Document:

EMPLOYMENT AGREEMENT

            This Agreement is entered into effective as of this 22 day of March,
2000, by and between Lone Star  Steakhouse & Saloon,  Inc., a  corporation  (the
"Corporation") and Gerald T. Aaron ("Employee").

                                    RECITALS

            WHEREAS,  the  Employee  agrees to serve as Senior Vice  President -
Counsel of the Corporation; and

            WHEREAS,  Employee is a principal  officer of the Corporation and an
integral part of its management; and

            WHEREAS, the Corporation desires to engage the services of Employee,
whose  experience,  knowledge  and  abilities  with  respect to the business and
affairs of the Corporation are extremely valuable to the Corporation; and

            WHEREAS,  the  parties  hereto  desire to enter into this  Agreement
setting forth the terms and conditions of the continued employment  relationship
of the Corporation and Employee.

            NOW THEREFORE, it is agreed as follows:

                                    ARTICLE I

            Employment  Agreement.  The  Employment  Agreement  dated January 1,
1999,  executed by the  Corporation  and the Employee is hereby  terminated  and
shall be superseded by this Agreement.

                                   ARTICLE II

            2.1 Term of  Employment.  The  Corporation  shall  initially  employ
Employee for a period of three years from the date hereof (the "Initial Term").

            2.2 Extension of Initial Term. Upon each annual  anniversary date of
this Agreement,  this Agreement shall be extended  automatically  for successive
terms of one year each,  unless  either the  Corporation  or the Employee  gives
contrary

<PAGE>

written  notice  to the  other  not  later  than 90  days  prior  to the  annual
anniversary date thereof.

                                   ARTICLE III
                             Duties of the Employee

            General  Duties.  Employee  shall serve as Senior  Vice  President -
Counsel of the Corporation. He shall do and perform all services, acts or things
necessary or  advisable  to manage and conduct the  business of the  Corporation
consistent with such position  subject to such policies and procedures as may be
established by the Board.

            Employee shall: (i) devote his entire business time, attention,  and
energies  to  the  business  of  the  Corporation,   and,  (ii)  faithfully  and
competently  perform his duties  hereunder;  and, Employee shall not, during the
term  of this  Agreement,  engage  in any  other  business  activity  except  as
permitted by Article 9.

                                   ARTICLE IV
                                  Compensation

            4.1 Salary.  For  Employee's  services to the  Corporation as Senior
Vice  President  - Counsel,  Employee  shall  initially  be paid a salary at the
annual rate of $228,000,  (herein referred to as "Salary") payable bi-weekly. On
the first day of each calendar year during the term of this  Agreement  with the
Corporation,  Employee  shall be eligible  for an  increase  in Salary  based on
recommendations made by the Compensation Committee of the Board.

            4.2 Bonus.  Employee is eligible to  participate in the stock option
plan of the employer and all bonus compensation plans, which may be offered from
time to time.

                                    ARTICLE V
                                Employee Benefits

            5.1 Use of Automobile.  The Corporation shall provide, at the option
of Employee,  with either the use of an automobile for business and personal use
or a car allowance of to be specified by the  Corporation,  which  complies with
I.R.S.  Guidelines.  The  Corporation  shall  pay  all  expenses  of  operating,
maintaining  and

                                       2
<PAGE>

repairing the  automobile  and shall procure and maintain  automobile  liability
insurance in respect  thereof,  with such  coverage  insuring  each Employee for
bodily injury and property damage.

            5.2 Medical, Life and Disability Insurance Benefits. The Corporation
shall provide employee with the medical,  life and disability insurance benefits
in accordance with the established benefit policies of the Corporation.

            5.3  Business  Expenses.  Employee  shall  be  authorized  to  incur
reasonable  expenses for  promoting  the business of the  Corporation  including
expenses for  entertainment,  travel,  and similar items. The Corporation  shall
reimburse Employee for all such expenses upon the presentation by Employee, from
time to time, of an itemized account of such expenditures.

            5.4 Vacations. Employee shall be entitled to an annual paid vacation
commensurate  with the Corporation's  established  vacation policy for executive
officers. The timing of paid vacations shall be scheduled in a reasonable manner
by the Employee.

            5.5 Disability. Upon disability (as defined herein) of the Employee,
the  Employee  shall be entitled to receive an amount equal to 50% of his salary
(in addition to any disability  insurance  benefits received pursuant to Section
5.2 herein), such amount being paid semi-monthly in twelve equal installments.

                                   ARTICLE VI
                                   Termination

            6.1 Death.  Employee's employment hereunder shall be terminated upon
the Employee's death.

            6.2 Disability.  The Corporation may terminate Employee's employment
hereunder in the event  Employee is disabled and such  disability  continues for
more than 180 days.  Disability shall be defined as the inability of Employee to
render the services required of him under this Agreement as a result of physical
or mental incapacity.

            6.3 Cause.

            (a) The Corporation may terminate  Employee's  employment  hereunder
for Cause. For the purpose of this Agreement, "Cause"

<PAGE>

shall mean the (i) willful and intentional  failure by Employee to substantially
perform his duties  hereunder,  other than any failure resulting from Employee's
incapacity due to physical or mental incapacity, or (ii) commission by Employee,
in connection with his employment by the  Corporation,  of an illegal act or any
act (though not illegal)  which is not in the ordinary  course of the Employee's
responsibilities  and which exposes the  Corporation  to a significant  level of
undue  liability.  For purposes of this  paragraph,  no act or failure to act on
Employee's  part shall be considered  to have met either of the preceding  tests
unless  done or  omitted  to be done by  Employee  not in good  faith  without a
reasonable  belief that his action or omission  was in the best  interest of the
Corporation.

