Document:

Exhibit 10.16

 

PWRW&G LLP 02/10/05

 

September
21, 2005

 

Mr. V.
N. Tyagarajan 

248 Fox Meadow Road 

Scarsdale, New York 10583

 

Dear
Tiger:

 

We are pleased to enter into this letter agreement (the “Agreement”)
with you, effective on February 7, 2005, prescribing the terms and conditions
of your employment with GECIS Global Holdings (“GECIS Global”) and GECIS
International Holdings, a wholly-owned subsidiary of GECIS Global (“GECIS
International”). In this Agreement we refer to GECIS Global and GECIS
International together as the “Company”.

 

1.         Term. Your employment and this
Agreement commenced on February 7, 2005 and will continue until terminated in
accordance with Section 8 (the “Term”).

 

2.         Duties and Title. You will serve
as Executive Vice President of Global Sales and Marketing for the Company and
will devote your full employable time, attention and best efforts to the
business affairs of the Company (except during vacations or illness).

 

3.         Base Salary. You will receive an
annual base salary (the “Base Salary”) of not less than $300,000 payable
in accordance with the customary payroll practices of the Company for salaried
employees.

 

4.         Bonus. You will be eligible to
receive an annual bonus (the “Bonus”) for each full or partial fiscal
year of the Company ending during the Term based on the Company’s attainment of
performance targets established by the Board of Directors of GECIS Global (the “Board”)
for each fiscal year. The current fiscal year is the calendar year. Your target
bonus is 100% of Base Salary and your maximum bonus is $500,000. The Bonus will
be paid to you when annual bonuses are typically paid to other senior
executives of the Company, but in all events by March 15th of the
year following the year to which the Bonus relates.

 

5.         Equity Compensation. As soon as
practicable, you will be granted stock options (“Options”) to purchase
5000 shares of common stock of GECIS Global, subject to the terms and
conditions of an equity award plan to be adopted by GECIS Global (the “Equity
Award Plan”), and a stock option agreement which will evidence such grant.
In addition, beginning in February 2006, the Board in its sole discretion may
award you additional Options.

 

6.         Benefits. You will be entitled
to participate in employee benefit plans and perquisite and fringe benefit
programs on a basis no less favorable than those benefits and perquisites
provided from time to time to the Company’s other senior executives.

 

 

7.         Vacation and Automobile. You are
entitled to four (4) weeks paid vacation during each year of the Term. The
Company will provide you or otherwise make available to you, at the Company’s
expense, an automobile to be used by you in connection with Company business in
accordance with the Company’s policy regarding automobiles.

 

8.         Termination; Non-Compete. Your
employment with the Company may be terminated pursuant to this Section 8. In
addition, to the payments provided in this Section 8, following any
termination, you will be entitled to all other benefits, if any, due you in
accordance with the plans, policies and practices of the Company but you will
not at any time participate in any severance plan, policy or program of the
Company.

 

(a)       Death or Disability.
Upon your death during the Term, your estate will be entitled to receive any
unpaid Base Salary through the date of your death and any earned but unpaid
Bonus. If during the Term, the Company determines that you are unable, due to
physical or mental incapacity, to substantially perform your duties and
responsibilities to the Company for a period of 180 consecutive days, the
Company may terminate your employment on account of “Disability.” If you are
terminated by the Company on account of your Disability you will be entitled to
receive your Base Salary through the date of termination and any earned but
unpaid Bonus.

 

(b)       Termination for Cause.
The Company may terminate your employment for “Cause” as defined below.
If the Company terminates you for Cause you will be entitled to any Base Salary
you have earned but that has not yet been paid to you on the date of
termination. If you are terminated for Cause you agree that for one year
following your termination, you will not engage in or carry on, directly or
indirectly, any enterprise, whether as an advisor, principal, agent, partner,
officer, director, employee, stockholder, associate or consultant for or on
behalf of any of the entities listed on the competitor list attached as Exhibit A.

 

For purposes of this Agreement, “Cause” means: (A) your
conviction by a court of, or entry of a pleading of guilty or nolo contendre,  of a felony or
any lesser crime a material element of which is fraud or dishonesty; (B) your
willful dishonesty of a substantial nature towards the Company and any of its
subsidiaries; (C) your material breach of this Agreement, (D) your use of
alcohol or drugs which demonstrably interferes with your performance of your
duties to the Company or (E) your material, knowing and intentional failure to
comply with applicable laws with respect to the execution of the Company’s and
its subsidiaries’ business operations, including, without limitation, a knowing
and intentional failure to comply with the Prevention of Corruption Act of
India, 1988 or the Foreign Corrupt Practices Act 1977 of the US Congress, each
as amended.

