Document:

EXHIBIT 10.1

  

  

  

  

  

  
    
      SEPARATION AGREEMENT

      AND FULL AND FINAL RELEASE OF CLAIMS

    

    
      

      

    

    
      This Separation Agreement and Full and Final Release of Claims (“Agreement”) is entered into between BankProv (the “Bank”), Provident Bancorp, Inc. (the “Company”) and David P. Mansfield (“you” or “your”) (collectively, the “Parties”).

    

    
      

      

    

    
      Per our mutual understanding, your employment as President and Chief Executive Officer of the Bank and the Company will end on
        December 20, 2022.  You, the Bank and the Company desire to resolve all issues relating to the conclusion of your employment amicably and on mutually satisfactory terms.   To that end, and as additional compensation to you, the Bank and the Company
        are offering you a separation package in accordance with the terms of this Agreement.

    

    
      

      

    

    
      Upon your signature, this Agreement shall constitute the agreement between you, the Bank and the Company on the terms of your
        separation from employment as follows:

    

    
      

      

    

    
      1.  Employment
            Separation.  The last day of your employment with the Bank and the Company is and shall be December 20, 2022 (“Employment Separation Date”).  You will be paid on the next scheduled payroll date of December 22, 2022,
            your earned salary, less legally required withholdings. You agree that, upon receipt of this payment, you will have been paid all compensation due to you from the Bank and the Company, including all accrued but unused vacation or other paid
            time off, through the Employment Separation Date.  You further agree that, as of the Employment Separation Date, you will be deemed to have resigned, and shall have resigned, as a member of the Boards of Directors of the Bank and the Company. 
            Accordingly, as of the Employment Separation Date, you will and do hold no position with the Bank or the Company, as an employee, director, contractor or otherwise.

    

    
      

      

    

    
      2.  Cash
            Separation Payment.  Upon your timely execution of this Agreement and in exchange for your full compliance with this Agreement and  provided that you have met,
            and continue to meet, all of your obligations, agreements and undertakings set forth herein, the Bank agrees to pay you the gross amount of $1,488,286.00, less legally required withholdings (“Separation Pay”), payable in a lump sum on the next business day following the expiration of  the 7-day
            revocation period explained in Paragraphs 14 and 15 of this Agreement (the “Payment Date”), provided that in no event will the Payment Date be prior to January 1, 2023.

    

    
      

      

    

    
      3.  Insurance
            Coverage.  After the Employment Separation Date, you and your dependents shall remain eligible to participate in the nontaxable medical and dental insurance programs offered by the Bank to its employees for twenty-four (24) months from
          the Employment Separation Date.  The Bank will pay 100% of the cost of the health and medical dental premiums.  For the avoidance of doubt, to the extent possible, the separation of your employment shall not affect your continued participation in
          the existing medical and dental insurance programs offered by the Bank.  If the Bank cannot provide one or more of the benefits set forth in this Paragraph 3 because you are no longer an employee, applicable rules and regulations prohibit
          providing the benefits or the payment of the premiums in the manner contemplated, or it would subject the Bank to penalties, then the Bank will pay you a cash lump sum payment reasonably estimated to be equal to the value of the benefits or the
          value of the remaining benefits at the time of the determination.  In this event, the cash payment will be made on the Bank’s first payroll date

      
        1

        
          

      

      

      

    

    
      immediately following the 30th day after the later of: (i) the Employment Separation Date; or (ii) the determination that the benefits cannot be provided
        and after the 7-day revocation period explained in Paragraphs 14 and 15 of this Agreement expires without revocation.

    

    
      

      

      4.  No Future Compensation.  Other than the obligations of the Bank as set forth under the terms of Paragraphs 2 and
            3 of this Agreement, you represent and agree that (a) you are not entitled to any other wages, salary, bonuses, incentive compensation, benefits or any other compensation or reimbursements from the Bank or the Company, except for any of your
            vested benefits under (i) The Provident Bank 401(k) Plan (ii) The Provident Bank Employee Stock Ownership Plan and (iii) the Amended and Restated Supplemental Executive Retirement Plan  entered into between the Bank and yourself dated as of
            February 21, 2015, and as amended as of December 17, 2020 (the “SERP”), (b) for purposes of clarity, nothing paid under this Agreement will be deemed to be in lieu of any compensation to which you are entitled to under The Provident Bank 401(k)
            Plan, The Provident Bank Employee Stock Ownership Plan or the SERP, each of which in you are one-hundred percent (100%) vested, and (c) all non-vested equity awards previously granted to you under the Provident Bancorp, Inc. 2020 Equity
            Incentive Plan and the Provident Bancorp, Inc. 2016 Equity Incentive Plan will be forfeited as of the Employment Separation Date, including, but not limited to, all unvested restricted stock awards and stock options that are not exercisable
            (provided that nothing herein shall adversely affect your right to exercise vested stock options in accordance with their terms), (d) all exercisable stock options will expire in accordance with the terms of the Provident Bancorp, Inc. 2020
            Equity Incentive Plan and the Provident Bancorp, Inc. 2016 Equity Incentive Plan and the award agreements related to such grants, (e) as of the Employment Separation Date, the Employment Agreement entered into by and between you and the Bank,
            dated as of January 1, 2015, and amended effective as of January 1, 2019, shall terminate and become null and void with no further payments or benefits due thereunder and (f) as of the Employment Separation Date, the Deferred Cash Bonus
            Agreement entered into as of December 23, 2020, shall terminate and become null and void with no further payments due thereunder.  For the avoidance of doubt, the entire benefit under the SERP (which is $7,786,867.72 as of the Employment
            Separation Date) shall be paid to you in full following the six-month delay period provided for in the SERP.  The Bank agrees and acknowledges that your separation is not due to a “Specially Defined Cause” as defined by §2.8.1 of your SERP.

