EMPLOYMENT AGREEMENT
Exhibit (e)(17)
This EMPLOYMENT AGREEMENT (this “Agreement”) is entered into this
10th day of July,
2009, by and between Burger King Europe GmbH, an entity organized under the laws of Switzerland
(together with any Successor thereto, the “Company”), and Xxxxx Xxxxxxx
(“Executive”).
WITNESSETH:
WHEREAS, the Company desires to employ and secure the exclusive services of Executive on the
terms and conditions set forth in this Agreement;
WHEREAS, Executive desires to accept such employment on such terms and conditions; and
WHEREAS, the rights and duties of the Executive are controlled by this Agreement and in as far
as this Agreement does not provide otherwise, the rules according to the Swiss Code of Obligations
(“CO”) shall apply.
NOW, THEREFORE, in consideration of the premises and the mutual covenants and promises
contained herein and for other good and valuable consideration, the Company and Executive hereby
agree as follows:
l. Agreement to Employ. Upon the terms and subject to the conditions of this
Agreement, the Company hereby agrees to employ Executive, and Executive hereby accepts such
employment with the Company, in each case commencing on the “Commencement Date” (as defined below
in Section 3(a)).
2. Probationary Period. The first three (3) months of Executive’s employment with the
Company will be subject to a probationary period during which either party may terminate
Executive’s employment with the Company, at such party’s discretion, by serving not less than seven
(7) days written notice to the other party. If either party terminates Executive’s employment
during the probationary period, the restrictions set forth in Section 12(b) shall not apply.
3. Term; Position and Responsibilities; Working Hours;
Location.
(a) Term of Employment. This Agreement shall become effective on August 17, 2009
(“Commencement Date”) and, upon the terms and subject to the conditions of this Agreement, shall be
concluded for an indefinite period of time. The period during which Executive is employed by the
Company pursuant to this Agreement shall be referred to as the “Employment Period.”
(b) Position and Responsibilities. During the Employment Period, Executive shall
serve as Senior Vice President and President, EMEA, and shall have
such duties and responsibilities as are customarily assigned to individuals serving in such
position and such other duties consistent with Executive’s title and position as the Company
specifies from time to time (it being understood by the parties that, notwithstanding the
foregoing, the Company is free, at any time and from time to time, to reorganize its business
operations, and that Executive’s duties and scope of responsibility may change in connection with
such reorganization). Executive shall report to the Chief Executive Officer of Burger King
Corporation or such other person as the Company shall designate from time to time. Executive shall
devote all of his skill, knowledge, commercial efforts and business time to the conscientious and
good faith performance of his duties and responsibilities for the Company to the best of his
ability.
(c) Working Hours. Executive is required to work during Company’s normal working
hours. In addition, Executive must work additional hours, including hours at weekends or during
public holidays, whenever this is necessary to carry out his duties properly and will not be
entitled to overtime compensation.
(d) Location. For the time being, Executive’s services shall be performed normally at
the Company’s offices in Zug, Switzerland. On giving reasonable notice, the Company may change the
Executive’s place of work to another location in the Company’s then-current EMEA region, whether
within or outside Switzerland, on a temporary basis for up to one (1) year, as may be reasonably
necessary for the performance of his duties. If such temporary relocation occurs, the Company will
bear all associated relocation and travel costs in accordance with the Companies policies and
procedures regarding relocation and travel. Additionally, Executive may be required to travel in
and outside Switzerland as the needs of the Company’s business dictate.
4. Base Salary. During the Employment Period, the Company shall pay Executive a base
salary at an annualized rate of CHF 500,000, payable in monthly installments on the Company’s
regular payroll dates. Executive’s salary may be subject to such merit increases as the Company
may determine in its sole and exclusive discretion from time to time, based on its periodic review
of Executive’s performance in accordance with the Company’s regular policies and procedures. The
annual base salary payable to Executive from time to time under this Section 4 shall hereinafter be
referred to as the “Base Salary.” Executive will not receive any extra remuneration by way
of fees for acting as a director of the Company or its Affiliates.
