Document:

GUARANTY AGREEMENT

Exhibit 10.1 
 
GUARANTY 
 
GUARANTY, dated as of March 7, 2003, made by Hewitt Associates LLC, a limited liability company organized and existing under the laws of
Illinois (the “Guarantor”), in favor of Citigroup Inc. and each subsidiary or affiliate thereof (including Citibank, N.A. and each of its branches wherever located) (“Citigroup”). 
 
For good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, and to induce Citigroup to extend and/or maintain credit to or for the account of the Guarantor’s wholly-owned subsidiaries listed on Schedule A attached hereto and made a part hereof, which
Schedule A may be amended, supplemented or otherwise modified from time to time pursuant to Section 11 hereof (each, a “Borrower”), the Guarantor agrees as follows: 
 
1.  Guaranty.    The Guarantor unconditionally guarantees the punctual
payment when due, whether upon maturity, by acceleration or otherwise, of all obligations (now or hereafter existing) of each Borrower to Citigroup under any and all extensions of credit extended and/or maintained by Citigroup, whether for
principal, interest, fees, expenses or otherwise, in each case strictly in accordance with the terms thereof (all such obligations of the Borrowers being the “Obligations”) provided that the Guarantor’s maximum liability under this
Guaranty with respect to that portion of each Borrower’s Obligations consisting of principal will not exceed the amount set forth next to such Borrower’s name on Schedule A provided that, if any Borrower’s Obligations are denominated
in a currency other than U.S. Dollars, such amount will be increased to the extent that fluctuations of currency conversion rates occurring after the date hereof result in an increase in the equivalent of such Borrower’s Obligations in U.S.
Dollars. If any Borrower fails to pay any of its Obligations in full when due (whether at stated maturity, by acceleration or otherwise), the Guarantor will promptly pay the same to Citigroup. The Guarantor will also pay to Citigroup any and all
expenses (including without limitation, reasonable legal fees and expenses) incurred by Citigroup in enforcing its rights under this Guaranty. This Guaranty is a guaranty of payment and not merely of collection. 
 
2.  Guaranty
Absolute.    The Guarantor’s liability under this Guaranty is unconditional irrespective of (i) any illegality, lack of validity or enforceability of any Obligation, (ii) any amendment, modification, waiver or consent to
departure from the terms of any Obligation, including any renewal or extension of the time or change of the manner or place of payment, (iii) any exchange, substitution, release, non-perfection or impairment of any collateral securing payment of any
Obligation, (iv) any change in the corporate existence, structure or ownership of any Borrower, or any insolvency, bankruptcy, reorganization or other similar proceeding affecting any Borrower or its assets or any resulting release or discharge of
any Obligation, (v) the existence of any claim, set-off or other rights that the Guarantor may have at any time against any Borrower, Citigroup, or any other corporation or person, whether in connection herewith or any unrelated transactions,
provided that nothing herein will prevent the assertion of any such claim by separate suit or compulsory counterclaim, (vi) any law, regulation or order of any jurisdiction, or any other event, affecting any term of any Obligation or
Citigroup’s rights with respect thereto, including, without limitation: (A) the application of any such law, regulation, decree or order, including any prior approval, which would prevent the exchange of a Non-USD Currency (as hereinafter
defined) for U.S. Dollars or the remittance of funds outside of such jurisdiction or the unavailability of U.S. Dollars in any legal exchange market in such jurisdiction in accordance with normal commercial practice; or (B) a declaration of banking
moratorium or any suspension of payments by banks in such jurisdiction or the imposition by such jurisdiction or any governmental authority thereof of any moratorium on, the required rescheduling or restructuring of, or required approval of payments
on, any indebtedness in such jurisdiction; or (C) any expropriation, 
 

 
confiscation, nationalization
or requisition by such country or any governmental authority that directly or indirectly deprives the companies in such jurisdiction of any payment obligation under any Obligations; or (D) any war (whether or not declared), insurrection, revolution,
hostile act, civil strife or similar events occurring in such jurisdiction which has the same effect as the events described in clause (A), (B) or (C) above (in each of the cases contemplated in clauses (A) through (D) above, to the extent occurring
or existing on or at any time after the date of this Guaranty), and (vii) any other circumstance (including without limitation, any statute of limitations) or any existence of or reliance on any representation by Citigroup that might otherwise
constitute a defense to, or a legal or equitable discharge of, any Borrower or the Guarantor or any other guarantor or surety. 
 
Without limiting the generality of the foregoing, with respect to any Obligations that, in accordance with the express terms of any
agreement pursuant to which such Obligations were created, were denominated in U.S. Dollars or any currency other than the currency of the jurisdiction where the relevant Borrower is principally located, the Guarantor guarantees that it shall pay
Citigroup strictly in accordance with the express terms of such agreement, including in the amounts and in the currency expressly agreed to thereunder, irrespective of and without giving effect to any laws of the jurisdiction where such Borrower is
principally located in effect from time to time, or any order, decree or regulation in the jurisdiction where such Borrower is principally located. 
 
It is the intent of this Section 2 that the Guarantor’s obligations hereunder are and shall be absolute and unconditional under any
and all circumstances. 
 
