EMPLOYMENT AGREEMENT
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This Agreement is made and entered into this 27th day of May, 1999
("Agreement"), between TECHNICAL CHEMICALS AND PRODUCTS, INC., a Florida
corporation ("TCPI"), with its principal place of business at 0000 XX 00 Xxxxxx,
Xxxxxxx Xxxxx, XX 00000 and XXXXXX X. XXXXXX, having an address [address
intentionally omitted] ("Employee").
R E C I T A L S:
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WHEREAS, Employee has accepted employment with TCPI as its Vice
President of Sales and Marketing and
WHEREAS, Employee and TCPI are desirous of entering into an agreement
to memorialize the employment relationship.
NOW, THEREFORE, in consideration of the mutual promises contained
herein and for other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the parties hereto mutually agree
as follows:
ARTICLE I
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TERM
1.1 Initial Term. The initial term (the "Initial Term") of this
Agreement shall commence on the date this Agreement is executed and shall end on
the 31st day of December, 2001 ("Initial Term Termination Date") unless
terminated earlier as provided herein.
1.2 Extension of Initial Term.The Initial Term shall be extended for
successive one (1) year periods ("Extended Term") commencing on January 1, 2002,
unless either party gives the other one hundred eighty (180) days' prior written
notice of its intent not to renew prior to the expiration of the then current
term.
ARTICLE II
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SCOPE OF RESPONSIBILITIES
OFFER AND ACCEPTANCE OF EMPLOYMENT
2.1 Offer of Employment. Upon the terms and subject to the conditions
of this Agreement, and upon the acceptance by Employee as signified by
Employee's execution of this Agreement, TCPI hereby employs Employee for the
term of this Agreement as its Vice President of Sales and Marketing. Employee
shall have the powers and duties as Vice President of Sales and Marketing of
TCPI as directed by the President or his designee, which direction shall be
pursuant to reasonable policies adopted from time to time and communicated by
written notice to Employee. Employee's duties shall include the management of
TCPI's business interests ("Businesses") and such other duties as are consistent
with his position (the "Duties"). During the term of this Agreement and except
for illness, disability, reasonable vacation periods and reasonable leaves of
absence, Employee shall devote his entire business time, attention, skill and
efforts as is necessary for the faithful performance of the Duties.
2.2 Acceptance By Employee. Employee hereby accepts such employment
and, consistent with fiduciary standards which exist between an employer and an
employee, Employee shall perform the Duties in an efficient, trustworthy and
businesslike manner.
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2.3 Delegation. Notwithstanding anything to the contrary contained in
this Agreement, Employee shall have the right and authority to delegate
responsibility to one or more personnel if Employee and the President deem such
delegation appropriate.
2.4 Other Activities. Employee shall use Employee's best efforts for
the benefit of TCPI by whatsoever activities Employee deems appropriate to
maintain and improve TCPI's standing in the community generally and among other
members of the industries in which TCPI is from time to time engaged, including
such entertaining for business purposes as Employee considers appropriate
consistent with TCPI's policies.
ARTICLE III
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COMPENSATION
3.1 Base Salary, Bonus, Options and Employee Benefit Plans. For all
services rendered by Employee in any capacity during his employment under this
Agreement (including any renewals hereof), TCPI shall pay Employee as
compensation the sum of the amounts set forth below:
3.1.1 Base Salary. During the term of this Agreement, Employee
shall be paid the sum of One Hundred and Thirty Thousand
Dollars ($130,000) on an annualized basis, payable in
installments at such periodic intervals as TCPI pays its other
Employees but not less than on a monthly basis. On January 1,
2000 and continuing on each January 1st thereafter during the
term of this Agreement and any extensions thereof, and for
each subsequent year during the term of this Agreement,
Employee shall be entitled to an annual salary review of
Employee's base salary and such base salary may be increased
but not decreased at the discretion of the Board of Directors
of TCPI.
3.1.2. Bonus. Employee shall be entitled to bonuses based upon
agreed criteria such as sales, sales growth and other
objectives.
3.1.3. Stock Options. TCPI has granted the options (the
"Options") to Employee specified in Exhibit A annexed hereto
and made a part hereof pursuant to and under the terms of
TCPI's Amended and Restated 1992 Stock Option Plan.
3.2 Share Appreciation Rights Plan. TCPI will grant Employee share
appreciation rights, and Employee will be entitled to participate in TCPI's
share appreciation rights plan applicable to employees of TCPI when available on
the same basis as other employees of TCPI.
