Document:

Unassociated Document

    EMPLOYMENT
      AGREEMENT

     

    This
      Employment
      Agreement (the “Agreement”) is made as of the 28th
      day of
      June, 2007, by and between, Customer Acquisition Network, Inc., a company
      organized under the laws of the State of Delaware (the “Company”), and
Bruce
      Kreindel (the
      “Executive”). 

     

    In
      consideration of the mutual covenants contained herein and other good and
      valuable consideration, the receipt and sufficiency of which are hereby
      acknowledged, the Company and Executive, intending to be legally bound, hereby
      agree as follows: 

     

    1. Employment
      and Duties.
      The
      Company hereby agrees to employ Executive as the Chief Financial Officer of
      the
      Company (the “CFO”), and Executive hereby accepts such employment, on the terms
      and conditions hereinafter set forth. During the Employment Period (as defined
      below), Executive shall serve as CFO and shall report to the Board of Directors
      of the Company (the “Board”). Executive shall have those powers and duties
      customarily associated with the position of CFO of entities comparable to the
      Company and such other powers and duties as may be prescribed by the Board.
      Executive shall devote all of his working time, attention and energies to the
      performance of his duties for the Company.

     

    2. Term.
      Executive’s employment by the Company shall commence no later than two weeks
      after the Initial Funding (as defined below) and after both parties execute
      this
      Agreement (the “Commencement Date”) and shall continue unless and until such
      employment is terminated in accordance with Section 5 below (the “Employment
      Period”).

     

    3. Initial
      Capitalization and Funding.
      Executive and the Company agree that the Company will receive initial funding
      in
      the amount of $250,000 (the “Initial Funding”) prior to commencement of the
      Employment Period and initial capitalization in the amount of $2,000,000 within
      thirty (30) business days following the Commencement Date (the “Initial
      Capitalization”). The Initial Funding for purposes of this paragraph is a
      payment of $250,000 deposited in the Company’s bank account to partially fund
      the salary of Executive and that of Michael Mathews and Devon Cohen. In the
      event that the Initial Capitalization is not fully funded within the requisite
      thirty (30) business day period, Executive shall have the right to terminate
      this Agreement, after which this Agreement shall be null and void, including
      Section 7.

     

    4. Compensation,
      Benefits and Equity Awards.

     

    (a) Base
      Salary.
      During
      the first year of the Employment Period, Executive shall receive a base salary
      of $250,000; during year two of the Employment Period, Executive shall receive
      a
      base salary of $265,000; and during year three of the Employment Period,
      Executive shall receive a base salary of $280,000. Should Executive remain
      employed by the Company after three years, his base salary will be subject
      to
      good faith negotiations with the Board. Executive’s base salary shall be paid in
      accordance with the Company’s regular payroll practices, including all usual and
      customary federal, state, and local tax withholdings. 

     

    (b) Bonus.
      In
      addition to a base salary, Executive shall be eligible to receive an annual
      bonus (pro-rated for partial calendar years during the Employment Period) upon
      the achievement of pre-established performance goals tied to Company revenues
      and earnings, as to be determined by the Board after consultation with Executive
      (the “Bonus”). Depending upon achievement of the performance goals established
      by the Board, Executive’s Bonus for each calendar year during the Employment
      Period shall be 50% of Executive’s base salary earned during such year. The
      Bonus is to be paid 50% in cash and 50% in Company stock; provided, however,
      that in the event the Company is not public at the time the Bonus is paid,
      the
      Bonus will be paid fully in cash. Any such Bonus earned during a calendar year
      shall be paid at such time as the Company customarily pays annual bonuses.
      

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    (c) Expenses.
      The
      Company shall reimburse Executive for all reasonable business expenses upon
      the
      presentation of itemized statements of such expenses in accordance with Company
      policies and procedures as may be in effect from time to time.

     

    (d) Vacation.
      During
      the Employment Period, Executive shall be entitled to at least three (3) weeks
      of paid vacation per calendar year to be used and accrued in accordance with
      the
      Company’s policies as may be in effect from time to time. In addition to
      vacation, Executive shall be entitled to the number of sick days, personal
      days
      and national holidays per year as to which other Executives of the Company
      may
      be entitled.

     

    (e) Other
      Benefit Plans.
      During
      the Employment Period, Executive shall be entitled to participate in such
      employee benefit plans and insurance programs offered by the Company, or which
      may be in effect from time to time, in accordance with any eligibility
      requirements for participation therein. Such benefits will include medical,
      dental and vision coverage similar to premium plans offered by United HealthCare
      or Blue Cross Blue Shield. The Company agrees to pay 75% of Executive’s premium
      payments for such coverage.

     

    (f) Equity
      Awards.

     

    (i) Stock
      Options.
      Immediately following consummation of the Company’s contemplated reverse merger
      transaction with a to-be-identified public company (such transaction referred
      to
      herein as the “Reverse Merger”; and the entity which results from the Reverse
      Merger referred to herein as the “Merged Entity”), the Merged Entity shall grant
      Executive options to purchase an aggregate of at least 1.14% of the Merged
      Entity’s outstanding common stock (“Options”), pursuant to an Equity Incentive
      Plan adopted by the Merged Entity (the “Incentive Plan”). Such grant shall be
      evidenced by an Option Agreement, as contemplated by the Incentive Plan. The
      per
      share exercise price of the Options shall be $1.00, which represents the
      contemplated fair market value per share of the Merged Entity’s common stock on
      the date of the contemplated Reverse Merger. The term of the Option shall be
      three years from the Commencement Date. One-twelfth (1/12) of the Options shall
      become exercisable each quarter that Executive remains employed by the Merged
      Entity. Upon a change of control, defined as a change of a controlling interest
      in the Merged Entity (over 50% of the voting shares) all unvested Options will
      immediately vest.

     

    (ii) Founders’
      Stock.
      Immediately following execution of this Agreement and Executive’s execution of a
      lock-up agreement, substantially in the form of Exhibit
      A,
      the
      Company shall grant Executive 500,000 shares of common stock (the “Founders’
Stock”). The Founders’ Stock shall be fully (100%) vested upon
      grant.

