Document:

Exhibit 10.2

 

EXECUTION

 

AMENDMENT NO. 4
 TO MASTER REPURCHASE AGREEMENT

 

Amendment No. 4, dated as of June 1, 2013 (this “Amendment”), among Credit Suisse First Boston Mortgage Capital LLC (the “Buyer”), PennyMac Mortgage Investment Trust Holdings I, LLC (the “Seller”) and PennyMac Mortgage Investment Trust and PennyMac Operating Partnership, L.P. (each, a “Guarantor” and collectively, the “Guarantors”).

 

RECITALS

 

The Buyer, the Seller and the Guarantors are parties to that certain Master Repurchase Agreement, dated as of March 29, 2012 (as amended by Amendment No. 1, dated as of July 25, 2012, Amendment No. 2, dated as of September 16, 2012 and Amendment No. 3, dated as of October 29, 2012, the “Existing Repurchase Agreement”; and as further amended by this Amendment, the “Repurchase Agreement”).  The Guarantors are parties to that certain Guaranty (the “Guaranty”), dated as of March 29, 2012, as the same may be further amended from time to time, by the Guarantors in favor of Buyer.  Capitalized terms used but not otherwise defined herein shall have the meanings given to them in the Existing Repurchase Agreement and Guaranty, as applicable.

 

The Buyer, the Seller and the Guarantors have agreed, subject to the terms and conditions of this Amendment, that the Existing Repurchase Agreement be amended to reflect certain agreed upon revisions to the terms of the Existing Repurchase Agreement.  As a condition precedent to amending the Existing Repurchase Agreement, the Buyer has required the Guarantors to ratify and affirm the Guaranty on the date hereof.

 

Accordingly, the Buyer, the Seller and the Guarantors hereby agree, in consideration of the mutual promises and mutual obligations set forth herein, that the Existing Repurchase Agreement is hereby amended as follows:

 

SECTION 1.                            Definitions.  Section 2 of the Existing Repurchase Agreement is hereby amended by:

 

1.1                               deleting the definitions of “Aged Loan”, “Aged 60 Day Loan”, “Aged 90 Day Loan”, “Aging Limit”, “Exception Mortgage Loan”, “Jumbo Mortgage Loan”, “Maximum Combined Aggregate Purchase Price”, “Mortgage”, “Mortgage Loan”, “Mortgaged Property” and “Termination Date” in their entirety and replacing them with the following:

 

“Aged Loan” means, other than with respect to Pooled Mortgage Loans, an Aged 60 Day Loan, an Aged 90 Day Loan or an Aged 180 Day Loan.

 

“Aged 60 Day Loan” means a Mortgage Loan (other than a Jumbo Mortgage Loan) which has been subject to a Transaction hereunder for a period of greater than 30 days but not greater than 60 days.

 

1

 

“Aged 90 Day Loan” means a Mortgage Loan (other than a Jumbo Mortgage Loan) which has been subject to a Transaction hereunder for a period greater than 60 days but not greater than 90 days.

 

“Aging Limit” means with respect to Aged Loans, other than Jumbo Mortgage Loans, 90 days, and with respect to Aged Loans that are Jumbo Mortgage Loans, 180 days.

 

“Exception Mortgage Loan” means any Mortgage Loan which is otherwise ineligible for purchase hereunder, or which otherwise becomes ineligible for purchase hereunder and which is approved by Buyer in its sole discretion.  Buyer’s approval of a Mortgage Loan as an Exception Mortgage Loan shall expire on the earlier of (a) the date set forth by the Buyer in the written notice that such Mortgage Loan is approved as an Exception Mortgage Loan (an “Exception Notice”) or  (b) the occurrence of any additional event, other than that set forth in the Exception Notice, which would cause the Mortgage Loan to become ineligible for purchase hereunder.  The Pricing Rate, Market Value, Purchase Price and Asset Value with respect to Exception Mortgage Loans shall be set in the sole discretion of Buyer.  Buyer may at any time, and in its sole discretion, no longer consider a Mortgage Loan an Exception Mortgage Loan, in which case such Mortgage Loan shall have an Asset Value of zero.

 

“Jumbo Mortgage Loan” means a Mortgage Loan with an original principal balance in an amount in excess of the then applicable conventional conforming limits, including general limits and high-cost area limits, for Mortgaged Properties securing Mortgage Loans in such county or local area and which is also intended for purchase by Buyer, Buyer’s Affiliates or any other national residential mortgage lender acceptable to Buyer in its sole discretion; provided, however, that Jumbo Mortgage Loans shall not include any Mortgage Loan with an original principal balance in excess of $2,000,000.

 

“Maximum Combined Aggregate Purchase Price” means SIX HUNDRED MILLION DOLLARS ($600,000,000).

 

“Mortgage” means each mortgage, assignment of rents, security agreement and fixture filing, or deed of trust, assignment of rents, security agreement and fixture filing, deed to secure debt, assignment of rents, security agreement and fixture filing, or similar instrument creating and evidencing a lien on real property and other property and rights incidental thereto, unless such Mortgage is granted in connection with a Co-op Loan, in which case the first lien position is in the stock of the subject cooperative association and in the tenant’s rights in the cooperative lease relating to such stock.

 

“Mortgage Loan” means any first lien closed Conforming Mortgage Loan, Pooled Mortgage Loan, FHA Loan, VA Loan, USDA Loan or Jumbo Mortgage Loan which is a fixed or floating-rate, one-to-four-family residential mortgage loan evidenced by a promissory note and secured by a first lien mortgage; provided, that the related Purchase Date is no more than sixty (60) days following the origination date.

 

2

 

“Mortgaged Property” means the real property or other Co-op Loan collateral securing repayment of the debt evidenced by a Mortgage Note.

 

“Termination Date” means the earliest of (a) the Rolling Termination Date; provided that if the Buyer does not deliver a Rolling Termination Notice on or before November 1, 2013, the Termination Date shall be October 31, 2014 or (b) the date of the occurrence of an Event of Default.

 

1.2                               deleting the definitions of “Buyer’s Margin Amount”, “Buyer’s Margin Percentage”, “Jumbo Prime Mortgage Loan” and “Jumbo Traditional Mortgage Loan” in their entirety.

 

1.3                               adding the definitions of “Aged 180 Day Loan”, “Asset Value”, “Assignment of Proprietary Lease”, “Co-op”, “Co-op Corporation”, “Co-op Lien Search”, “Co-op Loan”, “Co-op Project”, “Co-op Shares”, “Co-op Unit”, “DE Compare Ratio”, “DE Compare (public) Ratio”, “DE Compare (private) Ratio”, “FHA 203(k) Loan”, “HUD”, “Proprietary Lease”,  “Recognition Agreement”, “Restricted Cash”, “Stock Certificate”, “Stock Power” and “USDA Loan” in their proper alphabetical order:

 

“Aged 180 Day Loan” means a Jumbo Mortgage Loan which has been subject to a Transaction hereunder for a period greater than 90 days but not greater than 180 days.

 

“Asset Value” has the meaning assigned to such term in the Pricing Side Letter.

 

“Assignment of Proprietary Lease” means the specific agreement creating a first lien on and pledge of the Co-op Shares and the appurtenant Proprietary Lease securing a Co-op Loan.

 

“Co-op” means a private, cooperative housing corporation, having only one class of stock outstanding, which owns or leases land and all or part of a building or buildings, including apartments, spaces used for commercial purposes and common areas therein and whose board of directors authorizes the sale of stock and the issuance of a Proprietary Lease.

 

“Co-op Corporation” means, with respect to any Co-op Loan, the cooperative apartment corporation that holds legal title to the related Co-op Project and grants occupancy rights to units therein to stockholders through Proprietary Leases or similar arrangements.

 

“Co-op Lien Search” means a search for (a) federal tax liens, mechanics’ liens, lis pendens, judgments of record or otherwise against (i) the Co-op Corporation and (ii) seller of the Co-op Unit, (b) filings Uniform Commercial Code financing statements and (c) the deed of the Co-op Project into the Co-op Corporation.

 

“Co-op Loan” means a Mortgage Loan secured by the pledge of stock allocated to a dwelling unit in a residential cooperative housing corporation and collateral assignment of the related Proprietary Lease.

 

3

 

“Co-op Project” means, with respect to any Co-op Loan, all real property and improvements thereto and rights therein and thereto owned by a Co-op Corporation including without limitation the land, separate dwelling units and all common elements.

 

“Co-op Shares” means, with respect to any Co-op Loan, the shares of stock issued by a Co-op Corporation and allocated to a Co-op Unit and represented by a stock certificates.

 

“Co-op Unit” means, with respect to any Co-op Loan, a specific unit in a Co-op Project.

 

“DE Compare Ratio” means either the DE Compare (public) Ratio or the DE Compare (private) Ratio, as applicable.

 

“DE Compare (public) Ratio” means the Two Year FHA Direct Endorsement Lender Compare Ratio, excluding streamline FHA refinancings, as made publicly available by HUD.

 

“DE Compare (private) Ratio” means the Two Year FHA Direct Endorsement Lender Compare Ratio, including streamline FHA refinancings, as made privately available by HUD to Seller.

 

“FHA 203(k) Loan” means an FHA Loan that is eligible for FHA’s 203(k) loan program.

 

“HUD” means the United States Department of Housing and Urban Development or any successor thereto.

 

“Proprietary Lease” means the lease on a Co-op Unit evidencing the possessory interest of the owner in the Co-op Shares in such Co-op Unit.

 

“Recognition Agreement” means, an agreement among a Co-op Corporation, a lender and a Mortgagor with respect to a Co-op Loan whereby such parties (i) acknowledge that such lender may make, or intends to make, such Co-op Loan, and (ii) make certain agreements with respect to such Co-op Loan.

 

“Restricted Cash” means for any Person, any amount of cash of such Person that is contractually required to be set aside, segregated or otherwise reserved.

 

“Stock Certificate” means, with respect to a Co-op Loan, the certificates evidencing ownership of the Co-op Shares issued by the Co-op Corporation.

 

“Stock Power” means, with respect to a Co-op Loan, an assignment of the Stock Certificate or an assignment of the Co-op Shares issued by the Co-op Corporation.

 

“USDA Loan” means a first lien Mortgage Loan originated in accordance with the criteria established by and guaranteed by the United States Department of Agriculture.