ARTICLE IV
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BUSINESS EXPENSES AND BENEFITS
4.1 Business Expenses. Employee is authorized to incur reasonable
expenses to execute and/or promote the Businesses of TCPI, including, but not
limited to, expenses related to maintenance of professional licenses and
expenses in accordance with TCPI's policies and procedures as same are in effect
from time to time. TCPI will reimburse Employee for all reasonable travel or
other expenses incurred while on business.
4.2. Employee Benefit Plans. Employee shall be entitled to participate
in any and all plans, arrangements or distributions by TCPI pertaining to or in
connection with any pension, bonus, profit sharing, stock options and/or similar
benefits for its Employees at the same level of responsibility as Employee, as
determined by the Board of Directors or committees, pursuant to the governing
instruments which establish and/or determine eligibility and other rights of the
participants and beneficiaries under such plans or other benefit programs.
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4.3 Health Insurance and Other Plans. TCPI will provide for Employee
medical insurance and Employee will be entitled to participate in all other
benefit plans and receive perquisites on the same basis as other employees of
TCPI at the same level of responsibility as Employee.
4.4 Vacation and Sick Days. Employee shall be entitled to such
reasonable paid vacation time and paid and unpaid sick days and personal days in
accordance with TCPI's policies and procedures applicable to other employees of
TCPI at the same level of responsibility as Employee or as may be agreed to by
the parties hereto from time to time; provided, however, that Employee shall be
entitled to at least two (2) weeks paid vacation during each year of the term of
this Agreement, or such greater amount generally provided to basis as other
employees of TCPI at the same level of responsibility as Employee.
4.4.1 Should TCPI adopt a policy of accruing vacations from
year to year or paying employees of TCPI at the same level of
responsibility as Employee the amount equaling such unused
vacation time, then the Employee shall have the right to
either (i) apply such accrued and unused vacation time toward
additional paid vacation time during subsequent years of this
Agreement; or (ii) receive a lump-sum payment equal to
Employee's base salary for said accrued and unused vacation
time.
ARTICLE V
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DEATH OR DISABILITY DURING EMPLOYMENT
5.1 If Employee dies or becomes permanently and totally disabled during
the term of the Agreement, TCPI shall pay to Employee or Employee's estate, as
the case may be, the base salary which would otherwise be payable to Employee,
for a period of four (4) months after the date on which Employee's death or
disability occurred. TCPI shall have no further financial obligations to
Employee or his estate, except as otherwise provided in Articles III and IV
hereof. For purposes of this Agreement, "disability" is defined to mean that, as
a result of Employee's incapacity due to physical or mental illness:
5.1.1 Employee shall have been absent from his duties as an
officer of TCPI on a substantially full-time basis for four
(4) consecutive months; and
5.1.2 Within thirty (30) days after TCPI notifies Employee in
writing that it intends to replace him, Employee shall not
have returned to the performance of the duties as an officer
of TCPI on a full-time basis.
5.2 Death or Disability. This Agreement shall terminate upon the death
or the disability of Employee. Termination for death or disability shall not be
termination for Cause. Employee or his heirs or estate (as the case may be)
shall be entitled to the compensation provided for in Paragraph 5.1 of this
Agreement.
ARTCLE VI
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TERMINATION OF EMPLOYMENT
6.1 Termination by TCPI for Cause. Termination by Employee Without Good
Reason. If Employee's employment is terminated by (i) TCPI for Cause (as
hereinafter defined); or (ii) by Employee without Good Reason (as hereinafter
defined), then Employee shall be entitled to:
6.1.1 Base salary pursuant to Paragraph 3.1.1 earned through
the last day of employment ("Termination Date"); and
6.1.2 Accrued vacation under Paragraph 4.4 hereof; and
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6.1.3 All applicable reimbursements from TCPI due pursuant to
this Agreement.
6.2. Termination by TCPI Without Cause or Termination by Employee For
Good Reason. Except as provided below with respect to a Change of Control (as
hereinafter defined), if there is a termination of this Agreement by (i) TCPI
without Cause (as hereinafter defined); or (ii) Employee for Good Reason (as
hereinafter defined), Employee shall be entitled to:
6.2.1 Receive, in one lump sum payment on Termination Date,
that amount which is equal to (a) Employee's base salary for
the remainder of the Initial term (or Extended Term as the
case may be) plus (b) an amount equal to the bonus paid
Employee in the previous fiscal year.
