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Search Employment Agreement by:
Exhibit 10.10
EMPLOYMENT AGREEMENT
This
Employment Agreement (the “Agreement”) is made and entered into as
of March 16, 2006 by and between DDi Corp., a Delaware corporation, on
behalf of itself and any and all of its subsidiaries (together, the “Company”),
and Mikel H. Williams (“Executive”).
Recitals
A. Prior
to the date of this Agreement, Executive has been serving as the President and
Chief Executive Officer of the Company.
B. The
Company desires to employ the Executive from the date set forth above (the
“Effective Date”) until expiration of the term of this Agreement,
and Executive is willing to be employed by Company during that period, on the
terms and subject to the conditions set forth in this Agreement.
Agreement
NOW,
THEREFORE, the parties agree as follows:
1. Position
and Duties. During the term of this Agreement, Executive will be employed
by the Company to serve as President and Chief Executive Officer of the
Company, reporting to Company’s Board of Directors (the
“Board”). As President and Chief Executive Officer, Executive will,
subject to the supervision and direction of the Board, be responsible for
(a) developing and implementing goals, operating plans, policies and
objectives for the Company; (b) establishing the organizational structure
for the Company and delegating authority to subordinates as necessary; (c)
representing the Company to the financial community, customers, government
agencies, shareholders and the public; (d) directing and managing the day-to-day
operations and affairs of the Company; (e) performing the duties and
responsibilities customarily expected to be performed by the chief executive
officer of a publicly reporting business entity; and (f) performing such
other duties and functions as are reasonably required and/or as may be
prescribed by the Board from time to time.
2. Standards
of Performance. Executive will at all times faithfully, industriously and
to the best of his ability, experience and talents perform all of the duties required
of and from him pursuant to the terms of this Agreement. Executive will devote
his full business energies and abilities and all of his business time to the
performance of his duties hereunder and will not, without the Company’s
prior written consent, render to others any service of any kind (whether or not
for compensation) that, in the Company’s sole but reasonable judgment,
would or might interfere with the full performance of his duties hereunder.
Notwithstanding the foregoing, Executive is permitted to spend reasonable
amounts of time to manage his personal financial and legal affairs and, with
the Company’s consent which will not be unreasonably withheld, to serve
on civic, charitable, industry or corporate boards or advisory committees,
provided that such activities, individually and collectively, do not materially
interfere with the performance of Executive’s duties hereunder. In no
event will Executive engage in any activities that could reasonably create a
conflict of interest or the appearance of a conflict of interest. Executive
shall be subject to the Company’s policies, procedures and approval
practices, as generally in effect from time to time.
3. Salary,
Benefits and Other Compensation.
(a)
Base Salary. As an annual base salary (“Base Salary”) for
all services rendered pursuant to this Agreement, Executive will be paid an
initial Base Salary in the gross amount of Three Hundred Seventy-Five Thousand
Dollars ($375,000) calculated on an annualized basis, less necessary
withholdings and authorized deductions, and payable pursuant to the
Company’s regular payroll practices at the time. The Base Salary is
subject to review within the first three months after the end of the fiscal
year ending December 31, 2006 (“fiscal 2006”) and, thereafter,
subject to periodic review not less frequently than annually within the first
three months after the end of the next successive fiscal year, and to increase
(but not decrease) as approved by the Compensation Committee of the Board
(“Compensation Committee”), or, if the Board desires to approve
increases to the Base Salary, the Board, in the sole discretion of the
Compensation Committee or the Board, as applicable.
(b)
Incentive Bonuses. During the term of Executive’s employment under
this Agreement, Executive will be eligible to participate in all bonus plans
applicable to senior executives of the Company established by the Board. The
target amount of incentive bonuses will be determined by the Compensation
Committee, and will be tied to the Company’s achievement of financial
objectives established by the Board and individual performance objectives to be
established annually by the Compensation Committee. For the avoidance of doubt,
incentive bonuses will be payable only if financial and performance objectives
established by the Board and the Compensation Committee are achieved. Executive
must be employed by the Company as of the last day of any fiscal year to be
eligible for consideration for an incentive bonus for that fiscal year.
Incentive bonuses will be paid out according to the terms of the bonus plans
that are to be determined by the Compensation Committee.