 

(c)       Termination by the
Company Without Cause. The Company may terminate your employment without
Cause (and other than for death or Disability). If you are terminated by the
Company without Cause you will be entitled to severance in a paid 30 days
following your termination in a lump sum cash payment equal to 50% of your Base
Salary, as in effect on the date of your termination. You will also be entitled
to any earned but unpaid Base Salary through the date of termination and any
earned but

 

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unpaid Bonus through the
date of termination. If you are terminated by the Company without Cause, you
agree that for the six months period following your termination, you will not
engage in or carry on, directly or indirectly, any enterprise, whether as an
advisor, principal, agent, partner, officer, director, employee, stockholder,
associate or consultant, for or on behalf of any of the entities listed on the
competitor list attached as Exhibit A.
On and following February 7, 2012, the terms of Exhibit A will be reevaluated and if necessary, re-defined by
mutual agreement between you and the Company.

 

(d)       Termination By You. If you
terminate your employment for any reason (e.g. resignation or retirement), you
will be entitled to any Base Salary you have earned but that has not yet been
paid to you as of your termination date. Following such a termination and for
twelve months thereafter, you agree that you will not engage in or carry on,
directly or indirectly, any enterprise, whether as an advisor, principal,
agent, partner, officer, director, employee, stockholder, associate or
consultant to any of the entities listed on the competitor list attached as Exhibit A.

 

(e)       In General. You will have no duty
to mitigate damages by seeking other employment following your termination and,
should you actually receive compensation from any such other employment, the
payments required by this Agreement will not be reduced or offset by any other
compensation.

 

9.         Non-Solicitation. By signing this Agreement you are
also agree that for thirty-six months following your termination of employment
you will not (i) directly or indirectly solicit any person who is on the date
of your termination an employee or independent contractor of the Company, (ii)
attempt to influence, persuade or induce, or assist any other person in so
influencing, persuading or inducing, any entity that is on the date of your
termination a client or customer of the Company to give up or not commence, a
business relationship with the Company or (iii) directly or indirectly solicit
for business or corporate opportunity any entity that is on the date of your
termination a client or customer of the Company.

 

10.       Other Provisions.

 

(a)       Nondisparagement. By signing this
Agreement, you also agree not to defame, disparage or criticize any of GECIS
Global, GECIS International or any of their respective affiliates or
subsidiaries (collectively, the “Company Group”), General Atlantic
Partners, LLC, Oak Hill Capital Management, Inc., GE and their respective
affiliates and subsidiaries, or any of the Company Group’s products, services,
finances, financial condition, capabilities or other aspect of or any of their
business, or any former or existing managers, directors, officers or agents of,
or contracting parties with, any member of the Company Group in any medium to
any person without limitation in time. Notwithstanding this provision, you may
confer in confidence with your legal representatives and make truthful
statements as required by law.

 

(b)       Confidential Information. By
signing this Agreement, you also acknowledge and agree that the Company Group
has a legitimate and continuing

 

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proprietary interest in
the protection of its confidential information and that it has invested
substantial sums and will continue to invest substantial sums to develop,
maintain and protect such confidential information. Accordingly, during the
Term and at all times thereafter, you may not, except with the written consent
of the Company or in connection with carrying out your duties or
responsibilities to the Company, furnish or make accessible to anyone or use
for your own benefit any trade secrets, confidential or proprietary information
of the Company Group, including its business plans, marketing plans,
strategies, systems, programs, methods, employee lists, computer programs,
insurance profiles and client lists; provided, that such protected
information shall not include information known to the public or otherwise in
the public domain without you violating your obligations under this Section
10(b). You may however, disclose confidential information when required to do
so by a court of competent jurisdiction, by any governmental agency having
supervisory authority over the business of the Company Group or by any
administrative body or legislative body (including a committee thereof) with
jurisdiction to order you to divulge, disclose or make accessible such
information.

 

(c)       Property of the Company. By
signing this Agreement you also acknowledge and agree that all memoranda,
notes, lists, records and other documents or papers (and all copies thereof)
relating to the Company Group, whether written or stored on electronic media,
made or compiled by you or on your behalf in the course of your employment, or
made available to you in the course of your employment, relating to the Company
Group, or to any entity which may hereafter become an affiliate thereof, but
excluding your personal effects, Rolodexes and similar items, are the property
of the Company, and shall, except as otherwise agreed by the Company in
writing, be delivered to the Company promptly upon the termination of your
employment with the Company for any reason or at any other time upon request.

