Document:

Prepared by MERRILL CORPORATION

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EXHIBIT 10.6    
  

December 21,
2001 

Cheryl
Pearlstein-Enos 

Dear
Cheryl: 

    US
SEARCH.com Inc. ("US SEARCH" or the "Company") is pleased to offer you the position of Vice President, Operations of the successor corporation to Professional Resources
Screening Services, Inc. ("PRSI Successor") effective upon closing under the Agreement and Plan of Merger (the "Transaction") between US SEARCH.com Inc. and Professional Resource
Screening, Inc. 

    As
Vice President, Operations of PRSI Successor, you will be employed full time in the Company's subsidiary headquarters at 2400 Bisso Lane, Suite 100, Concord, CA 94520, and perform
the duties customarily associated with this position, reporting directly to the PRSI Successor President. The Company or PRSI Successor may change your work location from time to time, as it deems
reasonably necessary, but in no event shall such work location be changed to a location more than 20 miles from its current location without your consent. You will be expected to work the hours
required by the nature of your work assignments. 

    Your
initial base salary will be one hundred thousand dollars ($100,000.00) per year, less standard deductions and withholdings, paid in accordance with PRSI Successor's standard
payroll procedures. The Company or PRSI Successor will, at its option, review your salary compensation at the end of the first year of your employment. In its sole discretion, the Company or PRSI
Successor may increase your compensation, but failure to do so will not have any effect on the other terms hereof. If the Company's Board of Directors implements an incentive compensation plan for
Company and/or PRSI Successor management, you will be eligible for incentive compensation commensurate with other similarly
situated executives of the Company and/or PRSI Successor based on goals and objectives determined by the Company's Board of Directors. 

    You
will receive a stock option grant with respect to one hundred fifty thousand (150,000) shares of the Company's common stock at an exercise price equal to the closing price of the
Company's Common Stock traded on Nasdaq National Market on the date the Transaction closes. Your shares subject to the grant will vest in thirty-six (36) equal monthly installments
beginning on the first day of the first full month after the grant. Your stock options will be granted under the US SEARCH.com Inc. 1998 Amended and Restated Stock Incentive Plan. 

    In
addition to your salary and incentive compensation, you will be eligible for four (4) weeks vacation annually, and medical, dental and vision plan, and life insurance and
disability insurance benefits commensurate with those provided to company and PRSI Successor executives. Details about these benefits will be available for your review. Your benefits will be subject
to changes in PRSI Successor's benefit plans applicable to PRSI Successor executives generally.  You will be entitled to participate in Company's 401(k) plan, including eligibility for
employer contributions, if any, commensurate with similarly situated Company and PRSI Successor executives. 

    You
will be expected to abide by all of the Company's and PRSI Successor's policies and procedures. As a condition of your employment, you agree to sign and comply with the Company's
Proprietary Information and Inventions Agreement attached as Exhibit 1. 

    By
accepting this offer, you represent and warrant that you are not a party to any agreement with any third party or prior employer that would conflict with or inhibit your
performance of your duties with PRSI Successor. 

    As
required by law, this offer of employment is subject to satisfactory proof of your right to work in the United States. This offer is also subject to completion of a successful
background check. 

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    Your employment with PRSI Successor is for a specified term of three (3) years. The Company, in its sole discretion, may offer and you, in your sole discretion, may agree to
additional extensions of your employment with the PRSI Successor. If you terminate your employment with "good reason", or Company or PRSI Successor terminates your employment without "cause" any time
during the three (3) year term of your employment, the Company or PRSI Successor will provide you with the following severance benefits, provided that you provide the Company with a signed
general release of all claims, the form of which is set forth in Exhibit 2: continuation of your base salary then in effect, subject to standard payroll deductions and withholdings, payable
semi-monthly for the remainder of the initial
three (3) year term, and continuation of medical, dental, and vision plan, and life insurance and disability benefits, together with continued exercisability of stock options during such
period. For purposes of this letter agreement, "cause" for termination of your employment by the Company or PRSI Successor shall mean only the
following: (i) your conviction of a felony or other crime involving dishonesty or moral turpitude; (ii) your participation in a fraud, embezzlement or theft against the Company or PRSI
Successor; (iii) your intentional refusal (not to include inability) to perform reasonable duties assigned to you by your supervisor(s) or comply with Company or PRSI Successor's generally
applicable policies and procedures, in either case following written warning from the Board of Directors in response to such conduct, (iv) your performance of duties of your employment while
impaired by alcohol, illegal drugs, or conduct, with the allowance of a reasonable period for cure or correction of subsequent behavior; or (v) a material breach of any of your specific
obligations under this letter agreement. For purposes of this letter agreement, "good reason" for your termination of your employment shall mean only
the following: (i) Company or PRSI Successor's materially breaching any of its specific obligations under this letter agreement, including without limitation, its obligations regarding your
title, supervisor, compensation, benefits and work location, or (ii) Company or PRSI Successor's materially reducing your duties and responsibilities below a level customarily associated with
the position for which you are employed hereunder; provided, however, that in any of the foregoing events, "good reason" shall not exist until you have given Company or PRSI Successor written notice
of such event upon learning of it and allowed Company or PRSI Success a period of up to 15 days following receipt by the Company of such notice, during which period such events that constitute
or give rise to such "good reason" shall not have been cured or eliminated by Company or PRSI Successor. 

    If,
at any time: (i) your employment is terminated for "cause" or (ii) you resign from the Company other than for "good reason", all compensation and unvested options,
unvested vacation time and unvested benefits will cease immediately, subject to the Company's obligations under COBRA and other applicable laws, rules and regulations, and subject to Company's D&O
insurance and indemnity obligations to you hereunder. 

    We
look forward to your joining us. In the meantime, if I can be of any assistance, please feel free to contact me. 

Sincerely,

/s/
BRENT N. COHEN

Brent Cohen

Chief Executive Officer 

ACKNOWLEDGEMENT:  

    I have read, understand and accept the terms of employment offered in this letter. 