5. Annual Incentive Compensation. Executive shall be eligible to participate in the
Burger King Holdings, Inc. (“Holdings”) 2006 Omnibus Incentive Plan (the “Omnibus Plan”) or such
other annual incentive plan maintained by the Company for Senior Vice Presidents at your level that
the Company designates, in its sole discretion (any such plan, the “Bonus Plan”), in accordance
with the terms of such plan as in effect from time to time (“Annual Bonus”). Executive’s target
bonus with respect to the 2010 fiscal
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year of the Company shall be Forty-Five percent (45%) of
Executive’s
Base Salary, which target bonus may be increased or decreased by the Company during the
Employment Period. In the case of the Annual Bonus for the 2010 fiscal year of the Company ending
June 30, 2010, the amount payable to Executive for the 2010 fiscal year shall be pro-rated based on
the number of months of his eligible service during the fiscal year, as determined under the Bonus
Plan. If the Company does not achieve the threshold performance goals established by the Company
for a fiscal year, Executive shall not be entitled to receive an Annual Bonus for such fiscal year.
The Annual Bonus for each year shall be payable in cash at the same time as bonuses are paid to
other senior executives of the Company in accordance with the terms of the applicable Bonus Plan.
The Bonus Plan (including Executive’s target bonus rate under such Bonus Plan) is a discretionary,
non-contractual benefit, even if paid for several years, which needs to be confirmed by the Company
in writing each year, and which may be amended or withdrawn at any time. The granting of a bonus
in any given year or several years will not create an entitlement for any subsequent years, even if
granted without reservation.
6. Long-Term Incentive Compensation. During the Employment Period, Executive will be
eligible to participate in the Holdings Equity Incentive Plan, the Omnibus Plan or such other plan
providing for equity-based incentive compensation maintained by the Company for employees at
Executive’s grade level that the Company designates, in its sole discretion (any such plan, the
“Equity Plan”), in accordance with the terms and conditions of the Equity Plan as in effect
from time to time. Executive’s target long-term incentive compensation with respect to the 2010
fiscal year of the Company shall be One Hundred percent (100%) of Executive’s Base Salary, which
target bonus may be increased or decreased by the Company during the Employment Period. The Equity
Plan is a discretionary, non-contractual benefit, which the Company reserves the right to amend or
withdraw at any time. It is a condition of participation in the Equity Plan that Executive shall
not become entitled to any damages in respect of any rights or expectations Executive may have
under the Equity Plan for reason of Executive’s dismissal. The granting of any equity awards in
any given year or several years will not create an entitlement for any subsequent years, even if
granted without reservation.
7. Deductions. The Company shall deduct from the payments made and advantages granted
the Executive’s share in the prevailing premiums for social security insurances mandatory under
Swiss law such as old age and survivors insurance (AHV), disability insurance (IV), regulation of
indemnification of loss of income (EO) and unemployment insurance (ALV) as well as for the pension
plan maintained by the Company.
8. Car Allowance. During the Employment Period, Executive will be entitled to receive
a car allowance on an annualized basis in accordance with the Company’s car allowance policy,
currently CHF 25,000 for an individual in Executive’s position (the “Car Allowance”). This
allowance is intended for the lease or purchase of
a car and associated expenses including insurance, gasoline, licensing, and maintenance.
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9. Employee Benefits.
(a) Benefit Plans and Programs. During the Employment Period, Executive will be
eligible to participate in the employee and executive benefit plans and programs maintained by the
Company from time to time in which executives of the Company at Executive’s grade level are
eligible to participate, including to the extent maintained by the Company, life, accidental and
disability insurance plans and retirement, deferred compensation and savings plans, in accordance
with the terms and conditions thereof as in effect from time to time, and including in particular,
the occupational pension scheme (BVG) of the Company, in accordance with the terms and conditions
of such plans and programs as in effect from time to time, excluding, however, medical and dental
plans and programs. The rules and conditions of the pension plan currently maintained by the
Company for its employees at your pay band are outlined in the Pension Fund Regulations. The
Company’s pension contribution with respect to the 2010 fiscal year of the Company is thirteen
(13%) percent of Executive’s Base Salary, which contribution may be increased or decreased by the
Company during the Employment Period.
(b) Medical Allowance. With respect to each year during the Employment Period,
Executive will be entitled to receive a perquisite allowance in the amount of CHF 36,000, which the
Company shall pay to Executive in equal installments in accordance with the Company’s regular
payroll policies, subject to Executive’s continued employment with the Company (the “Medical
Allowance”). This allowance is being paid in lieu of Executive’s participation in the Company’s
medical and dental plans and programs. If at any time during the Employment Period, Executive
elects to participate in the medical and/or dental plans maintained by the Company, the allowance
described in this Section 8(b) shall cease as of the date of such participation by Executive.
