展品 10.39
美國聯合自然食品公司
年度獎勵計劃
2019年9月25日生效；最近修訂於2024年9月26日
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激勵計劃的管理
美國天然食品公司（下稱「公司」）的本年度激勵計劃（以下簡稱「激勵計劃」）由薪酬委員會（以下簡稱「薪酬委員會」）管理。薪酬委員會公司董事會薪酬委員會（以下簡稱「公司董事會」）執行。董事會薪酬委員會可授權某些助理或委員會管理激勵計劃的日常行政運作，即授權公司的高級領導團隊（包括首席執行官、首席人力資源官、總裁和致富金融(臨時代碼)官、總法律顧問和公司秘書）管理激勵計劃，該團隊應涵蓋所有非公司董事會指定的行政人員。本處有關薪酬委員會行政權限的任何引述均視爲包括對高級領導團隊的授權。
薪酬委員會（不包括高級領導團隊）保留自行全權修改、調整或終止激勵計劃的權利。
薪酬委員會有權制定和修改任何個人參與激勵計劃的條款，確定參與者有資格獲得的任何激勵支付金額及相關的績效期，設立有關這些績效期的績效目標，並判斷是否達到這些績效目標。薪酬委員會有權解釋激勵計劃，制定、修訂和撤銷有關激勵計劃的任何規則和條例，並作出其認爲對激勵計劃管理必要或合適的任何決定。薪酬委員會可以以薪酬委員會認爲必要或有益的方式，處理激勵計劃中的任何缺陷或疏漏或調和任何不一致。薪酬委員會在解釋和管理激勵計劃方面所作的任何決定將完全由其自行決定，並對所有相關方具有最終、最終且有約束力的裁決。薪酬委員會根據激勵計劃做出的決定無需統一，可以在激勵計劃參與者中有選擇性地進行，無論這些參與者是否處於類似情況.任何改變都將告知受影響的參與激勵計劃的員工。
I. 獎勵計劃資格
薪酬委員會應判斷公司或其子公司的美國僱員是否有資格參與激勵計劃。
應計劃規定在適用財年中聘用或晉升的參與者，如果達到所需績效目標且參與者在支付日期處於公司在職狀態，則將有資格獲得按比例計算的獎金。此外，如果任何參與者在績效期間收到年度基本工資變更（對於被分類爲薪酬員工的參與者）或指定收入（在被分類爲按小時工作的員工的情況下定義）或獎金目標的變更，則根據情況按比例支付按照激勵計劃的金額。在新員工的情況下，按比例付款將根據參與者在該財年內受僱於公司的天數與該財年總天數進行比較計算。在晉升、獎金目標或年度基本工資或指定收入的其他變更情況下，按比例付款將根據在該財年中每個工資率的天數與該財年總天數進行比較計算。
根據激勵計劃的目的，「指定收入」是指正常、激勵、加班和溢價工資。
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所有板塊激勵計劃參與者必須接受承諾和責任，按照公司行爲準則履行所有職責。任何試圖操縱激勵計劃以謀取個人利益，損害客戶、其他同事或公司目標的參與者將受到適當的紀律處分。
參與者不得向任何外部人士透露（除公司的財務、會計和法律顧問之外）關於此獎勵計劃或適用於參與者或其他參與者的任何具體績效目標的非公開信息。
參與獎勵計劃並不構成公司與獎勵計劃參與者之間的合同或就業承諾，獎勵計劃中的任何條款均不應被解釋爲賦予參與者繼續在公司或其任何子公司就業的權利。任何口頭或書面的承諾或陳述，如果與獎勵計劃的條款不一致或有差異，則無效。
參與並接受獎勵計劃的支付需要參與者遵守以下第四部分的契約。
II. 終止條款
激勵計劃參與者必須在激勵計劃支付日期當天與公司保持積極就業狀態，才有資格獲得該支付，除非下文另有說明或公司與參與者之間的任何書面協議另有規定。董事會批准計算支付金額後，激勵計劃支付將在公司財政年結束後通常在10至12周內儘快進行。
如果參與者的僱傭因死亡而終止，公司應根據適用的預扣和扣除支付給參與者的遺產任何已獲得的激勵報酬（如下所定義），在如果參與者的僱傭未終止的情況下，原本應支付的已獲得的激勵報酬，但不得晚於年底31日，即該終止日期所在的公司財政年度結束後的年底。
如果參與者的僱傭關係因退休（如下所定義）而終止，或者在公司未經由此定義的cause而終止的情況下，條件符合United Natural Foods，Inc. for Non-Union Associates修訂自時間起Severance Pay Plan的離職福利計劃，或者參與者因所謂的正當理由辭職，那麼，除適用法律規定的任何限制以及公司與參與者之間的任何其他協議外，公司應支付給參與者相應的獲得激勵報酬（如下所定義），當獲得激勵報酬在參與者的僱傭關係未終止的情況下本應支付時，最遲不晚於發生終止日期所在公司財政年度結束後的第二年12月31日。
For purposes of the Incentive Plan, “Retirement” means the termination of the participant’s employment with the Company and all of its Subsidiaries on or after the date on which both of the following have occurred: (i) the participant has attained fifty-nine (59) years of age and (ii) the date the participant has provided ten (10) years of service to the Company or any of its Subsidiaries. Years of service will be calculated as full years since the participant’s most recent “hire date” or “rehire date,” which means the applicable date on file for the participant in the Company’s human resources books and records, determined in the Company’s sole discretion.