	/s/ CHERYL PEARLSTEIN-ENOS   
 Signature	 	December 28, 2001

Date

Enclosures:

Proprietary Information and Inventions Agreement

Release of Claims 

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EXHIBIT 1    
    
    U.S. SEARCH.COM INC.    
    
    EMPLOYEE PROPRIETARY INFORMATION
  AND INVENTIONS AGREEMENT    
  

    In consideration of my employment or continued employment by US SEARCH.com Inc. (the "Company"), and the compensation now and hereafter paid to me, I
hereby agree as follows: 

1.  NONDISCLOSURE  

    1.1  Recognition of Company's Rights; Nondisclosure.  At all times during my employment and thereafter, I
will hold in strictest confidence and will not disclose, use, lecture upon or publish any of the Company's Proprietary Information (defined below), except as such disclosure, use or publication may be
required in connection with my work for the Company, or unless an officer of the Company expressly authorizes such in writing. I will obtain Company's written approval before publishing or
submitting for publication any material (written, verbal, or otherwise) that relates to my work at Company and/or incorporates any Proprietary Information. I hereby assign to the Company any rights I
may have or acquire in such Proprietary Information and recognize that all Proprietary Information shall be the sole property of the Company and its assigns. 

    1.2  Proprietary Information.  The term "Proprietary Information" shall mean any and all confidential
and/or proprietary knowledge, data or information of the Company. By way of illustration but not limitation, "Proprietary Information" includes (a) trade secrets, inventions, mask works, ideas,
processes, formulas, source and object codes, data, programs, other works of authorship, know-how, improvements, discoveries, developments, designs and techniques (hereinafter collectively
referred to as "Inventions"); and (b) information regarding plans for research, development, new products, marketing and selling, business plans, budgets and unpublished financial statements,
licenses, prices and costs, suppliers and customers; and (c) information regarding the skills and compensation of other employees of the Company. Notwithstanding the foregoing, it is understood
that, at all such times, I am free to use information which is generally known in the trade or industry, which is not gained as result of a breach of this Agreement, and my own, skill, knowledge,
know-how and experience to whatever extent and in whichever way I wish. 

    1.3  Third Party Information.  I understand, in addition, that the Company has received and in the future
will receive from third parties confidential or proprietary information ("Third Party Information") subject to a duty on the Company's part to maintain the confidentiality of such information and to
use it only for certain limited purposes. During the term of my employment and thereafter, I will hold Third Party Information in the strictest confidence and will not disclose to anyone (other than
Company personnel who need to know such information in connection with their work for the Company) or use, except in connection with my work for the Company, Third Party Information unless expressly
authorized by an officer of the Company in writing. 

    1.4  No Improper Use of Information of Prior Employers and Others.  During my employment by the Company I
will not improperly use or disclose any confidential information or trade secrets, if any, of any former employer or any other person to whom I have an obligation of confidentiality, and I will not
bring onto the premises of the Company any unpublished documents or any property belonging to any former employer or any other person to whom I have an obligation of confidentiality unless consented
to in writing by that former employer or person. I will use in the performance of my duties only information which is generally known and used by persons with training and experience comparable to my
own, which is common knowledge in the industry or otherwise legally in the public domain, or which is otherwise provided or developed by the Company. 

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2.  ASSIGNMENT OF INVENTIONS.  

    2.1  Proprietary Rights.  The term "Proprietary Rights"
shall mean all trade secret, patent, copyright, mask work and other intellectual property rights throughout the world. 

    2.2  Prior Inventions.  Inventions, if any, patented or unpatented, which I made prior to the
commencement of my employment with the Company are excluded from the scope of this Agreement. To preclude any possible uncertainty, I have set forth on  Exhibit B (Previous Inventions) attached
hereto a complete list of all Inventions that I have, alone or jointly with others, conceived, developed
or reduced to practice or caused to be conceived, developed or reduced to practice prior to the commencement of my employment with the Company, that I consider to be my property or the property of
third parties and that I wish to have excluded from the scope of this Agreement (collectively referred to as "Prior Inventions"). If disclosure of any such Prior Invention would cause me to violate
any prior confidentiality agreement, I understand that I am not to list such Prior Inventions in Exhibit B but am only to disclose a cursory name
for each such invention, a listing of the party(ies) to whom it belongs and the fact that full disclosure as to such inventions has not been made for that reason. A space is provided on  Exhibit B
for such purpose. If no such disclosure is attached, I represent that there are no Prior Inventions. If, in the course of my employment
with the Company, I incorporate a Prior Invention into a Company product, process or machine, the Company is hereby granted and shall have a nonexclusive, royalty-free, irrevocable,
perpetual, worldwide license (with rights to sublicense through multiple tiers of sublicensees) to make, have made, modify, use and sell such Prior Invention. Notwithstanding the foregoing, I agree
that I will not incorporate, or permit to be incorporated, Prior Inventions in any Company Inventions without the Company's prior written consent. 

    2.3  Assignment of Inventions.  Subject to Sections 2.4, and 2.6, I hereby assign and agree to assign in
the future (when any such Inventions or Proprietary Rights are first reduced to practice or first fixed in a tangible medium, as applicable) to the Company all my right, title and interest in and to
any and all Inventions (and all Proprietary Rights with respect thereto) whether or not patentable or registrable under copyright or similar statutes, made or conceived or reduced to practice or
learned by me, either alone or jointly with others, during the period of my employment with the Company. Inventions assigned to the Company, or to a third party as directed by the Company pursuant to
this Section 2, are hereinafter referred to as "Company Inventions." 

    2.4  Nonassignable Inventions.  This Agreement does not apply to an Invention which qualifies fully as a
nonassignable Invention under Section 2870 of the California Labor Code (hereinafter "Section 2870"). I have reviewed the notification on  Exhibit A (Limited Exclusion Notification) and
agree that my signature acknowledges receipt of the notification. 

