Exhibit 10.1


 


EMPLOYMENT AGREEMENT


 


This EMPLOYMENT
AGREEMENT (the “Agreement”) is made and entered into this 20th
day of June, 2018, by and between FC Global Realty Incorporated, a corporation organized under the laws of the State of Nevada
(the “Company”), and Michael R. Stewart (the “Executive”)


 


WHEREAS,
the Company desires to employ the Executive, and the Executive desires to be employed by the Company, in each case on the terms
and conditions contained herein.


 


NOW,
THEREFORE, in consideration of the foregoing premises and mutual covenants and agreements herein, and for other good
and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby agree as follows:


 


1.             Term of Employment. Subject to the provisions of Section 5 of this Agreement, the Executive shall be employed by
the Company for a period commencing on the date hereof (the “Effective Date”) and ending on the one (1) year anniversary
of the Effective Date (the “Term”). The Term shall be renewed automatically
for additional one (1) year period(s) unless terminated by either the Company or the Executive in writing by notice to the Executive
or the Company delivered no fewer than ninety (90) days prior to expiration of the then-applicable Term.


 


2.             Position.


 


(a)         Duties. The principal duty of the Executive shall be to serve in the position of Chief Executive Officer and Chief Financial
Officer of the Company. In such capacity, the Executive shall be responsible for the operation and management of the business of
the Company, subject to the direction and control of the Board of Directors of the Company (the “Board”).
All references to the “Board” in this Agreement shall include any committee of the Board (including the Compensation
Committee of the Board) that has been or is in the future delegated the power of the Board to oversee and manage the compensation
of the Company’s officers and employees.


 


(b)         Devotion of Time to Company’s Business. The Executive shall use his best efforts, skills and abilities to promote
and protect the interests of the Company and devote sufficient working time and energies to the business and affairs of the Company.
Notwithstanding anything to the contrary contained herein, the Executive (i) may serve on the board(s) of additional companies
or organizations or perform consulting services for other companies and receive compensation for such services rendered provided
all such activities are disclosed to the Board, and (ii) may engage in charitable, civic, fraternal, academic, professional, trade
association or other activities on behalf of private companies and receive compensation for such services rendered, provided that
in each such case the activities engaged in by the Executive do not materially interfere with his obligations to the Company, and
do not compete with the Company.


 


(c)         Directors and Officers Liability Insurance. During the Term and thereafter, the Company, or any successor to the Company
resulting from a change in control, shall maintain a directors and officers liability insurance policy (or policies) in a minimum
amount of $5,000,000 which shall provide comprehensive coverage to the Executive.


 



     


     


    

 


(d)         Best Efforts. The Executive shall use his best efforts to carry out and successfully complete the assignments, tasks
and job activities required, from time to time, to be performed to carry out the Executive’s duties and responsibilities
during the Term. The Executive’s duties and assignments shall be undertaken at such location(s) as may be mutually agreed
from time to time by the Executive and the Company.


 


(e)         Company Rules, Policies and Regulations. The Executive shall, at all times, conduct himself in a professional manner
and adhere to the standards, ethical obligations, rules, policies, regulations and procedures of the Company which are presently
in force or which may be established from time to time by the Company. the Executive shall take no intentional action that violates
any law, rule or regulation whatsoever while acting in his capacity as employee.


 


(f)          Indemnification. The Company shall fully indemnify and hold the Executive harmless, to the fullest extent permitted
by the law, from any and all costs, charges, liability, damages and expenses (including advancement of reasonable attorneys’
fees) incurred or sustained in connection with any action, suit or proceeding to which the Executive may be made a party by reason
of the Executive’s being or having been a Director, Officer or employee of the Company or any of its affiliates or employee
benefit plans, such indemnification to be consistent with the Company's terms and coverages under its insurance coverages and subject
to prior written notice of and written consent by its insurance providers, which consent shall not be unreasonably withheld. Notwithstanding
anything herein to the contrary, in the event that such costs, charges, liability, damages and/or expenses exceed that which is
reimbursed by the Company’s insurance providers, the Company shall indemnify the Executive to the maximum extent permitted
by law. The provisions of this Section shall survive the termination and expiration of this Agreement for any reason, including
any acts and omissions to act occurring after the termination or expiration of this Agreement.


