Document:

shop_s1-ex1003.htm

 

Exhibit 10.3

 

 

PROMISSORY NOTE

	
$100.00

	
February 7, 2011

FOR VALUE RECEIVED, Shop Eat Live, Inc, (the "Maker"), with its primary offices located at 423 31st Street, Newport Beach, California 92663, promises to pay to the order of Hal Sklar at 423 31st Street Newport Beach, California 92663  (the "Payee"), upon the terms set forth below, the principal sum of One Hundred Dollars ($100.00) (“Principal Sum”) together with interest at an annual rate of 8% on the unpaid Principal Sum outstanding (“Principal and Interest  Sum”) (this un-secured promissory note, the “Note”).

1.      Principal .  Maker shall be required to pay the Payee an amount in cash, wire transfer or check equal to the Principal and Interest Sum on Demand (the “Maturity Date”).

2.    Events of Default.

(a) "Event of Default", wherever used herein, means any one of the following events (whatever the reason and whether it shall be voluntary or involuntary or effected by operation of law or pursuant to any judgment, decree or order of any court, or any order, rule or regulation of any administrative or governmental body):

(i) any default in the payment of the principal or interest of this Note, as and when the same shall become due and payable;

(ii) Maker shall fail to observe or perform any obligation or shall breach any term or provision of this Note;

(iii) Maker shall commence, or there shall be commenced against Maker, a case under any applicable bankruptcy or insolvency laws as now or hereafter in effect or any successor thereto, or Maker commences any other proceeding under any reorganization, arrangement, adjustment of debt, relief of debtors, dissolution, insolvency or liquidation or similar law of any jurisdiction whether now or hereafter in effect relating to Maker, or there is commenced against Maker, any such bankruptcy, insolvency or other proceeding which remains undismissed for a period of 60 days; or Maker is adjudicated insolvent or bankrupt; or any order of relief or other order approving any such case or proceeding is entered; or Maker suffers any appointment of any custodian or the like for it or any substantial part of its property which continues undischarged or unstayed for a period of 60 days; or Maker, makes a general assignment for the benefit of creditors; or Maker, shall fail to pay, or shall state that it is unable to pay, or shall be unable to pay, its debts generally as they become due; or Maker shall call a meeting of its creditors with a view to arranging a composition, adjustment or restructuring of its debts; or Maker shall by any act or failure to act expressly indicate its consent to, approval of or acquiescence in any of the foregoing; or any corporate or other action is taken by Maker for the purpose of effecting any of the foregoing; or

(b) If any Event of Default occurs, the full principal amount of this Note, shall become, at the Payee's election, immediately due and payable in cash, with interest accruing at 1.5% per month on any unpaid obligation.  The Payee need not provide and Maker hereby waives any presentment, demand, protest or other notice of any kind, and the Payee may immediately and without expiration of any grace period enforce any and all of its rights and remedies hereunder and all other remedies available to it under applicable law. Such declaration may be rescinded and annulled by Payee at any time prior to payment hereunder. No such rescission or annulment shall affect any subsequent Event of Default or impair any right consequent thereon.

  

  

  

3.           No Waiver of Payee's Rights. All payments of principal shall be made without setoff, deduction or counterclaim. No delay or failure on the part of the Payee in exercising any of its options, powers or rights, nor any partial or single exercise of its options, powers or rights shall constitute a waiver thereof or of any other option, power or right, and no waiver on the part of the Payee of any of its options, powers or rights shall constitute a waiver of any other option, power or right. Maker hereby waives presentment of payment, protest, and all notices or demands in connection with the delivery, acceptance, performance, default or endorsement of this Note. Acceptance by the Payee of less than the full amount due and payable hereunder shall in no way limit the right of the Payee to require full payment of all sums due and payable hereunder in accordance with the terms hereof.

4.           Modifications. No term or provision contained herein may be modified, amended or waived except by written agreement or consent signed by the party to be bound thereby.