(c)
Equity Awards. Executive will be entitled to stock options, grants of
restricted stock or other equity-based compensation commensurate with
Executive’s position and level of responsibility, as determined from
time-to-time by the Compensation Committee and/or the Board.
(d)
Paid Time Off and Benefits. Executive shall be entitled to paid time off
for vacation leave, in an amount that Executive deems appropriate consistent
with this duties. Vacation shall be scheduled at reasonable times not in
conflict with Executive’s duties hereunder. There shall be no accrual of
unused vacation time and Executive shall not be entitled to payment for any
unused vacation time upon the termination of his employment with the Company.
In addition, Executive is entitled to participate in any plans regarding
benefits of employment, including pension, profit sharing, group health,
disability insurance and other employee welfare benefit plans now existing or
hereafter established to the extent that Executive is eligible under the terms
of such plans and if the other executive officers of the Company generally are
eligible to participate in such plan. The Company may, in its sole discretion
and from time to time, establish additional senior management benefit plans as
it deems them appropriate. Executive understands that any such plans may be
modified or eliminated in the Company’s sole discretion in accordance
with applicable law.
(e)
Relocation Payment; Reimbursement of Relocation Costs. The Company will
reimburse Executive for any remaining relocation costs in accordance with the
terms of Executive’s employment letter dated November 1, 2004.
(f)
Reimbursement of Business Expenses. The Company will promptly reimburse
to Executive his reasonable, customary and documented out-of-pocket business
expenses in connection with the performance of his duties under this Agreement,
and in accordance with the policies and procedures established by the Company.
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(g)
Annual Physical. Executive agrees to have an annual physical examination
performed by a physician of his choice during each year of this Agreement. The
Company shall reimburse Executive for the costs of his annual physical
examination in an amount not to exceed $1,500.
(h)
Automobile Allowance. The Company will pay Executive an automobile
allowance in the amount of $500 per month.
(i)
Sarbanes-Oxley Act Loan Prohibition. To the extent that any Company
benefit, program, practice, arrangement or this Agreement would or might
otherwise result in Executive’s receipt of an illegal loan (the
“Loan”), the Company shall use commercially reasonable efforts to
provide Executive with a substitute for the Loan that is lawful and of at least
equal value to Executive. If this cannot be done, or if doing so would be
significantly more expensive to the Company than making the Loan, the Company
need not make the Loan to Executive or provide him a substitute for it.
4. Term
and Termination of Employment. Executive will be employed for no specific
term and until terminated pursuant to the terms of this Agreement.
(a)
Termination for Cause. The Company may terminate Executive’s
employment at any time and without prior notice, written or otherwise, for
Cause. As used in this Agreement, “Cause” shall mean any of the
following conduct by Executive: (i) material breach of this Agreement, or
of a Company policy or of a law, rule or regulation applicable to the Company
or its operations; (ii) demonstrated and material neglect of duties, or failure
or refusal to perform the material duties of his position following written
notice from the Board and a reasonable opportunity to cure of not less than
twenty (20) days, or the failure to follow a reasonable and lawful
instruction of the Board following written notice from the Board and an
opportunity to cure of at least ten (10) days; (iii) dishonesty,
self-dealing, fraud or similar misconduct; or (iv) conviction of, or plea
of nolo contendere to, a felony, a crime of falsehood, or a crime involving
fraud or moral turpitude. In the event of termination for Cause, Executive will
be entitled only to payment of any earned but unpaid Base Salary through the
termination date, which for purposes of this Section 4(a) will be the date on
which the notice is given. The Company will have no further obligation to pay
any compensation of any kind (including without limitation any bonus or portion
of a bonus that otherwise may have become due and payable to Executive with
respect to the year in which such termination date occurs), or severance
payment of any kind nor to make any payment in lieu of notice.
