Document:

SEPARATION AGREEMENT

                              Nicholas K. Pontikes

         I, Nicholas K. Pontikes, am employed by Comdisco,  Inc. ("Comdisco") in
Rosemont,  Illinois, and have served as President and Chief Executive Officer of
Comdisco.  I was also elected as a Director of Comdisco on December 11, 1993 and
have served as a member of  Comdisco's  Board of Directors  since that date.  On
December  20,  2000,  I resigned as  President  and Chief  Executive  Officer of
Comdisco. Comdisco and I both agree and promise as follows:

1.0      Resignation Arrangements

         1.1  Resignation:  I  completed  my  resignation  from my  position  as
President  and Chief  Executive  Officer  effective  at the close of business on
December  20, 2000,  and I am no longer an officer of  Comdisco.  On February 1,
2001, I was re-elected by Comdisco shareholders as a Director of Comdisco, and I
intend to remain a Director  of  Comdisco  through my current  term ending on or
about February 1, 2004. I also completed my resignation  from any  subsidiaries,
affiliates  or  committees  of Comdisco  of which I was a  director,  officer or
member at the close of business on December 20, 2000.

         1.2 Comdisco  Foundation:  I am currently  serving as a Director and as
President of the Comdisco Foundation, a not-for-profit  organization. I agree to
continue  to  serve  as a  Director  of  the  Foundation,  and  (subject  to  my
re-election  by the Board of  Directors of the  Foundation)  as President of the
Foundation.  I understand that these positions do not include any  compensation.
Comdisco will support my re-election by the  Foundation's  Board of Directors as
President of the Foundation.

2.0      Transition Arrangements

         2.1 General:  In light of my resignation,  I have not been obligated to
report to work in my former job at Comdisco  since  December  20,  2000.  On and
after  December 20, 2000,  my  attendance  at  Comdisco's  offices  shall not be
required.

3.0      Payments

         3.1 Comdisco  shall pay me an amount equal to 2 1/2 weeks of annualized
cash  compensation  (which  includes  both my most recent base salary and target
bonus)  multiplied  by 8.5  (which is the  number of my years of  employment  at
Comdisco as of December 20,  2000).  My most recent  annualized  base salary and
target  bonus total  $1,200,000,  which  results in a weekly  amount of $23,077.
Therefore,  Comdisco agrees to pay me $490,386.00,  less any payments made to me
since December 20, 2000, and less required deductions, on or before May 1, 2001.
My  Comdisco   employment  will  be  considered   terminated  for  all  purposes
(including,  without limitation,  my Comdisco fringe benefits and stock options)
as of May 1, 2001.

         3.2 Comdisco will pay me $43,975.00  (less  required  deductions) on or
before May 1, 2001.  This amount was withheld  from my salary  during the period
from October 1, 2000 through  December 20, 2000. I will not  participate  in the
Fiscal 2001 Cash-to-Stock Option Alternative program.

         3.3  Comdisco  will pay me $41,850  (less  required  deductions)  on or
before May 1, 2001.  This is the net payout amount to which I am entitled  under
the Long Term  Performance  Unit grant from Comdisco for the period from October
1, 1997  through  September  30,  2000.  Comdisco  and I agree that the unvested
portion of Stock Option Grant No. 990822 will be cancelled as of May 1, 2001.

         3.4 Except as specified in this  Paragraph 3, I will not be entitled to
any other salary, commission,  bonus, severance pay, vacation pay, personal time
pay, stock options,  performance  unit pay,  expense  reimbursement or any other
form of compensation in connection  with my Comdisco  employment  through May 1,
2000.

4.0      Return of Comdisco Property

         4.1 Comdisco  has  installed  certain  computer  equipment  and related
software in my home that is owned or licensed by  Comdisco.  I will be permitted
to  retain  and use such  equipment  and  software  in my home  while I remain a
Director  of  Comdisco,   subject  to  applicable  Comdisco  policies  regarding
equipment and software.

         4.2 In connection with my continued services to Comdisco as a Director,
I will be permitted to retain certain Comdisco documents and materials that have
been provided to me for this purpose. Upon completion of my services to Comdisco
as a Director, I agree to return such documents or materials to Comdisco.

