Document:

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                                                                   Exhibit 10.8

                         IRREVOCABLE PUT AND CALL OFFERS

                                    REGARDING

                        1) LIMITED PARTNERSHIP INTERESTS

                                       in

                   HELLWEG GmbH & Co. Vermogensverwaltungs KG

                                       and

                   Semer Unternehmensverwaltung GmbH & Co. KG

                                    2) SHARES

                                       In

                aptus 269. GmbH (future "Shovel Management GmbH")

                                       and

                 aptus 268. GmbH (future "Hoe Management GmbH")

by

Reinhold Semer

-    hereinafter referred to as the "SELLER 2" -,

and

by

HLWG TWO (GER) LLC,

-    hereinafter referred to as the "PURCHASER" -

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                                                                             -2-

Table of contents

<TABLE>
<S>                                                                           <C>
I. Preamble................................................................    3
II. Irrevocable Offers.....................................................    3
   Section 1 Definitions and Interpretation................................    3
   Section 2 Call I........................................................   13
   Section 3 Call II.......................................................   13
   Section 4 Put...........................................................   13
   Section 5 Exit Put......................................................   13
   Section 6 Validity of Irrevocable Offers................................   14
   Section 7 Acceptance....................................................   14
   Section 8 Warranties....................................................   15
   Section 9 Remedies for Breach of Warranties.............................   17
   Section 10 Third Person Claims and Taxes................................   18
   Section 11 Undertakings of Seller 2.....................................   19
   Section 12 Restrictions on Transfer; Undertaking........................   20
   Section 13 Form of Notice...............................................   20
   Section 14 Costs and Taxes..............................................   21
   Section 15 Final Provisions.............................................   22
</TABLE>

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                                  I. PREAMBLE

WHEREAS, pursuant to an interest and share purchase agreement dated as of the
date hereof among Purchaser, Semer Unternehmensverwaltung GmbH & Co. KG ("SELLER
1") and Seller 2 (the "INTEREST PURCHASE AGREEMENT" or "SPA"), Seller 2 divests
himself of a 24.7399% direct and indirect interest in HELLWEG GmbH & Co.
Vermogensverwaltungs KG, a Limited Partnership (Kommanditgesellschaft, GmbH &
Co. KG) organized under the laws of the Federal Republic of Germany registered
with the Commercial Register of the Lower Court (Amtsgericht) at Dortmund under
HRA 13391 ("PROPCO");

AND WHEREAS, in order to allow Purchaser the ability to manage the development
of PropCo without Seller 2 in the future if it so desires, Seller 2 will make
certain irrevocable offers to Purchaser to sell and transfer to Purchaser
certain direct and indirect interests in PropCo ("IRREVOCABLE CALL OFFERS");

AND WHEREAS, in order to allow Seller 2 to withdraw from PropCo in the future if
he wishes, Purchaser will make an irrevocable offer to Seller 2 with the terms
and conditions specified herein to buy and accept the transfer to Purchaser of
certain direct and indirect interests in PropCo ("IRREVOCABLE PUT OFFER");

AND WHEREAS, in order to allow Purchaser the complete exit if it wishes in case
that neither the Irrevocable Call Offers nor the Irrevocable Put Offer will be
accepted in the form specified herein, Seller 2 will make an irrevocable offer
to Purchaser with the terms and conditions specified herein to buy and accept
the transfer to Seller 2 of certain direct and indirect interests in PropCo
("IRREVOCABLE EXIT PUT OFFER");

NOW THEREFORE, in consideration of the Transaction, the Purchaser and Seller 2
make the following irrevocable offers:

                             II. IRREVOCABLE OFFERS

                    SECTION 1 DEFINITIONS AND INTERPRETATION

1.1            Except as otherwise provided in the Irrevocable Offers (including
               the Preamble hereto), capitalized terms used in the Irrevocable
               Offers (including the Preamble) shall have the meanings given in
               this Clause 1.

1.2            In the Irrevocable Offers (including the Preamble hereto) the
               following terms shall have the following meanings:

               "ACCEPTANCE PERIOD" means any of the Call I Acceptance Period,
               Call II Acceptance Period, Put Acceptance Period or Exit Put
               Acceptance Period;

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               "ADJUSTMENT FACTOR" means an increase or decrease in the Call I
               Price and the Put Price resulting from the final ten year SWAP
               rate quoted in the Financial Times on an Adjustment Date. It is
               agreed that so long as the ten year SWAP rate is within a band of
               4.15% to 4.45%, there will be no adjustment. However, for each
               basis point higher than 4.45%, the Call I Price and the Put Price
               will be decreased by EUR 192,350 and for each basis point below
               4.15%, the Call I Price and the Put Price will be increased by
               EUR 192,350.

               "ADJUSTMENT DATE" means the Adjustment Date I or Adjustment Date
               II.

               "ADJUSTMENT DATE I" means the earlier of (i) the Closing Date and
               (ii) April 30, 2007 has occurred.

               "ADJUSTMENT DATE II" means the earlier of (i) a Closing Date and
               (ii) October 1, 2007 has occurred.

               "ADJUSTMENT FACTOR PROLONGATION EVENT" means the cumulative
               occurrence of the following:

               a) Purchaser and Third Party Lender are prepared to sign and
               execute the Third Party Loan Documents;

               b) Purchaser and Third Party Lender can not sign and execute the
               Third Party Loan Documents because of circumstances which are, in
               the sole discretion of the Purchaser and/or the Third Party
               Lender, stemming from a non-completion of any Condition
               Precedent, or would (if the Closing Date had already occurred)
               result in a breach of any SPA Warranty, and

               c) Purchaser, without being obliged to, has exercised the
               Adjustment Factor Prolongation Option.

               "ADJUSTMENT FACTOR PROLONGATION OPTION" means the right of
               Purchaser to prolongate (if prior to April 30, 2007) or reinstate
               (if later than April 30, 2007) the Adjustment Factor until the
               Adjustment Date II.

               "BORROWER" shall mean Mr. Reinhold Semer.

               "BUSINESS DAY" shall mean a day (other than a Saturday or Sunday)
               on which banks are open for general business in Frankfurt am
               Main, Germany, or New York, NY, USA.

               "CALL I" means the irrevocable offer made by Seller 2 to
               Purchaser as set out in Clause 2 to sell and transfer to
               Purchaser (i) the Interests in PropCo, (ii) the Partner's
               Accounts in PropCo and (iii) the Shares in PropCo New General
               Partner;

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                                                                             -5-

               "CALL I ACCEPTANCE PERIOD" means the period between (i) the
               earlier of January 1, 2010 or death of Seller 2 and (ii) December
               31, 2010 during which the Call I as set out in Clause 2 can be
               accepted;

               "CALL I PRICE" means EUR 234,585,059.25 as adjusted by 99.65% of
               the Adjustment Factor on the Adjustment Date I and, provided an
               Adjustment Factor Prolongation Event has occurred, and

               as reduced by the Property Adjustment Amount Bonn-Beuel, provided
               a Property Adjustment Event Bonn-Beuel has occurred (as the case
               may be); and

               as reduced by the Property Adjustment Amount Steinfurt, provided
               a Property Adjustment Event Steinfurt has occurred (as the case
               may be); and

               as reduced by the Property Adjustment Amount Dortmund-Kley,
               provided a Property Adjustment Event Dortmund-Kley has occurred
               (as the case may be);

               as further adjusted by 99.65% of the Adjustment Factor on the
               Adjustment Date II plus the balance on the Depreciation Bank
               Account plus accrued amount of the Depreciation Loan, if any. The
               amount of the Depreciation Loan may be paid directly by the
               Purchaser to the Partnership for the purpose of repayment of the
               Depreciation Loan. For the avoidance of doubt, there shall be no
               adjustment to the Call I Price because of any balance on the
               Reserve Account, the Capital Account III or the Loss Account
               unless the loss recorded on the Loss Account is a result of a
               default under the Lease Agreement or from any business activities
               of PropCo prior to the date of this Agreement;

               "CALL II" means the irrevocable offer made by Seller 2 to
               Purchaser as set out in Clause 3 to sell and transfer to
               Purchaser (i) the Interests in Seller 1, (ii) the Partner's
               Accounts in Seller 1 and (ii) the Shares in Seller 1 New General
               Partner;

               "CALL II ACCEPTANCE PERIOD" means the period commencing no
               earlier than five (5) years and fifteen (15) days after payment
               of the Share Purchase Price and no later than five (5) years and
               one hundred eighty (180) days after payment of Share Purchase
               Price during which the Call II as set out in Clause 3 can be
               accepted;

               "CALL II PRICE" means the amount payable following the acceptance
               of the Call II as set out in Clause 3.3;

               "CAPITAL ACCOUNT I" means the fixed account (Festkapitalkonto,
               Kapitalkonto I), recording the limited partner's capital interest
               in the fixed capital of the partnership;

               "CAPITAL ACCOUNT II" means the clearing account
               (Gesellschafter-Verrechnungskonto, Kapitalkonto II), recording
               (i) the limited partner's share in the

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                                                                             -6-

               partnership's profits, (ii) any contributions by the limited
               partner (to the extent not allocated to the Reserve Account) and
               (iii) any withdrawals by the limited partner;

               "CAPITAL ACCOUNT III" means the depreciation account recording
               the limited partner's withdrawals in accordance with Section 13.4
               of the Partnership Agreement of PropCo.

               "CLOSING" shall mean the consummation of the Transaction in
               accordance with the terms of this Agreement.

               "CLOSING DATE" shall mean the date on which all of the Conditions
               Precedent shall have been met.

               "CONDITIONS PRECEDENT" shall mean each of the conditions set
               forth in Section 8.3 of the Interest Purchase Agreement;

               "COMPANIES" shall mean PropCo and Seller 1;

               "DECLARATION OF ACCEPTANCE" means a declaration by Seller 2 or
               Purchaser (including, with respect to Call II, a designee or
               successor of Purchaser) to accept an Irrevocable Offer
               (Annahmeerklarung) executed in due notarial form (notariell
               beurkundet) pursuant to Clause 7;

               "DECLARATION OF ACCEPTANCE DATE" means the date on which a party
               hereto notarises a Declaration of Acceptance;

               "DEPRECIATION BANK ACCOUNT" shall have the meaning as defined in
               Section 13.4 of the Partnership Agreement of PropCo,

               "DIY" shall mean Do-It-Yourself.

