EXHIBIT 10.5
Employment Agreement
Agreement dated August 29, 2001, between ADZONE RESEARCH, INC. (hereinafter the
"company") and Xxxxxxx X. Xxxxxxx (hereinafter the "employee")
The company employees the employee, and the employee agrees to be employed,
Following terms and conditions:
Employment - Employment continues as outlined effective today, August
29,2001 and will end on August 31, 2004 (Employment Period)
Salary - The Company shall pay Employee a salary plus stock of (see exhibit
A) per year, payable as a weekly payroll check.
Position - The Company hires the Employee as CEO
Other Agreements - Medical and Dental insurance is fully paid for the
employee by the Company during the employment period. Company shall
reimburse or pay for reasonable company vehicle expenses including lease or
purchase payments, gas, tolls and repairs.
Legal Representation - AdZone Interactive agrees to defend employee against
any and all legal claims and litigation. In addition AdZone Interactive
further agrees to pay all expenses arising from any and all litigation,
including but not limited to attorney's fee's legal fee's, misc. expenses,
. Legal representation for Xxxxxxx X. Xxxxxxx will continue beyond the term
of this contract and will continue for the remainder of Xxxxxxx X.
Xxxxxxx'x life.
Settlement by Arbitration - Any claim or controversy that arises out of or
relates to this agreement, will be settled by arbitration. If any provision
of this agreement is held invalid, the other provisions of this agreement
will remain in effect. ORAL MODIFICATIONS ARE NOT BINDING. THIS AGREEMENT
SUPERSEDES ALL PREVIOUS EMPLOYMENT AND OTHER AGREEMENTS BETWEEN XXXXXXX X.
XXXXXXX AND ADZONE RESEARCH.
Effect of Prior Agreements - This agreement supersedes any prior agreement
between AdZone Interactive and Xxxxxxx X. Xxxxxxx. The company assumes all
outstanding unpaid back salary liability under previous contracts with
AdZone Interactive, Inc.
ADZONE RESEARCH, INC
Company Name
/S/ XXXX XXXXXXX
---------------------------
Authorized Signature
/S/ XXXXXXX XXXXXXX
--------------------------
Employee Signature
Employment Agreement
Exhibit A
Position: CEO
Effective Date: August 29, 2001
Base Salary: Remainder 2001 $141,000 annual
2002 $151,000 annual
2003 $161,000 annual
2004 $208,000 annual
Bonuses: Quarterly Qualitative Bonus of $ 15,000
2nd Year, Year end Qualitative Bonus of $ 25,000
Profitability Bonus, if the company reaches annual
profitability employee will receive a $100,000 bonus plus
250,000 shares in stock..
Employee shall receive an annual bonus as follows;
.5% of the previous years revenues plus
3.5% of the previous years profits plus
3.75% of the first $3 Million in growth in market
capitalization of the companies public stock for the
previous year. Plus
1.75% of the amount over $3 Million in growth in market
capitalization of the companies public stock for the
previous year.
Stock: The employee shall be granted stock options for 1,000,000
shares of stock at .10 per share exercisable for 5 years
from the date of this contract.
In the event of early termination from this contract for any
reason, Xxxxxxx X. Xxxxxxx shall receive a lump sum of 3
years annual salary at the rate in the year in which
termination occurred.
Additional Incentives: Xxxxxxx X. Xxxxxxx will receive 10% of all sales he is
involved with.
ADZONE RESEARCH, INC.
Company Name
---------------------
Authorized Signature
---------------------
Employee Signature