5.           Cumulative Rights and Remedies; Usury. The rights and remedies of Payee expressed herein are cumulative and not exclusive of any rights and remedies otherwise available under this Note, the Security Agreement, the Guarantee or applicable law (including at equity). The election of Payee to avail itself of any one or more remedies shall not be a bar to any other available remedies, which Maker agrees Payee may take from time to time. If it shall be found that any interest due hereunder arising from an Event of Default shall violate applicable laws governing usury, the applicable rate of interest due hereunder shall be reduced to the maximum permitted rate of interest under such law.

6.           Collection Expenses.   If Payee shall commence an action or proceeding to enforce this Note, then Maker shall reimburse Payee for its costs of collection and reasonable attorney fees incurred with the investigation, preparation and prosecution of such action or proceeding.

7.           Severability.  If any provision of this Note is declared by a court of competent jurisdiction to be in any way invalid, illegal or unenforceable, the balance of this Note shall remain in effect, and if any provision is inapplicable to any person or circumstance, it shall nevertheless remain applicable to all other persons and circumstances.

8.           Successors and Assigns. This Note shall be binding upon Maker and its successors and shall inure to the benefit of the Payee and its successors and assigns. The term "Payee" as used herein, shall also include any endorsee, assignee or other holder of this Note.

9.           Lost or Stolen Promissory Note. If this Note is lost, stolen, mutilated or otherwise destroyed, Maker shall execute and deliver to the Payee a new promissory note containing the same terms, and in the same form, as this Note. In such event, Maker may require the Payee to deliver to Maker an affidavit of lost instrument and customary indemnity in respect thereof as a condition to the delivery of any such new promissory note. Any costs incurred pursuant to this paragraph shall be the responsibility of the Payee.

10.           Due Authorization. This Note has been duly authorized, executed and delivered by Maker and is the legal obligation of Maker, enforceable against Maker in accordance with its terms.  The shares of the Maker’s common stock if issued to Payee, when issued will be validly issued, fully paid and non-assessable.

11.           Governing Law. All questions concerning the construction, validity, enforcement and interpretation of this Note shall be governed by and construed and enforced in accordance with the internal laws of the State of California, without regard to the principles of conflicts of law thereof. Each of Maker and Payee agree that all legal proceedings concerning the interpretations, enforcement and defense of this Note shall be commenced in the Courts of the State of California, the courts of the United States of America for the State of California, and appellate courts from any thereof  (the "California Courts"). Each of Maker and Payee hereby irrevocably submit to the exclusive jurisdiction of the California Courts for the adjudication of any dispute hereunder (including with respect to the enforcement of this Note), and hereby irrevocably waives, and agrees not to assert in any suit, action or proceeding, any claim that it is not personally subject to the jurisdiction of any such court, that such suit, action or proceeding is improper. Each of Maker and Payee hereby irrevocably waive personal service of process and consents to process being served in any such suit, action or proceeding by mailing a copy thereof via registered or certified mail or overnight delivery (with evidence of delivery) to the other at the address in effect for notices to it under this Note and agrees that such service shall constitute good and sufficient service of process and notice thereof. Nothing contained herein shall be deemed to limit in any way any right to serve process in any manner permitted by law. Each of Maker and Payee hereby irrevocably waive, to the fullest extent permitted by applicable law, any and all right to trial by jury in any legal proceeding arising out of or relating to this Note or the transactions contemplated hereby.

  

  

  

Maker may prepay this Note in whole or in part at any time, and from time to time, without being required to pay any penalty or premium for such privilege. The undersigned signs this Note as a maker and not as a surety or guarantor or in any other capacity.