 

4

 

SECTION 2.                            Margin Maintenance.  Section 6 of the Existing Repurchase Agreement is hereby amended by deleting subsection a. in its entirety and replacing it with the following:

 

a.  If at any time the outstanding Purchase Price of any Purchased Mortgage Loan subject to a Transaction is greater than the Asset Value of such Purchased Mortgage Loan subject to a Transaction (a “Margin Deficit”), then Buyer may by notice to Seller require Seller to transfer to Buyer cash in an amount at least equal to the Margin Deficit (such requirement, a “Margin Call”).

 

SECTION 3.                            Covenants.  Section 14 of the Existing Repurchase Agreement is hereby amended by deleting subsections bb. and dd. in their entirety and replacing them with the following, respectively:

 

bb.                               DE Compare Ratio.  With respect to the Underlying Repurchase Counterparty, in the event that either (i) less than or (ii) equal to or greater than, in either case, 500 originations are used in determining the applicable DE Compare Ratio, then the (a) DE Compare (public) Ratio or (b) DE Compare (private) Ratio, as applicable, shall not exceed 150%.

 

dd.                               Financial Covenants.  Seller, PMIT and Underlying Repurchase Counterparty shall at all times comply with all financial covenants and/or financial ratios set forth below:

 

(i)                       Adjusted Tangible Net Worth.  (A) Underlying Repurchase Counterparty shall maintain an Adjusted Tangible Net Worth of at least $150,000,000, (B) Seller shall maintain an Adjusted Tangible Net Worth of at least $250,000,000, (C) PMIT shall maintain an Adjusted Tangible Net Worth of at least $860,000,000 and (D) PennyMac Operating Partnership, L.P. shall maintain an Adjusted Tangible Net Worth of at least $700,000,000.

 

(ii)                    Indebtedness to Adjusted Tangible Net Worth Ratio.  Underlying Repurchase Counterparty’s ratio of Indebtedness (on and off balance sheet) to Adjusted Tangible Net Worth shall not exceed 10:1.  Seller’s ratio of Indebtedness (on and off balance sheet) to Adjusted Tangible Net Worth shall not exceed 5:1. PMIT’s ratio of Indebtedness (on and off balance sheet) to Adjusted Tangible Net Worth shall not exceed 5:1. PennyMac Operating Partnership, L.P.’s ratio of Indebtedness (on and off balance sheet) to Adjusted Tangible Net Worth shall not exceed 5:1.

 

(iii)                 Maintenance of Profitability.  Seller shall maintain profitability of at least $1.00 in Net Income for at least one of the two prior Test Periods.

 

(iv)                Maintenance of Liquidity.  The Seller, Underlying Repurchase Counterparty, PennyMac Operating Partnership, L.P. and PMIT shall ensure that, as of the end of each calendar month, they have consolidated cash and Cash Equivalents other than Restricted Cash in amounts not less than (i) with respect to the Seller, $10,000,000, (ii) with respect to the

 

5

 

Underlying Repurchase Counterparty, $10,000,000, (iii) with respect to the Seller and the Underlying Repurchase Counterparty, $25,000,000 in the aggregate, (iv) with respect to PMIT, $40,000,000 and (v) with respect to PennyMac Operating Partnership, L.P., $40,000,000.

 

SECTION 4.                            Breach of Non-Specified Representation or Covenant.  Section 15 of the Existing Repurchase Agreement is hereby amended by deleting subsection h in its entirety and replacing it with the following:

 

h.  Breach of Non-Specified Representation or Covenant.  A breach by Seller or any Guarantor of any other representation, warranty or covenant set forth in this Agreement in any material respect (and not otherwise specified in Sections 15(f) and (g) above), if such breach is not cured within five (5) Business Days (other than the representations and warranties set forth in Schedule 1, which shall be considered solely for the purpose of determining the Asset Value, the existence of a Margin Deficit and the obligation to repurchase such Purchased Mortgage Loan) unless (i) such party shall have made any such representations and warranties with knowledge that they were materially false or misleading at the time made, (ii) any such representations and warranties have been determined by Buyer in its sole discretion to be materially false or misleading on a regular basis, or (iii) Buyer, in its sole discretion, determines that such breach of a material representation, warranty or covenant materially and adversely affects (A) the condition (financial or otherwise) of such party, its Subsidiaries or Affiliates; or (B) Buyer’s determination to enter into this Agreement or Transactions with such party, then such breach shall constitute an immediate Event of Default and Seller shall have no cure right hereunder).

 

SECTION 5.                            Representations and Warranties.  Schedule 1 of the Existing Repurchase Agreement is hereby amended by:

 

5.1                               deleting clauses (a), (c), (d), (h), (l), (o) and (mm) in their entirety and replacing them with the clauses on Exhibit A attached hereto.

 

5.2                               adding the clauses on the attached Exhibit B to the end thereof.

 

SECTION 6.                            Jumbo Prime Mortgage Loan Guidelines.  Exhibit K of the Existing Repurchase Agreement is hereby amended by deleting such exhibit, and any reference thereto, in its entirety and replacing it with “RESERVED”.

 

SECTION 7.                            Custodian.  Each reference to “Deutsche Bank Trust Company Americas” in the Existing Repurchase Agreement is hereby amended to be “Deutsche Bank National Trust Company”.

 

SECTION 8.                            Conditions Precedent.  This Amendment shall become effective as of the date hereof (the “Amendment Effective Date”), subject to the satisfaction of the following conditions precedent:

 

6

 

8.1                               Delivered Documents.  On the Amendment Effective Date, the Buyer shall have received the following documents, each of which shall be satisfactory to the Buyer in form and substance:

 

(a)                                 this Amendment, executed and delivered by duly authorized officers of the Buyer, the Seller and the Guarantors;

 

(b)                                 Amendment No. 2, dated as of the date hereof to that certain Pricing Side Letter dated March 29, 2012, among the Buyer, the Seller and the Guarantors;

 

(c)                                  Amendment No. 1 to Repurchase Agreement dated as of March 29, 2012 among PennyMac Corp., Seller and the Servicer.

 

(d)                                 such other documents as the Buyer or counsel to the Buyer may reasonably request.

 

SECTION 9.                            Representations and Warranties.  Seller hereby represents and warrants to the Buyer that it is in compliance with all the terms and provisions set forth in the Existing Repurchase Agreement on its part to be observed or performed, and that no Event of Default has occurred and is continuing, and hereby confirms and reaffirms the representations and warranties contained in Section 13 of the Existing Repurchase Agreement.

 

SECTION 10.                     Limited Effect.  Except as expressly amended and modified by this Amendment, the Existing Repurchase Agreement shall continue to be, and shall remain, in full force and effect in accordance with its terms and the execution of this Amendment by the Buyer.

 

SECTION 11.                     Counterparts.  This Amendment may be executed by each of the parties hereto on any number of separate counterparts, each of which shall be an original and all of which taken together shall constitute one and the same instrument.

 

SECTION 12.                     Severability. Each provision and agreement herein shall be treated as separate and independent from any other provision or agreement herein and shall be enforceable notwithstanding the unenforceability of any such other provision or agreement.

 

SECTION 13.                  GOVERNING LAW.  THIS AMENDMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK WITHOUT REFERENCE TO THE CHOICE OF LAW PROVISIONS THEREOF.

 

SECTION 14.                     Reaffirmation of Guaranty.  The Guarantors hereby ratify and affirm all of the terms, covenants, conditions and obligations of the Guaranty and acknowledge and agree that the term “Obligations” as used in the Guaranty shall apply to all of the Obligations of Seller to Buyer under the Repurchase Agreement, as amended hereby.

 

[Remainder of page intentionally left blank]

 

7

 

IN WITNESS WHEREOF, the parties have caused their names to be signed hereto by their respective officers thereunto duly authorized as of the day and year first above written.

 

	
 
    	
Credit   Suisse First Boston Mortgage Capital LLC, as Buyer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Adam Loskove
    
	
 
    	
 
    	
Name:   Adam Loskove
    
	
 
    	
 
    	
Title:   Vice President
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
PennyMac   Mortgage Investment Trust Holdings I, LLC, as Seller
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Anne D. McCallion
    
	
 
    	
 
    	
Name:   Anne D. McCallion
    
	
 
    	
 
    	
Title:   Chief Financial Officer
    
	
 
    	
 
    	
 
    
	
 
    	
 
    
	
 
    	
PennyMac   Mortgage Investment Trust, as Guarantor
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Anne D. McCallion
    
	
 
    	
 
    	
Name:   Anne D. McCallion
    
	
 
    	
 
    	
Title:   Chief Financial Officer
    
	
 
    	
 
    	
 
    
	
 
    	
 
    
	
 
    	
PennyMac   Operating Partnership, L.P., as Guarantor
    
	
 
    	
 
    
	
 
    	
By:   PennyMac GP OP, Inc., its General Partner
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/   Anne D. McCallion
    
	
 
    	
 
    	
Name:   Anne D. McCallion
    
	
 
    	
 
    	
Title:   Chief Financial Officer
    

 

Signature Page to Amendment No. 4 to Master Repurchase AgreementHUDSON GLOBAL EXECUTIVE EMPLOYMENT
AGREEMENT

 

This employment agreement
(the “Agreement”), by and between Hudson Global, Inc. (the “Company”) and Stephen Nolan (the “Executive”),
is dated as of May 31, 2013.

 

WHEREAS, the Company
wishes to employ the Executive and the Executive wishes to be employed by the Company in accordance with the terms and conditions
set forth below.

 

NOW, THEREFORE, in
consideration of the conditions and mutual covenants contained in this Agreement, the parties agree as follows:

 

1.           Defined
Terms.

 

(a)          Affiliate.
The term “Affiliate” means each entity that is required to be included in the Company’s controlled group of corporations
within the meaning of Code Section 414(b), or that is under common control with the Company within the meaning of Code Section 414(c);
provided that the phrase “at least 50 percent” shall be used in place of the phrase “at least 80 percent”
each place it appears therein or in the regulations thereunder.

 

(b)          Board.
The term “Board” means the Company’s Board of Directors.

 

(c)          Code.
The term “Code” means the Internal Revenue Code of 1986, including any amendments thereto or successor tax codes thereof
and the rules and regulations promulgated thereunder.

