Exhibit 4.24
STOCK PURCHASE AGREEMENT
(JPM CONSULTING INC.)
This STOCK PURCHASE AGREEMENT (this "Agreement") is dated as of March
16, 2004, by and between CHIEF MANUFACTURING HOLDING CORP., a Delaware
corporation (the "Company"), and JPM CONSULTING INC., a Pennsylvania corporation
(the "Stockholder").
WHEREAS, the Company wishes to sell and the Stockholder wishes to buy
certain shares of the Company's Class B Common Stock (as defined in Section 1
hereof) on the terms and subject to the restrictions contained in this
Agreement; and
NOW, THEREFORE, in consideration of the mutual promises and agreements
set forth herein, the Company and the Stockholder agree as follows:
1. DEFINITIONS. As used herein, the following terms shall have the
meanings specified below:
"Affiliate" has the meaning specified in the Stockholder Agreement.
"Act" has the meaning specified in Section 5 (a) hereof.
"Board" means the Board of Directors of the Company.
"Cause Event" shall mean the occurrence of, as determined by the
Board, any one or more of the following events:
(i) the Stockholder or Xxxxx X. Xxxxxx ("Xxxxxx") shall have
committed an act of fraud, embezzlement, or misappropriation against the Company
or any of its Subsidiaries, including, but not limited to, the offer, payment,
solicitation or acceptance of any unlawful bribe or kickback with respect to the
business of the Company or any of its Subsidiaries; or
(ii) the Stockholder or Xxxxxx shall have been convicted by a
court of competent jurisdiction of, or pleaded guilty or nolo contendere to, any
felony; or
(iii) the Stockholder or Xxxxxx shall have breached Section 10.1
or 10.2 of the Stock Purchase Agreement or any one or more of the provisions of
the Stockholder Agreement; or
(iv) the Stockholder shall have terminated the Consulting
Agreement, or the Company shall have terminated the Consulting Agreement
following (A) any breach by the Stockholder of any obligation of the Stockholder
under the Consulting Agreement which is not cured within ten (10) business days
after receipt by the Stockholder from the Company of a notice describing such
breach, (B) any act of negligence by the Stockholder or any of its employees
that causes or is reasonably likely to cause material harm to the Company or its
reputation or the reputation of any of the Company's key officers or significant
investors, or (C)
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Xxxxxx fails to make himself personally available to, or otherwise fails in any
material respect and for any reason whatsoever (excluding death or disability)
to provide consulting and advisory services to the Company at a level and in a
manner consistent with the practices of the Stockholder and Xxxxxx prior to the
"Closing Date" under the Purchase Agreement.
"Class A Common Stock" means the Company's Class A Voting Common
Stock, $0.001 par value per share.
"Class B Common Stock" means the Company's Class B Non-Voting Common
Stock, $0.001 par value per share.
"Class C Common Stock" means the Company's Class C Voting Common
Stock, $0.001 par value per share.
"CMI" means Chief Manufacturing, Inc., a Massachusetts corporation.
"Common Equity Value" means, as of any date, the fair market value (as
determined in good faith by the Board) of the entire common stock equity of the
Company (without premium for control or discounts for minority interests,
restrictions on transfer or lack of voting rights or other premiums or discounts
that would be applicable if less than all of the common stock equity is sold in
a single transaction), calculated as of such date, plus the aggregate
consideration to be paid to the Company upon the exercise of all then
outstanding and exercisable warrants, options or convertible securities pursuant
to which the Company is then obligated to issue shares of Common Stock
(excluding any options or warrants for which the exercise price per share
exceeds the Market Value Per Share of a share of Common Stock as of such date).
"Common Stock" means the Class A Common Stock, the Class B Common
Stock and the Class C Common Stock, and any capital stock of the Company which
is (a) not preferred as to dividends or assets over any class of stock of the
Company, (b) not subject to redemption, and (c) issued to the holders of Common
Stock upon any reclassification thereof.