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“Earned Incentive Compensation” consists of: (a) to the extent not previously paid, the incentive compensation that the participant would otherwise receive based on the Company’s actual performance for the most recent fiscal year ended before the participant’s termination date and (b) the Pro-Rated Portion (as hereinafter defined) of any incentive compensation that the participant would otherwise receive, based on the Company’s actual performance for the fiscal year during which the participant’s employment is terminated. The “Pro-Rated Portion” shall be the portion represented by the number of days in such fiscal year prior to the participant’s termination date, compared to the total number of days in such fiscal year.
If a participant is terminated for Cause at any time, he or she will not be eligible for any payment under the Incentive Plan and shall forfeit any payments that may have been due to the participant under the Incentive Plan prior to or subsequent to the participant’s employment being terminated for Cause. “Cause” means, unless otherwise defined in a written agreement between the participant and the Company, (i) conviction of the participant under applicable law of (A) any felony or (B) any misdemeanor involving moral turpitude; (ii) unauthorized acts intended to result in the participant’s personal enrichment at the material expense of the Company or any subsidiary or affiliate or their reputation; (iii) any violation of the participant’s duties or responsibilities to the Company or a subsidiary or affiliate of the Company which constitutes willful misconduct or dereliction of duty; or (iv) material breach of the Company’s Code of Conduct or the covenants described in Section IV of this Plan.
In addition, if a participant is terminated other than for Cause and under circumstances that do not qualify the participant for benefits under the Severance Plan, he or she will not be eligible for any payment under the Incentive Plan except to the extent that such termination results in an a separation agreement between the participant and the Company, and the participant is entitled to Earned Incentive Compensation (or such other amount as may be mutually agreed) pursuant to the terms of such separation agreement.
If a participant becomes disabled or is granted a leave of absence for any other reason in any fiscal year, amounts owed hereunder shall be governed by the provisions of the United Natural Foods, Inc. Leave of Absence Policy (Long-Term and Annual Incentive Plans) (or any replacement policy) as in effect at the time such leave of absence commenced. Except as otherwise provided in a written agreement between the Company and a participant, if a participant voluntarily terminates his or her employment under circumstances that do not qualify as a Retirement or resignation for Good Reason before the date that payment under the Incentive Plan is to be made, the participant will not be eligible for any payment under the Incentive Plan.