3.  Waiver.    The Guarantor waives promptness, diligence, notice of acceptance, notice of dishonor and any other notice with respect to any Obligation and this Guaranty and any requirement that
Citigroup exercise any right or take any action against any Borrower or any collateral security or credit support. 
 
4.  Reinstatement.    This Guaranty will continue to be effective or be reinstated, as the case may
be, if at any time any payment of any Obligation is rescinded or must otherwise be returned by Citigroup upon the insolvency, bankruptcy or reorganization of any Borrower or otherwise, all as though such payment had not been made. 
 
5.  Subrogation.  The Guarantor
will not assert, enforce or otherwise exercise any rights which it may acquire by way of subrogation under this Guaranty, by any payment made hereunder or otherwise, until payment in full of the Obligations and the termination of any and all
agreements under which Citigroup is committed to provide extensions of credit. 
 
6.  Taxes.    Any and all payments by the Guarantor hereunder will be made free and clear of and without deduction for any and all present or future taxes, levies,
imposts, deductions, charges or withholdings, and all liabilities with respect thereto, excluding income or franchise taxes imposed on Citigroup’s net income by the jurisdiction under the laws of which Citigroup is organized or any political
subdivision thereof or by the jurisdiction of Citigroup’s lending office or any political subdivision thereof (all such non-excluded taxes, levies, imposts, deductions, charges, withholdings and liabilities being “Taxes”). If the
Guarantor is required by law to deduct any Taxes from or in respect of any sum payable hereunder (i) the sum payable will be increased as may be necessary so that after making all required deductions (including deductions applicable to additional
sums payable under this Section) Citigroup will receive an amount equal to the sum it would have received had no such deductions been made, (ii) the Guarantor will make such deductions, and (iii) the Guarantor will pay the full amount deducted to
the relevant taxation authority or other authority in accordance with applicable law. In addition, the Guarantor will pay any present or future stamp or documentary taxes or any other excise or property taxes, charges or similar levies that arise
from any payment made hereunder or from the execution, delivery or registration of, or otherwise with respect to, this Guaranty or the Obligations (“Other Taxes”). The Guarantor will promptly 
 

2 

 
furnish to Citigroup the
original or a certified copy of a receipt evidencing payment thereof. The Guarantor will indemnify Citigroup for the full amount of Taxes or Other Taxes paid by Citigroup or any liability (including penalties, interest and expenses) arising
therefrom or with respect thereto, whether or not such Taxes or Other Taxes were correctly or legally asserted, within 30 days of Citigroup’s request therefor. Without prejudice to the survival of any other agreement contained herein, the
Guarantor’s agreements and obligations contained in this Section will survive the payment in full of the Obligations, principal and interest hereunder and any termination of this Guaranty. 
 
7.  Place and Currency of
Payment.    If any Obligation is payable in U.S. Dollars, the Guarantor will make payment hereunder to Citigroup in U.S. Dollars at 399 Park Avenue, New York, New York. If any Obligation is payable in a currency other than
U.S. Dollars (a “Non-USD Currency”) and/or at a place other than the United States, and such payment is not made as and when agreed, the Guarantor will, at Citigroup’s option, either (i) make payment in such Non-USD Currency and at
the place where such Obligation is payable, or (ii) pay Citigroup in U.S. Dollars at 399 Park Avenue, New York, New York. In the event of a payment pursuant to clause (ii) above, the Guarantor will pay Citigroup the equivalent of the amount of such
Obligation in U.S. Dollars calculated at the rate of exchange at which, in accordance with normal banking procedures, Citigroup may buy such Non-USD Currency in New York, New York on the date the Guarantor makes such payment; provided,
however, that the foregoing provisions of this sentence shall not apply to any payments hereunder in respect of Obligations that have been re-denominated into a Non-USD Currency as a result of the application of any law, order, decree or
regulation in any jurisdiction other than the United States, which Obligations shall, for purposes of this Guaranty, be deemed to remain denominated in U.S. Dollars and payable to Citigroup in accordance with the first sentence of this Section 7.

 
8.  Intentionally Deleted

 
9.  Representations and
Warranties.    The Guarantor represents and warrants that: (i) the execution, delivery and performance by the Guarantor of this Guaranty are within its corporate powers, have been duly authorized by all necessary corporate
action, and do not contravene (x) its charter or by-laws or (y) any law or any contractual restriction binding on or affecting the Guarantor or any entity that controls it, (ii) no authorization or approval or other action by, and no notice to or
filing with, any governmental authority or regulatory body or any other third party is required for the due execution, delivery and performance by the Guarantor of this Guaranty, and (iii) this Guaranty has been duly executed and delivered by the
Guarantor and is its legal, valid and binding obligation, enforceable against the Guarantor in accordance with its terms. 
 
10.  Continuing Guaranty.    This is a continuing guaranty and applies to all Obligations whenever
arising. This Guaranty is irrevocable and will remain in full force and effect until the payment in full of the Obligations and all amounts payable hereunder and the termination of all of the agreements relating to the Obligations. 
 
