “Notice of Termination”); provided, however, that in the event that Executive delivers
a Notice of Termination to Ensco UK, Ensco UK may, in its sole discretion, change the Date of Termination to any date that occurs
following the date of Ensco UK’s receipt of such Notice of Termination and is prior to the date specified in such Notice
of Termination. A Notice of Termination submitted by Ensco UK may provide for a Date of Termination on the date Executive receives
the Notice of Termination, or any date thereafter elected by Ensco UK in its sole discretion. The failure by Ensco UK or Executive
to set forth in the Notice of Termination any fact or circumstance which contributes to a showing of Cause or Good Reason shall
not waive any right of such Party hereunder or preclude such Party from asserting such fact or circumstance in enforcing such Party’s
rights hereunder.

 

(c)          Company
Obligations upon Termination. Upon termination of Executive’s employment pursuant to any of the circumstances listed
in Section 3, Executive (or Executive’s estate) shall be entitled to receive pursuant to this Agreement the sum of:
(i) the portion of Executive’s Base Salary earned through the Date of Termination, but not yet paid to Executive; (ii)
any vacation time that has been accrued but unused in accordance with the Company’s Policies, (iii) any expenses owed to
Executive pursuant to Section 2(f); and (iv) any amount accrued and arising from Executive’s participation in, or
benefits accrued under any employee benefit plans, programs or arrangements, which amounts shall be payable in accordance with
the terms and conditions of such employee benefit plans, programs or arrangements (collectively, the “Company Arrangements”).
Except as otherwise expressly required by law, as specifically provided herein, or as provided in the CiC Agreement, all of Executive’s
rights to salary, severance, benefits, bonuses and other compensatory amounts hereunder (if any) shall cease upon the termination
of Executive’s employment hereunder. In the event that Executive’s employment is terminated by Ensco UK for any reason,
Executive’s sole and exclusive remedy shall be to receive the payments and benefits described in this Section 3(c)
or Section 4, or pursuant to the CiC Agreement, as applicable.

 

(d)          Deemed
Resignation. Upon termination of Executive’s employment for any reason, Executive shall be deemed to have resigned from
the Board and all offices and directorships, if any, then held with the Company or its affiliates. Executive agrees that Executive
will execute any resignation letters or other instruments reasonably requested by the Company in connection with the foregoing
and he hereby irrevocably appoints the Company to be his attorney to execute any documents and do any things and generally to use
his name for the purpose of giving the Company or its nominee the full benefit of this clause.

 

4.             Severance
Payments.

 

(a)          Termination
for Cause, or Termination Upon Death, Disability or Resignation from the Company Without Good Reason. If Executive’s
employment shall terminate as a result of Executive’s death pursuant to Section 3(a)(i) or Disability pursuant to
Section 3(a)(ii), pursuant to Section 3(a)(iii) for Cause, or pursuant to Section 3(a)(vi) for Executive’s
resignation from the Company without Good Reason, then Executive shall not be entitled to any payments or benefits, except as provided
in Section 3(c), provided, however, that in the event of Executive’s death, Disability or retirement, Executive’s
long-term incentive awards may vest or remain eligible to vest to the extent set forth in an applicable award agreement covering
such award.

 

    	 	7	 

     

    

 

(b)          Termination
without Cause or Resignation from the Company for Good Reason. If Executive’s employment
terminates without Cause pursuant to Section 3(a)(iv) or pursuant to Section 3(a)(v) due to Executive’s
resignation for Good Reason, then, subject to Executive signing on or before the 45th day following Executive’s
Separation from Service (as defined below), and not revoking, a release of claims substantially in the form attached as Exhibit
A to this Agreement (“Release”) (save that if determined by the Company, the Release will be amended to validly
waive any claims that the Executive may have in the UK as well as the US and to otherwise reflect any changes in applicable law),
and Executive’s continued compliance with Sections 6 and 7, Executive shall receive, in addition to payments
and benefits set forth in Section 3(c), the following:

 

(i)          an
amount in cash equal to 2.00 times the Base Salary, payable in a single lump sum on the First Payment Date (as defined below);

 

(ii)         an
amount in cash equal to 2.00 times the Average Bonus Amount, payable in single lump sum amount on the First Payment Date. For the
purposes of this Agreement, the “Average Bonus Amount” means the greater of: (A) the average of the combined
annual bonus awards received by Executive from the Company pursuant to its annual incentive plan in the three calendar years immediately
before the Date of Termination (including, for the avoidance of doubt, the annual bonus awards received from Rowan and/or RCI prior
to the Commencement Date) and (B) Executive’s Target Annual Bonus for the year during which the termination of employment
occurs;

 

(iii)        a
pro-rated portion (based on the number of days Executive was employed by the Company during the fiscal year in which the Date of
Termination occurs) of the Annual Bonus award that Executive would have earned had Executive remained employed through the end
of the fiscal year in which the Date of Termination occurs, as determined by the Board based upon actual performance for such year
(and, to the extent there is any discretionary component thereof, with the discretionary aspects being determined at not less than
the target level) and paid in the year following the year of termination at the same time annual bonuses are generally paid to
the Company’s senior executives;

 

(iv)        continued
coverage in the employer-provided medical, dental and vision plans available to Executive and Executive’s eligible dependents
immediately prior to the Date of Termination, to the extent such coverage is elected by Executive pursuant to COBRA, for a period
of twenty four (24) months following the Date of Termination; provided, that Executive will only be responsible for paying the
applicable premiums for the cost of all such coverages at a rate not to exceed the cost to active employees of the Company, it
being understood that during such twenty four (24) month period Executive shall pay the full cost (i.e., the full COBRA premium
rate or such other rate reasonably determined by the Company) of the coverages as determined under the then current practices of
the Company on a monthly basis and the Company will reimburse Executive the excess of such costs, if any, above the then active
employee cost for such coverages; provided, that if the continued coverage contemplated by this Section 4(b)(iv) would be
discriminatory and would result in the imposition of excise taxes or other liabilities on the Company for failure to comply with
any requirements of the Patient Protection and Affordable Care Act of 2010, as amended, and the Health Care and Education Reconciliation
Act of 2010, as amended (to the extent applicable), or other applicable law, the Company will provide Executive with a cash payment
equal to the employer-portion of any COBRA premiums, inclusive of any taxes thereon, for the remainder of the twenty four (24)
month period;

 

(v)         if
before, upon the commencement of or during the Term, Executive was required to relocate his principal place of employment outside
of the United States, reimbursement of the reasonable cost of return relocation-related expenses (not including make-whole payments
for any loss incurred on the sale of Executive’s principal residence) as provided under the Company’s Expatriate Assignment
Policy; and

 

    	 	8	 

     

    

 

(vi)        any
of Executive’s unvested equity, equity-based or long-term incentive awards granted under any equity or long-term incentive
plans of Ensco or Rowan (including without limitation any stock options, restricted stock, restricted stock units, performance
units, and/or performance shares) shall immediately become 100% vested in all of the rights and interests then held by Executive,
provided, however, that unless a provision more favorable to the Executive is included in an applicable award agreement, all performance-based
awards shall remain subject to attaining the applicable performance goals and conditions.

