EXHIBIT 10.46
FORM OF
INDEMNIFICATION
AGREEMENT
AGREEMENT, made effective as of the _____ day of
_____, ____ between Wendy’s/Arby’s Group, Inc., a
Delaware corporation (the "Company") and _____________ (the
"Indemnitee").
WHEREAS, it is essential to the Company and its
stockholders to attract and retain qualified and capable directors,
officers, employees, trustees, agents and fiduciaries;
and
WHEREAS, it has been the policy of the Company
to indemnify its directors and officers so as to provide them with
the maximum possible protection permitted by law; and
WHEREAS, in recognition of Indemnitee's need for
protection against personal liability in order to induce Indemnitee
to serve or continue to serve the Company in an effective manner,
and, in the case of directors and officers, to supplement or
replace the Company's directors' and officers' liability insurance
coverage, and in part to provide Indemnitee with specific
contractual assurance that the protection promised by the Company's
corporate charter and/or corporate by-laws or regulations or the
partnership agreements of partnerships for which the Company serves
or has served as general partner (together, the Company's
"Governing Documents") will be available to Indemnitee (regardless
of, among other things, any amendment to or revocation of the
Governing Documents or any change in the composition of the
Company's Board of Directors or any acquisition transaction
relating to the Company), the Company, with the prior approval of
the Company's stockholders, wishes to provide the Indemnitee with
the benefits contemplated by this Agreement; and
WHEREAS, as a result of the provision of such
benefits Indemnitee has agreed to serve or to continue to serve the
Company;
NOW, THEREFORE, the parties hereto do hereby
agree as follows:
1.
Definitions . The following terms, as used
herein, shall have the following respective meanings:
(a) An
Affiliate of a specified Person is a Person who directly, or
indirectly through one or more intermediaries, controls or is
controlled by, or is under common control with, the Person
specified. The term Associate used to indicate a
relationship with any Person shall mean (i) any corporation or
organization (other than the Company or a Subsidiary) of which such
Person is an officer or partner or is, directly, or indirectly, the
Beneficial Owner of ten (10) percent or more of any class of Equity
Securities, (ii) any trust or other estate in which such
Person has a substantial beneficial interest or as to which such
Person serves as trustee or in a similar fiduciary capacity (other
than an Employee Plan Trustee), (iii) any Relative of such
Person, or (iv) any officer or director of any corporation
controlling or controlled by such Person.
(b)
Beneficial Ownership shall be determined, and a Person shall
be the Beneficial Owner of all securities which such Person
is deemed to own beneficially, pursuant to Rule 13d-3 of the
General Rules and Regulations under the Securities Exchange Act of
1934, as amended (or any successor rule or statutory provision),
or, if said Rule 13d-3 shall be rescinded and there shall be
no successor rule or statutory provision thereto, pursuant to said
Rule 13d-3 as in effect on December 1, 1999; provided ,
however , that a Person shall, in any event, also be deemed
to be the Beneficial Owner of any Voting
Shares: (A) of which such Person or any of its
Affiliates or Associates is, directly or indirectly, the
Beneficial Owner, or (B) of which such Person or any of its
Affiliates or Associates has (i) the right to acquire (whether
such right is exercisable immediately or only after the passage of
time), pursuant to any agreement, arrangement or understanding or
upon the exercise of conversion rights, exchange
rights, warrants, or options, or otherwise, or
(ii) sole or shared voting or investment power with respect
thereto pursuant to any agreement, arrangement, understanding,
relationship or otherwise (but shall not be deemed to be the
Beneficial Owner of any Voting Shares solely by reason of a
revocable proxy granted for a particular meeting of stockholders,
pursuant to a public solicitation of proxies for such meeting, with
respect to shares of which neither such Person nor any such
Affiliate or Associate is otherwise deemed the Beneficial Owner),
or (C) of which any other Person is, directly or indirectly,
the Beneficial Owner if such first mentioned Person or any of its
Affiliates or Associates acts with such other Person as a
partnership, syndicate or other group pursuant to any agreement,
arrangement or understanding for the purpose of acquiring,
holding, voting or disposing of any shares of capital stock of the
Company; and provided further , however , that
(i) no director or officer of the Company, nor any Associate
or Affiliate of any such director or officer, shall, solely by
reason of any or all of such directors and officers acting in their
capacities as such, be deemed for any purposes hereof, to be the
Beneficial Owner of any Voting Shares of which any other such
director or officer (or any Associate or Affiliate thereof) is the
Beneficial Owner and (ii) no trustee of an employee stock
ownership or similar plan of the Company or any Subsidiary
("Employee Plan Trustee") or any Associate or Affiliate of any such
Trustee, shall, solely by reason of being an Employee Plan Trustee
or Associate or Affiliate of an Employee Plan Trustee, be deemed
for any purposes hereof to be the Beneficial Owner of any Voting
Shares held by or under any such plan.