11.  Amendments,
Etc.    No amendment or waiver of any provision of this Guaranty, and no consent to departure by the Guarantor herefrom, will in any event be effective unless the same is in writing and signed by Citibank, N.A., on behalf of
Citigroup, and then such waiver or consent will be effective only in the specific instance and for the specific purpose for which given. 
 
12.  Addresses.    All notices and other communications provided for hereunder will be in writing
(including telecopier communication), and mailed, telecopied or delivered to it, if to the Guarantor, at its address at Hewitt Associates LLC. 100 Half Day Road Lincolnshire, IL 60069, Attention: Mr. John L. Szajna, Treasurer, and if to Citigroup,
at its address: Citibank, 388 Greenwich Street 23rd Floor New York, NY 10013, Attention: US Northeast Department,
or, as to either party, at such other address as is designated by such party in a written notice to the other party. All such notices and other communications will, when mailed or telecopied, be effective when deposited in the mails or telecopied,
respectively. 
 

3 

 
13.  Guarantor’s Credit Decision, Etc.    The Guarantor has, independently and without reliance on Citigroup and based on such documents and information as the Guarantor has deemed
appropriate, made its own credit analysis and decision to enter into this Guaranty. The Guarantor has adequate means to obtain from each Borrower on a continuing basis information concerning the financial condition, operations and business of such
Borrower, and the Guarantor is not relying on Citigroup to provide such information now or in the future. The Guarantor acknowledges that it will receive substantial direct and indirect benefit from the extensions of credit contemplated by this
Guaranty. 
 
14.  Judgment.    If for the purposes of obtaining judgment in any court it is necessary to convert a sum due hereunder in U.S. Dollars into a Non-USD Currency, the Guarantor agrees that the rate
of exchange used will be that at which, in accordance with normal banking procedures, Citigroup could purchase U.S. Dollars with such non-USD Currency on the business day preceding that on which final judgment is given. The obligation of the
Guarantor in respect of any sum due hereunder will, notwithstanding any judgment in a Non-USD Currency, be discharged only to the extent that on the date the Guarantor makes payment to Citigroup of any sum adjudged to be so due in such Non-USD
Currency, Citigroup may, in accordance with normal banking procedures, purchase U.S. Dollars with such Non-USD Currency; if the U.S. Dollars so purchased are less than the sum originally due to Citigroup in U.S. Dollars, the Guarantor agrees, as a
separate obligation and notwithstanding any such judgment, to indemnify Citigroup against such loss, and if the U.S. Dollars so purchased exceed the sum originally due to Citigroup in U.S. Dollars, Citigroup agrees to remit to the Guarantor such
excess. 
 
15.  Governing
Law.    This Guaranty shall be governed by, and construed in accordance with, the law of the State of New York. 
 
16.  Consent to Jurisdiction,Etc.    The Guarantor irrevocably (i) submits to the non-exclusive
jurisdiction of any New York State or Federal court sitting in New York City in any action or proceeding arising out of or relating to this Guaranty or the Obligations, (ii) agrees that all claims in respect of such action or proceeding may be heard
and determined in such New York State court or in such Federal court, (iii) waives, to the fullest extent it may effectively do so, the defense of an inconvenient forum to the maintenance of such action or proceeding, and (iv) irrevocably consents
to the service of any and all process in any such action or proceeding by the mailing of copies of such process to the Guarantor at its address specified in Section 12. A final judgment in any such action or proceeding will be conclusive and may be
enforced in other jurisdictions by suit on the judgment or in any other manner provided by law. Nothing herein will affect Citigroup’s right to serve legal process in any other manner permitted by law or affect Citigroup’s right to bring
any action or proceeding against the Guarantor or its property in the courts of other jurisdictions. To the extent that the Guarantor has or hereafter may acquire any immunity from jurisdiction of any court or from any legal process (whether through
service or notice, attachment prior to judgment, attachment in aid of execution, execution or otherwise) with respect to itself or its property, the Guarantor irrevocably waives such immunity in respect of its obligations under this Guaranty.

 
17.  WAIVER OF JURY
TRIAL.    THE GUARANTOR IRREVOCABLY WAIVES ALL RIGHT TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR COUNTERCLAIM (WHETHER BASED ON CONTRACT, TORT OR OTHERWISE) ARISING OUT OF OR RELATING TO THIS GUARANTY OR CITIGROUP’S
ACTIONS IN THE NEGOTIATION, ADMINISTRATION OR ENFORCEMENT HEREOF. 
 
