Termination Release Agreement with John W. Combs



  
 Exhibit 10.1

 TERMINATION RELEASE AGREEMENT 

In consideration of the severance benefits (the “Severance Benefits”) offered to me by ShoreTel, Inc. (the
“Employer”) as set forth on Exhibit A and in connection with the termination of my employment, I agree to the following general release (the “Release”). 

1. On behalf of myself, my heirs, executors, administrators, successors, and assigns, I hereby fully and forever generally release and
discharge Employer, its current, former and future parents, subsidiaries, affiliated companies, related entities, employee benefit plans, and their fiduciaries, predecessors, successors, officers, directors, shareholders, agents, employees and
assigns (collectively, the “Company”) from any and all claims, causes of action, and liabilities up through the date of my execution of the Release. The claims subject to this release include, but are not limited to, those relating to my
employment with Employer and/or any predecessor or successor to Employer and the termination of such employment. All such claims (including related attorneys’ fees and costs) are barred without regard to whether those claims are based on any
alleged breach of a duty arising in statute, contract, or tort. This expressly includes waiver and release of any rights and claims arising under any and all laws, rules, regulations, and ordinances, including, but not limited to: Title VII of the
Civil Rights Act of 1964; the Older Workers Benefit Protection Act; the Americans With Disabilities Act; the Age Discrimination in Employment Act; the Fair Labor Standards Act; the National Labor Relations Act; the Family and Medical Leave Act; the
Employee Retirement Income Security Act of 1974, as amended (“ERISA”); the Workers Adjustment and Retraining Notification Act; the California Fair Employment and Housing Act (if applicable); the provisions of the California Labor Code (if
applicable); the Equal Pay Act of 1963; and any similar law of any other state or governmental entity. The parties agree to apply California law in interpreting the Release. 
 Accordingly, I further waive any rights under Section 1542 of the Civil Code of the State of California or any similar state statute. Section 1542 states: “A general release does not
extend to claims which the creditor does not know or suspect to exist in his or her favor at the time of executing the release, which, if known to him or her, must have materially affected his or her settlement with the debtor.” 

2. This Release does not extend to, and has no effect upon, any benefits that have accrued, and to which I have become vested, under any
employee benefit plan within the meaning of ERISA sponsored by the Company. 
  

	 	a.	 In understanding the terms of the Release and my rights, I have been advised to consult with an attorney of my choice prior to executing the Release. I
understand that nothing in this Release is intended to constitute an unlawful release or waiver of any of my rights under any laws and/or to prevent, impede, or interfere with my ability and/or rights, if any: (a) under applicable workers’
compensation laws; (b) to seek unemployment benefits; (c) to file a charge or complaint with a government agency such as but not limited to the Equal Employment Opportunity Commission, the National Labor Relations Board, or any applicable
state agency; (d) provide truthful testimony if under subpoena to do so, (e) file a claim with any state or federal agency or to participate or cooperate in such a matter, and/or (f) to challenge the validity of this release.
Furthermore, notwithstanding any provisions and covenants herein, the Release shall not waive (a) any rights to indemnification I may have as an officer or director of Employer or otherwise in connection with my employment with Employer, under
applicable law or Employer’s bylaws or other governing instruments or any agreement addressing such subject matter between Employer and me (including any fiduciary insurance policy maintained by Employer under which I am covered) or under any
merger or acquisition agreement addressing such subject matter, (b) any obligations owed to me as set forth on Exhibit A, (c) my rights of insurance under any liability policy covering Employer’s officers (in addition to the rights
under subsection (a) above), or (d) any accrued but unpaid wages; any reimbursement for business expenses pursuant to Employer’s policies for such reimbursements, any outstanding











	 	 
claims for benefits or payments under any benefit plans of Employer or subsidiaries, any accrued but unused vacation, any ongoing agreements evidencing outstanding equity awards granted to me,
any obligations owed to me pursuant to the terms of outstanding written agreements between myself and Employer and any claims I may not release as a matter of law, including indemnification claims under applicable law. To the fullest extent
permitted by law, any dispute regarding the scope of this general release shall be resolved through binding arbitration pursuant to Subsection h below, and the arbitration provision set forth in the Agreement. 



 

	 	b.	I understand and agree that Employer will not provide me with the Severance Benefits unless I execute the Release. I also understand that I have received or will
receive, regardless of the execution of the Release, all wages owed to me together with any accrued but unused vacation pay, less applicable withholdings and deductions, earned through my termination date. 


 

	 	c.	As part of my existing and continuing obligations to Employer, I have returned to Employer all documents (and all copies thereof) and other property belonging to
Employer that I have had in my possession at any time, including but not limited to files, notes, drawings, records, business plans and forecasts, financial information, specification, computer-recorded information, tangible property (including, but
not limited to, computers, laptops, pagers, etc.), credit cards, entry cards, identification badges and keys; and any materials of any kind which contain or embody any proprietary or confidential information of Employer (and all reproductions
thereof). I understand that, even if I did not sign the Release, I am still bound by any and all confidential/proprietary/trade secret information, non-disclosure and inventions assignment agreement(s) signed by me in connection with my employment
with Employer, or with a predecessor or successor of Employer, pursuant to the terms of such agreement(s). 

