Document:

EX-10.2

Exhibit 10.2

RPM INTERNATIONAL INC.

RPM INTERNATIONAL INC. 2004 OMNIBUS EQUITY AND INCENTIVE PLAN

STOCK APPRECIATION RIGHTS AGREEMENT

     THIS STOCK APPRECIATION RIGHTS AGREEMENT (the “Agreement”), is entered into as of this 10th
day of October, 2008 (the “Effective Date”), by and between RPM International Inc., a Delaware
corporation (the “Company”), and «NAME» (the “Grantee”).

WITNESSETH:

     WHEREAS, the Compensation Committee of the Board of Directors (the “Compensation Committee”)
administers the RPM International Inc. 2004 Omnibus Equity and Incentive Plan (the “Plan”); and

     WHEREAS, the Committee desires to provide the Grantee with Stock Appreciation Rights under the
Plan upon the terms and conditions set forth in this Agreement;

     NOW, THEREFORE, the Company and the Grantee agree as follows:

     1. Definitions. Unless otherwise specified in this Agreement, capitalized terms shall
have the meanings attributed to them under the Plan.

     2. Grant of Stock Appreciation Rights. As of the Effective Date, the Company grants
to the Grantee «SHARES» («SHARE_NO») Stock Appreciation Rights (“SARs”) which are units with values
measured by reference to increases in the Fair Market Value of shares of common stock, par value
$.01 per share, of RPM International Inc. (“Common Stock”) over $14.05, which is the closing price
of a share of Common Stock (as reported in the principal consolidated transaction reporting system
for the New York Stock Exchange) on the Effective Date.

     3. Exercise Dates. Except as provided in Sections 4 and 5, no SARs are exercisable
until the one (1) year anniversary of the Effective Date. Provided that the Grantee continues to
be an employee of the Company, its Subsidiaries or Allied Enterprises until the dates set forth
below, the Grantee will be entitled to exercise the SARs in accordance with the following schedule:

 

 

	 	 	 	 	 
	Date as of Which SARs May	 	Percentage of SARs Which
	Be Exercised	 	May Be Exercised
	On and after October 10, 2009

	 	 	25	%
	 
	On and after October 10, 2010

	 	 	50	%
	 
	On and after October 10, 2011

	 	 	75	%
	 
	On and after October 10, 2012

	 	 	100	%

So long as the Grantee shall continue to be an employee of the Company, a Subsidiary or Allied
Enterprise, the Grantee shall not be considered to have experienced a break in continuous
employment because of: (a) any temporary leave of absence approved in writing by the Company, a
Subsidiary or Allied Enterprise; or (b) any change of duties or position (including transfer to or
from a Subsidiary).

     4. Termination of Employment.

     (a) Normal Retirement. If the Compensation Committee determines in its sole
and exclusive discretion that the Grantee’s employment with the Company, its Subsidiaries
and Allied Enterprises has terminated due to Normal Retirement, the Grantee will have the
immediate right (notwithstanding the provisions of Section 3) to exercise all of the SARs,
subject to the requirements of Section 8. “Normal Retirement” is the Grantee’s voluntary
retirement (and not termination of employment by the Company, a Subsidiary or Allied
Enterprise, whether with or without cause) after attaining age fifty-five (55) and
completing at least five (5) consecutive years of service with the Company, its Subsidiaries
and/or Allied Enterprises prior to termination of this Agreement. Upon Normal Retirement,
the exercise rights shall terminate upon the earlier of the date which is three (3) years
after the date of such retirement or the last day of the term of this Agreement.

     (b) Death or Total Disability. If the Grantee dies or becomes totally disabled
(within the meaning of the Company’s group long-term disability plan) while an employee of
the Company, a Subsidiary or Allied Enterprise or within thirty (30) days of the Grantee’s
having ceased to be an employee by reason of discharge, the Grantee’s Beneficiary or
Beneficiaries shall have the immediate right (notwithstanding the provisions of Section 3)
to exercise all of the SARs. Such exercise rights shall in any event terminate upon the
earlier of the date one (1) year from the date of the Grantee’s termination of employment by
reason of death, total disability or discharge or the last day of the term of this
Agreement.