 

(d)          Separation
from Service. The term “Separation from Service” means an Executive’s termination of employment from the
Company and its Affiliates within the meaning of Code Section 409A, or if the Executive continues to provide services following
Executive’s termination of employment, such later date as is considered a separation from service, within the meaning of
Code Section 409A, from the Company and its Affiliates. Specifically, if Executive continues to provide services to the Company
or an Affiliate in a capacity other than as an employee, such shift in status is not automatically a Separation from Service. The
Executive will be presumed to have terminated employment from the Company and its Affiliates when the level of bona fide services
provided by the Executive (whether as an employee or independent contractor) to the Company and its Affiliates permanently decreases
to a level of twenty percent (20%) or less of the level of services rendered by such individual, on average, during the immediately
preceding 36 months (or such lesser period of service). Notwithstanding the foregoing, if the Executive takes a leave of absence
for purposes of military leave, sick leave or other bona fide leave of absence, the Executive will not be deemed to have incurred
a Separation from Service for the first six (6) months of the leave of absence, or if longer, for so long as the Executive’s
right to reemployment is provided either by statute or by contract; provided that if the leave of absence is due to a medically
determinable physical or mental impairment that can be expected to result in death or last for a continuous period of not less
than six (6) months, where such impairment causes the Executive to be unable to perform the duties of Executive’s position
of employment or any substantially similar position of employment, the leave may be extended for up to twenty-nine (29) months
without causing a termination of employment.

  

    	 

    	 

    

 

2.           Employment.

 

(a)          The
Company will employ the Executive and the Executive accepts employment with the Company as Executive Vice President and Chief Financial
Officer commencing on the Effective Date. The Executive will perform duties normally associated with such position and/or other
duties commensurate with the Executive’s position as may be assigned from time to time during the Term as defined in Section 3
below. The Executive shall perform such duties in a manner consistent with applicable laws and regulations, and any code of ethics,
compliance manual, employee handbook or other policies and procedures adopted by the Company from time to time and subject to any
written directives issued by the Company from time to time (the “Employment Guidelines”). If there is a conflict between
this Agreement and the Employment Guidelines, this Agreement will control. The Executive will report to the Company’s principal
offices in New York, New York, USA, unless the Executive and the Company agree in writing to another location.

 

(b)          The
Executive must acknowledge receipt of the Company’s Code of Business Conduct and Ethics (the “Code of Conduct”)
and confirm that the Executive will comply with the Code of Conduct. Failure to confirm compliance annually with the Company’s
Code of Conduct within a reasonable timeframe following the Executive’s receipt of a written request by the Company, will
justify termination for cause unless, at the sole discretion of the Board, non-compliance is deemed non-material.

 

3.           Term
of Employment. The Executive’s employment under this Agreement will commence on June 1, 2013 (the “Effective
Date”) and will continue for a period of one (1) year thereafter, subject to earlier termination as provided in Section 8
(the “Term”). This Agreement and the Term will be automatically renewed and extended for periods of one (1) year unless
the Company or the Executive provides written notice no less than thirty (30) days prior to the expiration of the then-current
Term of its or the Executive’s desire not to renew this Agreement.

 

4.           Scope
of Responsibilities and Duties. The Executive agrees to devote the Executive’s full business time, attention, efforts
and energies in performance of the Executive’s duties and responsibilities hereunder. While employed by the Company, the
Executive may not engage in any employment other than for the Company, in any conflicting or competing business activities, or
have any financial interest, directly or indirectly, in any business competing with the Company or otherwise engaged in the business
of the Company or its affiliates. The foregoing does not prevent the Executive from (1) serving on the board of directors
of another organization with the written consent of the CEO of the Company; (2) managing Executive’s personal investments,
provided that such investments and activities do not materially interfere with the Executive’s performance of Executive’s
duties and responsibilities hereunder; or (3) holding any publicly-traded debt or equity securities that are less than two (2%)
percent of any class of the issuer’s debt or equity securities and that the Executive acquires through market purchases.

 

5.           Compensation
and Benefits. The Company will provide the Executive with the following compensation and benefits during the Term:

  

    	2

    	 

    

  

(a)          The
Company will pay the Executive a salary of $450,000 on an annualized basis, payable in accordance with the payroll practices of
the Company in effect from time to time, and less such taxes and other deductions required by applicable law or authorized by the
Executive (as adjusted from time to time, the “Base Salary”). The Executive’s Base Salary may be increased at
any time by the Compensation Committee of the Board, but shall not be decreased during the term of this Agreement.

 

(b)          The
Executive will be entitled to accrue paid vacation at the rate of the greater of (i) four (4) weeks per year, or (ii) the vacation
allowance as provided under the Company’s vacation plan that applies to similarly situated employees working at the office
location at which the Executive is based. In addition, the Company will provide the Executive with other benefits of employment
offered, from time to time to similarly situated employees at the office location at which the Executive is based.

 

(c)          Beginning
for the year 2013, the Executive will receive an annual cash bonus, earned as of the end of each fiscal year, as provided under
the Company’s Incentive Plan for the Global Leadership Team as is in effect from time to time (the “Bonus”).
For the year 2013 only, the Bonus will be prorated for the partial year represented by the number of days from the Effective Date
through December 31, 2013, divided by 365. The current target Bonus is 67% of Base Salary ($301,500, as adjusted); however, the
Company’s Incentive Plan for the Global Leadership Team is evaluated and approved each year by management and the Compensation
Committee and is subject to change. The Bonus for any year will be paid no later than the 15th day of the third month
of the following fiscal year.

 

(d)          The
Executive will be eligible to receive an annual grant of equity of the Company under the terms of the Company’s Incentive
Plan for the Global Leadership Team as in effect from time to time, and as otherwise determined by the Compensation Committee of
the Company from time to time (“Equity Grants”). Subject to the limitations set forth in the first sentence of this
paragraph, Equity Grants for the Executive will be valued at 80% of the Executive’s then-current Base Salary. Equity Grants
may be determined by reference to Key Performance Indicators and subject to vesting schedules as set forth in the applicable Equity
Grant award agreements. Notwithstanding the foregoing, on the Effective Date, the Executive shall be awarded 100,000 shares of
the Company’s common stock to vest 100% on the second anniversary of the grant date provided the Executive remains employed
by the Company on such date (“New Hire Equity Grant”). All Equity Grants, including the New Hire Equity Grant, will
be subject to both Compensation Committee approval and the Executive executing the Company’s applicable equity award agreement.
The effective date of any grant of equity will be subject to the applicable Company policy and determined in accordance with applicable
law.

 

6.           Additional
Agreements. The Executive’s employment hereunder is further contingent upon the Executive’s simultaneous execution
of the Confidentiality, Non-Solicitation and Work Product Assignment Agreement and Mutual Agreement to Arbitrate Claims, which
is attached as Attachment A and forms a part of this Agreement. To the extent there is any conflict between the terms
of the Agreement and any of the terms of Attachment A or any other attachment, the terms of the Agreement will control.

 

    	3

    	 

    

  

7.           Representations
and Warranties. The Executive represents and warrants as follows:

 

(a)          All
information, oral and written (including, but not limited to information contained on the Executive’s resume), provided by
the Executive during the recruiting and employment process is accurate and true to the best of the Executive’s knowledge,
and such information does not include any misleading or untrue statement.

 

(b)          To
the best of Executive’s knowledge, the Executive has never been the subject of any inquiry or investigation or subject to
any disciplinary action by any governmental agency, industry or self-regulatory body or any other employer.

 

(c)          The
execution, delivery and performance of this Agreement by the Executive and the Executive’s employment hereunder are not in
violation of the terms, including any non-competition, non-disclosure, non-solicitation or confidentiality provisions, of any written
or oral agreement, arrangement or understanding to which the Executive is a party or by which the Executive is bound.

 

(d)          The
execution, delivery and performance of this Agreement by the Executive and the Executive’s employment hereunder are not in
violation of any United States federal or state statute, rule, regulation, or other law, or any judgment, decree or order applicable
or binding upon the Executive.

 

8.           Termination.
This Agreement and the Executive’s employment may be terminated prior to the expiration of the Term as follows:

 

(a)          Death.
If the Executive dies during the Term, this Agreement shall automatically terminate and the Company shall have no further obligation
to the Executive or the Executive’s estate, except to pay the Executive’s estate (or beneficiary, if applicable) that
portion of the Base Salary and other compensation and benefits (including, but not limited to, Bonuses, amounts properly submitted
for reimbursement and accrued but unused vacation) earned, but unpaid, through the date on which the Executive’s death occurs.
The Company shall pay these amounts by the earlier of thirty (30) days after the date of death, and the dates that they would otherwise
have been paid under this Agreement.

 

(b)          Disability.
If the Executive is unable to perform the Executive’s essential job duties and responsibilities due to mental or physical
disability for a total of twelve (12) weeks, whether consecutive or not, during any rolling twelve (12) month period, the Company
may terminate the Executive’s employment and this Agreement upon five (5) days’ written notice to the Executive. For
purposes of this Agreement, the Executive will be considered disabled when the Company, with the advice of a qualified physician,
reasonably acceptable to the Executive and the Company, determines that the Executive is physically or mentally incapable (excluding
infrequent and temporary absences due to ordinary illness) of performing the Executive’s essential job duties. The Executive
shall cooperate with the Company in obtaining the advice of a qualified physician regarding the Executive’s condition. In
the event of termination pursuant to this Section 8(b), the Company will be relieved of all obligations under this Agreement, provided
that the Company will pay to the Executive that portion of the Base Salary and other compensation and benefits (including, but
not limited to, Bonuses, amounts properly submitted for reimbursement and accrued but unused vacation) which has been earned, but
unpaid, through the date on which such termination occurs. The Company shall pay these amounts by the earlier of thirty (30) days
after the date of Separation from Service, and the dates that they otherwise would have been paid under this Agreement.

