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EXHIBIT 99.1
EMPLOYMENT AGREEMENT
This Employee Agreement ("Agreement") is entered into effective as of the
1st day of January, 2000 by and between TIDEL TECHNOLOGIES, INC., a Delaware
corporation with its principal offices at Houston, Xxxxxx County, Texas
("Company"), and XXXXX X. XXXX ("Employee").
WHEREAS, Company desires to continue to have the benefits of Employee's
knowledge and experience as a full time senior executive without distraction by
employment-related uncertainties and considers such employment a vital element
to protecting and enhancing the best interests of Company, and its and
shareholder and Employee desires to continue to be employed full time with
Company and to extend his employment agreement from that presently provided; and
WHEREAS, Company and Employee desire to enter into an agreement reflecting
the terms under which Employee will be employed by Company for a minimum THREE
(3) YEAR PERIOD commencing on the Effective Date (subject to the provision of
SECTIONS 5, 6 and 7 below);
WHEREAS, Employee is employed hereunder by Company in a confidential
relationship wherein Employee, in the course of Employee's employment with the
Company, has and will continue to become familiar with and aware of information
as to customers of the Company, specific manner of doing business, including the
processes, techniques and trade secrets utilized by the Company, and future
plans with respect thereto, all of which has been and will be established and
maintained at great expense to the Company; this information is a trade secret
and constituted the valuable good will of the Company.
NOW, THEREFORE, in consideration of the mutual covenants set forth herein
and other good and valuable consideration, the parties agree as follows:
1. TERM. Company hereby agrees to employ Employee for an initial three-year
period commencing on January 1, 2000 (the "Effective Date") and ending on the
third anniversary thereof, unless sooner terminated as provided in SECTIONS 5
and 6 or unless extended by the mutual consent of the parties prior to the end
of the term. On the Effective Date anniversary of every year, the term of the
Employee's employment with Company shall be automatically extended by one year,
on the same terms and conditions contained herein in effect as of the time of
renewal unless either party hereto delivers to the other party not later than
ten months after the anniversary of the Effective Date during the first year of
the then-current term a written notice of its or his election to terminate the
Employee's employment. If either party delivers such termination notice, the
Employee's employment will terminate as of the end of the then-current
three-year term.
2. DUTIES. Employee shall serve as the President/Chief Executive Officer of
Company, shall exercise the authority and assume the responsibilities of
President/Chief Executive Officer of a company of the size and nature of
Company, and shall assume such other duties as the Board of Directors of Company
may prescribe consistent with duties of President/Chief Executive Officer of a
technology company of such size as Company including without limitation such
positions and duties with Company's subsidiaries as assigned by the Board of
Directors of Company. Employee
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agrees to devote substantially all his full time, attention and best efforts to
the performance of his duties. The Company may from time to time designate
Employee as an officer of any current or future subsidiary and, in such event,
shall use its best efforts to fairly allocate Employee's compensation among
itself and such subsidiary or subsidiaries either through multiple direct
payroll checks to Employee or by inter-Company reimbursements, in any case
consistent with any applicable regulations or regulatory policies.
3. COMPENSATION. Company shall compensate Employee for the services rendered
under this Agreement as follows:
(a) A base annual salary determined by the Board of Directors of
Company consistent with its practices for executive officers of Company,
but not less than two hundred twenty-five thousand ($225,000) per year,
payable in equal monthly installments (less applicable withholding) in
accordance with the customary payroll practices of Company for the payment
of executive officers;
(b) Such bonuses as shall be determined by the Board of Directors of
Company consistent with its practices for executive officers of Company;
(c) If Employee's base annual salary is increased at any time, it
shall, not thereafter be decreased during the term of this Agreement,
unless such decrease is agreed to by the a Employee in writing; and
(d) The Board of Directors of Company may from time to time grant
restricted stock, performance units or stock options, stock appreciation
rights, and other forms of long-term incentive compensation arrangements to
the Employee. The privilege to participate in these grants is at the
discretion of the Board of Directors and the stipulations regarding the
granting of these awards and their exercise by the Employee will be defined
in the Tidel Technologies, Inc. 1997 Long-Term Incentive Plan or in other
plans or actions of the Board of Directors.