     (c) Reasons Other Than Normal Retirement, Death or Total Disability. If the
Compensation Committee determines in its sole and exclusive discretion that the Grantee’s
employment with the Company, its Subsidiaries and Allied Enterprises has terminated for
reasons other than those described in subsections (a) or (b) above,

2

 

generally the Grantee will forfeit all SARs which have not become exercisable as of
such date; provided, however, that upon written request, the Compensation Committee in its
sole and exclusive discretion may determine (but shall not be under any obligation to
determine) that additional SARs may become exercisable. If the Compensation Committee
determines in its sole and exclusive discretion that such employment has terminated due to
discharge, any accrued exercise rights with respect to exercisable SARs will terminate upon
the earlier of the date thirty (30) days from the date of such termination of employment or
the last day of the term of this Agreement. If the Compensation Committee determines in its
sole and exclusive discretion that such employment has terminated due to a voluntary quit,
any accrued exercise rights will terminate immediately.

     5. Change in Control. If a Change in Control as defined in the Plan has occurred or
an event has occurred that the Board of Directors, in the good faith exercise of its discretion,
determines to be a Change in Control, the Grantee shall have the immediate right (notwithstanding
the provisions of Section 3) to exercise all of the SARs, subject to the requirements of Section 8.
Notwithstanding anything in this Agreement to the contrary, in the event of a Change in Control,
the Compensation Committee may require that the Grantee exercise the SARs within a prescribed
period shorter than the term of this Agreement or otherwise completely forfeit the SARs.

     6. Exercise of SARs. The SARs may be exercised by delivery of a completed Notice of
Exercise of SARs (obtainable from the Designated Representative) setting forth the number of SARs
being exercised to the Designated Representative at the address listed in Section 12(i).

     7.
Distributions.

     (a) Definitions.

     i. Exercise Date. The “Exercise Date” is the date that the Designated
Representative accepts delivery of a properly completed Notice of Exercise of SARs.

     ii. Exercise Price. The “Exercise Price” is the closing price of a
share of Common Stock (as reported in the principal consolidated transaction
reporting system for the New York Stock Exchange) on the Effective Date which is set
forth in Section 2. Except as otherwise provided in Section 12(a), the Compensation
Committee cannot adjust the Exercise Price after the Effective Date.

     (b) Distribution Value. Except as may otherwise be provided in Section 8 of
this Agreement, upon exercise of SARs, the Grantee will be entitled to a distribution equal
to the product of i. and ii., where:

3

 

     i. equals the number of SARs being exercised; and

     ii. equals the excess of the closing price of a share of Common Stock (as
reported in the principal consolidated transaction reporting system for the New York
Stock Exchange) on the Exercise Date over the Exercise Price.

     (c) Procedures. Except as the Compensation Committee may otherwise direct in
its sole and exclusive discretion, the Designated Representative will distribute to the
Grantee, as soon as practicable after the Exercise Date, shares of Common Stock with a Fair
Market Value equal to the distribution value and cash in an amount equal to the value of any
fractional share.

     8. Sale of Shares of Stock to Satisfy Tax Obligations. Prior to issuing shares of
stock pursuant to Section 7, the Compensation Committee will cause the Company to retain a portion
of the stock sufficient to satisfy the Grantee’s Minimum Withholding Tax Liability (as described in
Section 14 of the Plan) resulting from the exercise of SARs. The Grantee will provide such
irrevocable Stock Powers or additional information and documentation as the Company deems necessary
to satisfy the Grantee’s Minimum Withholding Tax Liability. The Compensation Committee will cause
the Company to deliver the funds to the appropriate taxing authorities in satisfaction of such tax
liabilities. The Compensation Committee may, in its sole and exclusive discretion, require that
any distributions to the Grantee’s Beneficiary or Beneficiaries be subject to this tax requirement.

     9. Designation of Beneficiary. By properly executing and delivering a Designation of
Beneficiary Form to the Designated Representative at the address listed in Section 12(i), the
Grantee may designate an individual or individuals as his or her Beneficiary or Beneficiaries under
the Plan. In the event that the Grantee fails to properly designate a Beneficiary, his or her
interests under the Plan will pass to the person or persons in the first of the following classes
in which there are any survivors: (i) spouse at the time of death; (ii) issue, per stirpes; (iii)
parents; and (iv) the executor or administrator of estate. Except as the Compensation Committee
may determine in its sole and exclusive discretion, a properly completed Designation of Beneficiary
Form shall be deemed to revoke all prior designations upon its receipt and approval by the
Designated Representative.