 

(c)          Application
of CiC Agreement. It is the express intent of the Parties that the payments and benefits under this Agreement shall not duplicate
any payments or benefits under the CiC Agreement. In the event Executive incurs a termination of employment during the Term of
this Agreement and such termination entitles Executive to severance and/or benefits under the terms of the CiC Agreement, the terms
of the CiC Agreement shall govern, and Executive shall not be entitled to any additional severance hereunder.

 

(d)          Survival.
Notwithstanding anything to the contrary in this Agreement, the provisions of Sections 5 through 10 and Section
12, this Section 4, and the Company’s obligations to pay the Company Arrangements will survive the termination
of Executive’s employment pursuant to Section 3.

 

5.            Parachute
Payments.

 

(a)          It
is the objective of this Agreement to maximize Executive’s net after-tax benefit if payments or benefits provided under this
Agreement are subject to excise tax under Section 4999 of the Internal Revenue Code of 1986, as amended, and the regulations and
guidance promulgated thereunder (the “Code”). Notwithstanding any other provisions of this Agreement, in the
event that any payment or benefit by the Company or any affiliate or otherwise to or for the benefit of Executive, whether paid
or payable or distributed or distributable pursuant to the terms of this Agreement or otherwise (all such payments and benefits,
including the payments under Sections 4(b) hereof, being hereinafter referred to as the “Total Payments”),
would be subject (in whole or in part) to the excise tax imposed by Section 4999 of the Code (the “Excise Tax”),
then the Total Payments shall be reduced to the extent necessary so that no portion of the Total Payments shall be subject to the
Excise Tax, but only if (i) the net amount of such Total Payments, as so reduced (and after subtracting the net amount of federal,
state and local income and employment taxes on such reduced Total Payments and after taking into account the phase out of itemized
deductions and personal exemptions attributable to such reduced Total Payments), is greater than or equal to (ii) the net amount
of such Total Payments without such reduction (but after subtracting the net amount of federal, state and local income and employment
taxes on such Total Payments and the amount of Excise Tax to which Executive would be subject in respect of such unreduced Total
Payments and after taking into account the phase out of itemized deductions and personal exemptions attributable to such unreduced
Total Payments).

 

(b)          The
Total Payments shall be reduced in the following order: (i) reduction of non-cash benefits, beginning with those that would be
provided last in time, (ii) reduction of equity award vesting, beginning with vesting or settlements that would occur last in time,
(iii) reduction of cash payments, beginning with payments that would be made last in time, and (iv) reduction of any other payments
or benefits otherwise payable to Executive on a pro-rata basis or such other manner that complies with Section 409A.

 

    	 	9	 

     

    

 

(c)          All
determinations regarding the application of this Section 5 shall be made by an accounting firm with experience in performing
calculations regarding the applicability of Section 280G of the Code and the Excise Tax selected by the Company and acceptable
to Executive (“Independent Advisors”), a copy of which report and all worksheets and background materials relating
thereto shall be provided to Executive. For purposes of determining whether and the extent to which the Total Payments will be
subject to the Excise Tax, (i) no portion of the Total Payments the receipt or enjoyment of which Executive shall have waived at
such time and in such manner as not to constitute a “payment” within the meaning of Section 280G(b) of the Code shall
be taken into account; (ii) no portion of the Total Payments shall be taken into account which, in the opinion of the Independent
Advisors, does not constitute a “parachute payment” within the meaning of Section 280G(b)(2) of the Code (including
by reason of Section 280G(b)(4)(A) of the Code) and, in calculating the Excise Tax, no portion of such Total Payments shall be
taken into account which, in the opinion of Independent Advisors, constitutes reasonable compensation for services actually rendered,
within the meaning of Section 280G(b)(4)(B) of the Code, in excess of the “base amount” (as defined in Section 280G(b)(3)
of the Code) allocable to such reasonable compensation; and (iii) the value of any non-cash benefit or any deferred payment or
benefit included in the Total Payments shall be determined by the Independent Advisors in accordance with the principles of Sections
280G(d)(3) and (4) of the Code. The costs of obtaining such determination and all related fees and expenses (including related
fees and expenses incurred in any later audit) shall be borne solely by the Company.

 

6.            Non-Solicitation;
Unfair Competition; and Non-Disparagement. Executive
acknowledges that during the Term, the Company will provide Executive with access to Confidential Information (as defined below).
Ancillary to the rights provided to Executive as set forth in this Agreement, Executive’s continued employment with the Company
during the Term (subject to earlier termination as provided herein) and the Company’s provision of Confidential Information,
and Executive’s agreements regarding the use of same, in order to protect the value of any Confidential Information, the
Company and Executive agree to the following provisions against unfair competition, which Executive acknowledges represent a fair
balance of the Company’s rights to protect their business and Executive’s right to pursue employment:

 

(a)          Executive
shall not, at any time during the Restriction Period (as defined below), directly or indirectly engage in, have any equity interest
in, or manage, provide services to or operate any person, firm, corporation, partnership or business (whether as director, officer,
employee, agent, representative, partner, security holder, consultant, independent contractor, or otherwise) that is primarily
engaged in the business of providing contracted offshore drilling rigs in any country (or its territorial waters) in which the
Company (i) has offices, establishes offices or has definitive plans to locate an office as of the Date of Termination, or (ii)
has provided offshore oil and gas drilling services in the 24 months preceding the Date of Termination and in each case which competes
with those parts of the business of the Company with which the Executive was involved to a material extent or for which he was
responsible during the 12 months prior to the Date of Termination. Nothing herein shall prohibit Executive from being a passive
owner of less than 5% of the outstanding equity interest of any entity, so long as Executive has no active participation in the
business of such entity.

 

(b)          Executive
shall not, at any time during the Restriction Period, directly or indirectly, solicit, divert or take away from the Company, business
opportunities with any Customer.

 

(c)          Executive
shall not, at any time during the Restriction Period, directly or indirectly, divert or take away any acquisition or other business
opportunity that the Company is pursuing or with respect to which the Company has expended material efforts to identify or pursue. 

 

(d)          Executive
shall not, at any time during the Restriction Period, directly or indirectly, contact or solicit, for the purpose of hiring, or
hire any employee of the Company or any person employed by the Company at any time during the 12-month period immediately preceding
the Date of Termination.