    

    
      

      

      5.  Release.  As consideration for the Separation Pay and other good and valuable consideration contained herein, you, your spouse, beneficiaries, estate, heirs and any and all parties that may
          act on your behalf agree to fully and completely release, relinquish and forever discharge the Bank, the Company and each of their respective Affiliates, from any and all claims demands, disputes, obligations, promises, costs, charges, fees
          (including attorneys’ fees), expenses, taxes, fines, penalties, actions and causes of action of any kind, nature or description, whether known or unknown (including, but not limited to, for breach of any duty of good faith or other
          extra-contractual liability under any policy, and under the statutes, regulations or common law of any state), that you had or may have had, may now have or claim to have, or which may hereafter accrue, including without limitation any claims
          arising from or related to your employment with the Bank and the Company.  For purposes of this Agreement, the term “Affiliates” means with respect to both the Bank and the Company, their respective predecessors, successors and assigns, all of
          their past, present, and future shareholders, trustees, directors, officers, employees, representatives, attorneys, agent, and all of their respective parent or controlling corporations,

      
        2

        
          

      

    

    
      affiliates and subsidiaries, as the case may be, or any other legal entity describing the Bank and the Company’s
        organization or through which they conduct business.

    

    
      

      

      6.  General Release – Statutory and Regulatory Claims.  You represent and warrant that you have not filed any complaints, charges or claims against the Bank, the Company or their Affiliates with any local,
          state or federal court or administrative agency.  Except with respect to any rights arising out of this Agreement, you specifically agree that you waive and release the Bank and the Company from any and all manner of claims you ever had, now have
          or may have under any federal or state labor, employment, retaliation or discrimination laws, statutes, public policies, orders or regulations, including, but not limited to, Title VII of the Civil Rights Act of 1964, as amended, the Equal Pay
          Act of 1963, as amended, the Employee Retirement Income Security Act of 1974, as amended, the Occupational Safety and Health Act of 1970, as amended, the Rehabilitation Act of 1973, as amended, the Fair Labor Standards Act of 1938, as amended,
          the Americans with Disabilities Act of 1990, as amended, the Family and Medical Leave Act of 1993, as amended, the Age Discrimination in Employment Act, as amended (“ADEA”),
          Chapters 149 through 154 of the Massachusetts General Laws, the Massachusetts Civil Rights Act, the Massachusetts Equal Rights Law, New Hampshire RSA 354-A-7 (Law Against Discrimination), New Hampshire RSA 275 (provisions relating to payment of
          wages and discrimination in the workplace) or at common law, including but not limited to claims relating to breach of an oral or written contract, wrongful discharge, misrepresentation, defamation, interference with prospective economic
          advantage, interference with contractual relationship, intentional and negligent infliction of emotional distress, negligence, and breach of the covenant of good faith and fair dealing.  It is expressly agreed and understood that the release
          contained herein is a general release, but that you are not waiving or releasing any rights or claims (a) based on facts that arise after the date that this Agreement is executed, (b) for breach of this Agreement, (c) for worker’s compensation
          benefits, (d) for state disability compensation, (e) to or for any other rights that cannot by law be released by private agreement, including any right to vested benefits, or (f) any contractual, statutory or other right to indemnification or to
          coverage under any applicable directors’ and officers’ or other third party liability insurance policies then maintained by the Company or the Bank. 

    

    
      

      

      7.   General Release – Massachusetts Wage Act. 
            Not in limitation of the previous paragraph, by signing this Agreement, you agree and understand that you are waiving, relinquishing and releasing any and all claims or rights that you have or may have against the Bank, the Company and their
            Affiliates arising under the Massachusetts Wage Act, G.L. c. 149, § 148, and/or its federal law equivalent.  You are not, however, waiving any rights or claims that may arise after the execution of this Agreement.  You specifically acknowledge
            that this waiver and release releases the Bank, the Company and their Affiliates from liability to you for any alleged violation of the Massachusetts Wage Act and/or its federal law equivalent to the date of this Agreement.