(b)
Termination Due to Disability. If Executive becomes unable, due to
physical or mental illness or injury, to perform the essential duties of his
position for 180 consecutive calendar days or more with or without reasonable
accommodation (“Disability”), the Company has the right to
terminate Executive’s employment on 30 days written notice. A
termination of Executive’s employment by the Company for Disability shall
be communicated to the Executive by written notice, and shall be effective on
the 30th day after receipt of such notice by Executive (the “Disability
Effective Date”), unless Executive returns to full-time performance of
Executive’s duties before the Disability Effective Date. In the event of
termination for Disability, Executive will be entitled to receive:
(i) payment of all earned but unpaid compensation (including expense
reimbursements) through the effective date of termination, as specified in the
notice, (ii) an amount equal to the pro-rata portion of any bonus payments
that would have been due to the Executive under Section 3(b) of this Agreement
had Executive been employed by the Company as of the last day of the fiscal
year during which such termination occurred, calculated as the product of the
bonus (as determined pursuant to Section 3(b))
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multiplied by a fraction, the
numerator equal to the number days from the start of the applicable fiscal year
through the termination date of Executive’s employment with the Company,
and the denominator being 365; and (iii) whatever benefits to which he may
be entitled pursuant to the Company’s benefit plans.
(c)
Termination Due to Death. Executive’s employment pursuant to this
Agreement shall be immediately terminated without notice by the Company upon
the death of the Executive. If Executive should die while actively employed
pursuant to this Agreement, the Company will pay to his estate or designated
beneficiaries within sixty (60) days: (i) payment of all earned but
unpaid compensation (including expense reimbursements) through the date of
Executive’s death, (ii) an amount equal to the pro-rata portion of
any bonus payments that would have been due to the Executive under Section 3(b)
of this Agreement had Executive been employed by the Company as of the last day
of the fiscal year during which such termination occurred, calculated as the
product of the bonus (as determined pursuant to Section 3(b)) multiplied
by a fraction, the numerator equal to the number days from the start of the
applicable fiscal year through the termination date of Executive’s
employment with the Company, and the denominator being 365, and
(iii) whatever benefits to which he or his estate may be entitled pursuant
to the Company’s benefit plans.
(d)
Termination Other than for Cause. The Company may terminate
Executive’s employment without Cause (as defined in this Agreement) at
any time and without prior notice, written or otherwise. In the event the
Company terminates Executive’s employment for other than Cause,
Disability or death, and subject to the other provisions of this Agreement,
Executive will be entitled to:
(i)
continued coverage under the Company’s benefit plans through the
termination date;
(ii)
payment of all earned but unpaid compensation through the effective date of
termination, payable on or before the termination date;
(iii)
reimbursement of any monies advanced or incurred by Executive in connection
with his Employment for reasonable and necessary Company-related business
expenses incurred on or before the termination date;
(iv)
payment of the equivalent of the Base Salary Executive would have earned over
the next 24 months (the “Severance Period”) (less necessary
withholdings and authorized deductions) at his then current Base Salary rate
(“Severance Payment”), payable in eighteen (18) equal monthly
installments starting on the first business day after six (6) months from
the termination date;
(v)
an amount equal to the pro-rata portion of any bonus payments that would have
been due to the Executive under Section 3(b) of this Agreement had Executive
been employed by the Company as of the last day of the fiscal year during which
such termination occurred, calculated as the product of the bonus (as
determined pursuant to Section 3(b)) multiplied by a fraction, the
numerator equal to the number days from the start of the applicable fiscal year
through the termination date of Executive’s employment with the Company,
and the denominator being 365;
(vi)
at Executive’s option, reimbursement of insurance premiums payable to
continue Executive’s group health for the first twenty-four
(24) months
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following the termination
date, including coverage pursuant to the provisions of COBRA, if applicable;
and
(vii)
the number of outstanding unvested stock options and restricted stock
previously granted to Executive that would have vested over the twenty-four
(24) month period after such termination as if Executive remained employed
by the Company shall vest upon such termination.
Executive shall not receive
the payments and benefits under subsections (iv)-(vi), above, unless he signs
the severance agreement and general release document in the form attached as Exhibit A.
In addition, if Executive accepts other employment within twenty-four
(24) months of the termination date, the Company’s obligation to pay
premiums for continuation of group health insurance coverage will be
extinguished as of the date of the date the Executive becomes eligible for coverage
under the group health plan of the Executive’s new employer.
