May 10, 2006 Aaron Dobrinsky
May
10,
2006
Xxxxx
Xxxxxxxxx
000
Xxxxx
Xxxxxx
Xxxxxxx,
Xxx Xxxxxx 00000
Dear
Xxxxx:
Reference
is made to your Employment Agreement with RoomLinX, Inc. (the “Company”), dated
as of April 15, 2004 (as amended, in writing or by action, your “Employment
Agreement”). The Company agreed to accept your resignation as Chief Executive
Officer, effective as of October 31, 2005, and in connection with your
separation from the Company as an employee, the Company and you agree as
follows:
(a)
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The
Company will continue to indemnify you fully and hold
you completely harmless, pursuant to the Company’s Directors
and Officers Liability Insurance policy, the Indemnification
Agreement attached to this letter as Exhibit B
and otherwise, for all Company/Director/Officer-related liabilities
arising during the term of your employment and thereafter,
including during your time as a consultant to the Company;
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(b) |
All
of the 4,000,000 stock options granted to you under your
Employment Agreement that are not already vested shall
be immediately vested with the signing of this agreement
and, notwithstanding any provision to the contrary
in any Company stock option agreement, shall be exercisable
as “Cashless” options in accordance with the Company’s
Long Term Incentive Plan; for administrative efficiency,
you may elect to exercise any or all such options with
a written letter requesting the options be exercised under
your Employment Agreement and the Company shall promptly
issue or cause to be issued to you one or more stock
certificates representing all of the shares of Company stock
underlying all such stock options.
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(c)
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You
acknowledge that the payments and benefits discussed in
paragraphs (a) and (b) above, are inclusive of any payment
that may otherwise be owed to you under your Employment
Agreement, including any unpaid salary or accrued
bonuses under your Employment Agreement. This agreement
does not cover nor change in any way, the outstanding
loan you made to the company of $25,000 under
the Loan Agreement or the warrants associated with that
loan.
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(d) |
You
shall be solely responsible for all income and other taxes
that may be due or payable with respect to all compensation
and benefits you receive pursuant to paragraph
(b) of this letter
agreement.
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(e)
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Your
full time employment shall be deemed terminated as of
December 31, 2005.
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(f) |
It
is acknowledged and agreed that the General Release and Waiver
attached to this letter agreement as Exhibit A, and the
Indemnification Agreement attached to this letter agreement
as Exhibit B, are each a vital part of your willingness
to execute this letter agreement with the Company.
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(g) |
This
agreement is effective as of December 31,
2005
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If
you
are in agreement with the foregoing, you should sign, date and return both
copies of this letter agreement to the undersigned for execution on behalf
of
the Company; after this letter agreement has been executed by the Company and
a
fully-executed copy returned to you, it shall constitute a binding agreement
between us.
Sincerely, | |||
RoomLinX, Inc. | |||
By: |
/S/
Xxxxxxx X. Xxxxx
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||
Xxxxxxx
X. Xxxxx
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|||
Chief
Executive Officer
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I
have
carefully read, fully understand and agree to the arrangement outlined in this
letter agreement and the attached General Release and Waiver and Indemnification
Agreement.
/S/
Xxxxx Xxxxxxxxx
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||
Xxxxx
Xxxxxxxxx
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Dated:
5-10-2006
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2
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EXHIBIT
A
GENERAL
RELEASE AND WAIVER
1.
I
understand that my active employment with RoomLinX, Inc. (the “Company”)
terminated on October 31, 2005 and that I remained a full-time employee through
December 31, 2005. I understand that in consideration for my agreement to the
following terms of this General Release and Waiver, I will receive the
compensation and/or benefits described in the letter to which a copy of this
General Release and Waiver is attached as Exhibit “A”.
2.
I
understand and agree that I will not receive the compensation and/or benefits
specified in the letter unless I execute this General Release and
Waiver.
3.
