Document:

Strategic Alliance Agreement

 Exhibit 10.09 
 STRATEGIC ALLIANCE AGREEMENT 
 THIS STRATEGIC ALLIANCE
AGREEMENT (the “Agreement”) is made as of September 24, 2001 (the “Effective Date”) by and between EBAY INC., a Delaware corporation
located at 2145 Hamilton Avenue, San Jose CA 95125 (“eBay”), and MERCADOLIBRE, INC. a Delaware corporation located at Thames 121, 2o. piso, San Isidro, B1609JUC, Acassuso 1609, Argentina
(“MercadoLibre”). 
 BACKGROUND 
 In connection with the purchase of Series E-l Preferred Stock and Series E-2 Preferred Stock of MercadoLibre by eBay pursuant to the parties’ Securities Purchase Agreement dated as of the date hereof, and the
sale of iBazar Com Ltda by eBay to MercadoLibre pursuant to the Quota Purchase Agreement dated as of the date hereof, the parties would like to establish a strategic relationship in which eBay would promote MercadoLibre on eBay’s web site and
eBay would assist MercadoLibre in developing its operations in Latin America. 
 The parties therefore agree as follows: 
 AGREEMENT 
 1.
OBLIGATIONS. 
 1.1 Links. eBay will include on the home page of its web site (http://www.ebay.com, the “eBay
Site”) at least one, but not more than three, hyperlink(s) (collectively the “Link to MercadoLibre”) to the home page of those MercadoLibre web sites requested by MercadoLibre (“MercadoLibre Linked Site(s)”). After
consultation with MercadoLibre, eBay will determine, in its discretion, the target URL address, content, size, and placement of the Link to MercadoLibre. MercadoLibre will include on the home pages of the MercadoLibre web sites that provide Internet
Trading Services (as defined in Section 4.1) (the “MercadoLibre Site(s)”), a hyperlink to the eBay home page (the “Link to eBay”). After consultation with eBay, MercadoLibre will determine, in its discretion, the content,
size, and placement of the Link to eBay. For purposes of this Agreement, “Site(s)” means, with respect to eBay, the eBay Site, and with respect to MercadoLibre, the MercadoLibre Site(s). Each party (the linking party) reserves the right to
immediately remove the hyperlink(s) to the other party’s (the linked party’s) Site(s) (without notice and in the linking party’s sale discretion), if the linked party breaches any of its obligations in the Agreement or if the linking
party reasonably believes that the actions of the linked party may cause legal liability for the linking party. However, the linking party will replace such hyperlink(s) if and when (in the linking party’s discretion) the linked party has cured
such breach or the risk of such legal liability for the linking party has abated. 
 1.2 User Data. Each party covenants that
it will (a) adhere to its own privacy policy, which it represents reflects the best practices in the markets in which it offers its Internet Trading Service and (b) not target or solicit users of the other party’s Site for marketing
or registration on the basis of their status as users of the other party’s Site. Notwithstanding the foregoing, each party may enable the registration of users when such users link to that party’s Site (using the Link to MercadoLibre or
the Link to eBay, as applicable). The parties will not share user data with each other. 
  

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 1.3 Business Development. 
 1.3.1. Quarterly Meetings. The parties will jointly schedule a meeting at least once during each fiscal quarter to discuss
the business progress of MercadoLibre. In consultation with MercadoLibre, eBay will set the agenda and discussion topics for such meetings and MercadoLibre will use its commercially reasonable efforts to provide eBay with information regarding its
business progress and other information relevant to the agenda and discussion topics of each meeting. 
 1.3.2.
Information Exchange. The parties will use commercially reasonable efforts to jointly facilitate information exchange between the parties’ organizations in the area of Internet Trading Services (as defined in Section 4.1), which may
include, without limitation, eBay’s strategy for (a) information technology development, (b) finding and developing on-line trading communities, (c) performing customer service, (d) furthering the liquidity of categories,
(e) performing press communications that help in furthering an on-line trading community, and (f) increasing the monetization of the Site. eBay will determine, in its discretion, the types and content of information that it will share with
MercadoLibre and the functional groups that will participate in such information exchange. The parties acknowledge that this information exchange will include Confidential Information (as defined in Section 3 (Confidentiality)). Each party will
appoint a contact person to assist in this information exchange and communication between the parties. 
 1.3.3.
Business Negotiations. eBay will use commercially reasonable efforts to assist MercadoLibre in negotiations with global business partners with whom eBay has business relationships where eBay reasonably determines that such assistance is
commercially practicable. eBay will consult with MercadoLibre to identify appropriate opportunities in which eBay’s assistance may be commercially practicable. 
 1.3.4. Press Releases. eBay will use its commercially reasonable efforts to include MercadoLibre in its press releases
whenever it is appropriate, in eBay’s discretion. Neither party shall issue any press releases or public statements concerning the existence or terms of this Strategic Alliance Agreement or any agreements to which it is related (including
without limitation the Securities Purchase Agreement and the Quota Purchase Agreement) without the prior written consent of the other party (which will not be unreasonably withheld), except to the extent required for legal or regulatory compliance.