"Company" has the meaning specified in the preamble hereto.
"Consulting Agreement" means the Consulting Agreement, dated as of
March 16, 2004, between CMI and the Stockholder.
"Delayed Closing Date" has the meaning specified in Section 7.2
hereof.
"Disposition Event" means (a) (i) the sale of all or substantially all
of the assets of the Company or its Subsidiaries in a single transaction or
series of related transactions whether by liquidation, dissolution, merger,
consolidation or sale or (ii) the sale or other transfer of at least 51% of the
outstanding shares of Common Stock in a single transaction or a series of
related transactions, in either case to any Person who is not an Affiliate of
the Company, or of a stockholder thereof, immediately prior to such transaction
or transactions, or (b) the effective time of any merger, share exchange,
consolidation, or other business combination of the Company if immediately after
such transaction Persons who hold a majority of the outstanding voting
securities entitled to vote generally in the election of directors of the
surviving entity (or
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the entity owning 100% of such surviving entity) are not Persons who,
immediately prior to such transaction, held the securities of the Company
entitled to vote generally in the election of directors.
"Disposition Proceeds" means (i) in the case of a merger or any other
stock transaction, (A) the average price per share received by the holders of
Common Stock or by the Company or its Subsidiaries in connection with such
transaction, multiplied by (B) the sum of (x) the total number of shares of
Common Stock then outstanding, plus (y) the total number of shares of Common
Stock issuable upon exercise or conversion of any then outstanding and
exercisable warrants, options or convertible securities pursuant to which the
Company is then obligated to issue shares of Common Stock, or (ii) in the case
of any liquidation or sale of assets (including, without limitation, the sale by
the Company of the capital stock of its Subsidiaries), the Net Worth of the
Common Stock of the Company immediately prior to such liquidation or immediately
after such sale.
"Market Value Per Share" means, with respect to any date, for any
share of Common Stock, (i) the Common Equity Value as of such date, divided by
(ii) the sum of (x) the total number of shares of Common Stock then outstanding,
plus (y) the total number of shares of Common Stock issuable upon exercise or
conversion of any outstanding and exercisable warrants, options or convertible
securities pursuant to which the Company is then obligated to issue shares of
Common Stock (excluding any options or warrants for which the exercise price per
share exceeds the Market Value Per Share of a share of Common Stock as of such
date).
"Net Worth" means, in connection with any liquidation or sale of
assets by the Company, the consolidated net worth of the Common Stock of the
Company and its Subsidiaries, determined in accordance with generally accepted
accounting principles, taking into account (i) the total consideration received
by the Company for such transaction, (ii) the transaction costs incurred in
connection with such transaction and (iii) any liabilities of the Company and
its Subsidiaries whether or not to be discharged in connection with such
transaction (including, without limitation, payment of the liquidation value and
accrued dividends on any Preferred Stock of the Company).
"Note" has the meaning specified in Section 2(a) hereof.
"Original Price Per Share" means $1.00 per Share for each share of
Class B Common Stock.
"Person" means an individual, partnership, limited liability company,
corporation, association, trust, joint venture, unincorporated organization, or
any government, governmental department or agency or political subdivision
thereof.
"Plan" means the Company's 2003 Equity Incentive Plan attached hereto
as Exhibit A.
"Preferred Stock" means the Series A Preferred Stock and any capital
stock of the Company which is (a) preferred as to dividends or assets over any
other class of stock of the Company, (b) subject to redemption or (c) issued to
the holders of shares of Preferred Stock upon any reclassification thereof.
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"Public Sale" means the Company's initial public offering of Common
Stock.
"Purchase Price" has the meaning specified in Section 2(a) hereof.
"Repurchase Notice" has the meaning assigned to such term in Section
3.3 hereof.
"Series A Preferred Stock" means the Company's Series A Participating
Preferred Stock, $0.001 par value per share.