     10. Non-Transferability and Certificate Legends. The SARs have not been registered
for resale under the Securities Act of 1933, as amended (the “Act”). The SARs and any shares of
Common Stock distributed to the Grantee or a Beneficiary may not be sold, transferred or otherwise
disposed of unless a registration statement under the Act with respect to the SARs or Common Stock,
as applicable, has become effective or unless the Grantee or Beneficiary establishes to the
satisfaction of the Company that an exemption from such registration is available. The shares of
Common Stock will bear legends stating the substance of any such restrictions, as well as any other
restrictions the Compensation Committee deems necessary or appropriate.

     11. Termination of Agreement. This Agreement will terminate on the earliest of:
(i) the date of the Grantee’s termination of employment with the Company, its Subsidiaries or
Allied Enterprises when the Grantee does not have a vested interest in the SARs; (ii) the date

4

 

immediately preceding the tenth (10th) anniversary of the Effective Date; or
(iii) such date as may be designated by the Company’s Board of Directors or Compensation Committee.
Any terms or conditions of this Agreement that the Company determines are necessary to effectuate
its purposes will survive the termination of this Agreement.

     12. Miscellaneous Provisions.

	 	a.	 	Effect of Corporate Reorganization or other Changes
Affecting Number or Kind of Common Stock. In the event of a liquidation,
recapitalization, reorganization, redesignation or reclassification, split-up,
reverse split, merger, consolidation, stock dividend, combination, exchange for
other securities, a sale of all or substantially all assets or the like with
respect to the Company or its Common Stock, then provided that such transaction
falls within the meaning of “corporate transaction” for purposes of Treas. Reg.
Section 1.4214-1(a)(3), the Compensation Committee shall appropriately adjust
the number and kind of stock appreciation rights under this Agreement to
reflect such change. As used in this Agreement, the term “SARs” will be deemed
to include any such stock appreciation rights.
	 
	 	b.	 	Successors in Interest. This Agreement will bind and
inure to the benefit of the Company and the Grantee, and their respective
successors, assigns and legal representatives.
	 
	 	c.	 	Integration. This Agreement, together with the Plan,
constitutes the entire agreement between the Grantee and the Company with
respect to the subject matter hereof, and may not be modified, amended, renewed
or terminated, nor may any term, condition or breach of any term or condition
be waived, except pursuant to the terms of the Plan or by a writing signed by
the person or persons sought to be bound by such modification, amendment,
renewal, termination or waiver. Any waiver of any term, condition or breach
thereof will not be a waiver of any other term or condition or of the same term
or condition for the future, or of any subsequent breach.
	 
	 	d.	 	Notice. Any notice relating to this grant must be in
writing, which may include an electronic writing.
	 
	 	e.	 	No Employment Right Created. Nothing in this Agreement
will be construed to confer upon the Grantee the right to continue in the
employment or service of the Company, its Subsidiaries or Allied Enterprises,
or to be employed or serve in any particular position therewith, or affect any
right which the Company, its Subsidiaries or an Allied Enterprise may have to
terminate the Grantee’s employment or service with or without cause.

5

 

	 	f.	 	Separability. In the event of the invalidity of any
part or provision of this Agreement, such invalidity will not affect the
enforceability of any other part or provision of this Agreement.
	 
	 	g.	 	Section Headings. The section headings of this
Agreement are for convenience and reference only and are not intended to
define, extend or limit the contents of the sections.
	 
	 	h.	 	Amendment, Waiver and Revocation of Terms. Except as
otherwise provided in the Plan and Section 12(k) of this Agreement, the
Compensation Committee may waive any term or condition in this Agreement that
could have been excluded on the date of grant. No such waiver will be deemed
to be a waiver of similar terms under other agreements. Except as otherwise
provided in the Plan and Section 12(k) of this Agreement, the Compensation
Committee may amend this Agreement to include or exclude any provision which
could have been included in, or excluded from, this Agreement on the date of
grant, but only with the Grantee’s written consent. Similarly, the
Compensation Committee may revoke this Agreement at any time except that, after
execution of the Agreement and its delivery to the Designated Representative,
revocation may only be accomplished with the Grantee’s my written consent.
	 
	 	i.	 	Plan Administration. The Plan is administered by the
Compensation Committee, which has sole and exclusive power and discretion to
interpret, administer, implement, construe and determine benefits under the
Plan and this Agreement. All elections, notices and correspondence relating to
the Plan should be directed to the Designated Representative at:

RPM International Inc.