 2. LICENSES. 
 2.1 Trademarks. Subject to the terms of this Agreement, eBay hereby grants to MercadoLibre a non-exclusive, limited, revocable, nonassignable, and royalty-free authorization to use those trademarks, service marks, branding
elements, and other indicia of origin (“Marks”) owned by or licensed to eBay that are provided by eBay to MercadoLibre pursuant to this Agreement (the “eBay Marks”) in the Territory to provide the Link to eBay for other online
promotions of eBay in a manner consistent with this Agreement, and for any off-line promotions 

  

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approved in writing in advance (provided that any request will be deemed approved after five business days if notice of non-approval is not sent during such
period). Subject to the terms of this Agreement, MercadoLibre hereby grants to eBay a non-exclusive, limited, worldwide, revocable, nonassignable, and royalty-free authorization to use those Marks owned by or licensed to MercadoLibre that are
provided by MercadoLibre to eBay (the “MercadoLibre Marks”) to provide the Link to MercadoLibre, to promote MercadoLibre online in a manner consistent this Agreement, and for any off-line promotions approved in writing in advance (provided
that any request will be deemed approved after five business days if notice of non-approval is not sent during such period). 
 2.2
Trademark Restrictions. The Mark licenses in Section 2.1 (Trademarks) are subject to the following restrictions. If the Mark licensor determines, in its reasonable discretion, that the licensee’s use of the licensor’s Marks
tarnishes, blurs or dilutes the quality associated with such Marks or their associated goodwill, the Mark licensor may at its option terminate the foregoing license as to the objectionable use or in its entirety if the licensee does not cease such
objectionable use within five (5) days’ written notice of breach. Title to and ownership of the licensor’s Marks shall remain with the licensor and its suppliers. The licensee shall use the Marks exactly in the form provided and in
conformance with any trademark usage policies provided by the Mark licensor to the licensee. The licensee shall not take any action inconsistent with the licensor’s ownership of the Marks, and any benefits accruing from use of such Marks shall
automatically vest in and inure to the benefit of the licensor. The licensee shall not form any combination marks with the licensor’s Marks. Without limiting the foregoing, the licensee will use the licensor’s Marks in conformance with the
licensor’s trademark usage policies. MercadoLibre hereby admits and recognizes the renown of the eBay Marks worldwide. 
 2.3 Trade
Secrets. 
 (a) Of eBay. Subject to the terms of this Agreement, eBay hereby grants MercadoLibre a
nonexclusive and nonassignable license to internally use and reproduce the Confidential Information (as defined in Section 3 (Confidentiality)) disclosed by eBay to MercadoLibre pursuant to this Agreement in the Territory for the sole purpose
of operating the MercadoLibre Site. 
 (b) Of MercadoLibre. Subject to the terms of this Agreement, MercadoLibre
hereby grants eBay a nonexclusive and nonassignable license to internally use and reproduce the Confidential Information (as defined in Section 3 (Confidentiality)) disclosed by MercadoLibre to eBay pursuant to this Agreement for the sole
purpose of providing eBay’s services to its users. 
 2.4 Intellectual Property Rights. Except as expressly set forth in
the Agreement, no intellectual property rights are licensed, assigned or otherwise conferred under this Agreement. Each party shall maintain ownership of all its intellectual property rights. 
 3. CONFIDENTIALITY. Each party may disclose to the other party information that the disclosing party considers proprietary or confidential.
For purposes of this Agreement, “Confidential Information” means any information disclosed by the disclosing party that is marked as proprietary or confidential (if disclosed in tangible form), identified as proprietary or 

  