Unless otherwise specified by any applicable severance plans or severance, employment, change in control or other written agreement to which a participant is subject (in which case, there shall be no duplication of benefits) or by the Compensation Committee at the time when performance objectives are established with respect to the applicable fiscal year, in the event of a Change in Control (as hereinafter defined), then, subject to the Compensation Committee’s ability to exercise negative discretion to reduce the size of any payments hereunder pursuant to the first paragraph of Section V, each participant eligible to receive incentive compensation hereunder shall receive an amount of incentive compensation based upon achievement at the “target” level of the applicable performance objectives for the full fiscal year, with such payments being due and payable on a date selected by the Company that is not later than the first payroll date following the Change in Control.
“Change in Control” means, unless otherwise provided in the applicable award agreement, the happening of one of the following:
(I) any “person”, including a “group” (as such terms are used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) but excluding the Company, any of its affiliates, or any employee benefit plan of the Company or any of its affiliates) is or becomes the “beneficial owner” (as defined in Rule 13(d)(3) under the Exchange Act), directly or indirectly, of securities of the Company representing the greater of 30% or more of the combined voting power of the Company’s then outstanding securities;
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(ii) the stockholders of the Company shall approve a definitive agreement and a transaction is consummated (1) for the merger or other business combination of the Company with or into another corporation if (A) a majority of the directors of the surviving corporation were not directors of the Company immediately prior to the effective date of such merger or (B) the stockholders of the Company immediately prior to the effective date of such merger own less than 60% of the combined voting power in the then outstanding securities in such surviving corporation or (2) for the sale or other disposition of all or substantially all of the assets of the Company;
(iii) the purchase of 30% or more of the combined voting power of the Company’s then outstanding securities pursuant to any tender or exchange offer made by any “person”, including a “group” (as such terms are used in Sections 13(d) and 14(d) of the Exchange Act), other than the Company, any of its affiliates, or any employee benefit plan of the Company or any of its affiliates; or
(iv) the disposal of any line of business representing at least 15% of the Company’s consolidated net sales for the then-most recently completed fiscal year; provided, however, that such disposal shall only be deemed a “Change in Control” for participants primarily employed in the line of business disposed of, who cease to be employed by the Company following the disposition.
“Good Reason” means, unless otherwise provided in a written agreement between the participant and the Company, the occurrence of any one or more of the following without the participant’s express written consent: (i) the assignment of duties to a participant that are materially adversely inconsistent with the participant’s duties immediately prior to thereto and failure to rescind such assignment within thirty (30) days of receipt of notice from the participant; (ii) a material reduction in a participant’s title, authority or reporting status as compared to such title, authority or reporting status immediately prior to thereto, (iii) the Company’s requirement that a participant relocate more than fifty (50) miles from the participant’s place of employment prior to the place the participant performed such duties prior thereto; (iv) a reduction in the participant’s base salary as in effect immediately prior to a Change in Control or the failure of the Company to pay or cause to be paid any compensation or benefits when due, and failure to restore such annual base salary or make such payments within five (5) days of receipt of notice from the participant; (v) the failure to include the participant in any new employee benefit plans proposed by the Company or a material reduction in the participant’s level of participation in any existing plans of any type; provided that a Company-wide reduction or elimination of such plans shall not constitute “Good Reason” for purposes of this Incentive Plan; or (vi) the failure of the Company to obtain a satisfactory agreement from the acquiring party in a Change in Control to assume and provide the payments contemplated hereunder ; provided that, in each case, (A) within sixty (60) days of the initial occurrence of the specified event the participant has given the Company or any successor to the Company at least thirty (30) days to cure the Good Reason, (B) the Company or any such successor has not cured the Good Reason within the thirty (30) day period and (C) the participant resigns within ninety (90) days from the initial occurrence of the event giving rise to the Good Reason.
