Document:

EX-10.1

January 30, 2013

Mr. Joseph Giovanniello, Jr.

40 Van Arsdale Place

Manhasset, NY 11030

Dear Joe:

We are pleased that you will serve in the position of Senior Vice President—Corporate and
Regulatory Affairs of Ladenburg Thalmann Financial Services Inc. (“LTFS”) effective as of
January 30, 2013 (the “Effective Date”) and will continue to serve as Senior Vice President
and General Counsel of Ladenburg Thalmann & Co. Inc. (“LTCO”). You shall have such duties
and authorities customarily associated with such position in companies the nature and size of LTFS
and LTCO and shall report to LTFS’ President and CEO with respect to your LTFS duties and to LTCO’S
Co-Presidents and CEO’s with respect to your LTCO duties. Your office will be located at LTCO’S
corporate headquarters in New York City, New York. Unless earlier terminated with or without
“Cause,” “Disability”, “Good Reason” or death, as such capitalized terms are defined below, in
which case the Employment Period shall terminate at the close of business on the last day of your
employment, the term of this employment shall continue for an initial term ending December 31, 2014
(the “Initial Term”), and shall be automatically renewed for successive one (1) year terms
(each such term, a “Renewal Term”) unless you or LTFS gives to the other party written
notice of such party’s intention not to renew no later than sixty (60) days prior to the end of the
Initial Term or the applicable Renewal Term, as the case may be (the Initial Term together with any
and all Renewal Terms are hereinafter collectively referred to as the “Employment Period”).

During the Employment Period, you will receive an annual base salary, effective as of January
1, 2013, which shall not be less than $250,000 (“Base Salary”), paid in accordance with
LTCO’S customary payroll practices (but in no event less frequently than semi-monthly), and which
shall be subject to annual review for increase (but not decrease). After any such increase, “Base
Salary” as used in this letter agreement shall thereafter refer to the increased amount. During the
Employment Period, you will also be eligible for an annual discretionary bonus (the
“Bonus”). Any Bonus shall be paid to you in cash at the same time as other LTFS’ senior
executives are paid bonuses for the applicable performance period, but in all events no later than
March 15th of the calendar year following the year for which the bonus is earned.

During the Employment Period, you will be entitled to participate in all employee benefit and
perquisite plans, programs and policies (including, without limitation, medical, dental, life and
disability insurance and the Qualified Employee Stock Purchase Plan) that LTCO offers to its
employees. LTCO will pay for the costs of medical and dental insurance for you and your eligible
family members. Nothing herein shall prevent LTCO from changing or amending such plans, programs
or policies provided such changes apply generally to all employees.

LTCO will also grant you four (4) weeks of paid vacation time per calendar year which shall
accrue in accordance with LTCO’S policies. During the Employment Period, LTCO will pay for your
professional association dues (e.g., New York Bar), as well as all expenses related to maintaining
your law license or any other professional licenses. These expenses include the cost of continuing
education courses/seminars along with related travel costs. During the Employment Period, you
shall be entitled to reimbursement by LTCO of your business expenses in accordance with LTCO’S
policies.

As an employee and following the termination of the Employment Period, you are required to
maintain the confidentiality of all trade secrets and confidential or proprietary information,
knowledge or data relating to LTFS or any of its subsidiaries or affiliates (collectively, the
“LTFS Companies”), which shall have been obtained by you during your employment by any of
the LTFS Companies and which is not generally available public knowledge or publicly known within
the relevant trade or industry (other than by acts by you in violation of this letter agreement).
Except as may be required or appropriate in connection with you carrying out your duties under this
letter agreement, you shall not, without the prior written consent of LTFS, communicate or divulge
any such trade secrets, information, knowledge or data to anyone other than any of the LTFS
Companies and those designated by LTFS or on behalf of LTFS in the furtherance of its business or
to perform duties thereunder; provided that you shall be permitted to disclose such information as
may otherwise be required by law or any legal process, or as is necessary in connection with any
adversarial proceeding against any of the LTFS Companies (in which case you shall use your
reasonable best efforts in cooperating with LTFS in obtaining a protective order against disclosure
by a court of competent jurisdiction) or in connection with the enforcement of this letter
agreement, the indemnification agreement, any equity award agreement or any other agreement between
you and any LTFS Company.

For a period of two (2) years following the termination of your employment with LTFS, you
shall not, directly or indirectly, individually or as an employee, partner, consultant, officer,
director or owner or in any other capacity whatsoever of or for any person, firm, partnership,
company or corporation, other than any of the LTFS Companies:

hire, recruit, attempt to hire, solicit, or assist others in recruiting or hiring, in or
with respect to the Geographical Areas, any person who is an executive, employee, customer,
consultant or Registered Representative of any of the LTFS Companies or induce or attempt to
induce any such executive, employee, customer, consultant or Registered Representative to
terminate his employment, relationship, affiliation or services with any of the LTFS
Companies or to take employment with, or utilize the services of, another party;
provided, however, that this clause shall not apply to the extent that the
executive, employee, customer, consultant, contractor or Registered Representative
approaches you or any of your employees, agents or affiliates on his, her or its own
initiative as a result of general advertisement or general solicitation (whether via e-mail,
the World Wide Web, television, any print media or otherwise) that is not specifically
targeted at such executive, employee, customer, consultant, contractor or Registered
Representative.

For purposes of this letter agreement, “Geographical Areas” means all cities, counties
and states of the United States, and all other countries in which any of the LTFS Companies or
affiliates are conducting more that incidental business at the time Employee first engages in the
Business in that geographic area, whether or not any of the LTFS Companies has an actual physical
presence in such location. You hereby acknowledge that (i) the scope and period of restrictions
and the Geographical Area to which the restrictions imposed in this non-solicitation provision
applies are fair and reasonable and are reasonably required for the protection of the LTFS
Companies, (ii) this letter agreement accurately describes the business to which the restrictions
are intended to apply and (iii) the obligations and restrictions provided for herein are an
integral part of the consideration motivating LTFS to enter into this letter agreement. It is the
intent of the parties that the provisions of this non-solicitation provision will be enforced to
the fullest extent permissible under applicable law. If any particular provision or portion of
this non-solicitation provision is adjudicated to be invalid or unenforceable, the letter agreement
will be deemed amended to revise that provision or portion to the minimum extent necessary to
render it enforceable. Such amendment will apply only with respect to the operation of this
non-solicitation provision in the particular jurisdiction in which such adjudication was made.

For purposes of this letter agreement, “Cause” means: (i) conviction of, or the entry
of a plea of guilty or nolo contendere to, a felony, (ii) alcoholism or drug addition which
materially impairs your ability to perform your duties hereunder, (iii) continued,
intentional and willful failure to substantially and materially perform your material duties and
responsibilities hereunder after LTFS provides you a written notice specifically identifying the
manner in which you have failed to materially perform your duties and you have not cured such
failure within 30 days of such notice, (iv) willful and deliberate misconduct by you that results,
or is reasonably likely to result, in material and demonstrative harm to any LTFS Company or (v)
substantial impairment from performing your duties for a period of longer than sixty (60)
consecutive days or more than 120 days during the Employment Period as a result of an action
against you taken by a regulatory body or self-regulatory agency. For purposes of this letter
agreement, “Disability” means, as a result of your incapacity due to physical or mental
illness, you have been substantially unable to perform your normal duties hereunder for an entire
period of six consecutive months, and within thirty (30) days after written notice of termination
is given to you by LTFS after such six-month period, you shall not have returned to the substantial
performance of your duties on a full-time basis.

