Document:

Exhibit 10.6

 

EMPLOYMENT
AGREEMENT

 

THIS EMPLOYMENT AGREEMENT
(this “Agreement”) is made and entered into as of March 1, 2005 (the “Effective
Date”), by and between Echo Global Logistics,
a Delaware limited liability company (the “Company”), and Vip Sandhir (“Manager”).

 

1.                                       Employment;
Position and Duties.  The Company
agrees to employ Manager, and Manager agrees to be employed by the Company,
upon the terms and conditions of this Agreement.  Manager shall be employed by the Company as
the Company’s EVP Sales reporting to the President, Board of Directors and/or
other Executives that are duly appointed from time to time.  In this capacity, Manager agrees to devote
his full time, energy and skill to the faithful performance of his duties
herein, and shall perform the duties and carry out the responsibilities
assigned to him to the best of his ability and in a diligent, businesslike and
efficient manner.  Manager’s duties shall
include all those duties customarily performed by the EVP Sales, as well as
those additional duties commensurate with his position as EVP Sales that may be
reasonably assigned by the Company. 
Manager shall comply with any policies and procedures established for
Company employees, including without limitation, those policies and procedures
contained in the Company’s employee handbook previously delivered to Manager.

 

2.                                       Term of
Employment.  This
Agreement shall become effective upon the Effective Date.  The term of this Agreement shall commence on
8/1/2005 and shall expire on 8/1/2009, unless earlier terminated by either
party, in accordance with the terms of this Agreement and/or the following
sentence.  This Agreement may be
terminated by Manager or by the Company’s Board of Managers and/or Directors,
at any time, with or without Cause (as defined below).  Upon the termination of Manager’s employment
with the Company for any reason, neither party shall have any further
obligation or liability under this Agreement to the other party, except as set
forth in Sections 5, 6, 7, 8, 9, 10 and II of this Agreement.

 

3.                                       Compensation.  Manager shall be compensated by the Company
for his services as follows:

 

(a)                                  Base Salary. 
During the term of this Agreement, Manager shall be paid a base salary (“Base
Salary”) of $8333.33 per month (or $100,000.00 on an annualized basis), subject
to applicable withholding, in accordance with the Company’s normal payroll
procedures.  Manager’s salary shall be
reviewed on an annual basis by the Company for possible increase (but not
decrease) based on the Company’s operating results and financial condition,
salaries paid to other Company executives, and general marketplace and other
applicable considerations.  Such
increased Base Salary, if any, shall then constitute Manager’s “Base Salary”
for purposes of this Agreement.  The
first annual review will be conducted on 3/31/2006 and annually there after.

 

(b)                                 Benefits.  During the
term of this Agreement, Manager shall have the right, on the same basis as
other members of senior management of the Company, to participate in and to
receive benefits under any of the Company’s executive and employee benefit
plans, insurance programs and/or indemnification agreements, as may be in
effect from time to time, subject to any applicable waiting periods and other
restrictions.  In addition, Manager shall
be entitled to the
benefits afforded to other members of senior management under the Company’s
vacation, holiday and business expense reimbursement policies.

 

 

(c)                                  Bonuses.

 

(i)                                     Performance
Bonus.  In addition to the Base
Salary, Manager shall be eligible to receive an annual performance bonus (“Performance
Bonus”).  The terms of this performance
bonus will be determined by 8/1/06.  The
Performance Bonus shall be a discretionary bonus, determined in the sole
discretion of the Company, based upon Manager’s performance of his duties and
the Company’s financial performance, as well certain performance targets that
arc approved by the Managers and/or Directors of the Company.  The Performance Bonus may be a combination of
payroll bonus, capital account distribution and/or stock options.

 

(d)                                 Expenses.  In addition
to reimbursement for business expenses incurred by Manager in the normal and
ordinary course of his employment by the Company pursuant to the Company’s
standard business expense reimbursement policies and procedures, the Company
shall reimburse Manager for the full amount of his health insurance costs
should he elect to participate in the Company’s health insurance program(s).

 

(e)                                  Capital Account Distributions. 
The company from time to time may elect to distribute profits.

