Document:

Intuit Inc. Exhibit 10.24

	 	 	 
	[LETTERHEAD OF INTUIT INC.]	 	EXHIBIT 10.25

July 30, 2001

Lorrie Norrington

Employment Agreement

Dear Lorrie:

     On behalf of Intuit Inc. (“Intuit” or the “Company”), I am pleased to
offer you the position of Senior Vice President, Small Business Division on the
terms set forth below.

     1. Position. You will be employed by Intuit as its Senior Vice President,
Small Business Division, effective July 31, 2001 (the “Commencement Date”) and
continuing thereafter until termination pursuant to Section 6. You will report
to the President and Chief Executive Officer of Intuit. You will be expected
to devote your full working time and attention to the business of Intuit, and
you will not render services to any other business without the prior approval
of the Board of Directors or, directly or indirectly, engage or participate in
any business that is competitive in any manner with the business of Intuit.
You will also be expected to comply with and be bound by the Company’s
operating policies, procedures and practices that are from time to time in
effect during the term of your employment.

     2. Base Salary. Your initial base annual salary will be $475,000, payable
in accordance with Intuit’s normal payroll practices with such payroll
deductions and withholdings as are required by law. Your base salary will be
reviewed on an annual basis and increased from time to time, but in any event
such compensation shall not be reduced below $475,000 during your term of
employment.

     3. Bonus. (a) You will be eligible to receive a target annual bonus of
60% of your annual base salary (the “Target Bonus”) in accordance with Intuit’s
Incentive Compensation Plan subject to satisfaction of performance objectives
set by the Compensation Committee of the Board of Directors (the
“Target”).
Achieving results less than Target may yield between 80% and 100% of your
Target Bonus. Achieving results greater than Target may yield between 100% and
150% of your Target Bonus. Any amount earned as a Target Bonus will be subject
to such payroll deductions and withholdings as are required by law. At the end
of Intuit’s fiscal year 2002, if still employed at such time, you will be paid
a Target Bonus of at least $228,000, less payroll deductions and withholdings
as are required by law.

          (b) You
will receive a signing bonus of $750,000 (the “Sign-On Bonus”),
less such payroll deductions and withholdings as are required by law, within
thirty days following the Commencement Date.

          (c) You will receive a first anniversary date bonus of $750,000 (the
“Anniversary Bonus”), less such payroll deductions and withholdings as are
required by law, within thirty days following the first anniversary of the
Commencement Date. In the event of your termination of employment other than
a Termination for Cause or a Voluntary Termination (both as defined in Section
6 below) before the first anniversary of the Commencement Date, you will be
paid a portion of the Anniversary Bonus prorated based on the number of full
months following the Commencement Date up to the date of such termination.

     4. Stock Options. On the Commencement Date, the Compensation Committee
of the Board of Directors shall grant you a nonqualified stock option to
purchase 350,000 shares of Intuit common stock at an exercise price equal to
such common stock closing price on the Commencement Date (the “Option”). The
Option will be granted pursuant to and subject to the terms of the Intuit Inc.
1993 Equity Incentive Plan. For so long as you remain employed by Intuit, the
Option will vest and become exercisable over a four year period as follows:
twenty-five percent (25%) of the shares subject to the Option will vest and
become exercisable on the first anniversary of the Commencement Date and one
forty-eighth (1/48th) of the shares subject to the Option will vest and become
exercisable on the last day of each month following the first anniversary of
the Commencement Date. The Option will have a maximum term of 10 years from
the date of grant, but will terminate earlier in the event your employment
terminates. The

 specific time period during which you may exercise the Option following
the termination of your employment, where not provided by this agreement, will
be as set forth in your Stock Option Agreement pursuant to which the Option
will be awarded. You should consult a tax advisor concerning your income tax
consequences before exercising any of the options. Intuit shall register the
shares issuable under the Option on a Form S-8 registration statement and shall
keep such registration statement in effect for the entire period the Option
remains outstanding.

     5. Other Benefits. You will be entitled to the following additional
benefits:

          (a) You will be eligible for health insurance, 401(k), employee stock
purchase plan and other benefits offered to all Intuit senior executives of
similar rank and status. During your first year of employment, you will
accrue four (4) weeks of vacation time.

          (b) For a period of up to twelve (12) months following the Commencement
Date, Intuit will reimburse you for expenses incurred in connection with
temporary housing up to $7,000 per month, to be paid to you in a net amount.

          (c) You will be eligible for reasonable reimbursement of expenses incurred
within the two (2) year period following your Commencement Date in connection
with your relocation to California, including any brokerage commissions and
closing costs associated with the sale of your current principal residence and
the purchase of your principal California residence.

          (d) In the event you purchase a principal California residence, Intuit
will provide you with a recourse loan, secured with a first mortgage on your
principal California residence, in an amount sufficient to cover the purchase
price of such residence but not to exceed $5,000,000 (the “Loan”) at the
minimum interest rate required to avoid imputed income under the provisions of
the Internal Revenue Code of 1986, as amended (the “Code”), repayable to
Intuit four years from the date of your termination of employment for reasons
other than a Voluntary Termination or a Termination for Cause (both as defined
in Section 6 below) or within six (6) months following your Voluntary
Termination or Termination for Cause or at the end of the 10 year term.
Additionally, for the period of the earlier of: (i) four (4) years following
the date such Loan is made, or (ii) the date of your Termination for Cause or
Voluntary Termination (both as defined in Section 6 below), Intuit will forgive
the annual interest on the Loan and pay any tax due on the Loan. You will be
provided with a gross-up payment to compensate you for any tax up through the
date of your Termination for Cause or Voluntary Termination (both as defined in
Section 6 below) you owe as a result of the Company’s payment of the interest,
forgiving of the interest and/or payment of taxes with respect to the Loan.

          (e) Intuit will purchase a life insurance policy for the amount of the
Loan with you as the beneficiary, and the proceeds of such policy will pay off
the Loan upon your death.

          (f) If within one year following your termination of employment other than
a Termination for Cause or Voluntary Termination (both as defined in Section 6
below) you sell your principal California residence (purchased pursuant to
Section 5 (c) above) Intuit will split with you any loss on the sale of such
residence on a fifty/fifty basis. For purposes of this Section 5(f), “loss”
means the difference between the cost of the principal residence and the price
at which you sell it.

     6. Employment and Termination. Your employment with Intuit will be
at-will and may be terminated by you or by Intuit at any time for any reason as
follows:

          (a) You may terminate your employment upon written notice to the
President/Chief Executive Officer at any time for “Good Reason,” as defined
below (an “Involuntary Termination”);

          (b) You may terminate your employment upon written notice to the
President/Chief Executive Officer at any time in your discretion without Good
Reason (“Voluntary Termination”);

          (c) Intuit may terminate your employment upon written notice to you at any
time following a determination by two-thirds (2/3) vote of the entire Board of
Directors that there is “Cause,” as defined below, for such termination
(“Termination for Cause”);

          (d) Intuit may terminate your employment upon written notice to you at any
time in the sole discretion of two-thirds (2/3) of the entire Board of
Directors without a determination that there is Cause for such termination
(“Termination without Cause”);

          (e) Your employment will automatically terminate upon your death or upon
your disability as determined by the Board of Directors (“Termination for Death
or Total Disability”); provided that “total disability” shall mean that for a
period of one hundred eighty (180) days (A)(i) for so long as such definition
is used for purposes of Intuit’s group life insurance and accidental death and
dismemberment plan or group or long term disability plan, that you are unable
to perform each of the material duties of any gainful occupation for which you
are or become reasonably fitted by training, education or experience and which
total disability is in fact preventing you from engaging in any employment or
occupation for wage or profit; or (ii) if such definition has changed, such
other definition of “total disability” as determined under Intuit’s group life
insurance and accidental death and dismemberment plan or group long term
disability plan; and (B) Intuit shall have received from your primary care
physician a certificate that your total disability is likely to be permanent.

     7. Definitions. As used in this agreement, the following terms have the
following meanings:

          (a) “Good Reason” means (i) a reduction in your title or a material
reduction in your duties or responsibilities that is inconsistent with your
position as Senior Vice President, Small Business Division or a change in your
relationship such that you no longer report directly to the Chief Executive
Officer; (ii) if within the first four (4) years following the Commencement
Date, Stephen Bennett’s no longer being a Section 16 officer, as such term is
defined in Section 16 of the Securities Exchange Act of 1934, as amended (a
“Section 16 Officer”) or director of Intuit without your being offered the
position of Chief Executive Officer of Intuit; (iii) any reduction in your base
annual salary or target bonus opportunity (other than in connection with a
general decrease in the salary or target bonuses for all officers of Intuit)
without your consent or material breach by Intuit of any of its obligations
hereunder after providing Intuit with written notice within seven days of such
breach and an opportunity to cure; (iv) failure of any successor to assume this
agreement pursuant to Section 13(d) below; (v) a requirement by Intuit that you
relocate your principal office to a facility more than 50 miles from Intuit’s
current headquarters; or (vi) in the case of a Change in Control, your not
being offered a position as a Section 16 Officer of the surviving entity or
acquiror that results from any Change in Control.