(c) Temporary Housing. The Company will provide Executive with reasonable housing
accommodations in the Canton of Zug, Switzerland, until such time as Executive is promoted to a
higher-level position; provided, however, that this reference and time limitation shall not be
construed as or deemed to be a guaranty or promise of any such promotion, which may be granted or
withheld in the Company’s sole discretion. The location of such housing accommodations will be
determined by the Company, in its sole discretion. The Company will be responsible for any taxes
imposed by the applicable Swiss tax authorities on the income imputed to Executive, if any, for the
Company’s provision of such housing accommodations.
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(d) Tax Preparation. The Company will provide tax services via a provider designated
by the Company to assist Executive with the preparation of his
Swiss individual income tax return. The Company will pay the cost of such preparation,
provided, however, that Executive will be responsible for any additional costs incurred as a result
of any delay on Executive’s part in providing the requested information and documentation.
Additionally, the Company will use reasonable efforts to have the Canton of Vaud, Switzerland,
impose individual income taxes on option awards granted by Holdings at the time of exercise, rather
than at the time of the grant. If the Canton of Vaud does not agree to tax these awards at the
time of exercise and the Company terminates Executive pursuant to Section 11(a) of this Agreement,
then the Company will bear the tax on any option awards granted by Holdings to Executive that
remain unvested on Executive’s final day of employment with the Company, less all gains from the
exercise of option awards granted by Holdings to Executive, regardless of when granted or
exercised, and less any tax credits resulting from the forfeiture of any such unvested option
awards.
10. Expenses; Vacation.
(a) Business Travel, Lodging, etc. During the Employment Period, the Company will
reimburse Executive for reasonable travel, lodging, meal and other reasonable expenses incurred by
him in connection with the performance of his duties and responsibilities hereunder upon submission
of evidence satisfactory to the Company of the incurrence and purpose of each such expense,
provided that such expenses are permitted under the terms and conditions of the Company’s
business expense reimbursement policy applicable to executives at Executive’s grade level, as in
effect from time to time. During the Employment Period, the Company shall pay or reimburse
Executive for the annual membership dues for one (1) airline club membership of Executive’s
choosing.
(b) Vacation. During the Employment Period, Executive shall be entitled to vacation
on an annualized basis in accordance with the Company’s vacation policy, currently 25 working days
per year for an individual in Executive’s position, without carry-over accumulation, plus any
normal public holidays that are observed in the Canton in which the Company has its
seat/headquarters. For any started year, this entitlement is pro rated in proportion to the time
worked during that year.
11. Termination of Employment.
(a) Ordinary Termination. Subject to the probation period (see Section 2 above), this
Agreement may be terminated by either party with three months’ written notice effective the end of
a month.
(b) Extraordinary Termination for Cause. The right of each party to terminate this
Agreement for cause without prior notice in accordance with art. 337 etc. seq. of the Swiss Code of
Obligations remains reserved.
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(c) Death. In case of Executive’s death, this Agreement shall terminate as of the
date of his death. Upon death of Executive, the Company shall pay one month compensation or, if the
employment relationship has continued for more than 5 years, two months’ compensation counted from
the day of death, insofar as Executive leaves a spouse or minors or other persons to whom he had
fulfilled a duty to support.
(d) Payments Upon Certain Terminations.
(i) In the event of a termination of Executive’s employment by the Company in accordance with
Section 11(a), the Company shall pay to Executive, within thirty (30) days of the date of
termination, his (x) Base Salary, Car Allowance and Medical Allowance through the date of
termination, to the extent not previously paid, (y) reimbursement for any unreimbursed business
expenses incurred by Executive prior to the date of termination that are subject to reimbursement
pursuant to Section 9(a) and (z) payment for vacation time accrued as of the date of termination
but unused (such amounts under clauses (x), (y) and (z), collectively the “Accrued
Obligations”).