"Shares" has the meaning specified in Section 2(a) hereof.
"Stockholder" has the meaning specified in the introductory paragraph
hereof.
"Stockholder Agreement" means the Stockholder Agreement, dated as of
August 29, 2003, among the Company and its stockholders, as amended and in
effect from time to time.
"Stock Purchase Agreement" means the Stock Purchase and Exchange
Agreement, dated as of August 29, 2003, among the Company, Chief Manufacturing
Acquisition Corp., CMI, the stockholders of CMI and the Seller Representative
named therein, as amended and in effect from time to time.
"Subsidiary" means, with respect to the Company, any corporation, a
majority (by number of votes) of the outstanding shares of any class or classes
of which shall at the time be owned by the Company or by a Subsidiary of the
Company, if the holders of the shares of such class or classes (a) are
ordinarily, in the absence of contingencies, entitled to vote for the election
of a majority of the directors (or persons performing similar functions) of the
issuer thereof, even though the right so to vote has been suspended by the
happening of such a contingency, or (b) are at the time entitled, as such
holders, to vote for the election of a majority of the directors (or persons
performing similar functions) of the issuer thereof, whether or not the right so
to vote exists by reason of the happening of a contingency.
"Target Amount" means $30,000,000; provided, that if the Company
enters into any extraordinary transaction, such as a business acquisition or
disposition, the Board in the exercise of its business judgment may adjust
upward or downward the Target Amount to take into account such extraordinary
transaction.
"Target Disposition Event" means a Disposition Event in which the
Disposition Proceeds equal or exceed the Target Amount.
"Termination of Consulting Services" means the termination of the
Stockholder's consulting services provided to CMI under the Consulting
Agreement, for any reason whatsoever.
"Transfer" has the meaning specified in Section 4 hereof.
"Unvested Shares" has the meaning specified in Section 3.1 hereof.
"Vested Shares" has the meaning specified in Section 3.1 hereof.
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2. PURCHASE AND SALE OF SHARES. (a) Subject to (i) the terms and
conditions hereinafter set forth and in reliance on the representations and
warranties contained herein, and (ii) the Company's receipt of any and all
necessary consents, authorizations and approvals of the transactions
contemplated by this Agreement, the Company hereby agrees to issue and sell to
the Stockholder and the Stockholder hereby agrees to purchase from the Company,
on the date hereof 25,000 shares of Class B Common Stock (the "Shares"), which
will be evidenced by stock certificate number B9. The aggregate purchase price
paid by the Stockholder for the Shares will be $25,000 (the "Purchase Price").
On the date hereof (A) the full amount of the Purchase Price will be paid to the
Company by delivery of the Stockholder's promissory note to the Company in the
aggregate principal amount of the Purchase Price and in the form of Exhibit B
hereto (the "Note"), (B) the Company shall deliver to the Stockholder a
certificate or certificates representing the Shares (each such certificate to
bear the legends set forth in Section 6 hereof) and (C) the Stockholder will
deliver to and pledge the Shares to the Company pursuant to the terms of the
Note, together with stock powers or other appropriate instruments of assignment
thereof duly executed in blank by the Stockholder.
(b) The Company represents and warrants that, after giving effect to
the purchase and sale effected hereby, (i) the authorized capital of the Company
consists of (A) 36,485 shares of Series A Preferred Stock, 36,485 shares of
which are issued and outstanding on the date hereof, (B) 30,000,000 shares of
Class A Common Stock, no shares of which are issued and outstanding on the date
hereof, (C) 10,000,000 shares of Class B Common Stock, 4,300,000 shares of which
are issued and outstanding on the date hereof, and (D) 10,000,000 shares of
Class C Common Stock, 4,300,001 shares of which are issued and outstanding on
the date hereof, (ii) all such outstanding capital stock (other than the Shares)
is owned as set forth on Schedule 1 hereto and is validly issued and
outstanding, fully paid and non-assessable and (iii) there are no commitments
for the purchase or sale of, and no options, warrants or other rights to
subscribe for or purchase, any securities of the Company other than as set forth
on Schedule 1 hereto.