          (b) “Cause” means (i) gross negligence or willful misconduct in the
performance of your duties to Intuit (other than as a result of a disability)
that has resulted or is likely to result in substantial and material damage to
Intuit, after a demand for substantial performance is delivered to you by the
Chief Executive Officer which specifically identifies the manner in which you
have not substantially performed your duties and you have been provided with a
reasonable opportunity to cure any alleged gross negligence or willful
misconduct; (ii) commission of any act of fraud with respect to Intuit; or
(iii) conviction of a felony or a crime involving moral turpitude causing
material harm to the business and affairs of Intuit. No act or failure to act
by you shall be considered “willful” if done or omitted by you in good faith
with reasonable belief that your action or omission was in the best interests
of Intuit.

          (c) “Change in Control” means (i) any person or entity becoming the
beneficial owner, directly or indirectly, of securities of Intuit representing
fifty (50%) percent of the total voting power of all its then outstanding
voting securities, (ii) a merger or consolidation of Intuit in which its voting
securities immediately prior to the merger or consolidation do not represent,
or are not converted into securities that represent, a majority of the voting
power of all voting securities of the surviving entity immediately after the
merger or consolidation, (iii) a sale of substantially all of the assets of
Intuit or a liquidation or dissolution of Intuit, or (iv) individuals who, as
of the Commencement Date, constitute the Board of Directors (the “Incumbent
Board”) cease for any reason to constitute at least a majority of such Board;
provided that any individual who becomes a director of Intuit subsequent to the
Commencement Date, whose election, or nomination for election by Intuit
stockholders, was approved by the vote of at least a majority of the directors
then in office shall be deemed a member of the Incumbent Board.

     8. Separation Benefits. Upon termination of your employment with Intuit
for any reason, you will receive payment for all unpaid salary and vacation
accrued to the date of your termination of employment; and your benefits will
be continued under Intuit’s then existing benefit plans and policies

 for so long as provided under the terms of such plans and policies and as
required by applicable law. Under certain circumstances and conditioned upon
your execution of a release and waiver of claims against the Company, its
officers and directors, you will also be entitled to receive severance benefits
as set forth below, but you will not be entitled to any other compensation,
award or damages with respect to your employment or termination.

          (a) In the event of your Voluntary Termination or Termination for Cause,
you will not be entitled to any cash severance benefits or additional vesting
of stock options.

          (b) In the event of your Involuntary Termination or Termination without
Cause, you will be entitled to (i) a single lump sum severance payment equal to
eighteen (18) months of your current annual base salary (less applicable
deductions and withholdings) payable within 30 days after the effective date of
your termination; (ii) a payment equal to the Target Bonus you would have
earned pursuant to Section 3(a) above during the eighteen (18) months following
your termination if you had achieved 100% of the Target (less applicable
deductions and withholdings) payable within 30 days after the effective date of
your termination; (iii) immediate acceleration of the vesting and
exercisability of the Option by that portion of the shares subject to the
Option that would have vested and become exercisable in the eighteen (18) full
calendar months following the effective date of such termination; and (iv) a
one (1) year period following the effective date of your termination in which
to exercise the Option to the extent that the Option had vested as of the
effective date of your termination, including the portion of the Option that
has accelerated in vesting pursuant to this Section 8(b)(iii).

          (c) In the event of your Termination for Death or Total Disability, the
vesting and exercisability of the Option shall be immediately accelerated by
that portion of the shares subject to the Option that would have vested and
become exercisable during the twelve (12) months following the date of such
termination; and you or your estate will have until one year after the
effective date of your death or disability to exercise the Option to the extent
that it was vested as of the effective date of your termination; provided,
however, that in the event that applicable provisions of the Intuit Inc. 1993
Equity Incentive Plan provide for additional acceleration of vesting or a
longer exercisability period, such provisions will govern the treatment of the
Option.

          (d) If your severance and other benefits provided for in this Section 8
constitute “parachute payments” within the meaning of Section 280G of the Code
and, but for this subsection, would be subject to the excise tax imposed by
Section 4999 of the Internal Revenue Code, then your severance and other
benefits under this Section 8 will be payable, at your election, either in full
or in such lesser amount as would result, after taking into account the
applicable federal, state and local income taxes and the excise tax imposed by
Section 4999, in your receipt on an after-tax basis of the greatest amount of
severance and other benefits.

          (e) No payments due you hereunder shall be subject to mitigation or
offset.

     9. Indemnification Agreement. Upon your commencement of employment with
Intuit, Intuit will enter into its standard form of indemnification agreement
for officers and directors, a copy of which is attached to this letter as
Exhibit A, to indemnify you against certain liabilities you may incur as an
officer or director of Intuit.

     10. Confidential Information and Invention Assignment Agreement. Upon
your commencement of employment with Intuit, you will be required to sign its
standard form of Employee Agreement, a copy of which is attached to this letter
as Exhibit B, to protect Intuit’s confidential information and intellectual
property.

     11. Nonsolicitation. During the term of your employment with Intuit and
for one year thereafter, you will not, on behalf of yourself or any third
party, solicit or attempt to induce any employee of Intuit to terminate his or
her employment with Intuit.

     12. Arbitration. The parties agree that any dispute regarding the
interpretation or enforcement of this agreement shall be decided by
confidential, final and binding arbitration conducted by Judicial Arbitration
and Mediation Services (“JAMS”) under the then existing JAMS rules rather than
by litigation in court, trial by jury, administrative proceeding or in any
other forum.

     13. Miscellaneous.

          (a)  Authority to Enter into Agreement. Intuit represents that its
Chairman of the Board of Directors has due authority to execute and deliver
this agreement on behalf of Intuit.

          (b) Absence of Conflicts. You represent that as of the end of business on
the Commencement Date your performance of your duties under this agreement will
not breach any other agreement as to which you are a party.

          (c) Attorneys Fees. If a legal action or other proceeding is brought for
enforcement of this agreement because of an alleged dispute, breach, default,
or misrepresentation in connection with any of the provisions of this
agreement, the successful or prevailing party shall be entitled to recover
reasonable attorneys’ fees and costs incurred, both before and after judgment,
in addition to any other relief to which they may be entitled.

          (d) Successors. This agreement is binding on and may be enforced by
Intuit and its successors and assigns and is binding on and may be enforced by
you and your heirs and legal representatives. Any successor to Intuit or
substantially all of its business (whether by purchase, merger, consolidation
or otherwise) will in advance assume in writing and be bound by all of Intuit’s
obligations under this agreement.

          (e) Notices. Notices under this agreement must be in writing and will be
deemed to have been given when personally delivered or two days after mailed by
U.S. registered or certified mail, return receipt requested and postage
prepaid. Mailed notices to you will be addressed to you at the home address
which you have most recently communicated to Intuit in writing, with a copy to
Paul M. Ritter, Esq., Kronish Lieb Weiner & Hellman LLP, 1114 Avenue of the
Americas, New York, N.Y. 10036. Notices to Intuit will be addressed to its
General Counsel at Intuit’s corporate headquarters.

          (f) Waiver. No provision of this agreement will be modified or waived
except in writing signed by you and an officer of Intuit duly authorized by its
Board of Directors. No waiver by either party of any breach of this agreement
by the other party will be considered a waiver of any other breach of this
agreement.

          (g) Entire Agreement. This agreement, including the attached exhibits,
represents the entire agreement between us concerning the subject matter of
your employment by Intuit.

          (h) Governing Law. This agreement will be governed by the laws of the
State of California without reference to conflict of laws provisions.

     Lorrie, we are very pleased to extend this offer of employment to you and
look forward to your joining Intuit. Please indicate your acceptance of the
terms of this agreement by signing in the place indicated below.

	 	 	 
	Very truly yours,	 	Accepted July 31, 2001:
	 
 
	/s/ William V. Cambell	 	/s/ Lorrie M. Norrington
	
	 	

	Chairman of the Board of Directors,

        Intuit Inc.	 	 

EXHIBIT A

 

INDEMNITY AGREEMENT

     This Indemnity Agreement, dated as of July 31, 2001, is made by and
between Intuit Inc., a Delaware corporation (the “Company”), and Lorrie
Norrington, a director and/or officer of the Company and/or of a subsidiary
of the Company (the “Indemnitee”).

RECITALS

     A. The Company is aware that competent and experienced persons are
increasingly reluctant to serve as directors or officers of corporations
unless they are protected by comprehensive liability insurance or
indemnification, due to increased exposure to litigation costs and risks
resulting from their service to such corporations, and due to the fact that
the exposure frequently bears no reasonable relationship to the compensation
of such directors and officers;

     B. Based upon their experience as business managers, the Board of
Directors of the Company (the “Board”) has concluded that, to retain and
attract talented and experienced individuals to serve as officers and
directors of the Company and its subsidiaries and to encourage such
individuals to take the business risks necessary for the success of the
Company and its subsidiaries, it is necessary for the Company to
contractually indemnify its officers and directors and certain officers and
directors of its subsidiaries, and to assume for itself maximum liability for
expenses and damages in connection with claims against such officers and
directors in connection with their service to the Company and its
subsidiaries (including service in such capacities prior to the date this
Agreement is executed);

     C. Section 145 of the General Corporation Law of Delaware, under which
the Company is organized (“Section 145”), empowers the Company to indemnify
by agreement its officers, directors, employees and agents, and persons who
serve, at the request of the Company, as directors, officers, employees or
agents of other corporations or enterprises, and expressly provides that the
indemnification provided by Section 145 is not exclusive; and

     D. The Company desires and has requested the Indemnitee to serve or
continue to serve as a director or officer of the Company and/or the
subsidiaries of the Company free from undue concern for claims for damages
arising out of or related to such services to the Company and/or the
subsidiaries of the Company.