 

4.                                       Equity.  Upon the
manager’s start date the Company will grant the manager 150,000 Units (Class A
Common — Non Voting) which at time of grant have a value of $.001 per
share.  In addition, Manager will be allowed
to buy 450,000 of Restricted Class A Common Non-Voting Units at a price of
$.25 per unit on April 15, 2006, subject to a repurchase right for the
Company defined in Section 4 (a) below.

 

(a)                                  Repurchase Right of Company. 
If Manager ceases employment with company prior to 8/1/2009 for any
reason except section 6 (Change of Control), Company shall have the right to
repurchase some or all of the units from Manager at a price of $.25 per unit,
subject to the following schedule:

 

·                       If such
termination/resignation occurs before 8/1/2007, all 450,000 of the units will
be subject to the repurchase;

 

·                       If such
termination/resignation occurs after 8/1/2007 but prior to 8/1/2008, 270,000 of
the units shall be subject to such repurchase.

 

·                       If such
termination/resignation occurs after 8/1/2008 but prior to 8/1/2009, 90,000 of
the units shall be subject to such repurchase.

 

(b)                                 Procedure for Exercise of Repurchase
Right.  If Company acquires a repurchase right in
accordance with Section (a), above, Company may elect to exercise that
right by giving written notice to Manager, within thirty (30) days after the
termination of service, of the intention by Company to repurchase the number of
units specified in such notice (which number may be all or any portion of the
total number of units then subject to the repurchase right of Company in
accordance with schedule in Section (a) above).  At the closing of such repurchase, which
shall take place within thirty (30) days after the delivery of such notice and 

 

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shall take place at the principal office of
Company (or at any other location agreed upon by the parties), Manager shall
deliver to Company fully executed documentation sufficient to transfer the
repurchased units to Company, and Company shall pay to Manager in cash the full
repurchase price of $.25 per repurchased unit. 
Notice by Company to Manager under Section (b) shall be
delivered to 1342 W. Cornelia #3, Chicago, IL 60657, or to such other address
as Manager may have provided to Company.

 

(c)                                  Automatic Lapse of Repurchase Right. 
If Manager continues employment with Company through 8/1/2009, or if
Company acquires a repurchase right in accordance with Section (a) above,
but does not exercise that right in accordance with Section (b), above,
the repurchase right shall lapse and no longer be in effect.

 

5.                                       Benefits Upon Termination.

 

(a)                                  Termination for Cause or Termination for
Other than Good Reason.  In the event of the
termination of Manager’s employment by the Company for Cause (as defined
below), the termination of Manager’s employment by reason of his death or
disability, or the termination of Manager’s employment by Manager for any
reason other than Good Reason (as defined below), Manager shall be entitled to
no further compensation or benefits from the Company other than those earned
under Section 3 through the date of termination

 

For purposes of this
Agreement, a termination for “Cause” occurs if Manager’s employment is
terminated by the Company for any of the following reasons:

 

(i)                                     his failure to
perform reasonably assigned duties as President of the Company after written
notice of such failure and a reasonable opportunity to remedy such failure,

 

(ii)                                  theft,
dishonesty, or falsification of any employment or Company records by Manager;

 

(iii)                               the
determination by the Company, after providing written notice explaining its
decision, that Manager has committed an act or acts constituting a felony or
any act involving moral turpitude;

 

(iv)                              the
determination by the Company, after providing written notice explaining its
decision, that Manager has engaged in willful misconduct or gross negligence
that has had a material adverse effect on the Company’s reputation or business;
or

 

(v)                                 the material
breach by Manager of any provision of this Agreement after written notice of
such breach and a reasonable opportunity to cure such breach;

 

For purposes of this
Agreement, a termination for “Good Reason” occurs if Manager terminates his
employment for any of the following reasons:

 

(i)                                     the Company
materially reduces Manager’s duties or responsibilities below what is customary
for a President of a business that is similar to Company without Manager’s
consent;

 

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(ii)                                  the Company requires
Manager to relocate his office more than 100 miles from the current office of
the Company without his consent; or

 

(iii)                               the Company has
breached the terms of this Agreement and such breach continues for more than
thirty (30) days after notice from Manager to the Company specifying the action
which constitutes the breach and demanding its discontinuance.

