Company as a condition to the receipt of such grant. Upon an Acquisition and provided you remain employed by the Company through the Acquisition, shares of such restricted stock grant eligible for vesting will accelerate by 12 months. In the event you are terminated without Cause (as defined) or in the event you resign for Good Reason (as defined), in each case, within 12 months of an Acquisition (as defined), all unvested shares of your restricted stock grant that are eligible for vesting will vest in full. “Acquisition” means the consummation of (i) the sale of all or substantially all of the assets of the Company on a consolidated basis to an unrelated person or entity (in a single transaction or a series of related transactions), (ii) a merger, reorganization or consolidation in which the outstanding shares of the Company’s capital stock are converted into or exchanged for securities of the successor entity and the holders of the Company’s outstanding voting power immediately prior to such transaction do not own at least a majority of the outstanding voting power of the successor entity immediately upon completion of such transaction (in substantially the same proportions by the persons who held the Company’s securities immediately prior to such transaction), (iii) the sale, in a single transaction or series of related transactions, of all or a majority of the Company’s capital stock to an unrelated person or entity, or (iv) any other change in control transaction as determined by the Board of Directors. Notwithstanding the foregoing, a transaction (or series of related transactions) shall not constitute an Acquisition if (x) its sole purpose is to change the state of the Company’s incorporation or to create a holding company that will be owned in substantially the same proportions by the persons who held the Company’s securities immediately prior to such transaction, or (y) it is for bona fide equity financing purposes.
6. Benefits. At the present time, the Company does not offer medical insurance coverage or other similar benefits. You will also be entitled to participate fully in employee benefit plans that the Company provides or may establish for the benefit of its employees generally. Your participation in these plans and receipt of benefits thereunder will be subject to the plan documents governing such benefits. Currently, the Company is exploring options with respect to offering a group health insurance plan to its employees. Until such a plan is adopted, the Company will reimburse you for the cost of your COBRA premiums in an amount not to exceed $2,500 per month for heath, vision and dental insurance through expiration of your eligibility for COBRA coverage under your current plan, which is expected to take place in April 2018. The Company agrees that, upon expiration of your COBRA eligibility for your current health, vision and dental plans, the Company will provide you with health, and to the extent available, vision and dental care coverage. Notwithstanding the foregoing, you understand and agree that nothing contained herein will require the Company to establish or maintain any fringe benefits and any such benefits may be modified, amended, terminated or cancelled at any time by the Company in its sole and absolute discretion. You will also be eligible for up to 20 days of paid vacation per year which shall accrue on a prorated basis, in accordance with the Company’s vacation policy as in effect from time to time in addition to established company holidays.
7. Severance. If you are terminated by the Company without Cause or resign for Good Reason (as defined), then you will be eligible for “Severance Benefits” in the form of: (a) continuation of your base salary twelve months from the date of termination (such period, the “Salary Continuation Period”, and such payments, “Salary Continuation Payments”); (b) if elected, continuation of group health plan benefits for you and your dependents to the extent authorized by and consistent with 29 U.S.C. § 1161 et seq. (commonly known as “COBRA”), with the cost of the regular premium for such benefits shared in the same relative proportion by the Company and