Back to top

Employment Agreement

Executive Employment Agreement

Employment Agreement | Document Parties: STEVEN MADDEN, LTD. You are currently viewing:
This Executive Employment Agreement involves

STEVEN MADDEN, LTD.

. RealDealDocs™ contains millions of easily searchable legal documents and clauses from top law firms. Search for free - click here.
Title: Employment Agreement
Governing Law: New York     Date: 10/13/2009
Industry: Footwear     Sector: Consumer Cyclical

Employment Agreement, Parties: steven madden  ltd.
50 of the Top 250 law firms use our Products every day

Exhibit 10.1

STEVEN MADDEN, LTD.
52-16 BARNETT AVENUE
LONG ISLAND CITY, NY 11104
T (718) 446-1800

 

 

October 7, 2009          

Dear Mr. Schmertz:

This letter (the “Agreement”) will set forth below the terms and conditions of your employment with Steven Madden, Ltd. (the “Company”):

 

 

1.

Term of Agreement : October 7, 2009 through December 31, 2012 unless sooner terminated in accordance with Paragraph 8 of this Agreement (the “Term”).

 

 

2.

Position : Brand Director. You shall report to the Creative and Design Chief or such other person as the Chief Executive Officer shall direct. You shall expend all of your working time to the Company and shall devote your best efforts, energy and skills to the Company and the promotion of its interests; you shall not take part in any activities detrimental to the best interest of the Company.

 

 

3.

Salary : $600,000 per annum (paid in accordance with normal Company practice) from the date hereof through December 31, 2009; and $660,000 per annum (paid in accordance with normal Company practice) from January 1, 2010 through December 31, 2012.

 

 

4.

2009 Bonus : You shall receive a performance bonus for 2009 of $300,000 (net of any deductions required to be withheld by any applicable laws and regulations) payable in two installments: (i) $200,000 payable within two weeks of the signing of this Agreement and (ii) $100,000 payable on or about March 15, 2010.

 

 

5.

Additional Discretionary Bonuses : The Company may pay you a bonus in such amount, if any, and at such time or times, as the Board of Directors may determine in its absolute discretion subject to the Company’s ordinary payroll practice.

 

 

6.

Car Allowance : You shall receive a car allowance of $1,250 per month.

 

 

7.

Stock Options : On October 8, 2009, you shall be granted 50,000 options. The options shall vest 20% each year for five years commencing on the first anniversary date of the grant of the options, have a term of seven years and have an exercise price equal to the market price on the last trading day prior to the grant date.

 

 

8.

Termination :

 

 

 

(a) Involuntary Termination . The Company has the right to terminate your employment, on written notice to you, at any time without Cause (as defined below). In the event the Company terminates your employment without Cause, then the Term shall terminate immediately, and you shall be entitled to receive only (i) Salary payments described in Paragraph 3, at the regular intervals of payment, from the date of termination through the date this Agreement would have otherwise terminated but for the involuntary termination plus (ii) any accrued and unpaid Bonus amount described in Paragraph 4.

 


 

 

 

(b) Voluntary Termination by you or Termination for Cause . You shall have the right to terminate your employment at any time for any reason (“Voluntary Termination”) and the Company shall have the right to terminate your employment at any time for Cause, on written notice to you, setting forth in reasonable detail the facts and circumstances resulting in the Cause upon which such termination is based. In the event of a Voluntary Termination or a termination by the Company for Cause, the Term shall terminate immediately and you shall be entitled only to any accrued and unpaid Salary described in Paragraph 3 through the date of termination. For the purpose of this Agreement, Cause shall mean:

 

 

 

 

 

(i)

a material breach by you of your material duties or obligations to the Company which is not remedied to the reasonable satisfaction of the Company within ten (10) days after the receipt by you of written notice of such breach from the Company;

 

 

 

 

(ii)

you are convicted of, or enter a guilty or “no contest” plea with respect to a felony or a crime of mural turpitude (whether or not a felony);

 

 

 

 

(iii)

you have an alcohol or substance abuse problem, which in the reasonable opinion of the Company materially interferes with your ability to perform your duties;

 

 

 

 

(iv)

any act or acts of personal dishonesty, fraud, embezzlement, misappropriation or conversion intended to result in your personal enrichment at the expense of the Company, or any of its subsidiaries or affiliates, or any other material breach or violation of fiduciary duty owed to the Company, or any of its subsidiaries or affiliates;

 

 

 

 

(v)

any grossly negligent act or omission or any willful and deliberate misconduct by you that results, or is likely to result, in material economic, or other harm, to the Company, or any of its subsidiaries or affiliates; or

 

 

 

 

(vi)

you violate or pay fines, suffer sanctions or injunctive relief relating to (whether or not you are found to have violated) any federal or state securities laws, rules or regulations or the rules and regulations of any stock exchange on which the Company is listed or included.

 

 

 

 

 

(c) Disability . You shall be considered to be “Disabled” if, in the Company’s reasonable opinion after receiving the written report of an independent physician selected by the Company, you are incapable, due to mental or physical disability, of performing the essential functions of your duties for a period of sixty (60) days (whether or not consecutive) during any period of one hundred twenty (120) days. In the event you shall become Disabled during the Term, the Company may terminate your employment and the Term and the Company shall have no further obligation or liabilities to you, except (i) payment of accrued and unpaid Salary described in Paragraph 3 through the date of termination plus (ii) any accrued and unpaid Bonus amount described in Paragraph 4 plus (iii) Salary payments described in Paragraph 3, at the regular intervals of payment for the twelve (12) month period immediately subsequent to the date of your termination.

 


 

 

 

 

(d) Death . In the event of your death, your employment and the Term shall terminate immediately and the Company shall have no further obligation or liabilities to you or your estate except that your estate shall be entitled to receive (i) payment of accrued and unpaid Salary described in Paragraph 3 through the date of termination plus (ii) any accrued and unpaid Bonus amount described in Paragraph 4 plus (iii) Salary payments described in Paragraph 3, at the regular intervals of payment for the twelve (12) month period immediately subsequent to the date of your death.

 

 

 

(e) Change of Control . The term “Change of Control”, as used herein, shall mean when any person or group (excluding the Company or any of its affiliates) becomes the beneficial owner of securities representing 50% or more of the combined voting power of the Company’s then outstanding securities. If, during the period commencing 30 days prior t


 
SITE SEARCH

AGREEMENTS / CONTRACTS

Document Title:

Entire Document: (optional)

Governing Law:(optional)


Try our advanced search >>
 

CLAUSES

Search Contract Clauses >>

Browse Contract Clause Library>>

Get Email Updates
Email:
This is only a partial view of this document. We have millions of legal documents and clauses drafted by top law firms. learn more search for free browse for free learn more