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    (iii) Future
      Grants.
      Executive shall be eligible for grants of Options, restricted stock and other
      permissible awards under the Incentive Plan, as the Board or Compensation
      Committee of the Merged Entity shall, in its absolute and sole discretion,
      determine.

     

    5. Termination.
      Executive’s employment by the Company shall terminate under the following
      circumstances:

     

    (a) Death.
      If
      Executive dies, Executive’s employment shall be terminated effective as of the
      end of the calendar month during which Executive died.

     

    (b) Disability.
      In the
      event Executive, by reason of physical or mental incapacity, shall be
      substantially unable to perform his duties hereunder for a period of three
      (3)
      consecutive months, or for a cumulative period of six (6) months within any
      twelve (12) month period (such incapacity deemed to be “Disability”), the
      Company shall have an option, at any time thereafter, to terminate Executive’s
      employment hereunder as a result of such Disability. Such termination will
      be
      effective ten (10) days after the Board gives written notice of such termination
      to Executive, unless Executive shall have returned to the full performance
      of
      his duties prior to the effective date of the notice. Upon such termination,
      Executive shall be entitled to any benefits as to which he and his dependents
      are entitled by law, and except as otherwise expressly provided herein, all
      obligations of the Company hereunder shall cease upon the effectiveness of
      such
      termination other than payment of salary earned through the date of Disability,
      provided that such termination shall not affect or impair any rights Executive
      may have under any policy of long term disability insurance or benefits then
      maintained on his behalf by the Company. Executive’s base salary shall continue
      to be paid during any period of incapacity prior to and including the date
      on
      which Executive’s employment is terminated for Disability 

     

    (c) Cause.
      The
      Company shall have the right to terminate Executive's employment for “Cause.”
For purposes of this Agreement, “Cause” shall mean: 

     

    (i) the
      willful or continued failure by Executive to substantially perform his duties,
      including, but not limited to, acts of fraud, willful misconduct, gross
      negligence or other act of dishonesty;

     

    (ii) a
      material violation or material breach of this Agreement which is not cured
      within 10 days written notice to Executive;

     

    (iii) misappropriation
      of funds, properties or assets of the Company by Executive or any action which
      has a materially adverse effect on the Company or its business; 

     

    (iv) the
      conviction of, or plea of guilty or no contest to, a felony or any other crime
      involving moral turpitude, fraud, theft, embezzlement or dishonesty; or

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

     

    (v) abuse
      of
      drugs or alcohol which impairs Executive’s ability to perform his duties as CFO.

     

    (d) Good
      Reason.
      Executive may terminate his employment for “Good Reason.” For purposes of this
      Agreement, “Good Reason” shall mean: (i) a material diminution of Executive’s
      authority or duties with the Company (other than as a result of Executive’s
      incapacity or disability); (ii) a reduction in Executive’s base salary; (iii) if
      Executive must relocate his principal office more than one hundred (100) miles
      from any office that the Company is then maintaining for Executive as
      Executive’s principal office or (iv) if the Company fails to raise at least
      $2,000,000 in a private placement within thirty (30) business days following
      the
      Commencement Date (the “Guaranty Date”) and each of Barry Honig and Michael
      Brauser fails to honor his obligation under the Guaranty within three business
      days following the Guaranty Date (a “Guaranty Default”). Prior to Executive
      terminating his employment with the Company for “Good Reason,” Executive must
      provide written notice to the Company that such “Good Reason” exists and setting
      forth, in detail, the grounds Executive believes constitutes such “Good Reason”
(a “Good Reason Notice”). If the Company does not cure the grounds upon which
      Executive believes “Good Reason” exists within thirty (30) days after being
      provided with notice by Executive, then Executive’s employment shall be deemed
      terminated; provided, however that in the event of a Guaranty Default,
      Executive’s employment shall be deemed terminated immediately upon Executive’s
      delivery of a Good Reason Notice to the Company. 

     

    (e) Without
      Cause.
      The
      Company shall have the right to terminate Executive’s employment hereunder
      without cause at any time by providing Executive with written notice of such
      termination, which termination shall take effect 10 days after the date such
      notice is provided. 

     

    (f) Voluntary
      Resignation.
      Executive shall have the right to terminate his employment hereunder by
      providing the Company with a written notice of resignation. Such notice must
      be
      provided 60 days prior to the date upon which Executive wishes such resignation
      to be effective. Upon receipt of such resignation, the Company shall have the
      option to accelerate the resignation to a date prior to the expiration of the
      60
      day period.

     

    6. Payments
      Due Upon Termination.
      In the
      event Executive’s employment is terminated pursuant to Section 5(d) or (e)
      above, then (a) any unvested Options held by Executive shall immediately vest,
      (b) the Company shall continue pay to Executive his base salary as in effect
      on
      the date of termination for a period of twelve (12) months and (c) the Company
      shall reimburse Executive for the costs of obtaining comparable medical benefits
      for twelve (12) months, unless Executive obtains other employment which provides
      for comparable medical benefits as Executive received while employed by the
      Company. In the event Executive’s employment is terminated for any other reason,
      then Executive shall be entitled to receive his base salary though the effective
      date of termination and the Company shall reimburse Executive for any reasonable
      expenses previously incurred for which Executive had not been reimbursed prior
      to the termination of employment. Executive acknowledges and agrees that prior
      to receiving any payments under this Section, and as a material condition
      thereof, Executive shall, if requested by the Company, sign and agree to be
      bound by a general release of claims against the Company related to Executive’s
      employment (and termination of employment) with the Company in such form as
      the
      Company may deem appropriate. Upon Executive’s termination of employment for any
      reason, upon the request of the Board, he shall resign any memberships or
      positions that he then holds with the Company. 