3. REPURCHASE OF SHARES.
3.1 VESTING OF SHARES. On and after the date hereof, the terms of any
repurchase of any Shares shall differ depending on whether such Shares are
"Unvested Shares" or "Vested Shares". All of the Shares shall initially be
considered "Unvested Shares". On each anniversary of August 29, 2003 prior to
the Termination of Consulting Services, commencing with August 29, 2004, 20% of
the original number of Shares shall become "Vested Shares", such that all of the
Shares shall be Vested Shares as of and after August 29, 2008 if the Termination
of Consulting Services does not occur prior to such date. Upon either (y) a
Termination of Consulting Services by the Company other than in respect of a
Cause Event, or (z) the occurrence of a Target Disposition Event prior to a
Termination of Consulting Services, all of the then Unvested Shares shall
immediately and automatically become Vested Shares. Except as set forth in the
immediately preceding sentence, no Shares which have not already become Vested
Shares shall become Vested Shares upon or after the Termination of Consulting
Services for any reason.
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3.2 REPURCHASE RIGHTS OF THE COMPANY.
(A) TERMINATION OF CONSULTING SERVICES. Upon the Termination of
Consulting Services at any time and for any reason, the Company shall have the
right to repurchase from the Stockholder, and the Stockholder will at the
request of the Company sell to the Company all (but not less than all) of the
Shares at a purchase price per Share determined pursuant to paragraphs (i) and
(ii) below:
(i) in the event that a Cause Event has occurred at or prior to
the time of such Termination of Consulting Services, at a purchase
price per Share equal to the Original Price Per Share plus interest on
such amount from the date hereof to the date of repurchase at the rate
of 5% per annum; and
(ii) otherwise, at a purchase price per Share equal to the Market
Value Per Share.
(b) REPURCHASE UPON DISPOSITION EVENT. Upon the occurrence of any
Disposition Event, the Company shall repurchase from the Stockholder, and the
Stockholder will at the request of the Company sell to the Company, all of the
Unvested Shares, at a purchase price per Share equal to the Original Price Per
Share plus interest on such amount from the date hereof to the date of
repurchase at the rate of 5% per annum.
3.3 REPURCHASE CLOSING. The Company's repurchase rights under Section
3.2 shall be exercisable at any time (i) within ninety (90) days following the
Termination of Consulting Services, or (ii) in the case of a repurchase pursuant
to Section 3.2(b) simultaneously with the closing of the Disposition Event, in
each case by notice to the Stockholder (the "Repurchase Notice"). The closing of
the repurchase of such Shares pursuant to clause (i) above shall be held not
earlier than five (5) days nor later than thirty (30) days after delivery of the
Repurchase Notice. The Company's repurchase rights under Section 3.2 shall lapse
if not exercised within the time periods (if any) specified above in accordance
with the provisions hereof, except as otherwise provided in Section 7 hereof.
Amounts due from the Company to the Stockholder under this Section 3.3 shall be
set off in payment of any amounts payable from the Stockholder to the Company
under the Note. Upon delivery by the Company of the repurchase price for the
Shares being repurchased hereunder in accordance with Section 8 hereof, all of
the Shares being repurchased shall no longer be deemed to be outstanding, all of
the Stockholder's rights with respect to such Shares shall terminate with the
exception of the right of the Stockholder to receive the repurchase price in
exchange therefor pursuant to this Section 3.3, and the Stockholder hereby
appoints the Company as its attorney-in-fact to take all actions necessary and
sign all documents required to cancel such Shares on its books and records.