(e)
Voluntary Termination for Good Reason. Executive may terminate this
Agreement for Good Reason (as defined in this Agreement) by giving written
notice of such termination, which termination will become effective on the
fifteenth day following receipt; provided, however, that Executive shall be
obligated to continue his employment with the Company or its successor for a
period of not less than ninety days following a Change of Control (as defined
below), to assist with transition. As used in this Agreement, “Good
Reason” shall mean the occurrence of one or more of the following:
(i) a material reduction in Executive’s compensation or benefits,
except as part of a general change in compensation plans or benefits for all
similarly situated executives; (ii) involuntary relocation of primary work
location more than 50 miles from the current location; (iii) public
disparagement of the Executive by the Company’s Board of Directors by
press release or other formally released announcement that is injurious to
Executive’s reputation as an executive (notwithstanding the foregoing,
statements made in the course of sworn testimony in administrative, judicial or
arbitral proceedings, including, without limitation, depositions in connection
with such proceedings, shall not be subject to this clause (iii)); and/or
(iv) in the event of a Change of Control, the successor to the Company
fails to offer Executive a position having responsibilities, compensation and
benefits substantially similar to those enjoyed by Executive immediately
preceding the Change of Control or there is any change in the reporting
structure so that the Executive is required to report to any person other than
the Board of Directors of the successor to the Company. In the event of
resignation for Good Reason, Executive will be entitled to the benefits set
forth in subsection 4(d), above, in the event of termination by the Company
without Cause, on the same conditions that apply to those benefits,
specifically including, but not limited to, the signing of the severance
agreement and general release document, attached as Exhibit A.
(i)
As used in this Agreement, a “Change in Control” shall mean any of
the following events:
(ii)
the acquisition by any person (as such term is defined in Section 13(c) or
14(d) of the Securities Exchange Act of 1934, as amended (the “1934
Act”)), other than (A) a trustee or other fiduciary holding
securities of the Company under an employee benefit plan of the Company or
(B) an entity in which the Company directly or indirectly beneficially
owns 50% or more of the voting securities of such entity (an
“Affiliate”), of any securities of the Company, immediately after
which such Person has beneficial ownership (within the meaning of
Rule 13d-3 promulgated under the 1934 Act) of more than fifty percent
(50%) of (A) the outstanding shares of Common Stock or
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(B) the combined voting
power of the Company’s then outstanding securities entitled to vote
generally in the election of directors;
(iii)
the Company is a party to a merger or consolidation with a person other than an
Affiliate which results in the holders of voting securities of the Company
outstanding immediately before such merger or consolidation failing to continue
to represent (either by remaining outstanding or being converted into voting
securities of the surviving entity) more than 50% of the combined voting power
of the then outstanding voting securities of the corporation resulting from
such merger or consolidation; or
(iv)
all or substantially all of the assets of the Company are, in any transaction
or series of transactions, sold or otherwise disposed of (other than to an
Affiliate);
provided, however, that in no
event shall a “Change in Control” be deemed to have occurred for
purposes of this Agreement solely because the Company engages in an internal
reorganization, which may include a transfer of assets to, or a merger or
consolidation with, one or more Affiliates.
(f)
Voluntary Resignation Without Good Reason. In the event that the
Executive resigns for other than Good Reason as defined above in subsection
4(e), Executive will be entitled only to payment of any earned but unpaid
compensation through the termination date. The Company will have no further
obligation to pay any compensation of any kind (including without limitation
any bonus or portion of a bonus that otherwise may have become due and payable
to Executive with respect to the year in which such termination date occurs),
or severance payment of any kind.
5. Proprietary
Information Obligations.
(a)
Proprietary Information and Confidentiality. Both before and during the
term of Executive’s employment, Executive will have access to and become
acquainted with Company confidential and proprietary information (together
“Proprietary Information”), including but not limited to
information or plans concerning the Company’s customer relationships;
personnel; sales, marketing and financial operations and methods; trade
secrets, formulae, devices; secret inventions; processes; and other
compilations of information, records, and specifications. Executive will not
disclose any of the Proprietary Information directly or indirectly, or use it
in any way, either during the term of this Agreement or at any time thereafter,
except as reasonably required or specifically requested in the course of his
employment with the Company or as authorized in writing by the Company.
Notwithstanding, Proprietary Information does not include information that is
otherwise publicly known or available, provided it has not become public as a
result of a breach of this Agreement or any other agreement to keep it
confidential. It is not a breach of this Agreement for Executive to disclose
Proprietary Information pursuant to order of a court or other governmental or
legal body. All files, records, documents, computer-recorded or electronic
information, drawings, specifications, equipment, and similar items relating to
Company business, whether prepared by Executive or otherwise coming into his
possession, will remain the Company’s exclusive property and will not be
removed from Company premises under any circumstances whatsoever without the
Company’s prior written consent, except when, and only for the period,
necessary to carry out Executive’s duties hereunder, and if removed, will
be immediately returned to the Company on termination of employment, and
Executive will keep no copies thereof.