I
knowingly and voluntarily release and forever discharge the Company and/or
all
of its heirs, executors, assigns, past and present affiliates, predecessors,
subsidiaries, branches, officers, directors, employees and agents, (hereinafter
collectively the “Releasees”) from any and all claims known and unknown, which
I, my heirs, executors, administrators and assigns may have, including, but
not
limited to, any claim that arises out of:
(a)
any
claims that arise out of my employment and/or the termination of my employment
with the Company, including without limitation, any job offer letters and/or
employment agreements;
(b)
any
allegation, claim or violation arising under Title VII of the Civil Rights
Act
of 1964, as amended, the Civil Rights Act of 1866, as amended, the Civil Rights
Act of 1991, the Equal Pay Act, as amended, the Americans with Disabilities
Act
of 1990, the Worker Adjustment Retraining and Notification Act, the Employee
Retirement Income Security Act of 1974, as amended, any applicable Executive
Order Programs, or their state or local counterparts;
(c)
the
New
Jersey Law Against Discrimination, the New Jersey Conscientious Employee
Protection Act, the New Jersey Family Leave Act, the New Jersey Workers’
Compensation Act, the New Jersey State Wage and Hours law, the New Jersey
Political Activities of Employees law, the New Jersey Jury Duty Employment
Protection law, the New Jersey Lie Detector Test law, the New Jersey Tobacco
Use
law, and the New Jersey Genetic Testing law, all as amended;
(d)
any
other
federal, state or local civil, employment or human rights law or any other
local, state or federal law, regulation or ordinance;
(e)
any
allegation or claim for wrongful discharge, breach of contract, infliction
of
emotional distress, defamation or any allegation or claim arising under any
policies, practices or procedures of the Company;
(f)
any
allegation, claim or violation arising under any public policy, contract or
tort, or under common law; and/or
(g)
any
claim
for costs, fees or other expenses, including attorney’s fees, incurred in these
matters.
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4.
Except
as provided in Paragraph 5, I agree to release and discharge Releasees not
only
from any and all claims which I could make on my own behalf, but I also
specifically waive any right to become, and promise not to become, a member
of
any class in any proceeding or case in which a claim or claims against Releasees
may arise, in whole or in part, from any event which occurred as of the date
of
this Release. It is understood that if I, by no action of my own, become a
mandatory member of any class from which I cannot, by operation of law or order
of court, opt out, such mandatory class membership will not constitute a breach
of this Release.
5.
(a) I
agree not to file any charge or complaint on my own behalf, in the future,
based
upon claims arising from, or attributable in any way to, my employment or
interactions with the Company, to the extent the same relates to any matter
or
event occurring prior to the date of this Agreement, before any federal, state
or local court, or administrative agency, or to participate in any such charge
or complaint which may be made by any other person or organization on my behalf;
and if any court or agency assumes jurisdiction of the same, I will direct
the
court or agency to dismiss or withdraw it. I also agree to withdraw and/or
dismiss any such pending charges or complaints. I further agree that I will
not
encourage or participate in any action against the Company brought by any other
current or former employee unless I am required by law to do so. However, if
by
no action of my own, I become a mandatory member of any class from which I
cannot, by operation of law or order of court, opt out, such mandatory class
membership will not constitute a breach of this release.
(b)
Nevertheless, this release does not prevent me from cooperating with the Equal
Employment Opportunity Commission in an investigation of alleged discrimination
or testifying in any cause of action when required to do so by law. However,
except where prohibited by law, I waive my right to recover any damages or
other
relief in any claim or suit brought by or through the Equal Employment
Opportunity Commission or any other state or local agency on his behalf under
the Age Discrimination in Employment Act, Title VII of the Civil Rights Act
of
1964, as amended, or the Americans with Disabilities Act, and under any claim
or
suit on his behalf under any other federal, state or local law.
6.
This
General Release and Waiver shall not act as a release of the obligations of
the
Company specified in the letter to which this General Release and Waiver is
attached as Exhibit “A”.
7.
I
acknowledge that I have been advised I have fourteen (14) days to consider
this
General Release and Waiver. I acknowledge that the Company has advised me in
writing of my right to consult with an attorney regarding the legal consequences
of the General Release and Waiver and that I have had an opportunity to discuss
the terms of this General Release and Waiver with an attorney. I understand
the
legal consequences of the General Release and Waiver.
8.
I
agree that neither this General Release and Waiver, nor the furnishing of the
consideration for this General Release and Waiver, shall be deemed or construed
at any time to be an admission by either the Company or myself of any improper
or unlawful conduct.
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9.
I
agree that this General Release and Waiver is confidential and agree not to
disclose any information regarding the terms of this General Release and Waiver,
except to an attorney with whom I choose to consult regarding this General
Release and Waiver, my financial consultant, my spouse or as required by law.
I
further agree that if I violate this provision of confidentiality, I will repay
the Company the compensation and/or return the benefits in the letter to which
this release is attached as Exhibit “A.”
10.
I
represent I have not and agree that I will not in any way disparage the Company
or any of Releasees or make or solicit any comments, statements, or the like
to
the media or others that may be considered derogatory or detrimental to the
good
name or business reputation of any the foregoing parties or
entities.
BY
SIGNING THIS GENERAL RELEASE AND WAIVER, I STATE THAT:
A. |
I
HAVE CAREFULLY READ IT.
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B.