(ii) In addition, in the event of any such termination of Executive’s employment (except in
the event of termination due to “Disability” as defined below in Section 11(d)(iii)), the Company
will request that Executive execute and deliver to the Company a Separation Agreement and General
Release substantially in the form approved by the Company (provided that the covenants contained in
such Separation Agreement and General Release that restrict Executive’s post-employment competition
and solicitation do not materially differ from those set forth in this Agreement) (the “Separation
Agreement”), and provided that Executive so executives and delivers the Separation Agreement to the
Company, Executive shall be entitled to the following payments and benefits:
(A) continued payments of Base Salary and Medical Allowance, payable in installments in
accordance with the Company’s regular payroll policies, for the period beginning on the date of
termination and ending on the one (1) year anniversary of the date of termination (the
“Severance Period”);
(B) a portion of Executive’s Annual Bonus for the fiscal year of the Company during which
Executive was employed that includes the date of termination, such portion to equal the product
(such product, the “Pro-Rata Bonus”) of (1) the Annual Bonus that would have been payable
to Executive for such fiscal year had Executive remained employed for the entire fiscal year,
determined based on the extent to which the Company actually achieves the performance goals for
such year established pursuant to Section 5, multiplied by (2) a fraction, the numerator of which
is equal to the number of days in such fiscal year that precede the date of termination and the
denominator of which is equal to 365, such amount to be payable to Executive within five (5)
business days following the date (the “Bonus Payment Date”) annual bonuses for such fiscal
year are actually paid by the Company to its active executives;
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(C) continued coverage during the Severance Period under the Company’s medical and dental
insurance plans referred to in Section 9 (the “Continued Benefits”) for Executive and his
eligible dependents participating in such plans immediately prior to the date of termination,
subject to timely payment by Executive of all premiums, contributions and other co-payments
required to be paid by active senior executives of the Company under the terms of such plans as in
effect from time to time; and
(D) the services of a reputable outplacement agency as selected by the Chief Human Resources
Officer of the Company. The services of such outplacement company shall be determined by the
company at its discretion; however, the duration of such services shall be for a period of six (6)
months.
Executive shall not have a duty to mitigate the costs to the Company under this Section
11(d)(ii), nor shall any payments from the Company to Executive of Base Salary or Pro-Rata Bonus be
reduced, offset or canceled by any compensation or fees earned by (whether or not paid currently)
or offered to Executive during the Severance Period by a subsequent employer or other Person (as
defined in Section 20(j) below) for which Executive performs services, including but not limited to
consulting services. The foregoing notwithstanding, should Executive receive or be offered health
or medical benefits coverage during the Severance Period by a subsequent employer or Person for
whom Executive performs services, Executive shall notify the Company of this within seven (7)
business days of such receipt or offer, as applicable, and all similar health and medical benefits
coverage provided by the Company to Executive shall terminate as of the effective date of such new
coverage.
(E) reimbursement of the legal fees incurred by Executive in connection with his review and
execution of the aforementioned Separation Agreement and General Release, up to a limit of CHF
2,000.
(iii) Notwithstanding Section 11(d) (ii) above, if Executive’s employment shall terminate due
to Executive’s “Disability” (as defined below) no termination benefits according to Section
11(d)(ii) above shall be payable to Executive. For purposes of this Agreement,
“Disability” means a physical or mental disability that prevents or would prevent the
performance by Executive of his duties hereunder for a continuous period of six (6) months or
longer. The determination of Executive’s Disability will (i) be made by an independent physician
agreed to by the parties, or if the parties are unable to agree within ten (10) days after a
request for designation by a party, by an independent physician identified by the Company’s
disability insurance provider, (ii) be final and binding on the parties hereto and (iii) be based
on such competent medical evidence as shall be presented to such independent physician by Executive
and/or the Company or by any physician or group of physicians or other competent medical experts
employed by Executive and/or the Company to advise such independent physician. In the case of a
conflict with any general or special law, this Section 11(d)(iii) shall not apply and any
benefits due to Executive under Section 11(d)(ii) of this Agreement shall be against any
insurance proceeds received by Executive by reason of such disability.
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(iv) If Executive’s employment shall terminate upon his death or it the Company shall
terminate Executive’s employment due to Executive’s Disability or Executive shall resign from his
employment or otherwise terminate his employment, in any such case during the Employment Period,
the Company shall pay to Executive (or, in the event of Executive’s death, to his estate) the
Accrued Obligations within thirty (30) days following the date of termination, provided
that in the event of Executive’s death, the said thirty (30)-day period for making such payment
shall commence from the date of production to the Company of such evidence or information in
respect of the Executive’s estate as the Company may require. In addition, if Executive’s
employment shall terminate upon his death or be terminated by the Company due to Executive’s
Disability during the Employment Period, the Company shall pay to Executive (or, in the event of
Executive’s death, to his estate) the Pro-Rata Bonus, which shall be paid in accordance with the
terms of the Bonus Plan.
(v) Except as specifically set forth in this Section 11(d) and Section 11(c) above, no
termination benefits shall be payable to or in respect of Executive’s employment with the Company
or its Affiliates.
(e) Resignation upon Termination. Effective as of the date of Executive’s termination
of employment with the Company, Executive shall resign, in writing, from all board and board
committee memberships and other positions then held by him, or to which he has been appointed,
designated or nominated, with the Company and its Affiliates.