6.2.2 In the event that termination pursuant to Paragraph 6.2
occurs during the last six (6) months of the Initial Term or
the first six (6) months of any Extended Term, then, in such
event, the base salary payable under Paragraph 6.2.1, shall
not be less than the total of six (6) months base salary plus
one month's of base salary for each year of employment to a
maximum base salary under paragraph 6.2.1 and 6.2.2 of one (1)
year; and
6.2.3 Accrued vacation under Paragraph 4.4 hereof; and
6.2.4 All reimbursements due Employee through the Termination
Date under Article IV; and
6.2.5 All benefits described in Article IV shall be extended
for the period of one year after the Termination Date or
expiration of the Initial Term (or Extended Term as the case
may be), whichever is later.
6.2.6 Employer shall arrange and pay for outplacement services
with a recognized outplacement company who specializes in
executives of Employee's position for a period of six months
following the Termination Date.
6.3. Non-Renewal of Agreement. If there is a termination of this
Agreement as a result of notification by TCPI of its intent not to renew this
Agreement prior to one hundred eighty (180) days of the Initial Term Expiration
Date or prior to one hundred eighty (180) days of the last day of any Extended
Term as specified in Article I (other than for Cause), Employee shall be
entitled to receive on the Termination Date:
6.3.1 Base salary and all benefits described in Article 4.3
through the end of the Initial Term or Extended Term as
provided for in Paragraph 1.2 and,
6.3.2 One (1) month of base salary for each year of employment
to a maximum base salary under this paragraph 6.3.2 of ten
(10) months base salary; and
6.3.3 All reimbursements due Employee through the Termination
Date under Article IV;
6.3.4 All benefits as required under COBRA or similar
legislation and applicable Unemployment Compensation Laws.
6.4 Termination of Employment For Cause by TCPI. Employee's employment
may be terminated by TCPI at any time upon notice to Employee for "Cause." For
this purpose, the term "Cause" means:
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6.4.1. Employee's material breach of any provision of this
Agreement; provided, however, that in the event TCPI believes
that this Agreement has been breached, it shall provide
Employee with written notice of such breach and provide
Employee with a thirty (30) day period in which to cure or
remedy such breach;
6.4.2 An adjudication by a court of competent jurisdiction
that Employee committed an injurious act of fraud or
dishonesty against TCPI, its subsidiaries or affiliates; and
6.4.3. The use by Employee of an illegal substance, including,
but not limited to, marijuana, cocaine, heroin, and all other
illegal substances, and/or the dependence by Employee upon the
use of alcohol, which, in any case, materially impairs
Employee's ability to perform his Duties hereunder, which
dependence is not cured or rehabilitated within three (3)
months of receipt of written notice from TCPI to Employee.
6.4.4 Failure of Employee to meet agreed sales objective
except if such failure is through no fault of Employee or from
circumstances beyond the control of Employee.
6.5 Termination of Employment by Employee: Employee may terminate his
employment with TCPI:
6.5.1 Without Good Reason at any time upon thirty (30) days
prior written notice to TCPI.
6.5.2 At any time upon written notice to TCPI with Good
Reason. "Good Reason" shall mean:
(a) A material breach of the provisions of this
Agreement by TCPI and Employee provides at least
thirty (30) days' prior written notice to the
President and at least two members of TCPI's Board of
Directors of the existence of such breach and his
intention to terminate this Agreement (no such
termination shall be effective if such breach is
cured during such period); or
(b) The failure of TCPI to meet its financial
obligations to Employee after (10) day written notice
to the President and at least two members of TCPI's
Board of Directors of such failure and Employee's
intention to terminate this Agreement.
6.6 Effect of Termination/References. Any termination of employment
under this Agreement, whether or not voluntary, will automatically constitute a
resignation of Employee as an officer of TCPI and all subsidiaries of TCPI. In
the event that TPCI is contacted by persons seeking information concerning the
status of Employee or the circumstances surrounding such termination of
Employment, TCPI will only furnish to such persons the dates that Employee was
employed by TCPI, Employee's title, Employee's last salary and that Employee
resigned.