    

    
      

      

      8.  General Release – EEOC, MCAD and Claims for Reinstatement.  With respect to the rights and claims that you are waiving, you are waiving not only your right to recover in any action that you
          might commence, but also your right to recover in any action brought on your behalf by any other party, including, but not limited to, the U.S. Equal Employment Opportunity Commission, or any other federal, state or local governmental agency or
          department.  Nothing in this Agreement shall be construed to affect the rights and responsibilities of the Equal Employment

      
        3

        
          

      

    

    
      Opportunity Commission (“EEOC”), New Hampshire Commission for Human Rights (“NHCHR”), and the Massachusetts
        Commission Against Discrimination (“MCAD”) to enforce the anti-discrimination laws.  Also, nothing in this Agreement may be used to justify interfering with your protected right to file a charge or participate in an investigation or proceeding
        conducted by the EEOC, NHCHR or MCAD.  In addition, and not in limitation of the foregoing, you hereby forever release and discharge the Bank, the Company and their Affiliates from any liability or obligation to reinstate or reemploy you in any
        capacity.

    

    
      

      

      9.  Confidentiality.  The Parties agree to keep confidential all negotiations leading up to execution of the Agreement, including without limitation all communications and documents exchanged in
          connection therewith, except for your spouse, attorney, or as required by regulatory inquiry, law, or court order.  You acknowledge and agree that you have been the recipient of confidential and proprietary business information concerning the
          Bank, the Company and their Affiliates, including without limitation past, present, planned or considered business activities of the Bank, the Company and their Affiliates, and agree that you will not use your knowledge of such information or
          disclose such confidential and proprietary information for any purposes whatsoever, except as may be expressly permitted in a writing signed by the Bank, or as may be required by regulatory inquiry, law, or court order.  You understand that
          nothing contained in this Agreement limits your ability to file a charge or complaint with the United States Securities and Exchange Commission (“SEC”) and this Agreement does not limit your right to receive an award for information provided to
          the SEC.

    

    
      

      

      10.  Cooperation.  You hereby represent and warrant that you have returned documents and other property of the Bank
            and the Company.  You further agree (i) to cooperate with the Bank and the Company and their Affiliates to the extent that your knowledge of facts concerning the business of the Bank, the Company and their Affiliates is required to respond to
            any governmental or regulatory inquiry, or in connection with any court, administrative proceeding, or investigation related to matters that took place during the term of your employment, and (ii) to furnish such information and assistance to
            the Bank, the Company and their Affiliates as may reasonably be required by the Bank, the Company or their its Affiliates in connection with any litigation in which they or any of their subsidiaries or affiliates is, or may become, a party. 
            The Bank or the Company will reimburse you for your reasonable expenses incurred in complying this section, including reimbursement for all of your reasonable attorneys’ fees and costs, to the extent not covered by applicable directors’ and
            officers’ insurance.

    

    
      

      

      11.  Mutual Non-Disparagement.  You agree not to make any disparaging statements concerning the Bank, the Company or their respective Affiliates which would reasonably be expected to affect adversely its or their reputation or goodwill. 
            With respect to the Bank, the Company and their Affiliates, you acknowledge such non-disparagement obligations and protections extend to the Bank, the Company and their Affiliates and all their current or former officers, directors, employees,
            or agents.  The Bank shall direct its Board of Directors and its Senior Management not to make any disparaging statements concerning you, or your employment with the Bank.  For clarity, the provisions of this Paragraph 11 of the Agreement shall
            not apply to any truthful statement required to be made in any legal proceeding or in connection with any governmental or regulatory investigation.

      

      

    

    
      4

      
        

    

    
      12.  One Year Non-Solicitation
            of Employees and Customers.  You hereby covenant and agree that, for a period of one year following the Employment Separation Date, you shall not, without the
            written consent of the Bank, either directly or indirectly:

      

      

    

    
      (a) solicit, encourage, or attempt to persuade or cause any officer or employee of the Bank, the Company or any of their
          subsidiaries to terminate his or her employment and accept employment or become affiliated with, or provide services for compensation in any capacity whatsoever to, any firm, corporation, entity or enterprise that competes with the business of
          the Bank; or

    

    
      

      

      (b)  solicit, provide any information, advice or
          recommendation or take any other action intended (or that a reasonable person acting in like circumstances would expect) to have the effect of causing any customer of the Bank or any of its subsidiaries to terminate an existing business or
          commercial relationship with the Bank or any of its subsidiaries or transfer some or all of such customer’s business or relationships with the Bank or any of its subsidiaries; provided further, that it is expressly understood and acknowledged
          that this paragraph shall not prevent any customer of the Bank or any of its subsidiaries from voluntarily electing to transfer its business or relationships so long as you have not in any way solicited, provided any information, advised,
          consulted, recommended or taken any action to encourage such customer to do so.

      

      

      (c) You represent and warrant that you have not engaged, prior to the Employment Separation Date, in any of the conduct described
          in this Paragraph 12 and further agree that the one-year restricted period shall be tolled for the entire duration of any period in which you are in breach of this Paragraph 12.