(e) Employee shall be entitled to reimbursement of reasonable out of
pocket expenses relating to Company business in accordance with policies in
effect for executive officers generally.
4. EMPLOYEE BENEFITS.
(a) Employee shall be entitled to full participation, on a basis
commensurate with his position with Company, in all plans of life,
accident, medical payment, health and disability insurance, retirement,
pension, perquisites, and other employee benefit and pension plans which
generally are made available to executive officers of Company or its
principal subsidiaries, except for such plans which the Board of Directors,
in its sole discretion, shall adopt for select employees to compensate them
for special or extenuating circumstances.
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(b) Employee shall be entitled to an annual vacation leave at full pay
as may be provided or by Company's vacation policies applicable to
executive officers, but in any event such paid vacation shall not be less
than two weeks in the aggregate.
(c) Employee shall be entitled to an automobile and/or an automobile
allowance as may be determined by the Board of Directors. Once established,
or if Employee's automobile allowance is increased at any time, it shall
not thereafter be decreased during the term of this Agreement, unless such
decrease is agreed to by the Employee in writing.
(d) Nothing in this Agreement shall limit in any way Employee's
participation in any other benefit plans or arrangements as are from time
to time approved by Company.
5. TERMINATION BY COMPANY. Except for a termination pursuant to SECTION 1 upon
the expiration of the scheduled initial or any other term of this Agreement,
Employee's employment hereunder may be terminated by Company without any breach
of this Agreement only under the following circumstances:
(a) Death, or Retirement. Employee's employment shall terminate upon
his death or retirement.
(b) Disability. If, as a result of his incapacity resulting from
physical or mental illness or disease which is likely to be permanent,
Employee shall have been unable to perform his duties hereunder for a
period of more than one hundred twenty (120) consecutive days during any
twelve-month period, Company may terminate his employment hereunder. The
Board of Directors will determine if the Employee's termination is due to
total and permanent disability, according to any long-term disability plan
then in effect for senior executives of Company and otherwise in good faith
consistent with generally prevailing practices of employers.
(c) Cause. Company may terminate Employee's employment hereunder for
cause, which for purposes of this Agreement shall be defined to mean (i)
the willful and continued failure by Employee to follow the reasonable
instructions of the Board of Directors of Company or his duties pursuant to
this Agreement continuing for ten (10) days after written notice of such
failure has been given to Employee by the Board of Directors and the
failure of the Employee to cure, (ii) the willful commission by Employee of
acts that are dishonest or inconsistent with local normal standards and
demonstrably and materially injurious to Company or its subsidiaries,
monetarily or otherwise, (iii) the commission by Employee of a felonious
act, (iv) ongoing alcohol/drug addiction and a failure by Employee to
successfully complete a recovery program, (v) intentional wrongful
disclosure of confidential information of the Company, (vi) intentional
wrongful engagement in any competitive activity, or (vii) gross neglect of
his duties by Employee.
(d) Termination Without Cause. The termination of Employee's
employment by Company for any reasons other than those specified above
shall be deemed to be a
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"Termination Without Cause" (and the Company shall be deemed to have
"Terminated Without Cause") and Employee shall be entitled to the severance
benefits described in SECTION 8 herein. Notwithstanding the foregoing, the
Company shall not Terminate Without Cause the Employee's employment after a
Change of Control (as defined in SECTION 7(b)) until the end of the
then-current term of the Agreement.
No breach or default by Employee shall be deemed to have occurred hereunder
unless written notice thereof shall have been given by Company to Employee.
