Employment Agreement - Atomica Israel Technologies Ltd. and Jeff Schneiderman
ATOMICA ISRAEL TECHNOLOGIES LTD.
EMPLOYMENT AGREEMENT
This employment agreement (the "Agreement") is effective as of April 1, 2004
(the "Effective Date"), by and between Atomica Israel Technologies Ltd., an
Israeli company with its principal place of business at Building 8, Jerusalem
Technology Park, Jerusalem 91481 (the "Company") and Jeff Schneiderman, I.D. No,
308987577, of 155 Ma'ale Michmas, Israel 90634 (the "Employee").
WHEREAS the Employee has been employed by the Company as Vice President-R&D
since January 1, 1999;
WHEREAS the Company desires to continue to employ the Employee in the position
of Chief Technical Officer (the "Position");
WHEREAS the Employee desires to have his/her employment continued by the Company
and fulfill the responsibilities of the Position; and
WHEREAS the parties desire to set forth the conditions of employment pursuant to
which the Employee will continued to be employed by the Company;
IT IS HEREBY AGREED BY AND BETWEEN THE PARTIES AS FOLLOWS:
1. PREAMBLE
The preamble to this Agreement and any attachments thereto are an integral part
of this Agreement.
2. JOB DESCRIPTION
The Employee shall be responsible for the research and development function and
related supervisory duties. He/she shall report directly to the, Chief Executive
Officer or to whichever person the Company shall indicate from time to time in
its discretion. The description of responsibilities set forth herein shall serve
as a general statement of the duties, responsibilities and authority of the
Employee. Additional duties, responsibility and authority may be assigned to the
Employee by the Company from time to time in its discretion. The terms of the
Employee's employment shall also be governed, insofar as relevant, by the
provisions of the Company's Employment Policy Handbook, the provisions of which,
as amended from time to time, are hereby incorporated into this Agreement by
reference (hereinafter "the Employment Policy") as well as by Company-wide
memoranda distributed from time to time.
3. WORK HOURS
The Employee shall be employed by the Company on a full-time basis, namely for
not less than forty-five (45) hours per week (inclusive of mealtime). It is
agreed that the Employee is being employed in a position that requires a special
degree of skill and devotion, requiring a special relationship of trust between
the Company and the Employee, and may require work outside of and/or beyond the
Company's normal business hours, which hours cannot be overseen by the
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Company. It is therefore agreed that the remuneration referred to in Section 5,
below, shall cover any additional time devoted by the Employee in excess of
normal working hours, and no compensation for overtime as defined and set forth
in the Hours of Work and Rest Law - 1951 shall be payable.
4. TERM OF AGREEMENT
This Agreement shall take effect from the Effective Date and shall remain in
effect indefinitely, unless it is earlier terminated as hereinafter provided.
5. ANNUAL SALARY AND BENEFITS
5.1 The Employee's annual salary shall be as follows:
5.1.1 The Employee shall receive a monthly gross salary of
eight thousand two hundred and twenty-seven dollars ($8,221) payable in New
Israeli Shekels according the representative rate of exchange in effect each
month at the time Company salaries are calculated. The Employees salary shall be
paid monthly, one month hi arrears.
5.1.2 The salary set forth in Section 5.1.1, above, shall be
referred to as the "Global Salary." The linkage of the Global Salary to the
United States dollar is in lieu of any generally-applicable increases, whether
the statutory cost of living increase ("TOSEFET YOKER") or any other
industry-wide increase applicable as the result of collective bargaining
agreements or other order of the Ministry of Labor and Welfare (such as TKAVEI
HARHAVA). By signing this Agreement and accepting employment pursuant to its
terms, the Employee represents that he/she will not claim any such increase.
5.1.3. The Employee shall not be entitled to receive from the
Company any salary or payment of any kind other than the Global Salary and other
payments specifically set forth in this Agreement.
