Document:

EMPLOYEE STOCK PURCHASE PLAN

 

Exhibit 10.1

MAYOR’S JEWELERS INC.

EMPLOYEE STOCK PURCHASE PLAN

As Amended

     The following constitute the provisions of the Employee Stock Purchase
Plan (herein called the “Plan”) of Mayor’s Jewelers, Inc. (the “Company”).

     1. Purpose. The purpose of the Plan is to provide employees of the
Company and its subsidiaries with an opportunity to purchase Common Stock of
the Company through payroll deductions. It is the intention of the Company to
have the Plan qualify as an “Employee Stock Purchase Plan” under Section 423 of
the Internal Revenue Code of 1954, as amended. The provisions of the Plan
shall, accordingly, be constructed so as to extend and limit participation in a
manner consistent with the requirements of that section of the Code.

     2. Definitions.

          (a) “Board” shall mean the Board of Directors of the Company.

          (b) “Common Stock” shall mean the Common Stock, .0001 par value, of the
Company.

          (c) “Company” shall mean Mayor’s Jewelers, Inc., a Delaware corporation.

          (d) “Compensation” shall mean all regular straight time earnings, payments
of overtime, shift premiums, incentive compensation, incentive payments,
bonuses and commissions (except to the extent that the exclusion of any such
items is specifically directed by the Board or its committee).

          (e) “Designated Subsidiaries” shall mean the Subsidiaries which have been
designated by the Board from time to time, in its sole discretion, as eligible
to participate in the Plan.

          (f) “Employee” means any person, excluding senior officers of the Company,
who is customarily employed for at least twenty (20) hours per week and has
been so employed for at least four (4) months continuous by the Company or one
of its Designated Subsidiaries.

          (g) “Plan’” shall mean this Employee Stock Purchase Plan.

 

 

          (h) “Subsidiary” shall mean a corporation or affiliate entity
(partnership, joint venture or otherwise), domestic or foreign, of which not
less than 50% of the voting shares or control are held directly or indirectly
by the Company or an affiliate of the Company, whether or not such corporation
or affiliate entity now exists or is hereafter organized or acquired by the
Company or an affiliate of the Company.

     3. Eligibility.

          (a) Any Employee as defined in paragraph 2 shall be eligible to
participate in the Plan, subject to limitations imposed by Section 423(b) of
the Internal Revenue Code of 1954, as amended.

          (b) Any provisions of the Plan to the contrary notwithstanding, no
Employee shall be granted an option under the Plan (i) if, immediately after
the grant, such Employee would own shares (including outstanding options to
purchase) of stock possessing five percent (5%) or more of the total combined
voting power or value of all classes of shares of the Company or of any parent
or subsidiary of the Company, or (ii) which permits his rights to purchase
shares under all employee stock purchase plans of the Company and its parent
and subsidiaries to accrue at a rate which exceeds $25,000 of the fair market
value of the shares (determined at the time such option is granted) for each
calendar year in which such stock option is outstanding at any time.

     4. Offering Dates. The Plan shall be implemented by one offering during
each six-month period of the Plan, commencing on or about July 1, 1987 and
continuing thereafter until terminated, in accordance with paragraph 19 hereof.
The Board of Directors of the Company shall have the power to change the
duration of offering periods with respect to future offerings without
shareholder approval, if such change is announced at least fifteen (15) days
prior to the scheduled beginning of the first offering period to be affected.

     5. Participation.

          (a) An eligible Employee may become a participant in the Plan by
completing a subscription agreement authorizing a payroll deduction on the form
provided by the Company, and filing it with the Company’s or Designated
Subsidiary’s payroll office prior to the applicable offering date.

          (b) Payroll deductions for a participant shall commence on the first
payroll following the offering date and shall end on the termination date of
the offering to which such authorization is applicable, unless sooner
terminated by the participant as provided in paragraph 10.

     6. Payroll deductions.

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          (a) At the time a participant files his subscription agreement, he shall
elect to have payroll deductions made on each payday during the offering period
at a rate not exceeding 10% of the Compensation which he is to receive on such
payday, and the aggregate of such projected payroll deduction during the
offering period shall not exceed ten percent (10%) of his aggregate projected
Compensation during said offering period.

          (b) All payroll deductions authorized by participant shall be credited to
his account under the Plan. A participant may not make any additional payments
into such account.

          (c) A participant may discontinue his participation in the Plan as
provided in paragraph 10, or may lower, but not increase, the rate of his
payroll deductions during the offering by completing and filing with the
Company or Designated Subsidiary a new authorization for payroll deduction. The
change in rate shall be effective within fifteen (15) days following the
Company’s receipt of the new authorization.

