Document:

Exhibit
10.2

Sonus Networks, Inc.

7 Technology Park
Drive, Westford, MA 01886

August 31, 2007

Richard J. Gaynor

Dear Rick:

I am pleased to provide you with the terms and
conditions of our offer of employment to you by Sonus Networks, Inc. (the “Company”).

1.                                       Position.  Your position will be Chief Financial
Officer, reporting to the President and CEO. 
In addition to all Financial Accounting matters, you will also have
responsibility at your Start Date (as defined below) for the Company’s Human
Resources and Information Systems organizations.  As the Company’s organization evolves, the
Human Resources/Information Systems departments may report to someone else, and
you may be assigned other Executive duties and responsibilities as the Company
may determine.

As a full-time
employee of the Company, you will be expected to devote your full business time
and energies to the business and affairs of the Company, however, you may serve
as the member of the Board of Directors of up to two other companies provided
that neither competes with the Company and provided that your service does not
impair your ability to meet your commitments as a Chief Financial Officer of
the Company.

2.                                       Starting
Date/Nature of Relationship.  The
Parties shall agree to a start date which shall be as soon as practicable. No
provision of this letter shall be construed to create an express or implied
employment contract for a specific period of time.  Employment at Sonus Networks, Inc. is
considered “at will” and either you or the Company may terminate the employment
relationship at any time and for any reason.

3.                                       Compensation.

(a)                                 Your initial salary will be at the rate
of $11,250.00 paid twice monthly, annualized at $270,000.00. You will be eligible to participate in the Officer Bonus
Program for 2007 with a non-discretionary target of 60% of annual base salary
(your “On Target Bonus”).    For the first
year of employment, your 2007 On Target Bonus will be pro-rated for the number
of days in 2007 that you are employed with the Company and will be paid when
bonuses for 2007 are paid in the ordinary course.  Payment of your 2007 pro-rated On Target
Bonus will be guaranteed. Specific objectives will be agreed upon within the
first ninety (90) days of your employment.

(b)                                You will be granted an option to purchase 350,000 shares of
common stock under the Company’s Stock Plan, subject to the terms of the Plan
and approval of the Compensation Committee. 
The options shall vest and become exercisable (i) with respect to 25% of
the Shares on the first anniversary of the date that Optionee’s employment with
the Company commences (Start Date) and, (ii) with respect to the remaining 75%
of the Shares, in equal monthly increments of 2.0833% of the Shares thereafter
through the fourth anniversary of the date of employment.  You will also be granted 35,000 shares of restricted
stock under the Company’s Stock Plan, subject to the

terms of the Plan and approval
of the Compensation Committee. 
Restricted stock shall vest over a four-year period; 25% will vest on
the first anniversary of the date the Optionee’s start date.  The remaining 75% of the shares shall vest
semi-annually thereafter.

4.                                       Employment
Eligibility.  In compliance with the
Immigration Reform and Control Act of 1986, you are required to establish your
identity and employment eligibility. 
Therefore, on your first day of employment you will be required to fill
out an Employment Verification Form and present documents in accordance with
this form.

5.                                       Benefits.  You will be entitled as an employee of the Company
to receive such benefits as are generally provided its employees in accordance
with Company policy as in effect from time to time.  Company benefits include group health, life
and dental insurance, and liberal holidays, vacation and 401K programs.  All employees begin accruing three (3) weeks
of vacation upon date of hire.  The
Company is committed to providing a healthy work environment for every
employee.  Therefore, we provide a smoke
free environment and require all employees to comply.

The Company retains the right to change, add or cease
any particular benefit.

6.                                       Confidentiality.  The Company considers the protection of its
confidential information, proprietary materials and goodwill to be very
important.  Therefore, as a condition of
your employment and the stock option and restricted stock grants described
above, you and the Company will become parties to a Non-competition and
Confidentiality Agreement.  Two copies of
this agreement are sent with this offer letter. Both copies must be signed and
returned to the Company prior to the first day of employment.

7.                                       Indemnity.  As an executive of the Company, you will
enter into an Indemnity Agreement with the Company.  Two copies of this agreement are sent with
this offer letter. Both copies must be signed and returned to the Company upon
your employment.

8.                                       Termination
and Eligibility for Severance.   Your employment with the Company
shall be on an at-will basis, which means that either you or the Company may
terminate the employment relationship at any time and for any or no
reason.  You shall not be eligible to
receive the severance payments and benefits described in this Section in the
event that (i) your employment is terminated by the Company for Cause (as
defined below) or due to your death or disability, or (ii) you resign from
employment, regardless of the reason(s) for such resignation.