               "EXIT PUT" means the irrevocable offer made by Seller 2 to
               Purchaser as set out in Clause 5 to buy and accept the transfer
               from Purchaser of (i) the Sold PropCo Interests, (ii) the shares
               in PropCo New General Partner representing 80% of the stated
               share capital (as of the date hereof, with a nominal value of EUR
               20,000.00), (iii) the Sold Interests in Seller 1 and (iv) the
               Sold Shares in Seller 1 New General Partner;

               "EXIT PUT ACCEPTANCE PERIOD" means the period between January 1,
               2015 and December 31, 2015 during which the Exit Put as set out
               in Clause 5 can be accepted;

               "EXIT PUT PRICE" means the amount payable following the
               acceptance of the Exit Put as set out in Clause 5.3;

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                                                                             -7-

               FACILITIES shall mean the 37 retail facilities located throughout
               Germany, a list of which is attached to the Interest Purchase
               Agreement as Annex A, and consisting of the Land and the
               Improvements constructed on the Land.

               "GP1 PROPCO" means MKD Vermogensverwaltungs Beteiligungs GmbH
               (Gesellschaft mit beschrankter Haftung, GmbH) organized under the
               laws of Germany and registered with the Commercial Register of
               the Lower Court (Amtsgericht) at Berlin under HRB 38230.

               "GP2 PROPCO" means Markische Industrie- und
               Baubedarfsgesellschaft mbH (Gesellschaft mit beschrankter
               Haftung, GmbH) organized under the laws of Germany and registered
               with the Commercial Register of the Lower Court (Amtsgericht) at
               Dortmund under HRB 13506.

               "IMPROVEMENTS" shall mean all buildings, premises, structures and
               other improvements constructed on the Land, a list of which is
               attached to the Interest Purchase Agreement as Annex B, and any
               future improvements developed on the Land within the term of the
               Lease Agreement in accordance with the terms and conditions
               thereof.

               "INTEREST PURCHASE AGREEMENT" shall mean the Interest Purchase
               Agreement between Sellers and Purchaser pursuant to which
               Purchaser and Sellers shall consummate the Interest Purchase
               Transaction.

               "INTEREST PURCHASE TRANSACTION" shall mean the acquisition by
               Purchaser from Sellers of the Interests.

               "INTERESTS" shall mean a 19.90% direct and 4.8399% indirect
               interest in PropCo to be sold to Purchaser in accordance with the
               terms and conditions of this Agreement and the Interest Purchase
               Agreement.

               "INTERESTS IN PROPCO" means 75 % of the limited partners'
               interests in PropCo (as of the date hereof, with a nominal amount
               of E1,100,555.77 of the stated limited partnership interest),
               together with all rights pertaining thereto, held by Seller 2
               subsequent to the disposal and transfer of 19.9 % of the limited
               partners' interests (with a nominal amount of E292,014.11 of the
               stated limited partnership interest) in PropCo, provided the
               Interest Purchase Agreement has become effective;

               "INTERESTS IN SELLER 1" means 5.1 % of the limited partners'
               interests (as of the date hereof, with a nominal amount of DM
               35,955.00 of the stated limited partnership interest) in Seller
               1, together with all rights pertaining thereto, held by Seller 2
               subsequent to the disposal and transfer of 94.9 % of the limited
               partners' interests (with a nominal amount of DM 669,045.00 of
               the stated limited partnership interest), in Seller 1 provided
               the Interest Purchase Agreement has become effective;

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                                                                             -8-

               "IRREVOCABLE OFFER" means any of the Call I, Call II, Put and
               Exit Put;

               "LAND" shall mean the land owned or leased by PropCo and
               Weissensee SPE as described in Annex A to the Interest Purchase
               Agreement.

               "LEASE AGREEMENT" shall mean a lease agreement for the Facilities
               to be entered into by PropCo, as landlord, and OpCo, as tenant on
               the date of this Agreement.

               "LEASE TRANSACTION" shall mean the execution and delivery of the
               Lease Agreement by OpCo and PropCo.

               "LOAN ACCOUNT" shall mean the loan account recording any loans
               granted by the Partnership to the limited partners in accordance
               with Section 4.6 of the Partnership Agreement of PropCo.

               "LOSS ACCOUNT" shall mean the loss carry forward account
               (Verlust(vortrags)konto), recording limited partner's share in
               the partnership's losses;

               "MEMBER(S)" shall mean any member of the W.P. Carey Group.

               "OFFEROR" means the Purchaser or Seller 2, as the case may be;

               "OPCO" shall mean Hellweg Die-Profi-Baumarkte GmbH & Co. KG, a
               Limited Liability Partnership (Kommanditgesellschaft, GmbH & Co.
               KG) organized under the laws of the Federal Republic of Germany
               registered with the Commercial Register of the Lower Court
               (Amtsgericht) at Dortmund under HRA 13582.

               "PARTNER'S ACCOUNTS IN PROPCO" means all partner's accounts
               (Gesellschafterkonten), in each case being comprised of the
               Capital Account I, the Capital Account II, the Capital Account
               III, the Loss Account and the Reserve Account.

               "PARTNER'S ACCOUNTS IN SELLER 1" means all partner's accounts
               (Gesellschafterkonten), in each case being comprised of the
               Capital Account I, the Capital Account II, the Loss Account and
               the Reserve Account.

               "PROPCO" shall mean Hellweg GmbH & Co. Vermogensverwaltungs KG, a
               Limited Liability Partnership (Kommanditgesellschaft, GmbH & Co.
               KG) organized under the laws of the Federal Republic of Germany
               registered with the Commercial Register of the Lower Court
               (Amtsgericht) at Dortmund under HRA 13391 which shall own, either
               directly or indirectly, the Facilities at the time of Closing and
               which after the Closing shall be owned by Seller 1, Seller 2 and
               Purchaser, provided that Seller 2 shall have the right to direct
               Purchaser to change the name of PropCo following the Acceptance
               by either Purchaser or Sellers of their rights.

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               "PROPCO NEW GENERAL PARTNER" shall mean aptus 269. GmbH (future
               "Shovel Management GmbH") (Gesellschaft mit beschrankter Haftung,
               GmbH) organized under the laws of Germany and registered with the
               Commercial Register of the Lower Court (Amtsgericht) at
               Charlottenburg (Berlin) under HRB 106017, which will accede to
               PropCo as general partner on or prior to the consummation of the
               Share Purchase Transaction.

               "PROPERTY ADJUSTMENT AMOUNT BONN BEUEL" means EUR 3,625,601.00.

               "PROPERTY ADJUSTMENT AMOUNT STEINFURT" means EUR 3,884,593.00.

               "PROPERTY ADJUSTMENT AMOUNT DORTMUND-KLEY" means EUR
               5,524,726.00.

               "PROPERTY ADJUSTMENT EVENT BONN BEUEL" means that any of the
               following events has not occurred with respect to the Property in
               "Bonn Beuel" before the Closing Date:

               a) The property "Bonn-Beuel" is satisfactory to the Third Party
               Lender in all respects in connection with the encumbrance of such
               Property "Bonn-Beuel".

               b) The owner of the property "Bonn-Beuel" has consented to the
               encumbrance of the property in an amount satisfactory to the
               Third Party Lender or, in the event that no such consent has been
               given or any consent given is not satisfactory in all respects,
               the property "Bonn-Beuel" has been transferred from PropCo to a
               third party and such transfer has been evidenced by a purchase
               agreement satisfactory to the Third Party Lender.

               "PROPERTY ADJUSTMENT EVENT DORTMUND-KLEY" means that none of the
               following two alternatives has occurred with respect to the
               property in "Dortmund-Kley" before the Closing Date:

               a) The owner of the property "Dortmund-Kley" has consented to the
               encumbrance of the property in an amount satisfactory to the
               Third Party Lender; or

               b) in the event that no such consent pursuant to Paragraph a)
               above has been given or any consent given pursuant to Paragraph
               a) is not satisfactory in all respects, Refinancing Lender has
               accepted the assignment of the currently existing land charges as
               security satisfactory in all respects.

               "PROPERTY ADJUSTMENT EVENT STEINFURT" means that none of the
               following two alternatives has occurred with respect to the
               property in Steinfurt before the Closing Date:

               a) The owner of the property "Steinfurt" has consented to the
               encumbrance of the property in an amount satisfactory to the
               Third Party Lender; or

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                                                                            -10-

               b) in the event that no such consent pursuant to Paragraph a)
               above has been given or any consent given pursuant to Paragraph
               a) is not satisfactory in all respects, the property "Steinfurt"
               has been transferred from PropCo to a third party and such
               transfer has been evidenced by a purchase agreement satisfactory
               to the Third Party Lender.

               "PURCHASE PRICE" means the Call I Price, the Call II Price and
               the Put Price, as the case may be;

               "PURCHASER" shall mean HLWG TWO (GER) LLC, a limited liability
               company organized under the laws of Delaware.

               "PUT" means the irrevocable offer made by Purchaser to Seller 2
               as set out in Clause 4 to buy and accept the transfer from Seller
               2 of (i) the Interests in PropCo, the Partner's Accounts in
               PropCo and (ii) the Shares in PropCo New General Partner;

               "PUT PRICE" means EUR 234,585,059.25, as adjusted by 99.65% of
               the Adjustment Factor on the Adjustment Date I and, provided an
               Adjustment Factor Prolongation Event has occurred, and

               as reduced by the Property Adjustment Amount Bonn-Beuel, provided
               a Property Adjustment Event Bonn-Beuel has occurred (as the case
               may be); and

               as reduced by the Property Adjustment Amount Steinfurt, provided
               a Property Adjustment Event Steinfurt has occurred (as the case
               may be), and

               as reduced by the Property Adjustment Amount Dortmund-Kley,
               provided a Property Adjustment Event Dortmund-Kley has occurred
               (as the case may be);

               as further adjusted by 99.65% of the Adjustment Factor on the
               Adjustment Date II plus the balance on the Depreciation Bank
               Account plus accrued amount of the Depreciation Loan, if any. The
               amount of the Depreciation Loan may be paid directly by the
               Purchaser to the Partnership for the purpose of repayment of the
               Depreciation Loan. For the avoidance of doubt, there shall be no
               adjustment to the Call I Price because of any balance on the
               Reserve Account, the Capital Account III or the Loss Account
               unless the loss recorded on the Loss Account is a result of a
               default under the Lease Agreement or from any business activities
               of PropCo prior to the date of this Agreement;

               "PUT ACCEPTANCE PERIOD" means the period between January 1, 2014
               and December 31, 2014, during which the Put as set out in Clause
               4 can be accepted;

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               "RESERVE ACCOUNT" means the joint reserve account
               (Rucklagenkonto), recording the revenue reserves
               (Gewinnrucklagen) and additional capital contributions (sonstige
               Einlagen) by the limited partners.