  

	 	d.	I represent and warrant that I am the sole owner of all claims relating to my employment with Employer and/or with any predecessor of Employer, and that I have not
assigned or transferred any claims relating to my employment to any other person or entity. 

  

	 	e.	I agree to keep the Severance Benefits and the provisions of this Release confidential and not to reveal their contents to anyone except my lawyer, my spouse or other
immediate family member, and/or my financial consultant, or as required by legal process or applicable law. 

  

	 	f.	I understand and agree that the Release shall not be construed at any time as an admission of liability or wrongdoing by either the Company or myself.


  

	 	g.	I agree that I will not make any negative or disparaging statements or comments, either as fact or as opinion, about the Company, its employees, officers, directors,
shareholders, vendors, products or services, business, technologies, market position or performance. Nothing in this paragraph shall prohibit me from providing truthful information in response to a subpoena or other legal process.


  

	 	h.	Any controversy or any claim arising out of or relating to the interpretation, enforceability or breach of the Release shall be settled by arbitration in accordance
with the arbitration provision of the Employment Agreement between me and Employer dated February 22, 2010 (the “Agreement”). If for any reason the arbitration procedure set forth in the Agreement is unavailable, I agree to
arbitration under the employment arbitration rules of the American Arbitration Association or any successor hereto. The parties further agree that the arbitrator shall not be empowered to add to, subtract from, or modify, alter or amend the terms of
the Release. Any applicable arbitration rules or policies shall be interpreted in a manner so as to ensure their enforceability under applicable state or federal law. 








  

	 	i.	I agree that I have had at least twenty-one (21) calendar days in which to consider whether to execute the Release, no one hurried me into executing the Release
during that period, and no one coerced me into executing the Release. I understand that the offer of the Severance Benefits and the Release shall expire on the twenty-second (22nd) calendar day after my employment termination date if I have not
accepted it by that time. I further understand that Employer’s obligations under the Release shall not become effective or enforceable until the eighth (8th) calendar day after the date I sign the Release provided that I have timely
delivered it to Employer (the “Effective Date”) and that in the seven (7) day period following the date I deliver a signed copy of the Release to Employer I understand that I may revoke my acceptance of the Release. I understand that
the Severance Benefits will become available to me after the Effective Date. 

  

	 	j.	In executing the Release, I acknowledge that I have not relied upon any statement made by Employer, or any of its representatives or employees, with regard to the
Release unless the representation is specifically included herein. Furthermore, the Release and the Agreement contain our entire understanding regarding eligibility for and the payment of severance benefits and supersedes any or all prior
representations and agreements regarding the subject matter. Once effective and enforceable, this agreement can only be changed by another written agreement signed by me and an authorized representative of Employer. 


 

	 	k.	Should any provision of the Release be determined by an arbitrator, court of competent jurisdiction, or government agency to be wholly or partially invalid or
unenforceable, the legality, validity and enforceability of the remaining parts, terms, or provisions are intended to remain in full force and effect. Specifically, should a court, arbitrator, or agency conclude that a particular claim may not be
released as a matter of law, it is the intention of the parties that the general release and the waiver of unknown claims above shall otherwise remain effective to release any and all other claims. I acknowledge that I have obtained sufficient
information to intelligently exercise my own judgment regarding the terms of the Release before executing the Release. 

 [SIGNATURE PAGE TO GENERAL RELEASE AGREEMENT FOLLOWS] 







  
 EXECUTIVE’S
ACCEPTANCE OF RELEASE 
 BEFORE SIGNING MY NAME TO THE RELEASE, I STATE THE FOLLOWING: I HAVE READ THE RELEASE, I UNDERSTAND IT AND I
KNOW THAT I AM GIVING UP IMPORTANT RIGHTS. I HAVE OBTAINED SUFFICIENT INFORMATION TO INTELLIGENTLY EXERCISE MY OWN JUDGMENT. I HAVE BEEN ADVISED THAT I SHOULD CONSULT WITH AN ATTORNEY BEFORE SIGNING IT, AND I HAVE SIGNED THE RELEASE KNOWINGLY AND
VOLUNTARILY. 
 Date delivered to employee             ,
        . 
 Executed this     day of
        ,         . 
  

	
	  

	Signature
	
	  

	Name (Please Print)



[SIGNATURE PAGE TO GENERAL RELEASE AGREEMENT]








  
 Exhibit A

 Severance Benefits 
  

	 	•	 	 $525,000 representing 18 months of current annual base salary of $350,000 



 

	 	•	 	 18 months of COBRA premiums following termination date 



 

	 	•	 	 $74,375, representing prorated target bonus for fiscal 2011 based on one quarter of service at 100% achievement level (Determination of bonus: $350,000
x 85% (annual target) x 25% (for one quarter of service in fiscal 2011) x 100% of achievement = $74,375)