Company: FWDI
Filing Date: 2025-06-10
Form Type: PRE 14A
Source: 0001683168-25-004370
Chunk: 25

Company: Forward Industries, Inc.
Filing Date: 2025-06-10
Form: PRE 14A
Chunk 25
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 than 10%;
(3) any failure by the Company to perform any material obligation under, or its breach of a material provision of, the employment agreement;
(4) the failure of a successor company to expressly assume the respective executive’s employment agreement. “Cause”
under her employment agreement generally means: (1) willful misconduct in connection with the performance of any of her duties; (2) willful
failure, neglect or refusal to perform her duties or services under the employment agreement, which failure, neglect or refusal shall
continue for a period of time after written notice has been given to the executive by or on behalf of the Board; and (3) the commission
of, conviction of, or nolo contendere or guilty plea in connection with, a felony or a crime of moral turpitude.

Mr. Wild is entitled to any accrued
but unpaid base salary and other benefits if his employment agreement is terminated without cause. “Cause” under Mr. Wild’s
employment agreement generally means: (1) dishonesty, illegal conduct, or gross misconduct; (2) any commission of embezzlement, misappropriation,
or fraud; (3) the conviction of, plea of guilty, or nolo contendere to a felony or crime of moral turpitude; (4) willful and material
failure to perform duties; (5) willful unauthorized disclosure of the Company’s confidential information; (6) the material breach
of the employment agreement; and (7) the material failure to comply with the Company’s written policies or rules.

Effective May 16, 2025, in connection with the Transaction Agreement, the Company and Terence Wise, who served as the Chief Executive Officer of the Company, the Chairman of the Board, and a director, entered into a Separation Agreement (the “Separation Agreement”). Pursuant to the Separation Agreement, Mr. Wise resigned from all of his positions with the Company, including his positions as Chief Executive Officer, Chairman of the Board, and director.As consideration for Mr. Wise’s execution and compliance with the Separation
Agreement, including his waiver and release of claims and other post-termination obligations, the Company entered into the Transaction
Agreement.

Post-Fiscal Year 2024 Compensation Arrangement Changes

Effective May 16, 2025, Mr. Michael Pruitt was appointed as the Company’s Interim Chief Executive Officer. Under his interim employment arrangement, Mr. Pruitt receives an annual base salary of $200,000.