     7. Grant of Option.

          (a) At the beginning of each six-month offering period, each eligible
Employee participating in the Plan shall be granted an option to purchase (at
the per share option price set forth in Section 7(b)) up to a number of shares
of the Company’s Common Stock purchasable by each Employee’s projected
accumulated payroll deduction (not to exceed an amount equal to ten percent
(10%) of his Compensation as of the date of the commencement of the applicable
offering period) divided by eighty-five percent (85%) of the fair market value
of a share of the Company’s Common Stock at the beginning of said offering
period, subject to the limitations set forth in Section 3(b) and 12 hereof.
Fair market value of a share of the Company’s Common Stock shall be determined
as provided in Section 7(b) herein.

          (b) The option price per share of such shares shall be the lesser of: (i)
85% of the fair market value of a share of the Common Stock of the Company at
the commencement of the six-month offering period; or (ii) 85% of the fair
market value of a share of the Common Stock of the Company at the time the
option is exercised at the termination of the six-month offering period. The
fair market value of the Company’s Common Stock on a given date shall be the
reported closing price for that date.

     8. Exercise of Option. Unless a participant withdraws from the Plan as
provided in paragraph 10, his option for the purchase of shares shall be
exercised automatically at the end of the offering period, and the maximum
number of full shares subject to option shall be purchased for him at the
applicable option price with the accumulated payroll deductions in his
account. During his lifetime, a participant’s option to purchase shares
hereunder is exercisable only by him.

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     9. Delivery. As promptly as practicable after the termination of each
offering, the Company shall arrange the delivery to each participant, as
appropriate, of a certificate representing the shares purchased upon exercise
of his option. Any cash remaining to the credit of a participant in his account
under the Plan after a purchase of shares at the termination of each offering
period, or which is insufficient to purchase a full share of Common Stock of
the Company, shall be returned to the participant.

     10. Withdrawal; Termination of Employment.

          (a) A participant may withdraw all but not less than all the payroll
deductions credited to his account under the Plan at any time prior to the end
of the offering period by giving written notice to the Company or Designated
Subsidiary. All of the participant’s payroll deductions credited to his
account shall be paid to him promptly after receipt of his notice of withdrawal
and his option for the current period shall be automatically terminated, and no
further payroll deductions for the purchase of shares shall be made for him
during the offering period.

          (b) Upon termination of the participant’s employment prior to the end of
the offering period for any reason, including retirement or death, the payroll
deductions credited to his account shall be returned to him or, in the case of
his death, to the person or persons entitled thereto under paragraph 14, and
his option shall be automatically terminated.

          (c) In the event an Employee fails to remain in the continuous employ of
the Company or a Designated Subsidiary for at least twenty (20) hours per week
during the offering period in which the employee is a participant, he shall be
deemed to have elected to withdraw from the Plan and the payroll deductions
credited to his account shall be returned to him and his option terminated.

          (d) A participant’s withdrawal from an offering shall not have any effect
upon his eligibility to participate in a succeeding offering or in any similar
plan which may hereafter be adopted by the Company or a Designated Subsidiary.

     11. Interest. No interest shall accrue on the payroll deductions of a
participant in the Plan.

     12. Stock.

          (a) The maximum number of shares of the Company’s Common Stock which shall
be made available for sale under the Plan shall be

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1,062,500 shares, subject to adjustment upon changes in capitalization of
the Company as provided in paragraph 18. The shares to be sold to participants
under the Plan may, at the election of the Company, be either treasury shares,
shares authorized but unused, or shares purchased on the open market. If the
total number of shares, which would otherwise be subject to options granted
pursuant to Section 7(a) hereof, at the beginning of an offering period exceeds
the number of shares then available under the Plan (after deduction of all
shares for which options have been exercised or are then outstanding), the
Company shall allocate options for shares remaining available for option grant
pro rata among the participants in accordance with the amounts otherwise
determined pursuant to Section 7(a). In such event, the Company shall give
written notice of such reduction of the number of shares subject to the option
to each participant affected thereby and shall similarly reduce the rate of
payroll deductions, if necessary.

          (b) A participant shall have no interest or voting right in shares covered
by his option until such option has been exercised.

          (c) Shares to be delivered to a participant under the Plan shall be
registered either in the name of the participant or in the name of the
participant and his spouse.

     13. Administration. The Plan shall be administered by the Board of
Director’s of the Company or a committee appointed by the Board. The
administration, interpretation or application of the Plan by the Board or its
committee shall be final, conclusive and binding upon all participants. Members
of the committee who are eligible Employees are permitted to participate in the
Plan.

     14. Designation of Beneficiary.

          (a) A participant may file a written designation of a beneficiary who is
to receive any shares or cash or both to which the participant may be entitled
under the Plan at the time of his death.