For purposes of this letter agreement, “Good Reason” means: (i) a material diminution
in your duties or responsibilities, (ii) removal of you from the position of Senior Vice
President—Corporate and Regulatory Affairs of LTFS, (iii) a reduction in your Base Salary, (iv)
relocation of your office to a location outside of New York City (other than in connection with
travel necessary to perform your duties), or (v) a material breach by LTFS of this letter
agreement, the indemnification agreement or any equity agreement, including, without limitation,
the failure of any successor to all or substantially all of the assets of the LTFS Companies to
assume LTFS’ obligations under this letter agreement and the indemnification agreement.
Notwithstanding the foregoing, you shall not be entitled to terminate your employment for Good
Reason unless you provide LTFS with written notice of the events giving rise to Good Reason no
later than 90 days after you learn of such event(s) and LTFS fails to fully cure such events within
30 days of receipt of such notice.

In the event that your employment is terminated by LTFS without “Cause,” or by you for “Good
Reason” during the Employment Period (other than any termination resulting from your employment by
another LTFS Company) or in the event the Initial Term or any Renewal Term is not renewed by LTFS,
you shall be entitled to receive (i) as a severance payment an amount equal to the sum of your
annual Base Salary, payable in a lump sum within 30 days following your termination date; (ii) full
vesting of any outstanding equity and/or long-term incentive awards, with any vested stock options
or stock appreciation rights remaining exercisable for the earlier of one (1) year following your
termination date or the remainder of their term; and (iii) continued participation for you and your
eligible dependents in any medical and/or dental plan you were participating in immediately prior
to your termination date for 18 months following the termination date at the applicable employee
cost; provided, however, that if you or your eligible dependents become eligible to
participate in any other medical and/or dental plan at any point during such 18 month period, then
you shall become responsible for the full cost of such medical and/or dental plan coverage as of
such earlier date; and further provided that the payments and entitlements under clauses (i), (ii)
and (iii) shall be conditioned upon your execution of a release and waiver in favor of the LTFS
Companies (which release shall not contain any restrictive covenants other than the ones set forth
in this letter agreement and shall not include a release of claims by you with respect to (1) any
rights to enforce this letter agreement, the indemnification agreement, any equity award agreement
or any other agreement between you and any LTFS Company, (2) any rights which arise after the date
you execute such release, (3) any rights to vested or accrued benefits or entitlements under any
applicable plan, policy, program, arrangement of, or other agreement with, any LTFS Company, (4)
any rights as a shareholder of any LTFS Company or (5) any rights to indemnification and/or
advancement of expenses under applicable law or any corporate governance document of any LTFS
Company or any right to coverage under any applicable directors’ and officers’ liability insurance
policies of any LTFS Company).

In the event your employment terminates upon your death or Disability, you (or your estate)
shall be entitled to receive: (i) a pro-rata bonus for the year of termination based on your Bonus
for the prior year determined by multiplying such amount by a fraction, the numerator of which is
the number of days you were employed by LTFS during the calendar year and the denominator of which
is 365; (ii) full vesting of any outstanding equity and/or long-term incentive awards, with any
vested stock options or stock appreciation rights remaining exercisable for the earlier of one (1)
year following your termination date or the remainder of their term; and (iii) continued
participation for you (in the case of Disability) and your eligible dependents in any medical
and/or dental plan you were participating in immediately prior to your termination date for 18
months following the termination date at the applicable employee cost; provided,
however, that if you or your eligible dependents become eligible to participate in any
other medical and/or dental plan at any point during such 18 month period, then you shall become
responsible for the full cost of such medical and/or dental plan coverage as of such earlier date.

For all terminations, you shall also be entitled to: (i) Base Salary accrued through the date
of termination, continued vesting of equity and benefits through the date of termination (which in
the case of a notice of non-renewal of the Initial Term or any Renewal Term, shall be the last day
of the applicable term) and reimbursement of any unreimbursed business expenses, (ii) if not for
“Cause”, payment of any Bonuses declared prior to the date of termination for any performance
periods which have ended prior to the date of termination, but which remain unpaid as of the date
of termination, and (iii) your rights under the indemnification agreement attached hereto as Annex
B, as amended from time to time.

Upon a Change in Control, all your outstanding equity awards shall immediately vest in time
for you to participate in such transactions, with any vested stock options which survive such
transaction remaining outstanding for the earlier of one (1) year following the Change in Control
or the remainder of their term. For purposes of this letter agreement, “Change in Control”
is defined on Annex A. As of the Effective Date, LTFS agrees to enter an indemnification
agreement with you in the form attached hereto as Annex B.

Except as otherwise expressly provided in this letter agreement, there is no requirement for
you to give prior notice to LTFS that you are voluntarily terminating your employment (and a
voluntary termination by you shall not be deemed to be a breach of this letter agreement) and there
are no restrictions on your post-employment activities.

In the event of termination of your employment, you shall be under no obligation to seek other
employment and there shall be no offset against any amounts, benefits or entitlements due to you
hereunder on account of any remuneration or benefits provided by any subsequent employment you may
obtain except with respect to health and/or dental coverage as set forth herein.

This letter agreement contains all of the terms of your employment on which we have agreed,
and cannot be changed or terminated except by a writing signed by an officer of LTFS and you. No
verbal representation or commitment concerning the terms of your employment (beyond the terms set
forth in this letter agreement) will be binding. Any waiver by any person of any provision of this
letter agreement shall be effective only if in writing, specifically referencing the provision
being waived, and signed by the party against whom the wavier is being enforced (which in the case
of LTFS, shall be by an officer of LTFS). This letter agreement supersedes all prior verbal and/or
written communications between you, on the one hand, and LTFS, on the other hand, with respect to
your employment. In the event of a conflict between any provision of this letter agreement and any
provision of any plan, policy, program or arrangement of, or any other agreement with, any LTFS
Company, this letter agreement shall control.

This letter agreement shall be binding upon and inure to the benefit of you, LTFS and LTCO and
your respective successors, assigns, and in your case, heirs. No rights or obligations of LTFS or
LTCO under this letter agreement may be assigned or transferred by LTFS or LTCO without your prior
written consent, except that such rights and obligations may be assigned or transferred pursuant to
a merger or consolidation in which LTFS or LTCO is not the continuing entity, or a sale,
liquidation or other disposition of all or substantially all of the assets of the LTFS Companies,
provided that the assignee or transferee is the successor to all or substantially all of the assets
of the LTFS Companies and assumes the liabilities, obligations and duties of LTFS and LTCO under
this letter agreement, either contractually or as a matter of law, on the date of the closing of
such transaction. In the event of your death while any payments, benefits or entitlements remain
due to you hereunder, such payment, benefit or entitlement shall be paid or provided to your
designated beneficiaries (or if you have not designated a beneficiary, to your estate).

