Exhibit 10.2


THESTREET.COM, INC. 

AGREEMENT FOR GRANT 

OF 

STOCK OPTIONS 

UNDER 

2007 PERFORMANCE INCENTIVE PLAN


March 28, 2011 


Daryl R. Otte 

c/o TheStreet.com, Inc.

14 Wall Street

15th Floor

New York, NY 10005


Dear Daryl: 


          This
letter (the “Letter”) sets forth the terms and conditions of
the stock option (“Option”) hereby
awarded to you by TheStreet.com, Inc. (the “Company”), in accordance with the
provisions of the Company’s 2007 Performance Incentive Plan (the “Plan”). 


          This
award is subject to the terms and conditions set forth in the Plan, any rules
and regulations adopted by the Board of Directors of the Company (the “Board”) or the
committee of the Board which administers the Plan (the “Committee”), and this
Letter. The provisions of the Plan are hereby incorporated by reference and any
term used in this Letter and not defined herein shall have the meaning set
forth in the Plan. Unless otherwise indicated, section references contained in
this Letter shall refer to the corresponding sections of this Letter. 


          1.
Option Grant 


          You
have been granted an Option to purchase 180,000 shares of the Company’s Common
Stock (“Common Stock”)
to the extent the Option is exercisable as set forth below. The Option may not
be sold, transferred, assigned, pledged or otherwise encumbered by you, in
whole or in part; provided that the foregoing shall not affect your right to
name a beneficiary under Section 13 of the Plan. The Option may be exercised
only by you, except that in the event of your death, the Option may be
exercised (at any time prior to its expiration or termination as provided in
Sections 8 and 11) by the executor or administrator of your estate or by a
person who acquired the right to exercise your Option by will or pursuant to
the laws of descent and distribution. Until such time as stock certificates for
the shares of Common Stock represented by the purchase of all or portion of the
Option have been delivered to you in accordance with Section 4, you shall have
none of the rights of a stockholder with respect to the Common Stock with
respect to such shares. 


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          2.
Option Exercise Price


          The
price at which you may purchase the shares of Common Stock underlying the
Option is $3.24 per share. 


          3.
Term of Option


          Your
Option shall expire, to the extent that it has not previously terminated, on
March 28, 2016. However, your Option may terminate prior to such expiration
date as provided in Sections 8 and 11. Regardless of the provisions of Sections
5 or 8 or any other provision hereof, in no event can your Option be exercised
after the expiration date set forth in this Section 3.


          4.
Exercisability of Option 


          Your
Option will become exercisable with respect to the following number(s) of
shares of Common Stock on the following date(s) as set forth below, provided
that you are in the Service (as defined below) of the Company or one of its
subsidiaries on such date and the Option has not been terminated in accordance
with Sections 8 or 11: 


	
  

 	
  

 	
  

 	
  

 
	
 Date

 	
  

 	
 Number of Shares of Common Stock

 
	

 


 	
  

 	

 


 
	
  

 	
  

 	
  

 	
  

 
	
 April 1,
 2012

 	
  

 	
 45,000

 	
  

 
	
  

 	
  

 	
  

 	
  

 
	
 The first
 calendar day of each month from May 1, 2012 to April 1, 2015, inclusive

 	
  

 	
 3,750

 	
  

 



For
purposes hereof, you shall be considered to be in the “Service” of the Company or one of its
subsidiaries if you are an employee of the Company (or one if its subsidiaries,
as applicable) on the applicable vesting date. 


          To
the extent that your Option has become exercisable with respect to a number of
shares of Common Stock, you may exercise the Option to purchase all or any
portion of such shares of Common Stock at any time on or before the date the
Option expires or terminates; provided that you may only purchase a whole
number of shares of Common Stock.


