THE GOLDMAN SACHS AMENDED AND RESTATED STOCK INCENTIVE PLAN DISCOUNT STOCK PROGRAM AWARD
EXHIBIT 10.31
THE XXXXXXX XXXXX AMENDED AND RESTATED
STOCK INCENTIVE PLAN
DISCOUNT STOCK PROGRAM AWARD
STOCK INCENTIVE PLAN
DISCOUNT STOCK PROGRAM AWARD
This Award Agreement sets forth the terms and conditions of the award (“DSP Award”) of RSUs
under the Discount Stock Program (“DSP RSUs”) granted to you under The Xxxxxxx Xxxxx Amended
and Restated Stock Incentive Plan (the “Plan”).
1. The Plan. This DSP Award is made pursuant to the Plan, the terms of which are
incorporated in this Award Agreement. Capitalized terms used in this Award Agreement that are not
defined in this Award Agreement have the meanings as used or defined in the Plan. References in
this Award Agreement to any specific Plan provision shall not be construed as limiting the
applicability of any other Plan provision.
2. Award.
(a) Form of Award. The number of DSP RSUs subject to this DSP Award is set forth in
the Award Statement delivered to you. The Award Statement shall designate your DSP RSUs as either
“Base RSUs” or “French Alternative Discount RSUs”. An RSU is an unfunded and unsecured promise to
deliver (or cause to be delivered) to you, subject to the terms and conditions of this Award
Agreement, a share of Common Stock (a “Share”) on the Delivery Date or as otherwise provided
herein. Until such delivery, you have only the rights of a general unsecured creditor, and no
rights as a shareholder of GS Inc.
(b) Certain Conditions Precedent.
(i) Your DSP Award is made available to you solely because you are an employee of the Firm on
the Date of Grant who does not own, directly or indirectly (including any right to acquire shares),
more than ten percent (10%) of the issued share capital of GS Inc.
(ii) This DSP Award is expressly conditioned on: (i) your being a participant in
the Xxxxxxx Xxxxx Partner Compensation Plan or the Xxxxxxx Xxxxx Restricted Partner Compensation
Plan on the Date of Grant and your executing any agreement required in connection with such
participation; and (ii) your executing the related signature card and returning it to the
address designated on the signature card and/or by the method designated on the signature card by
the date specified. unless otherwise determined by the Committee, your failure to meet these
conditions will result in the cancellation of your DSP Award. This DSP Award is subject to all
terms, conditions and provisions of the Plan and this Award Agreement, including, without
limitation, the arbitration and choice of forum provisions set forth in Paragraph 13. By
executing the related signature card, you will have confirmed your acceptance of all of the terms
and conditions of this Award Agreement.
(c) Status under Shareholders’ Agreement. The Shares delivered with respect to this
DSP Award will be subject to the Xxxxxxx Xxxxx Shareholders’ Agreement to which you are a party, as
amended from time to time (the “Shareholders’ Agreement”), except those Shares will not be
considered “Covered Shares” as defined in that Agreement. Shares underlying your Base RSUs will
not count toward satisfying your transfer restriction requirements under Section 2.1 of the
Shareholders’ Agreement until the Transfer Restrictions described in Paragraphs 3(b)(i)(B) and
3(b)(ii)(B) are removed.
3. Vesting, Delivery and Transfer Restrictions.
(a) Vesting.
(i) Base RSUs. Except as provided in Paragraph 2(b), you shall be fully Vested in all
of the Outstanding Base RSUs on the Date of Grant, and, subject to Paragraph 10, neither such Base
RSUs, nor the Shares underlying them, shall be forfeitable for any reason.
(ii) French Alternative Discount RSUs. Except as provided in this Paragraph 3 and in
Paragraphs 2, 4(b), 5, 7, 8, 10, 11 and 16, on each Vesting Date you shall become Vested in the
number or percentage of the Outstanding French Alternative Discount RSUs specified next to such
Vesting Date on the Award Statement (which may be rounded to avoid fractional Shares). While
continued active Employment is not required in order to receive delivery of the Shares underlying
your Outstanding French Alternative Discount RSUs that are or become Vested, all other terms and
conditions of this Award Agreement shall continue to apply, and failure to meet such terms and
conditions may result in the termination of the French Alternative Discount RSUs (as a result of
which no Shares underlying your French Alternative Discount RSUs would be delivered).