 

(b)                                 Termination Without Cause or Termination
for Good Reason.  The Company is free to terminate this
Agreement, and Manager’s employment with Company, at any time, for any reason,
in its absolute sole discretion.  If
Manager’s employment is terminated by the Company for any reason other than for
Cause or by reason of his death or disability, or if Manager’s employment is
terminated by Manager for Good Reason, Manager shall only be entitled to:

 

(i)                                     receive
continued payment of his Base Salary, less applicable withholding, in
accordance with the Company’s normal payroll procedures, for three (3) months
following the termination of Manager’s employment; plus (minus) accrued
(unaccrued) but unused (used) vacation time.

 

Notwithstanding anything
to the contrary herein, no payments shall be due under this Section 5(b) unless
and until Manager shall have executed a general release and waiver of claims
against the Company, consistent with Section 8 below, and in a form
mutually satisfactory to the Company and Manager, and the execution of such
general, mutually satisfactory release and waiver shall be a condition to
Manager’s rights under this Section 5(b).

 

6.                                       Change of Control. 
If, during the three (3) months prior to the public announcement of
a proposed Change of Control, or twelve (12) months following a Change of
Control, Manager’s employment is terminated by the Company for any reason other
than Cause, or terminated by Manager for Good Reason, Manager shall be entitled
to, in addition to the compensation and benefits outlined under Section 5(b) above,
company forfeits its Repurchase right for two years following the
termination.  For purposes of this Agreement,
a “Change of Control” shall have the same meaning as the term “Change of
Control” set forth in the Company’s Unit Option Plan.

 

7.                                       Employee Inventions and Proprietary
Rights Assignment Agreement.  Manager
agrees to abide by the terms and conditions of the Company’s standard Employee
Inventions and Proprietary Rights Assignment Agreement as executed by Manager
and attached hereto as Exhibit C.

 

8.                                       Covenants Not to Compete or Solicit. 
During Manager’s employment and for a period of two (2) years
following the termination of Manager’s employment for Cause or Termination for
Other than Good Reason , Manager shall not, anywhere in the Geographic Area (as
defined below), other than on behalf of Company or with the prior written
consent of Company, directly or indirectly:

 

(a)                                  perform
services for (whether as an employee, agent, consultant, advisor, independent
contractor, proprietor, partner, officer, director or otherwise), have any
ownership interest in (except for passive ownership of five percent (5%) or
less of any entity whose 

 

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securities have been registered under the
Securities Act or Section 12 of the Securities Exchange Act of 1934, as
amended), or participate in the financing, operation, management or control of,
any firm, partnership, corporation, entity or business that engages or
participates in a “competing business purpose” (as defined below);

 

(b)                                 induce or
attempt to induce any customer, potential customer, supplier, licensee,
licensor or business relation of Company to cease doing business with Company,
or in any way interfere with the relationship between any customer, potential
customer, supplier, licensee, licensor or business relation of Company or
solicit the business of any customer or potential customer of Company, whether
or not Manager had personal contact with such entity; and

 

(c)                                  solicit,
encourage, hire or take any other action which is intended to induce or
encourage, or has the effect of inducing or encouraging, any employee or
Independent Contractor of Company or any subsidiary of Company to terminate his
or his employment or relationship with Company or any subsidiary of the
Company, other than in the discharge of his duties as an officer of the
Company.

 

For the purpose of this
Agreement, the term “competing business purpose” shall mean the sale or
provision of any transportation (TL, LTL, Small Parcel) services, logistics
management services, or related services that are competitive with in any
manner the services sold or offered by the Company during the term of this
Agreement.  The term “Geographic Area”
shall mean the United States of America. 
Company expressly acknowledges that the term “competing business purpose”
does not include (Travel/Tourism, Charter Bus Transportation, Meeting Planning,
or Transportation Business Process Outsourcing / Off shoring.