 

    	4

    	 

    

  

(c)          Discharge
without Cause or Termination on Expiration or by the Executive for Good Reason. The Company may terminate the Executive and
this Agreement at any time during the Term for any reason, without Cause (as defined in Section 8(e) below) upon thirty (30) days’
written notice to the Executive. If the Company gives notice of non-renewal of employment within the 30-day period as provided
in Section 3, it will be treated as a termination without cause. In addition, the Executive may terminate Executive’s employment
and this Agreement at any time for Good Reason (as defined below for purposes of this Section 8(c). Upon termination without Cause
or for Good Reason, the Company will have no further liability to the Executive other than to provide the Executive with: (i) that
portion of the Base Salary and other compensation and benefits (including, but not limited to, Bonuses, amounts properly submitted
for reimbursement and accrued but unused vacation) earned, but unpaid, through the date of the termination; (ii) severance pay
in an amount equal to the Executive’s then-current Base Salary, less applicable deductions, for a period of twelve (12) months
(the “Severance Period”) following the Executive’s Separation from Service (the “Severance Payments”);
and (iii) the Company’s portion of the premium for continued coverage under the Company’s group health and dental insurance
plan during the Severance Period following the Executive’s termination (or a monthly cash payment equal the Company’s
portion of such premium payment if such premium payment is prohibited by such plans or by law, but no such cash payment shall be
made if the Executive elects to receive coverage under another employer sponsored group health plan for which the Executive or
his eligible dependents are not subject to a pre-existing condition exclusion) (the “Health Insurance Plan Payments”)
provided the Executive applies and remains eligible for such continuation coverage under applicable law, and provided further that
the Executive authorizes the Company to deduct only the Executive’s portion of such premiums from the severance payments.
To the extent that any benefit plan does not permit continuation of Executive or his eligible dependents’ participation throughout
the period that the Company remains obligated to pay the Health Insurance Plan Payments, or that such continuation would violate
applicable law or subject the Company to penalties under applicable law, the Company shall provide Executive, on the first business
day of each calendar quarter, in advance, with an amount equal to the Company’s cost of providing such benefits. It is understood
that the period for which the Company makes the Health Insurance Plan Payments is attributable to the period of continuation coverage
for which the Executive may be eligible under applicable law.

 

The Company shall pay
the amounts under clause (i) of the prior paragraph by the earlier of thirty (30) days after the date of Separation from Service,
and the dates that they otherwise would have been paid under this Agreement.

 

The Company shall provide
the Executive with reasonable outplacement services for six (6) months after the date of Separation from Service in an amount not
to exceed $20,000 (the “Outplacement Services”).

  

    	5

    	 

    

  

The Executive’s
receipt of the Severance Payments, Health Insurance Plan Payments, and Outplacement Services set forth in this Section 8(c) are
conditioned upon the Executive executing a release and waiver agreement and covenant not to sue substantially in the form attached
hereto as Exhibit B to this Agreement (the “Release”). Any Health Insurance Plan Payments and Outplacement Services
that would have been paid or reimbursed before the date that the Release becomes effective will be aggregated and paid or reimbursed
with the payment scheduled to be made on the first regular pay day after the forty-fifth (45th) day after the date of Separation
from Service.

 

Commencing on the first
regular pay day after the forty-fifth (45th) day after the date of Separation from Service and on each regular pay day thereafter
through the end of the Severance Period, the Company shall pay the Severance Payments in equal installments. Notwithstanding the
prior sentence, if the Severance Payments payable during the first six (6) months after the Executive’s Separation from Service
exceed two times the lesser of (i) the Executive’s annualized compensation paid by the Company for the calendar year preceding
the calendar year in which the Separation from Service occurs (as adjusted for any increase during that year that was expected
to continue indefinitely if the Separation from Service had not occurred), and (ii) the compensation limit in effect pursuant to
Code Section 401(a)(17) for the calendar year in which the Executive’s Separation from Service occurs, then the Company shall
delay the payment of such excess. The Company shall pay such excess in a lump sum on the first business day of the seventh (7th)
month following the month in which the Separation from Service occurs. In addition, the Company shall pay interest on such excess
commencing from the date of Separation from Service. The Company shall pay the interest on the first business day of the seventh
(7th) month following the month in which the Separation from Service occurs. The interest rate will be the annual rate
of interest announced by the Federal Reserve Board (or any successor thereto) from time to time as the “federal funds rate,”
such rate to be determined on the date of Separation from Service and compounded quarterly.

 

For purposes of this Section 8(c)
only, Good Reason shall be defined as: (i) any changes in the Executive’s authority, duties
and responsibilities which would result in the Executive no longer being part of the Global Leadership Team or (ii) any material
reduction of the Executive’s salary, or aggregate incentive compensation opportunities which are not in alignment with the
Company’s Incentive Plan for the Global Leadership Team or aggregate benefits, or (iii) a material breach by the Company
of this Agreement. No event or condition described in this Section 8(c) shall constitute Good Reason unless (x) the Executive
gives the Company written notice of Executive’s intention to terminate Executive’s employment for Good Reason and the
grounds for such termination within ninety (90) days of the occurrence of such event or the initial existence of such condition
and (y) such grounds for termination are not cured by the Company within thirty (30) calendar days of its receipt of such
notice.  If the Company fails to cure the event or condition giving rise to Good Reason within such 30-day period, then
the Executive’s termination of employment shall occur at the close of business on the last day of such 30-day period.

 

(d)          Termination
for Cause. The Company may terminate the Executive’s employment and this Agreement at any time during the Term for Cause
as defined below. In such case, this Agreement and the Executive’s employment shall terminate immediately and the Company
shall have no further obligation to the Executive, except that the Company shall pay to the Executive that portion of the Base
Salary and other compensation and benefits (including, but not limited to, Bonuses, unpaid amounts properly submitted for reimbursement
and accrued but unused vacation) earned, but unpaid, through the date on which such termination occurs.

  

    	6

    	 

    

  

(e)          Definition
of Cause. For purposes of this Agreement, Cause shall be defined as:

 

(i)          the
willful failure of the Executive to perform the Executive’s duties and obligations in any material respect (other than any
failure resulting from Executive’s disability), which failure is not cured within thirty (30) days after receipt of written
notice thereof, provided that there shall be no obligation to provide any additional written notice if the Executive’s failure
to perform is repeated and the Executive has previously received one (1) or more written notices;

 

(ii)         intentional
acts of dishonesty or willful misconduct by the Executive with respect to the Company;

 

(iii)        conviction
of a felony or violation of any law involving dishonesty, disloyalty, or fraud, or entry of a plea of guilty or nolo contendere
to such charge;

 

(iv)        repeated
refusal to perform the reasonable and legal instructions of the Executive’s supervisors;

 

(v)        
material breach of this Agreement or Attachment A;

 

(vi)        failure
to confirm compliance with the Company’s Code of Conduct after 10 days’ written notice requesting confirmation; or

 

(vii)       a
violation of Section 7(c).

 

(f)          Resignation.
Except as otherwise provided in Section 3, the Executive may voluntarily resign from employment at any time during the Term:
(i) upon 3 months’ written notice and in compliance with the provisions of Attachment A; or (ii) immediately
in the event the Executive’s former employer has formally filed a complaint in court or has formally demanded arbitration,
or the Company has determined that the Executive has acted in violation of Section 7(c), but in compliance with the provisions
of Attachment A. In such event, the Company shall be relieved of all its obligations under this Agreement, except that
the Company shall pay to the Executive that portion of the Base Salary and other compensation and benefits (including, but not
limited to, Bonuses, unpaid amounts properly submitted for reimbursement and accrued but unused vacation) earned, but unpaid, through
the date on which such resignation is effective subject to any irrevocable deferral election then in effect. The Company shall
pay these amounts by the earlier of thirty (30) days after the date of Separation from Service and the dates that they would otherwise
have been paid under this Agreement.

 

(g)          Continuance
of Obligations. The Executive remains obligated to comply with the Executive’s obligations and duties pursuant to Attachment A
despite the termination of this Agreement and the Executive’s employment for any reason.

  

    	7

    	 

    

  

(h)          Cooperation.
During employment and after the termination of this Agreement and the Executive’s employment for any reason, the Executive
agrees to reasonably cooperate with and at the request of the Company in the defense or prosecution of any legal matter or claim
in which the Company, any of its Affiliates, or any of their past or present employees, agents, officers, directors, attorneys,
successors or assigns, may be or become involved and which arises or arose during the Executive’s employment. The Executive
will be reimbursed for any reasonable out-of-pocket expenses incurred thereby. Such cooperation will be without additional compensation
if Executive is then employed by Company and for reasonable mutually agreeable compensation if Executive is not then employed by
Company.

 

(i)          No
Disparagement. During employment and after the termination of this Agreement and the Executive’s employment for any reason,
the Executive agrees that, except as may be required by the lawful order of a court or agency of competent jurisdiction, the Executive
will not knowingly take any action or make any statement or disclosure, whether written or oral, that disparages, criticizes, or
is otherwise derogatory with respect to the Company or any of its Affiliates, or any of their past or present employees, officers
or directors. The Company will not knowingly disparage, criticize or otherwise make any derogatory statements regarding the Executive.
For purposes of this Section 8(i) only, the term “Company” means only the Company’s executive officers and
directors of the Company.

 

(j)          Directorships.
The Executive agrees that the Company may, at any time and for any reason, remove the Executive from any directorship held with
any subsidiary of the Company, and such removal will be effective immediately upon written notice to the Executive unless stated
otherwise in such notice.

 

(k)          Power
of Attorney. The Company may from time to time grant the Executive specific powers of attorney. The Company may at any time
revoke the Executive’s power of attorney upon written notification to the Executive. Further, upon termination from the Company
for any reason all powers of attorney are immediately and automatically revoked.

 

9.           Change
in Control. Notwithstanding any other provisions of this Agreement to the contrary:

 

(a)          Employment
Period. If a Change in Control (as defined below) occurs when the Executive is employed by the Company, the Company will continue
thereafter to employ the Executive during the period commencing on the date of a Change in Control and ending on the first anniversary
of such date (the “Employment Period”) and thereafter in accordance with Section 3 of this Agreement, and the
Executive will remain in the employ of the Company in accordance with and subject to the terms and provisions of this Agreement.

 

(b)          Covered
Termination. If there is any termination of the Executive’s employment and Separation from Service during the Employment
Period by the Company (other than by reason of (i) death pursuant to Section 8(a), (ii) disability pursuant to Section 8(b),
or (iii) Cause) or termination by the Executive and Separation from Service for Good Reason as set out in Section 9(h) (a
“Covered Termination”), then the Executive shall be entitled to receive, and the Company shall promptly pay, that portion
of the Base Salary and other compensation and benefits (including, but not limited to, Bonuses, unpaid amounts properly submitted
for reimbursement and accrued but unused vacation) earned, but unpaid, earned through the date of termination. The Company shall
pay these amounts by the earlier of thirty (30) days after the date of Covered Termination, and the dates that they otherwise would
have been paid under this Agreement. In addition, in lieu of further Base Salary for periods following such termination, as liquidated
damages and additional severance pay, the Termination Payment pursuant to Section 9(c) shall be paid to the Executive.