          5.
Accelerated Vesting in Certain Events


          Notwithstanding
Section 4, upon the occurrence of any of the following events, the
then-unvested portion of the Option shall become exercisable and may be
exercised; provided that such portion of the Option only may be exercised
within ninety (90) calendar days from the occurrence of such event (but in no
event beyond the date set forth in Section 3): (i) the termination of your
employment by the Company or any subsidiary thereof without Cause (as defined
below) or by you with Good Reason (as defined below) prior to a Change of
Control (as defined in the Plan) if such termination is related to the Change
of Control; or (ii) a Change of Control, unless (A) either (x) the Company is
the surviving corporation in the Change of Control 


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and the award
reflected in this Letter is equitably adjusted pursuant to Section 4.4 of the
Plan or (y) the award reflected in this Letter is assumed or replaced by a
Successor (as defined below) and (B) the award as so adjusted, assumed or
replaced (x) has substantially the same potential economic benefits and vesting
terms as did the award immediately prior to the Change of Control and (y)
provides that the award immediately shall become fully vested and exercisable
upon the termination of your employment (by the Company or any subsidiary
thereof or by a Successor or any affiliate thereof) without Cause or by you
with Good Reason at any time (provided that such portion of the Option only may
be exercised within ninety (90) calendar days from such termination (but in no
event beyond the date set forth in Section 3)). If you are employed by a
Successor or any affiliate thereof following a Change of Control, references in
this Letter to the Company shall be understood to be references to the
Successor or any such affiliate regarding matters related to the occurrence of
non-occurrence of events from and after the date you become employed by the
Successor or such affiliate.


          For
purposes of this Letter, “Cause” shall be
determined by the Committee in the exercise of its good faith judgment, in
accordance with the following guidelines: (i) your willful misconduct or gross
negligence in the performance of your obligations, duties and responsibilities
as CEO (including those as an employee of the Company set forth in the
Company’s Code of Business Conduct and Ethics dated June 1, 2006, as same may
be amended from time to time provided such amendment affects all executive
officers of the Company), (ii) your dishonesty or misappropriation, in either
case that is willful and material, relating to the Company or any of its funds,
properties, or other assets, (iii) your inexcusable repeated or prolonged
absence from work (other than as a result of, or in connection with, a
Disability), (iv) any unauthorized disclosure by you of Confidential
Information or proprietary information of the Company in violation of Section
12(d) which is reasonably likely to result in material harm to the Company, (v)
your conviction of a felony (including entry of a guilty or nolo contender
plea) involving fraud, dishonesty, or moral turpitude, (vi) a violation of
federal or state securities laws, or (vii) the failure by you to attempt to
perform faithfully your duties and responsibilities as CEO, or other material
breach by you of this Letter, provided any such failure or breach described in
clauses (i), (ii), (iii), (iv), (vi) and (vii) is not cured, to the extent cure
is possible, by you within thirty (30) days after written notice thereof from
the Company to you; provided, however, that no failure or breach described in
clauses (i), (ii), (iii), (iv), (vi) and (vii) shall constitute Cause unless
(x) the Company first gives you written notice of its intention to terminate
your employment for Cause and the grounds of such termination no fewer than ten
(10) days prior to the date of termination; and (y) you are provided an
opportunity to appear before the Board, with or without legal representation at
your election to present arguments on your own behalf; and (z) if you elect to
so appear, such failure or breach is not cured, to the extent cure is possible,
within thirty (30) days after written notice from the Company to you that,
following such appearance, the Board has determined in good faith that Cause
exists and has not, following the initial notice from the Company, been cured;
provided further, however, that notwithstanding anything to the contrary in
this Letter and subject to the other terms of this proviso, the Company may
take any and all actions, including without limitation suspension (but not
without pay), it deems appropriate with respect to you and your duties at the
Company pending such appearance and subsequent to such appearance during which
such failure or breach has not been cured. No act or failure to act on your
part will be considered “willful” unless done, 


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or omitted to
be done, by you not in good faith and without reasonable belief that your
action or omission was in the best interests of the Company.


          It
shall not be a violation of your employment with the Company, this Letter or
any agreement to which you are, or may become, a party with the Company for you
to, and you may continue to, serve as a partner and officer of Montefiore
Partners and, on their behalf, administer its winding down.


          For
purposes of this Letter, “Good Reason” shall
have the meaning ascribed to such term in Treasury Regulation Section
1.409A-1(n)(2)(ii), as determined in good faith by the Committee.


