Document:

exv10w2

EXHIBIT 10.2

GOODWILL PROTECTION AGREEMENT

               THIS GOODWILL PROTECTION AGREEMENT is made effective the 2nd day of June, 2008, among
APOTHECARYRX, LLC, an Oklahoma limited liability company (the “Buyer”) and EDWARD FOX, an
individual (“Fox”), SIMPSON GOLD, an individual (“Gold”), LAWRENCE HORWITZ, an individual
(“Horwitz”), and STEVEN FEINERMAN, an individual (“Feinerman” and together with Fox, Gold and
Horwitz, jointly and severally, the “Sellers”).

W I T N E S S E T H:

               WHEREAS, pursuant to that certain Pharmacy Purchase Agreement dated effective May 2, 2008,
(the “Purchase Agreement”) among the Buyer, the Sellers and Parkway Drugs, Inc., an Illinois
corporation, Rehn-Huerbinger Drug Co., an Illinois corporation, 666 Drug Company, an Illinois
corporation, and Wilmette-Huerbinger Drug Co., an Illinois corporation (collectively, the
“Companies”), the Buyer purchased the pharmacy businesses described at Exhibit “A” attached as a
part hereof (together, the “Business”) for a sum in excess of $5,000,000.00;

               WHEREAS, the Sellers are the Shareholders of the Companies as set forth at Exhibit “A” hereto
and have operated the Business for numerous years during which time the Sellers have built a strong
patronage which is the predicate on which the Business is based; and

               WHEREAS, to induce the Buyer to perform the Purchase Agreement and to protect the goodwill
purchased by the Buyer in the Business, the Sellers have agreed to execute, deliver and perform
this Goodwill Protection Agreement.

               NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the parties agree as follows:

	1.	 	Noncompetition Covenant. The Sellers agree as follows:

	 	1.1.	 	For the five (5) year period beginning on the date of this Goodwill Protection
Agreement, the Sellers agree that the Sellers, the Sellers’ affiliates and any person
receiving a portion of the Purchase Price under the Purchase Agreement will not
undertake any plan, program or effort designed or intended to, directly or indirectly,
contract or provide, solicit or offer to prepare, dispense or sell at retail any
pharmacy, prescription or over the counter drugs or pharmaceuticals (the “Pharmacy
Services”) to any person and the family members of any person, or any entity and the
affiliates of any entity, who acquired Pharmacy Services within the past five (5) years
from the Business (the Customers”).
	 
	 	1.2.	 	For the five (5) year period beginning on the date of this Goodwill Protection
Agreement, the Sellers agree that the Sellers, the Sellers’ parents, subsidiaries,
affiliates and shareholders and any person receiving a portion of the Purchase

			
	 	 	 
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	 	 	 	Price under the Purchase Agreement will not, directly or indirectly, conduct any Pharmacy
Business within ten (10) miles of any location of the Business.

For purposes of this Goodwill Protection Agreement, the term “Pharmacy Business” means: owning,
managing, operating, controlling, engaging in or being connected with as a partner, investor,
stockholder, creditor, guarantor, advisor, employee, independent contractor or consultant, the
business of offering, soliciting, conducting or providing Pharmacy Services. Notwithstanding the
foregoing, the Sellers’ employment with the Buyer will not violate the terms of this Agreement, and
Fox’s and Simpson’s owning or operating of a Pharmacy Business or conducting Pharmacy Services at
any of the following locations (the “Clinics”) will not violate paragraph 1.1 or 1.2 of this
Agreement provided that none of the Customers are solicited outside of the Clinics: (a) the Mount
Sinai Hospital clinic at 15th Street and California Avenue in Chicago, Illinois; (b) Sinai Touhy
Pharmacy, 2907 W. Touhy, Chicago, Illinois, 60645, and (c) Hamlin Pharmacy, 3800 W. Madison St.,
Chicago, Illinois, 60624. The locations of the Clinics may not change without the written consent
of the Buyer. It is further agreed that assistance rendered by any of the Sellers to any of the
Companies pursuant to the performance of a certain Transition Agreement (as defined in such
Purchase Agreement) will not be deemed a breach of this Agreement.