 

    	 	10	 

     

    

 

(e)          
Executive shall not, at any time during the Restriction Period, directly or indirectly, induce or otherwise encourage any employee
of the Company to leave the employment of the Company.

 

(f)          Executive
shall not, at any time during the Restriction Period, directly or indirectly, induce any supplier, distributor, representative
or agent of the Company to terminate or adversely modify its relationship with the Company and with whom or which the Executive,
or any person who reported directly to him, had material dealings during the 12-month period immediately preceding the Date of
Termination.

 

(g)          Executive
shall not, at any time during and after the Term, disparage the Company in any way that could adversely affect the goodwill, reputation
or business relationships of the Company with the public generally, or with its customers, suppliers or employees; provided, that
the foregoing shall not apply to the extent that testimony is required in connection with any proceeding or otherwise as required
by law or truthful statements to correct or clarify disparaging comments by the Company..

 

(h)          In
the event the terms of this Section 6 shall be determined by any court of competent jurisdiction: (i) while the Executive
is based in the US, to be unenforceable by reason of its extending for too great a period of time or over too great a geographical
area or by reason of its being too extensive in any other respect, it will be interpreted to extend only over the maximum period
of time for which it may be enforceable, over the maximum geographical area as to which it may be enforceable, or to the maximum
extent in all other respects as to which it may be enforceable, all as determined by such court in such action, and (ii) while
the Executive is based in the UK, to go beyond what is reasonable in all the circumstances for the protection of the legitimate
interests of the Company but would be valid if any particular restriction(s) were deleted or some part or parts of its or their
wording were deleted, restricted or limited then such restriction(s) shall apply with such deletions, restrictions or limitations
as the case may be.

 

(i)          As
used in this Section 6, (i) the term “Company” shall include the Company and its current and future affiliates
(ii) the term “Restriction Period” shall mean the period beginning on the Effective Time, and ending on the
date twelve (12) months following the Date of Termination, provided, however, that while based in the US only, in the event Executive
receives the payments and benefits described in Section 4(b) or Section 4(c), the Restriction Period shall continue
until the date that is 24 months following the Date of Termination and (iii) the word “Customer” shall include
any person, firm, company or entity who or which at any time during the 12 months prior to the Date of Termination (A) was provided
with goods or services by the Company; or (B) was in the habit of dealing with the Company, other than in a de minimis way; and
in each case with whom or which the Executive, or any person who reported directly to him, had material dealings at any time during
the 12 months prior to the Date of Termination.

 

    	 	11	 

     

    

 

7.             Nondisclosure
of Proprietary Information.

 

(a)          Except
in connection with the faithful performance of Executive’s duties hereunder or pursuant to Section 7(c) and (d),
Executive shall, in perpetuity, maintain in confidence and shall not directly, indirectly or otherwise, use, disseminate, disclose
or publish, or use for Executive’s benefit or the benefit of any person, firm, corporation or other entity (other than the
Company) any confidential or proprietary information or trade secrets of or relating to the Company (including, without limitation,
business plans, business strategies and methods, acquisition targets, intellectual property in the form of patents, trademarks
and copyrights and applications therefor, ideas, inventions, works, discoveries, improvements, information, documents, formulae,
practices, processes, methods, developments, source code, modifications, technology, techniques, data, programs, other know-how
or materials, owned, developed or possessed by the Company, whether in tangible or intangible form, information with respect to
the Company’s operations, processes, products, inventions, business practices, finances, principals, vendors, suppliers,
customers, potential customers, marketing methods, costs, prices, contractual relationships, regulatory status, litigation or investigations,
prospects and compensation paid to employees or other terms of employment) (collectively, the “Confidential Information”),
or deliver to any person, firm, corporation or other entity any document, record, notebook, computer program or similar repository
of or containing any such Confidential Information. The Parties hereby stipulate and agree that, as between them, any item of Confidential
Information is important, material and confidential and affects the successful conduct of the businesses of the Company (and any
successor or assignee of the Company). Notwithstanding the foregoing, Confidential Information shall not include (i) any information
legally acquired by or otherwise becoming known to Executive from or through any party other that the Company or its affiliates
(which party Executive reasonably believes is not bound by any confidentiality obligation to the Company), or (ii) information
that has been published in a form generally available to the public or is publicly available or has become public knowledge prior
to the date Executive proposes to disclose or use such information, provided, that such publishing or public availability
or knowledge of the Confidential Information shall not have resulted from Executive directly or indirectly breaching Executive’s
obligations under this Section 7(a) or any other similar provision by which Executive is bound, or from any third-party
breaching a provision similar to that found under this Section 7(a). For the purposes of the previous sentence, Confidential
Information will not be deemed to have been published or otherwise disclosed merely because individual portions of the information
have been separately published, but only if material features comprising such information have been published or become publicly
available.

 

(b)          Upon
termination of Executive’s employment for any reason, Executive will promptly deliver to the Company all correspondence,
drawings, manuals, letters, notes, notebooks, reports, programs, plans, proposals, financial documents, or any other documents
or property concerning the Company’s customers, business plans, marketing strategies, products, property or processes. In
addition, upon termination of Executive’s employment for any reason, Executive shall return to the Company all property of
the Company provided to Executive by the Company, or otherwise in the custody, possession or control of Executive (including, but
not limited to, computers, computer equipment, office equipment, cell phone, keys, passcards, calling cards, credit cards, rolodexes,
tapes, software, computer files, marketing and sales materials, and any other record, document or piece of equipment belonging
to the Company. Following termination of employment, Executive will not retain any copies of the Company’s property, including
any copies existing in electronic form, which are in Executive’s possession or control.

 

(c)          Executive
may respond to a lawful and valid subpoena or other legal process but shall give the Company the earliest possible notice thereof,
shall, as much in advance of the return date as possible, make available to the Company and its counsel the documents and other
information sought and shall assist such counsel at Company’s expense in resisting or otherwise responding to such process,
in each case to the extent permitted by applicable laws or rules.

 

(d)          Nothing
in this Agreement shall prohibit Executive from (i) disclosing information and documents when required by law, subpoena or court
order (subject to the requirements of Section 7(c) above), (ii) disclosing information and documents to Executive’s
attorney, financial or tax adviser for the purpose of securing legal, financial or tax advice, (iii) disclosing Executive’s
post-employment restrictions in this Agreement in confidence to any potential new employer, (iv) retaining, at any time, Executive’s
personal correspondence, Executive’s personal contacts and documents related to Executive’s own personal benefits,
entitlements and obligations, or (v) while based in the UK, disclosing information which the Executive or another person may be
ordered to disclose by a court of competent jurisdiction or which he discloses pursuant to and in accordance with the Public Interest
Disclosure Act 1998, or as may be required by law.