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I
FULLY UNDERSTAND IT AND KNOW THAT I AM GIVING UP IMPORTANT RIGHTS
AS MORE
PARTICULARLY DESCRIBED IN THE GENERAL RELEASE AND WAIVER, AND PURSUANT
TO
ANY OTHER AGREEMENTS I MAY HAVE WITH THE
COMPANY.
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C. |
I
AGREE WITH EVERYTHING IN IT.
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D.
|
I
HAVE BEEN ADVISED OF MY RIGHT TO CONSULT WITH AN ATTORNEY BEFORE
EXECUTING
IT.
|
E.
|
I
HAVE BEEN GIVEN WHAT I CONSIDER TO BE A SUFFICIENT PERIOD OF TIME
TO
REVIEW AND CONSIDER THIS GENERAL RELEASE AND WAIVER BEFORE SIGNING
IT.
|
F.
|
I
HAVE SIGNED THIS GENERAL RELEASE AND WAIVER KNOWINGLY AND
VOLUNTARILY.
|
G.
|
I
AGREE THAT THE PROVISIONS OF THIS GENERAL RELEASE AND WAIVER MAY
NOT BE
AMENDED, WAIVED, CHANGED, OR MODIFIED EXCEPT BY AN INSTRUMENT IN
WRITING
SIGNED BY AN AUTHORIZED REPRESENTATIVE OF THE
COMPANY.
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Dated:
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Xxxxx
Xxxxxxxxx
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EXHIBIT
B
ROOMLINX,
INC.
INDEMNIFICATION
AGREEMENT
This
Indemnification Agreement ("Agreement") is made effective as of January 1,
2004,
by and between RoomLinX, Inc., a Delaware corporation (the "Company"), and
Xxxxx
Xxxxxxxxx ("Indemnitee").
WHEREAS,
Indemnitee is/was an officer and director of the Company and performs/performed
a valuable service in such capacities for the Company; and
WHEREAS,
the Company and Indemnitee recognize the substantial increase in corporate
litigation in general, subjecting directors, officers, employees, agents and
fiduciaries to expensive litigation risks at the same time as the availability
and coverage of liability insurance may be limited; and
WHEREAS,
the Company and Indemnitee further recognize the difficulty in obtaining
sufficient and appropriate liability insurance for its directors, officers,
employees, agents and fiduciaries, the significant increases in the cost of
such
insurance and the general reductions and exclusions in the coverage of such
insurance; and
WHEREAS,
Indemnitee does not regard the historic or current protection available as
adequate under the present circumstances, and
WHEREAS,
the Company has retained the services of Indemnitee to serve the Company and,
in
part, in order to induce the Indemnitee to waive certain of his rights under
his
Employment Agreement with the Company, and, in part, to induce Indemnitee to
continue to assist or provide services to the Company as a consultant or
otherwise, the Company wishes to provide for the fullest allowable
indemnification and similar protection for Indemnitee; and
WHEREAS,
the Company desires to fully indemnify the Indemnitee and pay all legal and
other expenses incurred by the Indemnitee in connection with the Company to
the
extent, regardless of reason, that the such expenses are not covered by the
Company’s Directors and Officers Liability policy.
NOW,
THEREFORE, the Company and Indemnitee hereby agree as follows:
1.
Indemnification.
(a)
Indemnification of Expenses. The Company shall indemnify Indemnitee to the
fullest extent permitted by law if Indemnitee was or is or becomes a party
to or
witness or other participant in, or is threatened to be made a party to or
witness or other participant in, any threatened, pending or completed action,
suit, proceeding or alternative dispute resolution mechanism, or any hearing,
inquiry or investigation that Indemnitee in good faith believes might lead
to
the institution of any such action, suit, proceeding or alternative dispute
resolution mechanism, whether civil, criminal, administrative, investigative
or
other (hereinafter a "Claim"), by reason of (or arising in part out of) any
event or occurrence related to the fact that Indemnitee is or was a director,
officer, employee, consultant, agent or fiduciary of the Company, or any
subsidiary of the Company, or is or was serving at the request of the Company
as
a director, officer, employee, agent or fiduciary of another corporation,
partnership, joint venture, trust or other enterprise, or by reason of any
action or inaction on the part of Indemnitee while serving in such capacity
(hereinafter an "Indemnifiable Event") against any and all expenses (including
attorneys' fees and all other costs, expenses and obligations incurred in
connection with investigating, defending, being a witness in or participating
in
(including on appeal), or preparing to defend, be a witness in or participate
in, any such action, suit, proceeding, alternative dispute resolution mechanism,
hearing, inquiry or investigation), judgments, fines, penalties and amounts
paid
in settlement (if such settlement is approved in advance by the Company) of
such
Claim and any federal, state, local or foreign taxes imposed on the Indemnitee
as a result of the actual or deemed receipt of any payments under this Agreement
(collectively, hereinafter "Expenses"), including all reasonable interest,
assessments and other charges paid or payable in connection with or in respect
of such Expenses. Such payment of Expenses shall be made by the Company as
soon
as practicable but in any event no later than thirty (30) days after Company
receives from Indemnittee a written demand therefore with any support
documentation required by the Company.