(c)
Change in Control shall be deemed to have occurred if
(A) any Person (other than (i) the Company or any
Subsidiary, (ii) any pension, profit sharing, employee stock
ownership or other employee benefit plan of the Company or any
Subsidiary or any trustee of or fiduciary with respect to any such
plan when acting in such capacity, or (iii) DWG
Acquisition Group, L.P. ("DWG Acquisition"),
Nelson Peltz (“Peltz”), Peter W. May ("May") or
any Affiliate or Associate of DWG Acquisition or of Peltz or May)
who is or becomes, after the date of this Agreement, the Beneficial
Owner of 20% or more of the total voting power of the Voting
Shares, (B) during any period of two consecutive years,
individuals who at the beginning of such period constitute the
Board of Directors of the Company and any new director whose
election or appointment by the Board of Directors or nomination or
recommendation for election by the Company's stockholders was
approved by a vote of at least two-thirds (2/3) of the directors
then still in office who either were directors at the beginning of
the period or whose election or nomination for election was
previously so approved, cease for any reason to constitute a
majority thereof, (C) the stockholders of the Company approve
a merger or consolidation of the Company with any other
corporation, other than a merger or consolidation which would
result in the Voting Shares of the Company outstanding immediately
prior thereto continuing to represent (either by remaining
outstanding or by being converted into Voting Shares of the
surviving entity) at least 80% of the total voting power
represented by the Voting Shares of the Company or such surviving
entity outstanding, or the stockholders of the Company approve a
plan of complete liquidation of the Company or an agreement for the
sale or disposition by the Company of all or substantially all of
the Company's assets, or (D) a change in control of a nature
that would be required to be reported in response to Item 6(e)
of Schedule 14A of Regulation 14 promulgated under the
Securities Exchange Act of 1934, as amended, as in effect on
December 1, 1999.
(d)
Claim means any threatened, pending or completed action,
suit, arbitration or proceeding, or any inquiry or investigation,
whether brought by or in the right of the Company or otherwise,
that Indemnitee in good faith believes might lead to the
institution of
any such action, suit, arbitration or
proceeding, whether civil, criminal, administrative, investigative
or other, or any appeal therefrom.
(e)
D&O Insurance means any valid directors' and officers'
liability insurance policy maintained by the Company for the
benefit of the Indemnitee, if any.
(f)
Determination means a determination, and Determined
means a matter which has been determined based on the facts known
at the time, by: (i) a majority vote of a quorum of
disinterested directors, or (ii) if such a quorum is not
obtainable, or even if obtainable, if a quorum of disinterested
directors so directs, by independent legal counsel in a written
opinion, or, in the event there has been a Change in Control, by
the Special Independent Counsel (in a written opinion) selected by
Indemnitee as set forth in Section 6, or (iii) a majority
of the disinterested stockholders of the Company, or (iv) a
final adjudication by a court of competent jurisdiction.
(g)
Equity Security shall have the meaning given to such term
under Rule 3a11-1 of the General Rules and Regulations under
the Securities Exchange Act of 1934, as amended, as in effect on
December 1, 1999.
(h)
Excluded Claim means any payment for Losses or Expenses in
connection with any Claim: (i) based upon or
attributable to Indemnitee gaining in fact any personal profit or
advantage to which Indemnitee is not entitled; or (ii) for the
return by Indemnitee of any remuneration paid to Indemnitee without
the previous approval of the stockholders of the Company which is
illegal; or (iii) for an accounting of profits in fact made
from the purchase or sale by Indemnitee of securities of the
Company within the meaning of Section 16 of the Securities
Exchange Act of 1934, as amended, as in effect on December 1, 1999,
or similar provisions of any state law; or (iv) resulting from
Indemnitee's knowingly
fraudulent, dishonest or willful misconduct; or
(v) the payment of which by the Company under this Agreement
is not permitted by applicable law.
(i)
Expenses means any reasonable expenses incurred by
Indemnitee as a result of a Claim or Claims made against Indemnitee
for Indemnifiable Events including, without limitation, attorneys'
fees and all other costs, expenses and obligations paid or incurred
in connection with investigating, defending, being a witness in or
participating in (including on appeal), or preparing to
defend, be a witness in or participate in any Claim relating to any
Indemnifiable Event.
(j)
Fines means any fine, penalty or, with respect to an
employee benefit plan, any excise tax or penalty assessed with
respect thereto.
(k)
Indemnifiable Event means any event or occurrence, occurring
prior to or after the date of this Agreement, related to the fact
that Indemnitee is or was a director, officer, employee, trustee,
agent or fiduciary of the Company, or is or was serving at the
request of the Company as a director, officer, employee, trustee,
agent or fiduciary of another corporation, partnership, joint
venture, limited liability company, employee benefit plan, trust or
other enterprise, or by reason of anything done or not done by
Indemnitee, including, but not limited to, any breach of duty,
neglect, error, misstatement, misleading statement, omission, or
other act done or wrongfully attempted by Indemnitee, or any of the
foregoing alleged by any claimant, in any such capacity.
(l)
Losses means any amounts or sums which Indemnitee is legally
obligated to pay as a result of a Claim or Claims made against
Indemnitee for Indemnifiable Events including, without limitation,
damages, judgments and sums or amounts paid in settlement of a
Claim or Claims, and Fines.
(m)
Person means any individual, partnership, corporation,
business trust, limited liability company, joint stock company,
trust, unincorporated association, joint venture, governmental
authority or other entity of whatever nature.
(n)
Potential Change in Control shall be deemed to have occurred
if (A) the Company enters into an agreement, the consummation
of which would result in the occurrence of a Change in Control;
(B) any Person (including the Company) publicly announces an
intention to take or to consider taking actions which if
consummated would constitute a Change in Control; (C) any
Person (other than (i) the Company or any Subsidiary,
(ii) any pension, profit sharing, employee stock ownership or
other employee benefit plan of the Company or any Subsidiary or any
trustee of or fiduciary with respect to any such plan when acting
in such capacity, or (iii) DWG Acquisition, Peltz, May, or any
Affiliate or Associate of DWG Acquisition or of Peltz or May) who
is or becomes the Beneficial Owner of 9.5% or more of the total
voting power of the Voting Shares, increases his Beneficial
Ownership of such voting power by 5% or more over the
percentage so owned by such Person on the date hereof; or
(D) the Board of Directors
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