Exhibit 10.3


	
  

  	
   

  
	
   

  
	
   

  
	
   

  
	
  July 26, 2007

  
	
   

  
	
   

  
	
  Timmy Monico

  
	
  130 Freedom Ct.

  
	
  Rockwall, TX 75032

  



 


 


Re:          Separation
And Release Agreement


Dear Timmy:


This letter sets
forth the terms of the Separation and Release Agreement (“Agreement”) between
you and InfoSonics Corporation (“InfoSonics” or the “Company”).  Please read it carefully.  It contains a release of claims and a promise
not to sue the Company:


1.     Your resignation has been accepted employment with the
Company is terminated, effective July 26, 2007 (“Separation Date”).  As of your Separation Date, you have no
duties, responsibilities or authority whatsoever as an employee, agent or
representative of the Company.


2.     Subject to the terms of this Agreement and upon the
occurrence of the Effective Date (as defined herein), the Company agrees to pay
to you severance of eleven-thousand dollars ($11,000.00) (less applicable taxes
and withholdings) (“Severance Payment”).


3.     You acknowledge that the Company’s obligation to make
the Severance Payment as set forth herein arises solely from this Agreement and
that, except as provided in this Agreement, the Company is not obligated to
make any severance or similar payment to you. 
You agree and understand that your receipt of the Severance Payment and
other benefits pursuant to this Agreement is expressly contingent upon your
continued compliance with the terms of this Agreement.


4.     In
exchange for the Severance Payment and other benefits provided to you as
described herein, to the extent permitted by law, you, for yourself, your
heirs, executors, distributees, legatees, administrators, successors and
assigns to the extent permitted by law, hereby release and forever discharge
InfoSonics, all current and former parents, subsidiaries, benefit plans,
related companies, partnerships, joint ventures, and other affiliates thereof,
and with respect to all of them, their predecessors and successors, and with
respect to all such entities, all of their past, present and future employees,
officers, directors, stockholders, owners, representatives, assigns, attorneys,
agents, insurers, and any other persons acting by, through, under or in concert
with any of the persons or entities listed herein, and their successors (the “Released
Parties”) of and from any and all charges, complaints, actions, causes of
action, suits, liabilities, obligations, promises, controversies, damages,
losses, debts and expenses (including attorneys’ fees and costs) and claims in
law or in equity of any nature whatsoever, known or unknown, suspected or
unsuspected, you may have, ever had, now have or shall have against each or any
of the Released Parties, to and including the date of execution of this
Agreement, including, but not limited to,


 


 





















 


claims for breach of an implied or express employment contract, claims
for wrongful discharge, claims for negligent or intentional tort, claims
alleging a violation of the Consolidated Omnibus Budget Reconciliation Act
(COBRA) (29 U.S.C. § 1161 et. seq.); the Older Workers Benefit
Protection Act (29 U.S.C. §§ 626 et  seq.); the Age Discrimination
in Employment Act of 1967, as amended (29 U.S.C. §§ 621 et  seq.);
Title VII of the Federal Civil Rights Act of 1964, as amended (including as
amended by the Civil Rights Act of 1991) (41 U.S.C. §§ 2000e et  seq.);
the Equal Pay Act of 1963, as amended (29 U.S.C. § 206(d)(1)-(4); the Civil
Rights Acts of 1866 and 1871 (42 U.S.C. § 1981); the Immigration Reform and
Control Act of 1986 (29 U.S.C. §§ 1802 et. seq.); the Worker
Adjustment and Retraining Notification Act, (29 U.S.C §§ 2101 et  seq.);
the Employee Retirement Income Security Act of 1974, as amended (29 U.S.C. §§
1001 et  seq.); the Fair Labor Standards Act (29 U.S.C. §§ 201 et
seq.); the Americans with Disabilities Act of 1990 (42 U.S.C. §§ 12101 et
seq.); the Family Medical Leave Act of 1993, (29 U.S.C. §§ 2611 et
seq.), claims pursuant to federal, state or local law regarding
discrimination based on age, race, sex, pregnancy, religion, national origin,
disability, marital status, sexual orientation or preference, and claims for
alleged violation of any other local, state, or federal law, regulation,
ordinance, common law or public policy, having any bearing whatsoever on the
terms or conditions of your employment with or by InfoSonics or the separation
of your employment from the Company.  You
further agree, to the extent permitted by law, not to bring suit or other legal
action against any of the Released Parties based on any claims that are being
released pursuant to this Agreement and expressly agree to waive any benefit therefrom.  You understand, agree and intend that this
Agreement contains a full and final release, compromise and settlement of any
and all claims you may have against the Released Parties whether known,
suspected, unknown or unsuspected, that you may have as of the date of this
Agreement.