          For
purposes of this Letter, “Disability” shall
mean physical or mental incapacity of a nature which prevents you, in the good
faith judgment of the Committee, from performing your duties and
responsibilities as CEO for a period of 90 consecutive days or 150 days during
any year, with each year under this Letter commencing on each anniversary of
the date hereof.


          6.
Manner of Exercise


          You
may exercise your Option by giving notice to the Company (or to such service
provider as the Company may designate), following such procedures as may be
communicated to you from time to time.


          The
shares of Common Stock represented by the exercise of your Option may consist
of authorized but unissued shares or treasury shares of the Company, as
determined from time to time by the Committee. 


          7.
Satisfaction of Option Exercise Price


          The Option
may be exercised by payment of the option exercise price in cash (including
check, bank draft, money order, or wire transfer). In addition, your Option may
be exercised using such broker cashless exercise procedure or other procedure
as the Company may establish from time to time. 


          8.
Termination of Service


          (a)
General. If your Service terminates for any reason other than for Cause, the Option
will terminate ninety (90) calendar days after such termination of Service.
Following the termination of your Service, no additional portions of the Option
will become exercisable, and the Option will be exercisable only to the extent
exercisable on the date of such termination of Service. If your Service
terminates for Cause, the Option shall be immediately terminated and may not be
exercised.


          (b)
Adjustments by the Committee. The Committee may, in its discretion, exercised
before or after your termination of Service, declare all or any portion of the
Option immediately exercisable and/or permit all or any part of the Option to
remain exercisable for such period 


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designated by it after the time when the Option would have otherwise
terminated as provided in Section 8(a), but not beyond the expiration date of
your Option as set forth in Section 3 above.


          (c)
Committee Determinations. The Committee shall have absolute discretion to
determine the date and circumstances of the termination of your Service, and
its determination shall be final, conclusive and binding upon you.


          9.
Restrictions on Option Exercise; Delivery of Shares


          (a) Even
though your Option may be otherwise exercisable, your right to exercise the
Option will be suspended if the Committee determines that your exercise of the
Option would violate applicable laws or regulations. The suspension will last
until the exercise would be lawful. Any such suspension will not extend the
term of your Option.


          (b) Even
though your Option may be otherwise exercisable, the Committee may refuse to
permit such exercise if it determines, in its discretion, that any of the
following circumstances is present:


	
  

 	
  

 	
  

 
	
  

 	
 (i)

 	
 the shares of Common Stock to be acquired upon such exercise are
 required to be registered or qualified under any federal or state securities
 law, or to be listed on any securities exchange or quotation system, and such
 registration, qualification, or listing has not occurred; 

 
	
  

 	
  

 	
  

 
	
  

 	
 (ii)

 	
 the consent or approval of any government regulatory body is required
 and has not been obtained; 

 
	
  

 	
  

 	
  

 
	
  

 	
 (iii)

 	
 the satisfaction of withholding tax is required and has not occurred;
 

 
	
  

 	
  

 	
  

 
	
  

 	
 (iv)

 	
 representations by you or other information is determined by counsel
 for the Company to be necessary or desirable in order to comply with any
 federal or state securities laws or regulations, and you have not provided
 such representations or information; or 

 
	
  

 	
  

 	
  

 
	
  

 	
 (v)

 	
 an agreement by you with respect to the disposition of shares of Common
 Stock to be acquired upon exercise of your Option is determined by the
 Committee to be necessary or desirable in order to comply with any federal or
 state securities laws or regulations, or is required by the terms of this
 Letter, and you have not executed such agreement.

 



          (c)
Shares of Common Stock to be delivered to you in connection with any exercise
of the Option shall be delivered to you as soon as practicable and, at the
Company’s election, the Company may effect such delivery by causing such number
of shares of Common Stock to be deposited via DWAC into a brokerage account in
your name. Common Stock delivered upon the exercise of the Option will be fully
transferable (subject to any applicable securities law restrictions) and not subject
to forfeiture (other than as set forth in Section 11), and will entitle the
holder to all rights of a stockholder of the Company.


