Contract of Employment dated 1 January 2011
Exhibit 10.7
Contract of Employment dated 1 January 2011
between
SunVesta Projects & Management AG
Xxxxxxxxxx 00
XX-0000 Xxxxxxxxxx, Xxxxxxxxxxx
(hereinafter referred to as "Employer")
and
Xxxxx Xxxxxxx
Xxxxxxxxxxxxxx 00
XX-0000 Xxxxxxxxx/XX, Xxxxxxxxxxx
(hereinafter referred to as "Employee")
1.
Position
The Employer appoints the Employee as Chief Executive Officer of SunVesta Projects & Management
AG, Oberrieden, of SunVesta Holding AG, and of SunVesta Inc.
2.
Area of responsibility, duties and authority
The area of responsibility, duties and authority shall be defined in a separate agreement that shall be an
integral component of this contract.
3.
Place of work
The place of work shall be Oberrieden/ZH, Xxxxxxxxxx 00.
4.
Commencement of employment
This contract of employment shall enter into force on 1 January 2011.
5.
Probationary period
There shall be no probationary period.
6.
Term and termination of the employment contract
This contract shall be of unlimited duration, and may be terminated by either party at the end of a
calendar month with
2 months’ notice up to the 2nd year of employment
3 months’ notice up to the 5th year of employment
6 months’ notice from the 5th year of employment
7.
Duty of care and loyalty
The Employee shall be obliged to perform with due care the tasks assigned to him, and to safeguard the
legitimate interests of the Employer in good faith. He may not compete in any manner with the Employer
within Switzerland during term of his employment, or within two years after termination of his
employment. Any infringement of this prohibition of competition shall be subject to a contract penalty of
CHF 50,000 and any damages. He shall keep the Employer’s industrial and business secrets.
8.
Holding office
The Employer's consent shall be required for holding public office and holding office in professional
associations, if it entails absence from work. Consent shall be granted in the absence of good reason to
the contrary. There shall be no deduction from salary or vacation entitlement when performing such
functions during working hours, unless adequate remuneration is paid for such functions, and provided it
does not entail significant absence from work.
9.
Working hours
The weekly hours of work shall be 42 hours.
As a senior executive, the Employee shall waive any form of compensation for any overtime worked, in
the absence of a written agreement to the contrary.
10.
Vacation
The Employer shall grant 25 days’ paid vacation per calendar year.
If employment begins or ends in the course of a calendar year, vacation entitlement shall apply pro rata
temporis.
11.
Salary
The Employee shall receive a monthly gross salary of CHF 30,000. If the employment relationship ends
in the course of a calendar year, this salary shall be payable pro rata temporis.
12.
Variable component of compensation
Possible agreements about a variable salary component (bonus etc) shall be governed by a separate
agreement (addendum A)
13.
Expenses
Expenses shall be subject to the provisions of the Expenses Regulations and/or of the Code of
Obligations.
14.
Payment of salary in the event of illness or accident
The Employer shall continue to pay the Employee his salary to the extent defined below if he is unable to
work due to illness or accident for which he is not to blame:
In the 1st year of service
for 4 weeks
From the 2nd year of service
for 9 weeks
From the 4th year of service
for 14 weeks
From the 9th year of service
for 15 weeks
From the 10th year of service
for 17 weeks
From the 12th year of service
for 18 weeks
For each further year of service
one week more per year
15.
Military service
In the event of absence from work due to obligatory military service or civil defence, the Employer shall
pay 80% of the salary during the period defined in Article 324a of the Code of Obligations. The
Employer shall be entitled to the compensation under the Income Compensation Scheme.
16.
Occupational pension provision
Occupational pension provision shall be governed by the regulations of the Employer's occupational
pension scheme.
17.
Termination pay
There is no provision for termination pay.
Each party to the contract shall receive one copy of this contract.
Oberrieden, this 5th day of January 2011
Signed
/s/ Hans Rigendinger
/s/ Xxxxx Xxxxxxx
SunVesta Projects & Management AG
Xxxxx Xxxxxxx
(Employer)
(Employee)
/s/ Turan Tokay____________
SunVesta Projects & Management AG
(Employer)