               "SELLER 1" shall mean Semer Unternehmensverwaltung GmbH & Co. KG,
               a Limited Liability Partnership (Kommanditgesellschaft, GmbH &
               Co. KG) organized under the laws of the Federal Republic of
               Germany registered with the Commercial Register of the Lower
               Court (Amtsgericht) at Dortmund under HRA 13230.

               "SELLER 1 NEW GENERAL PARTNER" shall mean aptus 268. GmbH (future
               "Hoe Management GmbH") (Gesellschaft mit beschrankter Haftung,
               GmbH) organized under the laws of Germany and registered with the
               Commercial Register of the Lower Court (Amtsgericht) at
               Charlottenburg (Berlin) under HRB 106018, which will accede to
               Seller 1 as general partner on or prior to the consummation of
               the Share Purchase Transaction.

               "SELLER 2" shall be Mr. Reinhold Semer.

               "SELLERS" shall mean Seller 1 and Seller 2.

               "SHARE PURCHASE PRICE" shall mean the purchase price to be paid
               under the Share Purchase Transaction in the amount of
               E77,381,479.

               "SHARE PURCHASE TRANSACTION" shall mean the acquisition of the
               Interests by Purchaser.

               "SHARES IN PROPCO NEW GENERAL PARTNER" means shares
               (GmbH-Anteile) in PropCo New General Partner representing 20 % of
               the stated share capital (as of the date hereof, with a nominal
               value of EUR 5,000.00), held by Seller 2.

               "SHARES IN SELLER 1 NEW GENERAL PARTNER" means the shares in
               Seller 1 New General Partner representing 5.2 % of the stated
               share capital (as of the date hereof, with a nominal value of EUR
               1,300.00), held by Seller 2.

               "SOLD INTERESTS IN SELLER 1" means the limited partners'
               interests in Seller 1 with a nominal amount of DM 669,045.00
               (equivalent to 94.9% of the stated limited partnership interest)
               in Seller 1.

               "SOLD PROPCO INTERESTS" means limited partners' interests in
               PropCo with a nominal amount of E292.014,11 (equivalent to
               19.9% of the stated limited partnership interest) in PropCo;

               "SOLD SHARES IN SELLER 1 NEW GENERAL PARTNER" means shares in
               Seller 1 New General Partner with a nominal amount of EUR
               23,700.00 (equivalent to 94.8% of the stated share capital);

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                                                                            -12-

               "SPA WARRANTY" means any Warranty pursuant to Section 9 of the
               SPA.

               "THIRD PARTY LENDER" shall mean an institutional lender who will
               make the Third Party Loan.

               "THIRD PARTY LOAN" shall mean a loan or loans to Purchaser of not
               less than E72.5 million at a fixed interest rate of not
               more than 6%, and with a term of not less than ten (10) years,
               the proceeds of which shall be used by Purchaser to complete the
               Share Purchase Transaction.

               "THIRD PARTY LOAN DOCUMENTS" shall mean all documents evidencing
               and securing the Third Party Loan.

               "TRANSACTION" shall mean the completion of (a) the Share Purchase
               Transaction, (b) the Lease Transaction, (c) the Third Party Loan
               .

               "WEISSENSEE SPE" shall mean Erwin Specht GmbH & Co. KG and its
               sole general partner Erwin Specht Verwaltungs-GmbH which owns a
               DIY store located in Berlin-Weissensee.

               "W.P. CAREY GROUP" shall mean W.P. Carey & Co. LLC and/or any
               entity managed or advised by W.P. Carey & Co. LLC or one of its
               subsidiaries or affiliates.

1.3            In the Irrevocable Offers (including the Preamble hereto), the
               following terms shall have the following meaning:

               1.3.1 a Clause, unless the context otherwise requires, is a
                     reference to a Clause of the Irrevocable Offers.

               1.3.2 All terms not defined in Clause 1.1 through Clause 1.3
                     shall have the meanings attached to them in other parts of
                     the Irrevocable Offers (including the Preamble hereto).

                                    SECTION 2
                                     CALL I

2.1            Seller 2 hereby irrevocably offers to sell and transfer to
               Purchaser the Interests in PropCo, the Partner's Accounts in
               PropCo (for the avoidance of doubt, including any amount in the
               Reserve Account) and the Shares in PropCo New General Partner for
               the Call I Price.

2.2            Purchaser can accept the Call I only during the Call I Acceptance
               Period in the manner set out in Clause 7 and under the terms and
               conditions set out in Clause 8 through Clause 16.

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                                                                            -13-

2.3            The Call I Price shall be due and payable by Purchaser to Seller
               2 on the Declaration of Acceptance Date.

                                    SECTION 3
                                     CALL II

3.1            Seller 2 hereby irrevocably offers to Purchaser to sell and
               transfer to Purchaser the Interests in Seller 1, the Partner's
               Accounts in Seller 1 and the Shares in Seller 1 New General
               Partner for the Call II Price set out in Clause 3.3.

3.2            Purchaser can accept the Call II offer only during the Call I
               Acceptance Period in the manner set out in Clause 7 and under the
               terms and conditions set out in Clause 8 through Clause 16. The
               acceptance of Call II is subject to the acceptance of Call I.

3.3            The Call II Price to be paid by Purchaser to Seller 2 upon a
               Declaration of Acceptance shall be E813,540.99 (as adjusted
               by 0.35% of the Adjustment Factor).

3.4            The Call II Price shall be due and payable by Purchaser to Seller
               2 on the Declaration of Acceptance Date.

                                    SECTION 4
                                       PUT

4.1            Purchaser hereby irrevocably offers to Seller 2 to buy and accept
               the transfer from Seller 2 of (i) the Interests in PropCo, (ii)
               the Partner's Accounts in PropCo (for the avoidance of doubt,
               including any amount of the Reserve Account) and (iii) the Shares
               in PropCo New General Partner, for the Put Price.

4.2            Seller 2 can accept the Put offer only during the Put Acceptance
               Period in the manner set out in Clause 7 and under the terms and
               conditions set out in Clause 8 through Clause 16. The acceptance
               of Put is further subject to the non-acceptance of Call I.

4.3            The Put Price shall be due and payable by Purchaser to Seller 2
               on the Declaration of Acceptance Date.

                                    SECTION 5
                                    EXIT PUT

5.1            Seller 2 hereby irrevocably offers to Purchaser to buy and accept
               the transfer from Purchaser of (i) the Sold PropCo Interests,
               (ii) the shares in PropCo New General

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                                                                            -14-

               Partner representing 80% of the stated share capital (as of the
               date hereof, in the nominal value of EUR 20,000.00), (iii) the
               Sold Interests in Seller 1 and (iv) the Sold Shares in Seller 1
               New General Partner, for the Exit Put Price set out in Clause
               5.3.

5.2            Purchaser can accept the Exit Put offer only during the Exit Put
               Acceptance Period in the manner set out in Clause 7 and under the
               terms and conditions set out in Clause 8 through Clause 16.
               Acceptance of Exit Put is further subject to the non-acceptance
               of Call I and Put.

5.3            The Exit Put Price to be paid by Seller 2 to Purchaser upon
               Declaration of Acceptance shall be E77,381,479.00.

5.4            The Exit Put Price shall be due and payable by Seller 2 to
               Purchaser on the Declaration of Acceptance Date.

                                    SECTION 6
                         VALIDITY OF IRREVOCABLE OFFERS

The Irrevocable Offers shall become valid and binding subject to the occurrence
of the Closing Date. The Irrevocable Offers shall cease to be valid and binding
upon the occurrence of a rescission of the SPA.

                                    SECTION 7
                                   ACCEPTANCE

Any Irrevocable Offer must be accepted, if at all, as follows:

7.1            If Seller 2 or Purchaser (and, with respect to Call II, a
               designee or a successor of Purchaser) wishes to accept an
               Irrevocable Offer he / it shall make a Declaration of Acceptance
               which must be in notarial form (notariell beurkundet).

7.2            Any Irrevocable Offer shall remain valid and binding until such
               time as it is validly accepted in full or until such time as the
               relevant Acceptance Period has lapsed, in particular irrespective
               of whether Seller 2, on or prior to the Declaration of Acceptance
               Date, has died or has become incapable of contracting.

7.3            A Declaration of Acceptance shall become valid in rem immediately
               (nicht empfangsbedurftige Willenserklarung) without having to be
               served (i) upon the relevant Offeror or, as the case may be, (ii)
               upon any legal successor of the relevant Offeror.

<PAGE>

                                                                            -15-

7.4            In the event that Call I or Put has been validly accepted, any
               transfer of title to the Shares in PropCo New General Partner and
               of title to the Interests in PropCo is subject to the condition
               precedent of the payment of the relevant Purchase Price.

7.5            In the event that Call II has been validly accepted, any transfer
               of title (i) to the Shares in Seller 1 New General Partner and
               (ii) to the Interests in Seller 1 is subject to the condition
               that this transfer shall not take effect before the Purchaser is
               entered into the commercial register as new holder of the
               Interests in Seller 1 acquired by it by way of subrogation.

7.6            As between the parties, the transfer shall have economic effect
               (in particular with respect to the right to receive profits) from
               the Declaration of Acceptance Date in the relevant year.

7.7            For information purposes only, the notary officiating in respect
               of a Declaration of Acceptance shall send a certified copy of
               such Declaration of Acceptance as notification (i) to the other
               party hereto, (ii) to PropCo New General Partner in the event of
               Call I, Put or Exit Put, and (iii) to the Seller 1 New General
               Partner in the event of Call II or Exit Put, or, as the case may
               be under (i) through (iii) above, to the relevant legal
               successor. For the avoidance of doubt, such notification is not,
               and may under no circumstances be interpreted as, a prerequisite
               for the validity of any Declaration of Acceptance.

7.8            The parties hereto shall file (or procure the filing) for
               registration of the relevant transfer of Interests in PropCo, of
               Shares in PropCo New General Partner, of Interests in Seller 1
               and of Shares in Seller 1 New General Partner with the relevant
               commercial register without delay once the corresponding
               Irrevocable Offer has been accepted. Seller 2 irrevocably grants
               power of attorney (free from the restrictions of Section 181 of
               the German Civil Code; BGB) to the PropCo New General Partner to
               sign and file such application on behalf of all shareholders and
               partners of the companies mentioned in the preceding sentence and
               to make all declarations necessary or desirable for or in
               connection with any such registrations.