III Performance Measures
Participants in the Incentive Plan may receive a cash payment upon the attainment of performance objectives which may be corporate and/or individual objectives and which will be communicated to the participant by the Compensation Committee. The percentage of any amount payable pursuant to the Incentive Plan shall be based on the weights assigned to the applicable performance objective by the Compensation Committee. Each participant’s target incentive payment is based on a designated percentage of the participant’s annual base salary (in the case of a participant who is classified as a salaried associate) or Specified Earnings (in the case of a participant who is classified as an hourly associate) and is established by the Compensation Committee. The Compensation Committee shall determine whether and to what extent each performance objective has been met. In determining whether and to what extent a
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performance objective has been met, the Compensation Committee may consider such matters as the Compensation Committee deems appropriate.
IV. Confidential Information
(a) Confidential Information. For purposes of this Incentive Plan, “Confidential Information” means all business-related information belonging to the Company that is proprietary and confidential in nature, regardless of whether the information is reduced to writing or is simply in the participant’s memory, that has been provided or accessible to the participant during the participant’s employment with the Company, or was developed by the participant during the participant’s employment with the Company. “Confidential Information” includes trade secrets, as defined by applicable law, and information or documents that do not meet the legal definition of a “trade secret” but are still proprietary, confidential, and otherwise meet the definition of “Confidential Information”. “Confidential Information” includes, without limitation, any customer lists, customer needs, price and performance information, processes, specifications, hardware, software, devices, supply sources and characteristics, business opportunities, potential business interests, marketing, promotional pricing and financing techniques, or other information relating to the business of the Company that the participant knows or should know is confidential and proprietary. The participant confirms that Confidential Information constitutes the exclusive property of the Company. “Confidential Information” does not include information which (i) is readily ascertainable to the general public; (ii) is disclosed through no fault of the participant; or (iii) is required to be disclosed pursuant to applicable law or regulation or the order of a governmental or regulatory body. Both during and after the participant’s employment with the Company, the participant shall not, except as required to fulfill the participant’s duties to the Company, either directly or through the actions of others, retain, transfer, acquire, email, download, upload, use, sell, communicate, furnish, or disclose to any other person or entity any of the Company’s Confidential Information. This prohibition includes, without limitation: (a) using Confidential Information, directly or in concert with others, to solicit or attempt to solicit the customers or personnel of the Company; (b) emailing Confidential Information to a personal, private, or third-party email account; (c) downloading Confidential Information to a personal, private, or third-party thumb drive or other external storage device; (d) taking photographs or videos of Confidential Information for competitive purposes; or (e) saving Confidential Information to a personal, private, or third-party cloud storage account. The participant agrees that Participant will immediately return to the Company upon request, but in any event upon termination of employment, any physical or electronic embodiment of any Confidential Information and/or any summaries containing any Confidential Information, in whole in part, in any media. It shall be a material breach of this Incentive Plan for the participant to retain any of the Company’s property, including Confidential Information in physical or electronic form, after termination of the participant’s employment with the Company.
(b) Permitted Disclosures. The participant understands that nothing contained in Section IV(a) restricts or limits the participant’s right to discuss or disclose information about unlawful acts in the workplace, at work-related events, or between Company employees or Company and the participant, such as harassment, discrimination, retaliation, sexual assault, or any other conduct that the participant has reason to believe is unlawful, nor does Section IV(a) prohibit the participant from discussing the participant’s employment or reporting possible violations of law or regulation with the Department of Justice, the Congress, any Inspector General, the Equal Employment Opportunity Commission, United States Department of Labor, the Occupational Safety and Health Administration, the National Labor Relations Board, the Securities and Exchange Commission, or other federal government agency or state or local government agency. The participant further understands that Section IV(a) does not prohibit the participant from discussing the terms and conditions of the participant’s employment with others to the extent expressly permitted by Section 7 of the National Labor Relations Act or to the extent that such disclosure is protected under the applicable provisions of law or regulation, including but not limited to “whistleblower” statutes or other similar provisions that protect such disclosure. Nor does Section IV(a) require the participant not to disclose or discuss conduct or the existence of a settlement involving conduct relating to a dispute: (1) involving a nonconsensual sexual act or sexual contact, as such terms are defined in section 2246 or title 18, United States Code, or similar applicable tribal or state law; or (2) relating to conduct that is alleged to constitute sexual harassment under applicable federal, tribal, or state law.