          (b) Such designation of beneficiary may be changed by the participant at
any time by written notice. In the event of the death of a participant and in
the absence of a beneficiary validly designated under the Plan who is living at
the time of such participant’s death, the Company shall delivery any shares and
any cash to which the participant was entitled to the executor or administrator
of the estate of the participant, or if no such executor or administrator has
been appointed (to the knowledge of the Company), the Company, in its
discretion, may deliver any such shares and any such cash to the spouse or
children of the participant, or if no spouse or no child is known to the
Company, then to such other person as the Company may designate.

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     15. Transferability. Neither payroll deductions credited to a
participant’s account nor any rights with regard to the exercise of any option
or rights to receive shares under the Plan may be assigned, transferred,
pledged or otherwise disposed of in any way (other than by will, the laws of
descent and distribution or as provided in paragraph 14 hereof) by the
participant. Any such attempt at assignment, transfer, pledge or other
disposition shall be without effect, except that the Company may treat such act
as an election to withdraw funds in accordance with paragraph 10.

     16. Use of Funds. All payroll deductions received or held by the Company
or a Designated Subsidiary under the Plan may be used by the Company or a
Designated Subsidiary for any corporate purpose, and the Company or a
Designated Subsidiary shall not be obligated to segregate such payroll
deductions.

     17. Reports. Individual accounts shall be maintained for each participant
in the Plan. Statements of account shall be given to participating Employees
semiannually promptly following the stock purchase date, which statements shall
set forth the amount of payroll deductions, the per share purchase price, the
number of shares purchased and the remaining cash balance, if any.

     18. Adjustments Upon Changes in Capitalization. Subject to any required
action by the shareholders of the Company, the number of shares of Common Stock
covered by each option under the plan which has not yet been exercised and the
number of shares of Common Stock which have been authorized for issuance under
the Plan but have not yet been placed under option (collectively, the
“Reserves”), as well as the price per share of Common Stock covered by each
option under the Plan which has not yet been exercised, shall be
proportionately adjusted for any increase or decrease in the number of shares
of Common Stock effected without receipt of consideration by the Company;
provided, however, that conversion of any convertible securities of the Company
shall not be deemed to have been “effected without receipt of consideration.”
Such adjustment shall be made by the Board, whose determination in that respect
shall be final, binding and conclusive. Except as expressly provided herein, no
issue by the Company of shares of Stock of any class shall affect, and no
adjustment by reason thereof shall be made with respect to, the number or price
of shares of Common Stock subject to an Option.

     The Board may, if it so determines in the exercise of its sole discretion,
also make provision for adjusting the Reserves, as well as the price per share
of Common Stock covered by each outstanding option, in the event that the
Company effects one or more reorganizations, capitalizations, rights, offerings
or other increases or reductions of shares of its outstanding Common

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Stock, and in the event the Company is consolidated with or merged into
any other corporation.

     19. Amendment or Termination. The Board of Directors of the Company may at
any time terminate or amend the Plan. No termination shall affect options
previously granted. No amendment shall make any change in any option granted
under the Plan which adversely affects the right of any participant. No
amendment shall be made without prior approval of the shareholders of the
Company if such amendment would:

          (a) Increase the number of shares that may be issued under the Plan;

          (b) Permit payroll deductions at a rate in excess of ten percent (10%) of
the participant’s Compensation;

          (c) Materially modify the requirements as to eligibility for participation
in the Plan; or

          (d) Materially increase the benefits which may accrue to participants
under the Plan.

     20. Notices. All notices or other communications by a participant to the
Company under or in connection with the Plan shall be deemed to have been duly
given when received in the form specified by the Company at the location, or by
the person, designated by the Company for the receipt hereof.

     21. Shareholder Approval. This Plan shall be subject to approval by the
affirmative vote of the holders of a majority of the outstanding shares of the
Company present or represented and entitled to vote thereon.

     22. Conditions Upon Issuance of Shares. Shares shall not be issued with
respect to any option unless the exercise of such option and issuance and
delivery of such shares pursuant thereto shall comply with all applicable
provisions of law, domestic or foreign, including, without limitation, the
Securities Act of 1933, as amended, the Securities Exchange Act of 1934, as
amended, the rules and regulations promulgated thereunder, and the requirements
of any stock exchange upon which the shares may then be listed, and shall be
further subject to the approval of counsel for the Company with respect to such
compliance. As a condition to the exercise of an option, the Company may
require the person exercising such option to represent and warrant at the time
of any such exercise that the shares are being purchased only for investment
and without any present intention to sell or distribute such shares if, in the
opinion of counsel for the company, such a representation is required by any of
the aforementioned applicable provisions of law.

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Exhibit 10.7
LANVISION SYSTEMS, INC.