In the event that
the Company terminates your employment following an Acquisition (as defined
below) for any reason other than Cause (as defined below) or if you are not
offered an equivalent position in the combined entity, and subject to your full
execution without revocation of a comprehensive release of claims against the
Company in a form and scope acceptable to the Company, you will be eligible to
receive the following severance and related post-termination benefits:

(a)                                  12
months salary continuation payments at your then annual base salary for the 12
month period following the termination of your employment;

(b)                                 12
months health benefits continuation for the 12 month period following the
termination of your employment;

(c)                                  100%
of all unvested options and restricted stock described in Section 3(b) above
shall immediately become vested and exercisable, subject to your serving
through the Transition Period (as defined below). After the closing of the
Acquisition, if requested by the Company’s Board or the Acquirer, you agree to
remain employed by the Company or the Acquirer for a six-month transition
period (“the Transition Period”) provided a senior executive position is
offered to you on at least a transitional basis.

“Acquisition”
means any (i) merger or consolidation which results in the voting securities of
the Company outstanding immediately prior thereto representing immediately
thereafter less than a majority of the combined, voting securities of the
Company or Acquirer outstanding immediately after such merger or consolidation,
(ii) sale of all or substantially all of the assets or operating businesses of
the Company or (iii) sale of outstanding shares of capital stock of the
Company, in a single transaction or series of related transactions,
representing at least 70% of the voting power of the voting securities of the
Company.

Termination for “Cause”
shall mean (i) your continued failure to perform substantially your duties with
the Company or an Acquirer (if applicable), (ii) engaging in illegal conduct or
misconduct, (iii) engaging in conduct which is materially injurious to the
Company, or (iv) a willful violation of any written agreement between you and
the Company, including, without limitation, this Agreement and the
Noncompetition And Confidentiality Agreement.

The following rules shall
apply with respect to distribution of the payments, if any, to be provided to
you under Section 8:

(i)                                     It is intended
that each installment of the payments and benefits provided under Section 7
shall be treated as a separate “payment” for purposes of Section 409A of the
U.S. Internal Revenue Code of 1986, as amended, and the guidance issued
thereunder (“Section 409A”).  Neither the
Company nor you shall have the right to accelerate or defer the delivery of any
such payments or benefits except to the extent specifically permitted or
required by Section 409A;

(ii)                                  If, as of the date
your “separation from service” with the Company, you are not a “specified
employee” (each within the meaning of Section 409A), then each installment of
the payments and benefits shall be made on the dates and terms set forth in
Section 7; and

(iii)                               If, as of the date of
your “separation from service” with the Company, you are a “specified employee”
(each, for purposes of this Agreement, within the meaning of Section 409A),
then:

(A) Each installment of the payments due
under Section 8 that, in accordance with the dates and terms set forth herein,
will in all circumstances, regardless of when the separation from service
occurs, be paid within the Short-Term Deferral Period (as hereinafter defined)
shall be treated as a short-term deferral within the meaning of Treasury
Regulation Section 1.409A-1(b)(4) to the maximum extent permissible under
Section 409A.  For purposes of this
Agreement, the “Short-Term Deferral Period” means the period ending on the
later of the 15th day of the third month following the end of the tax year in
which your separation from service occurs and the 15th day of the third month
following the end of the Company’s tax year in which your separation from
service occurs; and

(B) Each installment of the payments due
under Section 8 that is not paid within the Short-Term Deferral Period and that
would, absent this subsection, be paid within the six-month period following
your “separation from service” with the Company shall not be paid until the
date that is six months and one day after such separation from service (or, if
earlier, your death), with any such installments that are required to be
delayed being accumulated during the six-month period and paid in a lump sum on
the date that is six months and one day following your separation from service
and any subsequent installments, if any, being paid in accordance with the
dates and terms set forth herein; provided, however, that the preceding
provisions of this sentence shall not apply to any installment of payments if
and to the maximum extent that that such installment is deemed to be paid under
a separation pay plan that does not provide for a

deferral of compensation by reason of the
application of Treasury Regulation 1.409A-1(b)(9)(iii) (relating to separation
pay upon an involuntary separation from service).  Any installments that qualify for the
exception under Treasury Regulation Section 1.409A-1(b)(9)(iii) must be paid no
later than the last day of the second taxable year of following the taxable
year of in which your separation from service occurs.