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Participant acknowledges and agrees that the Company has provided the participant with written notice below that the Defend Trade Secrets Act, 18 U.S.C. § 1833(b), provides an immunity for the disclosure of a trade secret to report suspected violations of law and/or in an anti-retaliation lawsuit, as follows:
(1) IMMUNITY. — An individual shall not be held criminally or civilly liable under any Federal or State trade secret law for the disclosure of a trade secret that —
(A) is made —
(i) in confidence to a Federal, State or local government official, either directly or indirectly, or to an attorney; and
(ii) solely for the purpose of reporting or investigating a suspected violation of law; or
(B) is made in a complaint or other document filed in a lawsuit or other proceeding, if such filing is made under seal.
(2) USE OF TRADE SECRET INFORMATION IN ANTI-RETALIATION LAWSUIT.— An individual who files a lawsuit for retaliation by an employer for reporting a suspected violation of law may disclose the trade secret to the attorney of the individual and use the trade secret information in the court proceeding, if the individual—
(A) files any document containing the trade secret under seal; and
(B) does not disclose the trade secret, except pursuant to court order.
(c) If the participant primarily resides in Wisconsin, the restrictions set forth in Section IV(a) shall apply during the participant’s employment with the Company and for two years after termination of the participant’s employment.
(d) If the participant primarily resides in Washington, nothing herein shall be used to prevent the participant from disclosing or discussing: (i) conduct that the participant reasonably believes under Washington state, federal, or common law to be illegal discrimination, illegal harassment, illegal retaliation, a wage and hour violation, or sexual assault, or that is recognized as against a clear mandate of public policy; and (ii) the existence of a settlement involving the conduct described in Section IV(d)(i), but the amount paid in settlement of a claim is strictly confidential.
(e) Participant hereby acknowledges that Participant will treat as for the Company’s sole benefit, and fully and promptly disclose and assign to the Company without additional compensation, all ideas, information, discoveries, inventions and improvements which are based upon or related to any Confidential Information protected under Section IV(a) herein, and which are made, conceived or reduced to practice by Participant during Participant’s period of employment by the Company and the Restricted Period. The provisions of this subsection (e) shall apply whether such ideas, discoveries, inventions, improvements or knowledge are conceived, made or gained by Participant alone or with others, whether during or after usual working hours, either on or off the job, directly or indirectly related to the Company’s business interests (including potential business interests), and whether or not within the realm of Participant’s duties.
(f) Participant shall, upon request of the Company, but at no expense to participant, at any time during or after employment by the Company, sign all instruments and documents and cooperate in such other acts reasonably required to protect rights to the ideas, discoveries, inventions, improvements and knowledge referred to above, including applying for, obtaining and enforcing patents and copyrights thereon in any and all countries.
(g) Sections IV (e) and (f) are subject to the state-specific notifications identified in Exhibit A.
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(h) During the one-year period following termination of the participant’s employment, upon reasonable request of the Company, the participant shall cooperate in any internal or external investigation, litigation or any dispute relating to any matter in which he or she was involved during his or her employment with the Company; provided, however, that the participant shall not be obligated to spend time and/or travel in connection with such cooperation to the extent that it would unreasonably interfere with the participant’s other commitments and obligations. The Company shall reimburse the participant for all expenses the participant reasonably incurs in so cooperating.
(i) Participant recognizes that the possible restrictions on the participant’s activities which may occur as a result of the participant’s performance of the participant’s obligations under Section IV are required for the reasonable protection of the Company’s legitimate business interests, including, but not limited to, its Confidential Information, trade secrets, and investments, and the participant expressly acknowledges that such restrictions are fair and reasonable for that purpose. Participant acknowledges that money damages would not be an adequate or sufficient remedy for any breach of Section IV, and that in the event that the participant breaches or threatens to breach, or the Company reasonably believes the participant is about to breach, Section IV, the Company will be entitled to injunctive relief as well as an equitable accounting of all earnings, profits, and other benefits arising from the participant’s breach, which rights will be cumulative and in addition to any other rights or remedies to which the Company may be entitled in law or equity in addition to other rights and remedies existing in its favor, The terms of this Section shall not prevent the Company from pursuing any other available remedies for any breach or threatened breach hereof, including but not limited to the recovery of damages from the participant.