AGREEMENT

     NOW, THEREFORE, the parties hereto, intending to be legally bound,
hereby agree as follows:

     1. Definitions.

          (a) Agent. For the purposes of this Agreement, “agent” of the Company
means any person who is or was a director and/or officer of the Company or of
a subsidiary of the Company; or is or was serving at the request of, for the
convenience of, or to represent the interest of the Company or a subsidiary
of the Company as a director and/or officer of another foreign or domestic
corporation, partnership, joint venture, trust or other enterprise or an
affiliate of the Company; or was a director and/or officer of a foreign or
domestic corporation which was a predecessor corporation of the Company or a
subsidiary of the Company, or was a director and/or officer of another
enterprise or affiliate of the Company at the request of, for the convenience
of, or to represent the interests of such predecessor

corporation. The term “enterprise” includes any employee benefit plan of the
Company, its subsidiaries, affiliates and predecessor corporations.

          (b) Expenses. For purposes of this Agreement, “expenses” includes all
direct and indirect costs of any type or nature whatsoever (including,
without limitation, all attorneys’ fees and related disbursements and other
out-of-pocket costs) actually and reasonably incurred by the Indemnitee in
connection with either the investigation, defense or appeal of a proceeding
or establishing or enforcing a right to indemnification under this Agreement,
Section 145 or otherwise; provided, however, that expenses shall not include
any judgments, fines, ERISA excise taxes or penalties or amounts paid in
settlement of a proceeding.

          (c) Proceeding. For the purposes of this Agreement, “proceeding” means
any threatened, pending, or completed action, suit or other proceeding,
whether civil, criminal, administrative, investigative or any other type
whatsoever.

          (d) Subsidiary. For purposes of this Agreement, “subsidiary” means any
corporation of which more than 50% of the outstanding voting securities is
owned directly or indirectly by the Company, by the Company and one or more
of its subsidiaries, or by one or more of the Company’s subsidiaries.

     2. Agreement to Serve. The Indemnitee agrees to serve and/or continue
to serve as an agent of the Company, at the will of the Company (or under
separate agreement, if such agreement exists), in the capacity Indemnitee
currently serves as an agent of the Company, faithfully and to the best of
his or her ability so long as he or she is duly appointed or elected and
qualified in accordance with the applicable provisions of the Bylaws or
charter documents of the Company or any subsidiary of the Company; provided,
however, that Indemnitee may at any time and for any reason resign from such
position (subject to any contractual obligation that Indemnitee may have
assumed apart from this Agreement) and that the Company or any subsidiary
shall have no obligation under this Agreement to continue Indemnitee in any
such position.

     3. Maintenance of Liability Insurance.

          (a) The Company hereby covenants and agrees that, so long as the
Indemnitee shall continue to serve as an agent of the Company and thereafter
so long as the Indemnitee shall be subject to any possible proceeding by
reason of the fact that the Indemnitee was an agent of the Company, the
Company, subject to Section 3(b), shall use reasonable efforts to obtain and
maintain in full force and effect directors’ and officers’ liability
insurance (“D&O Insurance”) in reasonable amounts from established and
reputable insurers.

          (b) Notwithstanding the foregoing, the Company shall have no obligation
to obtain or maintain D&O Insurance if the Company determines in good faith
that such insurance is not reasonably available, the premium costs for such
insurance are disproportionate to the amount of coverage provided, the
coverage provided by such insurance is limited by exclusions so as to provide
an insufficient benefit, or the Indemnitee is covered by similar insurance
maintained by a subsidiary of the Company.

     4. Mandatory Indemnification. The Company shall indemnify the
Indemnitee:

          (a) Third Party Actions. If the Indemnitee is a person who was or is a
party or is threatened to be made a party to any proceeding (other than an
action by or in the right of the Company) by reason of the fact that he or
she is or was an agent of the Company, or by reason of anything done or not

 

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done by him or her in any such capacity, against any and all expenses and
liabilities of any type whatsoever (including, but not limited to, judgments,
fines, ERISA excise taxes or penalties, and amounts paid in settlement)
actually and reasonably incurred by him or her in connection with the
investigation, defense, settlement or appeal of 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 Company, and, with respect to any
criminal action or proceeding, had no reasonable cause to believe his or her
conduct was unlawful; and

          (b) Derivative Actions. If the Indemnitee is a person who was or is a
party or is threatened to be made a party to any proceeding by or in the
right of the Company to procure a judgment in its favor by reason of the fact
that he or she is or was an agent of the Company, or by reason of anything
done or not done by him or her in any such capacity, against any amounts paid
in settlement of any such proceeding and all expenses actually and reasonably
incurred by him or her in connection with the investigation, defense,
settlement, or appeal of 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 Company; except that no indemnification under this
subsection shall be made in respect of any claim, issue or matter as to which
such person shall have been finally adjudged to be liable to the Company by a
court of competent jurisdiction due to willful misconduct of a culpable
nature in the performance of his or her duty to the Company unless and only
to the extent that the Court of Chancery or the court in which such
proceeding was brought shall determine upon application that, despite the
adjudication of liability but in view of all the circumstances of the case,
such person is fairly and reasonably entitled to indemnity for such amounts
which the Court of Chancery or such other court shall deem proper; and

          (c) Exception for Amounts Covered by Insurance. Notwithstanding the
foregoing, the Company shall not be obligated to indemnify the Indemnitee for
expenses or liabilities of any type whatsoever (including, but not limited
to, judgments, fines, ERISA excise taxes or penalties, and amounts paid in
settlement) which have been paid directly to Indemnitee by D&O Insurance.

     5. Partial Indemnification. If the Indemnitee is entitled under any
provision of this Agreement to indemnification by the Company for some or a
portion of any expenses or liabilities of any type whatsoever (including, but
not limited to, judgments, fines, ERISA excise taxes or penalties, and
amounts paid in settlement) incurred by him or her in the investigation,
defense, settlement or appeal of a proceeding but not entitled, however, to
indemnification for all of the total amount thereof, the Company shall
nevertheless indemnify the Indemnitee for such total amount except as to the
portion thereof to which the Indemnitee is not entitled.

     6. Mandatory Advancement of Expenses. The Company shall advance all
expenses incurred by the Indemnitee in connection with the investigation,
defense, settlement or appeal of any proceeding to which the Indemnitee is a
party or is threatened to be made a party by reason of the fact that the
Indemnitee is or was an agent of the Company or by reason of anything done or
not done by him or her in any such capacity. Indemnitee hereby undertakes to
repay such amounts advanced only if, and to the extent that, it shall
ultimately be determined that the Indemnitee is not entitled to be
indemnified by the Company under the provisions of this Agreement, the
Certificate of Incorporation or Bylaws of the Company, the General
Corporation Law of Delaware or otherwise. The advances to be made hereunder
shall be paid by the Company to the Indemnitee within twenty (20) days
following delivery of a written request therefor by the Indemnitee to the
Company.

     Notwithstanding the foregoing paragraph, unless otherwise determined
pursuant to Section 8, no advance shall be made by the Company if a
determination is reasonably and promptly made by the Board of Directors by a
majority vote of a quorum consisting of directors who are not parties to the
proceeding (or, if no such quorum exists, by independent legal counsel in a
written opinion) that the facts

 

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known to the decision making party at the time such determination is made
demonstrate clearly and convincingly that such person acted in bad faith or
in a manner that such person did not believe to be in the best interests of
the Company and its stockholders.

     7. Notice and Other Indemnification Procedures.

          (a) Promptly after receipt by the Indemnitee of notice of the
commencement of or the threat of commencement of any proceeding, the
Indemnitee shall, if the Indemnitee believes that indemnification with
respect thereto may be sought from the Company under this Agreement, notify
the Company of the commencement or threat of commencement thereof.

          (b) If, at the time of the receipt of a notice of the commencement of a
proceeding pursuant to Section 7(a) hereof, the Company has D&O Insurance in
effect, the Company shall give prompt notice of the commencement of such
proceeding to the insurers in accordance with the procedures set forth in the
respective policies. The Company shall thereafter take all necessary or
desirable action to cause such insurers to pay, on behalf of the Indemnitee,
all amounts payable as a result of such proceeding in accordance with the
terms of such policies.

          (c) In the event the Company shall be obligated to advance the expenses
for any proceeding against the Indemnitee, the Company, if appropriate, shall
be entitled to assume the defense of such proceeding, with counsel approved
by the Indemnitee, upon the delivery to the Indemnitee of written notice of
its election so to do. After delivery of such notice, approval of such
counsel by the Indemnitee and the retention of such counsel by the Company,
the Company will not be liable to the Indemnitee under this Agreement for any
fees of counsel subsequently incurred by the Indemnitee with respect to the
same proceeding, provided that (i) the Indemnitee shall have the right to
employ his or her counsel in any such proceeding at the Indemnitee’s expense;
and (ii) if (A) the employment of counsel by the Indemnitee has been
previously authorized by the Company, (B) the Indemnitee shall have
reasonably concluded that there may be a conflict of interest between the
Company and the Indemnitee in the conduct of any such defense or (C) the
Company shall not, in fact, have employed counsel to assume the defense of
such proceeding, the fees and expenses of Indemnitee’s counsel shall be at
the expense of the Company.