ARTICLE VII
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CHANGE IN CONTROL
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7.1 Change in Control. In the event that within twenty-four (24) months
following the occurrence of a "Change of Control" there occurs a "Change of
Control Event" (as defined below), then Employee shall be entitled to receive
from TCPI the following:
7.1.1 Employee's annual Base Salary as in effect at the date
of termination, multiplied by two;
7.1.2 Base Salary then in effect earned through the date of
termination;
7.1.3 Accrued vacation pursuant to this Agreement;
7.1.4 All applicable reimbursements from TCPI due Employee
under this Agreement;
7.1.5 All Options previously granted Employee shall become
immediately vested and exercisable at the option of Employee
for a one (1) year period following the Termination Date;
provided that any incentive stock options must be exercised
within three months of the Termination Date;
7.1.6 An amount equal to the amount of any bonuses paid to, or
accrued by Employee during the twelve month period preceding
the date of termination, multiplied by two; and
7.1.7 All benefits described in Paragraph 4.3 hereof, shall be
extended for a period of two years after the Termination Date
at TCPI's expense.
7.1.8 An amount that, on an after-tax basis (including federal
income and excise taxes, and state and local income taxes)
equals the federal income and excise taxes, and state and
local income taxes imposed upon Employee by reason of amounts
payable under this Article VII. For purposes of this clause
7.1.8, the Employee shall be deemed to pay federal, state and
local income taxes at the highest marginal rate of taxation.
7.1.9 Employer shall arrange and pay for outplacement services
with a recognized outplacement company that specializes in
executives of Employee's position for a period of six months
following the Termination Date.
7.2 Change in Control. For purposes of this Agreement, the term "Change
in Control" shall mean:
7.2.1 The acquisition by any individual, entity or group
(within the meaning of ss. 13(d)(3) or ss. 14(d)(2) of the
Securities Exchange Act of 1934, as amended (the "Exchange
Act") (any of the foregoing described in this Section 7.2.1
hereafter a "Person") of beneficial ownership (within the
meaning of Rule 13d-3 promulgated under the Exchange Act) of
20% or more of either (a) the then outstanding shares of
Capital Stock of TCPI (the "Outstanding Capital Stock") or (b)
the combined voting power of the then outstanding voting
securities of TCPI entitled to vote generally in the election
of directors (the "Voting Securities"), provided, however,
that any acquisition by (x) TCPI or any of its subsidiaries,
or any Employee benefit plan (or related trust) sponsored or
maintained by TCPI or any of its subsidiaries or (y) any
Person that is eligible, pursuant to Rule 13d-1(b) under the
Exchange Act, to file a statement on Schedule 13G with respect
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to its beneficial ownership of Voting Securities, whether or
not such Person shall have filed a statement on Schedule 13G,
unless such Person shall have filed a statement on Schedule
13D with respect to beneficial ownership of 20% or more of the
Voting Securities or (z) any corporation with respect to
which, following such acquisition, more than 20% of,
respectively, the then outstanding shares of common stock of
such corporation and the combined voting power of the then
outstanding voting securities of such corporation entitled to
vote generally in the election of directors is then
beneficially owned, directly or indirectly, by all or
substantially all of the individuals and entities who were the
beneficial owners, respectively, of the Outstanding Capital
Stock and Voting Securities immediately prior to such
acquisition in substantially the same proportion as their
ownership, immediately prior to such acquisition, of the
Outstanding Capital Stock and Voting Securities, as the case
may be, shall not constitute a Change of Control; or
7.2.2 Individuals who, as of the date hereof, constitute the
Board (the "Incumbent Board") cease for any reason to
constitute at least a majority of the Board, provided that any
individual becoming a director subsequent to the date hereof
whose election or nomination for election by TCPI's
shareholders, was approved by a vote of at least a majority of
the directors then comprising the Incumbent Board shall be
considered as though such individual were a member of the
Incumbent Board, but excluding, for this purpose, any such
individual whose initial assumption of office is in connection
with an actual or threatened election contest relating to the
election of the Directors of TCPI (as such terms are used in
Rule 14a-11 of Regulation 14A, or any successor section,
promulgated under the Exchange Act); or
7.2.3 Approval by the shareholders of TCPI of a
reorganization, merger or consolidation (a "Business
Combination"), in each case, with respect to which all or
substantially all holders of the Outstanding Capital Stock and
Voting Securities immediately prior to such Business
Combination do not, following such Business Combination,
beneficially own, directly or indirectly, more than 20% of,
respectively, the then outstanding shares of common stock and
the combined voting power of the then outstanding voting
securities entitled to vote generally in the election of
directors, as the case may be, of the corporation resulting
from Business Combination; or
7.2.4 A complete liquidation or dissolution of TCPI or the
sale or other disposition of all or substantially all of the
assets of TCPI other than to a corporation with respect to
which, following such sale or disposition, more than 20% of,
respectively, the then outstanding shares of common stock and
the combined voting power of the then outstanding voting
securities entitled to vote generally in the election of
directors is then owned beneficially, directly or indirectly,
by all or substantially all of the individuals and entities
who were the beneficial owners, respectively, of the
Outstanding Capital Stock and Voting Securities immediately
prior to such sale or disposition in substantially the same
proportion as their ownership of the Outstanding Capital Stock
and Voting Securities, as the case may be, immediately prior
to such sale or disposition.
