EXHIBIT 10.4
BRIGHT HORIZONS FAMILY SOLUTIONS, INC.
RESTRICTED SHARE AWARD AGREEMENT
(EXECUTIVE)
THIS RESTRICTED SHARE AWARD AGREEMENT (this "Agreement") is made and
entered into as of the _____ day of _______________, 20___ (the "Grant Date"),
between Bright Horizons Family Solutions, Inc., a Delaware corporation, together
with its subsidiaries (the "Company"), and ________________________________ (the
"Grantee"). Capitalized terms not otherwise defined herein shall have the
meaning ascribed to such terms in the Bright Horizons Family Solutions, Inc.
2006 Equity and Incentive Plan (the "Plan").
WHEREAS, the Company has adopted the Plan, which permits the issuance of
restricted shares of the Company's common stock, par value $0.01 per share (the
"Common Stock"); and
WHEREAS, pursuant to the Plan, the Committee responsible for administering
the Plan has granted an award of restricted shares to the Grantee as provided
herein;
NOW, THEREFORE, in consideration of the mutual covenants hereinafter set
forth and for other good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged, the parties hereto, intending to be legally
bound hereby, agree as follows:
1. Grant of Restricted Shares.
(a) The Company hereby grants to the Grantee an award (the "Award") of
_______________ shares of Common Stock (the "Shares" or the "Restricted Shares")
on the terms and conditions set forth in this Agreement and as otherwise
provided in the Plan.
(b) The Grantee's rights with respect to the Award shall remain
forfeitable at all times prior to the dates on which the restrictions shall
lapse in accordance with Sections 2 and 3 hereof.
2. Terms and Rights as a Stockholder.
(a) Except as provided herein and subject to such other exceptions as
may be determined by the Committee in its discretion, the "Restricted Period"
for [______] percent (____%) of the Restricted Shares granted herein shall
expire on [each of] the [_______] anniversary[ies] of the date hereof.
(b) The Grantee shall have all rights of a stockholder with respect to
the Restricted Shares, including the right to receive dividends and the right to
vote such Shares, subject to the following restrictions:
(i) the Grantee shall not be entitled to delivery of the stock
certificate for any Shares until the expiration of the Restricted Period as to
such Shares;
(ii) none of the Restricted Shares may be sold, assigned,
transferred, pledged, hypothecated or otherwise encumbered or disposed of during
the Restricted Period as to such Shares; and
(iii) except as otherwise determined by the Committee at or after
the grant of the Award hereunder, any Restricted Shares as to which the
applicable "Restricted Period" has not expired shall be forfeited, and all
rights of the Grantee to such Shares shall terminate, without further obligation
on the part of the Company, unless the Grantee (A) remains in the continuous
employment of the Company for the entire Restricted Period, or (B) terminates
employment during the Restricted Period on account of Retirement or Early
Retirement. "Early Retirement" means retirement, with the express consent of the
Committee at or before the time of such retirement, from active employment with
the Company provided the Optionee has reached the age of fifty (50) and has been
employed by the Company for at least fifteen (15) years at the time of such
retirement. Retirement means retirement from active employment with the Company
provided the Optionee has reached the age of sixty-five (65).
(c) Notwithstanding the foregoing, in the Committee's sole discretion,
the Restricted Period shall automatically terminate as to all Restricted Shares
awarded hereunder (as to which such Restricted Period has not previously
terminated) upon the occurrence of termination of the Grantee's employment from
the Company, a Subsidiary or Affiliate which results from Grantee's death or
Disability.
(d) Notwithstanding the foregoing, if, within one year following a
Change in Control, Grantee's employment with the Company (or its successor) is
terminated by reason of (i) death; (ii) Disability; (iii) Retirement or Early
Retirement; (iv) for Good Reason by the Grantee; or (v) involuntary termination
by the Company for any reason other than for Cause, the Restricted Period shall
automatically terminate as to all Restricted Shares awarded hereunder (as to
which such Restricted Period has not previously terminated) immediately prior to
such termination of employment.