(b) Delivery and Transfer Restrictions.
(i) Base RSUs.
(A) Delivery Date. The Delivery Date with respect to your Base RSUs shall be the date
specified as such on your Award Statement, if that date is during a Window Period or, if that date
is not during a Window Period, the first Trading Day of the first Window Period beginning after
that date. For this purpose, a “Trading Day” is a day on which Shares trade regular way on the
New York Stock Exchange. Except as provided in this Paragraph 3 and Paragraphs 2, 8, 10, 11 and 16,
in accordance with Section 3.23 of the Plan, reasonably promptly (but in no case more than thirty
(30) Business Days) after the date specified as the Delivery Date, Shares underlying your Base RSUs
(“Base Shares”) shall be delivered by book entry credit to your Custody Account or to a brokerage
account as approved or required by the Firm.
(B) Transfer Restrictions on Base Shares. Except as provided in Paragraphs 3(c),
4(a), 8, or 10, until the date specified on your Award Statement as the “Transferability Date:”
(I) your Base Shares shall not be permitted to be sold, exchanged, transferred, assigned, pledged,
hypothecated, fractionalized, hedged or otherwise disposed of (including through the use of any
cash-settled instrument), whether voluntarily or involuntarily by you (collectively referred to as
the “Transfer Restrictions”) and any purported sale, exchange, transfer, assignment, pledge,
hypothecation, fractionalization, hedge or other disposition in violation of the Transfer
Restrictions shall be void; and (II) if and to the extent your Base Shares are certificated, the
certificates representing your Base Shares are subject to the restrictions in this Paragraph
3(b)(i)(B) and GS Inc. shall advise its transfer agent to place a stop order against your Base
Shares. Within 30 Business Days after the Transferability Date (or any other date described herein
the Transfer Restrictions are removed), GS Inc. shall take, or shall cause to be taken, such steps
as may be necessary to remove the Transfer Restrictions.
(ii) French Alternative Discount RSUs.
(A) Delivery Date. The Delivery Date with respect to your Outstanding Vested French
Alternative Discount RSUs shall be the date specified as such on your Award Statement, if that date
is during a Window Period or, if that date is not during a Window Period, the first Trading Day of
the first Window Period beginning after that date. Except as provided in this Paragraph 3 and in
Paragraphs 2, 4(b), 5, 6, 7, 8, 10, 11 and 16, in accordance with Section 3.23 of the Plan,
reasonably promptly (but in no case more than thirty (30) Business Days) after any date specified
as the Delivery Date (or any other date delivery of Shares is called for hereunder), Shares
underlying the number or percentage of your then Outstanding French Alternative Discount
RSUs (“French Alternative Discount Shares”) with respect to which the Delivery Date (or other date)
has
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occurred (which number of Shares may be rounded to avoid fractional Shares) shall be delivered
by book entry credit to a special custody account or to a special brokerage account as approved or
required by the Firm and shall be subject to Transfer Restrictions as described in Paragraph
3(b)(ii)(B) until the Transferability Date (defined below) identified on your Award Statement.
Notwithstanding any other provision to the contrary in this Award Agreement or your Award
Statement, the Delivery Date with respect to your French Alternative Discount RSUs shall not occur
prior to the expiration of a minimum period of two years following the Date of Grant except as
provided in Paragraph 3(c) hereof.
(B) Transfer Restrictions on French Alternative Discount Shares. Notwithstanding any
other provision to the contrary in this Award Agreement (except for Section 10(h)) or the Award
Statement and except as may be determined by the Firm, in its sole discretion in a manner it
concludes is consistent with the deferral of French income taxes with respect to your election for
French Alternative Discount RSUs under the DSP Award until a date that is two years following
the Delivery Date (the “Transferability Date”) (I) your French Alternative Discount Shares shall
not be permitted to be sold, exchanged, transferred, assigned, pledged, hypothecated,
fractionalized, hedged or otherwise disposed of (including through the use of any cash-settled
instrument), whether voluntarily or involuntarily by you (collectively referred to as the “Transfer
Restrictions”) and any purported sale, exchange, transfer, assignment, pledge, hypothecation,
fractionalization, hedge or other disposition in violation of the Transfer Restrictions shall be
void; and (II) if and to the extent your French Alternative Discount Shares are certificated, the
certificates representing your French Alternative Discount Shares are subject to the restrictions
in this Paragraph 3(b)(ii)(B) and GS Inc. shall advise its transfer agent to place a stop order
against your French Alternative Discount Shares. Within 30 Business Days after the Transferability
Date (or any other date described herein the Transfer Restrictions are removed), GS Inc. shall
take, or shall cause to be taken, such steps as may be necessary to remove the Transfer
Restrictions.