This letter agreement shall be construed in accordance with and governed for all purposes by
the laws of the State of New York applicable to contracts executed and to be wholly performed
within such state. In the event that any provision or portion of this letter agreement shall be
determined to be invalid or unenforceable for any reason by a court of competent jurisdiction or an
arbitrator (designated in accordance with this letter agreement), the remaining provisions or
portions of this letter agreement shall be unaffected thereby and shall remain in full force and
effect to the fullest extent permitted by law. This letter agreement may be signed in any number
of counterparts, each of which shall be an original but all of which together shall constitute one
and the same instrument. If any contest or dispute arises between the parties with respect to this
letter agreement, the indemnification agreement or any equity agreement, such contest or dispute
shall be submitted to binding arbitration for resolution in New York, New York in accordance with
the rules and procedures of the Financial Industry Regulatory Authority then in effect. The
decision of the arbitrator shall be final and binding on both parties, and any court of competent
jurisdiction may enter judgment upon the award.

Any notice, request or other communication given in connection with this letter agreement
shall be in writing and shall be deemed to have been given (i) when personally delivered to the
recipient, (ii) three days after mailing by certified or registered mail, postage prepaid, return
receipt requested or (iii) two days after being sent by a nationally recognized overnight courier
(provided that a written acknowledgement of receipt is obtained by the overnight courier), to the
party concerned, which to you, shall be addressed to your home address in LTCO’S records and, if to
LTFS, shall be addressed to our corporate headquarters in Miami to the attention of the President
and CEO and, if to LTCO, shall be addressed to the corporate headquarters in New York City to the
attention of the President and CEO.

Notwithstanding anything to the contrary in this Agreement or elsewhere, if you are a
“specified employee” as determined pursuant to Section 409A of the Internal Revenue Code of 1986,
as amended and its implementing regulations and guidance (“Section 409A”), as of the date
of your “separation from service” (within the meaning of Final Treasury Regulation 1.409A-1(h)) and
if any payment or benefit provided for in this letter agreement or otherwise both (x) constitutes a
“deferral of compensation” within the meaning of Section 409A and (y) cannot be paid or provided in
the manner otherwise provided without subjecting you to “additional tax”, interest or penalties
under Section 409A, then any such payment or benefit that is payable during the first six months
following your “separation from service” shall be paid or provided to you in a cash lump-sum, with
interest at LIBOR, on the first business day of the seventh calendar month following the month in
which your “separation from service” occurs.  In addition, any payment or benefit due upon a
termination of your employment that represents a “deferral of compensation” within the meaning of
Section 409A shall only be paid or provided to you upon a “separation from service”. 
Notwithstanding anything to the contrary in this letter agreement or elsewhere, any payment or
benefit under this letter agreement that is exempt from Section 409A pursuant to Final Treasury
Regulation 1.409A-1(b)(9)(v)(A) or (C) shall be paid or provided to you only to the extent that the
expenses are not incurred, or the benefits are not provided, beyond the last day of your second
taxable year following your taxable year in which the “separation from service” occurs; and
provided further that such expenses are reimbursed no later than the last day of the third taxable
year following your taxable year in which the “separation from service” occurs.   Finally, for the
purposes of this letter agreement, amounts payable under this letter agreement shall be deemed not
to be a “deferral of compensation” subject to Section 409A to the extent provided in the exceptions
in Treasury Regulation Sections 1.409A-1(b)(4) (“short-term deferrals”) and (b)(9) (“separation pay
plans,” including the exception under subparagraph (iii)) and other applicable provisions of
Treasury Regulation Section 1.409A-1 through A-6. 

This letter agreement shall be effective on both parties from the date first written above.

We are most excited about your continued employment with LTFS and LTCO and believe that you
will continue to make a significant contribution to the firm.

Sincerely,

	 	 	 
	LADENBURG THALMANN FINANCIAL
	SERVICES INC.	 	 
	By:/s/ Richard J. Lampen

	Name:

Title:

	 	Richard J. Lampen

President and Chief Executive Officer

LADENBURG THALMANN & CO. INC.

	 	 	 
	By: /s/ David Rosenberg

	Name:

Title:

	 	David Rosenberg

Co-President and Chief Executive Officer

Accepted:

/s/ Joseph Giovanniello Jr.

Joseph Giovanniello, Jr.

1

Annex A

“Change in Control” shall mean the occurrence of one of the following events:

	 	(i)	 	consummation of a reorganization, merger or consolidation, sale, disposition of all or
substantially all of the assets or stock or any other similar corporate event of LTFS (a
“Business Combination”), in each case, unless following such Business Combination, all or
substantially all of the individuals or entities who were the beneficial owners,
respectively, of LTFS voting stock entitled to vote generally in the election of directors
immediately prior to such Business Combination beneficially own, directly or indirectly,
more than 50% of, respectively, the then outstanding voting securities entitled to vote
generally in the election of directors, as the case may be, of the corporation resulting
from such Business Combination (including, without limitation, a corporation which as a
result of such transaction owns LTFS’s stock or all or substantially all of its assets
either directly or through one or more subsidiaries); or

	 	(ii)	 	approval by the board of directors of LTFS of a complete dissolution or liquidation of
LTFS; or

	 	(iii)	 	any “person” (as such term is defined in Section 3(a)(9) of the Securities Exchange
Act of 1934 (the “Exchange Act”) and as used in Section 13(d)(3) and 14(d)(2) of the
Exchange Act), other than Dr. Phillip Frost, any member of his immediate family, and any
“person” or “group” (as used in Section 13(d)(3) of the Exchange Act) that is controlled by
Dr. Frost or any member of his immediate family, any beneficiary of the estate of Dr.
Frost, or any trust, partnership, corporate or other entity controlled by any of the
foregoing, is or becomes, after the Effective Date, a “beneficial owner” (as defined in
Rule 13d-3 under the Exchange Act), directly or indirectly, of securities representing 50%
or more of the combined voting power of LTFS’ outstanding securities eligible to vote for
election of the board of directors of LTFS.

2

Annex B

INDEMNIFICATION AGREEMENT

This Agreement, made and entered into effective as of the 30th day of January, 2013
(“Agreement”), by and between Ladenburg Thalmann Financial Services Inc., a Florida corporation
(“Corporation”), and Joseph Giovanniello, Jr. (“Indemnitee”):

WHEREAS, highly competent persons recently have become more reluctant to serve publicly-held
corporations as directors, officers, or in other capacities, unless they are provided with better
protection from the risk of claims and actions against them arising out of their service to and
activities on behalf of such corporation; and

WHEREAS, the current impracticability of obtaining adequate insurance and the uncertainties
related to indemnification have increased the difficulty of attracting and retaining such persons;
and

WHEREAS, the Board of Directors of the Corporation (“Board”) has determined that the inability
to attract and retain such persons is detrimental to the best interests of the Corporation’s
stockholders and that such persons should be assured that they will have better protection in the
future; and

WHEREAS, it is reasonable, prudent and necessary for the Corporation to obligate itself
contractually to indemnify such persons to the fullest extent permitted by applicable law so that
such persons will serve or continue to serve the Corporation free from undue concern that they will
not be adequately indemnified; and

WHEREAS, this Agreement is a supplement to and in furtherance of Article VII of the By-laws of
the Corporation, and Article XI of the Articles of Incorporation of the Corporation, as amended,
and any resolutions adopted pursuant thereto and shall neither be deemed to be a substitute
therefor nor to diminish or abrogate any rights of Indemnitee thereunder; and

WHEREAS, Indemnitee is willing to serve and to take on additional service for or on behalf of
the Corporation on the condition that he or she be indemnified according to the terms of this
Agreement;