4. RESTRICTIONS ON TRANSFER. The Stockholder may not sell, assign,
transfer, pledge or otherwise dispose of ("Transfer") any of the Unvested
Shares, either voluntarily or involuntarily or by operation of law, except to
the Company or any of its Subsidiaries. Except as otherwise expressly provided
in the Stockholder Agreement, the Stockholder may not Transfer any of the Vested
Shares, either voluntarily or involuntarily or by operation of law, except to
the Company or any of its Subsidiaries. On and after the time the
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Company completes a Public Sale, all of the restrictions on Transfer and the
repurchase rights and obligations of the Company contained herein (including,
without limitation, the repurchase rights and obligations of the Company
pursuant to Section 3 hereof), shall cease to apply to any Shares that
constitute Vested Shares at such time and to any Shares that become Vested
Shares after such time pursuant to the terms hereof. Under no circumstances may
the Stockholder Transfer any Shares in violation of the terms of the Note. The
Stockholder agrees to execute and deliver an instrument of accession to the
Stockholder Agreement simultaneously with the purchase of the Shares hereunder.
Upon any permitted Transfer of the Shares, the transferee of the Shares shall
execute and deliver to the Company an agreement containing repurchase provisions
substantially the same as those contained herein.
5. INVESTMENT REPRESENTATIONS. (a) The Stockholder represents that the
Shares are being acquired by it for its own account for investment and not with
a view to the distribution thereof. The Stockholder understands that the Shares
have not been registered under the Securities Act of 1933, as amended (the
"Act"), on the grounds that the offer and sale of the Shares to it are exempt
from the registration requirements of the Act under Section 4(2) thereof as a
transaction not involving any public offering of the Shares. The Stockholder
understands that the Company's reliance on such exemption is predicated in part
on the representations of the Stockholder which are contained herein.
(b) The Stockholder understands that it must bear the economic risk of
its investment in the Shares for an indefinite period of time because the Shares
have not been registered under the Act and, therefore, cannot be sold unless
they are subsequently registered under the Act or an exemption from such
registration is available. The Stockholder agrees that it will not offer to
Transfer any of the Shares except as expressly permitted by this Agreement and
then only after the Company has received an opinion of its counsel that such
offer or Transfer is not in violation of the registration requirements of the
Act or other applicable law.
(c) The Stockholder represents that it is an "accredited investor" (as
defined in Rule 501 under the Act) and a resident of the State of Pennsylvania.
6. LEGENDS; STOP TRANSFER, (a) Each certificate representing the
Shares shall bear legends in or substantially in the following form:
"THE SHARES EVIDENCED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED
UNDER THE SECURITIES ACT OF 1933, AS AMENDED. NO TRANSFER, SALE OR
OTHER DISPOSITION OF THESE SHARES MAY BE MADE UNLESS A REGISTRATION
STATEMENT WITH RESPECT TO THESE SHARES HAS BECOME EFFECTIVE UNDER SAID
ACT, OR THE COMPANY HAS BEEN FURNISHED WITH AN OPINION OF COUNSEL
SATISFACTORY TO THE COMPANY THAT SUCH REGISTRATION IS NOT REQUIRED.
THE SHARES EVIDENCED BY THIS CERTIFICATE ARE ALSO SUBJECT TO CERTAIN
REPURCHASE RIGHTS IN FAVOR OF THE COMPANY AND CERTAIN PROVISIONS
REGARDING RESTRICTIONS UPON TRANSFER CONTAINED IN A STOCK PURCHASE
AGREEMENT, DATED AS OF
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MARCH 16, 2004, COPIES OF WHICH WILL BE FURNISHED BY THE COMPANY TO
THE HOLDER OF THE SHARES EVIDENCED BY THIS CERTIFICATE UPON WRITTEN
REQUEST AND WITHOUT CHARGE."
(b) In addition, the Company shall make a notation regarding the
restrictions on transfer of the Shares in the stock books of the Company, and
such Shares shall be transferred on the books of the Company only if and when
transferred or sold in compliance with all of the terms and conditions of this
Agreement.
