Document:

exv10w24

 

Exhibit 10.24

SPLIT-DOLLAR AGREEMENT

     THIS AGREEMENT is made and entered into this 1st day of March, 1997 by and among Reliv
International, Inc., an Illinois corporation, with its principal offices and place of business at
136 Chesterfield Industrial Boulevard, Chesterfield, Missouri 63005 (hereinafter referred to as the
“Company”) and Steven D. Albright, an individual residing in Grover, Missouri (hereinafter referred
to as the “Executive”).

     WHEREAS, Executive is employed by the Company;

     WHEREAS, Executive wishes to provide life insurance protection for his family in the event of
his death, under a policy of life insurance insuring his life (hereinafter referred to as the
“Policy”), which is described in Exhibit A attached hereto, and which is being issued by The
Equitable Life Assurance Society of the United States (hereinafter referred to as the “Insurer”);

     WHEREAS, the Company is willing to pay premiums due on the Policy as an additional employment
benefit for Executive, on the terms and conditions set forth;

     WHEREAS, the Company is the owner of the Policy and, as such, possesses all of the incidents
of ownership of the policy; and,

     WHEREAS, the Company wishes to retain such ownership rights in order to secure the repayment
of the amounts which it will pay toward the premiums on the Policy.

     NOW, THEREFORE, in consideration of the premises and of the terms, covenants and conditions
hereinafter contained, the parties hereto agree as follows:

     1. Purchase of Policy. The Company has purchased the Policy from the Issuer in the total face
amount of $500,000. The parties hereto have taken all necessary action to cause the Insurer to
issue the Policy, and shall take any further action which may be necessary to cause the Policy to
conform to the provisions of this Agreement. The parties hereto agree that the Policy shall be
subject to the terms and conditions of this Agreement and of the endorsement to the Policy filed
with the Insurer.

     2. Ownership of the Policy. The Company shall be the sole and absolute owner of the Policy,
and may exercise all ownership rights granted to the owner thereof by the terms of the Policy,
except as my otherwise be provided herein.

     3. Election of Settlement Option and Beneficiary. The Executive may select the
settlement option for payment of the death benefit provided under the Policy and the beneficiary or
beneficiaries to receive the portion of the Policy proceeds to which the Executive is entitled
hereunder, by specifying the same in a written notice to the Company. Upon receipt of such notice,
the Company shall execute and deliver to the Insurer the forms necessary to elect the

 

 

requested settlement option and to designate the requested persons, persons or entity as the
beneficiary or beneficiaries to receive the death proceeds of the Policy in excess of the amount to
which the Company is entitled hereunder. The parties do agree to take all action necessary to
cause the beneficiary designation and settlement election provisions of the Policy to conform to
the provisions hereof. The Company shall not terminate, alter or amend such designation or
election without the express written consent of the Executive.

     4. Payment of Premiums. On or before the due date of each Policy premium, or within the grace
period provided therein, the Company shall pay the full amount of the premium to the Insurer, and
shall, upon request, promptly furnish to the Executive evidence of timely payment of such premium.
The Company annually shall furnish to the Executive a statement of the amount of income reportable
by the Executive for federal and state income tax purposes as a result of the insurance protection
provided.

     5. Designation of Policy Beneficiary/Endorsement. Contemporaneously with the execution of
this Agreement, the Company has executed a beneficiary designation for and/or an endorsement to the
Policy, under the form used by the Insurer for such designations, in order to secure the
Corporation’s recovery of the amount of the premiums on the Policy paid by the Corporation
hereunder. Such beneficiary designation or endorsement shall not be terminated, altered or amended
by the Company without the express written consent of the Executive. The parties hereto agree to
take all actions necessary to cause such beneficiary designation or endorsement to conform to the
provisions of this Agreement.

     6. Limitations on Company’s Rights in Policy. Except as otherwise provided herein, the
Company shall not sell, assign, transfer, surrender or cancel the Policy, change the beneficiary
designation provision thereof, or terminate the dividend election thereof without, in any such
case, the express written consent of the Executive.