 

    	 	12	 

     

    

 

(e)          Nothing
in this Agreement shall prohibit Executive from reporting possible violations of federal law or regulation to any governmental
agency or entity in accordance with the provisions of and rules promulgated under Section 21F of the Securities Exchange Act of
1934 or Section 806 of the Sarbanes-Oxley Act of 2002, or any other whistleblower protection provisions of any law or regulation
(including the right to receive an award for information provided to any such government agencies).

 

(f)          18
U.S.C. § 1833(b) provides: “An individual shall not be held criminally or civilly liable under any federal or state
trade secret law for the disclosure of a trade secret that—(A) is made—(i) in confidence to a federal, state or local
government official, either directly or indirectly, or to an attorney; and (ii) solely for the purpose of reporting or investigating
a suspected violation of law; or (B) is made in a complaint or other document filed in a lawsuit or other proceeding, if such filing
is made under seal.” Nothing in this Agreement is intended to conflict with 18 U.S.C. § 1833(b) or create liability
for disclosures of trade secrets that are expressly allowed by 18 U.S.C. § 1833(b). Accordingly, the parties hereto have
the right to disclose in confidence trade secrets to federal, state and local government officials, or to an attorney, for the
sole purpose of reporting or investigating a suspected violation of law. The parties hereto also have the right to disclose trade
secrets in a document filed in a lawsuit or other proceeding, but only if the filing is made under seal and protected from public
disclosure.

 

8.             Inventions.
 All rights to discoveries, inventions, improvements and innovations (including all data and records pertaining thereto) related
to the business of the Company, whether or not patentable, copyrightable, registrable as a trademark, or reduced to writing, that
Executive may discover, invent or originate during the Term, either alone or with others and whether or not during working hours
or by the use of the facilities of the Company (“Inventions”), shall be the exclusive property of the Company.
Executive shall promptly disclose all Inventions to the Company, shall execute at the request of the Company any assignments or
other documents the Company may deem reasonably necessary to protect or perfect its rights therein, and shall assist the Company,
upon reasonable request and at the Company’s expense, in obtaining, defending and enforcing their rights therein. Executive
hereby appoints the Company as Executive’s attorney-in-fact to execute on Executive’s behalf any assignments or other
documents reasonably deemed necessary by the Company to protect or perfect its rights to any Inventions.

 

9.             Injunctive
Relief. It is recognized and acknowledged by Executive that a breach of the covenants contained in Sections 6, 7
and 8 will cause irreparable damage to Company and their goodwill, the exact amount of which will be difficult or impossible
to ascertain, and that the remedies at law for any such breach will be inadequate. Accordingly, Executive agrees that in the event
of a breach of any of the covenants contained in Sections 6, 7 and 8, in addition to any other remedy which
may be available at law or in equity, the Company will be entitled to specific performance and injunctive relief without the requirement
to post bond.

 

10.           Assignment
and Successors. The Company may assign its rights and obligations under this Agreement to any of its affiliates or to any successor
to all or substantially all of the business or the assets of the Company (by merger or otherwise), and may assign or encumber this
Agreement and its rights hereunder as security for indebtedness of the Company and its affiliates. This Agreement shall be binding
upon and inure to the benefit of the Company, Executive and their respective successors, assigns, personnel and legal representatives,
executors, administrators, heirs, distributees, devisees, and legatees, as applicable. None of Executive’s rights or obligations
may be assigned or transferred by Executive, other than Executive’s rights to payments hereunder, which may be transferred
only by will or operation of law. Notwithstanding the foregoing, Executive shall be entitled, to the extent permitted under applicable
law and applicable Company Arrangements, to select and change a beneficiary or beneficiaries to receive compensation hereunder
following Executive’s death by giving written notice thereof to the Company.

 

    	 	13	 

     

    

 

11.          Certain
Definitions.

 

(a)          Awards.
 “Awards” shall mean all restricted shares, restricted share units, share appreciation rights, performance units, dividend
equivalent rights, options, bonus shares or other performance awards, if any (but excluding, for the avoidance of doubt, the Executive’s
short-term annual incentive bonus, if any), granted to the Executive under any of the Rowan or the Company’s incentive plans

 

(b)          Cause.
 “Cause” for termination by the Company of Executive’s employment shall mean:

 

(i)          the
willful and continued failure by Executive to substantially perform Executive’s duties hereunder (other than any such
failure resulting from Executive’s incapacity due to physical or mental illness or any such actual or anticipated failure
after Executive has given notice to the Company of an event or circumstance constituting Good Reason as described below unless
the Company has cured such event or circumstance) after a written demand for substantial performance is delivered to Executive
by the Board, which demand specifically identifies the manner in which the Board believes that Executive has not substantially
performed Executive’s duties and, if such breach is capable of cure, Executive fails to cure same within thirty (30) days
after receiving such demand;

 

(ii)         the
willful engaging by Executive in unauthorized conduct that is demonstrably and materially injurious to the Company;

 

(iii)        the
material breach of this Agreement or a material policy of the Company that has been delivered to Executive before the Execution
Date and that apply to executive-level employees (or that Executive has agreed in writing to include in the definition of Cause)
that causes material damage to the Company, which, if such breach is capable of cure, remains uncured thirty (30) days following
Executive’s receipt of notice of same; or

 

(iv)        Executive
has (i) while based in the US, been convicted of or pled nolo contendere to, a misdemeanor involving moral turpitude or a felony,
or (ii) while based in the UK, committed any criminal offence (other than a motoring offence for which a non-custodial penalty
may be imposed).

 

(c)          Date
of Termination. “Date of Termination” shall mean (i) if Executive’s employment is terminated by Executive’s
death, the date of Executive’s death; (ii) if Executive’s employment is terminated pursuant to Section 3(a)(ii)
 – (vi) either the date indicated in the Notice of Termination or the date specified by the Company pursuant to Section
3(b), whichever is earlier.

 

(d)          Disability.
 “Disability” shall mean, at any time the Company sponsors a long-term disability plan for employees, “disability”
as defined in such long-term disability plan for the purpose of determining a participant’s eligibility for benefits; provided,
however, if the long-term disability plan contains multiple definitions of disability, “Disability” shall refer
to that definition of disability which, if Executive qualified for such disability benefits, would provide coverage for the longest
period of time. The determination of whether Executive has a Disability shall be made by the person or persons required to make
disability determinations under the long-term disability plan. At any time the Company does not sponsor a long-term disability
plan for its employees, Disability shall mean Executive’s inability to perform, with or without reasonable accommodation,
the essential functions of Executive’s position hereunder for a total of three months during any six-month period as a result
of incapacity due to mental or physical illness as determined by a physician selected by the Company or its insurers and acceptable
to Executive or Executive’s legal representative, with such agreement as to acceptability not to be unreasonably withheld
or delayed. Any refusal by Executive to submit to a medical examination for the purpose of determining Disability shall be deemed
to constitute conclusive evidence of Executive’s Disability.

