SEC Contract Filing

Filing Date: 2015-03-02

Document Content:
<DOCUMENT>
<TYPE>EX-10.16
<SEQUENCE>6
<FILENAME>ex10162014-12x31.htm
<DESCRIPTION>EXHIBIT 10.16
<TEXT>
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<a name="s09DB7671AECDB08C72E0E84671EA91C7"></a><div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></div><br><div style="line-height:120%;padding-top:16px;text-align:right;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">Exhibit&#160;10.16</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">September&#160;24, 2008</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Jimmy Duan</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">[Address]</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Dear Jimmy:</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">I am pleased to offer you the position of Senior Vice President, Mid-Market Business, reporting to Leslie Stretch, President and Chief Executive Officer.</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Your starting salary will be $230,000.00 per year, which equals $19,167.00 per month, subject to periodic review. In addition, you will be eligible to participate in an annual executive incentive compensation plan of 55% of your base salary which may be over or under achieved based upon Company performance and your ability to meet your objectives under the plan. Additionally, you will be paid a one-time sign-on bonus of $30,000.00 which will be paid in the first payroll cycle after your start date if you commence your employment with Callidus by no later than October&#160;6, 2008. As a further incentive, we will recommend to the Board of Directors (or an applicable Subcommittee) that you be granted an non-qualified option to purchase 200,000 shares of Callidus Software Inc. common stock subject to the terms and conditions of the Company&#8217;s stock plan, and the Company&#8217;s policies and procedures. Such Option shall be granted effective as of the last business day of the month in which you commence your employment with the Company (&#8220;Grant Date&#8221;) and shall vest over a period of four (4)&#160;years with 25% of the shares vesting one (1)&#160;year after the Grant Date and the remaining 75% of the shares vesting in equal monthly installments thereafter over the remaining three (3)&#160;years, subject to your continued employment with the Company. In addition, we will recommend to the Board of Directors that you be awarded 35,000 shares of restricted stock units, subject to the terms and conditions of the Company&#8217;s stock plan and the Company&#8217;s policies and procedures. Such RSU shall be awarded effective on the last business day of the month in which you commence employment (the &#8220;Award Date&#8221;) and such RSU shall vest over a period of three (3)&#160;years with 33.33% of the shares vesting one (1)&#160;year after the Award Date and the remaining 66.67% of the shares vesting in standard quarterly installments over the remaining two (2)&#160;years thereafter subject to your continued employment with the Company.</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">As a new member of executive management, we will also recommend to the Board that you be classified as a Section&#160;16 officer of Callidus, and that you should therefore be granted benefits in connection with a corporate change of control and indemnification in the case of litigation. Copies of our Board approved Change of Control Agreement and Indemnification Agreement are included for your review and execution. You will need to execute and return these agreements to me for them to become effective.</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">As a regular, full-time employee, you are eligible to participate in Callidus&#8217; benefits programs, including medical, vision, and dental insurance, and 401(k) and ESPP plans, as set forth in our Callidus Benefits Guidebook. Our standard policy requires that you have a reasonably clean driving record and credit history and that we successfully complete a background check. This offer is also contingent upon your completing and executing an Employment, Confidential Information and Invention Assignment Agreement (&#8220;Invention Agreement&#8221;).</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">The Company is