5.2 Other Terms of Employment
5.2.1 EXPENSES: The Employee shall be entitled, in accordance
with the Company's standard policy in effect from time to time, to be reimbursed
for expenses incurred in connection with Company business and for other expenses
in Israel and abroad when supported by appropriate voucher, receipts or other
proof of the Employee's expenditures.
5.2.2 CONTINUING EDUCATION FUND: The Employee shall be
entitled to participate in the Company's continuing education fund (KEREN
HISHTALMUT). The Company shall contribute air amount equal to seven and a half
percent (7.5%) of the Employee's Global Salary and shall deduct two and a half
percent (2.5%) of the Employee's Global Salary and transfer it as the Employee's
contribution. The Employee consents to the deduction of this amount as his/her
contribution to the continuing education fund. The Company's contributions will
continue only up to the permissible tax-exempt salary ceiling according to the
income tax regulations in effect from time to time.
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5.2.3 RESERVE DUTY: The Employee shall be entitled to receive
his/her full Global Salary and other payments while performing reserve duty,
provided that any amount received by the Employee from the I.D.F. or any other
source (excluding D'MEI CALCALA) is transferred to the Company or, in the
alternative, an amount equal to that received from the I.D.F. or any other
source is deducted from the Global Salary payable to the Employee.
5.2.4 ANNUAL LEAVE: The Employee shall be entitled to fifteen
(15) working days of paid annual leave each year, adding one (1) day for each
year from the date of initial employment up to a total maximum of twenty-two
(22) days annually. The Employee shall not be allowed to accrue more than twenty
(20) working days of annual leave except in unusual. circumstances and with the
permission of the Company. Should the Employee's annual leave balance exceed
twenty (20) days at the end of any calendar year, the excess number of days
shall be paid out in accordance with the provisions of the Annual Leave Law --
1951.
5.2.5 RECREATION PAY (D'MEI HAVRA'A): The Company shall pay
the Employee for recreation (D'MEI HAVRA'A) each year in accordance with the law
and the normal practice of the Company in effect from time to time.
5.2.6 SICKNESS AND DISABILITY INSURANCE: The Employee shall be
entitled to the number of days for sick leave permitted by law. Compensation for
sick days utilized shall be paid according to his/her Global Salary only upon
the presentation of medical documentation as required by the Company. The
Employee shall be covered by disability insurance that provides monthly
compensation. The cost of such insurance shall be borne by the Company.
Notwithstanding the foregoing, the Employee shall not be entitled to receive
compensation for sick leave if such compensation is covered by the Employee's
disability insurance referred to above. However, should the amounts received by
the Employee pursuant to such disability insurance be less than the amount that
is properly payable as compensation for the Employee's available sick leave,
according to the. Global Salary, the Company shall pay the difference. It is
understood and agreed that unused sick leave cannot be redeemed by the Employee.
For the avoidance of doubt, it is understood and agreed that the payments made
by the Company in consideration of sick leave covers all obligations of the
Company pursuant to the Sick Leave Law -- 1976.
5.2.7 EMPLOYEE INCENTIVE PLAN: The Employee shall be eligible
for participation in the equity incentive plans promulgated from time to time by
the Company's parent (the "Stock Option Plan"). The decision whether to grant
the Employee any award under the Stock Option Plan shall be made solely by the
Board of Directors of the Company's parent, in their complete and unfettered
discretion, and such grant, if made, shall be subject to the terms and
conditions of the Stock Option Plan and the actual grant authorized by the Board
of Directors of the Company's parent. Nothing herein shall be construed to
entitle the Employee to receive a grant pursuant to the Stock Option Plan or; if
such grant is made, to a grant of a particular amount.
