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Title: |
Employment Agreement |
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Entities: |
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Date: |
2002 |
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Size: |
Preview shows 5KB of 43KB total |
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Price: |
$41 |
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ID: |
#695587 |
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EMPLOYMENT AGREEMENT
This EMPLOYMENT AGREEMENT (the "Agreement") is made and entered into as
of the 6th day of August, 2001, by and between Security Associates
International, Inc., on behalf of itself and its subsidiaries and affiliates
(collectively, the "Employer"), and Ray Gross ("Executive"), and (solely for
purposes of Section 8 below) TJS Partners, L.P. ("TJS"). Certain capitalized
terms used herein are set forth in Section 20 below.
RECITALS
A. The Employer desires that Executive provide services for the benefit
of the Employer, and Executive desires to accept such employment with the
Employer, upon the terms and conditions set forth herein.
B. The Employer and Executive acknowledge that Executive is, and will
continue to be, a member of the senior management team of the Employer.
NOW, THEREFORE, in consideration of the above premises and the
following mutual covenants and conditions, the parties agree as follows:
1. Employment. During the Employment Period (as defined below), the
Employer shall employ Executive (with Executive having the title of President
and Chief Executive Officer), and Executive hereby accepts such employment, in
each case on the terms and conditions set forth in this Agreement.
2. Duties. Executive shall, during the Employment Period, have the
duties, responsibilities, powers and authority customarily associated with the
position of Chief Executive Officer or otherwise as designated from time to time
by the Board of Directors of the Employer (the "Board"), and Executive shall
report to, and follow the direction of, the Board. Executive shall diligently,
competently and faithfully perform all such duties and responsibilities and
shall devote substantial energy, attention and skill to the performance of such
duties and responsibilities and will use his best efforts to promote the
legitimate business interests of the Employer. During the Employment Period,
Executive shall work for the Employer in a full-time capacity. It shall not be
considered a violation of the foregoing for Executive to serve on corporate,
industry, religious, civic or charitable boards or committees, so long as such
activities do not significantly interfere with the performance of Executive's
duties and responsibilities as an employee of the Employer in accordance with
this Agreement or violate any of the provisions of Paragraph 5 below.
3. Term of Employment. The term of the Executive's employment with the
Employer (the "Employment Period") shall commence on the date first set forth
above and extend until December 31, 2002 (subject to extension as set forth in
the immediately following sentence), unless earlier terminated as set forth in
Section 6 below. Provided that no termination as set forth in Section 6 below
(or any notice thereof) has been made prior to such time, the Employment Period
shall be extended automatically for successive periods of one (1) year each
(each, a "Renewal Term")
{PAGE}
on December 31, 2002 and at the end of any subsequent Renewal Term, unless the
Board provides Executive, or Executive provides the Board, with written notice
to the contrary at least thirty (30) days prior to December 31, 2002 or the end
of any Renewal Term, as the case may be. In connection with the expiration or
termination of the Employment Period for any reason, Executive agrees that he
shall execute and deliver to the Employer, and the Employer agrees that it shall
execute and deliver to Executive, a mutual release (in a form reasonably
acceptable to Executive and the Employer) of any and all claims that either then
has or in the future may have against the other (other than with respect to
post-Employment Period obligations under this Agreement) (the "Mutual Release").
4. Compensation.
A. Salary. During the Employment Period, the Employer shall
pay Executive an annual salary of $275,000 (the "Base Salary"), payable in
substantially equal periodic installments in accordance with the Employer's
payroll policy from time to time in effect. The Base Salary shall be subject to
any payroll or other deductions as may be required to be made pursuant to law,
government order, and by any other agreement with, or consent of, Executive.
B. Signing Bonus. The Employer shall pay Executive, as a
signing bonus, an aggregate of $100,000 (the "Signing Bonus"), subject to any
payroll or other deductions as may be required to be made pursuant to law,
government order, and by any other agreement with, or consent of, Executive.
One-third of the Signing Bonus (i.e., $33,333.33) shall be paid on the date of
execution and delivery of this Agreement by the Employer and Executive, and
(provided that Executive is, on each of the following specified dates, then
employed by the Employer or no longer employed by the Employer solely as a
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