Document:

exhibit101.htm

Exhibit 10.1

 

SEVERANCE AGREEMENT AND GENERAL RELEASE

 

 

This Severance Agreement and General Release (“Agreement”) is made and entered into by Thomas Casey, Employee ID No. #1001043 (hereinafter referred to as “Employee”), and Clear Channel Communications, Inc., in full and final settlement of any and all claims Employee may have or hereafter claim to have against Clear Channel Communications, Inc., and all of its past, present and future parents, subsidiaries and affiliates and their employees, officers, directors, agents, insurers and legal counsel (hereinafter referred to as “Company”).

 

	
1.  

	
End of Employment.

 

        1.1 Employee’s separation date is July 29, 2013 (“Separation Date”).

 

1.2 Aside from compensation for work performed during the last pay period prior to the end of employment, and the Supplemental Incentive Plan (SIP) Payment in the amount of One Hundred Ninety-Eight Thousand Dollars and No Cents ($198,000.00), less applicable federal and state withholding and all other ordinary payroll deductions, to be paid  on the date that is (60) days after the Separation Date (the “Payment Date”), Employee has been paid all earned compensation through the Separation Date.

2. Consideration for Agreement from Company.  In return for this Agreement and in full and final settlement, compromise, and release of all of Employee’s claims (as described in Section 3 below), Company agrees to provide the following consideration:

 

2.1 Pro-Rata Annual Bonus.  A pro-rata share of the 2013 Annual Bonus in accordance with discretionary bonus plan objectives and as provided in Section 9 of the Employment Agreement previously signed and effective December 15, 2009 (the “Employment Agreement”).  Such pro-rata share of the Annual Bonus, to the extent earned, shall be less applicable federal and state withholding and all other ordinary payroll deductions, and will be paid before March 15, 2014, if the expiration of the seven-day revocation period noted in Section 4.11 has passed and only if Employee does not revoke this Agreement. Employee hereby acknowledges the sufficiency of this payment from Company.

 

  

  

  

2.2 Equity Value Preservation Payment.  The sum of Five Million Dollars and No Cents ($5,000,000.00), less applicable federal and state withholding and all other ordinary payroll deductions, to be paid on the Payment Date, if the expiration of the seven-day revocation period noted in Section 4.11 has passed and only if Employee does not revoke this Agreement. Employee hereby acknowledges the sufficiency of this payment from Company.

 

2.3 Severance.  The sum of Two Million Seven Hundred Thousand Dollars and No Cents ($2,700,000.00), less applicable federal and state withholding and all other ordinary payroll deductions, to be paid in accordance with Company’s ordinary payroll practices over a period of approximately eighteen (18) months. Severance payments will begin within thirty (30) days after the Separation Date, if the expiration of the seven-day revocation period noted in Section 4.11 has passed and only if Employee does not revoke this Agreement, and shall continue until paid in full (the “Severance Pay Period”). Employee hereby acknowledges the sufficiency of this payment from Company.  If Employee violates the non-compete provision of Section 7 of the Employment Agreement during the Severance Pay Period (but without regard to whether Employee’s activities are within or outside the non-compete area specified in such provision), the severance payments shall cease.  The foregoing shall not affect Company’s right to enforce any restrictive covenants previously agreed to by Employee. Additionally, if Employee is rehired by Company during the Severance Pay Period, the severance payments shall cease; however, in this event, if Employee’s new annualized base salary is less than Employee’s previous annualized base salary, Company agrees to continue to pay to Employee the difference between Employee’s previous annualized base salary and Employee’s new annualized base salary for the remainder of the Severance Pay Period.  Notwithstanding anything herein to the contrary, to the extent any of the payments under this Section 2.3 are not exempt from Section 409A and such payments would, but for this sentence, have been paid within the six month period following the Separation Date, such payments shall be deferred and shall be paid on the first to occur of (a) the date that is six months after the date of separation from service or (b) the date of death of Employee.

 

  

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2.4 Each payment under this Agreement is a separate “payment” within the meaning of Treasury Regulation Section 1.409A-2(b)(2)(iii).

 

2.5 No act or payment of consideration pursuant to this Agreement shall be considered an admission of liability by Company regarding Employee in any way.

 

	
3.  

	
Employee’s Release of Claims.

