EXHIBIT 10.1
Execution Version
EMPLOYMENT AGREEMENT
THIS EMPLOYMENT AGREEMENT (the
"Agreement"), is dated as of the 8th day of April, 2021, by and between Teligent, Inc., having an address
at 105 Lincoln Avenue, Buena, New Jersey 08310 (the “Company”) and Ernest R. DePaolantonio, having an address
at 4 Krista Court, Mendham, New Jersey 07945-3134 (the “Executive”). The Company and the Executive are collectively
referred to hereinafter as the “Parties”.
RECITALS:
WHEREAS, the Company desires to
employ the Executive on the terms and subject to the conditions set forth herein, and Executive is willing to accept such employment
of the terms and conditions; and
WHEREAS, by virtue of such employment,
Executive will have access to Proprietary Information of the Company and its subsidiaries and affiliates (the “Teligent Companies”);
and
WHEREAS, Executive acknowledges
and agrees that the Teligent Companies have a reasonable, necessary and legitimate business interest in protecting their Proprietary
Information, client accounts, relationships with prospective clients, goodwill and ongoing business, and that the terms and conditions
set forth are reasonable and, necessary in order to protect these legitimate business interests.
NOW THEREFORE, in consideration
of the representations, warranties, covenants, and agreements contained herein, and for other good and valuable consideration, the receipt
and adequacy of which are conclusively acknowledged, the Parties, intending to become legally bound, agree as follows:
AGREEMENT
1.1. Specific Definitions.
Capitalized terms not defined elsewhere herein shall have the following meanings ascribed to them:
“Person” means
an individual, a partnership, a corporation, an association, a joint stock company, a trust, a joint venture, an unincorporated organization,
a limited liability company, or a governmental entity (or any department, agency, or political subdivision thereof).
| 2. | POSITION,
RESPONSIBILITIES AND TERM |
2.1. Executive’s Position. On the
terms and subject to the conditions set forth in this Agreement, the Company shall employ Executive to serve as an officer of the Company
and as Chief Financial Officer of the Company. The Executive shall report directly to the Company’s Chief Executive Officer and
shall perform such services in the Company’s offices in Buena and Metro Park (Iselin), New Jersey or such other location or locations
as the Executive and the Board of Directors (the “Board”) shall agree; provided, however, that Executive will be required
to travel from time to time for business purposes.
2.2. Executive’s Responsibilities.
The Executive shall perform all duties customarily attendant to the position and shall perform such services and duties commensurate
with such position as may from time to time be reasonably prescribed by the Board.
2.3. No Conflicts of Interest.
Executive further agrees that throughout the period of his employment hereunder, he will not perform any activities or services,
or accept such other employment which would be inconsistent with this Agreement, the employment relationship between the Parties, or
would interfere with or present a conflict of interest concerning Executive's employment with the Company; provided, that Executive shall
be permitted to serve on the boards of directors of such other companies not in competition with the Company as the Board shall approve
in writing and that Executive may make personal investments and may act as a director and engage in other activities for any charitable,
educational, or other nonprofit institution, as long as such investments and activities do not materially interfere with the performance
of Executive’s duties hereunder. Executive agrees to adhere to and comply with any and all business practices and requirements
of ethical conduct set forth in writing from time to time by the Company in its employee manual or similar publication.
2.4. Term. This Agreement
shall become effective on April 15, 2021 (the “Effective Date”) and will govern Executive's employment by the
Company until that employment ceases (such period of Executive's employment is herein referred to as the “Term”).
Executive hereby accepts such
employment and agrees that throughout the Term, Executive will devote his full business time, attention, knowledge and skills faithfully,
diligently and to the best of his ability, in the furtherance of the business of the Teligent Companies.
4.1. Base Salary. The Executive
shall receive an initial annual salary of Three Hundred Thirty-Five Thousand Dollars ($335,000.00) (the “Base Salary”)
paid in accordance with the Company's payroll practices, as in effect from time to time. The Base Salary shall be reviewed on an
annual basis by the Company.
4.2. Benefits. In addition
to such compensation, Executive shall be entitled to the benefits which are afforded generally, from time to time to similarly situated
executive employees of the Teligent Companies. Notwithstanding the foregoing, nothing contained in this Agreement shall require the Teligent
Companies to establish, maintain or continue any of the group benefits plans already in existence or hereafter adopted for the employees
of the Teligent Companies, or restrict the right of the Teligent Companies to amend, modify or terminate such group benefit plans in
a manner which does not discriminate against Executive as compared to other executive employees of Teligent Companies.