5.0      Confidential Information

         5.1 I acknowledge that during my Comdisco employment, I have had access
to certain business,  financial and other information of Comdisco ("Confidential
Information") that must be maintained in strict confidence in order for Comdisco
to protect its business and its competitive position in the marketplace.  I will
not directly or indirectly  publish or disclose any Confidential  Information to
any  competitor  or other person  outside  Comdisco,  and I will not remove from
Comdisco premises or use for my own benefit or otherwise appropriate or copy any
Confidential Information,  except as otherwise provided herein. This shall apply
whether or not I developed the Confidential Information.

6.0      Waiver and Release

         6.1 I confirm that I am aware of my legal rights concerning my Comdisco
employment. I acknowledge that these arrangements equal more than those to which
I would be entitled under  Comdisco's  existing  policies.  I (for myself and my
heirs,  legal  representatives  and assigns) hereby waive, and generally release
Comdisco  (including any Comdisco subsidiary or other affiliated company and any
of their respective officers,  directors,  employees and agents) from, and agree
not to sue them for,  any claims or causes of action  (known or unknown)  that I
may have against them through the date of this Agreement.  This includes, but is
not limited to, any claims under any  federal,  state or local laws dealing with
employment or discrimination (e.g. Title VII of the Civil Rights Act of 1964 (as
amended) and the  Illinois  Human Rights Act) and any claims or causes of action
for personal  injuries  (e.g.,  defamation and wrongful  discharge) or breach of
contract,  relating to my employment and its  termination.  I confirm that to my
knowledge,  I have suffered no injuries or  occupational  diseases in connection
with my Comdisco  employment  that may be  compensable  under any state worker's
compensation laws.

         6.2 The  foregoing  waiver  and  release  will not  extend  to: (1) the
obligations  of  Comdisco  and  myself  reflected  in  this  Agreement;  (2) any
obligations  of Comdisco or any  related  entity,  as  contained  in  Comdisco's
by-laws, to indemnify me as a current or former officer or director of Comdisco;
and (3) any rights that I may have as a current or former officer or director to
indemnification  under any directors  and officers  insurance  policies,  or any
errors and omissions insurance  policies,  that may be maintained by Comdisco or
any related entity.

7.0      General

         7.1 By signing below, I acknowledge  that I have  thoroughly  read this
Agreement.  I  understand  that this  Agreement  supersedes  any written or oral
agreements that may be  inconsistent  with it. I understand that Comdisco denies
any  wrongdoing or liability to me. I have been given an  opportunity to consult
with anyone of my choice (including an attorney)  concerning this Agreement.  In
this regard,  Comdisco  will pay the  reasonable  fees and actual  out-of-pocket
expenses of my legal  advisers  (not to exceed  $25,000)  incurred in connection
with the negotiation of this Agreement,  which amount will be in addition to any
payments and benefits described elsewhere in this Agreement.

         7.2 I  agree  that  I  have  a full  understanding  of  the  terms  and
conditions of this Agreement,  and understand that the terms are complete, final
and binding upon me and upon Comdisco.  Comdisco and I agree that this Agreement
will be accepted by Comdisco in Illinois and will be governed by Illinois law. I
confirm that I have had adequate time in which to consider this agreement before
signing it. Finally, I certify that I am signing this Agreement voluntarily.

         7.3 No  amendments  to this  Agreement  may be made  except by  writing
signed by both  parties.  This  Agreement  shall have no effect on the continued
effectiveness  of the  Indemnification  Agreement  dated as of January 25, 2000,
between Comdisco and me, nor shall this Agreement affect any rights and benefits
afforded  to  me  by  Comdisco's   certificate  of   incorporation  or  by-laws.
Notwithstanding  this Agreement or any  termination of my employment by Comdisco
pursuant to this  Agreement or otherwise,  I shall be entitled to coverage under
the directors' and officers'  liability coverage  maintained by Comdisco,  as in
effect from time to time, to the same extent as other current or former officers
and directors of Comdisco.