 

3.1 Employee affirms that Employee has not filed, caused to be filed, and/or is not presently a party to any claim, complaint, or action against Company in any forum or form.  As a material term of this Agreement, Employee attests that Employee has given Company written notice of any and all concerns Employee may have regarding suspected ethical or compliance issues or violations on the part of Company or any of Company employees. In addition, Employee affirms that as of the Separation Date, subject to Sections 1.2 and 2.1, Employee has reported all hours worked, if applicable, and has been paid for and/or has received all compensation, wages, bonuses, commissions, and/or benefits to which Employee may be entitled. Employee furthermore affirms that Employee has no known workplace injuries or occupational diseases.

 

  

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3.2 Employee hereby irrevocably and unconditionally releases and forever discharges Company from any and all claims, demands, causes of action, and liabilities of any nature, both past and present, known and unknown, resulting from any act or omission of any kind occurring on or before the date of execution of this Agreement which arise under contract or common law, or any federal, state or local law, regulation or ordinance. Employee understands and agrees that Employee’s release of claims includes, but is not limited to, the following: all claims, demands, causes of action and liabilities for past or future loss of pay or benefits, expenses, damages for pain and suffering, punitive damages, compensatory damages, attorney’s fees, interest, court costs, physical or mental injury, damage to reputation, and any other injury, loss, damage or expense or equitable remedy of any kind whatsoever.

 

3.3 Employee additionally hereby irrevocably and unconditionally releases and forever discharges Company from any and all claims, demands, causes of action and liabilities arising out of or in any way connected with, directly or indirectly, Employee’s employment with Company or any incident thereof, including, without limitation, Employee’s treatment by Company or any other person, the terms and conditions of Employee’s employment, and any and all possible local, state or federal statutory and/or common law claims, including but not limited to:

(a) All claims which Employee might have arising under Title VII of the Civil Rights Act of 1964, as amended, 42 U.S.C. § 2000e, et seq.; The Civil Rights Act, 42 U.S.C. § 1981 and § 1988; Employee Retirement Income Security Act, as amended, 29 U.S.C. § 1001, et seq.; Americans with Dis­abilities Act of 1990, as amended, 42 U.S.C. § 12101, et seq.; The Family and Medical Leave Act of 1993, as amended, 29 U.S.C. § 2601, et seq.; The Age Discrimination in Employment Act, 29 U.S.C. § 621 et seq.; The Older Worker Benefit Protection Act of 1990; The Immigration Reform and Control Act, as amended; The Worker Adjustment and Retraining Notification Act, 29 U.S.C. 2101 et seq.; and/or, The Occupational Safety and Health Act, as amended;

 

  

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(b) All contractual claims for any wages or other employment benefits owed as a result of Employee’s separation from Company;

(c) All claims arising under the Civil Rights Act of 1991, 42 U.S.C. § 1981a; and,

(d) All other claims, whether based on contract, tort (personal injury), or statute, arising from Em­ployee’s employ­ment, the separation from that employment, or any investigation and/or interview conducted by or on behalf of Company.

 

3.4 Employee does not waive rights or claims which cannot be waived by law, including, but not limited to the right to file a Charge with the Equal Employment Opportunity Commission (“EEOC”), or its local or state equivalent, or to participate in an agency investigation, although Employee does waive any right to monetary recovery should the EEOC or other local, state or federal administrative or governmental agency pursue claims against the Company on Employee’s behalf.

 

3.5 Employee does not waive rights or claims that arise following the execution of this Agreement.

 

	
4.  

	
Other Understandings, Agreements, and Representations.

 

 

4.1 Employee agrees that this Agreement binds Employee and also binds Employee’s spouse, children, heirs, executors, administrators, assigns, agents, partners, successors in interest, and all other persons and entities in privity with Employee.

 

  

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4.2 Employee promises and represents that Employee will not disclose, disseminate, or publicize, or cause or permit to be disclosed, disseminated, or publicized, any of the terms or existence of this Agreement, except (i) to advisors, attorneys, accountants, representatives or members of Employee’s immediate family, provided that any individual to whom such disclosure is made agrees to abide by the terms of this Section; (ii) to the extent necessary to report income to appropriate taxing authorities; (iii) in response to an order or subpoena of a court of competent jurisdiction, so long as Employee provides notice to Company’s Legal Department immediately upon receipt of such order or subpoena; or (iv) in response to any subpoena issued by a state or federal governmental agency, so long as Employee provides notice to Company’s Legal Department immediately upon receipt of such subpoena.

