EMPLOYMENT CONTRACT
THIS EMPLOYMENT AGREEMENT (the "Agreement") is made SEPT 9, 1998, by and
between U. S. Trucking, Inc., a Colorado corporation, with its general office
located at 0000 Xxxxxx Xxxxxxxxx Xxxx, Xxxxx 000, X. Xxxxxxxxxx, XX 00000. and
Xxxxx X. Xxxxxx, residing at 0000 Xxxxxxx Xxx Xxxx, Xxxxxxxxxxx, XX 00000
(the "Employee"), who hereby agree as follows:
1. Employment Agreement
Upon the terms and subject to the conditions contained in this Agreement,
the Company hereby employs the Employee, and the Employee hereby accepts
employment by the Company.
2. Term of Employment
The term of the Employee's employment by the Company under this Agreement
shall be for five (5) years commencing on Sept.9, 1998, and ending Sept. 9,
2003.
3. Services
The Employee shall be employed as the President and Chief Executive
Officer of the Company which is engaged in the operation of a nationwide
trucking and property common carrier. The Employee shall also be employed as
the President of all the Company's subsidiaries. The Employee shall have full
authority, responsibility and control of all day-to-day matters of the Company
and its operating subsidiaries and the policies and practices adopted, in good
faith and reasonableness, from time to time by the Board of Directors.
Employee shall devote his best efforts and his full business and professional
time to the faithful fulfillment of his duties hereunder. Employee shall have
his principal office located in Charleston, SC.
4. Compensation
The Employee shall receive an annual salary of not less than One Hundred
and Five Thousand dollars ($105,000) during the term of this Agreement payable
in accordance with the Company's general policies for payment of compensation
to its salaried personnel. In addition, the Employee shall receive annual
increases of not less than 3%.
5. Fringe Benefits and Perquisites
The Employee shall be entitled to all fringe benefits and perquisites
that may be provided generally for the most senior executive officers of the
Company pursuant to policies established from time to time by the Company's
Board of Directors, including, but not limited to, a mutually agreeable new
car every three (3) years and all vehicle expenses incurred on company
business or an auto allowance not to exceed $550.00 per month (at the election
of Employee); a cellular phone; annual vacations of not less than two (2)
weeks per year; and participation in the the Company family medical plan,
pension plan, and profit sharing plan.
6. Reimbursements
The Employee shall be reimbursed for all direct and substantiated
out-of-pocket expenditures duly made by him on the Company's behalf in the
performance of his services under this Agreement, subject to timely reporting
requirements imposed from time to time by the Company's Board of Directors.
7. Covenant Not to Compete
During the term of this Agreement, Employee shall not directly or
indirectly (on his behalf or as an agent, employee, officer, director,
partner, shareholder, or other owner), loan money or credit to, own any
interest in, engage in, or otherwise participate in a business directly
competitive with the Company's operations and business as conducted by the
Company prior to the termination of Employee's employment, nor shall Employee
interfere with, disrupt or attempt to disrupt the relationship, contractual or
otherwise, between the Company and any customer, client, supplier, consultant
or employee of the Company.
8. Termination of Employment by Employer
Notwithstanding anything contained in this Agreement to the contrary,
this Agreement may be terminated by the Company at any time on or after the
occurrence of any of the following events:
8.1 Disability - Employee is unable to perform his duties hereunder
for more than sixty (60) consecutive days or ninety (90) days within a
consecutive twelve (12) month period as a result of his becoming disabled.
"Disabled" shall mean the inability of the Employee, due to mental of physical
disability certified by a physician selected by the Company and reasonably
satisfactory to the Employee, to substantially perform his duties hereunder.
The Employee shall make himself available for examination by such physician
upon reasonable request.
8.2 Fraud - Employee is found guilty by a court of competent
jurisdiction of fraud or dishonest in the performance of his duties under this
Agreement.
8.3 Crime - Employee is convicted of a felony.
8.4 Death - Employee dies
8.5 Substance Abuse - Employee is found intoxicated or under the
influence of illegal drugs or other similar substance while performing his
duties under this Agreement during regular working hours.
9. Complete Agreement
This document contains the entire agreement between the parties and
supersedes any prior decision, negotiations, representations or agreements
between them respecting employment of the Employee. No alterations, additions
or other changes to this Agreement shall be binding unless made in writing and
signed by both parties to this Agreement.
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10. Governing Law
This Agreement shall be governed by and interpreted in accordance with
the internal laws of the State of South Carolina.
Dated: As of September 8, 1998
U.S. TRUCKING, INC.
By: /s/ W. Xxxxxxx Xxxx /s/ Xxxxx Xxxxxx
Title: Executive Vice President Xxxxx Xxxxxx
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