5





          (d)
The Company will use reasonable commercial efforts to cause its Registration
Statement on Form S-8 (or successor form) filed with the Securities and
Exchange Commission covering shares subject to the Plan to remain effective and
current until such times as all of the shares of Common Stock underlying your
Option are either delivered hereunder or the Option has expired or been
terminated pursuant to the terms of this Letter , until three (3) months after
you cease being an “affiliate” of the Company, to maintain a resale prospectus
thereunder (or otherwise register under the Securities Act of 1933, as amended)
the Common Stock underlying your Option.


          10.
Income Tax Withholding


          In
connection with the exercise of your Option, you will be required to pay,
pursuant to such arrangements as the Company may establish from time to time,
any applicable federal, state and local withholding tax liability. If you fail
to satisfy your withholding obligation in a time and manner satisfactory to the
Committee, the Company shall have the right to withhold the required amount
from your salary or other amounts payable to you.


          11.
Additional Termination Events and Claw-Back


          Notwithstanding
anything else in this Letter, the unexercised portion of the Option shall be
terminated (regardless of the extent to which it is exercisable) if any one of
the following occurs: (i) you engage in Competitive Activity (as defined below)
with the Company or any of its subsidiaries during your employment by the
Company or any of its subsidiaries or within two (2) years after your service
as CEO and your Board membership terminates; or (ii) you breach any of the
Restrictive Covenants set out in Section 12 within two (2) years after your
cessation of employment with the Company or any subsidiary. 


          The
Company reserves the right (as provided below) to claw-back shares of Common
Stock delivered under this Letter pursuant to each exercise of the Option by
you if you engage in Competitive Activity or violate any of the Restrictive
Covenants within two (2) years after the delivery of such shares of Common Stock.
If the Committee determines, in its good faith discretion, that all or some
portion of the shares of Common Stock delivered to you will be clawed-back,
then you shall be required to repay to the Company the Repayment Amount (as
defined below) with respect to such shares of Common Stock. You may satisfy the
payment obligation set forth in the preceding sentence by paying the Company
cash, by delivering to the Company shares of Common Stock, or by remitting to
the Company a combination of cash and shares of Common Stock, such that the
Fair Market Value (measured as of the day before your delivery to the Company
of shares of Common Stock) of any shares of Common Stock you deliver to the
Company, plus the amount of any cash you pay to the Company, equals the Repayment
Amount. The “Repayment Amount” with respect to the
shares of Common Stock delivered to you upon any exercise of the Option shall
mean the lesser of the Exercise Date Spread Value (as defined below) with
respect to such exercise of the Option and the Delivery Date Spread Value (as
defined below) with respect to such exercise of the Option, in each case
reduced by the amount of taxes paid by you with respect to such exercise of the
Option; provided that neither the Exercise Date Spread Value nor the Delivery
Date Spread Value shall be less than zero. With respect to each exercise you
made of the Option, the “Exercise Date Spread 


6





Value”
is the amount, if any, by which the Fair Market Value (measured as of the date
of exercise) of the number of shares of Common Stock underlying the Option with
respect to which the Option was exercised on such date, exceeded the aggregate
option exercise price for such shares. With respect to each exercise you made
of the Option, the “Delivery Date Spread Value”
is the amount, if any, by which the Fair Market Value (measured as of the day
before you remit the Repayment Amount to the Company) of the number of shares
of Common Stock underlying the Option with respect to which the Option was
exercised, exceeded the aggregate option exercise price for such shares. In
addition to any other remedy available to the Company under applicable law, the
Company shall have the right to offset any other amounts payable to you by the
amount of any required repayment by you which has not been repaid.