Employment Agreement among LanVision Systems, Inc., LanVision, Inc. and J. Brian
Patsy effective February 1, 2004

                              EMPLOYMENT AGREEMENT

         This EMPLOYMENT AGREEMENT ("Agreement") is entered into effective as of
February 1, 2003, by and among LanVision Systems, Inc., a Delaware corporation
("Parent"), LanVision, Inc., an Ohio corporation ("Company") and J. Brian Patsy
("Employee").

                                    RECITALS:

         A.       Employee is currently an "at will" employee of the Company;
and

         B.       Parent, the Company and Employee mutually desire to modify the
terms and conditions of Employee's employment, including the conversion of
Employee's at will status to employment for a described term, and to enter into
this Agreement which sets forth the terms and conditions of Employee's
employment;

         NOW, THEREFORE, in consideration of the premises and the agreements
contained herein, and for other good and valuable consideration, the receipt and
adequacy of which the parties hereby acknowledge, the parties agree as follows:

1. EMPLOYMENT

         Parent and the Company hereby agree to employ Employee, and Employee,
in consideration of such employment and other consideration set forth herein,
hereby accepts employment, upon the terms and conditions set forth herein.

2. POSITION AND DUTIES

         During the term of this Agreement, Employee shall be employed in the
position of President of each of Parent and the Company. While employed
hereunder, Employee shall do all things necessary, legal and incident to the
above position, and otherwise shall perform such functions as the Board of
Directors of Parent and the Company may establish from time to time.

3. COMPENSATION

         Subject to such modifications as may be approved from time to time by
the Board of Directors of Parent, the Employee shall receive the compensation
and benefits listed on the attached Exhibit A. Such compensation shall be paid
by Parent or the Company, at the discretion of Parent.

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4. EXPENSES

         Parent or the Company shall pay or reimburse Employee for all travel
and out-of-pocket expenses reasonably incurred or paid by Employee in connection
with the performance of Employee's duties as an employee of Parent or the
Company, respectively, upon compliance with the Company's procedures for expense
reimbursement including the presentation of expense statements or receipts or
such other supporting documentation as the Company may reasonably require.

5. PRIOR EMPLOYMENT

         The Employee warrants and represents to Parent and the Company (i) that
the Employee will take no action in violation of any employment agreement or
arrangement with any prior employer, (ii) that the Employee has disclosed to
Parent and the Company all such prior written agreements, (iii) that any
employment agreement or arrangement with any prior employer is null and void and
of no effect, and (iv) that the Employee has the full right and authority to
enter into this Agreement and to perform all of the Employee's obligations
hereunder. The Employee agrees to indemnify and hold Parent and the Company
harmless from and against any and all claims, liabilities or expenses incurred
by Parent and/or the Company as a result of any claim made by any prior employer
arising out of this Agreement or the employment of the Employee by Parent and
the Company.

6. OUTSIDE EMPLOYMENT

         Employee shall devote Employee's full time and attention to the
performance of the duties incident to Employee's position with Parent and the
Company, and shall not have any other employment with any other enterprise or
substantial responsibility for any enterprise which would be inconsistent with
Employee's duty to devote Employee's full time and attention to Parent and
Company matters, provided that, the foregoing shall not prevent the Employee
from participating in any charitable or civic organization that does not
interfere with Employee's performance of the duties and responsibilities to be
performed by Employee under this Agreement.

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7. CONFIDENTIAL INFORMATION

         Employee shall not, during the term of this Agreement or at any time
thereafter, disclose, or cause to be disclosed, in any way Confidential
Information, or any part thereof, to any person, firm, corporation, association,
or any other operation or entity, or use the Confidential Information on
Employee's own behalf, for any reason or purpose. Employee further agrees that,
during the term of this Agreement or at any time thereafter, Employee will not
distribute, or cause to be distributed, Confidential Information to any third
person or permit the reproduction of the Confidential Information, except on
behalf of Parent or the Company in Employee's capacity as an employee of Parent
and the Company. Employee shall take all reasonable care to avoid unauthorized
disclosure or use of the Confidential Information. Employee hereby assumes
responsibility for and shall indemnify and hold Parent and/or the Company
harmless from and against any disclosure or use of the Confidential Information
in violation of this Agreement.