    

    
      

      

      13.  One Year Non-Competition Restriction.  For a period of one (1) full year after the
          Employment Separation Date, you hereby covenant and agree that you will not directly or indirectly (i) engage in, assist, or conduct any business that is the same as or in any way competes with, the business of the Bank, the Company or any of
          their subsidiaries, in any location within either twenty-five (25) miles of Amesbury, Massachusetts, or twenty-five (25) miles of Portsmouth, New Hampshire or (ii) participate in, have an interest in, or affiliate with in any capacity (including
          as a partner, shareholder, member, employee, principal, agent, trustee or consultant) any general or limited partnership, corporation, limited liability company, firm, association or other legal entity that engages, directly or indirectly, in any
          business that is the same as or in any way competes with, the business of the Bank; provided, however, you may request a waiver from the Bank with respect to the limitations of this Paragraph 13 on a case by case basis.  Notwithstanding the
          above, this provision is not intended to prevent you from being employed at a national and/or regional insured depository institution, trust company or parent holding company that has branches that are within twenty-five (25) miles of Amesbury,
          Massachusetts, or within twenty-five (25) miles of Portsmouth, New Hampshire, if the insured depository institution, trust company or parent holding company is headquartered outside of New England and your employment is also outside of New
          England and not physically located in the above defined market areas. You hereby acknowledge and agree that you have been advised to consult a lawyer prior to signing this Agreement and that this restriction serves as further good and valuable
          consideration for the Separation Pay and the benefits set forth in Paragraph 3, which are

      
        5

        
          

      

    

    
      above and beyond any compensation otherwise owed to you.  If, for any reason, any provision of this Paragraph 13 of
        this Agreement is held invalid, the restrictions in this Paragraph 13 shall be modified, by the minimum amount necessary, such that the remaining provisions are consistent with law and continue in full force and effect.  You acknowledge that
        mutually agreed upon consideration exists to support the non-competition restrictions in the Agreement and that you have been afforded up to seven (7) business days to revoke your acceptance in writing. In addition, you represent and warrant that
        you have not engaged in, prior to the Employment Separation Date, any of the conduct described in this Paragraph 13 and further agree that the one-year restricted period shall be tolled for the entire duration of any period in which you are in
        breach of this Paragraph 13.

    

    
      

      

      14.  Period for Review and Revocation.  You acknowledge that you will have up to twenty-one (21) days from your
            receipt hereof in which to review this Agreement and consider whether or not it is in your best interest to accept this offer and sign this Agreement.  Furthermore, you may rescind this Agreement within seven days of the day you sign it, after
            which time, if not rescinded, this Agreement becomes irrevocable.  The Bank and the Company advise you to consult with an attorney before signing this Agreement.  By signing this Agreement, you represent that you have carefully read this document, that you understand it, and that you have had an opportunity to consult with and review this Agreement with
            an attorney of your choice.  You also represent that you know and understand the contents of this Agreement; including its final and binding effect on your rights and duties, and that you freely and voluntarily assent to all the terms and
            conditions with the full intent of releasing the Bank and its Affiliates from all claims.  You represent that the only consideration for signing this Agreement are the terms stated herein; that no other promises, representations or agreements
            of any kind have been made to or with you to cause you to sign this Agreement.  You represent that your releases, waivers, representations, warranties, undertakings, obligations and agreements set forth herein are in exchange for extra
            consideration to which you would not have been entitled in the absence thereof.  You further acknowledge and agree that the Bank and its Affiliates are not undertaking to advise you or any other person with respect to any tax consequences of
            this Agreement and that you are solely responsible for determining those consequences.

    

    
      

      

      15.  Period for Rescission.  This Agreement shall become effective and irrevocable on the eighth day following receipt
            by the Bank of the fully executed Agreement (the “Effective Date”).  This Agreement may be revoked by you by delivery of written notice to Amber M. Barbere, Senior Vice President of Human Resources, BankProv, 5 Market Street, P.O. Box 37,
            Amesbury, MA 01913-0037, at any time before the Effective Date. If you choose to rescind, this Agreement may only be rescinded in its entirety.  Once rescinded, no provision of this Agreement shall be enforceable.

    

    
      

      

      16.  Additional Consideration.  You acknowledge that the payments and benefits described in this Agreement constitute a special separation benefit which the Bank is providing in its discretion
          due to your unique circumstances and that you are not otherwise entitled to receive this entire separation package from the Bank, the Company or their Affiliates.  The Bank agrees and acknowledges that this separation is not a “Termination for
          Cause” under §6.1 of your Employment Agreement.

      
        6

        
          

      

      

      

      17.  Headings.  The headings set forth at the beginning of any paragraph of this Agreement are for the convenience of
            the Parties and are not part of the substantive terms of this Agreement.  No headings shall be deemed to qualify, limit or modify the substantive terms of this Agreement in any respect.

    

    
      

      

      18.  Entire Agreement.  The Parties to this Agreement mutually agree and specifically acknowledge that we are entering
            into this Agreement for the purpose of amicably resolving any and all issues relating to the conclusion of, or any other matter related to your employment with the Bank and the Company.  This Agreement supersedes any previous agreement, whether
            written or oral, that you may have had with the Bank and any other agreement is merged into and extinguished by this Agreement.  This Agreement shall not be deemed an admission by the Bank, the Company or their Affiliates of a violation of any
            statute or law or wrongdoing of any kind.