5.2.8 The Company shall provide the Employee with a car, class
(shovi shimush) 2 according to the rules and regulations of the Israel Income
Tax Authority. The Employee recognizes and agrees that the Company shall deduct
from the Employee's monthly salary the tax due on the benefit imputed to him as
a result of his use of the car (the "Imputed Benefit"). The Employee
acknowledges that the Imputed Benefit will riot be included in the
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salary on which any severance pay, pension, manager's insurance, continuing
education fund and/or any other salary-dependent benefit to which he-may be
entitled pursuant to this Agreement or under the law, is calculated. The Company
shall be responsible for covering vehicle maintenance and fuel expenses,
including contract fees with the company from which the car is leased. The
Company may limit the number of kilometers the Employee can drive the car per
year. The Employee shall maintain the car in proper working order, including
maintaining the car on time according to the manufacturer's instructions. The
Employee shall be responsible for all expenditures and/or damage caused to the
oar and/or any third party as result of his failure to drive the car in a legal
manner or to follow all instructions contained in the car's insurance policy.
The Employee further agrees to be solely responsible for any fines incurred
while using the car. The Employee shall allow the Company to deduct from his
salary any amount described above should the Company, for whatever reason, pay
these in his stead. The Employee shall return the car to the Company on the day
requested by the Company upon the termination of the Employee's employment for
any reason.
5.3 Pension Benefits and Severance Payments
5.3.1. The Company will pay into a Provident Fund (KUPAT
GEMEL) (in the meaning of Section 47 of the Income Tax Ordinance) in the form of
Manager's Insurance or another form according to the Employee's choice and the
Company's agreement, an amount equal to thirteen and one third percent (13 1/3
%) from the monthly Global Salary paid to the Employee, and the Employee will
pays on his/her own account, an amount equal to five percent (5%) from that
Global Salary. The Employee agrees that the Company shall be entitled to deduct
the Employee's contribution (5%) from the Employee's Global Salary. For the
avoidance of doubt, it is clarified that under no circumstances shall the
Company's contribution exceed thirteen and one third percent (13 1/3 %) of the
Global Salary in any one month.
5.3.2. Five percent (5%) of the thirteen and one third percent
(13 1/3 %) that the Company contributes as set forth above and the five percent
(5%) the Employee contributes, together with linkage and interest on the
contributions, will be treated as pension benefits for the Employee or his/her
survivors. The remaining eight and one third percent (8 1/3 %) of the Company's
contribution, together with linkage and interest on that portion, will be
utilized to pay severance benefits in accordance with legal requirements to the
Employee or his/her descendants in the event of the termination of his/her
employment with the Company, except in those circumstances discussed below.
5.3.3 In the event that the Employee chooses Manager's
Insurance, the policy shall belong to the Company as long as it employs the
Employee and it makes the required payments on the policy, The payments made
into the Kupat Gemel pursuant to Section 5.3.1, above, shall fulfill the
Company's obligation for severance payment pursuant to the Severance
Compensation Law -- 1963. Upon the termination of the Employee's employment for
whatever reason other than Cause, as defined in Section 6, below, and upon
his/her final departure from the Company, the Employee or his/her descendants
shall be entitled to receive the ownership of all rights which have accrued on
his/her behalf in the Kupat Gemel or the ownership of the Manager's Insurance
policy, as appropriate arid subject to the provisions of Section 6, below. In
the event that the Employee is terminated for Cause, he/she or his/her
descendants shall not be
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entitled to receive ownership of that portion of the Kupat Gemel or Manager's
Insurance policy attributable to legal severance benefits.
5.3.4 In the event that there is a difference in the
Employee's favor between the amount to which he/she is entitled to receive
pursuant to the Severance Compensation Law -- 1963 and the severance, payment
amount (including linkage and interest) that is in the Kupat Gemel or Manager's
Insurance policy, the Company shall pay that difference. For the avoidance of
doubt, it ,is understood that in the event that the severance payment amount
(including linkage and interest) that is in the Employee's Kupat Gemel or
Manager's Insurance policy exceeds the amount to which he/she is entitled to
receive as severance compensation pursuant to the Severance Compensation Law --
1963, the difference shall not be transferred to the Employee, including to
his/her pension account, but shall be the property of the Company.