     7. Policy Loans. The Company may pledge or assign the Policy, subject to the terms and
conditions of this Agreement, for the sole purpose of securing a loan from the Insurer or from a
third party. The amount of such loan, including accumulated interest thereon shall not exceed the
lesser of (i) the amount of the premiums on the Policy paid by the Company hereunder or (ii) the
cash surrender value of the Policy (as defined herein) as of the date to which premiums have been
paid. Interest charges on such loan shall be paid by the Company. If the Company so encumbers the
Policy, other than by a policy loan from the Insurer, then, upon death of the Executive or upon
election of the Executive hereunder to purchase the Policy from the Company, the Company shall take
all action necessary to secure the release or discharge of such encumbrance.

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     8. Collection of Death Proceeds.

     8.1 Upon the death of the Executive, the Company shall cooperate with the
beneficiary or beneficiaries designated by the Executive to take whatever action is
necessary to collect the death benefit provided under the Policy; when such benefit has been
collected and paid as provided herein, this Agreement shall thereupon terminate.

     8.2 Upon the death of the Executive, the Company shall have the unqualified right to
receive a portion of such death benefit equal to the greater of (i) one-third thereof or
(ii) the greater of the total amount of premiums paid by it hereunder or the then cash
surrender value of the policy, such amount reduced by the amount, if any, of indebtedness
against the Policy existing at the date of the death of the Executive (including any
interest due on such indebtedness). The balance of the death benefit provided under the
Policy, if any, shall be paid directly to the beneficiary or beneficiaries designated by the
Company at the direction of the Executive, in the manner and in the amount or amounts
provided in the beneficiary designation provisions of the Policy. In no event shall the
amount payable to the Company hereunder exceed the Policy proceeds payable at the death of
the Executive. No amount shall be paid from such death benefit to the beneficiary or
beneficiaries designated by the Company at the direction of the Executive until the full
amount due the Company hereunder has been paid. The parties hereto agree that the
beneficiary designation provision of the Policy shall conform to the provisions hereof.

     8.3 Notwithstanding any provision hereof to the contrary, in the event that, for any
reason whatsoever, no death benefit is payable under the Policy upon the death of the
Executive and in lieu thereof the Insurer refunds all or any part of the premiums paid for
the Policy, the Company and the Executive’s beneficiary or beneficiaries shall have the
unqualified right to share such premiums based on their respective cumulative contributions
thereto.

     9. Termination of Agreement During Executive’s Lifetime.

     9.1 This Agreement shall terminate during the Executive’s lifetime, without notice,
upon the occurrence of any of the following events: (a) a total cessation of the Company’s
business, (b) bankruptcy, receivership or dissolution of the Company or (c) termination of
the Executive’s full-time employment by the Company (other than by reason of his death).

     9.2 In addition, the Executive may terminate this Agreement at any time by written
notice to the Company, such termination to be effective as of the date such notice is given.

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10. Disposition of Policy on Termination of Agreement During Executive’s Lifetime.

     10.1 For sixty (60) days after the date of the termination of this Agreement
during Executive’s lifetime, the Executive shall have the assignable option to purchase the
Policy from the Company. The purchase price for the Policy shall be the greater of the
total amount of the premium payments made by the Company hereunder or the then cash
surrender value of the Policy, less any indebtedness secured by the Policy which remains
outstanding as of the date of such termination, including interest on such indebtedness.
Upon receipt of such amount, the Company shall transfer all of its right, title and interest
in and to the Policy to the Executive, or his assignee, by the execution and delivery of an
appropriate instrument of transfer.