    

    
      

      

      19.  Governing Law.  The terms of this Agreement are contractual in nature and not a mere recital, and it shall take
            effect as a sealed document.  This Agreement shall be governed by and construed in accordance with the laws of the State of New Hampshire, without reference to conflict of law rules, and this Agreement shall be deemed to be executed and
            performed in the State of New Hampshire.

    

    
      

      

    

    
      20.  Arbitration
            of all Disputes.   Any dispute or controversy arising under or in connection with this Agreement shall be settled exclusively by arbitration, conducted before a panel of three arbitrators sitting in Portsmouth, New Hampshire, in
          accordance with the Commercial Rules of the American Arbitration Association then in effect.  Judgment may be entered on the arbitrators’ award in any court having jurisdiction.  The above notwithstanding, the Company, the Bank, or their
          Affiliates may seek injunctive relief in a court of competent jurisdiction in New Hampshire to restrain any breach or threatened breach of any provision of this Agreement, including without limitation paragraphs 9, 12 and 13 above, without
          prejudice to any other rights or remedies that may otherwise be available to the Bank and its Affiliates.

    

    
      

      

      21.  Savings Clause.  If any provision of this Agreement is determined to be void or unenforceable, the remaining
            provisions of this Agreement will remain in full force and effect

    

    
      

      

      22.  Clawback.  The Bank, the Company and their respective successors or assigns, shall retain the legal right to demand the return of any payments made to you under the Agreement as may be
          required by any federal or state regulators of the Bank or the Company, within applicable regulatory time periods.  This does not include your SERP which is expressly exempt from this “Clawback” provision.  You further agree that the
          confidentiality, non-disparagement, non-solicitation and non-competition obligations set forth in Paragraphs 9, 11, 12 and 13 of the Agreement are material terms of the Agreement.  If the Bank, the Company or their Affiliates establish a breach
          of any provision of this Agreement, you acknowledge and agree that the Bank, the Company and their Affiliates shall be entitled to recover from you the full amount paid, and to not pay amounts to be paid, to you, as well as all reasonable
          attorney’s fees and costs incurred by the Bank, the Company or their Affiliates in a successful proceeding to enforce the Agreement.  You shall be entitled to recover from the Bank or the Company all reasonable attorneys’ fees and costs incurred
          by you in a successful proceeding to enforce the

      
        7

        
          

      

    

    
      Agreement.  Before bringing a proceeding alleging your breach of Paragraphs 9, 11, 12 and/or 13 of the Agreement,
        the Bank must provide written notice to you of its belief that such breach occurred within thirty (30) days of its knowledge of the existence of the conditions giving rise to such belief, and the notice shall describe the conditions believed to
        constitute a breach. You shall have thirty (30) days to respond to such notice and, if practicable, to remedy such conditions.

    

    
      

      

      23.  Execution in Counterparts.  This Agreement may be executed in counterparts, each of which shall be an original, but all of which shall constitute one and the same
            instrument.  Facsimile or electronically transmitted (e.g., “.pdf”) signatures shall have the same binding force and effect as original signatures.

    

    
      

      

      24.  No Presumption.  The Parties agree that this Agreement was negotiated fairly between them at arms’ length and
            that the final terms of this Agreement are the product of the Parties’ negotiations. Each Party represents and warrants that it has sought and received legal counsel of his/its own choosing regarding the contents of this Agreement and the
            rights and obligations affected hereby. The Parties agree that this Agreement shall be deemed to have been jointly and equally drafted by them, and that the provisions of this Agreement therefore should not be construed against any party on the
            grounds that it was more responsible for drafting the provisions.

       

          

    

    
      25.  Modification.  Any amendment or modification of this Agreement must be in writing and signed by duly authorized
            representatives of each of the Parties.  Any modification or amendment not made in this manner shall have no force or effect.

    

    
      

      

      26.  Binding on Successors.  This Agreement will inure to the benefit of the Bank and any successors and assigns.  Any
            successor of the Bank will continue the terms and conditions of this Agreement.  You may not assign your rights, duties or obligations under this Agreement.

      

      

    

    
      

      

      

      

      

      

    

    
      

      

      [See next page for signatures.]

      

      

    

    
      

      

      

      

      

      

    

    
      

      

      [The remainder of this page is left blank intentionally.]

      

      

    

    
      

      

      

      

      

      

      

      

      

      

      

      

    

    
      8

      
        

    

    

    

    
      

      

      If you are in agreement with the terms set forth above, please indicate by executing a copy of this Agreement and
        returning it to the Bank, care of Joseph Reilly.

      

      

      

      

      BANKPROV

      

      

      

      

    

    	
            By: /s/ Joseph Reilly

          	
            Date: December 20, 2022

          
	
            Joseph Reilly, Board Chair

          	 

    
      

      

      

      

      PROVIDENT BANCORP, INC.