7.2.5 In the event that the beneficial ownership attributable
to Xxxx X. Xxxxxxxxx'x ownership of the Outstanding Capital
Stock or Voting Securities of TCPI ("Xxxxxxxxx Shares") is
reduced to less than 20%, then the 20% threshold number
contained in the foregoing paragraphs of this Article VII
shall be reduced in direct proportion to such reduction, but
in no event, less than 15%. By way of
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example, if the Xxxxxxxxx Shares are reduced to 18% of the
Outstanding Capital Stock or Voting Securities, then the 20%
provisos contained in the other paragraphs of Article VII
shall be reduced to 18%.
7.3 For purposes of Article VII, a "Change of Control Event" shall
mean: (i) Employee's employment with TCPI is terminated by TCPI for any reason
whatsoever or (ii) Employee terminates this Agreement with Good Reason or (iii)
the assignment to Employee of any duties inconsistent with the position of
Employee pursuant to Article II of this Agreement or a reduction or alteration
in the nature or status of Employee's responsibilities from those specified in
Article II or(iv) reduction in Employee's Base Salary in effect on the date a
Change in Control occurs or (v) Employee is required to perform his duties at a
location greater than twenty-five (25) miles from the current headquarters of
TCPI for a period exceeding thirty (30) days during a twelve month period.
7.4 The provisions of this paragraph 7.4 shall apply only within the
twenty-four month period immediately following a Change of Control. TCPI's
obligation to pay Employee the compensation and to make the arrangements
provided in this Article VII herein shall be absolute and unconditional and
shall not be affected by any circumstances, including, without limitation, any
set-off, counterclaim, recoupment, defense, duty to mitigate, or other right
that the TCPI may have against him or anyone else. The amount shall not be
reduced by reason of Employee's securing other employment or for any other
reason. All amounts payable by TCPI hereunder shall be paid without notice or
demand, and in no event later that seven business days after such payments
become due. Except as expressly provided herein, TCPI waives all rights that it
may now have or may hereafter have conferred upon it, by statute or otherwise,
to terminate, cancel or rescind this Agreement in whole or in part. Each and
every payment made hereunder by TCPI shall be final and TCPI will not seek to
recover all or any part of such payment from Employee or from whomsoever may be
entitled thereto, for any reason whatsoever. TCPI may withhold for income tax
purposes any amounts required to be withheld under applicable tax statutes and
regulations.
ARTICLE VIII
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NOTICES
8.1 Any notice, request, demand, offer, payment or communication
required or permitted to be given by any provision of this Agreement shall be
deemed to have been delivered and given for all purposes if written and if (a)
delivered personally or by courier or delivery service, at the time of such
delivery; or (b) directed by registered or certified United States mail, postage
and charges prepaid, addressed to the intended recipient, at the address
specified below, at such time that the intended recipient or its agent signs or
executes the receipt:
If to TCPI:
Technical Chemicals and Products, Inc.
Attention: President
0000 Xxxxxxxxx 00xx Xxxxxx
Xxxxxxx Xxxxx, Xxxxxxx 00000
If to Employee:
Xxxxxx X. Xxxxxx
[Address intentionally omitted]
8.2 Any party may change the address to which notices are to be mailed
by giving written notice as provided herein to the other party. Commencing
immediately after the receipt of such notice, such newly
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designated address shall be such person's address for purposes of all notices or
other communications required or permitted to be given pursuant to this
Agreement.