            (b) Notwithstanding  the foregoing,  Employee shall not be deemed to
have been  terminated for Cause unless and until there shall have been delivered
to Employee a copy of a  resolution,  duly adopted by the  majority  vote of the
Board of Directors.

            6.4  Compensation  Upon Termination for Cause or Upon Resignation by
Employee.  If Employee's employment shall be terminated for Cause or if Employee
shall  resign his  position  with the  Corporation,  the  Corporation  shall pay
Employee's  compensation  only through the last day of Employee's  employment by
the  Corporation.  The  Corporation  shall  then have no further  obligation  to
Employee under this Agreement.

            6.5 Involuntary Termination. If:

                        (i) the Employee is  terminated  by  Corporation  at any
                        time  prior to the  termination  of this  Agreement  for
                        reasons  other than Cause (as defined  herein),  (ii) if
                        Corporation gives notice to the Employee,  in accordance
                        with Section 2.2 herein, that this Agreement will not be
                        renewed;

            Employee shall be paid, over the ensuing six (6) month period, a sum
            equal to the cash  compensation paid to him excluding all bonuses of
            any kind by  Corporation  for the six (6) month  period  immediately
            preceding  such  termination  or  non-renewal.  Such  six (6)  month
            period,  as the  case  may  be,  shall  begin:  (i) on the  date  of
            termination in the case of termination of Employee's employment; and
            (ii) on the  date  notice  of  non-renewal  is  given in the case of
            termination  of  this  Agreement  not  accompanied  by  simultaneous
            termination of Employee's employment with the Corporation.

                                       4
<PAGE>

                                   ARTICLE VII
                  No Obligation to Mitigate Damages; No Effect
                           on Other Contractual Rights

            7.1 No  Mitigation.  Employee  shall  not be  required  to  mitigate
damages or the  amount of any  payment  provided  for under  this  Agreement  by
seeking  other  employment  or  otherwise,  nor shall the amount of any  payment
provided  for under this  Agreement  be reduced  by any  compensation  earned by
Employee  as the result of  employment  by  another  employer  after  Employee's
termination or resignation.

            7.2 Other Contractual Rights. The provisions of this Agreement,  and
any  payment  provided  for  hereunder,  shall not reduce  any amount  otherwise
payable,  or in any way diminish  Employee's  existing  rights,  or rights which
would accrue  solely as a result of passage of time under any  employee  benefit
plan or other  contract,  plan or arrangement of which Employee is a beneficiary
or in which he participates.

                                  ARTICLE VIII
                          Successors to the Corporation

            Employee's Successors and Assigns. This Agreement shall inure to the
benefit of and be enforceable by Employee's personal and legal  representatives,
executors,   administrators,   successors,  heirs,  distributees,  devisees  and
legatees.  If Employee  should die while any  amounts  are still  payable to him
hereunder,  all such amounts, unless otherwise provided herein, shall be paid in
accordance  with the terms of this Agreement to Employee's  devisee,  legatee or
other designee or, if there be no such designee, to Employee's estate.

                                   ARTICLE IX
                            Restrictions on Employee

            9.1 Non-Disclosure.  (a) The Employee  acknowledges that, because of
his duties and his position of trust under this  Agreement,  the  Employee  will
become  familiar with trade secrets  (including,  but not limited to,  marketing
objectives and strategies,  financial  reporting,  management systems,  recipes,
procedures,  business  methods,  processes and financial  information) and other
confidential  information (including,  but not limited to, operating methods and
procedures,  secret lists of actual and potential  sources

                                       5
<PAGE>

of supply, customers and employees, costs, profits, markets, sales and plans for
future developments) (the trade secrets and other confidential information being
referred to herein as  "business  information")  which are  valuable  assets and
property rights of the Corporation and not publicly known.  Except in connection
with the performance of his duties for the Corporation, the Employee agrees that
he will not  during or at any time  after  the Term and  after  the  termination
hereof, either directly or indirectly,  individually or jointly with others, for
the benefit of Employee or any third party, publish, disclose, use, or authorize
anyone  else to publish,  disclose,  or use,  any  business  information  or any
information  relating  to  any  aspect  of the  business  or  operations  of the
Corporation,  including,  but not limited to any secret or business  information
relating  to the  business,  customers,  trade or  industrial  practices,  trade
secrets,  technology,  recipes  or  know-how  of the  Corporation  or any  facts
concerning the systems,  methods,  procedures or plans  developed or used by the
Corporation and its subsidiaries  and affiliates.  The Employee agrees to retain
all such business  information  in a fiduciary  capacity for the sole benefit of
the Corporation,  its successors and assigns. Upon termination of his employment
by the  Corporation  or at any time  that the  Corporation  may so  request  the
Employee will surrender to the Corporation all non-public papers, notes, reports
and other  documents  (and all copies  thereof)  relating to the business of the
Corporation which he may then possess or have under his control.

            (b) To the extent  that  Employee  has  generated  or will  generate
during the course of his employment  works of authorship  (which shall be deemed
to be "works for hire"), copyrightable material,  inventions,  trademarks, trade
dress or other intellectual  property  (hereinafter  collectively referred to as
"Intellectual  Property"),  such Intellectual  Properly shall be the property of
the  Corporation.  In the event  that the  "works  for hire"  doctrine  is found
inapplicable,  all such Intellectual  Properly,  and all rights therein, will be
and are hereby deed to be,  assigned and  transferred  by this  Agreement to the
Corporation,  its successors  and assigns.  The  Corporation,  its successor and
assigns,  will  have the  exclusive  right to  obtain  copyright  patent  and/or
trademark  registrations  or  other  protection  of  the  Intellectual  Property
(including without limitation,  maintaining such Intellectual  Property as trade
secrets) in the  Corporation's  own name,  or in the names of the  Corporation's
successors  or  assigns,  as  inventor,  author  and/or  owner and to secure any
renewals  and  extension  of  such  protection  throughout  the  world.  If  the
Corporation chooses to maintain any part or all of the Intellectual  Property as
a trade secrets,  the Corporation  shall so inform the Employee and the Employee
shall