Upon termination of this Agreement for any reason provided above, Employee
shall be entitled to receive all compensation earned and all benefits and
reimbursements due through the effective date of termination. Additional
compensation subsequent to termination, if any, will be due and payable to
Employee only to the extent and in the manner expressly provided above. All
other rights and obligations of the Company and Employee under this Agreement
shall cease as of the effective date of termination. except that Employee's
obligations under SECTIONS 13, 14, 15 and 16 herein shall survive such
termination in accordance with their terms.
If termination of Employee's employment arises out of the Company's failure
to pay Employee on a timely basis the amounts to which Employee is entitled
under this Agreement or as a result of any other breach of this Agreement by the
Company, as determined by a court of competent jurisdiction or pursuant to the
provisions of SECTION 17 below, the Company shall pay all amounts and damages to
which Employee may be entitled as a result of such breach and all reasonable
legal fees and expenses and other costs incurred by Employee to enforce
Employee's rights hereunder.
6. TERMINATION BY EMPLOYEE. Employee shall be entitled to terminate his
employment (i) for Good Reason or (ii) pursuant to the provisions contained in
SECTION 1 hereof. Termination for "Good Reason" is defined as Employee's
resignation except in connection with his termination pursuant to SECTION 5,
within NINETY (90) DAYS of the following:
(a) Without the express written consent of Employee, the Company
assigns the Employee any duties that are materially inconsistent with
Employee's position, duties and status with Company as contemplated by this
Agreement; (a)
(b) Any action by Company results in a material diminution in the
position, duties or status of Employee with Company as contemplated by this
Agreement or the Company transfers or proposes a transfer of Employee for
any extended period to a location outside Xxxxxx County, Texas without his
consent;
(c) The base annual salary of Employee, as the same may hereafter be
increased from time to time, is reduced;
(d) Without limiting the generality or effect of the foregoing,
Company fails to materially comply with any of its obligations hereunder;
or
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(e) The Company's Compensation Committee fails to communicate the
compensation objectives required within the Executive Annual Incentive Plan
or subsequent plan, approved by the Board, if any, within the first 90 days
of any fiscal year.
Termination by Employee of his employment with Company pursuant to clause
(i) of the first sentence of this Section 6 shall be deemed to be Termination
Without Cause of Employee's employment by Company.
7. RIGHTS AFTER CHANGE OF CONTROL.
(a) If a Change of Control (as defined in SECTION 7(B) below) occurs,
(i) Employee shall have immediate vesting of all restricted stock,
performance units, stock options, stock appreciation rights or warrants
granted to Employee and full vesting in all other employee benefit plans
and compensation plans to the maximum extent permitted under applicable
law, and (ii) Employee shall have the right to "put" all or any portion of
vested restricted stock, performance units, stock options, stock
appreciation rights or warrants to Company for the difference between (i)
(A) the stock option exercise price with respect to stock options and stock
appreciation rights, (B) warrant exercise price with respect to warrants,
or (C) common stock price with respect to restricted stock or performance
units, and (ii) the higher of the market price of Company's common stock,
as the case may be, at the date of the "put" or the "Sales Price." Sales
Price is defined solely for purposes of this section as (i) the aggregate
consideration per share received by the Company or its shareholder(s) for
the Company's common stock in the transaction which resulted in a Change of
Control. Employee's right to "put" vested restricted stock, performance
units, stock options, stock appreciation rights or warrants to Company
shall exist for the period ending on the earlier of (i) six (6) months from
the date of the Change of Control, (ii) the termination of this Agreement,
or (iii) Employee's termination pursuant to SECTION 5.
