SETTLEMENT AGREEMENT
THIS AGREEMENT is entered into as of the 26th day of March 2002, by and
between Method Products Corp., a Florida Corporation with a principal place of
business in Pompano Beach, Florida ("MPC"); and Xxxxxxx Xxxxxxxx, an individual
of Boca Raton, Florida ("Xxxx").
WHEREAS, Xxxx and MPC entered into an employment agreement as of July
1st, 2001; and
WHEREAS, the parties now wish to terminate the employment agreement and
resolve all issues that may arise between the parties by virtue of the agreement
and the performance of their respective obligations thereunder. NOW THEREFORE,
in consideration Ten ($10.00) Dollars and other valuable consideration,
including but not limited to the provisions of this Agreement, the receipt and
sufficiency of which are hereby acknowledged, MPC and XXXX agree as follows:
1. Upon the execution of this Agreement by both Xxxx and MPC,
Xxxx shall and does hereby resign as an officer, director and
employee of MPC and all its subsidiaries thereof, and shall
and hereby does otherwise resign all employment positions with
MPC and all subsidiaries thereof. Xxxx shall contemporaneously
herewith, return any and all property owned by MPC and/or its
subsidiaries, except the items listed on Exhibit A, which
shall constitute the exclusive personal property of Xxxx. MPC
acknowledges receipt of all personal property Xxxx is
obligated to return pursuant to this Agreement owned by MPC
and/or its subsidiaries as an officer, director and/or
employee.
2. Simultaneously with the resignation referred to above, MPC
shall indemnify and hold Xxxx harmless for debts personally
guaranteed by Xxxx for MPC or subsidiary which include but are
not limited to: (See Exhibit "B") identified as American
Express, Ford, Xxxxxx and Coastal (details of said debt are
listed hereto as on Exhibit B) This guarantee is for MPC to
settle, negotiate and pay these debts thereby leaving no
responsibility to Xxxx. MPC shall be responsible for all
Mike's reasonable legal fees, expenses and damages arising out
of all personal guarantees he executed on behalf of MPC or any
subsidiary.
3. Simultaneously with the resignation referred to in paragraph 1
above, MPC agrees to pay Xxxx Twenty-Five Thousand ($25,000)
Dollars, which shall be paid as follows: Five Thousand
($5,000) dollars upon execution of this Agreement and then
Five Thousand ($5,000) dollars per month for the next four
months, the payment dates of which will be the same as the
date this document was executed. Time is of the essence, and
any late payment shall bear an interest rate of ten (10%)
percent per annum until paid.
4. MPC shall also pay Xxxx his salary through March 26th, 2002,
which amount shall be paid at the time such payment would be
made in the ordinary course of business.
5. The aforesaid amounts, when paid in full, shall constitute
payment in full for all past due accrued salary and benefits
and otherwise constitute a complete severance payment from
MPC.
6. Upon the execution of this Agreement, MPC hereby releases Xxxx
from all non-competition covenants contained in the July 1st,
2001 employment agreement and/or any other non-competition
documents there may be between MPC and Xxxx.
7. Upon execution of this Agreement, except to the obligations
contained herein including those set forth in paragraph 1
above, MPC hereby releases Xxxx from any and all obligations
it may have against him with respect to any matter from the
beginning of time to the date hereof.
8. Upon the payment in full of all amounts due hereunder, Xxxx
shall release MPC and all subsidiaries thereof from any and
all obligations he may have against it/them with respect to
any matter from the beginning to the date hereof. In the event
of default of the Company Xxxx shall be entitled to a judgment
against the Company for any and all amounts owed pursuant to
the aforementioned Employment contract, with a credit given to
the Company on all amounts paid to Xxxx by the Company
hereunder. Nothing contained herein shall limit Companies
obligation to Xxxx Pursuant to section 2 above.
9. This Agreement shall be governed by and construed in
accordance with the laws of the State of Florida. Any action
and/or proceeding relating to or arising out of this Agreement
shall be brought in federal or state courts located in Broward
County, Florida, and the prevailing party in any such
proceeding shall be entitle to recover its reasonable
attorney's fees.
10. In case one or more provisions contained in this Agreement
should be declared invalid, illegal or unenforceable in any
respect, the validity, legality and enforceability of the
remaining provisions contained herein shall not in turn be
affected or impaired thereby.
11. This Agreement shall be binding upon and inure to the benefit
of the parties and their respective successors and assigns.
12. No provisions of this Agreement may be amended, modified,
supplemented, changed, waived, discharged or terminated unless
each party hereto consents in writing.
13. This Agreement contains the entire agreement between the
parties, and all discussions, negotiations and the like
occurring before the execution of this Agreement shall be
merged into this document.
14. Any number of counterparts of this Settlement Agreement may be
executed and delivered, each of which shall be considered an
original and all of which, together, shall constitute one and
the same instrument. The parties agree that facsimile
signatures of the parties shall be acceptable and deemed as if
they were original signatures tot his Agreement.
15. The parties hereby expressly warrant that the person or
persons executing this Settlement Agreement on behalf of such
parties is/are duly authorized to enter into and bind said
corporation tot his settlement.
IN WITNESS WHEREOF, the parties have set their hands and seals the day
and year first set forth above.
WITNESS:
/S/ Xxxxxxx Xxxxxxxx
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Xxxxxxx Xxxxxxxx
Method Products Corp.
/S/ Xxxx X. Xxxxxxxxx
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Xxxx X. Xxxxxxxxx, President / CEO