7. REPURCHASE RESTRICTIONS.
7.1 CONTRACTUAL RESTRICTIONS ON REPURCHASE. Notwithstanding any
provision to the contrary in Section 3, if the repurchase price for any Shares
to be repurchased hereunder exceeds amounts owed under the Note so that after
setting off payments due to the Stockholder hereunder against such amounts, the
Company remains obligated to make payments to the Stockholder hereunder, and the
terms of any of the financing agreements of the Company or its Subsidiaries with
their lenders prohibit the Company from making such payments in cash, the
Company shall be entitled to complete the repurchase of such Shares by
delivering to the Stockholder (or any transferee) a promissory note for that
portion of such payment which exceeds any amounts already set off against the
Note. Each such promissory note shall (i) bear interest at the rate of five
percent (5%) per annum, (ii) provide for the payment of the principal evidenced
thereby in such installments and at such times as are permitted under the terms
of the Company's and its Subsidiaries' financing agreements with their lenders,
(iii) be subordinated to the indebtedness of the Company and its Subsidiaries to
their lenders on terms satisfactory to such lenders and (iv) subject to such
payment restrictions and subordination provisions, provide for the payment in
full of the principal evidenced thereby upon the sale of substantially all of
the assets or stock of the Company.
7.2 IMPAIRMENT OF CAPITAL. If even after giving effect to the
provisions of Section 7.1 hereof, the Company is prohibited by the terms of any
of the financing agreements of the Company or any of its Subsidiaries with their
lenders from issuing a promissory note for the balance of the repurchase price
as contemplated by Section 7.1 or is prohibited by law from repurchasing any
Shares which it is obligated or has elected to repurchase hereunder due to any
existing or prospective impairment of its capital, the closing of such
repurchase shall be delayed until the first date on which the Company is
permitted by the terms of any such financing agreements to repurchase such
Shares and has sufficient capital to lawfully repurchase such Shares (the
"Delayed Closing Date"). In the event of any such delay, (i) the Company will be
obligated to pay, on the Delayed Closing Date, interest on the repurchase price
for such Shares, at the rate of five percent (5%) per annum from the date on
which the closing of the repurchase of such Shares was originally scheduled to
occur to the Delayed Closing Date, and (ii) the Stockholder shall remain bound
by the restrictions on Transfer contained herein during such delay; provided,
that the Company shall not be required to issue a promissory note to evidence
its payment obligation to the extent such issuance is prohibited by the terms of
any such financing agreements.
8. PAYMENT FOR SHARES. At any closing held to consummate any
repurchase of the Shares hereunder, the Stockholder shall deliver to the Company
the stock
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certificates representing such Shares, duly endorsed in blank or with duly
executed stock powers attached, and the Company shall (i) offset the repurchase
price for such Shares against any amounts owed by the Stockholder to the Company
under the Note and (ii) deliver to the Stockholder a check in the amount of any
remaining balance of the repurchase price or a promissory note as provided in
Section 7.1.
9. TERM. This Agreement and all of the restrictions on Transfer and
the repurchase rights and obligations contained herein (including, without
limitation, the repurchase rights and obligations of the Company pursuant to
Section 3 hereof), shall terminate immediately after the completion of a
Disposition Event or a Public Sale.
10. ADJUSTMENT OF REPURCHASE PRICE. Upon any stock split, reverse
stock split, recombination of shares or other similar reorganization of the
capital structure of the Company, the repurchase price otherwise payable to the
Stockholder upon the repurchase of any Shares pursuant to Section 3 hereof shall
be proportionally adjusted to reflect such reorganization.