 

    	 	14	 

     

    

 

(e)          Good
Reason. “Good Reason” shall mean the occurrence of any of the following without Executive’s express
written consent:

 

(i)          a
material breach by the Company of the terms of this Agreement, or any other equity, compensation, or other written agreement between
the Company and Executive, including, but not limited to, the failure of the Company to make any material payment or provide any
material benefit specified under this Agreement or another applicable agreement and the Company’s breach of the first sentence
of Section 1(e) hereof;

 

(ii)         any
material diminution in Executive’s authority, duties or responsibilities as President or Chief Executive Officer or the assignment
to Executive of any duties materially inconsistent with Executive’s status as President and Chief Executive Officer;

 

(iii)        the
failure of the Company to continue Executive in the positions of both President and Chief Executive Officer;

 

(iv)        a
material reduction in Executive’s Base Salary, Target Annual Bonus, or Annual Equity Award, as in effect as of the Effective
Time or as the same may be increased from time to time, except for across-the-board reductions similarly affecting all senior executives
of the Company;

 

(v)         the
Company’s removal of Executive from the Board or failure to nominate Executive to the Board (other than in connection with
a termination by the Company for Cause, or a result of death or Disability, and it being understood that a failure of the Company’s
shareholders to re-elect Executive to the Board will not constitute Good Reason hereunder);

 

(vi)        the
failure of the Company to elect an independent Chairman of the Board with effect on or before the date that is nineteen (19) months
following the Effective Date (as defined in the Transaction Agreement);

 

(vii)       the
relocation of the site of Executive’s principal place of employment to a location that is more than 50 miles outside of either
Houston, Texas or London, England; or

 

(viii)      the
Company gives Executive Notice of Non-Renewal pursuant to Section 1(b) and the Parties do not, prior to the expiration of the Term,
execute a new employment agreement governing the terms of Executive’s employment to be in effect thereafter;

 

provided, however, that Executive
may not resign his employment for Good Reason unless: (x) Executive provides the Company with at least thirty (30) days
(or, in the case of the Company’s breach of the first sentence of Section 1(e) hereof, sixty (60) days) prior written
notice of his intent to resign for Good Reason (which notice must describe the particular acts or omissions which the Executive
reasonably believes in good faith constitute “Good Reason” and be provided within ninety (90) days following the date
on which Executive has knowledge of the occurrence of the acts or omissions purported to constitute Good Reason); and (y) the
Company has not remedied the alleged violation(s) within thirty (30) days after receiving written notice of the basis for
Good Reason.

 

    	 	15	 

     

    

 

12.          Miscellaneous
Provisions.

 

(a)          Governing
Law; Jurisdiction. This Agreement shall be governed, construed, interpreted and enforced in accordance with its express terms,
and otherwise in accordance with the substantive laws of Texas without reference to the principles of conflicts of law of Texas.
Any suit or proceeding arising under this Agreement shall be brought solely in a federal or state court sitting in the State of
Texas, except for any suit or proceeding seeking an equitable remedy hereunder, which may be brought in any court of competent
jurisdiction. By Executive’s execution hereof, Executive hereby consents and irrevocably submits to the jurisdiction of the
federal and state courts having general jurisdiction over the State of Texas, and agrees that any process in any suit or proceeding
commenced in such courts under this Agreement may be served upon Executive personally, by certified mail, return receipt requested,
or by courier service, with the same full force and effect as if personally served upon Executive in the county in which Executive
is employed. Each of the parties waives any claim that any such jurisdiction is not a convenient forum for any such suit or proceeding
and any defense of lack of jurisdiction with respect thereto.

 

(b)          Validity.
The invalidity or unenforceability of any provision or provisions of this Agreement shall not affect the validity or enforceability
of any other provision of this Agreement, which shall remain in full force and effect.

 

(c)          Clawback.
To the extent required by applicable law or any applicable securities exchange listing standards, or as otherwise determined by
the Board (or a committee thereof), amounts paid or payable under this Agreement or any other compensation arrangement of the Company
or its affiliates shall be subject to the provisions of any applicable clawback policies or procedures adopted by the Company before
the grant or award of such compensation, which clawback policies or procedures may provide for forfeiture and/or recoupment of
amounts paid or payable under this Agreement or any other compensation arrangement of the Company or its affiliates.

 

(d)          Notices.
Any notice, request, claim, demand, document and other communication hereunder to any Party shall be effective upon receipt (or
refusal of receipt) and shall be in writing and delivered personally or sent by facsimile or certified or registered mail, postage
prepaid, as follows:

 

(i)          If
to the Company, the General Counsel at its headquarters,

 

(ii)         If
to Executive, at the last address that the Company has in its personnel records for Executive, or

 

(iii)        At
any other address as any Party shall have specified by notice in writing to the other Party.

 

(e)          Counterparts.
This Agreement may be executed in several counterparts, each of which shall be deemed to be an original, but all of which together
will constitute one and the same Agreement. Signatures delivered by facsimile shall be deemed effective for all purposes.

 

    	 	16	 

     

    

 

(f)          Entire
Agreement. The terms of this Agreement are intended by the Parties to be the final expression of their agreement with respect
to the subject matter hereof and supersede all prior understandings and agreements, whether written or oral, except the CiC Agreement,
as amended, and as otherwise incorporated or referenced herein. The Parties further intend that this Agreement shall constitute
the complete and exclusive statement of their terms and that no extrinsic evidence whatsoever may be introduced in any judicial,
administrative, or other legal proceeding to vary the terms of this Agreement.

 

(g)          Amendments;
Waivers. This Agreement may not be modified, amended, or terminated except by an instrument in writing, signed by Executive
and a duly authorized officer of Company. By an instrument in writing similarly executed, Executive or a duly authorized officer
of the Company may waive compliance by the other Party with any specifically identified provision of this Agreement that such other
Party was or is obligated to comply with or perform; provided, however, that such waiver shall not operate as a waiver of,
or estoppel with respect to, any other or subsequent failure. No failure to exercise and no delay in exercising any right, remedy,
or power hereunder preclude any other or further exercise of any other right, remedy, or power provided herein or by law or in
equity.