(f) Garden Leave. The Company shall be under no obligation to vest in or assign to
Executive any powers or duties or to provide any work to Executive, and the Company, at its
discretion and at any time, including during any period of notice given by either party, may amend
Executive’s duties and/or suspend Executive from the performance of his duties and/or exclude
Executive from any premises of the Company and/or require Executive to work from home; however, the
Company may not amend Executives duties in such a way to require Executive to perform menial tasks
during any such period of notice. During any such period of suspension, exclusion and/or special
requirements, Executive shall continue to receive his base salary. Executive shall throughout any
such period of suspension, exclusion and/or special requirements continue to act as an employee of
the Company and shall comply with his obligations under this Agreement.
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12. Restrictive Covenants. Each of the Company and Executive agrees that the
Executive will have a prominent role in the management of the business, and the development of the
goodwill, of the Company and its Affiliates, and will establish and develop relations and contacts
with the principal franchisees,
customers and suppliers of the Company and its Affiliates throughout the world, all of which
constitute valuable goodwill of, and could be used by Executive to compete unfairly with, the
Company and its Affiliates. In addition, Executive recognizes that he will have access to and
become familiar with or exposed to Confidential Information (as such term is defined below), in
particular, trade secrets, proprietary information, customer lists, and other valuable business
information of the Company pertaining or related to the quick service restaurant business.
Executive agrees that Executive could cause grave harm to the Company if he, among other things,
worked for the Company’s competitors, solicited the Company’s employees away from the Company or
solicited the Company’s franchisees upon the termination of Executive’s employment with the Company
or misappropriated or divulged the Company’s Confidential Information, and that as such, the
Company has legitimate business interests in protecting its good will and Confidential Information,
and, as such, these legitimate business interests justify the following restrictive covenants:
(a) Confidentiality.
(i) Executive acknowledges and agrees that the terms of this Agreement, including all
addendums and attachments hereto, are confidential. Except as required by law or the requirements
of any stock exchange, Executive agrees not to disclose any information contained in this Agreement
to anyone, other than to Executive’s lawyer, financial advisor or immediate family members. If
Executive discloses any information contained in this Agreement to his lawyer, financial advisor or
immediate family members as permitted herein, Executive agrees to immediately tell each such
individual that he or she must abide by the confidentiality restrictions contained herein and keep
such information confidential as well.
(ii) Executive agrees that during his employment with the Company and thereafter, Executive
will not, directly or indirectly (A) disclose any Confidential Information to any Person (other
than, only with respect to the period that Executive is employed by the Company, to an employee or
outside advisor of the Company who requires such information to perform his or her duties for the
Company), or (B) use any Confidential Information for Executive’s own benefit or the benefit of any
third party. “Confidential Information” means confidential, proprietary or commercially
sensitive information relating to (Y) the Company or its Affiliates, or members of their respective
management or boards or (Z) any third parties who do business with the Company or its Affiliates,
including franchisees and suppliers. Confidential Information includes, without limitation,
marketing plans, business plans, financial information and records, operation methods, personnel
information, drawings, designs, information regarding product development, other commercial or
business information and any other information not available to the public generally. The
foregoing obligation shall not apply to any Confidential Information that has been previously
disclosed to the public or is in the public domain (other than by reason of a breach of Executive’s
obligations to hold such Confidential Information confidential). If Executive is required or
requested by a court or
governmental agency to disclose Confidential Information, Executive must notify the General
Counsel of the Company of such disclosure obligation or request no later than three (3) business
days after Executive learns of such obligation or request, and permit the Company to take all
lawful steps it deems appropriate to prevent or limit the required disclosure.