 

    	8

    	 

    

  

(c)          Termination
Payment.

 

(i)          The
“Termination Payment” shall be an amount equal to the sum of: (A) the Executive’s Base Salary for twelve
(12) months calculated based on the Base Salary paid immediately prior to the termination of the Executive’s employment (the
“First Base Salary Portion”); plus (B) the Executive’s Base Salary for six months calculated based on the Base
Salary paid immediately prior to the termination of the Executive’s employment (the “Second Base Salary Portion”);
plus (C) the Executive’s target Bonus calculated by taking the annual target bonus under the Company’s Incentive
Plan for the Global Leadership Team for the year in which the Covered Termination occurs multiplied by 1.5 (the “Target Bonus
Portion”).

 

Commencing
on the first regular pay day after the forty-fifth (45th) day after the date of Covered Termination and on each regular pay day
thereafter through the end of the twelve (12) months after the date of Covered Termination, the Company shall pay the First Base
Salary Portion in equal installments.

 

Commencing
on the first regular pay day after completion of payment of the installments of the First Base Salary Portion and on each regular
pay day thereafter through the end of the eighteen (18) months after the date of Covered Termination, the Company shall pay the
Second Base Salary Portion in equal installments.

 

Commencing
on the first regular pay day after the forty-fifth (45th) day after the date of Covered Termination and on each regular pay day
thereafter through the end of the eighteen (18) months after the date of Covered Termination, the Company shall pay the Target
Bonus Portion in equal installments.

 

Notwithstanding
the prior provisions for the payment of the First Base Salary Portion and Target Bonus Portion, if the installment payments of
the First Base Salary Portion and the Target Bonus Portion payable during the first six (6) months after the date of Covered Termination
exceed two times the lesser of (i) the Executive’s annualized compensation paid by the Company for the calendar year preceding
the calendar year in which the Covered Termination occurs (as adjusted for any increase during that year that was expected to continue
indefinitely if the Separation from Service had not occurred), and (ii) the compensation limit in effect pursuant to Code Section
401(a)(17) for the calendar year in which the Covered Termination occurs, then the Company shall delay the payment of such excess.
The Company shall pay such excess in a lump sum on the first business day of the seventh (7th) month following the month
in which the Covered Termination occurs.

  

    	9

    	 

    

  

In addition,
the Company shall pay interest on the Termination Payment commencing from the date of the Covered Termination. The Company shall
pay the interest on the first business day of the seventh (7th) month following the month in which the Covered Termination
occurs. The interest rate will be the annual rate of interest announced by the Federal Reserve Board (or any successor thereto)
from time to time as the “federal funds rate,” such rate to be determined on the date of
the Covered Termination and compounded quarterly.

 

The installment
payments of the Termination Payment made after the first day of the seventh (7th) month following the month in which the Covered
Termination occurs are subject to the provisions of Section 9(c)(ii) to (vi).

 

The Termination
Payment shall not be reduced by any present value or similar factor, and the Executive shall not be required to mitigate the amount
of the Termination Payment by securing other employment or otherwise, nor will such Termination Payment be reduced by reason of
the Executive securing other employment or for any other reason. The Termination Payment shall be in lieu of, and acceptance by
the Executive of the Termination Payment shall constitute the Executive’s release of any rights of the Executive to, any
other cash severance payments under any Company severance plan, policy, or program, or this Agreement.

 

(ii)         Notwithstanding
any other provision of this Agreement, if any portion of the Termination Payment or any other payment under this Agreement, or
under any other agreement with or plan of the Company or its Affiliates (in the aggregate, “Total Payments”), would
constitute an “excess parachute payment” and would, but for this Section 9(c)(ii), result in the imposition on
the Executive of an excise tax under Code Section 4999 (the “Excise Tax”), then the Total Payments to be made
to the Executive shall either be (A) delivered in full, or (B) delivered in the greatest amount such that no portion
of such Total Payment would be subject to the Excise Tax, whichever of the foregoing results in the receipt by the Executive of
the greatest benefit on an after-tax basis (taking into account the applicable federal, state and local income taxes and the Excise
Tax).

  

    	10

    	 

    

  

(iii)        Within
forty (40) days following a Covered Termination or notice by the Company to the Executive of its belief that there is a payment
or benefit due the Executive which will result in an “excess parachute payment”, the Executive and the Company, at
the Company’s expense, shall obtain the opinion (which need not be unqualified) of nationally recognized tax counsel (“National
Tax Counsel”) selected by the Company and reasonably acceptable to the Executive (which may be regular outside counsel to
the Company), which opinion sets forth (A) the amount of the Base Period Income, (B) the amount and present value of
Total Payments, (C) the amount and present value of any excess parachute payments determined without regard to any reduction
of the Total Payments pursuant to Section 9(c)(ii), and (D) the net after-tax proceeds to the Executive, taking into
account the tax imposed under Code Section 4999 if (X) the Total Payments were reduced in accordance with Section 9(c)(ii)
or (Y) the Total Payments were not so reduced. If such National Tax Counsel opinion determines that Section 9(c)(ii)(B)
above applies, then the Termination Payment hereunder or any other payment or benefit determined by such counsel to be includable
in Total Payments shall be reduced or eliminated so that under the bases of calculations set forth in such opinion there will be
no excess parachute payment. In such event, payments or benefits included in the Total Payments shall be reduced or eliminated
by applying the following principles, in order: (1) the payment or benefit with the higher ratio of the parachute payment
value to present economic value (determined using reasonable actuarial assumptions) shall be reduced or eliminated before a payment
or benefit with a lower ratio; (2) the payment or benefit with the later possible payment date shall be reduced or eliminated
before a payment or benefit with an earlier payment date; and (3) cash payments shall be reduced prior to non-cash benefits;
provided that if the foregoing order of reduction or elimination would violate Code Section 409A, then the reduction
shall be made pro rata among the payments or benefits included in the Total Payments (on the basis of the relative present value
of the parachute payments). For purposes of such opinion, the value of any noncash benefits or any deferred payment or benefit
shall be determined by the Company’s independent auditors in accordance with the principles of Section 280G(d)(3) and
(4) (or any successor provisions) of the Code, which determination shall be evidenced in a certificate of such auditors addressed
to the Company, the Executive, and National Tax Counsel. The opinion of National Tax Counsel shall be addressed to the Company
and the Executive and shall be binding upon the Company and the Executive. If such National Tax Counsel so requests in connection
with the opinion required by this Section 9(c)(iii), the Executive and the Company shall obtain, at the Company’s expense,
and the National Tax Counsel may rely on, the advice of a firm of recognized executive compensation consultants as to the reasonableness
of any item of compensation to be received by the Executive solely with respect to its status under Section 280G of the Code
and the regulations thereunder.

 

(iv)        For
purposes of this Agreement, (A) the terms “excess parachute payment” and “parachute payments” shall
have the meanings assigned to them in Section 280G (or any successor provision) of the Code and such “parachute payments”
shall be valued as provided therein; (B) present value shall be calculated in accordance with Section 280G(d)(4) (or
any successor provision) of the Code; and (C) the Executive shall be deemed to pay federal income tax and employment taxes
at the Executive’s actual marginal rate of federal income and employment taxation, and state and local income taxes at the
Executive’s actual marginal rate of taxation in the state or locality of the Executive’s domicile (determined in both
cases in the calendar year in which the termination of employment or notice described in Section 9(c)(iii) above is given,
whichever is earlier), net of the maximum reduction in federal income taxes that may be obtained from the deduction of such state
and local taxes. As used in this Agreement, the term “Base Period Income” means an amount equal to the Executive’s
“annualized includable compensation for the base period” as defined in Section 280G(d)(1) (or any successor provision)
of the Code.

 

(v)         The
Company agrees to bear all costs associated with, and to indemnify and hold harmless, the National Tax Counsel of and from any
and all claims, damages, and expenses resulting from or relating to its determinations pursuant to this Section 9(c), except
for claims, damages or expenses resulting from the gross negligence or willful misconduct of such firm.

  

    	11

    	 

    

  

(vi)        This
Section 9(c) shall be amended to comply with any amendment or successor provision to Sections 280G or 4999 of the Code.
If such provisions are repealed without successor, then Section 9(c)(ii) to (v) shall be cancelled without further effect.

 

(d)          Additional
Provisions for Covered Termination. If there is a Covered Termination and the Executive is entitled to the Termination Payment,
then the Executive shall be entitled to the following additional benefits, payments, and reimbursements:

 

(i)          The
Executive and his eligible dependents shall remain eligible to continue or to elect to continue in the Company’s health,
dental, and other welfare benefit plans at the same cost as other Company senior executives for eighteen (18) months after the
date of Covered Termination, or until the Executive or his eligible dependents are covered by a successor employer’s comparable
benefit plans (for which the Executive and his eligible dependents are not subject to a pre-existing condition exclusion for the
health and dental plans), whichever occurs sooner.

 

(ii)         To
the extent that any benefit plan does not permit continuation of the Executive or his eligible dependents’ participation
throughout eighteen months after the date of Covered Termination, or that such continuation would violate applicable law or subject
the Company to penalties under applicable law, the Company shall provide the Executive on the first business day of each calendar
quarter, in advance, with an amount that is equal to the Company’s cost of providing such benefits for the period described
in Section 9(d)(i).

 

(iii)        The
Company shall provide the Executive with the Outplacement Services.

 

(iv)        The
Company shall bear up to $15,000 in the aggregate during the lifetime of the Executive of fees and expenses of consultants and/or
legal or accounting advisors engaged by the Executive to advise the Executive as to matters relating to the computation of benefits
due and payable under Section 9(c).

 

(e)          Anticipatory
Termination. Anything in this Agreement to the contrary notwithstanding, if a Change in Control occurs and if the Executive’s
employment with the Company is terminated (other than a termination due to the Executive’s death or as a result of the Executive’s
disability) during the period of 180 days prior to the date on which the Change in Control occurs, and if it is reasonably
demonstrated by the Executive that such termination of employment (i) was at the request of a third party who has taken steps
reasonably calculated to effect a Change in Control or (ii) otherwise arose in connection with or in anticipation of a Change
in Control, then for all purposes of this Section 9 such termination of employment shall be deemed a “Covered Termination”
and the “Employment Period” shall be deemed to have begun on the date of such termination.

