EXHIBIT 10.17
SEVERANCE AGREEMENT
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It is agreed as follows between Somnus Medical Technologies, Inc.
("Company") and Xxxx X. Xxxxxxxx ("Xxxxxxxx") as of October 21, 1998:
1. Notwithstanding any terms to the contrary in any prior agreements
between the Company and Xxxxxxxx, the following terms shall govern Xxxxxxxx'x
right to salary, benefits or other compensation in the event of the termination
of his employment with the Company, whether the termination is voluntary or
involuntary, for cause or without cause. Other existing terms of the parties'
employment relationship shall remain in effect.
2. Xxxxxxxx'x salary shall continue for one year from the date of
termination, subject to applicable withholdings.
3. Xxxxxxxx'x stock options shall be fully vested as of the date of
termination.
4. Xxxxxxxx shall for one year after termination be reimbursed whatever
amounts he may be required to pay to continue his insurance coverage under
COBRA.
5. Xxxxxxxx shall be entitled to keep the Company computer and related
equipment which is at his home.
COMPANY
By: /s/ Xxxxxx X. Xxxxxxx /s/ Xxxx X. Xxxxxxxx
Xxxxxx Xxxxxxx XXXX X. XXXXXXXX
President/CEO 10/21/98