     10.2 If the Executive or his assignee fails to exercise such option with such sixty
(60) day period, then the Company may enforce its right to be repaid for the premiums which
it paid hereunder by surrendering or canceling the Policy for its cash surrender value, or
it may change the beneficiary designation provisions of the Policy, naming itself or any
other person or entity as revocable beneficiary thereof, or exercise any other ownership
rights in and to the Policy, without regard to the provisions hereof. Thereafter, neither
the Executive, his assignee nor their heirs, assigns or beneficiaries shall have any further
interest in or to the Policy, either under the terms thereof or under this Agreement.

     11. Insurer Not a Party. The Insurer shall be fully discharged from its obligations under the
Policy by payment of the death benefit to the beneficiary or beneficiaries named in the Policy,
subject to the terms and conditions of the Policy. In no event shall the Insurer be considered a
party to this Agreement, or any modification or amendment hereof. No provision of this Agreement,
nor of any modification or amendment hereof, shall in any way be construed as enlarging, changing,
varying or in any other way affecting the obligations of the Insurer as expressly provided in the
Policy, except insofar as the provisions hereof are made a part of the Policy by the beneficiary
designation executed by the Company and filed with the Insurer in connection herewith.

     12. Assignment by Executive. Notwithstanding any provision hereof to the contrary, the
Executive shall have the right absolutely and irrevocably to assign by gift all of his right, title
an interest in and to this Agreement and to the Policy to an assignee. This right shall be
exercisable by the execution and delivery to the Company of a written assignment, in substantially
the form attached hereto as Exhibit B, which by this reference is made a part hereof. Upon receipt
of such written assignment executed by the Executive and duly accepted by the assignee thereof, the
Company shall consent thereto in writing, and shall thereafter treat the Executive’s assignee as
the sole owner of all of the Executive’s right, title and interest in and to this Agreement and in
and to the Policy. Thereafter, the Executive shall have no right, title or

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interest in or to this Agreement or the Policy, all such rights being vested in and
exercisable only by such assignee.

     13. Named Fiduciary, Determination of Benefits, Claims Procedure and Administration.

     13.1 The Company is hereby designated as the named fiduciary under this
Agreement. The named fiduciary shall have the authority to control and manage the operation
and administration of this Agreement, and it shall be responsible for establishing and
carrying out a funding policy and method consistent with the objectives of this Agreement.

     13.2 (1) Claim.

     A person who believes that he or she is being denied a benefit to which he or she is
entitled under this Agreement (hereinafter referred to as “Claimant”) may file a written
request for such benefit with the Company, setting forth his or her claim. The request must
be addressed to the President of the Company at its then principal place of business.

     (2) Claim Decision.

     Upon receipt of a claim, the Company shall advise the Claimant that a reply will be
forthcoming within ninety (90) days and shall, in fact, deliver such reply within such
period. The Company may, however, extend the reply period for an additional ninety (90)
days for reasonable cause.

     If the claim is denied in whole or in part, the Company shall adopt a written opinion,
using language calculated to be understood by the Claimant, setting forth: (a) the specific
reason or reasons for such denial; (b) the specific reference to pertinent provisions of
this Agreement on which such denial is based; (c) a description of any additional material
or information necessary for the Claimant to perfect his or her claim and an explanation why
such material or such information is necessary; (d) appropriate information as to the steps
to be taken if the Claimant wishes to submit the claim for review; and (e) the time limits
for requesting a review under subsection (3) and for review under subsection (4) hereof.

     (3) Request for Review.

     Within sixty (60) days after the receipt by the Claimant of the written opinion
described above, the Claimant may request in writing that the Secretary of the Company
review the determination of the Company. Such request must be addressed to the Secretary of
the Corporation, at its then principal place of business. The Claimant or his

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or her duly authorized representative may, but need not, review the pertinent documents
and submit issues and comments in writing for consideration by the Company. If the Claimant
does not request a review of the Company’s determination by the Secretary of the Company
within such sixty (60) day period, he or she shall be barred and estopped from challenging
the Company’s determination.

     (4) Review of Decision.