ARTICLE IX
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CONFIDENTIAL BUSINESS INFORMATION
DUTY TO RETURN INFORMATION AND CONFLICT OF INTEREST
9.1 Employee represents and agrees that all documents and other
information, including, but not limited to client lists, prospective client
lists, vendors and vendees, research protocols, market research results,
reports, questionnaires, video and audio tapes, memorandum, drawings, data,
notes, financial information and all other information including copies thereof
produced by photocopy machines, computer programs, facsimile or otherwise
(collectively, the "Information") furnished to Employee or to which Employee is
exposed or obtains pursuant to this Agreement is confidential and proprietary to
TCPI and the disclosure by Employee of such Information to any third party will
cause irreparable injury to TCPI. Accordingly, Employee expressly agrees that:
9.1.1 Any Information which Employee receives is exposed to or
obtains pursuant to this Agreement, either in writing,
verbally or through computer software or otherwise, is highly
confidential and that disclosure of such information will
cause TCPI irreparable damage.
9.1.2 All such Information shall be treated by Employee as
Strictly Confidential.
9.1.3 During the term of this Agreement and for a period of
five (5) years from the termination or other expiration of
this Agreement, Employee shall maintain all such Information
in strictest confidence and will not, directly or indirectly,
disclose or cause to be disclosed, such Information to any
third party, person or entity and will not use such
Information except as specifically authorized by this
Agreement.
9.1.4 During the term of this Agreement and any extensions
thereof, Employee shall be in compliance with TCPI's Conflict
of Interest policy as it may exist from time-to-time.
9.1.5 Immediately upon the termination or expiration of this
Agreement, Employee shall deliver to TCPI all Information
(regardless of the format which such Information takes) and
Employee shall not retain any copies of such Information. Upon
request, the Employee shall sign a statement prepared by TCPI
acknowledging that Employee has surrendered all such
Information to TCPI.
ARTICLE X
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OWNERSHIP OF WORK PRODUCT
FREEDOM OF USE
10.1 Employee recognizes and agrees that all right, title and interest
to all information, inventions, methods, procedures, inventions, designs, ideas
and programs ("Discoveries") developed by Employee in connection with or
resulting in whole or in part from Employee's work pursuant to the Agreement
shall belong solely to TCPI and TCPI shall be free to use all such Discoveries
without any obligation to Employee.
10.2 If any patentable inventions or improvements, copyrights or
trademarks result in whole or in part from Employee's services under this
Agreement, all rights to apply for such patents and trademarks and
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any patents and trademarks issued therefrom and copyrights ownership shall
belong solely to TCPI and Employee shall do whatever is reasonably necessary to
aid TCPI in securing such intellectual property rights.
ARTICLE XI
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MISCELLANEOUS
11.1 Florida Law. This Agreement shall be considered for all purposes a
Florida document and shall be construed pursuant to the laws of the State of
Florida, and all of its provisions shall be administered according to and its
validity shall be determined under the laws of the State of Florida without
regard to any conflict or choice of law issues.
11.2 Gender and Number. Whenever appropriate, references in this
Agreement in any gender shall be construed to include all other genders,
references in the singular shall be construed to include the plural, and
references in the plural shall be construed to include the singular, unless the
context clearly indicates to the contrary.
11.3 Certain Words. The words "hereof," "herein," "hereunder," and
other similar compounds of the word "here" shall mean and refer to the entire
Agreement and not to any particular article, provision or paragraph unless so
required by the context.
11.4 Captions. Paragraph titles or captions contained in this Agreement
are inserted only as a matter of convenience and/or reference, and they shall in
no way be construed as limiting, extending, defining or describing either the
scope or intent of this Agreement or of any provision hereof.
11.5 Counterparts. This Agreement may be executed in one or more
counterparts, including facsimile counterparts, and any such counterpart shall,
for all purposes, be deemed an original, but all such counterparts together
shall constitute but one and the same instrument.
11.6 Severability. The invalidity or unenforceability of any provision
hereunder (or any portion of such a provision) shall not affect the validity or
enforceability of the remaining provisions (or remaining portions of such
provisions) of this Agreement.
11.7 Entire Agreement. This Agreement (and all other documents executed
simultaneously herewith or pursuant hereto) constitutes the entire agreement
among the parties pertaining to the subject matter hereof, and supersedes and
revokes any and all prior or existing agreements, written or oral, relating to
the subject matter hereof, and this Agreement shall be solely determinative of
the subject matter hereof.
11.8 Waiver. Either TCPI or Employee may, at any time or times, waive
(in whole or in part) any rights or privileges to which he or it may be entitled
hereunder. However, no waiver by any party of any condition or of the breach of
any term, covenant, representation or warranty contained in this Agreement, in
any one or more instances, shall be deemed to be or construed as a further
continuing waiver of any other condition or of any breach of any other terms,
covenants, representations or warranties contained in this Agreement, and no
waiver shall be effective unless it is in writing and signed by the waiving
party.