  

    	12

    	 

    

  

(f)          Expenses
and Interest. If, after a Change in Control of the Company, (i) a dispute arises with respect to the enforcement of the
Executive’s rights under this Agreement or (ii) any legal or arbitration proceeding shall be brought to enforce or interpret
any provision contained herein or to recover damages for breach hereof, in either case so long as the Executive is not acting in
bad faith, then the Company shall reimburse the Executive for any reasonable attorneys’ fees and necessary costs and disbursements
incurred by the Executive during Executive’s lifetime as a result of the dispute, legal or arbitration proceeding (the “Expenses”),
and prejudgment interest on any money judgment or arbitration award obtained by the Executive calculated at the rate of interest
announced by The Bank of New York, from time to time at its prime or base lending rate from the date that payments to him or her
should have been made under this Agreement. Within ten days after the Executive’s written request therefor, the Company shall
pay to the Executive, or such other person or entity as the Executive may designate in writing to the Company, the Executive’s
reasonable Expenses in advance of the final disposition or conclusion of any such dispute, legal or arbitration proceeding. Subject
to the prior sentence, any reimbursements provided hereunder shall be made promptly (but not later than the last day of the calendar
year following the calendar year in which the legal fees or expenses were incurred by the Executive) following the receipt by the
Company of a written notice from the Executive requesting such reimbursement, accompanied by documentation substantiating the amount
of such fees and expenses.

 

(g)          Definition
of Change in Control. For purposes hereof, a “Change in Control” shall be deemed to occur on the first to occur
of any one of the following events: (a) the consummation of a consolidation, merger, share exchange or reorganization involving
the Company, unless such consolidation, merger, share exchange or reorganization is a “Non-Control Transaction” (as
defined below); (b) the stockholders of the Company approve a plan of complete liquidation or dissolution of the Company or
an agreement for the sale or disposition by the Company of all, or substantially all, of the assets of the Company (in one transaction
or a series of related transactions within any period of 24 consecutive months), other than a sale or disposition by the Company
of all, or substantially all, of the Company’s assets to an entity at least 75% of the combined voting power of the voting
securities of which are owned by stockholders of the Company in substantially the same proportions as their ownership of the Company
immediately prior to such sale; (c) any person (as such term is used in Section 13(d) and 14(d)(2) of the Securities
Exchange Act of 1934, as amended (the “Exchange Act”)) (other than (1) the Company, (2) any subsidiary of
the Company, (3) a trustee or other fiduciary holding securities under any employee benefit plan (or any trust forming a part
thereof) maintained by the Company or any subsidiary or (4) a corporation owned, directly or indirectly, by the stockholders
of the Company in substantially the same proportions as their ownership of stock in the Company) is or becomes the beneficial owner
(within the meaning of Rule 13d-3 under the Exchange Act), directly or indirectly, of securities of the Company (not including
in the securities beneficially owned by such person any securities acquired directly from the Company after the date hereof pursuant
to express authorization by the Board that refers to this exception) representing more than 20% of the then outstanding shares
of Common Stock or the combined voting power of the Company’s then outstanding voting securities; or (d) the following
individuals cease for any reason to constitute a majority of the number of directors then serving: individuals who, as of the date
hereof, constitute the entire Board and any new director (other than a director whose initial assumption of office is in connection
with an actual or threatened election contest) whose appointment or election by the Board or nomination for election by the Company’s
stockholders was approved or recommended by a vote of at least two-thirds of the directors then still in office who either were
directors on the date hereof or whose appointment, election or nomination for election was previously so approved or recommended.
Notwithstanding the foregoing, no “Change in Control” shall be deemed to have occurred if there is consummated any
transaction or series of integrated transactions immediately following which the record holders of the Common Stock immediately
prior to such transaction or series of transactions continue to have substantially the same proportionate ownership in an entity
that owns all or substantially all of the assets or voting securities of the Company immediately following such transaction or
series of transactions. A “Non-Control Transaction” shall mean a consolidation, merger, share exchange or reorganization
of the Company in which each of the events described in the following clauses (a), (b), and (c) occur: (a) the stockholders
of the Company immediately before such consolidation, merger, share exchange or reorganization beneficially own, directly or indirectly,
more than 50% of the then outstanding shares of common stock and the combined voting power of the outstanding voting securities
of the corporation resulting from such consolidation, merger, share exchange or reorganization (the “Surviving Corporation”);
(b) the individuals who were members of the Board immediately prior to the execution of the agreement providing for such consolidation,
merger, share exchange or reorganization constitute at least 50% of the members of the board of directors of the Surviving Corporation;
and (c) no person (other than (1) the Company, (2) any subsidiary of the Company or (3) any employee benefit
plan (or any trust forming a part thereof) maintained by the Company, the Surviving Corporation or any subsidiary) is or becomes
the beneficial owner, directly or indirectly, of securities of the Company (not including in the securities beneficially owned
by such person any securities acquired directly from the Company after the date hereof pursuant to express authorization by the
Board that refers to this exception) representing more than 20% of the then outstanding shares of the common stock of the Surviving
Corporation or the combined voting power of the Surviving Corporation’s then outstanding voting securities.

  

    	13

    	 

    

  

(h)          Good
Reason. The Executive shall have the right to Separate from Service for Good Reason in connection with a Change in Control
of the Company in the event of:

 

(i)          A
material breach of this Agreement by the Company. In futherance of this clause (i) and not in limitation thereof, Good Reason will
not exist due to an isolated, insubstantial and inadvertent failure not occurring in bad faith that the Company remedies promptly
after receipt of notice thereof given by the Executive;

 

(ii)         a
material reduction in the Executive’s Base Salary, percentage of Base Salary available as incentive compensation or bonus
opportunity or benefits, in each case relative to those most favorable to the Executive in effect at any time during the one year
period prior to the Change in Control;

 

(iii)        the
removal of the Executive from, or any failure to reelect or reappoint the Executive to, any of the positions held with the Company
on the date of the Change in Control or any other positions with the Company to which the Executive is thereafter be elected, appointed
or assigned when such removal or failure constitutes a material diminution of the Executive’s authority, duties, or responsibilities.
In furtherance of this clause (iii) and not in limitation thereof, Good Reason will not exist if such removal or failure to reelect
or reappoint relates to the termination by the Company of the Executive’s employment for Cause or by reason of disability
pursuant to Section 8(b);

 

    	14

    	 

    

 

(iv)        a
material adverse change, without the Executive’s written consent, in the Executive’s working conditions or authority,
duties, or responsibilities with the Company relative to the most favorable working conditions or authority, duties, or responsibilities
in effect during the one year period prior to the Change in Control, including but not limited to (A) a material change in
the nature or scope of the Executive’s authority, powers, functions, duties or responsibilities, or (B) a material reduction
in the level of support services, staff, secretarial and other assistance, office space and accoutrements. In furtherance of this
clause (iv) and not in limitation thereof, Good Reason will not exist due to an isolated, insubstantial and inadvertent event not
occurring in bad faith that the Company remedies within ten (10) days after receipt of notice thereof given by the Executive;

 

(v)         the
relocation of the Executive’s principal place of employment to a location more than 50 miles from the Executive’s principal
place of employment pursuant to Section 2(a) of this Agreement as in effect during the one year period prior to the Change
in Control; or

 

(vi)        the
Company requires the Executive to travel on Company business 20% in excess of the average number of days per month the Executive
was required to travel during the one year period prior to the Change in Control.

 

(i)          Funding
of Rabbi Trust. Upon a Change in Control, the Company (or its successor) shall transfer to an irrevocable rabbi trust (to the
extent not prohibited by Code Section 409A) an amount in cash, determined on an undiscounted basis, which will be sufficient
to fund the Company’s obligations under Section 9(c).

 

10.         No
Mitigation. The Executive’s right to severance (pursuant to Section 8(c)) or the Termination Payment (pursuant
to Section 9(c)) is not subject to any requirement that the Executive seek other employment or otherwise attempt in any way
to reduce any amounts payable to Executive.  Further, the amount payable to the Executive shall not be reduced by any
compensation or income earned by the Executive as the result of employment by another employer or self-employment, by retirement
benefits or, unless the parties otherwise agree in writing, by offset against any amount claimed to be owed by the Executive to
the Company.

 

11.         Indemnification.
The Company shall to the fullest extent permitted by the Company’s certificate of incorporation and bylaws in effect from
time to time, subject to the conditions thereof, indemnify Executive against expenses, judgments, fines, settlements, and other
amounts actually and reasonably incurred in connection with any proceedings against him arising by reason of the fact that Executive
is or was an agent or employee of the Company.

 

12.         Severability.
Whenever possible, each portion, provision or section of this Agreement will be interpreted in such a way as to be effective and
valid under applicable law, but if any portion, provision or section of this Agreement is held to be invalid, illegal or unenforceable
in any respect, such invalidity, illegality or unenforceability will not affect any other portions, provisions or sections. Rather,
this Agreement will be reformed, construed and enforced as if such invalid, illegal or unenforceable portion, provision or section
had never been contained herein.

  

    	15

    	 

    

  

13.         Complete
Agreement. This Agreement, including Attachment A, contains the complete agreement and understanding between
the parties and supersedes and preempts any prior understanding, agreement or representation by or between the parties, written
or oral, including the Non-Disclosure Agreement entered into prior to the Effective Date.

 

14.         Additional
Rights and Causes of Action. This Agreement, including Attachment A, is in addition to and does not in any
way waive or detract from any rights or causes of action the Company may have relating to Confidential Information or other protectable
information or interests under statutory or common law or under any other agreement.

 

15.         Governing
Law. Notwithstanding principles of conflicts of law of any jurisdiction to the contrary, all terms and provisions to this
Agreement are to be construed and governed by the laws of the State of New York without regard to the laws of any other jurisdiction
in which the Executive resides or performs any duties hereunder or where any violation of this Agreement occurs.

 

16.         Successors
and Assigns.

 

(a)          This
Agreement will inure to the benefit of and be enforceable by the Company and its successors and assigns. The Executive may not
assign the Executive’s rights or delegate the Executive’s obligations hereunder.