                                    SECTION 8
                                   WARRANTIES

8.1            Seller 2 hereby guarantees to the Purchaser by way of an
               independent promise of guaranty pursuant to Section 311 para. 1
               of the German Civil Code (selbstandiges Garantieversprechen im
               Sinne des Section 311 Abs. 1 BGB) that the statements set forth
               in this Clause 8 are true and correct as of the date hereof, at
               the Closing Date and at the Declaration of Acceptance Date,
               unless explicitly provided otherwise herein:

<PAGE>

                                                                            -16-

8.1.1          Each SPA Warranty, however, only as of the date hereof and as of
               the Closing Date;

8.1.2          Seller 2 has the legal right and full power and authority and has
               taken all action required to sign and perform its obligations
               under the Irrevocable Offers and all the documents which are to
               be executed in connection with it.

8.1.3          Seller 2 is the absolute and sole owner of, with unencumbered
               title (other than any encumbrances for the benefit of any member
               of the W.P. Carey Group or the Third Party Lender) to, Shares in
               PropCo New General Partner, to the Interests in PropCo, to the
               Shares in Seller 1 New General Partner and to the Interests in
               Seller 1.

8.1.4          Seller 2 is entitled to freely dispose of the Shares in PropCo
               New General Partner, of the Interests in PropCo, of the Shares in
               Seller 1 New General Partner and of the Interests in Seller 1
               without requiring the further consent of any third party, or that
               such consent has already been granted, and without such a
               disposal infringing any rights of a third party. There are no
               other interests, silent participations or sub-participations in
               the Shares in PropCo New General Partner, in the Interests in
               PropCo, in the Shares in Seller 1 New General Partner and in the
               Interests in Seller 1, and there are also no conditional
               obligations (options) or binding offers vis-a-vis third parties
               concerning the creation of such participations or the grant of
               shareholder rights or similar rights with regards to Shares in
               PropCo New General Partner, to the Interests in PropCo, to the
               Shares in Seller 1 New General Partner and to the Interests in
               Seller 1 including but not limited to voting commitments or
               participation in profits.

8.1.5          The Shares in PropCo New General Partner, the Interests in
               PropCo, the Shares in Seller 1 New General Partner and the
               Interests in Seller 1 have been properly and validly issued and
               are each paid and have not been repaid and there is no
               contribution obligation.

8.1.6          There is no third-party right and there is no agreement,
               arrangement or obligation to create a third-party right in
               relation to any of the Shares in PropCo New General Partner, of
               the Interests in PropCo, of the Shares in Seller 1 New General
               Partner and of the Interests in Seller 1, or any part of them.
               Save as aforesaid, no person has claimed to be entitled to any
               third-party right in relation to any of the Shares in PropCo New
               General Partner, of the Interests in PropCo, of the Shares in
               Seller 1 New General Partner and of the Interests in Seller 1, or
               any part of them.

<PAGE>

                                                                            -17-

8.2            Seller 2 confirms that the Warranties are not granted, and shall
               not be qualified and construed as, quality guaranties concerning
               the object of the purchase (Garantien fur die Beschaffenheit der
               Sache) within the meaning of Sections 443, 444 of the German
               Civil Code, respectively, that Section 444 of the German Civil
               Code shall not and does not apply to the Warranties.

                                    SECTION 9
                        REMEDIES FOR BREACH OF WARRANTIES

9.1            If any of the Warranties proves to have been untrue or inaccurate
               when made, or in the event of any other breach by Seller 2 of any
               of the Warranties, and a Declaration of Acceptance has been
               effected, Seller 2 shall put the Purchaser into a position -
               (also) with respect to the Shares in PropCo New General Partner,
               the Interests in PropCo, the Shares in Seller 1 New General
               Partner and the Interests in Seller 1 - the Purchaser would have
               been in without a breach of Warranties (the "RESTITUTION IN KIND"
               (Naturalrestitution)) (as if Purchaser had acquired the Shares in
               PropCo New General Partner, the Interests in PropCo, the Shares
               in Seller 1 New General Partner and the Interests in Seller 1 on
               the Closing Date). If and to the extent the Sellers do not effect
               the Restitution in Kind within 30 days after the Purchaser has
               notified Seller 2 of a breach of Warranties, the Purchaser may
               claim monetary damages (Schadensersatz in Geld) for and, to its
               full discretion, to be indemnified and held harmless
               (freigestellt zu werden) from and against any and all
               liabilities, losses, damages, costs, expenses (including without
               limitation reasonable attorneys' fees and expenses), causes of
               action, suits, claims, demands or judgments of any nature
               whatsoever.

9.2            If any of the Warranties proves to have been untrue or inaccurate
               when made, or in the event of any other breach by Seller 2 of any
               of the Warranties, and if a Declaration of Acceptance has not
               been effected since then, Purchaser may, to its full discretion,
               deduct from the relevant Purchase Price (to be paid upon
               Declaration of Acceptance) any and all liabilities, losses,
               damages, costs, expenses (including without limitation reasonable
               attorneys' fees and expenses), causes of action, suits, claims,
               demands or judgments of any nature whatsoever which may occur
               (also) with respect to the Shares in PropCo New General Partner,
               the Interests in PropCo, the Shares in Seller 1 New General
               Partner and the Interests in Seller 1 (as if Purchaser had
               acquired the Shares in PropCo New General Partner, the Interests
               in PropCo, the Shares in Seller 1 New General Partner and the
               Interests in Seller 1 on the Closing Date).

9.3            Under the conditions more specifically set forth under Section 11
               and Section 12.2 through 12.4 of the SPA, Seller 2 agrees to
               indemnify and hold harmless the Purchaser and the Companies of
               any and all liabilities, contingent liabilities, losses,

<PAGE>

                                                                            -18-

               damages, costs, expenses (including without limitation reasonable
               attorneys' fees and expenses), causes of action, suits, claims
               demands or judgments of any nature whatsoever of PropCo, Seller 1
               (the "LIABILITES"), including but not limited to (i) any claim
               asserted by Schnitger Unternehmensverwaltung GmbH & Co. KG, (ii)
               any claims asserted by any third party resulting out of or in
               connection with the real estate development activities of PropCo
               or the sale or disposal of any property to any third party, (iii)
               any claims arising out of the transfer of shares or interests in
               companies or properties from PropCo to Seller 2 or its
               affiliates, and (iv) any obligations of PropCo to repay any
               mortgage loans, regardless of such Liabilities having been
               disclosed in the Settlement Balance Sheets or in any Annex to the
               SPA, existing at the Closing Date (also) with respect to the
               Shares in PropCo New General Partner, the Interests in PropCo,
               the Shares in Seller 1 New General Partner and the Interests in
               Seller 1 (as if Purchaser had acquired the Shares in PropCo New
               General Partner, the Interests in PropCo, the Shares in Seller 1
               New General Partner and the Interests in Seller 1 on the Closing
               Date).

9.4            In case the aggregate amount of all such individual Liabilities
               is equal to or above E250,000.00, Seller 2 shall be obliged
               to either provide a guaranty on first demand to Purchaser issued
               by a bank acceptable to Purchaser or to pay the full aggregate
               amount of all individual Liabilities into an escrow account
               specified by the Purchaser. Seller 2 shall be entitled to any
               interest accrued thereon.

9.5            None of the Warranties shall be treated as qualified by any
               actual or constructive knowledge on the part of the Purchaser and
               any of its agents. Section 442 of the German Civil Code shall not
               apply.

9.6            All claims for any breach of Warranties of the Seller 2 pursuant
               to Section 9.2 of the SPA and Section 9.6.1 of the SPA and all
               claims for any breach of Warranties of the Seller 2 pursuant to
               Clause 8.1.2 through Clause 8.1.6 of this Agreement shall become
               time-barred (verjahren) upon the lapse of thirty years after the
               Closing Date. All claims for any other breach of the Warranties
               of Seller 2 shall become time barred (verjahren) upon the lapse
               of 48 months after the Closing Date.

                                   SECTION 10
                          THIRD PERSON CLAIMS AND TAXES

If and to the extent a Declaration of Acceptance has been made with respect to
an Irrevocable Offer, any claims of the Purchaser under Section 11 of the SPA
and Section 13 of the SPA shall be expanded and shall also apply with regard to
the Shares in PropCo New General Partner, the Interests in PropCo, the Shares in
Seller 1 New General Partner and the Interests in Seller 1 (as if Purchaser had
acquired the Shares in PropCo New General

<PAGE>

                                                                            -19-

Partner, the Interests in PropCo, the Shares in Seller 1 New General Partner and
the Interests in Seller 1 on the Closing Date). Purchaser may, to its full
discretion, deduct from the relevant Purchase Price (to be paid upon Declaration
of Acceptance) any and all liabilities, losses, damages, costs and expenses
(including without limitation reasonable attorneys' fees and expenses) from
which Purchaser shall be indemnified pursuant to the preceding sentence in
conjunction with Section 11 of the SPA and Section 13 of the SPA, i.e. (also)
with respect to the Shares in PropCo New General Partner, the Interests in
PropCo, the Shares in Seller 1 New General Partner and the Interests in Seller 1
(as if Purchaser had acquired the Shares in PropCo New General Partner, the
Interests in PropCo, the Shares in Seller 1 New General Partner and the
Interests in Seller 1 on the Closing Date).

                                   SECTION 11
                            UNDERTAKINGS OF SELLER 2

11.1           Seller 2 undertakes that so long as Purchaser or Seller 2 is
               entitled to accept an Irrevocable Offer, he will not do any of
               the following and will ensure that none of the following occurs:

               11.1.1 a negative balance of his Capital Account II; and

               11.1.2 no transfer of any Shares in PropCo New General Partner,
                      of any Interests in PropCo, of any Shares in Seller 1 New
                      General Partner and of any Interests in Seller 1 (or part
                      thereof) is made, permitted or approved and no agreement
                      for the same is entered into; and

               11.1.3 no pledge, encumbrance or other third party right in or
                      over any Shares in PropCo New General Partner, any
                      Interests in PropCo, any Shares in Seller 1 New General
                      Partner and any Interests in Seller 1 (or part thereof)
                      (other than those for the benefit of any member of the
                      W.P. Carey Group or the Third Party Lender) is created or
                      arises and no agreement for the same is entered into.

11.2           Purchaser shall, without undue delay, notify to Seller 2 in
               writing if any action is carried out or any claim made or
               threatened against Seller 2 which leads to Warranty claims
               against Seller 2.

11.3           Seller 2 shall not, and shall procure that he does not or does
               not allow to be done, any act or omission which would constitute
               a breach of the Warranties.