 

4.3 Employee promises and represents that Employee will not make or cause to be made any derogatory, negative or disparaging statements, either written or verbal, about Company.

 

4.4 During the course of employment, Company provided Employee with confidential and proprietary information of Company. This confidential information includes, but is not limited to, Company’s operational, programming, training/employee development, engineering information, sales information, customer lists, business and employment contracts, representation agreements, pricing and ratings information, production and cost data, compensation and fee information, strategic business plans, budgets, financial statements, and other information Company treats as confidential or proprietary. Employee agrees that Employee will not disclose or use Company’s confidential or proprietary information. Employee shall immediately provide notice to Company’s Legal Department if Employee is required by valid legal process to disclose Company’s confidential or proprietary information. Employee understands that Company may seek from a court of competent jurisdiction an injunction to prohibit such disclosure.

 

  

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4.5 Aside from electronic equipment previously provided to Employee, which Company has allowed Employee to retain, Employee acknowledges that he has returned to Company all property belonging to Company that the Employee possesses or has possessed but has provided to a third party, including but not limited to, all equipment or other materials and all originals and copies of Company documents, files, memoranda, notes, computer-readable information (maintained on disk or in any other form) and video or tape recordings of any kind other than personal materials relating solely to the Employee. Employee warrants and represents that Employee has not retained, distributed or caused to be distributed, and shall not retain, distribute or cause to be distributed, any original or duplicates of any such Company property specified in this Section.

 

4.6 This Agreement contains the entire understanding between Employee and Company, except as modified by Section 4.7 below, and supersedes all prior agreements and understandings relating to the subject matter of this Agreement. This Agreement shall not be modified, amended, or terminated unless such modification, amendment, or termination is executed in writing by Employee and an authorized representative of Company.

 

4.7 Notwithstanding anything to the contrary herein, this Agreement shall not alter or terminate (i) that certain Indemnification Agreement, dated as of September 5, 2012 between Employee and Clear Channel Outdoor Holdings, Inc., a Delaware corporation, or (ii) any post-employment obligations previously agreed to by Employee, including, but not limited to, the following terms of the Employment Agreement:  nondisclosure of Confidential Information, non-hire of company employees (18 months), non-solicitation of clients (18 months), non-competition (18 months), employment by competitor or rehire by Company, use of name and likeness, ownership of materials, litigation and regulatory cooperation, arbitration, and miscellaneous – confidentiality, which Employee agrees shall survive the termination of Employee’s employment.

 

  

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4.8 Any disputes that relate in any way to the provisions of this Agreement shall be resolved by binding arbitration.  Such disputes include, without limitation, disputes arising out of or relating to interpretation or application of this Agreement, including the enforceability, revocability or validity of the Agreement or any portion of the Agreement. The Arbitrator shall be selected by mutual agreement of the Company and the Employee. Unless the Employee and Company mutually agree otherwise, the Arbitrator shall be an attorney licensed to practice in the location where the arbitration proceeding will be conducted or a retired federal or state judicial officer who presided in the jurisdiction where the arbitration will be conducted. If for any reason the parties cannot agree to an Arbitrator, either party may apply to a court of competent jurisdiction with authority over the location where the arbitration will be conducted for appointment of a neutral Arbitrator. The court shall then appoint an Arbitrator, who shall act under this Agreement with the same force and effect as if the parties had selected the Arbitrator by mutual agreement. The location of the arbitration proceeding shall be no more than forty-five (45) miles from the place where the Employee last worked for the Company, unless each party to the arbitration agrees in writing otherwise.  A demand for arbitration must be in writing and delivered by hand or first class mail to the other party within the applicable statute of limitations period. Any demand for arbitration made to the Company shall be provided to the Company’s Legal Department, 200 East Basse Road, San Antonio, Texas 78209. The Arbitrator shall resolve all disputes regarding the timeliness or propriety of the demand for arbitration.  In arbitration, the parties will have the right to conduct adequate civil discovery, bring dispositive motions, and present witnesses and evidence as needed to present their cases and defenses, and any disputes in this regard shall be resolved by the Arbitrator.  However, there will be no right or authority for any dispute to be brought, heard or arbitrated as a class, collective or representative action or as a class member in any purported class, collective action or representative proceeding (“Class Action Waiver”). 

