Document:

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                                                                    Exhibit 10.4

                              EMPLOYMENT AGREEMENT

     This Employment Agreement ("Agreement"), effective as of November 23, 2004,
is entered into, by and between MedAire, Inc., a Nevada corporation ("MedAire")
and James E. Lara ("Lara").

     In consideration of Lara's continued employment by MedAire and the promises
set forth below, the sufficiency of which is hereby acknowledged, the parties
agree as follows:

     1. Duties. MedAire agrees to employ Lara as its President and Chief
Operating Officer under the terms of this Agreement, and Lara accepts such
employment under the terms of this Agreement. During the term of this Agreement,
Lara agrees to devote his best efforts and entire business time to furthering
the interests of MedAire; to devote the necessary time and attention to his
duties; and to perform such duties to the best of his abilities. During the term
of this Agreement, Lara agrees that he shall maintain loyalty to MedAire; shall
take no action that would be injurious of MedAire's interests; and will comply
with all rules, policies and regulations of MedAire. See Exhibit A for
description of Lara's duties as President and Chief Operating Officer.

     2. Employment Period.

          (a) Initial Term: Lara shall be employed by MedAire from November 23,
2004, to December 31, 2007 (the "Initial Term"), unless sooner terminated in
accordance with the terms of this Agreement.

          (b) Automatic Renewal: This Agreement will be renewed automatically
for additional one (1) year periods (each a "Renewal Term"), unless either party
serves written notice of an intent not to renew this Agreement at least six (6)
months before the end of the Initial Term or any subsequent Renewal Term.

          (c) Termination For Cause: Notwithstanding any other section of this
Agreement, MedAire may terminate Lara's employment immediately by written notice
to Lara if the Board of Directors of MedAire determines that there is cause for
termination. A determination of the Board of Directors that cause exists to
terminate Lara's employment shall be conclusive. For the purpose of this
Subsection 2(c), "cause" is defined to be any of the following: (i) any act or
omission by Lara which constitutes dishonesty, disloyalty, fraud, deceit, gross
negligence, willful misconduct or recklessness, and which is material and
directly or indirectly detrimental to MedAire's best interests; (ii) Lara's
insubordination in any material respect in the performance of the duties and
responsibilities of his position in accordance with the legal directives of the
Chief Executive Officer or the Board of Directors of MedAire; (iii) Lara's gross
inattention to, gross neglect of, or any other material failure to competently
perform any assigned duties or follow reasonable policies or directives after
receiving thirty (30) days' written notice and opportunity to cure; (iv) any act
or omission by Lara that constitutes a felony under the laws of the state of
Arizona or the United States; or (v) any material breach of this Agreement by
Lara. In the event of termination for cause, Lara shall only be entitled to

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receive salary and benefits accrued through the date of termination.
Notwithstanding the foregoing and for the avoidance of doubt, in the event of
disagreement between Lara and the Chief Executive Officer regarding Lara's
duties or the performance thereof which are not resolved by them, it shall not
be considered insubordination for Lara to bring such matter to the attention of
the Board of Directors for resolution.

          (d) Death or Disability: The terms of this Agreement shall expire upon
Lara's death or disability. For purposes of this Subsection 2(d), Lara shall be
deemed disabled if due to Lara's physical or mental condition and with or
without reasonable accommodation to the extent required under the Americans With
Disabilities Act, he is unable to perform, on a full-time basis, the regular
activities of his employment for (i) a period exceeding three (3) consecutive
months, or (ii) a total of 14 weeks during any consecutive 12-month period;
provided that authorized vacations or other leaves of absence shall not be
counted. The date of the disability shall be the date on which the earlier of
the requirements stated in (i) or (ii) of this Subsection 2(d) are satisfied.
Upon disability or death of Lara during the term of this Agreement, Lara shall
only be entitled to receive salary and benefits accrued through the date of
termination; provided however that MedAire shall continue to provide to Lara
and/or his eligible dependents for a period of six (6) months, at MedAire's sole
expense, the same level of health insurance as was in effect at the time of the
disability or death of Lara.

          (e) Termination Without Cause: MedAire and Lara acknowledge and agree
that either MedAire or Lara may terminate the employment relationship for any
reason or no reason and without cause by serving upon the other party written
notice of an intent to terminate this Agreement at least thirty (30) days prior
to the effective termination date. If this Agreement is terminated by MedAire
without cause, and other than as a result of the death or disability (as
described in Section 2(d) above) of Lara or as provided in Subsection 2(f) or
Section 8 hereof, (i) Lara shall be entitled to receive payments of his base
salary for a period of twelve (12) months from the date of termination, (ii)
after a period of 12 months from the date of employment, Lara shall vest as to
any unvested shares subject to the equity participation program described in
Exhibit B as of the date of termination in an amount equal to the shares subject
to such equity participation program in the year of termination regardless of
any vesting conditions (including service, performance, or otherwise) related to
such year described in Exhibit B, and (iii) MedAire shall maintain in effect for
Lara and his eligible beneficiaries, at MedAire's sole expense, Lara's benefits
pursuant to MedAire benefit plans in which he was entitled to participate
immediately prior to such termination for a period of 12 months, which period
shall be counted as a part of any COBRA benefit eligibility available to Lara.
If Lara's continued participation is not permitted under the general terms and
provisions of MedAire's benefit plans, MedAire shall, at MedAire's sole expense,
arrange to provide Lara with benefits for a period of twelve months
substantially equivalent to those which he was entitled to receive under such
plans. For purposes of this Subsection 2(e), termination by MedAire without
cause shall be deemed to include Lara's resignation as the result of a
significant diminution in his position, duties or responsibilities, or the
assignment to him of duties and responsibilities inconsistent with the position
of President and Chief Operating Officer.