P.O. Box 777

2628 Pearl Road

Medina, OH 44258

Attn: Vice President, Corporate Benefits and Risk Management

	 	j.	 	Governing Law. Except as may otherwise be provided in
the Plan, this Agreement will be governed by, construed and enforced in
accordance with the internal laws of the State of Delaware, without giving
effect to its principles of conflict of laws.
	 
	 	k.	 	Internal Revenue Code Section 409A. Notwithstanding
anything in the Plan or this Agreement to the contrary, the SARs are intended
to meet any applicable requirements for exclusion from coverage under Section
409A of the Internal Revenue Code (the “Code”) and this Agreement shall be
construed and administered accordingly. Without limiting the foregoing, unless
and until different requirements for exclusion from coverage under Section 409A
of the Code become available or effective: (1) the SARs

6

 

	 	 	 	exercise price may never be less than the Fair Market Value of the
underlying Common Stock on the date of this Agreement (and Fair Market Value
shall be determined in a manner consistent with any applicable requirements
for exclusion from coverage); (2) only Common Stock may be delivered in
settlement of the SARs upon exercise; and (3) in no event shall the Grantee
be permitted to defer compensation relating to the SARs (except for the
inherent deferral of recognition of income until the exercise of the SARs)
under the Plan or otherwise. Furthermore, in the event that the
requirements for exclusion from coverage under Section 409A are liberalized,
or different features are made available contingent upon compliance with
certain requirements, the Committee may, in its sole and absolute
discretion, amend this Agreement in a manner consistent with those
liberalized requirements or to permit the Company, the Grantee or both to
take advantage of those different features.

     IN WITNESS WHEREOF, the Company has caused this Agreement to be executed on its behalf by its
duly authorized officer, and the Grantee has hereunto set his hand, all as of the day and year
first above written.

	 	 	 	 	 	 	 
	GRANTEE	 	 	 	RPM INTERNATIONAL INC.
	 
	 	 	 	 	 	 
	 

	 	 	 	By:	 	 
	 

	 	 	 	 	 	 
	«NAME»

	 	 	 	 	 	Frank C. Sullivan
	 

	 	 	 	Its:
	 	Chairman and Chief Executive Officer

7EX-10.3

Exhibit 10.3

SEPARATION AGREEMENT AND GENERAL RELEASE

     THIS SEPARATION AGREEMENT AND GENERAL RELEASE (hereinafter referred to as “Agreement”) is made
and entered into by and between Ernest T. Thomas (who together with his heirs, administrators,
executors and assigns are hereinafter referred to as (“Thomas”) and RPM International Inc. (which
is hereinafter referred to as “Company”).

     WHEREAS the last day of Thomas’s employment with the Company was June 18, 2008;

     WHEREAS the parties desire to effect a final settlement and compromise of all of the issues
and claims related in any way to Thomas’s employment with the Company and/or the separation of his
employment with the Company;

     NOW THEREFORE, in consideration of the mutual promises and covenants set forth in this
Agreement, being good and valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, Thomas and the Company hereby agree as follows:

1. Severance Payments

     a. On the eighth day following the effective date of this Agreement, Thomas shall be paid
severance pay in the total amount of One Millions Dollars ($1,000,000.00).

     b. The Company further agrees to pay directly to the health care provider, on a monthly basis,
the COBRA premiums for Thomas’s continuation of medical and dental coverage through October 31,
2010. Should Thomas become covered by another insurance plan prior to October 31, 2010 and wish to
cancel his participation in the Company’s medical and/or dental insurance program, Thomas will
notify in writing Janeen B. Kastner, Vice President – Corporate Benefits & Risk Management, the
date on which he wishes coverage to cease.

     c. This Agreement shall not affect Thomas’s rights under any Company plan or benefit as to
which Thomas is already vested. Benefits under those plans will be governed by the plan documents.
Except as otherwise provided herein, Thomas’s participation in all other Company benefit plans and
programs, including the 2004 Omnibus Equity and Incentive Plan has terminated in accordance with
their terms.

     d. The Severance Payments to Thomas are not an entitlement and serve as
consideration for the releases and obligations imposed upon Thomas under this Agreement.