(b) For the purposes of this Agreement, a "Change of Control" of
Company shall be deemed to have taken place if one or more of the following
occurs:
(i) Any person or other entity, as that term is used in Section
13(d) and 14(d)(2) of the Securities Exchange Act of 1934, ("Exchange
Act") (other than a qualified benefit or retirement plan of Company or
an affiliate of Company) becomes directly or indirectly, the
beneficial owner (as defined in Rule 13(d) under the Exchange Act as
in effect on the date hereof) of securities of Company representing
fifty percent (50%) or more of the combined voting power of Company's
then outstanding securities (unless such person is known by Employee
to be already such beneficial owner on the date of this Agreement);
(ii) during any period of two (2) consecutive years or less,
individuals who at the beginning of such period constituted the Board
of the Company cease, for any reason, to constitute at least a
majority of the Board, unless the election or
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nomination for election of each new member of the Board was approved
by a vote of at least two-thirds of the members of the Board then
still in office who were members of the Board at the beginning of the
period;
(iii) the equityholders of the Company approve any merger or
consolidation to which the Company is a party as a result of which the
persons who were equityholders of the Company immediately prior to the
effective date of the merger or consolidation (and excluding, however,
any shares held by any party to such merger or consolidation and their
affiliates) shall have beneficial ownership of less than fifty
percent, (50%) of the combined voting power for election of members of
the Board (or equivalent) of the surviving entity following the
effective date of such merger or consolidation; or
(iv) the equityholders of the Company approve any merger or
consolidation as a result of which the equity interests in the Company
shall be changed, converted or exchanged (other than a merger with a
wholly-owned subsidiary of the Company) or any liquidation of the
company or any sale or other disposition of fifty percent (50%) or
more of the assets or earnings power of the Company;
(v) the Company's Board of Directors shall approve the
distribution to the Company's shareholders of all or substantially all
of Company's net assets or shall approve the dissolution of the
Company;
(vi) any other transaction or series of related transactions
occur which have substantially the effect of the transactions
specified in any of the preceding clauses in this SECTION 7(b); or
(vii) Employee is Terminated Without Cause by the Company within
the period of ONE HUNDRED EIGHTY (180) DAYS before an occurrence of a
Change of Control as defined in any of the preceding clauses of this
SECTION 7(b) or the execution of a contract intended to effect a
Change of Control as defined in any of the preceding clauses of this
SECTION 7(b).
8. OTHER SEVERANCE BENEFITS.
(a) Except as set forth below, and notwithstanding the minimum term
provided for in SECTION 1 of this Agreement, either the Company or Employee
may terminate this Agreement at any time upon thirty (30) days notice to
the other party, subject to the rights of Employee to any payment due under
this Agreement in that circumstance. If at any time during the term of this
Agreement, Employee is Terminated Without Cause, or Employee resigns for
Good Reason as defined in SECTION 6 of this Agreement, then Employee shall
be entitled to be paid a severance payment equal to two times (2x)
Employee's highest base annual salary as set forth in SECTION 3(A) herein
for Termination Without Cause during the
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term of this Agreement. Notwithstanding the first sentence of this SECTION
8(a), if a Change of Control occurs, the Company shall have no right to
Terminate Without Cause the Employee's employment until the end of the
then-current term of this Agreement.
(b) If at any time during the term of this Agreement Employee is
Terminated Without Cause, or Employee resigns for Good Reason as defined in
SECTION 6 of this Agreement, then (i) Employee shall be entitled to
continuation of basic employee group benefits, as defined in SECTION 4(a),
provided by Company to Employee for the lesser of one year after
termination or until the Employee secures new employment without
remuneration to Company, and (ii) the Employee's outstanding stock option
agreements shall provide for a continuance of the option exercise period
for ninety (90) days from Employee's termination or resignation date,
except that in the case of death, voluntary termination, Retirement,
Disability and termination for cause, Employee's continuance of the option
exercise period shall be governed by the stock option agreements.
(c) If at any time during the term of this Agreement, Employee is
Terminated Without Cause, or Employee resigns for Good Reason as defined in
Section 6 of this Agreement, Company shall promptly (and in any event
within five business days after a request by the Employee therefor) either
pay or reimburse the Employee for the costs and expenses of any executive
outplacement firm selected by the Employee, provided, however, that
Company's liability hereunder shall be limited to 10% of current salary of
such expenses incurred by the Employee. The Employee shall provide Company
with reasonable documentation of the incurrence of such outplacement costs
and expenses.
