SEC Contract Filing

Filing Date: 2025-07-29

Document Content:
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<TYPE>EX-10.1
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<FILENAME>d50216dex101.htm
<DESCRIPTION>EX-10.1
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 <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="right"><B>Exhibit 10.1 </B></P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="right">Execution Version </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>DURECT
CORPORATION </B></P> <P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>RETENTION PLAN </B></P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center"><B>Effective as of July&nbsp;28, 2025 </B></P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman">1. <U>Purpose</U>. The purpose of this Retention Plan is to reinforce and encourage the continued attention and dedication of certain key
service providers of the Company by providing the opportunity for such key service providers to receive Retention Bonus payments over time in connection with the achievement of certain net sales milestones. </P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:4%; font-size:10pt; font-family:Times New Roman">2. <U>Definitions</U>. The following terms as used herein shall have the meanings set forth in this <U>Section</U><U></U><U>&nbsp;2</U>. </P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:9%; font-size:10pt; font-family:Times New Roman">2.1 &#147;<U>Achievement Date</U>&#148; shall mean the date of the achievement of a Net Sales Milestone, as determined by Parent. For the
avoidance of doubt, more than one Net Sales Milestone may be achieved on a particular date. </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:9%; font-size:10pt; font-family:Times New Roman">2.2 &#147;<U>Aggregate Exercise Price
Milestone #1</U>&#148; shall mean the aggregate per share exercise price of any <FONT STYLE="white-space:nowrap"><FONT STYLE="white-space:nowrap"><FONT STYLE="white-space:nowrap">Out-of-the-Money</FONT></FONT></FONT> Options held by a Participant as
of the Effective Date that would have an exercise price less than the sum of (i)&nbsp;the Cash Amount (as such term is defined in the Merger Agreement) <I>plus</I> (ii)&nbsp;any payment per share resulting from Bonus Pool Amount Milestone #1. </P>
<P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:9%; font-size:10pt; font-family:Times New Roman">2.3 &#147;<U>Aggregate Exercise Price Milestone #2</U>&#148; shall mean the aggregate per share exercise price of any <FONT
STYLE="white-space:nowrap"><FONT STYLE="white-space:nowrap"><FONT STYLE="white-space:nowrap">Out-of-the-Money</FONT></FONT></FONT> Options held by a Participant as of the Effective Date that would have an exercise price less than the sum of
(i)&nbsp;(x) the Cash Amount <I>plus</I> (y)&nbsp;any payment per share resulting from Bonus Pool Amount Milestone #1 <I>plus</I> (z)&nbsp;any payment per share resulting from Bonus Pool Amount Milestone #2 <I>less</I> (ii)&nbsp;the aggregate per
share exercise price of any <FONT STYLE="white-space:nowrap"><FONT STYLE="white-space:nowrap"><FONT STYLE="white-space:nowrap">Out-of-the-Money</FONT></FONT></FONT> Options held by a Participant as of the Effective Date included in Aggregate
Exercise Price Milestone #1. </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:9%; font-size:10pt; font-family:Times New Roman">2.4 &#147;<U>Affiliate</U>&#148; shall mean, with respect to any Person, any other Person which directly or
indirectly controls, is controlled by or is under common control with such Person. For purposes of the immediately preceding sentence, the term &#147;control&#148; (including, with correlative meanings, the terms &#147;controlling,&#148;
&#147;controlled by&#148; and &#147;under common control with&#148;), as used with respect to any Person, means the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of such Person,
whether through ownership of voting securities, by contract or otherwise. </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:9%; font-size:10pt; font-family:Times New Roman">2.5 &#147;<U>Board</U>&#148; shall mean the Board of Directors
of the Company. </P> <P STYLE="margin-top:12pt; margin-bottom:0pt; text-indent:9%; font-size:10pt; font-family:Times New Roman">2.6 &#147;<U>Bonus Pool Amount Milestone #1</U>&#148; shall mean a sum equal to (i)&nbsp;(x) one hundred million dollars
($100,000,000) <I>multiplied by</I> (y)&nbsp;a fraction, the numerator of which is the Outstanding Eligible Milestone #1 Options and the denominator of which is the total number of outstanding shares of Common Stock as of the Closing Date
<I>plus</I> the shares of Common Stock underlying all restricted stock units of the Company, if any, as of the Closing Date, <I>plus</I> the shares of Common Stock underlying all outstanding Company Options as of the Closing Date (&#147;<U>Fully
</U> </P>
 <p STYLE="margin-top:0pt;margin-bottom:0pt ; font-size:8pt">&nbsp;</P> <P STYLE="margin-top:0pt; margin-bottom:0pt; font-size:10pt; font-family:Times New Roman" ALIGN="center">1 </P>

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<U>Diluted Shares</U>&#148;), <I>minus</I> (ii)&nbsp;the Aggregate Exercise Price Milestone #1 <I>plus</I> (iii)&nbsp;(x) the Cash Amount <I>multiplied by</I> (y)&nbsp;the Outstanding Eligible
Milestone #1 Options; provided,