     Within sixty (60) days after the Secretary’s receipt of a request for review, he or she
will review the Company’s determination. After considering all materials presented by the
Claimant, the Secretary will render a written opinion, written in a manner calculated to be
understood by the Claimant, setting forth the specific reasons for the decision and
containing specific references to the pertinent provisions of this Agreement on which the
decision is based. If special circumstances require that the sixty (60) day time period be
extended, the Secretary will so notify the Claimant and will render the decision as soon as
possible, but no later than one hundred twenty (120) days after receipt of the request for
review.

     14. Amendment. This Agreement may not be amended, altered or modified, except by a written
instrument signed by the parties hereto, or their respective successors or assigns, and may not be
otherwise terminated except as provided herein.

     15. Notices.

     15.1 Any notice, demand, consent, service or other communication required or permitted
to be given under this Agreement shall be in writing and addressed to the party at its
address stated below:

	 	 	 	 	 	 	 
	 

	 	If to the Company
	 	 	 	President
	 

	 	 	 	 	 	Reliv International, Inc.
	 

	 	 	 	 	 	136 Chesterfield Industrial Boulevard
	 

	 	 	 	 	 	Chesterfield, MO 63005
	 
	 	 	 	 	 	 
	 	 	If to Executive	 	At his address as shown on the books of the Company

Any party may change the address to which notices to it shall be sent hereunder by giving a
proper notice of such change of address to the other party hereunder.

     15.2 Notices may be delivered by hand, registered mail, or fax and shall be deemed to
have been received as follows:

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     15.2.1 If delivered by hand, at the time of delivery to a responsible person at
the address for the party;

     15.2.2 If sent by fax, at the time of confirmation of transmission provided a
confirmation copy is sent by airmail or registered mail within twenty-four hours
after the transmission; or,

     15.2.3 If sent by registered mail, at the time of delivery or at the
time of attempted delivery in the case delivery cannot be completed due to no fault
of the sender.

If the time of such deemed receipt as provided above is not during the customary business
hours of the party, the notice shall be deemed to have been received at 10:00 a.m. at the
place of delivery on the first customary day of business thereafter.

     16. Binding Effect. This Agreement shall be binding upon, and shall inure to the benefit of,
the parties hereto and their respective successors in interest and, to the extent permitted herein,
their assigns.

     17. Severability. Whenever possible, each provision of this Agreement shall be interpreted in
such manner as to be effective and valid under applicable law. If any paragraph of this Agreement
shall be unenforceable or invalid under applicable law, such provision shall be ineffective only to
the extent and duration of such unenforceability or invalidity and the remaining substance of such
provision and the remaining paragraphs of this Agreement shall in such event continue to be binding
and in full force and effect.

     18. Waivers. Nor failure by a party to exercise any of such party’s rights hereunder or to
insist upon strict compliance with respect to any obligation hereunder, and no custom or practice
of the parties at variance with the terms hereof, shall constitute a waiver by any party to demand
exact compliance with the terms hereof. Waiver by any party of any particular default by any other
party shall not affect or impair such party’s rights in respect to any subsequent default of the
same or of a different nature, nor shall any delay or omission of any party to exercise any right
arising from any default by any other party affect or impair such party’s rights as to such default
or any subsequent default.

     19. Entire Agreement. This Agreement constitutes the entire agreement among the parties
hereto with respect to the subject matter hereof and supersedes all prior written or oral
negotiations, representations, inducements, understandings, commitments, contracts or agreements.

     20. Governing Law. This Agreement shall be governed by, and shall be construed and enforced
in all respects in accordance with, the laws of the State of Missouri.

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

	 	 	 	 	 
	 	 	RELIV INTERNATIONAL, INC.
	 