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          (f) Background Check; Drug Screening: As soon as practicable, but in
any event not later than ninety (90) days after the date hereof, MedAire shall
complete a background check of Lara, and Lara shall submit to a drug screening
test, in accordance with MedAire's standard hiring policies. If the results of
such background check or drug screening test are not reasonably satisfactory to
MedAire, MedAire may terminate this Agreement immediately by written notice to
Lara without any further obligation other than with respect to salary and
benefits accrued through the date of termination.

     3. Compensation, Benefits And Expenses.

          (a) Salary: During the Initial Term of this Agreement, MedAire shall
pay Lara a base salary of Two Hundred Ten Thousand Dollars and No Cents
($210,000.00) per year, subject to applicable withholdings, and payable in
accordance with MedAire's payroll practices in effect from time to time.
Compensation will be reviewed from time to time, but at least annually, by the
Compensation Committee of the MedAire Board of Directors. If this Agreement is
renewed pursuant to Subsection 2(b), the then current salary shall be reviewed
by the Compensation Committee of the MedAire Board of Directors.

               (i) Incentive Compensation: Commencing with the Initial Term,
Lara shall be eligible to participate in the MedAire Bonus Plan for Senior
Managers with the exception of the equity awards. Lara's Equity Participation is
covered in section 3. (a) (ii) below. This incentive compensation program is as
defined and approved by the Compensation Committee of the MedAire Board of
Directors on an annual basis.

               (ii) Equity Participation: An equity participation program for
Lara is a part of this Agreement. The terms of such equity participation program
have been determined by the Board of Directors and are set forth on Exhibit B.
Notwithstanding the foregoing, the parties acknowledge and agree that the terms
of Lara's equity participation program are subject to regulations of the
Australian Stock Exchange. MedAire shall use its best efforts to obtain such
approval as soon as reasonably practicable.

          (b) Benefits: MedAire shall provide Lara all benefits, including
health insurance, life insurance up to $100,000 effective January 1, 2005, and
vacation (per MedAire's policy vacation is currently set at three (3) weeks per
year) which MedAire in its sole and absolute discretion may, from time to time,
provide to its employees of Lara's classification.

          (c) Automobile Allowance: MedAire shall provide Lara an automobile
allowance equal to Five Hundred Dollars and No Cents ($500.00) per month.

          (d) Relocation Allowance: MedAire shall provide Lara with a relocation
allowance on the terms set forth on Exhibit C.

     4. Disclosure of Information. During the course of his employment, Lara
will become exposed to a substantial amount of confidential and proprietary
information

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concerning MedAire and its operations, including, but not limited to financial
information, annual reports, audited and unaudited financial reports,
operational budgets and strategies, methods of operation, patient lists, patient
treatment information, strategic plans, business plans, marketing plans and
strategies, new business strategies, merger and acquisition strategies,
management systems programs, computer systems, personnel and compensation
information and payroll data, and other such reports, documents or information
(collectively, the "Confidential Information"). Lara acknowledges that the
Confidential Information is the property of MedAire and a valuable business
asset, which MedAire wishes to keep secret to protect its legitimate business
interests. Accordingly, Lara promises that, during the term of his employment
with MedAire and after the expiration or termination thereof, for any reason or
no reason, he will not use the Confidential Information for the benefit of
himself or any other party other than MedAire, and that he will not disclose the
Confidential Information to any third party, in whole or in part, in any manner
either directly or indirectly. Lara further agrees that, following the
expiration or termination of his employment with MedAire, for any reason or no
reason, he will not make or retain copies of the Confidential Information in any
form or manner whatsoever (including computer printouts, computer tapes, floppy
disks, CD roms, etc.). Excluded from this Agreement is information that is or
becomes known to the general public through no act or omission by Lara or that
the Chief Executive Officer of MedAire provides prior written consents to be
disclosed. The provisions of this Section 4 shall survive termination of this
Agreement.

     5. Non-Competition. During the term of this Agreement and for a period of
two (2) years thereafter, Lara shall not, directly or indirectly, alone or as a
partner, joint venturer, officer, director, member, employee, consultant, agent,
independent contractor or stockholder, own, manage, operate, control, be
employed by, engage or participate in any manner in any business or entity
engaged in competition with any aspect of MedAire's business as conducted or a s
contemplated to be conducted at any time during the term of this Agreement. The
provisions of this Section 5 shall survive termination of this Agreement.

     6. Arbitration. Any controversy or claim between the parties to this
Agreement, arising out of the employment relationship, or claims of employment
discrimination, shall be resolved through arbitration administered by the
American Arbitration Association under its National Rules for the Resolution of
Employment Disputes and judgment upon the award rendered by the arbitrator(s)
may be entered in any court having jurisdiction thereof.

     7. Assignment. Lara understands and agrees that his obligations under this
Agreement are personal in nature and, as a result, Lara may not assign his
rights or delegate his duties under this Agreement. Lara further understands and
agrees that MedAire may assign all of its rights and obligations under this
Agreement to any person or entity without notice to, or the consent of, Lara.

     8. Lara Equity Investment. In consideration of the covenants of MedAire
hereunder, Lara agrees to make purchases of MedAire common stock at prevailing
market prices in the total aggregate investment amount of at least $50,000 and
up to

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$100,000 as soon as practicable (a) taking into consideration timing and volume
limitations on executive officer purchases under applicable securities rules and
company policies as determined by the Chief Executive Officer of MedAire and (b)
at such times and in such amounts as the Chief Executive Officer of MedAire
determines will not have a material affect on the share price of MedAire common
stock. For the avoidance of doubt it is the intent of the parties that Lara
shall make such purchases as soon as practicable in 2005 but that in any case
Lara shall continue to make purchases within the limitations described in the
preceding sentence until he has invested at least $50,000. In the event that as
of December 31, 2005 Lara has had sufficient opportunities to make such
purchases in the amount of at least $50,000 as certified by the Chief Executive
Officer to Lara in writing and Lara has failed to do so, MedAire shall be
entitled to immediately terminate this Agreement by written notice to Lara,
without any further obligation to Lara other than with respect to salary and
benefits accrued through the date of termination.