Any Shares, any other securities of the Company and any other property (except
for cash dividends) distributed with respect to the Restricted Shares shall be
subject to the same restrictions, terms and conditions as such Restricted
Shares.
3. Termination of Restrictions. Following the termination of the Restricted
Period, all restrictions set forth in this Agreement or in the Plan relating to
such portion or all, as applicable, of the Restricted Shares shall lapse as to
such portion or all, as applicable, of the Restricted Shares, and a stock
certificate for the appropriate number of Shares, free of the restrictions and
restrictive stock legend, shall, as soon as practicable, be delivered to the
Grantee pursuant to the terms of this Agreement.
4. Delivery of Shares.
(a) As of the date hereof, certificates representing the Restricted
Shares shall be registered in the name of the Grantee and held by the Company or
transferred to a custodian
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appointed by the Company for the account of the Grantee subject to the terms and
conditions of the Plan and shall remain in the custody of the Company or such
custodian until their delivery to the Grantee as set forth in Section 4(b)
hereof or their reversion to the Company as set forth in Section 2(b) hereof.
(b) Certificates representing Restricted Shares in respect of which
the applicable Restricted Period has lapsed pursuant to this Agreement shall be
delivered to the Grantee (or Grantee's personal representative, if applicable)
as soon as practicable following the date on which the restrictions on such
Restricted Shares lapse.
(c) Each certificate representing Restricted Shares shall bear a
legend in substantially the following form or substance:
THIS CERTIFICATE AND THE SHARES OF STOCK REPRESENTED HEREBY ARE SUBJECT TO
THE TERMS AND CONDITIONS (INCLUDING FORFEITURE AND RESTRICTIONS AGAINST
TRANSFER) CONTAINED IN THE BRIGHT HORIZONS FAMILY SOLUTIONS, INC. 2006
EQUITY AND INCENTIVE PLAN (THE "PLAN") AND THE RESTRICTED SHARE AWARD
AGREEMENT (THE "AGREEMENT") BETWEEN THE OWNER OF THE RESTRICTED SHARES
REPRESENTED HEREBY AND BRIGHT HORIZONS FAMILY SOLUTIONS, INC. (THE
"COMPANY"). THE RELEASE OF SUCH SHARES FROM SUCH TERMS AND CONDITIONS SHALL
BE MADE ONLY IN ACCORDANCE WITH THE PROVISIONS OF THE PLAN AND THE
AGREEMENT AND ALL OTHER APPLICABLE POLICIES AND PROCEDURES OF THE COMPANY,
COPIES OF WHICH ARE ON FILE AT THE COMPANY.
5. Effect of Lapse of Restrictions. To the extent that the Restricted
Period applicable to any Restricted Shares shall have lapsed, the Grantee may
receive, hold, sell or otherwise dispose of such Shares free and clear of the
restrictions imposed under the Plan and this Agreement.
6. No Right to Continued Employment. This Agreement shall not be construed
as giving Grantee the right to be retained in the employ of the Company, and the
Company may at any time dismiss Grantee from employment, free from any liability
or any claim under the Plan but subject to the terms of any employment agreement
or other contractual provision between the Company and Grantee.
7. Adjustments. The Committee may make adjustments in the terms and
conditions of, and the criteria included in, this Award in recognition of
unusual or nonrecurring events (including, without limitation, the events
described in Section 4.2 of the Plan) affecting the Company, or the financial
statements of the Company, or of changes in applicable laws, regulations, or
accounting principles, whenever the Committee determines that such adjustments
are appropriate in order to prevent dilution or enlargement of the benefits or
potential benefits intended to be made available under the Plan.