 

(b)          The
Company’s and Executive’s responsibilities under Sections 8, 9, 10, 11, 13, 14, 15, 16, 17, and 18 will survive
termination of this Agreement.

 

17.         Waivers.
The waiver by either the Executive or the Company of a breach by the other party of any provision of this Agreement shall not operate
or be construed as a waiver of any subsequent breach by the breaching party.

 

18.         Withholding.
The Company shall be entitled to withhold from amounts to be paid to the Executive hereunder any federal, state or local withholding
or other taxes or charges which it is from time to time required to withhold. The Company shall be entitled to rely on an opinion
of National Tax Counsel if any question as to the amount or requirement of any such withholding shall arise. In addition, if prior
to the date of payment of any amount hereunder, the Federal Insurance Contributions Act (“FICA”) tax imposed under
Code Sections 3101, 3121(a) and 3121(v)(2), where applicable, becomes due, a payment will be made to the Executive from the
cash payments otherwise owing hereunder (without regard to the six-month delay if Executive) equal to the amount needed to pay
the Executive’s portion of such tax, as well as withholding taxes resulting therefrom (including the additional taxes attributable
to the pyramiding of such distributions and taxes), and any subsequent payment shall be reduced accordingly.

 

19.         Compliance
with Code Section 409A.

 

(a)          This
Agreement shall be construed, interpreted, and administered in a manner so that the benefits, payments, and reimbursements under
this Agreement or the plans, policies, or programs referred to in this Agreement that are nonqualified deferred compensation under
Code Section 409A will satisfy the requirements of Code Section 409A and will not result in the imposition of additional tax under
Code Section 409A.

  

    	16

    	 

    

  

(b)          Each
payment of compensation under this Agreement shall be treated as a separate payment for purposes of Code Section 409A. Any
series of installment payments shall be treated as a right to a series of separate payments, and not one of a series of payments
treated as a single payment for purposes of Code Section 409A.

 

(c)          To
the extent that any benefits, payments, and reimbursements under this Agreement or the plans, policies, or programs referred to
in this Agreement are nonqualified deferred compensation under Code Section 409A, are paid or provided during the six (6)
months after the date of Separation from Service, and are paid or provided by virtue of the Executive’s Separation from Service,
the Company shall take the following actions. If the Executive is a specified employee on the date of Separation from Service,
and to the extent not otherwise provided in this Agreement or the plans, policies, or programs referred to in this Agreement, the
Company shall withhold these benefits, payments, and reimbursements from the date of Separation from Service through the end of
the sixth month after the date of Separation from Service (the “Mandatory Holdback Period”). The Company shall pay
and provide these benefits, payments, and reimbursements in a single lump sum on the first business day of the seventh (7th) month
after the date of Separation from Service, or if earlier, no later than thirty days after the date of the Executive’s death
after the date of Separation from Service (the “Mandatory Delayed Payment Date”). If the Company withholds any in-kind
benefit or reimbursement during the Mandatory Holdback Period, the Executive may pay the provider of the benefit or service, and
receive reimbursement on the Mandatory Delayed Payment Date.

 

(d)          All
reimbursements and in-kind benefits made to the Executive that are nonqualified deferred compensation under Code Section 409A shall
be made or provided in accordance with the requirements of Code Section 409A, including, where applicable, the requirement that
(i) any reimbursement is for expenses incurred during the period of time specified in this Agreement or if no such period is specified,
during the Executive’s lifetime, (ii) the amount of expenses eligible for reimbursement, or in kind benefits provided, during
a calendar year may not affect the expenses eligible for reimbursement, or in kind benefits to be provided, in any other calendar
year, (iii) the reimbursement of an eligible expense will be made no later than the last day of the calendar year following the
year in which the expense is incurred, and (iv) the right to reimbursement or in kind benefits is not subject to liquidation or
exchange for another benefit.

 

(e)          The
definitions of Good Reason in Sections 8(c) and 9(h) of this Agreement are intended to satisfy the requirements of Treasury Regulation
Section 1.409A-1(n)(2) so that Separation from Service or Covered Termination for Good Reason will be treated as an involuntary
Separation from Service under Code Section 409A.

 

(f)          The
Executive acknowledges that to avoid an additional tax on payments that may be payable under this Agreement and that constitute
deferred compensation that is not exempt from Code Section 409A, the Executive must make a reasonable, good faith effort to
collect any payment or benefit to which Executive believes Executive is entitled hereunder no later than ninety (90) days of the
latest date upon which the payment could under this Agreement could have been timely paid pursuant to Code Section 409A, and
if not paid or provided, take further enforcement measures within 180 days after such latest date.

 

    	17

    	 

    

  

(g)          The
provisions of this Section 19 control over any conflicting provisions of this Agreement, or the plans, policies, or programs referred
to in this Agreement.

 

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

 

THE COMPANY AND
THE EXECUTIVE ACKNOWLEDGE THAT:

 

		(a)	EACH HAS CAREFULLY READ THIS AGREEMENT;

 

		(b)	EACH UNDERSTANDS ITS TERMS;

 

		(c)	ALL UNDERSTANDINGS AND AGREEMENTS BETWEEN THE COMPANY
AND THE EXECUTIVE RELATING TO THE SUBJECTS COVERED IN THE AGREEMENT ARE CONTAINED IN IT; AND

 

		(d)	EACH HAS ENTERED INTO THIS AGREEMENT VOLUNTARILY AND
NOT IN RELIANCE ON ANY PROMISES OR REPRESENTATIONS BY THE OTHER, OTHER THAN THOSE CONTAINED IN THIS AGREEMENT ITSELF.

 

IN WITNESS WHEREOF,
the parties hereto have executed this Agreement.

 

	Stephen Nolan	 	Hudson Global, Inc.
		 	 	 
	/s/ Stephen Nolan	 	By: 	/s/ Manuel Marquez Dorsch
	Signature of Executive	 	 	
        Manuel Marquez Dorsch Chairman and

        Chief Executive Officer

	 	 	 	 
	Stephen Nolan	 	 	 
	Print Name of Executive	 	 	 

 

    	18

    	 

    

 

Attachment A

 

CONFIDENTIALITY,
NON-SOLICITATION

AND WORK PRODUCT ASSIGNMENT AGREEMENT,

AND MUTUAL AGREEMENT TO ARBITRATE CLAIMS

 

As a material inducement
to and in consideration of executive’s employment by Hudson Global, Inc. and/or its affiliates or successors (individually
and collectively, “Hudson”),1 Stephen Nolan (the “Executive”) agrees as follows:

 

1.           Confidential
Information

 

1.1           Definition.

 

“Confidential
Information” consists of all information or data relating to the business of Hudson, including but not limited to, business
and financial information; new product development and technological data; personnel information and the identities of employees;
the identities of clients and suppliers and prospective clients and suppliers; client lists and potential client lists; development,
expansion and business strategies, plans and techniques; computer programs, devices, methods, techniques, processes and inventions;
research and development activities; trade secrets as defined by applicable law and other materials (whether in written, graphic,
audio, visual, electronic or other media, including computer software) developed by or on behalf of Hudson which is not generally
known to the public, which Hudson has and will take precautions to maintain as confidential, and which derives at least a portion
of its value to Hudson from its confidentiality. Additionally, Confidential Information includes information of any third party
doing business with Hudson (actively or prospectively) that Hudson or such third party identifies as being confidential. Confidential
Information does not include any information already known to the Executive prior to any discussions with employees or directors
of Hudson or information that is in the public domain or otherwise publicly available (other than as a result of a wrongful act
by the Executive or of an agent or other employee of Hudson about which the Executive knew or should have known).

 

1.2           Agreement
to Maintain the Confidentiality of Confidential Information.

 

The Executive acknowledges
that, as a result of Executive’s employment by Hudson, Executive will have access to such Confidential Information and to
additional Confidential Information which may be developed in the future. The Executive acknowledges that all Confidential Information
is the exclusive property of Hudson, or in the case of Confidential Information of a third party, of such third party. The Executive
agrees to hold all Confidential Information in trust for the benefit of the owner of such Confidential Information. The Executive
further agrees that Executive will use Confidential Information for the sole purpose of performing Executive’s work for Hudson,
and that during Executive’s employment with Hudson, and at all times after the termination of that employment for any reason,
the Executive will not use for Executive’s benefit, or the benefit of others, or divulge or convey to any third party any
Confidential Information obtained by the Executive during Executive’s employment by Hudson, unless it is pursuant to Hudson’s
prior written permission.

 

 

1 Any reference in this Agreement
to Hudson will be a reference also to each of its officers, directors, employees and agents, all subsidiary and affiliated entities,
all benefit plans and benefit plans’ sponsors and administrators, fiduciaries, affiliates, and all successors and assigns
of any of them.

  

    	 

    	 

    

  

1.3           Return
of Property.

 

The Executive acknowledges
that Executive has not acquired and will not acquire any right, title or interest in any Confidential Information or any portion
thereof. The Executive agrees that upon termination of Executive’s employment for any reason, Executive will deliver to Hudson
immediately, but in no event later that the last day of Executive’s employment, all documents, data, computer hardware, computer
programs and all other materials, and all copies thereof, including but not limited to copies of data in electronic form such as
disks, tape or media cards, that were obtained or made by the Executive during Executive’s employment with Hudson, which
contain or relate to Confidential Information and will destroy all electronically stored versions of the foregoing. The Executive
retains the right to retrieve and retain personal information.

 

2.           Disclosure
and Assignment of Inventions and Creative Works

 

The Executive agrees
to promptly disclose in writing to Hudson all inventions, ideas, discoveries, developments, improvements and innovations (collectively
“Inventions”), whether or not patentable and all copyrightable works, including but not limited to computer software
designs and programs (“Creative Works”) conceived, made or developed by the Executive, whether solely or together with
others, during the period the Executive is employed by Hudson. The Executive agrees that all Inventions and all Creative Works,
whether or not conceived or made during working hours, that: (a) relate directly to the business of Hudson or its actual or
demonstrably anticipated research or development, or (b) result from the Executive’s work for Hudson, or (c) involve
the use of any equipment, supplies, facilities, Confidential Information, or time of Hudson, are the exclusive property of Hudson.
The Executive hereby assigns and agrees to assign all right, title and interest in and to all such Inventions and Creative Works
to Hudson. The Executive understands that Executive is not required to assign to Hudson any Invention or Creative Work for which
no equipment, supplies, facilities, Confidential Information or time of Hudson was used, unless such Invention or Creative Work
relates directly to Hudson’s business or actual or demonstrably anticipated research and development, or results from any
work performed by the Executive for Hudson.