                                       6
<PAGE>

maintain such  Intellectual  Property as  confidential to the extent required by
this paragraph. The Employee further agrees as follows:

                  (i) The Employee hereby  acknowledges that he retain no rights
            whatsoever with respect to the aforementioned Intellectual Property,
            including   but  no  limited  to,  any  rights  to  reproduce   such
            Intellectual  Property,  or to make,  have  made,  use  and/or  sell
            products  based upon the  Intellectual  Property,  or  otherwise  to
            prepare derivatives thereof, to file patent,  copyright or trademark
            applications  with  respect  thereto,  to  distribute  copies of any
            Intellectual  Property in any manner whatsoever,  to exhibit, use or
            display any such Intellectual Property publicly or otherwise,  or to
            license  or  assign  to any  third  party the right to do any of the
            foregoing; and

                  (ii) The Employee will without  further  remuneration  (except
            for out-of-pocket)  expenses,  execute and deliver any documents and
            give  any   assistance  as  may  be  reasonably   requested  by  the
            Corporation  to effect  the  ownership  rights as  provided  in this
            Agreement or otherwise to further the purposes of this paragraph.

            9.2  Non-Solicitation.  (a) Except in the  performance of his duties
hereunder,  at no time  during  the Term and for a period  of  twenty-four  (24)
months thereafter such Employee shall not directly or indirectly, employ or seek
to employ, target or assist others in employing or seeking to employ directly or
indirectly any employee of the Corporation.

            (b) In addition during the Term and for such twenty-four (24) months
thereafter,  the Employee shall not influence or attempt to influence  customers
or suppliers of the Corporation or any of its present or future  subsidiaries or
affiliates,  either  directly  or  indirectly  to divert  their  business to any
individual,  partnership,  firm,  corporation  or other entity then in direct or
indirect competition with the business of the Corporation,  or any subsidiary or
affiliate of the Corporation.

            9.3 Non-Competition. During the Term and for twenty-four (24) months
thereafter, regardless of any termination pursuant to Article 6 or any voluntary
termination  or  resignation  by  Employee,  Employee  shall not in any capacity
whatsoever, individually or jointly with others, directly or indirectly, whether
for his own account or for that of any other  person or entity be  employed  by,

7
<PAGE>

engage in, serve as an officer, director, consultant, agent, partner, proprietor
or other  participant,  or own or hold any  ownership  interest in any person or
entity  engaged in a restaurant  business,  which features steak and where steak
sales,  as a  percentage  of food  sales,  exceed  thirty  percent  (30%)  which
restaurant  business is located within a one hundred mile radius of any existing
Lone Star Steakhouse & Saloon restaurant,  Del Frisco's Double Eagle Steak House
restaurant or Sullivan's Steakhouse restaurant without the Corporation's written
consent.

                                    ARTICLE X
                            Uniqueness of Provisions

            The provisions of Article 9 of this Agreement are of a unique nature
and of extraordinary value and of such a character that a material breach of the
provisions  of  Article  9 of this  Agreement  by the  Employee  will  result in
irreparable  damage and injury to the Corporation for which the Corporation will
not have any adequate remedy at law.  Therefore,  in the event that the Employee
commits or threatens to commit any such breach,  the  Corporation  will have (a)
the  right and  remedy  to have the  provision  of  Article 9 of this  Agreement
specifically  enforced by any court having equity jurisdiction,  it being agreed
that in any proceeding for an injunction, and upon any motion for a temporary or
permanent injunction, the Employee's ability to answer in damages shall not be a
bar or  interposed as a defense to the granting of such  injunction  and (b) the
right and remedy to require  the  Employee to account for and to pay over to the
Corporation all compensation,  profits, monies,  accruals,  increments and other
benefits  (hereinafter  referred  to  collective  as the  "Benefits"  derived or
received by him as a result of any transactions  constituting a breach of any of
the provisions of Article 9 of this Agreement, and the Employee hereby agrees to
account for and pay over such  Benefits to the  Corporation.  Each of the rights
and remedies  enumerated in Article 9 above shall be  independent  of the other,
and shall be severally enforceable, and all of such rights and remedies shall be
in addition to, and not in lieu of, any other  rights and remedies  available to
the Corporation on law or in equity.

                                   ARTICLE XI
                                  Miscellaneous

            11.1 Indemnification. To the full extent permitted by law, the Board
shall authorize the payment of expenses  incurred by  or

                                       8
<PAGE>

shall  satisfy  judgments or fines  rendered or levied  against  Employee in any
action brought by a third-party against Employee (whether or not the Corporation
is joined as a party  defendant)  to impose any liability or penalty on Employee
for any act alleged to have been  committed  by Employee  while  employed by the
Corporation  unless  Employee  was  acting  with  gross  negligence  or  willful
misconduct.  Payments  authorized  hereunder  shall  include  amounts  paid  and
expenses incurred in settling any such action or threatened action.

            11.2  Arbitration.  The parties agree that any  disputes,  claims or
controversy  of any kind arising out of this  agreement or out of the employment
relationship  between  Employee  and  the  Corporation  shall  be  submitted  to
arbitration.  Employee simultaneously with execution of this agreement agrees to
execute  the  Receipt  acknowledging  receipt  of  the  Corporation's  Mandatory
Arbitration Policy.

            11.3   Notices.   All   notices,   requests,   demands   and   other
communications hereunder,  including notice of termination by the Employee under
Article 12.1 or 12.2 of this Agreement must be in writing and shall be deemed to
have been duly given upon receipt if delivered by hand,  sent by  telecopier  or
courier,  and three (3) days  after  such  communication  is mailed  within  the
continental  United  States  by  first  class  certified  mail,  return  receipt
requested, postage prepaid, to the other party.