9.                                       Section
409A of the Code.   This Agreement is
intended to comply with the provisions of Section 409A and the Agreement shall,
to the extent practicable, be construed in accordance therewith.  Terms defined in the Agreement shall have the
meanings given such terms under Section 409A if and to the extent required in
order to comply with Section 409A. 
Notwithstanding the foregoing, to the extent that the Agreement or any
payment or benefit hereunder shall be deemed not to comply with Section 409A,
then neither the Company, the Board of Directors nor its or their designees or
agents shall be liable to you or any other person for any actions, decisions or
determinations made in good faith.

10.                                 General.

(a)          This
letter will constitute our entire agreement as to your employment by the
Company and will supersede any  prior
agreements or understandings, whether in writing or oral.

(b)         This letter shall be
governed by the law of the Commonwealth of Massachusetts.

(c)          Sonus Networks is an
equal opportunity employer.

You may accept this offer of employment and the terms
and conditions thereof by confirming your acceptance in writing by August 31,
2007.  Please send your letter to the
company, or via e-mail kharris@sonusnet.com which execution will evidence your
agreement with the terms and conditions set forth herein and therein.  We are enthusiastic about you joining us, and
believe that our technical and business goals will provide every opportunity
for you to achieve your personal and professional objectives.

I am looking forward to your joining the team to help
us take Sonus to the next level.

 

	
  Very truly yours,

  	
   

  
	
   

  	
   

  
	
  /s/ Hassan Ahmed

  	
   

  
	
  Hassan Ahmed

  	
   

  
	
  President and
  CEO

  	
   

  

 

Accepted by:

 

	
  /s/ Richard
  Gaynor

  	
   

  	
  August 31, 2007

  	
   

  
	
  Richard Gaynor

  	
   

  	
  Date

  

 

NONCOMPETITION
AND CONFIDENTIALITY AGREEMENT

This Agreement is made
between Sonus Networks, Inc., a Delaware corporation (hereinafter referred to
collectively with its subsidiaries as the “Company”), and Richard J. Gaynor (the
“Employee”)

In consideration
of the employment and/or continued employment of the Employee by the Company,
the Employee and the Company hereby agree as follows:

1.                                       Non-competition.

While the Employee is
employed by the Company and for a period of six months after the termination or
cessation of such employment for any reason, the Employee will not directly or
indirectly:

(a)                                  As
an individual proprietor, partner, stockholder, officer, employee, director,
joint venture, investor, lender, consultant, or in any other capacity whatsoever
(other than as the holder of not more than one percent of the combined voting
power of the outstanding stock of a publicly held company), develop, design,
produce, market or sell (or assist any other person in developing, designing,
producing, marketing or selling) products or services competitive with those
developed, designed, produced, marketed or sold by the Company while the
Employee was employed by the Company; or,

(b)                                 Recruit,
solicit or hire any employee of the Company, or induce or attempt to induce any
employee of the Company to terminate his/her employment with, or otherwise
cease his/her relationship with, the Company.

Notwithstanding the foregoing, in the event of the
acquisition of all or substantially all of the business and or assets of the
Company, this Agreement may be assigned to the acquirer (as provided in Section
6(c)) and, following such acquisition, the Employee’s continuing obligation not
to compete shall be limited to the line of business of the Company prior to the
acquisition which is continued after the acquisition.  The scope of such covenant shall not be
expanded to include other lines of business, products or services of the entity
surviving such acquisition, and if the Company’s line of business is terminated
following such acquisition, this covenant shall terminate.

2.                                      Proprietary Information.

(a)                                  The
Employee agrees that all information, whether or not in writing, of a private,
secret or confidential nature concerning the Company’s business, business
relationships or financial affairs (collectively, “Proprietary Information”) is
and shall be the exclusive property of the Company.  By way of illustration, but not limitation,
Proprietary Information may include inventions, products, processes, methods,
techniques, formulas, compositions, compounds, projects, developments, plans,
research data, clinical data, financial data, personnel data, computer
programs, customer and supplier lists, and contacts at or knowledge of
customers or prospective customers of the Company. The Employee will not
disclose any Proprietary Information to any person or entity other than
employees of the Company or use the same for any purpose (other than in the
performance of his/her duties as an employee of the Company) without written
approval by an officer of the Company, either during or after his/her
employment with the Company, unless and until such Proprietary Information has
become public knowledge without fault by the Employee.