2. Separate Covenants. This Goodwill Protection Agreement will be deemed to consist of a
series of separate covenants independent from any provision of the Purchase Agreement. The Sellers
expressly agree that the character, duration and geographical scope of this Goodwill Protection
Agreement are reasonable in light of the circumstances as existing on the date of this Goodwill
Protection Agreement. However, should a determination nonetheless be made by a court of competent
jurisdiction at a later date that the character, duration or geographical scope of this Goodwill
Protection Agreement is unreasonable in light of the circumstances as then existing or existing at
the execution of this Goodwill Protection Agreement, then it is the intention and the agreement of
the Sellers and the Buyer that this Goodwill Protection Agreement be construed by the court and
given effect in such a manner as to impose only the restrictions on the conduct of the Sellers
which are reasonable in light of the circumstances as then existing and as are necessary to assure
the Buyer of the intended benefit of this Goodwill Protection Agreement. If, in any judicial
proceeding, a court refuses to enforce all of the separate covenants deemed included herein
because, taken together such covenants are more extensive than necessary to assure the Buyer of the
intended benefit of this Goodwill Protection Agreement, it is expressly understood and agreed
between the parties that those covenants not to be enforced in such proceeding will, for the
purpose of such proceeding, be deemed eliminated from the provisions hereof.

3. Periodic Payments. As additional consideration for the Sellers’ execution, delivery and
performance of this Goodwill Protection Agreement, the Buyer agrees to pay to each of the Sellers
sixty (60) monthly payments each in the amount of $1,666.67 allocated as follows: (a) $500.00 to
Fox; (b) $500.00 to Gold; (c) $342.64 to Horwitz; and (d) $324.03 to Feinerman; or in such other
amounts directed in a writing signed by all of the Sellers. The monthly payments will commence on
July 1, 2008, and be made on the 1st day of each month thereafter through and including June 1,
2013. Each such payment will be sent by regular mail to the addresses for
each Seller provided under Paragraph 6.1 of this Goodwill Protection Agreement or such other
address designated by the applicable Seller from time to time.

			
	 	 	 
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4. Default by Sellers. If the Sellers fail to perform any obligation contained in this
Goodwill Protection Agreement, the Purchase Agreement or any instrument entered into in connection
therewith, the Buyer will serve written notice to the Sellers specifying the nature of such default
and demanding performance. If such default has not been cured within five (5) business days after
receipt of such default notice, the Buyer will be entitled to demand specific performance, suspend
performance of any obligation under this Goodwill Protection Agreement, or exercise all remedies
available at law or in equity. Given the nature of the Pharmacy Business, the parties acknowledge
and agree that the goodwill sold by the Sellers and purchased by the Buyer cannot be protected if
the provisions of this Goodwill Protection Agreement are not strictly enforced. Accordingly, the
parties acknowledge and agree that if there is a breach by the Sellers of the provisions of this
Goodwill Protection Agreement, money damages alone will not be adequate and the Buyer will be
entitled to an injunction restraining the Sellers from violating the provisions of this Goodwill
Protection Agreement. In addition to the foregoing and any other remedies available to the Buyer,
at law or in equity, in the event the Sellers are in default and the Buyer is diligently pursuing a
judicial remedy, the periods specified in paragraphs 1.1, 1.2 and 1.3 will be tolled until the
conclusion of the judicial action (the “Tolling Period”) and such periods will be automatically
extended by the number of days elapsed during the Tolling Period. The remedies provided by this
Goodwill Protection Agreement are cumulative and will not exclude any other remedy to which a party
might be entitled under this Goodwill Protection Agreement. In the event, a party elects to
selectively and successively enforce such party’s rights under this Goodwill Protection Agreement,
such action will not be deemed a waiver or discharge of any other remedy.

5. Default by Buyer. If the Buyer defaults in the payment under this Agreement, then the
Sellers’ obligations under this Agreement will immediately terminate without relieving the Buyer of
its payment obligation hereunder. Further, if Buyer defaults under the Promissory Note or the
Security Agreement, each as defined in the Purchase Agreement, then the Sellers’ obligations under
this Agreement will immediately terminate without relieving Buyer of its payment obligation
hereunder.