          For
purposes of this Letter, “Competitive Activity”
means your service as a director, officer, employee, principal, agent,
stockholder, member, owner or partner of, or you permit your name to be used in
connection with the activities of, any other business or organization anywhere
in the United States, or in any other geographic area in which the Company or
any of its subsidiaries operates or with respect to which the Company provides
financial news and commentary coverage (or from which such other business or
organization provides financial news and commentary coverage of the United
States), which engages in a business that competes with any business in which
the Company or any subsidiary is engaged (a “Competing Business”);
provided, however, that, notwithstanding the foregoing, it shall not be a
Competitive Activity for you to (i) become the registered or beneficial owner
of up to three percent (3%) of any class of capital stock of a competing
corporation registered under the Securities Exchange Act of 1934, as amended,
provided that you do not otherwise participate in the business of such
corporation or (ii) work in a non-competitive business of a company which is
carrying on a Competing Business, the revenues of which represent less than
twenty percent (20%) of the consolidated revenues of that company, or, as a
result thereof, owning compensatory equity in that company.


          For
purposes of this Letter, “Fair Market Value” of
a share of Common Stock on any date shall be (i) if the principal market for
the Common Stock is a national securities exchange, the closing sales price per
share of the Common Stock on such day (or, if such exchange is not open on such
day, on the next day such exchange is open) as reported by such exchange or on
a consolidated tape reflecting transactions on such exchange, or (ii) if the
principal market for the Common Stock is not a national securities exchange,
the closing average of the highest bid and lowest asked prices per share of
Common Stock on such day (or, if such exchange is not open on such day, on the
next day such exchange is open) as reported by the market upon which the Common
Stock is quoted, or an independent dealer in the Common Stock, as determined by
the Company in good faith; provided, however, that if clauses (i) and (ii) are
all inapplicable, or if no trades have been made and no quotes are available
for such day, the Fair Market Value of the Common Stock shall be determined by
the Committee in good faith by any method consistent with applicable
regulations adopted by the United States Treasury Department relating to stock
options or stock valuation.


7





          12.
Restrictive Covenants


	
  

 	
  

 	
  

 
	
  

 	
 a.

 	
 Non-Solicitation
 of Employees

 
	
  

 	
  

 	
  

 
	
  

 	
  

 	
 You agree
 that, during your employment by the Company or any subsidiary and through the
 end of two (2) years after your cessation of employment with the Company or
 any subsidiary, you will not solicit for employment or hire, in any business
 enterprise or activity, any employee of the Company or any subsidiary who was
 employed by the Company or a subsidiary during your period of employment by
 the Company or a subsidiary provided that (a) the foregoing shall not be
 violated by any general advertising not targeted at any Company or subsidiary
 employees nor by you serving as a reference upon request, and (b) you may
 solicit and hire any one or more former employees of the Company or its
 subsidiaries who had ceased being such an employee for a period of at least
 six (6) months prior to any such solicitation or hiring.

 
	
  

 	
  

 	
  

 
	
  

 	
 b.

 	
 Non-Solicitation
 of Clients and Vendors

 
	
  

 	
  

 	
  

 
	
  

 	
  

 	
 You agree
 that, during your employment by the Company or any subsidiary and through the
 end of two (2) years after your cessation of employment with the Company or
 any subsidiary, you will not solicit, in any business enterprise or activity,
 any client, customer, licensee, licensor, third-party service provider or
 vendor (a “Business Relation”) of the Company or
 any subsidiary who was a Business Relation of the Company or any subsidiary
 during your period of employment by the Company or any subsidiary to (i)
 cease being a Business Relation of the Company or any subsidiary or (ii)
 become a Business Relation of a Competing Business unless (without you having
 solicited such third party to cease such relationship) such third party
 ceased being a Business Relation of the Company or any subsidiary for a
 period of at least six (6) months prior to such solicitation.

 
	
  

 	
  

 	
  

 
	
  

 	
 c.

 	
 Non-Disparagement

 
	
  

 	
  

 	
  

 
	
  

 	
  

 	
 During your
 employment by the Company or any subsidiary and indefinitely thereafter,
 neither party shall make any statements, written or oral, to any third party
 which disparage, criticize, discredit or otherwise operate to the detriment
 of you or the Company, its present or former officers, shareholders, directors
 and employees and their respective business reputation and/or goodwill,
 provided, however, that nothing in this Section 12(c) shall prohibit either
 party from (i) making any truthful statements or disclosures required by
 applicable law regulation or (ii) taking any action to enforce its rights
 under this Letter or any other agreement in effect between the parties.