11.4           If Seller 2 wishes to do, or permits to be done, any action,
               matter or thing which if done would result in a breach of this
               Section 11 or becomes aware that any such action,

<PAGE>

                                                                            -20-

               matter or thing has been done, Seller 2 shall notify Purchaser in
               writing without undue delay.

11.5           If Seller 2 breaches any of the obligations of this Section 11,
               he is liable to Purchaser for performance (Erfullung) or damages
               (Schadensersatz) and Purchaser may deduct any damages from a
               Purchase Price.

                                   SECTION 12
                      RESTRICTIONS ON TRANSFER; UNDERTAKING

12.1           The Irrevocable Offers shall not expire with death of Seller 2,
               but shall bind the successor(s) of the deceased. The same shall
               apply if a legal person is merged, dissolved or otherwise ceases
               to exist, so that its legal successor(s) shall be bound by the
               Irrevocable Offers.

12.2           Notwithstanding the foregoing, any claims arising (i) out of or
               in connection with an Irrevocable Offer (until a Declaration of
               Acceptance) or (ii) out of or in connection with the Agreement
               (subsequent to a Declaration of Acceptance, as the case may be)
               may only be transferred with the prior consent of the respective
               other party hereto. The consent is not required (i) with regard
               to a transfer from the Purchaser to any entity controlled by W.P.
               Carey & Co. LLC or any of its affiliates by contract or otherwise
               and (ii) with regard to a transfer of Call II from the Purchaser
               to any third person by contract or otherwise.

12.3           Purchaser undertakes to restrict its business activities to the
               holding of interests in PropCo and Seller I and their general
               partners and any related activities thereto.

                                   SECTION 13
                                 FORM OF NOTICE

13.1           All notices or other communications hereunder shall be done in
               writing in the English language and delivered by courier or by
               facsimile to the person as authorized person to receive service
               (Zustellungsbevollmachtigter) at the addresses set forth below,
               or such other addresses as may be designated by the respective
               Offeror to the other party hereto in the same manner:

               13.1.1 As to the Seller 2:

                      HELLWEG DIE PROFI-BAUMARKTE GMBH UND CO. KG
                      Borussiastrasse 112
                      44149 Dortmund

<PAGE>

                                                                            -21-

                      Germany

                      with copies to:

                      Dipl.-Kfm. Michael Muller
                      Max-Eyth-StraBe 1
                      44141 Dortmund
                      Germany

                      and

                      Dr. Wolfgang Weber
                      Konigswall 26
                      44137 Dortmund
                      Germany

               13.1.2 As to the Purchaser:

                      W.P. Carey & Co. LLC
                      Attention: Director, Asset Management
                      50 Rockefeller Plaza, Second Floor
                      New York, NY 10020
                      USA
                      Fax: +1.212.492.8922

                      with a copy to:

                      Reed Smith LLP
                      Attention: Ruth S. Perfido, Esq.
                      599 Lexington Avenue, 29th Floor
                      New York, NY 10022
                      USA
                      Fax: +1.212.521.5450.

13.2           Purchaser and Seller 2 shall communicate any change of their
               respective addresses set forth in Clause 13.1 as soon as possible
               in writing to the respective other party hereto and their
               advisors.

                                   SECTION 14
                                 COSTS AND TAXES

14.1           With the exception of any trade tax (Gewerbesteuer) arising (i)
               out of the delivery of the Irrevocable Offers or (ii) out of the
               consummation of the transaction contemplated in the relevant
               Irrevocable Offer, which shall be borne by Seller 2, all transfer

<PAGE>

                                                                            -22-

               taxes and any other charges, costs and fees which result from the
               filings in compliance with regulatory requirements shall be borne
               by the Purchaser. Notwithstanding the foregoing, any German
               Property Transfer Tax (Grunderwerbssteuer) in connection with
               this Agreement shall be divided equally between Purchaser and
               Seller 2 provided, however, that any German Property Transfer Tax
               shall be borne solely by Purchaser if such tax obligations arise
               solely out of the change of the ownership structure in PropCo or
               Seller 1 initiated by Purchaser after Call I or Put have been
               accepted. The costs of the notarization shall be borne by the
               Purchaser.

14.2           Notwithstanding the foregoing, the relevant Offeror shall pay its
               own costs and expenses, including the costs of its legal and
               financial advisors, incurred in connection with the Irrevocable
               Offers provided, however, that any legal expenses incurred by
               Purchaser for due diligence exercises in connection with
               liability risks resulting out of the development activities of
               PropCo in the amount of E110,000.00 shall be borne by
               Seller 2. The costs of the notarization of a Declaration of
               Acceptance shall be borne by Seller 2.

                                   SECTION 15
                                FINAL PROVISIONS

15.1           The Irrevocable Offers are and the Declarations of Acceptance
               shall be written in the English language. Terms to which a German
               translation has been added shall be interpreted throughout the
               Irrevocable Offers in the meaning assigned to them by the German
               translation.

15.2           Section headings contained herein are inserted for convenience of
               reference only, shall not be deemed to be a part of the
               Irrevocable Offers for any purpose, and shall not in any way
               define or affect the meaning, construction or scope of any of the
               provisions hereof.

15.3           The Irrevocable Offers shall not be amended or supplemented.

15.4           The Irrevocable Offers constitute the full understanding of the
               relevant Offeror and the complete and exclusive statements of the
               terms and conditions of the Irrevocable Offers relating to the
               subject matter hereof and supersedes any and all prior agreements
               and understandings, whether written or oral, that may exist
               between Seller 2 and Purchaser with respect to the subject matter
               of the Irrevocable Offers or parts thereof.

15.5           Should any provision of an Irrevocable Offer be or become
               invalid, ineffective or unenforceable as a whole or in part, the
               validity, effectiveness and enforceability of the remaining
               provisions, once the relevant Irrevocable Offer has been
               accepted,

<PAGE>

                                                                            -23-

               shall not be affected thereby. The Offerors shall be under the
               obligation to replace any such invalid, ineffective or
               unenforceable provision to the extent permitted by law, by such
               valid, effective and enforceable provision as comes closest to
               the economic intent and the purpose of such invalid, ineffective
               or unenforceable provision. The aforesaid shall apply mutatis
               mutandis to any gap in the Irrevocable Offers.

15.6           The Irrevocable Offers and the Declarations of Acceptance shall
               be governed by, and construed in accordance with, the laws of
               Germany, excluding the German conflict of laws rules.

15.7           In the event of any dispute between the Offerors arising out of
               or in connection with the Irrevocable Offers, exclusive
               jurisdiction shall be, as far as legally permissible, with the
               competent courts in Berlin.

<PAGE>

                                                                            -24-

-------------------------------------
Place, Date

-------------------------------------
Reinhold Semer ("Seller 2")

-------------------------------------
HLWG TWO (GER) LLC ("Purchaser")EX-10.24

 

Exhibit 10.24

PROGRAM MANAGEMENT AGREEMENT

between

Tower Insurance Company of New York

and

CastlePoint Management Corp.

Amended and Restated

     This Agreement, entered into as of January 1, 2007 (the “Agreement”) by and between TOWER
INSURANCE COMPANY OF NEW YORK, a property and casualty insurance company domiciled in New York (the
“Company”), and CASTLEPOINT MANAGEMENT CORP., a Delaware corporation (“Manager”), each having
offices located at 120 Broadway, New York, N.Y. 10271.

PREAMBLE

     WHEREAS, Company and Manager entered into a Program Management Agreement dated April 4, 2006,
but now find it advisable to amend and restate such agreement; and

     WHEREAS, Company desires to appoint Manager as its manager for performing underwriting and
claims services with respect to the Traditional Program Business and Specialty Program Business and
Insurance Risk Sharing Business as set forth in this Agreement; and

     WHEREAS, Manager desires to perform such responsibilities;

     NOW, THEREFORE, Company and Manager, in consideration of the mutual promises herein contained
and for other good and valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, agree as follows:

1. Appointment.

     Company does hereby nominate, constitute, and appoint Manager as its manager for: (i) the
soliciting, underwriting, quoting, binding, issuing, and servicing of Company’s insurance policies
classified as Traditional Program Business and Specialty Program Business and Insurance Risk
Sharing Business as set forth in the schedule attached hereto as Exhibit A, as may be amended from
time to time (such insurance and any policies, contracts, binders, endorsements, certificates,
agreements, or evidence of insurance, individually and collectively, will be referred to as
“Policy” or “Policies” hereunder).

2. Authority. Manager is authorized to:

     2.1 Issue, or direct Company to issue, Policies subject to: (i) the scope and limits granted
in Exhibit A attached hereto; (ii) the terms and conditions (including exclusions) of

Page 1 of 16

 

Exhibit 10.24

forms of Policies prescribed by Company; (iii) applicable state insurance laws, rules, and
regulations; (iv) the underwriting guidelines approved by Company; (v) Company’s ultimate right to
veto the solicitation, underwriting, quoting, binding, and issuing of any Policy by Manager; (vi)
Company’s ultimate right to cancel any Policy subject to applicable governmental regulatory
requirements for cancellation and non-renewal; (vii) Company’s ultimate right to veto the
appointment by Manager of any agent, broker or producer, and the ultimate power of Company to
cancel any such agency pursuant to Section 2.4; (viii) Company’s right to approve all advertising
with respect to the Policies in which Company’s name is used.

     2.2 Collect, account, receipt for, and remit premiums on Policies that Manager writes on
behalf of Company in accordance with Section 2.1 and, as full compensation, to retain commissions
out of premiums so collected in amounts as specified in Exhibit A attached hereto. Manager agrees
to pay all costs and expenses of collection from insureds where premiums to be received by Manager
pursuant to this Agreement are not paid in full by the insured. Manager agrees that all premiums,
including return premiums received by Manager, are Company’s property and will be paid over to the
Company immediately following collection.

     2.3 Secure or obtain agents and producers to produce business. Company appointments will
follow upon Manager providing evidence that the agents and producers are lawfully licensed to
transact the type of insurance they are expected to write, are not serving on Company’s or
Manager’s board of directors and complete Company’s appointment process. The agents and producers
must meet the applicable compliance regulations for licensure.

     2.4 Terminate agents and producers.

     2.5 Investigate and settle claims as provided in Section 10 below and establish reserves for
such claims.

     2.6 Appoint properly licensed small third party insurers or their affiliates as Program
Underwriting Agents using Company policies on the condition that such small insurers participate as
a reinsurer on the Specialty Program Business and Insurance Risk Sharing Business they underwrite.
“Program Underwriting Agent” means an insurance intermediary that aggregates business from retail
and general agents and manages business on behalf of insurance companies, including functions such
as risk selection and underwriting, premium collection, policy form design and client service.