4.3. Paid Time Off. Executive
shall be entitled to 20 business days of paid time off (consisting of vacation and personal days), and shall be entitled to sick days
and holidays as are provided in general to similarly situated employees of the Teligent Companies, in accordance with usual practices
and procedures, prorated for Executive’s first year of employment. Paid time off shall stop accruing once Executive has accumulated
and not used the number of days to which he is entitled to in a year.
4.4. Annual Performance Bonuses.
(a)
The Executive shall be eligible to receive an annual performance bonus (the “Annual Bonus”) for each calendar year
during the Term (each a “Fiscal Year”), which shall be paid in cash not later than 75 days after the end of such Fiscal
Year; provided, however, that the Executive must be employed by the Company on December 31 of a Fiscal Year in order to be eligible
for an Annual Bonus under this Section 4.4 for such Fiscal Year.
(b)
The Executive's target Annual Bonus will be Forty Percent (40%) of Executive’s Base Salary then in effect for each Fiscal
Year (the “Target Bonus”). The Annual Bonus with respect to the 2021 Fiscal Year shall be pro-rated based on the partial
year of employment. The actual amount of the Annual Bonus, if any, will be determined by the Board and/or the Compensation Committee
of the Board (the “Committee”), in their sole discretion, with reference to the Executive's and the Company’s
fulfillment of performance goals established by the Committee with respect to the applicable Fiscal Year, provided, however with respect
to the 2021 Fiscal Year the actual amount of the Annual Bonus shall be calculated using a factor no less than that used to calculate
the Annual Bonus of similarly situated executive employees of the Teligent Companies.
4.5. Grants of Equity Awards.
(a) Awards. As soon as practicable following the
Effective Date of this Agreement and subject to the approval of the Board, Executive will receive the following equity grants: (i) 195,000
restricted stock units (the “RSU Award”); and (ii) options to purchase 240,000 shares of the Common Stock having
an exercise price shall be equal to the fair market value of the Company’s Common Stock on the grant date (the “Option”)
(together the RSU Award and Option may be referred to as the “Awards”). In addition, the Executive will be eligible
for annual refresh and other equity awards at the Board’s discretion generally in line with those afforded, from time to time,
to similarly situated executive employees of the Company. The Awards are intended to qualify as an “inducement grant” under
the rules of the Nasdaq Stock Market. The Awards shall be subject to the terms of award agreements in forms to be provided by the
Company.
(b) Vesting. Except as otherwise set forth in Section 8
hereof, subject to the Executive’s continued employment with the Company (i) the RSU Award shall vest twenty-five percent
(25%) on each of the first four (4) anniversaries of the grant date and (ii) the Option shall vest on the third (3rd)
anniversary based on the pro-rata achievement of the following performance milestones by the Company (A) the resolution of the November 2019
FDA Warning Letter, (B) FDA approval of the Company’s new sterile manufacturing facility, and (C) Launch by the Company
or a customer of the Company of the first sterile product manufactured in the new sterile manufacturing facility (ie: one-third of the
Options eligible to vest with achievement of each performance metric).
(c) Accelerated Vesting. Notwithstanding the foregoing,
immediately prior to a Change in Control (as defined in the award agreements), any portion of the Awards that is not vested will become
vested on the Change in Control provided the Executive remains in continuous service with the Company through the consummation of that
Change in Control.
The Company shall reimburse Executive, in accordance
with Company policy, for all expenses reasonably and properly incurred by Executive in connection with the performance of Executive's
duties hereunder and the conduct of the business of the Company, upon the submission to the Company (or its designee) of appropriate
vouchers therefor. Company shall also reimburse Executive for all fees and expenses associated with maintaining Executive’s licenses,
membership in a reasonable number of professional organizations selected by Executive or associated with attendance at a reasonable number
of professional continuing education and/or industry conferences, or seminars selected by Executive in an amount not to exceed One Thousand
Dollars ($1,000.00).