      

      

      

      

      

      

    

    	
            By: /s/ Joseph Reilly

          	
            Date: December 20, 2022

          
	
            Joseph Reilly, Board Chair

          	 

    
      

      

      

      

      

      

      

      

    

    
      I understand and agree completely to the

      foregoing as of the date set forth below:

      

      

    

    
      

      

      

      

      

      

    

    	
             /s/ David P. Mansfield

          	
            Date: December 20, 2022

          
	
            David P. Mansfield

          	 

    
      

      

      

      

      

      

    

  

  9ex101graysonservicesagre

        EXHIBIT 10.1  EXECUTIVE DIRECTOR SERVICE AGREEMENT    between     Spark Network SE    Kohlfurter Straße 41/43  10999 Berlin    (hereinafter referred to as “Company“)    and      Chelsea A. Grayson  1116 South Ridgeley Drive  Los Angeles, CA 90019    (hereinafter referred to as “Executive Director“)    (hereinafter Company and Executive Director individually referred to as “Party” and jointly referred to  as “Parties”)    Chelsea Grayson was appointed by resolution of the Board of Directors of the Company with its consent  as Executive Director (geschäftsführender Direktor) for a period of nine months beginning December 1,  2022 (thereafter renewable per consent of the Parties). Therefore, the parties conclude the following  service agreement.    Sec. 1  Management and representation    1. The administrative board (Verwaltungsrat) shall manage the Company and, within this framework,  determine the basic guidelines of the Company's activities.    2. The Executive Director shall conduct the day-to-day business and the day-to-day administration of  the Company, if necessary together with other appointed Executive Directors. In doing so, the  Executive Director shall be responsible for the business of the Company to the extent permitted by  law.    3. In managing the Company, the Executive Director shall comply with the law, in particular with the  provisions of the SE Regulation, the SEAG and the German Stock Corporation Act, the Articles of  Association, the resolutions and instructions of the administrative board, the resolutions of the  General Meeting, rules of procedure and a schedule of responsibilities of the administrative board  and this service agreement.    4. The Executive Director shall represent the Company jointly with another Executive Director or  jointly with an authorized signatory (Prokurist) in accordance with the power of representation  

 

        EXHIBIT 10.1  granted by the administrative board.    5. The Company has the right to change the areas of responsibility for the Executive Director at any  time. In particular, the Company may appoint additional Executive Directors and/or authorized  signatories and determine and change the allocations of duties among the Executive Directors at any  time.    Sec. 2  Board Approval    1. The Executive Director shall require the express prior and written consent of the administrative board  for all transactions and measures that go beyond the ordinary course of business.    2. The list of transactions requiring approval may be extended or restricted at any time by resolution of  the administrative board. The administrative board may also make further transactions subject to its  approval at any time.    Sec. 3  Cooperation with the Administrative Board and Reporting    1. The Executive Director shall be obliged to inform the administrative board immediately and  comprehensively for the attention of its chairman in accordance with Section 90 German Stock  Corporation Act.    2. The reports shall be submitted at the intervals specified in Section 90 (2) of the German Stock  Corporation Act. The administrative board may prescribe the way of reporting.    Sec. 4  Duties, Hours of Service, Place of Work    1. The Executive Director shall conduct the business of the Company with the diligence of a prudent  businesswoman and conscientiously perform the duties incumbent upon her. She shall safeguard and  promote the interests and concerns of the Company at all times, observing the utmost care.    2. The Executive Director shall devote all of her labor and all of her business activities exclusively to  the Company and affiliated companies; provided, however, Executive Director may continue to serve  as a director or advisor to other companies so long as Executive Director manages such activities as  to not interfere with her obligations to the Company. Upon the Company’s request, the Executive  Director can be appointed as the representative of any company affiliated with the Company in the  sense of Sec. 15 Stock Corporation Act (“Affiliates”). The Executive Director will resign at any time  upon the Company’s request, and unsolicited, at the latest upon expiration of this service agreement  from all the aforementioned offices.     3. The Executive Director shall not be bound by specific hours of service. She shall arrange the scope  of her activities and her working hours in such a way as the welfare of the Company requires. For  

 

