SECOND ADDENDUM TO
OUTSOURCING AGREEMENT
THIS
SECOND ADDENDUM TO A CERTAIN OUTSOURCING AGREEMENT
(“AGREEMENT”) BETWEEN STRATUS SERVICES GROUP, INC.
(“STRATUS”) AND ALS, LLC, AND/OR ANY OF THEIR RELATED
ENTITIES OR AFFILIATES, ET. AL. (COLLECTIVELY
“ADVANTAGE”) DATED AUGUST 13, 2004, AS AMENDED BY A
CERTAIN TERMINATION OF MANAGEMENT AGREEMENT LETTER, DATED MARCH 29,
2005 (THE “LETTER ADDENDUM”) IS HEREBY ENTERED INTO
BETWEEN THE PARTIES THIS 8th DAY OF JUNE, 2005.
A.
Section 1. TERM OF
AGREEMENT shall be amended to add the
following:
“If STRATUS is unable to pay ALS in full
all monies, including ALS’ $600,000 junior participation
interest in the Stratus debt with Capital Temp Funds, a division of
Capital Factors, LLC, as successor in interest
(“Capital”), but other than monies applicable to the
current payroll week by the date the AGREEMENT, as amended, expires
according to its terms, i.e., August 13, 2006, then Stratus shall
have the option to (1) extend the AGREEMENT for an additional one
(1) year term, at such billing rates to be mutually agreed upon by
the parties or (2) forego the portion remaining of the additional
$600,000 contingent purchase price to be paid to Stratus by ALS
pursuant to the terms of the Asset Purchase Agreement between the
parties dated June 10, 2005 (the
“APA”).”
B.
Section 2. INDEPENDENT
CONTRACTOR RELATIONSHIP is clarified and restated in its
entirety to read as follows:
“STRATUS is hiring ADVANTAGE as an
independent employee management contractor, and nothing herein is
intended to nor shall create the relationship of employee, partner,
joint venturer or associate, or any other relationship between
STRATUS and ADVANTAGE, other than that of principal and independent
contractor.
ADVANTAGE is an independent service company.
Certain employees assigned to ADVANTAGE will be
“Contract” employees (“Contract” Employees
are Advantage Employees providing a service to STRATUS) of STRATUS,
and the temporary Contract Employees will remain under the
technical and business directions of ADVANTAGE at all
times.”
C.
Section 3.
TERMINATION of the Agreement shall be amended to add the
following:
“Notwithstanding the foregoing, Stratus
shall have the right to terminate this AGREEMENT, upon thirty (30)
days written notice to ALS, with no termination fee being due and
owing; provided, however, that Stratus has paid ALS in full for all
monies, including ALS’ junior participation interest in the
Stratus debt with Capital, but other than monies applicable to the
current payroll week by the termination date, and; pursuant to the
Section 8 payment terms, pays such current payroll week by the
following Friday.”
D.
Section 8. INVOICING
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