SONICWALL, INC.
2008 EQUITY INCENTIVE
PLAN
RESTRICTED STOCK UNIT
AGREEMENT
Unless otherwise defined herein, the terms
defined in the SonicWALL, Inc. 2008 Equity Incentive Plan (the
“Plan”) will have the same defined meanings in this
Restricted Stock Unit Agreement (the
“Agreement”).
NOTICE OF RESTRICTED STOCK UNIT
GRANT
You have been granted the right to receive an
Award of Restricted Stock Units, subject to the terms and
conditions of the Plan and this Agreement, as follows:
Grant
Number
Date of
Grant
Number of Restricted Stock Units
Vesting Schedule :
Subject to any acceleration provisions contained
in the Plan or set forth below, the Restricted Stock Units will
vest in accordance with the following schedule:
One-hundred percent (100%) of the Restricted
Stock Units shall vest on the day immediately preceding the
Company’s 2010 Annual Meeting of Shareholders, subject to
Participant’s continuous status as a Director through such
date.
In the event Participant ceases to be a Director
for any or no reason before Participant vests in the Restricted
Stock Units, the Restricted Stock Units and Participant’s
right to acquire any Shares hereunder will immediately
terminate.
By Participant’s signature and the
signature of the representative of SonicWALL, Inc. (the
“Company”) below, Participant and the Company agree
that this Award of Restricted Stock Units is granted under and
governed by the terms and conditions of the Plan and this
Agreement, including the Terms and Conditions of Restricted Stock
Unit Grant, attached hereto as Exhibit A , all of which are
made a part of this document. Participant has reviewed
the Plan and this Agreement in their entirety, has had an
opportunity to obtain the advice of counsel prior to executing this
Agreement and fully understands all provisions of the Plan and
Agreement. Participant hereby agrees to accept as
binding, conclusive and final all decisions or interpretations of
the Board upon any questions relating to the Plan and
Agreement. Participant further agrees to notify the
Company upon any change in the residence address indicated
below.
PARTICIPANT: SONICWALL,
INC.:
Signature
By
Print
Name Title
Residence
Address :
EXHIBIT A
TERMS AND CONDITIONS OF
RESTRICTED STOCK UNIT GRANT
1.
Grant . The Company hereby grants to the
Participant named in the Notice of Restricted Stock Unit
Grant attached to this Agreement (“Participant”)
under the Plan an Award of Restricted Stock Units, subject to all
of the terms and conditions in this Agreement and the Plan, which
is incorporated herein by reference. In the event of a
conflict between the terms and conditions of the Plan and the terms
and conditions of this Agreement, the terms and conditions of the
Plan will prevail.
2.
Company’s Obligation to Pay . Each
Restricted Stock Unit represents the right to receive a Share on
the date it vests (or at such later time indicated in this
Agreement). Unless and until the Restricted Stock Units
will have vested in the manner set forth in Section 3 or
Section 4 of this Agreement or Section 14(c) of the Plan,
Participant will have no right to payment of any such Restricted
Stock Units. Prior to actual payment of any vested
Restricted Stock Units, such Restricted Stock Units will represent
an unsecured obligation of the Company, payable (if at all) only
from the general assets of the Company. Any Restricted
Stock Units that vest in accordance with this Agreement will be
paid to Participant (or in the event of Participant’s death,
to his or her properly designated beneficiary or estate) in whole
Shares, subject to Participant satisfying any applicable tax
withholding obligations as set forth in Section
7. Subject to the provisions of Section 4, such vested
Restricted Stock Units will be paid in Shares as soon as
practicable after vesting, but in each such case within the period
ending no later than the fifteenth (15 th )
day of the third (3 rd )
month following the end of the Company’s tax year that
includes the vesting date.
3.
Vesting Schedule . Except as provided in Section
4 of the Agreement and Section 14(c) of the Plan, and subject to
Section 5, the Restricted Stock Units awarded by this Agreement
will vest in accordance with the vesting provisions set forth in
the Notice of Restricted Stock Unit Grant attached to this
Agreement. Restricted Stock Units scheduled to vest
on a certain date or upon the occurrence of a certain condition
will not vest in Participant in accordance with any of the
provisions of this Agreement, unless Participant will have been
continuously a Director from the Date of Grant until the date such
vesting occurs.
4.
Board Discretion . The Board, in its discretion,
may accelerate the vesting of the balance, or some lesser portion
of the balance, of the unvested Restricted Stock Units at any time,
subject to the terms of the Plan. If so accelerated,
such Restricted Stock Units will be considered as having vested as
of the date specified by the Board. Subject to the
provisions of this Section 4 and Section 5, if the Board, in
its discretion, accelerates the vesting of the balance, or some
lesser portion of the balance, of the Restricted Stock Units, the
payment of such accelerated Restricted Stock Units shall be made
within the period ending no later than the fifteenth (15
th ) day of the third (3 rd )
month following the end of the Company’s taxable year that
includes the vesting date.
5.
Forfeiture upon Termination of Continuous Status as a
Director . Notwithstanding any contrary provision of
this Agreement, the balance of the Restricted Stock Units that have
not vested as of the time of Participant’s termination as a
Director for any or no reason and Participant’s right to
acquire any Shares hereunder will immediately terminate.
6.
Death of Participant . Any distribution or
delivery to be made to Participant under this Agreement will, if
Participant is then deceased, be made to Participant’s
designated beneficiary, or if no beneficiary survives Participant,
the administrator or executor of Participant’s
estate. Any such transferee must furnish the Company
with (a) written notice of his or her status as transferee,
and (b) evidence satisfactory
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