Hewitt Associates LLC 
 
By /S/    C.L. CONNOLLY III             
    Name: C.L. Connolly III 
    Title: General Counsel 
 

4 

 
SCHEDULE A

 
To Guaranty 
Dated as of March 7, 2003 
 

	 BORROWERS

	  	 COUNTRY

	    	 MAXIMUM LIABILITY
FOR
PRINCIPAL 

	 Hewitt Associates S.A.
	  	 Argentina
	    	 100,000

	
	 Hewitt Associates Pty. Limited
	  	 Australia
	    	 250,000

	
	 Hewitt Associates GmbH
	  	 Austria
	    	 100,000

	
	 Hewitt Associates S.A
	  	 Belgium
	    	 250,000

	
	 Hewitt Associates
	  	 Canada
	    	 1,000,000

	
	 Hewitt Associates Limitada
	  	 Chile
	    	 200,000

	
	 Hewitt Associates Consulting Co.
	  	 China
	    	 2,000,000

	
	 Hewitt Associates LLC (Branch)
	  	 Hong Kong
	    	 3,000,000

	
	 Hewitt Associates SARL
	  	 France
	    	 500,000

	
	 Hewitt Associates GmbH
	  	 Germany
	    	 500,000

	
	 Hewitt Associates Pvt. Ltd
	  	 India
	    	 500,000

	
	 Hewitt Associates Srl.
	  	 Italy
	    	 100,000

	
	 Hewitt associates Kabushiki Gaisya
	  	 Japan
	    	 500,000

	
	 Hewitt Associates SDN. BHD
	  	 Malaysia
	    	 100,000

	
	 Hewitt Associates de Mexico S. de R. L de C. V.
	  	 	    	 500,000

	
	 Hewitt Heijnis & Koelman B. V.
	  	 Netherlands
	    	 1,000,000

	
	 Hewitt Associates Inc
	  	 Philippines
	    	 100,000

	
	 Hewitt Associates Sp. Zo.o
	  	 Poland
	    	 200,000

	
	 Hewitt Associates, LLC Sucursal en Portugal
	  	 Portugal
	    	 400,000

	
	 Hewitt Associates Caribe, Inc
	  	 Singapore
	    	 250,000

	
	 Hewitt Associates Korea Yuhan Hoesa Hoesa
	  	 South Korea
	    	 100,000

	
	 Hewitt Associates S.A.
	  	 Spain
	    	 250,000

	
	 Hewitt/Loneanalyser A.B.
	  	 Sweden
	    	 100,000

	
	 PRASA Hewitt S.A.
	  	 Switzerland
	    	 1,000,000

	
	 Hewitt Associates Limited
	  	 Thailand
	    	 100,000

	
	 TOTAL
	  	 	    	 13,100,000

 

5Employment Agreement - Dan Palmer

Exhibit 10.4 
 
EMPLOYMENT AGREEMENT 
 
This Employment Agreement (this “Agreement”) is entered into as of April 1, 2003 by and between
Concord EFS, Inc., a Delaware corporation (the “Company”), and Dan M. Palmer (the “Executive”). 
 
WHEREAS, the Company desires to employ the Executive to serve as Special Advisor to the Chief Executive Officer of First Data Corporation
(“FDC”) following the consummation of the merger (the “Merger”) contemplated by the Agreement and Plan of Merger dated as of April 1, 2003 among the Company, FDC and Monaco Subsidiary Corporation, and the Executive desires to be
employed in such position, upon the terms and subject to the conditions set forth herein. 
 
NOW, THEREFORE, in consideration of the mutual promises contained herein and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Company and the
Executive agree as follows: 
 
1.  Employment. This Agreement shall become effective concurrently with the completion of the Merger. Upon the consummation of the Merger, the Company will employ the Executive and the
Executive hereby agrees to be employed by the Company upon the terms and subject to the conditions contained in this Agreement. The term of employment of the Executive by the Company pursuant to this Agreement shall commence upon the consummation of
the Merger and, unless earlier terminated pursuant to Section 4, shall end 24 months after such date (such period referred to herein as the “Initial Term,” collectively with any extensions of this Agreement as the “Employment
Period”), provided that such term(s) shall be automatically extended for additional thirty (30) day periods unless either party gives notice to the other party fifteen (15) days prior to the end of a term that such party does not wish to extend
the Employment Period. 
 
2.  Position and Duties; Responsibilities. The Company shall employ the Executive during the Employment Period as Special Advisor to the Chief Executive Officer of First Data Corporation
after the Merger. During the Employment Period, the Executive shall perform faithfully and loyally and to the best of the Executive’s abilities the duties assigned to the Executive hereunder and shall devote the Executive’s full business
time, attention and effort to the affairs of the Company and its subsidiaries and shall use the Executive’s best efforts to promote the interests of the Company and its subsidiaries. The Executive may engage in charitable, civic or community
activities and, with the prior approval of the Board of Directors of the Company (the “Board”), may serve as a director of any other business corporation, provided that such activities or service do not interfere with the Executive’s
duties hereunder or violate the terms of any of the covenants contained in Sections 6, 7 or 8 hereof. The Executive shall at all times abide by all policies and procedures of the Company as in effect or amended from time to time in the
Company’s discretion. 
 
3.  Compensation. (a)  Base Salary. During the Employment Period, the Company shall pay to the Executive a base salary at the rate of $650,000 per annum (“Base
Salary”), payable in accordance with the Company’s normal payroll practices net of required or permitted withholdings and deductions. 
 
(b)  Other Benefits. During the Employment Period, the Executive shall be eligible to participate in the Company’s
health, disability and group life plans and such other employee benefit plans as the Executive and the Company may mutually agree from time to time. The Company reserves the right to alter, suspend, amend or discontinue any and all of its benefit
plans and fringe benefits, in whole or in part, at any time with or without notice. 
 