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(b)
Reviewing Party. Notwithstanding the foregoing, (i) the obligations of the
Company under Section 1(a) shall be subject to the condition that the Reviewing
Party (as described in Section 10(e) hereof) shall not have determined (in
a
written opinion, in any case in which the Independent Legal Counsel referred
to
in Section 1(c) hereof is involved) that Indemnitee would not be permitted
to be
indemnified under applicable law, and (ii) the obligation of the Company to
make
an advance payment of Expenses to Indemnitee pursuant to Section 2(a) (an
"Expense Advance") shall be subject to the condition that, if, when and to
the
extent that the Reviewing Party determines that Indemnitee would not be
permitted to be so indemnified under applicable law, the Company shall be
entitled to be reimbursed by Indemnitee (who hereby agrees to reimburse the
Company promptly upon Indemnittee’s receipt of the Company’s written demand
therefor) for all such amounts theretofore paid; provided, however, that if
Indemnitee has commenced or thereafter commences legal proceedings in a court
of
competent jurisdiction to secure a determination that Indemnitee should be
indemnified under applicable law, any determination made by the Reviewing Party
that Indemnitee would not be permitted to be indemnified under applicable law
shall not be binding if Indemnitee timely appeals and Indemnitee shall not
be
required to reimburse the Company for any Expense Advance until a final judicial
determination is made with respect thereto (as to which all rights of appeal
therefrom have been exhausted or lapsed). Indemnitee's obligation to reimburse
the Company for any Expense Advance shall be unsecured and no interest shall
be
charged thereon. If there has not been a Change in Control (as defined in
Section 10(c) hereof), the Reviewing Party shall be selected by the Board of
Directors, and if there has been such a Change in Control (other than a Change
in Control which has been approved by a majority of the Company's Board of
Directors who were directors immediately prior to such Change in Control),
the
Reviewing Party shall be the Independent Legal Counsel referred to in Section
1(c) hereof. If there has been no determination by the Reviewing Party or if
the
Reviewing Party determines that Indemnitee substantively would not be permitted
to be indemnified in whole or in part under applicable law, Indemnitee shall
have the right to commence litigation seeking an initial determination by the
court or challenging any such determination by the Reviewing Party or any aspect
thereof, including the legal or factual bases therefor, and the Company hereby
consents to service of process and to appear in any such proceeding. Any
determination by the Reviewing Party otherwise shall be conclusive and binding
on the Company and Indemnitee.
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7
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(c)
Change in Control. The Company agrees that if there is a Change in Control
of
the Company (other than a Change in Control which has been approved by a
majority of the Company's Board of Directors who were directors immediately
prior to such Change in Control) then with respect to all matters thereafter
arising concerning the rights of Indemnitee to payments of Expenses and Expense
Advances under this Agreement or any other agreement or under the Company's
Certificate of Incorporation or By-laws as now or hereafter in effect, the
Company shall seek legal advice only from Independent Legal Counsel (as defined
in Section 10(d) hereof) selected by Indemnitee and approved by the Company.
Such counsel, among other things, shall render its written opinion to the
Company and Indemnitee as to whether and to what extent Indemnitee would be
permitted to be indemnified under applicable law. The Company agrees to pay
the
reasonable fees of the Independent Legal Counsel referred to above and to fully
indemnify such counsel against any and all expenses (including reasonable
attorneys' fees), claims, liabilities and damages arising out of or relating
to
this Agreement or its engagement pursuant hereto.
(d)
Mandatory Payment of Expenses. Notwithstanding any other provision of this
Agreement other than Section 8 hereof, to the extent that Indemnitee has been
successful on the merits or otherwise, including, without limitation, the
dismissal of an action without prejudice, in defense of any action, suit,
proceeding, inquiry or investigation referred to in Section (1)(a) hereof or
in
the defense of any claim, issue or matter therein, Indemnitee shall be
indemnified against all Expenses incurred by Indemnitee in connection
therewith.
2.
Expenses; Indemnification Procedure.
(a)
Advancement of Expenses. The Company shall advance all Expenses incurred by
Indemnitee in accordance with Section 1(a) hereof.