    2.5  Obligation to Keep Company Informed.  During the period of my employment and for six
(6) months after termination of my employment with the Company, I will promptly disclose to the Company fully and in writing all Inventions authored, conceived or reduced to practice by me,
either alone or jointly with others. In addition, I will promptly disclose to the Company all patent applications filed by me or on my behalf within a year after termination of employment. At the time
of each such disclosure, I will advise the Company in writing of any Inventions that I believe fully qualify for protection under Section 2870; and I will at that time provide to the Company in
writing all evidence necessary to
substantiate that belief. The Company will keep in confidence and will not use for any purpose or disclose to third parties without my consent any confidential information disclosed in writing to the
Company pursuant to this Agreement relating to Inventions that qualify fully for protection under the provisions of Section 2870. I will preserve the confidentiality of any Invention that does
not fully qualify for protection under Section 2870. 

    2.6  Government or Third Party.  I also agree to assign all my right, title and interest in and to any
particular Company Invention to a third party, including without limitation the United States, as directed by the Company. 

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    2.7  Works for Hire.  I acknowledge that all original works of authorship which are made by me (solely or
jointly with others) within the scope of my employment and which are protectable by copyright are "works made for hire," pursuant to United States Copyright Act (17 U.S.C., Section 101). 

    2.8  Enforcement of Proprietary Rights.  I will assist the Company in every proper way to obtain, and
from time to time enforce, United States and foreign Proprietary Rights relating to Company Inventions in any and all countries. To that end I will execute, verify and deliver such documents and
perform such other acts (including appearances as a witness) as the Company may reasonably request for use in applying for, obtaining, perfecting, evidencing, sustaining and enforcing such Proprietary
Rights and the assignment thereof. In addition, I will execute, verify and deliver assignments of such Proprietary Rights to the Company or its designee. My obligation to assist the Company with
respect to Proprietary Rights relating to such Company Inventions in any and all countries shall continue beyond the termination of my employment, but the Company shall compensate me at a reasonable
rate after my termination for the time actually spent by me at the Company's request on such assistance. 

    In
the event the Company is unable for any reason, after reasonable effort, to secure my signature on any document needed in connection with the actions specified in the preceding
paragraph, I hereby irrevocably designate and appoint the Company and its duly authorized officers and agents as my agent and attorney in fact, which appointment is coupled with an interest, to act
for and in my behalf to execute, verify and file any such documents and to do all other lawfully permitted acts to further the purposes of the preceding paragraph with the same legal force and effect
as if executed by me. I hereby waive and quitclaim to the Company any and all claims, of any nature whatsoever, which I now or may hereafter have for infringement of any Proprietary Rights assigned
hereunder to the Company. 

3.  RECORDS.  I agree to keep and maintain adequate and current records (in the form of notes, sketches, drawings and in
any other form that may be required by the Company) of all Proprietary Information developed by me and all Inventions made by me during the period of my employment at the Company, which records shall
be available to and remain the sole property of the Company at all times. 

4.  ADDITIONAL ACTIVITIES.  I agree that during the period of my employment by the Company I will not, without the
Company's express written consent, engage in any employment or business activity which is competitive with, or would otherwise conflict with, my employment by the Company. I agree further that for the
period of my employment by the Company and for one (l) year after the date of termination of my employment by the Company I will not, either directly or through others, solicit or attempt to
solicit any employee, independent contractor or consultant of the company to terminate his or her relationship with the Company in order to become an employee, consultant or independent contractor to
or for any other person or entity. 

5.  NO CONFLICTING OBLIGATION.  I represent that my performance of all the terms of this Agreement and as an employee of
the Company does not and will not breach any agreement to keep in confidence information acquired by me in confidence or in trust prior to my employment by the Company. I have not entered into, and I
agree I will not enter into, any agreement either written or oral in conflict herewith. 

6.  RETURN OF COMPANY DOCUMENTS.  When I leave the employ of the Company, I will deliver to the Company any and all
drawings, notes, memoranda, specifications, devices, formulas, and documents, together with all copies thereof, and any other material containing or disclosing any Company Inventions, Third Party
Information or Proprietary Information of the Company. I further agree that any property situated on the Company's premises and owned by the Company, including disks and other storage media, filing
cabinets or other work areas, is subject to inspection by Company personnel at any time with or without notice. Prior to leaving, I will cooperate with the Company in completing and signing the
Company's termination statement. 

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7.  LEGAL AND EQUITABLE REMEDIES.  Because my services are personal and unique and because I may have access to and become
acquainted with the Proprietary Information of the Company, the Company shall have the right to enforce this Agreement and any of its provisions by injunction, specific performance or other equitable
relief, without bond and without prejudice to any other rights and remedies that the Company may have for a breach of this Agreement. 

8.  NOTICES.  Any notices required or permitted hereunder shall be given to the appropriate party at the address specified
below or at such other address as the party shall specify in writing. Such notice shall be deemed given upon personal delivery to the appropriate address or if sent by certified or registered mail,
three (3) days after the date of mailing. 

9.  NOTIFICATION OF NEW EMPLOYER.  In the event that I leave the employ of the Company, I hereby consent to the
notification of my new employer of my rights and obligations under this Agreement. 

10. GENERAL PROVISIONS.  

    10.1  Governing Law; Consent to Personal Jurisdiction.  This Agreement will be governed by and construed
according to the laws of the State of California, as such laws are applied to agreements entered into and to be performed entirely within California between California residents. I hereby expressly
consent to the personal jurisdiction of the state and federal courts located in Los Angeles County, California for any lawsuit filed there against me by Company arising from or related to this
Agreement. 

    10.2  Severability.  In case any one or more of the provisions contained in this Agreement shall, for any
reason, be held to be invalid, illegal or unenforceable in any respect, such invalidity, illegality or unenforceability shall not affect the other provisions of this Agreement, and this Agreement
shall be construed as if such invalid, illegal or unenforceable provision had never been contained herein. If moreover, any one or more of the provisions contained in this Agreement shall for any
reason be held to be excessively broad as to duration, geographical scope, activity or subject, it shall be construed by limiting and reducing it, so as to be enforceable to the extent compatible with
the applicable law as it shall then appear. 