	 	 	 	 
	 

	 	By
	 	/s/ Robert L. Montgomery
	 

	 	 	 	 
	 

	 	 	 	    Authorized Officer
	 
	 	 	 	 
	 	 	/s/ Steven D. Albright
	 	 	 
	 	 	Steven D. Albright

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EXHIBIT A

The following life insurance policy is subject to the attached Split-Dollar Agreement

	 	 	 
	Insurer

	 	The Equitable Life Insurance Assurance Society of the United States
	 
	 	 
	Insured

	 	Steven D. Albright
	 
	 	 
	Policy Number
	 	 
	 
	 	 
	Face Amount

	 	          $500,000
	 
	 	 
	Date of Issue
	 	 

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EXHIBIT B

IRREVOCABLE ASSIGNMENT OF SPLIT-DOLLAR AGREEMENT

THIS AGREEMENT, dated this               
       day of                                         , 19                    ,

WITNESSETH THAT:

WHEREAS, the undersigned (the “Assignor”) is the Employee party to that certain Split-Dollar
Agreement (the “Agreement”), dated as of                                         , by and between
the undersigned and Reliv International, Inc. (the “Corporation”), which Agreement confers upon the
undersigned certain rights and benefits with regard to one or more policies of insurance insuring
the Assignor’s life; and

WHEREAS, pursuant to the provisions of said Agreement, the Assignor retained the right, exercisable
by the execution and delivery to the Corporation of a written form of assignment, to absolutely and
irrevocably assign all of the Assignor’s right, title and interest in and to said Agreement to an
assignee; and

WHEREAS, the Assignor desires to exercise said right;

NOW, THEREFORE, the Assignor, without consideration, and intending to make a gift, hereby
absolutely and irrevocably assigns, gives, grants and transfers to                                         , (the “Assignee”) all of the Assignor’s right, title and interest in and to the
Agreement and said policies of insurance, intending that, from and after this date, the Agreement
be solely between the Corporation and the Assignee and that hereafter the Assignor shall neither
have nor retain any right, title or interest therein.

Assignor

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ACCEPTANCE OF ASSIGNMENT

     The undersigned Assignee hereby accepts the above assignment of all right, title and interest
of the Assignor therein and to the Agreement, by and between such Assignor and the Corporation, and
the undersigned hereby agrees to be bound by all of the terms and conditions of said Agreement, as
if the original employee party thereto.

Assignee

Dated:

11exv10w25

 

Exhibit 10.25

SALARY CONTINUATION PLAN AGREEMENT

     THIS AGREEMENT is made and entered into this 1st day of March, 1997 by and among Reliv
International, Inc., an Illinois corporation (hereinafter referred to as the “Company”) and Robert
S. Montgomery, and individual residing in Chesterfield, Missouri (“Executive”)

     WHEREAS, the Executive is employed by the Company and is a key executive of the Company;

     WHEREAS, the Company recognizes the significant value to the Company of the continued services
of Executive to the Company and wishes to encourage his continued employment;

     WHEREAS, the Executive wishes to be assured that he will be entitled to a certain amount of
compensation for a definite period of time from and after his retirement from active service with
the Company or that his family will be entitled to such compensation from and after his death
either while in the employ of the Company or within ten years of his retirement from the service of
the Corporation;

     WHEREAS, the parties hereto wish to provide the terms and conditions upon which the Company
shall pay such additional compensation to the Executive after his retirement or to his family after
his death.

     NOW, THEREFORE, in consideration of the premises and of the terms, covenants and conditions
hereinafter contained, the parties hereto agree as follows:

	1.	 	Definitions.

     1.1 “Cause” shall mean and include (a) any cause for termination pursuant to an employment
agreement among Executive and the Company or (b) if there shall be no employment agreement among
Executive and the Company in effect:

	 	(1)	 	Any failure by Executive to perform his duties,
responsibilities or obligations as an employee of the Company in a faithful and
diligent manner or with reasonable care and the failure by Executive to cure
such failure within 10 days after notice thereof shall have been given to
Executive by the Company; or
	 
	 	(2)	 	Commission by Executive of any material act of dishonesty as an
employee of the Company or of disloyalty to the Company, or of any

 

	 	 	 	wrongful or
unauthorized appropriation, taking or misuse of funds, property or business
opportunities of the Company.