 

 

 

	  	  
	
Dated: February 5, 2011

	
Payee Accepted By: /s/ Hal Sklar                            

	  	
Hal Sklar

	  	  
	  	  
	  	  
	  	  
	
Dated: February 5, 2011

	
Maker By:    /s/ Hal Sklar                                       

	  	
Hal Sklar

Wiring Instructions for delivery of funds:QuickLinks
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  Exhibit 10.1    
    

 
 

  RELEASE, CONSULTING AND NON-COMPETITION AGREEMENT    
    

        This Release, Consulting and Noncompetition Agreement (this "Agreement") is entered
into as of April 19, 2011, by and between Brookline Bancorp, Inc., a Delaware corporation ("Buyer"), Bancorp Rhode Island, Inc., a
Rhode Island corporation (the "Company"), Bank Rhode Island, a financial institution organized under the laws of the State of Rhode Island (the
"Bank"), and Merrill W. Sherman (the "Consultant"). 

 
 

  RECITALS:    
    

        WHEREAS, the Consultant is employed as the President and Chief Executive Officer of the
Company and the Bank pursuant to an employment agreement dated February 20, 2007, as amended as of March 6, 2008 and December 20, 2010 (the "Employment
Agreement"); and 

        WHEREAS, pursuant to an Agreement and Plan of Merger dated as of April 19, 2011 (the "Merger
Agreement") between Buyer and the Company, the Company shall merge with and into the Buyer (the "Merger"); and 

        WHEREAS, in connection with the Merger, the Company and the Consultant have agreed that the Consultant will resign her employment with the
Company and the Bank as of the Closing Date (as such term in defined in the Merger Agreement); and 

        WHEREAS, the parties hereto recognize and acknowledge the interest of Buyer in protecting the business and goodwill associated with the
Company following the Merger by having the Consultant enter into this Agreement; and 

        WHEREAS, the Consultant understands and agrees that the non-competition and non-solicitation covenants contained
in this Agreement are of utmost importance to the Buyer and that the Buyer would not enter into this Agreement in the absence of such covenants; and 

        WHEREAS, Buyer desires to have the Consultant provide, and the Consultant is willing to provide Buyer with, the consulting services on the
terms and conditions set forth herein. 

        NOW THEREFORE, in consideration of the mutual covenants and agreements set forth herein and for other good and valuable consideration, the
receipt and sufficiency of which is hereby acknowledged, the parties hereto agree as follows: 

        1.    Defined Terms    

        Any
capitalized terms not defined in this Agreement shall have as their meanings the definitions contained in the Merger Agreement. 

        2.    Payments to be Made Pursuant to the Employment Agreement    

        (a)   As
of the Effective Time of the Merger, the employment of the Consultant as the President and Chief Executive Officer of the Company and the Bank shall be terminated,
and the Consultant shall have a "Separation from Service" for purposes of Section 409A of the Code as of such date. As a result of such Separation from Service, Consultant shall be deemed to
have a Terminating Event (as defined in the Employment Agreement) and in consideration of the Consultant executing the general release attached hereto as Exhibit A in a timely manner so that it
is effective and irrevocable prior to the Closing Date, the Consultant shall be entitled to receive the payments to which she is entitled pursuant to the Employment Agreement as a result of such
Terminating Event, subject to the following. 

        (b)   On
the Closing Date of the Merger, the Bank shall pay to the Consultant an amount equal to any base salary and bonus earned on account of services performed by the
Consultant prior to the 

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Effective
Time of the Merger which have not been previously paid and the Consultant's pro-rated bonus to the Effective Time of the Merger under the Bank's Annual Executive Incentive Plan,
or any successor plan, based on the "Target Bonus" for the year in which the Effective Time of the Merger occurs (the "Past Service Amount"). Such payment shall satisfy in full the Bank's obligation
to pay the Past Service Amount required pursuant to Section 3.6(a)(i) of the Employment Agreement. 

        (c)   On
the earlier of (i) the first business day that is six (6) months and one day following the Effective Time of the Merger or (ii) the date of the
Consultant's death, Buyer shall pay to the Consultant in a single lump sum an amount equal to $2,200,000 (the "Severance Payment") plus an amount equal to the product of the Severance Payment
multiplied by the Interest Factor as defined below. For purposes of this Agreement, the Interest Factor shall equal 120% of the short-term applicable federal rate (determined under
Section 1274(d) of the Code) as published by the Internal Revenue Service for the month in which the Effective Time of the Merger occurs. Such payment shall satisfy in full the Bank's
obligation to pay the Severance Payment under Section 3.6(a)(ii) of the Employment Agreement. 