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confidential when disclosed (if disclosed in oral or visual form), or that the receiving party should reasonably know is considered confidential or
proprietary by the disclosing party. The receiving party will hold all Confidential Information of the disclosing party in confidence and shall not disclose any such Confidential Information to any third party (except to third party contractors that
are subject to confidentiality obligations no less restrictive than this Section 3) nor shall the receiving party use such Confidential Information for any purpose other than performance of its obligations under this Agreement; provided,
however, that the obligations in this Section 3 (Confidentiality) shall not apply to Confidential Information that the receiving party can prove (a) was within the rightful possession of the receiving party, without a duty of
confidentiality, prior to its disclosure, (b) was rightfully disclosed to the receiving party with no duty of confidentiality, (c) becomes, through no act or fault of the receiving party, publicly known, or (d) is independently
developed by the receiving party without reference to the Confidential Information. In addition, the restriction on disclosure will not apply to the extent that Confidential Information is legally required to be disclosed to a court, government
agency, or regulatory body, provided that the receiving party will notify the disclosing party of such disclosure requirement, providing a reasonable amount of time for the disclosing party to seek confidential treatment or a protective order for
such Confidential Information. 
 4. TERRITORY. 
 4.1 Initial Period. For an initial period of three (3) years from the Effective Date (the “Initial Period”), neither eBay nor its subsidiaries will (a) make any direct investment in
Deremate, Lokau, or any other company that provides a platform on the internet for auction-style trading (“Internet Trading Service,” which expressly excludes (without limitation) a platform on the internet for fixed-price trading if such
platform does not also provide auction-style trading) predominantly based in and targeted to users in Mexico, Central America, South America, and the Caribbean countries listed in Exhibit A (collectively, the “Territory”), (b) launch
any Internet Trading Service targeted to a specific country or countries in the Territory, or (c) launch a regional Internet Trading Service targeted at the Territory as a whole; provided, however, that eBay may invest in, acquire, or merge
with any company providing an Internet Trading Service that is based in or targeted to users in the Territory if ten percent (10%) or less of such company’s worldwide revenues are comprised by the aggregate of the revenue of such Internet
Trading Service in the Territory as a whole. eBay acknowledges that a material benefit for MercadoLibre to enter into this Agreement and the Quota Purchase Agreement is the benefit that MercadoLibre will receive from the covenants of eBay contained
in this Section 4.1 (as may be extended in Section 4.2). 
 4.2 Extension. 
 (a) If MercadoLibre (which, for the purposes of this Section 4.2 only, includes its wholly-owned subsidiaries) holds the
Leading Market Position in Internet Trading Services at the end of the Initial Period in each of Brazil, Mexico, and Argentina, eBay’s obligations in Section 4.1 (Initial Period) will be extended for an additional two (2) years upon
the conclusion of the Initial Period. The determination of Leading Market Position will be made in accordance with this Section 4.2 and through commercially reasonable means, including but not limited to data sampling from the MercadoLibre
Sites and competitor sites, audit data, and other research. 
  

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 (b) MercadoLibre warrants that it will not take any actions to artificially
inflate GMS or Revenue. The parties will collect data relevant to the Leading Market Position calculation during the last fun calendar month prior to the end of the Initial Period and will make the determination of Leading Market Position before the
expiration of the Initial Period. If the Initial Period is extended in accordance with 4.2(a), eBay will reserve the right to re-evaluate whether MercadoLibre holds the Leading Market Position as defined in Section 4.2(c), based on data
collected in any calendar month within the first three full calendar months after the Initial Period. If such re-evaluation concludes that MercadoLibre no longer holds the Leading Market Position, eBay will have the right to terminate its
obligations under this Section 4. 
 (c) For the purposes of this Section 4.2, “Leading Market
Position” means that MercadoLibre has both (1) higher GMS and (2) higher Revenue than any competitor. “GMS” (or “gross merchandise sales”) is calculated by aggregating the value of all transactions valued at
US$10,000 or less on the MercadoLibre Sites targeted at the applicable country for which GMS is being calculated; for the avoidance of doubt, any and all transactions of over US$10,000 are excluded from GMS. “Revenue” means net revenue
from MercadoLibre’s Internet Trading Service, calculated consistent with United States Generally Accepted Accounting Principles (US GAAP). 
 4.3 Records and Audits. During the Initial Period and any extension of same as provided in Section 4.2, MercadoLibre will maintain complete and accurate books of account and records relating to GMS and revenue, and eBay
will have the right (no more than quarterly), upon prior written notice, to examine, audit, and take extracts from the MercadoLibre’s books and records (which shall be treated as MercadoLibre’s Confidential Information as provided in
Section 3 (Confidentiality)). 
 5. WARRANTY DISCLAIMER. EXCEPT AS EXPRESSLY PROVIDED IN THIS AGREEMENT, ANY
INFORMATION OR MARKS PROVIDED BY EITHER PARTY UNDER THIS AGREEMENT ARE PROVIDED ON AN “AS IS,” “AS AVAILABLE” BASIS. EXCEPT AS EXPRESSLY PROVIDED IN THIS AGREEMENT, EACH PARTY SPECIFICALLY DISCLAIMS ANY REPRESENTATIONS OR
WARRANTIES, EXPRESS OR IMPLIED, REGARDING ANY INFORMATION, MARKS, OR OTHER MATERIALS PROVIDED HEREUNDER, INCLUDING ANY WARRANTIES OF TITLE, NON-INFRINGEMENT, MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, ACCURACY, OR QUIET ENJOYMENT, AND ANY
OTHER IMPLIED WARRANTIES ARISING FROM A COURSE OF DEALING OR PERFORMANCE. EACH PARTY ACKNOWLEDGES THAT IT HAS NOT ENTERED INTO THIS AGREEMENT IN RELIANCE ON ANY WARRANTY OR REPRESENTATION EXCEPT THOSE EXPRESSLY SET FORTH IN THIS AGREEMENT.

