AMENDMENT TO TRANSITION AGREEMENT
Exhibit
10.1
AMENDMENT
TO
This
instrument, dated as of November 4, 2008 (this “Amendment”), is an
amendment to the Transition Agreement (the “Agreement”), dated as
of September 27, 2007, between Implant Sciences Corporation (the “Company”) and Xx.
Xxxxxxx Xxxxxx (“Armini”). Capitalized
terms used in this Amendment without definition have the same meanings in this
Amendment as in the Agreement.
WHEREAS, the Company and Armini have
previously entered into the Agreement;
WHEREAS, the Company’s financial
condition has deteriorated since the date of the Agreement and the Company
wishes to reduce the remaining payments due to Armini under the
Agreement;
WHEREAS,
Armini wishes to agree to the reduction in the remaining payments proposed by
the Company;
WHEREAS,
as a founder of the Company and as the holder of a substantial amount of the
Company’s capital stock, Armini believes that it is in his best interests that
the Company use the amount of the reduced payments for working capital to fund
its ongoing operations; and
WHEREAS, the Company and Armini now
desire to amend the Agreement as set forth in this Amendment;
NOW, THEREFORE, for good and valuable
consideration, the receipt and adequacy of which are acknowledged by both Armini
and the Company, the Parties, intending to be legally bound, hereby irrevocably
agree as follows:
1. From
and after the date of this Amendment, the second paragraph of Paragraph 1 of the
Agreement is hereby amended by inserting, at the end thereof, the
following:
“Notwithstanding
the foregoing, from and after November 4, 2008, the Company shall compensate
Armini at the annual rate of $200,000, less applicable taxes and withholdings,
to be paid pursuant to Implant’s normal payroll cycle with a Final Payment of
$7,692.30 due upon execution, delivery and non-revocation of the Release of
Claims attached hereto as Exhibit A (the “Release”), as further described in
Paragraph 4”.
2. From
and after the date of this Amendment, Paragraph 4 of the Agreement shall be
amended by deleting therefrom the figure “$9,516.38” and substituting therefor
the figure “$7,692.30”.
3. Except
as otherwise amended by this Amendment, all other terms and conditions of the
Agreement shall remain in full force and effect.
4. This
Amendment may be executed in several counterparts, all of which together shall
constitute one agreement binding on all Parties hereto notwithstanding that all
the Parties have not signed the same counterpart.
5. This
Amendment shall be governed by, and construed and enforced in accordance with,
the internal laws of the Commonwealth of Massachusetts without regard to
principles of conflicts of law.
IN
WITNESS WHEREOF, the Parties have executed this Amendment as a sealed instrument
as of the date first above written.
IMPLANT
SCIENCES CORPORATION
By: /s/ Xxxxxxx X.
Thomas______________________
Xxxxxxx
X. Xxxxxx
President
and Chief Executive Officer
ARMINI:
/s/ Xxxxxxx
Armini_____________________
Xxxxxxx
Xxxxxx