        (d)   Buyer
agrees to provide the Consultant with continuing medical, dental and life insurance benefits in accordance with the terms of Section 3.6(b) of the
Employment Agreement. 

        (e)   Effective
as of the Effective Time of the Merger, the Consultant hereby waives all of her rights to each of the following: (i) the continued use or purchase of
the automobile currently being used by her under Section 3.6(c) of the Employment Agreement, (ii) an extension of her stock options pursuant to Section 3.6(d) of the Employment
Agreement, and (iii) the use of an office and the exclusive use of an executive assistant pursuant to Section 3.6(e) of the Employment Agreement. 

        (f)    Sections 3.6(b),
3.8 , 3.9, 3.10, 3.11, 4.1 and 4.4 through 4.12 inclusive of the Employment Agreement shall survive the termination of the Consultant's
employment as of the Effective Time of the Merger. All other sections of the Employment Agreement shall be terminated immediately following the Effective Time of the Merger. 

        3.    Consulting Service    

        (a)   Subject
to the provisions of Section 3(e) hereof, the parties hereto agree that, during the twelve (12)-month period immediately following the Effective Time of
the Merger (the "Consulting Period"), the Consultant undertakes to provide her personal advice and counsel to Buyer and its subsidiaries and affiliates
(including Bank Rhode Island) in connection with the business of Buyer and its subsidiaries, including, but not limited to, consulting with Buyer regarding the operations and customer relationships of
Buyer and assisting Buyer in matters relating to the integration of Bank Rhode Island with Buyer (collectively the "Consulting Services"), subject to
the terms and conditions which are set forth herein. The Consultant shall provide such Consulting Services as may be requested from time to time by the Chief Executive Officer of Buyer; provided,
however, that in no event will the Consultant be required to perform Consulting Services for more than one day per week and in no event shall the monthly consulting services exceed twenty percent
(20%) of the average monthly level of services provided by the Consultant as an employee of the Bank and its affiliates over the thirty-six (36) months immediately preceding the
Effective Time of the Merger. During the Consulting Period, the Consultant shall be available to devote a sufficient portion of her business time, attention, skills and effort (other than during
holidays, vacations and periods of illness) to the business and affairs of Buyer and its subsidiaries and affiliates to satisfy her obligations hereunder and shall use her reasonable best efforts to
promote the interests of Buyer and its subsidiaries and affiliates. Such Consulting Services may be provided in person, telephonically, electronically or by correspondence as Buyer and the Consultant
may agree. The Consultant shall be available for meetings at the principal executive offices of Buyer at such times as shall be reasonable and appropriate. 

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        (b)   During
the Consulting Period, the Consultant shall be entitled to a consulting fee from the Buyer in an amount equal to Eight Thousand Three Hundred Thirty Three Dollars
and Thirty-Four Cents ($8,333.34) per month, payable in arrears on the last business day of each month (the "Consulting Payments"). 

        (c)   During
the Consulting Period, the Buyer shall reimburse the Consultant or otherwise provide for or pay for all reasonable and customary expenses incurred by the
Consultant in connection with services rendered during the Consulting Period, subject to the submission of properly documented receipts, in accordance with the policies, programs, procedures and
practices of the Buyer in effect at the time the expense was incurred, as the same may be changed from time to time. 

        (d)   During
the Consulting Period, the Consultant shall be treated as an independent contractor and shall not be deemed to be an employee of Buyer or any subsidiary or
affiliate of Buyer. 

        (e)   The
Consultant may terminate the Consulting Period by providing thirty (30) days written notice to Buyer in which case any future Consulting Payments shall cease.
In addition, the Consulting Period shall automatically terminate by reason of the death of the Consultant and no notice of termination shall be required. The obligations of Buyer under this Agreement
are subject to and contingent upon the Consultant continuing to be employed by the Company and the Bank from the date hereof until the Effective Time of the Merger. 