 6. LIMITATION OF LIABILITY. EXCEPT FOR A BREACH OF SECTION 2 (LICENSES) OR SECTION 3
(CONFIDENTIALITY) OR FOR AN INTENTIONAL OR GROSS NEGLIGENCE TORT, NEITHER PARTY WILL BE LIABLE TO THE OTHER FOR ANY CONSEQUENTIAL, INCIDENTAL, OR INDIRECT DAMAGES FOR ANY CAUSE OF ACTION, WHETHER IN CONTRACT OR TORT, OR WHETHER CAUSED BY THE FAULT
OR NEGLIGENCE OF THAT PARTY, ITS EMPLOYEES, AGENTS, OR 

  

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SUBCONTRACTORS. CONSEQUENTIAL, INCIDENTAL, AND INDIRECT DAMAGES INCLUDE, BUT ARE NOT LIMITED TO, LOST PROFITS, LOST REVENUE, AND LOSS OF BUSINESS
OPPORTUNITY, WHETHER OR NOT THE OTHER PARTY WAS AWARE OF OR SHOULD HAVE BEEN AWARE OF THE POSSIBILITY OF THESE DAMAGES. 
 7. TERM
AND TERMINATION. The Term of this Agreement will commence on the Effective Date and continue for as long as the obligations in Section 4 (Territory) are in effect. Either party may terminate the Agreement
immediately upon written notice if the other party breaches a material term of the Agreement and fails to cure that breach within thirty (30) days after receiving written notice thereof. Sections 2.4 (Intellectual Property Rights), 3
(Confidentiality), 5 (Warranty Disclaimer), 6 (Limitation of Liability), 7 (Term and Termination), and 8 (General) will survive any termination or expiration of this Agreement. Except as provided in this Section 7, upon termination or
expiration of the Agreement; all licenses terminate; each party will return to the other party any Confidential Information, Marks, and other materials provided to such party under the Agreement; and the employees or contractors of each party who
have had access to the Confidential Information of the other party (including ideas, concepts, know-how or techniques contained therein) may continue to use any information retained in their memories. 
 8. GENERAL. 
 8.1 Governing
Law. This Agreement shall be governed in all respects by New York law, excluding any conflict of laws principles that would require the application of the laws of another jurisdiction. The parties consent to the jurisdiction of and venue in the
federal courts sitting in California, unless no federal jurisdiction exists, in which case the parties consent to jurisdiction and venue in the state courts in Santa Clara County, California. The parties hereby waive all defenses of lack of personal
jurisdiction and forum non-conveniens. In any action or suit to enforce any right or remedy under the Agreement, or to interpret any provision of thereof, the prevailing party will be entitled to recover its costs, including reasonable
attorneys’ fees. 
 8.2 Assignment. Neither party may assign this Agreement in whole or in part without the prior written
consent of the other party. Any purported assignment in violation of the foregoing will be null and void. 
 8.3 Severability;
Headings. If any provision herein is held to be invalid or unenforceable for any reason, such provision shall be deemed to be restated, in accordance with applicable law, to reflect as nearly as possible the original intentions of the parties,
and the remaining provisions will continue in full force without being impaired or invalidated in any way. Headings are for reference purposes only and in no way define, limit, construe or describe the scope or extent of such section. 
 8.4 Force Majeure. Except as otherwise provided, if performance hereunder (other than payment of monies due) is prevented, restricted or
interfered with by any act or condition whatsoever beyond the reasonable control of a party, the party so affected, upon giving prompt notice to the other party, shall be excused from such performance to the extent of such prevention, restriction or
interference. 
  

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 8.5 Independent Contractors. The parties are independent contractors and no agency,
partnership, joint venture, employee-employer or franchiser franchisee relationship is intended or created by this Agreement. 
 8.6
No Third Party Beneficiaries. The parties do not intend to create any rights or confer any benefits on any third parties, and nothing herein shall be so construed. 
 8.7 Equitable Relief. The parties acknowledge that a breach or a threatened breach of Section 2 (Licenses) or Section 3 (Confidentiality) may entitle the nonbreaching party to seek injunctive
or other equitable relief. eBay acknowledges that its obligations regarding territorial exclusivity in Section 4.1 (as may be extended in accordance with Section 4.2) convey a unique and extraordinary benefit to MercadoLibre, that a breach
or threatened breach by eBay of such obligations would not reasonably or adequately be compensated by damages in an action at law, and that a breach or threatened breach of any of the provisions of Section 4.1 by eBay would cause MercadoLibre
irreparable injury and damage. By reason thereof, eBay agrees that MercadoLibre shall be entitled, in addition to any other remedies it may have under this Agreement, to preliminary and permanent injunctive relief and/or to specific performance of
the terms and provisions of Section 4.1 or any other available equitable relief to prevent or curtail any breach or threatened breach of Section 4.1 of this Agreement. No specification in this Agreement of a specific legal or equitable
remedy shall be construed as a waiver or prohibition against the pursuit of any other legal or equitable remedies in the event of such a breach. 
 8.8 Notice. Any notices intended to have a legal effect hereunder shall be given to the appropriate party at the address specified above or at such other address as the party shall specify in writing. Notice shall be deemed
given: upon personal delivery; if sent by fax, upon confirmation of receipt; or if sent by a reputable overnight courier with tracking capabilities one (1) day after the date of mailing. 
 8.9 Entire Agreement; Amendment; Waiver. This Agreement sets forth the entire understanding and agreement of the parties and supersedes any
and all oral or written agreements or understandings between the parties as to the subject matter of this Agreement. No changes or modifications to this Agreement will be effective unless and until made by a writing signed by both parties. The
waiver of a breach of any provision of this Agreement will not operate or be interpreted as a waiver of any other or subsequent breach. 
 8.10 Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed an original and all of which shall be taken together and deemed to be one instrument. 
  

									
	eBay Inc.	 		 	MercadoLibre, Inc.
					