| 6. | CONFIDENTIAL INFORMATION AND PROPERTY |
6.1. Confidentiality. The
Executive recognizes and acknowledges that the Proprietary Information (as defined below) is a valuable, special and unique asset of
the business of the Teligent Companies. As a result, both during the Term and thereafter, the Executive will not, without the prior written
consent of the Company, for any reason divulge to any third-party or use for his own benefit, or for any purpose other than the exclusive
benefit of the Teligent Companies, any Proprietary Information. Notwithstanding the foregoing, if the Executive is compelled to disclose
Proprietary Information by court order or other legal or regulatory process, to the extent permitted by applicable law, he shall promptly
so notify the Company so that it may seek a protective order or other assurance that confidential treatment of such Proprietary Information
shall be afforded, and the Executive shall reasonably cooperate with the Teligent Companies in connection therewith. If the Executive
is so obligated by court order or other legal process to disclose Proprietary Information it will disclose only the minimum amount of
such Proprietary Information as is necessary for the Executive to comply with such court order or other legal process.
6.2. Property of the Company.
(a) Proprietary Information.
All right, title and interest in and to Proprietary Information will be and remain the sole and exclusive property of the Teligent
Companies. The Executive will not remove from the offices or premises of the Teligent Companies any documents, records, notebooks, files,
correspondence, reports, memoranda or similar materials of or containing Proprietary Information, or other materials or property of any
kind belonging to the Teligent Companies unless necessary or appropriate in the performance of his duties to the Teligent Companies.
If the Executive removes such materials or property in the performance of his duties, he will return such materials or property promptly
after the removal has served its purpose. The Executive will not make, retain, remove and/or distribute any copies of any such materials
or property, or divulge to any third person the nature of and/or contents of such materials or property, except to the extent necessary
to satisfy contractual obligations of the Teligent Companies or to perform his duties on behalf of the Teligent Companies. Upon termination
of the Executive's employment with the Company, he will leave with the Teligent Companies or promptly return to the Teligent Companies
all originals and copies of such materials or property then in his possession.
(b) Intellectual Property.
The Executive agrees that all the Intellectual Property (as defined below) will be considered “works made for hire” as
that term is defined in Section 101 of the Copyright Act (17 U.S.C. § 101) and that all right, title and interest in such Intellectual
Property will be the sole and exclusive property of the Teligent Companies. To the extent that any of the Intellectual Property may not
by law be considered a work made for hire, or to the extent that, notwithstanding the foregoing, the Executive retains any interest in
the Intellectual Property, the Executive hereby irrevocably assigns and transfers to the Teligent Companies any and all right, title,
or interest that the Executive may now or in the future have in the Intellectual Property under patent, copyright, trade secret, trademark
or other law, in perpetuity or for the longest period otherwise permitted by law, without the necessity of further consideration. The
Teligent Companies will be entitled to obtain and hold in its own name all copyrights, patents, trade secrets, trademarks and other similar
registrations with respect to such Intellectual Property. The Executive further agrees to execute any and all documents and provide any
further cooperation or assistance reasonably required by the Company, at the Company's expense, to perfect, maintain or otherwise protect
its rights in the Intellectual Property. If the Teligent Companies, as applicable, are unable after reasonable efforts to secure the
Executive's signature, cooperation or assistance in accordance with the preceding sentence, whether because of the Executive's incapacity
or any other reason whatsoever, the Executive hereby designates and appoints the Company, the appropriate affiliate, or their respective
designee as the Executive's agent and attorney-in-fact, to act on his behalf, to execute and file documents and to do all other lawfully
permitted acts necessary or desirable to perfect, maintain or otherwise protect the Teligent Companies' rights in the Intellectual Property.
The Executive acknowledges and agrees that such appointment is coupled with an interest and is therefore irrevocable.
For purposes of this Agreement,
“Intellectual Property” means (a) all inventions (whether patentable or unpatentable and whether or not reduced
to practice), all improvements thereto, and all patents and patent applications claiming such inventions, (b) all trademarks, service
marks, trade dress, logos, trade names, fictitious names, brand names, brand marks and corporate names, together with all translations,
adaptations, derivations, and combinations thereof and including all goodwill associated therewith, and all applications, registrations,
and renewals in connection therewith, (c) all copyrightable works, all copyrights, and all applications, registrations, and renewals
in connection therewith, (d) all mask works and all applications, registrations, and renewals in connection therewith, (e) all
trade secrets (including research and development, know-how, formulas, compositions, manufacturing and production processes and techniques,
methodologies, technical data, designs, drawings and specifications), (f) all computer software (including data, source and object
codes and related documentation), (g) all other proprietary rights, (h) all copies and tangible embodiments thereof (in whatever
form or medium), or (i) similar intangible personal property which have been or are developed or created in whole or in part by
the Executive (1) at any time and at any place while the Executive is employed by Company and which, in the case of any or all of
the foregoing, are related to and used in connection with the business of the Teligent Companies, or (2) as a result of tasks assigned
to the Executive by the Teligent Companies.