	6.	 	Miscellaneous. It is further agreed as follows:

	 	6.1.	 	Notices. Except as expressly provided herein, any notice, demand or
communication required or permitted to be given by any provision of this Goodwill
Protection Agreement will be in writing and will be deemed to have been given and
received when delivered personally or by telefacsimile, or on the date following the
day sent by overnight courier, or on the third (3rd) business day after the same is
sent by certified mail, postage and charges prepaid, directed to the following
addresses or to such other or additional addresses as any party might designate by
written notice to the other parties:

	 	 	 	 	 
	 

	 	To the Buyer:
	 	ApothecaryRx, LLC
	 

	 	 	 	C/o Mr. Lewis P. Zeidner, President
	 

	 	 	 	5500 Wayzata Boulevard, Suite 210
	 

	 	 	 	Golden Valley, Minnesota 55416
	 

	 	 	 	Fax: (763) 647-1137

			
	 	 	 
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	 	With a copy to:
	 	Michael Meleen, Esquire
	 

	 	 	 	Commercial Law Group, P.C.
	 

	 	 	 	700 Oklahoma Tower
	 

	 	 	 	210 Park Avenue
	 

	 	 	 	Oklahoma City, Oklahoma 73102
	 

	 	 	 	Fax: (405) 232-5553
	 
	 	 	 	 
	 

	 	To the Sellers:
	 	Edward Fox
	 

	 	 	 	1765 Orchid Ct.
	 

	 	 	 	Highland Park, Illinois 60035
	 

	 	 	 	Fax: (847) 673-2461
	 
	 	 	 	 
	 

	 	 	 	Simpson Gold
	 

	 	 	 	57 E. Delaware #3105
	 

	 	 	 	Chicago, Illinois 60611
	 
	 	 	 	 
	 

	 	 	 	Lawrence Horwitz
	 

	 	 	 	1500 Sheridan Road, #2D
	 

	 	 	 	Wilmette, Illinois 60091
	 
	 	 	 	 
	 

	 	 	 	Steven Feinerman
	 

	 	 	 	800 Croftridge
	 

	 	 	 	Highland Park, Illinois 60035
	 
	 	 	 	 
	 

	 	With a copy to:
	 	Terry L. Engel
	 

	 	 	 	Deutsch, Levy & Engel, Chartered
	 

	 	 	 	225 W. Washington Street, Suite. 1700
	 

	 	 	 	Chicago, Illinois 60606
	 

	 	 	 	Fax: (312) 346-1859

	 	6.2.	 	Severability. If any clause or provision of this Goodwill Protection
Agreement is illegal, invalid or unenforceable under any present or future law, the
remainder of this Goodwill Protection Agreement will not be affected thereby. It is
the intention of the parties that if any such provision is held to be illegal, invalid
or unenforceable, there will be added in lieu thereof a provision as similar in terms
to such provisions as is possible and to be legal, valid and enforceable.
	 
	 	6.3.	 	Entire Agreement. This Goodwill Protection Agreement, together with
the Purchase Agreement and the other instruments executed in connection therewith,
constitute the entire agreement between the parties with respect to the subject matter
hereof and there are no agreements, understandings, warranties or
representations except as set forth herein. Neither this Goodwill Protection
Agreement nor any of the provisions hereof can be changed, waived, discharged or
terminated except by an instrument signed by the party against whom enforcement of
the change, waiver, discharge or termination is sought.

			
	 	 	 
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	 	6.4.	 	Attorneys’ Fees. If any party institutes an action or proceeding
against any other party relating to the provisions of this Goodwill Protection
Agreement, the party to such action or proceeding which does not prevail will reimburse
the prevailing party therein for the reasonable expenses of attorneys’ fees and
disbursements incurred by the prevailing party as determined by Order of the Court.
	 
	 	6.5.	 	Waiver. Waiver of performance of any obligation or term contained in
this Goodwill Protection Agreement by any party, or waiver by one party of the other’s
default hereunder will not operate as a waiver of performance of any other obligation
or term of this Goodwill Protection Agreement or a future waiver of the same obligation
or a waiver of any future default.
	 
	 	6.6.	 	Assignment. The Buyer may assign all or any portion of its rights
hereunder to: (a) any other entity or person which at any time controls or is under
common control with the Buyer, or (b) any entity or person which acquires all or any
portion of the Business.
	 
	 	6.7.	 	Governing Law. This Goodwill Protection Agreement will be interpreted,
construed and enforced in accordance with the laws of the State of Illinois, regardless
of any applicable principles of conflicts of law.
	 
