2001年计划法律分析信

PAGEPAGE5October18,FocusedPhotonics(Hangzhou)Inc.No.760,Bing'anRoad,BingjiangDistrictHangzhou,ZhejiangProvince,310052Re:ProceduresforExerciseofOption&ObligationofFPICaymantotheWerefertoyourinquirieswithregardto(i)theproceduresforexerciseofoptionsgrantedbyandunderthethe2001stockoptionplanofFocusedPhotonics,Inc.(“FPIUS”)and(ii)theobligationsofFPIHoldingCo.,Ltd.("FPICayman")withrespecttotheoptionsgrantedorpromisedtograntbyFPIUStoYueqinLiu(刘月琴)andYuhuiLv(吕宇慧)(each,the“FormerEmployee”andcollectivelythe“FormerEmployees”)inaccordancewiththedocuments(the“ExaminedDocuments”)listedinScheduleIIofthisletter.DocumentsForthepurposesofgivingthisanalysis,wehaveexaminedandrelieduponthecopiesofthe2001stockoptionplanoftheFPIUS(the“OptionPlan”)andtheExaminedDocumentslistedinScheduleIIofthisletter(the“ExaminedDocuments”).ReferencesaremadetothetheOptionPlanandtheExaminedDocuments.Thefollowinganalysisaresubjecttoandbasedupon,theassumptionsandqualificationsstatedintheLetter,andhavingregardtosuchlegalconsiderationsaswedeemrelevant.ProceduresforExerciseofOptionsofFPIUSundertheOptionSection9(a)oftheOptionPlanwillbeapplicableindecidingtheproceduresforexerciseoftheoptiongrantedundertheOptionPlan.PursuanttoSection9(1)oftheOptionPlan,“…AnOptionshallbedeemedtobeexercisedwhen(i)writtennoticeofsuchexercisehasbeengiventotheCompanyinaccordancewiththetermsoftheOptionbythepersonentitledtoexercisetheOptionand(ii)fullpaymentfortheShareswithrespecttowhichtheOptionisexercisedhasbeenreceivedbytheCompany.”IftheOptioneewoulddulyexercisetheOption,suchOptioneeisobligedtoprovidewrittennoticeofsuchexercisetotheCompanyandfullypaytheexercisepricetotheCompany,failingtocompleteeitherofwhichwillleadtofailureofexerciseoftheFPIUSOption.Section9(b)oftheOptionPlanwillbeapplicableindecidingwhetheranyoptiongrantedbyOptionisstilleffectiveasofthedatehereof.PursuanttoSection9(b)oftheOptionPlan,“…intheeventofterminationofanOptionee’sContinuousStatusasanEmployeeorConsultant(butnotintheeventofanOptionee’schangeofstatusfromEmployeetoConsultant(inwhichcaseanEmployee’sIncentiveStockOptionshallautomaticallyconverttoaNonstatutoryStockOptiononthedatethreemonthsandonedayfollowingsuchchangeofstatus)orfromConsultanttoEmployee),suchOptioneemay,butonlywithinsuchperiodoftimeasisdeterminedbytheAdministrator,ofatleast30days,withsuchdeterminationinthecaseofanIncentiveStockOptionnotexceedingthreemonthsafterthedateofsuchtermination(butinnoeventlaterthantheexpirationdateofthetermofsuchOptionassetforthintheOptionAgreement),exercisehisorherOptiontotheextentthattheOptioneewasentitledtoexerciseitatthedateofsuchtermination.TotheextentthattheOptioneewasnotentitledtoexercisetheOptionatthedateofsuchtermination,oriftheOptioneedoesnotexercisesuchOptiontotheextentsoentitledwithinthetimespecifiedherein,theOptionshallterminate.”IntheeventthattheAdministratorhadprovidedtheexerciseperiodnoticetotheOptioneeadvisingthathewasentitledtoexercisetheoptionswithincertaintimeperiodwhichwasatleast30daysuponhisterminationofemploymentwiththeCompany,andsuchOptioneedidnotexercisetheoptionwithinsuchtimeperiod,theoptionshallhaveexpiredattheendofsuchtimeperiod.ObligationsofFPICaymantotheFormerBeingthatFPIHoldingCo.,Ltd.("FPICayman")andRichGoalHoldingsLimited(“RichGoal”)werenotpartiestotheExaminedDocumentsevidencingthegrantoftheoptionsofFPIUS,norwereFPIUS’sliabilitiesassumedbyortransferredintoFPICaymanorRichGoal,theFormerEmployeesshouldnotbeabletodirectlyclaimagainstFPICaymanorRichGoalasacontractualmattersolelybasedupontheExaminedDocuments.AssumptionsandTheforegoingopinionsaresubjecttoandlimitedbythefollowingqualifications,limitationsandWeexpressnoopinionastomattersgovernedbyanylawsotherthanthelawsoftheStateofCaliforniaandthefederallawoftheUnitedStatesofAmerica.Weexpressnoopinionastowhetherthelawsofanyparticularjurisdictionapply,andnoopiniontotheextentthatthelawsofanyjurisdictionotherthanthoseidentifiedaboveareapplicabletotheOptionPlanandtheExaminedFPIUSOptionAwardDocuments.ForpurposeofouranalysisexpressedinSection2withrespecttoproceduresforexerciseofoptionsofFPIUS,wearerelyingsolelyonthe2001StockPlansetforthinScheduleIattachedhereto.ForpurposeofouranalysisexpressedinSection2abovewithrespecttoobligationsofFPICaymantotheFormerEmployees,wearerelyingsolelyontheExaminedDocumentsthatwereprovidedtousbytheCompany.WehavemadenoconclusiononwhethertheFormerEmployeemayclaimrightsonlegalbasisotherthanapurecontractualmatter,andwehavebeenprovidedwithnoparticularfactsthatwouldenableustodrawanyconclusiononthesequestions.ThisLetterisissuedandtakeseffectasofthedatehereof.WearenotresponsibleforthefutureupdatesofthisLetterafterthedateofissuance,andwearenotobligatedtonotifyanychangethatmayconstituteanyamendmenttothematterssetforthinthisLetter,oranyfactscometoourknowledgeafterthedateofissuance.Anyanalysisexpressedinthisletterarelimitedtothemattersreferredtohereinandshallnotbeconstruedasextendingtoanyothermatterordocumentnotreferredtoherein.ThisLetterisfurnishedtotheCompanysolelyfortheCompany’sbenefitandmaybeassignedto,quotedtoorreliedonbythelegaladvisersactinginthatcapacityinrelationtothesubjectmattersan