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Document Preview Senior Executive Severance Agreement |
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Title: |
Senior Executive Severance Agreement |
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Date: |
2003 |
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Size: |
Preview shows 5KB of 31KB total |
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Price: |
$42 |
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ID: |
#264538 |
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BOSTON PROPERTIES, INC.
SENIOR EXECUTIVE SEVERANCE AGREEMENT
AGREEMENT made as of this 30th day of July, 1998 by and among Boston
Properties, Inc., a Delaware corporation with its principal place of business in
Boston, Massachusetts (the "Company"), Boston Properties Limited Partnership, a
Delaware limited partnership with its principal place of business in Boston,
Massachusetts ("BPLP") (the Company and BPLP shall be hereinafter collectively
referred to as the "Employers") and Edward H. Linde of Weston, Massachusetts
(the "Executive"), an individual presently employed as the President and Chief
Executive Officer of the Company.
1. PURPOSE. The Company considers it essential to the best interests of
its stockholders to foster the continuous employment of key management
personnel. The Board of Directors of the Company (the "Board") recognizes,
however, that, as is the case with many publicly held corporations, the
possibility of a Change in Control (as defined in Section 2 hereof) exists and
that such possibility, and the uncertainty and questions which it may raise
among management, may result in the departure or distraction of management
personnel to the detriment of the Company and its stockholders. Therefore, the
Board has determined that appropriate steps should be taken to reinforce and
encourage the continued attention and dedication of members of the Employers'
management, including the Executive, to their assigned duties without
distraction in the face of potentially disturbing circumstances arising from the
possibility of a Change in Control. Nothing in this Agreement shall be construed
as creating an express or implied contract of employment and, except as
otherwise agreed in writing between the Executive and the Employers, the
Executive shall not have any right to be retained in the employ of the
Employers.
2. CHANGE IN CONTROL. For purposes of this Agreement, a "Change in
Control" shall mean the occurrence of any one of the following events:
(a) any "PERSON," as such term is used in Sections 13(d) and 14(d) of
the Act (other than the Employers, Mortimer B. Zuckerman, Edward H. Linde,
any "AFFILIATE" or "ASSOCIATE" (as such terms are defined in Rule 12b-2
under the Act) of Mortimer B. Zuckerman or Edward H. Linde, or any trustee,
fiduciary or other person or entity holding securities under any employee
benefit plan or trust of the Employers), together with all "AFFILIATES" and
"ASSOCIATES" (as such terms are defined in Rule 12b-2 under the Act) of
such person, shall become the "BENEFICIAL OWNER" (as such term is defined
in Rule 13d-3 under the Act), directly or indirectly, of securities of the
Company representing 25 percent or more of the combined voting power of the
Company's then outstanding securities having the right to vote in an
election of the Company's Board of Directors ("Voting Securities") (other
than as a result of an acquisition of securities directly from the
Company); provided that for purposes of determining the "BENEFICIAL
OWNERSHIP" (as such term is defined in Rule 13d-3 under the Act) of any
"GROUP" of
{Page}
which Mortimer B. Zuckerman, Edward H. Linde or any of their affiliates or
associates is a member (each such entity or individual, a "Related Party"),
there shall not be attributed to the "BENEFICIAL OWNERSHIP" (as such term
is defined in Rule 13d-3 under the Act) of such group any shares
beneficially owned by any Related Party; or
(b) persons who, as of the effective date of the Company's initial
public offering of Stock, constitute the Company's Board of Directors (the
"Incumbent Directors") cease for any reason, including, without limitation,
as a result of a tender offer, proxy contest, merger or similar
transaction, to constitute at least a majority of the Board, provided that
any person becoming a director of the Company subsequent to such date shall
be considered an Incumbent Director if such person's election was approved
by or such person was nominated for election by either (A) a vote of at
least two-thirds of the Incumbent Directors or (B) a vote of at least a
majority of the Incumbent Directors who are members of a nominating
committee comprised, in the majority, of Incumbent Directors; or
(c) the stockholders of the Company shall approve (A) any
consolidation or merger of the Company where the stockholders of the
Company, immediately prior to the consolidation or merger, would not,
immediately after the consolidation or merger, "BENEFICIALLY OWN" (as such
term is defined in Rule 13d-3 under the Act), directly or indirectly,
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