 

The covenants contained
in this Section 8 shall be construed as a series of separate covenants,
one for each county, city, state, or any similar subdivision in any Geographic
Area.  Except for geographic coverage,
each such separate covenant shall be deemed identical in terms to the covenant
contained in the preceding Sections.  If,
in any judicial proceeding, a court refuses to enforce any of such separate
covenants (or any part thereof), then such unenforceable covenant (or such
part) shall be eliminated from this Agreement to the extent necessary to permit
the remaining separate covenants (or portions thereof) to be enforced.  In the event that the provisions of this Section 8
are deemed to exceed the time, geographic or scope limitations permitted by
applicable law, then such provisions shall be reformed to the maximum time,
geographic or scope limitations, as the case may be, permitted by applicable
laws.

 

9.                                       Equitable Remedies. 
Manager acknowledges and agrees that the agreements and covenants set
forth in Sections 7 and 8 are reasonable and necessary for the protection of
the Company’s business interests, that irreparable injury will result to the
Company if Manager breaches any of the terms of said covenants, and that in the
event of Manager’s actual or threatened breach of any such covenants, the
Company will have no adequate remedy at law. 
Manager accordingly agrees that, in the event of any actual or
threatened breach by Manager of any of said covenants, the Company will be
entitled to seek immediate injunctive and other equitable relief, without bond
and without the necessity of showing actual monetary damages.  Nothing in this Section 9 will be
construed as prohibiting the Company from pursuing any other 

 

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remedies available to it for such breach or
threatened breach, including the recovery of any damages that it is able to
prove.

 

10.                                 Dispute
Resolution.  In the
event of any dispute or claim relating to or arising out of this Agreement
(including, but not limited to, any claims of breach of contract, wrongful
termination or age, sex, race or other discrimination), Manager and the Company
agree that all such disputes shall be fully and finally resolved by binding
arbitration conducted by the American Arbitration Association in Chicago,
Illinois in accordance with its National Employment Dispute Resolution rules,
as those rules are currently in effect (and not as they may be modified in
the future).  Manager acknowledges that
by accepting this arbitration provision he is waiving any right to a jury trial
in the event of such dispute.  Notwithstanding
the foregoing, this arbitration provision shall not apply to any disputes or
claims relating to or arising out of the misuse or misappropriation of trade
secrets or proprietary information.

 

11.                                 Governing Law.  This Agreement has been executed in the State
of Illinois, and Manager
and the Company agree that this Agreement shall be interpreted in accordance
with and governed by the laws of the State of Illinois, without regard to its
conflicts of laws principles.

 

12.                                 Successors and
Assigns.  This Agreement shall inure to
the benefit of and be binding upon the Company and its successors and assigns,
provided that successor or assignee is the successor to substantially all of
the assets of the Company, or a majority of its then outstanding Units, and
that such successor or assignee assumes the liabilities, obligations and duties
of the Company under this Agreement, either contractually or as a matter of
law.  In view of the personal nature of
the services to be performed under this Agreement by Manager, she shall not
have the right to assign or transfer any of his rights, obligations or benefits
under this Agreement, except as otherwise noted herein.

 

13.                                 Entire
Agreement.  This
Agreement, including its attached Exhibits, constitutes the entire employment
agreement between Manager and the Company regarding the terms and conditions of
his employment, with the exception of (i) those provisions of the Company’s
2004 Unit Option Plan incorporated by reference pursuant to Section 4.  This Agreement (including the documents
described in clauses (i) of this Section 13) supersedes all prior
negotiations, representations or agreements between Manager and the Company,
whether written or oral, concerning Manager’s employment.

 

14.                                 No Conflict.  Manager represents and warrants to the
Company that neither his entry into this Agreement nor his performance of his obligations
hereunder will conflict with or result in a breach of the terms, conditions or
provisions of any other agreement or obligation to which Manager is a party or
by which Manager is bound, including without limitation, any non- competition
or confidentiality agreement previously entered into by Manager.

 

15.                                 Validity.  Except as
otherwise provided in Section 8, above, if any one or more of the
provisions (or any part thereof) of this Agreement shall be held invalid,
illegal or unenforceable in any respect, the validity, legality and
enforceability of the remaining provisions (or any part thereof) shall not in
any way be affected or impaired thereby.

 

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16.                                 Modification. 
This Agreement may not be modified or amended except by a written
agreement signed by Manager and the Company.

