Exhibit 10.13
CONSULTING
AGREEMENT
THIS
AGREEMENT is
made effective on the date which is eight days after it is signed
by both parties (the “ Effective Date ”), by and
between Vyyo Ltd., an Israeli company (the “ Company
”), having principal offices at 4 Ha’Negev St, Airport
City, P.O. Box 197 Zip 70100 Ben Gurion Airport Israel, and
Avner Kol (the “ Consultant ”).
WHEREAS, C
onsultant was employed
by Vyyo Inc., the
parent corporation of the Company, as its Chief Operating Officer from
November 1, 2005 to January 30, 2008; and
WHEREAS,
Consultant’s
employment with Vyyo Inc. has been terminated and Consultant
acknowledges that he has received from Vyyo Inc. any and all
payments due to him in connection with his employment with Vyyo
Inc. or any subsidiary or termination thereof; and
WHEREAS,
the Company desires to
have Consultant provide certain consulting services inter-alia for
the purpose of adequately transferring his former position with
Vyyo Inc., and Consultant desires to provide such consulting
services upon the following terms and conditions; and
WHEREAS,
the parties wish to
memorialize the terms for their agreement.
NOW, THEREFORE, it
is hereby agreed as follows:
1.
The
Services .
During the Term, Consultant shall provide certain services (the
“Consulting Services”) necessary for the transfer of
his former position with Vyyo Inc., to his replacement. Consultant
shall render the Consulting Services from time to time in
accordance with the Company’s reasonable needs, and the dates
and places to perform the Consulting Services shall be determined
mutually by the Consultant and the Company.
2.
Best Efforts
. Consultant shall devote
his best efforts, abilities, expertise, experience and attention to
the performance of the Consulting Services, and the Consultant
agrees that he owes duties of care, loyalty and confidentiality to
the Company in the performance of his duties hereunder.
3.
Considerations
.
3.1.
Compensation . As full and complete consideration for
the Consulting Services to be rendered hereunder Consultant shall
be entitled to an amount of US $ 20 ,833 per month, including VAT. Such amount
shall be paid in New Israeli Shekels at the representative rate of
exchange on the date prior to payment. Payment shall be made
against presentation of a tax invoice issued by Consultant to the
Company
3.2.
Taxes and Social Benefits . Consultant expressly agrees that
the Company shall not be responsible in any way for any social or
other benefits to Consultant including, without limitation,
contributions or deductions with respect to National Insurance or
social security, health tax or unemployment insurance (the “
Social Benefits ”) and that any and all tax
consequences or requirements to pay Social Benefits arising out of
this Agreement shall be borne by the Consultant, provided, however,
that the Company shall be entitled (but not required) to withhold
any such applicable taxes and Social Benefits if it believes that
it is legally required to do so. To the extent that any demands are
made upon the Company by
any authorities for
payment of taxes or Social Benefits with respect to the
compensation paid under this Agreement (and which have not been
deducted or withheld by the Company), then Consultant shall fully
indemnify the Company in respect thereof upon demand by the
Company.
4.
Term; Termination .
4.1.
The term
of this Agreement shall
begin on July 1, 2008 hereof and shall continue for a period
of six (6) months (the “ Term
”).
4.2.
Notwithstanding
the foregoing, the Company
may terminate this Agreement at any time for “Cause”
(as hereinafter defined). In such event this Agreement shall be
deemed effectively terminated as of the time of delivery of such
notice and the Company shall have no obligation to make any
additional payments of Compensation hereunder.
For the
purpose hereof, the term “ Cause
” shall mean: (i) Consultant’s theft, dishonesty
or falsification of any documents or records of the Company or any
affiliates thereof; (ii) Consultant’s improper use or
disclosure of the confidential or proprietary information of the
Company; (iii) any intentional action by Consultant which has
a detrimental effect on the reputation or business of the Company,
including a breach of any covenant in this Agreement; or
(iv) any material breach by Consultant of any provision of
this Agreement, which breach is not cured within three
(3) days following notice thereof, or breach of
Consultant’s duty of trust or fiduciary duty toward the
Company or its affiliates.
4.3.
Consultant
agrees to conduct himself
in a professional and positive manner in all of his dealings,
communications and contacts concerning the Company, the conduct of
his obligations hereunder or the termination of this Agreement.
Consultant agrees not to criticize, denigrate, disparage or make
any derogatory statements about the Company. In particular,
Consultant agrees not to make any derogatory statements about the
Company (including any subsidiaries or affiliates), its business
plans, policies and practices, or about any of its officers,
employees or former officers or employees, to customers,
competitors, suppliers, employees, former employees, members of the
public, members of the media or any other person, nor shall
Consultant harm or in any way adversely affect the reputation and
goodwill of the Company. Consultant also agrees not to damage
any of the Company’s property or harm the Company in any way,
including financially. Consultant agrees not to make any statement
or announcement concerning he departure from the Company except as
may be reviewed and approved in writing by the Company in
advance. Nothing in this Section 4.3 shall prevent
Consultant from giving truthful testimony or information to law
enforcement entities, administrative agencies or courts or in any
other legal proceedings as required by law or otherwise by court
order, including, but not limited to, assisting in an investigation
or proceeding brought by any governmental or regulatory body or
official related to alleged violations of any law relating to fraud
or any rule or regulation. If Consultant violates this
Section 4.3, he shall pay to the Company the sum of Five
Thousand Dollars ($5,000) for each violati