(iii) Certain “Covered Employees.” Notwithstanding the foregoing, if you are or
become considered by GS Inc. to be one of its “covered employees” within the meaning of Section
162(m) of the Code, then you shall be subject to Section 3.21.3 of the Plan, as a result of which
delivery of your Shares may be delayed.
(iv) Right to Deliver Cash or Other Property.
(A) In accordance with Section 1.3.2(i) of the Plan, in the discretion of the Committee, in
lieu of all or any portion of the Shares otherwise deliverable in respect of all or any portion of
your Base RSUs, the Firm may deliver cash, other securities, other Awards or other property, and
all references in this Award Agreement to deliveries of Shares shall include such deliveries of
cash, other securities, other Awards or other property.
(B) Notwithstanding Section 1.3.2(i) of the Plan, you shall receive, on the Delivery Date,
French Alternative Discount Shares only to the exclusion of cash, other securities, other Awards or
other property.
(v) Escrow. Pending receipt of any consents deemed necessary or appropriate by the
Firm, Shares in respect of your DSP Award initially may be delivered into an escrow account meeting
such terms and conditions as determined by the Firm. Any such escrow arrangement shall, unless
otherwise determined by the Firm, provide that (A) the escrow agent shall have the exclusive
authority to vote such Shares while held in escrow and (B) dividends paid on such Shares held in
escrow may be accumulated and shall be paid as determined by GS Inc. in its discretion. By
accepting your DSP Award, you have agreed to execute such documents and take such steps as may be
deemed necessary or appropriate by the Firm to establish and maintain any such escrow account.
(c) Death. Notwithstanding any other Paragraph of this Award Agreement, if you die
prior to the Delivery Date with respect to your DSP RSUs and/or the Transferability Date with
respect to both your Base Shares and French Alternative Discount Shares, as soon as practicable
after the date of death and after such documentation as may be requested by the Committee is
provided to the Committee: (i) both your Base Shares
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and French Alternative Discount Shares shall
be delivered to the representative of your estate; and (ii) the Transfer Restrictions then
applicable to both your Base Shares and French Alternative Discount Shares shall be removed. The
Committee may adopt procedures pursuant to which you may be permitted to specifically bequeath some
or all of your Outstanding DSP RSUs under your will to an organization described in Sections
501(c)(3) and 2055(a) of the Code (or such other similar charitable organization as may be approved
by the Committee).
4. Termination of Employment
(a) Base Shares / French Alternative Discount Shares. Unless the Committee determines
otherwise, if your Employment terminates for any reason or you otherwise are no longer actively
employed with the Firm (other than by reason of Extended Absence or solely as a result of
“downsizing” as provided in Paragraph 7(b)), (i) the Transfer Restrictions will be removed as soon
as practicable after the date your Employment so terminates with respect to your Base Shares, and
(ii) the Transfer Restrictions described in Paragraph 3(b)(ii)(B) with respect to the French
Alternative Discount Shares will continue to apply until the Transferability Date. If your
Employment terminates by reason of Extended Absence or solely by reason of a “downsizing” as
provided in Paragraph 7(b), the Transfer Restrictions shall continue to apply to both your Base
Shares and French Alternative Discount Shares until the Transferability Date in accordance with
Paragraphs 3(b)(i)(B) and
3(b)(ii)(B) hereof.
(b) French Alternative Discount RSUs. Unless the Committee determines otherwise,
except as provided in Paragraphs 3(c), 7, 8 and 10(h), if your Employment terminates for any reason
or you otherwise are no longer actively employed with the Firm, your rights in respect of your
French Alternative Discount RSUs (but not your Base RSUs) that were Outstanding but that had not
yet become Vested immediately prior to your termination of Employment immediately shall terminate,
such French Alternative Discount RSUs shall cease to be Outstanding, and no Shares shall be
delivered in respect thereof.