	By:	 	/s/ Matthew Bannick	 		 	By:	 	/s/ Marcos Galperin
	Name:	 	Matthew J. Bannick	 		 	Name:	 	Marcos Galperin
	Title:	 	SVP & GM International	 		 	Title:	 	CEO

  

 7Management Incentive Bonus Plan of the Registrant

 Exhibit 10.10 
 MERCADOLIBRE, INC. 
 2001 MANAGEMENT INCENTIVE BONUS PLAN 
 The purpose of the MercadoLibre, Inc. 2001 Management Incentive Bonus Plan (the “Plan”) is to provide incentives to, and align the
interests of, senior management-level employees of MercadoLibre, Inc., a Delaware corporation (the “Company”), with the Company’s stockholders (collectively, the “Stockholders”) in order to increase the
enterprise value of the Company. Certain capitalized terms used herein are defined in Section 9. 
 Section 1. Administration
of the Plan; Allocation of Participation Amounts. Subject to Section 12, the Plan shall be administered by the Board of Directors of the Company (the “Board”) or the Compensation Committee thereof; provided,
however, that, subject to the consent of the Board or the Compensation Committee, as the case may be (such consent not to be unreasonably withheld), the Chief Executive Officer (the “CEO”) of the Company shall make the
initial determination as to the Executives who will be entitled to Participation Amounts hereunder and the Participation Amounts to be granted to each such Executive. Except as otherwise expressly provided in the Plan (including under
Section 12), the Board or the Compensation Committee, as the case may be, shall have all powers with respect to administration of the Plan. Each Executive’s Participation Amount shall be as set forth in a Participation Amount
Certificate for such Executive substantially in the form attached as Exhibit A hereto (the “Participation Amount Certificate”). 
 Section 2. Participation Amounts Subject to the Plan. Notwithstanding anything to the contrary contained in the Plan or any other agreement entered into in connection with or pursuant to the Plan, the Sale
Bonus Participation Amounts available for allocation pursuant to Section 1 shall be 5.5% in the aggregate, and the Stay Bonus Participation Amounts available for allocation pursuant to Section 1 shall be 7.1% in the
aggregate. Subject to the consent of the Board or the Compensation Committee, as the case may be (such consent not to be unreasonably withheld), any portion of the Participation Amounts that remains unallocated from time to time may be allocated by
the CEO at any time prior to the closing of the Sale of the Company. 
 Section 3. Incentive Bonus Plan. If a Sale of the Company is
consummated at any time after the Effective Date (as defined in Section 11), then each of the Executives, in each case based on each such Executive’s respective Participation Amounts shall, subject to the other terms and conditions
of the Plan and any other agreement entered into in connection with or pursuant to the Plan, be entitled to receive (i) a Sale Bonus determined in the manner and payable as set forth in Section 4 and/or (ii) a Stay Bonus
determined in the manner and payable as set forth in Section 4. 

 Section 4. Bonus Payments. 
 (a) If the Designated Value upon the consummation of a Sale of the Company is less than $20,000,000, then (i) no Executive shall be
entitled to receive a Sale Bonus (as defined below) and (ii) each Executive shall be entitled to receive a Stay Bonus (as defined below) equal to the product of the Net Payment Amount and such Executive’s Stay Bonus Participation Amount
(the “Minimum Stay Bonus”). 
 (b) If the Designated Value upon the consummation of a Sale of the Company is
equal to or greater than $20,000,000, then each Executive shall be entitled to receive: 
 (i) a sale bonus equal to the
product of the Net Payment Amount and such Executive’s Sale Bonus Participation Amount (the “Sale Bonus”), plus  
 (ii) a stay bonus equal to the product of the Net Payment Amount and such Executive’s Stay Bonus Participation Amount (the “Stay Bonus”). 
 (c) Notwithstanding anything herein to the contrary, if any portion of the Net Payment Amount is escrowed, heldback or otherwise retained
by the purchasers in connection with the Sale of the Company (the “Holdback Amount”), as the case may be, whether in connection with a purchase price adjustment or otherwise, then a proportionate amount of the Bonus based on such
Holdback Amount shall be placed in escrow with an escrow agent, selected by the Board in good faith, and released at such time or times, if any, as the Holdback Amount is released to the Company and/or the Stockholders, as the case may be, and shall
remain subject to such purchase price or other adjustment. 
 Section 5. Form and Delivery of Bonus Payments. In the event that the
Net Payment Amount or Call/Put Sale Amount consists (in whole or in part) of consideration other than cash, the form of the consideration to be paid as the Bonus shall consist of, in the discretion of the Board, either (i) cash (as valued by
the Board and a majority in interest (based on Participation Amounts) of the Executives in good faith) or (ii) the same form of consideration in the same relative proportion as that of the Net Payment Amount. 
 The portion of any Sale Bonus payable pursuant to paragraphs (a) or (b) of Section 4 shall be paid to
the Executives upon the consummation of the Sale of the Company. The portion of any Stay Bonus payable pursuant to paragraphs (a) or (b) of Section 4 shall be paid to the Executives on the first business day after
the first anniversary of the closing date of the Sale of the Company. Notwithstanding anything to the contrary contained in the Plan or in any agreement entered into in connection with or pursuant to the Plan, in no event shall the Company make any
Bonus payment (or any portion thereof) to any Executive pursuant to Section 4 prior to the actual receipt by the Stockholders of the applicable Net Payment Amount. 
 Section 6. Withholding Taxes. The Company shall withhold from any amount payable hereunder to an Executive such amount as shall be sufficient to
satisfy all current or estimated future Federal, state and local withholding tax and employment tax requirements relating to such amount payable to such Executive. 
 Section 7. Executive’s Employment. Nothing in the Plan or any agreement entered into in connection with or pursuant to the Plan shall confer upon an Executive any right to continue in 