        4.    Non-Disclosure of Confidential Information    

        Except
in the course of her services to the Buyer hereunder, and in the pursuit of the business of the Buyer or any of its subsidiaries or affiliates, the Consultant shall not, except as
required by law, at any time during or following the Consulting Period, disclose or use any confidential information or proprietary data of the Buyer or any of its subsidiaries or affiliates or
predecessors, unless such confidential information or proprietary data becomes publicly known through no fault of the Consultant. The Consultant agrees that, among other things, all information
concerning the identity of the customers of the Buyer and its subsidiaries and affiliates and the relations of such entities with their customers is confidential information. This Section 4
shall survive the termination or expiration of the Consulting Period. 

        5.    Non-Competition Provisions    

        The
Consultant agrees that during the twenty-four (24)-month period immediately following the Effective Time of the Merger (the "Non-Competition Period"), the
Consultant will not (i) without the prior written consent of the Buyer, engage in, become interested in, directly or indirectly, as a sole proprietor, as a partner in a partnership, or as a
shareholder in a corporation, or become associated with, in the capacity of employee, director, officer, principal, agent, trustee or in any other capacity whatsoever, any commercial or national bank,
any savings bank or savings and loan association, any credit union, or any holding company, direct or indirect subsidiary or other affiliate of any of the foregoing which has an office located in the
State of Rhode Island or the Commonwealth of Massachusetts (in each case, a "Competing Business"); provided, however, that this provision shall not
prohibit the Consultant from engaging in private equity or venture capital services or wealth management services as long as neither the Buyer nor any of its subsidiaries is providing wealth
management services to its customers as part of its business in which case the Consultant will disengage from such wealth management services within three (3) months after being provided notice
from the Buyer that it wishes her to discontinue providing such services, or from owning up to one percent (1%) of the outstanding common stock of any Competing Business if such common stock is
publicly traded, (ii) solicit, induce, or hire away, or cause others to solicit, induce or hire away, any employee of the Buyer or any of its subsidiaries from the employment of such entities;
(iii) solicit (whether by mail, telephone, personal meeting or any other means, excluding general solicitations of the public that are not based in whole or in part on any list of customers of
the Buyer or any of its subsidiaries) any 

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customer
of the Buyer or any of its subsidiaries to transact business with any Competing Business, or to reduce or refrain from doing any business with the Buyer or its subsidiaries, or interfere with
or damage (or attempt to interfere with or damage) any relationship between the Buyer or its subsidiaries and any such customers. 

        6.    Non-Disparagement    

        Except
to the extent required by law, the Consultant agrees during the term of the Non-Competition Period 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 Buyer or its administration, employees, management, officers, shareholders, agents and/or
directors. 

        7.    Remuneration    

        (a)   In
consideration of the foregoing covenants and agreements by the Consultant (and in addition to payments due to the Consultant under other provisions of this
Agreement), the Buyer covenants and agrees to pay the Consultant an amount equal to Six Hundred Fifty Thousand Dollars ($650,000) as follows: Three Hundred Fifty Thousand Dollars ($350,000) shall be
paid to the Consultant on the Closing Date of the Merger and Three Hundred Thousand Dollars ($300,000) shall be paid to the Consultant on the first anniversary of the Closing Date of the Merger
(collectively, the "Non-Competition Payments"). 

        (b)   The
parties hereto acknowledge and agree that, within thirty (30) days after this Agreement is executed by the parties, the Buyer will engage an independent
valuation firm mutually agreed upon by the Buyer and the Consultant to value the provisions under Section 5 of this Agreement (the "Non-Competition
Valuation"). If the Non-Competition Value is less than the Non-Competition Payments, then the Non-Competition Period shall be extended from
twenty-four (24) months to thirty-six (36) months. If the Non-Competition Value for a 36-month Non-Competition Period is still
less than the Non-Competition Payments, then (1) the Non-Competition Payments on the Closing Date of the Merger and the one-year anniversary of the Closing
Date of the Merger shall be proportionately reduced so that the sum of such payments equal the Non-Competition Value for the 36-month period, and (2) the parties to this
Agreement agree to negotiate in good faith other appropriate changes to this Agreement. 