         For the purpose of this Agreement, "Confidential Information" shall
mean any written or unwritten information which specifically relates to and or
is used in Parent's or the Company's business (including without limitation,
Parent's or the Company's services, processes, patents, systems, equipment,
creations, designs, formats, programming, discoveries, inventions, improvements,
computer programs, data kept on computer, engineering, research, development,
applications, financial information, information regarding services and products
in development, market information including test marketing or localized
marketing, other information regarding processes or plans in development, trade
secrets, training manuals, know-how of the Company, and the customers, clients,
suppliers and others with whom Parent and/or the Company does or has in the past
done, business, regardless of when and by whom such information was developed or
acquired) which Parent or the Company deems confidential and proprietary which
is generally not known to others outside Parent or the Company and which gives
or tends to give Parent or the Company a competitive advantage over persons who
do not possess such information or the secrecy of which is otherwise of value to
Parent and/or the Company in the conduct of its business -- regardless of when
and by whom such information was developed or acquired, and regardless of
whether any of these are described in writing, reduced to practice,
copyrightable or considered copyrightable, patentable or considered patentable.
Provided, however, that "Confidential Information" shall not include general
industry information or information which is publicly available or is otherwise
in the public domain without breach of this Agreement, information which
Employee has lawfully acquired from a source other than Parent or the Company,
or information which is required to be disclosed pursuant to any law,
regulation, or rule of any governmental body or authority or court order.
Employee acknowledges that the Confidential Information is novel, proprietary to
and of considerable value to Parent and the Company.

         Employee agrees that all restrictions contained in this Section 7 are
reasonable and valid under the circumstances and hereby waives all defenses to
the strict enforcement thereof by Parent and/or the Company.

         Employee agrees that, upon the request of Parent or the Company, or
immediately on termination of his employment for whatever reason, Employee will
immediately deliver up to the requesting entity all Confidential Information in
Employee's possession and/or control, and

<PAGE>

all notes, records, memoranda, correspondence, files and other papers, and all
copies, relating to or containing Confidential Information. Employee does not
have, nor can Employee acquire any property or other right in the Confidential
Information.

8. PROPERTY OF PARENT AND THE COMPANY

         All ideas, inventions, discoveries, proprietary information, know-how,
processes and other developments and, more specifically improvements to existing
inventions, conceived by the Employee, alone or with others, during the term of
the Employee's employment, whether or not during working hours and whether or
not while working on a specific project, that are within the scope of Parent's
or the Company's business operations or that relate to any work or projects of
Parent or the Company, are and shall remain the exclusive property of Parent and
the Company. Inventions, improvements and discoveries relating to the business
of Parent or the Company conceived or made by the Employee, either alone or with
others, while employed with Parent and the Company are conclusively and
irrefutably presumed to have been made during the period of employment and are
the sole property of Parent and the Company. The Employee shall promptly
disclose in writing any such matters to Parent and the Company but to no other
person without the consent of Parent. The Employee hereby assigns and agrees to
assign all right, title, and interest in and to such matters to the Company. The
Employee will, upon request of Parent, execute such assignments or other
instruments and assist Parent and the Company in the obtaining, at the Company's
sole expense, of any patents, trademarks or similar protection, if available, in
the name of the Company.

9. NON-COMPETITION AGREEMENT

         (A)      During the term of Employee's employment, whether under this
Agreement or at will, and for a period of one year after the termination date of
Employee's employment, unless extended to two years after the termination date
of this agreement by the additional payment indicated in Section 11(D) (whether
such termination be with or without cause), Employee agrees that he will not
directly or indirectly, whether as an employee, agent, consultant, director,
officer, investor, partner, shareholder, proprietor, lender or otherwise own,
operate or otherwise work for or participate in any competitive business,
anywhere in the world, which designs, develops, manufactures or markets any
product or service that in any way competes with Parent's or the Company's
business, products or services as conducted, or planned to be conducted, on the
date of termination (a "Competitive Business"), provided that the foregoing
shall not prohibit Executive from owning not more than 5% of the outstanding
stock of a corporation subject to the reporting requirements of the Securities
Exchange Act of 1934.

         (B)      During the term of Employee's employment and for a period
ending one year from the termination of Employee's employment with Parent and
the Company, unless extended by the additional payment indicated in Section
11(D), whether by reason of the expiration of the term of this Agreement,
resignation, discharge by Parent and the Company or otherwise, Employee hereby
agrees that Employee will not, directly or indirectly:

                  (i) solicit, otherwise attempt to employ or contract with any
current or future employee of Parent or the Company for employment or otherwise
in any Competitive Business or

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otherwise offer any inducement to any current or future employee of Parent or
the Company to leave Parent's or the Company's employ; or

                  (ii) contact or solicit any customer or client of Parent or
the Company (an "Existing Customer"), contact or solicit any individual or
business entity with whom Parent or the Company has directly communicated for
the purpose of rendering services prior to the effective date of such
termination (a "Potential Customer"), or otherwise provide any other products or
services for any Existing Customer or Potential Customer of Parent or the
Company, on behalf of a Competitive Business or in a manner that is competitive
to the Parent's or the Company's business; or

                  (iii) Use or divulge to anyone any information about the
identity of Parent's or the Company's customers or suppliers (including without
limitation, mental or written customer lists and customer prospect lists), or
information about customer requirements, transactions, work orders, pricing
policies, plans, or any other Confidential Information.