5.4 Indemnification
The Company and/or its parent shall take whatever steps are necessary to
establish a policy of indemnifying its officers, including, but not limited to
the Employee, for all actions taken In good faith in pursuit of their duties and
obligations to the Company. .Such steps shall include, but shall not necessarily
be limited to, the obtaining and maintenance of an appropriate level of
Directors and Officers Liability coverage.
6. TERMINATION OF EMPLOYMENT
6.1 Either party may terminate the Employee's employment with the.
Company without cause at any time upon three months notice.
The Company shall, have the right, in its sole discretion, to
require the Employee to continue working with the Company
during the notice period. If the Company terminates the
Employee without cause pursuant to this Section, the Board of
Directors shall take the necessary steps so that the period
during which the Employee shall be permitted to exercise his
options, for options granted after the date of this agreement,
shall be extended to one (1) year from the effective date of
his/her termination.
6.2 The Employee's employment shall be terminated by his/her death
or disability. (For purposes of this Section, "disability"
shall be deemed to have occurred if the Employee is unable,
due to any physical or mental disease or condition, to perform
his/her normal duties of employment for 120 consecutive days
or 180 days In any twelve month period.) In such an event,
he/she shall be entitled to continue to receive his/her annual
salary for three (3) months following his/her last day of
actual employment by the Company. Such amount shall be in
addition to any severance payment he/she is entitled to
receive according the provisions of the Severance Compensation
Law - 1963. In addition, the Board of Directors shall take the
necessary steps so that the period during which the Employee
shall be permitted to exercise such options granted after the
date of this agreement shall be extended to the shorter of (a)
one (1) year from the effective date of his/her termination as
defined in the Share Option Plan governing the options in
question, or (b) the life of the option. Should the Employee's
employment be terminated as
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a result of his/her death, the benefits granted herein, shall
be granted instead to his/her lawful heir or heirs.
6.3 Notwithstanding the foregoing, the Company may terminate the
Employee immediately and without prior notice for Cause, The
term "Cause" herein shall include any of the following events:
(a) any act of fraud or dishonest or willful misconduct; (b) a
material breach of the Employee's obligation pursuant to
Sections 8.7, 5.8 (confidentiality) and 8.9 (non-competition),
below (a) a material breach by the Employee of any other
provision hereof, Including but not limited to, the habitual
neglect or gross failure by the Employee to adequately perform
the duties of his/her position, or of any other contractual or
legal fiduciary duty to the Company; or (d) if the Employee is
convicted of a criminal offence involving fraud, embezzlement
or dishonesty.
6.4 For the avoidance of doubt, In the event that Employee's
employment has been terminated in accordance with Section 6.3,
above, the Employee shall not be entitled to receive any of
the severance payments or other termination benefits set forth
in this Agreement.
6.5 In the event of a "Change of Control," as defined below, the
Board of Directors shall take the necessary steps to
accelerate the vesting of 50% of any options granted to the
Employee subsequent to this Agreement that have not vested as
of the effective date of the Change of Control. Furthermore
and notwithstanding the notice provision of Section 6.1,
above, should the Employee's employment be terminated without
cause at any time during a period of twelve (12) months
subsequent to the effective date of a Change of Control,
Employee wilt be entitled to four months written notice and
the Board of Directors shall take the necessary steps so that
any unvested options that were granted subsequent to the date
of this Agreement shall (rest immediately upon the effective
date of the Employee's termination. A Change of Control shall
mean (a) the consummation of a merger or consolidation of the
Company with or into another entity or any other corporate
reorganization, if persons who were not stockholders of the
Company immediately prior to such merger, consolidation or
other reorganization own immediately after such merger,
consolidation or other reorganization 50% or more of the
voting power of the outstanding securities of each of the (1)
continuing or surviving entity and (ii) any direct or indirect
parent corporation of such continuing or surviving entity or
(b) the sale, transfer or other disposition of all or
substantially all of the Company's assets. A Change of Control
shall not be deemed to have occurred as a consequence of (d)
the initial public offering the Company's securities.
