Document:

EX-10.1

 Exhibit 10.1

EXECUTIVE SEPARATION AND RELEASE AGREEMENT

This Agreement is effective as of July 27, 2007, and is by and among Jeffrey L. Herrmann
(“Executive”) and Telular Corporation, a Delaware corporation (the “Company”).

RECITALS:

A. Executive is the Chief Operating Officer and Executive Vice President of Company.

B. Executive and Company are parties to that certain Severance Agreement dated as of February
1, 2005 (the “Severance Agreement”).

B. Executive has submitted to Company his resignation as an officer of Company.

C. Executive and Company wish to make certain arrangements, relating to the terms of
Executive’s severance payment, as specified herein.

AGREEMENT:

1. Termination. Company has accepted Executive’s resignation as an officer of the
Company, effective on the date hereof. Company and Executive agree that Executive’s employment by
Company will terminate on August 3, 2007 (the “Termination Date”). Such termination shall, for
purposes of the Severance Agreement, constitute termination without “Cause,” as such term is
defined in the Severance Agreement.

2. Interim Services. Until the Termination Date, Executive’s duties under the
Employment Agreement shall consist of providing such transitional assistance and support to Company
as the Board of Directors or the Chief Executive Officer may reasonably request. Following the
Termination Date and until February 3, 2008, Executive shall, upon the reasonable request of the
Board of Directors or the Chief Executive Officer and to the extent that doing so does not
interfere with his duties to any subsequent employer, make himself available to the Company to
answer questions, facilitate contacts with third parties, and otherwise facilitate the transition
of his functions to new personnel.

3. Clarification of Severance Arrangements. On the Termination Date, Company shall
pay to Executive (i) the amount of any accrued and unpaid salary for the period ended August 3,
2007; (ii) the amount of any accrued but unused paid time off that Executive may have as of the
Termination Date in accordance with Company’s paid time off policy; and (iii) reimbursement, in
accordance with applicable Company policies, procedures and standards, for any business expenses
for which Executive is entitled to reimbursement. On the date ten (10) days following the
Termination Date, provided that Executive has executed on the Termination Date and has not, within
the seven (7) days thereafter, rescinded the Release specified in Section 8(b), Company shall pay
to Executive the $135,000 severance payment (representing six months’ salary) specified in Section
1 of the Severance Agreement. For the period commencing on the Termination Date and ending on the
earlier of (i) February 29, 2008, and (ii) the date upon which Executive becomes eligible to
participate in the medical insurance plan of a subsequent employer, the Company shall also pay on
behalf of Executive the insurance premiums associated with the continuation pursuant to COBRA of
Executive’s medical insurance coverage under the Company’s medical plans. All payments to be made
pursuant to this Section 3 shall be subject to appropriate withholding for federal, state and other
applicable taxes.

4. Stock Options. Executive is currently the holder of a total of 155,000 outstanding
stock options issued to him by Company, of which, on the Termination Date, 118,333 will be vested.
The 31,667 options which, in accordance with the terms of the applicable stock option agreements,
will be unvested on the Termination Date and will not become vested on or before January 30, 2008
shall, in accordance with the terms of such stock option agreements, terminate on the Termination
Date. The 5,000 options which, in accordance with the terms of the applicable stock option
agreements, will not be vested on the Termination Date but which will become vested on or before
January 30, 2008, shall instead terminate on the date set forth on Schedule 1 hereto, and will
become exercisable upon the date indicated on Schedule 1 hereto (and the relevant stock option
agreements are hereby amended to reflect such extension of the terms thereof). The 123,333 options
that are either vested or shall become vested by January 30, 2008, shall terminate in accordance
with the termination provisions set forth on Schedule 1 hereto (and the relevant stock option
agreements are hereby amended to reflect the extension of the exercise periods for such stock
options until the date specified on Schedule 1 hereto), in each case if such option has not been
exercised prior to the date on which it would otherwise terminate.