 

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IN WITNESS WHEREOF, the
parties have executed this Agreement as of the date and year written below.

 

	
   

  	
   

  	
   

  	
  Echo Global Logistics, LLC 

  
	
   

  	
   

  	
   

  	
   

  
	
  Date:

  	
  8/1/2005

  	
   

  	
  By:

  	
  /s/ Orazio Buzza 

  
	
   

  	
   

  	
  Name:

  	
  Orazio Buzza 

  
	
   

  	
   

  	
  Its: 

  	
  President

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Date:

  	
  8/1/2005

  	
   

  	
  /s/ Vipon Sandhir 

  
	
   

  	
   

  	
  Manager

  

 

8Exhibit 10.7

 

EMPLOYMENT AGREEMENT

 

THIS EMPLOYMENT AGREEMENT
(this “Agreement”) is made and entered into as of September 24, 2009 (the “Effective
Date”), by and between Echo Global Logistics, Inc.,
a Delaware corporation (the “Company”), and Orazio Buzza (“Manager”).

 

1.             Employment; Position and Duties. 
The Company agrees to employ Manager, and Manager agrees to be
employed by the Company, upon the terms and conditions of this Agreement.  Manager shall be employed by the Company as the Company’s Chief
Operating Officer reporting to the Company’s Chief
Executive Officer.  In this capacity,
Manager agrees to devote his full time, energy and skill to the faithful
performance of his duties herein, and shall perform the duties and carry out
the responsibilities assigned to him to the best of his ability and in a
diligent, businesslike and efficient manner. 
Manager’s duties shall include all those duties customarily performed by
the Chief Operating
Officer, as well as those additional duties commensurate with his position as Chief
Operating Officer that may be reasonably assigned by the Company.  Manager shall comply with any policies and
procedures established for Company employees, including, without limitation,
those policies and procedures contained in the Company’s employee handbook
previously delivered to Manager.

 

2.             Term of Employment.  This Agreement
shall become effective upon the Effective Date. 
The term of this Agreement shall commence on the Effective Date and
shall expire on January 1, 2012, unless earlier terminated by either
party, in accordance with the terms of this Agreement and/or the following
sentence.  This Agreement may be
terminated by Manager or by the Company, at any time, with or without Cause (as
defined below).  Upon the termination of
Manager’s employment with the Company for any reason, neither party shall have
any further obligation or liability under this Agreement to the other party,
except as set forth in Sections 5, 7, 8, 9, 10 and 11 of this Agreement.

 

3.             Compensation.  Manager shall
be compensated by the Company for his services as follows:

 

(a)           Base Salary.  Manager
shall be paid an initial base salary of $285,000 per year in accordance with
the Company’s normal payroll procedures. 
Increases in Manager’s base salary, if any, shall be as approved by the
Company’s Board of Directors (the “Board”) or its compensation committee.

 

(b)           Benefits.  During the
term of this Agreement, Manager shall have the right, on the same basis as
other members of senior management of the Company, to participate in and to
receive benefits under the Company’s executive and employee benefit plans,
insurance programs and/or indemnification agreements, as may be in effect from
time to time, subject to any applicable waiting periods and other restrictions.  In addition, Manager shall be entitled to the benefits afforded to
other members of senior management under the Company’s vacation, holiday and
business expense reimbursement policies.

 

(c)           Performance Bonus.  In
addition to the base salary, Manager shall be eligible to receive an annual
performance bonus (“Performance Bonus”) to be approved from 

 

 

time to time by the Board or its compensation
committee.  The Performance Bonus shall
be paid on January 15 in the year following the Company’s fiscal year to
which the performance relates.

 

(d)           Expenses.  In addition
to reimbursement for business expenses incurred by Manager in the normal and
ordinary course of his employment by the Company pursuant to the Company’s
standard business expense reimbursement policies and procedures, the Company
shall reimburse Manager for the full amount of his medical insurance costs
should he elect to participate in the Company’s medical insurance program(s) or
if Manager does not elect to participate he may apply the equivalent amount of
the Company’s PPO family monthly premium to his monthly car payment or medical
insurance obtained outside of the Company’s program(s).