 


(g)        Director
Position. Nothing contained in this Agreement shall impact the Employee’s right to remain a director of the Company.


 


3.             Compensation
and Benefits.


 


(a)          Compensation
and Benefits. The Executive shall be paid a base salary in consideration for his services at the rate of Four Hundred Thousand
Dollars ($400,000.00) per annum (the “Base Salary”), payable in accordance with the Company’s normal
payroll practices. Further increases in Base Salary during the Term shall be determined from time to time in the sole discretion
of the Board based upon such criteria as they deem relevant, or based on no particular criteria whatsoever.


 


(b)        
  Common Shares. The Executive shall be entitled to Four Hundred Thousand (400,000) shares of common stock which
shall be issued to him and in which he shall vest over a three (3) year period. One-third (1/3) of the shares shall be issued to
the Executive and the Executive shall vest in such shares on each of the first anniversary and the two (2) ensuing anniversaries
of the date of execution of this Agreement. The foregoing notwithstanding, the Executive shall fully vest in all of the shares
if the Executive’s employment with the Company shall terminate upon the occurrence of a Change in Control. The Executive’s
rights to non-vested shares of stock of the Company shall immediately be forfeited upon the termination of his employment with
the Company unless such termination is made by the Company without Cause or by the Executive for Good Reason.


 



    2


     


    

 


(c)          Withholding. All salaries, bonuses and other benefits payable to the Executive shall be subject to payroll, withholding
and other taxes or deductions as may be required by law.


 


(d)          Purchases by the Executive of Company common stock. The Executive may elect to purchase the common stock of the Company
in the open trading market; however, the Executive acknowledges and agrees that any such purchases are and shall be subject to
the Company’s trading policy, as now established and as may be hereafter revised, and to compliance with applicable Federal
and state laws concerning such purchases.


 


4.             Employee
Benefits; Business Expenses.


 


(a)          Employee
Benefits. During the Term, the Executive and his dependents shall be entitled to participate in the Company’s healthcare
plans, welfare benefit plans, life insurance plans or policies, fringe benefit plans and any qualified or non-qualified retirement
plans as in effect from time to time (collectively, the “Employee Benefits”), on the same basis as those benefits
are made available to the other senior executives of the Company, in accordance with the Company policy as in effect from time
to time and in accordance with the terms of the applicable plan documents (if any). In lieu of participating in the Company’s
group health insurance plan, the Company, at the Executive’s request, shall reimburse the Executive for the costs incurred
by the Executive in retaining a separate health insurance plan, not to exceed the cost the Company would otherwise be paying if
the Executive participated in the Company’s health plan.


 


(b)          Perquisites. During the Term, the Executive shall be entitled to receive such perquisites as are or have previously
been made available to other senior executives of the Company in accordance with Company policies as in effect from time to time.


 


(c)          Expenses. The Executive shall be entitled to reimbursement for reasonable and necessary business expenses incurred
by him in the performance of his duties and responsibilities hereunder, such expenses to be documented and reimbursed in accordance
with the Company’s reimbursement and expenses policies as in effect from time to time.


 


(d)         Vacation. The Executive shall be entitled to four (4) weeks paid vacation per annum.


 


5.             Termination.


 


(a)
         Definitions. For purposes of this Agreement:


 


(i)           “Cause” shall mean (A) the Executive’s gross negligence and/or willful misconduct (as such terms
are generally understood and applied to the performance of an executive) in the performance of his material duties with respect
to the Company as determined, in each case, by a court of competent jurisdiction not subject to further appeal or a final arbitration
award, as provided hereunder, (B) the conviction by the Executive of a crime constituting a felony or (C) the Executive’s
commission of any material act of malfeasance, disloyalty, dishonesty or breach of fiduciary duty against the Company, for which
the Executive shall have a ten (10) day cure period following notice thereof from the Company (except for a conviction pursuant
to subsection (B), for which there shall be no cure period).


 



    3


     


    

 


(ii)          “Change of Control” means the occurrence of a change in control as provided in Section 409A of the Internal
Revenue Code of 1986, as amended (the “Code”).


 


(iii)         “Date of Termination” shall mean the date ninety (90) days after the Notice of Termination is given to
the respective party; provided, however, that with respect to a termination for Cause by the Company, the Date of Termination shall
not occur prior to the expiration of any applicable cure period.