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(b) Non-Competition. Executive agrees that during his employment with the Company,
Executive shall devote all of his skill, knowledge, commercial efforts and business time to the
conscientious and good faith performance of his duties and responsibilities to the Company to the
best of his ability and Executive shall not, directly or indirectly, be employed by, render
services for, engage in business with or serve as an agent or consultant to any Person other than
the Company. Executive further agrees that during his employment with the Company, Executive shall
not directly or indirectly engage in any activities that are competitive with the quick service
restaurant business conducted by the Company and Executive shall not, directly or indirectly,
become employed by, render services for, engage in business with, serve as an agent or consultant
to, or become a partner, member, principal, stockholder or other owner of, any Person or entity
that engages in the quick serve restaurant business, provided that Executive shall be permitted to
hold a one percent (1%) or less interest in the equity or debt securities of any publicly traded
company. Additionally Executive agrees that:
(i) if the Company terminates Executive’s employment pursuant to Section 11(a) of this
Agreement, then for the period of one (1) year following any termination of his employment with the
Company, Executive shall not directly or indirectly engage in any activities that are competitive
with the quick service hamburger restaurant business conducted by the Company and Executive shall
not, directly or indirectly, become employed by, render services for, engage in business with,
serve as an agent or consultant to, or become a partner, member, principal, stockholder or other
owner of, YUM! Brands, Inc. and/or any of its subsidiaries or affiliates and/or any Person or
entity that engages in the quick serve hamburger restaurant business, provided that Executive shall
be permitted to hold a one percent (1%) or less interest in the equity or debt securities of any
publicly traded company; and
(ii) if Executive’s employment is terminated by Employee pursuant to Section 11(a) or by the
Company or Employee pursuant to any other provision of this Agreement or otherwise, then for the
period of one (1) year following any termination of his employment with the Company, Executive
shall not directly or indirectly engage in any activities that are competitive with the quick
service restaurant business conducted by the Company and Executive shall not, directly or
indirectly, become employed by, render services for, engage in business with, serve as an agent or
consultant to, or become a partner, member, principal, stockholder or other owner of, any Person or
entity that engages in the quick serve restaurant business, provided that Executive shall be
permitted to hold a one percent (1%) or less interest in the equity or debt securities of any
publicly traded company.
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Executive’s duties and responsibilities involve, and/or will affect, the operation and management
of the Company on a worldwide basis. Executive will obtain Confidential Information that will
affect the Company’s operations throughout the world. Accordingly, Executive acknowledges that the
Company has legitimate business interests in requiring a worldwide geographic scope and application
of this non-compete provision, and agrees that this non-compete provision applies on a worldwide
basis (the “Restricted Territory”). Notwithstanding the foregoing, if the Restricted
Territory is deemed by a court of competent jurisdiction to be unreasonable or otherwise invalid or
unenforceable, then the Restricted Territory shall be defined as each country within the Company’s
EMEA region where the Company’s quick service restaurant business operates at the time of
Executive’s termination.
(c) Non-Solicitation of Employees and Franchisees. During the period of Executive’s
employment with the Company and for the one (1)-year period following the termination of his
employment, Executive shall not, directly or indirectly, by himself or through any third party,
whether on Executive’s own behalf or on behalf of any other Person or entity, (i) solicit or induce
or endeavor to solicit or induce, divert, employ or retain, (ii) interfere with the relationship of
the Company or any of its Affiliates with, or (iii) attempt to establish a business relationship of
a nature that is competitive with the business of the Company with any Person that is or was
(during the last twelve (12) months of Executive’s employment with the Company) (A) an employee of
the Company or any of its Affiliates or engaged to provide services to any such entity, or (B) a
franchisee of the Company or any of its Affiliates.
13. Work Product. Executive agrees that all of Executive’s work product (created
solely or jointly with others, and including any intellectual property or moral rights in such work
product), given, disclosed, created, developed or prepared in connection with Executive’s
employment with the Company, whether ensuing during or after Executive’s employment with the
Company (“Work Product”) shall exclusively vest in and be the sole and exclusive property of the
Company. Executive hereby irrevocably assigns, transfers and conveys to the Company, exclusively
and perpetually, all right, title and interest which Executive may have or acquire in and to such
Work Product throughout the world, including without limitation any copyrights and patents, and the
right to secure registrations, renewals, reissues, and extensions thereof. The Company and its
Affiliates or their designees shall have the exclusive right to make full and complete use of, and
make changes to all Work Product without restrictions or liabilities of any kind, and Executive
shall not have the right to use any such materials, other than within the legitimate scope and
purpose of Executive’s employment with the Company. Executive shall promptly disclose to the
Company the creation or existence of any Work Product and shall take whatever additional lawful
action may be necessary, and sign whatever documents the Company may require, in order to secure
and vest in the Company or its designee all right, title and interest in and to all Work Product
and any intellectual property rights therein (including full cooperation in support of any Company
applications for patents and copyright or trademark registrations).
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14. Return of Company Property. In the event of termination of Executive’s employment
for any reason, Executive shall return to the Company all of the property of the Company and its
Affiliates, including without limitation all materials or documents containing or pertaining to
Confidential Information, and including without limitation, any Company car, all computers
(including laptops), cell phones, keys, PDAs, Blackberries, credit cards, facsimile machines,
televisions, card access to any Company building, customer lists, computer disks, reports, files,
e-mails, work papers, Work Product, documents, memoranda, records and software, computer access
codes or disks and instructional manuals, internal policies, and other similar materials or
documents which Executive used, received or prepared, helped prepare or supervised the preparation
of in connection with Executive’s employment with the Company. Executive agrees not to retain any
copies, duplicates, reproductions or excerpts of such material or documents.