5. Ownership of Material Information. Executive hereby confirms that all right, title
and interest of every kind and nature whatsoever in and to discoveries, inventions, improvements,
patents (and applications therefore), copyrights, ideas, processes, developments, know-how,
laboratory notebooks, creations, properties and all other proprietary rights arising from, or in
any way related to, Executive’s employment by Company, whether developed by Executive independently
or jointly with others (“Intellectual Property”), is and remains the exclusive property of Company,
and Executive has no interest therein. If Company elects to seek patent or other protection with
respect to an Intellectual Property, Executive shall, at Company’s expense, take all actions
reasonably requested by Company to obtain such protection for the benefit of Company and to fully
vest in Company and its successors and assigns full right and title to such Intellectual Property.
On or before the Termination Date, Executive shall return to Company all property of Company,
including all copies of or relating to any Intellectual Property, in the possession or under the
control of Executive.

6. Confidentiality. Executive shall not disclose to anyone any confidential
information concerning the business or affairs of Company (or of any affiliate or subsidiary of
Company), including but not limited to lists of and records relating to customers, business plans,
business negotiations, market information, financial and cost information, and scientific and
technical information (whether of Company or entrusted to Company by a third party under a
confidentiality agreement or understanding) that Executive shall have acquired in the course of, or
incident to, the performance of his duties to Company or pursuant to any prior dealings with
Company or any affiliate or subsidiary of Company. Executive shall hold in strictest confidence,
as a fiduciary, any and all such confidential information, and shall comply with all instructions
of Company for preservation of the confidentiality of such information. In the event of a breach
or threatened breach by Executive of the provisions of this Section 6, Company shall be entitled to
an injunction restraining Executive from disclosing, in whole or in part, such information or
rendering any services to any person, firm, corporation, association or other entity to whom such
information has been disclosed or is threatened to be disclosed. Nothing herein shall be construed
as prohibiting Company from pursuing any other remedies available to Company for such breach or
threatened breach, including the recovery of damages from Executive. Nothing herein shall be
construed as prohibiting Executive from disclosing to anyone any information that is, or that
becomes, available to the public (other than by reason of a violation of this Section 6) or that is
a matter of general business knowledge or experience.

7. Non-Competition. (a) Executive hereby agrees that for a period of six months
following the Termination Date, he will not, directly or indirectly, in any way, whether as
principal or as director, officer, employee, consultant, agent, partner or stockholder to another
entity (other than by the ownership of a passive investment interest of not more than 5% in a
company with publicly traded equity securities): (i) own, manage, operate, control, be employed
by, participate in, or be connected in any manner with the ownership, management, operation or
control of any business competing with any business of Company in which he participated during the
two years immediately preceding the Termination Date; (ii) participate in communications,
negotiations or bids with regards to the purchase of Company’s fixed cellular phone business; or
(iii) interfere with, solicit on behalf of another or attempt to entice away from Company (or any
affiliate or subsidiary of Company) (x) any project, financing or customer that Company (or any
affiliate or subsidiary of Company) has under contract (including unfulfilled purchase orders), or
any letter of supply or other supplier contract or arrangement entered into by Company (or any
affiliate or subsidiary of Company), and all extensions, renewals and resolicitations of such
contracts or arrangements, (y) any contract, agreement or arrangement that Company (or any
affiliate or subsidiary of Company) is actively negotiating with any other party, or (z) any
prospective business opportunity that Company (or any affiliate or subsidiary of Company) has
identified. The Company hereby agrees that employment by Executive in a role which is limited to
mobile handset distribution activities in the United States would not in and of itself be deemed a
violation of this Section 7, as long as Executive (A) refrains from any oversight or advisory
services with regard to distribution of fixed wireless terminal or phone products outside the
United States and (B) complies with Section 7(a)(ii). Executive hereby further agrees that for a
period of one year following the Termination Date, he will not, directly or indirectly, in any way,
whether as principal or as director, officer, employee, consultant, agent, partner or stockholder
to another entity (other than by the ownership of a passive investment interest of not more than 5%
in a company with publicly traded equity securities), for himself or another, hire, attempt to
hire, or assist in or facilitate in any way the hiring of any employee of Company (or any affiliate
or subsidiary of Company), or any employee of any person, firm or other entity, the employees of
which Company (or any affiliate or subsidiary of Company) has agreed not to hire or endeavor to
hire.