     9. Miscellaneous.

          (a) Controlling Law, Venue: This Agreement shall be construed and
enforced in accordance with the laws of the State of Arizona. The parties agree
that the proper venue for any dispute arising out of or relating to this
Agreement shall exist only in either of the two following forums: (i) Arizona
Superior Court, Maricopa County; (ii) United States District Court for the
District of Arizona, Phoenix Division.

          (b) Voluntary Agreement: Lara represents and warrants that he has been
afforded a reasonable opportunity to review this Agreement and discuss it with
an attorney of his choice. Lara represents and warrants that he fully
understands the terms and conditions specified in the Agreement, and that he
knowingly and voluntarily enters into this Agreement.

          (c) Integration: This Agreement is the entire understanding between
the parties and supersedes all other prior written or oral agreements,
representations or implied promises.

          (d) Modification or Waiver: The provisions of this Agreement may not
be waived or modified, unless in writing and signed by both parties.

          (e) Counterparts: This Agreement may be executed in counterparts, each
of which constitute an original document, and all of which constitute a single
document.

          (f) Severability: If for any reason any provision of this Agreement is
determined by a court or arbitrator of competent jurisdiction to be invalid,
illegal or unenforceable, its invalidity shall not affect the validity and
effect of the other provisions herein.

          (g) No Waiver For Delay: Any party's delay in exercising any right or
remedy under this Agreement shall not: (i) impair any right or remedy which the
party may have; or (ii) be construed as a waiver of any such right or remedy
under this

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Agreement, unless specifically waived by the party in writing. Further, any
party's waiver of any breach or default under this Agreement shall not be a
waiver of any other or subsequent breach or default committed by the other
party, or of the continuance of the same breach or default after any written
notice demanding strict performance.

          (h) Notices: All communications required by or given in connection
with this Agreement shall be in writing and deemed given and received if: (i)
personally delivered, on the date of delivery; (ii) if mailed, three (3) days
after deposit in the U.S. mail, registered or certified, return receipt
requested, postage prepaid and addressed as provided below; or (iii) if by a
courier delivery service providing overnight or "next-day" delivery, on the next
business day after deposit with such service, addressed as follows:

If to Employer: MedAire, Inc.
                80 East Rio Salado Parkway
                Suite 610
                Tempe, AZ 85281
                Attn: Chief Executive Officer

With a copy to: _____________________________

If to Employee: _____________________________
                ADDRESS

With a copy to: _____________________________

          (i) Attorneys' Fees: If either party initiates a legal action against
the other party to enforce any right or obligation under this Agreement, the
non-prevailing party shall pay the prevailing party's reasonable attorneys' fees
and costs.

          (j) Currency References: All references to currency in this Agreement
are made with respect to U.S. Dollars.

          IN WITNESS WHEREOF, MedAire has caused this Agreement to be executed
by its duly authorized representative, and James Lara has signed and entered
into this Agreement, on the 23 day of November, 2004, to be deemed effective as
of November 23, 2004.

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MEDAIRE, INC.

By:    /s/ Joan Sullivan Garrett        /s/ James Lara
    ---------------------------------   ----------------------------------------
                                        JAMES E. LARA
Its:             CEO
     --------------------------------

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                                    EXHIBIT A

           MEDAIRE JOB DESCRIPTION: PRESIDENT/CHIEF OPERATING OFFICER

JOB TITLE: President/Chief Operating Officer                   AUTHOR: J. Straty
DEPARTMENT: Administration                                   APPROVED BY J. Lara
FLSA STATUS: Exempt                                        REVISION DATE 11/2004
SALARY GRADE: N/A
EEO CLASSIFICATION: 1

SUMMARY

Directs and coordinates the activities of the organization in accordance with
policies, goals, and objectives established by the Chief Executive Officer and
Board of Directors. Ensures the achievement of short and long-term goals for all
operations, human resources, financial performance, and growth.

ESSENTIAL DUTIES AND RESPONSIBILITIES

     -    Leads strategic planning process to identify and exploit markets and
          products/services providing optimized growth and profit opportunities.

     -    Drives the process management development effort to achieve the most
          efficient and effective possible operations companywide. Oversees the
          development, implementation, and monitoring of systems, policies and
          operational business plans, strategies, and controls that support the
          strategic direction of the organization.

     -    Manages staff to achieve objectives in the strategic plan ensuring
          effective and efficient alignment of staff, resources, and
          communications. Recruits top management personnel.

     -    Drives operational processes, measurements, and efficiencies to ensure
          optimization of financial and operational results. Drives the annual
          business planning process and the process for reviewing performance
          against the plan.

     -    Leads customer needs and satisfaction assessment activities to ensure
          alignment of corporate goals with customer expectations and
          product/service delivery results.

     -    Serves as an officer of the company subject to the ByLaws of the
          company and will serve as an elected executive member of the Board of
          Directors.

     -    Ensures effective communications is maintained with the Board of
          Directors and the Board's committees. Bring to the Board all actions
          requiring Board attention and carry out fully all Board approved
          actions.

     -    Maintains effective ongoing communications with the Chairman. Assists
          the Chairman by identifying opportunities to coordinate her actions to
          achieve the strategic and annual plan. Informs and consults with the
          Chairman regularly to ensure consistency of the actions of the
          Chairman and President.

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     -    Assists in the investor relations process by developing effective
          messages and assisting in presentations. Responds to investor
          questions.