 

  

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Notwithstanding any other clause contained in this Agreement, the preceding sentence shall not be severable from this Agreement in any case in which the dispute to be arbitrated is brought as a class, collective or representative action. Although an Employee will not be retaliated against as a result of Employee’s exercising his or her rights under Section 7 of the National Labor Relations Act by the filing of or participation in a class, collective or representative action in any forum, the Company may lawfully seek enforcement of this Agreement and the Class Action Waiver under the Federal Arbitration Act and seek dismissal of such class, collective or representative actions or claims. Notwithstanding any other clause contained in this Agreement, any claim that all or part of the Class Action Waiver is unenforceable, unconscionable, void or voidable may be determined only by a court of competent jurisdiction and not by an arbitrator.   Each party will pay the fees for his, her or its own attorneys, subject to any remedies to which that party may later be entitled under applicable law. However, in all cases where required by law, the Company will pay the Arbitrator’s and arbitration fees. If under applicable law the Company is not required to pay all of the Arbitrator’s and/or arbitration fees, such fee(s) will be apportioned between the parties by the Arbitrator in accordance with applicable law.  Within thirty (30) days of the close of the arbitration hearing, any party will have the right to prepare, serve on the other party and file with the Arbitrator a brief. The Arbitrator may award any party any remedy to which that party is entitled under applicable law, but such remedies shall be limited to those that would be available to a party in a court of law for the claims presented to and decided by the Arbitrator. The Arbitrator will issue a decision or award in writing, stating the essential findings of fact and conclusions of law. Except as may be permitted or required by law, neither a party nor an Arbitrator may disclose the existence, content, or results of any arbitration hereunder without the prior written consent of all parties. A court of competent jurisdiction shall have the authority to enter a judgment upon the award made pursuant to the arbitration. Subject to the provisions of Section 4.14 herein, a party may apply to a court of competent jurisdiction for temporary or preliminary injunctive relief in connection with an arbitrable controversy, but only upon the ground that the award to which that party may be entitled may be rendered ineffectual without such provisional relief.

 

  

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4.9 Employee may take up to twenty-one (21) days from date of receipt to decide whether to accept this Agreement. Employee may actually accept and sign this Agreement at any time within this 21-day period, but Employee is not required to do so.

 

4.10 If Employee has not signed this Agreement within the 21-day period noted above and delivered the signed agreement to Kimberly Wray, HR Services Director, Clear Channel Management Services, Inc., 20880 Stone Oak Parkway, San Antonio, Texas 78258, or via fax to (210) 832-3190, this Agreement is deemed revoked by Company.

 

4.11 Employee may revoke acceptance of this Agreement at any time within seven (7) days after executing the Agreement.  Any revocation must be made in writing and delivered to  Kimberly Wray,  HR Services Director, Clear Channel Management Services, Inc., 20880 Stone Oak Parkway, San Antonio, Texas 78258, or via fax at (210) 832-3190. Employee understands that, unless revoked as described above, upon expiration of the seven (7) day period, this Agreement automatically shall take effect and become binding upon Employee.

 

  

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4.12 Notice Regarding Attorney: Employee is hereby advised to consult with an attorney of Employee’s choice, at Employee’s expense, before signing this Agreement.

 

4.13 Employee understands that nothing in this Agreement is intended to interfere with or deter Employee’s right to challenge the waiver of a claim under the Age Discrimination in Employment Act (ADEA) or state law age discrimination claim or the filing of an ADEA charge or ADEA complaint or state law age discrimination complaint or charge with the Equal Employment Opportunity Commission or any state discrimination agency or commission or to participate in any investigation or proceeding conducted by those agencies.  Further, Employee understands that nothing in this Agreement would require Employee to tender back the money received under this Agreement if Employee seeks to challenge the validity of the ADEA or state law age discrimination waiver, nor does the Employee agree to ratify any ADEA or state law age discrimination waiver that fails to comply with the Older Workers’ Benefit Protection Act by retaining the money received under the Agreement.  Further, nothing in this Agreement is intended to require the payment of damages, attorneys’ fees or costs to Company should Employee challenge the waiver of an ADEA or state law age discrimination claim or file an ADEA or state law age discrimination suit except as authorized by federal or state law.

 

Notwithstanding the foregoing paragraph, Employee agrees to waive any right to recover monetary damages in any charge, complaint, or lawsuit against Company filed by Employee or by anyone else on Employee’s behalf pertaining to the preceding paragraph.

