CONSENT, ASSIGNMENT AND ASSUMPTION AGREEMENT
EXHIBIT
10.3
Executive Copy
THIS
CONSENT, ASSIGNMENT AND ASSUMPTION AGREEMENT (this “Assignment
Agreement”), is entered into as of [l], 2008,
by and among FA
TECHNOLOGY VENTURES CORPORATION, a Delaware corporation (the “Assignor”);
FA TECHNOLOGY HOLDING LLC, a Delaware limited liability company (the
“Assignee”); and FATV GP LLC, a Delaware limited liability company (the
“Consenting Party”). Assignor, Assignee and the Consenting
Party are referred to collectively herein as the “Parties.”
WITNESSETH
WHEREAS,
the Assignor and the Consenting Party are parties to that certain Investment
Advisory Agreement dated as of October 20, 2000, as well as any amendments
thereto (the “Investment Advisory Agreement”), by which the Consenting
Party appointed the Assignor as manager and investment advisor to FA Technology
Ventures, L.P. (“Fund II”);
WHEREAS,
Assignor and Assignee are parties to that certain Transition Agreement dated
as
of April ___, 2008 (the “Transition Agreement”) providing, among other
things, for the restructuring of the investment management arrangements relating
to Fund II and the formation of a new venture capital fund to be sponsored
by
Assignee;
WHEREAS,
pursuant to the Transition Agreement, the Parties mutually desire that (i)
the
Assignor assign to the Assignee all of its rights and delegate all of its duties
and obligations under the Investment Advisory Agreement; (ii) the Consenting
Party consent to the assignment and delegation contemplated hereby of the
Assignor’s rights, duties and obligations under the Investment Advisory
Agreement and (iii) the Assignee agree to be bound by, and assume all of the
duties and obligations of the Assignor under the Investment Advisory Agreement;
and
NOW,
THEREFORE, in consideration of the mutual covenants contained herein and other
valuable consideration, the receipt and adequacy of which are expressly
acknowledged, the Parties agree as follows:
1. Assignment
of Rights and Delegation of Duties to Assignee. Effective as of
the date hereof, the Assignor does hereby assign all of its rights and interests
under the Investment Advisory Agreement to the Assignee, and hereby delegates
to
the Assignee all of its duties arising thereunder. The Assignee
hereby accepts such assignment and delegation.
2. Assumption
of Obligations and Liabilities. The Assignee does hereby assume
each of the obligations of the Assignor to be performed on or after the date
hereof under the Investment Advisory Agreement and all liabilities of the
Assignor thereunder which arise from action or inaction which takes place on
or
after the date hereof.
3. Consent
to Assignment, Assumption and Delegation. The Consenting Party
hereby (a) consents to the assignment, assumption and delegation effected hereby
and (b) effective as of the date hereof, agrees to recognize and treat the
Assignee as if the Assignee were an original contract party to the Investment
Advisory Agreement in the place of the Assignor.
4. Release. The
Consenting Party hereby releases the Assignor from any claim with respect to
any
obligations or liabilities of the Assignor arising under the Investment Advisory
Agreement on or after the date hereof. The Parties hereby acknowledge
that all rights of Assignor to indemnification under the Investment Advisory
Agreement with respect to actions or events occurring prior to the date hereof
shall survive the execution and delivery of this Assignment
Agreement.
5. Indemnification. Assignee
hereby agrees to defend, indemnify and hold harmless the Assignor, its
affiliates and their respective officers, directors, employees and agents
(“Indemnified Persons”) from and against any and all claims, losses,
costs, damages, liabilities, obligations, impositions, inspections, assessments,
fines, deficiencies and expenses (“Losses”) relating to any matter
arising under or in respect of the Investment Advisory Agreement which arise
from any action or inaction which take place on or after
the date hereof (“Indemnified Matters”), including, without limitation,
any Losses incurred by any Indemnified Person in the event that such Indemnified
Person becomes a party to or witness or other participant in, or is threatened
to be made a party to or witness or other participant in, any threatened,
pending or completed action, suit, proceeding or alternative dispute resolution
mechanism, or any hearing, inquiry or investigation that Assignor in good faith
believes might lead to the institution of any such action, suit, proceeding
or
alternative dispute resolution mechanism, whether civil, criminal,
administrative, investigative or other proceeding relating to any Indemnified
Matter. For the avoidance of doubt, for the purpose of this Section
5, no officer, director, partner or manager of Assignee or any affiliate shall
be deemed to be an Indemnified Person by reason of the fact that such individual
was an officer, director, employee or agent of the Assignor or any affiliate
prior to the date hereof.
6. Miscellaneous.
(a) No
Third-Party Beneficiaries. This Assignment Agreement shall not
confer any rights or remedies upon any Person other than the Parties and their
respective successors and permitted assigns.
(b) Entire
Agreement, Binding Effect. This Assignment Agreement (including
the Investment Advisory Agreement and the documents referred to herein and
therein) constitutes the entire agreement between the Parties with respect
to
the subject matter hereof and supersedes any prior understandings, agreements,
or representations by or between the Parties, written or oral, to the extent
they related thereto. This Assignment Agreement shall be binding
upon, inure for the benefit of and be enforceable by the Parties and their
respective successors and assigns.
(c) Counterparts. This
Assignment Agreement may be executed in one or more counterparts (including
by
facsimile or similar electronic transmission device pursuant to which the
signature of or on behalf of such Party can be seen), each of which shall be
deemed an original but all of which together will constitute one and the same
instrument.
(d) Headings. The
section or paragraph headings contained in this Assignment Agreement are
inserted for convenience only and shall not affect in any way the meaning or
interpretation of this Assignment Agreement.
(e) Governing
Law. This Assignment Agreement shall be governed by and construed
in accordance with the laws of the State of New York, without giving effect
to
any conflict or choice of law provision that would result in the imposition
of
another state’s law.
[Signature
Page Follows]
IN
WITNESS WHEREOF, the parties have executed this Assignment Agreement as of
[l],
2008.
Assignor:
FA
TECHNOLOGY VENTURES CORPORATION
By: __________________________
Name:
Title:
Consenting
Party:
FATV
GP LLC
By: __________________________
Name:
Title:
|
Assignee:
FA
TECHNOLOGY HOLDING LLC
By:
_______________________
Name:
Title:
|
Signature
Page to Assignment Agreement