3. Performance.

     3.1 Manager hereby accepts the foregoing appointment and agrees faithfully to perform the
duties thereof in a professional manner as an agent of Company and to obey promptly such reasonable
instructions as it may receive from time to time from Company in accordance with this Agreement.

     3.2 If Manager commits a material breach of this Agreement, Company may, as one remedy but not
as an exclusive remedy, require its own employees or designated representatives to carry out
Manager’s duties hereunder. Manager shall reimburse Company for Company’s reasonable expenses,
including salaries, incurred for having Company’s employees or representatives perform such duties
or, at Company’s option, Manager shall pay such employees

Page 2 of 16

 

Exhibit 10.24

or representatives directly. Such reimbursement or direct payments shall be made by Manager within
five (5) days after Manager’s receipt of invoices of such expenses.

4. Expenses.

     No expenses or fees shall be paid pursuant to this Agreement. All expenses incurred by either
party shall be apportioned, allocated or paid at actual cost in accordance with the Traditional
Program Business Quota Share Reinsurance Agreement and the Specialty Program Business and Insurance
Risk Sharing Business Quota Share Reinsurance Agreement between the Company and CastlePoint
Reinsurance Company (CPRe) or the Traditional Program Business Pool Management Agreement and the
Specialty Program Business Pool Management Agreement between the Company and CastlePoint Insurance
Company (CPIC), as that term is defined in those agreements, as the case may be. Manager may,
however, seek reimbursement for any expenses it incurs in performing its functions hereunder from
either CPRe or CPIC as the case may be, the allocation of which shall comply with Regulation 30 of
the New York Insurance Laws (11 NYCRR 105-109).

5. Territory.

     Manager’s authority to solicit, quote, underwrite, bind, issue, or service Policies extends
only to insureds or prospective insureds located in the states specified in Exhibit A attached
hereto, subject to: (i) the applicable licensing authority of Company, (ii) Company having made and
received approval of all necessary regulatory filings and (iii) Manager obtaining licenses wherever
required for activities conducted by Manager pursuant to this Agreement.

6. Representations and Warranties of Manager. On the effective date hereof, during the
term of this Agreement, and for any period described in Section 14.5, Manager hereby represents and
warrants to Company as follows:

     6.1 Laws and Licenses. Manager has complied and will comply with all applicable laws,
rules, and regulations. Manager shall provide current copies of Manager’s licenses, which will be
maintained in Company’s records. Company will appoint Manager in all applicable states. Manager
will obtain and maintain at its own expense all licenses required for it to perform this Agreement.

     6.2 No Breach. This Agreement is a valid and binding obligation of Manager. The
execution and delivery of this Agreement and the consummation of the transactions contemplated
herein will not breach or conflict with Manager’s by-laws or certificate of incorporation, nor with
any agreement, covenant, or understanding (oral or written) to which Manager is bound, and will not
adversely affect the application for issuance or the validity of any license of Manager.

     6.3 Status. Manager is a duly organized and validly existing corporation in the State
of Delaware.

     6.4 Authorization. The execution, delivery, and performance of this Agreement by
Manager have been duly and properly authorized by it.

Page 3 of 16

 

Exhibit 10.24

7. Representations and Warranties of Company. On the effective date hereof, during the
term of this Agreement, and for any period described in Section 14.5, each Company hereby
represents and warrants to Manager as follows:

     7.1 Laws and Licenses. Company has complied and will comply with all applicable laws,
rules and regulations and shall, whenever necessary, obtain and maintain at its own expense all
licenses required for it to perform this Agreement.

     7.2 No Breach. This Agreement is a valid and binding obligation of Company. The
execution and delivery of this Agreement and the consummation of the transactions contemplated
herein will not breach or conflict with Company’s by-laws or articles of incorporation, nor with
any agreement, covenant, or understanding (oral or written) to which Company is bound, and will not
adversely affect the application for issuance or the validity of any license of Company.

     7.3 Status. Company is a duly organized and validly existing corporation in the State
of New York.

     7.4 Authorization. The execution, delivery, and performance of this Agreement by
Company have been duly and properly authorized by it.

8. Duties and Responsibilities. Subject to Company’s supervision and instructions, Manager
agrees to perform the following duties and services in addition to those otherwise enumerated in
this Agreement:

     8.1 Solicit, underwrite, quote, bind, issue, secure proper countersignature when required by
applicable laws, and service Policies on behalf of Company.

     8.2 Cancel Policies issued or underwritten by Manager in accordance with the terms of the
Policies and applicable state regulations.

     8.3 Issue Policies only on forms approved by Company and filed with and approved by regulatory
authorities wherever such filing and approval is required.

     8.4 Underwrite and issue Policies in accordance with the premium rates and underwriting
criteria and guidelines as approved by Company.

     8.5 Investigate and settle claims as provided in Section 10 below and establish reserves for
such claims.

     8.6 Maintain at Manager’s expense data processing systems and equipment, an office or offices
and a staff of employees sufficient in number and qualifications to perform the duties set forth in
this Agreement.

     8.7 Pay to Company any fines imposed by regulatory authorities, taxation authorities, and
their agents for data collection and advisory organizations, due to late filing or poor quality of
data provided by Manager.

Page 4 of 16

 

Exhibit 10.24

     8.8 Pay to Company any fines imposed by regulatory authorities upon Company due to the use of
unapproved forms or rates by Manager or due to other market conduct violations caused by Manager’s
willful misconduct.

     8.9 Maintain separately for Company and each other insurer with which Manager does business,
complete and current records and accounts, including underwriting files, which Manager shall retain
in accordance with Section 12 and any applicable laws.

     8.10 Refund within sixty (60) days of the end of each calendar month, return commissions on
Policy cancellations or premium reduction, in each case at the same rate at which such commissions
were originally retained.

     8.11 Collect, account, receipt for and promptly remit premiums on Policies that Manager writes
on behalf of Company in accordance with Section 2.1.

     8.12 Hold all monies, including premiums, return premiums, and monies received by Manager, in
a fiduciary capacity for Company. Except as otherwise authorized by this Agreement, Manager shall
maintain such monies in a separate and segregated bank account in a bank that is a member of the
Federal Reserve System and is insured by the Federal Deposit Insurance Corporation. This account
shall not be used for any purpose other than payments to or on behalf of Company. Any investment
income produced from this bank account shall vest and become the property of Manager.

     8.13 Comply with all regulatory requirements including, but not limited to, the cancellation,
non-renewal, or conditional renewal of policies.

     8.14 Return upon demand after termination of this Agreement, all unused Policies, forms, and
other property furnished to Manager by Company. Such items remain the property of Company. Manager
shall fully cooperate with and assist Company in recovering such items from third parties, if any.

     8.15 Exercise Manager’s authority through authorized employees of Manager or its affiliates.

     8.16 Not represent other companies except as permitted by Company.

     8.17 Exercise exclusive and independent control of Manager’s time and conduct.

9. Limitations of Authority.

     Notwithstanding the foregoing, all underwriting services provided to Company by Manager shall
be based upon the written criteria, standards and guidelines of Company which shall retain the
final authority over underwriting decisions including, but not limited to, acceptance, rejection,
cancellation and termination of risks.

Page 5 of 16

 

Exhibit 10.24

10. Claims.

     10.1 Manager shall or shall arrange to investigate, negotiate, and settle all Policy claims or
losses on behalf of Company; however, Manager shall obtain the prior approval of Company before
handling and settling any Policy claim or loss which is in excess of Fifty Thousand Dollars
($50,000) gross incurred loss. Manager shall determine coverage for claims; however, Manager shall
obtain the prior written approval of Company for the handling of litigation in which the Company is
named as a defendant or claims in which Manager seeks declaratory relief on behalf of Company. All
claims or losses shall be reported in monthly statements pursuant to Section 11 below. In
addition, Manager shall immediately notify Company in writing of any claim or loss as Company
requests upon receiving notice or knowledge of: (i) any Policy claim or loss in excess of Two
Hundred Fifty Thousand Dollars ($250,000) gross incurred loss; or (ii) any loss regardless of
incurred dollar amount involving the following: fatalities; brain stem/brain damage injuries;
spinal cord injuries; heart attacks; severe, non-accumulative hearing loss; severe,
non-accumulative vision loss; amputation of major body part; paraplegia; quadriplegia; serious
burns (i.e. second or third degree and/or burns over 50% of the body); non-union, compound,
comminuted, serious fractures; injury to the spine or pervasive nerve damage; class action suits;
allegations of criminal conduct by an insured or allegations of criminal conduct by an insured or
allegations of criminal conduct on the insured’s premises; bad faith claims or suits; demands in
excess of policy limits; actual or alleged violations of the Deceptive Trade Practices Act; actual
or alleged violations of the applicable State Insurance Codes; actual or alleged violation of law
by Manager; or litigation naming Company as a defendant. In determining gross incurred loss,
Manager shall consider the facts and circumstance of the claim or loss, Manager’s analysis of the
insured’s liability for the claim or loss, Manager’s analysis of damages resulting from the claim
or loss and Manager’s analysis of the applicability of coverage for the claim or loss. These
individually reported claims or losses should be updated semi-annually and more frequently upon the
occurrence of any material change in any claim or loss or any information previously reported to
Company. Company shall be immediately notified if Manager is closing a file on a reported claim or
loss and of the reason for this file closure. Failure to promptly notify Company of claims under
this Section 10.1 shall be considered a material breach of this Agreement and subject to all the
remedies provided herewith.

     10.2 Whenever Manager shall deem it prudent to engage legal counsel or loss adjusters to
protect Company’s interest regarding claims or losses, such services shall be provided only by
qualified attorneys-at-law and/or licensed loss adjusters selected by Manager, who have substantial
experience in the handling of claims litigation of the type involved. Upon execution of this
Agreement, Manager shall submit to Company for approval a list of the attorneys and loss adjusters
it intends to use. Such list shall be considered approved unless Company objects to any of such
firms or individuals within fourteen (14) days after receipt of such list. Any provision hereof to
the contrary notwithstanding, it is agreed that, with respect to any claim or loss of any amount,
Manager shall promptly furnish Company, or its designee, any additional claim or loss information
requested by Company with respect to a claim or loss pertaining to any Policy covered by this
Agreement, and it is further agreed with respect to any claim or loss of any amount as follows:

Page 6 of 16

 

Exhibit 10.24

     a. Company may assign an attorney of its own choice to assume the defense
of any claim or loss reported to Company and, in the event an attorney
has already been employed by Manager, the service of such attorney
which has already been employed by Manager shall be terminated by
Manager forthwith and Manager shall waive any conflict of interest
that may have been created by such attorney’s employment by Manager.

     b. In the event that Company is named as a defendant in any lawsuit,
Manager shall, as soon as it has notice or knowledge of such lawsuit,
immediately give written notice thereof to Company accompanied by a
copy of the complaint and any court papers related to such lawsuit.