     -    Leads ISO 9001-2000 efforts.

     -    Other duties as assigned.

QUALIFICATIONS

     -    Bachelor's degree or equivalent; Master's degree preferred.

     -    Minimum 15 years progressively responsible business management and/or
          financial management experience.

     -    Demonstrated competency in a senior leadership role in a successful
          public company.

     -    Demonstrated expertise with strategic plan development and
          implementation, financial analysis, and operational metrics.

     -    Demonstrated effective strong leadership and management skills.

     -    Proven effective communication skills, including but not limited to
          verbal and written skills and the ability to deliver persuasive group
          presentations.

     -    Proven aptitude to conduct effective analysis, exercise excellent
          judgment and make superior decisions.

     -    Proven competency with the use of various systems and software
          programs.

     -    Proven effective interpersonal, problem solving, and decision making
          skills.

PHYSICAL DEMANDS

     -    Must be able to operate a personal computer.

WORK ENVIRONMENT

     -    General office environment; noise level is usually moderate.

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                                    EXHIBIT B

                     OUTLINE OF EQUITY PARTICIPATION PROGRAM

     MedAire shall grant to Lara a total of 1,740,000 warrants to purchase
shares of common stock of MedAire at an exercise price of $0.68 per share. Such
warrants shall be awarded in three equal annual increments on the condition that
MedAire exceeds EBITDA targets established by the Board of Directors for the
fiscal years ending December 31, 2005, 2006 and 2007, respectively. All shares
subject to the warrants, and awarded, shall vest and become exercisable in the
event that MedAire's EBITDA for the fiscal year ending December 31, 2007 equals
or exceeds $5.6 million. In calculating EBITDA, appropriate adjustments will be
made to exclude the effect of subsequent acquisitions and stock issuances by
MedAire, except where such acquisitions are acquired out of operating cash flow
or stock issuance net expenses. At the discretion of the board, flexibility may
be exercised in the 2005 EBITDA results and subsequent allocation of option
warrants. MedAire and Lara shall cooperate in good faith to establish the terms
of such adjustments as well as the definitive form of the documentation
evidencing the grant of warrants to Lara consistent with the foregoing terms.

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                                    EXHIBIT C

                              RELOCATION ALLOWANCE

MedAire agrees to reimburse Lara up to a maximum of Twenty Thousand Dollars and
No Cents ($20,000.00) for expenses associated with his move from Knoxville, TN
to the Phoenix, AZ metropolitan area, upon receipt by MedAire of reasonable
documentation evidencing such expenses. The parties agree that MedAire shall
treat such reimbursement as nontaxable to Lara to the extent permitted under
applicable law.

During the relocation process, MedAire agrees to provide up to two round trips
between Knoxville, TN and Phoenix, AZ.

MedAire agrees to provide at its cost temporary housing, of its choosing, until
such time as Lara has taken occupancy of a primary residence in the Phoenix, AZ
metropolitan area, for a period of time not to exceed six (6) months.

                                       1

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                        Amendment to Employment Agreement

     This Amendment relates to that certain Employment Agreement ("Agreement"),
effective as of November 23, 2004, entered into by and between MedAire, Inc., a
Nevada corporation ("MedAire") and James E. Lara ("Lara"). Capitalized terms
expressly defined in the Agreement shall have the same meanings in this
Amendment. For good and valuable consideration, the receipt and sufficiency of
which are hereby acknowledged, MedAire and Lara agree as follows:

     1. Section 2(e) of the Agreement is hereby amended to read in its entirety
as follows:

     (e) Termination Without Cause: MedAire and Lara acknowledge and agree that
either MedAire or Lara may terminate the employment relationship for any reason
or no reason and without cause by serving upon the other party written notice of
an intent to terminate this Agreement at least thirty (30) days prior to the
effective termination date. If this Agreement is terminated by MedAire without
cause, and other than as a result of the death or disability (as described in
Section 2(d) above) of Lara or as provided in Subsection 2(f) or Section 8
hereof, and such termination qualifies as a "separation from service" within the
meaning of Section 409A of the Internal Revenue Code, as amended ("Section
409A"), (i) Lara shall be entitled to receive payments of his base salary for a
period of twelve (12) months from the date of termination, (ii) after a period
of 12 months from the date of employment, Lara shall vest as to any unvested
shares subject to the equity participation program described in Exhibit B as of
the date of termination in an amount equal to the shares subject to such equity
participation program in the year of termination regardless of any vesting
conditions (including service, performance, or otherwise) related to such year
described in Exhibit B, and (iii) MedAire shall maintain in effect for Lara and
his eligible beneficiaries, at MedAire's sole expense, Lara's benefits pursuant
to MedAire benefit plans in which he was entitled to participate immediately
prior to such termination for a period of 12 months, which period shall be
counted as a part of any COBRA benefit eligibility available to Lara. If Lara's
continued participation is not permitted under the general terms and provisions
of MedAire's benefit plans, MedAire shall, at MedAire's sole expense, arrange to
provide Lara with benefits for a period of twelve months substantially
equivalent to those which he was entitled to receive under such plans. For
purposes of this Subsection 2(e), termination by MedAire without cause shall be
deemed to include Lara's resignation as the result of a significant diminution
in his position, duties or responsibilities, or the assignment to him of duties
and responsibilities inconsistent with the position of President and Chief
Operating Officer.

     2. Section 2 is further amended by adding thereto the following
subsections:

          (g) For purposes of Section 409A, Lara hereby elects to receive, and
the Company hereby agrees to pay, each amount payable under this Agreement at
the times, and on the terms and conditions, set forth herein.