        EXHIBIT 10.1  this purpose, she shall also perform her duties on Saturdays, Sundays and public holidays if this is  necessary in the interest of the Company.  4. The Executive Director’s place of service is at the Company’s registered place of business, currently  located in Berlin. The Executive Director is allowed to work remotely but understands frequent travel  to Berlin may be necessary.     Sec. 5  Remuneration    1. The Executive Director shall receive a fixed salary per month in an amount equivalent to € 6,000  EUR gross, which shall be payable to the Executive Director’s account at the end of each calendar  month, with all legal deductions, in particular income tax and, if applicable, social security  contributions.    Furthermore the Company shall bear 50% of the costs of the public social insurance contributions,  including unemployment insurance, statutory health insurance and nursing care insurance, if and to  the extent the Executive Director should be subject to German statutory social security contributions.     2. If the service relationship hereunder starts or ends during or before the end of a calendar year, the  annual fixed remuneration according to paragraph 1 shall be paid on a pro rata basis.    3. With the payment of the remuneration in pursuant to paragraph (1) above, the Company has paid the  Executive Director in full for all of her activities for the Company, including activity during other  than the usual business or office hours. Furthermore work for any Affiliate shall be compensated  hereby as well; provided; however, this does not affect or supersede the employment agreement with  Spark Network, Inc. (the “US-Contract”) or any compensation or benefits provided to Executive  Director thereunder.    4. For the avoidance of doubt, the Executive Director will receive no additional remuneration for her  service as a member of the Board of Directors of the Company so long as she is serving as the  Executive Director of the Company under this agreement and the Chief Executive Officer under the  US-Contract.     5. The Executive Director does not have the right to assign or pledge her claims against the Company  in whole or in part to third parties.    Sec. 6  Inability to work    In case the Executive Director is unable to work, she is obligated to immediately inform the Company  about the probable duration and the reasons of her inability. In cases of illness, the Executive Director is  obligated to submit a medical certificate stating the inability to work and the probable duration of the  inability within the third calendar day following the beginning of the illness.     

 

        EXHIBIT 10.1  Sec. 7  Obligation to Maintain Secrecy, Return of Documents     1. The Executive Director shall not, during the term of her service, as well as thereafter, disclose to any  third party business or operational secrets or other confidential technical or business matters of the  Company or companies affiliated with the Company which become known to her in the course of the  performance of her work for the Company (especially processes, data, personnel performance  evaluations, know-how, marketing plans, business plans, unpublished sheets, budgets, licenses,  prices, costs, customer and supplier lists etc.), or which are designated as confidential by the  Company and she shall not utilize directly or indirectly such information herself.    2. Business and operational records, data carriers and data or other objects which are owned by the  Company and which the Executive Director has created or obtained within the context of her services  to the Company are to be kept carefully and returned to the Company at any time upon request, at the  latest upon termination of her services or on her being relieved of her duties. The Executive Director  has no right of retention of such materials.    Sec. 8  Transfer of Rights    1. The Executive Director transfers any copyrights, trademark rights, design rights, rights with respect to  inventions and patents as well as any other IP-rights she obtains during her work for the Company  exclusively, unrestricted in time, territory and content and sub-licensable to the Company as far as the  rights:    a) arise from the Executive Director’s obligatory work for the Company, or    b) arise from other orders by the Company, or    c) are predominantly based on the experience, know-how or works from the Company, or    d) are developed mainly during the Executive Director’s usual working hours in or for the Company.    If the rights can be transferred in their entirety the Executive Director transfers such entire rights to  the Company. The Company accepts the transfer of rights. The Company is not obliged to register,  use or exploit the rights. References to “the Company” in this Sec. 8 shall be deemed to include  references to any of its Affiliates.    2. The granting of the rights of use and exploitation include, without limitation:    a) the right to make any publication of the works for copyright, software or database rights purposes,  to register claim under copyright and database rights, and the right to renew and extend such  copyright, software and database rights, and the right to sue in the name of the Executive Director  for past, present and future infringements of copyright and database rights;    

 

        EXHIBIT 10.1  b) all rights of any kind or nature, direct or indirect, to sell, distribute, sub distribute, lease, sublease,  market, license, sublicense or otherwise exploit the works and any and all rights therein for any  purposes that may go beyond the current business purpose of the Company, to the fullest extent  of such rights in any manner whatsoever, including without limitation, by all scientific, digital,  mechanical or electronic means, methods, processes or devices now known or hereafter  conceived, devised or created;    c) the right to publicly perform and publicly reproduce, exhibit, publicize, publish, disseminate,  advertise and use in advertisements for any purposes or otherwise exploit the works in any  manner and by any means, methods, processes or devices now known or hereafter conceived,  devised or created and in any form, including, without limitation, print media, films, radio and/or  digital media, databases and electronic carrier media, public and non-public networks, including  the internet, intranet, extranet, mobile data networks or through any other (interactive) download  or access systems, including the right to feed in and store in such systems;    d) the right to save, download, run, reproduce, digitalize, duplicate, copy, translate and process the  works or parts thereof, either permanently or temporarily and also repeatedly, by any means and  in any form, including without limitation, by all scientific, digital, mechanical or electronic  means, methods, processes or devices now known or hereafter conceived, devised or created, and  to use and exploit the results achieved to the same extend as the works themselves;    e) the right to combine the works or parts thereof with or add to it other works, parts of works or  other information of any kind, the right to alter, modify and edit (under consideration of the  Company’s moral or personal rights) the works and to use and exploit the results achieved to the  same extend as the works themselves;    f) the right to extract information of any kind from the works and to use such information and the  obligatory works for any business purposes, including, but not limited to, for the purpose of  creating and building new works, and to use and exploit the results achieved to the same extend  as the works themselves.    3. Section 69b Copyright Act (Urheberrechtsgesetz) remains unaffected. The Company’s rights  expressly also encompass an exploitation of the obligatory works which goes beyond the current field  and purpose of business of the Company.    4. The Executive Director is obligated to collaborate with respect to any statements or legal actions that  are necessary to secure and/or transfer the aforementioned rights.    5. The Executive Director approves of the publication of the works by the Company. The Executive  Director expressly waives the right to be named as author/creator ( Sec. 13 UrhG) insofar as in the  individual case this is uncustomary or impossible due to the nature of the work. The Executive Director  approves of any alterations of the works under consideration of the Company’s moral or personal  rights. The Company may refuse the Executive Director’s right to access to the works ( Sec. 25 UrhG)  if this requires a disproportionately high effort.    