2. Waiver of Reinstatement with the Company

     Thomas permanently waives any right to reinstatement, re-employment or re-hire with the
Company or any of its operating companies. Thomas agrees not to apply for employment with the
Company or any of its operating companies in the future. Should Thomas make any attempt to obtain
such employment, the Company and its operating companies may disregard his application without
incurring any liability.

1

 

3. Complete Waiver and Release

     In consideration for the Company’s agreement to pay the Severance Payments to Thomas, and for
the other promises and benefits provided by the Company under this Agreement, Thomas hereby
releases, holds harmless, acquits and forever discharges the Company, and its predecessors,
successors, shareholders, operating companies, subsidiaries and affiliates, as now exist or may
heretofore be constituted, formed or acquired, and their past, present and future directors,
officers, employees, members, successors, representatives, insurers, agents and assigns, from any
and all claims, grievances, demands, actions, and lawsuits arising from or relating to, directly or
indirectly, Thomas’s employment with the Company and/or his separation from such employment. This
Waiver and Release specifically includes any claims or lawsuits arising under Title VII of the
Civil Rights Act of 1964, as amended, which prohibits discrimination in employment based on race,
color, national origin, religion or sex; the Age Discrimination in Employment Act, which prohibits
discrimination against individuals based upon their age; the Americans with Disabilities Act, as
amended, which prohibits discrimination against individuals with disabilities; Section 806 of the
Corporate and Criminal Fraud Accountability Act of 2002 (Sarbanes-Oxley Act of 2002); Ohio state
law, specifically including but not limited to the Chapter 4112 of the Ohio Revised Code which
prohibits discrimination in employment; any claims for attorneys’ fees or other costs and expenses;
or any other federal, state or local laws, regulations and/or ordinances that in any way relate to
the employment of individuals. This Waiver and Release also specifically includes any claims for
wrongful discharge, whether arising out of an express or implied contract, tort, unkempt promises,
or any other legal theory or basis, or public policy. Thomas also warrants and acknowledges that
he has been appropriately compensated for all hours worked under the Fair Labor Standards Act and
Ohio state law. Thomas further warrants and acknowledges that he has been properly granted any
leaves of absence to which he may have been entitled under the Family Medical Leave Act and Ohio
state law. Finally, Thomas warrants that he has submitted to the Company any and all eligible
business expenses he incurred during his employment, and that he has received from the Company all
monies owed to him as reimbursement for the business expenses he incurred. This Waiver and Release
covers both claims that Thomas knows about and those that he may not know about.

     The released claims shall not include any claims or rights which may arise after the date this
Agreement is signed.

4. No Future Lawsuits

     a. Thomas also promises never to file or cause to be filed, an action, claim, lawsuit, demand,
arbitration, or otherwise assert any claims against the Company asserting any of the claims
referenced in Paragraph 3 of this Agreement.

     b. While this waiver and promise not to sue does not prevent Thomas from initiating a
complaint or charge of discrimination with any state or federal agency, Thomas hereby forfeits

2

 

and waives his rights to receive monetary remedies or reinstatement as a result of any such
charge.

5. Company Property

     Thomas agrees that prior to receiving any benefits under this Agreement, he has returned to
the Company any and all Company property, equipment or information (including but not limited to
keys, security or access cards, computers, personal data assistants, phones, pagers, cameras,
Company issued credit cards (e.g. air travel, telephone, car rental etc.), files, computer stored
data, documents or other such Company property which came into Thomas’s possession, or which he
prepared or helped prepare, in connection with or during his employment with the Company. Thomas
will not disclose, transmit or retain any copies of such property or information and will not use
any such property or information to the detriment of the Company.

6. No Admission of Liability

     This Agreement does not constitute an admission of liability or wrongdoing on the part of the
Company.