5.     Notwithstanding
any contrary provision of this Agreement, by this release, you do not waive your right to file a charge or
complaint with a government administrative agency (“agency”) enforcing the
civil or human rights laws, such as the Equal Employment Opportunity
Commission, or any state human rights agency, or to participate in any
investigation or proceeding conducted by such an agency, or to testify in or
cooperate with any related proceeding, nor shall any provision in this
Agreement adversely affect your right to engage in such conduct.  Nevertheless, pursuant to this Agreement, you
waive the right to obtain or assign any monetary relief or other recovery as a
result of or with regard to the matters alleged in any such charge or complaint
or to collect any monies or compensation as a result of filing or participating
in such a charge or complaint.  You
further agree never to accept or assign any damages, remedies or other relief
(any right to which you hereby waive) with respect to any claim that has been
released herein or any event occurring as of the date of this Agreement.


6.     You hereby waive any and all right to reinstatement or
re-employment to any position of employment with InfoSonics or any affiliate
thereof.


7.     Other
than as may be required pursuant to paragraph 5, you agree that you will not,
directly or indirectly, make any adverse or disparaging oral or written
statements regarding InfoSonics or its subsidiaries, parent and affiliates, or
the respective successors, assigns, agents, shareholders, officers,
directors or current or former employees of any of them, whether to any
customer or prospective customer of the Company, the press or any other media,
any other business entity or third party, or any current or former employee of
the Company and that you will do nothing to


 


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impair the Company’s reputation or good will among its customers,
potential customers, vendors, suppliers, or others in the industry.


8.     You agree that you will promptly return to InfoSonics
any and all confidential information and all other materials, equipment,
property or documents belonging to the Company that may be in your possession
or control.


9.     You promise not to disclose, either directly or
indirectly, in any manner whatsoever, any information regarding the existence
or terms of this Agreement to any persons or entities other than your attorney,
your immediate family, your accountant or any governmental taxing authority.


10.   You acknowledge and agree that (a) you were given
sufficient time to consider this Agreement before signing it and that you took
advantage of that time, (b) you carefully read the Agreement, (c) you fully
understand it, (d) you are entering the Agreement voluntarily, (e) you are
receiving valuable consideration in exchange for your execution of the
Agreement that you would not otherwise be entitled to receive, and (f) you have
had the opportunity to discuss this Agreement with your attorney if you desired
to do so.


11.   This Agreement contains the entire agreement between
InfoSonics and you and may not be modified, altered or terminated except upon
the express prior written consent of you and the Company.


12.   The waiver by any party of a breach of any provision
herein shall not operate or be construed as a waiver of any subsequent breach
by any party.


13.   This Agreement shall be deemed executed and delivered
within the State of Texas and is made in contemplation of its interpretation
and effect being construed in accordance with the laws of said State applicable
to contracts fully executed, delivered and performed in said State, and it is
expressly agreed that it shall be construed in accordance with the laws of the
State of Texas without giving effect to the principles of the conflicts of
laws.  All litigation arising out of or
relating to this Agreement or any of the transactions contemplated hereby shall
be brought exclusively in the Federal or State courts of Dallas, Texas and the
parties consent to personal jurisdiction therein.


14.   The rule of law that ambiguities in agreements are to
be construed against the drafter shall not be applied to this Agreement.


 


 


 


Please read this
letter with care, make certain that you understand the meaning of each of the terms
contained herein, and take time to consider your decision before you sign.  THIS
AGREEMENT CONTAINS A RELEASE OF ALL CLAIMS. As stated above, we
recommend that you should consult with an attorney of your choice.


 


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If the terms of
the agreement are satisfactory to you, please countersign the enclosed copy of
this letter, have your signature notarized, and return it to me by [7 days from
, whereupon this letter and such copy will constitute a binding agreement on
the basis set forth above.


 


	
   

  	
  Sincerely yours,

  	
   

  
	
   

  	
  infosonics

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  Jeff Klausner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Signature:

  	
  /s/ Jeff Klausner

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  Chief Financial Officer

  	
   

  
						



 


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I acknowledge and agree
that I have read the foregoing Agreement, have had the opportunity to consult
with counsel, and that I understand the meaning of each of the terms contained
herein, and that I have freely and voluntarily entered into it.  I agree that no fact, evidence, event or
transaction currently unknown to me but which may hereafter become known to me,
shall affect in any manner the final and unconditional nature of the release
stated above.


 


	
   

  	
  /s/ Timmy Monico

  	
   

  
	
   

  	
  Signature

  	
   

  



 


 


	
  STATE OF                        

  	
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  )  ss.:

  
	
  COUNTY OF                        

  	
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I,                               ,
a Notary Public, do hereby certify that                             ,
personally known to me to be the same person whose name is subscribed in the
foregoing instrument, appeared before me this day in person and acknowledged
that she signed and delivered the said instrument as her free and voluntary act
for the uses and purposes therein set forth.


 


Given under my hand and
official Seal this        day of                             .


 


 


 


	
   

  	
   

  	
   

  
	
   

  	
  Notary Public

  	
   

  



 


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