(b)
Notice/Cooperation by Indemnitee. Indemnitee shall, as a condition precedent
to
Indemnitee's right to be indemnified under this Agreement, give the Company
notice in writing as soon as practicable of any Claim made against Indemnitee
for which indemnification will or could be sought under this Agreement. Notice
to the Company shall be directed to the President of the Company at the address
shown on the signature page of this Agreement (or such other address as the
Company shall designate in writing to Indemnitee). In addition, Indemnitee
shall
give the Company such information and cooperation as it may reasonably require
and as shall be within Indemnitee's power.
(c)
No
Presumptions; Burden of Proof. For purposes of this Agreement, the termination
of any claim, action, suit or proceeding, by judgment, order, settlement
(whether with or
without court approval) or conviction, or upon a plea of nolo
contendere,
or its
equivalent, shall not create a presumption that Indemnitee did not meet any
particular standard of conduct or have any particular belief or that a court
has
determined that indemnification is not permitted by applicable law. In addition,
neither the failure of the Reviewing Party to have made a determination as
to
whether Indemnitee has met any particular standard of conduct or had any
particular belief, nor an actual determination by the Reviewing Party that
Indemnitee has not met such standard of conduct or did not have such belief,
prior to the commencement of legal proceedings by Indemnitee to secure a
judicial determination that Indemnitee should be indemnified under applicable
law, shall be a defense to Indemnitee's claim or create a presumption that
Indemnitee has not met any particular standard of conduct or did not have any
particular belief. In connection with any determination by the Reviewing Party
or otherwise as to whether the Indemnitee is entitled to be indemnified
hereunder, the burden of proof shall be on the Company to establish that
Indemnitee is not so entitled.
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(d)
Notice to Insurers. If, at the time of the receipt by the Company of a notice
of
a Claim pursuant to Section 2(b) hereof, the Company has liability insurance
in
effect which may cover such Claim, the Company shall give prompt notice of
the
commencement of such Claim to the insurers in accordance with the procedures
set
forth in such policy or policies. The Company shall thereafter take all
necessary or desirable action to cause such insurers to pay, on behalf of the
Indemnitee, all amounts payable as a result of such action, suit, proceeding,
inquiry or investigation in accordance with the terms of such
policies.
(e)
Assumption of Defense; Selection of Counsel. In the event the Company shall
be
obligated hereunder to pay the Expenses of any action, suit, proceeding, inquiry
or investigation, the Company, if appropriate, shall be entitled to assume
the
defense of such action, suit, proceeding, inquiry or investigation with counsel
reasonably satisfactory to Indemnitee, upon the delivery to Indemnitee of
written notice of its election so to do. After delivery of such notice, approval
of such counsel by Indemnitee and the retention of such counsel by the Company,
the Company will not be liable to Indemnitee under this Agreement for any fees
of counsel subsequently incurred by Indemnitee with respect to the same action,
suit, proceeding, inquiry or investigation; provided that, (i) Indemnitee shall
have the right to employ Indemnitee's counsel in any such action, suit,
proceeding, inquiry or investigation at Indemnitee's expense and (ii) if (A)
the
employment of counsel by Indemnitee has been previously authorized by the
Company or (B) Indemnitee shall have reasonably concluded that there may be
a
conflict of interest between the Company and Indemnitee in the conduct of any
such defense. Notwithstanding the foregoing, in the event the Company shall
not
continue to retain such counsel to defend such action, suit, proceeding, inquiry
or investigation, then the fees and expenses of Indemnitee's counsel shall
be at
the expense of the Company.
3.
Additional Indemnification Rights; Nonexclusivity.
(a)
Scope. The Company hereby agrees to indemnify the Indemnitee to the fullest
extent permitted by law, notwithstanding that such indemnification may not
be
specifically authorized by the other provisions of this Agreement, the Company's
Certificate of Incorporation, the Company's By-laws or by statute. In the event
of any change after the date of this Agreement in any applicable law, statute
or
rule which expands the right of a Delaware corporation to indemnify a member
of
its board of directors or an officer, employee, agent or fiduciary, it is the
intent of the parties hereto that Indemnitee shall enjoy by this Agreement
the
greater benefits afforded by such change. In the event of any change in any
applicable law, statute or rule which narrows the right of a Delaware
corporation to indemnify a member of its board of directors or an officer,
employee, agent or fiduciary, such change, to the extent not otherwise required
by such law, statute or rule to be applied to this Agreement, shall have no
effect on this Agreement or the parties' rights and obligations hereunder.