For purposes of this Agreement,
“Proprietary Information” means any and all proprietary information developed or acquired by the Teligent Companies
that has not been specifically authorized to be disclosed. Such Proprietary Information shall include, but shall not be limited to, the
following items and information relating to the following items: (a) all intellectual property and confidential or proprietary knowledge,
information or rights of the Company (including, without limitation, the Intellectual Property, trade secrets, books and records, know-how,
inventions, discoveries, processes and systems, as well as any data and records pertaining thereto), (b) computer codes and instructions,
processing systems and techniques, inputs and outputs (regardless of the media on which stored or located) and hardware and software
configurations, designs, architecture and interfaces, (c) business research, studies, procedures and costs, (d) financial data,
(e) distribution methods, (f) marketing data, methods, plans and efforts, (g) the identities of actual and prospective
customers and suppliers, (h) the terms of contracts and agreements with, the needs and requirements of, and the Teligent Companies'
course of dealing with, actual or prospective customers and suppliers, (i) personnel information, (i) customer and vendor credit
information, and (k) information received from third parties subject to obligations of non-disclosure or non-use. Failure by the
Teligent Companies to mark any of the Proprietary Information as confidential or proprietary shall not affect its status as Proprietary
Information.
| 7. | NON-SOLICITATION,
NON-COMPETITION |
Executive agrees that (a) during
the Term and for six (6) months following the end of the Term, executive will not, directly or indirectly, on behalf of himself
of any Person own any interest in, operate, join, control or participate as a partner, shareholder, member, director, manager, officer,
or agent of, enter into the employment of, act as a consultant to, or perform any services for any entity that is in competition with
the Company; or (b) during the Term and for twelve (12) months following the end of the Term, Executive will not, directly or indirectly,
on behalf of himself or any Person (i) solicit business from any Person, or interfere with any relationship of the Company with
any Person, which is then, or was during the twelve month period preceding such prohibited activity, a client of the Company, or (ii) solicit
the employment of, or hire, any employee of the Company or otherwise induce any such employee to leave the Company's employment or to
breach an employment agreement therewith.
Either party may terminate the
Executive's employment at any time for any reason, provided that the Executive shall provide thirty (30) days advance written notice
of any resignation by the Executive. Upon cessation of his employment with the Company, the Executive will be entitled only to such compensation
and benefits as described in this Section 8.
8.1. Termination by the Company Without Cause.
In the event the Company terminates the Executive’s employment without Cause (and other than due to his death or Disability), the
Company shall pay Executive (i) his unpaid Base Salary through the effective date of termination, (ii) any earned Annual Bonus
for the prior Fiscal Year which is unpaid at the time of termination and (iii) any business expenses remaining unpaid on the effective
date of the termination for which Executive is entitled to be reimbursed under Section 5 of this Agreement (the “Accrued
Obligations”). In addition, and subject to Executive’s execution of the Release as described in Section 8.4, the
Company shall (i) pay Executive an amount per month equal to one-twelfth of his then adjusted Base Salary for the period commencing
on the date following the date of termination and ending on the date which is six (6) months following the effective date of termination;
(ii) pay Executive an amount equal to a pro-rata portion of the Annual Bonus that would otherwise have been payable to Executive
for the Fiscal Year in which the termination occurs, determined in the same manner and payable at the first practicable payroll date
following the date the Release is effective, with such pro-rata portion to be determined based on the number of months (and any fraction
thereof) Executive is employed during the Fiscal Year in which termination occurs, relative to 12 months; (iii) pay or reimburse
Executive for COBRA premiums for six (6) months following termination or such earlier date Executive becomes covered under the employee
benefit plans of a subsequent employer; and (iv) to the extent then unvested, cause to become vested a pro-rata portion of the Awards
equal to the quotient of the number of full months that have transpired between the Effective Date and date of termination, divided by
36. All obligations described clauses (i) through (iii) in this Section 8.1 shall immediately terminate upon a court of
competent jurisdiction’s determination that Executive has breached the provisions of Section 6 or 7 hereof.