     8. Determination of Right to Indemnification.

          (a) To the extent the Indemnitee has been successful on the merits or
otherwise in defense of any proceeding referred to in Section 4(a) or 4(b) of
this Agreement or in the defense of any claim, issue or matter described
therein, the Company shall indemnify the Indemnitee against expenses actually
and reasonably incurred by him or her in connection with the investigation,
defense or appeal of such proceeding.

          (b) In the event that Section 8(a) is inapplicable, the Company shall
nonetheless indemnify the Indemnitee unless the Company shall prove by clear
and convincing evidence to a forum listed in Section 8(c) below that the
Indemnitee has not met the applicable standard of conduct required to entitle
the Indemnitee to such indemnification.

          (c) The Indemnitee shall be entitled to select the forum in which the
validity of the Company’s claim under Section 8(b) hereof that the Indemnitee
is not entitled to indemnification will be heard from among the following:

               (1) A quorum of the Board consisting of directors who are not parties to
the proceeding for which indemnification is being sought;

 

4

               (2) The stockholders of the Company;

               (3) Legal counsel selected by the Indemnitee, and reasonably approved by
the Board, which counsel shall make such determination in a written opinion;
or

               (4) A panel of three arbitrators, one of whom is selected by the
Company, another of whom is selected by the Indemnitee and the last of whom
is selected by the first two arbitrators so selected.

          (d) As soon as practicable, and in no event later than thirty (30) days
after written notice of the Indemnitee’s choice of forum pursuant to Section
8(c) above, the Company shall, at its own expense, submit to the selected
forum in such manner as the Indemnitee or the Indemnitee’s counsel may
reasonably request, its claim that the Indemnitee is not entitled to
indemnification; and the Company shall act in the utmost good faith to assure
the Indemnitee a complete opportunity to defend against such claim.

          (e) If the forum listed in Section 8(c) hereof selected by Indemnitee
determines that Indemnitee is entitled to indemnification with respect to a
specific proceeding, such determination shall be final and binding on the
Company. If the forum listed in Section 8(c) hereof selected by Indemnitee
determines that Indemnitee is not entitled to indemnification with respect to
a specific proceeding, the Indemnitee shall have the right to apply to the
Court of Chancery of Delaware, the court in which that proceeding is or was
pending or any other court of competent jurisdiction, for the purpose of
enforcing the Indemnitee’s right to indemnification pursuant to the
Agreement.

          (f) Notwithstanding any other provision in this Agreement to the
contrary, the Company shall indemnify the Indemnitee against all expenses
incurred by the Indemnitee in connection with any hearing or proceeding under
this Section 8 involving the Indemnitee and against all expenses incurred by
the Indemnitee in connection with any other proceeding between the Company
and the Indemnitee involving the interpretation or enforcement of the rights
of the Indemnitee under this Agreement unless a court of competent
jurisdiction finds that each of the material claims and/or defenses of the
Indemnitee in any such proceeding was frivolous or not made in good faith.

     9. Exceptions. Any other provision herein to the contrary
notwithstanding, the Company shall not be obligated pursuant to the terms of
this Agreement:

          (a) Claims Initiated by Indemnitee. To indemnify or advance expenses to
the Indemnitee with respect to proceedings or claims initiated or brought
voluntarily by the Indemnitee and not by way of defense, except with respect
to proceedings specifically authorized by the Board of Directors or brought
to establish or enforce a right to indemnification under this Agreement, the
Bylaws or charter documents of the Company or any subsidiary, or any statute
or law or otherwise as required under Section 145, but such indemnification
or advancement of expenses may be provided by the Company in specific cases
if the Board of Directors finds it to be appropriate; or

          (b) Lack of Good Faith. To indemnify the Indemnitee for any expenses
incurred by the Indemnitee with respect to any proceeding instituted by the
Indemnitee to enforce or interpret this Agreement, if a court of competent
jurisdiction determines that each of the material assertions made by the
Indemnitee in such proceeding was not made in good faith or was frivolous; or

 

5

          (c) Unauthorized Settlements. To indemnify the Indemnitee under this
Agreement for any amounts paid in settlement of a proceeding unless the
Company consents in advance in writing to such settlement; or

          (d) Claims by the Company for Willful Misconduct. To indemnify or
advance expenses to the Indemnitee under this Agreement for any expenses
incurred by the Indemnitee with respect to any proceeding or claim brought by
the Company against Indemnitee for willful misconduct, unless a court of
competent jurisdiction determines that each of such claims was not made in
good faith or was frivolous; or

          (e) Section
16(b) Actions. To indemnify the Indemnitee on account of
any suit in which judgment is rendered against Indemnitee for an accounting
of profits made from the purchase or sale by Indemnitee of securities of the
Company pursuant to the provisions of Section 16(b) of the Securities and
Exchange Act of 1934 and amendments thereto or similar provisions of any
federal, state or local statutory law; or

          (f) Willful Misconduct. To indemnify the Indemnitee on account of
Indemnitee’s conduct which is finally adjudged to have been knowingly
fraudulent or deliberately dishonest, or to constitute willful misconduct or
a knowing violation of the law; or

          (g) Improper Personal Benefit. To indemnify the Indemnitee on account
of Indemnitee’s conduct from which Indemnitee derived an improper personal
benefit; or

          (h) Contrary to Best Interests. To indemnify the Indemnitee on account
of Indemnitee’s conduct that he or she believed to be contrary to the best
interests of the Company or its stockholders;

          (i) Breach of Duty of Loyalty. To indemnify the Indemnitee on account
of conduct that constituted a breach of Indemnitee’s duty of loyalty to the
Company or its stockholders; or

          (j) Unlawful Indemnification. To indemnify the Indemnitee if a final
decision by a court having jurisdiction in the matter shall determine that
such indemnification is not lawful. In this respect, the Company and the
Indemnitee have been advised that the Securities and Exchange Commission
takes the position that indemnification for liabilities arising under the
federal securities law is against public policy and is, therefore,
unenforceable and that claims for indemnification should be submitted to
appropriate courts for adjudication.

     10. Non-exclusivity. The provisions for indemnification and advancement
of expenses set forth in this Agreement shall not be deemed exclusive of any
other rights which the Indemnitee may have under any provision of law, the
Company’s Certificate of Incorporation or Bylaws, the vote of the Company’s
stockholders or disinterested directors, other agreements, or otherwise, both
as to action in the Indemnitee’s official capacity and to action in another
capacity while occupying his or her position as an agent of the Company, and
the Indemnitee’s rights hereunder shall continue after the Indemnitee has
ceased acting as an agent of the Company and shall inure to the benefit of
the heirs, executors and administrators of the Indemnitee.

     11. Interpretation of Agreement. It is understood that the parties
hereto intend this Agreement to be interpreted and enforced so as to provide
indemnification to the Indemnitee to the fullest extent now or hereafter
permitted by law.

 

6

     12. Severability. If any provision or provisions of this Agreement
shall be held to be invalid, illegal or unenforceable for any reason
whatsoever, (i) the validity, legality and enforceability of the remaining
provisions of the Agreement (including, without limitation, all portions of
any paragraphs of this Agreement containing any such provision held to be
invalid, illegal or unenforceable, that are not themselves invalid, illegal
or unenforceable) shall not in any way be affected or impaired thereby, and
(ii) to the fullest extent possible, the provisions of this Agreement
(including, without limitation, all portions of any paragraphs of this
Agreement containing any such provision held to be invalid, illegal or
unenforceable, that are not themselves invalid, illegal or unenforceable)
shall be construed so as to give effect to the intent manifested by the
provision held invalid, illegal or unenforceable and to give effect to
Section 12 hereof.

     13. 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 provision hereof (whether
or not similar) nor shall such waiver constitute a continuing waiver.

     14. Subrogation. In the event of payment under this Agreement, the
Company shall be subrogated to the extent of such payment to all of the
rights of recovery of Indemnitee, who shall execute all documents required
and shall do all acts that may be necessary or desirable to secure such
rights and to enable the Company effectively to bring suit to enforce such
rights.

     15. Counterparts. This Agreement may be executed in one or more
counterparts, which shall together constitute one agreement.

     16. Successors and Assigns. The terms of this Agreement shall bind, and
shall inure to the benefit of, the successors and assigns of the parties
hereto.

     17. Notice. All notices, requests, demands and other communications
under this Agreement shall be in writing and shall be deemed duly given (i)
if delivered by hand and receipted for by the party addressee or (ii) if
mailed by certified or registered mail with postage prepaid, on the third
business day after the mailing date. Addresses for notice to either party
are as shown on the signature page of this Agreement, or as subsequently
modified by written notice.

     18. Governing Law. This Agreement shall be governed exclusively by and
construed according to the laws of the State of Delaware, as applied to
contracts between Delaware residents entered into and to be performed
entirely with Delaware.

     19. Consent to Jurisdiction. The Company and the Indemnitee each hereby
irrevocably consent to the jurisdiction of the courts of the State of
Delaware for all purposes in connection with any action or proceeding which
arises out of or relates to this Agreement.