For
the avoidance of doubt, the Company hereby expressly acknowledges and agrees
that its indemnification obligations under this Agreement remain in full force
and effect regardless of any, whether in whole or in part, exclusion, denial
or
other determination of any insurer(s) or other third party(-ies) providing
Directors and Officers Liability Insurance, Errors and Omissions Insurance,
or
any other protection or coverage to the Company.
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(b)
Nonexclusivity. The indemnification provided by this Agreement shall be in
addition to any rights to which Indemnitee may be entitled under the Company's
Certificate of Incorporation, its By-laws, any agreement, any vote of
shareholders or disinterested directors, the General Business Law of the State
of Delaware, or otherwise. The indemnification provided under this Agreement
shall continue as to Indemnitee for any action taken or not taken while serving
in an indemnified capacity even though Indemnitee may have ceased to serve
in
such capacity.
4.
No
Duplication of Payments. The Company shall not be liable under this Agreement
to
make any payment in connection with any action, suit, proceeding, inquiry or
investigation made against Indemnitee to the extent Indemnitee has otherwise
actually received payment (under any insurance policy, Certificate of
Incorporation, By-laws or otherwise) of the amounts otherwise indemnifiable
hereunder.
5.
Partial Indemnification. If Indemnitee is entitled under any provision of this
Agreement to indemnification by the Company for some or a portion of Expenses
in
the investigation, defense, appeal or settlement of any civil or criminal
action, suit, proceeding, inquiry or investigation, but not, however, for all
of
the total amount thereof, the Company shall nevertheless indemnify Indemnitee
for the portion of such Expenses to which Indemnitee is entitled.
6.
Mutual
Acknowledgment. Both the Company and Indemnitee acknowledge that in certain
instances, federal law or applicable public policy may prohibit the Company
from
indemnifying its directors, officers, employees, agents or fiduciaries under
this Agreement or otherwise. Indemnitee understands and acknowledges that the
Company has undertaken or may be required in the future to undertake with the
Securities and Exchange Commission to submit the question of indemnification
to
a court in certain circumstances for a determination of the Company's right
under public policy to indemnify Indemnitee.
7.
Liability Insurance. To the extent the Company maintains liability insurance
applicable to directors, officers, employees, agents or fiduciaries, Indemnitee
shall be covered by such policies in such a manner as to provide Indemnitee
the
same rights and benefits as are accorded to the most favorably insured of the
Company's directors and officers.
8.
Exceptions. Any other provision herein to the contrary notwithstanding, the
Company shall not be obligated pursuant to the terms of this Agreement:
(a)
To
indemnify or advance expenses to Indemnitee with respect to proceedings or
claims initiated or brought voluntarily by Indemnitee and not by way of defense,
except (i) with respect to proceedings brought to establish or enforce a right
to indemnification under this Agreement or any other agreement or insurance
policy or under the Company's Certificate of Incorporation or By-laws now or
hereafter in effect relating to Claims for Indemnifiable Events, (ii) in
specific cases if the Board of Directors has approved the initiation or bringing
of such suit, or (iii) as otherwise required under Section 145 of the Delaware
General Corporation Law, regardless of whether Indemnitee ultimately is
determined to be entitled to such indemnification, advance expense payment
or
insurance recovery, as the case may be.
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(b)
To
indemnify Indemnitee for any expenses incurred by the Indemnitee with respect
to
any proceeding instituted by Indemnitee to enforce or interpret this Agreement,
if and to the extent that a court of competent jurisdiction determines that
any
or all of the material assertions made by the Indemnitee in such proceeding
was
not made in good faith or was frivolous; or
(c)
To
indemnify Indemnitee for expenses and the payment of profits arising from the
purchase and sale by Indemnitee of securities in violation of Section 16(b)
of
the Securities Exchange Act of 1934, as amended, or any similar successor
statute.
9.
Period
of Limitations. No legal action shall be brought and no cause of action shall
be
asserted by or in the right of the Company against Indemnitee, Indemnitee's
estate, spouse, heirs, executors or personal or legal representatives after
the
expiration of two years from the date of accrual of such cause of action, and
any claim or cause of action of the Company shall be extinguished and deemed
released unless asserted by the timely filing of a legal action within such
two-year period; provided, however, that if any shorter period of limitations
is
otherwise applicable to any such cause of action, such shorter period shall
govern.
10.
Construction of Certain Phrases.