7. TAXES AND OTHER PAYMENTS
7.1 Unless otherwise specifically provided for in this Agreement,
the Company shall not be liable for the payment of taxes or
other payment for which Employee is responsible as result of
this Agreement or any other legal provision, and the Employee
shall be personally liable for such taxes and other payments.
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7.2 The Employee hereby agrees that the Company shall deduct from
his/her Global Salary (a) the Employee's national insurance
fees, (b) income tax (c) national health insurance fees; and
(d) other amounts required by law or the terms of this
Agreement. For the avoidance of any doubt, the Employee agrees
that the Company shall deduct the appropriate Israeli taxes
from any payment made to the Employee on the account of the
Employee's exercise of Company stock options and the sale of
the resulting shares of Company stock. Such deductions shall
be made in accordance with any relevant requirements imposed
under the relevant Stock Plan of the Company or its parent The
Company shall provide the Employee with documentation of such
deductions.
8. EMPLOYEE OBLIGATIONS
8.1 The Employee agrees to devote his/her entire business time,
energy, abilities and experience to the performance of his/her
duties, effectively and in good faith.
8.2 During the period of his/her employment, the Employee shall
not be employed, whether or not during regular business hours,
and whether or not for pay by any other party other than the
Company, without the prior written consent of the Company.
8.3 The Employee agrees to immediately inform the Company of any
Company issue or transaction in which the Employee has a
direct or indirect personal interest and/or where such issue
or transaction could cause a conflict of interest for the
Employee in the fulfillment of his/her responsibilities as an
employee of the Company.
8.4 The Employee hereby gives a irrevocable instructions and
permission to the Company to deduct from any amounts owed to
the Employee by the Company, including amounts payable as
severance compensation, (a) any debt he/she has or will have
to the Company, and/or (1) any amount that was wrongfully or
mistakenly paid to him/her by the Company. Any such amounts to
be deducted shall be calculated in real terms as of the date
of the deduction, including linkage to the cost of living
index.
8.5 The Employee declares that the tennis and conditions of
his/her employment are personal and confidential and will not
be disclosed by him/her.
8.6 The Employee declares that he/she is free to enter into this
Agreement and that he/she has no obligations of any kind to
any third party that would impair this Agreement, either as an
employee or an independent contractor. The Employee further
declares that as long as he/she remains an employee of the
Company, he/she will not incur any such obligations.
8.7 (a) The Employee declares that he/she knows and is fully aware
that all the software written and/or sold and/or distributed
and/or-developed and/or in the process of any of the
foregoing, by time Company or its employees or by any other
person for the Company, even if not located at its offices or
with distributors
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of the software and/or customers and business partners of the
Company, constitute valuable property and a business secret of
the Company or of the Company's clients and business partners.
The Employee further acknowledges that in the course of
his/her employment, he/she may learn of other confidential and
proprietary Information and trade secrets of the Company
and/or the Company's customers and business partners. The
Employee undertakes to keep confidential all information about
the software and other confidential and proprietary
information and trade secrets, and not to reveal such
information to any person whomsoever, neither during the
period of his/her employment by the Company nor subsequent
thereto, and the Employee shall use his/her best efforts to
prevent the publication or disclosure of any secret or process
or information related to the Company's or its customers' and
business partners' software, business, work methods,
customers, suppliers, partners or any other subject identified
as confidential, which comes to his/her knowledge during the
term of his/her employment.
(b) The Employee undertakes not to make any copies
whatsoever of the software, nor to permit others so to do, nor
to remove from the offices of the Company or any other place
of work to which he/she may -be sent by the Company, any
document, disk, magnetic tape or other media whatsoever which
contains any part- of the software or data on the software of
the Company or any client, supplier, customer or business
partner of the Company.