NOW, THEREFORE, in consideration of the premises and the covenants contained herein, the
Corporation and Indemnitee do hereby covenant and agree as follows:

1. Definitions. For purposes of this Agreement:

1.1 “Change in Control” means a change in control of the Corporation occurring after
the date hereof of a nature that would be required to be reported in response to Item 6(e) of
Schedule 14A of Regulation 14A (or in response to any similar item on any similar schedule or form)
promulgated under the Securities Exchange Act of 1934, as amended (“Act”), whether or not the
Corporation is then subject to such reporting requirement provided, however, that, without
limitation, such a Change in Control shall be deemed to have occurred if after the date hereof (i)
any “person” (as such term is used in Sections 13(d) and 14(d) of the Act) is or becomes
“beneficial owner” (as defined in Rule 13d-3 under the Act), directly or indirectly, of securities
of the Corporation representing 20% or more of the combined voting power of the then outstanding
securities of the Corporation without the prior approval of at least two-thirds of the members of
the Board in office immediately prior to such person attaining such percentage interest; (ii) the
Corporation is a party to a merger, consolidation, sale of assets or other reorganization, or a
proxy contest, as a consequence of which members of the Board in office immediately prior to such
transaction or event constitute less than a majority of the Board thereafter; or (iii) during any
period of two consecutive years, individuals who at the beginning of such period constituted the
Board (including for this purpose any new director whose election or nomination for election by the
Corporation’s stockholders was approved by a vote of at least two-thirds of the directors then
still in office who were directors at the beginning of such period) cease for any reason to
constitute at least a majority of the Board.

1.2 “Corporate Status” means the status of a person who is or was a director, officer,
employee, agent or fiduciary of the Corporation or of any other corporation, partnership, joint
venture, trust, employee benefit plan or other enterprise which such person is or was serving at
the request of the Corporation.

1.3 “Disinterested Director” means a director of the Corporation who is not and was not a
party to the Proceeding in respect of which indemnification is sought by Indemnitee.

1.4 “Expenses” means all reasonable attorneys’ fees, retainers, court costs, transcript costs,
fees of experts, witness fees, travel expenses, duplicating costs, printing and binding costs,
telephone charges, postage, delivery service fees, and all other disbursements or expenses of the
types customarily incurred in connection with prosecuting, defending, preparing to prosecute or
defend, investigating, or being or preparing to be a witness in a Proceeding.

1.5 “Independent Counsel” means a law firm, or a member of a law firm, that is experienced in
matters of corporation law and neither presently is, nor in the past five years has been, retained
to represent: (i) the Corporation or Indemnitee in any other matter material to either such party,
or (ii) any other party to the Proceeding giving rise to a claim for indemnification hereunder.
Notwithstanding the foregoing, the term “Independent Counsel” shall not include any person who,
under the applicable standards of professional conduct then prevailing, would have a conflict of
interest in representing either the Corporation or Indemnitee in an action to determine
Indemnitee’s rights under this Agreement. Independent Counsel shall be selected by (a) the
Disinterested Directors or (b) a committee of the Board consisting of two or more Disinterested
Directors or if (a) and (b) above are not possible, then by a majority of the full Board.

1.6 “Proceeding” means any action, suit, arbitration, alternate dispute resolution mechanism,
investigation, administrative hearing or any other proceeding, whether civil, criminal,
administrative or investigative, except one initiated by an Indemnitee pursuant to Section 11 of
this Agreement to enforce his rights under this Agreement.

2. Services by Indemnitee.

Indemnitee agrees to serve as an officer of the Corporation. Indemnitee may at any time and
for any reason resign from such position (subject to any other contractual obligation or any
obligation imposed by operation of law).

3. Indemnification — General.

The Corporation shall indemnify, and advance Expenses to, Indemnitee as provided in this
Agreement to the fullest extent permitted by applicable law in effect on the date hereof and to
such greater extent as applicable law may thereafter from time to time permit. The rights of
Indemnitee provided under the preceding sentence shall include, but shall not be limited to, the
rights set forth in the other Sections of this Agreement.

4. Proceedings Other Than Proceedings by or in the Right of the Corporation.

Indemnitee shall be entitled to the rights of indemnification provided in this Section if, by
reason of his Corporate Status, he or she is, or is threatened to be made, a party to any
threatened, pending or completed Proceeding, other than a Proceeding by or in the right of the
Corporation. Pursuant to this Section, Indemnitee shall be indemnified against Expenses,
judgments, penalties, fines and amounts paid in settlement actually and reasonably incurred by him
or on his behalf in connection with any such Proceeding or any claim, issue or matter therein, if
he or she acted in good faith and in a manner he or she reasonably believed to be in or not opposed
to the best interests of the Corporation, and, with respect to any criminal Proceeding, had no
reasonable cause to believe his conduct was unlawful.

5. Proceedings by or in the Right of the Corporation.

Indemnitee shall be entitled to the rights of indemnification provided in this Section if, by
reason of his Corporate Status, he or she is, or is threatened to be made, a party to any
threatened, pending or completed Proceeding brought by or in the right of the Corporation to
procure a judgment in its favor. Pursuant to this Section, Indemnitee shall be indemnified against
Expenses actually and reasonably incurred by him or on his behalf in connection with any such
Proceeding if he or she acted in good faith and in a manner he or she reasonably believed to be in
or not opposed to the best interests of the Corporation. Notwithstanding the foregoing, no
indemnification against such Expenses shall be made in respect of any claim, issue or matter in any
such proceeding as to which Indemnitee shall have been adjudged to be liable to the Corporation if
applicable law prohibits such indemnification unless the court in which such Proceeding shall have
been brought or is pending, shall determine that indemnification against Expenses may nevertheless
be made by the Corporation.

6. Indemnification for Expenses of Party Who is Wholly or Partly Successful.

Notwithstanding any other provision of this Agreement, to the extent that Indemnitee
is, by reason of his Corporate Status, a party to and is successful, on the merits or otherwise, in
any Proceeding, he or she shall be indemnified against all Expenses actually and reasonably
incurred by him or on his behalf in connection therewith. If Indemnitee is not wholly successful
in such Proceeding but is successful, on the merits or otherwise, as to one or more but less than
all claims, issues or matters in such Proceeding, the Corporation shall indemnify Indemnitee
against all Expenses actually and reasonably incurred by him or on his behalf in connection with
each successfully resolved claim, issue or matter. For the purposes of this Section and without
limiting the foregoing, the termination of any claim, issue or matter in any such Proceeding by
dismissal, with or without prejudice, shall be deemed to be a successful result as to such claim,
issue or matter.

7. Indemnification for Expenses as a Witness.

Notwithstanding any other provision of this Agreement, to the extent that Indemnitee is, by
reason of his Corporate Status, a witness in any Proceeding, he or she shall be indemnified against
all Expenses actually and reasonably incurred by him or on his behalf in connection therewith.

8. Advancement of Expenses.

The Corporation shall advance all Expenses incurred by or on behalf of Indemnitee in
connection with any Proceeding within twenty days after the receipt by the Corporation of a
statement or statements from Indemnitee requesting such advance or advances from time to time,
whether prior to or after final disposition of such Proceeding. Such statement or statements shall
reasonably evidence the Expenses incurred by Indemnitee and shall include or be preceded or
accompanied by an undertaking by or on behalf of Indemnitee to repay any Expenses advanced if it
shall ultimately be determined that Indemnitee is not entitled to be indemnified against such
Expenses.