5. Termination of French Alternative Discount RSUs and Non-Delivery of French Alternative
Discount Shares. Unless the Committee determines otherwise, and except as provided in
Paragraphs 7 and 8, your rights in respect of all of your Outstanding French Alternative Discount
RSUs (whether or not Vested), immediately shall terminate, such French Alternative Discount RSUs
shall cease to be Outstanding, and no French Alternative Discount Shares shall be delivered in
respect thereof if:
(a) you attempt to have any dispute under the Plan or this Award Agreement resolved in any
manner that is not provided for by Paragraph 13 or Section 3.17 of the Plan;
(b) any event that constitutes Cause has occurred;
(c) (A) you, in any manner, directly or indirectly, (1) Solicit any Client to transact
business with a Competitive Enterprise or to reduce or refrain from doing any business with the
Firm, (2) interfere with or damage (or attempt to interfere with or damage) any relationship
between the Firm and any Client, (3) Solicit any person who is an employee of the Firm to resign
from the Firm or to apply for or accept employment with any Competitive Enterprise or (4) on behalf
of yourself or any person or Competitive Enterprise hire, or participate in the hiring of, any
Selected Firm Personnel, or identify, or participate in the identification of, Selected Firm
Personnel for potential hiring, whether as an employee or consultant or otherwise, or (B) Selected
Firm Personnel are Solicited, hired or accepted into partnership, membership or similar status (1)
by a Competitive Enterprise that you form, that bears your name, in which you are a partner, member
or have similar status, or in which you possess or control greater than a de minimis equity
ownership, voting or profit participation or (2) by any Competitive Enterprise where you have, or are intended to have, direct or indirect
managerial or supervisory responsibility for such Selected Firm Personnel;
(d) you fail to certify to GS Inc., in accordance with procedures established by the
Committee, that you have complied, or the Committee determines that you in fact have failed to
comply, with all
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the terms and conditions of the Plan and this Award Agreement. By accepting the
delivery of Shares under this Award Agreement, you shall be deemed to have represented and
certified at such time that you have complied with all the terms and conditions of the Plan and
this Award Agreement;
(e) the Committee determines that you failed to meet, in any respect, any obligation you may
have under any agreement between you and the Firm, or any agreement entered into in connection with
your Employment with the Firm, including, without limitation, the Firm’s notice period requirement
applicable to you, any offer letter, employment agreement, the Shareholders’ Agreement, or any
other shareholders’ agreement to which other similarly situated employees of the Firm are a party;
or
(f) as a result of any action brought by you, it is determined that any of the terms or
conditions of this Award Agreement are invalid.
For purposes of the foregoing, the term “Selected Firm Personnel” means: (i) any Firm employee or
consultant (A) with whom you personally worked while employed by the Firm, or (B) who at any time
during the year immediately preceding your termination of Employment with the Firm, worked in the
same division in which you worked; and (ii) any Managing Director of the Firm.
6. Repayment. The provisions of Section 2.6.3 of the Plan (which requires Award
recipients to repay to the Firm amounts delivered to them if the Committee determines that all
terms and conditions of this Award Agreement in respect of such delivery were not satisfied) shall
apply to your French Alternative Discount RSUs and French Alternative Discount Shares but not your
Base RSUs or Base Shares.
7. Extended Absence and Downsizing.
(a) Extended Absence.
(i) Notwithstanding any other provision of this Award Agreement, but subject to Paragraphs
3(b)(ii) and 7(a)(ii), solely with respect to any French Alternative Discount RSUs that were
Outstanding but that had not yet become Vested immediately prior to your termination of Employment
(determined as described in Section 1.2.19 of the Plan) by reason of Extended Absence, the
condition set forth in Paragraph 4(b) shall be waived with respect to any such French Alternative
Discount RSUs (as a result of which such French Alternative Discount RSUs shall become Vested), but
all other terms and conditions of this Award Agreement shall continue to apply. Any termination of
Employment by reason of Extended Absence shall not affect your Base RSUs, Base Shares or French
Alternative Discount Shares, and the Transfer Restrictions shall continue to apply until the
Transferability Date as provided in Paragraph 3(b)(i)(B) and 3(b)(ii)(B).