(c) Notwithstanding the foregoing provisions, here
the Employee is specifically authorized to carry out certain
work at his/her home or elsewhere, he/she may take a copy only
of that software absolutely necessary in order for him/her to
be able to perform such work after registering each piece of
software so taken with , the Company. Employee shall take all
reasonable steps to ensure the security of such software while
at his/her home, and upon completion of each part of the work
being carried on at his/her home, he/she shall return to the
offices of the Company all copies of the software so prepared
or required for its preparation, and shall ensure that no
copies thereof remain at his/her home or on the computers
there located.
8.8 On the termination (for whatever cause and howsoever arising)
of his/her employment, the following shall apply:
(a) The Employee shall not at any time disclose to
any third party or use or seek to use or knowingly allow any
third party to use or seek to use any matter or information
coming to his/her knowledge or attention during the period of
his/her employment here under which lie/she knows or ought
reasonably to have known to be a trade secret of the Company
or otherwise of a confidential nature pursuant to Section 8.8,
above, provided that this sub-clause shall not operate so as
to prevent or restrict the Employee from using his/her own
personal knowledge or skill in any business or trade in which
he/she may (subject to the provisions hereof)or trade in which
he/she may (subject to the provisions hereof) be a full
termination of his/her employment hereunder.
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(b) The Employee undertakes that in his/her future
work, after completing his/her employment with the Company,
he/she will not utilize any procedures and/or programs and/or
Company materials or property and/or computer instructions
and/or parts of the software known to him/her as a result of
his/her employment that are not public knowledge, neither for
his/her own use any other person or work or for the creation
of software products for himself and/or for the development of
software products for any other person, whether or not for a
fee or profit. This undertaking shall not prevent the Employee
from utilizing the general knowledge and experience that
he/she acquired during the term of his/her employment as
he/she sees fit, provided that he/she does riot utilize the
knowledge he/she gained of the specific programs
(c) So long as Employee is employed, by Company and
for a period of twelve (12) months after the termination of
the Employee's employment Employee agrees not to enter into
competitive activity, including becoming an owner, executive
officer, employee, or director of, or consultant to, any firm
or person that competes with the Company or its affiliated
companies. For purposes of this Clause, "competitive activity"
shall mean any activity, without the written consent of the
Board, consisting of the Employee's participation in the
management of, or his/her acting as a consultant for or
employee of, any business operation of any enterprise if such
operation engages in the development, production, sale and/or
marketing of. any product that competes with any product
developed and/or produced by Company or jointly developed
and/or produced with an affiliated company, or in the process
of being developed and/or produced by the Company or in the
process of being developed and/or produced jointly with an
affiliated company, during the Employee's employment or at the
time of the Employee's termination, provided, however, that
the Employee may own any securities of any corporation that
engaged in such business and is publicly owned and traded but
in any amount not to exceed at any time 5% (five percent) of
any class of stock or securities of such company, so long as
he/she has no active role in the publicly owned and traded
company as director, employee, consultant, or otherwise. To
remove all doubt, nothing in this Section shall prevent the
Employee from being a consultant to or an employee of a
competitor of the Company or an affiliated company during the
term of this non-competition clause provided that he/she does
not work in or with an operation of such competitor or does
not otherwise violate the terms of this Section.
(d) While employed by the Company and for twelve (12)
months following the termination of his/her employment, the
Employee shall not directly or indirectly solicit, entice,
persuade, or induce any employee of the Company or any third
party then under contract to the Company, to terminate his/her
employment by or contractual relationship with the Company, or
to enter into contractual relations with a competitor of the
Company, or authorize or assist in the taking of any such
actions by any third party.
(e) The Employee agrees that the time specified in
this Section (twelve (12) months) is reasonable in view of the
nature of the business in which the
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Company is engaged and proposes to engage, his/her access to
the confidential and proprietary information of the Company
and his/her knowledge or the Company's business. The
restrictions upon the Employee in this Agreement shall be in
addition to and not in substitution for any obligations
imposed upon him/her by law in relation to confidential
information or and so that each of the foregoing restrictions
in Sections 8.8 and 8.9, above, shall constitute separate
agreements between the Company the Employee and shall be in
addition to and not in substitution for any obligations
imposed upon him/her by the general law.