(a)
For
purposes of this Agreement, references to the "Company" shall include, in
addition to the resulting corporation, any constituent corporation (including
any constituent of a constituent) absorbed in a consolidation or merger which,
if its separate existence had continued, would have had power and authority
to
indemnify its directors, officers, employees, agents or fiduciaries, so that
if
Indemnitee is or was a director, officer, employee, agent or fiduciary of such
constituent corporation, or is or was serving at the request of such constituent
corporation as a director, officer, employee, agent or fiduciary of another
corporation, partnership, joint venture, employee benefit plan, trust or other
enterprise, Indemnitee shall stand in the same position under the provisions
of
this Agreement with respect to the resulting or surviving corporation as
Indemnitee would have with respect to such constituent corporation if its
separate existence had continued.
(b)
For
purposes of this Agreement, references to "other enterprises" shall include
employee benefit plans; references to "fines" shall include any excise taxes
assessed on Indemnitee with respect to an employee benefit plan; and references
to "serving at the request of the Company" shall include any service as a
director, officer, employee, agent or fiduciary of the Company which imposes
duties on, or involves services by, such director, officer, employee, agent
or
fiduciary with respect to an employee benefit plan, its participants or its
beneficiaries; and if Indemnitee acted in good faith and in a manner Indemnitee
reasonably believed to be in the interest of the participants and beneficiaries
of an employee benefit plan, Indemnitee shall be deemed to have acted in a
manner "not opposed to the best interests of the Company" as referred to in
this
Agreement.
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(c)
For
purposes of this Agreement a "Change in Control" shall be deemed to have
occurred if (i) any "person" (as such term is used in Sections 13(d) and 14(d)
of the Securities Exchange Act of 1934, as amended), other than a trustee or
other fiduciary holding securities under an employee benefit plan of the Company
or a corporation owned directly or indirectly by the shareholders of the Company
in substantially the same proportions as their ownership of stock of the
Company, is or becomes the "beneficial owner" (as determined in accordance
with
Rule 13d-3 under such Act), directly or indirectly, of securities of the Company
representing more than 20% of the total voting power represented by the
Company's then outstanding Voting Securities, (ii) during any period of two
consecutive years, individuals who at the beginning of such period constitute
the Board of Directors of the Company and any new director whose election by
the
Board of Directors or nomination for election by the Company's shareholders
was
approved by a vote of at least two thirds (2/3) of the directors then still
in
office who either were directors at the beginning of the period or whose
election or nomination for election was previously so approved, cease for any
reason to constitute a majority thereof, or (iii) the shareholders of the
Company approve a merger or consolidation of the Company with any other
corporation other than a merger or consolidation which would result in the
Voting Securities of the Company outstanding immediately prior thereto
continuing to represent (either by remaining outstanding or by being converted
into Voting Securities of the surviving entity) at least 80% of the total voting
power represented by the Voting Securities of the Company or such surviving
entity outstanding immediately after such merger or consolidation, or the
shareholders of the Company approve a plan of complete liquidation of the
Company or an agreement for the sale or disposition by the Company of (in one
transaction or a series of transactions) all or substantially all of the
Company's assets.
(d)
For
purposes of this Agreement, "Independent Legal Counsel" shall mean an attorney
or firm of attorneys, selected in accordance with the provisions of Section
1(c)
hereof, who shall not have otherwise performed services for the Company or
any
member of the Company’s Board or Indemnitee within the last three years (other
than with respect to matters concerning the rights of Indemnitee under this
Agreement, or of other indemnitees under similar indemnity agreements) and
shall
otherwise not have any conflict or the appearance of having any
conflict.
(e)
For
purposes of this Agreement, a "Reviewing Party" is Independent Legal Counsel,
unless the Company or Indemnitee agree promptly on a different
person(s).
(f)
For
purposes of this Agreement, "Voting Securities" shall mean any securities of
the
Company that vote generally in the election of directors.
11.
Counterparts. This Agreement may be executed in one or more counterparts, each
of which shall constitute an original.
12.
Binding Effect; Successors and Assigns. This Agreement shall be binding upon
and
inure to the benefit of and be enforceable by the parties hereto and their
respective successors and assigns, including any direct or indirect successor
by
purchase, merger, consolidation or otherwise to all or substantially all of
the
business and/or assets of the Company, spouses, heirs, and personal and legal
representatives. The Company shall require and cause any successor (whether
direct or indirect by purchase, merger, consolidation or otherwise) to all,
substantially all, or a substantial part, of the business and/or assets of
the
Company, by written agreement in form and substance satisfactory to Indemnitee,
expressly to assume and agree to perform this Agreement in the same manner
and
to the same extent that the Company would be required to perform if no such
succession had taken place. This Agreement shall continue in effect regardless
of whether Indemnitee continues to serve as a director of the Company or of
any
other enterprise at the Company's request.
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13.
