Document:

Exhibit 10.42

FIRST
AMENDMENT TO EMPLOYMENT AGREEMENT

This is
the first amendment (the “First Amended Agreement”) to that certain Employment
Agreement dated as of the 18th day of
June, 2003 (the “Agreement”), between Mpower Communications Corp., a Nevada
corporation (the “Company”) and Jim Ferguson (“Executive”).

The
Company and Executive, for and in consideration of the promises, terms and
conditions contained herein, do hereby agree to make the following amendments to
the Agreement.

1.
Section 4.02 of the Agreement is deleted in its entirety, and replaced by the
following:

 

“4.02
TERMINATION WITHOUT CAUSE; RESIGNATION FOR GOOD REASON. In the event of (A) the
Company’s termination of Executive’s employment hereunder without Cause, (B)
Executive’s resignation for Good Reason, (C) Executive’s death, or (D)
Executive’s Disability, he shall be entitled to the following: (i) the payments
and benefits described immediately above in sub-section (a) of Section 4.01 and
(ii) a severance benefit (the “Severance
Benefit”) equal
to two times (a) the higher of the Fixed Salary paid immediately preceding the
Termination Date or the Fixed Salary on June 18, 2003 and (b) the highest bonus
paid by the Company to Executive during the period from the Effective Date
through the Termination Date. Payment of the Severance Benefit shall be
contingent upon Executive’s execution of a waiver and release of claims (a
“Release”) in
favor of the Company and its affiliates and their respective employees and
agents, substantially in the form set forth in Appendix A. The Severance Benefit
shall be paid by the Company in a lump sum, no later than two (2) business days
after the expiration of the Revocation Period, as defined in the
Release.”

IN
WITNESS WHEREOF, the
parties have duly executed this Second Amended Agreement as of this
28th day of
July, 2004.

MPOWER
COMMUNICATIONS CORP.

	 	 	 	 
	/s/ Russell I.
      Zuckerman	 	 	/s/ Jim
      Ferguson
	
      

    	 	 	
      

    
	
       

      Russell I.
      Zuckerman

      Senior
      Vice President, General Counsel and Corporate Secretary

      
	 	 	
       

      Jim
      Ferguson<PAGE>

                                                                   Exhibit 10.33

                         Reckson associates Realty Corp.
                         -------------------------------

                            INDEMNIFICATION AGREEMENT
                            -------------------------

                  This Agreement, made and entered into as of the 23rd day of
May, 2002 (the "Agreement"), by and between Reckson Associates Realty Corp., a
Maryland corporation (the "Company"), and Scott Rechler ("Indemnitee").

                  WHEREAS, at the request of the Company, Indemnitee currently
serves as a director and executive officer of the Company and may, therefore, be
subjected to claims, suits or proceedings arising as a result of his service;
and

                  WHEREAS, Section 2-418 of the Maryland General Corporation Law
(the "MGCL") sets forth the terms of permitted and required indemnification of,
and advancement of expenses to, directors and officers of a Maryland
corporation;

                  WHEREAS, as an inducement to Indemnitee to continue to serve
as such director and executive officer, the Company has agreed to indemnify
Indemnitee against expenses and costs incurred by Indemnitee in connection with
any such claims, suits or proceedings, to the fullest extent that is lawful; and

                  WHEREAS, the parties by this Agreement desire to set forth
their agreement regarding indemnification;

                  NOW, THEREFORE, in consideration of the premises and the
covenants contained herein, the Company and Indemnitee do hereby covenant and
agree as follows:

                  1. Acts or Omissions Covered by This Agreement.
                  -----------------------------------------------

                  This Agreement shall cover any act or omission by Indemnitee
after the date of his commencement of service as a director and executive
officer, regardless of whether said act or omission occurred prior to the date
of this Agreement, which (i) occurs or is alleged to have occurred by reason of
his being or having been a director and/or executive officer (ii) occurs or is
alleged to have occurred, during or after the time when Indemnitee served as a
director and/or executive officer and (iii) gives rise to, or is the direct or
indirect subject of a claim in any threatened, pending or completed action, suit
or proceeding at any time or times whether during or after his service as a
director and/or executive officer.

                  2. Indemnity.
                  -------------

                  (a) The Company shall indemnify the Indemnitee to the fullest
lawful extent permitted by Maryland law (including, without limitation,
indemnification permitted under Section 2-418(g) of the MGCL), as amended from
time to time, in connection with any threatened, pending or completed action,
suit or proceeding, whether civil, criminal, administrative or investigative (a
"Proceeding"), by reason of the fact that he is or was a director and/or
executive officer of the Company or is or was serving at the request of the
Company as a director, trustee, officer, partner, employee or agent of another
corporation, partnership, joint venture, trust or other enterprise and whether
or not such action is by or in the right of the Company or that other
corporation, partnership, joint venture, trust or other enterprise with respect
to which the Indemnitee serves or has served.

<PAGE>

                  (b) Notwithstanding anything to the contrary in subsection
(a), the Company shall indemnify Indemnitee in a Proceeding initiated by
Indemnitee only if Indemnitee acted with the authorization of the Company in
initiating that proceeding. However, any proceeding brought by the Indemnitee to
enforce his rights under this Agreement shall not be subject to this subsection
(b).