         7.4 This  Agreement  may be signed in single or separate  counterparts,
each of which shall  constitute  an original  with the same effect as if each of
the parties had signed the same document.  All  counterparts  shall be construed
together and shall constitute one and the same instrument.

         7.5 Any notice or request specifically  provided for or permitted to be
given  under  this  Agreement  must be in  writing.  Notice may be served in any
manner,  including by  facsimile  or  nationally  recognized  overnight  courier
service,  but shall be deemed  delivered  and effective as of the time of actual
delivery thereof to the addressee.  For purposes of notice, the addresses of the
parties shall be as follows:

         If to Comdisco, to

                           Comdisco, Inc.
                           6111 North River Road
                           Rosemont, Illinois 60018
                           Attention: General Counsel
                           Telecopier: 847/518-5088

                  If to me, to

                           Nicholas K. Pontikes
                           1230 W. Altgeld
                           Chicago, IL  60614

Each party named above may change its address and that of its representative for
notice by the giving of notice thereof in the manner hereinabove provided.

         7.6 The failure of any party to insist upon strict  performance  of any
provision  hereof  shall  not  constitute  a  waiver  of,  or  estoppel  against
asserting,  the right to require  such  performance  in the future,  nor shall a
waiver or  estoppel  with  respect  to a later  breach  of a  similar  nature or
otherwise.

         7.7 If any provision of this Agreement is held invalid, such invalidity
shall not affect the other  provisions  hereof which can be given effect without
the invalid  provision,  and to this end the  provisions  of this  Agreement are
intended to be and shall be deemed severable.

         7.8 The headings in this  Agreement  are inserted for  convenience  and
identification only and are not intended to describe, interpret, define or limit
the scope, extent, or intent of this Agreement or any provision hereof.

         7.9 Each party has cooperated in the preparation of this Agreement.  As
a result,  this Agreement shall not be construed  against any party on the basis
that the party was the draftsperson.

         7.10     This Agreement is personal to me and may not be assigned by me
                  in any manner to any other person or entity.

SIGNATURE:        _________________________________________________
                                    Nicholas K. Pontikes

DATE SIGNED:      April ____, 2001.

         The undersigned  hereby certifies that the above-named  person appeared
before me,  signed this  document,  and  verified  that this  document was being
signed voluntarily.

                                                -------------------------------
                                                               Notary Public

                                              My Commission Expires:____________

ACCEPTED FOR COMDISCO, INC.

BY:      _____________________________________________________
                  C. Keith Hartley
                  Non-Employee Director of Comdisco, Inc.
                  Member, Compensation Committee, Board of Directors

DATE SIGNED:      April ____, 2001.<PAGE>   1
                                                                 Exhibit 10.1(c)

                              EMPLOYMENT AGREEMENT

This Agreement, entered into and effective as of this 21st day of February,
2001, is by and between Ralph Derrickson ("Derrickson") and Metricom,
Incorporated ("MCOM").

Whereas, MCOM, a Delaware corporation with headquarters at 333 West Julian
Street, San Jose, California, desires to employ Derrickson, a Washington State
resident, as its interim Chief Executive Officer, and Derrickson is willing to
accept employment, on the terms and conditions of this Agreement,

In consideration of the mutual covenants herein, the parties agree:

1.      POSITION AND DUTIES. Derrickson shall be employed by MCOM in the
        position of Interim Chief Executive Officer. Derrickson shall have such
        reasonable duties and responsibilities as may be required from time to
        time by the Board of Directors of MCOM consistent with Derrickson's
        position as Chief Executive Officer. The Board expressly agrees to meet
        with Derrickson no less frequently than once every two weeks during the
        CEO Term.

2.      CEO SEARCH. MCOM agrees to engage a reputable executive search firm to
        engage a nationwide search for a "permanent" Chief Executive Officer
        within thirty (30) days of the date of this Agreement.

