EMPLOYMENT AGREEMENT
This Employment Agreement
(“Agreement”), effective August 24, 2009, is entered
into by and between i2 Telecom International, Inc . (the
“Employer”), a Washington corporation, and its
wholly-owned subsidiaries (the ‘Employer”), and
Richard Roberson , 968 Condor Drive, Coppell, Texas 75019
(the “Employee”).
WITNESSETH
:
WHEREAS , Employer is engaged in the telecommunications
technology and related businesses, including but not limited to
internet telecommunication services, hardware and software
development and sales, and information technology (the
“Telecommunications Technologies”); and conducts
research, experimentation, development, and exploitation of related
technologies and engages in other businesses; and
WHEREAS , Employer desires to employ Employee to serve
as Chief Financial Officer of the Employer , and Employee
desires to be employed by Employer in such capacities pursuant to
the terms and conditions hereinafter set forth.
NOW THEREFORE , in consideration of the foregoing and the
mutual promises and covenants herein contained, it is agreed as
follows:
1.
EMPLOYMENT: DUTIES AND RESPONSIBILITIES
Employer hereby employs Employee as Chief
Financial Officer of the Employer. S ubject at
all times to the direction of the Chief Executive Officer of the
Employer, Employee shall have direct responsibility over all
financial matters of the Employer. Employee will also
perform other services and duties as the Chief Executive Officer
and/or Board of Directors shall
determine. Employee’s permanent job site shall be
in the Dallas/Ft. Worth, Texas area. Employee shall
serve, by mutual consent, in such other positions and offices of
the Employer and its affiliates, if selected, without any
additional compensation.
Employee hereby accepts employment by Employer,
upon the terms and conditions contained herein, and agrees that
during the term of this Agreement the Employee shall devote
substantially all of his business time, attention, and energies to
the business of the Employer. Employee, during the term of this
Agreement, will not perform any services for any other business
entity, whether such entity conducts a business which is
competitive with the business of Employer or is engaged in any
other business activity; provided, however, that nothing herein
contained shall be construed as (a) preventing Employee from
investing his personal assets in any business or businesses which
do not compete directly or indirectly with the Employer, provided
such investment or investments do not require any services on his
part in the operation of the affairs of the entity in which such
investment is made and in which his participation is solely that of
an investor, (b) preventing Employee from purchasing securities in
any corporation whose securities are regularly traded, if such
purchases shall not result in his owning beneficially, at any time,
more than 5% of the equity securities of any corporation
engaged in a business which is competitive, directly or indirectly,
to that of Employer, or (c) preventing Employee from engaging in
any other activities, if he receives the prior written approval of
the Board of Directors of Employer with respect to his engaging in
such activities.
In connection with his engagement hereunder,
Employee shall accurately maintain and preserve all notes and
records generated by Employer which relate to Employer and its
business and shall make all such reports, written if required, as
Employer may reasonably require.
Employee’s employment hereunder shall be
for a single twelve month period (the “Initial Term”),
to commence on August 24, 2009 and end twelve months from the date
of this Agreement. Thereafter, the Employer may elect to
extend employment to Employee for one or more additional
twelve-month periods (the “Subsequent Term”),
commencing twelve months from the date hereof. A
twelve-month period shall be deemed a Contract Year. For
all compensation and benefit purposes, other than those
specifically addressed herein, the Employee shall be deemed to have
been continually employed with the Employer from August 24,
2009.
As full compensation (“Base Salary”)
for the performance of his duties on behalf of Employer, Employee
shall be compensated as follows:
(i)
Base Salary . Employer, during the Initial Term hereof,
shall pay Employee a base salary at the rate of Fifteen Thousand,
Eight Hundred and Thirty-Three Dollars and 33/100 ($15,833.33) per
month, payable semi-monthly commencing on the date
hereof.
(ii)
Annual Bonus . In addition to the Base Salary, Employee will
be eligible for an annual performance bonus in an amount up to
fifty percent (50%) of Base Salary, to be payable upon achievement
of performance goals and objectives to be mutually agreed upon by
the Employee and the Employer’s Board of Directors in advance
of the relevant performance period.
(iii)
Other Meritorious Adjustments . The Employer’s Board
of Directors may, in their sole discretion, consider other
meritorious adjustments in compensation, or a bonus, under
appropriate circumstances, including the conception of valuable or
unique inventions, processes, discoveries or improvements capable
of profitable exploitation.