    10.3  Successors and Assigns.  This Agreement will be binding upon my heirs, executors, administrators
and other legal representatives and will be for the benefit of the Company, its successors, and its assigns. 

    10.4  Survival.  The provisions of this Agreement shall survive the termination of my employment and the
assignment of this Agreement by the Company to any successor in interest or other assignee. 

    10.5  Employment.  I agree and understand that nothing in this Agreement shall confer any right with
respect to continuation of employment by the Company, nor shall it interfere in any way with my right or the Company's right to terminate my employment at any time, with or without cause. 

    10.6  Waiver.  No waiver by the Company of any breach of this Agreement shall be a waiver of any
preceding or succeeding breach. No waiver by the Company of any right under this Agreement shall be construed as a waiver of any other right. The Company shall not be required to give notice to
enforce strict adherence to all terms of this Agreement. 

    10.7  Entire Agreement.  The obligations pursuant to Sections 1 and 2 of this Agreement shall apply to
any time during which I was previously employed, or am in the future employed, by the Company as a consultant if no other agreement governs nondisclosure and assignment of inventions during such
period. This Agreement is the final, complete and exclusive agreement of the parties with respect to the subject matter hereof and supersedes and merges all prior discussions between us. No
modification of or amendment to this Agreement, nor any waiver of any rights under this Agreement, 

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will be effective unless in writing and signed by the party to be charged. Any subsequent change or changes in my duties, salary or compensation will not affect the validity or scope of this
Agreement. 

    This
Agreement shall be effective as of the first day of my employment with the Company, namely:            , 2001. 

    I HAVE READ THIS AGREEMENT CAREFULLY AND UNDERSTAND ITS TERMS. I HAVE COMPLETELY FILLED OUT EXHIBIT B TO THIS AGREEMENT.

Dated:                                       
   

	

	
ACCEPTED AND AGREED TO:
	

US SEARCH.COM INC.
	By:	 	 
	 	 	

	

Title:	
 	

 
	 	 	

	  	 	 
	 	 	

	(Address)
	  	 	 
	 	 	

	

Date:                                        
          

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EXHIBIT A    
    
    LIMITED EXCLUSION NOTIFICATION    
  

    THIS IS TO NOTIFY you in accordance with Section 2872 of the California Labor Code that the foregoing
Agreement between you and the Company does not require you to assign or offer to assign to the Company any invention that you developed entirely on your own time without using the Company's equipment,
supplies, facilities or trade secret information except for those inventions that either: 

	1.
	Relate
at the time of conception or reduction to practice of the invention to the Company's business, or actual or demonstrably anticipated research or development of the Company;

	2.
	Result
from any work performed by you for the Company. 

    To
the extent a provision in the foregoing Agreement purports to require you to assign an invention otherwise excluded from the preceding paragraph, the provision is against the
public policy of this state and is unenforceable. 

    This
limited exclusion does not apply to any patent or invention covered by a contract between the Company and the United States or any of its agencies requiring full title to such
patent or invention to be in the United States. 

    I ACKNOWLEDGE RECEIPT of a copy of this notification. 

	

 	
 	

By:	

 
	 	 	 	

	 	 	Date:	 
	 	 	 	

	WITNESSED BY:	 	 	 
	

	
 	

 	

 

A-1

 
 

EXHIBIT B    
  

	TO:	 	US SEARCH.com Inc.
	
FROM:	
 	

 
	

DATE:	
 	

 
	 	 	

	SUBJECT:	 	Previous Inventions

    1.  Except
as listed in Section 2 below, the following is a complete list of all inventions or improvements relevant to the subject matter of my employment by US
SEARCH.com Inc. (the "Company") that have been made or conceived or first reduced to practice by me alone or jointly with others prior to my engagement by the Company: 

	 	 	/ /	 	No inventions or improvements.
	

 	
 	

/ /	
 	

See below:
	

 	
 	

 	
 	

	

 	
 	

 	
 	

	

 	
 	

 	
 	

	

/ /	
 	

Additional sheets attached.

    2.  Due
to a prior confidentiality agreement, I cannot complete the disclosure under Section 1 above with respect to inventions or improvements generally listed
below, the proprietary rights and duty of confidentiality with respect to which I owe to the following party(ies): 

	 
	Invention or Improvement
 
	 	Party(ies)
 
	 	Relationship
 

	1.	 	 	 	 	 
	 	
	 	
	 	

	2.	 	 	 	 	 
	 	
	 	
	 	

	3.	 	 	 	 	 
	 	
	 	
	 	

/ /         Additional
sheets attached. 

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EXHIBIT 2
  
    RELEASE AND WAIVER OF CLAIMS    
  

    In exchange for the severance payments to me of amounts pursuant to the Employment Agreement to which this form is attached, I hereby furnish U.S.
SEARCH.com Inc. (the "Company") with the following release and waiver: 

    I
hereby release, and forever discharge the Company, its officers, directors, agents, employees, stockholders, successors, assigns, parents, subsidiaries and affiliates, of and from
any and all claims, liabilities, demands, causes of action, costs, expenses, attorneys' fees, damages, indemnities and obligations of every kind and nature, in law, equity, or otherwise, known and
unknown, suspected and unsuspected, disclosed and undisclosed, arising at any time prior to and including the execution date of this Release with respect to any claims relating solely to my employment
and the termination of my employment, including but not limited to, claims pursuant to any federal, state or local law relating to employment, including, but not limited to, discrimination claims,
claims under California statute or ordinance and the federal Age Discrimination in Employment Act of 1967, as amended ("ADEA"), or claims for wrongful termination, breach of the covenant of good
faith, contract claims, tort claims, and wage or benefit claims, including but not limited to, claims for salary, bonuses, commissions, stock, stock options, vacation pay, fringe benefits, severance
pay or any form of compensation. 

    I
also acknowledge that I have read and understand Section 1542 of the California Civil Code which reads as follows: "A general release does not extend
to claims which the creditor does not know or suspect to exist in his favor at the time of executing the release, which if known by him must have materially affected his settlement with the
debtor." I hereby expressly waive and relinquish all rights and benefits under that section or any comparable law with respect to any unknown or unsuspected claims I may have
against the Company. 