 

3.           Future
Restrictions and Notice

 

3.1           Non-Solicitation
of Clients.

 

During the period of
the Executive’s employment with Hudson and for a period of one year from the date of termination of such employment for any
reason, the Executive agrees that Executive will not, directly or indirectly, for the Executive’s benefit or on behalf of
any person, corporation, partnership or entity whatsoever, call on, solicit, perform services for, interfere with or endeavor to
entice away from Hudson any client to whom Executive provides services at any time during the 12 month period preceding the date
of termination of the Executive’s employment with Hudson, or any prospective client to whom Executive had made a presentation
at any time during the 12 month period preceding the date of termination of Executive’s employment with Hudson; provided,
however, that this Section 3.1 shall not preclude the Executive from providing services to any such client or prospective
client that are beyond the scope of the services that Hudson provides to its clients.

 

    	2

    	 

    

  

3.2           Non-Solicitation
of Employees.

 

For a period of one
year after the date of termination of Executive’s employment with Hudson for any reason, the Executive agrees that Executive
will not, directly or indirectly, hire, attempt to hire, solicit for employment or encourage the departure of any employee of Hudson,
to leave employment with Hudson, or any individual who was employed by Hudson as of the last day of the Executive’s employment
with Hudson.

 

3.3           Notice
to New Employer.

 

For a period of one
year after the date of termination of Executive’s employment with Hudson for any reason, the Executive agrees that Executive
will bring the terms of this agreement to the attention of Executive’s new employer.

 

4.           Agreement
to Arbitrate

 

4.1           Acknowledgment.

 

Hudson and the Executive
(together the “Parties”) further recognize that differences may arise between either of them after or during Executive’s
employment with Hudson.

 

The Parties understand
and agree that by entering into this agreement to arbitrate claims, each anticipates gaining the benefit of arbitration as a speedy,
impartial dispute-resolution procedure, and understands and agrees that both are voluntarily consenting to forego other types of
litigation, except as specifically listed below in Section 4.3. Executive acknowledges that Executive’s agreement to
submit to arbitration as described in this Agreement is in consideration of and is a material inducement to Executive’s employment
by Hudson.

 

4.2           Claims
Covered by this Agreement.

 

Hudson and Executive
mutually consent to the resolution by arbitration of all claims or controversies (tort, contract or statutory), whether or not
arising out of Executive’s employment (or its termination), that Hudson may have against Executive or that Executive may
have against Hudson (“claims”). The claims covered by this Agreement include, but are not limited to, claims for wages,
bonuses, overtime pay, or other compensation due; claims for breach of any contract or covenant (express or implied); tort claims,
including but not limited to, defamation, wrongful termination, invasion of privacy and intentional infliction of emotional distress;
claims for discrimination (including, but not limited to, race, sex, religion, national origin, age, marital status, or medical
condition or disability), harassment and/or retaliation; claims for benefits or the monetary equivalent of benefits (except where
an employee benefit or pension plan specifies that its claims procedure is subject to an arbitration procedure different from this
one); and claims for violation of any federal, state, or other governmental law, statute, regulation, or ordinance, except claims
excluded in the following Section 4.3.

  

    	3

    	 

    

  

4.3           Claims
Not Covered by the Agreement.

 

Claims not covered
by this Agreement include claims that Executive may have now or in the future for workers’ compensation or unemployment benefits.
Also not covered are claims by Hudson based on criminal acts of Executive, and claims for injunctive or other equitable
relief for: (a) breach or threatened breach of any non-solicitation, confidentiality and/or patent or invention assignment
agreements; (b) unfair competition; or (c) the misappropriation, use and/or unauthorized disclosure of trade secrets
or confidential information, as to each of which Executive understands and agrees that Hudson may immediately seek and obtain relief
from a court of competent jurisdiction. Employee may seek a declaratory judgment from a court of competent jurisdiction with regard
to any claims or allegations relating to the (a) breach or threatened breach of any non-solicitation, confidentiality, and/or patent
or invention assignment agreements, (b) unfair competition; or (c) the misappropriation, use and/or unauthorized disclosure of
trade secrets or confidential information.

 

4.4           Arbitration
Procedures.

 

Hudson and Executive
agree that, except as provided in this Agreement, any arbitration shall be in accordance with the then-current employment dispute
rules of the American Arbitration Association (“AAA”).

 

The arbitrator shall
render a written award and opinion in the form typically rendered in arbitrations. The award shall be final and binding.

 

4.5           Arbitration
Fees and Costs.

 

Hudson will pay the
reasonable fees and costs of the arbitrator. Hudson and Executive will each pay its and Executive’s costs and attorneys’
fees, if any. However, if either Party prevails on a statutory claim that affords the prevailing party attorneys’ fees, the
arbitrator may award reasonable fees to the prevailing Party.

 

4.6           Requirements
for Modification or Revocation.

 

This Agreement to arbitrate
shall survive the termination of Executive’s employment. It may only be revoked or modified by a writing signed by the parties
which specifically states an intent to revoke or modify this Agreement.

 

4.7           Sole
and Entire Agreement.

 

This is the complete
agreement of the parties on the subject of arbitration of disputes except for any arbitration agreement in connection with any
pension or benefit plan. This Agreement supersedes any prior or contemporaneous oral or written understanding on the subject, not
including the Executive’s Employment Agreement with Hudson, into which this Agreement is incorporated. Executive is not relying
on any representations, oral or written, on the subject of the effect, enforceability or meaning of this Agreement, except as specifically
set forth in this Agreement.

  

    	4

    	 

    

  

4.8           Construction.

 

If any provision, portion
or section of this Agreement is judged to be void or otherwise unenforceable, in whole or in part, such judgment will not affect
the validity of the remainder of this Agreement.

 

4.9           Not
an Employment Agreement.

 

This Agreement is not,
and shall not be construed to create, any contract of employment or guarantee of employment for any specific time or under any
specific terms or conditions, express or implied.

 

5.           Miscellaneous

 

5.1           Enforcement.

 

If, at the time of
enforcement of this Agreement, a court holds that any of the restrictions stated herein are unreasonable under circumstances then
existing, the parties hereto agree that the maximum period, scope or geographical area deemed reasonable under such circumstances
will be substituted for the stated period, scope or area as contained in this Agreement. Because money damages may be an inadequate
remedy for any breach of the Executive’s obligations under this Agreement, in the event the Executive breaches or threatens
to breach this Agreement, Hudson, or any successors or assigns, may, in addition to other rights and remedies existing in its favor,
apply to any court of competent jurisdiction for specific performance, or injunctive or other equitable relief in order to enforce
or prevent any violations of this Agreement.

 

5.2           Severability.

 

Whenever possible,
each provision of this Agreement will be interpreted in such a way as to be effective and valid under applicable law, but if any
provision of this Agreement is held to be invalid, illegal or unenforceable in any respect under my applicable law or rule in any
jurisdiction, such invalidity, illegality or unenforceability will not affect any other provisions, but this Agreement and/or such
provision will be reformed, construed and enforced in such jurisdiction as if such invalid, illegal or unenforceable provision
had never been contained herein.

 

5.3           Additional
Rights and Causes of Action.

 

This Agreement is in
addition to and does not in any way waive or detract from any rights or causes of action Hudson or Executive may have relating
to Confidential Information or other protectable information or interests under statutory or common law or under any other agreement.

 

5.4           Governing
Law.

 

Notwithstanding principles
of conflicts of law of any jurisdiction to the contrary, all terms and provisions to this Agreement are to be construed and governed
by the laws of the State of New York without regard to the laws of any other jurisdiction wherein the Executive resides or performs
any duties hereunder or where any violation of this Agreement occurs. Any arbitration or mediation will take place in the City
of New York, New York. The venue for any litigation permitted by this Agreement will be the state courts located in the City of
New York, New York or the United States District Court for the Southern District of New York.

 

    	5

    	 

    

  

5.5           Successors
and Assigns.

 

The Agreement will
inure to the benefit of and be enforceable by Hudson and its successors and assigns. The Executive may not assign the Executive’s
rights or delegate the Executive’s obligations hereunder.

 

5.6           Waivers.

 

The waiver by either
the Executive or Hudson of a breach by the other party of any provision of this Agreement shall not operate or be construed as
a waiver of any subsequent breach by the breaching party.

 

HUDSON AND EXECUTIVE
ACKNOWLEDGE THAT:

 

		(a)	EACH HAS CAREFULLY READ THIS AGREEMENT;

 

		(b)	EACH UNDERSTANDS ITS TERMS;

 

		(c)	ALL UNDERSTANDINGS AND AGREEMENTS BETWEEN HUDSON AND
EXECUTIVE RELATING TO THE SUBJECTS COVERED IN THE AGREEMENT ARE CONTAINED IN IT; AND

 

		(d)	EACH HAS ENTERED INTO THIS AGREEMENT VOLUNTARILY AND
NOT IN RELIANCE ON ANY PROMISES OR REPRESENTATIONS BY THE OTHER, OTHER THAN THOSE CONTAINED IN THIS AGREEMENT ITSELF.

 

EXECUTIVE FURTHER
ACKNOWLEDGES THAT EXECUTIVE HAS BEEN GIVEN SUFFICIENT TIME AND OPPORTUNITY TO CONSIDER WHETHER TO SIGN THIS AGREEMENT AND EXECUTIVE
HAS NOT BEEN FORCED OR COERCED INTO SIGNING THIS AGREEMENT.

 

    	6

    	 

    

 

IN WITNESS WHEREOF,
the parties hereto have executed this Confidentiality Agreement and Mutual Agreement to Arbitrate Claims.

 

	Stephen Nolan	 	Hudson Global, Inc.
	 	 	 
	/s/ Stephen Nolan	 	/s/ Manuel Marquez Dorsch
	Signature of Executive	 	Manuel Marquez Dorsch
	 	 	Chairman and Chief Executive Officer
	 	 	 
	Stephen Nolan	 	May 31, 2013
	Print Name of Executive	 	Date
	 	 	 
	May 31, 2013	 	 
	Date	 	 

 

    	7

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00218-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00218-of-00352.parquet"}]]