Common use of Terms of Exercise Clause in Contracts

Terms of Exercise. This Option may be exercised, in whole or in part, commencing on the earlier of (i) that date which is three (3) months after the closing of the Company's initial public offering or (ii) January 1, 1998. Notwithstanding the foregoing, the Optionee agrees not to sell, pledge, hypothecate, encumber, or otherwise dispose of the Shares for a period of twelve (12) months following the effective date of the Company's initial public offering, subject to earlier release at the discretion of the underwriter of such initial public offering.