 


(iv)        “Disability” shall mean the Executive has become physically or mentally incapacitated and is therefore
unable for a period of four (4) consecutive months to perform any of the material elements of his duties hereunder. Any question
as to whether the Executive has a Disability as to which he (or his legal representative) and the Company cannot agree shall be
determined in writing by a qualified independent physician mutually acceptable to the Executive (or his legal representative) and
the Company. If the Executive (or his legal representative) and the Company cannot agree as to a qualified independent physician,
each shall appoint such a physician and those two physicians shall select a third who shall make such determination in writing.
The determination of whether the Executive has a Disability, as made in writing to the Company and the Executive by such physician(s),
shall be final and conclusive for all purposes of this Agreement.


 


(v)         “Good Reason” shall mean (A) a breach by the Company of any of its material obligations or covenants
or change to any of the material terms set forth in this Agreement for which the Company shall have a ten (10) day cure period
following notice thereof from the Executive to the Company, (B) a material reduction of the duties, responsibilities or title of
the Executive, (C) the assignment to the Executive of any duties or responsibilities that are inconsistent, in any significant
respect, with his position, for which the Company shall have a ten (10) day cure period following notice thereof from the Executive
to the Company, (D) an abandonment of, or fundamental change in, the primary business or primary products of the Company, (E) a
Change of Control.


 


(vi)        “Notice of Termination” shall mean a notice which shall indicate the specific termination provision in
this Agreement relied upon and shall set forth in reasonable detail the facts and circumstances claimed to provide a basis for
termination of employment under the provision so indicated, and shall be communicated, in writing, to the other party hereto in
accordance with the provisions of Section 6(g) hereof.


 


(vii)       “Annual Compensation” shall mean the Executive’s annual Base Salary then in effect.


 


(b)         
By the Company for Cause, by the Executive Without Good Reason or Upon Agreement Expiration.


 



    4


     


    

 


(i)    
The Term and the Executive’s employment hereunder may be terminated by the Company for Cause, immediately upon the
delivery of a Notice of Termination by the Company to the Executive (except where the Executive is entitled to a cure period hereunder,
in which case such Date of Termination shall be upon the expiration of such cure period if such matter constituting Cause is not
cured) and shall terminate automatically upon the Executive’s resignation (other than for Good Reason or due to the Executive’s
death or Disability).


 


(ii)  
If the Executive’s employment is terminated by the Company for Cause, if the Executive resigns other than for Good
Reason or if the Term of the Agreement expires, the Executive shall be entitled to receive:


 


(A)        any earned but unpaid Base Salary and/or accrued but unused vacation, and all vested equity;


 


(B)         reimbursement for any unreimbursed business expenses incurred by the Executive in accordance with the Company’s policy
prior to the Agreement’s expiration or the Date of Termination (with such reimbursements to be paid promptly after the Executive
provides the Company with the necessary documentation of such expenses to the extent required by such policy but in no event later
than the end of the second calendar month following the year in which the Agreement expires or the Date of Termination occurred);
and


 


(C)         such Employee Benefits, if any, as to which he may be entitled upon termination of employment under the terms of the plan
documents and applicable law (including under the applicable provisions of Consolidated Omnibus Budget Reconciliation Act of 1985,
as amended).


 


Following such termination,
except as set forth above or as required by applicable law, the Executive shall have no further rights to any compensation or any
other benefits or perquisites under this Agreement and all unvested stock awards shall immediately be cancelled without the need
for any action by the Company.


 


		(c)	By the Company Other Than for Cause or by the Executive for Good Reason.



 


(i)            The Term and the Executive’s employment hereunder may be terminated by the Company other than for Cause, immediately
upon the delivery of a Notice of Termination by the Company to the Executive and shall terminate automatically and immediately
upon the Executive’s resignation for Good Reason at the end of any applicable cure period if the circumstances giving rise
to Good Reason are not cured.