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(b)
Inventions Agreement and Assignment.
(i)
Executive hereby agrees to disclose promptly to the Company (or any persons
designated by it) all developments, designs, creations, improvements, original
works of authorship, formulas, processes, know-how, techniques and/or
inventions, hereinafter referred to collectively as “Inventions”)
(A) which are made or conceived or reduced to practice by Executive,
either alone or jointly with others, in performing his duties during the period
of Executive’s employment by the Company, that relate to or are useful in
the present or future business of the Company; or (B) which result from
tasks assigned to Executive by the Company, or from Executive’s use of
the premises or other resources owned, leased or contracted by the Company.
(ii)
Executive agrees that all such Inventions which the Company in its discretion
determines to be related to or useful in its business or its research or
development, or which result from work performed by Executive for the Company,
will be the sole and exclusive property of the Company and its assigns, and the
Company and its assigns will have the right to use and/or to apply for patents,
copyrights or other statutory or common law protections for such Inventions in
any and all countries. Executive further agrees to assist the Company in every
reasonable way (but at the Company’s expense) to obtain and from time to
time enforce patents, copyrights and other statutory or common law protections
for such Inventions in any and all countries. To that end, Executive will
execute all documents for use in applying for and obtaining such patents,
copyrights and other statutory or common law protections therefor and enforcing
the same, as the Company may desire, together with any assignments thereof to
the Company or to persons or entities designated by the Company. Should the
Company be unable to secure Executive’s signature on any document
necessary to apply for, prosecute, obtain, or enforce any patent, copyright or
other right or protection relating to any Invention, whether due to his mental
or physical incapacity or any other cause, Executive hereby irrevocably
designates and appoints the Company and each of its duly authorized officers
and agents as Executive’s agent and attorney-in-fact, to act for and in
his behalf and stead, to execute and file any such document, and to do all
other lawfully permitted acts to further the prosecution, issuance, and
enforcement of patents, copyrights or other rights or protections with the same
force and effect as if executed and delivered by Executive. Executive’s
obligations under this subsection will continue beyond the termination of
Executive’s employment with the Company, but the Company will compensate
Executive at a reasonable rate after such termination for time actually spent
by Executive at the Company’s request in providing such assistance.
(iii)
Executive hereby acknowledges that all original works of authorship which are
made by Executive (solely or jointly with others) within the scope of
Executive’s employment which are protectable by copyright are
“works for hire,” as that term is defined in the United States
Copyright Act (17 USCA, Section 101).
(iv)
Any provision in this Agreement requiring Executive to assign Executive’s
rights in any Invention to the Company will not apply to any invention that is
exempt under the provisions of California Labor Code Section 2870, which
provides:
“(a) Any provision in
an employment agreement which provides that an employee shall assign, or offer
to assign, any of his or her rights in an invention to his or her employer
shall not apply to an invention that the employee developed entirely on his or
her own time without using the employer’s equipment, supplies,
facilities, or trade secret information except for
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those inventions that either:
(1) relate at the time of conception or reduction to practice of the
invention to the employer’s business, or actual or demonstrably
anticipated research or development of the employer; or (2) result from
any work performed by the employee for the employer. (b) To the extent a
provision in an employment agreement purports to require an employee to assign
an invention otherwise excluded from being required to be assigned under subdivision
(a), the provision is against the public policy of this state and is
unenforceable.”
(c)
Non-Solicitation, Non-Interference. While employed by the Company, and
thereafter for the duration of the Severance Period, Executive agrees not to
(i) solicit, attempt to solicit or accept business from, either directly
or indirectly, any vendor, customer, client, or supplier of the Company
(including affiliates) which has or could reasonably be expected to have a
material adverse effect on such vendor’s, customer’s,
client’s or supplier’s relationship with the Company; or
(ii) induce or attempt to induce any then existing employee or contractor
to leave their employment with or service to the Company (including
affiliates), or to employ or seek to employ any such person who was employed by
or a consultant to the Company during the preceding three (3) months, provided
that the latter restriction shall not apply with respect to any person
involuntarily terminated by the Company, provided further that this exception
shall not release any such person from his/her obligations to the Company
(including affiliates).
