Document:

Ex. 10.2 - Form of Hudson United Bancorp Incentive Stock Option Agreement

	

Exhibit 10.2 

Name of Employee:  ________________________          
                        No. of Shares:  __________

Exercise Price:   ________

HUDSON UNITED BANCORP

INCENTIVE STOCK OPTION AGREEMENT 

        Hudson
United Bancorp, a New Jersey corporation (the “Company”), this _____ day of
___________, ___ (the “Option Date”) hereby grants to ____________________ (the
“Employee”), an officer or employee of the Company or a subsidiary thereof,
pursuant to the Company’s 2002 Stock Option Plan (the “Plan”), an option
to purchase shares of the Common Stock, no par value, of the Company (“Common Stock”)
in the amount and on the terms and conditions hereinafter set forth.  

        Incorporation
by Reference of Plan.   The provisions of the Plan, a copy of which is being furnished
herewith to the Employee, are incorporated by reference herein and shall govern as to all
matters not expressly provided for in this Agreement. Terms not defined herein have the
meanings set forth in the Plan. In the event of any conflict between the terms of this
agreement and the Plan, the terms of the Plan shall govern.  

        Grant
of Option.   The Company hereby grants to the Employee the option (the “Option”)
to purchase all or any part of an aggregate of ________ shares of Common Stock (“Shares”)
on the terms and conditions herein set forth. To the extent possible, the Option is
intended to be an incentive option within the meaning of Section 422 of the Code.  

         Purchase
Price.   The purchase price of the shares of Common Stock subject to the Option shall be
$______ per share, subject to adjustment as provided in Section 10 below. 

        Terms
of Option.    (a)    Vesting.    This Option shall not be exercisable until the dates shown
below: 

	Percentage
of Shares Which
May Be Purchased
Hereunder          	First Date On Which Such
Shares May be Purchased	Last Date On Which Such
Shares May be Purchased
	 		
		1 yr after Option Date	10 yrs after Option Date
		2 yrs after Option Date	10 yrs after Option Date
		3 yrs after Option Date	10 yrs after Option Date
		4 yrs after Option Date	10 yrs after Option Date
		5 yrs after Option Date	10 yrs after Option Date
	 		

	

        Notwithstanding
the foregoing vesting schedule, in the event of a Change in Control (as such term is
defined in the Plan), all options granted pursuant hereto shall become immediately
exercisable.  

        (b) Final
Termination.   Notwithstanding anything to the contrary set forth in Section 4(a), the
Option shall no longer be exercisable ten (10) years from the date hereof or such earlier
date as is prescribed in the Plan or in this Agreement.  

        Restrictions.  
This
Option is subject to all the terms and conditions set forth in the Plan
               including, but not limited to, the following:  

		                                         This        Option
 is not  transferable  except  by will or by the laws of  descent  and
                      distribution, as provided in Section 6.3 of the Plan; 

		           
This Option
may be exercised by the  Employee,  his estate or  beneficiary,  or his
                      legal  representative,  as the case may be, for a period of six (6)
months after the Employee dies                       or becomes  Disabled (as such term
is defined in the Plan),  or until the expiration of the stated
                      term of the Option, whichever period is shorter, as provided in
Section 6.2 of the Plan; 

		         
  This Option
may be  exercised  by the  Employee  for a period of sixty (60) days
                      from the date of termination by reason of retirement,  voluntary
resignation, or dismissal without                       Cause (as such term is defined
 in the Plan) or until the  expiration  of the  stated  term of the
                      Option, whichever period is shorter, as provided in Section 6.2 of
the Plan; 

		         
  This Option
lapses upon the  termination of employment if the termination is by the
                      Company or by a subsidiary for Cause, as provided in Section 6.2 of
the Plan. 

	

2 

	

        
Exercise.  This
Option shall be exercised by notice to the Company, accompanied by full
               payment in cash or check (or Shares), as set forth in Section 7.2 of the
Plan. A                sample form to be used in exercising this Option is attached.  

        Holding
Period of Shares Necessary for Favorable Tax Treatment.   To obtain the most
advantageous tax treatment for stock acquired pursuant to this Option, the Employee may
not dispose of Shares acquired pursuant to this option (i) within 2 years of the date
this option is granted or (ii) within 1 year after such shares are transferred to the
Employee. The foregoing statement of tax consequences is intended only as a generalized
statement of current Federal tax law (as in existence on the date of this Agreement) and
the Employee should consult his or her tax consultant to determine the specific tax
consequences of his or her exercise of this Option. An employee who disposes of his
Shares prior to the expiration of such holding period shall notify the Company, within 10
days after the disposition occurs, of the date of the sale and the amount of gain on the
sale (to permit the Company to deduct the gain for tax purposes) and shall deliver to the
Company any Federal income tax withholding required by law in connection therewith.  