11.9 Attorneys' Fees. In the event that either party shall be required
to retain the services of an attorney to enforce any of his or its rights
hereunder, the prevailing party in any arbitration or court action shall be
entitled to receive from the other party all costs and expenses including (but
not limited to) court costs and attorneys' fees (whether in the arbitration or
in a court of original jurisdiction or one or more courts of appellate
jurisdiction) incurred by his or it in connection therewith. The parties hereby
expressly confer on the arbitrator the right to award costs and attorneys' fees
in the arbitration.
11.10 Venue. Any arbitration or other litigation arising hereunder
shall be instituted only in Broward County, Florida or in the county where TCPI
has its principal place of business.
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11.11 Assignment. The rights and obligations of the parties under this
Agreement shall inure to the benefit of and shall be binding upon their
successors, assigns, and/or other legal representatives. This Agreement shall
not be assignable by TCPI. The services of Employee are personal and his
obligations may not be delegated by his except as otherwise provided herein.
11.12 Amendment. This Agreement may not be amended, modified,
superseded, cancelled, or terminated, and any of the matters, covenants,
representations, warranties or conditions hereof may not be waived, except by a
written instrument executed by TCPI and Employee or, in the case of a waiver, by
the party to be charged with such waiver.
11.13 No Third Party Beneficiary. Nothing expressed or implied in this
Agreement is intended or shall be construed to confer upon or give any person,
other than TCPI and Employee and their respective successors and permitted
assigns, any rights or remedies under or by reason of this Agreement.
11.4 Moving Expenses. TCPI will pay the reasonable expenses associated
with Employee's relocation from Connecticut. TCPI will provide Employee with the
name of a moving company for Employee to use in the relocation. Until May 15,
1999, TCPI shall pay the reasonable costs for temporary housing and for a rental
vehicle. In addition, TCPI will pay for two (2) round trip tickets from
Employee's Connecticut home to South Florida during Employee's transition
period, which period shall expire on May 15, 1999.
ARTICLE XII
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ARBITRATION
12.1 Arbitration. Any controversy or claim arising out of, or relating
to, this Agreement, or the breach hereof, shall be settled by arbitration in the
City of Fort Lauderdale, in accordance with the Commercial Rules of Arbitration
of the American Arbitration Association in the State of Florida, and any
judgment upon the award rendered may be entered in any court having jurisdiction
thereof.
12.2 Continuation of Salary. The Employee shall be entitled to receive
Employee's salary and other benefits in effect at the Termination Date upon the
commencement of Arbitration for the period of the earliest to occur of (i) the
termination of the Arbitration, (ii) Employee's employment by a third party or
(iii) one (1) year from the Termination Date, provided, however, that the
Employee would be obligated to repay TCPI such salary (without interest) in the
event that the Arbitrators determine that the termination of Employee's
employment was proper pursuant to the provisions of this Employment Agreement
and such Arbitrator(s) find such repayment justified and equitable.
IN WITNESS WHEREOF, TCPI and Employee have caused this Agreement to be
executed on the day and year first above written.
TECHNICAL CHEMICALS AND
PRODUCTS, INC.
----------------------------------- By
Witness
------------------------------
----------------------------------- Chief Executive Officer
----------------------------------- ------------------------------
Witness XXXXXX X. XXXXXX
-----------------------------------
Witness
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EXHIBIT 'A'
-----------
EMPLOYMENT AGREEMENT OF XXXXXX X. XXXXXX
----------------------------------------
------------------ -------------------- ------------------ ----------------------------------------------- ------------------
DATE OF NUMBER OF OPTION
GRANT SHARES VESTING EXPIRATION PRICE
------------------ -------------------- ------------------ ----------------------------------------------- ------------------
3/4/99 10,000 2/23/2000 5th anniversary of vesting date $1.375
------------------ -------------------- ------------------ ----------------------------------------------- ------------------
3/4/99 10,000 2/23/2001 5th anniversary of vesting date $1.375
------------------ -------------------- ------------------ ----------------------------------------------- ------------------
3/4/99 10,000 2/23/2002 5th anniversary of vesting date $1.375
------------------ -------------------- ------------------ ----------------------------------------------- ------------------
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