(b)                                 The Employee agrees that all files,
letters, memoranda, reports, records, data, sketches, drawings, laboratory
notebooks, program listings, or other written, photographic, or other tangible
material containing Proprietary Information, whether created by the Employee or
others, which shall come into his/her custody or possession, shall be and are
the exclusive property of the Company to be used by the Employee only in the
performance of his/her duties for the Company. 
All such materials or copies thereof and all tangible property of the
Company in the custody or possession of the Employee shall be delivered to the
Company, upon the earlier of (i) a request

by the Company or (ii) termination of his/her
employment. After such delivery, the Employee shall not retain any such
materials or copies thereof or any such tangible property.

(c) The Employee agrees that his/her obligation not to
disclose or to use information and materials of the types set forth in
paragraphs (a) and (b) above, and his/her obligation to return materials and
tangible property, set forth in paragraph (b) above, also extends to such types
of information, materials and tangible property of customers of the Company or
suppliers to the Company or other third parties who may have disclosed or
entrusted the same to the Company or to the Employee.

3.                                      Developments.

(a)                                  The
Employee will make full and prompt disclosure to the Company of all inventions,
improvements, discoveries, methods, developments, software, and works of
authorship, whether patentable or not, which are created, made, conceived or
reduced to practice by him/her or under his/her direction or jointly with
others during his/her employment by the Company, whether or not during normal
working hours or on the premises of the Company (all of which are collectively
referred to in this Agreement as “Developments”).

(b)                                 The
Employee agrees to assign and does hereby assign to the Company (or any person
or entity designated by the Company) all his/her right, title and interest in
and to all Developments and all related patents, patent applications, copyrights
and copyright applications. However, Section 3 shall not apply to developments
which do not relate to the present or planned business or research and
development of the Company and which are made and conceived by the Employee not
during normal Working hours, not on the Company’s premises and not using the
Company’s tools, devices, equipment or Proprietary Information.  The Employee understands that, to the extent
this Agreement shall be construed in accordance with the laws of any state
which precludes a requirement in an employee agreement to assign certain
classes of inventions made by an employee, this Section 3 shall be interpreted
not to apply to any invention which a court rules and/or the Company agrees
falls within such classes.  The Employee
also hereby waives all claims to moral rights in any Developments.

(c)                                  The
Employee agrees to cooperate fully with the Company, both during and after
his/her employment with the Company, with respect to the procurement,
maintenance and enforcement of copyrights, patents and other intellectual
property rights (both in the United States and foreign countries) relating to
Developments.  The Employee shall sign
all papers, including without limitation, copyright applications, patent
applications, declarations, oaths, formal assignments, assignments of priority
rights, and powers of attorney, which the Company may deem necessary or
desirable in order to protect its rights and interests in any Development.  The Employee further agrees that if the
Company is unable, after reasonable effort, to secure the signature of the
Employee on any such papers, any executive officer of the Company shall be
entitled to execute any such papers as the agent and the attorney-in-fact of
the Employee, and the Employee hereby irrevocably designates and appoints each
executive officer of the Company as his/her agent and attorney-in-fact to
execute any such papers on his/her behalf, and to take any and all actions as
the Company may deem necessary or desirable in order to protect its rights and
interests in any Development, under the conditions described in this sentence.

4.                                      Other Agreements;

The Employee hereby represents that, except
as the Employee has disclosed in writing to the Company, the Employee is not
bound by the terms of any agreement with any previous employer or other party
to refrain from using or disclosing any trade secret or confidential or
proprietary information in the course of his/her employment with the Company or
to refrain from competing, directly or indirectly, with the business of such
previous employer or any other party. 
The Employee further represents that his/her performance of all the
terms of this Agreement and as an employee of the Company does not and will not
breach any agreement to keep in confidence proprietary information, knowledge
or data acquired by the Employee in confidence or in trust

prior to his/her employment with the
Company, and the Employee will not disclose to the Company or induce the
Company to use any confidential or proprietary information or in material
belonging to any previous employer or others.

5.                                      United States Government Obligations.

The Employee acknowledges that the Company
from time to time may have agreements with the other persons or with the United
States Government, or agencies thereof, which impose obligations or
restrictions on the Company regarding inventions made during the course of work
under such agreements or regarding the confidential nature of such work.  The Employee agrees to be bound by all such
obligations and restrictions, which are made known to the Employee and to, take
all action necessary to discharge the obligations of the Company under such
agreements.