            11.4 Waiver of Breach. The waiver by any party hereto of a breach of
any provision of this Agreement shall not operate or be construed as a waiver of
any subsequent breach by any party.

            11.5 Amendment. No amendment or modification of this Agreement shall
be deemed effective unless or until executed in writing by the parties hereto.

            11.6 Validity. This Agreement, having been executed and delivered in
the State of Kansas, its validity,  interpretation,  performance and enforcement
will be governed by the laws of that state.

            11.7 Article Headings.  Article and other headings contained in this
Agreement  are for  reference  purposes only and shall not affect in any way the
meaning or interpretation of this Agreement.

            11.8 Counterpart Execution. This Agreement may be executed in two or
more counterparts,  each of which shall be

                                       9
<PAGE>

deemed an original,  but all of which together shall  constitute but one and the
same instrument.

            11.9 Legal Fees.  Except in the event of termination for Cause,  and
only in the event a change of  control  of the  Corporation  has  occurred,  the
Corporation  shall pay all legal fees and expenses which Employee may incur as a
result  of  the  Corporation's   contesting  the  validity,   enforceability  or
Employee's interpretation of, or determination under, this Agreement.

            11.10  Exclusivity.   Specific  arrangements  referred  to  in  this
Agreement  are not  intended to exclude  Employee's  participation  in any other
benefits  available  to  executive  personnel  generally  or to  preclude  other
compensation or benefits as may be authorized by the Board from time to time.

            11.11 Partial Invalidity. If any provision in this Agreement is held
by a court of competent jurisdiction to be invalid, void, or unenforceable,  the
remaining  provisions  shall  nevertheless  continue in full force without being
impaired or invalidated in any way.

                                   ARTICLE XII

            12.1  Change  of  Control.  The  Employee  shall  have the  right to
terminate  his  employment  hereunder,  upon 10 days  notice to the  Corporation
within six months of Change of Control.  For the purposes of this  Agreement,  a
"Change of Control" means (i) the direct or indirect,  sale, lease,  exchange or
other  transfer of all or  substantially  all (50% or more) of the assets of the
Corporation  to any Person or Group of Persons  other  than an  Affiliate  or an
entity  controlled  by an  Affiliate,  (ii) the merger,  consolidation  or other
business  combination of the Corporation  with or into another  corporation with
the effect that the  shareholders  of the Corporation  immediately  prior to the
business  combination  hold 50% or less of the combined voting power of the then
outstanding  securities of the surviving  Person of such merger  ordinarily (and
apart from rights accruing under special circumstances) having the right to vote
in the election of directors,  (iii) the  replacement of a majority of the Board
of the Corporation  over any period of two years or less, from the directors who
constituted  the Board of the  Corporation at the beginning of such period,  and
such replacement(s) shall not have been approved by the Board of the Corporation
as  constituted  at the  beginning  of such  period,  (iv) a Person  or Group of
Persons other than an Affiliate or an entity controlled by an Affiliate,  shall,
as a result of a tender or  exchange

                                       10
<PAGE>

offer, open market purchases,  privately negotiated purchases or otherwise, have
become the beneficial owner (within the meaning of Rule 13d-3  promulgated under
the  Securities  Exchange  Act of  1934,  as  amended  (the  "Exchange  Act") of
securities of the  Corporation  representing  50% or more of the combined voting
power of the then  outstanding  securities of the  Corporation  ordinarily  (and
apart from rights accruing under special circumstances) having the right to vote
in the election of  directors.  A transaction  constituting  a Change of Control
shall  be  deemed  to  have  occurred  upon  the  closing  of  the  transaction.
Notwithstanding  the foregoing,  a transaction  shall not constitute a Change of
Control under this  Agreement if the  transaction  is approved by (i) at least a
majority of the Board of the Corporation as constituted immediately prior to the
transaction  and  (ii)  Jamie  B.  Coulter,  the  Chairman  of the  Board of the
Corporation.

            For  the  purposes  of  this   Agreement,   an  "Affiliate"  of  the
Corporation  shall mean any person that directly,  or indirectly  through one or
more  intermediaries,  controls or is controlled  by, or is under common control
with the  Corporation,  including but not limited to the  executive  officer and
directors of the Corporation.

            12.2 Termination of Non-Compete and  Non-Solicitation.  In the event
the Employee  elects to terminate this Agreement in connection  with a Change of
Control  under  the  terms of  Article  12.1,  the  provisions  of  Article  9.2
Non-Solicitation and 9.3 Non-Competition  shall be deemed to have expired and be
of no further force or effect as of the date of termination of the Employee.

            IN WITNESS WHEREOF,  the Corporation has caused this Agreement to be
executed and its seal affixed hereto by its officers  thereunto duly authorized;
and the Employee has executed this Agreement, as of the day and year first above
written.

"CORPORATION"                                 LONE STAR STEAKHOUSE &
   Attest                                       SALOON, INC.

/s/ Gerald T. Aaron                           BY /s/ Jamie B. Coulter
-------------------------------                 --------------------------------
Gerald T. Aaron, Secretary                      Jamie B. Coulter, Chairman
                                                and Chief  Executive Officer

Witness                                       "EMPLOYEE"

                                              /s/ Gerald T. Aaron
-------------------------------               ----------------------------------
                                              GERALD T. AARON

                                       11EMPLOYMENT AGREEMENT

            This Agreement is entered into effective as of this 22 day of March,
2000, by and between Lone Star  Steakhouse & Saloon,  Inc., a  corporation  (the
"Corporation") and Randall H. Pierce ("Employee").