         (C)      For the purpose of this Agreement, Competitive Business shall
mean any business operation (including a sole proprietorship) anywhere in the
world which designs, develops, manufactures or markets any product or service
that in any way competes with Parent's or the Company's health information
access system business, products or services as conducted, or contemplated to be
conducted, on the date of termination.

10. TERM

         Unless earlier terminated pursuant to Section 11 hereof, the term of
this Agreement shall be for the time period beginning February 1, 2004, the date
hereof, and continuing through January 31, 2005 (the "Term"), unless, during the
Term of this agreement, or any renewal thereof, there is a change in control as
defined in Section 13 herein, at which time the then current Expiration Date
will be extended to be one year form the date of the change in control. On
January 31, 2005, or the Expiration Date resulting from a change in control,
whichever is later, and on each annual Expiration Date thereafter, (each such
date being hereinafter referred to as the "Renewal Date"), the term of
employment hereunder shall automatically renew for an additional one (1) year
period unless the Company notifies Employee in writing at lease 90 days prior to
the applicable Renewal Date that the Company does not wish to renew this
agreement beyond the expiration of the then current term. Unless waived in
writing by the Company, the requirements of Sections 7 (Confidential Agreement),
8 (Property of Parent and the Company) and 9 (Non-Competition Agreement) shall
survive the expiration or termination of this Agreement for any reason except as
set forth in Section 11(D)(ii).

11. TERMINATION.

         (A)      Death. This Agreement and Employee's employment thereunder
shall be terminated on the death of Employee, effective as of the date of
Employee's death.

         (B)      Continued Disability. This Agreement and Employee's employment
thereunder may be terminated, at the option of Parent, upon a Continued
Disability of Employee, effective as of

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the date of the determination of Continued Disability as that term is
hereinafter defined. For the purposes of this Agreement, "Continued Disability"
shall be defined as the inability or incapacity (either mental or physical) of
Employee to continue to perform Employee's duties hereunder for a continuous
period of one hundred twenty (120) working days, or if, during any calendar year
of the Term hereof because of disability, Employee shall have been unable to
perform Employee's duties hereunder for a total period of one hundred eighty
(180) working days regardless of whether or not such days are consecutive. The
determination as to whether Employee is unable to perform the essential
functions of Employee's job shall be made by Parent's Board of Directors in its
reasonable discretion; provided, however, that if Employee is not satisfied with
the decision of the Board, Employee will submit to examination by three
competent physicians who practice in the metropolitan area in which the Company
then resides, one of whom shall be selected by Parent, another of whom shall be
selected by Employee, with the third to be selected by the physicians so
selected. The decision of a majority of the physicians so selected shall
supersede the decision of the Board and shall be final and conclusive.

         (C)      Termination For Good Cause. Notwithstanding any other
provision of this Agreement, Parent may at any time immediately terminate this
Agreement and Employee's employment thereunder for Good Cause. For this purpose,
"Good Cause" shall include the following: the current use of illegal drugs;
indictment for any crime involving moral turpitude, fraud or misrepresentation;
commission of any act which would constitute a felony and which would adversely
impact the business or reputation of Parent or the Company; fraud;
misappropriation or embezzlement of Parent or Company funds or property; willful
misconduct or grossly negligent or reckless conduct which is materially
injurious to the reputation, business or business relationships of Parent or the
Company; material violation or default on any of the provisions of this
Agreement; or material failure to meet reasonable performance criteria or
reasonable standards of conduct as established from time to time by the
Corporation's Board of Directors, which failure continues for at least 30 days
after written notice from the Corporation to the Executive. Any alleged cause
for termination shall be delivered in writing to Employee stating the full basis
for such cause along with any notice of such termination.

         (D)      Termination Without Good Cause.

                  (i) Parent or the Company may terminate Employee's employment
prior to the Expiration Date at any time, whether or not for Good Cause (as
"Good Cause" is defined in Section 11(C) above). In the event Parent or the
Company terminates Employee for reasons other than Good Cause, Employee's Death,
or Employee's Disability, Parent or the Company will pay Employee a lump sum
amount equal to the Employee's then current compensation [to include only 12
months of the then current base compensation and the higher of the bonuses paid
to Employee during that prior fiscal year or earned in the then current fiscal
year to date] at the time of termination. Such severance payment shall be paid
within 90 days following the date of Employee's termination. Employee shall also
be entitled to the continuation of the then current Company benefits (see
Exhibit A) to specifically include health care and dental care insurance
coverage at no cost to Employee for a period of two years from Employee's
termination. Parent or Corporation may elect to extend the one year period of
noncompetition to two years upon prior written notice to Employee, which notice
will be delivered not later than 180 days prior to the expiration of the initial
one year period of noncompetition and upon payment of an additional

<PAGE>

lump sum amount equal to the first lump sum payment made, above. This second
lump sum payment shall be paid within 180 days following notification of the
election to extend the noncompetition period for a second year.