For the purpose of this Agreement, “Cause”
shall mean (i) commission of a willful and material act of dishonesty in the course of Executive's duties hereunder, (ii) conviction
by a court of competent jurisdiction of a crime constituting a felony or conviction in respect of any act involving fraud, dishonesty
or moral turpitude, (iii) Executive's performance under the influence of controlled substances, or continued habitual intoxication,
during working hours, after the Company shall have provided written notice to Executive and given Executive 30 days within which to commence
rehabilitation with respect thereto, and Executive shall have failed to commence such rehabilitation or continued to perform under the
influence after such rehabilitation, (iv) frequent or extended, and unjustifiable (not as a result of incapacity or disability)
absenteeism which shall not have been cured within 30 days after the Company shall have advised Executive in writing of its intention
to terminate Executive's employment in accordance with the provisions of this Section 8.1, in the event such condition shall not
have been cured, (v) Executive's personal, willful and continuing misconduct or refusal to perform duties and responsibilities described
in Section 2 above, or to carry out directives of the Board which, if capable of being cured, shall not have been cured within 60
days after the Company shall have advised Executive in writing of its intention to terminate Executive's employment in accordance with
the provision of this Section 8.1 or (vi) material non-compliance with the terms of this Agreement, including but not limited
to any breach of Section 6 or Section 7 of this Agreement.
8.2. Other Terminations.
If the Executive’s employment with the Company is terminated (a) by the Company for Cause, (b) as a result of the Executive's
death, (c) as a result of the Executive's Disability, or (d) as a result of Executive’s resignation for any reason, then
the Company's obligation to the Executive will be limited solely to the payment of the Accrued Obligations. All compensation and benefits
will cease at the time of such termination and, except as otherwise required by applicable law, the Company will have no further liability
or obligation by reason of such termination. The foregoing will not be construed to limit the Executive’s right to payment or reimbursement
for claims incurred prior to the date of such termination under any insurance contract funding an employee benefit plan, policy or arrangement
of the Company in accordance with the terms of such insurance contract.
For the purpose of this Agreement,
a “Disability” shall be deemed to have occurred (i) when Executive has become eligible for disability benefits
under the Company's long-term group disability policy, if any, or, if no policy is then in effect, (ii) when such incapacity or
disability shall have existed for either (A) one continuous period of six months or (B) a total of seven months out of any
twelve consecutive months.
8.3. Miscellaneous Termination
Provisions.
Executive, upon termination or
expiration of employment for any reason, hereby irrevocably promises to:
(a) Return
all property of the Teligent Companies in his possession or within his custody and control wherever located immediately upon such termination.
(b) Participate
in an exit interview with a designated person or persons of Company if requested by Company.
(c) Subject
to obligations under applicable laws and regulations, not publicly make any statements or comments that disparage the reputation of any
of the Teligent Companies or their senior officers or directors.
8.4. Release. Notwithstanding
any other provision of this Agreement, the payments and benefits described in Section 8.l (i) through (iii) are conditioned
on Executive's execution and delivery to the Company, within 60 days following his cessation of employment, of a form of separation agreement
containing a general release of claims against the Company and its affiliates in a form to be provided by the Company (the “Release”).
If the 60-day period described in the previous sentence begins in one taxable year and ends in a second taxable year and if the cash
payments and benefits described in Section 8.1 exceed the limitations applicable to a “separation pay plan” under Treas.
Reg. § 1.409A-l(b)(9)(iii), such payments and other rights shall not commence until the second taxable year.