(b) Because of Executive’s knowledge of Company’s business, in the event of Executive’s
actual or threatened breach of the provisions of Section 7(a), Company shall be entitled to, and
Executive hereby consents to, an injunction restraining Executive from any of the foregoing,
without limitation of any other remedy that may be available to Company at law or in equity. The
parties agree that, because of the nature of Company’s relationship with its customers and the
nature of the confidential information possessed by Executive, the provisions of this Section 7 are
necessary and reasonable (in terms of time, scope, and geography) to protect Company in the conduct
of its business. If any restriction contained in this Section 7 shall be deemed to be invalid or
unenforceable by reason of the extent, duration or geographic scope thereof, then the extent,
duration and geographic scope of such restriction shall be deemed to be reduced to the fullest
extent, duration and geographic scope permitted by law and enforceable.

8. Release. (a) As consideration for the severance payment and other undertakings of
Company herein, including the continuation of employment through August 3, 2007, Executive hereby
releases and agrees not to sue Company and its subsidiaries and directors, officers, principals,
employees, agents, insurers and affiliates of any of them with respect to any and all claims,
whether in law or in equity, or whether known or unknown, related to his/her employment or
termination from employment with Company and its subsidiaries and its and their predecessors
(collectively, “Claims”). Such Claims include, without limitation, any claims under any applicable
laws, statutes or regulations; claims for discrimination on the basis of race, sex, age, national
origin, religion, sexual preference, disability or claims under Title VII of the Civil Rights Act,
the Age Discrimination in Employment Act, the Illinois Human Rights Act, the Cook County Human
Rights Ordinance, or the City of Chicago Human Relations Ordinance, or any comparable laws of the
State of New York or any subdivision thereof; any claims under common law, such as contract or tort
claim; and any claims for reinstatement or rehire by Company or claims for compensation or benefits
other than those set forth in Sections 3 and 4. Notwithstanding the forgoing, the above release
specifically excludes: (i) any claims that may arise out of events taking place after the
effective date of this Agreement, (ii) any claims against Company for breach of its obligations
under this Agreement, and (iii) the performance by Company of any obligations arising after the
date hereof under the stock option agreements referenced in Section 4.

(b) Without limiting the effect of the foregoing release, on the Termination Date Executive
shall execute and deliver to Company a Release, in the form attached hereto, dated the Termination
Date.

9. Representation and Acknowledgement. Executive represents that he has read and
understands the provisions of this Agreement and that he is entering into the Agreement voluntarily
and of his own free will. Executive has twenty-one (21) days to consider whether to accept the
terms of this Agreement and seven (7) days after execution to serve upon Company a revocation of
his acceptance in writing. This Agreement shall not become effective until after the expiration of
that seven-day period. Executive acknowledges that he has been advised of his/her right to consult
with an attorney in reviewing this Agreement.

1

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

TELULAR CORPORATION

By /s/Michael J. Boyle

Michael J. Boyle

Chief Executive Officer

/s/ Jeffrey L. Herrmann

Jeffrey L. Herrmann

2

SCHEDULE 1

Stock Option Termination Provisions

Vested Options

	 	 	 	 	 	 	 	 	 	 	 	 	 
	Grant Number

	 	Grant Date
	 	Number Vested and

Unexercised
	 	

Exercise Price
	 	

Termination Date
	 

	 	 
	 	 	 	 	 	 	 	 	 	 
	00001373

	 	10/1/2002
	 	 	25,000	 	 	$	2.47	 	 	1/30/2008
	 

	 	 
	 	 	 	 	 	 	 	 	 	

	00001554

	 	12/15/2003
	 	 	75,000	 	 	$	6.58	 	 	1/30/2008
	 

	 	 
	 	 	 	 	 	 	 	 	 	

	00001771

	 	10/24/2005
	 	 	5,000	 	 	$	3.52	 	 	1/30/2008
	 

	 	 
	 	 	 	 	 	 	 	 	 	