 


(ii)           If the Executive’s employment is terminated by the Company other than for Cause or if the Executive resigns for Good
Reason then, in addition to any accrued amounts the Executive shall receive and the Company shall pay to the Executive on the Date
of Termination:


 



    5


     


    

 


(A)        any earned but unpaid Base Salary, plus the Executive’s Base Salary for the balance of the then applicable Term together
in a lump sum payment;


 


(B)         payment of the full health insurance costs for the Executive and his family under a Company-provided group health plan (or,
alternatively as the Executive may choose, reimbursement for the costs of the Executive maintaining his own health insurance plan
to the extent provided in Section 4(a) above) for the balance of the then applicable Term provided that any such payment which
constitutes deferred compensation under Section 409A of the Code shall be made annually within thirty (30) days after the end of
the calendar year in which the health insurance costs were incurred;


 


(C)         In the event of a Change of Control, in addition to the severance payments described above, the Executive shall receive
immediate vesting of any then-unvested stock grants or any and all other equity awards;


 


(D)         reimbursement for any vacation days accrued but unused through the Date of Termination;


 


(E)          reimbursement for any business expenses incurred by the Executive in accordance with the Company’s policy prior to
the Date of Termination but not yet reimbursed by the Company. Such reimbursements are to be paid promptly after the Executive
provides the Company with the necessary documentation of such expenses to the extent required by such policy but in no event later
than the end of the second calendar month following the year in which the Date of Termination occurred); and


 


(F)          such other Employee Benefits, if any, as to which he may be entitled upon termination of employment hereunder.


 


Following the Executive’s
termination of employment by the Company other than for Cause or if he resigns for Good Reason, except as set forth above or as
required by applicable law, the Executive shall have no further rights to any compensation or any other benefits under this Agreement.
Notwithstanding the foregoing, in order to be eligible for any of the severance payments and benefits under this Section 5(c),
the Executive must execute and deliver to the Company a general release in a form reasonably satisfactory to the Board. If the
payments to be made under this Section 5(c) are otherwise subject to Section 409A of the Code, they shall be made, or commence
to be made, on the first pay period following the date that is thirty (30) days after the Executive’s employment terminates.
If the payments are not otherwise subject to Section 409A of the Code, they shall be made, or commence to be made, on the first
business day after the release becomes effective. The initial payment shall include any unpaid amounts from the date the Executive’s
employment terminated, subject to the Executive’s executing and delivering the release on the terms as set forth above.


 



    6


     


    

 


(d)         Death
or Disability. The Executive’s employment hereunder shall terminate upon the Executive’s death and may be terminated
by the Company, within ten (10) days after the delivery of a Notice of Termination by the Company to the Executive (or his legal
representative) in the event of the Executive’s Disability. Upon termination of the Executive’s employment hereunder
for either Disability or death, the Executive shall be entitled to receive the same payments and other items as set forth in clause
(ii) of Section 5(b) hereof, except that the Executive (in case of Disability) or the estate (in the event of death) shall receive
payment for accrued but unpaid vacation time, if any. Following the Executive’s termination of employment due to death or
Disability, except as set forth herein or as required by applicable law, the Executive (nor his estate) shall have no further rights
to any compensation or any other benefits under this Agreement.


 


(e)         Payment of Amounts Owed upon Termination of Employment. Unless otherwise provided herein, any amounts payable to
the Executive for earned but unpaid Base Salary through the Date of Termination shall be paid within ten (10) business days after
the Date of Termination.


 


6.               Miscellaneous.


 


(a)          Governing Law. This Agreement shall be construed and governed under and by the laws of the State of New York, without
regard to the conflicts of laws principles thereof.


 


(b)          Arbitration of Claims. In the event of any dispute, claim, question or disagreement arising from or relating to this
Agreement or the breach thereof (and except for cases in which the Company is entitled to injunctive or other equitable relief),
the Company and the Executive agree to settle the dispute, claim, question or disagreement by arbitration before a single arbitrator
in the City of New York, New York, selected by, and such arbitration to be administered by, the American Arbitration Association
(“AAA”) in accordance with its Commercial Arbitration Rules, and judgment on the award rendered by the arbitrator
may be entered in any court having jurisdiction thereof. Each of the Company and the Executive hereby agrees and acknowledges that
all disputes between or among them are subject to the alternative dispute resolution procedures of this Section 6(b). Each of the
Company and the Executive agrees that any aspect of alternative dispute resolution not specifically covered in this Agreement shall
be covered, without limitation, by the applicable AAA rules and procedures. Each of the Company and the Executive further agree
that any determination by the arbitrator regarding any dispute, claim, question or disagreement arising from or relating to this
Agreement shall be final and binding upon the parties hereto and shall not be subject to further appeal. Each of the Company and
Executive shall bear its own costs and expenses and an equal share of the arbitrator’s fees and administrative fees of arbitration;
provided, however, that upon receipt of the determination by the arbitrator the prevailing party shall have all reasonable out-of-pocket
fees and expenses reimbursed promptly (in all events within ten (10) calendar days following delivery to both parties of the arbitrator’s
decision) by the non-prevailing party in any such dispute.