 
	
  

 	
  

 	
  

 
	
  

 	
 d.

 	
 Confidentiality

 


8









	
  

 	
  

 	
  

 
	
  

 	
 1)

 	
 During your
 employment by the Company or any subsidiary and indefinitely thereafter, you
 shall keep secret and retain in strictest confidence, any and all
 Confidential Information relating to the Company, except where your
 disclosure or use of such Confidential Information is in furtherance of the
 performance by you of your duties to the Company and not for personal benefit
 or the benefit of any interest adverse to the Company’s interests. For
 purposes of this Letter, “Confidential Information”
 shall mean any information including without limitation plans,
 specifications, models, samples, data, customer lists and customer
 information, computer programs and documentation, and other technical and/or
 business information, in whatever form, tangible or intangible, that can be
 communicated by whatever means available at such time, that relates to the
 Company’s current business or future business contemplated during your
 employment, products, services and development, or information received from
 others that the Company is obligated to treat as confidential or proprietary
 (provided that such confidential information shall not include any
 information that (a) has become generally available to the public or is
 generally known in the relevant trade or industry other than as a result of
 an improper disclosure by you, or (b) was available to or became known to you
 prior to the disclosure of such information on a non-confidential basis
 without breach of any duty of confidentiality to the Company), and you shall
 not disclose such confidential information to any Person (as defined below)
 other than the Company, except with the prior written consent of the Company,
 as may be required by law or court or administrative order (in which event
 you shall so notify the Company as promptly as practicable), or in
 performance of your duties on behalf of the Company. Further, this Section
 12(d) shall not prevent you from disclosing Confidential Information in
 connection with any litigation, arbitration or mediation to enforce this
 Letter or other agreement between the parties, provided such disclosure is
 necessary for you to assert any claim or defense in such proceeding.

 
	
  

 	
  

 	
  

 
	
  

 	
  

 	
 For purposes
 of this Letter, “Person” shall mean
 an individual, corporation, partnership, limited liability company, limited
 liability partnership, association, trust or other unincorporated
 organization or entity.

 
	
  

 	
  

 	
  

 
	
  

 	
 2)

 	
 Upon your
 termination of employment for any reason, you shall return to the Company all
 copies, reproductions and summaries of Confidential Information in your
 possession and use reasonable efforts to erase the same from all media in
 your possession, and, if the Company so requests, shall certify in writing
 that you have done so, except that you may retain such copies, reproductions
 and summaries during any period of litigation, arbitration or mediation
 referred to in Section 12(d)(1). All Confidential Information is and shall
 remain the property of the Company (or, in the case of information that the
 Company receives from a third party which it is obligated to treat as
 confidential, then the property of such third party); provided, you shall be
 entitled to retain copies of (i) information showing your compensation or
 relating to reimbursement of expenses, (ii) information that is required for
 the preparation of your personal income tax 

 


9









	
  

 	
  

 	
  

 
	
  

 	
  

 	
 return,
 (iii) documents provided to you in your capacity as a participant in any
 employee benefit plan, policy or program of the Company and (iv) this Letter
 and any other agreement by and between you and the Company with regard to
 your employment or termination thereof.

 
	
  

 	
  

 	
  

 
	
  

 	
 3)

 	
 All
 Intellectual Property (as hereinafter defined) and Technology (as hereinafter
 defined) created, developed, obtained or conceived of by you during your
 employment, and all business opportunities presented to you during your
 employment, shall be owned by and belong exclusively to the Company, provided
 that they reasonably relate to any of the business of the Company on the date
 of such creation, development, obtaining or conception, and you shall (i)
 promptly disclose any such Intellectual Property, Technology or business opportunity
 to the Company, and (ii) execute and deliver to the Company, without
 additional compensation, such instruments as the Company may require from
 time to time to evidence its ownership of any such Intellectual Property,
 Technology or business opportunity. For purposes of this Letter, (x) the term
 “Intellectual Property” means and includes
 any and all trademarks, trade names, service marks, service names, patents,
 copyrights, and applications therefor, and (y) the term “Technology” means and includes any and all trade
 secrets, proprietary information, invention, discoveries, know-how, formulae,
 processes and procedures.