        8.    Certain Payments by Buyer    

        (a)   In
the event that it is determined that part or all of the compensation and benefits to be paid to the Consultant, whether or not payable hereunder,
(i) constitute "parachute payments" under Section 280G of the Code (the "Payments"), and (ii) equal or exceed three (3) times the Consultant's "Base Amount" (as such term
is used under Section 280G of the Code), the Buyer, on or before the date for payment of the excise tax imposed under Section 4999 of the Code, shall pay to or on behalf of the
Consultant, in a single lump sum, an amount (the "Gross-Up Amount") such that, after payment of all federal, state and local income taxes and employment-related taxes (including Social
Security and Medicare taxes) and any additional excise tax under Section 4999 of the Code in respect of the Gross-Up Amount payment, the Consultant will be fully reimbursed for the
amount of such excise tax. 

        (b)   The
determination of the Payments, the Base Amount and the Gross-Up Amount, as well as any other calculations necessary to implement this Section 8
shall be made by a third party mutually agreeable to the Buyer and the Consultant, with such third party's fee to be paid by the Buyer. 

        (c)   As
promptly as practicable following the above determinations, the Buyer shall pay to or distribute to or for the benefit of the Consultant such amounts as are then due
to the Consultant under this Agreement and shall promptly pay to or distribute for the benefit of the Consultant in the future such amounts as become due to the Consultant under this Agreement. 

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        (d)   As
a result of the uncertainty in the application of Section 280G of the Code at the time of an initial determination hereunder, it is possible that payments will
not have been made by the Buyer which should have been made under clause (a) of this Section 8 ("Underpayment"). In the event that there is a final determination by the Internal Revenue
Service, or a final determination by a court of competent jurisdiction, that an Underpayment has been made and the Consultant thereafter is required to make any payment of an excise tax, income tax,
any interest or penalty, the firm selected under clause (b) above shall determine the amount of the Underpayment that has occurred and any such Underpayment shall be promptly paid by the Buyer
to or for the benefit of the Consultant within 30 days following the date of such final determination. If and to the extent that the Consultant receives any tax refund from the Internal Revenue
Service that is attributable to payments by the Buyer pursuant to this Section 8 of amounts in excess of the actual Gross-Up Amount as finally determined by the Internal Revenue
Service or a court of competent jurisdiction ("Overpayment"), the Consultant shall promptly pay to the Buyer the amount of such refund that is attributable to the Overpayment within 30 days
following the receipt of such refund (together with any interest paid or credited thereon after taxes applicable thereto); provided, however, the Consultant shall not have any obligation to pay the
Buyer any amount pursuant to this Section 8(d) if and to the extent that any such obligation would cause the arrangement to be treated as a loan or extension of credit prohibited by applicable
law. 

        9.    Section 409A    

        The
parties intend that this Agreement will be administered in accordance with Section 409A of the Code. To the extent that any provision of this Agreement is ambiguous as to its
compliance with Section 409A of the Code, the provision shall be read in such a manner so that all payments hereunder comply with Section 409A of the Code. For avoidance of doubt, to the
extent that any portion of the Consulting Payments or the Non-Competition Payments is determined to be made in substitution for payment of any deferred compensation subject to
Section 409A of the Code payable to the Consultant, such amount will be paid on the earlier of (i) the first business day that is six months and one day following the Effective Time of
the Merger or (ii) the date of the Consultant's death. None of the Buyer, the Company or the Bank make any representation or warranty and shall not have any liability to the Consultant or any
other person if any provisions of this Agreement are determined to constitute deferred compensation subject to Section 409A of the Code but do not satisfy an exemption from, or the conditions
of, such Section. 

