Employment Agreement [Amendment No. 1] - InterCept Inc. and Scott R. Meyerhoff
Amendment to Employment Agreement
This Amendment to Employment Agreement (this Amendment) by and between InterCept, Inc., a Georgia corporation (the Company), and Scott R. Meyerhoff, an individual resident of Georgia (the Executive), is effective as of the 1st day of April, 2004 (the Effective Date).
WHEREAS, the Company and the Executive entered into an Employment Agreement dated February 1, 1998 (the Employment Agreement), pursuant to which the Executive served as the Senior Vice President, Companys Chief Financial Officer and Secretary;
WHEREAS, Executive has accepted a position with a new employer, but desires to continue providing services to the Company on a part time basis; and
WHEREAS, the Company wishes to retain Executives continued services, subject to the terms and conditions of this Agreement;
NOW, THEREFORE, in consideration of the foregoing, the mutual covenants contained herein, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto, intending to be legally bound, hereby agree as follows:
1. Duties and Responsibilities. Executive hereby resigns as the Companys Senior Vice-President, Chief Financial Officer and Secretary, and Executive shall no longer have any duties or responsibilities as an officer of the Company. Beginning on the Effective Date, Executive shall transition to a part-time employee of the Company, and his duties shall consist of providing and assisting the Company with such financial matters as the Company shall reasonable request and assisting in the transition to a new chief financial officer. Executive shall be expected to work up to 10 hours each month on matters for the Company.
2. Term. The Term of the Employment Agreement shall expire on December 31, 2004, unless earlier terminated pursuant to Section 4 below (the Term).
(a) The Company shall continue to pay the Executive his current base salary, subject to all applicable withholdings, through the end of the Term.
(b) Executive shall not be eligible for any further participation in any management or incentive bonus programs.
(c) Executives participation in all retirement, welfare, deferred compensation, life and health insurance, and other benefit plans or programs of the Company shall terminate as of the Effective Date.
4. Termination. This Amendment and the Employment Agreement may be terminated prior to the end of the Term only as follows:
(a) upon the death or disability of the Executive, in which case the Company shall pay to the Executive or his assigns all amounts earned or accrued through the date of death or disability;
(b) by the Company at any time prior to the end of the Term, in which case the Company shall pay to the Executive, within 15 days after the date of such termination, a lump sum cash payment equal to the remaining compensation that would have been paid to the Executive had the Employment Agreement continued in effect until the end of the Term; or
(c) by the Executive upon delivery of a notice of termination to the Company thirty (30) days before the intended termination date, in which case the Company shall pay to the Executive or his assigns all amounts earned or accrued through the date of termination.
5. Stock Options.
(a) All stock options previously granted to the Executive by the Company shall continue to vest until the end of the Term pursuant to the terms of the stock option agreements governing such grants.
(b) In the event that this Amendment is terminated prior to the end of the Term pursuant to Section 4(a) or 4(c) above, all vesting of stock options granted to Executive shall discontinue on the termination date.
(c) In the event that this Amendment is terminated prior to the end of the Term pursuant to Section 4(b) above, the restrictions on any outstanding stock options shall lapse and such options shall become 100% vested and immediately exercisable. All vested options shall remain exercisable for 90 days following termination of this Amendment and the Employment Agreement.
6. Other Covenants. The Company and Executive agree that Sections 5 and 6 of the Employment Agreement shall remain in effect and shall be applied as if the Executive had been terminated for Cause or resigned without Adequate Justification.
7. General Provisions.
(a) Severability. In the event that any one or more of the provisions, or parts of any provisions, contained in this Amendment shall for any reason be held to be invalid, illegal, or unenforceable in any respect by a court of competent jurisdiction, the same shall not invalidate or otherwise affect any other provision hereof, and this Amendment shall be construed as if such invalid, illegal, or unenforceable provision had never been contained herein. Specifically, but without limiting the foregoing in any way,
each of the covenants of the parties to this Amendment contained herein shall be deemed and shall be construed as a separate and independent covenant and should any part or provision of any such covenants be held or declared invalid by any court of competent jurisdiction, such invalidity shall in no way render invalid or unenforceable any other part or provision thereof or any other covenant of the parties not held or declared invalid.
(b) Assignment. This Amendment and the rights and obligations of InterCept hereunder may be assigned by InterCept and shall inure to the benefit of, shall be binding upon, and shall be enforceable by any such assignee, provided that any such assignee shall agree to assume and be bound by the terms and conditions of this Amendment. This Agreement and the rights and obligations of Executive hereunder may not be assigned or delegated by Executive.
(c) Waiver. A partys waiver of any breach of this Amendment by the other party shall not be effective unless in writing, and no such waiver shall operate or be construed as a waiver of the same or another breach on a subsequent occasion.
(d) Governing Law. This Amendment and the rights of the parties hereunder shall be governed by and construed in accordance with the laws of the State of Georgia. Each party consents to the jurisdiction of the courts of the State of Georgia, and waives, to the fullest extent permitted by law, the defense of an inconvenient forum to the maintenance of a suit, action, or proceeding in any such court and further waives the right to object, with respect to any suit, action or proceeding, that such courts do not have jurisdiction over such party.
(e) Entire Agreement. This Amendment and the Employment Agreement represent the entire agreement of the parties relating to the subject matter hereof. No amendment or modification of this Amendment shall be valid or binding upon InterCept, or Executive, unless made in writing and signed by the parties. All prior understandings and agreements relating to the subject matter hereof are hereby expressly terminated.
(f) Notice. All notices, demands or other communications required to be or otherwise given or made hereunder shall be in writing and shall be deemed given if delivered personally, or mailed by registered or certified mail (return receipt requested), postage prepaid, or sent by Federal Express or similar overnight courier service, to the parties at the following addresses (or such other address for a party as shall be specified in like notice).
|If to InterCept:||If to Executive:|
|InterCept, Inc.||Scott R. Meyerhoff|
|3150 Holcomb Bridge Road, Suite 200|
|Norcross, Georgia 30071|
(g) Multiple Counterparts. This Amendment may be executed in two or more counterparts, each of which shall be deemed to be an original.
IN WITNESS WHEREOF, InterCept and Executive have executed and delivered this Amendment to Employment Agreement as of the Effective Date written above.
By: /s/ Lynn Boggs
G. Lynn Boggs
By: /s/ Scott Meyerhoff
Scott R. Meyerhoff