(d) With respect to provisions of the stock option agreements granted
pursuant to the 1997 Long-Term Incentive Plan, "Termination For Good
Reason" shall be construed to have the same meaning as "Termination Without
Cause", as defined in this Agreement.
9. TIMING OF PAYMENT. Unless otherwise provided in this Agreement, any severance
or other payment payable to Employee under this Agreement shall be paid within
thirty (30) days after the event causing such payment or at such other date as
the parties agree.
10. OTHER BENEFITS. The provisions of SECTIONS 7 and 8 shall not affect
Employee's participation in, or termination of distributions and vested rights
under, any pension, profit sharing, insurance or other employee benefit plan of
Company to which Employee is entitled pursuant to the terms of such plans except
for the acceleration of vested benefits, to the maximum extent permissible under
applicable law or employee benefit plan document, in certain employee benefits
pursuant to SECTION 7(a) and the provisions pursuant to SECTION 8(b).
11. NO DUTY TO MITIGATE DAMAGES. In the event of termination of this Agreement
by Employee after a Change of Control as defined in SECTION 7 above, or as a
result of the breach by Company of any of its obligations hereunder, or in the
event of the termination of Employee's employment by Company in breach of this
Agreement or as a result of Employee's Termination Without Cause, or resignation
for Good Reason, Employee shall not be required to seek other
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employment in order to mitigate his damages hereunder, and no compensation
Employee does earn after any termination shall be considered to mitigate damages
Employee has incurred or to reduce any payment Company is obligated to make to
Employee pursuant to this Agreement.
12. NO RIGHT TO SET OFF. Company shall not be entitled to set off against the
amount payable to Employee any amounts earned by Employee from other employment
after termination of his employment with Company or any amounts which might have
been earned by Employee in other employment had he sought such other employment.
The amounts payable to Employee under this Agreement shall not be treated as
damages but as severance compensation to which Employee is entitled by reason of
termination of this employment in all circumstances contemplated by this
Agreement.
13. NON-COMPETE AND NON-DISCLOSURE OF INFORMATION.
(a) For so long as Employee is employed by Company and continuing
after the voluntary termination by Employee or termination for cause by
Company as provided under SECTION 5(C) of such employment for TWO (2)
YEARS:
(i) Employee (A) will nor accept a position as an officer,
director, employee, agent, consultant or representative of any
technology manufacturing ATM (automatic teller machine) company with
offices in any county or any county in which the Company has offices,
and (B) will not make or fail to dispose of any stock in any other
proprietary technology manufacturing ATM (automatic teller machine)
company with offices within thirty-five (35) miles of Houston, Texas
except investments equal to less than two percent (2%) of the
outstanding stock of any class issued by any publicly traded company.
(ii) Except in the performance on Employee's obligations to
Company of one of its subsidiaries, Employee shall not, directly or
indirectly, use or permit the use of any confidential or other
proprietary information of a special unique nature and value to
Company or one of its subsidiaries (the "Confidential Information"),
including, but not limited to, trade secrets, systems, procedures,
manuals, confidential reports, customer lists, sales or distribution
methods, patentable information and data as well as financial
information concerning Company or one of its subsidiaries, and
information with respect to the nature and type of other services
rendered by Company or one of its subsidiaries, which Confidential
Information has been used by Company or one of its subsidiaries to
date or during the term of this Agreement, and has been made known
(whether or not with the knowledge and permission of Company, and
whether or not developed, devised or otherwise created in whole or in
part by the efforts of Employee) to Employee by reason of his
activities on behalf of Company or one of its subsidiaries. Employee
shall not reveal, divulge or make known any Confidential Information
to any individual partnership, firm, company or other business
organization whatsoever except in, performance of Employee's
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obligations to Company or with the express permission of the Board of
Directors of Company or as otherwise required by operation of law.