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

     

    7. Restrictive
      Covenants.

     

    (a) Acknowledgments.
      Executive acknowledges that: (i) as a result of Executive’s employment by the
      Company, Executive has obtained and will obtain Confidential Information (as
      defined below); (ii) the Confidential Information has been developed and created
      by the Company at substantial expense and the Confidential Information
      constitutes valuable proprietary assets; (iii) the Company will suffer
      substantial damage and irreparable harm which will be difficult to compute
      if,
      during the Employment Period and thereafter, Executive should enter a
      Competitive Business (as defined below) in violation of the provisions of this
      Agreement; (iv) the nature of the Company’s business is such that it could be
      conducted any where in the world and that it is not limited to a geographic
      scope or region; (v) the Company will suffer substantial damage which will
      be
      difficult to compute if, during the term of employment or thereafter, Executive
      should solicit or interfere with the Company’s employees, clients or customers
      or should divulge Confidential Information relating to the business of the
      Company and its affiliates; (vi) the provisions of this Agreement are reasonable
      and necessary for the protection of the business of the Company; (vi) the
      Company would not have hired or continued to employ Executive unless he agreed
      to be bound by the terms hereof; and (vii) the provisions of this Agreement
      will
      not preclude Executive from other gainful employment. “Competitive Business,” as
      used in this Agreement, shall mean any business which directly competes with
      any
      aspect of the Company’s business. “Confidential Information,” as used in this
      Agreement, shall mean any and all confidential and/or proprietary knowledge,
      data, or information of the Company, including, without limitation, any: (A)
      trade secrets, drawings, inventions, methodologies, ideas, processes, formulas,
      source and object codes, data, programs, software source documents, works of
      authorship, know-how, improvements, discoveries, developments, designs and
      techniques, and all other work product of the Company, whether or not patentable
      or registrable under trademark, copyright, patent or similar laws; (B)
      information regarding plans for research, development, new service offerings
      and/or products, marketing, advertising and selling, distribution, business
      plans, business forecasts, budgets and unpublished financial statements,
      licenses, prices and costs, suppliers, customer lists, customers or distribution
      arrangements; (C) any information regarding the skills and compensation of
      employees, suppliers, agents, and/or independent contractors of the Company;
      (D)
      concepts and ideas relating to the development and distribution of content
      in
      any medium or to the current, future and proposed products or services of the
      Company; or (E) any other information, data or the like that is labeled
      confidential or orally disclosed to Executive as confidential.

     

    (b) Confidentiality.
      In
      consideration of the benefits provided for in this Agreement, Executive agrees
      not to, at any time, either during the Employment Period or thereafter, divulge,
      use, publish or in any other manner reveal, directly or indirectly, to any
      person, firm, corporation or any other form of business organization or
      arrangement and keep in the strictest confidence any Confidential Information,
      except (i) as may be necessary to the performance of Executive’s duties
      hereunder, (ii) with the Company’s express written consent, (iii) to the extent
      that any such information is in or becomes in the public domain other than
      as a
      result of Executive’s breach of any of obligations hereunder, or (iv) where
      required to be disclosed by court order, subpoena or other government process
      and, in such event, Executive shall cooperate with the Company in attempting
      to
      keep such information confidential. Upon the request of the Company, Executive
      agrees to promptly deliver to the Company the originals and all copies, in
      whatever medium, all such Confidential Information.

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

     

    (c) Non-Compete.
      In
      consideration of the benefits provided for in this Agreement, Executive
      covenants and agrees that during the Employment Period and for a period of
      twelve (12) months following the termination of his employment for whatever
      reason, except for termination pursuant to Section 5(d) or (e) above, or from
      the date of entry by a court of competent jurisdiction of a final judgment
      enforcing this covenant, whichever is last to occur (the “Restricted Period”),
      he will not, for himself, or in conjunction with any other person, firm,
      partnership, corporation or other form of business organization or arrangement
      (whether as a shareholder, partner, member, principal, agent, lender, director,
      officer, manager, trustee, representative, employee or consultant), directly
      or
      indirectly, be employed by, provide services to, in any way be affiliated,
      associated or have any interest in, or give advice or consultation to any
      Competitive Business.

     

    (d) Non-Solicitation
      of Employees.
      In
      consideration of the benefits provided for in this Agreement, Executive
      covenants and agrees that during the Restricted Period, Executive shall not,
      without the prior written permission of the Company, directly or indirectly
      solicit, employ or retain, or cause any other person or entity to solicit,
      employ or retain, any person who is employed by or who is providing services
      to
      the Company at the time of Executive’s termination of employment or who was
      providing such services to the Company within the twelve (12) month period
      prior
      to Executive’s termination of employment.

     

    (e) Non-Solicitation
      of Clients and Customers.
      In
      consideration of the benefits provided for in this Agreement, Executive
      covenants and agrees that during the Restricted Period, he will not, for
      himself, or in conjunction with any other person, firm, partnership, corporation
      or other form of business organization or arrangement (whether as a shareholder,
      partner, member, lender, principal, agent, director, officer, manager, trustee,
      representative, employee or consultant), directly or indirectly: (i) solicit
      or
      accept any business that is directly related to the business of the Company,
      from any person or entity who, at the time of, or at any time during the twelve
      (12) months preceding Executive’s termination, was an existing or prospective
      customer or client of the Company; (ii) request or cause any of the Company’s
      customers to cancel or terminate any business relationship with the Company;
      or
      (iii) request or cause any employee of the Company to breach or threaten to
      breach any terms of said employee’s agreements with the Company or to terminate
      his or his employment with the Company.

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

     