(ii) Without limiting the application of Paragraph 4(b), your rights in respect of your
Outstanding French Alternative Discount RSUs that become Vested in accordance with Paragraph
7(a)(i) immediately shall terminate, such Outstanding French Alternative Discount RSUs shall cease
to be Outstanding, and no Shares shall be delivered in respect thereof if, prior to the original
Vesting Date with respect to such French Alternative Discount RSUs, you (i) form, or acquire a 5%
or greater equity ownership, voting or profit participation interest in, any Competitive
Enterprise, or (ii) associate in any capacity (including, but not limited to, association as an
officer, employee, partner, director, consultant, agent or advisor) with any Competitive
Enterprise.
(b) Downsizing.
(i) Notwithstanding any other provision of this Award Agreement and subject to your executing
such general waiver and release of claims and an agreement to pay any associated tax liability,
both as may be prescribed by the Firm or its designee, if your Employment is terminated without
Cause solely by reason of a “downsizing,” the condition set forth in Paragraph 4(b) shall be waived
with respect to a portion of your French Alternative Discount RSUs that were Outstanding but that
had not yet become Vested immediately prior
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to such termination of Employment by reason of
“downsizing,” as a result of which you shall become Vested in a portion of such French Alternative
Discount RSUs, determined with respect to each remaining Vesting Date by multiplying the number of
French Alternative Discount RSUs that would become Vested on each remaining Vesting Date by a
fraction, the numerator of which is the number of months from the Date of Grant to the date your
Employment terminated and the denominator of which is the number of months from the Date of Grant
to the applicable Vesting Date, but all other terms and conditions of this Award Agreement shall
continue to apply. Your termination of Employment by reason of “downsizing” shall not affect your
Base Shares, and the Transfer Restrictions shall continue to apply until the Transferability Date
as provided in Paragraph 3(b)(i)(B).
(ii) Whether or not your Employment is terminated solely by reason of a “downsizing” shall
be determined by the Firm in its sole discretion. No termination of Employment initiated by you,
including any termination claimed to be a “constructive termination” or the like or a termination
for good reason, will be solely by reason of a “downsizing.”
8. Change in Control. Notwithstanding anything to the contrary in this Award
Agreement, in the event a Change in Control shall occur and within 18 months thereafter the Firm
terminates your Employment without Cause or you terminate your Employment for Good Reason, all
Shares underlying your then Outstanding Base RSUs shall be delivered, and the Transfer Restrictions
with respect to your Base Shares shall be removed. Shares underlying your then Outstanding French
Alternative Discount RSUs, whether or not Vested, shall be delivered (but not earlier than the
second anniversary of the Date of Grant) and French Alternative Discount Shares so delivered shall
be subject to the Transfer Restrictions described in Paragraph 3(b)(ii)(B).
9. Dividend Equivalent Rights. Each DSP RSU shall include a Dividend Equivalent
Right. Accordingly, with respect to each of your Outstanding DSP RSUs, at or after the time of
distribution of any regular cash dividend paid by GS Inc. in respect of a Share the record date for
which occurs on or after the Date of Grant, you shall be entitled to receive an amount (less
applicable withholding) equal to such regular dividend payment as would have been made in respect
of the Share underlying such Outstanding DSP RSU. Payment in respect of a Dividend Equivalent
Right shall be made only with respect to DSP RSUs that are Outstanding on the relevant record date.
Each Dividend Equivalent Right shall be subject to the provisions of Section 2.8.2 of the Plan.
10. Certain Additional Terms, Conditions and Agreements.
(a) The delivery of Shares is conditioned on your satisfaction of any applicable withholding
taxes in accordance with Section 3.2 of the Plan. To the extent permitted by applicable law, the
Firm, in its sole discretion, may require you to provide amounts equal to all or a portion of any
Federal, State, local, foreign or other tax obligations imposed on you or the Firm in connection
with the grant, vesting or delivery of this DSP Award by requiring you to choose between remitting
such amount (i) in cash (or through payroll deduction or otherwise) or (ii) in the form of proceeds
from the Firm’s executing a sale of Shares delivered to you pursuant to this DSP Award. In
addition, if you are an individual with separate employment contracts (at any time during and/or
after the Firm’s fiscal year), the Firm may, in its sole discretion, require you to provide
for a reserve in an amount the Firm determines is advisable or necessary in connection with any
actual, anticipated or potential tax consequences related to your separate employment contracts by
requiring you to choose between remitting such amount (i) in cash (or through payroll deduction or
otherwise) or (ii) in the form of proceeds from the Firm’s executing a sale of Shares delivered to you
pursuant to this DSP Award (or any other Outstanding Awards under the Plan). In no event, however,
shall any choice you may have under the preceding two sentences determine, or give you any
discretion to affect, the timing of the delivery of Shares or the timing of payment of tax
obligations.