	 	6.8.	 	Consent to Jurisdiction. Any suit, action or other proceeding seeking
to enforce any provision of, or based on any matter arising out of or in connection
with, this Agreement or the transactions contemplated hereby may be brought in any
court of competent jurisdiction in Chicago, Illinois, or the United States District
Court sitting in Chicago, Illinois, and each of the Parties hereby consents to the
jurisdiction of such courts (and of the related appellate courts) in any such suit,
action or proceeding and irrevocably waives, to the full extent permitted by law, any
objection which it may now or hereafter have to the laying of the venue of any such
suit, action or proceeding in any such court or that any such suit, action or
proceeding which is brought in any such court has been brought in an inconvenient
forum. Process in any such suit, action or jurisdiction of any such proceeding may be
serviced on Party anywhere in the world, whether within or without the jurisdiction of
any such court.

[Signature Pages Follow]

			
	 	 	 
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SIGNATURE PAGE TO GOODWILL PROTECTION AGREEMENT

     IN WITNESS WHEREOF, this Agreement has been executed by the parties effective the date first
above written.

	 	 	 	 	 
	 

	 	/S/ EDWARD FOX
	 	 
	 

	 	 	 	 
	 

	 	EDWARD FOX, individually	 	 
	 
	 	 	 	 
	 

	 	/S/ SIMPSON GOLD	 	 
	 

	 	 	 	 
	 

	 	SIMPSON GOLD, individually	 	 
	 
	 	 	 	 
	 

	 	/S/ LAWRENCE HORWITZ	 	 
	 

	 	 	 	 
	 

	 	LAWRENCE HORWITZ, individually	 	 
	 
	 	 	 	 
	 

	 	/S/ STEVEN FEINERMAN	 	 
	 

	 	 	 	 
	 

	 	STEVEN FEINERMAN, individually	 	 
	 
	 	 	 	 
	 

	 	(together, the “Sellers”)	 	 

			
	 	 	 
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SIGNATURE PAGE TO GOODWILL PROTECTION AGREEMENT

     IN WITNESS WHEREOF, this Agreement has been executed by the parties effective the date first
above written.

	 	 	 	 	 
	 	APOTHECARYRX, LLC, an Oklahoma limited

liability company

 	 
	 	By  	/S/ LEWIS P. ZEIDNER
 	 
	 	 	Lewis P. Zeidner, President 	 
	 	 	 	 
	 

			
	 	 	 
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EXHIBIT 10.3

EMPLOYMENT AGREEMENT

               THIS AGREEMENT is made effective the 3rd day of June, 2008, between APOTHECARYRX, LLC, an
Oklahoma limited liability company (the “Company”) and LAWRENCE HORWITZ, an individual (the
“Pharmacist”).

W I T N E S S E T H :

               WHEREAS, the Company desires to retain the services of the Pharmacist and the Pharmacist
desires to make the Pharmacist’s services available to the Company.

               NOW THEREFORE, in consideration of the mutual promises herein contained, the Company and the
Pharmacist agree as follows:

1. Employment. The Company hereby employs the Pharmacist and the Pharmacist hereby accepts
employment subject to the terms and conditions contained in this Agreement. The Pharmacist is
engaged as an employee of the Company, and the Pharmacist and the Company do not intend to create a
joint venture, partnership or other relationship which might impose a fiduciary obligation on the
Pharmacist or the Company in the performance of this Agreement.

2. Pharmacist’s Duties. The Pharmacist is employed on a full-time basis. The Pharmacist
will use the Pharmacist’s best efforts and due diligence to achieve the most profitable operation
of the Company and the Company’s subsidiary corporations, partnerships and entities which is
consistent with developing and maintaining a quality business operation.

	 	2.1.	 	Specific Duties. Initially, the Pharmacist will serve as Pharmacist in
Charge of the Company’s pharmacy in Wilmette, Illinois, known as “Parkway Drugs.” The
Pharmacist will perform all of the services required to fully and faithfully execute
the positions to which the Pharmacist is appointed and such other services as may be
reasonably directed by the Pharmacist’s supervisor.
	 
	 	2.2.	 	Supervision. The services of the Pharmacist will be requested and
directed by Mr. James A. Cox, RPh, or such person as Mr. Cox or the President of the
Company may direct.