(b) Employee confirms that all Confidential Information is the
exclusive property of Company. All business records, papers and documents
kept or made by Employee relating to the business of Company shall be and
remains the property of Company and shall remain in the possession of
Company during the term and at all times thereafter. Upon the termination
of his employment with Company or upon the request of Company at any time,
Employee shall promptly deliver to Company, and shall retain no copies of,
any written material records and documents made by Employee or coming into
his possession concerning the business or affairs of Company.
(c) Without intending to limit the remedies available to Company,
Employee acknowledges that a breach of any of the covenants contained in
this SECTION 13 may result in material irreparable injury to Company or one
of its subsidiaries for which them is not adequate remedy at law, that it
may not be possible to measure damages for such injuries precisely, and
that in the event of such a breach or threat thereof, may be entitled to
obtain a temporary restraining order and/or a preliminary or permanent
injunction restraining Employee from engaging in activities prohibited by
this SECTION 13 or such other relief as may be required to specifically
enforce any of the covenants in such Section. In the event a court requires
a posting of a bond, the parties hereby agree that such bond shall be in
the amount of One Thousand Dollars ($1,000.00). (a)
(d) The covenants in this SECTION 13 are severable and separate, and
the unenforceability of any specific covenant shall not affect the
provisions of any other covenant. Moreover, in the event any court of
competent jurisdiction shall determine that the scope, time or territorial
restrictions set forth are unreasonable, then it is the intention of the
parties that such restrictions be enforced to the fullest extent which the
court deems reasonable, and the Agreement shall thereby be reformed.
(e) All of the covenants in this SECTION 13 shall be construed as an
agreement independent of any other provision in this Agreement and the
existence of any claim or cause of action of Employee against the Company,
whether predicated on this Agreement or otherwise, shall not constitute a
defense to the enforcement by the Company of such covenant. It is
specifically agreed that the period of TWO (2) YEARS following termination
of employment stated at the beginning of this SECTION 13, during which the
agreements and covenants of Employee made in this SECTION 13 shall be
effective, shall be computed by excluding from such computation any time
during which Employee is in violation of any provision of this SECTION 13.
14. RETURN OF COMPANY PROPERTY. All records, designs. patents, business plans,
financial statements, manuals, memoranda, lists and other property delivered to
or compiled by Employee by or on behalf of the Company or their representatives,
vendors, or customers which pertain to the business of the Company shall be and
remain the property of the Company and be
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subject at all times to their discretion and control. Likewise, all
correspondence, reports, records, charts, advertising materials and other
similar data pertaining to the business, activities or future plans of the
Company which is collected by Employee shall be delivered promptly to the
Company without request by it upon termination of Employee's employment.
15. INVENTION. Employee shall disclose promptly to the Company any and all
significant conceptions and ideas for inventions, improvements and valuable
discoveries, whether patentable or not. which are conceived or made by Employee,
solely or jointly with another, during the period of employment or within one
(1) year thereafter and which are directly related to the business or activities
of the Company and which Employee conceives as a result of Employee's employment
by the Company. Employee hereby assigns and agrees to assign all Employee's
interests therein to the Company or its nominee.
16. TRADE SECRETS. Employee agrees that Employee will not, during or after the
Term of this Agreement with the Company, disclose the specific terms of the
Company's relationships or agreements with their respective significant vendors
or customers or any other significant and material trade secret of the Company,
whether in existence or proposed, to any person, firm, partnership, corporation
or business for any reason or purpose whatsoever.
17. ARBITRATION. Any unresolved dispute or controversy arising under or in
connection with this Agreement shall be settled exclusively by arbitration,
conducted before a panel of three (3) arbitrators in Houston, Texas, in
accordance with the rules of the American Arbitration Association then in
effect. The arbitrators shall not have the authority to add to, detract from, or
modify any provision hereof nor to award punitive damages to any injured party.