        10.    Cooperation with Litigation    

        Except
for any litigation as to which the Consultant is an adverse party relative to the Buyer or any of its subsidiaries, the Consultant shall cooperate fully with the Buyer in
connection with any existing or
future litigation and any investigations or regulatory matters against or involving the Buyer or any of its subsidiaries, whether administrative, civil or criminal in nature, which relate to events or
matters that occurred prior to the Effective Time of the Merger or during the Consulting Period and to the extent that the Buyer deems her cooperation necessary. The Buyer will, to the extent
practicable, provide the Consultant with reasonable notice of the need for such cooperation and will make a good faith effort to accommodate the Consultant's reasonable scheduling needs in
coordinating such cooperation. 

        11.    Successors and Assigns    

        (a)   The
Buyer will require any successor or assign (whether direct or indirect, by purchase, merger, consolidation or otherwise) to all or substantially all of its business
and/or assets, by agreement in form and substance satisfactory to the Consultant, expressly, absolutely and unconditionally to assume and agree to perform this Agreement in the same manner and to the
same extent that the Buyer would be required to perform it if no such succession or assignment had taken place. Any failure of the Buyer to obtain such agreement prior to the effectiveness of any such
succession or assignment shall be a material breach of this Agreement. 

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        (b)   This
Agreement and all rights of the Consultant shall inure to the benefit of and be enforceable by the Consultant's personal or legal representatives, estate,
executors, administrators, heirs and beneficiaries. Except as provided in this Section 11, no party may assign this Agreement or any rights, interests, or obligations hereunder without the
prior written approval of the other party. Subject to the preceding sentence, this Agreement shall be binding upon and shall inure to the benefit of the parties hereto and their respective successors
and permitted assigns pursuant to Section 10(a). This Agreement shall not be terminated by the voluntary or involuntary dissolution of the Buyer. 

        12.    Enforcement    

        (a)   It
is the intention of the parties hereto that the provisions of this Agreement shall be enforced to the fullest extent permissible under all applicable laws and public
policies, but that the unenforceability or the modification to conform with such laws or public policies of any provision hereof shall not render unenforceable or impair the remainder of the
Agreement. Accordingly, if any provision shall be determined to be invalid or unenforceable either in whole or in part, this Agreement shall be deemed amended to delete or modify as necessary the
invalid or unenforceable provisions to alter the balance of this Agreement in order to render the same valid and enforceable. 

        (b)   The
Consultant acknowledges that the Buyer would not have entered into the Merger Agreement or intend to consummate the Merger unless the Consultant had, among other
things, entered into this Agreement. Any breach of Sections 4 or 5 of this Agreement will result in irreparable damage to the Buyer for which the Buyer will not have an adequate remedy at law.
In addition to any other remedies and damages available to the Buyer, the Consultant further acknowledges that the Buyer shall be entitled to seek injunctive relief hereunder to enjoin any breach of
Sections 4, 5 or 6 of this Agreement, and the parties hereby consent to any injunction issued in favor of the Buyer by any court of competent jurisdiction, without prejudice to any other right
or remedy to which the Buyer may be entitled. The Consultant represents and acknowledges that, in light of her experience and capabilities, the Consultant can obtain employment with other than a
Competing Business or in a business engaged in other lines and/or of a different nature than those engaged in by the Buyer or its subsidiaries or affiliates, and that the enforcement of a remedy by
way of injunction will not prevent the Consultant from earning a livelihood. In the event of a breach of this Agreement by the Consultant, the Consultant acknowledges that in addition to or in lieu of
the Buyer seeking injunctive relief, the Buyer may also seek to recoup some or all of the amount paid by the Buyer pursuant to Section 7 hereof. Each of the remedies available to the Buyer in
the event of a breach by the Consultant shall be cumulative and not mutually exclusive. 

        13.    Amendment    

        This
Agreement may be amended or modified at any time by a written instrument executed by the parties prior to the Effective Time of the Merger and thereafter by the Buyer and the
Consultant. 