  

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the employ of the Company or any of its affiliates or interfere in any way with the right of the Company or its affiliates or Stockholders, as the case may
be, to terminate the Executive’s employment or to increase or decrease the Executive’s compensation at any time. 
 Section 8.
Termination of Participation Amounts. If an Executive is not employed by the Company or any of its subsidiaries as of the closing of the Sale of the Company for any reason other than a termination without Cause or resignation for Good Reason,
then such Executive shall not be entitled to any Bonus. If an Executive is not employed by the Company or any of its subsidiaries as of the first anniversary of the closing of the Sale of the Company for any reason other than a termination without
Cause or resignation for Good Reason, then such Executive shall not be entitled to any Stay Bonus. For purposes of clarification, an Executive shall remain entitled to a particular Bonus so long as such Executive is employed by the Company or its
subsidiaries as of the applicable date provided for in this Section 8, even if such Executive is terminated for any reason subsequent to that date. 
 Section 9. Certain Definitions. As used herein, the following terms shall have the following respective meanings: 
 (a) “Bonus(es)” means a Sale Bonus and/or a Stay Bonus, as the case may be. 
 (b) “Cause” shall have the meaning set forth in the Executive’s employment agreement with the Company or any of its subsidiaries or, if no such agreement is then in effect, shall mean (A) the Executive’s
material disregard of his responsibilities, authorities, powers, functions or duties or failure to act, (B) repeated or material negligence or misconduct by the Executive in the performance of his duties, (C) appropriation (or attempted
appropriation) of a business opportunity of the Company or any of its affiliates, including attempting to secure or securing any personal profit in connection with any transaction entered into on behalf of the Company or any of its affiliates,
(D) the commission by the Executive of any act of fraud, theft or financial dishonesty with respect to the Company or any of its affiliates, or any felony or criminal act involving moral turpitude or dishonesty on the part of the Executive,
(E) the Executive’s habitual drunkenness or excessive absenteeism not related to sickness, and/or (F) the material breach by the Executive of any provision of his employment agreement that is not cured by the Executive within thirty
(30) days after written notice of breach has been delivered to the Executive by the Company, unless such breach is incapable of cure (in which case the Executive shall not be entitled to an opportunity to cure), in each case of clauses
(A) through (F) above, as determined by the Board in good faith. 
 (c) “Designated
Shares” means those issued and outstanding shares of capital stock set forth on Schedule I, as such Schedule may hereafter be modified by the Board or the Committee, as the case may be, to take account of changes to such shares of
capital stock (including with regard to the number and/or classification thereof) resulting from conversions or stock splits so as to maintain the same relative economic benefits to which the Executives and the Stockholders would be entitled absent
such changes. 
 (d) “Designated Value” means in connection with the Sale of the Company, the aggregate Net
Payment Amount attributable to the Designated Shares at the time of consummation of the Sale of the Company (calculated as if all of the Designated Shares were acquired in the Sale of the Company, and valuing the shares that were not acquired in the
Sale of the Company at the average sale price of the shares that were acquired in the Sale of the Company). 
  