3. Other Activities. While employed by the Company pursuant to this Agreement, unless the
Pharmacist has obtained the prior written approval of the President of the Company, the Pharmacist
will not: (a) engage in business independent of the Pharmacist’s employment by the Company; (b)
serve as an officer, director, general partner or member in any corporation, partnership, limited
liability company or firm; or (c) directly, indirectly or through any Affiliate (as hereinafter
defined), invest in, participate in or acquire an interest in any Pharmacy Business (as hereinafter
defined). For purposes of this Agreement, the terms: (x) “Pharmacy Business” means owning,
managing, operating, controlling, engaging in or being connected as a partner, investor,
stockholder, creditor, guarantor, advisor, employee, independent contractor or consultant in the
business of selling pharmaceutical and over-the-counter drugs and related merchandise; (y)
“Affiliate” means as to any Person (as hereinafter defined), each other person

			
	 	 	 
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that directly or indirectly (through one [1] or more intermediaries) controls, is controlled by or
is under common control with such person; and (z) “Person” means an individual, corporation,
partnership, association, joint stock company, trust, associate (as defined in regulations
promulgated by the Securities Exchange Commission) or other legally recognizable entity. The
limitation in this paragraph 3 will not prohibit any investment by the Pharmacist in securities
which are listed on a public exchange or the National Association of Securities Dealers Automated
Quotation System and issued by a company, firm, corporation, partnership, trust or other entity
involved in the Pharmacy Business, provided that the Pharmacist, the Pharmacist’s family and
Affiliates own in the aggregate not more than five percent (5%) of the outstanding voting
securities of the entity.

4. Pharmacist’s Compensation. The Company agrees to compensate the Pharmacist as follows:

	 	4.1.	 	Base Salary. The Company will pay a salary (the “Salary”) to the
Pharmacist at the rate of $3,653.85 per bi-weekly pay period on the Company’s regular
pay days. This position is considered exempt from the overtime provisions of the Fair
Labor Standards Act.
	 
	 	4.2.	 	Benefits. The Company will provide the Pharmacist such paid vacation,
retirement benefits, reimbursement of reasonable expenditures for dues, travel and
entertainment and such other benefits as are customarily provided by the Company as set
forth in the Company’s benefits enrollment materials. The Company will also provide
the Pharmacist the opportunity to apply for coverage under the Company’s medical, life
and disability plans, if any. If the Pharmacist is accepted for coverage under such
plans, the Company will provide such coverage on the same terms as is customarily
provided by the Company to the plan participants as modified from time to time.
	 
	 	4.3.	 	Compensation Review. The compensation of the Pharmacist will be
reviewed not less frequently than annually by the Managers of the Company. The
compensation of the Pharmacist prescribed by paragraph 4 of this Agreement may be
increased, but not decreased, at the discretion of the Managers of the Company.
	 
	 	4.4.	 	Professional Liability Insurance. During the term of this Agreement,
the Company will provide and maintain pharmacist professional liability coverage
insuring Pharmacist at the Company’s expense in amounts and of the type customarily
maintained for pharmacists of the Company.

5. Term. The employment relationship evidenced by this Agreement is an at-will employment
relationship and each of the parties may terminate this Agreement at any time as provided below.
Unless earlier terminated pursuant to this paragraph 5, this Agreement will extend for a term of
one (1) year commencing on the date hereof. This Agreement will be
automatically renewed for successive one (1) year periods unless the Company or the Pharmacist
gives written notice of non-renewal at least thirty (30) days prior to the anniversary date of this
Agreement.

			
	 	 	 
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	 	5.1.	 	Termination by Company. The Company will have the following rights to
terminate this Agreement:

	 	5.1.1.	 	Termination without Cause. The Company may terminate this Agreement
without cause at any time by the service of written notice of termination to
the Pharmacist specifying an effective date of such termination not earlier
than thirty (30) days after the date of such notice. In the event the
Pharmacist is terminated without cause, the Company will not have any
obligation to provide any further payments or benefits to the Pharmacist after
the effective date of such termination except for payments and benefits earned
on or prior to such effective date of termination.
	 