 

(h)          No
Inconsistent Actions. The Parties hereto shall not voluntarily undertake or fail to undertake any action or course of action
inconsistent with the provisions or essential intent of this Agreement. Furthermore, it is the intent of the Parties hereto to
act in a fair and reasonable manner with respect to the interpretation and application of the provisions of this Agreement.

 

(i)          Construction.
This Agreement shall be deemed drafted equally by both the Parties. Its language shall be construed as a whole and according to
its fair meaning. Any presumption or principle that the language is to be construed against any Party shall not apply. The headings
in this Agreement are only for convenience and are not intended to affect construction or interpretation. Any references to paragraphs,
subparagraphs, sections or subsections are to those parts of this Agreement, unless the context clearly indicates to the contrary.
Also, unless the context clearly indicates to the contrary, (a) the plural includes the singular and the singular includes the
plural; (b) “and” and “or” are each used both conjunctively and disjunctively; (c) “any,” “all,”
 “each,” or “every” means “any and all,” and “each and every”; (d) “includes”
and “including” are each “without limitation”; (e) “herein,” “hereof,” “hereunder”
and other similar compounds of the word “here” refer to the entire Agreement and not to any particular paragraph, subparagraph,
section or subsection; and (f) all pronouns and any variations thereof shall be deemed to refer to the masculine, feminine, neuter,
singular or plural as the identity of the entities or persons referred to may require.

 

(j)          Legal
Fees. If it shall be necessary or desirable for Executive to retain legal counsel or incur other costs and expenses in connection
with enforcement of Executive’s rights under this Agreement, the Company shall pay (or Executive shall be entitled to recover
from the Company, as the case may be) Executive’s reasonable attorneys’ fees and cost and expenses incurred in connection
with enforcement of his rights (including the enforcement of any arbitration award in court), if the action relates to Executive’s
employment with the Company and if a final decision in connection with at least one material issue of the litigation (or arbitration)
is issued in Executive’s favor by an arbitrator or a court of competent jurisdiction.

 

(k)          Enforcement.
If any provision of this Agreement is held to be illegal, invalid or unenforceable under present or future laws effective during
the term of this Agreement, such provision shall be fully severable; this Agreement shall be construed and enforced as if such
illegal, invalid or unenforceable provision had never comprised a portion of this Agreement; and the remaining provisions of this
Agreement shall remain in full force and effect and shall not be affected by the illegal, invalid or unenforceable provision or
by its severance from this Agreement. Furthermore, (i) while the Executive is based in the US, in lieu of such illegal, invalid
or unenforceable provision there shall be added automatically as part of this Agreement a provision as similar in terms to such
illegal, invalid or unenforceable provision as may be possible and be legal, valid and enforceable, and (ii) while the Executive
is based in the UK, if any provision would be valid if some part or parts of its or their wording were deleted, restricted or limited
then such provision(s) shall apply with such deletions, restrictions or limitations as the case may be .

 

    	 	17	 

     

    

 

(l)           Withholding.
The Company shall be entitled to withhold from any amounts payable under this Agreement any federal, state, local or foreign withholding
or other taxes or charges which the Company is required to withhold whether in the UK, the US or any other relevant jurisdiction.
The Company shall be entitled to rely on an opinion of counsel if any questions as to the amount or requirement of withholding
shall arise. In addition, Executive shall cooperate with the Company following any termination of Executive’s employment
for any reason in satisfaction of the Company’s and Executive’s relative tax obligations hereunder and under the Company’s
Expatriate Assignment Policy.

 

(m)          Section
409A.

 

(i)          General.
The intent of the Parties is that the payments and benefits under this Agreement comply with or be exempt from Section 409A
and, accordingly, to the maximum extent permitted, this Agreement shall be interpreted to be in compliance therewith.

 

(ii)         Separation
from Service. Notwithstanding anything in this Agreement to the contrary, any compensation or benefits payable under this Agreement
that is considered nonqualified deferred compensation under Section 409A and is designated under this Agreement as payable upon
Executive’s termination of employment shall be payable only upon Executive’s “separation from service”
with the Company within the meaning of Section 409A (a “Separation from Service”) and, except as provided below,
any such compensation or benefits described in Section 4(b) shall not be paid, or, in the case of installments, shall not
commence payment, until the fifty-third (53rd) day following Executive’s Separation from Service (the “First Payment
Date”). Any installment payments that would have been made to Executive during the fifty-three (53) day period immediately
following Executive’s Separation from Service but for the preceding sentence shall be paid to Executive on the First Payment
Date and the remaining payments shall be made as provided in this Agreement.

 

(iii)        Specified
Employee. Notwithstanding anything in this Agreement to the contrary, if Executive is deemed by the Company at the time of
Executive’s Separation from Service to be a “specified employee” for purposes of Section 409A, to the extent
delayed commencement of any portion of the benefits to which Executive is entitled under this Agreement is required in order to
avoid a prohibited distribution under Section 409A, such portion of Executive’s benefits shall not be provided to Executive
prior to the earlier of (i) the expiration of the six-month period measured from the date of Executive’s Separation
from Service with the Company or (ii) the date of Executive’s death. Upon the first business day following the expiration
of the applicable Section 409A period, all payments deferred pursuant to the preceding sentence shall be paid in a lump sum to
Executive (or Executive’s estate or beneficiaries), and any remaining payments due to Executive under this Agreement shall
be paid as otherwise provided herein.

 

(iv)        Expense
Reimbursements, Legal Fees. To the extent that any reimbursements or payment of legal fees under this Agreement are subject
to Section 409A, any such reimbursements or payment payable to Executive shall be paid to Executive no later than December 31 of
the year following the year in which the expense or payment was incurred; provided, that Executive submits Executive’s reimbursement
or payment request, as the case may be, promptly following the date the expense is incurred, the amount of expenses reimbursed
in one year shall not affect the amount eligible for reimbursement in any subsequent year, other than medical expenses referred
to in Section 105(b) of the Code, and Executive’s right to reimbursement or payment under this Agreement will not be subject
to liquidation or exchange for another benefit.

 

    	 	18	 

     

    

 

(v)         Installments.
Executive’s right to receive any installment payments under this Agreement, including without limitation any continuation
salary payments that are payable on Company payroll dates, shall be treated as a right to receive a series of separate payments
and, accordingly, each such installment payment shall at all times be considered a separate and distinct payment as permitted under
Section 409A. Except as otherwise permitted under Section 409A, no payment hereunder shall be accelerated or deferred unless such
acceleration or deferral would not result in additional tax or interest pursuant to Section 409A.