          (h) Notwithstanding Section 2(e) above, if Section 409A of the Code
would impose any additional tax on payments within the first six months
following Lara's separation from service, such

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payments shall be delayed to the minimum extent necessary to avoid such
additional tax. However, if it becomes necessary to delay payments for health
benefits, MedAire shall take such actions as are necessary to ensure that
continued coverage is available to Lara and shall pay or reimburse Lara for, as
appropriate, all deferred payments after the deferral period.

     3. Except as amended as set forth above, the Agreement remains in full
force and effect in accordance with its terms.

Dated August 23, 2005.

MEDAIRE, INC.

By:    /s/ Joan Sullivan Garrett        /s/ James Lara
    ---------------------------------   ----------------------------------------
                                        JAMES E. LARA
Its:              CEO
     --------------------------------

                                       3

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                    Second Amendment to Employment Agreement

     This Second Amendment relates to that certain Employment Agreement
("Agreement"), effective as of November 23, 2004, entered into by and between
MedAire, Inc., a Nevada corporation ("MedAire") and James E. Lara ("Lara"), as
previously amended. Capitalized terms expressly defined in the Agreement shall
have the same meanings in this Second Amendment. For good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged,
MedAire and Lara agree as follows:

     1. To the extent, but only to the extent, necessary to comply with the
Listing Rules of the Australian Stock Exchange ("ASX"), Lara agrees that
payments under Section 2(e) of the Agreement shall not exceed the amount
permissible under such Listing Rules.

     2. This Second Amendment shall terminate automatically at such time as
MedAire is no longer listed on the ASX.

     3. Except as amended as set forth above, the Agreement remains in full
force and effect in accordance with its terms.

Dated September 15, 2005.

MEDAIRE, INC.

By: /s/ Joan Sullivan Garrett           /s/ James Lara
    ---------------------------------   ----------------------------------------
                                        JAMES E. LARA

Its: CEO
     --------------------------------

                                       4<PAGE>
                                                                    Exhibit 10.5

                       Employment and Severance Agreement

1. Recitals

          (a) This Employment and Severance Agreement ("Agreement") is between
MedAire, Incorporated (the "Company") and Joan Sullivan Garrett (the
"Executive") and is effective as of December 18, 2000.

          (b) The address of the Company is 1301 E. McDowell Road, Suite 204,
Phoenix, Arizona 85006. The address of the Executive is 2449 F. Squawbush,
Phoenix, Arizona 85048.

          (c) The Executive is currently employed by the Company in the capacity
of President and Chief Executive Officer, and the Executive is one of the key
executives of the Company.

          (d) In consideration of the mutual promises contained herein and other
good and valuable consideration, the Executive and the Company have entered into
this Agreement.

2. Term of Agreement

          The Term of this Agreement shall commence on the date hereof and
continue until December 13, 2003; provided, however, that commencing on January
1, 2002 and each January 1st thereafter, the above-referenced date and the term
of this Agreement shall automatically be extended for one additional year unless
at least thirty (30) days prior to such January 1st date, the Company or the
Executive shall have given notice that it or she does not wish to extend this
Agreement. The phrase "Term of Agreement" shall refer to the period commencing
on the date hereof and ending on December 18, 2003 (or any extension thereof
pursuant to the preceding sentence).

3. Employment Terms Prior to Change in Control

Prior to a Change in Control:

     (a)  Executive shall be employed at a Base Salary of $190,000 per year and
          shall be eligible for participation in the Company's Management
          Incentive Compensation Plan which provides incentive bonus
          opportunities contingent on the level of achievement of pre
          established financial, strategic, and personal goals:

     (b)  Executive shall be eligible to participate in the following Company
          benefit plans: Medical Plan. Dental and Vision Plan, Life Insurance,
          Long Term Disability Insurance, 401 (k) Plan, and vacation clays
          consistent with her status as an Executive Level Employee;

     (c)  Company agrees to reimburse all legitimate business expenses of
          Executive, including travel and entertainment expenses, and phone
          expenses in accordance with Company policy; and provide Executive with
          an automobile consistent with the terms to be set by the Compensation
          Committee of the Board of Directors.

     (d)  Executive's duties shall include responsibility for the operations,
          strategic direction. and the overall management of Company
          administrative functions, in accordance with the directives of the
          Company's Board of Directors, and

     (e)  Notwithstanding any of the foregoing, Executive acknowledges that (i)
          she is an at-will employee of the Company and that either she or the
          Company may terminate her employment with or without cause at any time
          and (ii) in the event of any such termination, she shall no longer be
          entitled to receive any of the compensation or benefits described
          above, provided that Executive and Company agree that in the event of
          a
<PAGE>
          termination not for Cause prior to a Change in Control of the Company,
          the Executive shall be entitled to receive two months continuation of
          Base Salary plus two months continuation of the benefits specified in
          paragraph (b), with the exception of continued participation in the
          410 (k) Plan.

4. Change in Control

          No benefit shall be payable under this Agreement pursuant to sections
6 through 20 unless a Change in Control of the Company shall have occurred and
the Executive's employment by the Company shall have been terminated within two
(2) years thereafter. For purposes of this Agreement, a "Change in Control of
the Company" shall be deemed to have occurred if:

          (a) The Company is merged, consolidated or reorganized into or with
another corporation or other legal person, and immediately after such merger,
consolidation or reorganization less than a majority of the combined voting
power of the then-outstanding securities of such corporation or person
immediately after such transaction are held in the aggregate by the holders of
voting stock of the Company immediately prior to such transaction;

          (b) The Company sells all or substantially all of its assets to any
other corporation or other legal person, and less than a majority of the
combined voting power of the then-outstanding securities of such corporation or
person immediately after such sale are held in the aggregate by the holders of
voting stock of the Company immediately prior to such sale.