    I
acknowledge that, among other rights, I am waiving and releasing any rights I may have under ADEA, that this waiver and release is knowing and voluntary, and that the consideration
given for this waiver and release is in addition to anything of value to which I was already entitled as an employee of the Company. I further acknowledge that I have been advised, as required by the
Older Workers Benefit Protection Act, that: (a) the waiver and release granted herein does not relate to claims which may arise after this agreement is executed; (b) I should consult
with an attorney prior to executing this agreement (although I may choose voluntarily not to do so); (c) I have twenty-one (21) days from the date I receive this agreement,
in which to consider this agreement (although I may choose voluntarily to execute this agreement earlier); (d) I have seven (7) days following the execution of this agreement to revoke
my consent to the agreement; and (e) this agreement shall not be effective until the seven (7) day revocation period has expired. 

Date:                                       
            

3

QuickLinks

EXHIBIT 10.6

EXHIBIT 1 U.S. SEARCH.COM INC. EMPLOYEE PROPRIETARY INFORMATION AND INVENTIONS AGREEMENT

EXHIBIT A LIMITED EXCLUSION NOTIFICATION

EXHIBIT B

EXHIBIT 2 RELEASE AND WAIVER OF CLAIMS<Page>

                                                                    EXHIBIT 10.2

                         FORM OF 2002 STOCK OPTION PLAN
                          ASBURY AUTOMOTIVE GROUP, INC.

                  Section 1. PURPOSE. The purposes of this Asbury Automotive
Group, Inc. 2001 Stock Option Plan are to promote the interests of Asbury
Automotive Group, Inc. and its shareholders by (i) attracting and retaining
exceptional officers and other key employees of the Company and its Subsidiaries
and (ii) enabling such individuals to participate in the long-term growth and
financial success of the Company.

                  Section 2. DEFINITIONS. As used in the Plan, the following
terms shall have the meanings set forth below:

                  "Affiliate" shall mean (i) any entity that, directly or
         indirectly, is controlled by, controls or is under common control with,
         the Company and (ii) any entity in which the Company has a significant
         equity interest, in either case as determined by the Committee.

                  "Award Agreement" shall mean any written agreement, contract,
         or other instrument or document evidencing any Option, which may, but
         need not, be executed or acknowledged by a Participant.

                  "Board" shall mean the Board of Directors of the Company.

                  "Change of Control" shall mean an event or series of events,
         not including any events occurring prior to or in connection with an
         initial public offering of Shares (including the occurrence of such
         initial public offering), by which:

                  (A)      during any period of 24 consecutive calendar months,
                           individuals:

                           (i)      who were directors of the Company on the
                                    first day of such period, or

                           (ii)     whose election or nomination for election to
                                    the Board was recommended or approved by at
                                    least a majority of the directors then still
                                    in office who were directors of the Company
                                    on the first day of such period, or whose
                                    election or nomination for election was so
                                    approved,

                           shall cease to constitute a majority of the Board;

                  (B)      the Company consolidates with or merges into another
                           corporation or conveys, transfer or leases all or
                           substantially all of its property to any Person, or
                           any corporation consolidates with or merges into the
                           Company, in either event pursuant to a transaction in
                           which the outstanding Shares are reclassified or
                           changed into or exchanged for cash, securities or
                           other assets, and the holders of Shares

<Page>

                                                                               2

                           immediately prior to such transaction do not, as a
                           result of such transaction, own, directly or
                           indirectly, more than fifty percent (50%) of the
                           combined voting power of the Shares or the capital
                           stock of its successor entity in such transaction; or

                  (C)      any "person" (as such term is defined in Section
                           13(d) of the Exchange Act (or any successor section
                           thereto)), corporation or other entity (other than
                           (i) the Company, (ii) any trustee or other fiduciary
                           holding securities under an employee benefit plan of
                           the Company, (iii) any company owned, directly or
                           indirectly, by the stockholders of the Company in
                           substantially the same proportions as their ownership
                           of Shares or (iv) any entity or individual affiliated
                           with Ripplewood Holdings L.L.C., a Delaware limited
                           liability company, or its affiliates), becomes the
                           "beneficial owner" (as such term is defined in Rule
                           13d-3 under the Exchange Act (or any successor rule
                           thereto)), directly or indirectly, of securities of
                           the Company representing 30% or more of the combined
                           voting power of the Company's then-outstanding
                           securities.

                  "Code" shall mean the Internal Revenue Code of 1986, as
         amended from time to time.

                  "Committee" shall mean the compensation committee of the
         Board, or such other committee of the Board as may be designated by the
         Board to administer the Plan.

                  "Company" shall mean Asbury Automotive Group, Inc., together
         with any successor thereto.

                  "Exchange Act" shall mean the Securities Exchange Act of 1934,
         as amended.

                  "Fair Market Value" shall mean, (A) with respect to any
         property other than Shares, the fair market value of such property
         determined by such methods or procedures as shall be established from
         time to time by the Committee and (B) with respect to the Shares, as of
         any date, (i) the mean between the high and low sales prices of the
         Shares as reported on the composite tape for securities traded on the
         New York Stock Exchange for such date (or if not then trading on the
         New York Stock Exchange, the mean between the high and low sales price
         of the Shares on the stock exchange or over-the-counter market on which
         the Shares are principally trading on such date), or, if there were no
         sales on such date, on the closest preceding date on which there were
         sales of Shares or (ii) in the event there shall be no public market
         for the Shares on such date, the fair market value of the Shares as
         determined in good faith by the Committee.

                  "Option" shall mean a right to purchase Shares from the
         Company that is granted under Section 6 of the Plan.

                  "Participant" shall mean any officer or other key employee of
         the Company or its Subsidiaries eligible for an Option under Section 5
         of the Plan and selected by the Committee to receive an Option under
         the Plan.

<Page>

                                                                               3

                  "Person" shall mean any individual, corporation, partnership,
         association, joint-stock company, trust, unincorporated organization,
         government or political subdivision thereof or other entity.