 

(n)          Data
Protection. The Executive acknowledges that the Company will from time to time process data that relates to him for the purposes
of the administration and management of its employees and its business, for compliance with applicable procedures, laws and regulations,
and for other legitimate purposes. The Executive has a duty to comply with the Company’s data protection policy at all times
and to keep all personal information that he has access to as part of his employment secure. The Executive must notify the person
to whom he reports or such other person stipulated by the Company immediately on becoming aware of a data security breach. Failure
to do so may lead to disciplinary action up to and including termination for Cause.

 

(o)          Ensco
Guarantee. Ensco hereby guarantees payment and performance of all obligations of Ensco UK under this Agreement.

 

13.          Executive
Acknowledgement. Executive acknowledges that Executive has read and understands this Agreement, is fully aware of its legal
effect, has not acted in reliance upon any representations or promises made by the Company other than those contained in writing
herein, and has entered into this Agreement freely based on Executive’s own judgment. Executive also acknowledges and agrees
that any compensation payable under this Agreement or otherwise shall be subject to the terms of any applicable compensation clawback
policy adopted by the Company to comply with any provisions of applicable law or any securities exchange listing standards.

 

[Signature Page Follows]

 

    	 	19	 

     

    

 

This Agreement has been executed as a deed
and is delivered and takes effect on the date stated at the beginning of it.

 

	EXECUTED as a deed by 	Signature 
	 	 
	ENSCO Global Resources Limited	 
	 	 
	acting by an authorized signatory, in the presence of:	Director
	 	
        Print name

         

 

	Witness signature	 

 

	Name (in BLOCK CAPITALS)	 

 

	SIGNED as a deed by Dr Thomas Burke	Signature 
	 	 
	in the presence of:	 

 

	Witness signature	 

 

	Name (in BLOCK CAPITALS)	 

 

[Signature Page to Employment Agreement]

 

    	 	20	 

     

    

 

	EXECUTED, as a deed by 	Signature 
	 	 
	Rowan Companies, Inc.	 
	 	 
	acting by a director, in the presence of: 	Director
	 	 
	 	
        Print name

         

         

 

	Witness signature	 

 

	Name (in BLOCK CAPITALS)	 

 

    	 	21	 

     

    

 

Solely for the purposes of guaranteeing
the obligations of Ensco and/or the Company under the Agreement:

 

	EXECUTED, as a deed by 	Signature 
	 	 
	ENSCO plc	 
	 	 
	acting by a director, in the presence of:	Director 
	 	 
	 	
        Print name

         

         

 

	Witness signature	 

 

	Name (in BLOCK CAPITALS)	 

 

    	 	22	 

     

    

 

Exhibit
A

 

Separation Agreement
and Release

 

This Separation Agreement
and Release (“Agreement”) is made by and between Dr. Thomas Burke (“Executive”) and [_______]
(the “Company”) (collectively, referred to as the “Parties” or individually referred to as
a “Party”). Capitalized terms used but not defined in this Agreement shall have the meanings set forth in the
Employment Agreement (as defined below).

 

WHEREAS, the
Parties have previously entered into that certain Employment Agreement, dated as of October 7, 2018 (the “Employment Agreement”);
and

 

WHEREAS, in
connection with Executive’s termination of employment with the Company or a subsidiary or affiliate of the Company effective
[________, 20__], the Parties wish to resolve any and all disputes, claims, complaints, grievances, charges, actions, petitions,
and demands that Executive may have against the Company and any of the Releasees as defined below, including, but not limited to,
any and all claims arising out of or in any way related to Executive’s employment with or separation from the Company or
its subsidiaries or affiliates but, for the avoidance of doubt, nothing herein will be deemed to release any rights or remedies
in connection with (i) Executive’s ownership of vested equity securities of the Company or any of its affiliates, including
any rights to vesting in connection with Executive’s employment or the termination thereof, and (ii) Executive’s rights
under any directors & officers liability insurance policies then in effect, or to indemnification (including advancement
of expenses) by the Company or any of its affiliates pursuant to contract or applicable law (collectively, the “Retained
Claims”).

 

NOW, THEREFORE,
in consideration of the Severance Payments described in Section 4 of the Employment Agreement, which, pursuant to the Employment
Agreement, are conditioned on Executive’s execution and non-revocation of this Agreement, and in consideration of the mutual
promises made herein, the Company and Executive hereby agree as follows:

 

1.          Severance
Payments; Salary and Benefits. The Company agrees to provide Executive with the severance payments and benefits described in
Section 4(b) of the Employment Agreement, payable at the times set forth in, and subject to the terms and conditions of,
the Employment Agreement. In addition, to the extent not already paid, and subject to the terms and conditions of the Employment
Agreement, the Company shall pay or provide to Executive all other payments or benefits described in Section 3(c) of the
Employment Agreement, subject to and in accordance with the terms thereof, including, but not limited to, tax equalization and
relocation/repatriation and other expatriate assignment benefits due to Executive in connection with employment outside the United
States.

 

2.          Release
of Claims. Executive agrees that, other than with respect to the Retained Claims, the foregoing consideration represents settlement
in full of all outstanding obligations owed to Executive by the Company, any of their direct or indirect subsidiaries and affiliates,
and any of their current and former officers, directors, equity holders, managers, employees, agents, investors, attorneys, shareholders,
administrators, affiliates, benefit plans, plan administrators, insurers, trustees, divisions, and subsidiaries and predecessor
and successor corporations and assigns (collectively, the “Releasees”). Executive, on his own behalf and on
behalf of any of Executive’s affiliated companies or entities and any of their respective heirs, family members, executors,
agents, and assigns, other than with respect to the Retained Claims, hereby and forever releases the Releasees from, and agrees
not to sue concerning, or in any manner to institute, prosecute, or pursue, any claim, complaint, charge, duty, obligation, or
cause of action relating to any matters of any kind, whether presently known or unknown, suspected or unsuspected, that Executive
may possess against any of the Releasees arising from any omissions, acts, facts, or damages that have occurred up until and including
the Effective Time of this Agreement (as defined in Section 7 below), including, without limitation:

 

    	 	A-1	 

     

    

 

(a)          any
and all claims relating to or arising from Executive’s employment or service relationship with the Company or any of its
direct or indirect subsidiaries or affiliates and the termination of that relationship;

 

(b)          any
and all claims relating to, or arising from, Executive’s right to purchase, or actual purchase of any shares of stock or
other equity interests of the Company or any of its affiliates, including, without limitation, any claims for fraud, misrepresentation,
breach of fiduciary duty, breach of duty under applicable state corporate law, and securities fraud under any state or federal
law;

 