    (f) Post-Employment
      Property.
      The
      parties agree that any work of authorship, invention, design, discovery,
      development, technique, improvement, source code, hardware, device, data,
      apparatus, practice, process, method or other work product whatever (whether
      patentable or subject to copyright, or not, and hereinafter collectively called
      “discovery”) related to training or marketing methods and techniques that
      Executive, either solely or in collaboration with others, has made or may make,
      discover, invent, develop, perfect, or reduce to practice during the term of
      his
      employment, whether or not during regular business hours and created, conceived
      or prepared on the Company’s premises or otherwise shall be the sole and
      complete property of the Company. More particularly, and without limiting the
      foregoing, Executive agrees that all of the foregoing and any (i) inventions
      (whether patentable or not, and without regard to whether any patent therefor
      is
      ever sought), (ii) marks, names, or logos (whether or not registrable as trade
      or service marks, and without regard to whether registration therefor is ever
      sought), (iii) works of authorship (without regard to whether any claim of
      copyright therein is ever registered), and (iv) trade secrets, ideas, and
      concepts ((i) - (iv) collectively, “Intellectual Property Products”) created,
      conceived, or prepared on the Company’s premises or otherwise, whether or not
      during normal business hours, shall perpetually and throughout the world be
      the
      exclusive property of the Company, as shall all tangible media (including,
      but
      not limited to, papers, computer media of all types, and models) in which such
      Intellectual Property Products shall be recorded or otherwise fixed. Executive
      further agrees promptly to disclose in writing and deliver to the Company all
      Intellectual Property Products created during his engagement by the Company,
      whether or not during normal business hours. Executive agrees that all works
      of
      authorship created by Executive during his engagement by the Company shall
      be
      works made for hire of which the Company is the author and owner of copyright.
      To the extent that any competent decision-making authority should ever determine
      that any work of authorship created by Executive during his engagement by the
      Company is not a work made for hire, Executive hereby assigns all right, title
      and interest in the copyright therein, in perpetuity and throughout the world,
      to the Company. To the extent that this Agreement does not otherwise serve
      to
      grant or otherwise vest in the Company all rights in any Intellectual Property
      Product created by Executive during his engagement by the Company, Executive
      hereby assigns all right, title and interest therein, in perpetuity and
      throughout the world, to the Company. Executive agrees to execute, immediately
      upon the Company’s reasonable request and without charge, any further
      assignments, applications, conveyances or other instruments, at any time after
      execution of this Agreement, whether or not Executive is engaged by the Company
      at the time such request is made, in order to permit the Company, or its
      assigns, to protect, perfect, register, record, maintain, or enhance their
      rights in any Intellectual Property Product; provided, that, the Company shall
      bear the cost of any such assignments, applications or consequences. Upon
      termination of Executive’s employment by the Company for any reason whatsoever,
      and at any earlier time the Company so requests, Executive will immediately
      deliver to the custody of the person designated by the Company all originals
      and
      copies of any documents and other property of the Company in Executive’s
      possession, under Executive’s control or to which he may have
      access.

     

    (g) Non-Disparagement.
      Both
      parties acknowledge and agree not to defame or publicly criticize the services,
      business, integrity, veracity or personal or professional reputation of the
      other, in either a professional or personal manner, at any time during or
      following the Employment Period. With respect to the Company, this shall include
      any officers, directors, partners, executives, employees, representatives or
      agents of the Company, or of the Merged Entity.

     

    (h) Enforcement.
      Executive acknowledges that any breach of the foregoing covenants and
      restrictions in this Section, would cause irreparable injury to the Company
      for
      which there is no adequate remedy at law. In addition to all of the rights
      and
      remedies as to which the Company may be entitled, the Company shall also be
      entitled to obtain a temporary restraining order and/or a preliminary or
      permanent injunction which would prevent Executive from violating or attempting
      to violate any such provisions. In seeking such an order, any requirement to
      post a bond or other undertaking shall be waived. In any action brought to
      enforce these restrictive covenants, the Company shall be entitled to an award
      of all reasonable costs and fees incurred in bringing such an action, including
      reasonable attorney’s fees. In addition, the Company shall have the right to
      cease making any payments or provide any benefits to Executive under this
      Agreement in the event he breaches or threatens to breach any of the provisions
      hereof.

     

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

     

    (i) Blue
      Pencil.
      If, at
      any time, the provisions of this Section 7 shall be determined to be invalid
      or
      unenforceable under any applicable law, by reason of being vague or unreasonable
      as to area, duration or scope of activity, this Agreement shall be considered
      divisible and shall become and be immediately amended to only such area,
      duration and scope of activity as shall be determined to be reasonable and
      enforceable by the court or other tribunal having jurisdiction over the matter
      and Executive and the Company agree that this Agreement, as so amended, shall
      be
      valid and binding as though any invalid or unenforceable provision had not
      been
      included herein.

     

    8. Executive’s
      Representations.
      Executive hereby represents and warrants to the Company that: (i) his execution
      and performance of duties under this Agreement does not and shall not conflict
      with, breach, violate or cause a default under any contract, agreement,
      arrangement, understanding, order, judgment or decree as to which Executive
      is a
      party or by which he is bound; (ii) Executive is not a party to or bound by
      any
      employment agreement, non-compete agreement, confidentiality agreement or any
      similar agreement or arrangement with any other person or entity which effects
      or impacts his ability to be employed by the Company pursuant to the terms
      of
      this Agreement; and (iii) upon the execution and delivery of this Agreement
      by
      the Company, this Agreement shall constitute a valid and binding obligation
      of
      Executive, enforceable in accordance with its terms. In addition, Executive
      acknowledges that the Company has relied on such representations and warranties
      in employing Executive, that he has not entered into, and will not enter into,
      any agreement, either oral or written, in conflict with this Agreement. If
      it is
      determined that Executive is in breach or has breached any of the
      representations set forth herein, the Company shall have the right to
      immediately terminate the Executive’s employment with the company and that such
      termination shall be deemed a termination with Cause. Executive hereby
      acknowledges and represents that he has consulted with independent legal counsel
      regarding his rights and obligations under this Agreement and that he fully
      understands the terms and conditions contained herein.

     

    9. Successors.
      The
      rights and benefits of Executive hereunder shall not be assignable, whether
      by
      voluntary or involuntary assignment or transfer by Executive. This Agreement
      shall be binding upon, and inure to the benefit of, the successors and assigns
      of the Company, and the heirs, executors and administrators of the Executive,
      and shall be assignable by the Company to any entity acquiring substantially
      all
      of the assets of the Company, whether by merger, consolidation, sale of assets
      or similar transactions.

     

    10. Notice.
      For the
      purposes of this Agreement, notices, demands and all other communications
      provided for in this Agreement shall be in writing and shall be delivered (i)
      personally, (ii) by first class mail, certified, return receipt requested,
      postage prepaid, (iii) by overnight courier, with acknowledged receipt, or
      (iv)
      by facsimile transmission followed by delivery by first class mail or by
      overnight courier, in the manner provided for in this Section, and properly
      addressed as follows:

     

    
      	
              If
                to the Company, to:

            	
              Michael
                Brauser

              Marlin
                Capital Partners

              595
                S. Federal Highway, Suite 600

              Boca
                Raton, Florida 33432

            

    

     

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

     

    
      	
              If
                to Executive to:

            	
              Harvey
                J. Kesner or Kenneth J. Rubinstein

              Haynes
                and Boone, LLP

              153
                East 53rd Street, Suite 4900

              New
                York, New York 10022

              Fax:
                212-918-8989

            
	
              If
                to Executive to:

            	
              Bruce
                Kreindel 

              5869
                Windsor Terrace

              Boca
                Raton, Florida 33496

            
	
              With
                a copy to:

            	
              Alfred
                G. Feliu, Esq.