 

In addition, all
discoveries, inventions, ideas, technology, formulas, designs, software,
programs, algorithms, products, systems, applications, processes, procedures,
methods and improvements and enhancements conceived, developed or otherwise
made or created or produced by you during the Term alone or with others,
whether or not subject to patent, copyright or other protection and whether or
not reduced to tangible form, at any time during the Term (“Developments”),
are the sole and exclusive property of the Company. You agree to, and hereby
do, assign to the Company, without any further consideration, all of your
right, title and interest throughout the world in and to all Developments. You
agree that all such Developments that are copyrightable may constitute works
made for hire under the copyright laws of the United States and, as such,
acknowledge that the Company or one of the members of the Company Group, as the
case may be, is the author of such Developments and owns all of the rights
comprised in the copyright of such Developments and you hereby assigns to the
Company without any further consideration all of the rights comprised in the
copyright and other proprietary rights you may have in any such Development to
the extent that it might not be considered a work made for hire. You must make
and maintain adequate and current written records of all Developments and shall
disclose all Developments promptly, fully and in writing to the Company
promptly after development of the same, and at any time upon request.

 

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(d)       Enforcement. By signing this
Agreement you also agree that the Company’s remedies at law for a breach or
threatened breach of any of the provisions of Sections 8 (related to
non-competition), Section 9 (non-solicitation) and Sections 10(b) and 10(c)
(Confidentiality and Company Property) would be inadequate and, in recognition
of this fact, you agree that, in the event of such a breach or threatened
breach, in addition to any remedies at law, the Company, without posting any
bond, shall be entitled to obtain equitable relief in the form of specific
performance, temporary restraining order, temporary or permanent injunction or
any other equitable remedy which may then be available. You also acknowledge that
you understand that certain provisions of Section 8 may limit your ability to
earn a livelihood but nevertheless agree and acknowledge that (i) such
provisions do not impose a greater restraint than is necessary to protect the
goodwill or other business interests of the Company, (ii) such provisions
contain reasonable limitations as to time and scope of activity to be
restrained, (iii) such provisions are not harmful to the general public, (iv)
such provisions are not unduly burdensome to you, and (v) the consideration
provided hereunder is sufficient to compensate you for the restrictions
contained in Section 8. In consideration of the foregoing and in light of your
education, skills and abilities, you agree that you will not assert that, and
it should not be considered that, any provisions of this Agreement otherwise
are void, voidable or unenforceable or should be voided or held unenforceable.
It is expressly understood and agreed that although you and the Company
consider the restrictions contained in this Agreement to be reasonable, if a
judicial determination is made by a court of competent jurisdiction that the
time or territory or any other restriction contained in this Agreement is an
unenforceable restriction against you, the provisions of this Agreement shall
not be rendered void but shall be deemed amended to apply as to such maximum
time and territory and to such maximum extent as such court may judicially
determine or indicate to be enforceable. Alternatively, if any court of
competent jurisdiction finds that any restriction contained in this Agreement
is unenforceable, and such restriction cannot be amended so as to make it
enforceable, such finding shall not affect the enforceability of any of the
other restrictions contained herein.

 

(e)       Amendment Etc. Both you and the
Company agree and understand that no provision of this Agreement may be
modified, waived or discharged unless such waiver, modification or discharge is
agreed to in a writing signed by you and an officer of the Company. No waiver
by either you or the Company at any time of any breach, or compliance with, any
condition or provision of this Agreement to be performed will be deemed a
waiver of similar or dissimilar provisions or conditions at the same or at any
prior or subsequent time. This Agreement shall be binding on and inure to the
benefit of the successors and assigns of the Company.

 

(f)        Withholding Taxes. The Company
shall be entitled to withhold from any payment due to you hereunder any amounts
required to be withheld by applicable tax laws or regulations.