                                    RECITALS

         WHEREAS, the Employee agrees to serve as Chief Financial Officer of the
Corporation; and

         WHEREAS,  Employee is a  principal  officer of the  Corporation  and an
integral part of its management; and

         WHEREAS,  the  Corporation  desires to engage the services of Employee,
whose  experience,  knowledge  and  abilities  with  respect to the business and
affairs of the Corporation are extremely valuable to the Corporation; and

         WHEREAS, the parties hereto desire to enter into this Agreement setting
forth the terms and conditions of the continued  employment  relationship of the
Corporation and Employee.

         NOW THEREFORE, it is agreed as follows:

                                    ARTICLE I

         Employee   acknowledges  and  agrees  that  he  is  not  subject  to  a
non-compete agreement or any other contractual  provision,  which would prohibit
him from performing his duties as Chief Financial Officer for the Corporation.

                                   ARTICLE II

         2.1 TERM OF EMPLOYMENT. The Corporation shall initially employ Employee
for a period of three years from the date hereof (the "Initial Term").

         2.2 EXTENSION OF INITIAL  TERM.  Upon each annual  anniversary  date of
this Agreement,  this Agreement shall be extended  automatically  for successive
terms of one year each,

<PAGE>
unless either the  Corporation or the Employee gives contrary  written notice to
the other not later than 90 days prior to the annual anniversary date thereof.

                                   ARTICLE III
                             DUTIES OF THE EMPLOYEE

            GENERAL  DUTIES.  Employee  shall serve as Chief  Financial  Officer
Counsel of the Corporation. He shall do and perform all services, acts or things
necessary or  advisable  to manage and conduct the  business of the  Corporation
consistent with such position  subject to such policies and procedures as may be
established by the Board.

         Employee  shall:  (i) devote his entire business time,  attention,  and
energies  to  the  business  of  the  Corporation,   and,  (ii)  faithfully  and
competently  perform his duties  hereunder;  and, Employee shall not, during the
term  of this  Agreement,  engage  in any  other  business  activity  except  as
permitted by Article 9.

                                   ARTICLE IV
                                  COMPENSATION

         4.1  SALARY.  For  Employee's  services  to the  Corporation  as  Chief
Financial Officer,  Employee shall initially be paid a salary at the annual rate
of $200,000,  (herein referred to as "Salary") payable  bi-weekly.  On the first
day  of  each  calendar  year  during  the  term  of  this  Agreement  with  the
Corporation,  Employee  shall be eligible  for an  increase  in Salary  based on
recommendations made by the Compensation Committee of the Board.

         4.2 STOCK  OPTION.  Employee  shall  receive by separate  agreement  an
option pursuant to the Corporation's Stock Option Plan to purchase 25,000 shares
of Common  Stock,  par value $.01 per share of the  Corporation  at the  closing
price per share of the Corporation's Common Stock as of January 7, 2000, vesting
equally over a three-year period.

         4.3 STOCK  OPTION.  Employee  shall  receive by separate  agreement  an
option pursuant to the Corporation's Stock Option Plan to purchase 75,000 shares
of Common  Stock,  par value $.01 per share of the  Corporation  at the  closing
price per share of the Corporation's  Common Stock as of March 24, 2000, vesting
equally over a three-year period.

         4.4 BONUS. Employee is eligible to participate in the stock option plan
of the employer and all bonus compensation plans, which may be offered from time
to time.

                                       2

<PAGE>
                                    ARTICLE V
                                EMPLOYEE BENEFITS

         5.1 MEDICAL,  LIFE AND DISABILITY  INSURANCE BENEFITS.  The Corporation
shall provide employee with the medical,  life and disability insurance benefits
in accordance with the established benefit policies of the Corporation.

         5.2 BUSINESS EXPENSES. Employee shall be authorized to incur reasonable
expenses for promoting the business of the  Corporation  including  expenses for
entertainment,  travel,  and similar  items.  The  Corporation  shall  reimburse
Employee for all such expenses upon the  presentation by Employee,  from time to
time, of an itemized account of such expenditures.

         5.3  VACATIONS.  Employee  shall be entitled to an annual paid vacation
commensurate  with the Corporation's  established  vacation policy for executive
officers. The timing of paid vacations shall be scheduled in a reasonable manner
by the Employee.

         5.4  DISABILITY.  Upon  disability (as defined herein) of the Employee,
the  Employee  shall be entitled to receive an amount equal to 50% of his salary
(in addition to any disability  insurance  benefits received pursuant to Section
5.1 herein), such amount being paid semi-monthly in twelve equal installments.

                                   ARTICLE VI
                                   TERMINATION

         6.1 DEATH. Employee's employment hereunder shall be terminated upon the
Employee's death.

         6.2 DISABILITY.  The Corporation  may terminate  Employee's  employment
hereunder in the event  Employee is disabled and such  disability  continues for
more than 180 days.  Disability shall be defined as the inability of Employee to
render the services required of him under this Agreement as a result of physical
or mental incapacity.

         6.3 CAUSE.

            (a) The Corporation may terminate  Employee's  employment  hereunder
for Cause. For the purpose of this Agreement, "Cause" shall mean the (i) willful
and  intentional  failure  by  Employee  to  substantially  perform  his  duties
hereunder,  other than any failure

                                       3
<PAGE>
resulting from Employee's  incapacity due to physical or mental  incapacity,  or
(ii)  commission  by  Employee,   in  connection  with  his  employment  by  the
Corporation,  of an illegal act or any act (though not illegal)  which is not in
the ordinary  course of the  Employee's  responsibilities  and which exposes the
Corporation  to a  significant  level of undue  liability.  For purposes of this
paragraph,  no act or failure to act on  Employee's  part shall be considered to
have met  either of the  preceding  tests  unless  done or omitted to be done by
Employee  not in good  faith  without a  reasonable  belief  that his  action or
omission was in the best interest of the Corporation.