3.      TERM. The Initial Term of this Agreement as Interim CEO shall run from
        February 21, 2001 through June 30, 2001 ("Initial Term"). During the
        Initial Term, this Agreement may only be terminated for "Cause."
        Derrickson's employment as Interim CEO may be terminated by written
        notice by either party at the conclusion of the Initial Term. If not
        terminated at or before the conclusion of the Initial Term, Derrickson's
        term of employment with MCOM as Interim CEO shall automatically extend
        for additional, consecutive two month periods, on the same terms and
        conditions as the Initial Term (collectively "CEO Term"). If Derrickson
        is employed by the Company (but not including any time spent as a
        consultant pursuant to Section 4 below) beyond August 31, 2001 then this
        Agreement shall be renegotiated between the parties on terms at least as
        favorable to Derrickson as set forth in this Agreement.

4.      CONSULTANT. Unless this Agreement is terminated for Cause, then at the
        conclusion of Derrickson's employment as Interim CEO, MCOM agrees to
        hire Derrickson as a consultant. This consultant arrangement shall be
        for a minimum term of twelve months commencing immediately upon the
        conclusion of Derrickson's employment as Interim CEO, and may only be
        terminated for "Cause" ("Consultant Term").

5.      LIMITATIONS ON OBLIGATION. In recognition of family obligations,
        Derrickson shall not be required to work or travel for MCOM during the
        weekends. In addition, the parties understand that there are some duties
        that can be performed by Derrickson from

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        Washington State. To the extent that Derrickson can perform his duties
        from Washington State, MCOM expressly consents to his doing so.

6.      COMPENSATION DURING THE CEO TERM.

        (a) Base Salary. MCOM shall initially pay Derrickson a monthly gross
        base salary in the amount of One Hundred Fifty Thousand Dollars and No
        Cents ($150,000.00) ("Base Salary") in accordance with MCOM's standard
        payroll processing schedule. Derrickson's Base Salary shall not be
        decreased absent Derrickson's prior written consent.

        (b) Non-Discretionary Bonus for Additional Funding.

               1) In recognition that Derrickson's services on behalf of MCOM
               may attract additional third party investment in MCOM, MCOM shall
               pay Derrickson an automatic and non-discretionary bonus equal to
               one and one-half percent (1.5%) of the cash value of all new
               investment funds received by MCOM arising from negotiations
               entered into during the CEO Term and for a period of twenty-four
               months thereafter (cumulatively, the "Bonus Period"). For
               purposes of this Section 6, new investment funds received by MCOM
               during the Bonus Period shall include, without limitation, all
               venture capital and other private equity investment plus any
               amounts secured by MCOM through a new line of credit, loan,
               convertible note, or other debt arrangement. For each such line
               of credit or other debt arrangement, the non-discretionary bonus
               payment shall be calculated based on the amount that is actually
               paid to MCOM. Multiple draws on any line of credit or debt
               arrangement shall be taken into account separately in calculating
               the bonus, and no draws on a line of credit or debt arrangement
               that may create a bonus obligation to Derrickson shall be
               undertaken without approval of Metricom's Board of Directors.

               To the extent that new investment funds secured during the Bonus
               Period include one or more investments received from Vulcan
               Ventures (where each separate investment shall be referred to
               singularly as a "Vulcan Investment"), then the non-discretionary
               bonus provided for above, with respect only to any Vulcan
               Investment shall be capped at a maximum of Three Hundred and
               Fifty Thousand Dollars ($350,000).

               The cap described in the immediately preceding paragraph shall be
               applied separately to each distinct Vulcan Investment, on a
               non-aggregated basis. For clarity, and by way of example, if
               Vulcan Ventures participates in multiple investment rounds during
               the Bonus Period committing "x" amount of dollars payable in
               separate rounds with each payment contingent upon MCOM's
               satisfaction of specified conditions at each round, the $350,000
               limitation shall apply separately to the amount received at each
               round. To the extent, if any, that additional investors (i. e.,
               investors other than Vulcan Ventures) participate in such rounds
               the cap shall not apply as to investments from such additional
               investors.

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               During the Bonus Period, the non-discretionary bonus shall be due
               and payable to Derrickson regardless of whether Derrickson is
               employed by or providing services to MCOM at the time any
               additional funding is received.