6.                                      Miscellaneous.

(a)                                  Conflict. The Employee represents
that the execution and performance by him/her of this Agreement does not and
will not conflict with or breach the terms of any other agreement by which the
Employee is bound

(b)                                 Not Employment Contract. The
employee acknowledges that this agreement does not constitute a contract of
employment and does not imply that the Company will continue his/her employment
for any period of time.

(c)                                  Interpretation If any restriction
set forth in this Agreement is found by any court of competent jurisdiction to
be unenforceable because it extends for too long a period of time or over too
great a range of activities or in too broad a geographic area, it shall be
interpreted to extend only over the maximum period of time, range of activities
or geographic area as to which it may be enforceable.

(d)                                 Severability.  The invalidity or unenforceability of any
provision of this Agreement shall not affect the validity or enforceability of
any other provision of this Agreement.

(e)                                  Waiver of Rights.  No delay or omission by the Company in
exercising any right under this Agreement will operate as a waiver of that or
any other right.  A waiver or consent
given by the Company on any one occasion is effective only in that instance and
will not be construed as a bar to or waiver of any right on any other occasion.

(f)                                    Equitable Remedies. The
restrictions contained in this Agreement are necessary for the protection of
the business and goodwill of the Company and are considered by the Employee to
be reasonable for such purpose.  The
Employee agrees that any breach of this Agreement is likely to cause the
Company substantial and irrevocable damage and therefore, in the event of any
such breach, the Employee agrees that the Company, in addition to such other
remedies, which may be available, shall be entitled to specific performance and
other injunctive relief.

(g)                                 Assignability. This Agreement will
be binding upon the Employee’s heirs, executors and administrators and will
inure to the benefit of the Company and its successors and assigns.  The Company may assign this Agreement to any
other corporation or entity which acquires (whether by purchase, merger,
consolidation or otherwise) all or substantially all of the business and/or
assets of the Company.  The Employee
consents to be bound by the provisions of this Agreement for the benefit of the
Company or any subsidiary or affiliate thereof to whose employ the Employee may
be transferred without the necessity that this Agreement be resigned at the
time of such transfer.

(h)                                 Entire Agreement. This Agreement
supersedes all prior agreements, written or oral, between the Employee and the
Company relating to the subject matter of this Agreement.  This Agreement may not be modified, changed
or discharged in whole or in part, except by an agreement in writing signed by
the Employee and the Company.  The
Employee agrees that any change or changes in his/her duties, salary or
compensation after the signing of this Agreement shall not affect the validity
or scope of this Agreement.

(i)                                     Governing Law. This Agreement is
governed by and will be construed as a sealed instrument under and in
accordance with the laws of the Commonwealth of Massachusetts.  Any action, suit, or other legal proceeding
which is commenced to resolve any matter arising under or relating to any
provision of this Agreement shall be commenced only in a court of the
Commonwealth of Massachusetts (or, if appropriate, a federal court located
within Massachusetts), and the Company and the Employee each consents to the
jurisdiction of such a court.

THE EMPLOYEE ACKNOWLEDGES
THAT HE/SHE HAS CAREFULLY READ THIS AGREEMENT AND UNDERSTANDS AND AGREES TO ALL
OF THE PROVISIONS IN THIS AGREEMENT.

	
  

  	
   

  	
  SONUS NETWORKS, INC

  
	
   

  	
   

  	
   

  
	
  Date:

  	
  August 31, 2007

  	
   

  	
   

  	
  By:

  	
  /s/ Hassan
  Ahmed      

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  President and
  Chief Executive Officer

  	
   

  
	
   

  	
   

  	
  (Print
  name and title)         

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  Date: 

  	
  August 31, 2007

  	
   

  	
   

  	
  By:

  	
  /s/ Richard J.
  Gaynor   

  	
   

  
	
   

  	
   

  	
  Employee: Richard J.
  GaynorExhibit 10.37

Description
of Indemnification Rights

The Company has
agreed to indemnify certain current and former directors, officers and
employees of the Company and its subsidiary Marvell Semiconductor, Inc. for
reasonable costs and expenses incurred by such individuals in connection with
certain civil actions and governmental investigations relating to the Company’s
past stock option granting practices. The Company’s agreement to pay reasonable
fees and costs is subject to each individual’s agreement to reimburse the
Company in the event that it is subsequently determined that the individual is
not entitled to indemnification under the Company’s bye-laws or applicable law.

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