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 (e) “Executive” means each person set forth on Schedule II hereto
as in effect from time to time. 
 (f) “Good Reason” means (i) a material reduction in the nature and
scope of the Executive’s responsibilities and functions from the responsibilities and functions normally exercised by a person in the position of the Executive and a material reduction in compensation to the subject Executive, or (ii) a
material breach by the Company or, if applicable, its subsidiary of any material provision of the Executive’s employment agreement (if any), in each case of clauses (i) and (ii), if the Company has failed to cure within 30 days after the
written notice has been delivered by the Executive to the Company or, if applicable, its subsidiary. 
 (g) “Net
Payment Amount” means, in connection with the Sale of the Company, the net amount of (x) the aggregate of (as such amount may be adjusted for any post-closing adjustment for working capital or otherwise) the amount paid or payable by
the purchaser(s) (or, in the case of an asset sale, any distribution or dividend, by the Company) with respect to the Designated Shares (excluding Designated Shares not sold in the Sale of the Company) as consideration (including non-cash
consideration) for the Sale of the Company (subject to the application of the terms of the Company’s Certificate of Incorporation governing the priority of payments in the event of a Sale of the Company) minus (y) all of the fees
and expenses (including, without limitation, fees and expenses of financing sources, brokers, investment bankers, attorneys, accountants, environmental consultants, etc.) incurred by the Stockholders in connection with the sale of the Designated
Shares and which are not reimbursed by the Company; provided, however, that in no event shall the amount under clause (x) above exceed $78,335,000. For purposes of clarification, once the Net Payment Amount has been
received with respect to any Designated Shares, the Executives shall no longer be entitled to receive any Bonuses based on the Net Payment Amount attributable to such Designated Shares in any future sale of such Designated Shares. 
 (h) “Participation Amounts” means the Sale Bonus Participation Amount and/or the Stay Bonus Participation Amount, as the
case may be. 
 (i) “Proportionate Percentage” means a fraction, expressed as a percentage, the numerator of
which is the number of Designated Shares sold in the Sale of the Company and the denominator of which is the total number of Designated Shares. 
 (j) “Sale Bonus Participation Amount” with respect to each Executive, means that participation (expressed as a percentage) of the Net Payment Amount set forth on such Executive’s Participation
Amount Certificate. 
 (k) “Sale of the Company” means (i) a transaction pursuant to which, immediately
after consummation of such transaction, any person or group of persons other than those Stockholders set forth on Schedule III have the right to elect a majority of the members of the Board, (ii) the sale of Designated Shares to any
Stockholder listed on Schedule III that constitutes a Sale of the Corporation (as defined in the Company’s Certificate of Incorporation) or (iii) a sale of all or substantially all of the assets of the Company to one or more
persons. If the Sale of the Company involves a sale of less than all of the Designated Shares and in 

  

 -4- 

 
connection with such Sale of the Company a contractual call or put option is exercised by the purchaser or the Stockholders (as applicable), then for
purposes of this Plan, the Sale of the Company shall be deemed to include any consummation of such call option or put option, and shall be deemed to occur upon (i) the initial sale of the Designated Shares with respect to the Designated Shares
attributable to such initial sale and (ii) upon the exercise of the subject put or call option with respect to the Designated Shares attributable to the exercise of such put or call option. 
 (l) “Stay Bonus Participation Amount” with respect to each Executive, means that participation (expressed as a
percentage) of the Net Payment Amount set forth on such Executive’s Participation Amount Certificate. 
 Section 10. Non-Assignment
by Executive. No rights granted to the Executives pursuant to the Plan may be assigned or otherwise transferred by the Executives except by will or laws of descent and distribution. 
 Section 11. Effectiveness; Code Section 280G. The Plan shall become effective on the date (the “Effective Date”) of its
adoption by the Board. The Plan shall terminate (the “Termination Date”) in its entirety upon the mutual written agreement of the Board and all of the Executives and shall terminate as to a particular Executive upon the earlier of
its termination pursuant to Section 7 or the mutual written agreement of the Board and such Executive. Promptly following its adoption by the Board, the Board shall submit the Plan to the Stockholders for their approval. Notwithstanding
anything in the Plan or any other agreement entered into in connection with or pursuant to the Plan, if the provisions of the Deficit Reduction Act of 1984 (“DEFRA”) or Section 280G of the Code relating to “excess
parachute payments” (as defined by the Code) shall be applicable to any Bonus payment, then the total amount of such payment shall be reduced by the least amount necessary such that the provisions of DEFRA and Section 280G of the Code
relating to “excess parachute payments” shall no longer be applicable; provided, however, that the Company shall use its commercially reasonable efforts to obtain the requisite approvals so that the limiting provisions of
DEFRA and Section 280G of the Code would not be applicable to such payment. 
 Section 12. Amendment. The Board may at any time
prior to the Termination Date modify and amend the Plan in any respect, subject to any approval right of the Stockholders pursuant to applicable law, the Company’s Certificate of Incorporation or By-laws as in effect from time to time, or any
other agreements entered into between the Company and the Stockholders. Any such amendment to the Plan that would have an adverse affect on any Executive individually (including any reduction in such Executive’s Participation Amount) shall
require the prior written consent of such Executive. The Board or the Compensation Committee (as applicable) may not terminate the Plan without the prior consent of all of the Executives. 
 Section 13. Governing Law. The validity and construction of the Plan and the agreements entered into in connection with or pursuant to the Plan
shall be governed by the laws of the State of Delaware. 
 As adopted by the Board of Directors 
 of MercadoLibre, Inc. 
 on September 24, 2001 
  

 -5- 

 SCHEDULE I 
 Designated Shares 
 SCHEDULE I: Designated Shares 
 (000’s) 
  