         (b) Notwithstanding the foregoing, Employee shall not be deemed to have
been  terminated  for Cause unless and until there shall have been  delivered to
Employee a copy of a resolution,  duly adopted by the majority vote of the Board
of Directors.

         6.4  COMPENSATION  UPON  TERMINATION  FOR CAUSE OR UPON  RESIGNATION BY
EMPLOYEE.  If Employee's employment shall be terminated for Cause or if Employee
shall  resign his  position  with the  Corporation,  the  Corporation  shall pay
Employee's  compensation  only through the last day of Employee's  employment by
the  Corporation.  The  Corporation  shall  then have no further  obligation  to
Employee under this Agreement.

         6.5 INVOLUNTARY TERMINATION. If:

             (i) the Employee is terminated by  Corporation at any time prior to
             the  termination of this Agreement for reasons other than Cause (as
             defined herein),  (ii) if Corporation gives notice to the Employee,
             in accordance with Section 2.2 herein, that this Agreement will not
             be renewed;

         Employee  shall be paid,  over the ensuing six (6) month period,  a sum
         equal to the cash compensation paid to him excluding all bonuses of any
         kind by Corporation for the six (6) month period immediately  preceding
         such termination or non-renewal. Such six (6) month period, as the case
         may be,  shall  begin:  (i) on the date of  termination  in the case of
         termination  of Employee's  employment;  and (ii) on the date notice of
         non-renewal  is given in the case of  termination of this Agreement not
         accompanied by simultaneous  termination of Employee's  employment with
         the Corporation.

                                       4
<PAGE>

                                   ARTICLE VII
                  NO OBLIGATION TO MITIGATE DAMAGES; NO EFFECT
                           ON OTHER CONTRACTUAL RIGHTS

         7.1 NO MITIGATION.  Employee shall not be required to mitigate  damages
or the amount of any payment  provided for under this Agreement by seeking other
employment or otherwise,  nor shall the amount of any payment provided for under
this Agreement be reduced by any  compensation  earned by Employee as the result
of employment by another employer after Employee's termination or resignation.

         7.2 OTHER CONTRACTUAL RIGHTS. The provisions of this Agreement, and any
payment provided for hereunder,  shall not reduce any amount otherwise  payable,
or in any way diminish  Employee's existing rights, or rights which would accrue
solely as a result of passage of time under any  employee  benefit plan or other
contract,  plan or arrangement of which Employee is a beneficiary or in which he
participates.

                                  ARTICLE VIII
                          SUCCESSORS TO THE CORPORATION

         EMPLOYEE'S  SUCCESSORS AND ASSIGNS.  This Agreement  shall inure to the
benefit of and be enforceable by Employee's personal and legal  representatives,
executors,   administrators,   successors,  heirs,  distributees,  devisees  and
legatees.  If Employee  should die while any  amounts  are still  payable to him
hereunder,  all such amounts, unless otherwise provided herein, shall be paid in
accordance  with the terms of this Agreement to Employee's  devisee,  legatee or
other designee or, if there be no such designee, to Employee's estate.

                                   ARTICLE IX
                            RESTRICTIONS ON EMPLOYEE

         9.1 NON-DISCLOSURE.  (a) The Employee acknowledges that, because of his
duties and his position of trust under this Agreement,  the Employee will become
familiar with trade secrets (including, but not limited to, marketing objectives
and strategies,  financial reporting,  management systems, recipes,  procedures,
business methods,  processes and financial  information) and other  confidential
information  (including,  but not limited to, operating  methods and procedures,
secret lists of actual and potential sources of supply, customers and employees,
costs,  profits,  markets,  sales and plans for future  developments) (the trade
secrets and other

                                       5

<PAGE>
confidential  information  being  referred to herein as "business  information")
which  are  valuable  assets  and  property  rights of the  Corporation  and not
publicly known.  Except in connection with the performance of his duties for the
Corporation,  the  Employee  agrees that he will not during or at any time after
the Term and  after the  termination  hereof,  either  directly  or  indirectly,
individually  or jointly with  others,  for the benefit of Employee or any third
party, publish, disclose, use, or authorize anyone else to publish, disclose, or
use, any business  information or any information  relating to any aspect of the
business or operations  of the  Corporation,  including,  but not limited to any
secret or business  information  relating to the business,  customers,  trade or
industrial  practices,  trade  secrets,  technology,  recipes or know-how of the
Corporation or any facts  concerning the systems,  methods,  procedures or plans
developed or used by the Corporation and its  subsidiaries  and affiliates.  The
Employee agrees to retain all such business  information in a fiduciary capacity
for the sole  benefit of the  Corporation,  its  successors  and  assigns.  Upon
termination  of his  employment  by the  Corporation  or at any  time  that  the
Corporation  may so request the Employee will surrender to the  Corporation  all
non-public papers,  notes,  reports and other documents (and all copies thereof)
relating to the  business of the  Corporation  which he may then possess or have
under his control.