4.14 Unless otherwise specified or required by statute in a particular jurisdiction which expressly pertains to an employment relationship (e.g., wage payment timing, tax withholding, etc.), all construction and interpretation of this Agreement shall be governed by and construed in accordance with the laws of the State of Texas, without giving effect to principles of conflicts of law, and subject to the parties’ agreement to arbitrate any and all disputes as previously set forth, Employee expressly consents to the personal jurisdiction and mandatory venue of  the Texas state and federal courts for any lawsuit relating to this Agreement.

 

  

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4.15 Should any provision in this Agreement or any provision of any agreement incorporated or referenced herein be declared or determined by any court to be illegal or invalid, the validity of the remaining parts, terms, or provisions shall not be affected, and the illegal or invalid part, term, or provision shall not be a part of this Agreement.

 

4.16 If Employee is in breach of any of the provisions of this Agreement, or any post-employment obligations that survive termination of employment, as determined by Company in its sole reasonable discretion, during the Severance Pay Period described in Section 2.3 above, the remaining Severance Payments shall cease.  The foregoing shall not affect Company’s right to enforce any post-employment restrictions or limit Company from pursuing any and all remedies related to Employee’s breach of this Agreement.

 

4.17 Counterparts:  This Agreement may be executed in counterparts, a counterpart transmitted via electronic means, and all executed counterparts, when taken together, shall constitute sufficient proof of the parties’ entry into this Agreement.  The parties agree to execute any further or future documents which may be necessary to allow the full performance of this Agreement.

 

4.18 Employee represents and certifies that Employee (1) has received a copy of this Agreement for review and study and has had ample time to review it before signing; (2) has read this Agreement carefully; (3) has been given a fair opportunity to discuss and negotiate the terms of this Agreement; (4) understands its provisions; (5) has been advised to consult with an attorney; (6) has determined that it is in Employee’s best interest to enter into this Agreement; (7) has not been influenced to sign this Agreement by any statement or representation by Company not contained in this Agreement; and (8) enters into this Agreement knowingly and voluntarily.

       

  

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ACCEPTED AND AGREED:

 

	 	THOMAS CASEY	 
	 	 	 	 
	
Date:  09/09/2013      

	
By: 

	/s/ Thomas W. Casey      	 
	 	 	 	 

 

 

	 	
CLEAR CHANNEL COMMUNICATIONS, INC.

	 
	 	 	 	 
	
Date:  09/11/2013      

	
By: 

	/s/ William B. Feehan            	 
	 	 	Name:  William B. Feehan      	 
	 	 	Title:  EVP - HR              	 
	 	 	 	 

 

 

13GLOWEX101Peri

SEPARATION AGREEMENT

This Separation Agreement (this “Agreement”) is entered into as of the 13th day of September, 2013, by and between Glowpoint, Inc. (“Glowpoint” or the “Company”) and Steven B. Peri (“Peri”).  As used herein, “Parties” means, collectively, Glowpoint and Peri, and “Party” means either Glowpoint or Peri.  Terms not otherwise defined herein shall have the meanings ascribed to them in the Employment Agreement (as defined below).
RECITALS

WHEREAS, Glowpoint and Peri are parties to that certain Employment Agreement dated August 15, 2012 (the “Employment Agreement”); and
WHEREAS, Glowpoint desires to terminate Peri’s role as Executive Vice President, General Counsel and Secretary.  Therefore, Glowpoint and Peri agree that as of 11:59 p.m. ET on September 15, 2013 (the “Effective Date”), Glowpoint will have terminated Peri’s employment as Executive Vice President, General Counsel and Secretary, without Cause, and Peri shall resign from his positions as a director, officer and employee of Glowpoint and any of its subsidiaries, including his position of Executive Vice President, General Counsel and Secretary; and
WHEREAS, in connection therewith, effective as of the Effective Date, Peri is relinquishing certain rights in, to and under the Employment Agreement, all bonuses relating to past and pending matters benefiting Glowpoint (except as expressly provided below) and any other interests he might claim arising from his efforts as Executive Vice President, General Counsel and Secretary, and Glowpoint desires to provide the payments and other consideration specified herein.
NOW, THEREFORE, in consideration of the provisions herein, and other good and valuable consideration the receipt and sufficiency of which is hereby acknowledged by the Parties agree as follows:
1.Termination of Service.  Effective as of the close of business on the Effective Date, Glowpoint shall have terminated Peri’s employment as Executive Vice President, General Counsel and Secretary, without Cause, and Peri shall resign, and Glowpoint shall accept such resignation, from all his positions as a director, officer and employee of Glowpoint and any of its subsidiaries, including his position of Executive Vice President, General Counsel and Secretary.
2.    Consideration.  Glowpoint agrees to pay Peri (a) an aggregate $125,000 in respect of the amounts payable under Section 3.3(a) of the Employment Agreement representing the portion of Peri’s annual base salary that would be earned over a six-month period (the “Salary Amount”), (b) a lump sum payment of $33,334 in respect of the amounts payable for the prorated portion of Peri’s annual bonus under Section 3.3(a) of the Employment Agreement (the “Bonus Payment”), and (c) the aggregate of any accrued unpaid salary, vacation days and reimbursement of his reasonable business expenses incurred through the Effective Date (the 

