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EX-10.5
AMENDMENT TO
EMPLOYMENT AGREEMENT
This Amendment to Employment Agreement (this "Amendment") is
entered into as of March 14, 1997, between SRS Labs, Inc., a Delaware
corporation (the "Company"), and Xxxxxx Xxxxxxx, an individual (the
"Employee").
RECITALS
A. The Company and the Employee entered into a certain
Employment Agreement dated as of July 1, 1996 (the "Agreement").
B. The Company and the Employee now desire to amend the
Agreement to (i) increase the Employee's Initial Base Salary under Section
3.1.1. of the Agreement and (ii) extend the term of the Agreement under Section
2 of the Agreement.
AGREEMENT
NOW, THEREFORE, in consideration of the provisions set forth
in this Amendment, and other good and valuable consideration the receipt and
sufficiency of which are hereby acknowledged, the parties agree as follows:
1. Capitalized terms used herein shall have the meanings
ascribed to such terms in the Agreement unless otherwise defined herein.
2. Section 2 of the Agreement is hereby amended and
restated in its entirety to read as follows:
"2. Term. The initial term of this Agreement shall
commence as of May 1, 1996 and shall continue in effect until
December 31, 1999. On December 31, 1999, and on the 31st day
of December of each year thereafter (unless this Agreement
shall have been previously terminated), the term of this
Agreement shall be automatically extended for an additional
term of one year unless either party shall provide the other
with at least 30-days written notice prior to such December
31st of the party's intent to terminate this Agreement. In
the event that the Company shall provide written notice of
termination to the Employee, the Employee will be entitled to
the severance benefits set forth in Section 4.3 herein. Upon
the payment of such severance benefits, the Company shall be
relieved from any liability for the unexpired term of this
Agreement."
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3. Section 3.1.1 of the Agreement is hereby amended and
restated in its entirety to read as follows:
"3.1.1. Initial Base Salary. The initial Base
Salary to be paid to the Employee hereunder is $90,000 per
year for the Company's 1996 fiscal year. The Base Salary to
be paid to the Employee hereunder during the Company's 1997
fiscal year shall be $95,000 from January 1, 1997 to March 31,
1997 and $110,000 from April 1, 1997 to December 31, 1997. In
addition, during the Company 1998 and 1999 fiscal years, the
Base Salary to be paid to the Employee shall be $120,000 and
$130,000 per year, respectively."
4. This Amendment shall be deemed to be an amendment to
the Agreement, and the Agreement, as amended hereby, is hereby ratified,
approved and confirmed in each and every respect. All references to the
Agreement in any other document, instrument, agreement or writing shall
hereafter be deemed to refer to the Agreement as amended hereby.
5. This Amendment may be executed in one or more
counterparts, each of which shall be deemed an original, but all such
counterparts together shall constitute but one and the same Amendment.
IN WITNESS WHEREOF, the parties hereto have executed this
Amendment as of the date first written above.
COMPANY:
SRS LABS, INC., a Delaware corporation
By: /s/ XXXXXXX X. XXXXXX
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Xxxxxxx X. Xxxxxx
President and Chief Operating Officer
EMPLOYEE:
/s/ XXXXXX XXXXXXX
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Xxxxxx Xxxxxxx