	00001912

	 	7/21/2006
	 	 	13,333	 	 	$	2.09	 	 	1/30/2008
	 

	 	 
	 	 	 	 	 	 	 	 	 	

Unvested Options

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Grant Number

	 	Grant Date
	 	Number Vested and

Unexercised
	 	Exercise Price
	 	Date First

Exercisable
	 	

Termination Date
	 

	 	 
	 	 	 	 	 	 	 	 	 	 
	 	 
	00001771

	 	10/24/2005
	 	 	5,000	 	 	$	3.52	 	 	10/24/2007
	 	1/30/2008
	 

	 	 
	 	 	 	 	 	 	 	 	 	 
	 	

3

August 3, 2007

RELEASE

As consideration for the severance payment and other undertakings of Telular Corporation, a
Delaware corporation (“Company”), specified in that certain Separation and Release Agreement dated
as of July 27, 2007, between the undersigned and Company (the “Separation Agreement”), the
undersigned hereby releases and agrees not to sue Company and its subsidiaries and directors,
officers, principals, employees, agents, insurers and affiliates of any of them with respect to any
and all claims, whether in law or in equity, or whether known or unknown, related to his/her
employment or termination from employment with Company and its subsidiaries and its and their
predecessors (collectively, “Claims”). Such Claims include, without limitation, any claims under
any applicable laws, statutes or regulations; claims for discrimination on the basis of race, sex,
age, national origin, religion, sexual preference, disability or claims under Title VII of the
Civil Rights Act, the Age Discrimination in Employment Act, the Illinois Human Rights Act, the Cook
County Human Rights Ordinance, or the City of Chicago Human Relations Ordinance; any claims under
common law, such as contract or tort claim; and any claims for reinstatement or rehire by Company
or claims for compensation or benefits other than those set forth in Sections 3 and 4 of the
Separation Agreement. Notwithstanding the forgoing, the above release specifically excludes: (i)
any claims that may arise out of events taking place after the effective date of this Release, (ii)
any claims against Company for breach of its obligations under the Separation Agreement, and (iii)
the performance by Company of any obligations arising after the date hereof under the stock option
agreements referenced in Section 4 of the Separation Agreement.

IN WITNESS WHEREOF, the undersigned has executed this Release as of the date first written
above.

/s/ Jeffrey L. Herrmann

Jeffrey L. Herrmann

4EX-10.2

 Exhibit 10.2

CONSULTING AGREEMENT

This Agreement is made between Telular Corporation (Company) with a principal place of
business at 311 South Wacker Drive, Suite 4300, Chicago, IL 60606 and Jeffrey Herrmann (Consultant
and together, the Parties) with a principal residence on file with the Company.

1. Services To Be Performed

Consultant shall provide advisory services (Services) to the Company, as directed by its
chief financial officer.

2. Independent Contractor Status

	 	2.1	 	Consultant may perform the Services at any place, location, or time and will
not report to the Company’s offices unless requested to do so for certain meetings.
No less than two days notice will be provided if Consultant is asked to report in
person to any meeting; with all such meetings to be held in the Chicago metropolitan
area.

	 	2.2	 	Consultant will be provided email and wireless phone services in order to
support communications with the Company in the provision of Services. Such services
will be newly established, with different account numbers in order to shelter
Consultant from inadvertently obtaining any Material, Non-Public Information (see
below) regarding the Company.

	 	2.3	 	Company shall not require Consultant to devote full time performing the
Services required by this Agreement.

	 	2.4	 	Consultant has the right to perform part-time services for others during the
term of this Agreement, as long as they do not impede his provision of Services to the
Company in a timely manner.

	 	2.5	 	Consultant waives all employment rights, which would result as being an
employee of the Company and will be responsible for the income tax which may be
payable by him under his legal status as an independent contractor based on this
Agreement.

	3.	 	Payment

In consideration for the Services to be performed by Consultant, Company agrees to pay
Consultant $7,000 per month, including for the partial first month of the Agreement,
beginning on August 4, 2007 and ending August 31, 2007. Consultant will not need to submit
an invoice for work performed. Company will pay Consultant within 15 business days from
end of each calendar month for which this Agreement is effective, via check to be mailed to
Consultant’s residence.