     10.3 All claims services provided to Company by Manager shall be based upon the written
criteria, standards and guidelines of Company which shall retain the final authority over claims
decisions including, but not limited to, payment and non-payment of claims.

11. Accounting and Reporting Procedures. Manager shall:

     11.1 Within thirty (30) days after the end of each month, remit to Company all premiums
collected on Policies issued under the terms of this Agreement, less the commission due to Manager
in accordance with Exhibit A attached hereto. Manager may not offset balances due to Company
hereunder against balances due Manager under any other contract with Company;

     11.2 On behalf of Company supply accounting, underwriting, and claim bordereaux with copies to
Company, pursuant to their terms and conditions;

     11.3 With regard to business placed by Manager with Company hereunder, furnish to Company, in
electronic format, within thirty (30) days after the end of each month a report of written,
earned, and unearned premiums; losses and loss adjustment expenses paid and outstanding; loss and
loss adjustment expenses incurred; commissions earned by Manager;

     11.4 Provide detail and summary reports, in an electronic or printed medium, as are required
to meet all reporting requirements of state regulatory or taxation authorities, their managers for
data collection, and advisory organizations including but not limited to:

     a. Within thirty (30) days of the close of the calendar quarter: direct premiums
(written and earned); in force premiums; policy counts (written and in force); direct losses
and loss adjustment expenses including subrogation (paid and reserved); number of claims
open, closed with payment, and closed without payment; as prescribed by state regulatory
authorities.

     b. Within thirty (30) days of the close of the calendar quarter: direct written
premium, losses, and loss adjustment expense including subrogation (paid and reserved)
transaction data as prescribed by advisory organizations providing loss cost and policy
forms.

     c. Thirty (30) days prior to the prescribed deadline: the reports of direct premiums
(written and earned), losses, and loss adjustment expenses including salvage

Page 7 of 16

 

Exhibit 10.24

and subrogation (paid and reserved) as required by state regulatory data collection agents,
including but not limited to financial calls, unit statistical data, summary statistical
data, and detailed claim information for National Council on Compensation Insurance (NCCI),
Insurance Services Office (ISO), and National Association of Independent Insurers (NAII),
and various state-specific reporting requirements as necessary.

     11.5 By the first business day of February of each year, Manager shall provide Company with
any information Company may require in order to complete its statutory financial statements for the
prior year.

12. Books and Records.

     Manager shall keep such books and records as may be (i) reasonably requested by Company; or
(ii) required by law, rulings, or orders of the insurance departments of the states having
jurisdiction over: (a) Manager or Manager’s business or (b) any Policies. Manager shall make such
books and records available for examination, audit, and copying by the insurance departments of
such states and by Company, or by their authorized representatives. Company shall have the right
to examine and review at any reasonable time all books, records, files, and papers, including, but
not by way of limitation, claim files and underwriting files maintained and kept by Manager which
relate to this Agreement and the Policies. Manager shall institute and maintain retention and
disposal systems for claim files and underwriting files in accordance with procedures and
requirements as prescribed by law. All books and records of Manager shall be maintained at the
principal place of business of Manager and shall be complete, accurate, and up-to-date, and shall
reflect all monies paid or received by Agent and all transactions of Manager pursuant to this
Agreement. Anything to the contrary notwithstanding, all of the books, records, files, and papers
maintained and kept by Manager relating to underwriting and claims matters involving this Agreement
or the Policies, shall be and remain the sole and exclusive property of Company except that upon
termination of this Agreement, all right, title, and interest in and to all Policy renewals or
expirations and all records with respect to renewals and expirations shall automatically and
irrevocably transfer to and vest in Manager provided Manager has accounted for and has made
payments of all amounts due Company and continues to do so.

13. Indemnification.

     13.1 Manager shall indemnify and hold harmless Company from and against all losses, damages,
costs, expenses, claims, fines, penalties, or liabilities of any description suffered by Company
with respect to Manager or any Policies issued or underwritten by Manager, including, without
limitation, any attorney’s fees, in connection with or arising out of: (i) any violations by
Manager of laws, rules, or regulations to which it is subject; (ii) any material breach of any
warranty or representation of Manager made in this Agreement or any other material breach of this
Agreement by Manager; or (iii) any willful misconduct, gross negligence, or misrepresentation, of
Manager or of it officers, directors, employees, agents, sub-producers, or independent contractors.

     13.2 Company shall indemnify and hold harmless Manager from and against all losses, damages,
costs, expenses, claims, fines, penalties, or liabilities of any description suffered by Manager
with respect to Company or any Policies issued or underwritten by Company,

Page 8 of 16

 

Exhibit 10.24

including, without limitation, any attorney’s fees, in connection with or arising out of: (i) any
violations by Company of laws, rules, or regulations to which it is subject; (ii) any breach of any
warranty or representation of Company made in this Agreement or any other breach of this Agreement
by Company; or (iii) any alleged or actual misconduct, negligence, misrepresentation, or other acts
or failures to act of Company or of it officers, directors, employees, agents, sub-producers, or
independent contractors.

14. Termination of Agreement.

     14.1 This Agreement shall continue until terminated in accordance with Sections 14.2 through
14.5 below.

     14.2 This Agreement may be terminated immediately by either party upon giving written notice
to the other party via electronic, certified or registered mail in the event of:

     a. The misappropriation by either party of any funds or property belonging to the other
party;

     b. The fraud, gross negligence, or willful misconduct of the other party;

     c. The license or certificate of authority of the other party in their state of
domicile is canceled, non-renewed or suspended by any public authority;

     d. An assignment by the other party for the benefit of creditors; the dissolution or
liquidation of the other party; the appointment of a conservator, receiver, or liquidator
for a substantial part of the other party’s property; the institution of bankruptcy,
insolvency, or similar proceedings by or against the other party;

     e. Material breach by the other party of any provision of this Agreement;

     f. If any law or regulation of the federal, state, or local government of any
jurisdiction in which the other party is doing business shall render illegal or invalid any
transaction contemplated by this Agreement, or any term of this Agreement, this Agreement
may be terminated insofar as it applies to such jurisdiction by either party giving notice
to the other party to such effect or by either party giving notice to the other party to
such effect;

     g. Change in ownership of ten percent (10%) or more of the outstanding voting stock of
the other party, sale or transfer of the other party’s assets, merger of the other party,
or change or resignation of any principal officer or director of the other party;

     h. The licenses required of the other party for it to perform under this Agreement
expire, are terminated, or are not valid pursuant to the law of the State in which the other
party is transacting business on behalf of either party.

     14.3 This Agreement may be terminated at any time by mutual written agreement, or upon sixty
(60) days prior written notice by either Company or Manager.

Page 9 of 16

 

Exhibit 10.24

     14.4 If at any time either party sends notice of termination to the other party as provided in
Section 14.2 above or the Agreement is otherwise terminated as provided herein, the Manager shall
not solicit, underwrite, quote, bind, or issue any Policies or renew any existing Policies for
which the inception date or renewal date falls after the effective date of termination of this
Agreement, nor shall Manager cancel and rewrite any existing Policies.

     14.5 Unless otherwise indicated by this Agreement or either party otherwise notifies the other
party in writing, Manager’s duties and responsibilities under this Agreement shall survive
termination of this Agreement until such time as all Policies issued, underwritten, or serviced by
Manager pursuant to this Agreement have expired and all known losses under such Policies have been
paid or settled, have run off or otherwise have been disposed of in the judgment of Company, all
incurred but not reported loss reserves have been reduced to zero, and any amounts owed to Company
by others has been paid. The only compensation Manager shall receive for its performance of its
duties hereunder (both during and after the term of this Agreement) is set forth in Section 4.

     14.6 Upon termination of the Agreement, Manager shall, unless notified in writing to the
contrary by Company:

     a. Continue to represent Company for the purpose of servicing Policies placed by
Manager with Company which are in force on, or renewed at Company’s election, or as required
by law, after the date of termination of this Agreement, and Manager shall continue to
receive its normal compensation for such services.

     b. Issue and countersign appropriate endorsements on Policies in force, provided that
without prior written approval of Company, such endorsement shall not increase nor extend
Company’s liability nor extend the term of any Policy.

     c. Collect and receipt for premiums and retain commissions out of premiums collected as
full compensation.

     14.7 Any notice issued pursuant to this Section shall be effective on the day after it is
received by Manager.

15. Suspension of Manager’s Authority.

     15.1 In lieu of terminating this Agreement, Company may give written notice to Manager that
Company is immediately suspending Manager’s authority in its entirety or in any particular state to
bind new or renewal business, change any existing Policy and/or settle any claim during the
pendency of any of the following events:

     a. Manager is delinquent in payment of any monies due Company;

     b. Any dispute exists between Manager and Company regarding the existence of any of the
events listed in Section 14.2;

     15.2 Such suspension shall remain in effect until such delinquency is cured or dispute is
resolved and Manager receives written notification from Company to that effect. If such

Page 10 of 16

 

Exhibit 10.24

delinquency is not cured within fifteen (15) days from the date of receipt of written
notification by Manager of such delinquency, Company may exercise its right to terminate this
Agreement under Section 14.2.

     15.3 Unless otherwise notified in writing to the contrary by Company, Manager’s obligation
under this Agreement shall continue during the suspension of Manager’s authority under this
Agreement.

     15.4 Any notice of suspension issued pursuant to this Section shall be effective immediately.

16. Ownership of Expirations.

     The use and control of expirations will remain the property of Manager; and Company will not,
without consent of Manager, (a) refer or communicate to any other agent or broker, Company’s
records of insureds, expiration dates and other material information relating to specific risks
except for loss or claims information specifically requested by the insured or the insured’s
authorized representative nor (b) use such material information relating to specific risks for
purposes of solicitation.

17. Mediation; Arbitration and Injunctive Relief.

     17.1 If any dispute arises between Company and Manager with reference to the interpretation,
performance, or breach of this Agreement (whether the dispute arises before or after termination of
this Agreement) such dispute, if not resolved by the parties, must be submitted to non-binding
mediation. If such dispute is not resolved by non-binding mediation within sixty (60) days it will
then be submitted for decision to a panel of three arbitrators. Notice requesting arbitration will
be in writing and sent certified or registered mail, return receipt requested.