7. Miscellaneous

     Neither the fact that the Company or Thomas has executed this Agreement, nor the substantive
terms set forth herein, shall be relied upon or cited by the Company or Thomas in any future
lawsuit or action, except an action to enforce the terms of this Agreement.

8. Confidentiality

     a. Thomas agrees to keep the terms of this Agreement confidential unless this Agreement is
otherwise disclosed publicly by the Company. Specifically, and unless otherwise required by law,
Thomas promises he will never reveal to the public or to any current and former employees of the
Company, or otherwise publicize, communicate or make public the terms of this Agreement. However,
Thomas may disclose the terms of this Agreement to his spouse, legal counsel, and/or financial
advisor, but only after he has obtained from such individuals their written agreement to maintain
the confidentiality of the terms of this Agreement. A copy of the written agreement to maintain
the confidentiality is attached to this Agreement as Exhibit A. Additionally, both Thomas and the
Company agree that this Agreement may be used as evidence in a possible lawsuit in which either
Thomas or the Company alleges the other party has broken promises made in this Agreement. Should
Thomas receive any legal request, notice or order to disclose the terms of this Agreement, Thomas
will immediately notify the General Counsel of the Company that Thomas has received such disclosure
demand so that the Company may timely take any legal action it considers necessary to stop such
disclosures.

     b. Except as necessary to file a complaint or charge with any federal or state agency,
Thomas also promises to refrain from commenting, publicly or privately (other than to his
immediate family) on the separation of his employment from the Company, except to the limited

3

 

extent necessary to obtain new employment. If inquiry is made by a prospective employer, Thomas
shall be permitted only to state that “the reason for his separation from the Company was due to
divergent opinions with management.” Thomas and the Company also specifically promise to refrain
from taking any action or making any statement which in any manner disparages or impugns the
reputation or goodwill of the other, including any of the released parties, to any third persons,
including any statement by Thomas that he was treated improperly or unlawfully in any manner during
the course of his employment with the Company. Thomas and the Company recognize that a violation
of this Paragraph constitutes a material breach of this Agreement. Thomas and the Company further
recognize that if either violates the provisions of this Paragraph, all of the other obligations
set forth in this Agreement shall otherwise remain in full force and effect, including Thomas’s
agreement to release all claims.

     c. Thomas further agrees not to disclose to any third party or to any non-authorized employee
or agent of the Company any Confidential Information he acquired during his employment with the
Company. “Confidential Information” shall mean information which is proprietary to the Company and
which may have been disclosed to Thomas as an employee or officer of the Company or known by him as
a result of his employment with the Company. Confidential Information includes the whole or any
portion or phase of any trade secrets, scientific or technical information, including formulas,
devices, methods, techniques, designs, procedures, inventions, improvements, discoveries,
processes, know-how, plans, or any business information or plans, audit reporting, financial, tax
or accounting information, litigation-related information, or listing of names, addresses, or
telephone numbers that derives independent economic value, actual or potential, including but not
limited to value to the Company from not being generally known to, and not being readily
ascertainable by proper means by other persons who can obtain economic value from its disclosure or
use; and is the subject of efforts that are reasonable under the circumstances to maintain its
secrecy; and further includes all information not generally known to the trade or industry in which
the Company and its affiliates are engaged about the products, processes, business plans, finances,
costs, marketing plans, customer and potential customer lists, machines, in-services, and includes
but is not limited to research, development, manufacturing, testing, purchasing, data processing,
engineering, marketing, merchandising, selling and servicing, and corresponding information about
the products, processes, business plans, marketing plans, customer lists, machines, and in-services
of the Company or any of its affiliates, that is acquired by, or made available to, Thomas during
his employment; and further includes all information received from the Company with the
understanding, express or implied, that such information will not be disclosed, including but not
limited to training, training manuals, training programs, employee data, or any other information
provided by the Company in relation to the services provided by the Company.

4

 

9. Inquiries by Third Parties

     If contacted by any prospective employers regarding Thomas’s employment or separation from
employment, the Company will state that it is Company policy to provide only dates of employment
and title of position.