	 	5.1.2.	 	Termination for Cause. The Company may terminate this Agreement for
cause if the Pharmacist commits malfeasance including, without limitation: (a)
misappropriating the property of the Company or committing any other act of
dishonesty; (b) engaging in personal misconduct which injures or could injure
the Company; (c) willfully violating any law or regulation relating to the
business of the Company; (d) willfully and repeatedly failing to perform the
Pharmacist’s duties hereunder; (e) willfully violating this Agreement; (f)
willfully violating the Goodwill Protection Agreement between the Company and
the Pharmacist of even date herewith (the “Goodwill Protection Agreement”); (g)
failing to maintain a valid and current license to practice as a pharmacist in
the State of Illinois; and (h) failing to maintain the ability to participate
as a Medicare/Medicaid Provider. In the event this Agreement is terminated for
cause, the Company will not have any obligation to provide any further payments
or benefits to the Pharmacist after the effective date of such termination
except for payments and benefits earned on or prior to such effective date of
termination.

	 	5.2.	 	Termination by Pharmacist. The Pharmacist may voluntarily terminate
this Agreement with or without cause by serving written notice of such termination to
the Company specifying an effective date of such termination not less than thirty (30)
days after the date of such notice. In the event this Agreement is terminated by the
Pharmacist, the Company will not have any obligation to provide any further payments or
benefits to the Pharmacist after the effective date of such termination except for
payments and benefits earned on or prior to such effective date of termination.
	 
	 	5.3.	 	Incapacity of Pharmacist. If the Pharmacist suffers from a physical or
mental condition which in the reasonable judgment of the Company’s Managers prevents
the Pharmacist from performing the duties specified herein for a period of three (3)
consecutive months, the Pharmacist may be terminated. Although the
termination will be deemed to be a termination with cause, the Pharmacist will
receive as termination compensation: (a) any benefits payable under any disability
plans under paragraph 4.2 of this Agreement; and (b) the benefits described in
paragraph 4.2 of this Agreement accrued through the effective date of such

			
	 	 	 
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	 	 	 	termination, as well as payments earned on or prior to such effective date of
termination.
	 
	 	5.4.	 	Death of Pharmacist. If the Pharmacist dies during the term of this
Agreement, this Agreement will automatically terminate on the day after death without
compensation to the Pharmacist’s estate except for payments earned through such
termination and the benefits described in paragraph 4.2 of this Agreement accrued
through the effective date of such termination.
	 
	 	5.5.	 	Effect of Termination. The termination of this Agreement will
terminate all obligations of the Pharmacist to render services on behalf of the Company
under this Agreement, provided that: (a) the Pharmacist will maintain the
confidentiality of all information acquired by the Pharmacist during the term of this
Agreement; and (b) the Pharmacist’s obligations under and the provisions of paragraphs
6, 7 and 8 of this Agreement will survive termination. The termination of this
Agreement will have no effect on the obligations of the Pharmacist under any other
agreement. Except as otherwise provided in paragraph 5 of this Agreement, no accrued
bonus, severance pay or other form of compensation will be payable by the Company to
the Pharmacist by reason of the termination of this Agreement. All keys, credit cards,
files, records, financial information, furniture, furnishings, equipment, supplies and
other items relating to the Company will remain the property of the Company. The
Pharmacist will have the right to retain and remove all personal property and effects
which are owned by the Pharmacist and located in the offices of the Company. All such
personal items will be removed from such offices no later than fourteen (14) days after
the effective date of termination, and the Company is hereby authorized to discard any
items remaining. Prior to the effective date of termination, the Pharmacist will
render such services to the Company as might be reasonably required to provide for the
orderly termination of the Pharmacist’s employment.

6. Confidentiality. The Pharmacist recognizes that the nature of the Pharmacist’s services
are such that the Pharmacist will have access to information which constitutes trade secrets, is of
a confidential nature, is of great value to the Company or is the foundation on which the business
of the Company is predicated. During the term of this Agreement and for a period of three (3)
years after the termination or expiration of this Agreement, the Pharmacist agrees not to disclose
to any person other than the Company’s Pharmacists or the Company’s legal counsel nor use for any
purpose, other than the performance of this Agreement, any information, data or material
(regardless of form) which is (the “Confidential Information”): (a) a trade secret; (b) provided,
disclosed or delivered to the Pharmacist by the Company, any officer, director, Pharmacist, agent,
attorney, accountant, consultant or other person or entity employed by the Company in any capacity,
any customer, borrower or business associate of the Company or any public authority having
jurisdiction over the Company of any business activity conducted by the Company; or (c) produced,
developed, obtained or prepared by or on behalf of the Pharmacist or
the Company (whether or not such information was developed in the performance of this Agreement)
with respect to the Company or any assets, Pharmacy Business prospects, business activities,
officers, directors, Pharmacists, borrowers or customers of the foregoing. Confidential
Information does not, however, include information which: (a) was in the public domain, as