                  (ii) If the Company fails to make the payments to Employee as
set forth above, the provisions of the Section 9 (NonCompetition) shall
terminate as of the date such payments cease.

12. ADVICE TO PROSPECTIVE EMPLOYERS

         If Employee seeks or is offered employment by any other company, firm
or person, he will notify the prospective employer of the existence and terms of
the non-competition and confidentiality agreement set forth in Sections 7 & 9 of
this Agreement. Employee may disclose the language of Sections 7 & 9, but may
not disclose the remainder of the Agreement.

13. CHANGE IN CONTROL; ACCELERATED VESTING SCHEDULES

         In the event that, within twelve months of a change in control of
Parent, Employee's employment by Parent and the Company is terminated prior to
the end of the then current Term or Employee terminates his employment due to a
material reduction in his duties or compensation, all stock options granted to
Employee shall immediately vest in full, and Parent or the Company will pay
Employee a lump sum amount in accordance with Section 11 (D) above at the time
of termination. For purposes of this Agreement, "change in control" means any of
the following events:

         (A)      A change in control of the direction and administration of
Parent's business of a nature that would be required to be reported in response
to Item 6(e) of Schedule 14A of Regulation 14A promulgated under the Securities
Exchange Act of 1934, as amended (the "1934 Act"), as in effect on the date
hereof and any successor provision of the regulations under the 1934 Act,
whether or not Parent is then subject to such reporting requirements; or

         (B)      Any "person" (as such term is used in Section 13(d) and
section 14(d)(2) of the 1934 Act but excluding any employee benefit plan of
Parent) is or becomes the "beneficial owner" (as defined in Rule 13d-3 under the
1934 Act), directly or indirectly, of securities of Parent representing more
than one half of the combined voting power of Parent's outstanding securities
then entitled to vote for the election of directors; or

         (C)      Parent shall sell all or substantially all of the assets of
Parent; or

         (D)      Parent shall participate in a merger, reorganization,
consolidation or similar business combination that constitutes a change in
control as defined in the 1996 LanVision Systems, Inc. Employee Stock Option
Plan and/or results in the occurrence of any event described in clause (A), (B)
or (C) above.

<PAGE>

14. ACKNOWLEDGEMENTS

         Parent, the Company and Employee each hereby acknowledge and agree as
follows:

         (A)      The covenants, restrictions, agreements and obligations set
forth herein are founded upon valuable consideration, and, with respect to the
covenants, restrictions, agreements and obligations set forth in Sections 7, 8
and 9 hereof, are reasonable in duration and geographic scope;

         (B)      In the event of a breach or threatened breach by Employee of
any of the covenants, restrictions, agreements and obligations set forth in
Section 7, 8 and/or 9, monetary damages or the other remedies at law that may be
available to Parent and/or the Company for such breach or threatened breach will
be inadequate and, without prejudice to Parent's or the Company's right to
pursue any other remedies at law or in equity available to it for such breach or
threatened breach, including, without limitation, the recovery of damages from
Employee, Parent and/or the Company will be entitled to injunctive relief from a
court of competent jurisdiction; and

         (C)      The time period and geographical area set forth in Section 9
hereof are each divisible and separable, and, in the event that the covenants
not to compete contained therein are judicially held invalid or unenforceable as
to such time period and/or geographical area, they will be valid and enforceable
in such geographical area(s) and for such time period(s) which the court
determines to be reasonable and enforceable. The Employee agrees that in the
event any court of competent jurisdiction determines that the above covenants
are invalid or unenforceable to join with Parent and the Company in requesting
that court to construe the applicable provision by limiting or reducing it so as
to be enforceable to the extent compatible with the then applicable law.
Furthermore, any period of restriction or covenant herein stated shall not
include any period of violation or period of time required for litigation to
enforce such restriction or covenant.

15. NOTICES

         Any notice or communication required or permitted hereunder shall be
given in writing and shall be sufficiently given if delivered personally or sent
by telecopy to such party addressed as follows:

         (A)      In the case of Parent or the Company, if addressed to it as
follows:

                  LanVision Systems, Inc.
                  5481 Creek Road
                  Cincinnati, Ohio 45242-4001
                  Attn: Chief Financial Officer

<PAGE>

         (B)      In the case of Employee, if addressed to Employee at:

                  J. Brian Patsy
                  5019 Parkview Court
                  Centerville, Ohio 45458

         Any such notice delivered personally or by telecopy shall be deemed to
have been received on the date of such delivery. Any address for the giving of
notice hereunder may be changed by notice in writing.