(d)
Non-competition. Executive agrees that during the term of employment,
and for any Severance Period thereafter, he will not, without the Company’s
prior written consent, directly or indirectly, be employed by, be connected
with, lend his name to or have an interest of any kind in, whether as an
employee, consultant, officer, director, partner, stockholder, joint venturer,
or otherwise, any person or entity owning, managing, controlling, operating, or
otherwise participating or assisting in a Restricted Business. For purposes of
this Agreement, “Restricted Business” is defined as printed circuit
board manufacturing and assembly. Notwithstanding this restriction, Executive
shall be entitled to invest in stock of other competing public companies so
long as his ownership is less than 1% of such company’s outstanding
shares.
(e)
Return of Materials. In the event of termination of Executive’s
employment for any reason, Executive will promptly deliver to the Company all
Company equipment (including, without limitation, any cellular phones,
beeper/pagers, computer hardware and software, fax machines and other tools of
the trade) and all originals and copies of all documents, including without
limitation, all books, customer lists, forms, documents supplied by customers,
records, product lists, writings, manuals, reports, financial documents and
other documents or property in Executive’s possession or control, which
relate to the Company’s business in any way whatsoever, and in particular
to customers of the Company, or which may be considered to constitute or
contain Confidential Information as defined herein, and Executive will neither retain,
reproduce, nor distribute copies thereof (other than copies of
Executive’s rolodex or similar address and telephone directories).
(f)
Remedies for Breach. Executive acknowledges that any breach by Executive
of this Section 5 would cause the Company irreparable injury and damage
for which monetary damages are inadequate. Accordingly, in the event of a
breach or a threatened breach of this Section 5, the Company will be
entitled to seek an injunction restraining such breach. Nothing contained herein
will be construed as prohibiting the Company from pursuing any other remedy
available to the Company for such breach or such threatened breach. Executive
has carefully read and considered these restrictions and agrees they are fair
and reasonable restrictions on Executive and are reasonably required for the
protection of the interests of the Company. Executive agrees not to circumvent
the spirit of these restrictions by attempting to accomplish indirectly what
Executive is otherwise restricted from doing directly.
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6. Insurance
and Indemnification. The Company will indemnify Executive to the fullest
extent permitted by applicable law. While employed by the Company, and
thereafter to the extent provided to the Company’s other senior
executives, the Company shall, at its cost, provide insurance coverage to
Executive at least to the same extent as other senior executive of the Company
with respect to officers and directors liability. The foregoing rights
conferred upon Executive shall not be exclusive of any other right which
Executive may have or hereafter may acquire under any statute, provision of the
certificate of incorporation or bylaws of the Company, agreement, vote of the
stockholders or directors or otherwise.
7. Interpretation,
Governing Law and Exclusive Forum. The validity, interpretation,
construction, and performance of this Agreement shall be governed by the laws
of the State of California (excluding any that mandate the use of another
jurisdiction’s laws). Any arbitration (unless otherwise mutually agreed),
litigation or similar proceeding with respect to such matters only may be
brought within California, and all parties to this Agreement consent to
California’s jurisdiction.
8. Entire
Agreement. This Agreement constitutes the entire agreement between the
parties with respect to the subject matter hereof and replaces and supersedes
any prior agreements or understandings. Whether oral or written, express or
implied, with respect to the subject matter of this Agreement.
9. Severability.
In the event that one or more of the provisions contained in this Agreement are
held to be invalid, illegal, or unenforceable in any respect by a court of
competent jurisdiction, such holding shall not impair the validity, legality or
enforceability of the remaining provisions herein.
10. Successors
and Assigns. This Agreement shall be binding upon, and shall inure to the
benefit of, Executive and his estate, but Executive may not assign or pledge
this Agreement or any rights arising under it, except to the extent permitted
under the terms of the benefit plans in which he participates. The Company may
not assign this Agreement to any affiliate or successor without
Executive’s prior written consent.