 

7

     The parties hereto have entered into this Indemnity Agreement as of the
date first above written.

	 	 	 
	 	 

        Address:	INTUIT INC.

2535 Garcia Avenue

Mountain View, CA 94043
	 
	 	 	/s/ Greg J. Santora

Senior Vice President and

Chief Financial Officer
	 
	 	 	INDEMNITEE:
	 
	 	Name:	Lorrie Norrington
	 
	 	Address:	 
	 	 	

	 
	 	 	

	 
	 	Signature:       	/s/ Lorrie Norrington

 
 

8

EXHIBIT B

EMPLOYEE INVENTION ASSIGNMENT AND CONFIDENTIALITY AGREEMENT

     1. I understand that Intuit Inc. (the “Company”) is engaged in a
continuous program of research, development, production and marketing in
connection with its business and that it is critical for the Company to
preserve and protect its Proprietary Information (as defined below), its rights
in Inventions (as defined below) and in all related intellectual property
rights (collectively referred to as “Intellectual Property”). Accordingly, I
am entering into this agreement as a condition of my employment with the
Company, whether or not I am expected to create inventions of value for the
Company.

     2. I understand that during the course of my employment with the Company
it is likely I will gain access to information of a confidential or secret
nature, including but not limited to Inventions (as defined below), marketing
plans, product plans, business strategies, financial information, forecasts,
personnel information, customer lists, and trade secrets (“Proprietary
Information”). Such information may relate to the business of the Company or
to the business or any subsidiary, affiliate or any party with whom the Company
is bound to hold information of such party confidential.

     3. I agree that, at all times, both during my employment and after I leave
the Company, I will keep and hold any Proprietary Information in strict
confidence and trust, and I will not use or disclose any Proprietary
Information without first receiving the Company’s express written consent,
except if compelled by government or court order to do so. Upon leaving the
Company, I will promptly give to the Company all documents, materials or
property in my possession related to the Company. I will not take with me any
property or copies of my work or Company related documents and materials that I
have received or used, including Proprietary Information.

     4. During the course of my employment, I agree to promptly disclose in
confidence to the Company all inventions, improvements, designs, original works
of authorship, formulas, processes, compositions of matter, computer software
programs, databases, mask works and trade secrets (“Inventions”) that I make or
conceive or first reduce to practice or create, either alone or jointly with
others, whether or not in the course of my employment, and whether or not such
Inventions are patentable, copyrightable or protectible as trade secrets.

     5. I understand that, under the copyright laws, any copyrightable works
prepared by me within the course and scope of my employment are “works for
hire”. Consequently, the Company will be considered the author and owner of
such works.

     6. I agree that all Inventions that (a) are developed using equipment,
supplies, facilities, or trade secrets of the Company, (b) result from work
performed by me for the Company, or (c) relate to the Company’s business or
current or anticipated research and development, will be the sole and exclusive
property of the Company. I hereby assign and agree to transfer to the Company
any and all rights that I may have in any such Inventions and in any associated
Intellectual Property.

     7. I also waive and agree never to assert any “Moral Rights” I might have
in or with respect to any Invention even after I leave the Company. Moral
Rights means any right (or similar right existing under the judicial or
statutory law of any country or treaty) to claim authorship of any Invention,
to object or prevent modification of any Invention, or to withdraw from
circulation or to control the publication or distribution of any Invention.

     8. I agree to assist the Company in every proper way to obtain and enforce
the intellectual property protection for any Intellectual Property in any and
all countries. I will sign documents that the Company may reasonably request
to obtain such protection. My obligations under this paragraph will continue
even after I leave the Company, provided the Company will reimburse me at a
reasonable rate after I leave the Company for time or expenses actually spent
by me on its behalf.

     9. I understand that my employment with the Company requires my undivided
attention and effort. As a result, during my employment, I will not, without
the company’s express written consent, engage in any other employment or
business that (i) directly or indirectly competes with the current or future
business of the Company; (ii) uses any Company information, equipment,
supplies, facilities or materials; or (iii) otherwise interferes or conflicts
in any way with my employment with the Company.

 

     10. During my employment with the Company and for a period of one (1) year
thereafter, I will not directly or indirectly solicit away employees or
consultants of the Company for my own benefit or for the benefit of any other
person or entity.

     11. During my employment with the Company and after termination of my
employment, I will not directly or indirectly solicit or take away suppliers or
customers of the Company if the identity of the supplier or customer or
information about the supplier or customer relationship is a trade secret or is
otherwise deemed confidential information within the meaning of California law.

     12. I agree and authorize the Company to use, reuse, and grant others the
right to use and reuse, both during and after my employment, my name,
photograph, likeness (including caricature), voice, and biographical
information, and any reproduction or simulation thereof, in any current or
future media (including but not limited to film, video and digital or other
electronic media) in connection with any promotion, marketing or advertising of
the Company or its products or services.

     13. I represent that my performance of all the terms of this agreement and
my responsibilities as an employee of the Company will not breach any invention
assignment/proprietary information agreement with any former employer or other
party and that will not use or disclose any trade secrets or proprietary
information from any former employer or third party in the course of my
employment with the Company. I also represent that I will not bring with me to
the Company or use in the performance of my responsibilities for the Company
any property of a former employer that would not generally be available to the
public or have not been legally transferred to the Company. I hereby authorize
the Company to notify, after I leave the Company, my employer or future
employer of the terms of this Agreement and my responsibilities detailed in
this agreement.

     14. I understand that any breach or threatened breach of this agreement by
me will likely result in irreparable harm and the Company will be entitled to
injunctive relief to enforce this agreement and shall have the right to recover
the reasonable attorney’s fees and court costs expended in connection with any
litigation instituted to enforce this agreement.

     15. This agreement will be governed and interpreted in accordance with the
internal laws of the State of California, without regard to or application of
choice of law rules or principles. In the event that any provision of this
agreement is found by a court or other competent tribunal to be illegal,
invalid or unenforceable, then that provision will not be voided but enforced
to the maximum extent allowed, and the remainder of the agreement will remain
in full force and effect.

     16. I have been notified and understand that certain Inventions may be
excepted from this agreement if it qualifies fully under the provisions of
Section 2870 of the California Labor Code, which states as follows:

ANY PROVISION IN AN EMPLOYMENT AGREEMENT WHICH PROVIDES THAT AN EMPLOYEE SHALL
ASSIGN, OR OFFER TO ASSIGN, ANY OF HIS OR HER RIGHTS IN AN INVENTION TO HIS OR
HER EMPLOYER SHALL NOT APPLY TO AN INVENTION THAT THE EMPLOYEE DEVELOPED
ENTIRELY ON HIS OR HER OWN TIME WITHOUT USING THE EMPLOYER’S EQUIPMENT,
SUPPLIES, FACILITIES, OR TRADE SECRET INFORMATION EXCEPT FOR THOSE INVENTIONS
THAT EITHER: (1) RELATE AT THE TIME OF CONCEPTION OR REDUCTION TO PRACTICE OF
THE INVENTION TO THE EMPLOYER’S BUSINESS, OR ACTUALLY OR DEMONSTRABLY
ANTICIPATED RESEARCH OR DEVELOPMENT OF THE EMPLOYER, OR (2) RESULT FROM ANY
WORK PERFORMED BY THE EMPLOYEE FOR THE EMPLOYER. TO THE EXTENT A PROVISION IN
AN EMPLOYMENT AGREEMENT PURPORTS TO REQUIRE AN EMPLOYEE TO ASSIGN AN INVENTION
OTHERWISE EXCLUDED FROM BEING REQUIRED TO BE ASSIGNED UNDER CALIFORNIA LABOR
CODE SECTION 2870(a), THE PROVISION IS AGAINST THE PUBLIC POLICY OF THIS STATE
AND IS UNENFORCEABLE.

 

     17. I understand that this agreement does not constitute an employment
contract or obligate the Company to employ me for any period of time. I
understand that my employment with the Company is at will and may be terminated
by the Company at any time and for any reason, with or without notice. This
agreement will be effective as of the first day of my employment by the Company
which will be July 31, 2001.

	 	 	 	 	 
	Intuit Inc.:	 	
Employee:
	 
	By:	/s/ Greg J. Santora	 	
By:	 /s/ Lorrie M. Norrington
	 	
	 	 	

	 
	Title:	Senior Vice President and Chief Financial OfficerTHE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER
THE SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES LAWS AND MAY NOT
BE TRANSFERRED, SOLD OR OTHERWISE DISPOSED OF EXCEPT WHILE SUCH A REGISTRATION
IS IN EFFECT UNDER SUCH ACT AND APPLICABLE STATE SECURITIES LAWS OR PURSUANT TO
AN EXEMPTION FROM REGISTRATION UNDER SUCH ACT OR SUCH LAWS. THE COMPANY (AS
DEFINED BELOW) WILL TRANSFER SUCH SECURITY ONLY UPON RECEIPT OF AN OPINION OF
COUNSEL, IN FORM AND SUBSTANCE SATISFACTORY TO THE COMPANY, THAT THE
REGISTRATION PROVISIONS OF SUCH ACT HAVE BEEN COMPLIED WITH OR THAT SUCH
REGISTRATION IS NOT REQUIRED AND THAT SUCH TRANSFER WILL NOT VIOLATE ANY
APPLICABLE STATE SECURITIES LAWS.