                  "Plan" shall mean this Asbury Automotive Group, Inc. 2001
         Stock Option Plan.

                  "Rule 16b-3" shall mean Rule 16b-3 as promulgated and
         interpreted by the SEC under the Exchange Act, or any successor rule or
         regulation thereto as in effect from time to time.

                  "SEC" shall mean the Securities and Exchange Commission or any
         successor thereto and shall include the staff thereof.

                  "Shares" shall mean the common shares of the Company, $0.01
         par value, or such other securities of the Company (i) into which such
         common shares shall be changed by reason of a recapitalization, merger,
         consolidation, split-up, combination, exchange of shares or other
         similar transaction or (ii) as may be determined by the Committee
         pursuant to Section 4(b).

                  "Subsidiary" shall mean (i) any entity that, directly or
         indirectly, is controlled by the Company and (ii) any entity in which
         the Company has a significant equity interest, in either case as
         determined by the Committee.

                  "Substitute Options" shall have the meaning specified in
         Section 4(c).

         Section 3.  ADMINISTRATION.

         (a) The Plan shall be administered by the Committee. Subject to the
terms of the Plan and applicable law, and in addition to other express powers
and authorizations conferred on the Committee by the Plan, the Committee shall
have full power and authority to: (i) designate Participants; (ii) determine the
number of Shares to be covered by, or with respect to which payments, rights, or
other matters are to be calculated in connection with, Options; (iii) determine
the terms and conditions of any Option; (iv) determine whether, to what extent,
and under what circumstances Options may be settled or exercised in cash,
Shares, other securities, other Options or other property, or canceled,
forfeited, or suspended and the method or methods by which options may be
settled, exercised, canceled, forfeited, or suspended; (v) determine whether, to
what extent, and under what circumstances cash, Shares, other securities, other
Options, other property, and other amounts payable with respect to an Option
shall be deferred either automatically or at the election of the holder thereof
or of the Committee; (vi) interpret, administer, reconcile any inconsistency,
correct any default and/or supply any omission in the Plan and any instrument or
agreement relating to, or Option made under, the Plan; (vii) establish, amend,
suspend, or waive such rules and regulations and appoint such agents as it shall
deem appropriate for the proper administration of the Plan; and (viii) make any
other determination and take any other action that the Committee deems necessary
or desirable for the administration of the Plan.

         (b) Unless otherwise expressly provided in the Plan, all designations,
determinations, interpretations, and other decisions under or with respect to
the Plan or any Option shall be within the sole discretion of the Committee, may
be made at any time

<Page>

                                                                               4

and shall be final, conclusive, and binding upon all Persons, including the
Company, any Affiliate, any Participant, any holder or beneficiary of any
Option, and any shareholder.

         (c) No member of the Committee shall be liable for any action or
determination made in good faith with respect to the Plan or any Option
hereunder.

         Section 4.  SHARES AVAILABLE FOR OPTIONS.

         (a) SHARES AVAILABLE. Subject to adjustment as provided in Section
4(b), the aggregate number of Shares with respect to which Options may be
granted under the Plan shall be[o]; and the maximum number of Shares with
respect to which Options may be granted to any Participant in any fiscal year
shall be [o]. If, after the effective date of the Plan, any Shares covered by an
Option granted under the Plan, or to which such an Option relates, are
forfeited, or if an Option has expired, terminated or been canceled for any
reason whatsoever (other than by reason of exercise or vesting), then the Shares
covered by such Option shall again be, or shall become, Shares with respect to
which Options may be granted hereunder.

         (b) ADJUSTMENTS. In the event that the Committee determines that any
dividend or other distribution (whether in the form of cash, Shares, other
securities, or other property), recapitalization, stock split, reverse stock
split, reorganization, merger, consolidation, split-up, spin-off, combination,
repurchase, or exchange of Shares or other securities of the Company, issuance
of warrants or other rights to purchase Shares or other securities of the
Company, or other similar corporate transaction or event affects the Shares such
that an adjustment is determined by the Committee in its discretion to be
appropriate or desirable in order to prevent dilution or enlargement of the
benefits or potential benefits intended to be made available under the Plan,
then the Committee shall, in such manner as it may deem equitable or desirable,
adjust any or all of (i) the number of Shares or other securities of the Company
(or number and kind of other securities or property) with respect to which
Options may be granted; (ii) the number of Shares or other securities of the
Company (or number and kind of other securities or property) subject to
outstanding Options and (iii) the exercise price with respect to any Option or,
if deemed appropriate or desirable, make provision for a cash payment to the
holder of an outstanding Option in consideration for the cancellation of such
Option in an amount equal to the excess, if any, of the Fair Market Value of the
Shares subject to the Options over the aggregate exercise price of such Option.

         (c) SUBSTITUTE OPTIONS. Options may, in the discretion of the
Committee, be granted under the Plan in assumption of, or in substitution for,
outstanding awards previously granted by the Company or its Affiliates or a
company acquired by the Company or with which the Company combines ("Substitute
Options"). The number of Shares underlying any Substitute Options shall be
counted against the aggregate number of Shares available for Options under the
Plan.

         (d) SOURCES OF SHARES DELIVERABLE UNDER OPTIONS. Any Shares delivered
pursuant to an Option may consist, in whole or in part, of authorized and
unissued Shares or of treasury Shares.

         Section 5. ELIGIBILITY. Any officer or other key employee of the
Company or any of its Subsidiaries (including any prospective officer or key
employee) shall be eligible to be designated a Participant.

<Page>

                                                                               5

         Section 6.  STOCK OPTIONS.

         (a) GRANT. Subject to the provisions of the Plan, the Committee shall
have sole and complete authority to determine the Participants to whom Options
shall be granted, the number of Shares to be covered by each Option, and the
conditions and limitations applicable to the exercise of the Option.