The arbitrators shall have the authority to order back-pay, severance
compensation, vesting of options (or cash compensation in lieu of vesting of
options), reimbursement of costs, including those incurred to enforce this
Agreement in the event the arbitrators determine that Employee was terminated
without disability or cause, as defined in SECTION 5(b) and 5(c), respectively,
or that the Company has otherwise materially breached this Agreement. A decision
by a majority of the arbitration panel shall be final, non-appealable and
binding. Judgment may be entered on the arbitrators' award in any court having
jurisdiction. The direct expense of any arbitration proceeding shall be borne by
the Company.
Each party shall bear his or its own costs of arbitration, but if Employee
is the prevailing party in such arbitration, he shall be entitled to recover
from Company as part of any award entered his reasonable expenses for attorneys'
fees and disbursements.
18. NOTICES. All notices, requests, demands and other communication called for
or contemplated hereunder shall be in writing and shall be deemed to have been
duly given when delivered personally or when mailed by United Stated certified
or registered mail, postage prepaid, addressed to the parties, their successors
in interest or assignees; at the following addresses or such other addresses as
the parties may designate by notice in the manner aforesaid:
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If to Company: Tidel Technologies, Inc.
0000 Xxx Xxxxxx, Xxx. 000
Xxxxxxx, Xxxxx 00000
Attention: Chairman
If to Employee: Tidel Technologies, Inc.
0000 Xxx Xxxxxx, Xxx. 000
Xxxxxxx, Xxxxx 00000
Attention: Xxxxx X. Xxxx
19. GOVERNING LAW AND VENUE. This Agreement shall be governed by and construed
in accordance with the laws of the State of Texas without giving effect to any
principle of conflict-of-laws that would require the application of the law of
any other jurisdiction. Venue for any dispute shall lie exclusively in Houston,
Xxxxxx County, Texas.
20. SEVERABILITY; HEADINGS. If any portion of this Agreement is held invalid or
inoperative, the other portions of this Agreement shall be deemed valid and
operative and, so far as is reasonable and possible, effect shall be given to
the intent manifested by the portion held invalid or inoperative. The Section
headings herein are for reference purposes only and are not intended in any way
to describe, interpret, define or limit the extent or intent of the Agreement or
of any part hereof.
21. ENTIRE AGREEMENT. This Agreement is not a promise of future employment,
except as otherwise provided herein. This Agreement constitutes the entire
understanding between the parties with respect to the subject matter hereof,
superseding all negotiations, prior discussions and preliminary agreements, and
further superseding any and all employment arrangements between Employee and
Company or any of Company's subsidiaries, affiliates or other related entities.
This Agreement may not be amended except in a writing executed by the parties
hereto.
22. ASSIGNMENT; BINDING EFFECT. Employee understands that Employee bas been
selected for employment by the Company on the basis of Employee's personal
qualifications, experience and skills. Employee agrees, therefore, that Employee
cannot assign all or any portion of Employee's performance under this Agreement.
Subject to the preceding two (2) sentences and the express provisions of SECTION
7 above, this Agreement shall be binding upon, inure to the benefit of an be
enforceable by the parties hereto and their respective heirs, legal
representatives, successors and assigns.
23. EFFECTIVENESS. This Agreement shall be effective upon the Effective Date.
24. SURVIVAL OF SECTION. The provisions of SECTIONS 13, 14, 15 and 16 of this
Agreement shall survive the termination of this Agreement for the period
provided for therein.
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IN WITNESS WHEREOF, the parties hereto have executed and delivered this
Agreement as of the date first above written.
TIDEL TECHNOLOGIES, INC.: EMPLOYEE:
/s/ XXXXX X. XXXX
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Xxxxx X. Xxxx
President and
Chief Executive Officer
By: /s/ XXXXXXX X. XXXX
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Xxxxxxx X. Xxxx
Senior Vice President
ATTEST:
By: /s/ XXXXX XXXXX
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Xxxxx Xxxxx
Assistant Secretary
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