              Vandenberg
                & Feliu, LLP

              110
                E. 42nd Street, Suite 1502

              New
                York, New York 10804

              Fax:
                212-763-6810

            

    

    

    or
      to
      such other address as the Company or Executive may later indicate in
      writing.

     

    11. Governing
      Law and Dispute Resolution.
      This
      Agreement is governed by, and is to be construed and enforced in accordance
      with, the laws of the State of New York, without regard to principles of
      conflicts of laws. If, under such law, any portion of this Agreement is at
      any
      time deemed to be in conflict with any applicable statute, rule, regulation
      or
      ordinance, such portion shall be deemed to be modified or altered to conform
      thereto or, if that is not possible, to be omitted from this Agreement, and
      the
      invalidity of any such portion shall not affect the force, effect and validity
      of the remaining portion hereof. Each party expressly agrees, consents and
      submits to the personal jurisdiction and venue of the American Arbitration
      Association (“AAA”) in New York County, New York for adjudication of any and all
      disputes arising from or related to this Agreement. Such arbitration shall
      be
      conducted in a confidential manner and shall be identified to the AAA as a
      confidential proceeding. Each party waives any and all rights, under law or
      in
      equity, to object or contest the jurisdiction and venue of said tribunal.

     

    12. Amendment.
      No
      provisions of this Agreement may be amended, modified, or waived unless such
      amendment or modification is agreed to in writing signed by Executive and by
      a
      duly authorized officer of the Company. No waiver by either party hereto at
      any
      time of any breach by the other party hereto of any condition or provision
      of
      this Agreement to be performed by such other party shall be deemed a waiver
      of
      similar or dissimilar provisions or conditions at the same or at any prior
      or
      subsequent time.

     

    13. Entire
      Agreement.
      This
      Agreement sets forth the entire agreement of the parties hereto in respect
      of
      the subject matter contained herein and supersedes any and all prior agreements,
      promises, covenants, arrangements, understandings, communications,
      representations or warranties, whether oral or written, by any officer, employee
      or representative of any party hereto. Any prior agreement by the parties hereto
      with respect to the subject matter of this Agreement is hereby terminated and
      canceled as of the date hereof.

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

     

    14. Severability.
      The
      covenants of this Agreement shall be construed as covenants independent of
      one
      another and as obligations distinct from any other agreement between the
      parties. Should any provision herein be held to be void or unenforceable, the
      remaining provisions shall remain in full force and effect, to be read and
      construed as if the void or unenforceable provisions were originally
      deleted.

     

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

     

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

    IN
      WITNESS HEREOF,
      the
      parties hereby enter into this Agreement and affix their signatures as of the
      date first above written.

     

    
      	
              CUSTOMER
                ACQUISITION NETWORK, INC.

            	 	 	 
	 	 	 	 
	 	 	 	 
	By: 
/s/
              Michael Brauser	 	 	
            
	
              
                

              

              Michael
                Brauser, President

            	 	 	
            
	
            	 	 	
            
	 	 	 	 
	
              /s/
                Bruce Kreindel

            	 	 	 
	
              
                

              

              Bruce
                Kreindel

            	 	 	 
	 	 	 	 

    

     

    
      
        
        

      

      
        11EMPLOYMENT
      AGREEMENT

     

    THIS
      EMPLOYMENT AGREEMENT is made and entered into as of this 31st
      day of
      August, 2007, by and between CUSTOMER ACQUISITION NETWORK HOLDINGS, INC., a
      Delaware corporation with offices at 401 E. Las Olas Boulevard, Suite 1560,
      Fort
      Lauderdale, Florida 33301 (the “Corporation”),
      and
      Michael Katz, an individual residing at 310 E. 53rd
      Street,
      Suite 11A, New York, New York 10022 (the “Executive”),
      under
      the following circumstances:

     

    RECITALS:

     

    A. The
      Corporation desires to secure the services of the Executive upon the terms
      and
      conditions hereinafter set forth; and

     

    B. The
      Executive desires to render services to Desktop Interactive, Inc. d/b/a
      InterCLICK.com (“InterClick”),
      a
      subsidiary of the Corporation upon the terms and conditions hereinafter set
      forth.

     

    NOW,
      THEREFORE, the parties mutually agree as follows:

     

    1. Employment.
      The
      Corporation hereby employs the Executive and the Executive hereby accepts
      employment as an executive of the Corporation, subject to the terms and
      conditions set forth in this Agreement.

     

    2. Duties.
      The
      Executive shall serve as the President of InterClick, with such duties,
      responsibilities and authority as are commensurate and consistent with his
      position, as may be, from time to time, assigned to him by the Board of
      Directors (the “Board”)
      or
      Chief Executive of the Corporation. The Executive shall report directly to
      the
      Chief Executive Officer of the Corporation. During the Term (as defined in
      Section 3), the Executive shall devote his full business time and efforts to
      the
      performance of his duties hereunder unless otherwise authorized by the Board.
      Notwithstanding the foregoing, the expenditure of reasonable amounts of time
      by
      the Executive for the making of passive personal investments, the conduct of
      private business affairs and charitable and professional activities shall be
      allowed, provided such activities do not materially interfere with the services
      required to be rendered to the Corporation hereunder and do not violate the
      restrictive covenants set forth in Section
      9
      below.

     

    3. Term
      of Employment.
      The term
      of the Executive’s employment hereunder, unless sooner terminated as provided
      herein (the “Initial
      Term”),
      shall
      be for a period of three (3) years commencing on the date hereof (the
“Commencement
      Date”).
      The
      term of this Agreement shall automatically be extended for additional terms
      of
      one (1) year each (each a “Renewal
      Term”)
      unless
      either party gives prior written notice of non-renewal to the other party no
      later than sixty (60) days prior to the expiration of the Initial Term
      (“Non-Renewal
      Notice”),
      or
      the then current Renewal Term, as the case may be. For purposes of this
      Agreement, the Initial Term and any Renewal Term are hereinafter collectively
      referred to as the “Term.”