         (b) EXERCISE PRICE. Except as otherwise established by the Committee at
the time an Option is granted and set forth in the applicable Award Agreement,
the exercise price of each share covered by an Option shall be the Fair Market
Value of such Share (determined as of the date the option is granted); PROVIDED,
HOWEVER, that the exercise price of each Share covered by an Option which is
granted effective as of the Company's initial public offering of Shares shall be
the initial public offering price per share.

         (c) EXERCISE. Each Option shall be vested and exercisable at such times
and subject to such terms and conditions as the Committee may, in its sole
discretion, specify in the applicable Award Agreement or thereafter. Except as
otherwise specified by the Committee in the Award Agreement, half of the Options
which are granted to a Participant effective as of the Company's initial public
offering of Shares shall become vested and exercisable with respect to 50% of
the Shares subject to such Options on each of the first two anniversaries of the
date of grant; the other half of the Options which are granted to a Participant
as of such date, and all Options which are granted thereafter, shall become
vested and exercisable with respect to one-third of the Shares subject to such
Options on each of the first three anniversaries of the date of grant. The
Committee may impose such conditions with respect to the exercise of Options,
including without limitation, any relating to the application of federal or
state securities laws, as it may deem necessary or advisable.

         (d)      PAYMENT.

                  (i) No Shares shall be delivered pursuant to any exercise of
         an Option until payment in full of the aggregate exercise price
         therefor is received by the Company. Such payment may be made in cash,
         or its equivalent, or (x) by exchanging Shares owned by the optionee
         (which are not the subject of any pledge or other security interest and
         which have been owned by such optionee for at least 6 months), or (y)
         if there shall be a public market for the Shares at such time, subject
         to such rules as may be established by the Committee, through delivery
         of irrevocable instructions to a broker to sell the Shares otherwise
         deliverable upon the exercise of the Option and to deliver promptly to
         the Company an amount equal to the aggregate exercise price, or by a
         combination of the foregoing; PROVIDED that the combined value of all
         cash and cash equivalents and the Fair Market Value of any such Shares
         so tendered to the Company as of the date of such tender is at least
         equal to such aggregate exercise price.

                  (ii) Wherever in this Plan or any Award Agreement a
         Participant is permitted to pay the exercise price of an Option or
         taxes relating to the exercise of an Option by delivering Shares, the
         Participant may, subject to procedures satisfactory to the Committee,
         satisfy such delivery requirement by presenting proof of beneficial
         ownership of such Shares, in which case the Company shall treat the
         Option as exercised without further payment and shall withhold such
         number of Shares from the Shares acquired by the exercise of the
         Option.

<Page>

                                                                               6

         (e) EXPIRATION. Each Option shall expire immediately, without any
payment, upon the earlier of (i) the tenth anniversary of the date the Option is
granted, or (ii) the date the Participant who is holding the Option ceases to be
employed by the Company or one of its subsidiaries (except as otherwise
specified in the applicable Award Agreement).

         Section 7.  AMENDMENT AND TERMINATION.

         (a) AMENDMENTS TO THE PLAN. The Board may amend, alter, suspend,
discontinue, or terminate the Plan or any portion thereof at any time; PROVIDED
that no such amendment, alteration, suspension, discontinuation or termination
shall be made without shareholder approval if such approval is necessary to
comply with any tax or regulatory requirement applicable to the Plan; and
PROVIDED FURTHER that any such amendment, alteration, suspension, discontinuance
or termination that would impair the rights of any Participant or any holder or
beneficiary of any Option theretofore granted shall not to that extent be
effective without the consent of the affected Participant, holder or
beneficiary.

         (b) AMENDMENTS TO OPTIONS. The Committee may waive any conditions or
rights under, amend any terms of, or alter, suspend, discontinue, cancel or
terminate, any Option theretofore granted, prospectively or retroactively;
provided that any such waiver, amendment, alteration, suspension,
discontinuance, cancellation or termination that would impair the rights of any
Participant or any holder or beneficiary of any Option theretofore granted shall
not to that extent be effective without the consent of the affected Participant,
holder or beneficiary.

         (c) ADJUSTMENT OF OPTIONS UPON THE OCCURRENCE OF CERTAIN UNUSUAL OR
NONRECURRING EVENTS. The Committee is hereby authorized to make adjustments in
the terms and conditions of, and the criteria included in, Options in
recognition of unusual or nonrecurring events (including, without limitation,
the events described in Section 4(b) hereof) affecting the Company, any
Affiliate, or the financial statements of the Company or any Affiliate, or of
changes in applicable laws, regulations, or accounting principles, whenever the
Committee determines that such adjustments are appropriate in order to prevent
dilution or enlargement of the benefits or potential benefits intended to be
made available under the Plan.

         Section 8. CHANGE OF CONTROL. In the event of a Change of Control after
the date of the adoption of this Plan, any outstanding Options then held by
Participants, which are unexercisable or otherwise unvested, shall automatically
be deemed exercisable or otherwise vested, as the case may be, as of immediately
prior to such Change of Control.

         Section 9. GENERAL PROVISIONS.

         (a) NONTRANSFERABILITY. Except as otherwise specified in the applicable
Award Agreement, each Option shall be exercisable only by the Participant during
the Participant's lifetime, or, if permissible under applicable law, by the
Participant's legal guardian or representative, and no Option may be assigned,
alienated, pledged, attached, sold or otherwise transferred or encumbered by a
Participant otherwise than by will or by the laws of descent and distribution
and any such purported assignment, alienation, pledge, attachment, sale,
transfer or encumbrance shall be void and unenforceable against the Company or
any Affiliate; provided that the designation of a beneficiary shall not
constitute an assignment, alienation, pledge, attachment, sale, transfer or
encumbrance.

<Page>

                                                                               7

         (b)      NO RIGHTS TO OPTIONS. No Participant or other Person shall
have any claim to be granted any Option, and there is no obligation for
uniformity of treatment of Participants, or holders or beneficiaries of Options.
The terms and conditions of Options and the Committee's determinations and
interpretations with respect thereto need not be the same with respect to each
Participant (whether or not such Participants are similarly situated).