(c)  Expense Reimbursement. During the Employment Period, the Company shall reimburse the Executive, in accordance with the Company’s policies and procedures, for all proper
expenses incurred by the Executive in the performance of the Executive’s duties hereunder. 
 
4.  Termination. (a)  Death. Upon the death of the Executive, this Agreement shall automatically terminate and all rights of the Executive
and the Executive’s heirs, executors and administrators to compensation and other benefits under this Agreement shall cease immediately, except that the Executive’s heirs, executors or administrators, as the case may be, shall be entitled
to: 
 

1 

 
(i)  accrued Base Salary and vacation pay, less required and authorized withholding and deductions, through and including the Executive’s date of death; 
 
(ii)  other Employee Benefits to which the Executive was entitled on the date of
death in accordance with the terms of the plans and programs of the Company; and 
 
(iii)  payment equal to the Executive’s Base Salary at the Executive’s then current rate for 12
months, less required and authorized withholding and deductions, payable in accordance with the Company’s normal payroll practices or in a lump sum, as determined by the Company in its discretion. 
 
(b)  Disability. The Company may, at its
option, terminate this Agreement upon written notice to the Executive if the Executive, because of physical or mental incapacity or disability, fails to perform the essential functions of the Executive’s position, with or without reasonable
accommodation, required of the Executive hereunder for a continuous period of 30 days. Upon such termination, all obligations of the Company hereunder shall cease immediately, except that the Executive shall be entitled to: 
 
(i)  accrued Base Salary and
vacation pay, less required and authorized withholding and deductions, through and including the effective date of the Executive’s termination of employment; 
 
(ii)  other Employee Benefits to which the Executive is entitled upon termination
of employment in accordance with the terms of the plans and programs of the Company; and 
 
(iii)  payment equal to the Executive’s Base Salary at the Executive’s then current rate for 12
months, less required and authorized withholding and deductions, payable in installments in accordance with the Company’s normal payroll practices or in a lump sum, as determined by the Company in its discretion. 
 
In the event of any dispute regarding the existence of the Executive’s
incapacity or disability hereunder, the matter shall be resolved by the determination of a physician selected by the Board. The Executive shall submit to appropriate medical examinations for purposes of such determination. 
 
(c)  Cause. (i)  The Company may,
at its option, terminate the Executive’s employment under this Agreement for Cause (as hereinafter defined) upon written notice to the Executive (the “Cause Notice”). Any such termination for Cause shall be authorized by the Board.
The Cause Notice shall state the particular action(s) or inaction(s) giving rise to termination for Cause. The Executive shall have five (5) days after the Cause Notice is given to cure the particular action(s) or inaction(s), to the extent a cure
is possible. If the Executive so effects a cure to the satisfaction of the Board, the Cause Notice shall be deemed rescinded and of no force or effect. 
 
(ii)  As used in this Agreement, the term “Cause” shall mean any one or more of the following:

 
(A)  any refusal by
the Executive to perform the Executive’s duties under this Agreement or to perform specific directives of the Board or of the Chairman of the Board which are consistent with the scope and nature of the Executive’s duties and
responsibilities as set forth herein; 
 
(B)  any act of fraud, embezzlement or theft by the Executive in connection with the Executive’s duties hereunder or in the course of the Executive’s employment hereunder or any prior employment, or the
Executive’s admission or conviction of a felony or of any crime involving moral turpitude, fraud, embezzlement, theft or misrepresentation; 
 

2 

 
(C)  any gross negligence or willful misconduct of the Executive resulting in a loss to the Company or any of its subsidiaries, or damage to the reputation of the Company or any of its subsidiaries; 
 
(D)  any breach by the Executive of
any one or more of the covenants contained in Sections 6, 7 or 8 hereof; or 
 
(E)  any violation of any statutory or common law duty of loyalty to the Company or any of its subsidiaries. 
 
(iii)  The exercise of the right of the Company to terminate this Agreement
pursuant to this Section 4(c) shall not abrogate the rights or remedies of the Company in respect of the breach giving rise to such termination. 
 
(iv)  If the Company terminates the Executive’s employment for Cause, all obligations of the Company
hereunder shall cease, except that the Executive shall be entitled only to the payments and benefits specified in Sections 4(a)(i) and 4(a)(ii) hereof. 
 