10. Consequences of Thomas’s Violation of Promises

     a. If it is determined through arbitration that Thomas has broken the promises he made in
Paragraph 4 of this Agreement, he will pay for all costs incurred by the Company, including
reasonable attorneys’ fees, in defending against his claims. In addition, Thomas will have to
repay the Company the gross sum of money described in the Paragraph 1(a) of this Agreement. If
Thomas pursues a claim under the ADEA, a court has discretion to determine whether the Company is
entitled to restitution, recoupment or set off (hereinafter “reduction”) against any monetary award
obtained by Thomas in a court proceeding. A reduction never can exceed the amount Thomas recovers,
or the consideration Thomas received for signing this Agreement, whichever is less.

     b. If it is determined through arbitration that Thomas has broken the promises he made in
Paragraph 8(a) or (b) of this Agreement, Thomas acknowledges that calculation of the harm done to
the Company and resulting damages would be extremely difficult to determine. Therefore, Thomas
agrees that in the event that he breaks such promises as established at an arbitration pursuant to
Paragraph 12, Thomas will pay as liquidated damages the gross sum of money paid to him as described
in Paragraph 1(a) of this Agreement. The Company agrees that in the event the arbitration panel
determines he did not break such promises, then the Company shall pay all costs incurred by Thomas,
including reasonable attorneys’ fees, in defending against his claims.

11. Voluntary Agreement.

     Thomas acknowledges that he has carefully read this Agreement, understands all of its terms
including the full and final release of claims set forth above in Paragraph 3, and accepts all of
those terms. Thomas further acknowledges that he has voluntarily and without coercion or duress,
entered into this Agreement; that he has not relied upon any representation or statement, written
or oral, not set forth in this Agreement; that the only consideration for signing this Agreement is
set forth herein; that the consideration received for executing this Agreement is good and
sufficient consideration, greater than that to which he may otherwise be entitled; and that this
Agreement advises, encourages, and gives him the opportunity to consult with an attorney before
signing this Agreement. The language contained in this Agreement shall not be construed for or
against either party to this Agreement.

     In addition, Thomas acknowledges that he has been given at least 21 days to review and
consider the Agreement and that if he signs the Agreement before 21 days have passed, he does so of
his own free choice. Thomas further understands that any changes made to this Agreement whether
material or immaterial do not restart the 21-day consideration period.

5

 

     Further, Thomas acknowledges that he has a period of seven days, beginning on the day in which
he signs this Agreement, during which he may revoke his acceptance of the Agreement by submitting a
written statement to that effect to P. Kelly Tompkins, Executive Vice President and Chief
Administrative Officer, RPM International Inc., 2628 Pearl Road, Medina, Ohio 44256. Further,
Thomas understands that this Agreement will not become effective or enforceable until this
seven-day period has expired. Thomas understands that for such revocation to be effective, notice
must be received no later than the seventh calendar day after Thomas signs the Agreement.

12. Applicable Law

     This Agreement shall be governed by, interpreted under, and enforced in accordance with the
laws of the State of Ohio. Any dispute relating to this Agreement will be submitted for binding
arbitration under the auspices of the American Arbitration Association utilizing the Employment
Dispute Resolution Rules, which arbitration shall be conducted in Cleveland, Ohio.

11. Entirety of Agreement

     This Agreement contains the entire agreement between the parties hereto with respect to the
subject matter hereof. Thomas and the Company agree that if a court of competent jurisdiction
declares any provision invalid, such invalidation shall not affect the remaining provisions of this
Agreement, which shall remain in full force and effect. This Agreement supersedes all prior
discussions, negotiations and agreement between Thomas and the Company, except any agreement
relating to confidentiality of trade secrets or proprietary information, and may not be modified,
except in a writing signed by the parties affected hereby.

     ERNEST THOMAS ACKNOWLEDGES THAT THIS IS A RELEASE AND THAT HE IS RELINQUISHING ALL OF HIS
RIGHTS TO SUE.

     IN WITNESS WHEREOF, the undersigned have so agreed and execute this Agreement effective as of
the date and year indicated below.

	 	 	 	 	 	 	 
	 	 	   
	P. Kelly Tompkins, for

	 	Date
	 	Ernest T. Thomas
	 	Date
	For RPM International Inc.
	 	 	 	 	 	 

6

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00151-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00151-of-00352.parquet"}]]