         (b) To the extent that Employee has  generated or will generate  during
the course of his  employment  works of authorship  (which shall be deemed to be
"works for hire"), copyrightable material,  inventions,  trademarks, trade dress
or  other  intellectual  property  (hereinafter   collectively  referred  to  as
"Intellectual  Property"),  such Intellectual  Property shall be the property of
the  Corporation.  In the event  that the  "works  for hire"  doctrine  is found
inapplicable,  all such Intellectual  Property,  and all rights therein, will be
and are hereby deed to be,  assigned and  transferred  by this  Agreement to the
Corporation,  its successors  and assigns.  The  Corporation,  its successor and
assigns,  will  have the  exclusive  right to  obtain  copyright  patent  and/or
trademark  registrations  or  other  protection  of  the  Intellectual  Property
(including without limitation,  maintaining such Intellectual  Property as trade
secrets) in the  Corporation's  own name,  or in the names of the  Corporation's
successors  or  assigns,  as  inventor,  author  and/or  owner and to secure any
renewals  and  extension  of  such  protection  throughout  the  world.  If  the
Corporation chooses to maintain any part or all of the Intellectual  Property as
a trade secrets,  the Corporation  shall so inform the Employee and the Employee
shall maintain such Intellectual Property as confidential to the extent

                                       6

<PAGE>
required by this paragraph. The Employee further agrees as follows:

                    (i) The  Employee  hereby  acknowledges  that he  retain  no
         rights  whatsoever  with  respect  to the  aforementioned  Intellectual
         Property,  including  but no limited to, any rights to  reproduce  such
         Intellectual  Property, or to make, have made, use and/or sell products
         based  upon  the  Intellectual   Property,   or  otherwise  to  prepare
         derivatives   thereof,   to  file   patent,   copyright   or  trademark
         applications  with  respect  thereto,   to  distribute  copies  of  any
         Intellectual  Property in any manner  whatsoever,  to  exhibit,  use or
         display any such  Intellectual  Property  publicly or otherwise,  or to
         license  or  assign  to any  third  party  the  right  to do any of the
         foregoing; and

                    (ii) The Employee will without further  remuneration (except
         for out-of-pocket) expenses, execute and deliver any documents and give
         any  assistance as may be reasonably  requested by the  Corporation  to
         effect the ownership  rights as provided in this Agreement or otherwise
         to further the purposes of this paragraph.

         9.2  NON-SOLICITATION.  (a)  Except in the  performance  of his  duties
hereunder,  at no time  during  the Term and for a period  of  twenty-four  (24)
months thereafter such Employee shall not directly or indirectly, employ or seek
to employ, target or assist others in employing or seeking to employ directly or
indirectly any employee of the Corporation.

         (b) In addition  during the Term and for such  twenty-four  (24) months
thereafter,  the Employee shall not influence or attempt to influence  customers
or suppliers of the Corporation or any of its present or future  subsidiaries or
affiliates,  either  directly  or  indirectly  to divert  their  business to any
individual,  partnership,  firm,  corporation  or other entity then in direct or
indirect competition with the business of the Corporation,  or any subsidiary or
affiliate of the Corporation.

         9.3  NON-COMPETITION.  During the Term and for twenty-four  (24) months
thereafter, regardless of any termination pursuant to Article 6 or any voluntary
termination  or  resignation  by  Employee,  Employee  shall not in any capacity
whatsoever, individually or jointly with others, directly or indirectly, whether
for his own account or for that of any other  person or entity be  employed  by,
engage in, serve as an officer, director, consultant, agent, partner,

                                       7
<PAGE>
proprietor or other  participant,  or own or hold any ownership  interest in any
person or entity  engaged in a restaurant  business,  which  features  steak and
where steak sales,  as a percentage of food sales,  exceed thirty  percent (30%)
which  restaurant  business is located  within a one hundred  mile radius of any
existing Lone Star  Steakhouse & Saloon  restaurant,  Del Frisco's  Double Eagle
Steak  House  restaurant  or  Sullivan's   Steakhouse   restaurant  without  the
Corporation's written consent.

                                    ARTICLE X
                            UNIQUENESS OF PROVISIONS

         The  provisions  of Article 9 of this  Agreement are of a unique nature
and of extraordinary value and of such a character that a material breach of the
provisions  of  Article  9 of this  Agreement  by the  Employee  will  result in
irreparable  damage and injury to the Corporation for which the Corporation will
not have any adequate remedy at law.  Therefore,  in the event that the Employee
commits or threatens to commit any such breach,  the  Corporation  will have (a)
the  right and  remedy  to have the  provision  of  Article 9 of this  Agreement
specifically  enforced by any court having equity jurisdiction,  it being agreed
that in any proceeding for an injunction, and upon any motion for a temporary or
permanent injunction, the Employee's ability to answer in damages shall not be a
bar or  interposed as a defense to the granting of such  injunction  and (b) the
right and remedy to require  the  Employee to account for and to pay over to the
Corporation all compensation,  profits, monies,  accruals,  increments and other
benefits  (hereinafter  referred  to  collective  as the  "Benefits"  derived or
received by him as a result of any transactions  constituting a breach of any of
the provisions of Article 9 of this Agreement, and the Employee hereby agrees to
account for and pay over such  Benefits to the  Corporation.  Each of the rights
and remedies  enumerated in Article 9 above shall be  independent  of the other,
and shall be severally enforceable, and all of such rights and remedies shall be
in addition to, and not in lieu of, any other  rights and remedies  available to
the Corporation on law or in equity.

                                       8

<PAGE>
                                   ARTICLE XI
                                  MISCELLANEOUS

         11.1  INDEMNIFICATION.  To the full extent  permitted by law, the Board
shall authorize the payment of expenses  incurred by or shall satisfy  judgments
or fines  rendered  or  levied  against  Employee  in any  action  brought  by a
third-party  against  Employee  (whether or not the  Corporation  is joined as a
party  defendant)  to impose any  liability  or penalty on Employee  for any act
alleged to have been  committed by Employee  while  employed by the  Corporation
unless Employee was acting with gross negligence or willful misconduct. Payments
authorized  hereunder  shall  include  amounts  paid and  expenses  incurred  in
settling any such action or threatened action.

         11.2  ARBITRATION.  The  parties  agree  that any  disputes,  claims or
controversy  of any kind arising out of this  agreement or out of the employment
relationship  between  Employee  and  the  Corporation  shall  be  submitted  to
arbitration.  Employee simultaneously with execution of this agreement agrees to
execute  the  Receipt  acknowledging  receipt  of  the  Corporation's  Mandatory
Arbitration Policy.