(b) Your rights in respect of your French Alternative Discount RSUs are conditioned on your
becoming a party to any shareholders’ agreement to which other similarly situated employees of the
Firm are a party.
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(c) Your rights in respect of your DSP Award are conditioned on the receipt to the full
satisfaction of the Committee of any required consents (as described in Section 3.3 of the Plan)
that the Committee may determine to be necessary or advisable.
(d) You understand and agree, in accordance with Section 3.3 of the Plan, by accepting this
Award, you have expressly consented to all of the items listed in Section 3.3.3(d) of the Plan,
which are incorporated herein by reference.
(e) You understand and agree, in accordance with Section 3.22 of the Plan, by accepting this
DSP Award you have agreed to be subject to the Firm’s policies in effect from time to time
concerning trading in Shares and hedging or pledging Shares and equity-based compensation or other
awards (including, without limitation, the Firm’s “Policies With Respect to Transactions Involving
GS Shares, Equity Awards and GS Options by Persons Affiliated with GS Inc.”), and confidential or
proprietary information, and to effect sales of Shares delivered to you in respect of your DSP RSUs
in accordance with such rules and procedures as may be adopted from time to time with respect to
sales of such Shares (which may include, without limitation, restrictions relating to the timing of
sale requests, the manner in which sales are executed, pricing method, consolidation or aggregation
of orders and volume limits determined by the Firm). In addition, you understand and agree that
you shall be responsible for all brokerage costs and other fees or expenses associated with this
DSP Award, including, without limitation, such brokerage costs or other fees or expenses in
connection with the sale of Shares delivered to you hereunder.
(f) In addition to the legends described in Paragraph 3(b)(ii)(B) hereof, GS Inc. may affix to
Certificates representing Shares issued pursuant to this Award Agreement any legend that the
Committee determines to be necessary or advisable (including to reflect any restrictions to which
you may be subject under a separate agreement with GS Inc.). GS Inc. may advise the transfer agent
to place a stop order against any legended Xxxxxx.
(g) You undertake to comply with (and take all steps requested by the Firm to assure that it
complied with) the reporting requirements to be established by French law and regulations in
order to benefit from the tax and social security regime set forth under article 83 of the
Finance Bill for 2005 (#2004-1484) dated December 30, 2004, article 41 of the Law #2005-842
dated July 26, 2005 and articles 34, 39, 40 and 41 of the law #2006-1770 dated December 30, 2006.
(h) Without limiting the application of Paragraph 5, if:
(i) your Employment with the Firm terminates solely because you resigned to accept employment
at any U.S. Federal, state or local government, any non-U.S. government, any supranational or
international organization, any self-regulatory organization or any agency, or instrumentality of
any such government or organization, or any other employer determined by the Committee, and as a
result of such employment, your continued holding of your Outstanding DSP RSUs and/or the Shares
delivered in respect of your DSP RSUs that are subject to Transfer Restrictions would result in an
actual or perceived conflict of interest (“Conflicted Employment”); or
(ii) following your termination of Employment other than described in Paragraph 10(h)(i), you
notify the Firm that you have accepted or intend to accept Conflicted Employment at a time when you
continue to hold Outstanding DSP RSUs and/or Shares delivered in respect of DSP RSUs that are
subject to Transfer Restrictions;
then, in the case of Paragraph 10(h)(i) above only, the condition set forth in Paragraph 4(b) shall
be waived with respect to any French Alternative Discount RSUs you then hold that had not yet
become Vested (as a result of which such French Alternative Discount RSUs shall become Vested) and
in the case of Paragraphs 10(h)(i) and 10(h)(ii) above, the Transfer Restrictions shall be removed
with respect to any then delivered Base Shares, all Base RSUs and then Outstanding Vested French
Alternative Discount RSUs pursuant to which Shares had not
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yet been delivered shall be cancelled,
and, at the sole discretion of the Firm, you shall receive either a lump sum cash payment in
respect of, or delivery of Shares underlying, any such cancelled Base RSUs and Vested French
Alternative Discount RSUs, in each case as soon as practicable after the Committee has received
satisfactory documentation relating to your Conflicted Employment. Notwithstanding anything else
herein, payment or delivery in respect of the DSP RSUs as a result of this Paragraph 10(h) shall be
made only at such time and if and to the extent as would not result in the imposition of any
additional tax to you under Section 409A of the Code (which governs the taxation of certain
deferred compensation).
