EXHIBIT 10.42
AMENDMENT NO. 1 TO
SEPARATION AGREEMENT AND RELEASE
THIS AGREEMENT, is made and entered into as of March 29, 1996, between
XXXXXX XXXXXXXXX ("Xxxxxxxxx") and K-TEL INTERNATIONAL, INC., a Minnesota
corporation (the "Company").
W I T N E S S E T H:
WHEREAS, the parties have entered into the Separation Agreement and
Release dated as of February 19, 1996 (the "Agreement"); and
WHEREAS, the parties desire to amend the Agreement as herein provided,
NOW, THEREFORE, in consideration of the covenants and promises set
forth below, the adequacy of which the parties acknowledge, the parties agree as
follows:
1. Paragraph 2(b)(ii) of the Agreement is hereby amended in its
entirety to read as follows:
"(ii) Xxxxxxxxx may receive up to an additional $100,000
(which amount shall be escrowed to assure performance of the Company's
obligations hereunder) if he disposes of 350,000 of his shares of the
Company pursuant to a Stock Transfer and Loan Repayment Agreement of
even date herewith by and between Xxxxxxxxx and K-5 Leisure Products,
Inc. on the following basis:
If Shares Additional
--------- ----------
Disposed Of By Amount Received
-------------- ---------------
May 31, 1996 $100,000
or
after May 31, 1996
and on or before June 30, 1996 $ 65,000
or
after June 30, 1996
and on or before August 1, 1996 $ 35,000
or
after August 1, 1996 -0-"
2. The period within which Xxxxxxxxx may rescind the Agreement is
hereby extended to April 5, 1996.
3. Except as herein expressly provided, this Agreement as amended
hereby shall continue in full force and effect.
IN WITNESS WHEREOF, the respective parties hereto have executed this
Agreement on the day and year written below their respective signatures to this
Agreement.
K-TEL INTERNATIONAL, INC.
By /S/ Xxxxxx Xxxxx
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Xxxxxx Xxxxx, Chairman
and Chief Executive Officer
/S/ Xxxxxx Xxxxxxxxx
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Xxxxxx Xxxxxxxxx