               (2) Non-Discretionary Bonus for Liquidity Event. In addition to
               any non-discretionary bonus described in (b)(1) above, Derrickson
               shall also receive an automatic and non-discretionary bonus if
               there is a Liquidity Event during the Bonus Period. A "Liquidity
               Event" shall mean: (i) any sale, exchange, or transfer of
               substantially all of the assets of MCOM, (ii) any sale, exchange
               or transfer involving the common stock of MCOM if, immediately
               following the transaction, the persons who held MCOM common stock
               (or securities convertible into MCOM common stock) hold less than
               a majority of the combined equity of MCOM (or any successor
               entity), or (iii) any other sale or similar transaction in which
               MCOM undergoes a change of majority shareholder control in
               exchange for consideration. Upon the occurrence of a Liquidity
               Event, Derrickson shall receive a non-discretionary bonus equal
               one and a half percent (1.5%) of the purchase price paid in the
               Liquidity Event.

               (3) Timing and Nature of Payment. Each non-discretionary bonus
               provided for herein shall be payable on or before the closing of
               the respective transactions. The parties further agree that, in
               each calendar year of the Bonus Period, the first One Million
               Dollars ($1,000,000) of any non discretionary bonus provided for
               herein shall, at Derrickson's election, be payable in cash or in
               shares of MCOM common stock (or in securities convertible to MCOM
               common stock), or in a combination thereof. If the cumulative
               non-discretionary bonus exceeds $1,000,000 in any calendar year
               during the Bonus Period, then the amount in excess of $1,000,000
               shall be paid exclusively in shares of MCOM common stock (or in
               securities convertible to MCOM common stock). In all cases where
               the bonus is paid in the form of stock or other securities, the
               number of shares due and payable to Derrickson shall be
               calculated on the basis of the fair market value of the stock
               prior to the public announcement or closing of the applicable
               transaction. Thus, the total number of shares delivered to
               Derrickson will be calculated based on the value of MCOM prior to
               any investment which triggers the non-discretionary bonus.

7.      COMPENSATION DURING THE CONSULTANT TERM

        During the Consultant Term, Derrickson shall be compensated at the daily
        rate of Five Thousand Dollars ($5000.00) a day. Derrickson shall not be
        expected to work more than ten hours per day. If additional hours are
        required, then they shall be compensated at the hourly rate of $250 per
        hour. MCOM shall pay Derrickson for a minimum of three days of work a
        month -- even if no services are required in a month.

8.      FRINGE BENEFITS. Derrickson shall be entitled to the benefits provided
        to officers of MCOM in accordance with its Personnel Policies (including
        but not limited to health

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        insurance) and consistent with Derrickson's position as Chief Executive
        Officer. At Derrickson's sole election, he may obtain or retain
        individual health, life, disability policies (and chose not to
        participate in MCOM's group insurance policies). In such an event, then
        MCOM agrees to reimburse Derrickson for all premium costs related to
        such individual policies during the CEO and Consultant Terms.

9.      EXPENSES. In addition, during both the CEO and Consultant Terms
        Derrickson shall be entitled to reimbursement of all business expenses
        incurred by Derrickson for business conducted on behalf of MCOM, as
        supported by reasonable documentation evidencing such business expenses.

10.     TRAVEL. MCOM shall pay for Derrickson's travel, and the travel of his
        immediate family, to and from the Puget Sound area (including, but not
        limited to, Seattle and Port Angeles, Washington) and California. The
        Company understands that Derrickson's residence in the Puget Sound area
        shall necessitate frequent trips between California and the Puget Sound
        area. The Company shall also provide Derrickson with transportation
        (including, but not limited to, an automobile at Derrickson's choice) in
        the San Jose area and for travel to and from his residences in the Puget
        Sound area.

11.     HOUSING. The Company will provide Derrickson with temporary housing in
        the San Jose area during the CEO Term. This temporary housing shall be
        of premium quality, tastefully furnished and sufficient to allow
        extended visits by Derrickson's immediate family. The parties understand
        that a house, apartment, condo or hotel suite of rooms could suit this
        requirement.

12.     PAID LEAVE. The parties do not expect Derrickson to take vacation during
        the Initial Term. If the CEO term continues beyond the Initial Term,
        then Derrickson shall accrue a maximum of four (4) weeks paid vacation
        on an annualized basis to be prorated based on five (5) paid vacation
        days for each three month term or fraction thereof employed. During the
        CEO Term, there shall be no limitation on the amount of paid sick days
        available to Derrickson. Derrickson shall additionally be entitled to
        take all paid company holidays off during the CEO Term.