        Securities
Law Restrictions.   The Company is under no obligation to file a registration statement
under the Securities Act of 1933 with respect to the Shares to be received upon exercise
of the Option. As provided by Article IX of the Plan, unless a registration statement
under the Act has been filed and remains effective with respect to the Shares, the
Company shall require that the offer and sale of such Shares be exempt from the
registration provisions of the Act. As a condition of such exemption, the Company shall
require a representation and undertaking, in form and substance satisfactory to counsel
for the Company, that the optionee is acquiring the Shares for his own account for
investment and not with a view to the distribution or resale thereof and shall otherwise
require such representations and impose such conditions as shall establish to the Company’s
satisfaction that the offer and sale of the Shares issuable upon the exercise of the
Option will not constitute a violation of the Act or any similar state act affecting the
offer and sale. If the shares are issued in an exempt transaction, the Shares shall bear
the following restrictive legend:  

	  	
“These
shares have not been registered under the Securities Act of 1933. No transfer of the
shares may be affected without an opinion of counsel to the Company stating that the
transfer is exempt from registration under the Act and any applicable state securities
laws or that the transfer of the shares is covered by an effective registration statement
with respect to the shares.” 

	

3 

	

        Restrictions
on Transfer.   This Option shall not be transferred (except by will or by the laws of
descent and distribution), assigned, pledged, or hypothecated and shall not be subject to
execution, attachment, or similar process. In the event the terms of this paragraph are
not complied with by the Employee, or if the Option is subject to execution, attachment,
or similar process, this Option shall immediately become null and void.  

        Anti-Dilution
Provisions.  If prior to expiration of the Option there shall occur any change in the
outstanding Common Stock of the Company by reason of any stock dividend, stock split,
combination or exchange of shares, merger, consolidation, recapitalization,
reorganization, liquidation, subscription rights offering, or the like, and as often as
the same shall occur, then the kind and number of shares subject to the Option, or the
purchase price per share of Common Stock, or both, shall be adjusted by the Compensation
Committee in such manner as it may deem equitable, the determination of which shall be
binding and conclusive. Failure of the Compensation Committee or Board to provide for any
such adjustment shall be conclusive evidence that no adjustment is required.  

        Acceptance
of Provisions.   The execution of this Agreement by the Employee shall constitute the
Employee’s acceptance of and agreement to all of the terms and conditions of the
Plan and this Agreement.  

        Notices.  All
notices and other communications required or permitted under the Plan and
               this Agreement shall be in writing and shall be given either by (i)
personal                delivery or regular mail, in each case against receipt, or (ii)
first class                registered or certified mail, return receipt requested. Any
such communication                shall be deemed to have been given (a) on the date of
receipt in the cases                referred to in clause (i) and (b) on the second day
after the date of mailing in                the cases referred to in clause (ii). All
such communications to the Company                shall be addressed to it, to the
attention of its Secretary or Treasurer, at its                then principal office and
to the Employee at his last address appearing on the                records of the
Company or, in each case, to such other person or address as may                be
designated by like notice hereunder.  

        
Miscellaneous.  This
Agreement and the Plan together contain a complete statement of all the
               arrangements between the parties with respect to their subject matter, and
this                Agreement cannot be changed except by a writing executed by both
parties. This                Agreement shall be governed by and construed in accordance
with the laws of the                State of New Jersey applicable to agreements made and
to be performed                exclusively in New Jersey. The headings in this Agreement
are solely for                convenience of reference and shall not affect its meaning
or interpretation.  

			HUDSON UNITED BANCORP

By:  
——————————————

——————————————

[Name of Employee] 

	

4 

	

FORM FOR EXERCISING
INCENTIVE STOCK OPTION 

_________________, _____ 

Hudson United Bancorp

1000 MacArthur Boulevard

Mahwah, New Jersey 07430

Attn.:   Corporate Secretary 

Gentlemen: 

        
        I
am (check one) 

		                                           ___      an
employee of Hudson United Bancorp, Inc. or a subsidiary thereof (the “Company”) 

		                                           ___      a
former employee of the Company 

		                                           ___      the
designated beneficiary of an employee of the Company 

	

and, as such, I am entitled to
exercise the option (the “Option”) granted pursuant to the attached Hudson
United Bancorp Incentive Stock Option Agreement (the “Agreement”). 