        14.    Notice    

        Any
communication required or permitted to be given under this Agreement, including any notice, direction, designation, consent, instruction, objection or waiver, shall be in writing and
shall be deemed to have been given at such time as it is delivered personally, or five days after mailing if mailed, postage prepaid, by registered or certified mail, return receipt requested,
addressed to such party at the address listed below or at such other address as one such party may by written notice specify to the other party: 

If
to the Buyer: 

Brookline
Bancorp, Inc.

160 Washington Street

P.O. Box 470469

Brookline, MA 02445

Attention: Chief Executive Officer 

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with
a copy, in the case of a notice to Buyer to: 

Goodwin
Procter LLP

53 State Street

Boston, MA 02109

Attention: William P. Mayer, Esq.

                  Lisa R. Haddad, Esq. 

If
to Consultant: 

24
Channing Avenue

Providence, RI 02906 

with
a copy, in the case of a notice to Consultant to: 

Edwards
Angell Palmer & Dodge LLP

2800 Financial Plaza.

Providence, RI 02906

Attention: V. Duncan Johnson, Esq.

                  Lori A. Basilico, Esq. 

        15.    Waiver    

        Failure
to insist upon strict compliance with any of the terms, covenants or conditions hereof shall not be deemed a waiver of such term, covenant or condition. A waiver of any provision
of this Agreement must be made in writing, designated as a waiver, and signed by the party against whom its enforcement is sought. Any waiver or relinquishment of any right or power hereunder at any
one or more times shall not be deemed a waiver or relinquishment of such right or power at any other time or times. 

        16.    Counterparts    

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

        17.    Governing Law    

        This
Agreement shall be governed by and construed and enforced in accordance with the laws of the State of Rhode Island applicable to contracts entered into and to be performed entirely
within the State of Rhode Island, except to the extent that federal law controls. 

        18.    Headings and Construction    

        The
headings of sections in this Agreement are for convenience of reference only and are not intended to qualify the meaning of any section. Any reference to a section number shall refer
to a section of this Agreement, unless otherwise stated. 

        19.    Entire Agreement    

        This
instrument contains the entire agreement of the parties relating to the subject matter hereof, and supersedes in its entirety any and all prior agreements, understandings or
representations relating to the subject matter hereof, including but not limited to the Employment Agreement, except that certain sections of the Employment Agreement shall remain in full force and
effect as set forth in Section 2(f) above. 

        20.    Effectiveness    

        Notwithstanding
anything to the contrary contained in this Agreement, the effectiveness of this Agreement shall be subject to consummation of the Merger in accordance with the terms of
the Merger Agreement, as the same may be amended by the parties thereto in accordance with its terms. In the event the Merger Agreement is terminated for any reason, this Agreement shall be deemed
null and void. 

[Signature
Page Follows] 

7

 

  
        IN WITNESS WHEREOF, the Buyer has caused this Agreement to be executed by its duly authorized officer, and the Consultant has signed this Agreement, effective as of the date first
written above. 

 

 

					
	 	 	 CONSULTANT:
	
 	
 	
/s/ Merrill W. Sherman

  Merrill W. Sherman

 

  

 

 

					
	 	 	 BROOKLINE BANCORP, INC.
	
 	
 	
By:	
 	
/s/ Paul A. Perrault

 
	 	 	Name: Paul A. Perrault

Title: President and Chief Executive Officer

 

  

 

 

					
	 	 	 BANCORP RHODE ISLAND, INC.
	

 	
 	
  By:	
 	
/s/ John R. Berger

 
	 	 	Name: John R. Berger

Title: Chair, Compensation Committee

 

  

 

 

					
	 	 	 BANK RHODE ISLAND
	

 	
 	
  By:	
 	
/s/ John R. Berger

 
	 	 	Name: John R. Berger

Title: Chair, Compensation Committee

 

 8

QuickLinks

Exhibit 10.1

RELEASE, CONSULTING AND NON-COMPETITION AGREEMENT

RECITALS

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00188-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00188-of-00352.parquet"}]]