Exhibit 10.4
BUSINESS DEVELOPMENT SOLUTIONS,
INC.
2009 EQUITY INCENTIVE PLAN
NOTICE OF RESTRICTED STOCK AWARD [PRC
RESIDENTS]
Capitalized but otherwise undefined terms in
this Notice of Restricted Stock Award and the attached Restricted
Stock Award Agreement shall have the same defined meanings as in
the Business Development Solutions, Inc. 2009 Equity Incentive Plan
(the “ Plan ”).
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Grantee Name:
_______________________
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Address:
_______________________
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You
have been granted shares of Restricted Stock subject to the terms
and conditions of the Plan and the attached Restricted Stock Award
Agreement, as follows:
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Date of
Grant:
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_______________________
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Vesting
Commencement Date
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_______________________
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(if different
from Date of Grant):
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_______________________
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Purchase Price
per Share:
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_______________________
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Total Number of
Shares Granted:
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_______________________
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Agreement Date
:
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_______________________
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Vesting
Schedule:
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_______________________
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BUSINESS DEVELOPMENT SOLUTIONS,
INC.
2009 EQUITY INCENTIVE PLAN
RESTRICTED STOCK AWARD
AGREEMENT
This
RESTRICTED STOCK AWARD AGREEMENT (“
Agreement ”), dated as of the Agreement
Date specified on the Notice of Restricted Stock Award is made by
and between BUSINESS DEVELOPMENT SOLUTIONS, INC., a Delaware
Company (the “ Company ”), and the
grantee named in the Notice of Restricted Stock Award (the “
Grantee ,” which term as used herein
shall be deemed to include any successor to Grantee by will or by
the laws of descent and distribution, unless the context shall
otherwise require). Capitalized terms used but not otherwise
defined in this Agreement have the meanings ascribed to them in the
Business Development Solutions, Inc. 2009 Equity Incentive Plan
(the “ Plan ”).
BACKGROUND
Pursuant
to the Plan, the Company, acting through the Administrator,
approved the issuance to Grantee, effective as of the date set
forth above, of an award of the number of Shares of Restricted
Stock (“ Restricted Shares ”) as is set forth in
the attached Notice of Restricted Stock Award (which is expressly
incorporated herein and made a part hereof, the “
Notice of Restricted Stock Award ”),
upon the terms and conditions hereinafter set forth.
NOW,
THEREFORE , in
consideration of the mutual premises and undertakings hereinafter
set forth, the parties agree as follows:
1. Grant and Purchase of
Restricted Shares . The Company hereby grants to Grantee,
and Grantee hereby accepts the number of Restricted Shares set
forth in the Notice of Restricted Stock Award.
2. Stockholder Rights
.
(a)
Voting Rights . Until such time as all or any part of the
Restricted Shares are forfeited to the Company under this
Agreement, if ever, Grantee (or any successor in interest) has the
rights of a stockholder, including voting rights, with respect to
the Restricted Shares subject, however, to the transfer
restrictions or any other restrictions set forth in the
Plan.
(b)
Dividends and Other Distributions . During the period of
restriction, Participants holding Restricted Shares are entitled to
all regular cash dividends or other distributions paid with respect
to all Shares while they are so held. If any such dividends or
distributions are paid in Shares, such Shares will be subject to
the same restrictions on transferability and forfeitability as the
Restricted Shares with respect to which they were paid.
3. Vesting of Restricted
Shares .
(a)
The Restricted Shares are restricted and subject to forfeiture
until vested. The Restricted Shares which have vested and are no
longer subject to forfeiture are referred to as “
Vested Shares .” All Restricted Shares
which have not become Vested Shares are referred to as “
Nonvested Shares .”
(b)
Restricted Shares will vest and become nonforfeitable in accordance
with the vesting schedule contained in the Notice of Restricted
Stock Award.
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(c) Any Nonvested
Shares of Grantee will automatically vest and become nonforfeitable
if Grantee’s service with the Company ceases owing to the
Grantee’s (a) death, (b) Disability, or (c) Retirement,
unless the Administrator provides otherwise.
(d)
In the event of a Change in Control, the Administrator, in its
discretion, may accelerate the time at which all or any portion of
Grantee’s Restricted Shares will vest.
(e)
Terms used in Section 3 and Section 4 have the
following meanings:
(i) “ Cause ”
has the meaning ascribed to such term or words of similar import in
Grantee’s written employment or service contract with the
Company or its Affiliates and, in the absence of such agreement or
definition, means Grantee’s (i) conviction of, or plea of
nolo contendere to, a felony or crime involving moral
turpitude; (ii) fraud on or misappropriation of any funds or
property of the Company or its subsidiaries, or any affiliate,
customer or vendor; (iii) personal dishonesty, incompetence,
willful misconduct, willful violation of any law, rule or
regulation (other than minor traffic violations or similar
offenses), or breach of fiduciary duty which involves personal
profit; (iv) willful misconduct in connection with Grantee’s
duties or willful failure to perform Grantee’s
responsibilities in the best interests of the Company or its
Affiliates; (v) illegal use or distribution of drugs; (vi)
violation of any rule, regulation, procedure or policy of the
Company or its Affiliates; or (vii) breach of any provision of any
employment, non-disclosure, non-competition, non-solicitation or
other similar agreement executed by Grantee for the benefit of the
Company or its Affiliates, all as determined by the Board of
Directors of the Company, which determination will be
conclusive.
(ii) “
Disability ” means a medically
determinable physical or mental impairment that can be expected to
result in death or can be expected to last for a continuous period
of not less than 12 months, and that either (1) renders Grantee
unable to engage in any substantial gainful activity or (2) results
in Grantee receiving income replacement benefits for a period of
not less than three months under an employee accident and health
plan covering Grantee.