(j) If any portion of this Section IV is found unenforceable (despite, and after application of, any applicable right to reformation that could add or renew enforceability), then any provision(s) of any prior agreement between the parties that would provide for restriction(s) on the same or substantially similar post-employment conduct of the participant will not be considered superseded and will remain in effect, to the extent enforceable.
(k) Participant expressly agrees that all payments and benefits due the participant herein shall be subject to Participant’s compliance with the provisions set forth in Section IV.
V. Miscellaneous Provisions
Notwithstanding anything to the contrary herein, the Compensation Committee, in its sole discretion and subject to any applicable requirements of Section 409A (as defined below), may, unless otherwise provided for in a written agreement between the Company and the participant, (i) reduce any amounts otherwise payable to a participant hereunder in order to satisfy any liabilities owed to the Company or any of its Subsidiaries by the participant and (ii) modify (upward or downward) the amount of any incentive payment based on such criteria it shall determine, including, but not limited to, financial results, individual performance, or other factors, and may base such modification on the recommendation of a participant’s manager, the performance of the participant’s business unit, the Company performance, or any other factors that the Compensation Committee, in its sole discretion, shall deem appropriate.
In the event of any material change in the business assets, liabilities or prospects of the Company, any division or any Subsidiary, the Compensation Committee in its sole discretion and without liability to any person may make such adjustments, if any, as it deems to be equitable as to any affected terms of outstanding awards.
The Company is the sponsor and legal obligor under the Incentive Plan and shall make all payments hereunder, other than any payments to be made by any of the Company’s subsidiaries (in which case payment shall be made by such subsidiary, as appropriate). The Company shall not be required to establish any special or separate fund or to make any other segregation of assets to ensure the payment of any amounts under the Incentive Plan, and the participant’s rights to the payment hereunder shall be not greater
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than the rights of the Company’s (or its subsidiary’s) unsecured creditors. All expenses involved in administering the Incentive Plan shall be borne by the Company.
Except as provided in Exhibit B, the Incentive Plan shall be governed by and construed in accordance with the laws of the State of Delaware applicable to contracts made and to be performed in the State of Delaware.
Each participant agrees that payouts under this Incentive Plan are subject to the Company’s Recoupment (Clawback) Policy for performance-based incentive compensation or any other similar policy that may be adopted or amended thereafter by the Board or Compensation Committee from time to time, to conform to regulations related to recoupment or clawback of compensation adopted pursuant to the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 and also further agrees to promptly return to the Company, if the Company shall so request, all or a portion of any incentive amounts paid to such participant pursuant to this Incentive Plan based upon financial information or performance objectives later found to be materially inaccurate and/or otherwise in accordance with the terms of the Company’s clawback policy, a copy of which will be made available to participants. The amount to be recovered shall be equal to the excess amount paid out over the amount that would have been paid out had such financial information or performance objective been fairly stated at the time the payout was made and/or otherwise in accordance with the Company’s clawback policy.
Notwithstanding anything herein to the contrary, the Compensation Committee, in its sole discretion, may make payments (including pro rata payments) to participants who do not meet the eligibility requirements of the Incentive Plan, including, but not limited to, the length of service requirements described in Section II above if the Compensation Committee determines that such payments are in the best interest of the Company.