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“Accrued Amounts”), which Accrued Amounts shall be paid by Glowpoint to Peri as soon as reasonably practicable following the Effective Date; provided that payment of the Salary Amount and Bonus Payment shall be subject to the conditions set forth in Section 3.3 of the Employment Agreement.  On the express condition that Peri signs and does not rescind the General Release attached as Exhibit A, the Bonus Payment shall be payable by Glowpoint to Peri on the ADEA Effective Date (as defined below) by wire transfer in immediately available funds, and the Salary Amount will be paid in equal installments over a period of six (6) months from the Effective Date in accordance with the Company’s normal payroll practices, provided, however, that payments of the Salary Amount shall not commence until the first payroll date on or following the ADEA Effective Date, and any portion of the Salary Amount that would have otherwise been payable pursuant to this Section 2 on payroll dates prior to the ADEA Effective Date shall instead be withheld and paid on the first payroll date on or following the ADEA Effective Date.  All payments under this Section 2 shall be subject to applicable withholdings and deductions.
3.    Benefits.  Glowpoint shall pay or reimburse to Peri the cost of continuing coverage under the Consolidated Omnibus Budget Reconciliation Act of 1985 (“COBRA”), less an amount equal to the employee contribution portion, if any, payable by Peri for participation in such insurance plans immediately prior to the Effective Date, for the lesser of (a) six (6) months following the Effective Date or (b) the date on which Peri is eligible to receive substantially similar health insurance coverage from another source.  
4.    Peri’s Relinquishment of Rights.  It is expressly acknowledged and agreed that, subject to the actual receipt by Peri of the consideration to be delivered pursuant to Section 2 above, Peri shall relinquish all rights he may have under Sections 1, 2 and 3 of the Employment Agreement and any and all rights he may have to any other salary, bonus or other compensation.  In the event there is no actual receipt by Peri of the consideration to be delivered pursuant to Section 2 above, then Peri shall not have relinquished any such rights.  
5.    Acknowledgement of Continuing Rights and Obligations.  It is acknowledged and agreed that, except as provided in Section 4 above, Peri shall continue to be entitled to his rights under the Employment Agreement.  It is further acknowledged and agreed that Peri shall continue to remain obligated under Sections 4 through 16 of the Employment Agreement, including without limitation the non-competition and non-solicitation provisions contained in Section 6 of the Employment Agreement.
6.    General Release. As a condition precedent to Peri receiving the consideration or benefits set forth in Sections 2 and 3 above, the Parties will execute and deliver the General Release attached as Exhibit A on the Effective Date.  The General Release shall not become enforceable and effective against Peri until the 8th day after Peri signs and returns it to the Company (the “ADEA Effective Date”).  Except for the Accrued Amounts, the consideration and benefits set forth in Sections 2 and 3 shall not be paid or provided until after the expiration of the ADEA Effective Date, on the express condition that Peri does not rescind the General Release.
7.    Indemnity. The Parties specifically agree that notwithstanding anything herein to the contrary, nothing in this Agreement alters, modifies or amends Peri’s rights to indemnification 