         (c)      SHARE CERTIFICATES. All certificates for Shares or other
securities of the Company or any Affiliate delivered under the Plan pursuant to
any Option or the exercise thereof shall be subject to such stop transfer orders
and other restrictions as the Committee may deem advisable under the Plan or the
rules, regulations, and other requirements of the SEC, any stock exchange upon
which such Shares or other securities are then listed, and any applicable
Federal or state laws, and the Committee may cause a legend or legends to be put
on any such certificates to make appropriate reference to such restrictions.

         (d)      WITHHOLDING.

                  (i) A Participant may be required to pay to the Company or any
         Affiliate and the Company or any Affiliate shall have the right and is
         hereby authorized to withhold from any Option, from any payment due or
         transfer made under any Option or under the Plan or from any
         compensation or other amount owing to a Participant the amount (in
         cash, Shares, other securities, other Option or other property) of any
         applicable withholding taxes in respect of an Option, its exercise, or
         any payment or transfer under an Option or under the Plan and to take
         such other action as may be necessary in the opinion of the Company to
         satisfy all obligations for the payment of such taxes.

                  (ii) Without limiting the generality of clause (i) above, a
         Participant may satisfy, in whole or in part, the foregoing withholding
         liability by delivery of Shares owned by the Participant (which are not
         subject to any pledge or other security interest and which have been
         owned by the Participant for at least 6 months) with a Fair Market
         Value equal to such withholding liability or by having the Company
         withhold from the number of Shares otherwise issuable pursuant to the
         exercise of the option a number of Shares with a Fair Market Value
         equal to such withholding liability.

         (e)      AWARD AGREEMENTS. Each Option hereunder shall be evidenced by
an Award Agreement, which shall be delivered to the Participant and shall
specify the terms and conditions of the Option and any rules applicable thereto,
including but not limited to the effect on such Option of the death, disability
or termination of employment or service of a Participant, and the effect, if
any, of such other events as may be determined by the Committee.

         (f)      NO LIMIT ON OTHER COMPENSATION ARRANGEMENTS. Nothing contained
in the Plan shall prevent the Company or any Affiliate from adopting or
continuing in effect other compensation arrangements, which may, but need not,
provide for the grant of options (subject to shareholder approval if such
approval is required), and such arrangements may be either generally applicable
or applicable only in specific cases.

<Page>

                                                                               8

         (g) NO RIGHT TO EMPLOYMENT. The grant of an Option shall not be
construed as giving a Participant the right to be retained in the employ of, or
in any consulting relationship to, the Company or any Affiliate. Further, the
Company or an Affiliate may at any time dismiss a Participant from employment or
discontinue any consulting relationship, free from any liability or any claim
under the Plan, unless otherwise expressly provided in the Plan or in any Award
Agreement.

         (h) NO RIGHTS AS SHAREHOLDER. Subject to the provisions of the
applicable Option, no Participant or holder or beneficiary of any Option shall
have any rights as a shareholder with respect to any Shares to be distributed
under the Plan until he or she has become the holder of such Shares.

         (i) GOVERNING LAW. The validity, construction, and effect of the Plan
and any rules and regulations relating to the Plan and any Award Agreement shall
be determined in accordance with the laws of the State of Delaware, without
giving effect to the conflict of laws provisions thereof.

         (j) SEVERABILITY. If any provision of the Plan or any Option is or
becomes or is deemed to be invalid, illegal, or unenforceable in any
jurisdiction or as to any Person or option, or would disqualify the Plan or any
Option under any law deemed applicable by the Committee, such provision shall be
construed or deemed amended to conform the applicable laws, or if it cannot be
construed or deemed amended without, in the determination of the Committee,
materially altering the intent of the Plan or the Option, such provision shall
be stricken as to such jurisdiction, Person or Option and the remainder of the
Plan and any such Option shall remain in full force and effect.

         (k) OTHER LAWS. The Committee may refuse to issue or transfer any
Shares or other consideration under an Option if, acting in its sole discretion,
it determines that the issuance or transfer of such Shares or such other
consideration might violate any applicable law or regulation or entitle the
Company to recover the same under Section 16(b) of the Exchange Act, and any
payment tendered to the Company by a Participant, other holder or beneficiary in
connection with the exercise of such Option shall be promptly refunded to the
relevant Participant, holder or beneficiary. Without limiting the generality of
the foregoing, no Option granted hereunder shall be construed as an offer to
sell securities of the Company, and no such offer shall be outstanding, unless
and until the Committee in its sole discretion has determined that any such
offer, if made, would be in compliance with all applicable requirements of the
U.S. federal and any other applicable securities laws.

         (l) NO TRUST OR FUND CREATED. Neither the Plan nor any Option shall
create or be construed to create a trust or separate fund of any kind or a
fiduciary relationship between the Company or any Affiliate and a Participant or
any other Person. To the extent that any Person acquires a right to receive
payments from the Company or any Affiliate pursuant to an Option, such right
shall be no greater than the right of any unsecured general creditor of the
Company or any Affiliate.

         (m) NO FRACTIONAL SHARES. No fractional Shares shall be issued or
delivered pursuant to the Plan or any Option, and the Committee shall determine
whether cash, other securities, or other property shall be paid or transferred
in lieu of any fractional Shares or whether such fractional Shares or any rights
thereto shall be canceled, terminated, or otherwise eliminated.

<Page>

                                                                               9

         (n) HEADINGS. Headings are given to the Sections and subsections of the
Plan solely as a convenience to facilitate reference. Such headings shall not be
deemed in any way material or relevant to the construction or interpretation of
the Plan or any provision thereof.

         Section 10. TERM OF THE PLAN.

         (a) EFFECTIVE DATE. The Plan shall be effective as of the date of its
approval by the Board.

         (b) EXPIRATION DATE. No Option shall be granted under the Plan after
December 31, 2011. Unless otherwise expressly provided in the Plan or in an
applicable Award Agreement, any Option granted hereunder may, and the authority
of the Board or the Committee to amend, alter, adjust, suspend, discontinue, or
terminate any such Option or to waive any conditions or rights under any such
Option shall, nevertheless continue thereafter.

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