SEC Filing Document

Company: Forbright, Inc.
Ticker: 
CIK: 1925062
Filing Type: S-1
Document Type: EX-10.5
Date Filed: 2026-05-15
Accession Number: 0001628280-26-035713
Exchange: 
SIC Code: 6022
SIC Description: State Commercial Banks
URL: https://www.sec.gov/Archives/edgar/data/1925062/000162828026035713/exhibit105-sx1publicflip.htm

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are applied to agreements between Maryland residents entered into and to be performed entirely within Maryland, except for those provisions required to be governed by the Delaware General Corporation Law. If any provision of this Agreement is determined by a court of law to be illegal or unenforceable, then such provision will be enforced to the maximum extent possible and the other provisions will remain fully effective and enforceable. 11. Incorporation by Reference. All of the other terms of the Plan as currently in effect are hereby incorporated into this Agreement by reference. 12. Defined Terms. Any terms whose definition is not specified in this Agreement shall have the meaning given to them in the Plan. 13. Headings. The headings used herein are for convenience of reference only, are not part of this Agreement and shall not affect the construction of, or be taken into consideration in interpreting, the Award.

14.    Dispute Resolution. Any dispute or controversy arising under or in connection with this Agreement (except for those under Section 9) shall be settled exclusively by arbitration in Bethesda, Maryland, in accordance with the applicable rules of the American Arbitration Association then in effect. In any action to enforce Section 9, the substantially prevailing party will be awarded its reasonable attorneys’ fees and costs.

15.    Counterpart. This Agreement may be executed in counterparts, each of which shall constitute an original, but all of which when taken together shall constitute a single contract.

16.    Entire Agreement. This Agreement (including Appendix A) and the Plan constitute the entire contract among the parties relating to the subject matter hereof and supersede any and all previous agreements and understandings, oral or written, relating to the subject matter hereof. In the event of a conflict between this Agreement and the Plan, this Agreement shall govern.

[Signatures appear on the following page]

IN WITNESS WHEREOF, the Company has caused this Agreement to be duly executed by its authorized officer, and the Participant has hereunto set his hand, all as of the day and year first written above.

FORBRIGHT, INC.

PARTICIPANT

Name:

APPENDIX A

1.    Number of Units subject to this Award:

a.    “A” Units Awarded: [__]

b.    “B” Units Awarded: [__]

c.    “C” Units Awarded: [__]

d.    “D” Units Awarded: [__]

2.    Exercise Price:

a.    The exercise price of any “A” Units awarded to the Participant shall be $[●] (the “Exercise Price”).

b.    The exercise price of any “B” Units awarded to the Participant shall be the greater of (i) Exercise Price and (ii) the value obtained using the following formula:

(Investment Transaction Closing Price x 1.005n)

where “n” is the number of whole months that have elapsed since the Closing Date; provided, that, upon (A) the occurrence of a Qualifying Trigger Event and (B) the achievement of a per share price of Common Stock necessary to provide the investors in the Investment Transaction a 6% internal rate of return (weighted for time and price), the value obtained pursuant to clause (ii) above shall cease to increase; and provided, further, that, in the case of a Qualifying Trigger Event as a result of a Qualifying Public Offering (as defined below), the per share price of Common Stock shall be calculated using a volume-weighted average price over any 30-day trading period following the Qualifying Public Offering; and, provided, further that if, following the fifth anniversary of the Closing Date either (x) a Qualifying Triggering Event has not occurred or (y) a Qualifying Triggering Event has occurred pursuant to Section (iii) of the definition thereof and clause (B) above has not been satisfied, then the value obtained pursuant to clause (ii) above shall cease to increase at such time as clause (B) above is satisfied based on the Target FMV computed pursuant to Section 8 hereof.

c.    The exercise price of any “C” Units awarded to the Participant shall be the Exercise Price.

d.    The exercise price of any “D” Units awarded to the Participant shall be the Exercise Price.