The Incentive Plan is intended to comply with or be exempt from Section 409A of the Code and any rules, regulations or other official guidance promulgated thereunder (“Section 409A”) and will be interpreted in a manner intended to comply with Section 409A. Notwithstanding anything herein to the contrary, if at the time of the participant’s separation from service with the Company or any of its Subsidiaries the participant is a “specified employee” as defined in Section 409A, and the deferral of the commencement of any payments or benefits otherwise payable hereunder as a result of such separation from service is necessary in order to prevent the imposition of any accelerated or additional tax under Section 409A, then the Company will defer the commencement of the payment of any such payments or benefits hereunder (without any reduction in such payments or benefits ultimately paid or provided to the participant) until the date that is six months and one day following the participant’s separation from service with the Company or any of its Subsidiaries (or the earliest date as is permitted under Section 409A), if such payment or benefit is payable upon a separation from service with the Company or any of its Subsidiaries. Each payment made under the Incentive Plan shall be designated as a “separate payment” within the meaning of Section 409A.
If any provision of the Incentive Plan is, or becomes, or is deemed to be invalid, illegal or unenforceable in any jurisdiction or as to any participant, 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 Incentive Plan, such provision shall be stricken as to such jurisdiction or participant and the remainder of the Incentive Plan shall remain in full force and effect.
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EXHIBIT A
STATE SPECIFIC INVENTION ASSIGNMENT NOTIFICATIONS (AS APPLICABLE)
For California Employees Only
THIS IS TO NOTIFY you in accordance with Cal. Lab. Code §2870 that no provision in Sections IV(e) and IV(f) of this Incentive Plan requires you to assign any of your rights to an invention if that invention qualifies for exclusion under California Labor Code §2870 which states: (a) Any provision in an employment agreement which provides that an employee shall assign, or offer to assign, any of his or her rights in an invention to his or her employer shall not apply to an invention that the employee developed entirely on his or her own time without using the employer’s equipment, supplies, facilities, or trade secret information except for those inventions that either: (1) relate at the time of conception or reduction to practice of the invention to the employer’s business, or actual or demonstrably anticipated research or development of the employer; or (2) result from any work performed by the employee for the employer, (b) to the extent a provision in an employment agreement purports to require an employee to assign an invention otherwise excluded from being required to be assigned under subdivision (a), the provision is against the public policy of this state and is unenforceable.
For Delaware Employees Only
THIS IS TO NOTIFY you in accordance with Del. Code Ann., Title 19, § 805 that Sections IV(e) and IV(f) of the Incentive Plan between you and the Company do not require you to assign or offer to assign to the Company any of your rights in an invention that you develop entirely on your own time without using the Company’s equipment, supplies, facilities or trade secret information, except for those inventions that either:
(1) Relate to the Company’s business, or actual or demonstrably anticipated research or development; or
(2) Result from any work performed by you for the Company.
For Illinois Employees Only
THIS IS TO NOTIFY you in accordance with Chapter 765 Section 1060/2 of the Illinois Compiled Statutes that Sections IV(e) and IV(f) of the foregoing Incentive Plan between you and the Company do not require you to assign or offer to assign to the Company any invention that you developed entirely on your own time without using the Company’s equipment, supplies, facilities or trade secret information except for those inventions that either:
(1) Relate to the Company’s business, or actual or demonstrably anticipated research or development of the Company; or
(2) Result from any work performed by you for the Company.
For Kansas Employees Only
THIS IS TO NOTIFY you in accordance with K.S.A. § 44-130(a), that Sections IV(e) and IV(f) of the foregoing Incentive Plan between you and the Company do not apply to an invention for which no equipment, supplies, facilities, or trade secret information of the Company was used and that you developed entirely on your own time, unless the invention either:
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(1) Relates to the Company’s business, or actual or demonstrably anticipated research or development; or
(2) Results from any work you perform for the Company.
For Minnesota Employees Only
THIS IS TO NOTIFY you in accordance with Section 181.78 of the Minnesota Statutes that Sections IV(e) and IV(f) of the foregoing Incentive Plan between you and the Company shall not apply to an invention for which no equipment, supplies, facility or trade secret information of the Company was used and which was developed entirely on your own time, and:
(1) Does not relate (a) directly to the business of the Company or (b) to the Company’s actual or demonstrably anticipated research or development, or
(2) Does not result from any work performed by you for the Company.