 



          The
parties acknowledge that the restrictions contained in this Section 12 are a
reasonable and necessary protection of the immediate interests of the Company,
and any violation of these restrictions could cause substantial injury to the
Company and that the Company would not have entered into this Letter, without
receiving the additional consideration offered by you in binding yourself to
any of these restrictions. In the event of a breach or threatened breach by you
of any of these restrictions, the Company shall be entitled to apply to any
court of competent jurisdiction for an injunction restraining you from such
breach or threatened breach; provided, however, that the right to apply for an
injunction shall not be construed as prohibiting the Company from pursuing any
other available remedies for such breach or threatened breach.


          13.
No Guarantee of Continuation of Service


          This
grant of this Option does not constitute an assurance of continued Service for
any period or in any way interfere with the Company’s right to terminate your
Service. 


          14.
Administration


          The
Committee has the sole power to exercise its good faith judgment to interpret
the Plan and this Letter and to act upon all matters relating this grant to the
extent provided in the Plan and not inconsistent with the terms of this Letter.
Any decision, determination, interpretation, or other action taken pursuant to
the provisions of the Plan and this Letter by the Committee shall be final,
binding, and conclusive. 


10





          15.
Section 409A


          Notwithstanding
any provision of the Plan or this grant to the contrary, if you are a
“specified employee” as determined by the Board or the Committee, in accordance
with Section 409A of the Internal Revenue Code of 1986, as amended or any
regulations or Treasury guidance promulgated thereunder (“Section 409A”), you shall not be entitled to any
payments of amounts which constitute deferred compensation within the meaning
of Section 409A upon a termination of your employment until the earlier of (i)
the date which is six (6) months after your termination of employment for any
reason other than death (except that during such six (6) month period you may
receive total payments from the Company that do not exceed the amount specified
in Treas. Reg. Section 1.409A-1(b)(9) or that constitute a short-term deferral
within the meaning of Section 409A), or (ii) the date of your death.


          Notwithstanding
any provision of the Plan or this Letter to the contrary, to the extent any
compensation or award which constitutes deferred compensation within the
meaning of Section 409A shall vest upon the occurrence of a Change of Control
and such Change of Control does not constitute a “change in the ownership or
effective control” or a “change in the ownership or a substantial portion of
the assets” of the Company within the meaning of Section 409A, then
notwithstanding such vesting, payment will be made to you on the earliest of
(i) your “separation from service” with the Company (determined in
accordance with Section 409A) or, if you are a specified employee within
the meaning of Section 409A, such later date as provided in the preceding
paragraph, (ii) the date payment otherwise would have been made, or
(iii) the date of your death.


          If
any provision of this Agreement or of any award of compensation, including
equity compensation or benefits would cause you to incur any additional tax or
interest under Section 409A, the parties agree to negotiate in good faith to
reform such provision in such manner as to maintain, to the maximum extent
practicable, the original intent and economic terms of the applicable provision
without violating the provisions of Section 409A.


          16.
Amendment


          The
Committee may from time to time amend the terms of this grant in accordance
with the terms of the Plan in effect at the time of such amendment, but no
amendment which is unfavorable to you can be made without your written consent.



          The
Plan is of unlimited duration, but may be amended, terminated or discontinued
by the Board of Directors of the Company at any time. However, no amendment,
termination or discontinuance of the Plan will unfavorably affect this grant.


          Notwithstanding
the foregoing, the Committee expressly reserves the right to amend the terms of
the Plan and this grant with your consent which shall not be unreasonably
withheld to the extent it determines that such amendment is necessary or
desirable for an exemption from or compliance with the distribution,
acceleration and election requirements of Section 409A of the Code. 