(d)  Termination Without Cause. The Company may, at its option, terminate the Executive’s employment under this
Agreement upon written notice to the Executive for any reason. However, if the Company terminates the Executive’s employment for any reason other than a reason set forth in Section 4(a), 4(b) or 4(c), all obligations of the Company hereunder
shall cease immediately except that the Executive shall be (1) entitled to the payments and benefits specified in Section 4(a)(i) through 4(a)(iii) and (2) solely for purposes of continuing to have the right to exercise any vested and theretofore
unexercised stock options, Executive shall be deemed to be actively employed through the 24-month period commencing upon the consummation of the Merger. If the Company terminates the Executive’s employment for any such reason, all obligations
of the Company hereunder shall cease immediately, except that the Executive shall be entitled to the payments and benefits specified in Sections 4(a)(i) through 4(a)(iii) (inclusive); provided, however, that no termination without cause shall be
effective unless, prior to such termination, the stock option plans pursuant to which all Company stock options held by the Executive have been issued permit (including, as and if necessary, by amendment of such plans subsequent to the date hereof)
the exercise of all such options through the 24-month period commencing upon the consummation of the Merger notwithstanding any such termination; and provided further that, in the event that such plans provide for any such extension of the exercise
period beyond the post-termination period provided for currently under such plans, such options shall be exercisable through the 24-month period commencing upon the consummation of the Merger and the additional 90-day period as provided under the
terms of the applicable option plans. 
 
(e)  Termination for Good Reason. 
 
(i)  The Executive may terminate the Executive’s employment under this Agreement for Good Reason (as hereinafter defined) upon written notice to the Company (the “Good Reason
Notice”). The Good Reason Notice shall state the particular action(s) or inaction(s) giving rise to the termination for Good Reason and must be delivered to the Company within thirty (30) days after the Executive becomes aware of such action(s)
or inaction(s). The Company shall have thirty (30) days after the Good Reason Notice is given to cure the particular action(s) or inaction(s). If the Company so effects a cure, the Good Reason Notice shall be deemed rescinded and of no further force
and effect. A termination for Good Reason shall be treated as a termination without cause by the Company under Section 4(d). 
 
(ii)  As used in this Agreement, the term “Good Reason” shall mean any one or more of the following:
(A) action by the Company resulting in a substantial diminution of the Executive’s titles or positions with the Company after the Merger, (B) any reduction in the Executive’s Base Salary or (C) any relocation of the Executive more than
fifty (50) miles from Memphis, Tennessee. 
 
(f)  Payments in Lieu of Other Severance Rights. The severance payments provided hereunder shall be made in lieu of any other severance payments under any severance agreement, plan, program or arrangement of the
Company applicable to the Executive; provided that the sum of such payments shall not be less 
 

3 

than the amount that otherwise would have been payable to the Executive under the Company’s severance
policy, if any. 
 
(g)  Cooperation
& Indemnification. In the event of termination, the Executive agrees to reasonably assist and cooperate with the Company, its subsidiaries and/or their agents, officers, directors and employees (i) on matters relating to the tasks for which
the Executive was responsible, or about which the Executive had knowledge, before cessation of employment or which may otherwise be within the knowledge of the Executive and (ii) exclusively in connection with any existing or future disputes,
litigation or investigations of any nature brought by, against, or otherwise involving the Company in which the Company deems the Executive’s cooperation necessary. The Company will reimburse the Executive for reasonable out of pocket expenses
incurred in connection therewith, in accordance with Company policy. Executive shall be eligible for such indemnification as is provided for by the bylaws of the Company. 
 
5.  Federal and State Withholding. The Company shall deduct from
the amounts payable to the Executive pursuant to this Agreement the amount of all required federal, state and local withholding taxes in accordance with the Executive’s Form W-4 on file with the Company, and all applicable federal employment
taxes. The Executive shall be solely responsible for all other taxes associated with the amounts payable under the Agreement, except for the employer portion of any employment taxes as required under applicable law. 
 
6.  Noncompetition;
Nonsolicitation. (a)  General. The Executive acknowledges that in the course of the Executive’s employment with the Company, the Executive has and will become familiar with trade secrets and other confidential
information concerning the Company and its affiliates and has established and will establish substantial relationships with certain customers of the Company and its affiliates. The Executive further acknowledges that the Executive’s services
will be of special, unique and extraordinary value to the Company and its affiliates. 
 
(b)  Noncompetition. The Executive agrees that during the period of the Executive’s employment with the Company, the period, if any, during which the Executive is receiving
payments from the Company pursuant to Section 4, and for a period of 12 months thereafter (the “Noncompetition Period”), the Executive shall not in any manner, directly or indirectly, through any person, firm or corporation, alone or as a
member of a partnership or as an officer, director, stockholder, investor or employee of or consultant to any other corporation or enterprise or otherwise, engage or be engaged, or assist any other person, firm, corporation or enterprise in engaging
or being engaged, in the business of furnishing electronic funds transfer and related services consisting of automated teller machine, point of sale transactions and related services, data processing services related to terminal driving, debit or
credit processing or card authorization and card production and other payment system services, or in any other business being conducted by the Company or any of its affiliates as of the termination of the Executive’s employment in which the
Executive was involved during the Executive’s employment, in any geographic area in which the Company or any of its affiliates is then conducting such business. Notwithstanding the foregoing, the Noncompetition Period shall not last more
than 36 months. 
 
(c)  Nonsolicitation. The Executive further agrees that during the Noncompetition Period, the Executive shall not (i) in any manner, directly or indirectly, induce or attempt to induce any employee of the Company or
any of its affiliates to terminate or abandon his or her employment for any purpose whatsoever or (ii) in connection with any business to which Section 6(b) applies, call on, service, solicit or otherwise do business with any customer (determined as
of the effective date of the termination of Executive’s employment) of the Company or any of its affiliates. 
 