9. Procedure for Determination of Entitlement to Indemnification.

9.1 To obtain indemnification under this Agreement in connection with any Proceeding, and for
the duration thereof, Indemnitee shall submit to the Corporation a written request, including
therein or therewith such documentation and information as is reasonably available to Indemnitee
and is reasonably necessary to determine whether and to what extent Indemnitee is entitled to
indemnification. The Secretary of the Corporation shall, promptly upon receipt of any such request
for indemnification, advise the Board in writing that Indemnitee has requested indemnification.

9.2 Upon written request by Indemnitee for indemnification pursuant to Section 9.1
hereof, a determination, if required by applicable law, with respect to Indemnitee’s entitlement
thereto shall be made in such case: (i) if a Change in Control shall have occurred, by Independent
Counsel (unless Indemnitee shall request that such determination be made by the Board or the
stockholders, in which case in the manner provided for in clauses (ii) or (iii) of this Section
9.2) in a written opinion to the Board, a copy of which shall be delivered to Indemnitee; (ii) if a
Change of Control shall not have occurred, (A) by the Board by a majority vote of a quorum
consisting of Disinterested Directors, or (B) if a quorum of the Board consisting of Disinterested
Directors is not obtainable, by a majority of a committee of the Board consisting of two or more
Disinterested Directors, or (C) by Independent Counsel in a written opinion to the Board, a copy of
which shall be delivered to Indemnitee, or (D) by the stockholders of the Corporation, by a
majority vote of a quorum consisting of stockholders who are not parties to the proceeding, or if
no such quorum is obtainable, by a majority vote of stockholders who are not parties to such
proceeding; or (iii) as provided in Section 10.2 of this Agreement. If it is so determined that
Indemnitee is entitled to indemnification, payment to Indemnitee shall be made within ten (10) days
after such determination. Indemnitee shall cooperate with the person, persons or entity making
such determination with respect to Indemnitee’s entitlement to indemnification, including providing
to such person, persons or entity upon reasonable advance request any documentation or information
which is not privileged or otherwise protected from disclosure and which is reasonably available to
Indemnitee and reasonably necessary to such determination. Any costs or expenses (including
attorneys’ fees and disbursements) incurred by Indemnitee in so cooperating with the person,
persons or entity making such determination shall be borne by the Corporation (irrespective of the
determination as to Indemnitee’s entitlement to indemnification) and the Corporation hereby
indemnifies and agrees to hold Indemnitee harmless therefrom.

9.3 If a Change of Control shall have occurred, Independent Counsel shall be selected by
Indemnitee (unless Indemnitee shall request that such selection be made by the Board), and
Indemnitee shall give written notice to the Corporation advising it of the identity of Independent
Counsel so selected. In either event, Indemnitee or the Corporation, as the case may be, may,
within seven days after such written notice of selection shall have been given, deliver to the
Corporation or to Indemnitee, as the case may be, a written objection to such selection. Such
objection may be asserted only on the ground that Independent Counsel so selected does not meet the
requirements of “Independent Counsel” as defined in Section 1 of this Agreement, and the objection
shall set forth with particularity the factual basis of such assertion. If such written objection
is made, Independent Counsel so selected may not serve as Independent Counsel unless and until a
court has determined that such objection is without merit. If, within 20 days after submission by
Indemnitee of a written request for indemnification pursuant to Section 9.1 hereof, no Independent
Counsel shall have been selected and not objected to, either the Corporation or Indemnitee may
petition a court of competent jurisdiction, for resolution of any objection which shall have been
made by the Corporation or Indemnitee to the other’s selection of Independent Counsel and/or for
the appointment as Independent Counsel of a person selected by such court or by such other person
as such court shall designate, and the person with respect to whom an objection is so resolved or
the person so appointed shall act as Independent Counsel under Section 9.2 hereof. The Corporation
shall pay any and all reasonable fees and expenses of Independent Counsel incurred by such
Independent Counsel in connection with its actions pursuant to this Agreement, and the Corporation
shall pay all reasonable fees and expenses incident to the procedures of this Section 9.3,
regardless of the manner in which such Independent Counsel was selected or appointed. Upon the due
commencement date of any judicial proceeding pursuant to Section 11.1(iii) of this Agreement,
Independent Counsel shall be discharged and relieved of any further responsibility in such capacity
(subject to the applicable standards of professional conduct then prevailing).

10. Presumptions and Effects of Certain Proceedings.

10.1 If a Change of Control shall have occurred, in making a determination with respect
to entitlement to indemnification hereunder, the person or persons or entity making such
determination shall presume that Indemnitee is entitled to indemnification under this Agreement if
Indemnitee has submitted a request for indemnification in accordance with Section 9.1 of this
Agreement, and the Corporation shall have the burden of proof to overcome that presumption in
connection with the making by any person, persons or entity of any determination contrary to that
presumption.

10.2 If the person, persons or entity empowered or selected under Section 9 of this Agreement
to determine whether Indemnitee is entitled to indemnification shall not have made a determination
within 60 days after receipt by the Corporation of the request therefor, the requisite
determination of entitlement to indemnification shall be deemed to have been made and Indemnitee
shall be entitled to such indemnification, absent (i) a misstatement by Indemnitee of a material
fact, or an omission of a material fact necessary to make Indemnitee’s statement not materially
misleading, in connection with the request for indemnification, or (ii) prohibition of such
indemnification under applicable law provided, however, that such 60-day period may be extended for
a reasonable time, not to exceed an additional 30 days, if the person, persons or entity making the
determination with respect to entitlement to indemnification in good faith require(s) such
additional time for the obtaining or evaluating of documentation and/or information relating
thereto and provided, further, that the foregoing provisions of this Section 10.2
shall not apply (i) if the determination of entitlement to indemnification is to be made by the
stockholders pursuant to Section 9.2 of this Agreement and if (A) within 15 days after receipt by
the Corporation of the request for such determination the Board has resolved to submit such
determination to the stockholders for their consideration at an annual meeting thereof to be held
within 75 days after such receipt and such determination is made thereat, or (B) a special meeting
of stockholders is called within 15 days after such receipt for the purpose of making such
determination, such meeting is held for such purpose within 60 days after having been so called and
such determination is made thereat, or (ii) if the determination of entitlement to indemnification
is to be made by Independent Counsel pursuant to Section 9.2 of this Agreement.

10.3 The termination of any Proceeding or of any claim, issue or matter therein, by judgment,
order, settlement or conviction, or upon a plea of nolo contendere or its equivalent, shall
not (except as otherwise expressly provided in this Agreement) of itself adversely affect the right
of Indemnitee to indemnification or create a presumption that Indemnitee did not act in good faith
and in a manner which he or she reasonably believed to be in or not opposed to the best interests
of the Corporation or, with respect to any criminal Proceeding, that Indemnitee had reasonable
cause to believe that his or her conduct was unlawful.