        
        I wish
to exercise the Option to acquire _____ shares of Hudson United Bancorp Common Stock
(“Shares”) at the exercise price of ________, as set forth in the Agreement. My
total payment of _______ is enclosed. 

        
        (Check
one to indicate whether you are paying in:) 

___ Cash 

___ Check made payable to
Hudson United Bancorp 

___  Other shares of Hudson United
Bancorp Common Stock (to the extent not prohibited by the Agreement)

        
        If
the Shares I acquire hereby have not been registered for sale under the Securities Act of
1933, as amended (which the Company is under no obligation to do), I represent to you that
I am acquiring the Shares for investment purposes only and not with a view to distribution
and I authorize you to place an appropriate restrictive legend on the certificates
representing the Shares. 

        
        I
recognize that to obtain the most advantageous tax treatment for the Shares, I must not
dispose of the Shares (i) within two years of the date the Option was granted nor (ii)
within one year after the date I acquire the Shares hereunder. If I dispose of Shares
prior to the expiration of such holding period, I will notify the Company, within 10 days
after the disposition occurs, of the date of sale and the amount of gain on the sale (to
permit the Company to deduct the gain for tax purposes) and I will deliver to the Company
any Federal income tax withholding required by law in connection therewith. 

	

        
        Please
make a notation on the Agreement to evidence my exercise of the Option as set forth and
return the Agreement (if any Options remain thereunder), along with a certificate
representing the shares, to me at the address below. 

			

  
——————————————

[Name of Employee]

——————————————

——————————————

——————————————

(PRINT ADDRESS)

	

2Ex. 10.3 - Form of Hudson United Bancorp Incentive Stock Option Agreement

	

Exhibit 10.3 

Name of Employee:  ________________________          
                        No. of Shares:  __________

HUDSON UNITED BANCORP

RESTRICTED STOCK AWARD AGREEMENT 

        
        In
accordance with the terms of the Hudson United Bancorp Restricted Stock Plan, Hudson
United Bancorp, a New Jersey corporation (the “Company”) this ____ day of
_______, _______ (the “Award Date”) hereby grants to _____________ (the
“Executive”), an employee of the Company or subsidiary of the Company, pursuant
to the Company’s Restricted Stock Plan, as adopted by the shareholders on March 28,
1989 and as amended by the shareholders on April 21, 2004 (the “Plan”), shares
of the Common Stock, no par value, of the Company subject to the restrictions set forth
herein (“Restricted Stock”) in the amount and on the terms and conditions
hereinafter set forth. 

     1.    
          Incorporation by Reference of Program and Plan.   The provisions of the
          Plan, a copy of which is being furnished herewith to the Employee, is
          incorporated by reference herein and shall govern as to all matters not
          expressly provided for in this Agreement. Terms not defined herein have the
          meanings set forth the Plan. In the event of any conflict between the terms of
          this Agreement and the Plan, the Plan shall govern. 

     2.    
          Award of Restricted Stock: Escrow.   The Company hereby awards the Employee
          9,500 shares of Restricted Stock, which shall have a Restricted Period as set
          forth in Section 3(a) herein. The shares of Restricted Stock awarded hereunder
          (the “Shares”) shall be placed in escrow with the Escrow Agent
          selected by the Committee (as such term is defined in the Plan) until all
          restrictions (the “Restrictions”) specifically set forth in this
          Agreement and in Section 5 of the Plan with respect to the Shares shall expire
          or be cancelled, at which time the Shares shall be released from escrow and the
          Company shall issue to the Employee a stock certificate with respect to such
          Shares, free of all Restrictions. Restricted Stock shall have all dividend and
          voting rights as set forth in Section 5.2 of the Plan. Cash dividends paid on
          the Restricted Stock while it is held in escrow shall be promptly delivered to
          the Employee. Dividends paid in stock or property and shares issued in
          connection with a stock split shall be added to the escrow account and held
          until the expiration of the Restricted Period for the Shares upon which such
          dividend or stock split was paid. If the Employee forfeits any shares awarded
          hereunder, such Shares (along with any related dividends paid in stock or
          property and shares issued in connection with a stock split) shall automatically
          revert to the Company (without any payment by the Company to the Employee) and
          shall no longer be held in escrow for the Employee. 