 

4.             [Reserved.]

 

5.             Benefits Upon Termination.

 

(a)           Termination for Cause or Termination for
Other than Good Reason.  In the event of the
termination of Manager’s employment by the Company for Cause (as defined
below), the termination of Manager’s employment by reason of his death or
disability, or the termination of Manager’s employment by Manager for any reason
other than without Cause or for Good Reason (as defined below), Manager shall
be entitled to no further compensation or benefits from the Company other than
those earned under Section 3 through the date of termination.

 

For purposes of this
Agreement, a termination for “Cause” occurs if Manager’s employment is
terminated by the Company for any of the following reasons:

 

(i)            his material breach of any provision of
this Agreement, provided that in those instances in which his material breach
is capable of being cured, Manager has failed to cure within a thirty (30) day
period after notice from the Company;

 

(ii)           theft, dishonesty, or falsification of
any employment or Company records by Manager;

 

(iii)          the
reasonable determination by the Board that Manager has committed an act or acts
constituting a felony or any act involving moral turpitude; or

 

(iv)          the reasonable determination by the Board
that Manager has engaged in willful misconduct or gross negligence that has had
a material adverse effect on the Company’s reputation or business.

 

For purposes of this
Agreement, a termination for “Good Reason” occurs if Manager terminates his
employment for any of the following reasons and within two years of the initial
existence of such reason:

 

(i)            the Company materially reduces Manager’s
duties or responsibilities below what is customary for a Chief Operating
Officer of a business that is similar to the Company without Manager’s consent;

 

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(ii)           the Company requires Manager to relocate his office
more than 100 miles from the current office of the Company without his
consent; or

 

(iii)          the
Company has materially breached the terms of this Agreement.

 

If one or more of the above conditions exist, Manager
must provide notice to the Company within a period not to exceed ninety (90)
days of the initial existence of the condition. 
Upon such notice, the Company shall have a period of thirty (30) days
during which it may remedy the condition.

 

(b)           Termination Without Cause or Termination
for Good Reason.  If Manager’s employment is terminated by the
Company for any reason other than for Cause or by reason of his death or
disability, or if Manager’s employment is terminated by Manager for Good
Reason, Manager shall be entitled to receive continued payment of his base
salary in accordance with the Company’s normal payroll procedures for three (3) months
following the termination of Manager’s employment plus (minus) accrued
(unaccrued) but unused (used) vacation time.

 

Notwithstanding anything
to the contrary herein, no payments shall be due under this Section 5(b) unless
and until Manager shall have executed a general release and waiver of claims
against the Company, consistent with Section 9 below (the “Release”), in a
form reasonably satisfactory to the Company, and the execution of such Release
shall be a condition to Manager’s rights under this Section 5(b).  Such Release shall be delivered to Manager
within ten (10) days of Manager’s termination of employment, and no payments
pursuant to Section 5(b) shall be made prior to the date that both (i) Manager
has delivered an original, signed Release to the Company and (ii) the
revocability period (if any) has elapsed; provided however, that any payments
that would otherwise have been made prior to such date but for the fact that
Manager had not yet delivered an original, signed Release (or the revocability
period had not yet elapsed) shall be made as soon as administratively
practicable but not later than the seventy-fourth (74th) day following Manager’s
termination of employment.  Manager must deliver an original,
signed Release to the Company within ten (10) business days (or such
longer period if required by law) after receipt of the same from the Company as
a condition to receiving any amount or benefits described in Section 5(b).

 

6.             Section 409A of the Code.

 

(a)           Except to the extent earlier payment is
permitted by Section 409A of the Code and the regulations promulgated
thereunder, in the event that any amount due to Manager hereunder after the
termination of his employment shall be considered to be deferred compensation
pursuant to Section 409A of the Code, and it is determined that Manager is
a “specified employee” for purposes of Section 409A(a)(2)(B)(i) of
the Code, then the Company shall delay the payment of such amount for six (6) months
after the termination of his employment (or until his death, if earlier) or for
such other amount of time as may be necessary to comply with the requirements
of Section 409A(a)(2)(B)(i) of the Code.