     17.2 One arbitrator shall be chosen by each party and the two arbitrators shall, before
instituting the hearing, choose an impartial third arbitrator who shall preside at the hearing. If
either party fails for any reason to appoint its arbitrator within thirty (30) days after being
requested to do so by the other party, the latter, after ten (10) days notice by certified or
registered mail of its intention to do so, may appoint the second arbitrator. If the two
arbitrators are unable to agree upon the third arbitrator within thirty (30) days of their
appointment, the third arbitrator shall be selected from a list of six individuals (three named by
each arbitrator) by a judge of the United States District Court having jurisdiction over the
geographical area in which the arbitration is to take place, or if that court declines to act, the
state court having general jurisdiction in such area.

     17.3 All arbitrators shall be active or retired disinterested officials of insurance or
reinsurance companies not under the control or management of either party to this Agreement and
will not have personal or financial interests in the result of the arbitration.

     17.4 Within thirty (30) days after notice of appointment of all arbitrators, the panel shall
meet and determine timely periods for briefs, discovery procedures, and schedules for hearings.

Page 11 of 16

 

Exhibit 10.24

     17.5 The panel shall be relieved of all judicial formality and shall not be bound by the
strict rules of procedure and evidence. Unless the panel agrees otherwise, arbitration shall take
place in New York, New York. Insofar as the arbitration panel looks to substantive law, it shall
consider the law of the State of New York. The decision of any two arbitrators when rendered in
writing shall be final and binding. The panel is empowered to grant interim relief as it may deem
appropriate.

     17.6 The panel shall interpret this Agreement as an honorable engagement rather than merely a
legal obligation and shall make its decision considering the custom and practice of the applicable
insurance and reinsurance businesses within sixty (60) days following the termination of the
hearing unless the parties consent to an extension. Judgment upon the award may be entered in any
court having jurisdiction thereof.

     17.7 Punitive damages will not be awarded. The arbitrators may, however, at their discretion
award such other costs and expenses as they deem appropriate, including but not limited to
attorneys’ fees, the cost of arbitration, and arbitrators’ fees, to the extent permitted by law.

     17.8 It is understood and agreed that in the event of any breach or threatened breach, Company
may apply to a court of competent jurisdiction for, and shall be entitled to, injunctive relief
from such court, without the requirement of posting a bond or proof of damages, designed to cure
existing breaches and to prevent a future occurrence or threatened future occurrence of like
breaches on the part of Manager. It is further understood and agreed that the remedies and
recourses herein provided shall be in addition to, and not in lieu of, any other remedy or recourse
which is available to Company either at law or in equity in the absence of this paragraph including
without limitation the right to damages.

18. Miscellaneous.

     18.1 This Agreement may be revised by mutual agreement of Manager and Company and such
revision shall be evidenced by a written agreement duly executed by authorized representatives of
Manager and Company, which specifies the effective date thereof.

     18.2 Manager shall not have authority to represent Company on any exclusive basis with respect
to any policy form, line, or class or subclass of business, unless otherwise authorized in writing
by Company.

     18.3 Manager shall not commit Company to any expenses or obligations not specifically provided
for herein without the prior written permission of Company.

     18.4 Company shall have the right to oversee and supervise the operation of this Agreement,
including but not limited to the right at all reasonable times to have access to and to copy at
Company’s expense Manager’s books and records as they relate to this Agreement, which rights shall
survive the termination or expiration of this Agreement. The director or commissioner of insurance
of any state where Manager issues Policies on behalf of Company shall have at all reasonable times
the right of access to all books, records, and bank account of Manager in a form usable by such
official.

Page 12 of 16

 

Exhibit 10.24

     18.5 During the term of this Agreement, Manager shall obtain and maintain in full force and
effect, at its expense, fidelity insurance with a minimum policy limit of $1,000,000, errors and
omissions insurance with a minimum policy limit of $2,000,000, directors and officers insurance
with a minimum policy limit of $2,000,000, and general liability insurance with a minimum policy
limit of $1,000,000 and on such terms as are reasonably acceptable to Company. Manager shall
furnish Company with copies of the certificates of insurance for such insurance, and shall not
cancel or amend any such insurance without Company’s prior written consent.

     18.6 Manager shall provide to Company, copies of its quarterly financial reports and annual
audited financial reports.

     18.7 If Manager fails in any respect to fulfill its duties and responsibilities under this
Agreement, then the expense incurred by Company in order to fulfill Manager’s duties and
responsibilities under this Agreement will be fully reimbursed by Manager.

     18.8 This Agreement may not be directly or indirectly assigned by either party in whole or in
part, nor may Manager appoint a sub managing general Manager.

     18.9 Any provision of this Agreement which conflicts with applicable law or regulation will be
amended to the minimum extent necessary to effectuate compliance with such law or regulation.

     18.10 Manager is an independent contractor, not an employee of Company, and nothing in this
Agreement shall be construed to create an employer/employee relationship between Company and
Manager.

     18.11 This Agreement shall be construed in accordance with the laws of the State of New York.

     18.12 Neither Company nor Manager shall disclose material details of this Agreement and the
Policies without the prior consent of the other party. However, this restriction will not apply to
disclosures made by Company or Manager to its agents, producers, shareholders, policyholders,
auditors, accountants, arbitrators, legal counsel, or other third parties as required in the
ordinary course of business, nor to disclosures required by arbitration panels, governmental
agencies, regulatory authorities, or courts of law.

     18.13 Failure of either party to enforce compliance with any term or condition of this
Agreement shall not constitute a waiver of such term or condition. No waiver of any breach or
default hereunder shall be valid unless in writing and signed by the party giving such waiver, and
no such waiver shall be deemed a waiver of any subsequent breach or default of the same or similar
nature.

     18.14 Manager acknowledges and agrees that it will benefit from this Agreement and that a
breach by it of the covenants contained herein would cause Company irreparable damages that could
not adequately be compensated for only by monetary compensation. Manager shall notify Company in
writing via electronic, certified or registered mail, within five (5) days if there is a change in
ownership of ten percent (10%) or more of the outstanding voting stock of

Page 13 of 16

 

Exhibit 10.24

Manager, sale or transfer of all Manager’s assets, merger of Manager, or change of any
principal officer or director of Manager including, but not limited to, resignation.

     18.15 Any notice or other communications required or permitted hereunder shall be sufficiently
given if sent by electronic, certified or registered mail, postage prepaid, if to Company,
addressed to Tower Insurance Company of New York, 120 Broadway, 31st Floor, New York, New York,
10271, Attention: Stephen Kibblehouse, General Counsel, and if to Company addressed to CastlePoint
Management Corp., 120 Broadway, 17th Floor, New York, NY 10271, Attention: General Counsel or such
other address as notified by either party to the other.

     18.16 Notwithstanding any other provisions of this Agreement, the business and affairs of
Company shall be managed by its board of directors, and, to the extent delegated by the board, by
its appropriately authorized officers. The board of directors and officers of Manager shall not
have any management prerogatives with respect to the business affairs and operations of the
Company.

     IN WITNESS WHEREOF, the parties have caused this Agreement to be executed as of the date first
written above, subject to the satisfaction of New York Insurance Law § 1505, including any
conditions such regulators may impose on the terms of this Agreement subsequent to the date hereof.

CASTLEPOINT MANAGEMENT CORP.

By: /s/ Joel Weiner

Title: SVP & CFO

TOWER INSURANCE COMPANY OF NEW YORK

By: /s/ Francis Colalucci

Title: SVP & CFO

Page 14 of 16

 

Exhibit 10.24

EXHIBIT A

SCHEDULE OF AUTHORITY

Manager is only authorized to accept or bind business, as defined in Section A below, subject to
the amounts and stipulations indicated below. Amounts in excess of the authorized limits or
classifications must be referred to Company for review and approval prior to binding.

     A. AUTHORIZED BUSINESS. Any Specialty Program Business and Insurance Risk Sharing
Business, or Traditional Program Business, as defined below:

     1. “Specialty Program Business” as used herein shall mean all Program Business other than
Traditional Program Business or Traditional Program Business that Tower and CPIC agree shall be
deemed Specialty Program Business. “Program Business” used herein means narrowly defined classes
of business that are underwritten on an individual policy basis by Program Underwriting Agents on
behalf of insurance companies. Traditional Program Business shall mean blocks of Program Business
in excess of $5 million in gross written premium that Tower has historically underwritten,
consisting of non-auto related personal lines and the following commercial lines of business:
retail stores and wholesale trades, commercial and residential real estate, restaurants, grocery
stores, office and service industries, and artisan contractors. “Program Underwriting Agent” shall
mean an insurance intermediary that aggregates business from retail and general agents and manages
business on behalf of insurance companies, including functions such as risk selection and
underwriting, premium collection, policy form design and client service.

     2. “Insurance Risk Sharing Business” means various risk sharing arrangements such as (i)
pooling or sharing of premiums and losses between CPIC or Tower on the one hand and other insurance
companies on the other hand based upon their respective percentage allocations or (ii) appointing
other third party insurance companies as Program Underwriting Agents with such third party
insurance companies assuming through reinsurance a portion of the business they produce as Program
Underwriting Agents.

Manager must obtain specific written consent from Company to write any type of insurance risk
sharing business.

     3. “Traditional Program Business” shall mean blocks of Program Business in excess of $5
million in gross written premium that Tower has historically underwritten, consisting of non-auto
related personal lines and the following commercial lines of business: retail stores and wholesale
trades, commercial and residential real estate, restaurants, grocery stores, office and service
industries, and artisan contractors.

Page 15 of 16

 

Exhibit 10.24

     B. GROSS NET WRITTEN PREMIUM LIMIT. A maximum of $50,000,000 unless Manager obtains
the prior written consent of Company. Gross Net Written Premium shall mean gross written premium
of Company less returned premium for cancellations and reductions.

     C. POLICY LIMITS AND COVERAGE CLASSIFICATIONS.

Small Market Business, Middle Market Business and Large Lines Real Estate General Liability
Business.

	 	 	 
	Coverage	 	Limit
	Commercial Property

(including Equipment Breakdown)

	 	$30 Million
	Commercial General Liability

	 	$1 Million per Occurrence / $2 Million

Aggregate

The above coverages are provided on ISO forms and on certain independent manuscript forms to be
agreed.

No other classes of insurance may be written on Company’s insurance policies.

     D. TERRITORIAL LIMITATIONS. Manager shall not issue any policy in any jurisdiction
other than the authorized states defined as those states in which Company is licensed and has filed
and approved rates and policies. Company at its own discretion may limit or revoke Manager’s
authority as regards any particular state.

Page 16 of 16

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