         11.3 NOTICES. All notices,  requests,  demands and other communications
hereunder, including notice of termination by the Employee under Article 12.1 or
12.2 of this  Agreement must be in writing and shall be deemed to have been duly
given upon receipt if  delivered by hand,  sent by  telecopier  or courier,  and
three (3) days after such  communication is mailed within the continental United
States by first class certified mail, return receipt requested, postage prepaid,
to the other party.

         11.4  WAIVER OF BREACH.  The waiver by any party  hereto of a breach of
any  provision  of  this  Agreement  shall  not  operate  or be  construed  as a
waiver of any subsequent breach by any party.

         11.5 AMENDMENT. No amendment or modification of this Agreement shall be
deemed  effective  unless or until executed in writing by the parties hereto.

         11.6 VALIDITY.  This  Agreement,  having been executed and delivered in
the State of Kansas, its validity,  interpretation,  performance and enforcement
will be governed by the laws of that state.

                                       9

<PAGE>
         11.7 ARTICLE  HEADINGS.  Article and other  headings  contained in this
Agreement  are for  reference  purposes only and shall not affect in any way the
meaning or interpretation of this Agreement.

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

         11.9 LEGAL FEES. Except in the event of termination for Cause, and only
in  the  event  a  change  of  control  of the  Corporation  has  occurred,  the
Corporation  shall pay all legal fees and expenses which Employee may incur as a
result  of  the  Corporation's   contesting  the  validity,   enforceability  or
Employee's interpretation of, or determination under, this Agreement.

         11.10 EXCLUSIVITY.  Specific arrangements referred to in this Agreement
are not  intended  to exclude  Employee's  participation  in any other  benefits
available to executive  personnel generally or to preclude other compensation or
benefits as may be authorized by the Board from time to time.

         11.11 PARTIAL INVALIDITY. If any provision in this Agreement is held by
a court of competent  jurisdiction to be invalid,  void, or  unenforceable,  the
remaining  provisions  shall  nevertheless  continue in full force without being
impaired or invalidated in any way.

                                   ARTICLE XII

         12.1 CHANGE OF CONTROL.  The Employee shall have the right to terminate
his  employment  hereunder,  upon 10 days notice to the  Corporation  within six
months of Change of Control.  For the purposes of this  Agreement,  a "Change of
Control"  means (i) the  direct or  indirect,  sale,  lease,  exchange  or other
transfer  of all or  substantially  all  (50%  or  more)  of the  assets  of the
Corporation  to any Person or Group of Persons  other  than an  Affiliate  or an
entity  controlled  by an  Affiliate,  (ii) the merger,  consolidation  or other
business  combination of the Corporation  with or into another  corporation with
the effect that the  shareholders  of the Corporation  immediately  prior to the
business  combination  hold 50% or less of the combined voting power of the then
outstanding  securities of the surviving  Person of such merger  ordinarily (and
apart from rights accruing under special circumstances) having the right to vote
in the election of directors,  (iii) the  replacement of a majority of the Board
of the Corporation  over any period of two years or

                                       10
<PAGE>
less,  from the directors who  constituted  the Board of the  Corporation at the
beginning of such period, and such  replacement(s)  shall not have been approved
by the Board of the  Corporation as constituted at the beginning of such period,
(iv) a  Person  or  Group  of  Persons  other  than an  Affiliate  or an  entity
controlled by an Affiliate,  shall,  as a result of a tender or exchange  offer,
open market purchases,  privately negotiated purchases or otherwise, have become
the  beneficial  owner (within the meaning of Rule 13d-3  promulgated  under the
Securities  Exchange Act of 1934, as amended (the "Exchange  Act") of securities
of the Corporation  representing 50% or more of the combined voting power of the
then outstanding securities of the Corporation ordinarily (and apart from rights
accruing under special  circumstances)  having the right to vote in the election
of directors. A transaction  constituting a Change of Control shall be deemed to
have  occurred  upon  the  closing  of  the  transaction.   Notwithstanding  the
foregoing,  a  transaction  shall not  constitute a Change of Control under this
Agreement if the transaction is approved by (i) at least a majority of the Board
of the Corporation as constituted  immediately prior to the transaction and (ii)
Jamie B. Coulter, the Chairman of the Board of the Corporation.

         For the purposes of this  Agreement,  an "Affiliate" of the Corporation
shall  mean  any  person  that  directly,  or  indirectly  through  one or  more
intermediaries,  controls or is controlled  by, or is under common  control with
the  Corporation,  including  but  not  limited  to the  executive  officer  and
directors of the Corporation.

         12.2 TERMINATION OF NON-COMPETE AND NON-SOLICITATION.  In the event the
Employee  elects to  terminate  this  Agreement in  connection  with a Change of
Control  under  the  terms of  Article  12.1,  the  provisions  of  Article  9.2
Non-Solicitation and 9.3 Non-Competition  shall be deemed to have expired and be
of no further force or effect as of the date of termination of the Employee.

         IN WITNESS  WHEREOF,  the  Corporation  has caused this Agreement to be
executed and its seal affixed hereto by its officers  thereunto duly authorized;
and the Employee has executed this Agreement, as of the day and year first above
written.

"CORPORATION"                                   LONE STAR STEAKHOUSE &
   Attest                                         SALOON, INC.

/s/ Gerald T. Aaron                           BY /s/ Jamie B. Coulter
-------------------------------                 --------------------------------
Gerald T. Aaron, Secretary                        Jamie B. Coulter, Chairman
                                                  and Chief  Executive Officer

Witness                                         "EMPLOYEE"

                                                /s/ Randall H. Pierce
-------------------------------                 --------------------------------
                                                Randall H. Pierce
                                       11

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00006-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00006-of-00352.parquet"}]]