(c)          any
and all claims for wrongful discharge of employment; termination in violation of public policy; discrimination; harassment; retaliation;
breach of contract, both express and implied; breach of covenant of good faith and fair dealing, both express and implied; promissory
estoppel; negligent or intentional infliction of emotional distress; fraud; negligent or intentional misrepresentation; negligent
or intentional interference with contract or prospective economic advantage; unfair business practices; defamation; libel; slander;
negligence; personal injury; assault; battery; invasion of privacy; false imprisonment; conversion; and disability benefits;

 

(d)          any
and all claims for violation of any federal, state, or municipal statute, including, but not limited to, Title VII of the Civil
Rights Act of 1964; the Civil Rights Act of 1991; the Rehabilitation Act of 1973; the Americans with Disabilities Act of 1990;
the Equal Pay Act; the Fair Credit Reporting Act; the Age Discrimination in Employment Act of 1967; the Older Workers Benefit Protection
Act; the Employee Retirement Income Security Act of 1974; the Worker Adjustment and Retraining Notification Act; the Family and
Medical Leave Act; and the Sarbanes-Oxley Act of 2002;

 

(e)          any
and all claims for violation of the federal or any state constitution;

 

(f)          any
and all claims arising out of any other laws and regulations relating to employment or employment discrimination;

 

(g)          any
claim for any loss, cost, damage, or expense arising out of any dispute over the non-withholding or other tax treatment of any
of the proceeds received by Executive as a result of this Agreement; and

 

(h)          any
and all claims for attorneys’ fees and costs.

 

Executive agrees that the release set forth
in this section shall be and remain in effect in all respects as a complete general release as to the matters released. This release
does not release claims that cannot be released as a matter of law, including, but not limited to, Executive’s right to file
a charge with or participate in a charge by the Equal Employment Opportunity Commission, or any other local, state, or federal
administrative body or government agency that is authorized to enforce or administer laws related to employment, against the Company
(with the understanding that Executive’s release of claims herein bars Executive from recovering such monetary relief from
the Company or any Releasee), claims for unemployment compensation or any state disability insurance benefits pursuant to the terms
of applicable state law, claims to continued participation in certain of the Company’s group benefit plans pursuant to the
terms and conditions of COBRA, claims to any benefit entitlements vested as the date of separation of Executive’s employment,
pursuant to written terms of any employee benefit plan of the Company or its affiliates and Executive’s right under applicable
law and any Retained Claims. This release further does not release claims for breach of Section 3(c) or Section 4(b)
of the Employment Agreement.

 

    	 	A-2	 

     

    

 

3.          Acknowledgment
of Waiver of Claims under ADEA. Executive understands and acknowledges that Executive is waiving and releasing any rights Executive
may have under the Age Discrimination in Employment Act of 1967 (“ADEA”), and that this waiver and release is
knowing and voluntary. Executive understands and agrees that this waiver and release does not apply to any rights or claims that
may arise under the ADEA after the Effective Time of this Agreement. Executive understands and acknowledges that the consideration
given for this waiver and release is in addition to anything of value to which Executive was already entitled. Executive further
understands and acknowledges that Executive has been advised by this writing that: (a) Executive should consult with an attorney
prior to executing this Agreement; (b) Executive has 21 days within which to consider this Agreement; (c) Executive has 7 days
following Executive’s execution of this Agreement to revoke this Agreement pursuant to written notice to the General Counsel
of the Company; (d) this Agreement shall not be effective until after the revocation period has expired; and (e) nothing in this
Agreement prevents or precludes Executive from challenging or seeking a determination in good faith of the validity of this waiver
under the ADEA, nor does it impose any condition precedent, penalties, or costs for doing so, unless specifically authorized by
federal law. In the event Executive signs this Agreement and returns it to the Company in less than the 21 day period identified
above, Executive hereby acknowledges that Executive has freely and voluntarily chosen to waive the time period allotted for considering
this Agreement.

 

4.          Severability.
In the event that any provision or any portion of any provision hereof or any surviving agreement made a part hereof becomes or
is declared by a court of competent jurisdiction or arbitrator to be illegal, unenforceable, or void, this Agreement shall continue
in full force and effect without said provision or portion of provision.

 

5.          No
Oral Modification. This Agreement may only be amended in a writing signed by Executive and a duly authorized officer of the
Company.

 

6.          Governing
Law; Jurisdiction. This Agreement shall be governed, construed, interpreted and enforced in accordance with its express terms,
and otherwise in accordance with the substantive laws of Texas without reference to the principles of conflicts of law of Texas.
Any suit or proceeding arising under this Agreement shall be brought solely in a federal or state court sitting in the State of
Texas, except for any suit or proceeding seeking an equitable remedy hereunder, which may be brought in any court of competent
jurisdiction. By Executive’s execution hereof, Executive hereby consents and irrevocably submits to the jurisdiction of the
federal and state courts having general jurisdiction over the State of Texas, and agrees that any process in any suit or proceeding
commenced in such courts under this Agreement may be served upon Executive personally, by certified mail, return receipt requested,
or by courier service, with the same full force and effect as if personally served upon Executive in the county in which Executive
is employed. Each of the parties waives any claim that any such jurisdiction is not a convenient forum for any such suit or proceeding
and any defense of lack of jurisdiction with respect thereto

 

7.          Survival.
The Parties expressly acknowledge and agree that the provisions of Sections 5 through 10 and Section 12 of
the Employment Agreement will survive the termination of Executive’s employment.

 

8.          Effective
Time. Each Party has seven days after that Party signs this Agreement to revoke it and this Agreement will become effective
on the eighth day after Executive signed this Agreement, so long as it has been signed by the Parties and has not been revoked
by either Party before that date (the “Effective Time”).

 

    	 	A-3	 

     

    

 

9.          Voluntary
Execution of Agreement. Executive understands and agrees that Executive executed this Agreement voluntarily, without any duress
or undue influence on the part or behalf of the Company or any third party, with the full intent of releasing all of Executive’s
claims against the Company and any of the other Releasees. Executive acknowledges that: (a) Executive has read this Agreement;
(b) Executive has not relied upon any representations or statements made by the Company that are not specifically set forth in
this Agreement; (c) Executive has been represented in the preparation, negotiation, and execution of this Agreement by legal counsel
of his own choice or has elected not to retain legal counsel; (d) Executive understands the terms and consequences of this Agreement
and of the releases it contains; and (e) Executive is fully aware of the legal and binding effect of this Agreement.

 

[Signature Page Follows]

 

    	 	A-4	 

     

    

 

IN WITNESS WHEREOF, the Parties have executed
this Agreement on the respective dates set forth below.

 

	 	EXECUTIVE
	 	 
	Dated: _____________	Dr. Thomas Burke
	 	 
	 	COMPANY
	Dated: _____________	By: 	 
	 	 	Name:
	 	 	Title:

 

    	 	A-5

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00288-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00288-of-00352.parquet"}]]