            EXERCISABLE AT ANY TIME SUBJECT TO THE PROVISIONS HEREOF

                NO. _____ INTERNATIONAL COSMETICS MARKETING CO.
                           D/B/A BEVERLY SASSOON & CO.
                               WARRANT CERTIFICATE

                   Warrant Certificate for _________ Warrants
                      to Purchase _________ Warrant Shares

         This Warrant Certificate certifies that, for value received,
________________ (the "Holder") is the owner of the number of warrants set forth
above (the "Warrants"), which entitle the Holder to purchase from International
Cosmetics Marketing Co. d/b/a Beverly Sassoon & Co. (the "Company") at any time
from and after the date hereof and without expiration an aggregate of _______
Warrant Shares (as defined below), at the purchase price stated in Section 2.3
hereof (the "Exercise Price"). The number of Warrant Shares purchasable upon
exercise of the Warrants and the Exercise Price shall be subject to adjustment
from time to time as herein provided.

         For purposes of this Warrant Certificate, "Warrant Shares" shall mean
shares of the Company's Common Stock, par value $.001 (the "Common Stock");
provided, however, that if, in accordance with Section 6.3 hereof, the
securities issuable upon exercise of the Warrants are issued by an entity other
than the Company or there is a change in the class of securities so issuable,
then the "Warrant Shares" shall mean the securities so issuable by such entity
or the securities of the class of securities so issuable.

         The Warrants are subject to the following terms, conditions and
provisions:

         SECTION 1. Registration; Transferability; Exchange of Warrant
Certificate.

                  1.1 Registration. The Company shall number and register the
Warrants in a register (the "Warrant Register") maintained at the principal
office of the Company (the "Office"). The Company shall be entitled to treat the
Holder of the Warrants as the owner thereof for all purposes and shall not be
bound to recognize any equitable or other claim to or interest in such Warrants
on the part of any other person.

<PAGE>

                  1.2 Transfer and Exchange.

                           (a) The Warrants shall be transferable only on the
Warrant Register upon delivery thereof by the Holder or by his duly authorized
attorney or representative or accompanied by proper evidence of succession,
assignment or authority to transfer. Upon any such registration of transfer, a
new Warrant Certificate, in substantially the form of this Warrant Certificate,
evidencing the Warrants so transferred shall be issued to the transferee of such
Warrants and a new Warrant Certificate, in substantially the form of this
Warrant Certificate, evidencing the remaining Warrants, if any, not so
transferred, shall be issued to the Holder. No transfer of the Warrants or any
interest therein other than in compliance with this Section 1.2 shall be made or
recorded in the Warrant Register, and any such purported transfer shall be void
and of no effect.

                           (b) This Warrant Certificate is exchangeable, in
whole or in part, upon the surrender hereof by the holder hereof at the Office
for new Warrant Certificates, in substantially the form of this Warrant
Certificate, evidencing in the aggregate the right to purchase the number of
Warrant Shares that may then be purchased hereunder, each of such new Warrant
Certificates to be dated the date of such exchange and to represent the right to
purchase such number of Warrant Shares as shall be designated by the holder of
such new Warrant Certificates at the time of such surrender.

         SECTION 2. Term of Warrants; Exercise of Warrants.

                  2.1 Term of Warrant. Subject to the terms of this Warrant
Certificate, the Holder shall have the right, which may be exercised by the
registered Holder hereof from time to time on any Business Day before 5:00 P.M.
(New York City time) during the period through and including the fifth
anniversary hereof (the "Expiration Date") to purchase from the Company an
aggregate of _______ fully paid and non-assessable Warrant Shares or such other
number of Warrant Shares which the Holder may at the time be entitled to
purchase in accordance with this Warrant Certificate. At 5:00 P.M. (New York
City time) on the Expiration Date, each Warrant not exercised prior thereto
shall be and become void and of no value.

                  2.2 Exercise of Warrants. Subject to the terms of this Warrant
Certificate, the Warrants evidenced by this Warrant Certificate may be exercised
in whole or in part, upon surrender to the Company, at its Office, of this
Warrant Certificate, with a Purchase Form substantially in the form attached
hereto duly completed and signed, and upon payment to the Company of the
Exercise Price. Payment of the aggregate Exercise Price shall be in cash or by
check payable to the order of the Company; provided that in lieu of payment in
cash, at the option of the Holder, the Exercise Price may be payable either by
(i) delivery to the Company of securities of the Company owned by the Holder
having a Fair Market Value (as hereinafter defined), or in the case of preferred
stock, an aggregate liquidation preference, equal to the Exercise Price; or (ii)
surrender to the Company of a portion of the Warrants evidenced by this Warrant
Certificate representing the right to purchase such number of Warrant Shares as
to which the aggregate Fair Market Value of such Warrant Shares minus the
Exercise Price therefor equals the Exercise Price for the Warrant Shares as to
which Warrants evidenced hereby are being exercised.

         As used herein, "Fair Market Value" of the Common Stock or other
securities means, on any date, the average of the last sale price, regular way,
for the 10-business day period

<PAGE>

immediately preceding such date, or if no such sales took place during such
10-business day period, the average of the closing bid and asked prices, regular
way, for each day in such 10- business day period, in either case as reported on
the principal consolidated transaction reporting system with respect to
securities listed on the principal national securities exchange on which the
shares of Common Stock or such other securities are listed, or, if the Common
Stock or such other securities are not listed or admitted to trading on any
national securities exchange, the average of the last quoted sale price for such
10-business day period or, if not so quoted, the average of the high bid and low
asked prices for each day in such 10-business day period in the over-the-counter
market, as reported by the National Association of Securities Dealers, Inc.
Automated Quotation System or such other system then in use, or, if on any such
date the Common Stock is not quoted by any such organization, the average of the
closing bid and asked prices during such 10-business day period as furnished by
a professional market maker making a market in the Common Stock or such other
securities selected by the Board of Directors of the Company. If the shares of
Common Stock or such other securities are not publicly held or so listed or
publicly traded, "Fair Market Value" shall mean the fair market value per share
of Common Stock or such other securities as determined, in good faith and in the
exercise of reasonable business judgment, by the Board of Directors of the
Company.

         Upon the surrender of this Warrant Certificate, with the Purchase Form
duly executed, and payment of the Exercise Price as aforesaid, the Company shall
promptly and, in any event within ten Business Days, issue and deliver to or
upon the written order of the Holder and in such name or names as the Holder may
designate a certificate or certificates for such number of Warrant Shares so
purchased. Such certificate or certificates shall be dated and deemed to have
been issued as of the date of the surrender of this Warrant Certificate and
payment of the Exercise Price, as aforesaid. The right of purchase represented
by this Warrant Certificate shall be exercisable, at the election of the Holder,
in full at any time or in part from time to time. In the event the Holder shall
exercise fewer than all the Warrants evidenced hereby, a new Warrant Certificate
shall be issued evidencing the remaining unexercised Warrants.

                  2.3 Exercise Price. The price per share at which each Warrant
Share shall be purchased upon exercise of each Warrant (the "Exercise Price")
shall be $_____, subject to adjustment pursuant to Section 6.

         SECTION 3. Payment of Taxes. The Company covenants and agrees that it
will pay when due and payable all documentary, stamp and other similar taxes, if
any, which may be payable in respect of the issuance or delivery of the Warrants
or of the Warrant Shares purchasable and issuable upon the exercise of the
Warrants; provided, however, that the Company shall not be required to pay any
such tax or other charge imposed in respect of the transfer of Warrants, or the
issuance or delivery of certificates for Warrant Shares or other Securities in
respect of the Warrant Shares upon the exercise of Warrants, to a person or
entity other than a then-existing registered Holder of Warrants.

         SECTION 4. Mutilated or Missing Warrants. In the event this Warrant
Certificate shall be mutilated, lost, stolen or destroyed, the Company shall
issue and deliver in exchange and substitution for and upon cancellation of the
mutilated Warrant Certificate, or in lieu of and in substitution for the Warrant
Certificate lost, stolen or destroyed, a new Warrant Certificate of like tenor
and representing an equivalent right or interest, but only upon, in the event of
a lost, stolen

<PAGE>

or destroyed certificate, receipt of evidence satisfactory to the Company of
such loss, theft or destruction and, if requested by the Company, upon indemnity
that also is satisfactory to it; provided that a written undertaking of such
loss, theft or destruction of this Warrant Certificate by the registered Holder
hereof or any Affiliate thereof shall be deemed a satisfactory indemnity of the
Company for purposes of this Section 4. In making application for such a
substitute Warrant Certificate, the Holder shall also comply with such other
reasonable regulations and pay such other reasonable charges as the Company may
prescribe.

         SECTION 5. Reservation and Availability of Warrant Shares; Purchase and
Cancellation of Warrants.

                  5.1 Reservation of Warrant Shares.

                           (a) The Company shall at all times reserve and keep
available free from preemptive rights, out of the aggregate of its authorized
but unissued shares of Common Stock, for the purpose of enabling it to satisfy
any obligations to issue the Warrant Shares upon exercise of the Warrants, the
full number of Warrant Shares deliverable upon the exercise of all the Warrants
evidenced by this Warrant Certificate (as adjusted pursuant to Section 6). The
Company or, if appointed, the transfer agent for the Common Stock and every
subsequent transfer agent for any shares of the Company's capital stock issuable
upon the exercise of any of the rights of purchase aforesaid (each, a "Transfer
Agent") shall be irrevocably authorized and directed at all times to reserve
such number of authorized shares of Common Stock as shall be required for such
purpose. The Company will keep a copy of this Warrant Certificate on file with
each Transfer Agent. The Company will furnish such Transfer Agent a copy of all
notices of adjustments and certificates related thereto which are transmitted to
the Holder pursuant to Section 6 hereof.