Attorneys' Fees. In the event that any action is instituted by Indemnitee under
this Agreement or under any liability insurance policies maintained by the
Company to enforce or interpret any of the terms hereof or thereof, Indemnitee
shall be entitled to be paid all Expenses incurred by Indemnitee with respect
to
such action, regardless of whether Indemnitee is ultimately successful in such
action, and shall be entitled to the advancement of Expenses with respect to
such action, unless as a part of such action the court of competent jurisdiction
over such action determines that any or all of the material assertions made
by
Indemnitee as a basis for such action were not made in good faith or were
frivolous. In the event of an action instituted by or in the name of the Company
under this Agreement to enforce or interpret any of the terms of this Agreement,
Indemnitee shall be entitled to be paid all Expenses incurred by Indemnitee
in
defense of such action (including costs and expenses incurred with respect
to
Indemnitee's counterclaims and cross-claims made in such action), and shall
be
entitled to the advancement Expenses with respect to such action, unless as
a
part of such action the court having jurisdiction over such action determines
that any or all of Indemnitee's material defenses to such action were made
in
bad faith or were frivolous.
14.
Notice. All notices, requests, demands and other communications under this
Agreement shall be in writing and shall be deemed duly given (i) if delivered
by
hand and receipted for by the party addressee, on the date of such receipt,
or
(ii) if mailed by domestic certified or registered mail with postage prepaid,
on
the third business day after the date postmarked. Addresses for notice to either
party are as shown on the signature page of this Agreement, or as subsequently
modified by written notice.
15.
Consent to Jurisdiction. The Company and Indemnitee each hereby irrevocably
consent to the jurisdiction of the courts of the State of Delaware for all
purposes in connection with any action or proceeding which arises out of or
relates to this Agreement and agree that any action instituted under this
Agreement shall be commenced, prosecuted and continued only in the Court of
Chancery of the State of Delaware in and for New Castle County, which shall
be
the exclusive and only proper forum for adjudicating such a claim.
16.
Severability. The provisions of this Agreement shall be severable in the event
that any of the provisions hereof (including any provision within a single
section, paragraph or sentence) are held by a court of competent jurisdiction
to
be invalid, void or otherwise unenforceable, and the remaining provisions shall
remain enforceable to the fullest extent permitted by law. Furthermore, to
the
fullest extent possible, the provisions of this Agreement (including, without
limitations, each portion of this Agreement containing any provision held to
be
invalid, void or otherwise unenforceable, that is not itself invalid, void
or
unenforceable) shall be construed so as to give effect to the intent manifested
by the provision held invalid, illegal or unenforceable.
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17.
Choice of Law. This Agreement shall be governed by and its provisions construed
and enforced in accordance with the laws of the State of Delaware, as applied
to
contracts between Delaware residents, entered into and to be performed entirely
within the State of Delaware, without regard to the conflict of laws principles
thereof.
18.
Subrogation. In the event of payment under this Agreement, the Company shall
be
subrogated to the extent of such payment to all of the rights of recovery of
Indemnitee, who shall promptly execute all documents required or reasonably
requested and shall do all acts that may be necessary to secure such rights
and
to enable the Company effectively to bring suit to enforce such rights.
19.
Amendment and Termination. No amendment, modification, termination or
cancellation of this Agreement shall be effective unless it is in writing signed
by both the parties hereto. No waiver of any of the provisions of this Agreement
shall be deemed or shall constitute a waiver of any other provisions hereof
(whether or not similar) nor shall such waiver constitute a continuing
waiver.
20.
Integration and Entire Agreement. This Agreement sets forth the entire
understanding between the parties hereto with respect to the specific subject
matter hereof and supersedes and merges all previous written and oral
negotiations, commitments, understandings and agreements relating to the subject
matter hereof between the parties hereto.
21.
No
Construction as Employment Agreement. Nothing contained in this Agreement shall
be construed as giving Indemnitee any right to be retained in the employ of
the
Company or any of its subsidiaries.
IN
WITNESS WHEREOF, the parties hereto have executed this Agreement subsequent
to,
but as of, the date first above written.
ROOMLINX, INC. |
AGREED
TO AND ACCEPTED:
|
|||
INDEMNITEE | ||||
By:
|
/S/
Xxxxxxx X. Xxxxx
|
By:
|
/S/
Xxxxx Xxxxxxxxx
|
|
Xxxx Xxxxx - CEO
|
Xxxxx Xxxxxxxxx
|
|||
000
Xxxxx Xxxxxx
|
||||
0000 Xxxx 0xx Xxxxxx
|
Xxxxxxx, Xxx Xxxxxx 00000
|
|||
Unit D
|
||||
Xxxxxxxxxx, XX 00000
|
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