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          17.
Notices


          Unless
otherwise provided herein, any notice, exercise of rights or other
communication required or permitted to be given hereunder shall be in writing
and shall be given by overnight delivery service such as Federal Express or
personal delivery against receipt, or mailed by registered or certified mail
(return receipt requested), to the party to whom it is given at, in the case of
the Company, Compensation Committee Chair, TheStreet.com, Inc., 14 Wall Street,
15th Floor, New York, NY 10005, or, in the case of Otte, at his
principal residence address as then reflected on the records of the Company or
such other address as such party may hereafter specify by notice to the other
party hereto. Any notice or other communication shall be deemed to have been
given as of the date so personally delivered or transmitted by telecopy or like
transmission or on the next business day after sent by overnight delivery
service for next business day delivery or on the fifth business day after sent
by registered or certified mail.


          18.
Representations


          The
Company hereby represents and warrants that the execution and delivery of this
Letter and the performance by the Company of its obligations hereunder have
been duly authorized by all necessary corporate action of the Company.


          19.
Amendment


          This
Letter may be amended only by a written agreement signed by the parties hereto.


          20.
Binding Effect


          This
Letter shall be binding upon and inure to the benefit of the Company and any
Successor. As used herein, a “Successor” shall mean
any successor organization that succeeds to the Company (or to any direct or
indirect successor) by merger or consolidation or operation of law, or by
acquisition of all or substantially all of the assets of the Company (or of any
direct or indirect successor).


          21.
Governing Law


          This
Letter shall be governed by and construed in accordance with the internal laws
of the State of New York applicable to contracts to be performed wholly within
the state and without regard to its conflict of laws provisions that would
defer to the laws of another jurisdiction, except to the extent the laws of the
State of Delaware mandatorily govern.


          22.
Severability


          If
any provision of this Letter shall for any reason be held invalid, illegal or
unenforceable, the validity, legality and enforceability of the remaining
provisions hereof shall not be affected or impaired thereby. Moreover, if any
one or more of the provisions of this Letter shall be held to be excessively
broad as to duration, activity or subject, such provisions 


12





shall be construed by
limiting and reducing them so as to be enforceable to the maximum extent
allowable by applicable law. To the extent permitted by applicable law, each
party hereto waives any provision of law that renders any provision of this
Letter invalid, illegal or unenforceable in any way.


          23.
Execution in Counterparts


          This
Letter may be executed in one or more counterparts, each of which shall be
deemed to be an original and all of which shall constitute one and the same
instrument.


          24.
Entire Agreement


          This
Letter, together with (i) the Change of Control and Severance Agreement between
the Company and you, as amended as of the same date as this Letter and (ii)
award agreements entered into by and between Otte and the Company with respect
to outstanding incentive awards and incentive awards granted on or before the
date hereof, sets forth the entire agreement, and supersedes all prior
agreements and understandings, both written and oral, between the parties with
respect to the subject matter hereof and thereof.


          25.
Titles and Headings


          Titles
and headings to Sections herein are for purposes of reference only, and shall
in no way limit, define or otherwise affect the meaning or interpretation of
any of the provisions of this Letter. 


          26.
Consent to Jurisdiction


          The
parties hereto each hereby irrevocably submit to the exclusive jurisdiction of
any New York State or Federal court sitting in the Borough of Manhattan, City
of New York in any action or proceeding to enforce the provisions of this
Letter, and waives the defense of inconvenient forum to the maintenance of any
such action or proceeding.




13





          This
Letter contains the formal terms and conditions of your award and accordingly
should be retained in your files for future reference. The Company may require
you to provide evidence of your acknowledgment of this Letter using such means
of notification as may be communicated to you by the Company or its service
provider. 


	
  

 	
  

 	
  

 
	
  

 	
 Very truly
 yours, 

 
	
  

 	
  

 	
  

 
	
  

 	
 THESTREET.COM,
 INC. 

 
	
  

 	
  

 	
  

 
	
  

 	
 By: 

 	
  

 
	
  

 	
  

 	

 


 
	
  

 	
 Name:
 William R. Gruver

 
	
  

 	
 Title:
 Compensation Committee Chair

 






	
  

 	
  

 
	
 AGREED TO
 AND ACCEPTED: 

 	
  

 
	
  

 	
  

 
	

 


 	
  

 
	
 Daryl R.
 Otte

 	
  

 


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