			
	 	 	 
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evidenced by a printed publication of a date earlier than the date of disclosure, (b) becomes
available to a party on a non-confidential basis from a source which is not prohibited from
disclosing such information by an agreement with the disclosing party or by a legal, contractual,
or fiduciary obligation to the disclosing party, or (c) a party can show is already in the
possession of, or known to, that party prior to the time of any such disclosure. On request by the
Company, the Company will be entitled to a copy of the Confidential Information in the possession
of the Pharmacist. The Pharmacist also agrees that the provisions of this paragraph 6 will survive
the termination, expiration or cancellation of this Agreement and that on termination, expiration
or cancellation of this Agreement, the Pharmacist will deliver to the Company all originals and
copies of the information, data and material containing such information. For purposes of
paragraphs 6 and 7 of this Agreement, the term Company expressly includes any of the Company’s
affiliated corporations, partnerships or entities.

7. Proprietary Matters. The Pharmacist expressly understands and agrees that any and all
improvements, inventions, discoveries, processes or know-how that are generated or conceived by the
Pharmacist during the term of this Agreement, whether generated or conceived during the
Pharmacist’s regular working hours or otherwise, will be the sole and exclusive property of the
Company. Whenever requested by the Company (either during the term of this Agreement or
thereafter), the Pharmacist will assign or execute any and all applications, assignments and or
other instruments and do all things which the Company deems necessary or appropriate in order to
permit the Company to: (a) assign and convey or otherwise make available to the Company the sole
and exclusive right, title and interest in and to said improvements, inventions, discoveries,
processes, know-how, applications, patents, copyrights, trade names or trademarks; or (b) apply
for, obtain, maintain, enforce and defend patents, copyrights, trade names or trademarks of the
United States or of foreign countries for said improvements, inventions, discoveries, processes or
know-how. The Pharmacist further agrees that the provisions of this paragraph 7 will survive
termination, expiration or cancellation of this Agreement.

8. Non-Compete. For the period commencing on the effective date of this Agreement and
ending on the date which is one (1) year after the termination of the Pharmacist’s employment under
this Agreement for any reason, the Pharmacist will not directly or indirectly (as an individual,
Pharmacist, owner, director, consultant, agent or in any other capacity whatsoever):

	 	8.1.	 	In connection with any aspect of a Pharmacy Business, recruit, hire, assist
others in recruiting or hiring, discuss employment with or refer to others for
employment any person who at such time is or, during the twelve (12) months prior to
the termination of the Pharmacist’s employment, was an employee of the Company or any
of the Company’s Affiliates; or
	 
	 	8.2.	 	In connection with any aspect of a Pharmacy Business, solicit the customers,
acquisition prospects, suppliers, dealers, or independent salespersons of the Company
or any of the Company’s Affiliates or induce or attempt to induce any such customer,
acquisition prospect, supplier, dealer or independent salesperson
to discontinue their relationship with the Company or any of the Company’s
Affiliates.

			
	 	 	 
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	 	Page 5 of 9 Pages

 

 

It is understood and agreed that the scope of each of the covenants contained in this paragraph 8
is reasonable as to time, area and persons and is necessary to protect the legitimate business
interests of the Company. It is further agreed that such covenants will be regarded as divisible
and will be operative as to time, area and persons to the extent such provisions may be operative
under applicable law.

	9.	 	Miscellaneous. The parties further agree as follows:

	 	9.1.	 	Time. Time is of the essence of each provision of this Agreement.

	 	9.2.	 	Notices. Any notice, payment, demand or communication required or
permitted to be given by any provision of this Agreement will be in writing and will be
deemed to have been given when delivered personally or by telefacsimile to the party
designated to receive such notice, or on the date following the day sent by overnight
courier, or on the third (3rd) business day after the same is sent by certified mail,
postage and charges prepaid, directed to the following address or to such other or
additional addresses as any party might designate by written notice to the other party:

	 	 	 	 	 
	 