(d)  Exceptions. Nothing in this Section 6 shall prohibit the Executive from being (i) a stockholder in a mutual fund or
a diversified investment company or (ii) an owner of not more than two percent (2%) of the outstanding stock of any class of a corporation, any securities of which are publicly traded, so long as the Executive has no active participation in the
business of such corporation. 
 
(e)  Nondisparagement. Except as otherwise required by applicable law, the Executive agrees not to make, or cause to be made, any oral or written statement, or take any other action, which disparages, criticizes,
damages the reputation of, or is hostile to, the Company or its administration, employees, management, officers, shareholders, agents and/or directors. In the event that the Executive violates this provision, including making statements to the
media, it will be considered a material breach hereof. 
 

4 

 
(f)  Tolling. The Noncompetition Period shall be extended for any period during which the Executive is in breach of this Section 6. 
 
7.  Confidentiality. The Executive shall not, at any time during the
Employment Period or thereafter, make use of or disclose, directly or indirectly, any (i) trade secret or other confidential or secret information of the Company or of any of its subsidiaries or (ii) other technical, business, marketing,
proprietary, financial, customer, pricing or personnel information of the Company or of any of its subsidiaries not intended to be available to the public generally or to the competitors of the Company or to the competitors of any of its
subsidiaries (“Confidential Information”), except to the extent that such Confidential Information (a) becomes a matter of public record or is published in a newspaper, magazine or other periodical or on electronic or other media available
to the general public, other than as a result of any act or omission of the Executive, (b) is required to be disclosed by any law, regulation or order of any court or regulatory commission, department or agency, provided that the Executive gives
prompt notice of such requirement to the Company to enable the Company to seek an appropriate protective order, or (c) is required to be used or disclosed by the Executive to perform properly the Executive’s duties under this Agreement.
Promptly following the termination of the Employment Period, the Executive shall surrender to the Company all property of the Company and its subsidiaries and the actual and prospective customers of the Company and its subsidiaries that the
Executive may then possess or have under the Executive’s control (together with all copies thereof), including but not limited to records, memoranda, notes, plans, reports, computer tapes and software and other documents and data which
constitute Confidential Information. 
 
8.  Intellectual Property and Developments. The Executive shall disclose promptly to the Company all inventions, discoveries, developments, improvements, processes, designs, works of
authorship, ideas and related documentation that are written, discovered, made, conceived or first reduced to practice by the Executive (either solely or jointly with another or others) while employed by the Company (collectively,
“Development(s)”), whether or not they are patentable, copyrightable or subject to trade secret protection. The Executive shall not, at any time during or after the Executive’s employment, have or claim any right, title or interest in
or to, or disclose to any third party, any Development(s) or any trade name, patent, trademark, copyright, intellectual property or other proprietary rights belonging to the Company. All Development(s) shall be the sole and exclusive property of the
Company and shall be “work made for hire” as that term is defined in the copyright laws of the United States, not works of joint ownership. In any event, to the extent that any Development(s) may not be held to be work made for hire, or to
the extent that the Executive has any right, title or interest in or to the Development(s) (including without limitation patent rights, copyrights, trade secrets or other proprietary rights), the Executive hereby assigns to the Company (without any
further consideration) all such rights, title, and interest in and to the Development(s). The Executive shall cooperate fully with the Company during the Executive’s employment and thereafter in the securing of any trade name, patent,
trademark, copyright or intellectual property protection or other similar rights in the United States and in foreign countries and shall give evidence and testimony and execute and deliver to the Company all papers reasonably requested by any of
them in connection therewith. 
 
9.  Remedies. (a)  Acknowledgment. The Executive acknowledges that the provisions contained in Sections 6, 7, and 8 are reasonable and necessary because of the substantial
harm that could be caused to the Company by the Executive engaging in any of the prohibited or restricted activities contained in such Sections. The Executive represents and warrants that the prohibitions and restrictions contained in Sections 6, 7,
and 8 will not impair the Executive’s ability to earn a livelihood because the Executive has the ability and experience to engage in employment that will not breach or violate the prohibitions and restrictions contained in such Sections.

 
(b)  Injunctive Relief. The
parties hereto agree that the Company and its subsidiaries would be damaged irreparably in the event that any provision of Section 6, 7, and 8 of this Agreement were not performed in accordance with its terms or were otherwise breached and that
money damages would be an inadequate remedy for any such nonperformance or breach. Accordingly, the Company and its successors and permitted assigns shall be entitled, in addition to other rights and remedies existing in their favor, to an
injunction or injunctions to prevent any breach or threatened breach of any of such provisions and to enforce such provisions specifically (without posting a bond or other security). The Executive agrees that the Executive will submit to the
personal jurisdiction of the courts of the State of Delaware in any action by the Company to enforce an arbitration award against the Executive or to obtain interim injunctive or other relief pending an arbitration decision. 
 