          (c) The Company files a report or proxy statement with the Securities
and Exchange Commission pursuant to the Exchange Act disclosing in response to
Form g-K or Schedule 14A (or any successor schedule, form or report or item
therein) that a Change in Control of the Company has or may have occurred or
will or may occur in the future pursuant to any then-existing contract or
transaction; or

          (d) If during any period of two consecutive years, individuals who at
the beginning of any such period constitute the Directors of the Company cease
for any reason to constitute at least a majority thereof, provided, however,
that for purposes of this Section 3(e), each Director who is first elected, or
first nominated for election by the Company's stockholders, by a vote of at
least two thirds of the Directors of the Company (or a committee thereof) then
still in office who were Directors of the Company at the beginning of any such
period will be deemed to have been a Director of the Company at the beginning of
such period.

5. Notice of Termination; Date of Termination

          (a) Any termination of the Executive's employment by the Company or
the Executive shall he communicated by written Notice of Termination to the
other party thereto. For purposes of this Agreement, a "Notice of Termination"
shall mean a notice which shall indicate the specific termination provision in
this Agreement relied upon and shall set forth in reasonable detail the facts
and circumstances claimed to provide a basis for termination of employment under
the provision so indicated.

          (b) "Date of Termination" shall mean:

               (i)  If the Agreement is terminated for Disability, thirty (30)
                    days after Notice of Termination is given (provided that the
                    Executive shall not have returned to the performance of her
                    duties on a full-time basis during such thirty (30) day
                    period),

               (ii) If the Executive's employment is terminated pursuant to
                    Section 10, the date specified in the Notice of Termination,
                    and

               (iii) If the Executive's employment is terminated for any other
                    reason, the date on which a Notice of Termination is given;
                    provided that if within thirty (30) days after any Notice of
                    Termination is given the party receiving such Notice of
                    Termination notifies the other party that a dispute exists
                    concerning the termination, the Date of Termination shall be
                    the (late on which the dispute is finally determined, either
                    by mutual written agreement of the parties, by a binding and
                    final arbitration award or by a final judgment, order or
                    decree of a court of competent jurisdiction (the time for
                    appeal therefrom having expired and no appeal having been
                    perfected).

6. Compensation After Change in Control

          Immediately after any Change in Control of the Company, the Executive
shall be entitled to receive for the remainder of the Term of Agreement (as
extended) (until or unless her
<PAGE>
employment is terminated) an annual base salary (the "Base Salary), payable in
equal bi-weekly installments, at an annual rate at least equal to the aggregate
annual base salary payable to the Executive as of the date hereof. The Base
Salary may be increased (but may not be decreased) at any time and from time to
time by action of the Board of Directors of the Company, any committee thereof,
or any individual having authority to take such action, in accordance with the
Company's regular practices. Any increase in the Base Salary shall not serve to
limit or reduce any other obligation of the Company hereunder.

7. Benefit Plans

          Immediately after a Change in Control of the Company,

          (a) The Company agrees to continue in effect any perquisite, benefit
or compensation plan including any pension plan, dental plan, life insurance
plan, health and accident plan or disability plan in which the Executive is
currently participating (collectively referred to as the "Benefit Plans"); or to
maintain plans providing substantially similar benefits;

          (b) The Company agrees not to take any action that would adversely
affect the Executive's participation in, or materially reduce the benefits
under, any of the Benefit Plans or deprive the Executive of any material fringe
benefit currently enjoyed; and

          (c) The Company agrees to provide the Executive with the number of
paid vacation days to which she is entitled on the basis of years of service
with the Company in accordance with the Company's normal vacation policy in
effect on the date hereof

8. Termination for Cause

          (a) The Company may terminate the Executive's employment for Cause.
For the purposes of this Agreement, the Company shall have "Cause" to terminate
employment hereunder only (i) if termination shall have been the result of an
act or acts of dishonesty by the Executive constituting a felony and resulting
or intended to result directly or indirectly in substantial gain or personal
enrichment at the expense of the Company; or (ii) upon the willful and continued
failure by the Executive substantially to perform her duties with the Company
(other than any such failure resulting from incapacity due to mental or physical
illness) after a demand in writing for substantial performance is delivered by
the Board, which demand specifically identifies the manner in which the Board
believes that the Executive has not substantially performed her duties, and such
failure results in demonstrably material injury to the Company. The Executive's
employment shall in no event be considered to have been terminated by the
Company for Cause if such termination took place as the result of (i) bad
judgment or (ii) any act or omission without intent of gaining therefrom
directly or indirectly a profit to which the Executive was not legally entitled,
or (iii) any act or omission believed in good faith to have been in or not
opposed to the interest of the Company, or (iv) any act or omission in respect
of which a determination be made that the Executive met the applicable standard
of conduct prescribed for indemnification or reimbursement or payment of
expenses under the Bylaws of the Company or the laws of the State of Arizona, in
each case as in effect at the time of such act or omission. The Executive shall
not he deemed to have been terminated for Cause unless and until there shall
have been delivered to her a copy of a resolution duly adopted by the
affirmative vote of not less than three-quarters of the entire membership of the
Board at a meeting of the Board called and held for the purpose (after
reasonable notice to the Executive and an opportunity for her, together with her
counsel, to be heard before the Board). Finding that in the good faith opinion
of the Board the Executive was guilty of conduct set forth above in clauses (i)
or (ii) of the first sentence of this paragraph and specifying the particulars
thereof in detail.

          (b) If the Executive's employment shall be terminated for Cause, the
Company shall pay the Executive her full Base Salary through the Date of
Termination at the rate in effect at the time Notice of Termination is given and
the Company shall have no further obligations to the Executive under this
Agreement.