                           (b) The Company covenants that all Warrant Shares
issuable upon exercise of the Warrants will, upon issuance, be fully paid,
non-assessable and free from preemptive rights and free from all taxes, liens,
charges and security interests with respect to the issuance thereof.

                           (c) Before taking any action which would cause an
adjustment pursuant to Section 6, the Company will take any and all corporate
action which may, in the opinion of its counsel, be necessary in order that the
Company may validly and legally issue fully paid and non- assessable Warrant
Shares at the Exercise Price as so adjusted.

                  5.2 Warrant Shares Record Date. Each person in whose name any
stock certificate for Warrant Shares is issued shall for all purposes be deemed
to have become the holder of record of the Warrant Shares represented thereby,
and such stock certificate shall be dated the date upon which this Warrant
Certificate was duly surrendered and payment of the Exercise Price (and any
applicable transfer taxes) was made.

                  5.3 Cancellation of Warrant.  Upon surrender of the Warrant
Certificate for exchange, substitution, transfer or exercise, it shall be
canceled by the Company and retired.

         SECTION 6. Adjustment of Number of Warrant Shares and Exercise Price.
The number of securities purchasable upon the exercise of each Warrant and the
Exercise Price shall

<PAGE>

be subject to adjustment from time to time upon the happening of certain events
as hereinafter described.

                  6.1 Mandatory Adjustments.  The number of securities
purchasable upon the exercise of the Warrants and the Exercise Price shall be
subject to adjustment as follows:

                           (a) In case the Company shall (i) declare or pay a
dividend on any of its outstanding Common Stock in shares of Common Stock or
make a distribution to holders of its outstanding Common Stock in shares of
Common Stock, (ii) subdivide any of its outstanding Common Stock into a greater
number of shares of Common Stock, (iii) combine any of its outstanding Common
Stock into a smaller number of shares of Common Stock, or (iv) issue by
reclassification of any of its shares of Common Stock other securities of the
Company (including any such reclassification in connection with a consolidation,
merger or other business combination in which the Company is the surviving
corporation), the number and kind of Warrant Shares purchasable and issuable
upon exercise of the Warrants shall be adjusted so that the Holder, upon
exercise thereof, shall be entitled to receive the number and kind of Warrant
Shares and other securities of the Company that the Holder would have owned or
have been entitled to receive after the happening of any of the events described
above had the Warrants been exercised and the relevant Warrant Shares issued in
the name of the Holder immediately prior to the happening of such event or, if
applicable, any record date with respect thereto. An adjustment made pursuant to
this paragraph (a) shall become effective on the date of the dividend payment,
subdivision, combination or issuance retroactive to the record date with respect
thereto, if any, for such event. Upon adjustment of the number of Warrant Shares
as provided in this paragraph (a), the Exercise Price payable upon exercise of
each Warrant shall be adjusted by multiplying such Exercise Price immediately
prior to such adjustment by a fraction of which the numerator shall be the
number of Warrant Shares purchasable upon the exercise of each Warrant
immediately prior to such adjustment and of which the denominator shall be the
number of Warrant Shares purchasable immediately thereafter.

                           (b) In case the Company shall distribute to all
holders of its outstanding Common Stock evidences of indebtedness of the
Company, cash (including cash dividends payable out of consolidated earnings or
earned surplus) or assets or securities other than its Common Stock (including
stock of a subsidiary or securities convertible into or exercisable for such
stock but excluding dividends or distributions referred to in Sections 6.1(a)
above or Section 6.1(c) below) (any such evidences of indebtedness, cash, assets
or securities, the "assets or securities"), then, in each case, the Exercise
Price shall be adjusted by subtracting from the Exercise Price then in effect
the value (as determined in accordance with Section 6.2(b)) of the assets or
securities that the Holder would have been entitled to receive per Warrant Share
as a result of such distribution had the Warrant been exercised and the relevant
Warrant Shares issued in the name of the Holder immediately prior to the record
date for such distribution; provided that if, after giving effect to such
adjustment, the Exercise Price would be less than the then par value of the
Common Stock, the Company shall distribute such assets or securities to the
Holder as if the Holder had exercised the Warrants and the Warrant Shares had
been issued in the name of the Holder immediately prior to the record date for
such distribution. Any adjustment required by this Section 6.1(b) shall be made
whenever any such distribution is made, and shall become effective on the date
of distribution retroactive to the record date for the determination of
stockholders entitled to receive such distribution.

<PAGE>

                           (c) If at any time after the date hereof the Company
shall issue or sell any shares of Common Stock or any warrants, options or
rights to subscribe for or purchase Common Stock ("Purchase Rights") or
securities convertible into Common Stock ("Convertible Securities") (but
excluding distributions referred to in paragraph (a) or (b) above), and the
consideration per share for, or the price per share at which such Purchase Right
or Convertible Security is exercisable for or convertible into, such Common
Stock (the "Subsequent Issue Price") is less than the Exercise Price in effect
immediately prior to such issuance or sale, then, forthwith upon such issuance
or sale, the Exercise Price shall be reduced to the Subsequent Issue Price. In
the case of an adjustment pursuant to this Section 6.1(c) for a subsequent
issuance of Purchase Rights or Convertible Securities, the Subsequent Issue
Price shall be deemed to be the lowest possible price in any range of prices at
which such Purchase Rights or Convertible Securities may be exercised or
converted. No further adjustments of the Exercise Price shall be made upon the
actual issuance of such Common Stock upon conversion or exchange of such
Purchase Rights or Convertible Securities and, if any issue or sale of such
Purchase Rights or Convertible Securities is made upon exercise of any warrant
or other right to subscribe for or to purchase any such Purchase Rights or
Convertible Securities for which adjustments of the Exercise Price have been or
are to be made pursuant to other provisions of this Section 6.1, no further
adjustments of the Exercise Price shall be made by reason of such issue or sale.
For the purposes of this subparagraph (c), the date as of which the Exercise
Price shall be computed shall be the earlier of (i) the date on which the
Company shall enter into a firm contract for the issuance of such Purchase
Rights or Convertible Securities; and (ii) the date of actual issuance of such
Purchase Rights or Convertible Securities. Such adjustments shall be made upon
each issuance of Purchase Rights or Convertible Securities and shall become
effective immediately after such issuance.

                           (d) The Exercise Price shall be adjusted when and as
needed pursuant to Section 2(b)(ii) of the Registration Rights Agreement between
Stanford Venture Capital Holdings, Inc. and the Company.

                           (e) Upon each adjustment of the Exercise Price
pursuant to paragraphs (b)-(d) of this Section 6.1, this Warrant Certificate
shall be deemed to evidence the right to purchase, at the adjusted Exercise
Price, that number of Warrant Shares obtained by multiplying the number of
Warrant Shares covered by this Warrant Certificate immediately prior to such
adjustment by the Exercise Price in effect prior to such adjustment and dividing
the product so obtained by the Exercise Price in effect after such adjustment.

                  6.2 Notice of Adjustment.

                           (a) The Company hereby agrees that whenever any
adjustment of the number of Warrant Shares purchasable upon the exercise of the
Warrants or the Exercise Price of such Warrants is effected as herein provided,
the Company shall promptly notify the Holder, by first class mail, postage
prepaid, of such adjustment and shall deliver to the Holder a certificate of the
Chief Financial officer of the Company, setting forth in reasonable detail (i)
the number of Warrant Shares purchasable upon the exercise of the Warrants and
the Exercise Price of the Warrants after such adjustment, (ii) a brief statement
of the facts requiring such adjustment, and (iii) the computation by which such
adjustment was made.

<PAGE>

                           (b) If any adjustment is required to be made pursuant
to Section 6.1(b) (unless the proviso to the first sentence of that Section is
applicable to the action), the Company and the Holder shall negotiate in good
faith toward agreeing upon the value of the assets or securities and the
necessary adjustment. If no agreement can be reached within 14 days from the
date of receipt by the Holder of such notice, the Company and the Holder shall
appoint within 21 days from the date of such receipt a mutually acceptable
independent investment banking firm to determine the necessary adjustment. Such
firm shall make the necessary determination which shall be binding absent actual
fraud or manifest error. The fees of such firm for making such determination and
any related reimbursable expenses shall be paid by the Company.