 

(g)       GOVERNING LAW; CONSENT TO JURISDICTION.
THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS
OF THE STATE OF [NEW YORK] APPLICABLE TO AGREEMENTS MADE AND TO BE WHOLLY
PERFORMED

 

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WITHIN THAT STATE,
WITHOUT REGARD TO THE CONFLICT OF LAWS PROVISIONS OF ANY JURISDICTION WHICH
WOULD CAUSE THE APPLICATION OF ANY LAW OTHER THAN THAT OF THE STATE OF [NEW
YORK]. ANY ACTION TO ENFORCE THIS AGREEMENT MUST BE BROUGHT IN, AND YOU AND THE
COMPANY HEREBY CONSENT TO THE JURISDICTION OF, A COURT SITUATED IN [NEW YORK
COUNTY, NEW YORK]. YOU AND THE COMPANY HEREBY WAIVE THE RIGHT TO CLAIM THAT ANY
SUCH COURT IS AN INCONVENIENT FORUM FOR THE RESOLUTION OF ANY SUCH ACTION.

 

(h)       JURY TRIAL WAIVER. YOU AND THE
COMPANY EXPRESSLY AND KNOWINGLY WAIVE ANY RIGHT TO A JURY TRIAL IN THE EVENT
ANY ACTION ARISING UNDER OR IN CONNECTION WITH THIS AGREEMENT OR EXECUTIVE’S
EMPLOYMENT WITH THE COMPANY IS LITIGATED OR HEARD IN ANY COURT.

 

(i)        Assignment. You may not assign
your rights or interests under this Agreement. This Agreement may be assigned
by the Company to an entity so long as such entity assumes in writing or by
operation of law, at the time of the assignment, the Company’s obligation to
perform this Agreement.

 

(j)        Severability of Invalid or
Unenforceable Provisions. The invalidity or unenforceability of any
provision or provisions of this Agreement shall not affect the validity or
enforceability of any other provision of this Agreement, which shall remain in
full force and effect.

 

(k)       Entire Agreement. This Agreement
sets forth the entire agreement of you and the Company in respect of the
subject matter contained herein and supersedes all prior agreements, (including
the term sheet, dated January 21, 2005 executed by you and the Company)
promises, covenants, arrangements, communications, representations or
warranties, whether oral or written in respect of the subject matter contained
herein.

 

We look forward to
working with you. Please acknowledge your agreement with the terms of this
Agreement, but signing where indicated.

 

 

	
   

  	
  Sincerely, 

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  GECIS GLOBAL HOLDINGS

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Eileen S. Silvers

  	
   

  
	
   

  	
   

  	
  Name:

  	
  Eileen S. Silvers

  
	
   

  	
   

  	
  Title:

  	
   

  
					

 

 

6

 

	
   

  	
  GECIS INTERNATIONAL
  HOLDINGS

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Eileen S. Silvers

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

	
  Agreed and Accepted:

  
	
   

  
	
  By:

  	
  /s/ V. N. Tyagarajan

  	
   

  
	
   

  	
  V. N. Tyagarajan 

  
	
   

  
	
  Date:

  	
  Sept 28, 2005

  	
   

  

 

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EXHIBIT A

 

COMPETITOR LISTExhibit 10.10

 

Q.B.I Enterprises Ltd.

P.O. Box 741

Nes Ziona  74106     Israel

 

March 29, 2007

 

Yaron Garmazi

Q.B.I Enterprises Ltd.

P.O. Box  741

Nes Ziona 74106

Israel

 

Re:          Amendment To
Employment Agreement

 

Dear Yaron:

 

This letter agreement will amend your Employment Agreement with Q.B.I.
Enterprises Ltd. dated as of March 7, 2007 (the “Employment Agreement”).

 

This first sentence of Paragraph 6(a) of Exhibit A (labeled “ESOP
Participation”) is hereby amended and restated to read in full as follows:

 

“In the event of the consummation of the initial public offering (“IPO”)
of Quark prior to the vesting of forty percent (40%) of the total number of
shares that shall derive on the exercise of the Stock Options, the vesting
provisions shall be accelerated so that upon the date six months following the
consummation of the IPO forty percent (40%) of the total number of shares that
derive from the exercise of the Stock Options shall be vested.”

 

As amended, the Employment Agreement shall remain in full force and
effect. I understand that you also hereby consent to our substitution of a
revised page in the copy of your Employment Agreement which is being filed with
the SEC to reflect the amendment set forth herein.

 

Please indicate your agreement by countersigning this letter where
indicated below.

 

Sincerely,

 

	
  /s/ Dani Zurr

  	
   

  
	
  Dani Zurr

  
	
  Chief Executive Officer

  
	
   

  
	
  So agreed,

  
	
   

  
	
   

  
	
  /s/ Yaron Garmazi

  	
   

  
	
  Yaron Garmazi

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