9. Termination for Death or Disability

          (a) The Company may terminate this Agreement on account of the
Executive's death, or for "Disability" if the Executive is "Disabled." For
purposes of this Agreement, the Executive shall be considered Disabled only if,
as a result of her incapacity due to physical or mental illness, she shall have
been absent from her duties with the Company on a full-time basis for a period
of one year and a physician selected by her (which physician must he acceptable
to the Company and familiar with the Company's Long Term Disability Plan) is of
the opinion that (i) she is suffering from "Total Disability" as defined in the
Company's Long Term Disability Plan, or any successor plan or program and (ii)
she will qualify for Social Security Disability Payment and (iii) within thirty
(30) days after written notice of termination is given, she shall not have
returned to the full-time performance of her duties.

          (b) If the Company terminates this Agreement on account of the
Executive's death or because the Executive is disabled, the Company shall pay to
the Executive (or her successors) the amounts, and provide to the Executive the
benefits, specified in Sections 5 and 6 of this Agreement for the remainder of
the Term of Agreement.
<PAGE>
10. Termination Following Retirement

          (a) This Agreement will terminate upon the Executive's Retirement. For
purposes of this Agreement, "Retirement" shall mean termination of the
Executive's employment with her consent in accordance with the Company's
retirement policy (including early retirement) generally applicable to its
salaried employees or in accordance with any retirement arrangement established
with the Executive's consent with respect to her.

          (b) In the event this Agreement terminates following the Executive's
Retirement, the Company shall pay to the Executive her full Base Salary through
her retirement date and the Company shall have no further obligations to the
Executive under this Agreement.

11. Termination of Employment by the Executive for Good Reason

          (a) The Executive may terminate her employment for Good Reason. For
purposes of this Agreement, Good Reason will exist if any one or more of the
following occur:

               (i)  Failure by the Company to honor any of its obligations under
                    Sections 6, 7, or 13; or

               (ii) Any purported termination by the Company of the Executive's
                    employment that is not effected pursuant to a Notice of
                    Termination satisfying the requirements of Section 5 above
                    and, for purposes of the Agreement, no such purported
                    termination shall be effective; or

               (iii) Failure to elect or reelect or otherwise to maintain the
                    Executive to the office or the position (or a substantially
                    equivalent office or position) in the Company that the
                    Executive held immediately prior to a Change in Control, or
                    the removal of the Executive as a Director of the Company
                    (or any successor thereto) if the Executive shall have been
                    a Director of the Company immediately prior to the Change in
                    Control; or

               (iv) A significant adverse change in the nature or scope of the
                    authorities, powers, functions, responsibilities or duties
                    attached to the position with the Company which the
                    Executive held immediately prior to the Change in Control,
                    without the prior written consent of the Executive, which is
                    not remedied within 10 calendar days after receipt by the
                    Company of written notice from the Executive of such change;
                    or

               (v)  A determination by the Executive made in good faith that as
                    a result of a Change in Control and a change in
                    circumstances thereafter significantly affecting her
                    position, including without limitation a change in the scope
                    of the business or other activities for which lie was
                    responsible immediately prior to a Change in Control, she
                    has been rendered substantially unable to carry out, has
                    been substantially hindered in the performance of, or has
                    suffered a substantial reduction in, any of the authorities,
                    powers, functions, responsibilities or duties attached to
                    the position held by the Executive immediately prior to the
                    Change in Control, which situation is not remedied within 10
                    calendar days after written notice to the Company from the
                    Executive of such determination; or

               (vi) The Company shall relocate its principal executive offices,
                    or require the Executive to have her principal location of
                    work changed, to any location which is in excess of 100
                    miles from the location thereof immediately prior to the
                    Change in Control or to travel away from her office in the
                    course of discharging her responsibilities or duties
                    hereunder significantly more (in tents of either consecutive
                    days or aggregate days in any calendar year) than was
                    required of her prior to the Change in Control without, in
                    either case, her prior written consent.

12. Compensation Upon Certain Terminations

          If the Company shall terminate the Executive's employment other than
pursuant to Sections 8, 9, or 10 hereof or if the Executive shall terminate her
employment for Good Reason pursuant to Section 11 hereof, then the Company shall
I pay to the Executive in a lump sum on the fifth business day following the
Date of Termination, the following amounts:

               (i)  The Executive's Base Salary through the Date of Termination
                    at the rate in effect at the time Notice of Termination is
                    given;
<PAGE>
               (ii) In lieu of any further salary payments for periods
                    subsequent to the Date of Termination, an amount equal to
                    one hundred fifty percent (150%) of the Executive's Base
                    Salary (at the rate in effect at the time Notice of
                    Termination is given);

               (iii) An amount equal to the fair market value of the benefits
                    the Executive would have received had the Benefit Plans
                    continued (and the Executive's employment continued) for a
                    period of eighteen months subsequent to the Date of
                    Termination;

               (iv) An amount equal to one hundred fifty percent (150%) of the
                    greater of (x) the most recent annual bonus received by the
                    Executive from the Company or (y) the average of the annual
                    bonuses received by the Executive from the Company for the
                    three years ending prior to the Date of Termination: and

               (v)  All legal fees and expenses incurred as a result of such
                    termination (including all such fees and expenses, if any,
                    incurred in contesting or disputing any such termination, in
                    seeking to obtain or enforce any right or benefit provided
                    by this Agreement, or in interpreting this Agreement), if
                    such termination is determined, by arbitration, to be other
                    than for "Cause" or for "Good Reason".

          For purposes of this Section 12, no purported reduction of the
Executive's Base Salary shall he effective absent the written consent of the
Executive.