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    4. Compensation
      of Executive.

     

    (a) The
      Corporation shall pay the Executive a signing bonus of $75,000 by wire transfer
      of immediately available funds to an account designated by the Executive upon
      execution of this Agreement by the Company and Executive and upon the
      contemporaneous closing of the merger of InterClick with and into a wholly
      owned
      subsidiary of the Company (the “Closing
      Date”).

     

    (b) The
      Corporation shall pay the Executive as compensation for his services hereunder,
      in equal semi-monthly or bi-weekly installments during the Term, the sum of
      $250,000 per annum (the “Base
      Salary”),
      less
      such deductions as shall be required to be withheld by applicable law and
      regulations. The Corporation shall review the Base Salary on an annual basis
      and
      has the right but not the obligation to increase it, but has no right to
      decrease the Base Salary.

     

    (c) In
      addition to the Base Salary set forth in Section 4(b) above, the Executive
      shall
      be entitled to receive an annual cash bonus in an amount equal to thirty percent
      (30%) of his then-current Base Salary based upon the achievement of performance
      targets with respect to the InterClick business to be mutually agreed upon
      by
      the Executive and a majority of the Board] (the “Bonus
      Target”);
      provided,
      however,
      that in
      the event that the InterClick business’s performance for any fiscal year is
      greater than seventy-five percent (75%) but less than one hundred percent (100%)
      of the applicable Bonus Target, the Executive shall be entitled to the
      percentage of the annual bonus determined by linear interpolation (i.e.,
      achievement of eighty-seven and one-half percent (87.5%) of the applicable
      Bonus
      Target would result in an annual bonus under this Section 4(c) of fifteen
      percent (15%) of the Executive’s Base Salary); provided
      further, however,
      that in
      the event the parties are unable to agree to a mutually acceptable Bonus Target
      at any time during the Term, the Executive shall receive a guaranteed annual
      bonus for any such fiscal year of not less than fifteen percent (15%) of the
      Base Salary. In his sole discretion, the Executive may elect to receive such
      annual bonus in capital stock at the basis determined by the Board in good
      faith.

     

    (d) The
      Corporation shall pay or reimburse the Executive for all reasonable
      out-of-pocket expenses actually incurred or paid by the Executive in the course
      of his employment, consistent with the Corporation’s policy for reimbursement of
      expenses from time to time.

     

    (e) The
      Executive shall be entitled to participate in such pension, profit sharing,
      group insurance, hospitalization, and group health and benefit plans and all
      other benefits and plans, including perquisites, if any, as the Corporation
      provides to its senior executives (the “Benefit
      Plans”).

     

    (f) In
      addition to the Base Salary and the bonus compensation, the Executive shall
      receive options to purchase 300,000 shares of the Corporation’s Common Stock.
      The option agreement with respect to such options shall provide for such options
      to vest twenty-five percent (25%) on each anniversary of the date hereof and
      shall permit the Executive at least twelve (12) months after the Executive’s
      death or Total Disability (as defined in Section 5(a)(ii)) and at least three
      (3) months after the Executive’s termination of employment for any other reason
      to exercise such options and, other than such restrictions, neither the options
      nor any shares of Common Stock obtained upon exercise thereof shall be subject
      to forfeiture or to the Company’s or other stockholders’ right to repurchase.
      The options shall fully vest upon the Executive’s termination pursuant to
      Sections 5(a)(i), 5(a)(ii), 5(a)(iii) (provided that the Corporation provided
      a
      Non-Renewal Notice) or 5(a)(v) or by the Corporation or InterClick without
      “Cause” (as defined in Section 5(d)) or upon a Change in Control Transaction.
      The exercise price per share for such options will be $1.00 per share, subject
      to adjustment for dividends, splits, reclassifications and similar
      transactions.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    (g) The
      Corporation shall execute and deliver in favor of the Executive an
      indemnification agreement on the same terms and conditions entered into with
      the
      other officers and directors of the Corporation. Such agreement shall provide
      for the indemnification of the Executive for the term of his employment and
      for
      a period of at least six (6) years thereafter. The Corporation shall maintain
      directors’ and officers’ insurance during the Term and for a period of at least
      six (6) years thereafter.

     

    5. Termination.

     

    (a) This
      Agreement and the Executive’s employment hereunder shall terminate upon the
      happening of any of the following events:

     

    (i) upon
      the
      Executive’s death;

     

    (ii) upon
      the
      Executive’s “Total Disability” (as herein defined);

     

    (iii) upon
      the
      expiration of the Initial Term of this Agreement or any Renewal Term thereof,
      if
      either party has provided a timely notice of non-renewal in accordance with
      Section 3, above;

     

    (iv) at
      the
      Executive’s option, upon ninety (90) days prior written notice to the
      Corporation;

     

    (v) at
      the
      Executive’s option, in the event of an act by the Corporation, defined in
      Section 5(c), below, as constituting “Good Reason” for termination by the
      Executive; and

     

    (vi) at
      the
      Corporation’s option, in the event of an act by the Executive, defined in
      Section 5(d), below, as constituting “Cause” for termination by the
      Corporation.

