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Document Preview Change in Control Agreement |
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Title: |
Change in Control Agreement |
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Entities: |
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Date: |
2003 |
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Size: |
Preview shows 6KB of 38KB total |
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Price: |
$46 |
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ID: |
#1121454 |
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CHANGE IN CONTROL AGREEMENT
This Change in Control Agreement (the "Agreement") is made and entered
into as of March , 2003 (the "Execution Date"), by and among IONA
Technologies, Inc., a Delaware corporation ("IONA, Inc."), its parent, IONA
Technologies PLC, a public limited company organized under the laws of Ireland
(the "Company"), and _____________ ("Executive").
WHEREAS, Executive currently is an employee of IONA, Inc. and an Executive
Officer (as hereinafter defined), and has made and is expected to continue to
make significant contributions to the business, growth and financial strength of
the Company and the Group (as hereinafter defined);
WHEREAS, the Company recognizes that, as is the case for most publicly
held companies, the possibility of a Change in Control (as hereinafter defined)
exists, which may alter the nature and structure of the Company, and recognizes
that the uncertainty regarding the consequences of such an event adversely
affects the Company's ability to retain Executive as an Executive Officer and
IONA Inc.'s ability to retain Executive in its employ;
WHEREAS, the Company and IONA, Inc. desire to more closely align
Executive's interests with those of the shareholders of the Company with respect
to any Change in Control that may benefit the shareholders;
WHEREAS, the Company and IONA, Inc. desire to assure themselves of both
present and future continuity of management in the event of a Change in Control,
and desire to induce Executive to remain employed with IONA, Inc. by
establishing certain benefits for Executive applicable under certain
circumstances in the event of a Change in Control, and Executive desires to be
so induced; and
WHEREAS, the parties desire to set forth in writing the terms and
conditions of their agreement with respect to the provision of benefits for
Executive applicable under certain circumstances in the event of a Change in
Control;
NOW, THEREFORE, in consideration of the premises and the mutual covenants
and obligations herein contained, it is agreed among the parties hereto as
follows:
1. Term. This Agreement shall continue for a term commencing on the
Execution Date and ending on the date one year thereafter ("Initial Term"), and
shall be automatically renewed from year to year thereafter for successive
one-year terms (each a "Renewal Term") unless ninety (90) days prior to the
expiration of the initial term or any renewal term, any party gives written
notice of non-renewal to the other parties; provided that any such notice
provided by the Company or IONA, Inc. any time during the period beginning on
the date that is three months prior to the date upon which a definitive
agreement for a Change in Control is publicly announced as having been executed
by the Company (the "Announcement Date") and ending on the second anniversary of
the effective date of a Change in Control, shall have no effect whatsoever, and
the Agreement shall continue in force until such time as otherwise terminated in
accordance with the terms hereof. If an effective notice of non-renewal is given
as permitted hereunder, this Agreement will expire at the conclusion of either
the initial term or the renewal term, whichever is applicable, unless terminated
earlier in accordance with Section 2 hereof. The "Term" of this Agreement shall
include the Initial Term, as well as any Renewal Term, if applicable, subject to
termination at any time prior to the expiration of the Term as provided in
Section 2 hereof; provided, however, that in the event of the first Change in
Control to occur during the Term (including after any notice of non-renewal is
given), the Term shall automatically continue through the second anniversary of
the effective date of such Change in Control.
<PAGE>
2. At-Will Status. Notwithstanding any provision of this Agreement,
Executive will remain employed at-will, so that Executive, IONA, Inc. or any
other member of the Group by which Executive may become employed from time to
time, may terminate Executive's employment at any time, with or without notice,
for any or no reason, and this Agreement shall not create or imply any right or
duty of Executive or any member of the Group to have Executive remain in the
employ thereof for any period of time. This Agreement shall automatically
terminate on the earliest date of (a) Executive's Termination Date (as
hereinafter defined) if Executive's employment ceases for any reason other than
due to an Involuntary Termination Upon a Change in Control or a Resignation for
Good Reason Upon a Change in Control (as such terms are hereinafter defined);
provided, however, that if, immediately following such cessation of employment,
Executive becomes employed by another member of the Group, then this Agreement
shall not terminate but shall remain in effect until such time as otherwise
terminated in accordance with this Agreement; or (b) the date upon which
Executive ceases to hold an Executive Office (as hereinafter defined), if
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