     1.2 “Eligible Termination” shall mean and include the termination of Executive’s
employment by the Company (a) prior to the Eligibility Date by act of the Company without cause,
(b) after the Eligibility Date for any reason other than termination of Executive’s employment by
the Company for cause, including without limitation, (I) the retirement of Executive by written
notice to the Company, (ii) the death of Executive or (iii) the termination of Executive’s
employment by the Company without cause.

     1.3 “Eligibility Date” shall mean the date on which Executive shall have attained the age of
fifty-five (55) and shall have been employed by the Company on a full time basis for a continuous
period of fifteen (15) years.

     1.4 “Commencement Date” shall mean (i) if Executive’s employment by the Company shall have
terminated prior to the Eligibility Date, the first day of the month immediately following the
Eligibility Date or (ii) if Executive’s employment by the Company shall terminate after the
Eligibility Date, the first day of the month immediately following the date of such termination.

	2.	 	Salary Continuation Payments.

     2.1 In the event of the termination of Executive’s employment by the Company and subject to
the terms and conditions hereof and the condition that the termination of Executive’s employment by
the Company shall be an Eligible Termination, the Company agrees that, commencing on the
Commencement Date and on the first day of each month thereafter for a total of 120 months, the
Company shall pay to Executive as additional and deferred compensation the amount set forth on
Exhibit A hereto.

     2.2 Subject to and on the terms and conditions provided herein, the Company agrees that, in
the event of the Executive’s death after the date of his Retirement but prior to the expiration of
120 months after the Commencement Date, the Company will continue to make the payments provided for
in paragraph 1.1 hereof for the remainder of such 120 month period to the Executive’s then living
designated beneficiary, if any, for his or her life; if no beneficiary has been designated, or
after the death of such beneficiary, then such payments shall be made to the then living children
of Executive, if any, in equal shares, for their joint and survivor lives; and, if none, or after
their respective joint and survivor lives, any balance thereof to the Estate of the Executive.

3. Requirement of Continued Employment and Service. The obligation of the Company to make the
payments provided for herein shall be subject to the requirements and prior conditions that:

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     3.1 Executive shall remain in the employment with the Company from the date hereof to
the date of Retirement; provided, however, that this condition shall not apply to any termination
of Executive’s employment with the Company by action of the Company without cause. If Executive’s
employment with the Company is terminated prior to the date of Retirement for any reason other than
termination by the Company without cause (including without limitation termination by the Company
for cause, termination by act of the Executive or death of the Executive), this Agreement shall
thereupon terminate and the Company shall have no further obligation hereunder.

     3.2 Executive shall, so long as he remains in the full-time employment with the Company,
devote substantially all of his time, skill, diligence and attention to the business of the Company
and will not actively engage, either directly or indirectly, in any business or other activity
which is or may be deemed to be in any way competitive with or adverse to the best interests of the
Company.

	4.	 	Post-Retirement Covenants.

     4.1 Executive covenants and agrees that, as consideration for the agreements of the Company
contained herein and as a condition to the performance by the Company of its obligations hereunder,
for a two year period from and after the termination of his employment with the Company for any
reason other than his death while in the employ of the Company, and for the entire time that
Executive shall be entitled to receive any benefits hereunder after the date of his Retirement, he
will not, without the express prior written consent of the Company, engage in, become interested,
directly or indirectly, as a sole proprietor, partner, more than 5% shareholder, nor become
associated with, in the capacity of an employee, distributor, director, officer, principal, agent
or in any other capacity whatsoever, any enterprise conducting business in any country in which the
Company, or its affiliates, shall conduct business, which enterprise is, or may be deemed to be,
competitive with any business carried on by the Company as of the date of the termination of
Executive’s employment or his Retirement.