15. Compliance With Company Policies. During Executive’s employment with the Company,
Executive shall be governed by and be subject to, and Executive hereby agrees to comply with, all
Company policies, procedures, rules and regulations applicable to employees generally or to
employees at Executive’s grade level, including, without limitation, the Burger King Companies’
Code of Business Ethics and Conduct, in each case, as they may be amended from time to time in the
Company’s sole discretion (collectively, the “Policies”).
16. Data Protection & Privacy.
(a) Executive acknowledges that the Company, directly or through its Affiliates, collects and
processes data (including personal sensitive data and information retained in email) relating to
Executive. Executive hereby agrees to such collection and processing and further agrees to execute
the Burger King Corporation Employee Consent to Collection and Processing of Personal Information,
a copy of which is attached to this Agreement as Attachment 1, unless a previously executed copy of
such Consent is on file with the Company.
(b) To ensure regulatory compliance and for the protection of its workers, customers,
suppliers and business, the Company reserves the right to monitor, intercept, review and access
telephone logs, internet usage, voicemail, email and other communication facilities provided by the
Company which Executive may use during his employment with the Company. Executive hereby
acknowledges that all communications and activities on Company equipment or premises cannot be
presumed to be private.
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17. Contractual Penalty and Injunctive Relief with Respect to Covenants. For each
infringement of the covenants made in the following Sections of this Agreement, the Company shall
be entitled to the following contractual penalty of the
Executive in accordance with article 161 section 1 CO, regardless of the occurrence of actual
damages:
Section Number | Contractual Penalty | |
Sections 12 and 13 | CHF 200,000 | |
Sections 14 and 15 | CHF 50,000 |
In addition, Executive owes to the Company full indemnification for all actual damages. Payment of
the contractual penalty does not relief Executive from continued compliance with the covenants made
in Sections 12, 13, 14 and 15 above. If Executive commits a breach or is about to commit a breach,
of any of the provisions of Sections 12, 13, 14 or 15 above, the Company may, in addition to its
claims for liquidated damages, prohibit further infringements of the covenants made in Sections 12,
13, 14 and 15 above and shall have the right at any time to request by injunctive relief or
judgment (“Unterlassungsklage”) the elimination of continued infringement (“Realerfüllung”).
18. Entire Agreement. This Agreement constitutes the entire agreement among the
parties hereto with respect to the subject matter hereof. All prior correspondence and proposals
(including but not limited to summaries of proposed terms) and all prior promises, representations,
understandings, arrangements and agreements relating to such subject matter (including but not
limited to those made to or with Executive by any other Person and those contained in any prior
employment, consulting or similar agreement entered into by Executive and the Company or any
predecessor thereto or Affiliate thereof) are merged herein and superseded hereby.
19. Survival. The following Sections shall survive the termination of Executive’s
employment with the Company and of this Agreement: 12, 13, 14, 16, 17, 19 and 20.
20. Miscellaneous.
(a) Binding Effect; Assignment. This Agreement shall be binding on and inure to the
benefit of the Company and its Successors and permitted assigns. The rights and benefits of the
Company under this Agreement shall be transferable. This Agreement shall also be binding on and
inure to the benefit of Executive and his heirs, executors, administrators and legal
representatives. This Agreement may not be assigned by the Executive.
(b) Governing Law; Jurisdiction. The Company and Executive agree that this Agreement
shall be governed by and construed in accordance with the laws of Switzerland without reference to
principles of conflicts of laws, and any dispute or controversy arising under or in connection with
this Agreement shall be subject to the exclusive jurisdiction of the courts of Switzerland.
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(c) Taxes and other Withholdings. The Company may withhold from any payments made
under this Agreement all applicable taxes, including but not limited to income, employment and
social insurance taxes, as shall be required by law, and with respect to any employee benefits
provided pursuant to this Agreement, as shall be required by the rules of the applicable benefit
plans and programs. If at any time money is owned and payable by Executive to the Company, it is
agreed that the Company may, to the extent as legally permissible, deduct such sums from time to
time owed from any payment due to the Executive form the Company, howsoever arising.