	 	To the Company:
	 	ApothecaryRx, LLC
	 

	 	 	 	C/o Mr. Lewis P. Zeidner, President
	 

	 	 	 	5500 Wayzata Boulevard, Suite 210
	 

	 	 	 	Golden Valley, Minnesota 55416
	 

	 	 	 	Fax: (763) 647-1137
	 
	 	 	 	 
	 

	 	To the Pharmacist:
	 	Lawrence Horwitz
	 

	 	 	 	1500 Sheridan Road, #2D
	 

	 	 	 	Wilmette, Illinois 60091

	 	9.3.	 	Assignment. Neither this Agreement nor any of the parties’ rights or
obligations hereunder can be transferred or assigned without the prior written consent
of the other parties to this Agreement.
	 
	 	9.4.	 	Construction. If any provision of this Agreement or the application
thereof to any Person or circumstances is determined, to any extent, to be invalid or
unenforceable, the remainder of this Agreement, or the application of such provision to
Persons or circumstances other than those as to which the same is held invalid or
unenforceable, will not be affected thereby, and each term and provision of this
Agreement will be valid and enforceable to the fullest extent permitted by law.
	 
	 	9.5.	 	Entire Agreement. This Agreement constitutes the entire agreement
between the parties hereto with respect to the subject matter herein contained, and no
modification hereof will be effective unless made by a supplemental written
agreement executed by all of the parties hereto.

			
	 	 	 
	Employment Agreement	 	 
	- Lawrence Horwitz
	 	Page 6 of 9 Pages

 

 

	 	9.6.	 	Binding Effect. This Agreement will be binding on the parties and
their respective successors, legal representatives and permitted assigns.
	 
	 	9.7.	 	Attorneys’ Fees. If any party institutes an action or proceeding
against any other party relating to the provisions of this Agreement or any default
hereunder, the unsuccessful party to such action or proceeding will reimburse the
successful party therein for the reasonable expenses of attorneys’ fees and
disbursements and litigation expenses incurred by the successful party, as determined
by order of court.
	 
	 	9.8.	 	Governing Law. This Agreement will be interpreted and enforced in
accordance with the laws of the State of Illinois, regardless of any applicable
principal of conflicts of law.
	 
	 	9.9.	 	Consent to Jurisdiction. Any suit, action or other proceeding seeking
to enforce any provision of, or based on any matter arising out of or in connection
with, this Agreement or the transactions contemplated hereby may be brought in any
court of competent jurisdiction in Chicago, Illinois, or the United States District
Court sitting in Chicago, Illinois, and each of the parties hereby consents to the
jurisdiction of such courts (and of the related appellate courts) in any such suit,
action or proceeding and irrevocably waives, to the full extent permitted by law, any
objection which it may now or hereafter have to the laying of the venue of any such
suit, action or proceeding in any such court or that any such suit, action or
proceeding which is brought in any such court has been brought in an inconvenient
forum. Process in any such suit, action or proceeding may be served on any party
anywhere in the world, whether within or without the jurisdiction of any such court.

[Signature Pages Follow]

			
	 	 	 
	Employment Agreement	 	 
	- Lawrence Horwitz
	 	Page 7 of 9 Pages

 

 

SIGNATURE PAGE TO EMPLOYMENT AGREEMENT

     IN WITNESS WHEREOF, this Agreement has been executed by the parties effective the date first
above written.

	 	 	 	 	 
	 	 	 
	 	  	                                                    /S/ LAWRENCE HORWITZ
 	 
	 	 	LAWRENCE HORWITZ, individually
 	 
	 	 	(the “Pharmacist”) 	 
	 

			
	 	 	 
	Employment Agreement	 	 
	- Lawrence Horwitz
	 	Page 8 of 9 Pages

 

 

SIGNATURE PAGE TO EMPLOYMENT AGREEMENT 

     IN WITNESS WHEREOF, this Agreement has been executed by the parties effective the date first
above written.

	 	 	 	 	 
	 	APOTHECARYRX, LLC, an Oklahoma limited

liability company

 	 
	 	By  	/S/ LEWIS P. ZEIDNER
 	 
	 	 	Lewis P. Zeidner, President
 	 
	 	 	(the “Company”) 	 
	 

			
	 	 	 
	Employment Agreement	 	 
	- Lawrence Horwitz
	 	Page 9 of 9 Pages

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