16. ASSIGNMENT, SUCCESSORS AND ASSIGNS

         This Agreement shall inure to the benefit of and be binding upon the
parties hereto and their respective legal representatives, successors and
assigns. Parent and the Company may assign or otherwise transfer their rights
under this Agreement to any successor or affiliated business or corporation
(whether by sale of stock, merger, consolidation, sale of assets or otherwise),
but this Agreement may not be assigned, nor may the duties hereunder be
delegated by Employee. In the event that Parent and the Company assign or
otherwise transfer their rights under this Agreement to any successor or
affiliated business or corporation (whether by sale of stock, merger,
consolidation, sale of assets or otherwise), for all purposes of this Agreement,
"Parent" and the "Company" shall then be deemed to include the successor or
affiliated business or corporation to which Parent and the Company,
respectively, assigned or otherwise transferred their rights hereunder.

17. MODIFICATION

         This Agreement may not be released, discharged, abandoned, changed, or
modified in any manner, except by an instrument in writing signed by each of the
parties hereto.

18. SEVERABILITY

         The invalidity or unenforceability of any particular provision of this
Agreement shall not affect any other provisions hereof and the parties shall use
their best efforts to substitute a valid, legal and enforceable provision,
which, insofar as practical, implements the purpose of this Agreement. Any
failure to enforce any provision of this Agreement shall not constitute a waiver
thereof or of any other provision hereof.

19. COUNTERPARTS

         This Agreement may be signed in counterparts and each of such
counterparts shall constitute an original document and such counterparts, taken
together, shall constitute one in the same instrument.

20. ENTIRE AGREEMENT

<PAGE>

         This constitutes the entire agreement among the parties with respect to
the subject matter of this Agreement and supersedes all prior and
contemporaneous agreements, understandings, and negotiations, whether written or
oral, with respect to such subject matter.

21. DISPUTE RESOLUTION

         Except as set forth in Section 14 above, any and all disputes arising
out of or in connection with the execution, interpretation, performance, or
non-performance of this Agreement or any agreement or other instrument between,
involving or affecting the parties (including the validity, scope and
enforceability of this arbitration clause), shall be submitted to and resolved
by arbitration. The arbitration shall be conducted pursuant to the terms of the
Federal Arbitration Act and the Commercial Arbitration Rules of the American
Arbitration Association. Either party may notify the other party at any time of
the existence of an arbitrable controversy by certified mail and shall attempt
in good faith to resolve their differences within fifteen (15) days after the
receipt of such notice. If the dispute cannot be resolved within the fifteen-day
period, either party may file a written demand for arbitration with the American
Arbitration Association. The place of arbitration shall be Cincinnati, Ohio.

22. GOVERNING LAW

         The provisions of this Agreement shall be governed by and interpreted
in accordance with the laws of the State of Ohio and the laws of the United
States applicable therein. The Employee acknowledges and agrees that Employee is
subject to personal jurisdiction in state and federal courts in Hamilton County,
Ohio.

         IN WITNESS WHEREOF, this Agreement has been executed by the parties
hereto effective as of the date first above written.

                                       LANVISION SYSTEMS, INC.

                                       By: /s/ Paul W. Bridge, Jr.
                                           ----------------------------------
                                           Paul W. Bridge, Jr.
                                       Its: Chief Financial Officer

                                       LANVISION, INC.

                                       By: /s/ Paul W. Bridge, Jr.
                                           ----------------------------------
                                           Paul W. Bridge, Jr.
                                       Its: Chief Financial Officer

                                       EMPLOYEE

                                       /s/ J. Brian Patsy
                                       --------------------------------------
                                       J. Brian Patsy

<PAGE>

EXHIBIT A - COMPENSATION AND BENEFITS

Employee:         J. Brian Patsy

Salary:           Fiscal Year 2004 (2/1/04 - 1/31/05)

                  Annual Base Salary - $225,000.00 payable in such number of
         installments as may be agreed upon among Parent, the Company and
         Employee

                  On target bonus, per the Executive Bonus Plan - $70,000

Stock Options:

Parent agrees that Employee shall be eligible to participate in the 1996
     LanVision Systems, Inc. Employee Stock Option Plan and to receive stock
     option grants as the Parent's Board of Directors may determine appropriate
     from time to time hereafter.

Benefits:         Family healthcare insurance coverage
                  Family dental insurance coverage
                  Car allowance

Employee shall be eligible to participate in all other employee fringe benefit
     plans of Parent or the Company (but not both if Parent and Company have
     separate plans providing benefits that may be similar in nature), to the
     same extent and at the same levels as other executive officers of Parent or
     the Company are then participating.

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