8.5. Section 409A. The intent of the
Parties is that payments and benefits under this Agreement comply with Section 409A of the Internal Revenue Code of 1986, as amended
(the “Code”), to the extent subject thereto, and accordingly, to the maximum extent permitted, this Agreement shall
be interpreted and administered to be in compliance therewith. For purposes of this Agreement, all references to ''termination of employment”
and correlative phrases shall be construed to require a “separation from service” (as defined in Treas. Reg. §1.409A-l(h) after
giving effect to the presumptions contained therein), and the term “specified employee” means an individual determined by
the Company to be a specified employee under Treas. Reg. § 1.409A-l(i). If the termination giving rise to the payments described
in Section 8.1 is not a “separation from service”, then the amounts otherwise payable pursuant to that section will
instead be deferred without interest and will not be paid until Executive experiences a “separation from service”. If at
the time of the Executive's termination of employment, the Executive is a “specified employee,” as defined below, any and
all amounts payable under Section 8 on account of such separation from service that constitute deferred compensation and would (but
for this provision) be payable within six (6) months following the date of termination, shall instead be paid on the next business
day following the expiration of such six (6) month period or, if earlier, upon the Executive's death; except (A) to the extent
of amounts that do not constitute a deferral of compensation within the meaning of Treas. Reg.§ l.409A-l(b) (including without
limitation by reason of the safe harbor set forth in Treas. Reg. § 1.409A- l(b)(9)(iii), as determined by the Company in its reasonable
good faith discretion); (B) benefits that qualify as excepted welfare benefits pursuant to Treas. Reg.§ 1.409A-l(a)(5); or
(C) other amounts or benefits that are not subject to the requirements of Section 409A. To the maximum extent permitted under
Section 409A of the Code and its corresponding regulations, the cash severance benefits payable under this Agreement are intended
to meet the requirements of the short-term deferral exemption under Section 409A of the Code and the “separation pay exception”
under Treas. Reg.§ l.409A-l(b)(9)(iii). For purposes of the application of Treas. Reg. § l .409A-l(b)(4) (or any successor
provision), each payment in a series of payments will be deemed a separate payment. To the extent required to avoid an accelerated or
additional tax under Section 409A of the Code, amounts reimbursable to the Executive under this Agreement shall be paid to the Executive
on or before the last day of the year following the year in which the expense was incurred and the amount of expenses eligible for reimbursement
(and in kind benefits provided to the Executive) during one year may not affect amounts reimbursable or provided in any subsequent year.
Executive acknowledges that the
services to be rendered by him are of a special, unique and extraordinary character and that it would be extremely difficult or impracticable
to replace such services, that the material provisions of this Agreement are of crucial importance to the Company and that any damage
caused by the breach of Sections 6 or 7 of this Agreement would result in irreparable harm to the business of the Company for which money
damages alone would not be adequate compensation. Accordingly, Executive agrees that if he violates Sections 6 or 7 of this Agreement,
the Company shall, in addition to any other rights or remedies of the Company available at law, be entitled to equitable relief in any
court of competent jurisdiction, including, without limitation, temporary injunction and permanent injunction.
Each payment to Executive under
this Agreement shall be reduced by any amounts required to be withheld by the Company from time to time under applicable laws and regulations
then in effect.
| 11. | EXECUTIVE’S REPRESENTATIONS AND WARRANTIES |
11.1. General. Executive
represents and warrants to the Company that the execution of this Agreement and the performance of his duties as contemplated hereunder
do not conflict with any other agreement, law, rule, regulation, or court order by which he is bound.
11.2. No Impairment. Executive
represents and warrants that he is not subject to any agreement or contract that would preclude or impair, in any way, his ability to
carry out his duties under this Agreement for the Company.
11.3. No Confidential Information.
Executive has not removed from any prior employer any confidential information.
11.4. No Restrictive Agreements.
Executive represents and warrants that, Executive has not heretofore entered into, has not been and is currently not subject to the
provisions of, any employment contract, sales and purchase agreement or other agreement (whether oral or written) of any nature whatsoever
with any other organization, individual or business entity, which prevents or restricts Executive from entering into this Agreement or
performing his duties hereunder, other than such contracts or agreements as Executive has heretofore disclosed to Company in writing.
| 12. | INTELLECTUAL PROPERTY AND OWNERSHIP OF BUSINESS |
12.1.
Ownership of Records. Executive agrees that all papers, documents, records, business accounts, generated by Executive during the
conduct of such business or given to
Executive during
and in the course of his employment with Company is the exclusive property of the Company and shall remain with the Company upon Executive's
termination.
