Common use of GRANT OF ADDITIONAL OPTION Clause in Contracts

GRANT OF ADDITIONAL OPTION. If, during the period beginning upon the Effective Date and ending upon the earlier of the closing of an initial public offering ("IPO") of the Company's Stock, and five years from the Effective Date (the "Initial Period"), the Company issues additional shares of its equity securities or Stock Rights in any transaction (including without limitation, the IPO and any option to acquire Stock granted to employees of the Company) that does not result in an adjustment to the Option pursuant to the provisions of Section 4 (a "Dilutive Event"), and, as of the date of such Dilutive Event the number of shares of Stock covered by this Option shall be less than 0.5% of the outstanding equity securities of Company on a fully diluted basis immediately following such occurrence, then the following will apply: a. The Company shall grant to the Option Holder an option (each such grant, a "Subsequent Option Grant") to acquire additional shares of Stock such that the number of shares of Stock as to which the Option (including all Subsequent Option Grants and all previously exercised Options) will be exercisable represents, after giving effect to the applicable occurrence, .5% of the outstanding shares of each class of Company's equity securities on a fully diluted basis. On the date of the Dilutive Event, the Company and the Option Holder shall enter into an Option Grant Agreement in the form of Exhibit A hereto evidencing the Subsequent Option Grant. The Company's failure to execute and deliver an Option Grant Agreement shall not affect the Option Holder's right to exercise an Option, including, but not limited to, Options granted pursuant to a Subsequent Option Grant.

GRANT OF ADDITIONAL OPTION. If, during the period beginning upon the Effective Date and ending upon the earlier of the closing of an initial public offering ("IPO") of the Company's Stock, and five years from the Effective Date (the "Initial Period"), the Company issues additional shares of its equity securities or Stock Rights in any transaction (including without limitation, the IPO and any option to acquire Stock granted to employees of the Company) that does not result in an adjustment to the Option pursuant to the provisions of Section 4 (a "Dilutive Event"), and, as of the date of such Dilutive Event the number of shares of Stock covered by this Option shall be less than 0.57.0% of the outstanding equity securities of Company on a fully diluted basis immediately following such occurrence, then the following will apply: a. The Company shall grant to the Option Holder an option (each such grant, a "Subsequent Option Grant") to acquire additional shares of Stock such that the number of shares of Stock as to which the Option (including all Subsequent Option Grants and all previously exercised Options) will be exercisable represents, after giving effect to the applicable occurrence, .57% of the outstanding shares of each class of Company's equity securities on a fully diluted basis. On the date of the Dilutive Event, the Company and the Option Holder shall enter into an Option Grant Agreement in the form of Exhibit A hereto evidencing the Subsequent Option Grant. The Company's failure to execute and deliver an Option Grant Agreement shall not affect the Option Holder's right to exercise an Option, including, but not limited to, Options granted pursuant to a Subsequent Option Grant.

GRANT OF ADDITIONAL OPTION. If, during the period beginning upon the Effective Date and ending upon the earlier of the closing of an initial public offering ("IPO") of the Company's Stock, and five years from the Effective Date (the "Initial Period"), the Company issues additional shares of its equity securities or Stock Rights in any transaction (including without limitation, the IPO and any option to acquire Stock granted to employees of the Company) that does not result in an adjustment to the Option pursuant to the provisions of Section 4 (a "Dilutive Event"), and, as of the date of such Dilutive Event the number of shares of Stock covered by this Option shall be less than 0.50.25% of the outstanding equity securities of Company on a fully diluted basis immediately following such occurrence, then the following will apply: a. The Company shall grant to the Option Holder an option (each such grant, a "Subsequent Option Grant") to acquire additional shares of Stock such that the number of shares of Stock as to which the this Option (including all Subsequent Option Grants and all previously exercised OptionsGrants) will be exercisable represents, after giving effect to the applicable occurrence, .5.25% of the outstanding shares of each class of Company's equity securities on a fully diluted basis. On the date of the Dilutive Event, the Company and the Option Holder shall enter into an Option Grant Agreement in the form of Exhibit A hereto evidencing the Subsequent Option Grant. The Company's failure to execute and deliver an Option Grant Agreement shall not affect the Option Holder's right to exercise an Option, including, but not limited to, Options granted pursuant to a Subsequent Option Grant.

GRANT OF ADDITIONAL OPTION. If, during the period beginning upon the Effective Date and ending upon the earlier of the closing of an initial public offering ("IPO") of the Company's Stock, and five years from the Effective Date (the "Initial Period"), the Company issues additional shares of its equity securities or Stock Rights in any transaction (including without limitation, the IPO and any option to acquire Stock granted to employees of the Company) that does not result in an adjustment to the Option pursuant to the provisions of Section 4 (a "Dilutive Event"), and, as of the date of such Dilutive Event the number of shares of Stock covered by this Option shall be less than 0.5.75% of the outstanding equity securities of Company on a fully diluted basis immediately following such occurrence, then the following will apply: a. The Company shall grant to the Option Holder an option (each such grant, a "Subsequent Option Grant") to acquire additional shares of Stock such that the number of shares of Stock as to which the Option (including all Subsequent Option Grants and all previously exercised Options) will be exercisable represents, after giving effect to the applicable occurrence, .5.75% of the outstanding shares of each class of Company's equity securities on a fully diluted basis. On the date of the Dilutive Event, the Company and the Option Holder shall enter into an Option Grant Agreement in the form of Exhibit A hereto evidencing the Subsequent Option Grant. The Company's failure to execute and deliver an Option Grant Agreement shall not affect the Option Holder's right to exercise an Option, including, but not limited to, Options granted pursuant to a Subsequent Option Grant.