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8. Amendment to Award. Subject to the restrictions contained in the Plan,
the Committee may waive any conditions or rights under, amend any terms of, or
alter, suspend, discontinue, cancel or terminate the Award, prospectively or
retroactively; provided that any such waiver, amendment, alteration, suspension,
discontinuance, cancellation or termination that would adversely affect the
rights of the Grantee or any holder or beneficiary of the Award shall not to
that extent be effective without the consent of the Grantee, holder or
beneficiary affected.
9. Withholding of Taxes. If the Grantee makes an election under Section
83(b) of the Code with respect to the Award, the Award made pursuant to this
Agreement shall be conditioned upon the prompt payment to the Company of any
applicable withholding obligations or withholding taxes by the Grantee
("Withholding Taxes"). Failure by the Grantee to pay such Withholding Taxes will
render this Agreement and the Award granted hereunder null and void ab initio
and the Restricted Shares granted hereunder will be immediately cancelled. If
the Grantee does not make an election under Section 83(b) of the Code with
respect to the Award, upon the lapse of the Restricted Period with respect to
any portion of Restricted Shares (or property distributed with respect thereto),
the Company shall satisfy the required Withholding Taxes as set forth by
Internal Revenue Service guidelines for the employer's minimum statutory
withholding with respect to Grantee and issue vested shares to the Grantee
without restriction. The Company shall satisfy the required Withholding Taxes by
taking such action as it deems appropriate, including (a) by withholding from
the Shares included in the Award that number of whole shares necessary to
satisfy such taxes as of the date the restrictions lapse with respect to such
Shares based on the Fair Market Value of the Shares, (b) by receiving a cash
payment from Grantee, or (c) by withholding from other wages otherwise payable
to Grantee.
10. Plan Governs. The Grantee hereby acknowledges receipt of a copy of the
Plan and agrees to be bound by all the terms and provisions thereof. The terms
of this Agreement are governed by the terms of the Plan, and in the case of any
inconsistency between the terms of this Agreement and the terms of the Plan, the
terms of the Plan shall govern.
11. Severability. If any provision of this Agreement is, or becomes, or is
deemed to be invalid, illegal, or unenforceable in any jurisdiction or as to any
Person or the Award, or would disqualify the Plan or Award under any laws deemed
applicable by the Committee, such provision shall be construed or deemed amended
to conform to the applicable laws, or if it cannot be construed or deemed
amended without, in the determination of the Committee, materially altering the
intent of the Plan or the Award, such provision shall be stricken as to such
jurisdiction, Person or Award, and the remainder of the Plan and Award shall
remain in full force and effect.
12. Notices. All notices required to be given under this Grant shall be
deemed to be received if delivered or mailed as provided for herein, to the
parties at the following addresses, or to such other address as either party may
provide in writing from time to time.
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To the Company: Bright Horizons Family Solutions, Inc.
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Attn: General Counsel
To the Grantee: The address then maintained with respect to the Grantee
in the Company's records.
13. Governing Law. The validity, construction and effect of this Agreement
shall be determined in accordance with the laws of the State of Delaware without
giving effect to conflicts of laws principles.
14. Successors in Interest. This Agreement shall inure to the benefit of
and be binding upon any successor to the Company. This Agreement shall inure to
the benefit of the Grantee's legal representatives. All obligations imposed upon
the Grantee and all rights granted to the Company under this Agreement shall be
binding upon the Grantee's heirs, executors, administrators and successors.
15. Resolution of Disputes. Any dispute or disagreement which may arise
under, or as a result of, or in any way related to, the interpretation,
construction or application of this Agreement shall be determined by the
Committee. Any determination made hereunder shall be final, binding and
conclusive on the Grantee and the Company for all purposes.
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IN WITNESS WHEREOF, the parties have caused this Restricted Share Award
Agreement to be duly executed effective as of the day and year first above
written.
BRIGHT HORIZONS FAMILY
SOLUTIONS, INC.
By:
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GRANTEE:
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Please Print
GRANTEE:
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Signature
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