11. Notices.
All notices, requests, demands and other communications hereunder shall be in
writing and shall be given by hand delivery, facsimile, telecopy, overnight
courier service, or by United States certified or registered mail, return
receipt requested. Each such notice, request, demand or other communication
shall be effective (i) if delivered by hand or by overnight courier
service, when delivered at the address specified in this Section 11;
(ii) if given by facsimile or telecopy, when such facsimile or telecopy is
transmitted to the facsimile or telecopy number specified in this
Section 11 and confirmation is received if during normal business hours on
a business day, otherwise, on the next business day; and (iii) if given by
certified or registered mail, three days after the mailing thereof. Notices
shall be addressed to the parties as follows (or at such other address or fax
number as either party may from time to time specify in writing by giving
notice as provided herein):
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to the Company: |
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DDi Corp. |
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If
to Executive: |
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Mr. Mikel H. Williams |
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1220 Simon Circle |
12. Dispute
Resolution. The parties hereto agree that all disputes, claims or
controversies between them and between Executive and any of the Company’s
affiliated entities and the successor of all such entities, and any director,
shareholder or employee of the Company or its affiliated entities who agrees to
the dispute resolution procedures in this Section 12, including any
dispute, claim or controversy arising from or otherwise in connection with this
Agreement and/or Executive’s employment with the Company, will be resolved
as follows:
(a) Prior
to initiating any other proceeding, the complaining party will provide the
other party with a written statement of the claim identifying any supporting
witnesses or documents and the requested relief. The responding party shall within
forty-five (45) days furnish a statement of the relief, if any, that it is
willing to provide, and identify supporting witnesses or documents.
(b) If
the matter is not resolved by the exchange of statements of claim and
statements of response as provided herein, the parties shall submit the dispute
to non-binding mediation, the cost of the mediator to be paid by the Company,
before a mediator and/or service to be jointly selected by the parties. Each
party will bear its own attorney’s fees and witness fees.
(c) If
the parties cannot agree on a mediator and/or if the matter is not otherwise
resolved by mediation, any controversy or claim arising out of or relating to
this Agreement or breach thereof shall be settled by final and binding
arbitration in the county in which the Executive last worked, or elsewhere as
mutually agreed by the parties, by a single arbitrator pursuant to the
Employment Dispute Rules of Judicial Arbitration and Mediation Services, Inc.
(“JAMS”), or such other service as the parties may mutually agree
upon. The parties may conduct discovery to the extent permitted in a court of
law; the arbitrator will render an award together with a written opinion
indicating the bases for such opinion; and the arbitrator will have full
authority to award all remedies that would be available in court. Judgment upon
the award rendered by the arbitrator may be entered in any court having
jurisdiction thereof. Each party shall bear its own attorney’s fees and
costs, unless the claim is based on a statute that provides otherwise. The
Company will pay the arbitrator’s fees and any administrative expenses of
the arbitration service.
(d) EXECUTIVE
AND THE COMPANY AGREE THAT THIS ARBITRATION PROCEDURE WILL BE THE EXCLUSIVE MEANS
OF REDRESS FOR ANY DISPUTES BETWEEN THEM, INCLUDING ANY RELATING TO OR ARISING
FROM EXECUTIVE’S EMPLOYMENT WITH THE COMPANY OR TERMINATION THEREFROM,
DISPUTES OVER ALLEGEDLY UNPAID WAGES, BREACH OF CONTRACT OR TORT, VIOLATION OF
PUBLIC POLICY, RIGHTS PROVIDED BY FEDERAL, STATE OR LOCAL STATUTES,
REGULATIONS, ORDINANCES, AND COMMON LAW, LAWS THAT PROHIBIT DISCRIMINATION
BASED ON ANY PROTECTED CLASSIFICATION, AND ANY OTHER STATUTES OR LAWS RELATING
TO EXECUTIVE’S RELATIONSHIP WITH THE COMPANY. THE FOREGOING
NOTWITHSTANDING, CLAIMS FOR WORKERS’ COMPENSATION BENEFITS OR
UNEMPLOYMENT INSURANCE, OR ANY OTHER CLAIMS WHERE MANDATORY ARBITRATION IS
PROHIBITED BY LAW, ARE NOT COVERED BY THIS ARBITRATION PROVISION. THE PARTIES
EXPRESSLY WAIVE THE RIGHT TO A JURY TRIAL, AND AGREE THAT THE
ARBITRATOR’S AWARD SHALL BE FINAL AND BINDING ON
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