																	
	 	  	Preferred
A
Shares	  	Preferred
B-1
Shares	  	Preferred
B-2
Shares	  	Preferred
C
Shares	  	Preferred
D-1
Shares	  	Preferred
D-2
Shares	  	Preferred
E-1
Shares	  	Preferred
E-2
Shares
	 Nedasur S.A.
	  		  		  		  	2.456,973	  		  		  		  	
	 JPMP Group
	  		  	1.853,275	  	4.146,725	  		  	441,687	  	2.506,681	  		  	
	 J.P. Morgan Partners (BHCA, L.P.)
	  		  	92,479	  	4.146,725	  		  	22,040	  	2.506,681	  		  	
	 Flatiron Fund 1998/1999 Part 2
	  		  	760,796	  		  		  		  		  		  	
	 Flatiron Associates, LLC
	  		  	46,296	  		  		  	4,839	  		  		  	
	 Flatiron Associates II, LLC
	  		  		  		  		  	19,332	  		  		  	
	 Flatiron Fund 1998/1999
	  		  	453,704	  		  		  		  		  		  	
	 Flatiron Fund 2000
	  		  		  		  		  	318,640	  		  		  	
	 Luna Ventures, LLC
	  		  	150,000	  		  		  	38,418	  		  		  	
	 Ventech, LLC
	  		  	150,000	  		  		  	38,418	  		  		  	
	 GGG
	  		  	200,000	  		  		  		  		  		  	
	 Hicks Muse Investor Group
	  	1.600,000	  		  		  	982,789	  		  		  		  	
	 7-X International
	  	65,000	  		  		  		  		  		  		  	
	 G.B.S.L.
	  	35,000	  		  		  		  		  		  		  	
	 Hicks, Muse, Tate and Furst
	  	1.500,000	  		  		  	982,789	  		  		  		  	
	 Second Round Investors
	  		  		  		  	5.073,649	  		  		  		  	
	 Goldman Sachs
	  		  		  		  	2.456,973	  		  		  		  	
	 GS Capital Partners III L.P.
	  		  		  		  	1.859,826	  		  		  		  	
	 GS Capital Partners III Offshore, L.P.
	  		  		  		  	511,288	  		  		  		  	
	 Goldman Sachs & Co., Venwaltungs GmbH
	  		  		  		  	85,859	  		  		  		  	
	 GE Capital Equity Investments, Inc.
	  		  		  		  	1.228,487	  		  		  		  	
	 Capital Riesgo Internet SCR S.A.
	  		  		  		  	982,789	  		  		  		  	
	 Friends & Family Group
	  		  		  		  	405,400	  		  		  		  	
	 E-Bay
	  		  		  		  		  		  		  	6.983,878	  	1.142,184
		  	 	  	 	  	 	  	 	  	 	  	 	  	 	  	 
	 Total
	  	1.600,000	  	1.853,275	  	4.146,725	  	8.513,411	  	441,687	  	2.506,681	  	6.983,878	  	1.142,184
		  	 	  	 	  	 	  	 	  	 	  	 	  	 	  	 

 SCHEDULE II 
  

							
	 Executives
	  	Sale Bonus
Participation
Amounts	 	 	Stay Bonus
Participation
Amounts	 
	 Marcos Galperin
	  	50	%	 	50	%
	 Hernan Kazah
	  	20	%	 	20	%
	 Nicolas Szekasy
	  	13	%	 	13	%

 SCHEDULE III 
 J.P. Morgan Partners (BHCA), L.P. 
 The Flatiron Fund 1998/99 LLC 
 Flatiron Associates LLC 
 Luna Ventures LLC 
 Ventech LLC 
 GGG Partners 
 Seven-X International Limited 
 HMTF-LA (MercadoLibre) Investments, LLC 
 GS Capital Partners III, L.P. 
 GS Capital Partners III Offshore, L.P. 
 Goldman Sachs & Co. Verwaltungs GmbH 
 GE Capital Equity
Investments, Inc. 
 Capital Riesgo Internet SCR S.A. 
 Nedasur, S.A. 
 Anthony Melchiorre 
 Dwight Siprelle 
 Mike Rankowitz 
 Mitch Petrick 
 Jason Maratos 
 Mete
Tuncel 
 Andrew Brenner 

 EXHIBIT A 
 Form of Participation Amount Certificate 
 Reference is made to the MercadoLibre 2001
Management Incentive Bonus Plan (the “Plan”). Pursuant to Section 1 of the Plan, the undersigned hereby allocates to [EXECUTIVE] the following Participation Amounts: 
  

					
	 Sale Bonus
Participation
 Amount
	 	 	Stay Bonus
Participation
Amount	 
	____	%	 	____	%

 This Certificate shall be subject to the terms and conditions of the Plan in all respects and all
capitalized terms used in this Certificate but not defined herein shall have the meanings ascribed to them in the Plan. The allocation of the Participation Amounts as set forth above shall become effective on the date such allocation has been
approved by the Board or the Compensation Committee, as the case may be. 
  

	
	MERCADOLIBRE, INC.
	
	   
	Name:
	Title: Chief Executive Officer
	Dated:

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