(iii) “
Retirement ” means Grantee’s
retirement from Company employ at age 65 as determined in
accordance with the policies of the Company or its subsidiaries in
good faith by the Board of Directors of the Company, which
determination will be final and binding on all parties
concerned.
(f)
Nonvested Shares may not be sold, transferred, assigned, pledged,
or otherwise disposed of, directly or indirectly, whether by
operation of law or otherwise. The restrictions set forth in this
Section will terminate upon a Change in Control.
4. Forfeiture of Nonvested
Shares . Except as provided herein, if Grantee's service
with the Company ceases for any reason other than Grantee’s
(a) death, (b) Disability, or (c) Retirement, any Nonvested Shares
will be automatically forfeited to the Company; provided, however,
that the Administrator may cause any Nonvested Shares immediately
to vest and become nonforfeitable if Grantee’s service with
the Company is terminated by the Company without Cause.
(a)
Legend . Each certificate representing Restricted Shares
granted pursuant to the Notice of Restricted Stock Award may bear a
legend substantially as follows:
“THE SALE OR OTHER TRANSFER
OF THE SHARES REPRESENTED BY THIS CERTIFICATE, WHETHER VOLUNTARY,
INVOLUNTARY OR BY OPERATION OF LAW, IS SUBJECT TO CERTAIN
RESTRICTIONS ON TRANSFER AS SET FORTH IN THE BUSINESS DEVELOPMENT
SOLUTIONS, INC. 2009 EQUITY INCENTIVE PLAN AND IN A RESTRICTED
STOCK AWARD AGREEMENT. A COPY OF SUCH PLAN AND SUCH AGREEMENT MAY
BE OBTAINED FROM BUSINESS DEVELOPMENT SOLUTIONS,
INC.”
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(b) Escrow of
Nonvested Shares . The Company has the right to retain the
certificates representing Nonvested Shares in the Company’s
possession until such time as all restrictions applicable to such
Shares have been satisfied.
(c)
Removal of Restrictions . The Participant is entitled to
have the legend removed from certificates representing Vested
Shares.
5. Recapitalizations,
Exchanges, Mergers, Etc. The provisions of this Agreement
apply to the full extent set forth herein with respect to any and
all shares of capital stock of the Company or successor of the
Company which may be issued in respect of, in exchange for, or in
substitution for the Restricted Shares by reason of any stock
dividend, split, reverse split, combination, recapitalization,
reclassification, merger, consolidation or otherwise which does not
terminate this Agreement. Except as otherwise provided herein, this
Agreement is not intended to confer upon any other person except
the parties hereto any rights or remedies hereunder.
6. Grantee
Representations .
Grantee
represents to the Company the following:
(a)
Acknowledgement of Terms . Grantee acknowledges that Grantee
has received, read and understood the Plan and the Agreement and
agrees to abide by and be bound by their terms and
conditions.
(b)
Restrictions on Transfer . Grantee acknowledges that the
Restricted Shares to be issued to Grantee must be held indefinitely
unless subsequently registered and qualified under the Securities
Act of 1933, as amended (the “ Act
”), or unless an exemption from registration and
qualification is otherwise available. Grantee hereby covenants and
agrees with the Company that (i) Grantee is purchasing the
Restricted Shares for Grantee’s own account and not with a
view to the resale or distribution thereof, (ii) any subsequent
offer for sale or sale of any such Restricted Shares shall be made
either pursuant to either (x) a registration statement under that
Act, which registration statement shall have become effective and
shall be current with respect to the Restricted Shares being
offered and sold, or (y) an exemption from the registration
statement requirements of that Act, including the provisions of
Regulation S promulgated under the Act (“ Regulation
S ”), provided that Grantee is not a U.S. person
(as defined in Regulation S) and is not acquiring the Restricted
Shares for the account or benefit of a U.S. person, will resell the
Restricted Shares only in accordance with the provisions of
Regulation S and will not engage in any hedging transactions with
regard to the Restricted Shares unless in compliance with the Act,
but in claiming the exemption in (y), Grantee shall, prior to any
offer for sale or sale of such Restricted Shares, obtain a
favorable written opinion from counsel for or reasonably approved
by the Company as to the applicability of such exemption, and (iii)
the certificate evidencing such Restricted Shares shall bear an
additional legend to the effect of the foregoing substantially as
follows:
“THESE SECURITIES HAVE NOT
BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 (THE
“SECURITIES ACT”) OR UNDER APPLICABLE STATE SECURITIES
LAWS AND MAY NOT BE SOLD, TRANSFERRED OR OTHERWISE DISPOSED OF
OTHER THAN IN COMPLIANCE WITH AN AVAILABLE EXEMPTION FROM THE
REGISTRATION STATEMENT REQUIREMENTS OF THE SECURITIES ACT,
INCLUDING THE PROVISIONS OF REGULATION S PROMULGATED UNDER THE
SECURITIES ACT, UNLESS REGISTERED UNDER THE SECURITIES ACT AND ANY
APPLICABLE STATE SECURITIES LAWS, PROVIDED THAT THE SELLER DELIVERS
TO THE COMPANY AN OPINION OF COUNSEL (WHICH OPINION IS REASONABLY
SATISFACTORY TO THE COMPANY) CONFIRMING THE AVAILABILITY OF SUCH
EXEMPTION. THESE SECURITIES MAY BE PLEDGED IN CONNECTION WITH A
BONA FIDE MARGIN ACCOUNT SECURED BY SUCH SECURITIES TO THE EXTENT
PERMITTED BY APPLICABLE FEDERAL AND STATE SECURITIES
LAWS.”
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Grantee further acknowledges that the
Restricted Shares may be subject to such restrictions, conditions
or limitations as the Company determines appropriate as to the
timing and man