11. Remedies of Indemnitee.

11.1 In the event that (i) a determination is made pursuant to Section 9 of this
Agreement that Indemnitee is not entitled to indemnification under this Agreement, (ii) advancement
of Expenses is not timely made pursuant to Section 8 of this Agreement, (iii) the determination of
indemnification is to be made by Independent Counsel pursuant to Section 9.2 of this Agreement and
such determination shall not have been made and delivered in a written opinion within 90 days after
receipt by the Corporation of the request for indemnification, (iv) payment of indemnification is
not made pursuant to Section 7 of this Agreement within ten days after receipt by the Corporation
of a written request therefor, or (v) payment of indemnification is not made within ten days after
a determination has been made that Indemnitee is entitled to indemnification or such determination
is deemed to have been made pursuant to Section 9 or 10 of this Agreement, Indemnitee shall be
entitled to an adjudication in an appropriate court of the State of Florida, or in any other court
of competent jurisdiction, of his or her entitlement to such indemnification or advancement of
Expenses. The Corporation shall not oppose Indemnitee’s right to seek any such adjudication.

11.2 In the event that a determination shall have been made pursuant to Section 9 of this
Agreement that Indemnitee is not entitled to indemnification, any judicial proceeding commenced
pursuant to this Section shall be conducted in all respects as a de novo trial on
the merits and Indemnitee shall not be prejudiced by reason of that adverse determination.

11.3 If a determination shall have been made or deemed to have been made pursuant to Section 9
or 10 of this Agreement that Indemnitee is entitled to indemnification, the Corporation shall be
bound by such determination in any judicial proceeding commenced pursuant to this Section, absent
(i) a misstatement by Indemnitee of a material fact, or an omission of a material fact necessary to
make Indemnitee’s statement not materially misleading, in connection with the request for
indemnification, or (ii) prohibition of such indemnification under applicable law.

11.4 The Corporation shall be precluded from asserting in any judicial proceeding commenced
pursuant to this Section that the procedures and presumptions of this Agreement are not valid,
binding and enforceable and shall stipulate in any such court that the Corporation is bound by all
the provisions of this Agreement.

11.5 In the event that Indemnitee, pursuant to this Section, seeks a judicial adjudication of
his or her rights under, or to recover damages for breach of, this Agreement, Indemnitee shall be
entitled to recover from the Corporation, and shall be indemnified by the Corporation against, any
and all expenses (of the kinds described in the definition of Expenses) actually and reasonably
incurred by him in such judicial adjudication, but only if he or she prevails therein. If it shall
be determined in such judicial adjudication that Indemnitee is entitled to receive all of the
indemnification or advancement of expenses sought, the expenses incurred by Indemnitee in
connection with such judicial adjudication shall be appropriately prorated.

12. Non-Exclusivity; Survival of Rights; Insurance; Subrogation.

12.1 The rights of indemnification and to receive advancement of Expenses as provided by this
Agreement shall not be deemed exclusive of any other rights to which Indemnitee may at any time be
entitled under applicable law, the certificate of incorporation or by-laws of the Corporation, any
agreement, a vote of stockholders or a resolution of directors, or otherwise. No amendment,
alteration or repeal of this Agreement or any provision hereof shall be effective as to any
Indemnitee with respect to any action taken or omitted by such Indemnitee in his Corporate Status
prior to such amendment, alteration or repeal.

12.2 To the extent that the Corporation maintains an insurance policy or policies providing
liability insurance for directors, officers, employees, agents or fiduciaries of the Corporation or
of any other corporation, partnership, joint venture, trust, employee benefit plan or other
enterprise which such person serves at the request of the Corporation, Indemnitee shall be covered
by such policy or policies in accordance with its or their terms to the maximum extent of the
coverage available for any such director, officer, employee, agent or fiduciary under such policy
or policies.

12.3 In the event of any payment under this Agreement, the Corporation shall be
subrogated to the extent of such payment to all of the rights of recovery of Indemnitee, who shall
execute all papers required and take all action necessary to secure such rights, including
execution of such documents as are necessary to enable the Corporation to bring suit to enforce
such rights.

12.4 The Corporation shall not be liable under this Agreement to make any payment of amounts
otherwise indemnifiable hereunder if and to the extent that Indemnitee has otherwise actually
received such payment under any insurance policy, contract, agreement or otherwise.

13. Duration of Agreement.

This Agreement shall continue until and terminate upon the later of: (a) ten years after the
date that Indemnitee shall have ceased to serve as an officer of the Corporation, or (b) the final
termination of all pending Proceedings in respect of which Indemnitee is granted rights of
indemnification or advancement of Expenses hereunder and or any proceeding commenced by Indemnitee
pursuant to Section 11 of this Agreement. This Agreement shall be binding upon the Corporation and
its successors and assigns and shall inure to the benefit of Indemnitee and his heirs, executors
and administrators.

14. Severability.

If any provision or provisions of this Agreement shall be held to be invalid, illegal or
unenforceable for any reason whatsoever: (a) the validity, legality and enforceability of the
remaining provisions of this Agreement (including, without limitation, each portion of any Section
of this Agreement containing any such provision held to be invalid, illegal or unenforceable, that
is not itself invalid, illegal or unenforceable) shall not in any way be affected or impaired
thereby; and (b) to the fullest extent possible, the provisions of this Agreement (including,
without limitation, each portion of any Section of this Agreement containing any such provision
held to be invalid, illegal or unenforceable, that is not itself invalid, illegal or unenforceable)
shall be construed so as to give effect to the intent manifested by the provision held invalid,
illegal or unenforceable.

15. Exception to Right of Indemnification or Advancement of Expenses.

Except as provided in Section 11.5, Indemnitee shall not be entitled to indemnification or
advancement of Expenses under this Agreement with respect to any Proceeding, or any claim therein,
brought or made by him against the Corporation.

16. Identical Counterparts.

This Agreement may be executed in one or more counterparts, each of which shall for all
purposes be deemed to be an original but all of which together shall constitute one and the same
Agreement.

17. Headings.

The headings of the paragraphs of this Agreement are inserted for convenience only and shall
not be deemed to constitute part of this Agreement or to affect the construction thereof.

18. Modification and Waiver.

No supplement, modification or amendment of this Agreement shall be binding unless executed in
writing by both of the parties hereto. No waiver of any of the provisions of this Agreement shall
be deemed or shall constitute a waiver of any other provisions hereof (whether or not similar) nor
shall such waiver constitute a continuing waiver.

19. Notice by Indemnitee.

Indemnitee agrees promptly to notify the Corporation in writing upon being served with any
summons, citation, subpoena, complaint, indictment, information or other document relating any
Proceeding or matter which may be subject to indemnification or advancement of Expenses covered
hereunder.

20. Notices.

All notices, requests, demands and other communications hereunder shall be in writing and
shall be deemed to have been duly given if (i) delivered by hand and receipted for by the party to
whom such notice or other communication shall have been directed, or (ii) mailed by certified or
registered mail with postage prepaid, on the third business day after the date on which it is so
mailed:

If to Indemnitee, to:

Joseph Giovaniello, Jr.

40 Van Arsdale Place

Manhasset, NY 11030

If to the Corporation, to:

Ladenburg Thalmann Financial Services Inc.

4400 Biscayne Blvd., 12th Floor

Miami, FL 33137

Attention: President and CEO

or to such other address or such other person as Indemnitee or the Corporation shall designate in
writing in accordance with this Section, except that notices regarding changes in notices shall be
effective only upon receipt.

21. Governing Law.

The parties agree that this Agreement shall be governed by, and construed and enforced in
accordance with, the laws of the State of Florida.