 

        EXHIBIT 10.1  6. The remuneration pursuant to Sec. 2 of this agreement is deemed also as a remuneration for the transfer  of rights and any required actions the Executive Director has to undertake. The Executive Director is  not entitled to claim further remuneration. This does not apply to any indispensable claims.    7. In respect of works that are not linked to the Executive Director’s work for the Company, but concern  the Company’s line of business the Executive Director shall during the validity of this contract inform  the Company without undue delay by way of a respective written notification. In the notification the  Executive Director shall give all information about the work and its creation that is needed for the  Company to assess if the work is a so called free work. Before the Executive Director exploits a free  work in another way, she shall at first offer the Company the at least non-exclusive, unlimited as to  territory, time and content, assignable and sub-licensable rights of use and exploitation in any way then  known or in the future developed to such free Works against payment of an appropriate compensation.     8. If the Executive Director intends to integrate open source software into works, she must notify the  Company by email regarding this precisely stating the open source components and the applicable  licensed application hereto. It may only be implemented, if and after the Company approved by email.  When implanting Open Source Software the Executive Director has to ensure to comply with the  respective provider’s license terms. The Executive Director is obligated to summarize all open source  components implemented in works in tabular form stating the name of the open source component,  the license of the open source project as well as the respective license version; after implementation  of the respective component and without undue delay the Executive Director must provide the  Company with this tabular form. For each open source component the Executive Director must use a  separate row in the respective tabular form.    9. This section also applies to rights the Executive Director obtained prior to the effective date of this  agreement in the course of her work for the Company, regardless of the form of this previous work  (e.g. employment, freelancing, internship, etc.).     Sec. 9  Term of Employment & Termination    1. The term of this agreement shall end on August 31, 2023 after which time it may be extended per  consent and agreement of the Parties.     2. The right to terminate with immediate effect for cause is not restricted by provision. For cause shall  in particular be assumed, if:     a) the Executive Director infringes internal restrictions regarding the management imposed on her  by the Company and the Company suffers damage as a result of it, or if the Executive Director  repeats such infringements despite a formal warning notice;     b) the Executive Director seriously infringes special instructions issued by the shareholder’s meeting,  unless the shareholder’s meeting demands an illegal act;     c) The Executive Director executes transactions without having obtained the prescribed consent.  

 

        EXHIBIT 10.1    3. Termination has to be given in text form (Textform).    4. If the appointment has been revoked for compelling reasons pursuant to Sec. 626 German Civil Code,  the revocation will be deemed to have terminated this agreement with immediate effect for  compelling reason as well. If no compelling reasons pursuant to Sec. 626 German Civil Code exists,  the revocation shall be deemed to have terminated with ordinary notice period pursuant to (2) of this  provision and effective as of the next possible date.    5. The Company is entitled to release the Executive Director from her duties at any time permanently  or temporarily while continuing payment of the Executive Director’s remuneration under this  agreement through the remainder of the term of this agreement.       Sec. 10  Miscellaneous    1. This agreement embodies the entire contractual understanding between the parties and supersedes  all prior written or oral agreements, between the Executive Director and the Company; provided,  however, this agreement does not supersede the US-Contract or the Indemnification Agreement,  dated December 18, 2020, between the Executive Director and the Company.    2. The assertion of claims solely based on documentary evidence (Urkundsverfahren) shall be  excluded.    3. Any amendments or additions to this agreement – including this clause – shall be in writing. Sec.  305b German Civil Code (Bürgerliches Gesetzbuch) shall remain unaffected.    4. Should any provision of this agreement be or become void, the validity of the other provisions shall  not be affected thereby. In place of the invalid provision, a legally permissible provision shall be  substituted that corresponds as closely as possible to the meaning and purpose of the invalid  provision.    5. This agreement is governed by the law of the Federal Republic of Germany. Jurisdiction for all  disputes in connection with this contract is the headquarters of the Company.    [Signatures are located on the next page.]    

 

        EXHIBIT 10.1  Berlin/Date:  21 December 2022    SPARK NETWORKS SE                                         /s/ David Clark                             _  David Clark  Chief Financial Officer                                      /s/ Frederic Beckley                         _  Frederic Beckley  General Counsel & Chief Administrative Officer                                                          Berlin/Date:  21 December 2022                                   /s/ Chelsea A. Grayson                            _  Chelsea A. Grayson

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00351-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00351-of-00352.parquet"}]]