13.     TERMINATION. This Agreement may only be terminated during the CEO or the
        Consultant Term only upon the occurrence of one or more of the following
        events:

        (a)    TERMINATION BY THE COMPANY FOR CAUSE. As used herein, Cause means
               the following:

               (i)    the willful and continued failure by Derrickson to
                      substantially perform his material duties as Chief
                      Executive Officer as set forth under this Agreement;
                      provided, however, that such termination shall not be
                      effective unless and until MCOM delivers to Derrickson a
                      written Notice of Cause specifically identifying the
                      manner in which MCOM believes Derrickson has not
                      substantially performed his duties as Chief Executive
                      Officer and providing Derrickson with a period of ten (10)
                      days from the

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                      date of receipt of the Notice of Cause (the "Cure Period")
                      in which to cure said performance deficiencies as stated
                      in the Notice of Cause and Derrickson fails to cure the
                      performance deficiencies within the Cure Period; or

               (ii)   Derrickson's misappropriation of MCOM's funds or other
                      material dishonesty causing significant negative impact to
                      the Company;

               (iii)  Derrickson's conviction of a felony;

               (iv)   Derrickson's material breach of this Agreement.

        (b)    DERRICKSON'S TERMINATION FOR "GOOD REASON." Derrickson may
               terminate this Agreement at any time for "Good Reason." For
               purposes of this Agreement, "Good Reason" shall mean:

               (i)    a breach by MCOM of the specific terms of this Agreement;

               (ii)   during the CEO Term, the assignment of any duties
                      inconsistent with Derrickson's status as Chief Executive
                      Officer or a substantial adverse alteration in the nature,
                      conditions or responsibilities of Derrickson's position as
                      Chief Executive Officer;

               (iii)  during the CEO Term, a reduction in Derrickson's Base
                      Salary as in effect as of the date hereof or as the same
                      may be increased from time to time;

               (iv)   the failure of MCOM, without Derrickson's written consent,
                      to pay Derrickson any portion of his Base Salary at its
                      then existing current rate; or

               (v)    the failure of MCOM, without Derrickson's written consent,
                      to provide Derrickson with benefits consistent with his
                      position as Chief Executive Officer (as said benefits are
                      further described herein).

               Provided that Derrickson shall have no right to terminate this
               Agreement pursuant to this Paragraph unless Derrickson provides
               MCOM with a written Notice of Good Reason Termination describing
               the act or acts potentially giving rise to Derrickson's
               termination for Good Reason and providing MCOM a period of ten
               (10) days from the date of receipt of said Notice (the "Cure
               Period") in which to cure said act or acts as described in
               Derrickson's Notice of Good Reason Termination and MCOM fails to
               cure said acts or acts within the Cure Period.

               In the event Derrickson terminates his employment for Good
               Reason, MCOM shall pay Derrickson severance pay at the
               Derrickson's then current rate of Base Salary for the duration of
               the applicable stated Term (i.e. CEO Term or Consultant Term as
               applicable). Such severance payment under this Paragraph shall be
               payable in a lump sum payment upon Derrickson's effective date of

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               termination. In addition, upon termination of Derrickson's
               employment under this Paragraph, MCOM shall also continue all of
               Derrickson's benefits at their current existing amounts as of the
               date of termination, at MCOM's sole expense, for the duration of
               the applicable stated Term (i.e. CEO Term or Consultant Term as
               applicable).

14.     NOTICES. All notices hereunder shall be in writing and personally
        delivered or sent by certified or registered mail, postage prepaid,
        return receipt requested, addressed as follows:

                  IF TO MCOM:               Chair, Board of Directors
                                            333 West Julian St.
                                            San Jose, CA. 95110

                  IF TO DERRICKSON:         Ralph C. Derrickson
                                            [address deleted]

        Either party may direct the other, by notice as provided herein, to
        deliver notice in the future to another address.