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as set out in the Company’s Certificate of Formation or Bylaws, or the Delaware General Corporation Laws (the “Act”). The Company further agrees that if Peri is made a party or is threatened to be made a party to any action, suit or proceeding, whether civil, criminal, administrative or investigative (a “Proceeding”) by reason of the fact that Peri was an officer of the Company or any of its subsidiaries affiliates or served at the request of the Company or any of its subsidiaries as a trustee, director, officer, member, employee or agent of another corporation or a partnership, joint venture, limited liability company, trust or other enterprise, including, without limitation, service with respect to employee benefit plans, whether or not the basis of such Proceeding is alleged action in an official capacity as a trustee, director, officer, member, employee or agent while serving as a trustee, director, officer, member, employee or agent, Peri shall be indemnified and held harmless by the Company to the fullest extent authorized by the Act, as the same exists or may hereafter be amended, against all losses or expenses incurred or suffered by Peri in connection therewith.
8.    Representations and Warranties.  Each of Peri and Glowpoint (except as to subparagraphs (c) and (e) below), severally and not jointly, warrants and represents as follows:
(a)    He or it has read this Agreement and agrees to the conditions and obligations set forth in it.
(b)    He or it voluntarily executes this Agreement (i) after having been advised to consult with legal counsel, (ii) after having had opportunity to consult with legal counsel and (iii) without being pressured or influenced by any statement, representation or omission of any person acting on behalf of the other or any of its officers, directors, employees, agents and attorneys.
(c)    Peri has no knowledge of the existence of any lawsuit, charge or proceeding against Glowpoint or any of its officers, directors, employees or agents arising out of or otherwise connected with any of the matters herein released.
(d)    He or it has the individual, corporate, or entity power and authority to execute and deliver this Agreement and to perform its obligations hereunder and, if such Party is a corporation, limited liability company or partnership, the execution, delivery, and performance of this Agreement has been duly authorized by all necessary corporate, company or partnership action.  This Agreement constitutes the legal, valid, and binding obligation of each Party.
(e)    Peri admits, acknowledges, and agrees that, other than the consideration set forth in this Agreement, Peri has been fully paid or provided all wages, compensation, salary, commissions, bonuses, expense reimbursements, stock, stock options, vacation, change-in-control benefits, severance benefits, deferred compensation, or other benefits from Glowpoint, which are or could be due to Peri under the terms of Peri’s employment or otherwise.
9.    Section 409A.  If any payment or distribution of any type to Peri or for Peri’s benefit, whether paid or payable or distributed or distributable, pursuant to the terms of this Agreement, the Employment Agreement or the Stock Agreements (the “Total Payments”), would be subject to the additional tax and interest imposed by Section 409A, or any interest or penalties with 

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respect to such additional tax (such additional tax, together with any such interest or penalties, are collectively referred to as the “409A Tax”), Peri acknowledges that any and all claims related to such 409A Tax constitute Released Claims.
10.    Company’s Successor.  In addition to any obligations imposed by law upon any successor to Glowpoint, Glowpoint shall require any successor to all or substantially all of Glowpoint’s business or assets (whether direct or indirect and whether by purchase, reorganization, merger, share exchange, consolidation, or otherwise) to expressly assume and agree to perform Glowpoint’s obligations under this Agreement to the same extent, and in the same manner, as Glowpoint would be required to perform if no such succession had occurred.  This Agreement shall be binding upon, and inure to the benefit of, any successor to Glowpoint.
11.    Peri’s Successor.  This Agreement shall inure to the benefit of, and be enforceable by, Peri’s personal or legal representatives, designated beneficiary, administrators, executors and heirs.  If Peri should die after the date hereof but before any payment or benefit to which Peri is entitled under this Agreement has been received by Peri, all payments or benefits to which Peri would have been entitled had he continued to live (other than any such benefits that, by their terms, terminate upon Peri’s death) shall be made or provided in accordance with this Agreement to the representatives, executors, or administrators of Peri’s estate.
12.    Restricted Assignment.  Except as expressly provided in Sections 10 and 11, neither Party may assign, transfer, or delegate this Agreement or any of its or his rights or obligations under this Agreement without the prior written consent of the other Party.  Any attempted assignment, transfer, or delegation in violation of the preceding sentence shall be void and of no effect. 
13.    Waiver and Amendment.  No term or condition of this Agreement shall be deemed waived other than by a writing signed by the Party against whom or which enforcement of the waiver is sought.  Without limiting the generality of the preceding sentence, a Party’s failure to insist upon the other Party’s strict compliance with any provision of this Agreement or to assert any right that a Party may have under this Agreement shall not be deemed a waiver of that provision or that right.  Any written waiver shall operate only as to the specific term or condition waived under the specific circumstances and shall not constitute a waiver of that term or condition for the future or a waiver of any other term or condition.  No amendment or modification of this Agreement shall be deemed effective unless stated in a writing signed by the Parties.
14.    Entire Agreement.  This Agreement, together with the General Release attached as Exhibit A, contain the Parties’ entire agreement regarding the subject matter of this Agreement and supersede all prior agreements and understandings between them regarding such subject matter (except as reserved herein).  The Parties have made no agreements, representations, or warranties regarding the subject matter of this Agreement that are not set forth in this Agreement.
15.    Notice.  Each notice or other communication required or permitted under this Agreement shall be in writing and transmitted, delivered, or sent by personal delivery, prepaid courier or 