                  6.3 Preservation of Purchase Rights Upon Merger,
Consolidation, etc.

                           (a) In the event of any merger, consolidation or
other acquisition or business combination in which the Company is not the
surviving corporation or in which all of the outstanding Common Stock of the
Company is converted into, acquired or exchanged for securities, cash or
property or in the event of the sale or other disposition of all or
substantially all the assets of the Company, then, and in each such case, proper
provision shall be made so that, upon the basis and upon the terms and in the
manner provided in this Section 6.3, the holder of this Warrant Certificate,
upon the exercise of any of its Warrants at any time after the consummation of
such consolidation, merger, transfer, reorganization or reclassification, shall
be entitled to receive, in lieu of shares of Common Stock issuable upon such
exercise prior to such consummation, the stock, securities, cash and assets to
which such holder would have been entitled upon such consummation if such holder
had so exercised such Warrant immediately prior thereto, at the aggregate
Exercise Price in effect for all shares of Common Stock issuable upon such
exercise immediately prior to such consummation as adjusted to the time of such
transaction (subject to adjustments subsequent to such corporate action as
nearly equivalent as possible to the adjustments provided for in Section 6.1
above). Such undertaking shall provide for adjustments, which shall be as nearly
equivalent as may be practicable to the adjustments provided for in this Section
6, provided, however, that if upon such consolidation, merger, transfer,
reorganization or reclassification, different holders of Common Stock shall be
entitled to receive different forms of consideration for their Common Stock, the
form of such consideration thereafter deliverable upon the exercise of the
Warrants shall be as determined in good faith by the Board of Directors, whose
determination shall be conclusive. The provisions of this Section 6.3 shall also
apply to successive mergers or consolidations.

                           (b) Upon any liquidation, dissolution or winding up
of the Company, the Holder shall receive such cash or property (less the
Exercise Price) which the Holder would have been entitled to receive upon the
happening of such liquidation, dissolution or winding up had the Warrants been
exercised and the Warrant Shares issued immediately prior to the occurrence of
such liquidation, dissolution or winding up.

                  6.4 Statement on the Warrant. Irrespective of any adjustments
in the number or kind of securities purchasable upon the exercise of the Warrant
or the Exercise Price, any Warrant Certificate theretofore or thereafter issued
may continue to express the same price and number and any kind of shares as are
stated in this Warrant Certificate.

<PAGE>

         SECTION 7. Fractional Interests. The Company shall not be required to
issue fractional securities on the exercise of Warrants. If any fraction of a
security would be issuable on the exercise of Warrants, the Company shall pay to
the Holder of such Warrants an amount in cash equal to the Fair Market Value of
such fraction.

         SECTION 8. Registration.  The Holder shall, from time to time, have the
rights, if any, with respect to registration of Warrant Shares as are set forth
in the Registration Rights Agreement, between the Company and
___________________________.

         SECTION 9. No Rights as a Stockholder; Notices to Holder. Nothing
contained in this Warrant Certificate shall be construed as conferring upon the
Holder the right to vote or to consent or to receive notice as a stockholder in
respect of any meeting of stockholders of the Company for the election of the
directors of the Company or any other matter, or any rights whatsoever as a
stockholder of the Company. If, however, at any time prior to the exercise of
the Warrants evidenced by this Warrant Certificate, any of the following events
shall occur:

                           (a) the Company shall declare any dividend payable in
cash or in any securities upon its shares of Common Stock or make any
distribution to the holders of its shares of Common Stock;

                           (b) the Company shall offer to all holders of its
shares of Common Stock any additional shares of Common Stock or securities
convertible into or exchangeable for shares of Common Stock or any right to
subscribe for or purchase any thereof;

                           (c) a dissolution, liquidation or winding up of the
Company (other than in connection with a consolidation, merger, sale, transfer
or lease of all or substantially all of its property, assets and business as an
entirety) shall be proposed; or

                           (d) any consolidation or merger to which the Company
is a party and for which approval of the holders of Common Stock is required, or
of the conveyance or transfer of all or substantially all assets of the Company
as, or substantially as, an entirety, or of any reclassification or change of
outstanding shares of Common Stock issuable upon exercise of the Warrant (other
than a change in par value to no par value, or from no par value to par value)
or as a result of a subdivision or combination, then in any one or more of said
events, the Company shall give to the Holder the greater of 30 business days
written notice and the number of days written notice required to be given to
stockholders with respect to such action prior to the applicable record date
hereinafter specified, stating (i) the date as of which the holders of record of
shares of Common Stock to be entitled to receive any such dividends, rights or
warrants are to be determined; or (ii) the date on which any such dissolution,
liquidation, winding up, consolidation, merger, conveyance or transfer is
expected to become effective and the date as of which it is expected that
holders of record of shares of Common Stock shall be entitled to exchange their
shares of Common Stock for securities or other property, if any, deliverable
upon such reclassification, consolidation, merger, conveyance, transfer,
dissolution, liquidation, or winding up.

         SECTION 10. Identity of Transfer Agent.  Forthwith upon the appointment
of any Transfer Agent for the Common Stock, or any other shares of the Company's
capital stock issuable upon

<PAGE>

the exercise of the Warrants, the Company shall promptly notify the Holder of
the name and address of such Transfer Agent.

         SECTION 11. Notices.  Any notice, except as provided in Section 9 of
this Warrant Certificate, or demand authorized by this Warrant Certificate to be
given by the Holder to the Company, shall be in writing and shall be delivered
in person or by facsimile transmission, or mailed by overnight courier, or
otherwise delivered, to the Company, at 6501 N.W. Park of Commerce Blvd., Suite
205, Boca Raton, FL 33487, Attn: Sam A. Lazar. The Company may change the
address to which notices to it are to be delivered or mailed hereunder by notice
to the Holder pursuant to this Section 11.

         Any notice pursuant to this Warrant Certificate by the Company to the
Holder shall be in writing and shall be mailed by overnight courier or otherwise
delivered, to the Holder at its address set forth in the Warrant Register.

         Notices delivered personally shall be effective at the time delivered
by hand, notices sent by mail shall be effective when received, notices sent by
facsimile transmission shall be effective when confirmed and notices sent by
courier guaranteeing next day delivery shall be effective on the next business
day after timely delivery to the courier.

         SECTION 12. Amendment and Waiver. Any term, covenant, agreement or
condition in this Warrant Certificate may be amended, or compliance therewith
may be waived, by a written instrument or written instruments executed by the
Company and the Holder.

         SECTION 13. Successors.  All the covenants and provisions of this
Warrant Certificate by or for the benefit of the Company or the Holder shall
bind and inure to the benefit of their respective successors and assigns
hereunder.

         SECTION 14. Governing Law. This Warrant Certificate shall be construed
in accordance with and governed by the internal laws of the State of Florida
applicable to contracts executed and to be performed wholly within such state,
without regard to the principles of conflicts or choice of law.

         SECTION 15. Benefits of this Warrant Certificate. Nothing in this
Warrant Certificate shall be construed to give to any person or entity other
than the Company and the Holder any legal or equitable right, remedy or claim
under this Warrant Certificate; and this Warrant Certificate shall be for the
sole and exclusive benefit of this Company and the Holder.

         SECTION 16. Termination.  This Warrant Certificate shall terminate and
be of no further force and effect on the earlier of 5:00 P.M. (New York City
time) on the Expiration Date or the date on which all of the Warrants have been
exercised.

         SECTION 17. Captions.  The captions of the Sections and paragraphs of
this Warrant Certificate have been inserted for convenience only and shall have
no substantive effect.

                            [SIGNATURES ON NEXT PAGE]

<PAGE>

         IN WITNESS WHEREOF, the Company has caused this Warrant Certificate to
be duly executed this ____ day of ____________, 2001.

                                      INTERNATIONAL COSMETICS MARKETING CO.
                                      D/B/A BEVERLY SASSOON & CO.

                                      By:_______________________________
                                      Name:____________________________
                                      Title:_____________________________

Attest:

By:______________________________
Name:___________________________
Title:_____________________________

<PAGE>

                          FORM OF ELECTION TO PURCHASE

(To Be Executed by the Holder if the Holder Desires to Exercise Warrants
Evidenced by the Foregoing Warrant Certificate)

To:  [Company]

         The undersigned hereby irrevocably elects to exercise ________________
Warrants evidenced by the attached Warrant Certificate for, and to purchase
thereunder, full shares of Common Stock issuable upon exercise of said Warrants,
all at the price and on the terms and conditions specified in the attached
Warrant Certificate.

         The undersigned requests that certificates for such shares be issued in
the name of and delivered to ______________________, whose address is
______________________________.

                                       PLEASE INSERT SOCIAL SECURITY OR TAX
                                       IDENTIFICATION NUMBER

(Please print name and address)

         If said number of Warrants shall not be all the Warrants evidenced by
the attached Warrant Certificate, the undersigned requests that a new Warrant
Certificate evidencing the Warrants not so exercised be issued in the name of
and delivered to

                         (Please print name and address)

                                        By:
                                             Name:
                                             Title:

Dated:

<PAGE>

                               FORM OF ASSIGNMENT

         FOR VALUE RECEIVED, _________________ hereby sells, assigns and
transfers to each assignee set forth below all of the rights of the undersigned
in and to the number of Warrants (as defined in and evidenced by the attached
Warrant Certificate) set opposite the name of such assignee below and in and to
the attached Warrant Certificate with respect to said Warrants and the shares of
Common Stock issuable upon exercise of said Warrants:

Name of Assignee                   Address                Number of Warrants
----------------                   -------                ------------------

         If the total of said Warrants shall not be all the Warrants evidenced
by the attached Warrant Certificate, the undersigned requests that a new Warrant
Certificate evidencing the Warrants not so assigned be issued in the name of and
delivered to the undersigned.

                                              By:
                                                   Name:
                                                   Title:

Dated:

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