5 

 
(c)  Reformation. The Executive and the Company agree that in the event any of the prohibitions or restrictions set forth in Sections 6, 7, and 8 of this Agreement are found by a court of final and competent
jurisdiction to be unreasonable and accordingly unfavorable, it is the purpose and intent of the parties that any prohibitions or restrictions be deemed modified or limited so that, as modified or limited, such prohibitions or restrictions may be
enforced to the fullest extent permitted by law. 
 
10.  Representations. The Executive represents and warrants to the Company that (i) the execution, delivery and performance of this Agreement by the Executive does not and will not
conflict with, breach, violate or cause a default under any contract, agreement, instrument, order, judgment or decree to which the Executive is a party or by which the Executive is bound, (ii) the Executive is not a party to or bound by any
employment agreement, noncompetition agreement or confidentiality agreement with any other person or entity that will interfere with Executive’s ability to fulfill his obligations under this Agreement and (iii) upon the execution of this
Agreement by the Company and the Executive, this Agreement shall be the valid and binding obligation of the Executive, enforceable in accordance with its terms. 
 
11.  Survival. Sections 4 through 19 of this Agreement shall
survive and continue in full force and effect in accordance with their respective terms, notwithstanding any termination of the Employment Period. 
 
12.  Arbitration. Except as otherwise set forth in Section 9 hereof, any dispute or
controversy between the Company and the Executive, whether arising out of or relating to this Agreement, the breach of this Agreement, or otherwise, shall be settled by arbitration in Delaware administered by the American Arbitration Association,
with any such dispute or controversy arising under this Agreement being so administered in accordance with its Commercial Rules then in effect, and judgment on the award rendered by the arbitrator may be entered in any court having jurisdiction
thereof. The arbitrator shall have the authority to award any remedy or relief that a court of competent jurisdiction could order or grant, including, without limitation, the issuance of an injunction. Except as necessary in court proceedings to
enforce this arbitration provision or an award rendered hereunder, or to obtain interim relief, neither a party nor an arbitrator may disclose the existence, content or results of any arbitration hereunder without the prior written consent of the
Company and the Executive. The Company and the Executive acknowledge that this Agreement evidences a transaction involving interstate commerce. Notwithstanding any choice of law provision included in this Agreement, the United States Federal
Arbitration Act shall govern the interpretation and enforcement of this arbitration provision. 
 
13.  Notices. All notices and other communications required or permitted hereunder shall be
in writing and shall be deemed given when (a) delivered personally or by overnight courier to the following address of the other party hereto (or such other address for such party as shall be specified by notice given pursuant to this Section) or
(b) sent by facsimile to the following facsimile number of the other party hereto (or such other facsimile number for such party as shall be specified by notice given pursuant to this Section), with the confirmatory copy delivered by overnight
courier to the address of such party pursuant to this Section 13: 
 
If to the Company, to: 
 
Office of the General Counsel 
Concord EFS, Inc. 
1100 Carr Road 
Wilmington, DE 19809 
 
If to the Executive, to: 
 
Dan M. Palmer 
2764 Johnson Rd 
Germantown, TN 38139 
 
14.  Severability. Whenever possible, each provision of this Agreement shall be interpreted
in such manner as to be effective and valid under applicable law, but if any provision of this Agreement is held to be invalid, illegal or unenforceable in any respect under applicable law or rule in any jurisdiction, such invalidity, 

 

6 

illegality or unenforceability shall not affect the validity, legality or enforceability of any other provision of this Agreement or the
validity, legality or enforceability of such provision in any other jurisdiction, but this Agreement shall be reformed, construed and enforced in such jurisdiction as if such invalid, illegal or unenforceable provision had never been contained
herein. 
 
15.  Entire Agreement. This Agreement constitutes the entire agreement and understanding between the parties with respect to the subject matter hereof and supersedes and preempts any prior
understandings, agreements or representations by or between the parties, written or oral, which may have related in any manner to the subject matter hereof. 
 
16.  Successors and Assigns. This Agreement shall be enforceable by the Executive and the
Executive’s heirs, executors, administrators and legal representatives, and by the Company and its successors and assigns. The Executive may not assign this Agreement and any such assignment shall be null and void. The Company shall have the
right to assign the Agreement. 
 
17.  Governing Law. This Agreement shall be governed by and construed and enforced in accordance with the internal laws of the State of Delaware without regard to principles of conflict of
laws. 
 
18.  Amendment and Waiver. The provisions of this Agreement may be amended or waived only by the written agreement of the Company and the Executive, and no course of conduct or failure or
delay in enforcing the provisions of this Agreement shall affect the validity, binding effect or enforceability of this Agreement. 
 
19.  Counterparts. This Agreement may be executed in two counterparts, each of which shall be
deemed to be an original and both of which together shall constitute one and the same instrument. 
 
 

7 

 
IN WITNESS
WHEREOF, the parties hereto have executed this Agreement as of the date first written above. 
 
CONCORD EFS, INC. 
 
By: /s/    J. Richard Buchignani 
 
Title: General Counsel and Vice Chairman 
 
 
DAN M. PALMER

 
/s/    Dan M. Palmer

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00051-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00051-of-00352.parquet"}]]