11. GENERAL.
11.1 NOTICES. All notices, demands and other communications hereunder
shall be in writing or by written telecommunication, and shall be deemed to have
been duly given if delivered personally or if mailed by certified mail, return
receipt requested, postage prepaid, or if sent by overnight courier, or sent by
written telecommunication, as follows:
If to the Company, to:
Chief Manufacturing Holding Corp.
c/x Xxxxxxxx Xxxxxxxxx & Xxxx LLC
Xxx Xxxxxxxx Xxxxx
Xxxxx 0000
Xxx Xxxxxxxxx, Xxxxxxxxxx 00000
Fax No.: (000) 000-0000
Attention: Xxxxxxx X. Xxxxxxxxx
With copies sent simultaneously to:
Xxxxxx X. Xxxx, Esq.
Xxxxxxx XxXxxxxxx LLP
000 Xxxx Xxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Fax No: (000) 000-0000
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If to the Stockholder, to:
JPM Consulting Inc.
00 Xxxxxxx Xxxxx
Xxxxxxxx, XX 00000
Any such notice shall be effective (a) if delivered personally, when
received, (b) if sent by overnight courier, when receipted for, (c) if mailed,
three (3) days after being mailed as described above, and (d) if sent by written
telecommunication, when dispatched.
11.2 EQUITABLE REMEDIES. Each of the parties hereto acknowledges and
agrees that upon any breach by the Stockholder of its obligations under Sections
3, 4, or 8 hereof, the Company will have no adequate remedy at law, and
accordingly will be entitled to specific performance and other appropriate
injunctive and equitable relief.
11.3 SEVERABILITY. If any provision of this Agreement is or becomes
invalid, illegal or unenforceable in any respect under any law, the validity,
legality and enforceability of the remaining provisions hereof shall not in any
way be affected or impaired.
11.4 WAIVERS. No delay or omission by either party hereto in
exercising any right, power or privilege hereunder shall impair such right,
power or privilege, nor shall any single or partial exercise of any such right,
power or privilege preclude any further exercise thereof or the exercise of any
other right, power or privilege.
11.5 COUNTERPARTS. This Agreement may be executed in multiple
counterparts (including by facsimile), each of which shall be deemed an
original, but all of which together shall constitute one and the same
instrument.
11.6 ASSIGNS. This Agreement shall not be assignable or transferable
by the Stockholder without the Company's prior written consent thereto.
11.7 ENTIRE AGREEMENT. This Agreement contains the entire
understanding of the parties, supersedes all prior agreements and understandings
relating to the subject matter hereof and shall not be amended except by a
written instrument hereafter signed by each of the parties hereto. Nothing in
this Agreement shall be construed to create any employee-employer relationship
between the Stockholder or any of its employees and the Company or any
Subsidiary or to restrict in any way the right to terminate the Stockholder's
consulting services at any time.
11.8 GOVERNING LAW. This Agreement and the obligations of the parties
hereunder shall be deemed to be a contract under seal and shall for all purposes
be governed by and construed in accordance with the internal laws of The
Commonwealth of Pennsylvania without reference to principles of conflicts of
law.
12. INCORPORATION OF PLAN TERMS. The sale of the Shares to the
Stockholder pursuant to this Agreement is subject to all of the applicable terms
of the Plan, including, but not limited to, Section 9 (Settlement of Awards).
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IN WITNESS WHEREOF, and intending to be legally bound hereby, the
parties hereto have caused this Agreement to be duly executed as of the date and
year first above written.
THE COMPANY: CHIEF MANUFACTURING HOLDING CORP.
By: /s/ ILLEGIBLE
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Title:
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THE STOCKHOLDER: JPM CONSULTING INC.
By:
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Title:
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IN WITNESS WHEREOF, and intending to be legally bound hereby, the
parties hereto have caused this Agreement to be duly executed as of the date and
year first above written.
THE COMPANY: CHIEF MANUFACTURING HOLDING CORP.
By:
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Title:
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THE STOCKHOLDER: JPM CONSULTING INC.
By: /s/ Xxxxx X. Xxxxxx
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Title: OWNER