                  (c) An indemnification under this Agreement shall be made upon
Indemnitee's written request to the Board of Directors of the Company (the
"Board of Directors"), setting forth the grounds and lawfulness of such
indemnification. For purposes of this Agreement, references to "other
enterprises" shall include, without limitation, employee benefit plans;
references to "fines" shall include any excise taxes assessed on a person with
respect to an employee benefit plan; and references to "serving at the request
of the Company" shall include any service as a trustee, director, officer,
employee or agent of any other partnership, trust or corporation which imposes
duties on, or involves services by, Indemnitee which are requested in writing by
the Board of Directors, or which involve services by such trustee, director,
officer, employee or agent with respect to an employee benefit plan, its
participants or beneficiaries.

                  3. Burden of Proof.
                  -------------------

                  Indemnitee shall be presumed to be entitled to indemnification
for any act or omission covered in Section 1 or 2 of this Agreement. The burden
of proof of establishing that Indemnitee is not entitled to indemnification
because of the failure to fulfill some requirement of Maryland law, the charter
of the Company, or bylaws as in effect from time to time or this Agreement shall
be on the Company.

                  4. Notice by Indemnitee.
                  ------------------------

                  Indemnitee shall notify the Company in writing of any matter
with respect to which Indemnitee intends to seek indemnification hereunder as
soon as reasonably practicable following the receipt by Indemnitee of written
threat thereof, provided that failure to so notify the Company shall not
constitute a waiver by Indemnitee of his rights hereunder.

                  5. Advancement of Expenses.
                  ---------------------------

                  In the event of any Proceeding involving Indemnitee which may
give rise to a right of indemnification from the Company pursuant to this
Agreement, the Company shall advance to Indemnitee amounts to cover expenses
(including fees and disbursements of counsel) incurred by Indemnitee in
connection with any Proceeding in advance of final disposition within one
business day after receipt by the Company of (i) an undertaking by or on behalf
of the Indemnitee to repay the amount advanced in the event that it shall be
ultimately determined in accordance with this Agreement that he is not entitled
to indemnification by the Company, (ii) a written affirmation by the Indemnitee
of his good faith belief that the standard of conduct necessary for
indemnification by the Company has been met and (iii) satisfactory evidence as
to the amount of such expenses. Indemnitee's written certification together with
a copy of the statement paid or to be paid by Indemnitee shall constitute
satisfactory evidence of the amount of such expenses.

                                       2

<PAGE>

                  6. Defense of Claim.
                  --------------------

                  The Indemnitee shall have the absolute right to employ his own
counsel in respect of any Proceeding; provided, that in the event that more than
one director or executive officer is entitled to indemnification under this
Agreement or a similar agreement arising out of the same Proceeding, all such
directors and/or executive officers, including Indemnitee, shall, to the extent
practicable, endeavor to use the same counsel; and further provided that the
counsel selected by the Indemnitee would not be precluded as a matter of
professional ethics from representing the Company or a person adverse to the
Company.

                  7. Non-Exclusivity of Right of Indemnification.
                  -----------------------------------------------

                  The indemnification rights granted to Indemnitee under this
Agreement shall not be deemed exclusive of, or in limitation of, any rights to
which Indemnitee may be entitled under Maryland law, the charter of the Company,
or bylaws, any other agreement, vote of stockholders or directors or otherwise.

                  8. Term of Agreement and Survival of Right of Indemnification.
                  --------------------------------------------------------------

                  (a) Subject to subparagraph (b) of this section, the term of
this Agreement shall continue for as long as the Indemnitee serves as a director
and/or an executive officer of the Company.

                  (b) The rights granted to Indemnitee hereunder shall continue
after termination as provided in Section 1 and shall inure to the benefit of
Indemnitee, his personal representative, heirs, executors, administrators and
beneficiaries, and this Agreement shall be binding upon the Company, its
successors and assigns.

                  9. Legal Fees and Expenses.
                  ---------------------------

                  The Company shall pay all legal fees and expenses which
Indemnitee may incur to collect money due under this Agreement or as a result of
the Company's contesting the validity or enforceability of this Agreement.

                  10. Governing Law.
                  ------------------

                  This Agreement shall be governed by the laws of the State of
Maryland.

                                       3

<PAGE>

                  11. Severability.
                  -----------------

                  If any provision of this Agreement is determined to be invalid
or unenforceable, the invalidity or unenforceability shall not affect the
validity or enforceability of any other provision of this Agreement, and this
Agreement shall be interpreted as though the invalid or unenforceable provision
was not a part of this Agreement.

                  12. Changes in Law.
                  -------------------

                  This Agreement is intended to provide to Indemnitee, to the
fullest lawful extent permitted by Maryland law as in effect from time to time,
indemnification and advancement of expenses in connection with a Proceeding as
described in Sections 2 and 5 hereof; provided, however, that no change in
Maryland law shall have the effect of reducing the benefits available to
Indemnitee hereunder based on Maryland law as in effect on the date hereof.

The parties have executed this Agreement as of the day and year first above
stated.

                                            RECKSON ASSOCIATES REALTY CORP.

                                            By: /s/ Michael Maturo
                                                -------------------------------
                                            Name: Michael Maturo
                                            Title: EVP, CFO & Treasurer

                                            INDEMNITEE

                                            /s/ Scott Rechler
                                            -----------------------------------
                                            Name: Scott Rechler

                                       4

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