12.2. Intellectual Property. Executive
further agrees to assign without further consideration all intellectual property, including but not limited to inventions, discoveries
or any material produced by him during the course of his employment hereunder (including modifications or refinements of such materials)
to the Company in their entirety. Such assignment and transfer is a complete and total assignment and transfer of any right Executive
may have in such intellectual property and includes any patent, copyright, trade or service mark or the right to obtain any such patent,
copyright, trade or service mark, and any trade secret rights in such material. This provision does not entitle Executive to any additional
compensation, with such compensation, if any, being entirely within the discretion of Company.
| 13. | ENTIRE AGREEMENT; NO AMENDMENT |
No agreements or representations, oral or otherwise,
express or implied, have been made by either Party, with respect to Executive's employment by any Teligent Company, that are not set
forth expressly in this Employment Agreement. This Agreement supersedes and cancels any other prior agreement relating to Executive's
employment by any Teligent Company, except that Executive shall remain liable for any breaches of any provisions relating to restrictive
covenants (including non-solicitation, non-compete, non-hire) and confidentiality contained in any such prior agreements. No amendment
or modification of this Agreement shall be valid or binding unless made in writing and signed by the Party against whom enforcement thereof
is sought.
All notices, demands and requests of any kind
which either Party may be required or may desire to serve upon the other Party hereto in connection with this Agreement shall be delivered
only by courier or other means of personal service, which provides written verification of receipt, or by registered or certified mail
return receipt requested (each, a “Notice”). Any such Notice delivered by registered or certified mail shall be deposited
in the United States mail with postage thereon fully prepaid or ifby courier then deposited with the courier. All Notices shall be addressed
to the Parties to be served as follows:
(a) If to the Company, at the Company's
address set forth on the first page hereof.
(b) If to Executive, at Executive's
address set forth on the first page hereof.
Either of the Parties hereto may
at any time and from time to time change the address to which notice shall be sent hereunder by notice to the other Party given under
this Section. All such notices, requests, demands, and other communications shall be effective when received at the respective address
set forth above or as then in effect pursuant to any such change.
No waiver of any default or breach
of this Agreement shall be deemed a continuing waiver or a waiver of any other breach or default.
THIS AGREEMENT SHALL BE GOVERNED
BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF DELAWARE WITHOUT REGARD TO PRINCIPLES OF CONFLICTS OF LAW.
The provisions of this Agreement
are intended to be interpreted in a manner which makes them valid, legal, and enforceable, in the event any provision of this Agreement
is found to be partially or wholly invalid, illegal or unenforceable, such provision shall be modified or restricted to the extent and
in the manner necessary to render it valid, legal, and enforceable, it is expressly understood and agreed between Executive and the Company
that such modification or restriction may be accomplished by mutual accord between the Parties or, alternatively, by disposition of a
court of law. If such provision cannot under any circumstances be so modified or restricted, it shall be excised from this Agreement
without affecting the validity, legality or enforceability of any of the remaining provisions.
Executive may not assign any rights
(other than the right to receive income hereunder) under this Agreement without the prior written consent of the Company. This Agreement
may be assigned without the consent of Executive to any Teligent Company or any successor to all or substantially all of the assets of
the Company and this Agreement shall be binding upon and shall inure to the benefit of the assignee hereof.
For the avoidance of doubt, the
provisions of sections 6, 7, 8, 16, 20 and any other ongoing duties of the parties hereto shall survive termination or expiration of
this Agreement.
The Company will indemnify Executive in accordance
with the terms of the Company's articles of incorporation and/or by-laws. Executive shall be covered under any directors' and officers’
liability insurance policy then in effect for the Company or any of its affiliates as to which Executive is serving as a director or
officer, which directors’ and officers’ policy shall include employed lawyers coverage in normal and customary amounts.
This Agreement may be executed
in one or more counterparts and by different parties hereto in separate counterparts, each of which when so executed and delivered shall
be deemed an original, but all such counterparts together shall constitute but one and the same instrument.
Signature pages may
be detached from multiple separate counterparts and attached to a single counterpart so that all signature pages are physically
attached to the same document.
The headings of the several sections
and subsections of this Agreement are inserted for convenience only and shall not in any way affect the meaning or construction of any
provision of this Agreement.
| 23. | CONSTRUCTION OF AGREEMENT |
All Parties agree that this Agreement
shall be construed in such a manner so as not to favor one party or the other regardless of which party has drafted this Agreement.
[Remainder of Page Intentionally
Left Blank]
IN WITNESS WHEREOF, the Parties
hereto have caused this Agreement to be duly executed as of the day and year first above written.
| |
TELIGENT, INC. |
| |
|
| |
By: |
/s/
Timothy B. Sawyer |
| |
|
Timothy B. Sawyer |
| |
|
President & Chief Executive
Officer |
| |
EXECUTIVE |
| |
|
| |
By: |
/s/
Ernest R. De Paolantonio |
| |
|
Ernest R. De Paolantonio |