     4.2 In the event of any breach by Executive of the covenants contained in this paragraph, the
Board of Directors of the Company shall direct that any unpaid balance of any payments to the
Executive under this Agreement be suspended, and shall thereupon notify the Executive of such
suspension, in writing. If the Board of Directors of the Company shall determine that said breach
by the Executive has continued for a period of one month following the notification of such
suspension, all rights of Executive and his beneficiaries under this Agreement, including rights to
further payments hereunder, shall thereupon terminate.

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	5.	 	No Employment Contract or Trust; Insurance

     5.1 Nothing contained herein shall be construed to be a contract of employment for any term of
years, no as conferring upon Executive the right to continue in the employ of the Company in his
present capacity, or in any other capacity. It is expressly understood by the parties that this
Agreement relates exclusively to additional compensation for Executive’s services, which
compensation is payable after his Retirement from active service with the Company, and is not
intended to be an employment contract.

     5.2 Nothing contained in this Agreement, and no action taken pursuant to the provisions hereof
by either party hereto, shall create, nor be construed to create, a trust of any kind, or a
fiduciary relationship between the Company and the Executive, his designated beneficiary, other
beneficiaries of the Executive or any other person.

     5.3 The payments to Executive or his designated beneficiary or any other beneficiary hereunder
shall be made from assets which shall continue for all purposes to be a part of the general assets
of the Company and no person shall have, by virtue of the provisions of this Agreement, any
interest in such assets. To the extent that any person acquires the right to receive payments from
the Company under the provisions hereof, such right shall be no greater than the right of any
unsecured general creditor of the Company.

     5.4 In the event that, in its sole discretion, the Company shall purchase or maintain an
insurance policy or policies insuring the life of the Executive to allow the Company to recover the
cost of providing the benefits, in whole or in part, hereunder, neither the Executive, his
designated beneficiary nor any other beneficiary shall have any rights whatsoever therein; the
Company shall be the sole owner and beneficiary of any such policy or policies and shall possess
and may exercise all incidents of ownership therein.

6. No Assignment. Neither the Executive, his designated beneficiary nor any other beneficiary
under this Agreement shall have any power or right to transfer, assign, anticipate, hypothecate or
otherwise encumber any part or all of the amounts payable by the Company hereunder, nor shall such
amounts be subject to seizure by an creditor of any such beneficiary, by a proceeding at law or in
equity, and no such benefit shall be transferable by operation of law in the event of the
bankruptcy, insolvency or death of Executive, his spouse, his designated beneficiary or any other
beneficiary hereunder. Any such attempted assignment or transfer shall be void and shall terminate
this Agreement, and the Company shall have no further liability hereunder.

	7.	 	Named Fiduciary.

     7.1 The Company is hereby designated as the named fiduciary under this Agreement. The named
fiduciary shall have the authority to control and manage the operation and

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administration of this Agreement, and it shall be responsible for establishing and carrying out a funding policy and
method consistent with the objectives of this Agreement.

     7.2 The Company shall make all determinations as to rights to benefits under this Agreement.
Any decision by the Company denying a claim by the Executive or his beneficiary for benefits under
this Agreement shall be stated in writing and delivered or mailed to the Executive or such
beneficiary. Such decision shall set forth the specific reasons for the denial, written to the
best of the Company’s ability in a manner that may be understood without legal or actuarial
counsel. In addition, the Company shall afford a reasonable opportunity to the Executive or such
beneficiary for a full and fair review of the decision denying the claim.

     7.3 Subject to the foregoing, the Board of Directors of the Company shall have the full power
and authority to interpret, construe and administer this Agreement. The interpretation and
administration of this Agreement by the Board of Directors of the Company, and any action taken
hereunder, shall be binding and conclusive upon all parties in interest. No member of the Board of
Directors of the Company shall, in any event, be liable to any person for any action taken or
omitted to be taken in connection with the interpretation, construction or administration of this
Agreement, so long as such action or omission to act is made in good faith.