(f) The Company and the Employee agree and stipulate
that the agreements and covenants not to co paint game in the
Agreement and reasonable in their scope and duration in light
of all the facts and circumstances of the relationship between
the Employee and the Company; however; the employee and the
Company are aware that in certain circumstances courts have
refused to enforce certain agreements not to compete.
Therefore in furtherance and not in derogation of the
provisions of the preceding Sections, the parties agree that
in the event a court declines to enforce the provisions of
this Section 8.9, that those provisions shall be deemed to be
modified to restrict the Employee's competition with the
Company to the maximum extent, in both time, content and
geography, which a competent court shall find enforceable;
however, in no event shall those provisions be deemed more
restrictive to the Employee than those contained therein.
8.9 Upon termination of his/her employment; the Employee agrees to
assist the Company with an orderly transition of his/her
responsibilities. The Employee further agrees that upon
request by the Company, and in any event upon termination of
the Employee's employment, the Employee shall turn over to the
Company all documents, papers or other material in the
Employee's possession under the Employee's control which may
contain or be derived from confidential and proprietary
information, together with all documents, notes, or the
Employee's work products which are connected with or derived
from the Employee's services the Company. of software obtained
from the Company shall be either returned to the Company
appropriate, permanently deleted.
9. INTELLECTUAL PROPERTY RIGHTS
9.1 The Employee declares that he/she is aware that anything that
is done by him/her in the Company or in connection with the
Company, whether it be an invention, a discovery, or the
development of an idea or a thing, all within the framework of
the Company's business (the Development") shall belong to and
be controlled by the Company, unless the Board of Directors
shall, in writing, direct otherwise.
9.2 The Company shall have the right to fully utilize and exploit
the Development, as it sees fit, including changing it,
registering part or all of it as a patent, whether in Israel
or abroad, selling it, transferring it to a third party, all
without being required to either receive the Employee's
consent or pay the Employee any
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additional payment for such Development apart from any payment
he/she receives pursuant to this Agreement.
9.3 The Development and any subsequent intellectual property
arising there-from shall remain the sole property of the
Company even after the Employee's employment tenninates for
any reason. The termination of this Agreement, whether due to
its breach or its own terms, shall not impair the Company's
exclusive rights in the Development.
9.4 The Employee may not do anything with the Development or any
related materials without the knowledge and prior consent of
the Company. The Employee declares that he/she neither has nor
will have any rights in the Development or its fruits and that
all rights to the Development and its fruits shall fully
reside in the Company.
9.5 In the event that at the time of the termination of the
Employee's employment for any reason the Development has not
been completed, the Employee shall be prohibited from any
continued activity in connection with the subject of the
Development, alone or in concert with others, that is not
explicitly allowed in writing by the Company. The Company
alone will be the sole owner of the uncompleted Development
and shall have the sole right to complete the Development or
to take any other action in connection with the Development.
9.6 The Employee hereby assigns and agrees to assign to the
Company or its parent, subsidiaries, or affiliates, as
appropriate, its successors; assigns or nominees, the
Employee's entire tight, title and interest in any
Developments, designs, patents, inventions and improvements,
trade secrets, trademarks, copyrightable subject matter or
proprietary information which the Employee has made or
conceived; or may make or conceive, either solely or jointly
with others, while providing services to the Company, or with
the use of the time, material or facilities of the Company or
relating to any actual or anticipated business, research,
development product, service or activity of the Company, or
suggested by or resulting from any task assigned to the
Employee or work performed by the Employee for or on behalf of
the Company whether or not such work was performed prior to
the date of this Agrrembnt: It is further agreed, that without
further charge to the Company, but at its expense, the
Employee will execute and deliver all such further documents
as may be necessary, including original applications and
applications for renewal, extension or reissue of such
patents, trademark registrations or copyright registrations,
in any and all countries, to vest title thereto in the
Company, its successor, assigns or nominees.