15.     MEDIATION. In the event any controversy, claim or dispute arising out of
        this Agreement cannot be settled by the parties, the parties agree to
        appoint a mediator to attempt to settle such controversy or claim. The
        parties agree to appoint a mediator by mutual agreement. The parties
        agree to first proceed with mediation with respect to any controversy,
        claim or dispute arising out of this Agreement. The parties agree to
        attend and to participate in good faith for one full day of a mediation
        session; provided, however, that the parties may agree to participate in
        additional mediation sessions by a writing signed by both parties
        specifying the number of additional sessions upon which they agree to
        participate. The parties agree to each be responsible for its or his own
        costs, including reasonable attorneys' fees, associated with the
        mediation, unless otherwise agreed to by the parties.

16.     ENTIRE AGREEMENT. This Agreement contains the entire agreement of the
        parties with respect to the employment of Derrickson. This Agreement
        shall terminate and supersede any prior written or oral agreements or
        understandings between the parties hereto regarding the terms and
        conditions of MCOM's employment of Derrickson.

17.     AMENDMENT; NON-WAIVER. Except as otherwise specifically provided, no
        amendment or modification of this Agreement shall be valid, unless the
        same is in writing and signed by the party against whom it is sought to
        be enforced.

18.     GOVERNING LAW/VENUE. This Agreement and all actions or suits hereunder
        shall be governed by and construed in accordance with the laws of the
        State of California. Both parties agree that any suit or action relating
        to this Agreement shall be instituted and commenced exclusively in King
        County Superior Court or in the United States District Court for the
        Western District of Washington, sitting in Seattle, Washington. Both
        parties waive the right to change such venue (except by mutual consent)
        and hereby consent to the jurisdiction of such courts for such claims.

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19.     BINDING EFFECT. All rights, remedies and liabilities herein given to or
        imposed upon the parties shall extend to, inure to the benefit of and
        bind, as the circumstances may require, the parties and their respective
        heirs, personal representatives, administrators, successors and
        permitted assigns.

20.     ATTORNEYS' FEES. The prevailing party in any suit or action to enforce
        this Agreement, or any term hereof, shall be entitled to recover all of
        his or its costs and expenses incurred in connection with such suit or
        action, including without limitation, reasonable attorneys' fees
        incurred at all levels and proceedings.

21.     SEVERABILITY. If any one or more provisions contained in this Agreement
        shall be held to be invalid, illegal or unenforceable in any respect
        under the law applicable hereto, the validity, legality and
        enforceability of all remaining provisions shall not in any way be
        affected or impaired and all provisions shall be enforceable to the full
        extent permitted under applicable law.

22.     HEADINGS. The paragraph headings in this Agreement are for convenience
        of reference only and shall not be given effect in the construction or
        interpretation hereof.

23.     COUNTERPARTS. This Agreement may be executed in two or more
        counterparts, each of which shall be deemed an original and all of which
        together shall constitute one and the same instrument. A facsimile shall
        be the same as an original for purposes of this Agreement.

24.     CERTAIN PAYMENTS. The parties believe that the payments hereunder do not
        constitute "Excess Parachute Payments" under Section 280G of the
        Internal Revenue Code (the "Code"). Notwithstanding such belief, if any
        payment under this Agreement is determined to be an "Excess Parachute
        Payment," MCOM shall pay to Derrickson an additional amount (the "Tax
        Payment") such that (x) the excess of all Excess Parachute Payments
        (including any Tax Payment under this Section 24) over the sum of the
        excise tax thereon under Section 4999 of the Code and income tax thereon
        under Subtitle A of the Code and state law is equal to (y) the excess of
        all Excess Parachute Payments (excluding any Tax Payment under this
        Section 24) over applicable income tax thereon under Subtitle A of the
        Code and state law.

IN WITNESS WHEREOF the parties have executed this Agreement as of the day first
hereinabove written.

METRICOM

                        By: /s/ WILLIAM D. SAVOY                March 29, 2001
                        -------------------------------------   --------------
                        Authorized Member, Board of Directors        Date

RALPH DERRICKSON:
                        /s/ RALPH C. DERRICKSON                 March 30, 2001
                        -------------------------------------   --------------
                                                                     Date

                                     Page 7

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