For Nevada Employees Only
THIS IS TO NOTIFY you in accordance with Nev. Rev. Stat. § 600.500 that, except as otherwise provided by express written agreement, the Company is the sole owner of any patentable invention or trade secret developed by you during the course and scope of your employment that relates directly to work performed during the course and scope of the employment.
For New Jersey Employees Only
THIS IS TO NOTIFY you in accordance with Section 34:1B-265 of the New Jersey Statutes that Sections IV(e) and IV(f) of the foregoing Incentive Plan between you and the Company shall not apply to an invention that you developed entirely on your own time without using Company equipment, supplies, facilities, or trade secret information, except for those inventions that either:
(1) Relate to the Company’s business, or actual or demonstrably anticipated research or development; or
(2) Result from any work performed by you on behalf of the Company.
For New York Employees Only
THIS IS TO NOTIFY you in accordance with New York Labor Law Section 203-f that Sections IV(e) and IV(f) of the foregoing Incentive Plan between you and the Company do not require you to assign or offer to assign to the Company any invention that you developed entirely on your own time without using the Company’s equipment, supplies, facilities or trade secret information except for those inventions that either:
(1) Relate at the time of conception or reduction to practice of the invention to the Company’s business, or actual or demonstrably anticipated research or development of the Company; or
(2) Result from any work performed by you for the Company.
For North Carolina Employees Only
THIS IS TO NOTIFY you in accordance with North Carolina General Statute §§ 66.57.1 and 66.57.2 that Sections IV(e) and IV(f) of the foregoing Incentive Plan between you and the Company do not require you
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to assign or offer to assign to the Company any invention that you developed entirely on your own time without using the Company’s equipment, supplies, facilities or trade secret information except for those inventions that either:
(1) Relate at the time of conception or reduction to practice of the invention to the Company’s business, or actual or demonstrably anticipated research or development of the Company; or
(2) Result from any work performed by you for the Company.
For Utah Employees Only
THIS IS TO NOTIFY you in accordance with Utah Code §§ 34-39-1 to 34-39-3 that Sections IV(e) and IV(f) of the foregoing Incentive Plan between you and the Company shall not apply to an invention that is both (i) created by you on your own time, and (ii) not an “employment invention.”
An “employment invention” means an invention or any part that is:
•Conceived, developed, or reduced to practice or created by you:
owithin the scope of your employment;
oon the Company’s time; or
owith the aid, assistance, or use of any of the Company’s property, equipment, facilities, supplies, resources, or intellectual property.
•The result of any work, services, or duties performed by you for the Company.
•Related to the Company’s industry or trade.
•Related to the Company’s current or demonstrably anticipated business, research, or development.
For Washington Employees Only
THIS IS TO NOTIFY you in accordance with Section 49.44.140 of the Revised Codes of Washington that Sections IV(e) and IV(f) of the foregoing Incentive Plan between you and the Company do not apply to an invention for which no equipment, supplies, facilities, or trade secret information of the Company was used, and which was developed entirely on your own time, unless:
(1) The invention relates (a) directly to the business of the Company, or (b) to the Company’s actual or demonstrably anticipated research or development; or
(2) The invention results from any work performed by you for the Company.
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EXHIBIT B
STATE SPECIFIC MODIFICATIONS
Notwithstanding anything to the contrary stated in Section V (“Miscellaneous Provisions”) of the Incentive Plan:
For California Employees Only
Section IV (“Confidential Information”) shall be governed by and construed in accordance with California law during any period in which Employee primarily works or primarily resides in California.
For Colorado Employees Only
Section IV (“Confidential Information”) shall be governed, construed, and enforced in accordance with Colorado law, and the state and/or federal courts of Colorado shall be the sole and exclusive jurisdiction and venue for resolution of any disputes arising under this Agreement, during any time in which Employee primarily resides or works in Colorado.
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