4. Termination

This Agreement shall commence on August 4, 2007 and shall continue in full force and effect
until December 31, 2007, unless terminated earlier, as hereinafter provided.

This agreement may be terminated either by Consultant or by the Company, without any
reasons thereof, by one giving to the other party one (1) calendar week written or verbal
notice. Except as noted herein, no other payments will be due by Company to Consultant
(under this Agreement) after termination of this Agreement. Any month of partial service
(after the initial month) shall be paid on a pro-rata basis. This Agreement can be
terminated by the Company with no advanced notice in case of gross negligence by Consultant
or should Consultant provide consultancy services to, be an agent of, a contractor of, a
distributor of, or an employee of any other company or party during the duration of this
agreement on a full-time basis (as measured by expected performance of 35 hours or more per
week).

Upon termination of this Agreement for any reason, Consultant shall immediately deliver to
the Company or its designee all Work Product (see below) and all documents, media,
equipment, identification cards, security passes and other materials owned by the Company
and furnished to the Consultant to facilitate the performance of the Services provided by
Consultant.

5. Company Policies and Procedures

You agree to abide by reasonably applicable rules, regulations, procedures and policies set
by the Company and as may be amended by the Company from time to time and which will be
communicated to you by authorized representatives of the company.

6. Independent Parties

This Agreement does not constitute a partnership, joint venture or employer-employee
agreement between the parties; does not authorize you to deal in the name of the Company or
act as its agent; and does not create any relationship between the Parties other than that
described in this Agreement.

7. Ownership of Work Product

Consultant acknowledges and agrees that all worldwide rights, title and interest in and to
any and all products, designs, business plans, and other results of the Services (together
the “Work Product”) including without limitation, each and every discovery, invention or
improvement which may be conceived or developed as a result of or in connection with the
services, shall be the sole property of the Company. Consultant hereby agrees to assign,
and does hereby assign to the Company worldwide rights, title, interest in and to the Work
Product, including without limitation, all patent rights, copyrights, mask work right,
trade secret rights and other proprietary right therein.

8. Confidentiality 

You shall keep confidential all information belonging to, or held by the Company which may
come into your possession during the term of this Agreement (hereinafter referred to as
“the Confidential Information”) and shall not without prior written consent of the Company
divulge any of the Confidential Information to a third party or use the Confidential
Information for any purpose other than as authorized by the Company. The Company shall
take all practicable efforts to shield from Consultant any material Confidential
Information (“Material, Non-Public Information), which might otherwise limit Consultant’s
ability to trade in the stock of Company. Consequently, the nature of the Services which
Consultant will provide will expressly not include any service which would expose
Consultant to Material, Non-Public Information. Should Consultant inadvertently become
exposed to any Material, Non-Public Information, he hereby agrees not to trade in the
securities of the Company until the sooner of: (i) a period of 90 days has passed from the
date upon which he first learns of such information; (ii) public disclosure of such
information; or (iii) in the Company’s judgment, the information no longer represents
Material, Non-Public Information due to a change in circumstances specific to the
information.

9. Other Matters

	 	9.1	 	The construction, validity and performance of this agreement shall be
governed in all respects by the laws of the State of Illinois, USA.

	 	9.2	 	This agreement constitutes the entire agreement between the parties hereto
pertaining to the matters dealt with herein and supersedes and cancels in all respects
all prior agreements and understandings of the parties with respect to the subject
matter hereof, whether written or oral, except for the terms of the agreements
Consultant signed while employed with Telular Corporation as a full-time employee,
including but not limited to the Confidentiality & Non-Compete Agreement and Severance
Agreement.

	 	 	 
	By,

	 	Telular Corporation, by
	/s/ Jeffrey L. Herrmann

	 	/s/ Joseph A. Beatty
	 

	 	 
	Jeffrey Herrmann

	 	Joseph A. Beatty

Executive Vice President

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