11. Right of Offset. The obligation to deliver Shares under this Award Agreement or
to remove the Transfer Restrictions is subject to Section 3.4 of the Plan, which provides for the
Firm’s right to offset against such obligation any outstanding amounts you owe to the Firm and any
amounts the Committee deems appropriate pursuant to any tax equalization policy or agreement.
12. Amendment. The Committee reserves the right at any time to amend the terms and
conditions set forth in this Award Agreement, and the Board may amend the Plan in any respect;
provided that, notwithstanding the foregoing and Sections 1.3.2(f), 1.3.2(g) and 3.1 of the Plan,
no such amendment shall materially adversely affect your rights and obligations under this Award
Agreement without your consent; and provided further that the Committee expressly reserves its
rights to amend this Award Agreement and the Plan as described in
Sections 1.3.2(h)(1), (2) and (4)
of the Plan. Any amendment of this Award Agreement shall be in writing signed by an authorized
member of the Committee or a person or persons designated by the Committee.
13. Arbitration; Choice of Forum. BY ACCEPTING THIS DSP AWARD, YOU UNDERSTAND AND
AGREE THAT THE ARBITRATION AND CHOICE OF FORUM PROVISIONS SET FORTH IN SECTION 3.17 OF THE PLAN,
WHICH ARE EXPRESSLY INCORPORATED HEREIN BY REFERENCE AND WHICH, AMONG OTHER THINGS, PROVIDE THAT
ANY DISPUTE, CONTROVERSY OR CLAIM BETWEEN THE FIRM AND YOU ARISING OUT OF OR RELATING TO OR
CONCERNING THE PLAN OR THIS AWARD AGREEMENT SHALL BE FINALLY SETTLED BY ARBITRATION IN NEW YORK
CITY, PURSUANT TO THE TERMS MORE FULLY SET FORTH IN SECTION 3.17 OF THE PLAN, SHALL APPLY.
14. Non-transferability. Except as otherwise may be provided in this Paragraph 14 or
as otherwise may be provided by the Committee, and subject to Paragraph 3 hereof, the limitations
on transferability set forth in Section 3.5 of the Plan shall apply to this DSP Award. Any
purported transfer or assignment in violation of the provisions of this Paragraph 14 or Section 3.5
of the Plan shall be void. The Committee may adopt procedures pursuant to which some or all
recipients of DSP Awards may transfer some or all of their DSP Awards through a gift for no
consideration to any child, stepchild, grandchild, parent, stepparent, grandparent, spouse,
sibling, niece, nephew, mother-in-law, father-in-law, son-in-law, daughter-in-law, brother-in-law
or sister-in-law, including adoptive relationships, any person sharing the recipient’s household
(other than a tenant or employee), a trust in which these persons have more than 50% of the
beneficial interest, and any other entity in which these persons (or the recipient) own more than
50% of the voting interests.
15. Governing Law. THIS DSP AWARD SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE
WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO PRINCIPLES OF CONFLICT OF LAWS.
16. Delay in Payment. To the extent required in order to avoid the imposition of any
interest and/or additional tax under
Section 409A(a)(1)(B) of the Code, any payments or deliveries
due as a result of your termination of Employment with the Firm may be delayed for six months if
you are deemed to be a “specified employee” as defined in Section 409A(a)(2)(i)(B) of the Code.
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17. Headings. The headings in this Award Agreement are for the purpose of convenience
only and are not intended to define or limit the construction of the provisions hereof.
IN WITNESS WHEREOF, GS Inc. has caused this Award Agreement to be duly executed and delivered
as of the Date of Xxxxx.
| THE XXXXXXX XXXXX GROUP, INC. | ||||
| By: | ||||
| Name: | ||||
| Title: | ||||
9