	8.	 	Notices.

     8.1 Any notice, demand, consent, service or other communication required or permitted to be
given under this Agreement shall be in writing and addressed to the party at its address stated
below:

	 	 	 	 	 
	 

	 	If to the Company
	 	Reliv International, Inc.

136 Chesterfield Industrial Boulevard

Chesterfield, MO
	 
	 	 	 	 
	 

	 	If to Executive
	 	At the Executive’s address
on the records of the Company

Any party may change the address to which notices to it shall be sent hereunder by giving a
proper notice of such change of address to the other party hereunder.

     8.2 Notices may be delivered by hand, registered mail, or fax and shall be deemed to have been
received as follows:

     8.2.1 If delivered by hand, at the time of delivery to a responsible person at the
address for the party;

     8.2.2 If sent by fax, at the time of confirmation of transmission provided a

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confirmation copy is sent by mail or registered mail within twenty-four hours after the
transmission; or,

     8.2.3 If sent by registered mail, at the time of delivery or at the time of attempted
delivery in the case delivery cannot be completed due to no fault of the sender.

If the time of such deemed receipt as provided above is not during the customary business
hours of the party, the notice shall be deemed to have been received at 10:00 a.m. at the
place of delivery on the first customary day of business thereafter.

9. Binding Effect. This Agreement shall be binding upon, and shall inure to the benefit of, the
parties hereto and their respective successors in interest and, to the extent permitted herein,
their assigns.

10. Severability. Whenever possible, each provision of this Agreement shall be interpreted in such
manner as to be effective and valid under applicable law. If any paragraph of this Agreement shall
be unenforceable or invalid under applicable law, such provision shall be ineffective only to the
extent and duration of such unenforceability or invalidity and the remaining substance of such
provision and the remaining paragraphs of this Agreement shall in such event continue to be binding
and in full force and effect.

11. Waivers. Nor failure by a party to exercise any of such party’s rights hereunder or to insist
upon strict compliance with respect to any obligation hereunder, and no custom or practice of the
parties at variance with the terms hereof, shall constitute a waiver by any party to demand exact
compliance with the terms hereof. Waiver by any party of any particular default by any other party
shall not affect or impair such party’s rights in respect to any subsequent default of the same or
of a different nature, nor shall any delay or omission of any party to exercise any right arising
from any default by any other party affect or impair such party’s rights as to such default or any
subsequent default.

12. Entire Agreement. This Agreement constitutes the entire agreement among the parties hereto
with respect to the subject matter hereof and supersedes all prior written or oral negotiations,
representations, inducements, understandings, commitments, contracts or agreements. This Agreement
may not be amended or modified except by a written instrument signed by the parties hereto.

13. Governing Law. This Agreement shall be governed by, and shall be construed and enforced in all
respects in accordance with, the laws of the State of Illinois.

6

 

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

	 	 	 	 	 	 	 
	 

	 	 	 	 	 	 
	 	 	RELIV INTERNATIONAL, INC.	 	 
	 
	 	 	 	 	 	 
	 

	 	By
	 	/s/ David G. Kreher	 	 
	 

	 	 	 	 

	 	 
	 
	 	 	 	 	 	 
	 	 	/s/ Robert S. Montgomery	 	 
	 	 	 	 	 
	 	 	Robert S. Montgomery	 	 

7

 

SALARY CONTINUATION PLAN AGREEMENT

EXHIBIT A

	S.	 	MONTGOMERY

	 	 	 	 	 
	AGE AT DATE OF	 	 
	ELIGIBLE TERMINATION	 	MONTHLY PAYMENTS
	          55
	 	$	4,454	 
	          56
	 	$	4,966	 
	          57
	 	$	5,536	 
	          58
	 	$	6,170	 
	          59
	 	$	6,876	 
	          60
	 	$	7,662	 
	          61
	 	$	8,535	 
	          62
	 	$	9,503	 
	          63
	 	$	10,534	 
	          64
	 	$	11,677	 
	          65
	 	$	12,944	 

8

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00099-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00099-of-00352.parquet"}]]