3.    Exercise:

a.    Limitations on Exercise:

i.    Vested “A” Units may be exercised at any time after the applicable vesting date until the termination date of the Units.

ii.    Vested “B” Units may be exercised at any time after the applicable vesting date until the termination date of the Units.

iii.    Vested “C” Units may not be exercised until (i) the occurrence of a Qualifying Trigger Event (as defined below) and (ii) the per share price of the Common Stock upon the closing of the Qualifying Trigger Event (or thereafter, if applicable) equals or exceeds $25; provided, that in the case of a Qualifying Trigger Event as a result of a Qualifying Public Offering, the price must equal or exceed a volume-weighted average price of $25 over any 30-day trading period following the Qualifying Public Offering; provided, further that if, following the fifth anniversary of the Closing Date either (x) a Qualifying Triggering Event has not occurred or (y) a Qualifying Triggering Event has occurred pursuant to Section (iii) of the definition thereof and the Vested “C” Units did not become exercisable, then the Vested “C” Units shall become exercisable if the Target FMV computed pursuant to Section 8 hereof equals or exceeds $25.

iv.    Vested “D” Units may not be exercised until (i) the occurrence of a Qualifying Trigger Event (as defined below) and (ii) the per share price of the Common Stock upon the closing of the Qualifying Trigger Event (or thereafter, if applicable) equals or exceeds $32; provided, that in the case of a Qualifying Trigger Event as a result of a Qualifying Public Offering, the price must equal or exceed a volume-weighted average price of $32 over any 30-day trading period following the Qualifying Public Offering; provided, further that if, following the fifth anniversary of the Closing Date either (x) a Qualifying Triggering Event has not occurred or (y) a Qualifying Triggering Event has occurred pursuant to Section (iii) of the definition thereof and the Vested “D” Units did not become exercisable, then the Vested “D” Units shall become exercisable if the Target FMV computed pursuant to Section 8 hereof equals or exceeds $32.

b.    General Exercise Terms. Payment of all or part of the exercise price for the Award may be made (i) in cash or a cash equivalent acceptable to the Administrator, (ii) by surrendering shares of Common Stock to the Company, (iii) by the withholding of shares of Common Stock otherwise issuable upon the exercise of the Award (including net exercise), (iv) with a full-recourse promissory note, or (v) if the Common Stock is traded on an established securities market, with cash advanced by the broker-dealer if the exercise notice is accompanied by the Participant’s written irrevocable instructions to deliver the Common Stock acquired upon exercise of the Award to the broker-dealer. If Common Stock is used to pay all or part of the exercise price, the sum of the cash or cash equivalent and the Fair Market Value (determined as of the date of exercise) of the shares surrendered must not be less than the exercise price of the shares for which the Award is being exercised. If all or part of the exercise price is to be paid with a promissory note, the par value of the Common Stock, if newly issued, shall be paid in cash or cash equivalents. The shares received upon exercise of the Award shall be pledged as security for payment of the principal amount of the promissory note and interest thereon and the interest rate payable under the terms of the promissory note shall not be less than the minimum rate (if

any) required to avoid the imputation of additional interest under the Code. Subject to the foregoing, the Administrator (at its sole discretion) shall specify the term, interest rate, amortization requirements (if any) and other provisions of such note.

4.    Vesting: The Units granted pursuant to the Award will vest in accordance with the following schedule:

a.    “A” Unit Vesting:

i.    Units Vesting as of first anniversary of Award Date: [__]

ii.    Units Vesting as of second anniversary of Award Date: [__]

iii.    Units Vesting as of third anniversary of Award Date: [__]

iv.    Units Vesting as of fourth anniversary of Award Date: [__]

v.    Units Vesting as of fifth anniversary of Award Date: [__]

b.    “B” Unit Vesting

i.    Units Vesting as of first anniversary of Award Date: [__]

ii.    Units Vesting as of second anniversary of Award Date: [__]

iii.    Units Vesting as of third anniversary of Award Date: [__]

iv.    Units Vesting as of fourth anniversary of Award Date: [__]

v.    Units Vesting as of fifth anniversary of Award Date: [__]

c.    “C” Unit Vesting

i.    Units Vesting as of first anniversary of Award Date: [__]

ii.    Units Vesting as of second anniversary of Award Date: [__]

iii.    Units Vesting as of third anniversary of Award Date: [__]

iv.    Units Vesting as of fourth anniversary of Award Date: [__]

v.    Units Vesting as of fifth anniversary of Award Date: [__]