22. Miscellaneous.

Use of the masculine pronoun shall be deemed to include usage of the feminine pronoun where
appropriate.

3

IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and year first
above written.

LADENBURG THALMANN FINANCIAL SERVICES INC.

By:

Name: Richard J. Lampen

Title: President and CEO

INDEMNITEE

       

Joseph Giovanniello, Jr.

4Ex 10.1 Offer Letter between the Company and Marc Rothman

Exhibit 10.1

January 15, 2013

Marc Rothman
7616 Top of the Morning Way
San Diego, CA  92127

Dear Marc, 

VeriFone, Inc. (“VeriFone”) is pleased to offer you the exempt position of Executive Vice President and Chief Financial Officer reporting to Doug Bergeron, CEO with a projected start date of February 4, 2013.  The offer set forth in this letter will expire if it has not been accepted by you on or before January 15, 2013.  VeriFone may withdraw the offer set forth in this letter at any time prior to your acceptance for any reason. All figures herein are in USD.
You will be based in VeriFone's San Jose office with a starting annual salary of $450,000.00, paid semi-monthly on the 15th and last day of each month.  You will also be eligible for a target bonus of $350,000.00 per annum based on personal performance goals and the achievement of certain company-wide corporate financial performance objectives, as set by the VeriFone Board of Directors, all per the terms of the VeriFone VIPOR bonus policy.  The bonus target is prorated for any partial fiscal year and you will not be eligible for any bonus payment if you are not employed by VeriFone at the end of the relevant period for such bonus payment.  Further VIPOR policy information will be separately provided.  

In addition, you will receive (i) an initial restricted stock units (“RSU”) grant with an April 1, 2013 grant date value of $1 million; and (ii) a second grant of RSU's with a July 1, 2013 grant date value of $2 million.  The actual number of RSUs will be confirmed on the grant date and will be calculated based on dividing the above grant date value by the per RSU award value applicable on the grant date (pursuant to VeriFone's standard award grant and valuation policies).  The equity grant will vest twenty-five percent (25%) one (1) year from grant date, with an additional six and one-quarter percent (6.25%) vesting quarterly until the entire award vests four (4) years after the grant date. The award will be subject to the terms and conditions of the applicable VeriFone stock plan and VeriFone RSU grant agreement under which the award is granted.

It is anticipated that you will be eligible for annual equity refresh awards in the range of $1 million to $1.5 million in value, and that fifty percent (50%) of any such annual grants will vest ratably over a four year period and the remaining fifty percent (50%) will be performance based, vesting in a one year period upon successful performance achievement. Any such equity awards are at the sole discretion of the Compensation Committee and the Board, and are not guaranteed in any manner.

While you are commuting from San Diego, VeriFone will reimburse for air expenses between San Diego and San Jose on a weekly basis with travel reservations made through our corporate provider.  You will also be provided market-level expense reimbursement for a furnished one bedroom apartment located near VeriFone's San Jose office.  Further relocation benefits will be reviewed following twelve months of successful service.  

In addition to your salary, you and your qualified dependents will be eligible to receive customary employee benefits that VeriFone provides to employees in comparable positions as the position being offered to you.  Most of these benefits take effect on your first day of employment with VeriFone.  These comprehensive benefits include medical, dental, life, and disability plans.  With a few restrictions and eligibility requirements, additional benefits include:
		
	•
	Paid Company Holidays

		
	•
	Paid Flexible Time Off (FTO):  accrued incrementally on an annual basis 

		
	•
	401(k) Retirement, Savings, and Investment Plan

		
	•
	Education Reimbursement Plan

VeriFone desires to attract and retain individuals who meet our high standards of performance and conduct.  However, VeriFone cannot guarantee that you will be employed for any specific length of time.  Your employment will be at will, and may be terminated at any time by either you or VeriFone. You and VeriFone further agree to the severance terms contained in Exhibit A. We will work closely with you to ensure that you understand our performance and productivity expectations.  Please note that VeriFone may modify the terms, conditions, duties, compensation, and benefits associated with your employment at any time and in its sole discretion.  

As a VeriFone employee, you will be expected to abide by VeriFone's policies and procedures which are posted on our internal company website.  Acceptance of employment with VeriFone will indicate your agreement to be bound by all terms of VeriFone's policies and procedures.  In the event of any dispute or claim relating to or arising out of this agreement, our employment relationship, or the termination of our employment relationship (including, but not limited to, any claims of wrongful termination or age, gender, disability, race, or other discrimination or harassment), you and VeriFone agree that all such disputes and claims shall be fully, finally, and exclusively resolved by binding arbitration conducted by the American Arbitration Association (“AAA”) in Santa Clara County, California. You and the VeriFone each expressly waive their respective rights to have such disputes tried by a court or jury. The arbitration will be conducted by a single arbitrator appointed by the AAA in accordance with the AAA's then-current rules for the resolution of employment disputes, which can be reviewed at www.adr.org.

In your work for VeriFone, you will be expected not to use or disclose any confidential information, including, but not limited to, trade secrets of any former employer or other person to whom you have an obligation of confidentiality.  Rather, you will be expected to use only that information which is generally known and used by persons with training and experience comparable to your own, which is common knowledge in the industry, which is otherwise legally in the public domain, or which is otherwise provided or developed by VeriFone.  You agree that you will not bring onto VeriFone's premises any unpublished documents or property belonging to any former employer or other person to whom you have an obligation of confidentiality. You represent that you have disclosed to VeriFone any contract you have signed that may restrict your activities on behalf of VeriFone.

As a condition of employment, you must also comply with the enclosed Patent and Confidential Information Agreement, which prohibits unauthorized use or disclosure of VeriFone proprietary information.  Please sign and return this document along with the signed offer letter.

The offer set forth in this letter is contingent upon: (1) successful completion of a VeriFone mandatory background investigation, which includes a criminal history and identity check; and (2) your submission to VeriFone, within three (3) working days after your start date listed below (or other date on which your employment begins) of a correctly completed USCIS Form I-9 together with the required accompanying documents establishing your identity and employment authorization.

Please indicate your acknowledgement and acceptance of the offer set forth in this letter by signing, dating, and including your anticipated start date in the spaces below and returning a signed copy of this offer letter, together with a signed copy of the enclosed Patent and Confidential Information Agreement, to me no later than January 18, 2013.

Marc, we look forward to having you as a member of the VeriFone team and to developing a mutually beneficial working relationship.  If you have any questions, please feel free to contact Doug Bergeron or me at 916.625.1830. 

Sincerely,

/s/ Dawn LaPlante

Dawn LaPlante
VP, Human Resources
VeriFone, Inc.

Acknowledged and Accepted by:
	
			
	/s/ Marc Rothman    
	1/15/2013
	2/4/2013

	Marc Rothman
	Date
	Start Date

    

Exhibit A - Severance Terms

1. Payments upon termination of employment:

		
	(a)
	Severance. If your employment is terminated by VeriFone other than for Cause or by you for Good Reason, then 

VeriFone shall pay to you: 

     (i) Earned Payments. (A) Within ten (10) days following the date of termination a lump-sum cash amount equal to the sum of your base salary through the date of termination, any bonus amounts which have become payable, to the extent not theretofore paid or deferred, and any accrued vacation pay, (B) any compensation previously deferred by you other than pursuant to a tax-qualified plan (together with any interest and earnings thereon) in accordance with the terms of the plan and (C) any amounts due under any plan or program in accordance with their terms; plus 

     (ii) Severance Payments. Within ten (10) days following the date of termination, a lump-sum cash amount equal to your annual base salary during the 6-month period immediately prior to your date of termination (i.e. 6 months at your base salary rate). 