(i)
Incentive Stock Options . Employee shall be eligible to
receive options, under Employer’s i2 Telecom International,
Inc. Incentive Stock Option Plan (the “ISO Plan”)
during the Term of this Agreement as determined by the
Employer’s Board of Directors from time to time.
(ii)
Change of Control . In the event of a merger,
acquisition or sale transaction by the Employer which causes a
Change of Control of the Employer (“the Trigger
Event”), any stock options or similar securities held
beneficially by the Employee shall automatically become fully
vested. For purposes of this Section 6,
Change of Control shall mean the occurrence of any of the following
events: (i) a majority of the outstanding voting stock
of Employer shall have been acquired or beneficially owned by any
person (other than Employer or a subsidiary of Employer) or any two
or more persons acting as a partnership, limited partnership,
syndicate or other group, entity or association acting in concert
for the purpose of voting, acquiring, holding, or disposing of
voting stock of Employer; or (ii) a merger or a consolidation of
Employer with or into another corporation, other than (A) a merger
or consolidation with a subsidiary of Employer, or (B) a merger or
consolidation in which the holders of voting stock of Employer
immediately prior to the merger as a class hold immediately after
the merger at least a majority of all outstanding voting power of
the surviving or resulting corporation or its parent; or (iii) a
statutory exchange of shares of one or more classes or series of
outstanding voting stock of Employer for cash, securities, or other
property, other than an exchange in which the holders of voting
stock of Employer immediately prior to the exchange as a class hold
immediately after the exchange at least a majority of all
outstanding voting power of the entity with which Employer stock is
being exchanged; or (iv) the sale or other disposition of all or
substantially all of the assets of Employer, in one transaction or
a series of transactions, other than a sale or disposition in which
the holders of voting stock of Employer immediately prior to the
sale or disposition as a class hold immediately after the exchange
at least a majority of all outstanding voting power of the entity
to which the assets of Employer are being sold; or (v) the
liquidation or dissolution of Employer.
(iii) In the event the Employee is terminated by
Employer subsequent to a merger, acquisition or sale transaction by
the Employer causing the Trigger Event, then any stock, options or
similar securities held beneficially by the Employee shall
automatically become 100% vested and the Employee shall be entitled
to an additional number of options equal to 30% of the
Employee’s total ISO Plan position at the time of the Trigger
Event. Such additional shares shall be priced at the
then prevailing value of the Common Stock vested as determined by
the Employer’s Board of Directors
The Employer also shall reimburse the Employee
for all business expenses incurred by Employee in the performance
of his duties hereunder including, but not limited to, travel on
business, attending technical and business meetings, professional
activities, and customer entertainment, such reimbursement to be
made in accordance with regular Employer policy and within a
reasonable period following Employee’s presentation of the
details of, and proof of, such expenses.
(i) During
the term of this Agreement, Employer shall provide to Employee, at
its sole expense, hospitalization, major medical, life insurance
and other fringe benefits on the same terms and conditions as it
shall afford other senior management employees. Nothing herein
shall require Employee to obtain or maintain such
coverage.
(ii) During
the term of this Agreement, Employer shall provide paid vacation,
to Employee, which accrues from the date of execution of this
Agreement. The annual paid vacation earned for each Contract Year
is: (i) three (3) weeks per Contract Year for the first three (3)
Contract Years of full-time employment; (ii) four (4) weeks per
Contract Year for more than three (3) and up to seven (7) Contract
Years of full-time employment; and (iii) five (5)
weeks per Contract Year for more than seven (7) Contact Years of
full-time employment.
For the purposes of this Agreement all
references to business products, services and sales of Employer
shall include those of Employer’s affiliates.
10.
INVENTORIES: SHOP RIGHTS
All systems, inventions, discoveries, apparatus,
techniques, methods, know-how, formulae or improvements made,
developed or conceived by Employee during Employee’s
employment by Employer, whenever or wherever made, developed or
conceived, and whether or not during business hours, which
constitute an improvement, on those heretofore, now or at any
during Employee’s employment, developed, manufactured or used
by Employer in connection with the manufacture, process or
marketing of any product heretofore or now or hereafter developed
or distributed by Employer, or any services to be performed by
Employer or of any product which shall or could reasonably be
manufactured or developed or marketed in the reasonable expansion
of Employer’s business, shall be and continue to remain
Employer’s exclusive property, without any added
compensation
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