     3.    
          Restrictions. 

                     (a)        
          Vesting.   The Shares (and related dividends paid in stock or property or
          shares resulting from a stock split) shall not be delivered to the Employee and
          may not be sold, assigned, transferred, pledged or otherwise encumbered by the
          Employee until such Shares have vested in the Employee in accordance with the
          following schedule.

	Percentage of Shares Which Shall Vest	Date On Which Such Shares Shall Vest	 
	 		

	

Notwithstanding the foregoing vesting
schedule, if, there occurs a Change in Control as defined in the Plan, all shares shall
immediately vest. 

     (b)    
          Forfeiture.   Shares not yet vested (and related dividends paid in stock or
          property or Shares resulting from a stock split) shall be forfeited to the
          Company automatically and immediately upon resignation from the Company or its
          subsidiaries and upon termination of employment for any reason including by
          reason of Death, Retirement or Disability (as such terms are defined in the
          Plan). 

     4.    
          Registration.   If the Shares are issued in a transaction exempt from
          registration under the Securities Act of 1933, as amended, then, if deemed
          necessary by the Company’s counsel, as a condition to the Company issuing
          certificates representing the Shares, the Employee shall represent in writing to
          the Company that he is acquiring the Shares for investment purposes only and not
          with a view to distribution, and the certificates representing the Shares shall
          bear the following legend: 

	  	
“These
shares have not been registered under the Securities Act of 1933. No transfer of the
shares may be effected without an opinion of counsel to the Company stating that the
transfer is exempt from registration under the Act and any applicable state securities
laws or that the transfer of the shares is covered by an effective registration statement
with respect to the shares.” 

	

     5.    
          Incorporation of the Plan.   The Employee hereby acknowledges receipt of a
          copy of the Plan and represents and warrants that he or she has read and is
          familiar with the terms and conditions of the Plan. Execution of this Agreement
          by the Employee shall constitute the Employee’s acceptance of and agreement
          to all of the terms and conditions of the Plan and this Agreement. 

     6.    
          Notices.   All notices and other communications required or permitted under
          the Plan and this Agreement shall be in writing and shall be given either by
          (i) personal delivery or regular mail, in each case against receipt, or
          (ii) first class registered or certified mail, return receipt requested.
          Any such communication shall be deemed to have been given (i) on the date
          of receipt of the cases referred to in clause (i) of the preceding sentence
          and (ii) on the second day after the date of mailing in the cases referred
          to in clause (ii) of the preceding sentence. All such communications to the
          Company shall be addressed to it, to the attention of its Secretary or
          Treasurer, at its then principal office and to the Employee at his last address
          appearing on the records of the Company or, in each case, to such other person
          or address as may be designated by like notice hereunder. 

     7.    
          Taxes.   The Employee generally will be subject to tax at ordinary income
          rates on the fair market value of the Shares and dividends at the time they
          vest. However, if the Employee elects, under Section 83(b) of the Internal
          Revenue Code of 1986, as amended (the “Code”), within 30 days of the
          Award Date, he or she will be subject to tax at ordinary income rates on the
          fair market value of the Shares on the Award Date (determined without regard to
          the Restrictions). The foregoing statement of tax consequences is intended only
          as a generalized statement of current federal tax law (as in existence on the
          date of this Agreement) and the Employee should consult with his or her tax
          consultant to determine the specific tax consequences of this award from time to
          time. The Employee hereby agrees to pay to the Company prior to the delivery of
          any Shares hereunder the amount of any federal, state or local income taxes
          which the Company is required by law to withhold in connection herewith. The
          Employee shall notify the Company within 10 days of making an election under
          Section 83(b), or any successor section, of the Code and agrees to pay the
          Company such tax withholding amounts within 10 days thereafter. 

2 

	

     8.    
          Miscellaneous.   This Agreement and the Plan contain a complete statement
          of all the arrangements between the parties with respect to the subject matter
          hereof, and this Agreement cannot be changed except by a writing executed by
          both parties. This Agreement shall be governed by and construed in accordance
          with the laws of the State of New Jersey applicable to agreements made and to be
          performed exclusively in New Jersey. 

        
        IN
WITNESS THEREOF, the parties hereto have caused this Agreement to be executed as of the
day and year first above written. 

	HUDSON UNITED BANCORP

By:  
——————————————

      Kenneth T. Neilson,
      Chairman, President and C.E.O.		EXECUTIVE:

  
——————————————

    
              

	

3

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00076-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00076-of-00352.parquet"}]]