13. Successors Binding Agreement

          The Company will require any successor (whether direct or indirect, by
purchase, merger, consolidation or otherwise) to all or substantially all of the
business and/or assets of the Company, by agreement in form and substance
satisfactory to the Executive, to expressly assume and agree to perform this
Agreement in the same manner and to the same extent that the Company would be
required to perform it if no such succession had taken place. Failure of the
Company to obtain such agreement prior to the effectiveness of any such
succession shall he a breach of this Agreement and shall entitle the Executive
to compensation from the Company in the same amount and on the same terns as
would apply if the Executive terminated her employment for Good Reason, except
that for purposes of implementing the foregoing. the date on which any such
succession becomes effective shall be deemed the Date of Termination. As used in
this Agreement, "Company" shall mean the Company as hereinbefore defined and any
successor to its business and/or assets as aforesaid that executes and delivers
the agreement provided for in this section or which otherwise becomes bound by
all the terms and provisions of this Agreement by operation of law. This
Agreement shall inure to the benefit of and be enforceable by the Executive's
personal or legal representatives, executors, administrators, successors, heirs,
distributors, devisees and legatees. If the Executive should die while any
amount would still be payable hereunder had the Executive continued to live, all
such amounts, unless otherwise provided herein, shall he paid in accordance with
the terms of this Agreement to her devisee, legatee, or other designee or, if
there be no such designee, to her estate.

14. Notice

          Notices and all other communications provided for in this Agreement
shall he in writing and shall be deemed to have been duly given when delivered
or mailed by United States registered mail, return receipt requested, postage
prepaid, addressed to the respective addresses set forth on the first page of
this Agreement, provided that all notices to the Company shall be directed to
the attention of the Secretary of the Company, or to such other address as
either party may have furnished to the other in writing in accordance herewith,
except that notices of change of address shall be effective only upon receipt.

15. Miscellaneous

          No provisions of this Agreement may be modified, waived or discharged
unless such modification, waiver or discharge is agreed to in writing signed by
The Executive and such officer as may be specifically designated by the Board of
Directors of the Company. No waiver by either party hereto at any time of any
breach by the other party hereto of or compliance with, any condition or
provision of this Agreement to he performed by such other party shall be deemed
a waiver of similar or dissimilar provisions or conditions at the same or at any
prior or subsequent time. No agreement or representations. oral or otherwise,
express or implied, with respect to the subject matter hereof have been made by
either party which are not set forth expressly in this Agreement. The validity,
interpretation, construction and performance of this Agreement shall be governed
by the laws of the State of Arizona.

16. Validity
<PAGE>
          The invalidity or unenforceability of any one or more provisions of
this Agreement shall not affect the validity or enforceability of any other
provision of this Agreement, which shall remain in full force and effect.

17. Counterparts

          This Agreement may be executed in one or more counterparts, each of
which shall be deemed to be an original but all of which together will
constitute one and the same instrument.

18. Arbitration

          Any dispute or controversy arising under or in connection with this
Agreement shall be settled exclusively by arbitration in Phoenix; Arizona in
accordance with the rules of the American Arbitration Association then in
effect: provided that all arbitration expenses shall be home by the Company.
Notwithstanding the pendency of any dispute or controversy concerning
termination or the effects thereof, the Company will continue to pay the
Executive her full compensation in effect immediately be ore any Notice of
Termination giving rise to the dispute was given and continue her as a
participant in all compensation, benefit and insurance plans in which she was
then participating, until the dispute is finally resolved. Amounts paid under
this paragraph are in addition to all other amounts due under this Agreement and
shall not be offset against or reduce any other amounts due under this
Agreement. Judgment may he entered on the arbitrators' award in any court having
jurisdiction; provided, however, that the Executive shall be entitled to seek
specific performance of her right to be paid until the Date of Termination
during the tendency of any dispute or controversy arising under or in connection
with this Agreement.

19. Withholding of Taxes

          The Company may withhold from any amounts payable under this Agreement
all federal, state, city or other taxes as shall be required pursuant to any law
or government regulation or ruling.

20. Legal Fees and Expense

          (a) It is the intent of the Company that the Executive not be required
to incur the legal expenses associated with (i) the interpretation of any
provision in, or obtaining of any right or benefit under, this Agreement or (ii)
the enforcement of her tights under this Agreement by litigation or other legal
action, because the cost and expense thereof would substantially detract from
the benefits intended to he extended to the Executive hereunder. Accordingly,
the Company irrevocably authorizes the Executive from time to time to retain
counsel of her choice, at the expense of the Company as hereafter provided, to
represent the Executive in connection with the interpretation or enforcement of
this Agreement, including the initiation or defense of any litigation or other
legal action, whether by or against the Company or any Director, officer,
stockholder or other person affiliated with the Company, in any jurisdiction.
Notwithstanding any existing or prior attorney-client relationship between the
Company and such counsel, the Company irrevocably consents to the Executive's
entering into an attorney-client relationship with such counsel, and in that
connection the Company and the Executive agree that a confidential relationship
shall exist between the Executive and such counsel. The Company shall pay or
cause to he paid and shall be solely responsible for any and all attorneys' and
related fees and expenses incurred by the Executive under this Section 20.

21. Entire Agreement Amendments and Waivers

          This Agreement constitutes the entire agreement between the parties
pertaining to the subject matter hereof and supersedes all prior agreements,
understanding, negotiations and discussions, whether oral or written, between
the parties. No supplement, modification or waiver of this Agreement shall be
binding unless executed in writing by both parties hereto. No waiver of any of
the provisions of this Agreement shall be deemed or shall constitute a waiver of
any other provision hereof (regardless of whether similar), nor shall any such
waiver constitute a continuing waiver unless otherwise expressly provided.

                                        MEDAIRE, INCORPORATED

                                        BY: /s/ Kjell Andreassen
                                            ------------------------------------

                                            /s/ Joan Sullivan Garrett
                                            ------------------------------------
                                            Joan Sullivan Garrett (Executive)

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