(b) Benefits. If your employment is terminated by VeriFone other than for Cause or by you for Good Reason, then VeriFone shall (i) for a period of the earlier of six (6) months and such time as you are eligible for similar coverage following your date of termination from a future employer, provide you (and your dependents, if applicable) the same level of medical and dental coverage on the same after-tax basis as if you continued to participate in the VeriFone plans, with the amounts of the premiums therefor being treated as taxable income to you and (ii) provide you for such six (6) months with accident, disability and life insurance benefits, in each case upon substantially the same terms and conditions (including contributions required by you for such benefits) as existed immediately prior to your date of termination.
“Cause” means (i) conviction of a felony or any crime or offense lesser than a felony involving dishonesty, disloyalty or fraud with respect to VeriFone or any related entity or any of their respective properties or assets; or (ii) gross negligence or willful misconduct that has caused demonstrable and serious injury to VeriFone or a related entity, monetary or otherwise; or (iii) willful refusal to perform or substantial disregard of duties properly assigned, as determined by VeriFone or a related entity, as the case may be; or (iv) breach of duty of loyalty to VeriFone or a related entity or any act of fraud or dishonesty with respect to VeriFone or a related entity; or (v) your disqualification or bar by any governmental or self‐regulatory authority from serving as an officer of VeriFone or any related entity or in any of the capacities contemplated by this offer letter. 

“Good Reason” means (i) any action by VeriFone which results in a material reduction in your title, status, authority or responsibility as Chief Financial Officer of VeriFone; or (ii) a reduction in your annual base salary, in each case without your prior written consent; provided, that in order to constitute a resignation with Good Reason, you must give notice within thirty (30) days of the occurrence of an event which constitutes Good Reason and if such event is not cured by VeriFone as provided in the next Sentence, you actually resign employment for Good Reason as of the end of such cure period. Notwithstanding the foregoing, any action taken in good faith and which is remedied by VeriFone within thirty (30) days after receipt of notice thereof given by you shall not constitute Good Reason.

2.  Limitation on Payments by VeriFone:

(a) Notwithstanding anything herein to the contrary, in the event it shall be determined that (i) any payment, award, benefit or distribution (or any acceleration of any payment, award, benefit or distribution) by VeriFone (or any of its affiliated entities) or any entity (or any of its affiliated entities) which effectuates a Change in Control (as such term is defined in your award agreement) to or for your benefit (whether pursuant to the terms herein or otherwise) (the “Payments”) would be subject to the excise tax (the “Excise Tax”) under Section 4999 of the Internal Revenue Code of 1986, as amended (the “Code”), and (ii) the reduction of the amounts payable you hereunder to the maximum amount that could be paid you without giving rise to the Excise Tax (the “Safe Harbor Cap”) would provide you with a greater after tax amount than if such amounts were not reduced, then the amounts payable to you hereunder shall be reduced to the Safe Harbor Cap. The reduction of the amounts payable hereunder, if applicable, shall be made by reducing first the payments under the severance payments specified under 1(a)(ii) and 1(b)(i), second by reducing benefits under 1(b)(ii), third any full value shares based on the last vesting first and fourth any equity to which Treasury Reg. 1.280G Q&A 24(c) applies based on the last vesting first, unless an alternative method of reduction is permitted to be elected under Code Section 280G and is so elected by you. If the reduction of the amounts payable hereunder would not result in a greater after tax result to you, no amounts payable hereunder shall be reduced pursuant to this provision. 

(b) All determinations required to be made under this Section 2 shall be made by a public accounting firm that is retained by VeriFone (the “Accounting Firm”) which shall provide detailed supporting calculations both to VeriFone and you within fifteen (15) business days of the receipt of notice from VeriFone or you that a payment is to be made hereunder. Notwithstanding the foregoing, in the event (i) the Board shall determine prior to the Change in Control that the Accounting Firm is precluded from performing such services under applicable auditor independence rules or (ii) the Audit Committee of the Board determines that it does not want the Accounting Firm to perform such services because of auditor independence concerns or (iii) the Accounting Firm is serving as accountant or auditor for the individual, entity or group effecting the Change in Control, the Board shall appoint another nationally recognized public accounting firm to make the determinations required hereunder (which accounting firm shall then be referred to as the Accounting Firm hereunder). All fees, costs and expenses (including, but not limited to, the costs of retaining experts) of the Accounting Firm shall be borne by VeriFone. The determination by the Accounting Firm shall be binding upon VeriFone and you (except as provided in paragraph (c) below).

 3.  To the extent (A) any payments or benefits to which you become entitled under this letter agreement, or under any agreement or plan referenced herein, in connection with your termination of employment with the VeriFone constitute deferred compensation subject to Section 409A of the Internal Revenue Code of 1986, as amended (the “Code”) and (B) you are deemed at the time of such termination of employment to be a “specified employee” under Section 409A of the Code, then such payments shall not be made or commence until the earlier of (i) the date that is immediately following the expiration of the six (6)-month period measured from the date of your “separation from service” (as such term is at the time defined in Treasury Regulations under Section 409A of the Code) from the VeriFone; or (ii) the date of your death following such separation from service. Upon the expiration of the applicable deferral period, any payments which would have otherwise been made during that period (whether in a single sum or in installments) in the absence of this paragraph shall be paid to you or your beneficiary in one lump sum (without interest). Any termination of your employment that would result in your receipt of deferred compensation under Section 409A of the Code must also constitute a “separation from service” (as such term is defined in Treasury Regulation Section 1.409A-1).  The determination of whether you have incurred a “separation from service” shall not cause any forfeiture of deferred compensation subject to Section 409A of the Code on your part, but shall only act, if applicable, as a delay in your receipt of deferred compensation until such time as you incur a “separation from service.”  It is intended that each installment of any payments provided hereunder constitute separate “payments” for purposes of Treasury Regulation Section 1.409A-2(b)(2)(i). It is further intended that payments hereunder satisfy, to the greatest extent possible, the exemption from the application of Section 409A of the Code (and any state law of similar effect) provided under Treasury Regulation Section 1.409A-1(b)(4) (as a “short-term deferral”). To the extent that any provision of this letter agreement is ambiguous as to its compliance with Section 409A of the Code, the provision will be read in such a manner so that all payments hereunder are either exempt from or comply with Section 409A of the Code. Except as otherwise expressly provided herein, to the extent any expense reimbursement or the provision of any in-kind benefit under this letter agreement is determined to be subject to Section 409A of the Code, the amount of any such expenses eligible for reimbursement, or the provision of any in-kind benefit, in one calendar year shall not affect the expenses eligible for reimbursement in any other taxable year (except for any lifetime or other aggregate limitation applicable to medical expenses), in no event shall any expenses be reimbursed after the last day of the calendar year following the calendar year in which you incurred such expenses, and in no event shall any right to reimbursement or the provision of any in-kind benefit be subject to liquidation or exchange for another benefit.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00212-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00212-of-00352.parquet"}]]