10. INJUNCTIVE RELIEF
The Employee acknowledges that disclosure of any Confidential Information or
breach of any of the non-competitive covenants or agreements contained herein
will give rise to irreparable injury to the Company or clients of the Company,
inadequately compensable in damages. Accordingly, the Company or, where
appropriate a client of the Company, may seek and obtain injunctive
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relief against the breach or threatened breach of the foregoing undertakings, in
addition to any other legal remedies which may be available. The Employee
further acknowledges and agrees that in the event of the termination of
employment with the Company, the Employee's experience and capabilities are such
that the Employee can obtain employment in business activities which are of a
different or non-competing nature with his/her activities as an employee of the
Company; and that the enforcement of a remedy hereunder by way of injunction
shall not prevent the Employee from earning a reasonable livelihood. The
Employee further acknowledges and agrees that the covenants herein are necessary
far the protection of the Company's legitimate business interests and are
reasonable in scope and intent.
11. GENERAL
11.1 It is agreed that the provisions of this Agreement represent
the full scope of the agreement between the parties and that
neither aide shall be bound by any promises, declarations,
exhibits, agreements or obligations, oral or written, prior to
its execution that are not included in this Agreement. Any
changes or amendments to this Agreement must be in writing
arid signed by both parties.
11.2 This Agreement shall be governed by, and construed and
interpreted under, the laws of the State of Israel. The
parties agree that any legal claim lodged by one party against
the other arising from the terms of this Agreement shall be
adjudicated only by the appropriate court in Jerusalem,
Israel.
11.3 If any provision of this Agreement shall be declared by a
court of competent jurisdiction to be invalid, illegal or
incapable of being enforced in whole or in part, the remaining
conditions and provisions or portions thereof shall
nevertheless remain in full force and effect and enforceable,
and no provision shall be deemed dependent upon any other
covenant or provision unless so expressed herein.
11.4 The rights, benefits, duties and obligations under this
Agreement shall inure to, and be binding upon, the Company,
its successors and assigns, and upon the Employee and his/her
legal representatives. This Agreement constitutes a personal
service agreement, and the performance of the Employee's
obligations hereunder may not be transferred or assigned by
the Employee.
11.5 The failure of either party to insist upon the strict
performance of any of the terms, conditions and provisions of
this Agreement shall not be construed as a waiver or
relinquishment of future compliance therewith or with any
other term, condition or provision hereof, and said terms,
conditions and provisions shall remain in full force and
effect. No waiver of any term or condition of this Agreement
on the part of either party shall be effective or any purpose
whatsoever unless such waiver is in writing and signed by such
party.
11.6 The headings of Sections are inserted for convenience and
shall not affect any interpretation of this Agreement.
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12. NOTICES
12.1 A notice that is sent by registered mail to a party at its
address as set forth in Section 12.2, below, shall be deemed
received three (3) days after its posting, and the receipt
stamped by the post office shall represent definitive evidence
of the date of mailing. A notice that is delivered by hand
shall be deemed received upon actual receipt by the addresses
as evidenced by a declaration of the person taking delivery
and/or a signed receipt by the person receiving the notice.
12.2 The addresses of the parties for the purposes of this
Agreement are:
Atomica Israel Technologies Ltd.:
Building 98
Jerusalem Technology Park
Jerusalem 91481
Employee
Jeff Schneiderman
155 Ma'ale Michmas
D.N. Mizrach Binyamin
Maale Michmas, Israel 90634
IN WITNESS WHEREOF the parties have hereunto set their hands at the place and on
the date first above written.
Atomica Israel Technologies Ltd.
By
/s/ Robert S. Rosenschien /s/ Jeff A. Schneiderman
Employee
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