 

(b)           This Agreement is intended to comply and
shall be administered in a manner that is intended to comply with Section 409A
of the Code and the interpretative guidance thereunder, including the
exceptions for short-term deferrals, separation pay arrangements,
reimbursements,

 

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and
in-kind distributions.  This Agreement
shall be construed and interpreted in accordance with such intent.  In addition, each payment shall be considered
a separate payment for purposes of Section 409A of the Code and any
termination of employment under this Agreement shall mean a separation from
service as defined in Section 409A of the Code and Treas. Reg.
§1.409A-1(h)(1)(ii) (or other similar or successor provision).  The parties agree to make such other
amendments to this Agreement as are necessary to comply with the requirements
of Section 409A of the Code.

 

7.             Change of Control.  If,
during the three (3) months prior to the public announcement of a proposed
Change of Control, or at any time within twelve (12) months following a Change
of Control, Manager’s employment is terminated by the Company for any reason
other than Cause, or terminated by Manager for Good Reason, Manager shall be
entitled to the compensation and benefits set forth in Section 5(b) above.  For purposes of this Agreement, a “Change of
Control” shall have the same meaning as the term “Change of Control” set forth
in the Company’s 2008 Stock Incentive Plan, as amended.

 

8.             Employee Inventions and Proprietary
Rights Assignment Agreement.  Manager
agrees to abide by the terms and conditions of the Company’s standard Employee
Inventions and Proprietary Rights Assignment Agreement as executed by Manager
and attached hereto as Exhibit A.

 

9.             Covenants Not to Compete or Solicit.  During
Manager’s employment and for a period of twenty-four (24)
months following the termination of Manager’s employment for Cause or termination
for other than Good Reason, Manager shall not, anywhere in the Geographic Area
(as defined below), other than on behalf of the Company or with the prior
written consent of the Company, directly or indirectly:

 

(a)           perform services for
(whether as an employee, agent, consultant, advisor, independent contractor,
proprietor, partner, officer, director or otherwise), have any ownership
interest in (except for passive ownership of one percent (1%) or less of any
entity whose securities have been registered under the Securities Act of 1933,
as amended, or Section 12 of the Securities Exchange Act of 1934, as
amended), or participate in the financing, operation, management or control of,
any firm, partnership, corporation, entity or business that engages or
participates in a “competing business purpose” (as defined below);

 

(b)           induce or attempt to induce
any customer, potential customer, supplier, licensee, licensor or business
relation of the Company to cease doing business with the Company, or in any way
interfere with the relationship between any customer, potential customer,
supplier, licensee, licensor or business relation of the Company or solicit the
business of any customer or potential customer of the Company, whether or not
Manager had personal contact with such entity; and

 

(c)           solicit, encourage, hire or
take any other action which is intended to induce or encourage, or has the
effect of inducing or encouraging, any employee or independent contractor of
the Company or any subsidiary of the Company to terminate his employment or
relationship with the Company or any subsidiary of the Company, other than in
the discharge of his duties as an officer of the Company.

 

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For the purpose of this
Agreement, the term “competing business purpose” shall mean the sale or
provision of any transportation or logistics-related services that are
competitive with in any manner the services sold or offered by the Company
during the term of this Agreement.  The
term “Geographic Area” shall mean the United States of America.

 

The covenants contained
in this Section 9 shall be construed as a series of separate covenants,
one for each county, city, state, or any similar subdivision in any Geographic
Area.  Except for geographic coverage,
each such separate covenant shall be deemed identical in terms to the covenant contained
in the preceding subsections.  If, in any
judicial proceeding, a court refuses to enforce any of such separate covenants
(or any part thereof), then such unenforceable covenant (or such part) shall be
eliminated from this Agreement to the extent necessary to permit the remaining
separate covenants (or portions thereof) to be enforced.  In the event that the provisions of this Section 9
are deemed to exceed the time, geographic or scope limitations permitted by
applicable law, then such provisions shall be reformed to the maximum time,
geographic or scope limitations, as the case may be, permitted by applicable
laws.