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messenger service (whether overnight or same-day), e-mail delivery, or prepaid certified United States mail (with return receipt requested), addressed (in any case) to the other Party at the address for that Party set forth below that Party’s signature on this Agreement, or at such other address as the recipient has designated by notice to the other Party, with a copies as follows:
Steven B. Peri
[Address]

Glowpoint, Inc.
[Address]

Each notice or communication so transmitted, delivered, or sent in person, by courier or messenger service, or by certified United States mail shall be deemed given, received, and effective on the date delivered to or refused by the intended recipient (with the return receipt, or the equivalent record of the courier or messenger, being deemed conclusive evidence of delivery or refusal.)  Nevertheless, if the date of delivery is after 5:00 p.m. on a business day, the notice or other communication shall be deemed given, received, and effective on the next Business Day.

16.    Severability.  It is the desire of the Parties hereto that this Agreement be enforced to the maximum extent permitted by law, and should any provision contained herein be held unenforceable by a court of competent jurisdiction or arbitrator (pursuant to Section 19), the Parties hereby agree and consent that such provision shall be reformed to create a valid and enforceable provision to the maximum extent permitted by law; provided, however, if such provision cannot be reformed, it shall be deemed ineffective and deleted herefrom without affecting any other provision of this Agreement.  This Agreement should be construed by limiting and reducing it only to the minimum extent necessary to be enforceable under then applicable law.
17.    Title and Headings; Construction.  Titles and headings to sections hereof are for the purpose of reference only and shall in no way limit, define or otherwise affect the provisions hereof.  The words “herein,” “hereof,” “hereunder” and other compounds of the word “here” shall refer to the entire Agreement and not to any particular provision.
18.    Governing Law.  All matters or issues relating to the interpretation, construction, validity, and enforcement of this Agreement shall be governed by the laws of the State of New Jersey, without giving effect to any choice-of-law principle that would cause the application of the laws of any jurisdiction other than New Jersey.

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19.    Alternative Dispute Resolution.  
(a)    Glowpoint and Peri mutually agree that any controversy or claim arising out of or relating to this Agreement or the breach thereof, or any other dispute between the parties arising from or related to this Agreement, shall be submitted to mediation before a mutually agreeable mediator. In the event mediation is unsuccessful in resolving the claim or controversy, such claim or controversy shall be resolved by arbitration.
(b)    Glowpoint and Peri agree that arbitration shall be held in New Jersey, before a mutually agreed upon single arbitrator licensed to practice law, in accordance with the rules of the American Arbitration Association. The arbitrator shall have authority to award or grant legal, equitable, and declaratory relief. Such arbitration shall be final and binding on the parties. If the parties are unable to agree on an arbitrator, the matter shall be submitted to the American Arbitration Association solely for appointment of an arbitrator.
(c)    This Section 19 does not cover either Party's right to obtain provisional remedies, or interim relief from a court of competent jurisdiction.
20.    Survival of Certain Provisions.  Wherever appropriate to the intention of the Parties, the respective rights and obligations of the Parties hereunder shall survive any termination or expiration of this Agreement.
21.    Counterparts.  This Agreement may be signed in counterparts, with the same effect as if both Parties had signed the same document.  All counterparts shall be construed together to constitute one, and the same, document.
[Signature Page Follows.]

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IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first written above.

PERI:

/s/ Steven B. Peri
Steven B. Peri

GLOWPOINT:

Glowpoint, Inc., a Delaware corporation

/s/ Peter J. Holst
Peter J. Holst, Chief Executive Officer

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