(d) Amendments. No provision of this Agreement may be modified, waived or discharged
unless such modification, waiver or discharge is approved in writing by the Company and is agreed
to in writing by Executive. No waiver by any party hereto at any time of any breach by any other
party hereto of, or compliance with, any condition or provision of this Agreement to be performed
by such other party shall be deemed a waiver of similar or dissimilar provisions or conditions at
the same or at any prior or subsequent time. No waiver of any provision of this Agreement shall be
implied from any course of dealing between or among the parties hereto or from any failure by any
party hereto to assert its rights hereunder on any occasion or series of occasions.
(e) Severability. In the event that any one or more of the provisions of this
Agreement shall be or become invalid, illegal or unenforceable in any respect, the validity,
legality and enforceability of the remaining provisions contained herein shall not be affected
thereby. In the event that one or more terms or provisions of this Agreement are deemed invalid or
unenforceable by the laws of Switzerland or any other state or jurisdiction in which it is to be
enforced, by reason of being vague or unreasonable as to duration or geographic scope of activities
restricted, or for any other reason, the provision in question shall be immediately amended or
reformed to the extent necessary to make it valid and enforceable by the court of such jurisdiction
charged with interpreting and/or enforcing such provision. Executive agrees and acknowledges that
the provision in question, as so amended or reformed, shall be valid and enforceable as though the
invalid or unenforceable portion had never been included herein.
(f) Notices. Any notice or other communication required or permitted to be delivered
under this Agreement shall be (i) in writing, (ii) delivered personally, by courier service or by
certified or registered mail, first-class postage prepaid and return receipt requested, (iii)
deemed to have been received on the date of delivery or, if mailed, on the third business day after
the mailing thereof, and (iv) addressed as follows (or to such other address as the party entitled
to notice shall hereafter designate in accordance with the terms hereof):
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(A) | If to the Company, to it at: Burger King Europe GmbH Xxxxxxxxx 00 XX — 0000 Xxx Xxxxxxxxxxx Attention: Vice President, Human Resources Telephone: x(00) 00 000 0000 Facsimile: x(00) 00 000 0000 with a copy to: General Counsel Telephone: 000-000-0000 Facsimile: 000-000-0000 |
(B) | if to Executive, to his residential address as currently on file with the Company. |
(g) Voluntary Agreement; No Conflicts. Executive represents that he is entering into
this Agreement voluntarily and that Executive’s employment hereunder and compliance with the terms
and conditions of this Agreement will not conflict with or result in the breach by Executive of any
agreement to which he is a party or by which he or his properties or assets may be bound.
(h) Counterparts/Facsimile. This Agreement may be executed in counterparts (including
by facsimile), each of which shall be deemed an original and all of which together shall constitute
one and the same instrument.
(i) Headings. The section and other headings contained in this Agreement are for the
convenience of the parties only and are not intended to be a part hereof or to affect the meaning
or interpretation hereof.
(j) Certain other Definitions.
“Affiliate”: with respect to any Person, means any other Person that, directly or
indirectly through one or more intermediaries, Controls, is Controlled by, or is under common
Control with the first Person, including but not limited to a Subsidiary of any such Person.
“Control” (including, with correlative meanings, the terms “Controlling”, “Controlled
by” and “under common Control with”): with respect to any Person, shall mean the possession,
directly or indirectly, of the power to direct or cause the direction of the management and
policies of such Person, whether through the ownership of voting securities, by contract or
otherwise.
“Person”: any natural person, firm, partnership, limited liability company,
association, corporation, company, trust, business trust, governmental authority or other entity.
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“Subsidiary”: with respect to any Person, each corporation or other Person in which
the first Person owns or Controls, directly or indirectly, capital stock or other ownership
interests representing fifty percent (50%) or more of the combined voting power of the outstanding
voting stock or other ownership interests of such corporation or other Person.
“Successor”: of a Person means a Person that succeeds to the first Person’s assets
and liabilities by merger, liquidation, dissolution or otherwise by operation of law, or a Person
to which all or substantially all the assets and/or business of the first Person are transferred.
IN WITNESS WHEREOF, the Company has duly executed this Agreement by its authorized
representatives, and Executive has hereunto set his hand, in each case effective as of the date
first above written.
BURGER KING EUROPE GMBH |
||||
By: | /s/ Xxxxx X. Xxxxx | |||
Name: | Xxxxx X. Xxxxx | |||
Title: | EVP, Chief Human Resources Officer | |||
Executive |
||||
/s/ Xxxxx Xxxxxxx | ||||
Xxxxx Xxxxxxx | ||||
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