Exhibit 10.1
TERMINATION AND RELEASE AGREEMENT
TERMINATION
AND RELEASE AGREEMENT, dated as of September ___, 2006 (this
“ Agreement ”), between the person
executing this Agreement as the Optionee on the signature page
hereto (the “ Optionee ”) and CHINA BAK
BATTERY, INC., a Nevada corporation (the “
Company ”). Capitalized terms used, but
not otherwise defined, herein have the meanings ascribed to those
terms in the China BAK Battery, Inc. Stock Option Plan (the “
Plan ”).
BACKGROUND
The
parties desire to terminate the Options identified on the signature
page to this Agreement and to grant to the Optionee a number of
shares of Restricted Stock as will be determined by the Board of
Directors of the Company at a meeting to be held during the first
quarter of the Company’s 2007 fiscal year. The shares
of Restricted Stock will be granted to the Optionee under the Plan
using the form of Restricted Stock Grant Agreement attached hereto
as Exhibit A .
NOW,
THEREFORE, in consideration of the mutual agreements set forth
herein and for such other good and valuable consideration the
receipt and adequacy of which is hereby acknowledged, the parties
hereto, intending to be legally bound, hereby agree as
follows:
1.
Termination and Release . The Options identified on
the signature page to this Agreement and any and all agreements
pursuant to which such Options were granted (collectively, the
“ Option Agreement ”) are hereby
terminated and of no further force and effect. Each Optionee
shall return the original copy of the Option Agreement for
cancellation, however, the failure to so return an Option Agreement
shall in no way affect the termination thereof. In
consideration of the issuance of the Restricted Shares and such
other good and valuable consideration, the receipt and adequacy of
which is hereby acknowledged, each Optionee hereby releases and
forever discharges the Company, its officers, directors, employees,
agents and representatives from any and all claims, liabilities,
suits and damages arising or in any way related to the the Options
identified on the signature page hereto and the Option Agreement
and agrees not to commence any such suit or ma