 

10.           Equitable Remedies. 
Manager acknowledges and agrees that the agreements and covenants set
forth in Sections 8 and 9 are reasonable and necessary for the protection of
the Company’s business interests, that irreparable injury will result to the
Company if Manager breaches any of the terms of such covenants, and that in the
event of Manager’s actual or threatened breach of any such covenants, the
Company will have no adequate remedy at law. 
Manager accordingly agrees that, in the event of any actual or
threatened breach by Manager of any of such covenants, the Company will be
entitled to seek immediate injunctive and other equitable relief, without
posting any bond and without the necessity of showing actual monetary
damages.  Nothing in this Section 10
will be construed as prohibiting the Company from pursuing any other remedies
available to it for such breach or threatened breach, including the recovery of
any damages that it is able to prove.

 

11.           Dispute Resolution.  In the event of
any dispute or claim relating to or arising out of this Agreement (including,
but not limited to, any claims of breach of contract, wrongful termination or
age, sex, race or other discrimination), Manager and the Company agree that all
such disputes shall be fully and finally resolved by binding arbitration
conducted by the American Arbitration Association in Chicago, Illinois in
accordance with its National Employment Dispute Resolution rules, as those rules are
currently in effect (and not as they may be modified in the future).  Manager acknowledges that by accepting this
arbitration provision he is waiving any right to a jury trial in the event of
such dispute.  Notwithstanding the
foregoing, this arbitration provision shall not apply to any disputes or claims
relating to or arising out of the misuse or misappropriation of trade secrets
or proprietary information.

 

12.           Governing Law.  This Agreement
has been executed in the State of Illinois, and Manager and the Company agree that this Agreement
shall be interpreted in accordance with and governed by the laws of the State
of Illinois, without regard to its conflicts of laws principles.

 

13.           Successors and Assigns.  This Agreement
shall inure to the benefit of and be binding upon the Company and its
successors and assigns, provided that such successor or assignee is the
successor to or the assignee of substantially all of the assets of the Company,
or a majority of its then outstanding shares, and that such successor or
assignee assumes the 

 

5

 

liabilities, obligations and
duties of the Company under this Agreement, either contractually or as a matter
of law.  In view of the personal nature
of the services to be performed under this Agreement by Manager, he shall not
have the right to assign or transfer any of his rights, obligations or benefits
under this Agreement.

 

14.           Entire Agreement.  This Agreement, including its attached
Exhibit, constitutes the entire employment agreement between Manager and the
Company regarding the terms and conditions of his employment, with the
exception of those provisions of the Company’s 2008 Stock Incentive Plan, as
amended, which is incorporated by reference hereto.  This Agreement (including the documents
described in this Section 14) supersedes all prior negotiations,
representations or agreements between Manager and the Company, whether written
or oral, concerning Manager’s employment.

 

15.           No Conflict.  Manager
represents and warrants to the Company that neither his entry into this Agreement nor his
performance of his obligations hereunder will conflict with or result in a
breach of the terms, conditions or provisions of any other agreement or
obligation to which Manager is a party or by which Manager is
bound, including, without limitation, any non- competition or confidentiality
agreement previously entered into by Manager.

 

16.           Validity.  Except as
otherwise provided in Section 9 above, if any one or more of the
provisions (or any part thereof) of this Agreement shall be held invalid,
illegal or unenforceable in any respect, the validity, legality and
enforceability of the remaining provisions (or any part thereof) shall not in
any way be affected or impaired thereby.

 

17.           Modification.  This
Agreement may not be modified or amended except by a written
agreement signed by Manager and the Company.

 

18.           Withholding.  All payments
made to Manager pursuant to this Agreement shall be subject to applicable
withholding taxes, if any, and any amount so withheld shall be deemed to have
been paid to Manager for purposes of amounts due to Manager under this
Agreement.

 

6

 

IN WITNESS WHEREOF, the
parties have executed this Agreement as of the date and year first written above.

 

	
   

  	
  Echo Global
  Logistics, Inc.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Douglas R. Waggoner

  
	
   

  	
  Name:

  	
  Douglas R. Waggoner

  
	
   

  	
  Its:

  	
  Chief Executive Officer

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  /s/ Orazio Buzza

  
	
   

  	
  Orazio Buzza

  

 

7

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