     

    (b) For
      purposes of this Agreement, the Executive shall be deemed to be suffering from
      a
“Total
      Disability”
if
      the
      Executive has failed to perform his regular and customary duties to the
      Corporation for a period of 180 days out of any 360-day period and if before
      the
      Executive has become “Rehabilitated” (as herein defined) a majority of the
      members of the Board, exclusive of the Executive, vote to determine that the
      Executive is mentally or physically incapable or unable to continue to perform
      such regular and customary duties of employment. As used herein, the term
“Rehabilitated”
shall
      mean such time as the Executive is willing, able and commences to devote his
      time and energies to the affairs of the Corporation to the extent and in the
      manner that he did so prior to his Total Disability.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    (c) For
      purposes of this Agreement, the term “Good
      Reason”
shall
      mean that the Executive has resigned due to (i) any diminution of duties
      inconsistent with Executive’s title, authority, duties and responsibilities
      (including, without limitation, a change in the chain of reporting); (ii) any
      reduction of or failure to pay Executive compensation provided for herein,
      except to the extent Executive consents in writing to any reduction, deferral
      or
      waiver of compensation, which non-payment continues for a period of fifteen
      (15)
      days following written notice to the Corporation by Executive of such
      non-payment; (iii) any relocation of the principal location of Executive’s
      employment outside of New York City without the Executive’s prior written
      consent; (iv) the consummation of any Change in Control Transaction (as defined
      below); or (vi) any material violation by the Corporation or InterClick of
      its
      obligations under this Agreement that is not cured within sixty (60) days
      Agreement after receipt of written notice thereof from the Executive. For
      purposes of this Agreement, the term “Change
      in Control Transaction”
means
      the sale of the Corporation or InterClick to an un-affiliated person or entity
      or group of un-affiliated persons or entities pursuant to which such party
      or
      parties acquire (i) shares of capital stock of the Corporation or InterClick
      representing at least fifty percent (50%) of outstanding capital stock or
      sufficient to elect a majority of the Board or of the board of directors of
      InterClick (whether by merger, consolidation, sale or transfer of shares (other
      than a merger where the Corporation is the surviving corporation and the
      shareholders and directors of the Corporation prior to the merger constitute
      a
      majority of the shareholders and directors, respectively, of the surviving
      corporation (or its parent)) (other the contemplated reverse-merger going public
      transaction)) or (ii) all or substantially all of the Corporation’s or
      InterClick’s assets determined on a consolidated basis. 

     

    (d) For
      purposes of this Agreement, the term “Cause”
shall
      mean any material breach of this Agreement or any other agreement or certificate
      signed by the Executive in connection with that certain Agreement and Plan
      of
      Merger by and among the Corporation, InterClick, Customer Acquisition Network,
      Inc., a Delaware corporation, Desktop Acquisition Sub, Inc., Michael Katz,
      Stephen Guttman and Brandon Guttman by Executive or material, gross and willful
      misconduct on the part of the Executive in connection with his employment duties
      hereunder, in all cases that is not cured within fourteen (14) days after
      receipt of notice thereof (to the extent such breach is capable of being cured),
      or the Executive’s conviction of or entering of a guilty plea or a plea of no
      contest with respect to a felony or any crime involving fraud, larceny or
      embezzlement resulting in material harm to the Corporation by the
      Executive.

     

    6. Effects
      of Termination.

     

    (a) Upon
      termination of the Executive’s employment pursuant to Section 5(a)(i) or (ii),
      in addition to the accrued but unpaid compensation and vacation pay through
      the
      date of death or Total Disability and any other benefits accrued to him under
      any Benefit Plans outstanding at such time and the reimbursement of documented,
      unreimbursed expenses incurred prior to such date, the Executive or his estate
      or beneficiaries, as applicable, shall be entitled to the following severance
      benefits: (i) twelve (12) months’ Base Salary at the then current rate, payable
      in a lump sum, less withholding of applicable taxes; (ii) continued provision
      for a period of twelve (12) months following the Executive’s death of benefits
      under Benefit Plans extended from time to time by the Corporation or InterClick
      to its senior executives; and (iii) payment on a pro-rated basis of any bonus
      or
      other payments earned in connection with any bonus plan to which the Executive
      was a participant as of the date of death or Total Disability.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    (b) Upon
      termination of the Executive’s employment pursuant to Section 5(a)(iii), where
      the Corporation or InterClick has offered to renew the term of the Executive’s
      employment for an additional one (1) year period and the Executive chooses
      not
      to continue in the employ of the Corporation, the Executive shall be entitled
      to
      receive only the accrued but unpaid compensation and vacation pay through the
      date of termination and any other benefits accrued to him under any Benefit
      Plans outstanding at such time and the reimbursement of documented, unreimbursed
      expenses incurred prior to such date. In the event the Corporation or InterClick
      tenders a Non-Renewal Notice to the Executive, then the Executive shall be
      entitled to the same severance benefits as if the Executive’s employment were
      terminated pursuant to Section 5(a)(v); provided,
      however,
      if such
      Non-Renewal Notice was triggered due to the Corporation’s statement that the
      Executive’s employment was terminated due to Section 5(a)(vi) (for “Cause”),
      then payment of severance benefits will be contingent upon a determination
      as to
      whether termination was properly for “Cause.”

     

    (c) Upon
      termination of the Executive’s employment pursuant to Section 5(a)(v) or other
      than pursuant to Section 5(a)(i), 5(a)(ii), 5(a)(iii), 5(a)(iv), or 5(a)(vi)
      (i.e., without “Cause”), in addition to the accrued but unpaid compensation and
      vacation pay through the date of termination and any other benefits accrued
      to
      him under any Benefit Plans outstanding at such time and the reimbursement
      of
      documented, unreimbursed expenses incurred prior to such date, the Executive
      shall be entitled to the following severance benefits: (i) the greater of twelve
      (12) months’ Base Salary at the then current rate or the remainder of the Base
      Salary due under this Agreement, to be paid upon the date of termination of
      employment in monthly installments, less withholding of all applicable taxes;
      (ii) continued provision for a period of twelve (12) months after the date
      of
      termination of the benefits under Benefit Plans extended from time to time
      by
      the Corporation or InterClick to its senior executives; and (iii) payment on
      a
      pro-rated basis of any bonus or other payments earned in connection with any
      bonus plan to which the Executive was a participant as of the date of the
      Executive’s termination of employment. In addition, any options or restricted
      stock shall be immediately vested upon termination of Executive’s employment
      pursuant to Section 5(a)(v) or by the Corporation or InterClick without
“Cause”.