 


(c)          Entire Agreement; Amendments. This Agreement sets forth the entire understanding of the parties concerning the subject
matter of this Agreement and incorporates all prior negotiations and understandings. There are no covenants, promises, agreements,
conditions or understandings, either oral or written, between them relating to the subject matter of this Agreement other than
those set forth herein. The publication, amendment, supplementation or replacement of an employee handbook by the Company shall
not be deemed to alter, amend or modify the terms and conditions of this Agreement. No alteration, amendment, change or addition
to this Agreement shall be binding upon any party unless in writing and signed by the party to be charged. No purported waiver
by any party of any default by another party of any term or provision contained herein shall be deemed to be a waiver of such term
or provision unless the waiver is in writing and signed by the waiving party. No such waiver shall in any event be deemed a waiver
of any subsequent default under the same or any other term or provision contained herein. This Agreement may not be altered, modified,
or amended except by written instrument signed by the parties hereto.


 



    7


     


    

 


(d)          No Waiver. No waiver of any of the provisions of this Agreement, whether by conduct or otherwise, in any one or more
instances, shall be deemed or be construed as a further, continuing or subsequent waiver of any such provision or as a waiver of
any other provision of this Agreement. No failure to exercise and no delay in exercising any right, remedy or power hereunder will
preclude any other or further exercise of any other right, remedy or power provided herein or by law or in equity.


 


(e)          Severability. If any term or provisions of this Agreement, or the application thereof to any person or circumstance,
shall be invalid or unenforceable, the remainder of this Agreement, or the application of such term or provision to persons or
circumstances, other than those as to which it is held invalid, shall both be unaffected thereby and each term or provision of
this Agreement shall be valid and be enforced to the fullest extent permitted by law.


 


(f)             
Assignment. This Agreement, and the Executive’s rights and duties hereunder, shall not be assignable or delegable
by the Executive; provided, however, that if the Executive shall die, all amounts then payable to the Executive hereunder shall
be paid in accordance with the terms of this Agreement to the Executive’s devisee, legatee or other designee or, if there
be no such devisee, legatee or designee, to his estate. Upon such assignment, the rights and obligations of the Company hereunder
shall become the rights and obligations of such affiliate or successor person or entity.


 


(g)            
Notices. For the purpose of this Agreement, notices and all other communications provided for in the Agreement shall
be in writing and shall be deemed to have been duly given when delivered by hand or internationally recognized courier service
addressed to the respective addresses set forth below in this Agreement, or via facsimile or email transmission to the number or
email address set forth below, or to such other address as either party may have furnished to the other in writing in accordance
herewith, except that notice of change of address shall be effective only upon receipt.


 


If to the Company:


 


Board of Directors


FC Global Realty Incorporated


2300 Computer Drive, Building G 


Willow Grove, PA 19090


Attention: Chairman, Board of Directors


 



    8


     


    

 


If to the Executive:


 


Michael R. Stewart


9834 Giaveno Circle


Unit 1745


Naples, Florida 34113


 


(h)           Prior Agreements. This Agreement supersedes all prior agreements and understandings (including verbal agreements)
between the Executive and the Company regarding the terms and conditions of the Executive’s employment with the Company.


 


(i)            Cooperation. The Executive shall provide his reasonable cooperation in connection with any action or proceeding (or
any appeal from any action or proceeding) which relates to events occurring during the Executive’s employment hereunder,
but only to the extent the Company requests such cooperation with reasonable advance notice to the Executive and in respect of
such periods of time as shall not unreasonably interfere with the Executive’s ability to perform his duties with any subsequent
employer; provided, however, the Company shall pay any reasonable travel, lodging and related expenses that the Executive may incur
in connection with providing all such cooperation, to the extent approved by the Company prior to incurring such expenses.