     

    (d) Upon
      termination of the Executive’s employment pursuant to Section 5(a)(iv) or (vi),
      in addition to the reimbursement of documented, unreimbursed expenses incurred
      prior to such date, the Executive shall be entitled to the following severance
      benefits: (i) accrued and unpaid Base Salary and vacation pay through the date
      of termination, less withholding of applicable taxes; and (ii) continued
      provision, for a period of one (1) month after the date of the Executive’s
      termination of employment, of benefits under Benefit Plans extended to the
      Executive at the time of termination. Executive shall have any conversion rights
      available under the Corporation’s or InterClick’s Benefit Plans and as otherwise
      provided by law, including the Comprehensive Omnibus Budget Reconciliation
      Act.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    (e) Any
      payments required to be made hereunder by the Corporation or InterClick to
      the
      Executive shall continue to the Executive’s beneficiaries in the event of his
      death until paid in full.

     

    7. Vacations.
      The
      Executive shall be entitled to a vacation of three (3) weeks per year, during
      which period his salary shall be paid in full. The Executive shall take his
      vacation at such time or times as the Executive and the Corporation shall
      determine is mutually convenient. Any vacation not taken in one (1) year shall
      not accrue, provided that if vacation is not taken due to the Corporation’s
      business necessities, up to three (3) weeks’ vacation may carry over to the
      subsequent year.

     

    8. Disclosure
      of Confidential Information.
      The
      Executive recognizes, acknowledges and agrees that he has had and will continue
      to have access to secret and confidential information regarding the Corporation,
      including but not limited to, its products, formulae, patents, sources of
      supply, customer dealings, data, know-how and business plans, provided such
      information is not in or does not hereafter become part of the public domain,
      or
      become known to others through no fault of the Executive. The Executive
      acknowledges that such information is of great value to the Corporation, is
      the
      sole property of the Corporation, and has been and will be acquired by him
      in
      confidence. In consideration of the obligations undertaken by the Corporation
      herein, the Executive will not, at any time, during or after his employment
      hereunder, reveal, divulge or make known to any person, any information acquired
      by the Executive during the course of his employment, which is treated as
      confidential by the Corporation, and not otherwise in the public domain. The
      provisions of this Section 8 shall survive the termination of the Executive’s
      employment hereunder except in the event of a termination of this Agreement
      pursuant to Section 5(a)(v), hereof, or as detailed in the provision above.
      All
      references to the Corporation in Section 8 and Section 9 hereof shall include
      any subsidiary of the Corporation.

     

    9. Covenant
      Not To Compete or Solicit.
      Upon
      execution of this Employment Agreement, the Executive and the Corporation shall
      enter into that certain Non-Competition and Confidentiality Agreement attached
      hereto in the form of Exhibit A.

     

    10. Miscellaneous.

     

    (a) The
      Executive acknowledges that the services to be rendered by him under the
      provisions of this Agreement are of a special, unique and extraordinary
      character and that it would be difficult or impossible to replace such services.
      Accordingly, the Executive agrees that any breach or threatened breach by him
      of
      Sections 8 or 9 of this Agreement shall entitle the Corporation, in addition
      to
      all other legal remedies available to it, to apply to any court of competent
      jurisdiction to seek to enjoin such breach or threatened breach. The parties
      understand and intend that each restriction agreed to by the Executive
      hereinabove shall be construed as separable and divisible from every other
      restriction, that the unenforceability of any restriction shall not limit the
      enforceability, in whole or in part, of any other restriction, and that one
      or
      more or all of such restrictions may be enforced in whole or in part as the
      circumstances warrant. In the event that any restriction in this Agreement
      is
      more restrictive than permitted by law in the jurisdiction in which the
      Corporation seeks enforcement thereof, such restriction shall be limited to
      the
      extent permitted by law. The remedy of injunctive relief herein set forth shall
      be in addition to, and not in lieu of, any other rights or remedies that the
      Corporation may have at law or in equity.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    (b) Neither
      the Executive nor the Corporation may assign or delegate any of their rights
      or
      duties under this Agreement without the express written consent of the other;
      provided however that the Corporation shall have the right to delegate its
      obligation of payment of all sums due to the Executive hereunder, provided
      that
      such delegation shall not relieve the Corporation of any of its obligations
      hereunder.

     

    (c) This
      Agreement constitutes and embodies the full and complete understanding and
      agreement of the parties with respect to the Executive’s employment by the
      Corporation, supersedes all prior understandings and agreements, whether oral
      or
      written, between the Executive and the Corporation, and shall not be amended,
      modified or changed except by an instrument in writing executed by the party
      to
      be charged. The invalidity or partial invalidity of one or more provisions
      of
      this Agreement shall not invalidate any other provision of this Agreement.
      No
      waiver by either party of any provision or condition to be performed shall
      be
      deemed a waiver of similar or dissimilar provisions or conditions at the same
      time or any prior or subsequent time. 

     

    (d) This
      Agreement shall inure to the benefit of, be binding upon and enforceable
      against, the parties hereto and their respective successors, heirs,
      beneficiaries and permitted assigns.

     

    (e) The
      headings contained in this Agreement are for convenience of reference only
      and
      shall not affect in any way the meaning or interpretation of this
      Agreement.

     

    (f) All
      notices, requests, demands and other communications required or permitted to
      be
      given hereunder shall be in writing and shall be deemed to have been duly given
      when personally delivered, sent by registered or certified mail, return receipt
      requested, postage prepaid, or by private overnight mail service (e.g. Federal
      Express) to the party at the address set forth above or to such other address
      as
      either party may hereafter give notice of in accordance with the provisions
      hereof. Notices shall be deemed given on the sooner of the date actually
      received or the third business day after sending.

     

    (g) This
      Agreement shall be governed by and construed in accordance with the internal
      laws of the State of New York without reference to principles of conflicts
      of
      laws and each of the parties hereto irrevocably consents to the jurisdiction
      and
      venue of the federal and state courts located in the State of New
      York.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    (h) This
      Agreement may be executed simultaneously in two or more counterparts, each
      of
      which shall be deemed an original, but all of which together shall constitute
      one of the same instrument. The parties hereto have executed this Agreement
      as
      of the date set forth above.

     

    CORPORATION:

     

    CUSTOMER
      ACQUISITION

    NETWORK
      HOLDINGS, INC.

     

    By:  

    
      

    

     

    Title: 

    
      

    

     

    EXECUTIVE:

     

     

      
        

      

    

    Signature

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00129-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00129-of-00352.parquet"}]]