 


(j)            Execution and Counterparts. This Agreement may be executed in counterparts, all of which when taken together shall
be considered one and the same agreement and shall become effective when counterparts have been signed by each party and delivered
to the other party, it being understood that the parties need not sign the same counterpart. In the event that any signature is
delivered by facsimile transmission or by e-mail delivery of a “.pdf” format data file, such signature shall create
a valid and binding obligation of the party executing (or on whose behalf such signature is executed) with the same force and effect
as if such facsimile or “.pdf” signature page were an original thereof.


 


(k)           Tax Provisions.


 


(i)            The parties intend that the payments and benefits provided for in this Agreement either be exempt from Section 409A of the
Code, or be provided in a manner that complies with Section 409A of the Code and any ambiguity herein shall be interpreted so as
to be consistent with the intent of this paragraph. In no event whatsoever shall the Company be liable for any additional tax,
interest or penalty that may be imposed on the Executive by Section 409A of the Code or damages for failing to comply with Section
409A of the Code. Notwithstanding anything contained herein to the contrary, all payments and benefits which are payable upon a
termination of employment hereunder shall be paid or provided only upon those terminations of employment that constitute a “separation
from service” from the Company within the meaning of Section 409A of the Code (determined after applying the presumptions
set forth in Treas. Reg. Section 1.409A-1(h)(1)). Further, if the Executive is a “specified employee” as such term
is defined under Section 409A of the Code at the time of a termination of employment and the deferral of the commencement of any
payments or benefits otherwise payable hereunder as a result of such termination of employment is necessary in order to prevent
any accelerated recognition of income or additional tax under Section 409A of the Code, then the Company will defer the commencement
of the payment of any such payments or benefits hereunder (without any reduction in payments or benefits ultimately paid or provided
to the Executive) until the date that is at least six (6) months following the Executive’s termination of employment with
the Company (or the earliest date permitted under Section 409A of the Code, e.g., immediately upon the Executive’s death),
whereupon the Company will promptly pay the Executive a lump-sum amount equal to the cumulative amounts that would have otherwise
been previously paid to the Executive under this Agreement during the period in which such payments or benefits were deferred.
Thereafter, payments will resume in accordance with this Agreement.


 



    9


     


    

 


(ii)           Notwithstanding anything to the contrary in this Agreement, in-kind benefits and reimbursements provided hereunder during
any calendar year shall not affect in-kind benefits or reimbursements to be provided in any other calendar year, other than an
arrangement providing for the reimbursement of medical expenses referred to in Section 105(b) of the Code, and are not subject
to liquidation or exchange for another benefit. Notwithstanding anything to the contrary in this Agreement, reimbursement requests
must be timely submitted by the Executive and, if timely submitted, reimbursement payments shall be promptly made to the Executive
following such submission, but in no event later than December 31st of the calendar year following the calendar year in which the
expense was incurred. In no event shall the Executive be entitled to any reimbursement payments after December 31st of the calendar
year following the calendar year in which the expense was incurred. This paragraph shall only apply to in-kind benefits and reimbursements
that would result in taxable compensation income to the Executive.


 


(iii)          Additionally, in the event that following the date hereof the Company or the Executive reasonably determines that any compensation
or benefits payable under this Agreement may be subject to Section 409A of the Code, the Company and the Executive shall work together
to adopt such amendments to this Agreement or adopt other policies or procedures (including amendments, policies and procedures
with retroactive effect), or take any other commercially reasonable actions necessary or appropriate to (x) exempt the compensation
and benefits payable under this Agreement from Section 409A of the Code and/or preserve the intended tax treatment of the compensation
and benefits provided with respect to this Agreement or (y) comply with the requirements of Section 409A of the Code.


 


The parties hereto have duly
executed this Agreement as of the day and year first above written.


 





	 	FC GLOBAL REALTY INCORPORATIONED	 
	 	 	 
	 	By:	/s/ Richard Leider	 
	 	 	Name:	Richard Leider	 
	 	 	Title:	Chairman, Compensation Committee Of the Board of Directors
	 	 	 	 	 
	 	EXECUTIVE:	 
	 	 	 
	 	/s/ Michael R. Stewart	 
	 	Michael R. Stewart	 




 



    10